CRANE LAKE WATER & SANITARY DISTRICT (CLWSD)

BOARD OF MANAGERS’ REGULAR MEETING

December 2, 2009 – 7:30 P.M.

CRANE LAKE CHAPEL FELLOWSHIP HALL

The meeting was called to order by Chairman Rob Scott at 7:34P.M.

Members present:  Managers Bill Congdon, Darrell Scott and Rob Scott.

Members absent: Managers Dave Adams and Mark Anderson.

Also present:  Sewer Operator Terry Jackson and Anne Jackson, Sewer Maintenance Worker Jim Pohlman, Clerk/Treasurer Jo Ann Pohlman and a representative from the Cook News-Herald.

BUSINESS:

Minutes:  A motion was made by B. Congdon, supported by D. Scott, to approve the minutes of the Board of Managers’ Regular Meeting of October 19, 2009. All voted in favor and the motion carried.

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

Treasurer’s Report:  Clerk/Treasurer J. Pohlman reviewed the Treasurer’s Report. October & November payroll expenses were as follows: Administrative – $620.39 & $627.89 and Operations – $1,606.64 & $1,351.64. The September and October 2009 financial statements were presented to the Board.  The District books were reviewed by Jennifer Hanson-Goulet of Glorvigen for the 3^rd Quarter.  Current balances were reviewed.  The Board discussed the levy (see below under Admin).  A motion was made by B. Congdon, supported by D. Scott, to approve the Treasurer’s report as presented and the payment of bills as follows:  Administrative:  Costin Group – $1,000.00 & $1,000.00; Fryberger, et al – $1,825.05, $688.50 & $828.00; American Express – $255.43; Cook’s North Country Floral – $85.16; Frontier – $87.53; LMCIT – $88.00; Postmaster – $25.00; Terry’s Operational Services – $8.56 and Crane Lake Chapel – $80.00. Operations:  Lake Country Power – $255.35, $85.81, $21.38, $21.38, $648.53, $91.38, $21.38 & $21.38; Gopher State One Call – $4.35; Hawkins – $1,081.91; Automatic Systems Co. – $325.70; Brandau Plumbing – $244.91; Frontier $100.24 & $43.47; LMCIT – $892.00; Rutchasky Enterprises – $1,885.00, Ely Utilities – $540.00; NTS – $234.75 and Terry’s Operational Services – $1,116.00 & $1,116.00.  All voted in favor and the motion carried.

The Board did not approve the quarterly transfer of $4,000 from the Operations Fund to the Debt Service Fund.  The Board did not approve the annual transfer of $7,500 from the Operations Fund to the Capital Reserve Fund.  Transfers are only made if there are excess funds available in the Operations Fund.

Capital Reserve Fund:  A motion was made by B. Congdon, supported by D. Scott to approve transfer of funds from Capital Reserve Savings to Capital Reserve Checking for recirculation pump replacement at the plant. All voted in favor and the motion carried.

Administration

• Delinquent Accounts:  A motion was made by B. Congdon, supported by D. Scott, to adopt Resolution No. 2009-01 certifying unpaid and delinquent charges of benefited property owners to the St. Louis County Auditor for collection as other taxes are collected as listed on Exhibit A.  All voted in favor and the motion carried.
• T. Jackson Contract Renewal:  A motion was made by B. Congdon, supported by D. Scott to renew the Contract Agreement between Wastewater Treatment Operator, Terry Jackson and the CLWSD for 2010. All voted in favor and the motion carried.
• Budget/Levy Review:  The Board reviewed updated information provided by the Clerk/Treasurer.  A motion was made by B. Congdon, supported by D. Scott to increase the previously approved levy amount of $40,000 to $55,000.  All voted in favor and the motion carried.

Legal Issues

• VLD EDU’s:  R. Scott stated that the discussion of previous payments for EDU’s is ongoing.  A request by VLD’s attorney for the District’s attorney information has been sent to VLD with the understanding that any questions VLD’s attorney should have would be directed to the Board.
• Freezing:  Work continues with the litigator.

