Meeting Minutes of October 10, 1995
Chairman Richard Jumps called the meeting to order at 7:05pm. A roll call vote was taken and present were: Chairman Richard Jumps, Vice Chairman Stanley Hollister, Mrs. Donna Williams, Mrs. Sue Dilley and Mr. Herbert Donow. Also present were employees Ron Lada and Karen Townsend, and guest, Mr. Paul Schmidt of Kemper CPA Group. Absent from the meeting was Mr. Maurice Betts.
The first order of business was to review the minutes from September for corrections. A motion was made by Mr. Hollister and seconded by Mrs. Dilley to accept the minutes as presented. With a roll call of 5 yes and 0 no votes, the minutes stand approved.
Chairman Jumps then turned the meeting over to Mr. Schmidt for discussion of the financial report and 1996 Budget preparations. Mr. Schmidt explained the layout of the financials and indicated that last year’s figures were not very reliable due to the previous record keeping problems. However, the current months and year figures are correct. Mr. Schmidt expressed that the District is doing well – revenue is ahead of the prior year. Mr. Hollister added that both the rate and water loss was lower and Chairman Jumps mentioned the addition of several new customers. Mr. Schmidt expressed concern that the $1,400 allocated each month for Depreciation was about $600 shy. Mr. Hollister mentioned that the Ordinance only requires a minimum of $8,000 in Reserve and $8,000 in Depreciation.
Mr. Hollister questioned whether there would be enough revenue for 1996 using the existing rates. Mr. Schmidt indicated that would generate enough and make principle payments on the loan. Mr. Hollister mentioned that the District has been using funds from the Legal Refund account in 1995 for operating expenses, and questioned it should be continued, or pass the return on to the customers through lower rates. Chairman Jumps indicated that the District has lowered the rates already. Mrs. Dilley recommended that further budgeting research is required to make the decision as to whether or not to raise rates. Mr. Schmidt assured the Board that the District will make it through another year without raising rates and still have cash available. It was decided that ordinances can be changed at any time and will have a much better idea within the first six months of 1996. A rate increase does not have to tie in with the budget this time.
Mr. Hollister questioned the cost of an annual audit. Mr. Schmidt explained that it would be less than previously because the District tis paying monthly and the CPA Group already has figures and formats. Mr. Schmidt said that the Kemper CPA Group will be sending the District an engagement letter for 1996.
Customer Requests: Mr. Hollister verified a leak between line and Makanda Post Office. Water was shut off, meter was read by WSO, and repairs were made by the customer. Mr. Hollister recommends the Post Office be billed using the formula for excess water use. Karen Townsend to handle at next billings.
Old Business: A few points of interest and miscellaneous information was presented by Karen Townsend to the Board:
- John Ryan Account #96 – water usage and balance on tap installation has been paid in full.
- newly installed mailbox has received very little mail – nothing of major importance
- Section 23 – heard rumor that SHWD was rejecting our proposal and refusing to by BPWD new meter and backflow device, also installation in that section have been frozen by SHWD;
- paid and outstanding tap installation invoices;
- details relating to the WSO course offered by John A Logan College
Further discussion followed regarding the Section 23 problem and ideas were exchanged. Mr. Donow suggested looking into the legal aspect and possibly putting liens on the properties. He also proposed that SHWD pay the amount they have been taking from us each month. Chairman Jumps recommended both reps from the SHWD and BPWD meeting to work out a deal.
Board members were reminded that the November board meeting will be held on a Wednesday, instead of Tuesday; and that everyone be present for review and approval of the 1996 Budget.
New Business: The Schedule of Regular Trustees’ Meetings for 1996 were presented for review and approval. It was recommended to change November 13, Wednesday, to November 12, Tuesday, because it will not conflict with election day.
The Secretary/Treasurer Report was presented by Karen Townsend for review.
The Account’s Payable Report was presented detailing bills for payment in October. After being reviewed by the Board Members, a motion was made by Mr. Hollister to pay the bills. The motion was seconded by Mrs. Williams and a roll call was taken. With 5 yes and 0 no votes, the motion was approved.
Ron Lada presented the Water Supply Operator Report with no major discrepancies or problems.
There being no further business, a motion was made by Mrs. Dilley for adjournment. A voice vote was taken and with 5 yes and 0 no votes, the meeting adjourned at 8:55pm