CRANE LAKE WATER & SANITARY DISTRICT (CLWSD)
BOARD OF MANAGERS’ REGULAR MEETING
July 12, 2007 – 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 Dave Adams, Bill Congdon, Darrell Scott, Rob Scott and Mike White.
Members absent: None
Also present: John Jamnick of RLK-Kuusisto, Plant Operator Terry Jackson and Anne Jackson, Sewer Maintenance Worker Jim Pohlman, Clerk/Treasurer Jo Ann Pohlman, a representative from the Cook News-Herald and 6 members of the community.
Opening Comments: Chairman R. Scott stated that the meeting had been delayed by one week because the July meeting date fell on the 4th.
Mike White requested an addition to the Agenda. Proposal for Rates & Charges Review was added to Administration.
A motion was made by B. Congdon, supported by D. Scott, to approve the minutes of the Regular Meeting of June 6, 2007. All voted in favor and the motion carried.
The correspondence was presented to the Board. A motion was made by D. Adams, supported by B. Congdon, that the correspondence be placed on file and acted upon as required. Mike White stated that he had not received some of the correspondence presented. The Board requested that the Clerk send a list of correspondence received-to-date to the Board about one week prior to the meeting. All voted in favor and the motion carried.
Clerk/Treasurer J. Pohlman presented the May 2007 Financial Reports to the Board as reviewed by the Glorvigen accounting firm. The reports and invoices-on-hand were reviewed with the Board. A motion was made by D. Adams, supported by D. Scott, to approve the Treasurer’s Report as presented and the payment of bills as follows with the exception of unpaid invoices related to the freezing issue amounting to $82,112.24, which are being reviewed for insurance claim purposes. Administrative: Glorvigen – $100.00; CL Chapel – $180.00; Quill – $149.08; and Fryberger – $5,294.84. Operations: Lake Country Power – $62.89 & $1,276.35; NTS – $3,581.75 & $3,987.75; Hawkins – $715.50; One Call Concepts, Inc. – $1.45; A-1 Services – $1880.00; City of Virginia – $1,200.00; Lighthouse Power Systems – $901.24; and Quality Flow – $1,200.00. Project: Cope & Peterson – $138.00. All voted in favor and the motion carried.
- Increased Insurance Coverage: R. Scott will look into the necessity of main line coverage as well as the cost per grinder pump for coverage.
- Insurance Waiver: A motion was made by B. Congdon, supported by D. Scott to follow Fryberger’s recommendation of 2006 to sign the waiver stating that the District does not waive the monetary limits on municipal tort liability established by MN Statutes 466.04. All voted in favor and the motion carried.
- Emergency Response Plan (ERP): RLK & NTS are reviewing the ERP to include the recent updates to the plant. The MPCA agreed to delay submission of the report until August due to the operator changes of the District.
- Capital Asset Plan: Jennifer Hanson of the Glorvigen Accounting Firm will provide the plan upon comparison to the Duluth/North Shore Sanitary District’s plan, which she feels would be an appropriate model for the District to follow and which is being currently updated. She will communicate with the Duluth District again this week.
- North Shores Meeting Report: D. Adams and B. Congdon reported that the MPCA will have some new proposals for ISTS. The MPCA is recognizing that compliant ISTS’s are effective where well managed and that plants and pipe lines are not always the best answer for rural areas.
- Proposal for Rates & Charges Review: M. White stated that it is important to address the ongoing discussion on whether or not the current charges are fair and equitable as Ordinance #1 states they should be. M. White and B. Congdon attended a seminar in St. Cloud where Mr. Carl Brown was the speaker. M. White suggested that Mr. Brown should be contacted to submit a proposal to the Board for 2006 rate review. A motion was made by M. White, supported by B. Congdon, that the Board contact rate analyst Carl Brown requesting a proposal to review the District’s 2006 budget and rate data and submit a recommendation. Costs of the review would come from the Admin Fund. The Board discussed the motion and reworded the motion to request Carl Brown to present a proposal to include review of budgets, rates and other required data from 2004 to date and requested that the letter to Mr. Brown be copied to Scott Harder. All voted in favor and the motion carried.
CLWSD Meeting Minutes – July 12, 2007
Financial (EFG, Costin, RLK)
- RD Loan Relief: The USDA-Rural Development has indicated that they are not interested in working toward loan relief for the CLWSD but there are monies available for other projects. Our loan currently has an interest rate of 4.5%. There is a Farm Bill being considered that would include an interest rate down to 2% that would apply to our loan, should it pass. The new rate would be effective in 2008. The Board will request that Roger Clapp of RD provide this information to the Board in writing.
- Grant Funds: Gary Cerkvenik of the Costin Group continues to pursue grant funds for the ESA project. It is recommended that we do not change the wording of the request, but rather get the money first, before deciding how it will be used.
- ISTS Grant Funds: The Esget invoices have been submitted to the MPCA for ISTS Grant Fund reimbursement. The MPCA is willing to consider planning expenses for the ESA for ISTS Grant reimbursement. A list of possible invoices to be considered will be sent to John Jamnick for his review and addition of any other invoices that RLK may feel would qualify prior to sending them to the MPCA. The invoices must be dated prior to June 30, 2007.
