SUPERSTITION MOUNTAINS COMMUNITY FACILITIES DISTRICT NO. 1 Meeting Minutes Board of Directors Regular Meeting

Transcription

1 SUPERSTITION MOUNTAINS COMMUNITY FACILITIES DISTRICT NO. 1 Meeting Minutes Board of Directors Regular Meeting Meeting location: 5661 S Ironwood Drive Apache Junction, AZ Phone: (480) Fax: (480) Friday, September 23, :00 AM District Board Room PRESIDING: PRESENT: ABSENT: Ms. Kathleen Waldron Kathleen Waldron Chairman Jeff Struble Treasurer Chester Burgess Board Member Jesse Gage Board Member Jim Reynolds Board Member Staff Present: Darron Anglin District Manager Sue Sopko Management Analyst Kathy Huckfeldt Executive Assistant Andrea Dominguez Business Services Supervisor Sarena Manning Customer Service Supervisor Maria Zagar Financial Services Supervisor Others Present: Clarke Greger District Legal Counsel Kerry Amann AmeriSource HR Consulting Group, LLC 1. Call to Order. Ms. Waldron called the meeting to order at 8:03 AM. 2. Invocation and Pledge of Allegiance. Board Member Burgess gave the Invocation. Board Treasurer Struble led the Pledge of Allegiance. 3. Approval of the Minutes of the August 26, 2016 Regular Meeting. Ms. Waldron asked if there were any additions or corrections to the Meeting Minutes; there were none and the Minutes were approved as presented. 4. Request to ratify payment of the invoices and transfers presented as (a) Requisition No. 41 to the Operations and Maintenance Checking Account and (b) Requisition No. 41 to the Capital and Replacement Fund. Mr. Struble asked what services Ripple Industries, LLC provides to the District. Mr. Anglin responded that they are the service provider responsible for the hardware and programming associated with the SCADA system. Page 1 of 5

2 Ms. Waldron asked about a line item on the Ryley Carlock and Applewhite invoice regarding discussion of event liquor licenses. Ms. Huckfeldt stated that this line item was listed on the June invoice in error and the current item reflected the credit received. Ms. Waldron inquired about Dell invoices which were noted as removed from project 16.C.28. Ms. Zagar stated that the purchases did not meet the District s requirements for capitalization and were therefore removed from the capital project. Ms. Waldron asked about highlighted line items on a Cemex invoice. Ms. Zagar explained that these were billing errors which resulted in credits issued from the vendor. MOTION made by Mr. Struble to ratify payment of invoices and transfers as submitted to the Board consisting of Requisition No. 41 to the Operations and Maintenance Checking Account in the amount of $1, Requisition No. 41 to the Capital and Replacement Fund in the amount of $48,546.51; seconded by Mr. Burgess. 5. The District Manager s Monthly Disclosure Report on Operations for August There was general discussion regarding septage flows. Mr. Struble asked if the District advertises to septage haulers. Mr. Anglin stated that no advertising is being done at this time. Mr. Struble confirmed that septage revenue is budgeted equally each month throughout the year. Mr. Struble asked for a simplified explanation of the debt coverage ratio. Ms. Zagar and Ms. Sopko explained that the District s excess net revenue must be 20% higher than the annual bond payment, at a minimum, in order to meet the required ratio. 6. District Manager s Report for August Ms. Waldron stated that the basin reopening was well attended and received by City Council and City staff. Mr. Struble stated that Mr. Anglin had attended the September 20 th City Council meeting to present the time lapse video of the basin project. Mr. Anglin stated that the SCADA improvements have been completed and the system is in operation. 7. Discussion and review of internet service provider and action as determined. Ms. Dominguez presented an overview of available internet service providers and the review process the District has conducted. Ms. Dominguez stated that the contract for the District s current internet service provider expires in December. Ms. Dominguez explained that, pending final test results, management has selected a new service provider for the District. She further stated that due to the sixty (60) day notice of cancellation required under the existing contract, management is seeking Board approval to submit a letter of nonrenewal to the current service provider in preparation for the transition to the new provider. Page 2 of 5

