BRUNSWICK SEWER DISTRICT

 

Board of Trustees Regular Monthly Meeting

Approved Minutes

16 March 2009

 

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Call to Order

        The regular monthly meeting of the Board of Trustees of the Brunswick Sewer District was called to order by Chair Priest at 6:34 p.m. on Monday, 16 March 2009, in the conference room at District offices. Notice of the meeting was advertised in the 13 March 2009 edition of the Times Record. A prepared agenda was noted and the meeting was recorded.

        Members present: Chair Priest, Trustees Boochever, Green and Schwindt.

        Others present: General Manager McVey; Assistant General Manager Blanchette; Finance Manager Nuttelman; camera operator Hedy Blauvelt.

Minutes of Previous Meeting(s)

        The Trustees reviewed minutes of the 16 February 2009 regular Board meeting.

        IT WAS MOVED BY TRUSTEE GREEN, SECONDED BY TRUSTEE SCHWINDT, AND UNANIMOUSLY VOTED BY THE TRUSTEES PRESENT, WITH TRUSTEES BOOCHEVER ABSTAINING, TO ACCEPT AS PRESENTED MINUTES OF THE 16 FEBRUARY 2009 REGULAR MEETING OF THE BOARD OF TRUSTEES.

Public Comment:  There was none noted, and no members of the public were present.

Treasurer’s Report

         Financial:  Board Treasurer Green reported that he has examined unaudited financial statements at 28 February 2009, prepared by District staff. A copy of the Variance Analysis is included in these minutes and adopted by reference. The Finance Manager explained the accounting means by which developer-constructed facilities are accepted by the District. The Trustees reviewed revenues and expenditures and discussed interest earned on investments in certificates of deposit and trust accounts. The Trustees also discussed aged receivables. Collection efforts were reported to be current.

        Disbursements:  The Trustees reviewed weekly reports on disbursements for the preceding month. Payroll and payables disbursements were noted to have been issued on consecutively numbered checks, 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.

        Commitments:  IT WAS MOVED BY TRUSTEE SCHWINDT, SECONDED BY TRUSTEE BOOCHEVER, AND VOTED BY THE TRUSTEES PRESENT, WITH THE TREASURER ABSTAINING, TO COMMIT TO THE TREASURER FOR COLLECTION RATES FOR THE PERIOD 01 APRIL 2009 THROUGH 30 JUNE 2009, IN ACCORDANCE WITH PROVISIONS OF THE DISTRICT CHARTER, BY-LAWS, RULES & REGULATIONS, AND SCHEDULE OF RATES, AS COMPUTED AND SET FORTH IN THE ACCOUNTS ON FILE AT THE OFFICES OF THE BRUNSWICK SEWER DISTRICT.

General Manager's Report

        Annual reports to MeDEP and USEPA on sludge utilization by the District in 2008 have been submitted. The reports were prepared by the Assistant General Manager and are available to anyone interested.

         At the General Manager’s request, attorneys for the District have provided recommendations for changes to the District Lien Acquired Property Policy. The Policy was last reviewed in 2007. Copies of the Attorney’s recommendations and the proposed policy changes were provided. Proposed changes will be presented for Board consideration at the April meeting.

         The Town of Brunswick has announced plans to construct improvements to storm drains serving Maine Street between Bath Road and Richards Drive. The work will require relocation of some District sewer pipe, and Town officials have advised, based on the advice of counsel, that the District will be responsible for the cost of this re-location. District costs are not expected to exceed $5,000.

          The Brunswick Topsham Water District has given notice of a new potable water rate filing before the Public Utilities Commission. The new rate, if approved, is expected to provide that District with an average of 13% in new revenues across six customer categories.

