STOKES COUNTY WATER SEWER AUTHORITY

 

MINUTES

 

SEPTEMBER 9, 2004

 

 

The Stokes County Water Sewer Authority met in a regular meeting on September 9, 2004, in the Commissioners Chambers of the Administration Building, (the Ronald Wilson Reagan Memorial) in Danbury with the following members present:

 

Wayne Smart, Chairman

John Hawkins, Vice Chairman

Ron Clifford, Member

Arzell Montgomery, Member

 

Jay Kinney, Public Works Director

Julia Edwards, Finance Director

Brenda Carter, Secretary

 

Absent:  Worth Hampton, Member

 

Also present:  Steve Cavanaugh, Cavanaugh and Associates

Tory Wagoner, Cavanaugh and Associates

Jane Priddy Charleville, Mayor, Town of Danbury

Thomas Sutton, Town of Danbury

 

APPROVAL OF MINUTES

 

Mr. Smart brought the meeting to order and asked for approval of the minutes for August 12, 2004.  Mr. Hawkins made a motion to approve the minutes, seconded by Mr. Clifford, and the motion was approved.

 

WINSTON-SALEM RATE INCREASE

 

Mr. Smart noted that he was not in favor of this high increase presented by Ms. Edwards at the August meeting. Mr. Smart informed the Board that the Town of Walnut Cove was interested in purchasing water and asked if Cavanaugh and Associates had numbers stating if this was feasible or not.

 

Mr. Tory Wagoner, Cavanaugh and Associates, stated that he was waiting to hear from the Town of Walnut Cove that they were interested in purchasing this water and would get in touch with Mr. Kinney concerning this matter.

 

Mr. Smart noted that he thought that it would be a benefit to the Town of Walnut Cove to purchase this water that was being flushed and they would see a reduction in their fire tax.

 

Mr. Steve Cavanaugh, Cavanaugh and Associates, noted that citizens of Walnut Cove were showing interest in the fire districts by checking with the Mapping Office for fire districts and the rate decrease by being in these fire districts.

 

The Board discussed the rate increase ($43.00) and their reluctance for this high increase. Mr. Clifford noted that a letter should be sent to the residents advising of this increase and the amount that would be needed, and also that the Board was holding down this cost.  It was noted that the Board wanted the costs to the customers to be held around an average of $30.00 per month.

 

Mr. Montgomery made a motion to increase the $25.00 per three thousand gallons that the residents are now paying by 15%. Mr. Clifford noted that the minimum should increase from $16.00 to $20.00 and cost above that should remain the same.

 

After discussion, Mr. Montgomery amended his motion to keep the basic rate of $16 per three thousand gallons, and to increase the charge of $2.40 per one thousand gallons over the minimum usage by 15%.  Mr. Clifford seconded the motion and the Board approved with the following vote:

 

For:  Mr. Montgomery, Mr. Clifford, Mr. Hawkins, and Mr. Smart

Absent:  Mr. Hampton

 

TOWN OF DANBURY

 

Mrs. Jane Charleville, Mayor of the Town of Danbury, thanked the Board for having the Town of Danbury back and gave an update on the Danbury Water Project.  She informed the Board that she had the $5,000.00 check that the Board had requested be returned to them for the SCWSA’s matching grant amount.  She also requested that the Board reconsider the returning of this check amount and to help with the Capital Water Improvement Study and Preliminary Engineers Report.  She noted that this should help with future grant requests.

 

Mrs. Charleville noted that she, Mr. Cavanaugh and Mr. Rick Morris, the County Manager, traveled to the Rural Center and met with Ms. Haigler.  The Town of Danbury has decided to continue with these projects for a supplemental grant.  She noted that it was needed to get the system in a stable condition and this would require replacing pipes, meters, and hydrants.  If they received the $400,000 grant and the county and the town matching 10%, this would mean $25,000 for each.

 

She noted that it was important to the Rural Center that the Town and the County show that they are working together.  After a meeting with Mr. Morris, Mr. Kinney, Mr. Cavanaugh and herself, she advised that they are working on an Interlocal Agreement to have in place by September 27th, there is a deadline of September 30th for the proposal for the grant.  She noted that the contract is to be signed on Friday evening, September 10, 2004.

 

Mr. Cavanaugh noted that Mrs. Charleville had given a very good presentation of this request of funding from the SCWS Authority for matching the costs for the study.  He noted that he had briefed the Board of Commissioners and there was an excellent sense of cooperation from everyone. He stated that he informed the Board not expect to receive this grant, but to expect it to be turned down one time and that gives good information to reapply and move forward.

 

Mr. Clifford asked if the study would look at the existing system and make recommendations about improvements, would have a preliminary cost to be used in the future for this, and does it look at the source of supply and the tank.  Mr. Cavanaugh assured Mr. Clifford of these questions.

 

After Mr. Clifford’s questions were answered in the positive, he made a motion to return the FIVE THOUSAND DOLLARS ($5,000.00) to the Town of Danbury for this study and report. Mr. Montgomery seconded the motion and the Board approved with the following vote:

 

For:  Mr. Clifford, Mr. Montgomery, Mr. Hawkins, Mr. Smart

Absent:  Mr. Hampton

 

Mrs. Charleville requested that the Board keep this check and reissue the Town of Danbury another check for better records for the auditors.  Mr. Smart informed her that this would be done.