3 Mr. Anglin stated that the review process included the largest number of providers and the best service options that the District has ever had given the geographical location of the plant. There was general discussion of available options, information security and management s recommendation to move forward. MOTION made by Mr. Struble to notify the current service provider of the District s intent to allow the existing contract to expire and enter into an agreement with a new service provider; seconded by Mr. Burgess. 8. Discussion of proposed partnership with the City of Apache Junction (City) and request for authorization and approval of an Intergovernmental Agreement (IGA) between the City of Apache Junction and the District to participate in the Flatiron Community Park project. Mr. Anglin stated that one of the District s primary strategic objectives is to improve its interaction with its customers and the community. He further stated that this partnership provides the opportunity to fulfill this objective in a significant way. Mr. Anglin presented an overview of the City s Flatiron Community Park project and the proposed IGA, including the portion of construction costs that the District would contribute, signage requirements, waived sewer connection and design review fees, and minimum monthly service charges for connected structures. Mr. Struble asked how many structures are proposed to receive the minimum monthly service charge, as referenced in section 2.d. of the IGA. Mr. Anglin stated that there are two (2) proposed structures in the first phase, the restroom facility and the water feature, and that under the provisions of the IGA, any additional structures constructed in the future that require sewer service would also be eligible for the minimum monthly service charge. Ms. Waldron asked the amount of the minimum monthly service charge. Mr. Anglin stated that the minimum monthly service charge for the church/government service class is $ Mr. Struble asked whether the partnership was initiated by the District or the City. Mr. Anglin responded that the District approached the City with the opportunity to include the permanent restroom facility in the first phase of the park. There was general discussion of the cost the City would incur to provide portable restrooms if the permanent facility is not constructed. Further discussion clarified that the IGA requires construction to be completed during the first phase of the park. Ms. Waldron asked if other local utilities were participating in the park project. Mr. Anglin stated that several other local utilities and organizations have contributed to various components of the project. There was general discussion of the educational exhibit to be provided by the District for display at the park. Page 3 of 5

4 Ms. Waldron asked what the source of funds to be contributed would be. Mr. Anglin stated that the proposed funds were from connection fees collected in fiscal year 2016, which were in excess of budget. The waived connection and design review fees were discussed and Mr. Anglin stated that the fees related to the park project were not budgeted. MOTION made by Mr. Burgess to approve and authorize the execution of the Intergovernmental Agreement between Superstition Mountains Community Facilities District No. 1 and the City of Apache Junction for participation in the Flatiron Community Park project in substantially the form presented at this meeting with any changes the Chairman may approve, her execution of the agreement evidencing her approval and the District s approval of any changes from the form of the agreement presented at this meeting and the satisfaction of any condition precedent to the District entering into the agreement; seconded by Mr. Struble. 9. Election of Officers. Mr. Greger recommended that the election of officers be postponed until the full Board of Directors could be present. He stated that a secretary could be appointed temporarily until elections are held. MOTION made by Mr. Struble to appoint Mr. Burgess as Secretary of the Board of Directors, to serve until a successor is elected; seconded by Mr. Burgess. 10. Discussion and review of the Board of Directors meeting schedule for the remainder of 2016 and action as determined. Ms. Waldron proposed keeping the existing meeting schedule for the remainder of 2016 and discussing the following year calendar at the December meeting. A work session was scheduled on October 12 th at 8:00 AM to discuss the renewal of the District s employee benefits. Ms. Waldron proposed scheduling the District s holiday party on December 9 th at 6:00 PM. 11. Discussion of public relations and action as determined. Mr. Anglin stated that the aeration basin reopening was a success and articles highlighting the event were published in local newspapers. He stated that the District is participating in the Veteran s Day parade and sponsoring portable restrooms for the Festival of the Superstitions, which takes place on November 11 th and 12 th. Ms. Waldron directed staff to contact septage haulers to notify them that the District accepts septage disposal. Page 4 of 5

5 12. Discussion of the District s strategic planning and action as determined. Ms. Waldron asked if there were any updates. Mr. Anglin reiterated that the proposed IGA with the City is a significant milestone towards one of the District s primary strategic objectives. 13. Direction from the Board of Directors to staff regarding items to place on the next Regular Board Meeting agenda. Staff was directed to include the Election of Officers and a report on communication with septage haulers on the next meeting agenda. 14. Call to the public. The Board will neither discuss nor take legal action on a matter raised during the call to the public, but may refer the matter to the District staff for review or direct the matter to be put on a future agenda. Members of the Board may respond to matters raised as permitted by Ariz. Rev. Stat. Ann H. No one from the public appeared. 15. Adjournment. There being no further business the meeting was adjourned at 9:04 AM. Page 5 of 5