Handy Sanitary District
Regular Meeting of the Board
April 12, 2007
Minutes Attendees: Norman Hunt-Chairman, Keith Loflin-Secretary, Ronnie Harrison, Debbi
Yarbrough, Tim Loflin, Ron Niland-General Manager, Renae Snider-Clerk to the
Board, Frank Wells-Attorney
Guests: see attached list
Norman Hunt called the meeting to order and the guests were registered. Upon
review of the register, he announced that one guest had requested to speak.
Patricia Marshall inquired whether there are maps showing the original
boundaries of the District and whether those original boundaries were the same
as today's boundaries, and also questioned what the difference was, if they
were not the same. The Board confirmed that today's boundaries were different
than the original, and explained that the lake area had been added to the
District. Mrs. Marshall inquired about the petitioning, annexation process of
the area, and the Board explained. She also requested to see paperwork and
Frank Wells confirmed that the District would search their records.
Approval of Minutes: The Board reviewed the March Regular Board Meeting and the
Public Hearing Minutes and Debbi Yarbrough made a motion to approve both as
written. Ronnie Harrison seconded, passed by the Board unanimously.
Financial Report: The Board reviewed the monthly financial report and Ron
Niland discussed that after a preliminary look over of the budget, the District
was in fairly good shape. He also discussed that the District would be under
budget on some revenues and expenditures, and over on others.
Pinehaven Water Main Replacement Project: Ron Niland discussed that the bid
recommendation from Hobbs, Upchurch, and Assoc, was Buckeye Construction, and
went on to discuss the reasons for the project, which include improvement of
water quality and pressure, as well as newer lines meaning less leaks. He also
discussed that the Rural Center grant for the project was in the amount of
$375,000.00 and the amount the District would have to borrow for the project is
$441,309.35. He explained that he was meeting with the Local Government
Commission to see about getting approval for the financing and then he would
bring loan options back before the Board. He suggested that the Board, upon
agreement that the project should be continued and in agreement with HUA's
recommendation and Frank Well's approval, authorize signature for the
contracts. Tim Loflin made a motion to award the bid to Buckeye Construction
and for Norman Hunt to sign the contract.
Customer Service Policy Addition: Ron Niland presented a possible leak
adjustment addition to the customer service policy. The Board reviewed and
discussed the pros and cons of adopting the presented policy, after which the
Board tabled the item until next month's meeting.
Golden Leaf/Loflin Fabrication Project: Ron Niland presented the updated budget
for the project and recommended that the Board authorize Norman Hunt to sign
the grant agreement with Golden Leaf Foundation for the amount of $250,000.00.
He also mentioned that the project would hopefully receive $120,000.00 from the
Rural Center. He briefed the Board on the letter in their packets, which he
explained was from Loflin Fabrication to Davidson County, requesting any
additional funding they could contribute. He discussed the benefits of Gray
Walls' engineering the project, including those customers along Piedmont School
Rd., Cranford Rd., and Hwy 47 would likely be able to connect to sewer if they
chose to. Discussion followed about the Town of Denton treating the sewer and
Frank Wells recommended that the District have a written agreement in place
with Loflin Fabrication before receiving any funds from Golden Leaf. Tim Loflin
made a motion to authorize Norman Hunt to sign the grant agreement with Golden
Leaf. Debbi Yarbrough seconded, passed by the Board unanimously.
Insurance: Ron Niland discussed that the District had received two quotes back
from the packages sent out, one from the current provider Farm Bureau and one
from Montgomery Insurance. He explained that in his preliminary review,
Montgomery Insurance was the low bidder. He recommended that he and the staff
review the proposed policies and after confirming that Montgomery Insurance had
met or exceeded all of the requested coverages, to complete the necessary
documentation to take out policies with Montgomery Insurance and cancel
policies with Farm Bureau. The Board discussed and agreed with the
recommendation.
Water Usage Analysis on Badin Lake: Ron Niland presented some percentages and
reports from the billing system on water usage at Badin Lake, which included
that 78% of District customers used under 2,000 gallons a month, 86% used under
3,000 gallons a month, and 90% used under 4,000 gallons a month. He further
explained that under 5% of customers used over 6,000 gallons, and that the few
customers using over 10,000 gallons a month were likely commercial accounts
rather than residential. He discussed two purposes for gathering this
information, one being due to inquiries raised by guests at Board meetings,
about how much bills would be once the sewer project was complete. He explained
that the other reason was for the purpose of revenue projections when
considering payback of debt. Discussion followed about customers' water usage.
Mt. Ebal Church Rd.: Ron Niland discussed that he had been in touch with Rural
Development Center about funding for a line extension on Mt. Ebal Church Rd. He
explained that while the customers on this road will likely qualify for
assistance through a home improvement repair program, they would have to apply
for grants for the tap fees individually and then turn the proceeds over the
District. The Board discussed and agreed for Ron Niland to proceed with trying
to put the project together.
Patricia Marshall inquired about Loflin Fabrication and what they did and the
Board explained that they make attachments for bobcats and the other metal
fabricating. She also inquired why the Town of Denton could not treat the sewer
at Badin Lake and the Board explained that their treatment plant did not have
the capacity. Mrs. Marshall also inquired about income assistance for the Badin
Lake Sewer Project and Ron Niland explained that the District was in the
process of reviewing the applications and determining final criteria for
qualifications for assistance. He discussed that the programs where the funding
was coming from would have the final say in specifically which people would
qualify. Discussion followed and the Board encouraged the public to encourage
anyone who they felt may qualify for assistance to fill out an application.
Tim Loflin made a motion to go into closed session to discuss legal matters
concerning contract negotiations with Badin Shores Resort. Debbi Yarbrough
seconded the motion, passed by the Board unanimously.
Ronnie Harrison made a motion to move back to open session, Debbi Yarbrough
seconded the motion, passed by the Board unanimously. No action taken.
Debbi Yarbrough made a motion to adjourn the meeting, seconded by Ronnie
Harrison seconded, passed unanimously.
Adjourned. |