HomeMy WebLinkAbout2010-01-14 Packet - Joint UVSDJanuary 14, 2010
5:30 p.m.
1. ROLL CALL
2. DISCUSSION AND POSSIBLE ACTION CONCERNING THE RESOLUTION OF BUDGET DISPUTE
3. DISCUSSION AND POSSIBLE ACTION CONCERNING THE RECOMMENDATIONS DEVELOPED BY THE JOINT
SEWER AD HOC COMMITTEE PERTAINING TO THE GOVERNANCE OF THE COMBINED SEWER SYSTEM
4. DISCUSSION AND POSSIBLE ACTION CONCERNING THE REQUIREMENT TO CLEAN AND TEST THE SEWER
LATERAL WHEN A BEDROOM IS ADDED TO AN EXISTING STRUCTURE
5. STATUS REPORT ON THE SEWER RATE STUDY
6. OTHER BUSINESS
a. Public Expression
b. Announcements/Other Business/Matters from Staff
c. Adjournment
Please be advised that the City needs to be notified 24 hours in advance of a meeting if any specific accommodations or
interpreter services are needed in order for you to attend. The City complies with ADA requirements and will attempt to
reasonably accommodate individuals with disabilitiep upon request.
Materials related to an item on this Agenda submitted to the City Council after distribution of the agenda packet are available for
public inspection at the front counter at the Ukiah Civic Center, 300 Seminary Avenue, Ukiah, CA 95482, during normal business
hours, Monday through Friday, 7:30 am to 5:00 pm
I hereby certify under penalty of perjury under the laws of the State of California that the foregoing agenda was posted on the
bulletin board at the main entrance of the City of Ukiah City Hall, located at 300 Seminary Avenue, Ukiah, California, not less than
24 hours prior to the meeting set forth on this agenda.
Dated this 11 th day of January, 2010.
JoAnne M. Currie, City Clerk
Date: January 13, 2010
To: The Mayor and City Council
From: Gordon Elton, Finance Director, City of Ukiah
RE: Sewer Enterprise Financial Statements
Attached are reports presenting the fiscal year 2009/10 fiscal activity through December
for the joint City/UVSD accounts and for the UVSD accounts as currently recorded.
Reports are prepared as of December 31, 2009. However, additional transactions could
or will be recorded before the books are closed for the month. Additionally, the audit
process may generate entries.
These reports reflect the change in the accounting for UVSD revenues. Per the agreement
reached at the Sanitation District meeting, Sanitation District revenues, starting July lst,
are recorded in Fund 641. Additionally, Fund 641 is billed for the UVSD share of the
Fund 612 joint operating expenses on a monthly basis.
NOTE: Fund 611 totals do not include the Kiewit Pacific bill for their work on the sewer
plant construction from September forward the bill has not yet been received by the City.
These reports are presented to the Ukiah Valley Sanitation District Board of Directors at
their monthly meeting.
If you have questions on the report or require a discussion of the reports please contact
me.
Report #I
Balance Sheet, Sewer Construction Fund 4611 (1 page)
Report #2
Revenue Report, Sewer Construction Fund #611 (1 page)
Report #3
Expenditure Report, Sewer Construction Fund 4611 (1 page)
Report #4
Balance Sheet, City/Dist. Sewer Fund #612 (2 pages)
Report #5
Revenue Report, City/Dist. Sewer Fund #612 (2 pages)
Report #6
Expenditure Report, City/Dist. Sewer Fund #612 (2 pages)
Report #7
Balance Sheet, City/Dist. Sewer Fund #614 (1 page)
Report #8
Revenue Report, City/Dist. Sewer Fund #614 (1 page)
Report #9
Expenditure Report, City/Dist. Sewer Fund #614 (1 page)
Report #10
Balance Sheet, Sewer Construction Fund #641 (1 page)
Report #11
Revenue Report, Sewer Construction Fund #641 (1 page)
Report # 12
Expenditure Report, Sewer Construction Fund #641 (1 page)
Report #13
Balance Sheet, City/Dist. Sewer Fund #650 (1 page)
Report #14
Revenue Report, City/Dist. Sewer Fund #650 (1 page)
Report #15
Expenditure Report, City/Dist. Sewer Fund #650 (1 page)
The following table summarizes the totals from the listed reports:
SAFinance\xfered from FINANCESHARE on FS4 (fs4)\UVSD\Financia1s Nov 2009 cc.doc
Sewer Enterprise Financial Report
as of December 31, 2009 (unaudited)
(prepared January 13, 2010)
Sewer
City/Dist.
City/Dist.
Construction Fund
Sewer Fund
Sewer Fund
#611
#612
#614
Combined Total
Revenue
5,839
3,284,231
0
3,290,070
Expenditures
2,221,598
1,224,108
743,119
4,188,824
Revenue Over (Under)
Expenditures
$(2.215,758)
2 060 123
743 119
898 754
Current Assets
11,993,083 *
2,848,451
3,339,485
18,181,020
Fixed Assets
53,960,681
10,746,447
36,873
64,744,001
Total Assets
$65,953,765
13.594.898
3 376 358
82.925.021
Total Liabilities
76,234,954
2,762,486
35,151
79,032,591
Fund Balance
(10,281,190)
10,832,413
3,341,207
3,892,429
Total Liabilities and Fund
Balance
65.953,765
13,594.898
3 376 358
82.925,021
* Includes bond proceeds with Fiscal Agent.
Spec. San Dist
Sanitation Dist.
