Call to Order – Chairman White called the meeting to order at 5:30 p.m. Board members present were J. B. White, Wesley Keber, Harvey Norris, Burt Jones & Eddie Roberts; Authority staff present was Marcie Seleb, General Manager.
Opening Prayer – Mr. Norris opened the meeting with a prayer.
Approval of Minutes from Previous Meeting – Mr. Norris made a motion to dispense with the reading of the minutes from the August 14, 2012 meeting and approve with a correction of the board member seconding the approval of the July 2012 minutes. This was seconded by Mr. Keber and approved unanimously.
Environmental Services Agreement – Board members reviewed the Environmental Services Agreement required by the Georgia Environmental Finance Authority (GEFA) for the federal revolving fund loan for system meter replacement. This agreement between the Authority and the Butts County Board of Commissioners guarantees that the loan will be paid back with County assets if the Authority defaults. Also reviewed was a separate agreement negotiated between the Authority and the Board of Commissioners whereby the Authority agrees to set aside funds equal to one hundred percent of the GEFA loan principle as protection for Butts County. A motion to approve both agreements was made by Harvey Norris, seconded by Wesley Keber, and passed unanimously. A copy of both agreements is attached and made a part of these minutes.
Resolution Authorizing Loan Document Execution – In a related action, Board members adopted a resolution authorizing Chairman White to execute all loan documents and related paperwork for the AMR meter replacement project. The GEFA drinking water revolving fund will provide up to $950,000 in federal funds to be repaid more than twenty years at 1.13% interest. Upon completion of the project, thirty-percent (30%) of the loan principle will be forgiven immediately, meaning that the Authority will receive up to $285,000 in assets at no cost. A motion to pass the resolution was made by Harvey Norris, seconded by Eddie Roberts, and passed unanimously. The resolution is attached and made a part of these minutes.
Award Valve Insertion Work – Ms. Seleb presented price quotes from three different contractors for insertion of two twelve-inch line valves on either side of the Towaliga River bridge on Georgia Hwy. 36. The valves are required to isolate the Hwy. 36 water main during the upcoming bridge replacement project by the Georgia Department of Transportation. A motion was made by Wesley Keber to accept the low quote from Mueller Services of $16, 825.12 for both valves, seconded by Burt Jones, and passed unanimously. A copy of the quote tabulation is attached and made a part of these minutes.
Update on Construction Projects – Ms. Seleb updated board on several projects.
Hwy. 16 and Hwy. 36 Sewer Projects – The Authority’s attorney, William A. White, has submitted notices of “Intent to Terminate and to Seek Liquidated Damages” to Jones General Contracting and the United States Surety Company. A copy of both notices is attached and made a part of these minutes. Following standard protocol, a meeting with the contractor and bond company representatives is expected to be held later in the month.
Meter Replacement Project – The bid opening is still set for September 27, 2012. The pre-bid construction conference has been rescheduled from September 13th to September 19th.
West Butts Tank Project – The boundary and topographic survey is underway with S. L. Colwell and Associates performing the work. Robert Atkins has completed his initial survey for potential well sites with the written report anticipated within a week.
Crew Projects – All taps have been completed on the Singley/Hangar Road project. Staff is still working to acquire an easement to loop the main back into Woody Road on the south end of the Singley Road main. Staff is coordinating utility adjustments on the Hwy. 36 Bridge Project with the Georgia Department of Transportation. A number of polybutylene service line leaks have been reported and repaired.
Patillo Industrial Real Estate’s Windy Lane Sewer Extension – Project plans are being reviewed by Authority staff and Mike Lott of Rindt-McDuff Associates.
Sewer to HD Supply Site – Ms. Seleb reported to the board that Laura Hale, Butts Industrial Authority’s executive director, is working with an industrial prospect that requires sewer to be extended to the site most recently occupied by HD Supply on Hwy. 42 North. The City of Jackson has expressed a willingness to treat sewage from the facility. A joint Employment Incentive Program grant application by the City and Butts County is anticipated in order to fund a force main and lift station for the property. Ms. Seleb stated it is likely that the Authority will be asked to accept ownership and maintenance of the force main and lift station.
Operations Report – Water billing for August 2012 was down 3% from July at $228,086, and down 7% from August 2011 with a total customer base of 5,290 and an active customer base of 4,713. Ms. Seleb noted that she has been reading of a number of utilities across the southeastern United States reporting continued drops in usage over the past few years. It appears to be a function of both the economic recession and a new standard of conservation by water users. Sewer billing for August 2012 was down 1% from July at $33,884, and up 4% from August 2011 with a total customer base of 129 and an active customer base of 122.
The average daily finished water pumped in August to the Authority, Jackson and Jenkinsburg from the Burford and Stewart plants was 2.4 million gallons per day, with a maximum of 2.6 million gallons per day. The rolling 12-month average loss was 8.0% with the current monthly average loss at only 3.5%. The total amount of finished water pumped in August 2012 by plant was: Burford – 58 million gallons; Stewart – 7 million gallons.
The average wastewater influent at the Bucksnort Ranch Land Application System was 184,000 gallons with an average daily effluent of 101,000 gallons and a maximum 7-day effluent of 191,000 gallons.
Regular Monthly Report – Ms. Seleb went over the financial summary for Water & Sewer Operations, Capital Recovery Fees and SPLOST for August 2012. For the month, water operations income was $241,400 and expenses were $122,900. Water capital recovery fees received for the fiscal year so far were $5,719 with no expenses. Sewer operation income for the month was $34,713 and expenses were $28,614. A OneGeorgia grant draw brought $187,338 in revenue for sewer capital recovery fees with expenses of $9,163 for the fiscal year thus far. A total of $2,517,595 has been spent from 2007-2012 Special Purpose Local Option Sales Tax, all of which has gone toward payment of debt. Total cash on hand at the end of August was $5,659,245. This is $363,721 over the June 30, 2012 balance. Copies of financial summaries, the combined fund balance sheet, and combined fund income statement are attached and made a part of these minutes.
Review Bills Paid – Board members reviewed check registers and credit card statements for the month of August 2012. Copies of these documents are attached and made a part of these minutes.
Adjourn – A motion was made by Mr. Jones to adjourn the meeting at 6:15 p.m. This was seconded by Mr. Roberts and approved unanimously.