Finance Committee Minutes – March 15, 2016

For your consideration, please review the minutes for the Finance Committee Meeting from March 15, 2016:

BGJWSC_Finance_Committee_Minutes_March_15,_2016

To read the minutes, please open or download the pdf from the link above or you may see more below:

PRESENT:                              Donald Elliot, Commissioner

                                                Ronald Perry, Chairman

                                                Thomas Boland, Acting Director

                                                John Donaghy, Chief Financial Officer

ABSENT:                                John Cason, Commissioner

Chairman Elliott called the meeting to order at 2:00 PM.

PUBLIC COMMENT PERIOD

There being no citizens that wished to address the Committee, Chairman Elliott closed the Public Comment Period.

Commissioner Elliott stated item #2 Revision of Water and Sewer Ordinance under Adopt was removed and stated there is no need to approve at this time per legal counsel. Commissioner Boland stated item #3 Revision of SPLOST List under Adopt has been moved to Discussion below.

ADOPT:

Minutes from February 16, 2016 Finance Committee Meeting

Commissioner Boland made a motion seconded by Commissioner Perry to adopt the minutes of the February 16, 2016 Finance Committee Meeting. Motion approved 2-0-1 (Commissioner Cason was absent for the vote).

DISCUSSION:

February End of Month Financial – John Donaghy

John Donaghy discussed the presented financial documents. He stated the cash balances have stayed the same.  The Commissioners Report shows 16M in revenue which is an average of 2M per month.  The 2016 budget shows 26 M for the year.  The total operating budget was discussed and it was requested to have details added showing the reserves and have for the full Commission meeting.  Mr. Donaghy stated there is 8M in the Operating Reserves.  Comm. Elliott explained the suggested plan to use 1.5M of this reserve to jump start Expansion Reserves.  Comm. Boland inquired about the group insurance listed on Commission Report going up from the year before and was explained it is due to increased employees for full family coverage.  The cost for full family coverage was noted to be $18,000.00 per year.

2016-2017 Budget – John Donaghy

John Donaghy discussed rates over cash requirements and how much is needed for the 2017 budget.

Rate Resolution Update – Comm. Elliott

Comm. Elliott stated the rate resolution is being set for next year. Burton and Associates have estimated for the model and generates debt services and administrative services.  1M is planned for manholes under next years budget.  It was stated for public information that there are approx. 8,000 manholes that JWSC takes care of.  These manholes need to be repaired or replaced basically after 10 years.  There are approx. 5,000 Fire hydrants to maintain and repair also.  John stated the staff will be meeting on Wednesday to be sure all charges are accurate.  There was additional discussion on REU’s and swimming pools to figure how they are configured based on the Fire Departments maximum occupancy.  John stated if a business does not fall within the items listed their REU’s will be based on a calculated measurement.  Restaurants are more difficult to measure b food serviced and dinnerware vs paper products.  John commented on Linda tremendous research to compare to the fairest prices in the area.

 Revision of SPLOST List – Comm. Boland

Comm. Boland stated the SPLOST list created last year is being revised to add the most critical items that JWSC is currently dealing with. It will include LS 2032 and LS 2003 and Malory Water Tower.

Meeting was adjourned at 2:40 pm.