Fund (Cap Imp)
Special Fund #641
Fund #650
Combined Total
Revenue
1,926,055
195,937
2,121,993
Expenditures
1,3 50,425
256,694
1,607,119
Revenue Over (Under)
Expenditures
575 631
60 57
514 874
Current Assets
1,480,883
278,843
1,759,726
Fixed Assets
0
0
0
Total Assets
1 480 883
278 843
1 759 726
Total Liabilities
320
25,525
25,845
Fund Balance
1,480,564
253,317
1,733,881
Total Liabilities and Fund
Balance
1 480 883
$228-843
1 759 726
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The recent existence of a stronger, and therefore incrementally more expensive 1
governance and administrative infrastructure for the Ukiah Valley Sanitation District has
been questioned as being redundant and inefficient. It is the intent of this document to
refute that position by showing that the rate payers in the District have not been equitably
served and by demonstrating that the stronger District can contribute to the welfare of all
rate payers in the Ukiah Valley in a cost effective way, whether within the District or the
City of Ukiah's jurisdiction.
This document is not intended to cast blame on individuals or organizations past or
present, but raises issues only to demonstrate the necessity of recent positions taken by
the District Board and/or implemented by its staff. The issues listed here have had a
direct negative impact on the fiscal well being of the District or have made its governance
and administration more difficult. Several of them were independently raised by the
Mendocino County Grand Jury.
Ukiah Brewery Connection Fee. The District recently learned that the Ukiah Valley
Redevelopment Commission agreed to assume responsibility for the $244,000
connection fee of the Ukiah Brewery to the sanitation collection system, but that the
money may never have been credited to a District account. While the City informed
the District that the City would be prepared to discuss this issue by the end of October
2009, there has been no indication that this has happened.
2. I & I Project. Although District representatives met in early 2009 with City staff to
discuss -potential I & I and other grant projects, District was surprised a few days
later with the news that an I & I grant consultant contract was to be awarded for a
project entirely within the City's jurisdiction. The City has announced no plans for
projects within the District's jurisdiction in spite of the need for such projects
throughout the Ukiah Valley. After the fact, the City invited the District to join the
project, but not having participated in the planning, the District declined.
Subsequently, the District initiated such a project.
Delinquent Accounts. While the City, which is responsible for collecting -sewer
charge payments, uses an effective means of collecting delinquent payments for
accounts within the City limits, it submits District delinquent accounts to a collection
agency, which results in only about a 20% collection rate. Recently this has
amounted to a six figure annual loss to the District. This issue has been discussed
since 2008, the District raised this issue with the City on June 23, but did not receive
a list of delinquent accounts until September.
4. Olive Lane. The Olive Lane neighborhood is an unserved island within the District.
For several years money was budgeted to serve this area, but no action was taken.
The County announced a State Street improvement project for the area with the
condition that no under street improvements would be approved within five years.
When the City took no action, the District initiated, engineered and managed a project
to serve the area.
Lack of Timely Information. In order to well represent its rate payers and in
accordance with the joint participation agreement the District requests information
from time to time. The City has taken the position that its staff should not spend time
honoring such requests without City Council approval. The delay or absence of
responses makes it difficult to govern the District, which comprises about half of all
sanitation revenues within the Ukiah Valley. On several occasions it became
necessary for the District to use the freedom on information act to obtain a response
from the City and even then cooperation was minimal and not timely.
6. When the recent rate study was initiated, it was necessary for the District to insist on
being included in the planning. While the District's request to participate in planning
was honored, planning for such activity should automatically be done jointly.
7. In spite of recommendations from outside consultants and the District, for many years
the City did not initiate a flow monitoring program to guide I & I correction projects.
With encouragement from the District a project is now included in the joint budget.
Plans for implementing such a flow monitoring project have not been disclosed to the
District.
8. Planning for the almost completed waste treatment plant was not shared with the
District, leading to a surprised response that took from six or more months of delay to
resolve and almost certainly resulted in extra project cost.
9. No mid to long term planning for current projects of any size has been shared with the
District. No planning documentation to support budget appropriations has been made
available to the District.
10. The City has taken no action and has expressed no interest in the recommendations of
last year's Joint Ad Hoc Committee as it relates to updating the Participation
Agreement. It is in this context that the most promise lies for improving efficiency,
removing redundance, and improving the overall relationship. Incidentally, the City
initially refused to pay its share of the Joint Committee's administrative expense until
urged to do so by the District Board.
11. Although the City agreed in April, 2009 to meet quarterly to discuss general issues
the first two such meetings were indefinitely postponed and did not occur. While
communication regarding the budget has improved because of joint meetings of the
full Board, the City Council and their committees, non-budget issues, including
planning, have not been addressed as agreed.
12. The City has not expressed to the Board plans for or an interest in complying with the
Grand Jury recommendations of May 21, 2009.
To the Ukiah City Council and Sanitation District members: 1.12.2010
Proposal: fort the city's consideration capital improvement project.
Thanks for the attention to the subject of energy from biogas. Following is a brief
explanation of using landfill gas (LFG) and biogas from local organic waste.
PG&E connection is available. The possibility of connecting electricity to the transfer
station below the lake dam also exists. The owner of Vichy Springs resort had no objection
to using the biogas for energy production. He would even consider buying surplus hot
water. Regarding opening the dump for more refuse disposal, he and the neighborhood
would be against it and prepared to sue.
The LFG task force proposes the city's 200 acre site as ideal location for this
"Capital Improvement Project", creating jobs, clean energy and income for the next
generation. To lea more visit,
_ 5