Public Comment: 

            No members of the public were present. It was noted there has been no public comment.

Treasurer’s Report

             Disbursements: The Trustees reviewed weekly reports on disbursements for the preceding month. Payroll and payables disbursements have been issued on consecutively numbered instruments, and all vendors receiving payment were identified. Disbursements unusual in amount or purpose were discussed. Weekly warrants for general disbursements have been signed by the General Manager.

 Water Street Pump Station:  Proposed Boathouse

            Douglas Richmond, representing Merrymeeting Rowing Club, joined the meeting. Chair Priest excused himself from this portion of the meeting due to a possible conflict of interest by association, relinquished control of the meeting to Vice Chair Boochever, and left the premises. Mr. Richmond noted he is in attendance to determine whether agreement is possible on siting a boathouse to serve the Rowing Club on District property at the Water Street Pump Station.
            Mr. Richmond reviewed with the remaining Trustees issues listed in his letter dated 06 January 2010. These include the size and orientation of the proposed boathouse, minimum length of lease and rental rate; water, sewer, and power service; permitting; paving, fencing, gating, and security; and maintenance of the facility. Consensus on these issues is necessary to allow funding to be sought and approvals to be obtained.
            At the conclusion of discussion, it was consensus of the Trustees present that agreement with the Rowing Club is possible, with the understanding that the Club is a registered not-for-profit corporation and that it is to be responsible for all expenses relating to the project. Mr. Richmond agreed to prepare changes to his letter reflecting discussion of a possible boundary survey, applicability of the District Entrance Charge Program, and utility services installed below grade. A revised letter will be re-submitted for consideration by the Board for action at its February meeting. The Trustees thanked Mr. Richmond and he departed the meeting at 7:37 p.m.

Report on Bath Road Sewer Extension Revenues

Independent Audit of District Financial Operations at 31 December 2009

              The Finance Manager reported that preparation is underway for the annual independent audit of District financial operations at 31 December 2009. Representatives of the audit firm Runyon Kersteen Ouellette will be on site for several days during the week of 25 January 2010. Draft statements and accompanying reports are typically reviewed with the Board at the March meeting, when Board action is taken on recommended changes in financial reserve amounts. Final statements, reports, and analysis are subsequently presented at the April meeting.

Approved 2010 Operation Budget

               The Finance Manager reported that the 2010 operations budget adopted at the December Board meeting has now been published. Trustee copies have been inserted in the documents handbooks.

Donated Assets Listing

                The Trustees were provided with a report on wastewater facilities projected to be accepted by the District in 2010. The report details the location, length, age, and asset value of facilities in nine separate areas. Asset values of these facilities have been incorporated in the 2010 budget in order to make financial data reported throughout the year more meaningful.                

Monthly Report of Operations

                The Trustees heard a report on results of effluent mercury testing. The report provides the results of testing performed from 2003 through 2009 in tabular and graphed form. As required by the District’s MePDES discharge permit, samples were taken quarterly. Test results ranged between 12.50 and 23.30 parts per trillion. The running average concentration, a measure of improvement over time, has continued to fall to the current 39.5 ppt, down from 53.6 ppt in 2003.

Appointment of District Legal Counsel

            The Trustees considered their annual action to appoint counsel to serve the legal needs of the District. Counsel in recent years has been provided by John Moncure of Moncure & Barnicle, with assistance from Richard L. Hornbeck, also with the firm. The General Manager has been in contact with counsel to confirm their desire to continue to serve. He recommended retaining current counsel.

            IT WAS MOVED BY TRUSTEE BARBOUR, SECONDED BY TRUSTEE GREEN, AND UNANIMOUSLY VOTED BY THE TRUSTEES PRESENT TO APPOINT THE FIRM OF MONCURE & BARNICLE AS LEGAL COUNSEL TO THE DISTRICT FOR 2010, PROVIDED THAT THE GENERAL MANAGER MAY REFER SPECIFIC QUESTIONS ELSEWHERE AS HE DEEMS IN THE BEST INTERESTS OF THE DISTRICT.

Review of Schedule of Rates

            The Trustees returned to a discussion of user rates. They reviewed several related documents including a graphic representation of the relationship between revenues and expenditures, a report on revenue yield, and a typical timetable for a rate change. Financial condition was noted to change very quickly as a consequence of simultaneously increasing expenditures and decreasing value of revenues. Circumstances unique to a particular year, in the form of either additional cost centers or reductions in revenue or other income, can significantly exacerbate this problem. As general guidance, a one percent increase in user rates, once fully implemented, is estimated to yield an additional $20,000 to $26,000 per year in revenue. The rate-change process typically takes three months to institute and an additional four months for proceeds of the increase to materialize.
            The Trustees discussed the District program of financial reserves, their purposes, and amounts, as well as the recent history of changes in reserves. The expected decline in revenues from U. S. government sources was also discussed. Trustee Green reiterated his concern over what he sees as the need for a rate change this year. The nature of the appropriate relationship between financial reserves and rate-setting was also considered. At the conclusion of their discussion, it was consensus of the Board that the topics of user rates and rate change receive further consideration in future meetings.

            Chair Priest and Trustee Barbour concurred that there was nothing further to report at this time.

General Manager's Report 

            The Finance Manager reported on the four-day workweek being followed by Administrative Division employees. She noted that the new schedule is working very well, is popular with the employees, and has generated very little comment by the public.

           Chair Priest thanked the Trustees for their assistance and remarked on a recent report by the Maine Department of Environmental Protection that found trace concentrations of pharmaceutical residuals in leachate from several area solid-waste landfills. The fate of used and unused pharmaceuticals will be among the topics considered by the Legislature in the current session.

Adjournment    

There being no further business before the Board,

            IT WAS MOVED BY TRUSTEE BOOCHEVER, SECONDED BY TRUSTEE BARBOUR, AND UNANIMOUSLY VOTED BY THE TRUSTEES TO ADJOURN THE MEETING AT 9:10 P.M.