1. Call to Order
The regular meeting of the Board of Directors of Bartonville Water Supply Corporation was called to order by President Paulson at 7:07 P.M. on Monday, March 12, 2001 at the corporation office.
Directors in Attendance
Michael Paulson, President
Scott Kilpatrick, Vice-President
Larry Kaufman, Secretary-Treasurer
Carla Anderson, Director
Duane Johnson, Director
Directors Absent
Kevin Alberts
Dale Mutschler
Consultants in Attendance
Vickie Brouse, CPA, Ken Hughes & Associates, PC
Wayne Ginn, PE, The Ginn CorporationStaff in Attendance
Jim Leggieri, General Manager
Betty Robertson, AdministratorPublic in Attendance
No one was present.
6. Discussion and Action on the Draft of the 2000 Audit Report. Brouse reviewed the Draft of the 2000 Audit Report and responded to inquiries and proposals from the Directors. Kilpatrick requested Leggieri to contact TRWA concerning a possible tax issue with the release of a portion of the CCN.
Paulson requested that Johnson and Kaufman meet with Brouse, Leggieri, and Phillips when the tax issue is discussed. The management letter was reviewed and discussed. Motion by Kaufman and second by Kilpatrick to accept the 2000 Audit Report. Motion carried unanimously.
2. Executive Session At 8:11 P.M., President Paulson announced that the Board would convene in Executive Session Pursuant to Government Code, Section 551.072 concerning:
A. All Matters Regarding Acquisition of Property for Future Pump Station/ Point of Delivery.
B. All Matters Related to Modification of BWSC's CCN Boundary. The Board took no action and reconvened in open session at 8:42 P.M.
3. Public Forum
No one was present.
CONSENT AGENDA
5. Approve the February 2001 Disbursements and Financial Reports.
Kaufman requested that Item 5 be pulled and held until the next meeting.
4. Approve the Minutes of the Minutes of the February 19, 2001 Board Meeting.
Motion by Kilpatrick and second by Anderson to approve the Minutes of the February 19, 2001 meeting. Motion approved unanimously.
ITEMS FOR INDIVIDUAL CONSIDERATION
7. Discussion and Action on the Reactivation of the Restricted Capital Expansion Fund for Future Capital Projects.
Motion by Kaufman and second by Kilpatrick to retroactively reactivate the restricted capital expansion fund for future capital projects beginning with January 2001. Motion approved unanimously.
8. Discussion and Action on the Selection of an Employee Health Plan.
Following discussion on the five alternatives for health coverage for employees, motion by Johnson and second by Kaufman to approve Alternative 2. Motion approved unanimously. The Directors requested the staff to provide more advance information before they make a decision in 2002 regarding employee health coverage.
9. Discussion and Action on the Pro Rata Refund Agreement with Zena Development for the Off Site Water Main to Saddlebrook Estates.
Leggieri reviewed the history and the reason for over sizing the line to provide service to Saddlebook Estates from the required 8 inch water line to a 16 inch water line. He noted that the 16 inch line not only provides adequate service to Saddlebrook Estates, but it also provides additional capacity for future growth. He said at the time the line was over sized, Zena Development, the developers of Saddlebrook Estates, anticipated receiving a pro rata payment from the developers of the Rayzor property. Leggieri acknowledged that BWSC paid Zena for the over sizing of the line. He stated that now that the Lantana Project has applied to the Texas Commission on Environmental Qualty for a transfer of that portion of BWSC's Certificate of Convenience and Necessity to provide its own water service, it will not pay any pro rata fees to Zena. He reported that now Zena, is soliciting assistance from BWSC for recovery of its cost for the 8 inch line.
Following discussion on this issue, it was the consensus of the Directors that no action should be taken at this time; however, when the TCEQ approves the transfer of a portion of BWSC's CCN to the Lantana Project, the issue will be discussed again. The Directors noted that according to BWSC's subdivision requirements, the corporation will collect and pay the required pro rata fees due from developers on the west side of FM 407.
10. Discussion and Action on Determining Methods of Identifying the Top 9% of Members/Customers and Educating Them in the Added Financial Burden on the Membership and to Also Determine Actions to Limit Additional Costs to this Group.
Johnson requested that this item be tabled until the next meeting as he thought discussion on this item would be lengthy
11.Discussion and Action on All Matters Regarding Acquisition of Property for Future Pump Station Site/UTRWD Point of Delivery.
No discussion or action was taken on this item.
12. Discussion and Action on All Matters Related to the Modification of BWSC's CCN.
No discussion or action was taken on this item.
13. Discussion and Action on Establishing a Completion Schedule for the Master Plan Update. Ginn suggested that a minimum of two workshops be scheduled with the Directors for discussion on the mater plan.
He stated that the first workshop should address the parameters of the projects, the sites, and costs. He noted the second workshop should address a financial model on how to pay for the projects. Ginn noted that the workshops should be scheduled sometime after the annual meeting so that any new directors can participate.
14. Staff Reports.
There were no additional reports.
15. Consultant Report.
There were no additional reports.
16. Review Future Agenda Items, Activities and Announcements, and Set The Date and Time of the April meeting.
The next regular meeting was set for April 9, 2001 immediately following the annual meeting at the Crossroads Bible Church. The regular May meeting was set for May 21, 2001 at the corporation office. A Master Plan Workshop was tentatively scheduled for Monday, April 23, 2001 at the corporation office.
The following items were requested to be on the May agenda:
(a) Item 10 that was tabled.
(b) The selection of a risk management proposal.
17. Adjournment
Motion by Kaufman and second by Kilpatrick to adjourn the meeting. Motion carried unanimously; the meeting adjourned at10:02 P.M.
Recorded by Betty Robertson, Deputy Secretary-Treasurer
Certified by Larry Kaufman, Secretary-Treasurer