CRANE LAKE WATER & SANITARY DISTRICT (CLWSD)

BOARD OF MANAGERS’ REGULAR MEETING

September 3, 2014 – 7:30 P.M.

CRANE LAKE CHAPEL FELLOWSHIP HALL

The meeting was called to order by Chairman Rob Scott at 7:30P.M.

Members present:  Managers Mark Anderson, Bruce Beste, Bill Congdon & Rob Scott.

Members absent:  Darrell Scott

Also present:   Randy Jenniges of S.E.H., Sewer Operator Terry Jackson and Anne, Clerk/Treasurer Jo Ann Pohlman, a reporter from the Cook News-Herald, and 5 members of the community.

Opening Comments:  Chairman Rob Scott stated that there was no meeting in August due to a lack of quorum, legacy funding had been approved, discussion and closure of the freezing approach would take place and there would be expansion talk.

BUSINESS:

Minutes:  A motion was made by B. Congdon, supported by B. Beste, to approve the minutes of the Board of Managers’ Regular Meeting, the Public Meeting and the Closed Meeting of July 9, 2014 and the Special Meeting of July 15, 2014.  All voted in favor and the motion carried.

Correspondence:  The correspondence list was reviewed by the Board.  A motion was made by B. Beste, supported by M. Anderson, that the correspondence be placed on file and acted upon as required. All voted in favor and the motion carried.

Treasurer/Accountant Report:  Clerk/Treasurer J. Pohlman reviewed the Treasurer’s Report. July & August 2014 payroll expenses: Administrative – $1,863.88 and Operations – $5,855.78. $8,580.44 was submitted for approval on the 2014 Freezing Insurance Claim for July. The 2^nd Quarter Quick Books entries were reviewed with Jennifer of Glorvigen.  The June & July 2014 Financial Statements were presented to the Board.  A motion was made by B. Congdon, supported by R. Scott, to approve the Treasurer’s report as presented and the payment of bills for August and September as follows:  August:  Administrative:  Costin Group – $2,000.00; S.E.H. – $3,010.00; and U of M – $2,000.00. Insurance Claim:  Sunrise Construction – $150.00.  Operations: Lake Country Power – $453.67, $137.33, $70.85, $92.45 & $131.00; A-1 – $53.44; Anderson Barging – $145.00; Citi-Lights – $75.00; Randy Clemmer – $100.00; Ferguson Enterprises – $958.37; Gopher State One Call – $1.45; Pace Analytical – $296.00; USBlueBook – $139.38 & $107.62; and Terry’s Operational Services – $1,512.99. September:  Administrative:  Costin Group – $1,000.00; League of MN Cities – $1,677.00; Lutefisk Tech. – $15.95 & $212.50; S.E.H. – $941.70.  Settlement Fund:  Electric Pump – $22,091.71.  Insurance Claim:  Rutchasky Enterprises – $32,340.00.  Operations:  Lake Country Power – $507.58, $149.46; $67.35; $87.58 & $123.00; A-1 Services – $53.44; Anchor Scientific – $266.34; Anderson Outfitters – $660.00; Aqua-Pure – $500.00 & $3,000.00; Randy Clemmer – $50.00; Menards – $383.62; Pace Analytical – $156.00; Rutchasky Enterprises – $450.00; St. Louis County – $520.00 and Terry’s Operational Services – $1,665.65.  All voted in favor and the motion carried.

Fund Transfers:  There were no transfers approved.

Administration

• Levy:  A motion was made by R. Scott, supported by B. Beste, to certify to St. Louis County $60,000.00 for the 2015 levy; a 16% decrease from 2014.  R. Scott, B. Beste, and M. Anderson voted in favor; B. Congdon abstained and the motion carried.
• Billing/Meter Readings:  A motion was made by B. Congdon, supported by R. Scott, to begin billing an averaged figure for usage with the September billing.  The meters will be read in August of next year with adjustments being made at that time.  All voted in favor and the motion carried.
• Insurance Waiver:  A motion was made by B. Beste, supported by M. Anderson, to sign the acknowledgement instructing Otis-Magie Insurance to place insurance coverage with the League of Minnesota Insurance Trust and the CLWSD accepts liability coverage limits of $1,500,000 from the League of Minnesota Cities Trust and the CLWSD does not waive the monetary limits on municipal tort liability established by Minnesota Statutes 466.04.  All voted in favor and the motion carried.
• Seigley Driveway:  An email was sent to Mr. Seigley on 8/26/14 outlining the District’s reimbursement plan for his driveway repair. R. Scott and Mr. Seigley conferred via telephone and agreed with the following:  The Board agreed to pay a proportional amount of the RLK mediation settlement (amount received) vs the actual claim submitted – 44%.  The amount added to the original claim for the driveway was $4,700.00. The amount the District will reimburse Mr. Seigley would be up to $2,050.00 upon receipt of invoices.
• Survey Letters:  Survey Letters will be sent with the September billing.