 

Mrs. Charleville thanked the Board for hearing her requests.

 

HIGHWAY #65

 

Mr. Smart informed the Board of Mr. Barry West’s request for extension of the water line to the Brookhaven Development.  This area is across from the Baux Mountain Road/Hwy. #65  intersection and consists of eleven homes.

 

Mr. Wagoner noted that this request (Brookhaven) had been made in the past and the Board noted that they would run the lines but would not fund this project and the residents were not interested in this.  He noted that he would pull the figures for the costs of running these lines and update the information and would present them to the Board.  Mr. Smart asked if there were grants for small projects as this and Mr. Wagoner stated that he did not think there was.

 

SAURATOWN PROJECT

 

Mr. Wagoner noted that at the last meeting they were going back to the City of King to inform them that there were local match problems and were to look at tap on fees and other things.

 

Mr. Tory Wagoner noted that Cavanaugh and Associates had asked Mr. Billy Ray Hall, Head of the Rural Center, the status of this project. He informed Mr. Hall that it was their understanding that they would waive the local match.  They received information from the Rural Center that they would not waive the local match, but would cut the grant funding by the amount of the local match.

 

Mr. Hall informed Mr. Wagoner that the Rural Center is still committed to this as in the beginning.  A letter was to be sent to him asking that the local match be waived and he would issue a formal response.    Mr. Wagoner informed the Board that he had drafted a letter to Mr. Smart and he had signed the same and the letter had been sent to the Rural Center.  Mr. Wagoner was waiting to hear from the Rural Center concerning this letter.  Mr. Wagoner noted there was no local match required of the SCWS Authority.   He also noted that the project can move forward with, hopefully, the Town of King’s involvement. After hearing back from the Rural Center then the grant can get under contract.

 

Mr. Clifford asked if the Town of King was willing to take over the maintenance of the system and Mr. Wagoner noted that they had not formally taken this above staff level, but they had let the Town officials know that Cavanaugh and Associates would be back with a formal request.

 

Mr. Smart asked about the pumping station being in the grant and Mr. Wagoner noted that they were not going back and opening the grant application for this, that there was a fixed set of funds and would try to get the project to fit within this set of funds and maybe the Town of King would make up the difference.

 

FIDDLERS CREEK

 

Mr. Wagoner noted that the Fiddlers Creek Project was getting ready to begin, that there were now eight residents signed up for this connection.  He noted that this was a break even number for them.  He noted that with the $765.00 for labor and materials for the tap fees and getting $1,000.00 for a standard tap-on, the difference of $200.00 will enable the project to begin.

Mr. Wagoner noted that Yates Construction should begin construction on Monday.

 

Mr. Smart asked Mr. Wagoner about a statement that he understood that he made concerning the contract that it was an open-ended contract.  Mr. Wagoner noted that this was a unit price contract, which means if they install 15 meters they get paid for 15 meters or if they install 3,000 feet of line that is what they get paid for.  Mr. Wagoner noted that he thought that the cost of installing these lines would be within the range that was budgeted for this.

 

Mr. Wagoner noted that Cavanaugh and Associates put together an estimated set of quantities going in and the quantities are added up giving an estimated total.  This is not written in stone, things may happen in the field.  There are 8 meters to be installed instead of 16 that were in the bid price, but if they install 8 then they get paid for the 8.

 

Mr. Montgomery asked who was contacting the residents along Fiddlers Creek that the Tim Sullivan family had not received a letter, that only ten people have received letters.  Mr. Wagoner informed the Board that MLP Construction was getting in touch with the families and that he would check with MLP Construction concerning the matter of contacting all the families.

 

WATER RIGHTS

 

Mr. Wagoner noted that he had information from Lee Spencer for whom the letter should be sent concerning the Water Rights.  Mr. Spencer noted there was concern that the reason to do it this way was for water rights and he noted that this was important, but greater importance should be on protecting the investment of the piece of property and its ability to function as a water treatment plant.  He would be e-mailing the letter to the secretary for Mr. Smart’s signature.

 

ITEMS OF GENERAL CONCERN

 

Mr. Smart had no business to discuss and asked if a Board member had anything to discuss.

 

Mr. Hawkins asked Mr. Kinney, the Public Works Director, if he had been notified of the water leak at the bridge on Hwy. #65. Mr. Kinney, Public Works Director, stated that he had not.  Mr. Hawkins noted that it was reported on Friday and the matter had not been taken care of.  Mr. Hawkins noted that MLP had been notified of this matter.

 

Mr. Kinney stated that he would get in touch with Brad Perkins to address this matter.

 

Mr. Smart informed the Board that the funeral home on Highway #65 had been notified that there was a leak and that the water was to be cut off.

 

Ms. Edwards presented the Board with an invoice, for approval from the Board, to be paid.   Mr. Hawkins made a motion to approve the payment of this invoice, seconded by Mr. Clifford, and the motion was approved.

 

The Board approved the next meeting to be October 7th, the first Thursday of October.

 

As there were no other items to discuss, Mr. Hawkins made a motion to adjourn and the Board approved the motion.