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HomeMy WebLinkAbout2008-09-22 Water & Sewer NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 3 REGULAR MEETING, SEPTEMBER 22, 2008 PAGE 291 ASSEMBLY The District Board of Commissioners of the New Hanover County Water and Sewer District met in Regular Session on Monday, September 22, 2008 at 11:58 a.m. in the Assembly Room of the New Hanover County Courthouse, 24 North Third Street, Wilmington, North Carolina. Members present were: District Chairman William A. Kopp; District Vice-Chairman William A. Caster; District Commissioner Ted Davis, Jr.; District Commissioner Robert G. Greer; District Commissioner Nancy H. Pritchett; Deputy County Attorney Kemp Burpeau; Clerk to the District Board Sheila L. Schult; and County Manager Bruce T. Shell APPROVAL OF CONSENT AGENDA District Chairman Kopp requested a motion to approve the Consent Agenda as presented Motion : District Vice-Chairman Caster MOVED, SECONDED by District Commissioner Greer, to approve the Consent Agenda as presented. Upon vote, the MOTION CARRIED UNANIMOUSLY. Adoption of Resolution Approving a Technical Amendment to Section 6-7, Personnel, Interlocal Agreement with the Cape Fear Public Utility Authority ? Legal Department The District Board adopted a resolution approving an amendment to the Interlocal Agreement with Cape Fear Public Utility Authority to make certain clarifications. The amendment adds the clarifying word "individual" to the reference to insurance coverage of former County employees transferred to the Authority. Such wording is consistent with the original understanding and intent of the County. A copy of the resolution is hereby incorporated as part of the minutes and is contained in Water and Sewer Exhibit Book III, Page 30. ADDITIONAL ITEMS CAPE FEAR PUBLIC UTILITY AUTHORITY BILLING ISSUES UPDATE Cape Fear Public Utility Authority General Manager Matt Jordan presented an update on the Cape Fear Public Utility Authority data conversion billing issues stating that staff is working diligently to ensure that bills are correct. Bills are being reviewed in batches for accuracy which is time consuming and has delayed the delivery of bills. Unfortunately, it is not possible to estimate when bills will be sent but it is anticipated that most of the data conversion problems will be resolved by the end of the next billing cycle with the hope that the billing cycle will be back on schedule by the end of October. To address the issue of longer billing cycles, bills currently being generated will be capped at seventy days. Consumption over this seventy day period will be held and applied to the next bill. Late fees and shutoffs have been suspended during this time. Although Cape Fear Public Utility Authority Customer Service staff cannot tell when a bill will be mailed, they can assist those with other questions at 910-332-6550. Chairman Greer stated that in his capacity as a member of the Authority Board the rates were not set with the objective to generate large amounts of revenue. Although a modest rate increase was expected, it is his expectation that after a few billing cycles, rates will be reevaluated, and adjusted if necessary. CAPE FEAR PUBLIC UTILITY AUTHORITY FACILITIES AND CAPITAL PROJECTS UPDATE Cape Fear Public Utility Authority Chief Finance Officer Brent McAbee presented the following overview of the facilities and capital projects: ? Northside Waste Water Treatment Plant ? completion 2009 NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 3 REGULAR MEETING, SEPTEMBER 22, 2008 PAGE 292 ? Southside Waste Water Treatment Plant ? the three design phase is underway, construction is anticipated to begin in 2011 ? Sweeney Groundwater Treatment Plant ? anticipated to be on line in August/September 2009 CAPE FEAR PUBIC UTILITY AUTHORITY RATES BRIEFING Cape Fear Public Utility Authority Chief Finance Officer Brent McAbee presented the following information: ? Total County Initiated Projects in the amount of $83,821,000 ? Total City Initiated Projects in the amount of $86,621,000 ? Annual debt service and rate impact ? NHC projects in the amount of $5,763,000; 35% ? Annual debt service and rate impact ? City of Wilmington projects in the amount of $5,969,000; 18% ? Total funding requirements for capital projects in the amount of $69,200,000 ? Projected rate increases: 2009 ? water 9%; sewer 9% o 2010 ? water 9%; sewer 9% o 2011 ? water 7%; sewer 7% o 2012 ? water 6%; sewer 7% o 2013 ? water 5%; sewer 7% o Five year cumulative ? water 36%; sewer 39% o In closing, Mr. McAbee presented the rate structure for water and sewer customers. A bi-monthly fixed charge is included for both water and sewer customers as well as fees based on consumption. After a brief question and answer period, District Chairman Kopp thanked Mr. Jordan and Mr. McAbee for their presentations. A copy of the Power Point presentation is available for review at the Cape Fear Public Utility Authority. ADJOURNMENT Hearing no further business, District Chairman Kopp adjourned the meeting at 12:51 p.m. Respectfully submitted, Sheila L. Schult Clerk to the District Board