CLWSD Meeting Minutes – September 3, 2014

JPB Update

• VNP Comprehensive Plan: R. Scott was not present at the August JPB meeting and we are currently waiting for the minutes.
• State and Federal Grant Applications:  The District was awarded $1.5 million in Legacy Funds.  The JPB previously passed a motion that the entire amount of Legacy Funds was to be awarded to the CLWSD.

ESA Expansion & Management (Bear Island, Handberg Road)

• Sara Heger of the U of M attended the meeting via telephone for this portion of the meeting.
• Randy Jenniges, S.E.H. presented a budget with 3 objectives outlining funding sources (Legacy and Bonding funds plus matches) for each objective including the CAR and expansion work in the ESA.
• The Board discussed hiring a contractor to complete the CAR surveys for the entire ESA.  A motion was made by R. Scott, supported by B. Beste, to request a proposal for the CAR work from Jim Orton.  All voted in favor and the motion carried.
• Handberg Road Expansion:  Randy stating that talk had begun four years ago on the Handberg Road Expansion.  A motion was made by R. Scott, supported by B. Congdon, to approve S.E.H. to complete a feasibility study and start design work for the Handberg Road Extension.  There was discussion regarding doing an area land survey using LiDAR (aerial photography) vs. land surveying.  The Board agreed to keep the LiDAR option in the feasibility study. All voted in favor and the motion carried.

Sewer Freezing

• Corrective Action Plan:  Randy Jenniges provided the Board with background and proposed improvements based on the meeting he attended in August with the Board.  The improvements are divided into three categories:  Maintenance, Capital Improvements and Additional Water to the System.  Each category was reviewed with the Board requested that Randy provide pricing information for heat tapes and pigging/flushing stations at strategic locations.  A meeting will be scheduled to discuss the recommended modifications to the collection system to expedite completion this fall.
• Insurance Claim.  Information is being forwarded to the insurance adjustor as it is received.

Treatment Plant and Operations Report

• Terry Jackson provided a reported to the Board stating that final lab results for August are not in yet, but there is reason to believe that effluent limitations were maintained in August.
• The new Flyght recirculation pumps are working very well.
• Winterization of the plant will begin.
• The application for bio-solids application on our proposed site was denied by the MPCA.  Terry will now look into a site near Angora.
• The heaters in the plant need to be repaired before the winter season.
• The electrical panel schematic will be re-worked.

ESA Representative to the Board John Connaker requested that the pipe line to Bear Island expansion option be removed.  A motion was made by R. Scott, supported by B. Congdon, to remove ‘Do Nothing’ and ‘run a pipe under water to Bear Island’ as options for that area of the ESA.  All voted in favor and the motion carried. John requested that Brent Bystrom be added as his alternate as representative to the Board. A motion was made by R. Scott to add Brent Bystrom as the alternate ESA Representative to the Board.  The motion died for the lack of a second.

PUBLIC COMMENTS (5 Minute Limit):

There were comments regarding the need to expand the sewer, the quality of the water and the impact from Vermilion River runoff, and the high costs related to the Handberg Road extension vs. the sewer usage.

The meeting was adjourned at 10:15PM

Jo Ann Pohlman, Clerk

NEXT MEETING: BOARD OF MANAGERS’ MEETING – OCTOBER 1, 2014 – 7:30PM, FELLOWSHIP HALL

This draft of the CLWSD minutes has been posted solely for preliminary informational purposes.  Minutes are unofficial and subject to change until they have been approved by the CLWSD Board of Managers.