Quarterly Report: 2012, July - September (Q1), Chuathbaluk

Community:
Chuathbaluk 
Staff:
Ken Berlin  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Chuathbaluk 
Population:
90  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
10/26/2011 
Community Sanitation Overview:
Water is pumped from a 105-foot well into a storage tank, then treated and hauled from this point by residents. A washeteria is available. The school has its own watering point, and some homes have individual wells, but most have complete plumbing. Honeybuckets and privies are used by some residents for waste disposal. A water and sewer Master Plan has been completed. Repairs to the pump house, water treatment, washeteria, school sewage lagoon and other components have been funded. Refuse is collected weekly. The Middle Kuskokwim Electric Co-op provides power from Chuathbaluk to Stony River. Electricity is provided by Middle Kuskokwim Electric Cooperative. Currently, 24 residential homes, health clinic and high school are hooked up to the new piped water and sewer system. 
RUBA Status & Activities This Qtr:
The Memorandum of Agreement between the City of Chuathbaluk and Chuathbaluk Traditional Council to combine the administration and finance of both entities is now in effect. On 9/11 RUBA staff traveled to Chuathbaluk to train and work with the bookkeeper on budgeting, certified financial statements and finance reports. The accounting system is in QuickBooks. City has a general, fuel sales and concessions (small store) accounts. The FY 2012 budget is in place and looked okay. We went over it and I explained the different components of the budgeting process. We then started on the finance reports. The last finance report was done in July 2011, but no meeting minutes and the August report was incomplete. But when we looked at the Profit and Loss year to date reports from QuickBooks it had a big deficit balance. The City Clerk who input the data into QuickBooks was not in town, so we spend a lot of time going over how the data was entered into QuickBooks. All of the reimbursements (salaries) from the Traditional Council was not recorded right and need to be corrected. We tried to get a hold of the QuickBooks hotline but no one was in the office. Once the City Clerk comes in I recommend that the bookkeeper work with her and correct the reimbursements as income enteries with the help of Joan or Patti. The City manager was also on leave and not available. On 9/11 the State DOL/ESC deemed City of Chuathbaluk noncompliant. City has enough fuel on hand for it's own use and for retail. No liens on file.  
RUBA Activities for the Coming Qtr:
request for finance reports and get City in compliance with IRS and State DOL/ESC. Monitor as needed.
Scores:
 
Essential Indicators:
23 of 26
Sustainable Indicators:
26 of 27
Total Score:
49 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.
No 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
The city received their bingo/pull tab license from the Department of Revenue, with which they hope to generate a small revenue source for the community. The city manager and council members have implemented a fee for water purchase from the watering point. The fee is $1.00 for five gallons of treated water from the watering point. The community members have been getting their water from the local school and using other water sources within the community. The FY 2012 budget is balanced and adopted. Monthly financial reports are current to July 2011, but no meeting minutes and the August report was incomplete.

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 manager has been using QuickBooks software program to keep track of all expenses for the community. The city is keeping track of all their incoming cash using the NEBS cash receipt system (manual system). The NEBS cash receipt system has been a very useful tool for the staff to keep track of all incoming funds. The city staff reconciles their bank accounts using the QuickBooks program software each month.

Tax Problems

Essential Indicators
Answer Question
Yes The utility has a system to accurately calculate, track, and report payroll tax liabilities.
No The utility is current on filing tax reports.
No 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
State DOL/ESC confirmed noncompliant on 9/2011. No recorded tax liens.

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 insurance coverage with AML/JIA effective to July 2012.

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
A water and sewer ordinance was passed by the Council on July 12, 2005 and is on file with RUBA. The city manager has experience working in this field. The city clerk/bookkeeper was recently hired she has bookkeeping experience but needs a little more training in the city clerk's position.

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.
Yes The utility maintains an inventory control list.
Yes The utility maintains a critical spare parts list.
Operation of Utility Comments
The long term operator has been rehired to work for the city. The commitment and expertise of the operator helped the city in locating the water break in the community this spring.