Minutes of the Bartonville Water Supply Corporation
Board of Directors Meeting
Monday, November 26, 2001
Bartonville Water Supply Corporation Office
1911 East Jeter Road
Bartonville, Texas 76226 

1. Call to Order.

The meeting of the Board of Directors of Bartonville Water Supply Corporation was called to order by President Paulson at 7:09 P.M. on Monday, November 26, 2001 at the corporation office, 1911 East Jeter Road, Bartonville, Texas.

Directors in Attendance
Michael Paulson, President
Duane Johnson, Vice-President
Larry Kaufman, Secretary-Treasurer
Kevin Alberts
Carla Anderson
Scott Kilpatrick
Dale Mutschler

Consultants in Attendance
Jennifer Drury, CPA
Wayne Ginn, PE

Staff in Attendance
Jim Leggieri, General Manager
Betty Robertson, Administrator

Others in Attendance
Becky Carlson

President Paulson stated that the first item for consideration would be Item 6 since Ms. Carlson was present.

 

6. Discussion and Action on All Matters Related to Ms. Becky Carlson's Request to Appear Before the Board Regarding Qualifications for a Catastrophic Water Loss Adjustment.

Drury explained that Ms. Carlson was granted an adjustment of $11,429.57 on her July bill because of a leak, and she has requested an adjustment for her $1,240.16 bill for August. Drury stated that the current policy states that a member/customer is entitled to only one adjustment in a twenty-four month period.

Ms. Carlson explained that she was requesting an additional adjustment because the sprinkler valve was clogged with dirt and stayed open as a result of the first leak; therefore, she requested that both leaks be considered as one issue.

The Directors explained that they would consider her request and make a decision at the next meeting.

 

2. Executive Session.

Paulson announced that the Board would convene in Executive Session at 7:31 P.M. concerning:

a. All Matters Related to the Approval/Release of a Portion of CCN #10197 to D.C.F.W. D. #7/Lantana Pursuant to Government Code, Section 551.072.
b. All Matters Related to the Acquisition of Real Property for a Future Pump Station Site Pursuant to Government Code, Section 551.072.
c. All Matters Related to Personnel Pursuant to Government Code, Section 551.074.

The Board took no action and reconvened in Open Session at 8:33 P.M.

 

3. Public Forum

No one was present.

CONSENT AGENDA

Motion by Johnson to approve the Consent Agenda with the correction of Item 7 of the minutes to read that the release of the designated portion of Bartonville Water Supply Corporation's Certificate of Convenience and Necessity #10197 was subject to the terms of the contract with Denton County Fresh Water District #7/Lantana. Kaufman made the second. Motion approved unanimously. The two items approved were:

 

4. Approve the Minutes of the Meeting, October 8, 2001.

5. Approve the October 2001 Disbursements and Financial Report.

 

ITEMS FOR INDIVIDUAL CONSIDERATION

7. Discussion and Action on All Matters Related to Mr. Charles Masoner's Request to Appear Before the Board Regarding Qualifications for a Catastrophic Water Loss Adjustment.

Drury stated Mr. Masoner did not plan to attend the meeting, and he requested a decision based on his written comments regarding a leak in his sprinkler caused by a landscaping company or the gas company who refused to pay a portion of his bill. She explained that Mr. Masoner was not granted an adjustment because his previous consumption disqualified him. The Board took no action.

 

8. Discussion and Action on All Matters Related to the Approval of the Release of a Portion of CCN #10197 to D.C.F.W.D. #7/Lantana.

No action was taken other than to instruct the staff to contact representatives regarding the first payment installment.

 

9. Discussion and Action on All Matters Related to the Purchase of Property for a Future Pump Station.

No action was taken.

 

10. Discussion and Action on All Matters Related to Approval of Water Service to the Yeti/Denkman Development, Town of Bartonville, TX.

