BWD Board of Trustees Meeting

Thursday – February 17: The Buckeye Water District Board of Trustees held their regular monthly meeting Thursday at Wellsville Village Hall. Present at the meeting was Board President Mike Ryan and Board Members Bob Wines, Dave Lloyd, Cal Carney, Rick Williams, Tim O'Hara & Roy Dray. Also in attendance was District Manger Al DeAngelis, BWD Legal Advisor Fred Emmerling, Fiscal Officer Tony D'Angelo and Office Manager Greg Stanley. Trustees Gene McGaffick and Jack Call were absent.

In the Public Comment Period of the agenda, Vice Chairman of the Madison Township Trustees Gary Williams addressed the Board in regards to the disposition of an invoice submitted to BWD for hot mix used by the township to repair roads in the Yellow Creek precinct. Williams was accompanied by Madison Twp. Trustee Chairman Rodger Walker. Williams noted the trustees consider themselves to be good neighbors to the BWD Board and always try to help as best possible in the water district's efforts to supply water to residents of Madison Twp.

Dated September 30, 2010, the invoice was for 250 tons of hot mix used on Osbourne, Fife Coal, Crews Road and Opal Drive in the amount of $15,500. Walker said the invoice was just for material with no labor costs included. Hot mix is used in the chip & seal program. The invoice was for repairs made after Phase A of the new Salineville waterline was completed. Williams noted that as of February 17, township officials have not received any formal communications as to the disposition of the invoice although there has been some positive feedback. They were present at the meeting asking for a definite answer to the situation.

In response District Manager DeAngelis noted that he, Williams & Walker went out and looked at the roads before the project was completed. At that time DeAngelis asked if everything was all right and they responded that everything was fine. Believing that everything was okay with the township trustees the project was completed. Walker countered that they did not say everything was fine. They said it looked okay. Ryan noted the work was done between October & November of 2009. The contract was signed off in the summer of 2010. BWD needed to know in that period if there were problems. The money is gone for that contract.

Originally the township trustees were concerned with the dirt and mud on the roads. Williams remarked he first looked at the roads in January 2009. When the final inspection was done in August 2010 the roads looked “1,000% better” than they did the previous January. Williams observed that road damage is not always immediately evident. Sometimes it takes years for problems to show up. As an example Williams said problems are beginning to show on Township Line Road between Wells Hollow and Mick Road when a water line was installed two or three years ago. After going back & forth for a while Mike Ryan advised that all the facts will be reviewed by the BWD attorney and the matter will be taken up with the BWD Service Committee. When that is accomplished Ryan advised the township trustees they will get back to them.

Bob Wines reported that the Fiscal Officer has the accounting system converted completely to a cash basis on the accural system that BWD was working with before in the Treasurer's Report. Wines noted it's a lot simpler now. With accounts being frozen by Court order there was a construction bill that had to be paid from the General Fund.

Wines also reported a resolution was needed to approve the District Manager to sign purchase orders. He noted the Fiscal Officer needed an authorized signature on purchase orders. Carney wanted to put a $200/$300 limit on what can be authorized without full board approval. Tony D'Angelo responded he has never seen limits put on amounts of purchase orders in all his years of auditing. He stated the bill for employee insurance alone is around $10,000 a month and many times chemical orders are received that cost $12.000/$15,000. There is normally a request, an invoice and documentation to back up a purchase order or it is not issued. Attorney Emmerling advised the Board would need a resolution drafted but in the meantime can authorize a signature by making a motion until a resolution can be presented. A motion was passed authorizing the District Manager to sign purchase orders and the President of the Board in his absence. The Treasurer's Report was accepted.

The Operations Report showed that 29.6 million gallons of water was produced in January. The Village of Wellsville used 6.9 million gallons of that. The Elkton Prison used 8.5 million gallons. Salineville used 2.2 million gallons. The daily average usage of all BWD customers was 958.367 gallons in January.

There were no Committee reports but it was noted that the new health insurance will be effective March 1. The coverage is a new policy with Athem Blue Cross brokered by Cooper Insurance. The district will be paying $64 per month less than what was paid when dealing through the County. D'Angelo noted that coverage for a single and spouse went up but the there was a big break in family coverage. Family coverage went way down. The health insurance is provided at no cost to the employee.

In the District Manager's Report, DeAngelis reported that RCAP has completed the energy audit and submitted a report detailing some measures that can be implemented to conserve energy.

Also RCAP informed the District that it has been put on the appropriations request for the Army Corp of Engineers for the Route 45 waterline replacement project. There is a moratorium for earmarks on the Corp's budget and RCAP will inform the District of the status of the grant.

AEP has notified the District that their filing for capacity recovery has been denied and that allows the District to receive a better rate on its electrical costs. If the recovery filing is later approved the District will be permitted to go back to the previous electrical rate.

DeAngelis reported that a fourth waterline collar has broken in the Village of Salineville and has to be replaced. That waterline was put in six or seven years ago by Salineville before the water district was on the scene.

In the Project Report DeAngelis reported that the District has been in contact with the contractor to finalize the remaining items on the punch list for the Phase B of the Salineville Waterline. All that remains is the regrading of two residential yards and grouting the floor of the vault. Once completed a final walk through inspection will be done before releasing the final payment.

RCAP needed some pictures of the area where the road is to be rebuilt to the Salineville water tank There will be a public meeting in Wellsville on the road construction to be in compliance with CDBG rules. Once all that is completed the project will be put up for bid. The District had gotten permission to use left over funds from Phase B and no new additional funding will be required.

Bob Wines reported a situation from last summer for Old Business where the Calcuttta & Glenmore Fire Departments requested to place a radio antenna on the Oakmont water tank located on Irish Ridge Road. He had an agreement that needed approval for them to go ahead placing the antenna. In the agreement it is stated that the antenna was to go on the railing only and transmissions must not interfere with the BWD telemetry. Wines noted there are a lot of dead zones with radio communications in St. Clair Township because of the hilly terrain. It is hoped the communications will be improved with the new antenna. Wines advised pre-tests will be conducted before permanent installation. The fire departments will assume responsibility for all installation and electricity costs. The motion to accept the agreement was passed.

The Board then retired into a 48 minute Executive Session for litigation. Upon returning there was no action taken or comments made. The hearing for the garnishment of BWD assets filed by the City of East Liverpool is set for next Thursday, February 24. The garnishment filing was made in attempt to recover the fine imposed by the courts on the breech of contract lawsuit file by that city. The Ohio Supreme Court refused to hear a final appeal in December. Since then the BWD has submitted a partial payment plan to give them time to work out details to fund the balance of what is owed. To our knowledge East Liverpool officials have never responded to that plan. If forced to pay the full amount immediately the water district said would hinder their ability to service their customers. The BWD Board has voted to file for bankruptcy protection if that happens.

The meeting adjourned at 10:24 AM. The next regularly scheduled meeting is Thursday, March 17 at 9 AM at Wellsville Village Hall.

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