Quarterly Report: 2008, April - June (Q4), Kwigillingok

Community:
Kwigillingok 
Staff:
Flora Olrun  
DCRA Regional Office:
 
Gov't Type:
Federally Recognized Tribe 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
Native Village of Kwigillingok 
Population:
361  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
7/31/2008 
Community Sanitation Overview:
The Village Council operates the central watering point and washeteria. Water is currently derived from snow and ice melt and a lake reservoir, is treated, and hauled by residents from the washeteria. Water shortages are common. The school operates its own surface water treatment facility, but shares a sewage lagoon with the washeteria. Homes are not plumbed. Honey buckets are disposed of by residents. Infrastructure improvements are underway to develop a community system. 
RUBA Status & Activities This Qtr:
On May 22, 2008 Bethel RUBA staff traveled to Kwigillingok and a RUBA Management Assessment was completed. The FY 08 budget with supporting documents and monthly financial statement for the end of April, 2008 are on file in the Bethel regional office. The Native Village of Kwillingok has met all essential indicators. The Native Village of Kwillingok requested and signed a RUBA assistance agreement in May 2008. The This agreement was signed in response to the Native Village of Kwigillingok desiring to increase their management capacity to enable it to continue to run the utility as efficiently as possible. The RUBA program agrees to provide technical assistance and training in utility management to meet that goal. A work plan with specific tasks and time frames developed by the utility staff and RUBA staff will be drafted and signed as soon as possible. The work plan will identify what actions the utility staff should take in the short term to remedy significant problems identified and what assistance and training will be provided by RUBA. 
RUBA Activities for the Coming Qtr:
Continue to work with the Utility Manager on deficient sustainable indicators.
Scores:
 
Essential Indicators:
26 of 26
Sustainable Indicators:
21 of 27
Total Score:
47 of 53

Finances

Essential Indicators
Answer Question
Yes All revenues and expenses for the utility are listed in the utility budget.
Yes The utility has adopted a balanced realistic budget.
Yes Monthly financial reports are prepared and submitted to the policy making board.
Yes The utility is current in paying all water/wastewater electric bills.
Yes The utility has on hand a year's adequate fuel supply or it has a financial plan to purchase an adequate supply.
Yes The utility is receiving revenues (user fees or other sources) sufficient to cover operating expenses.
Sustainable Indicators
Answer Question
Yes The utility is receiving revenues (user fees or other sources sufficient to cover operating expenses and Repair & Replacement (R) costs.
Yes YTD revenues are at a level equal to or above those budgeted.
Yes YTD expenditures are at a level equal to or below those budgeted.
Yes A monthly manager's report is prepared.
Yes Budget amendments are completed and adopted as necessary.
Finances Comments
The Native Village of Kwillingok operates the Laundromat. The water supply from the watering point in the Laundromat is not safe for human consumption. There are signs posted throughout the community including private homes. The signs prohibit the use of the water for drinking, and provide instructions on how to boil water to make it safe for human consumption. The filtering system for the water is not complete. Community members use rain water and ice for drinking. The tribe provides services to evacuate sewer tanks and haul services. The budget did not contain the subsidized revenue source, heavy equipment rental income. The information was contained in a separate document. The budget also did not contain an expense line item for chemicals and testing due to the fact this system prohibits human consumption of the water and their filtering system is not complete. Therefore the budget contains all revenues and expenses for the utilities. The Native Village of Kwillingok adopts the annual budget, approves amendments, receives monthly financial statements and progress reports from the utility manager. Both the Laundromat and the tribal office building are up to date with electrical bills. The tribe has six months of fuel on hand or approximately 42,000 gallons. Their fuel capacity is 103,000 gallons. They have ordered enough fuel to last another year or 90,000 gallons. When needed, the utility is subsidized from heavy equipment rental income. Income from this source can range between a high of $10,000 a month to zero. They have bobcats, dozers, front-end loader and a tiller. Other smaller equipment is available for rent like trailers and fuel carts. The budget has a nominal amount for repair and replacement costs and is subsidized from the heavy equipment rental income as well as the general fund when needed. The most recent financial statement reflects that fact that the actual YTD revenues and expenses are in line with the budget.

Accounting Systems

Essential Indicators
Answer Question
Yes The utility has adopted a collection policy and actively follows it.
Yes The utility bills customers on a regular basis.
Yes An accounts receivable system is in place which tracks customers and reports past due accounts and amounts.
Yes An accounts payable system is in place.
Yes The payroll system correctly calculates payroll and keeps records.
Yes A cash receipt system is in place that records incoming money and how it was spent.
Yes The utility has a cash disbursement system that records how money was spent.
Sustainable Indicators
Answer Question
Yes A chart of accounts is used that identifies categories in a reasonable, usable manner.
Yes Monthly bank reconciliations have been completed for all utility accounts.
Yes The utility has a purchasing system that requires approval prior to purchase, and the approval process compares proposed purchases to budgeted amounts.
Accounting Systems Comments
The utility has a collection policy and actively follows it. When customer's past due accounts reaches ninety days, they no longer receive services until their outstanding bill is paid in full. They submitted a ninety day past due list of current customers who no longer will receive services until their outstanding bill is paid. Customers are billed the beginning of each month. The Utility Manger submitted a copy of a letter where he addressed solutions to overspending and initiating a service order system. The service order system tracks the amount of working hours for the utility operator and also provides backup for customer billing. The tribe uses QuickBooks 2008 and it has the capacity to track customer's accounts, accounts payable and receivable accounts, correctly calculate payroll, and do financial reports. A chart of accounts was submitted for the Bethel regional office file for both the tribal and utility accounts. Bank reconciliations are done on a regular basis. They submitted a sample purchase order form which requires prior approval before purchases are made.