Ginn recommended that the corporation secure a dedicated right of way easement to the new pump station site and require an alternate bid proposal for over sizing the water line from an 8'' to a 20'' line with Bartonville Water Supply paying the difference for the cost of over sizing. He stated that the larger line could be utilized as a distribution line from the future pump station to distribute water to other parts of the service area. Ginn noted there were a few other items that needed to be worked out also. Motion by Kaufman and second by Mutshcler to approve water service to the Yeti/Denkman Development subject to negotiation of recommendations by the Staff. Motion approved unanimously.

 

11. Discussion and Action on All Matters Related to Personnel.

The Board took no action.

 

12. Discussion and Action on Approval of the Year 2002 Operating and Capital Budget.

Discussion was held on the projected revenues and expenses for the operating budget for 2002. Motion by Kaufman to accept the revenue and expense budget for the year 2002 with the amendment that the legal fees be increased to $36,000. Second by Johnson. Motion approved unanimously.

Discussion was held on the rate worksheet, the rate multipliers, and the percent of customers in various categories to determine if a revision needed to be made to the rate schedule. Motion by Kaufman not to change the existing rates. Second by Alberts. Motion approved unanimously.

Discussion on the proposed 2002 capital budget was held. The projected expense for the relocation of the water line on the south side of FM 407 because of the widening of FM 407 was reviewed. Staff noted that the north side of FM 407 in this area has been released to Highland Village by a CCN release agreement. Leggieri reported that he met recently with representatives from Flower regarding the location of BWSC's water lines in the area of the E System property that is located in Flower Mound. He noted that Flower Mound will provide sewer service to the E System property He stated that one if the representatives inquired if BWSC would be interested in releasing a portion of its CCN on the south side of FM 407 east of 2499 to Flower Mound. He stated that he informed him that Flower Mound would have to discuss that issue with the Board.

Ginn inquired if the Board would be agreeable to move the relocation of the FM 407 water line to a later date as he does not think the plans for the widening of FM 407 will be completed for at least two years. Leggieri noted that this item was included in the capital budget as a realistic expense unless that portion of the CCN is released. Kaufman inquired if Ginn wished to add an item to the capital budget. Ginn replied that he had reworked the cash flow analysis on the master plan projects that would be presented later.

Motion by Kaufman and second by Mutschler to approve the capital budget. Following discussion, Kaufman and Mutschler withdrew their motion as it was decided that the capital budget was a floating informational plan with projects to be approved on an individual basis.

 

13. Discussion and Action on Authorization of the Corporate Resolution with First State Bank of Texas.

Motion by Kilpatrick that the Corporate Resolution with First State Bank of Texas be approved with the following as authorized signatories: Michael Paulson, President; Duane Johnson, Vice-President; Larry Kaufman, Secretary-Treasurer; and Jim Leggieri, General Manager. Second by Anderson. Motion approved unanimously.

 

14. Discussion and Action on the Selection of an Audit Firm to Complete the 2001 Financial Audit for BWSC.

Discussion was held on the proposals submitted by three accounting firms. Motion by Kilpatrick and second by Kaufman to authorize Ken Hughes & Associates, P C to perform the 2001 Financial Audit. Motion approved unanimously.

 

15. Staff Reports.

Leggieri called attention to the requested data regarding savings as a result of the conversion to remote meter reading and the information regarding a possible sales tax exemption included in his report.

 

16. Consultants Reports.

Ginn gave a brief presentation of his updated water system master plan. He requested the Directors and staff to review the plan for discussion and questions at a future meeting.

 

17. Review Future Agenda Items,

Activities and Announcements and Set the Date for the December Meeting and Set the Date for the Christmas/Retirement Party. The following events and dates were set:

 

18. Adjournment.

Motion by Mutschler and second by Anderson to adjourn the meeting. Motion approved unanimously; the meeting adjourned at 11:06 P.M.

 

Recorded by Betty J. Robertson, Deputy Secretary-Treasurer

Certified by Larry Kaufman, Secretary-Treasurer