CLWSD Meeting Minutes – December 2, 2009

USDA-RD Debt Service Update

• A proposal was received from USDA-RD to re-amortize the District loan at a lower interest rate on new terms.  The interest rate offer decreased the current rate from 4.125% to 2.5% over 39 years.  The Board discussed the option with the decision to continue the pursuit of other options with the assistance of The Costin Group.  A motion was made by B. Congdon, supported by D. Scott to decline the offer proposed by USDA-RD.  All voted in favor and the motion carried.

JPA Update

• The monthly meeting of the Namakan Basin Joint Powers Board (JPB) was held at the Cook Land Department on October 22, 2009.  Julie Kennedy of S.E.H. Engineering provided an update on the JPB Comprehensive Plan. 680 surveys had been mailed with 120 responses received to date.  The JPB approved incorporation of an improved definition of project goals and improved explanations on handling existing systems, new systems and future systems in the JPB Comprehensive Plan. The S.E.H. website has a question and answer section, as well as a project report update section. The VNP Clean Waters Joint Powers Board (VNP Clean Water JPB) Organizational Meeting followed. Officers will be:  Koochiching Commissioner Wade Pavleck – Chair, Commissioner Mike Forsman – Vice Chair, and Commissioner Keith Nelson – Secretary. An Advisory Board made up of the members from the Namakan Basin JPB plus a representative from Koochiching County was established.  S.E.H. was requested to review and modify all funding requests to change as required to reflect the VNP Clean Water JPB as the requesting entity.  Next meeting will be held on December 3, 2009.

Collection System

• Corrective Action Status:  The recommendations by Don Lutch of S.E.H. have been completed. The three redundant air relief valves have been removed, manhole risers are installed, bag insulation has been placed in appropriate manholes and hay has been placed on grinder stations.  Dips & ruts have been filled in with Class V on the Gold Coast Road beyond Voyagaire.  Work on the road will continue in the spring.
• VLD Pump Removal Plan: The grinder stations will be removed this fall.
• I&I Corrective Action Status:  T. Jackson located a bulkhead fitting for the tanks that he prefers to the one presented previously.  Don Lutch will be contacted for approval.  Corrective action will begin in the spring.

Treatment Plant and Operations Report

• Terry Jackson reported that all State and Federal effluent limitations were met during the months of October and November.  T. Jackson has concerns about the organic strength of the wastewater and will continue researching options.
• Sludge samples were sent to NTS for analysis with good results.
• The Biosolids Annual Report for cropping year, September 2008 through August 2009 was submitted to the MPCA.
• The plant has been winterized for the season.
• Gopher State One Call Backup:  T. Jackson located a company willing to respond to Gopher State One Call locate requests.  A motion was made by R. Scott, supported by B. Congdon for Terry Jackson to contact Dennis Peterson of City Lights to submit a proposal for providing locate service.  All voted in favor and the motion carried.
• Recirculation Pump Replacement:  T. Jackson provided three options for pump replacement: 1.  Quality Flow –KSB Sewabloc Dry Pit Pump – $7,990.00, delivery 3 months, standard 1-year warranty (This pump has not been reliable for us).  2.  Braun Pump and Controls – ABS Dry Pit Submersible Pump – $11,693.00, delivery 3 weeks, 5-year non-prorated warranty – $519.00.  3.  Electric Pump – Criswold Close Coupled ANSI Centrifugal Pump – $15,494.23, delivery 2-3 weeks, additional $1,000 to extend warranty to a 5-year non-prorated warranty.  A motion was made by B. Congdon, supported by R. Scott authorizing T. Jackson to purchase the Braun pump.  All voted in favor and the motion carried.

PUBLIC COMMENT (5 Minute Limit)  There were none.

The meeting was adjourned at 8:45

Jo Ann Pohlman, Clerk

NEXT MEETING:  JANUARY 6, 2010, 7:30PM, CRANE LAKE CHAPEL 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.