Petition for Relief from Sewer Use Billing:  White, 4 Oakland Street

            The Trustees considered the petition of Jeanne White for relief from sewer use billing at 4 Oakland Street. Details of the petition were provided in a letter dated 02 March 2009. Water use that has averaged 600 – 900 cf per quarter was reported as 17,200 cf for the billing quarter ending 03 February 2009. The unusually high consumption was caused by a heating furnace failure that led to a burst water pipe. The petition states that none of the water use resulting from the burst pipe was returned to the sewer. Following discussion,

            IT WAS MOVED BY TRUSTEE GREEN, SECONDED BY TRUSTEE BOOCHEVER, AND UNANIMOUSLY VOTED BY THE TRUSTEES PRESENT TO ADJUST SEWER USE BILLING FOR PROPERTY AT 4 OAKLAND STREET TO THE MINIMUM CHARGE OF $33.60 FOR THE BILLING QUARTER ENDING 05 FEBRUARY 2009, IN KEEPING WITH PROVISIONS OF THE DISTRICT ADJUSTMENT POLICY AND THE HISTORICAL RECORD OF CONSUMPTION FOR THE PROPERTY.

Petition for Relief from Sewer Use Billing:  Dow, 6 Pepperberry Path

            The Trustees considered the petition of Irene Dow for relief from sewer use billing at 6 Pepperberry Path. Details of the petition were provided in a letter dated 03 March 2009. Water use that has averaged 500 – 700 cf per quarter was reported as 7,700 cf for the billing quarter ending 12 February 2009. The unusually high consumption was the result of a malfunction in a toilet valve while the home was unoccupied for the winter.
            In discussing the merits of the petition, it was noted that, due to the nature of the failure, all of the water used was returned to the sewer and treated by the District.

            IT WAS MOVED BY TRUSTEE BOOCHEVER AND SECONDED BY TRUSTEE PRIEST TO ADJUST SEWER USE BILLING FOR PROPERTY AT 6 PEPPERBERRY PATH TO ONE-HALF OF THAT FOR WATER ACTUALLY CONSUMED. TRUSTEES BOOCHEVER AND PRIEST VOTED IN FAVOR OF THE MOTION; TRUSTEES GREEN AND SCHWINDT VOTED AGAINST. ON A TWO IN FAVOR AND TWO AGAINST VOTE, THE MOTION TO ADJUST SEWER USE BILLING FAILED.

            No further action was offered..

Monthly Report of Operations

            Total flow to the Treatment Plant for February 2009 was 61.049 mg, down approximately 19% from the previous month. Flows of 8.4 and 6.7 mg for the month originated with Topsham and the Navy Base, respectively. Average daily flow for the period was 2.18 mgd, 57% of that allowed by permit. Maximum daily flow processed was 2.77 mg, which occurred on 28 February 2009. Rainfall for the month totaled 2.7 inches, with a daily maximum of 0.72 inches on 19 February 2009.
            Septage receiving for the period totaled just 23,500 gallons, down 13% from the previous month, but not unusual for this time of year. Removal rates for BOD and TSS for the period were 93.5% and 89.6%, respectively, in compliance with the minimum 85% required for each parameter by permit. A total of 164 cy of sludge was produced and trucked for later application to agricultural fields. There were no bypasses or spills of plant flow. All flow received at the plant received full treatment, and all permit requirements were met.

Independent Audit of Financial Operations:  2008

            The Finance Manager reported that field work by representatives of Runyon Kersteen Ouellette on the annual independent professional audit of District financial operations is now complete. Questions that typically surface during an audit of this type were fielded by District staff. No unusual difficulties have been encountered to this point.
            Draft financial statements will be completed for review by District management and subsequent presentation by staff to the Board at its April meeting. Following determination by the Board of financial reserve account balances at 31 December 2008, final audited financial statements will be presented by the Auditors at the May Board meeting.

Report on Audited Financial Values

           The Trustees reviewed a report tabulating audited values for a number of financial parameters stated over the period 2000 through 2007. The report allows evaluation of changes in reported values over time.

Federal Economic Stimulus Funding 

             The Trustees heard a report by the General Manager on progress toward a project to take advantage of federal economic stimulus funds. Project components have progressed to date as planned. Word was received late on Friday, 13 March 2009, however, that the District’s project was not among those selected for funding.
            With approximately $340 million of wastewater improvement projects applying, a total of $30 million of federal economic stimulus funds was made available. Projects were selected for stimulus funding on the basis of their potential for water quality improvement. Given the degree to which wastewater control has evolved to date in Brunswick, the District was not able to offer any such projects in a way that would be competitive with communities statewide that have been less progressive in their pursuit.

