Quarterly Report: 2008, January - March (Q3), Glennallen

Community:
Glennallen 
Staff:
Melissa Taylor  
DCRA Regional Office:
 
Gov't Type:
Community Non Profit 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
Glennallen Improvement Corporation 
Population:
589  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
5/7/2008 
Community Sanitation Overview:
All year-round homes are fully plumbed. Although most residents have private wells in the Glenallen area, the water is often of poor quality. Glennallen Heights utilizes two wells to serve a piped system, and a local private business delivers water by truck to fill home water tanks. The majority of downtown is connected to a piped sewage system operated by the Glennallen Improvement Corp. The sewage system serves 52 homes and businesses, and is being expanded to the Alaska Bible College and the Glenallen Heights subdivision. Most residences have identified septic tank systems but permafrost and high water tables cause drainage failures. Refuse collection services and the Class 2 permitted landfill are operated by Copper Basin Sanitation in Glennallen. Copper Valley Electric purchases power from the state-owned Solomon Gulch Hydro Facility and owns diesel plants in Glennallen and Valdez. 
RUBA Status & Activities This Qtr:
The last assessment was conducted on August 28, 2007. At that time the assessment was incomplete as GIC staff did not sign the IRS Release for Tax Information Authorization form. The information has been received and shows that GIC is in compliance with the IRS requirements. GIC has met all essential indicators. A road trip is being planned for late April or early May 2008. 
RUBA Activities for the Coming Qtr:
The RUBA staff will make arrangements to visit with the community during the upcoming quarter. RUBA staff will provide assistance via email, facsimile and phone.
Scores:
 
Essential Indicators:
27 of 27
Sustainable Indicators:
16 of 24
Total Score:
43 of 51

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 utility has a budget in place for fiscal year 2007 that shows all expense line items including the collection revenue from the customers. The manager indicated if it was not for the high cost of insurance and an unexpected expense item for 2007 the utility is financially sound. The manager indicated that budget amendments are done in November to the utility budget. GIC has a savings account in place for the utility for unexpected utility cost. The utility purchases fuel from the local vendor as needed for the utility.

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.
No 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 contracted out all the accounting and bookkeeping record functions to a contractor. The contractor does the billing to the customers for the utility each month. The staff continues to use Quicken 2000 to take care of accounts payable for the utility. The utility has a strong collection ordinance; the customer is billed by the 10th of the month, payment should be made to the utility by the 20th of the month and if no payment is made by the 30th of the month, the customer will be disconnected.

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
An Authorization to Request Federal Tax Information was received by RUBA staff and submitted to the Internal Revenue Service (IRS) compliance is verified with the IRS.

Personnel System

Essential Indicators
Answer Question
Yes The utility has a posted workers compensation insurance policy in effect.
Sustainable Indicators
Answer Question
No 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.
No The utility has adopted and follows a written personnel evaluation process that ties the job description to the evaluation.
No The utility has an adequate written hiring process.
No The utility has personnel folders on every employee that contain at least: I-9, Job Application and Letter of Acceptance.
No 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 staff and consultant are still working on getting the personnel policy in place for Glennallen Improvement Corporation. It is unclear when the personnel policy will be completed and reviewed by the policy making body.

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.
N/A The utility complies with the open meeting act for all meetings.
Organizational Management Comments
The utility has an operator who is certified in wastewater collection and treatment. The operator's certification will expire in December 2008. The utility has a strong utility ordinance in place, which the staff enforces. The bookkeeping and accounting functions for the utility are contracted out to an individual.

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.
N/A The utility has completed and distributed its "Consumer Confidence Report".
N/A 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 has an operator who is certified in wastewater collection and treatment and the operator's certification will expire in December 2008. GIC provides piped sewer service to the residents of Glennallen.