Board Meeting Date: October 25, 2010 ~ 4:00 P.M
PERSONS PRESENT: Gary Winchester, Buzz Ahrens, Nancy Martin, Steven Woodruff, Chris Wilbanks, Mike Byrd, Tom Heard, Bill Graham, Rick Dobbs, Tom Roach, Ryan Sarks, Beth Williams, Clint Blackwell, Mike Venters, Randy Mitchell, Dwayne Fowler, Dan Carson, Dwight Turner, Jeff Hooper, and Craig Ferguson.
Gary Winchester, Chairman, called the meeting to order.
1. AN INVOCATION WAS GIVEN BY NANCY MARTIN, FOLLOWED BY THE PLEDGE OF ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA.
2. GARY WINCHESTER READ A LETTER OF APPRECIATION TO THE BOARD OF DIRECTORS FROM DIANE MINICK, DIRECTOR OF THE UPPER ETOWAH RIVER ALLIANCE. In this letter, Ms. Minick stated that she would like to thank the CCWSA Board of Directors for their generous support in the amount of $2500.00 to support the Upper Etowah River Alliance as it works to educate and protect the Etowah and its watershed.
3. TOM HEARD REFERENCED CORRESPONDENCE RECEIVED FROM MISTI WHITFIELD MARTIN, PRESIDENT OF THE CHEROKEE OFFICE OF ECONOMIC DEVELOPMENT. In this correspondence, Ms. Martin stated that the Cherokee Office of Economic Development had completed a White Collar Recruitment Strategy last year and have been implementing that strategy. Ms. Martin noted that one of the recommendations was to better understand the workforce and the out-commute of over 77% of residents. Ms. Martin noted that on 11/4/10, her office is launching an online survey for Cherokee County residents in hopes of gaining information to target companies that match the workforce’s skill sets. Ms. Martin requested that the Authority Board approve a bill insert that would allow her office to build awareness of this survey.
MOTION BY STEVEN WOODRUFF AND SECOND BY NANCY MARTIN TO APPROVE THE INCLUSION OF THE BILL INSERT WITH AUTHORITY BILLINGS, PROVIDED THAT THE CHEROKEE OFFICE OF ECONOMIC DEVELOPMENT UNDERSTANDS THAT THEY WILL BE RESPONSIBLE FOR ASSOCIATED COSTS OF THIS PROJECT. All members present voted for the motion.
4. DWIGHT TURNER REFERENCED CORRESPONDENCE RECEIVED FROM AUTHORITY CUSTOMER RON CALAHAN. In this correspondence, Mr. Calahan stated that he recently moved to Cherokee County and was recently informed by an Authority employee that he was using a large amount of water. Mr. Calahan noted that he had immediately contacted a plumber, and the plumber found a pipe in the wall of Mr. Calahan’s guest house that was broken. Mr. Calahan noted that the water had leaked through the wall and under the foundation.
In the correspondence, Mr. Calahan further noted that as a result of this leak, which has now been repaired, he is left with a high water bill in the amount of $5624.20. Mr. Calahan requested Board consideration and assistance with this billing.
Dwight Turner noted that this customer’s billing was for 879,000 gallons of water usage.
MOTION BY STEVEN WOODRUFF AND SECOND BY MIKE BYRD TO FORGIVE ANY PENALTIES ASSESSED WITH THIS PARTICULAR BILLING AND TO AUTHORIZE DWIGHT TURNER TO OFFER THE CUSTOMER MONTHLY PAYMENT ARRANGEMENTS THAT WILL EXTEND UP TO A MAXIMUM OF TWO YEARS. THE AUTHORITY WILL REVISIT ITS LEAK ADJUSTMENT POLICIES AT A LATER DATE TO DISCUSS POTENTIAL MODIFICATIONS. All members present voted for the motion.
5. TOM ROACH REPORTED THAT THE AUTHORITY IS IN RECEIPT OF CORRESPONDENCE FROM ROMAN DEVILLE, ESQUIRE, OF TEMPO REAL ESTATE CORPORATION REGARDING THE ACCOUNT OF RDZ WALDAN POND PARTNERS, LLC, 5473 BELLS FERRY ROAD, ACWORTH, GEORGIA, FOR THE BILLING PERIOD 7/16/10-8/13/10. In this correspondence, Mr. DeVille stated that between January 2010 and August 2010 the average water and sewer bill for the above property has been running at an average of $7,486.14, from a low of $6,090.00 to a high of $8,816.00. On 7/4/10, there was a break in the water line to building 300 on the property, which was replaced by new pipe and new shut off valve on 7/15/10. The repairs were made by EnviroQuip Plumbing of Mableton, Georgia.