- MPCA Funds: There are Corrective Actions Funds available from the MPCA. R. Scott and John Jamnick will continue to pursue this concept to see if there is possible application to the freezing issue.
Legal Issues (MFS, EFG, RLK)
- Ordinance #3: A revised draft of Ordinance #3 was received from Fryberger, Buchanan. The Board is currently reviewing the revisions.
- Seigley EDU Increase: A letter was received from Mr. Seigley requesting a meeting to discuss his EDU increase. A letter will be sent to Mr. Seigley stating that the Board will not be holding a Special Meeting for this issue, but that he may request to be on the agenda of a regular Board meeting or discuss the issue with any Board member.
- O & M Contracts: The contracts for the Wastewater Treatment Operator and the Sewer Maintenance Worker are near completion. Insurance issues need to be clarified.
Sewer Freezing Issue Review (RLK)
- Permanent Fix: J. Jamnick stated that the plan is in order. John Jamnick, Rob Scott, Dave Adams and Steve Michalski of Allied Adjusters will meet next week to finalize the plan.
- Elevated Pump Readings: There continues to be elevated pump readings at various properties that may or may not be related to the freezing issues of last winter. R. Scott requested that J. Jamnick look into these issues also. Documentation of elevated pump readings will be sent to all Board members.
Eastern Service Area Update (U of M, RLK)
- ESA Approach & Funding: Admin Funds have been used thus far for research and planning for the ESA. Receipt of grant funds could change how the project is approached.
- ESA AC: A motion was made by M. White, supported by B. Congdon, to review the action item list for the Advisory Committee and add other items. The Board will request that the Committee consider the ESA approach from where the District is now.
RLK Engineering Status (RLK)
- Hoff Easement: Easement work is complete.
- Punch List: The survey pins have been reset at the Seigley property. J. Jamnick will contact Mr. Seigley regarding the driveway issues.
- Lake Shore Estates Modifications: J. Jamnick received communication from Mr. Braatan stating that he wishes to proceed. J. Jamnick responded to Mr. Braaten stating that a request for modification would need to be sent to the Board. J. Jamnick does not have a recommendation for the Board until a request for modification has been received from Lake Shore Estates.
- DeFries Tank: Plans are in line to begin the correction work. Arrangements with a digging crew need to be made.
- WSA Expansion: The DNR will look at possibly providing funding for public restroom facilities for the Handberg Road boat landing. The DNR feels the boat landing is a number 1 priority for upgrades; they also indicated that the Park Service may be a source of funding because the DNR landing also serves the Park. A concept sketch and budget will be created by RLK for further consideration.
- Stahnke Connection: A letter was written to Ms. Stahnke in January regarding the connection of the warehouse/garage to her grinder as soon as the frost was gone in the spring. J. Jamnick will follow up on the progress of this issue.
CLWSD Meeting Minutes – July 12, 2007
RLK Engineering Status (RLK) (Cont.)
- S. McKie Drainpipe Damage: A letter was received from Mr. McKie regarding drainpipe damage that occurred as a result of excavation work following the first season that the sewer lines froze. J. Jamnick will discuss the issue with Mr. McKie.
- Jim Pohlman reported that all discharge standards were met for the month with no bypasses or overflows. A list of the grinder and rail replacements was supplied by NTS. Main lift station and effluent pump station annual maintenance was performed by NTS and Quality Flow. The wastewater treatment plant aluminum sulfate chemical feed pump was replaced. Emergency power systems annual maintenance requirements were completed. Biosolids were transferred to Virginia. Ten IPS pumps were repaired by Quality Flow. Scheduled preventive maintenance for May, June, July, August, September and part of October has been completed. System orientation and training for Terry Jackson was provided.
- Quality Flow Cost Proposal – Lift Station Calibration: Quality Flow and NTS performed lift station pumping evaluation with draw down testing and calculations. Everything was found to be within a reasonable range.
- New O & M Team: Terry Jackson thanked the Board for the opportunity to provide his services to the District as the new Plant Operator. He currently is the full time manager of the Ely water, sewer, and electric systems and has agreed to assist the District on a weekly basis. Jim Pohlman will continue to provide service to the District as the Sewer Maintenance Worker.
- NTS Punch List: Equipment and paid invoices are being reviewed to determine what belongs to the District and what belongs to NTS.
PUBLIC COMMENT (5 Minute Limit)
Stuart McKie discussed his drain tile damage with John Jamnick.
Mary McKie asked if there was a phone in the building for possible Public Comment during meetings.
Nancy Parvi asked when the grant proposal for the ESA would be reviewed. B. Congdon responded that it continues to be reviewed, could be dropped at any time, and should be determined by 2008.
Nancy Parvi asked if any more engineering planning had been done for the ESA. J.Jamnick answered that the current Preliminary Engineering Report included updated costs and the data from the Advisory Committee. She asked if the work had been a desk review and John responded that it had.
Nancy Parvi asked for a copy of the grant application, which will be provided.
Nancy Parvi asked for copies of the PER, which will be provided by RLK. It will also be provided on-line, if possible.
The meeting was adjourned at 9:25PM.
J. Pohlman, Clerk
NEXT MEETING: AUGUST 1, 2007, 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.