Quarterly Report: 2011, April - June (Q4), Wales

Community:
Wales 
Staff:
Leroy Seppilu  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Wales 
Population:
136  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
8/3/2011 
Community Sanitation Overview:
Two new groundwater wells have been drilled and a pumphouse and watering point enclosure are needed. Currently, water is derived from Gilbert Creek during the summer, and residents haul treated water from a 500,000-gal. storage tank at the washeteria. Some residents use untreated water from Village Creek. Almost all residents use honeybuckets, and very few homes currently have plumbing. A honey bucket haul system is in place. The school and clinic are served by piped water. There are two septic systems - one for the school and a second for teacher's housing, the clinic, and the city building. A master plan to implement a piped system has been completed. There is no permit for the landfill. Village Safe Water is applying for sanitation grants for the community to upgrade the washeteria. The new facility will most likely be a multi-purpose facility to include the washeteria, water plant, and a new clinic. The condemned City dome will probably be torn down and its location used for the new multi-purpose facility. 
RUBA Status & Activities This Qtr:
The natural occurring level of uranium detected last year is still lower than when it was first detected. The city and Analyctica have been monitoring the level on a monthly basis as required by Department of Environmental Conservation. RUBA staff had recommended to the city council in the past to subscribe with Analyctica to have the water tested monthly. The city is in the process of having a new washeteria built by next summer. 
RUBA Activities for the Coming Qtr:
RUBA staff will travel to Wales to review the city's finances and make recommendations as needed. RUBA staff feels that the city should have a permanent city clerk in place before travel is made. RUBA staff will provide training once a new city clerk is hired.
Scores:
 
Essential Indicators:
24 of 27
Sustainable Indicators:
24 of 27
Total Score:
48 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
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 city participates in Norton Sounds Economic Development Corporation's bulk fuel purchasing program. The city ordered about 6,000 gallons of diesel fuel as it had excess fuel left over from last year's order. The city council passed the city's budget in timely manner this year. The washeteria and water sales revenues last year was a little over $22,000, with expenditures of about $47,000.

Accounting Systems

Essential Indicators
Answer Question
No The utility has adopted a collection policy and actively follows it.
No 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
No A chart of accounts is used that identifies categories in a reasonable, usable manner.
No 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 trash/honeybucket haul service customers are still not billed regularly by the city. The city subsidizes the enterprise using funds from Norton Sound Economic Development Corporation's Community Benefits Share Program. The city keeps manual financial records. The city clerk successfully attended a RUBA-sponsored Financial Management for Utilities workshop held in Nome in April, 2011.

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.
No 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
The city had a past due tax liability and has paid it off using funds from NSEDC's CBS Program. The city worked with IRS to pay off the past due tax liabilities.

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 clerk resigned for personal reasons and the city council is advertising for the position. The mayor hired a temporary office aide to answer the phone and do some paperwork as needed. The city has been having difficulty retaining city employees as the pay is low and the city does not provide extra benefits.

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 council, which act as the utility board, meets once a month regularly and hold special meetings as needed. The city council meets at least two or three times a month as issues come up, including sanitation issues.

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".
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
The city is not on the SNC list for any violations although there were elevated uranium found in the city's drinking water source. The city continues to subscribe to Analyctica's water sampling program, especially now that there has been elevated levels of uranium found in the drinking water.