Mr. DeVille further noted in this correspondence that during the period of the leak and as a result of the leak, the bill nearly doubled to $13,920.40. A request was submitted for credit. Mr. DeVille stated that the company was contacted by an Authority staff member who stated that it is Authority policy that residential accounts are eligible for a credit, but multi-residential (commercial) accounts are not eligible.
Mr. DeVille stated that this distinction between a residential account and a multi-residential account bears no rational relationship to any legitimate governmental purpose to protect the public health, safety, and welfare. Mr. DeVille stated that he feels that the policy, whether written or unwritten, as applied is arbitrary and capricious and in violation of the Fourteenth Amendment to the United States Constitution and a violation of Article I, Section I, Paragraph I of the Constitution of the State of Georgia of 1983 and Article I, Section III, Paragraph I of the Constitution of the State of Georgia of 1983.
Mr. DeVille noted that moreover, the policy, as applied, violates the equal protection clause of the Georgia and United States Constitution because without any rational basis, it treats residential owners differently from multi-residential (commercial) owners.
Mr. DeVille also noted that while the company was waiting for an answer to their request for credit, the Authority imposed a late fee.
Mr. DeVille requested that the Authority waive the late fee and issue a credit. Mr. DeVille also requested that the Authority review its policy and consult the attorneys who represent the Authority because he contemplates filing a class action on behalf of all aggrieved commercial account holders damaged by the policy.
Tom Roach stated that he had drafted a letter of response to Mr. DeVille that explains the philosophy behind the Authority’s leak adjustment policy. Mr. Roach noted that any water flowing through an Authority meter is considered sold at that point, and noted that the Authority cannot and will not act as a guarantor for its customer’s internal plumbing. The Authority will allow leak adjustments only if the leak occurs at a location between the water meter and a customer’s home or a customer’s internal plumbing. In this way, the Authority is assured that the escaping water is not finding its way into the Authority’s sewer. In those circumstances, the Authority allows an adjustment for only that portion of the leak which may be attributable to the Authority’s sewer charge. Mr. Roach noted that the Authority could not and would not approve, inspect, and accept for public use any utilities within this development. In addition, the Authority’s policy requires at least a 10,000 gallon leak per equivalent residential unit to be considered for adjustment.
Mr. Roach noted that he would provide the Board with a copy of this letter of response, and also noted that the Authority could revise its leak adjustment policy, if deemed necessary, and substitute ¾ inch meters for residential meters within the terms of the leak adjustment policy due to the fact that a leak in service lines larger than ¾ of an inch could seriously jeopardize both quantity and quality of water to the Authority’s other customers.
6. MOTION BY NANCY MARTIN AND SECOND BY CHRIS WILBANKS TO APPROVE AND AUTHORIZE TOM HEARD TO SIGN AN EASEMENT IN FAVOR OF WASTE-PRO IN RETURN FOR A CONVEYANCE OF A CONSERVATION EASEMENT ALONG THE FLINT PROPERTY ON SHARP MOUNTAIN CREEK. All members present voted for the motion.
MOTION BY NANCY MARTIN AND SECOND BY CHRIS WILBANKS TO APPROVE THE CONVEYANCE OF THE FLINT CONSERVATION EASEMENT TO GEORGIA CONSERVATION TRUST, INC. All members present voted for the motion.
7. DISCUSSION FOLLOWED CONCERNING LEAK ADJUSTMENT GUIDELINES.
8. MOTION BY BUZZ AHRENS AND SECOND BY CHRIS WILBANKS TO APPROVE THE 9/27/10 BOARD MEETING MINUTES AS PRESENTED. All members present voted for the motion.
9. BETH WILLIAMS STATED THAT NO FINANCE REPORT WOULD BE GIVEN THIS MONTH DUE TO THE AUDIT IN-PROGRESS.
10. CLINT BLACKWELL PRESENTED THE WATER TREATMENT OPERATIONS REPORT. Mr. Blackwell reported an average daily treatment of 15.84 MGD at the Etowah River Water Treatment Facility for the month of October. Mr. Blackwell also reported that the Hollis Q. Lathem Reservoir is currently full at 1189 feet.