Tax Problems

Essential Indicators
Answer Question
Yes The utility has a system to accurately calculate, track, and report payroll tax liabilities.
Yes The utility is current on filing tax reports.
Yes The utility is current on making tax deposits.
N/A If there are any past due tax liabilities or recorded tax liens, a lien release has been issued or a repayment agreement has been signed and repayments are current.
Tax Problems Comments
The Native Community of Kwillingok uses QuickBooks 2008 which has the capacity to calculate, track and report payroll tax liabilities. They submitted copies of 941 IRS reports and State of Alaska ESC reports for the last three quarters. According to the report back from IRS Kwillingok is in current on filing federal and state tax reports and has met current tax deposit requirements.

Personnel System

Essential Indicators
Answer Question
Yes The utility has a posted workers compensation insurance policy in effect.
Sustainable Indicators
Answer Question
Yes The utility has adopted and uses a Personnel Policy, which has been reviewed by an attorney, AML or Commerce for topics and language.
Yes The utility has adequate written job descriptions for all positions.
Yes The utility has adopted and follows a written personnel evaluation process that ties the job description to the evaluation.
Yes The utility has an adequate written hiring process.
Yes The utility has personnel folders on every employee that contain at least: I-9, Job Application and Letter of Acceptance.
Yes The utility has a probationary period for new hires that includes orientation, job training/oversight, and evaluations.
Yes The utility provides training opportunities to staff as needed and available.
Personnel System Comments
Kwillingok IRA submitted a copy of their worker's compensation insurance coverage for the timeframe, May 9, 2008 through 2009. Submitted documents indicate Kwillingok Power Company's worker's compensation coverage is good from June 6, 2007 through 2008. A personnel policy is contained in their file located in the Bethel regional office. They submitted job descriptions for the Tribal Administrator, Primary Laundry Attendant, Utilities Director and Tribal Accountant. All staff is evaluated each year. The Utilities Director emphasized that the operator's are on a performance based evaluation and their hours are based on their workload. The utility personnel files are complete and contain I-9's. The personnel policy does contain provisions for an employee probation period which is followed. When training opportunities become available for employees, they are allowed to attend. The Laundromat operator recently attended an OIT training session in April of 2008. The bookkeeper also attended IRS and Utility Clerk training.

Organizational Management

Essential Indicators
Answer Question
Yes The entity that owns the utility is known; the entity that will operate the utility is set.
Yes The policy making body is active in policy making of the utility.
Yes The policy making body enforces utility policy.
Yes The utility has an adequately trained manager.
Yes The utility has an adequately trained bookkeeper.
Yes The utility has an adequately trained operator or operators.
Yes The utility has adopted the necessary ordinances (or rules and regulations) necessary to give it the authority to operate.
Sustainable Indicators
Answer Question
Yes The utility has adopted an organizational chart that reflects the current structure.
Yes The policy making body meets as required.
Yes The utility complies with the open meeting act for all meetings.
Organizational Management Comments
The utility is operated by the Native Village of Kwillingok. The council meets regularly each month and is active in policy making of the utility. Although they are not required, they comply with the open meetings act for each regular meeting they hold. The meeting schedules are advertised three days in advance by posting written flyers throughout the community. The Utility Director had brought some proposed internal changes to the council and they were receptive to the changes. The Utility Manager has worked for the Native Village of Kwillingok since 1983. The bookkeeper has worked a little over a year and transferred from the Yukon Kuskokwim Health Corporation where she worked in payroll. The Laundry Operator has worked for Kwillingok for approximately two years. The bookkeeper and utility operator recently attended training sessions. Utility Ordinance number 2005-10-01 which was passed on October 28, 2005 was submitted to the Bethel regional office. They submitted an organizational chart which was placed in their file. The chart is reflective of the current structure.

Operation of Utility

Essential Indicators
Answer Question
Yes The utility operator(s) are actively working towards necessary certification.
Yes The utility has a preventative maintenance plan developed for the existing sanitation facilities.
Sustainable Indicators
Answer Question
Yes The manager receives a monthly O&M report from the utility operator and routinely "spot checks" the facilities to see that the maintenance items are being completed.
No The utility has a safety manual and holds safety meetings.
Yes Utility facilities have not suffered any major problems/outages due to management issues that are unresolved.
No The utility is operating at the level of service that was proposed.
Yes The operator provides status reports to the manager on a routine basis.
No The utility has completed and distributed its "Consumer Confidence Report".
No The utility is not on the "Significant Non-Complier" (SNC) list.
No The utility maintains an inventory control list.
No The utility maintains a critical spare parts list.
Operation of Utility Comments
The Utility Operator worked for the Native Village of Kwillingok since 1983 and had recently attended an OIT training session in April of 2008. The Bethel regional office file contains forms for annual, quarterly and monthly preventative maintenance reports. The Utility Manager does spot checks to the Laundromat and verbally receives information on maintenance and other issues which is written and presented to the council at their monthly meetings. The Utility Manager stated he holds safety meetings once a week but did not submit a written safety manual. The utility has not suffered any major problems or outages due to management issues to date. In the Utility Ordinance it stated the primary service shall be to provide water haul service and sewage tank evacuation of homes. Because the filtering system is not complete yet, the water service is limited to use for nonhuman consumption purposes such as for the Laundromat. There is no water haul services offered yet. No Consumer Confidence Reports, inventory control or critical spare parts lists was provided. Kwillingok is on the Significant Non-Compliance list for total coliform rule violation from March of 2008, and failure to meet monthly reporting requirements.