1 June 2023- DCRSD Board Meeting Notes
Steve Renihan - President, Brett Fehrman - Vice President, Russell Beiersdorfer (who left at 6:00 to give out scholarship at South Dearborn), Bill Shelton, Doug Baer, Jeff Stenger, and Steward Cline
ABSENT: Attorney - Frank Kramer
Renihan read the Public Access Statement as legally required.
ALSO PRESENT: Rick Probst, Commissioner and Christy from Hrezo Engineering.
MINUTES- May 18th minutes approved minutes with Stenger making corrections that include ayes and nays and also correction for saying none opposed when 2 were nay, The motion on one item was 4-2 and the quorum question will be submitted to Frank Kramer when he returns so they get it straight for the future. Stenger sent an email to the board regarding this as he was not sure about majority of quorum or majority of the whole board.
TREASURER’S REPORT prepared by CPA - March and April Financial report approved after they read through it with some comments. $72K collected year to date. Most of the tap fees collected for Texas Gas Rd in Jan and Feb. More grinder pumps coming and that will be a bigger capital expense later.
PUBLIC COMMENT: Steve Brock from Indy working on rate study and is here now. He passed out copies. A rate study tries to see if the revenues will match what you are bringing in. Hard to calculate as DCRSD is all over the place. Last rate increase was in 2010. Per Cline -$60k used to come in annually for about 6-7 years 2003-2010 and it was stopped. $4million originally was for capital expenditures. In about 2015 they stopped funding DCRSD so they could stand one their own. All projects had been taken with approval of Commissioners and Council. Callahan did previous rate study originally. Brock- State law says you can force people to hook on- and it changes every year. Used to be 300 ft from the property line to the main. Should check with attorney Kramer about that. Maintenance for Serenity Ridge, Guilford, and High Ridge, and maybe West Harrison TIF. There is no debt outstanding at this time for DCRSD. Meter fees, availability fees, and service fees are revenues. Looking at budget to see how accurate that is. Operating capital. Future capital improvements. $125 million grant each year and you missed the one this year. Deadline next year is April 1, 2024. (unclear if this was income based)- USDA funds? SRF or RD ( rural development)? 3 different income parameters for these.
Provide, replace, and repair funds are needed. Operating expenses - connection charges, availability fees - a one time charge for new customers. Need to look at what an availability fee is charged for. Currently DCRSD charges $15 for customers who don’t hook on- but may want to later. There is some discrepancy about whether or not there is enough capacity to cover all to all the people who pay availability fees. Again Frank Kramer will have to look at this. Because you are a regional district you would score high with USDA grants.
Wastewater revenue- 2021 and 2022- 65K ( this was higher due to filing liens on customers owing) and 22K. He encouraged them to be timely in filing liens- every 60 days.
Tap fee income- we have a robust tap fee of $7500. - should go into an account to fund future capital improvement.
Wilson Creek was different as they turned it over to the local provider- though they get money back to pay off the expense of putting lines in. $18/month to get this back. We get half the fee- $1500. Only 8 customers. 18 x 12x 8 is what they get per year.
City of Harrison treats the TIF and they pay twice a month.
Brock- Revenues are now $80,000/year using these figures.
(Beiersdorfer left at this point- see note above)
$140k- new budget- and Baer will send that to Steve Brock. (this will be a $50k deficiency on an annual basis.)
How to space out rate increases so they are explainable. Not wait 13 years.
Statute limits you to 5% per year without a public hearing,
Brock- you have no consistency on your revenues or expense over the year.
Project manager $64k in 2022 and it’s not in that budget.
Steve Renihan contract is $600/month. $7200/year.
Legals are $17k/year.
Balance as of April - $433,000 cash assets. With a bunch of grinder pumps at $4k to pay for also.
Cline- fast forward 2 years will have Guilford - yes- more income.
We also have 117 customers now Renihan.
Will need another rate study for Dillsboro and Lake Dildear in a couple years.
Need to budget higher especially for the 2nd plant.
Steve Brock- Rates can go ups to $105/month without any further county subsidizing.
Dillsboro wants a bulk rate and not what we did with others previous to this.
107 paying customers at High Ridge. Average $65/month. Also about 20% of the 107 are paying the $15 availability fee.
Brock will go back to the table and set up the rate study with the new numbers. Warned them that they won’t like the numbers. He will have the report in 10 days. I will send to a two page sheet on why it’s expensive to sell your utility to investors for your utility customers.
PROJECT UPDATES: Christy and Doug gave updates. Treasurer is bonded now- and they need 2 signatures on all the checks written.
Cline wants a timeline at every meeting to go over.
Guilford- need Christy to keep them reminded of where they are on the timeline, and purchase of land. She wants to know if she was to consider going up Yorkridge on that- no was the answer. Because using federal funds all have to be hooked on- 100% participation.
High Ridge WWTP- had a blown pressure gauge they fixed over holiday weekend.
High Ridge west Expansion - Texas Gas Rd
Wilson Creek Project
Huesman Rd and Cole Lane
Harrison TIF/Stone Project
Scenic Ridge/148 Sewers /Outer Drive
Stateline Rd
Serenity Ridge Tranquility Court- DCRSD does maintenance on this as the Serenity Ridge people paid for the lines.
Moores Hill
Dillsboro- Lake Dildear- also need to purchase the land for this - lease to buy comes due at beginning of August
North Hogan Issues
NEW BUSINESS- Brett Fehrman- noticed in the last year the SDRSD is smelling much worse. Noted that Envirolink runs that plant now. Stenger has noticed it too. [NOTE: This has been going on this year and part of last year- I pass that plant several times a week.]
Also looking into the costs for getting Moores Hill funding thru SRF. Christy will get that info for them. Also need an asset management plan. And it should be done with financial people.
Renihan- Steward Cline is working with Christy and Watson and Frank on Lake Dildear and only 3 board members can be there to avoid quorum. Meeting set later this month.
OFFICE UPDATE- As planned Sarah resigned - last day today- Kelly taking over and will let board know If they need more help. Board voted to have $250 gift card to 3rd and Main for her years of service. Probst warned they needed to check with Frank Kramer- it has to be done so as not to violate rules on their fundings. Board members willing to do it personally and not from the budget.
CLAIMS- approved and approved billing adjustment for SBOA.
COMMENTS: June 15 Renihan was unavailable. Renihan said that they have nothing on Barnes and Thornburg and no engagement letter. Staying at the 15th for the next meeting.
ADJOURNED at 7:34 PM
Christine Brauer Mueller
Lawrenceburg Township