11. CLINT BLACKWELL REPORTED THAT THE AUTHORITY HAS RECEIVED FROM THE GEORGIA DEPARTMENT OF NATURAL RESOURCES THE RESULTS OF THE SANITARY SURVEY OF THE AUTHORITY’S WATER SYSTEM. Mr. Blackwell reported that the Authority’s overall score was 97.6%, which is in the category of “Outstanding Performance.”
12. MIKE VENTERS PRESENTED THE WASTEWATER TREATMENT OPERATIONS REPORT. Mr. Venters reported an average daily treatment of 2.646 MGD at the Rose Creek facility and an average daily treatment of 2.931 MGD at the Fitzgerald Creek facility.
13. BILL GRAHAM PRESENTED THE CONSTRUCTION REPORT. MR. GRAHAM PRESENTED AN UDPATE REGARDING THE SR 20 TRUCK CLIMBING LANES WATER MAIN REPLACEMENT PROJECT. Mr. Graham reported that the contractor for this project, Gary’s Grading & Pipeline Company, had been issued a notice-to-proceed on July 6, 2010, with 180 days for substantial completion. However, Mr. Graham noted that less than 4% of the scope of work for this project had been completed by 10/4/10. The contractor has removed the first crew working on this project and has put another crew in place. Mr. Graham noted that this second crew had installed approximately 450 feet of pipe during the period 10/4/10 – 10/18/10. However, approximately 21,000 feet of pipe remains to be installed before the substantial completion date of 1/2/11.
Mr. Graham stated that the Authority would like to contact the contractor and inform the contractor that the Authority requests that the contractor respond in writing within 10 days and provide the Authority with assurance of timely completion of the contract.
Tom Roach noted that this assurance should include a detailed description of the man power and equipment the contractor intends to devote to the Authority’s job together with a proposed time line for achieving bench marks between the present and 1/2/11. Delays in completing the job as agreed will likely result in substantial delay damages over and above the liquidated damages specified within the contract.
Tom Roach suggested that the Authority place the contractor’s surety company on notice of the Authority’s concern.
IT WAS THE CONSENSUS OF THE BOARD FOR THE AUTHORITY TO PLACE THE CONTRACTOR ON NOTICE OF THE AUTHORITY’S CONCERN. A COPY OF THIS NOTIFICATION WILL BE SENT TO THE CONTRACTOR’S SURETY COMPANY. A COPY OF THIS NOTIFICATION WILL ALSO BE FORWARDED TO THE BOARD OF DIRECTORS.
14. TOM HEARD PRESENTED THE GENERAL MANAGER’S REPORT. Mr. Heard noted that the Board may wish to reschedule meetings during the months of November and December due to the Thanksgiving and Christmas holidays.
IT WAS THE CONSENSUS OF THE BOARD TO OMIT THE BOARD AGENDA MEETING/WORK SESSION FOR THE MONTH OF NOVEMBER DUE TO THE THANKSGIVING HOLIDAY. THE MONTHLY BOARD MEETING WILL REMAIN AS SCHEDULED ON MONDAY, NOVEMBER 29, 2010 AT 9:00 A.M.
IT WAS THE CONSENSUS OF THE BOARD TO RESCHEDULE THE BOARD AGENDA MEETING/WORK SESSION FOR THE MONTH OF DECEMBER DUE TO THE CHRISTMAS HOLIDAY. THE BOARD AGENDA MEETING/WORK SESSION, WHICH WILL INCLUDE DISCUSSION REGARDING THE AUTHORITY’S LEAK ADJUSTMENT POLICIES, WILL BE HELD ON THURSDAY, DECEMBER 16, 2010, AT 3:00 P.M. THIS MEETING WILL BE FOLLOWED BY THE MONTHLY BOARD MEETING AT 4:00 P.M. NOTIFICATION OF THESE MEETINGS WILL BE PROVIDED TO THE PRESS.
15. MOTION BY BUZZ AHRENS AND SECOND BY NANCY MARTIN TO ADJOURN. All members present voted for the motion.
The meeting adjourned at 5:10 P.M.