             Of 18 items included in the District’s project, five will be done without stimulus funding using budgeted resources, two will likely be recommended as appropriate for funding by use of District financial reserves, two will be planned for future construction, and nine will be deferred to a time when resources are available. Deferment of project items poses no unusual risks to the District’s ability to meet its mission. The value of work on project items developed to date will not diminish as a result of their being g g deferred.d.d.
             The project was to have been underwritten by proceeds of a new bond issue. The General Manager will recommend that the bond authorization process be completed, on the chance that stimulus or other funding support is made available in the future.

  Resolution Authorizing Sewer Bonds       

            The Trustees considered a resolution authorizing issue of new sewer bonds. The resolution was prepared by Bond Counsel as a means to underwrite construction or acquisition of items included in the District economic stimulus program. The resolution is being considered toward the possibility that subsidized funding for the District stimulus project may in the future become available. The issue of new debt contemplated in the resolution is in all respects in keeping with District Charter and other statutory requirements.
             A portion of the resolution describing the purpose of the bonds and use of bond proceeds was read into the record. The resolution sets principal, interest, and term limits of $2,250,000, 5%, and 40 years, respectively. Reading of the remainder of the resolution was suspended by the Chair without objection by the Trustees, provided that the full resolution is to be attached to and made a part of the minutes of the meeting. Following brief discussion,

            IT WAS MOVED BY TRUSTEE BOOCHEVER, SECONDED BY TRUSTEE GREEN, AND UNANIMOUSLY VOTED BY THE TRUSTEES PRESENT TO ADOPT THE BOARD OF TRUSTEES RESOLUTION DATED 16 MARCH 2009 AUTHORIZING SEWER BONDS IN AN AMOUNT NOT TO EXCEED $2,250,000.

 Stimulus Project Authorized Representative

            At the request of the General Manager, toward the possibility that subsidized funding for the District stimulus project may in the future become available,

      IT WAS MOVED BY TRUSTEE SCHWINDT, SECONDED BY TRUSTEE GREEN, AND UNANIMOUSLY VOTED BY THE TRUSTEES PRESENT, TO DESIGNATE THE GENERAL MANAGER AS AUTHORIZED DISTRICT REPRESENTATIVE IN COORDINATING DEVELOPMENT OF A LOAN AGREEMENT WITH THE MAINE MUNICIPAL BOND BANK, IN THE PRINCIPAL AMOUNT NOT TO EXCEED $ 2.25 MILLION, PROCEEDS OF WHICH MAY BE USED IN SUPPORT OF THE PLANNED DISTRICT 2009 ECONOMIC STIMULUS PROJECT, TO BE AMORTIZED OVER THE MAXIMUM PERMISSIBLE PERIOD; AND AUTHORIZING ALL OFFICERS OF THE BOARD OF TRUSTEES TO ACT EACH IN THEIR ELECTED CAPACITY AS DESCRIBED IN THE DISTRICT CHARTER AND BY-LAWS, WITH REGARD TO THE ISSUE OF DISTRICT BONDS AS COLLATERAL FOR THE LOAN AND THE EXECUTION OF THE LOAN AGREEMENT.

District Goals

            The Trustees reviewed organization goals set for 2008 and considered goals for the current year. After discussion of the possible goals for 2009, it was consensus of the Trustees that issues targeted for attention during 2008 continue to be of interest. The General Manager was directed to present a compilation of possible goals for Board review at the next meeting.


Schedule of Upcoming Meetings, Events, etc.

  Special District Monday 30 March 2009 6:30 p.m.    
  Trustees Regular Monday 13 April 2009 6:30 p.m.    
  Trustees Regular Monday 09 May 2009 6:30 p.m.    
  Trustees Regular Monday 15 June 2009 6:30 p.m.

Remarks from the Chair:

         Chair Priest thanked the Trustees for their assistance.

Adjournment

         There being no further business before the Board,

        IT WAS MOVED BY TRUSTEE GREEN, SECONDED BY TRUSTEE BOOCHEVER, AND UNANIMOUSLY VOTED BY THE TRUSTEES PRESENT TO ADJOURN THE MEETING AT 9:32 P.M.

Attest,

         Peter F. Schwindt
         Trustee Clerk, Board of Trustees
 

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