Quarterly Report: 2011, July - September (Q1), Selawik

Community:
Selawik 
Staff:
Margaret Hansen  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Selawik 
Population:
828  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
2/2/2011 
Community Sanitation Overview:
The community has piped water and sewer throughout the entire community; 96% of the homes are fully plumbed. Water plant upgrades and the river pump system are being evaluated now for possible future projects. DEC has been in Selawik to do a comprehensive evaluation of the water quality, which will be helpful in determining what changes need to be implemented. The city signed an agreement with the Alaska Rural Utilities Collaborative (ARUC). ARUC took over operation of the utility and fixed 95% of the glycol leaks. The waste heat system is also operating again.  
RUBA Status & Activities This Qtr:
Kotzebue RUBA have been coordinating with ARUC on Selawik via email and talked with the City Administrator who said they are having problems with freezing of water/sewer lines because of glycol leaks on the same south side as before. 
RUBA Activities for the Coming Qtr:
Kotzebue RUBA has tentatively set a date for February 16-18, 2011 to review, update and train their new council on their code of ordinances.
Scores:
 
Essential Indicators:
27 of 27
Sustainable Indicators:
24 of 27
Total Score:
51 of 54

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
No 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
ARUC has worked with the city to adopt a balance realistic budget listing all the revenues and expenses for the utility. In reviewing their monthly financial reports, it shows that they are receiving sufficient revenues equal to those budgeted and their expenditures are below those budgeted. ARUC provides to the council a monthly report that is presented showing no budget amendments are due at this time. Although they are saving some funds for repair and replacement, it is only enough to cover emergencies as needed. They had delivered by barge, adequate fuel to last until the next barge season.

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
ARUC works with the city who adopted a collection policy that ARUC enforces billing customers on a monthly basis. ARUC utilizes quickbooks for billing assistance communities and Continental Utility Soluntions for community like Selawik for accounts receivable system, payable system, payroll, purchasing, cash receipts and cash disbursements that records incoming money and how it was spent. They use their budget as the chart of accounts reconciling monthly.

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.
Yes 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
ARUC is deemed compliant by both IRS and ESC.

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
The city has workers compensation coverage until June 30, 2011. A notice of coverage is posted in the city office as well as the notice of coverage for ARUC. They have adopted personnel policies that they worked with AML/JIA on which includes a written hiring, probationary and personnel evaluation process that ties to the job description that they have written for all positions. In reviewing their personnel folders they contained their applications, I-9 forms and letter of acceptance. ARUC not only includes orientation, job training and evaulation of staff but continues to provide training opportunities to staff as needed and available.

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 city has the necessary ordinances to give it authority and is the known entity to operate the utility. The city has a signed Memorandum of Agreement for utility management to be provided by ARUC. The city has an organizational chart that reflects the current structure. The city council complies with the Open Meetings Act. ARUC is active in making sure the council follows and enforces their utility policy. The City Administrator has held the position for approximately five years. The bookeeper and certified operator are also long term employees.

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.
Yes 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.
Yes The utility has completed and distributed its "Consumer Confidence Report".
No The utility is not on the "Significant Non-Complier" (SNC) list.
Yes The utility maintains an inventory control list.
Yes The utility maintains a critical spare parts list.
Operation of Utility Comments
Their main operator is certified for wastewater treatment, collection, water distribution and treatment, and the alternate in wastewater collection. The utility has a preventative maintenance plan for existing facilities but still has problems with glycol leaks to three homes which they are currently working on but they are operating at the level of service proposed holding safety meetings following their safety manual and spot checking the facilies to make sure maintenance items are being completed. The system is still on the SNC list because it needs new hardware to resolve the violations. This will require installation of a new recorder that can record higher values. The water treatment plant is a direct filtration system with two filters. ANTHC is currently in design stage for WTP upgrades, construction is expected in 2011. They have completed their consumer confidence report. The utility maintains an inventory and cdritical spare parts list.