Quarterly Report: 2010, October - December (Q2), Yakutat

Community:
Yakutat 
Staff:
Tammy Helms  
DCRA Regional Office:
 
Gov't Type:
Non-Unified Home Rule Borough 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City and Borough of Yakutat - CBY 
Population:
619  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
2/22/2010 
Community Sanitation Overview:
Water is derived from four wells, is treated and piped to all 191 homes in the community and the schools. Several wooden storage tanks provide pressure to the water system; three need replacement. Piped sewage receives primary treatment; a secondary treatment facility is nearing completion. A private firm collects refuse, and the Borough operates the landfill. Electricity is provided by Yakutat Power, Inc., using four diesel-fueled generators. The company is interested in exploring hydroelectric potential at Chicago Harbor. 
RUBA Status & Activities This Qtr:
RUBA staff has been in contact with the City and Borough of Yakutat to check up on their fuel status for the winter and offer any needed assistance. The community reported that Delta Western is the local fuel company and they call in for delivery as needed. Fuel is delivered in most cases the same day. She foresees no fuel issues for the winter. 
RUBA Activities for the Coming Qtr:
RUBA staff will provide assistance to the City and Borough of Yakutat in working to improve Sustainable Indicators in the areas of Utility Finance, and Operation of Utility.
Scores:
 
Essential Indicators:
27 of 27
Sustainable Indicators:
25 of 27
Total Score:
52 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
Monthly financial reports are prepared and submitted to the Assembly at the regularly scheduled meeting. The profit and loss reports are created in Fundware and show period to date, year to date, year to date budget and percent of the budget used per department all on one sheet. The Assembly also receives a profit and loss report of each department with the individual classes listed. The utility receives power from its own utility company CBY/YAK Power. Delta Western is the local fuel company that runs the fuel distribution/sales. CBY anticipates no fuel shortages and has efficiently lobbied the fuel company to purchase fuel at the reduced bulk rate. The water and sewer revenues are sufficient to cover operating expenses but not enough to set funds aside for a repair and replacement account. CBY imposes the following taxes: property tax, severance tax, sales tax and bed tax to off set water and sewer expenses for repair and replacement. The current residential water and sewer rate is $51.00.

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 City and Borough of Yakutat has an adopted collection policy and follows it actively. If customers do not pay, the billing clerk will have the services disconnected. In cases where no shut off valve is available, the clerk files for small claims in court. Customers are billed monthly; the monthly statements are on one piece of paper but are itemized separately. Any customers with past due amounts will have their billing envelope stamped with Past Due on the outside to bring attention to it. The City and Borough of Yakutat utilizes Fundware for accounts receivable, accounts payable and payroll. The system is set up properly and has been a tool in keeping the City and Borough of Yakutat's finances reliably. The chart of accounts identifies fixed assets within the program. The CBY has switched from Fundware to Sage MIP. The Assembly implements a purchasing system that requires prior approval and a purchase order. The manager must approve orders.

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
As stated previously the City and Borough of Yakutat utilizes Sage MIP accounting that accurately tracks, calculates and reports payroll tax liabilities. Currently the IRS Tax Advocate has reported the City and Borough of Yakutat are in compliance with all tax reporting and deposits.

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 and Borough of Yakutat has a posted workers compensation insurance policy in effect from 7/1/09 to 7/1/10. They work with AML/JIA for insurance. The City and Borough of Yakutat has an adopted personnel policy that includes a 90 day probationary period for employees. Employees files contain I-9, awards and certifications received along with a Memorandum of Hire. Training opportunities for staff are provided as funds allow or opportunities by other sponsors come 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 current utility operator is trained for this system as well as two alternates. All have been OIT certified. The operators will receive further training as resources allow. The City and Borough of Yakutat is historically an active policy making body that enforces set policies. The utility manager has held the current position for three years. The bookkeeper has received hands on training in the office and is comfortable and efficient with the accounting system. The policy making body meets twice a month; on the first and third Thursdays of each month. The Borough Assembly members are elected at large to terms of three years. There are no term limits.

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.
Yes 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".
Yes The utility is not on the "Significant Non-Complier" (SNC) list.
No The utility maintains an inventory control list.
Yes The utility maintains a critical spare parts list.
Operation of Utility Comments
As stated previously, the current utility operators are all currently certified at the OIT level. The utility has a preventative maintenance plan developed for the facility. The utility operator is in daily contact with the utility manager to give updates on the water system. The manager receives a copy of the monthly water report sent to ADEC. The utility currently meets all required drinking water regulations. The utility operator does not currently keep a written inventory control list. The utility manager will be working with another agency to create an accurate inventory control list. The utility does have a critical spare parts list. The City and Borough of Yakutat has distributed a copy of the CCR to the community and works with AML/JIA to hold monthly safety meetings. They also provide a safety manual. AML/JIA provides safety material for the meetings free of cost as part of their risk management program.