CRANE LAKE WATER & SANITARY DISTRICT (CLWSD)

BOARD OF MANAGERS’ REGULAR MEETING

May 2, 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, Jim Pohlman of NTS, Laurie Brown of the U of M Extension Service, Clerk/Treasurer Jo Ann Pohlman, representatives from the Cook News-Herald and Voyageur Sentinel, and 5 members of the community.

BUSINESS:

Opening Comments:  Chairman R. Scott welcomed Laurie Brown of the U of M Extension Service as a participant in the ESA portion of the meeting.

A motion was made by D. Scott, supported by B. Congdon, to approve the minutes of the Regular Meeting of April 4, 2007. All voted in favor and the motion carried.

The correspondence was presented to the Board.  A motion was made by M. White, supported by D. Adams, that the correspondence be placed on file and acted upon as required.  All voted in favor and the motion carried.  R Scott noted to the Board that they could contact the Clerk if they needed copies of any correspondence.  Mr. Scott stated that a number of letters received had requested that they be read at the meeting and commented that legal council had advised that the Board is not required to read letters aloud at the meetings; they must be listed as letters received under correspondence.  Mr. Scott asked if anyone would like to make a motion to read aloud the letters presented.  No motion was made.

Clerk/Treasurer J. Pohlman presented the March 2007 Financial reports as reviewed by the Glorvigen accounting firm.  The reports were reviewed with the Board. J. Pohlman stated that the Border State Bank account would be closed soon.  A motion was made by B. Congdon, supported by D. Scott to approve the Treasurer’s Report as presented.  All voted in favor and the motion carried.  Invoices on Hand were presented for payment as follows: Administrative: Glorvigen – $250.00 and Costin Group – $750.00.  Operations:  Lake Country Power – $75.02 & $1,138.38; NTS – $3,813.75; MPCA – $505.00; Voyagaire – $83.18; Quality Flow – $3,181.03; and A-1 Services – $160.00. Project: Cope & Peterson – $545.00.  A motion was made by M. White, supported by B. Congdon, to approve the payment of invoices as presented.   All voted in favor and the motion carried.

Administration

• I.S.T.S. Grant:  A letter was sent to Jim Anderson of the MPCA submitting Esget’s invoices to date on their ISTS project for reimbursement.  The question regarding grant extension was asked.  No response has been received.
• Emergency Response Plan (ERP):  RLK & NTS are reviewing the ERP to include the recent updates to the plant.
• 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.
• Billing Volume Adjustments:  Due to the freezing issue, volume use will continue to be adjusted for billing purposes for the April usage.
• NTS Contract:  A letter was received from NTS informing the Board that they would not be renewing their contract with the District on June 30, 2007.  The Board discussed their options; which included, renegotiating with NTS, hiring a Class C operator for operations and RLK for maintenance, and researching other operating firms.  There is the possibility of contracting with an area community for help.  A motion was made by D. Adams, supported by B. Congdon, approving R. Scott’s pursuing negotiations with NTS, working with RLK on a possible solution, and setting up short-term support, if needed.  All voted in favor and the motion carried.
• MRW Workshop:  A motion was made by B. Congdon, supported by D. Adams, to approve expenses for Mike White to attend the rate related workshop in St. Cloud.  All voted in favor and the motion carried.

CLWSD Meeting Minutes – May 2, 2007

Financial (EFG, Costin, RLK)

• Grant Funds: Gary Cerkvenik of the Costin Group continues to pursue grant funds for the ESA project.
• RD Loan Relief:  RLK has prepared a draft letter to Rural Development requesting loan relief.
• Clean Air Act:  State Representative Dill will continue to address this funding issue, which is considered in even numbered years.

Legal Issues (MFS, EFG, RLK)

• A phone conference meeting was held by John Jamnick, Mary Frances Skala and Rob Scott to review Initial vs. Modification Hook-up procedures.  Points that were considered:  Modification to grinders currently installed up to capacity; Modification to grinders currently installed that exceed capacity; and New hook-ups. Scott Harder’s input has been requested.
• Letters were sent to residential property owners with possible EDU increases following Board approval on the EDU Equivalency Values.  Responses have been received from several.  A review will also be made of commercial EDU’s.

Sewer Freezing Issue Review and Elevated Pump Readings (NTS, RLK)

• Thawing Process:  John Jamnick reviewed the progress thus far.  Bayside Drive was operational by mid-April; Hilltop Road opened up on its own prior to organizing the digging procedure; North Gold Coast Road is open; Bowser Court is not.  Work will continue.
• Permanent Fix:  J. Jamnick presented a draft handout to the Board for consideration.  R. Scott requested expansion on the plan to include three areas:  Hardware, Operations, and an Emergency Plan should freezing reoccur.
• Installation Specifications:  The Board will need answers on why the freeze occurred.

Eastern Service Area Update (U of M, RLK, NTS)

• The Board discussed the use of grant monies that may be received.  Questions raised were; what oversight would be required on the use of the monies; what if the project exceeded the amount of the grant; who would pay the premium cost for barging; and what consideration would be given to properties with new systems?
• Laurie Brown questioned why Gary Cerkvenik’s paper emphasized barging with no mention of expanding the pipe.
• L. Brown said that a new contract would be coming from the U of M Extension Service.  She also reminded the Board of the upcoming North Shore Management Board Wastewater Management Forum on May 10^th and the MRW Water & Sewer Rates Workshop on May 15^th.
• L. Brown asked if the Board had thought about the direction for the Advisory Committee or if the USFS or Ottertail had been contacted.
• R. Scott stated that Gary Cerkvenik would need clarification of the needs of the District, tasking for the Advisory Committee needed to be determined, and ranking of the ESA needed to take place.

RLK Engineering Status (RLK)

• Hoff Easement:   Easement needs to be recorded.
• Pine Point Modifications:  RLK is working with the Erickson’s on their modifications.
• Lake Shore Estates Modifications:  No further information on modification has been received since March.
• DeFries Tank:  Correction work will be done when the ground thaws.

• Punch List:  Items remaining will be addressed by RLK.  J. Jamnick will communicate with Mike Seigley on the punch list items related to his property.

Operations Report (NTS)

• Jim Pohlman reported that all discharge standards were met for the month with no bypasses or overflows. Work continues in the frozen areas.  Grinders and rails are being checked to be sure they are in working order.
• Quality Flow Cost Proposal:  Quality Flow’s cost proposal for lift station calibration is still being considered.
• An email will be sent to all Board members asking them to review all ongoing projects for completion prior to June 30^th when the NTS contract ends.

CLWSD Meeting Minutes – May 2, 2007

PUBLIC COMMENT (5 Minute Limit)

Dave Beckmann requested a donation for the use of the groomer garage by NTS and the District during the thawing process.  A motion was made by D. Adams, supported by B. Congdon to donate $200 for use of the groomer garage.  All voted in favor and the motion carried.

Charlotte Bystrom stated that they, as well as others, had recently put in new sewer systems with the understanding that there would not be a pipe extension down Handberg Road.  What consideration will be made for those new systems?  R. Scott responded that existing systems would need to be considered when determining if or if not the pipe would be extended.

Jeff Sanborn stated that the consensus of the public is that it appears that the Board is getting a grant to put in a pipe line and is not considering the Advisory Committee’s recommendations.  He suggested that the Board disseminate information on the direction they are taking to the public.

The meeting was adjourned at 9:05PM.

J. Pohlman, Clerk

NEXT MEETING:  REGULAR MEETING, JUNE 6, 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.