Quarterly Report: 2007, April - June (Q4), Hoonah

Community:
Hoonah 
Staff:
Lawrence Blood  
DCRA Regional Office:
 
Gov't Type:
First Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Hoonah 
Population:
861  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
8/6/2007 
Community Sanitation Overview:
Water is derived from Shotter, Dalton, and Spud Creeks, treated, and piped to all homes and facilities. A new water treatment facility was completed in October 1998. Piped sewage is processed in a sewage treatment plant. 98% of homes are fully plumbed. The city provides garbage collection services twice weekly. The Tlingit-Haida Regional Electric Authority, a non-profit subdivison of the State, operates three diesel-fueled generators in Hoonah. 
RUBA Status & Activities This Qtr:
The community continues to submit supporting documentation on a quarterly basis consisting of monthly financial reports. The documents received during the last quarter, confirms that Hoonah still successfully meets all essential capacity indicators.  
RUBA Activities for the Coming Qtr:
RUBA staff will continue to offer RUBA assistance as needed or requested to improve utility management practices.
Scores:
 
Essential Indicators:
26 of 26
Sustainable Indicators:
24 of 27
Total Score:
50 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.
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.
No 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
A balanced and realistic FY07 budget was adopted for the fiscal year starting on January 1, 2007. The water, sewer, and garbage budgets are part of the overall City of Hoonah budget. All revenue and expenses are listed. The utility receives revenues sufficient to cover operating expenses; however, user fees do not completely cover operating costs causing the City of Hoonah to subsidize the water and sewer utility services with other sources of funding. The City of Hoonah does not regularly reserve funds for water testing, however, the City transfers money to that category as needed. The accounting clerk prepares monthly financial reports, but these have been sporadic in the past and the city council had to issue a reminder that they are required. The bookkeeper reports making budget amendments as needed.

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 of Hoonah has adopted and actively follows a collections policy and combined utility bills are distributed on a monthly basis. The adopted account receivables system documents customer payments and reports past due accounts with corresponding amounts. The City actively pursues delinquent utility accounts. The City is currently using the Cassell accounting software for their accounts receivable, accounts payable, and payroll. The City uses a manual written receipt system to record incoming funds and later enters the information into the Cassell program. The City has a chart of accounts. The Accounting Clerk completes monthly bank reconciliations The City uses a purchase order system for all purchases.

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.
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
The City of Hoonah uses Cassell accounting software to calculate, track, and report payroll liabilities. They are current on filing their tax reports and making tax 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.
No 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 of Hoonah carries workers compensation insurance coverage through the Alaska Municipal League/Joint Insurance Association. The City of Hoonah follows the personnel policy promulgated in the Hoonah Municipal Code. The City has adequate job descriptions for all municipal positions. While the City has a formal evaluation process, city staff report it is not consistently followed. A satisfactory hiring process is documented in the City's municipal code. There are personnel folders for every municipal employee that contains recommended documentation including I-9, job application, and letter of acceptance. The city clerk reports the City has a probationary period for new hires that includes systematic orientation, job training, and oversight. The City provides training opportunities as needed.

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 of Hoonah owns and operates the water and sewer system. The city council is the policy making body for the utility and is active in guiding policy. The city council generally supports enforcing the utility policy. On a daily basis, water utility duties are generally split between two staff persons. The utility manager is Level 2 certified with seven years experience as manger and 27 years of overall water utility experience. The operator is a new employee working towards his OIT. He replaces a recently retired operator who had been with the utility for 18-plus years. Both employees are considering further training. The Utility Clerk has worked for the City for two-plus years and has extensive on-the-job bookkeeping experience.

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 water utility operators have achieved the necessary certification to operate the utility and are actively considering further training. The water manger reports the utility has a preventative maintenance plan. The water utility staff consists of a Public Works Director and as operator. Both appear responsible for daily utility operations. The Director and operator communicate in-person and via a daily log of activities and concerns. The Director does receive monthly operation and maintenance reports from the operator and conducts facilities spot checks to verify maintenance items are being completed. The Director reports the utility has a safety manual and holds safety meetings. The water utility has not suffered any major problems/outages due to unresolved management issues. The Public Works Director reports the water utility is operating at the proposed level of service but is worried as the Icy Strait Point cruise ship destination brings in thousands of visitors to Hoonah each summer. Each cruise ship has the potential to more than double the citys population. The utility reported increases in services provided during the inaugural season of the enterprise and expect the demand for services to grow. The water assistant provides status reports to the water superintendent on a routine basis via a daily communication log. The water utility completes and distributes its Community Confidence Report (CCR). The utility was removed from the Significant Non-Compliance List when it returned to compliance from a stage 1 violation. The utility does not maintain an inventory control list or a critical spare parts list.