OWUI Meeting Minutes, August 15, 2024

AUGUST 2024 MEETING MINUTES

Thursday, August 15th, 2024, 6:00 PM

Olga Community Center

1.        Call to Order: 6:05 PM

a.        Attendees:

                                                                                             i.         OWUI Board Members, present:

1.        Geoff Cunard, President

2.        Dave Noneman, Vice President

3.        Pat Boehm, Director of Operations

4.        Guy Woods, Treasurer

b.        OWUI Members, present:

                                                                                             i.         Mark Mayer

c.        Sue Min on behalf of Administration, present.

d.        Sam Prado on behalf of Operator Eastsound Water Users Association (EWUA), absent –
no report received in advance of meeting.

2.        Approval of Minutes:

a.        OWUI Vice President Dave moved to approve July 2024 meeting minutes. OWUI Director of Operations Pat seconded. All voted in favor. July meeting minutes were approved.

3.        OWUI President’s Report:
As OWUI President, Geoff presented the following:

a.        Intertie Update:

                                                                                             i.         In trying to commission the pipeline, some leaks were found. Both Earthworks and Island Excavating are working now to find these leaks in the pipeline. These leaks are holding up the intertie at this time.

                                                                                          ii.         OWUI Board discussed whether this work would be billed to OWUI, as OWUI had not expressly asked for or authorized this work to be done. OWUI President Geoff noted to the OWUI Board that, per Steve Schaefer of Doe Bay Water Users Association (DBWUA), both Earthworks and Island Excavating were doing this work as warranty work.

b.        Amended Water Supply Agreement:

                                                                                             i.         DBWUA’s attorney, Bill Bender, sent a proposed Amended Water Supply Agreement between DBWUA and requested that OWUI Board make a Board Resolution documenting that the Amended Water Supply Agreement has been agreed upon by OWUI Board and that OWUI Board will sign it.

                                                                                          ii.         OWUI President Geoff noted that the proposed agreement had already been reviewed by OWUI’s water rights attorney Tom Pors; all of Tom Pors’ suggested changes were accepted by DBWUA.

                                                                                       iii.         OWUI President Geoff’s primary concern was in relation to whether the proposed agreement would maintain OWUI’s water rights and allow the rights to be moved to the Mountain Lake dam; in reviewing the water rights, OWUI attorney Tom Pors was comfortable.

                                                                                       iv.         OWUI Vice President Dave moved to agree to the proposed Amended Water Supply Agreement, noting that the previous agreement before this proposed agreement was not as protective and advising that this proposed agreement should be signed in good faith.

                                                                                          v.         OWUI Vice President Dave clarified the new proposed agreement by summarizing the following:

1.        When everything is done and DBWUA’s water is received for one year and it is agreed that things are working, then OWUI will mothball its plant and OWUI will put its plant in an inoperable state on a standby status.

                                                                                       vi.         OWUI President Geoff added that there was also language in the proposed agreement that after one year period if things are working, then OWUI will apply to transfer its water rights up to Mountain Lake, which was specifically suggested by OWUI water rights attorney Tom Pors on how OWUI could best keep its water rights.

                                                                                    vii.         OWUI Vice President Dave expressed interest to move OWUI’s point of collection as Mountain Lake or downstream to retain the ability to take it from where OWUI has it currently. OWUI Director of Operations was in agreement with Dave.

                                                                                  viii.         OWUI Vice President Dave also expressed interest in moving forward with DBWUA, as the hurdle of a functioning intertie would be down the road. OWUI Vice President Dave noted that OWUI would work on the verbiage for the point of collection over the year with OWUI attorney Tom Pors.

                                                                                       ix.         OWUI Treasurer Guy seconded OWUI Vice President Dave’s motion to agree to DBWUA’s proposed Amended Water Supply Agreement; all voted in favor agreeing to DBWUA’s proposed Amended Water Supply Agreement, empowering OWUI President Geoff to sign on behalf of OWUI.

                                                                                          x.         Regarding the actual Board Resolution requested by DBWUA’s attorney Bill Bender, OWUI President Geoff agreed to contact Bill Bender to request the written language of the Board Resolution for OWUI President to sign.

c.        SWSMP Update

                                                                                             i.         Consultant Barry Buchanan expects to be submitting DBWUA’s SWSMP soon.

                                                                                          ii.         Consultant Barry Buchanan needed information about the date when the water tank was created. Tank was built in 1979 as confirmed by Mount Baker Silo and other members – this was relayed to Consultant Barry Buchanan.

                                                                                       iii.         Consultant Barry Buchanan continues to work on a section of the SWSMP. Department of Health has not yet provided the official response.

