Finance Committee Minutes – October 20, 2015

For your consideration, please review the minutes for the Finance Committee Meeting from October 20, 2015:

BGJWSC_Finance_Committee_Minutes_October_20,_2015

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

PRESENT:                  Donald Elliott, Chairman

Ronald E. Perry, Commissioner

John Cason, Commissioner

John Donaghy, Chief Financial Officer

Todd Kline, Senior Engineer

ALSO PRESENT:       Thomas Boland, Commissioner

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

PUBLIC COMMENT PERIOD

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

Commissioner Cason made a motion seconded by Commissioner Perry to add item to the agenda Coastal Incentive Grant Program.

Commissioner Boland made a motion seconded by Commissioner Perry to add item to the agenda Vehicle Purchase Update

Commissioner Boland made a motion seconded by Commissioner Perry to add item to the agenda Miscellaneous Fees and Fines Proposal.

APPROVAL

Commissioner Perry made a motion seconded by Commissioner Cason to adopt the minutes of the September 15, 2015 Finance Committee meeting. Motion carried 3-0-0.

DISCUSSION

FY 2016 Budget Execution Review – J. Donaghy

John Donaghy addressed the Committee and discussed the Detailed Balance Sheet.  Purchase orders were discussed.  It was noted that certain line items have been detailed out with specific costs as seasonal or once a year expense.  John continued stating the overtime is being reviewed and monitored as well as the fuel costs.  The need for vehicles/trucks were discussed.

Bank Reconciliation September 2015 – J. Donaghy

John Donaghy updated the Commissioners on the general ledger and balancing of the bank statements.  It was noted the ledger is not fully balanced yet as some discrepancies are being researched.  There was discussion regarding the lock box account and consideration of replacing the monthly cost with a person.

Year End Audit for 2015 – J. Donaghy

John Donaghy went through the Audit Findings from the Mauldin & Jenkins.  The main discussion came from Auditor’s Discussion and Analysis.  It was recommended to have Jones Edmonds & Harris to get together and design an interface between the two. It was noted that the purchase of inventory goes through the financial records and the use of inventory goes through Cityworks.  Certain problems should go away by next audit.  Elizabeth Burns gave a brief update on Cityworks implementation on tracking inventory.  The Accounting Recommendations and Related Matters were discussed as well as items cited. It was requested that John, with the assistance of Pam Crosby, develop a comprehensive written ‘Policies and Procedures Manual for the Financial Reporting Process’ and present to the Finance Committee.

Operation Agreement Section 11 – D. Elliott

Commissioner Elliott discussed the Rates section 11 in the Operating Agreement.  Particular attention was discussed in broadening the explanation and ask legal to assist in addressing the language.

Coastal Incentive Grant Program – J. Sellers

Jay Sellers presented the memorandum on the Georgia Department of Natural Resources Division – Coastal Incentive Grant Program.  Jay stated he and Pam Crosby attended a meeting at the Georgia DNR office and it was discovered that JWSC would have the opportunity to take advantage of some NOAA Grant Funding.  Coastal Resources Division, operates the Coastal Incentive Program as part of the federal NOAA grant that is provided to Georgia’s Coastal Management Program.  JWSC would consider a consultant that would come in and provide a threat hazard vulnerability assessment on our facilities, lift stations, well sites, elevated storage tanks, and administrative offices and see what we need to do.  The grant can be used to fund the consultant to perform the research and to identify where we are weak and where we can strengthen those facilities.  The intention would be to create an RFP following their approval.  It was noted that one of the core values of this funding is public education and where we or the consultant would provide this information to help educate in schools or other areas.  There are other water utility companies who have signed up for this grant like Brantley County and have performed the same type of study.  This would also tie into the FEMA grant funding.  All documents go through DNR and JWSC will need to match.  It was agreed by all to bring before the full Commission on Thursday for approval.

Vehicle Purchase Update – P. Crosby

Pam Crosby updated the Commissioners with a memorandum for the vehicle/truck situation.  It was noted in the staff meeting on 10/13/15 that Systems Pumping and Maintenance group brought forth an urgent need to purchase (2) 3500 series service trucks.  Robert Holmes and Kirk Young spoke on the situation of the employees and the vehicles use. These items have been on hold pending the addition of a Fleet Manager and Capital expenditures, which have been temporarily suspended.  A list of comparison costs for 1500 and 3500 series trucks from various local dealerships and brands was provided. There was further discussion on used trucks purchased from auctions as an option and warranties.  It was requested the Finance Committee be provided a vehicle list with mileage and life estimate.  It was recommended for staff to retrieve the GSA contract price and the Richie Brothers and provide to the Commission meeting.

Fees and Fines Proposal – D. Elliott

Chairman Elliott discussed the proposed miscellaneous service charges.  The charges were broken down and explained with percentages.  It was noted that Andy Burnham and Bill Zieburtz will be here Thursday during the Commission meeting to discuss further.

Director’s Update

There being no additional business to bring before the Finance Committee, Chairman Elliott adjourned the meeting at 3:58 PM.