STOKES COUNTY WATER AND SEWER AUTHORITY

 

MINUTES

 

JANUARY 27, 2005

 

  

The Stokes County Water and Sewer Authority met in regular session on January 27, 2005, in the Commissioners Chambers of the Stokes County Administration Building in Danbury with the following members present:

 

                Wayne Smart, Chairman

                Ron Clifford, Member

                Worth Hampton, Member

Arzell Montgomery, Member

 

Jay Kinney, Public Works Director

Ron Morgan, Economic Development Director

Brenda Carter, Secretary

 

Absent:  John Hawkins, Vice Chairman

              Julia Edwards, Finance Director

 

APPROVAL OF MINUTES

 

Mr. Montgomery made a motion to approve the December 9, 2004, minutes, seconded by Mr. Clifton and the motion was approved.

 

SAURATOWN PROJECT UPDATE

 

Mr. Tory Wagoner, with Cavanaugh and Associates, stated that he had had discussion with Mr. Randall Patterson with Sauratown Fire Department.  Mr. Wagoner noted that Mr. Patterson, chief at the fire department had been informed by the Rural Center that they had until February 8th  to advise if they are doing the project or not.  Mr. Wagoner noted that the fire department is trying to secure funding for this project and should know by the end of the following week if this project will be approved. 

 

 WALNUT COVE ASSESSMENT

 

Mr. Wagoner noted that he had a final draft of the study for Walnut Cove and informed the Board that he had assessed the operating and maintenance costs to produce water.  He noted that the Town of Walnut Cove does not have an updated report on the water project, but he was able to gather data sufficient enough for his report. He noted that the Town of Walnut Cove is producing almost 65 million gallons of water per year and generating about ONE HUNDRED FORTY THREE THOUSAND DOLLARS ($143,000.00) in revenue. The cost was calculated at TWO HUNDRED THIRTY FIVE THOUSAND DOLLARS ($235,000.00). This is at a loss of NINETY ONE THOUSAND DOLLARS ($91,000.00) per year. He noted that if the Town purchased water from the Authority they would still maintain their tanks, pipes and billing system. The SCWS Authority billing rate is $2.76 per thousand and in order to sell the water at a reasonable rate it would have to be dropped below $1.70, maybe at $1.50.   If this was sold at the rate of $1.50 then this would be saving the Town of Walnut Cove about 11.8% of their production cost. 

 

Mr. Wagoner noted that the problem with this is that the SCWS Authority would be paying $2.76 and would be selling to the Town of Walnut Cove for $1.50.    

 

Mr. Wagoner noted that the waste that SCWS Authority is experiencing is 2.1-6.3 million gallons per year and if the Town of Walnut Cove could buy 10% of their annual need, this would take care of the wasted water and to sell them no more than this amount.

 

There was discussion concerning renegotiations with Forsyth County in buying more water if the rate would decrease.  Mr. Jay Kinney, the Public Works Director, will contact Doug Saunders with Forsyth County concerning this matter.  Mr. Wagoner gave the Board members copies of the draft for the Walnut Cove Assessment.

               

Mr. Kinney informed the Board that his department was getting calls concerning when there would be water lines run along Highway #8.  Mr. Montgomery noted that the residents along Hinsdale Road are interested in lines being run there and he noted that this was the highest residential site to consider running the water lines.

 

               

ITEMS OF GENERAL CONCERN

 

  Mr. Kinney informed the Board that the Fiddlers Creek Project had been finalized and the County has made the final payment of $5,409.80.  He noted that Cavanaugh and Associates have submitted two invoices for approval by the Board to be paid ($200.20 and $2,900.00) for services for the month of December.  Mr. Hampton made a motion to approve this payment, seconded by Mr. Montgomery and the motion was approved.

 

Mr. Kinney noted that there was a fire hydrant in the jurisdiction of Walnut Cove but was outside Walnut Cove’s city limits, this hydrant was in need of repair due to being run over by an automobile.  Mr. Wagoner noted that it depended on what side of the Master Meter it was located.  It was determined that the SCWS Authority was responsible for the cost of replacing this hydrant.

 

As there was no further business to discuss Mr. Clifford made a motion to adjourn.