USDA Security review – Paul reported that Tanya Winslow from USDA was at the office today to check our compliance with their requirements. This is related to the USDA loan that we received for rebuilding the No. 3 and No. 1 pump stations.

Public Hearing Discussing Water and Sewer Rate Increases proposed in Resolution 25-01 and Resolution 25-02: No one from the public was present. Chris made a motion to adopt Resolution 25-01, a Resolution to increase water rates by 3%. Joe seconded the motion. All in favor. Motion carried. Chris made a motion to adopt Resolution 25-02, a Resolution to increase sewer rates by 2%. Joe seconded the motion. All in favor. Motion carried.

Water and Sewer Rate Review – Annual review of rates to be done in January of each year. Chris made a motion to increase the current water service rate by 3%. Jeremy seconded the motion. All in favor. Motion carried. Chris made a motion.to increase the current sewer service rate by 2%. Jeremy seconded the motion. All in favor. Motion carried.

Angus Ln. water storage reservoir –Environmental & Cultural Statement of Work – Paul stated that The Bureau of Reclamation is working on their review of Dudek’s Statement of Work. We are hoping to start the environmental and cultural work at the beginning of January.

Online Service Application – Paul stated that we recently added an online application service to our website. We have occasional customers that are unable to come into the office to physically sign up for service, so we asked Systech to design an online option.

DEQ Point Source Project Loan Application – Paul stated that he would like to apply for a $2M loan from DEQ for I/I improvements. If awarded, it could include up to $1M as a forgivable portion. If we don’t get selected for the forgivable portion, we don’t have to take it. The application is due in December. Joe made a motion for Paul to apply for the DEQ loan. Brandon seconded the motion. All in favor. Motion carried.

Utility Shop Building Progressive Design Build – Paul had a meeting with Emery & Sons in Salem yesterday. The purpose was to identify all the risks related to the project to come up with a project contingency amount to supplement their projected Guaranteed Maximum Price (GMP). It was an informative meeting and good to identify any risks involved from owner, construction, and engineering perspectives.

Paul reported that we are still corresponding with the Bureau of Reclamation regarding the Cultural and Environmental Review. We were hoping to start construction in spring of 2025, but according to the Bureau of Reclamation, that timeline will need reevaluated. We will likely have contract out to a Cultural Resource Management firm due to heavy workload at the Bureau of Reclamation. The Moore’s and Atkinson’s have completed the lot line adjustment, so we are able to proceed with the property acquisition.

Paul reported that we are still working with Systech on the website rebuild and we should hopefully have more information by the end of the week.

Paul stated that we are negotiating the project to get it under the $750K budget. So far, we have deleted the parts room, mechanics pit, and all the windows. If we don’t insulate the building, we will make it under budget. This is a work in progress. We may end up terminating the award and re-bid the project as a worst-case scenario.

Paul reported that we had our OSHA consultation on April 25th . Paul said that it was a really good experience and we have already taken care of most of the findings.

Paul reported that our main source of water revenue (water sales) is about 7% over the budgeted amounts and sewer revenues are just above projections. Our expenses are in line with where we should be for the year to date.

Roger requested that we update the website with more information, such as projects and minutes. The board asked Paul to talk with Systech to see what they could do for us that wouldn’t require a monthly bill.

Paul stated that we received an estimated cost for Phase 1a of the Utility Shop Building PDB. The scope includes conceptual site layout, defining permit and regulatory requirements, geotechnical investigation, flood plain considerations, alternative design concepts including estimated costs and a 20% design based on all information gathered. The estimated project budget is $44,600. Joe made a motion to approve Phase 1a. Brandon seconded the motion. All in favor. Motion carried.

Paul stated about $2M of the unrestricted assets are earmarked for the Water services. We are currently working toward building a new treated water reservoir that will cost upwards of $2M. It would be prudent to look at the increased costs for operations and adjust rates accordingly. Chris made a motion to increase water rates by 3%. Joe seconded the motion. All in favor. Motion carried. Chris made a motion to increase sewer rates by 1%. Joe seconded the motion. All in favor. Motion carried.