                                                                                       iv.         Consultant Barry Buchanan wants to meet in person with OWUI President Geoff at the end of August or early September to go over more details.

d.        Board Member Search

                                                                                             i.         After looking to other possible Board Members, OWUI President Geoff has not yet found an OWUI member who wants to sign up for the Board.

                                                                                          ii.         OWUI Vice President Dave offered to draft an outreach letter to OWUI membership to seek new Board Members to at least replace former Board Member Paul Groeninger who left after completing his term. Vice President Dave to circulate the draft to the OWUI Board.

e.        Multiple Service Line (MSL) Policy / Member Education

                                                                                             i.         OWUI President Geoff spoke with EWUA Operator Sam regarding water production that reflected a spike in production in mid-June. There was a massive water leak in relation to an MSL that OWUI President Geoff decided needed to be addressed with a letter to remind members of their responsibilities under the existing OWUI policies in the upkeep of the water line.

                                                                                          ii.         OWUI Board generally discussed whether members should be advised or incentivized to buy and install additional water usage monitoring devices to prevent or mitigate leak.

                                                                                       iii.         With the massive water leak the mid-June MSL, OWUI Board discussed potential draft water usage bill to members affected by the leak that would bill members for the high water usage but offer to reduce the billed amount if members would install and show proof of water monitoring device installation such as a flume.

                                                                                       iv.         OWUI Vice President Dave Noneman to also draft this potential incentivized bill to members.

4.        OWUI Administrator’s Report

a.        Sue presented the following on behalf of Administration:

                                                                                             i.         Member Billing / Receivables:

1.        Outstanding Member Accounts: 8 Member IDs still owe OWUI payment, amounting to roughly $17,555 outstanding billing to collect.

a.        Admin to review application of “credits” to membership billing as authorized by OWUI President Geoff.

2.        2024 Receivables to date: around $224,931.

3.        Admin is working Jazmin regarding bookkeeping for WA Dept. of Revenue reporting purposes and overall accounting efficiencies.

                                                                                          ii.         Admin Meeting and Availability:

1.        Will meet up with EWUA Grace to learn more about EWUA’s meter reading process.

2.        Admin availability will be very limited over the next two weeks of August and the first two weeks of September.

                                                                                       iii.         Future Admin Projects will continue to involve and support through the year-end:

1.        File management and digital archiving

2.        Data maintenance and billing creation

3.        Dashboards for Board, Operations and Admin

5.        Treasurer/Financial Report

a.        As Treasurer, Guy presented the following regarding OWUI’s finances:

                                                                                             i.         Jazmin/Bookkeeping

1.        Accounting overall is coming together with OWUI Bookkeeper Jazmin.

2.        Bookkeeper Jazmin discovered a missing tax bill that needed to be paid that was not originally on the radar. Bookkeeper Jazmin had it paid – no issues.

                                                                                          ii.         DBWUA Intertie Billing

1.        OWUI received a bill from DBWUA for a series of intertie expenses that had not been shared with OWUI until now, regarding engineering and crane work. $27K will be OWUI’s half to pay for the intertie expenses.

2.        OWUI Vice President Dave expressed interest in OWUI Treasurer further reviewing or confirming the expenses.

3.        OWUI Treasurer Guy to circulate the expense documentation received from DBWUA and also noted that the OWUI Board can connect with DBWUA Steve Schaefer to go over the expenses again.


CONTINUED ON NEXT PAGE…

                                                                                       iii.         Capital Funds Designation

1.        OWUI Treasurer Guy notified the OWUI Board that Bookkeeper Jazmin needs Meeting Minutes to document OWUI Board is designating capital funds for OWUI’s tank replacement and distribution system repair of amounts to be designated by OWUI Treasurer in the future.

2.        OWUI Vice President Dave moved for the creation of a capital interest structure fund for OWUI for OWUI’s tank replacement and distribution system repair in dollar amounts to be designated by OWUI Treasurer in the future and to be approved by the OWUI Board.

3.        OWUI Director of Operations Pat seconded. All voted in favor and motion was approved.

6.        Operations Report

a.        Meter Update

                                                                                             i.         OWUI Director of Operations Pat presented the following:

1.        OWUI Director of Operations Pat has not yet heard back from the meter manufacturer as to whether the new style of meters would be able to operate in the Olga area. OWUI Director of Operations Pat to share when he hears more news.

7.        Member Input

a.        OWUI member Mark Mayer reached out to OWUI President Geoff with interest to share news about EWUA, especially as EWUA is the Operator for OWUI.

b.        OWUI member discussed general background details about EWUA’s recall and board members.

c.        OWUI Board responded to OWUI Mark Mayer with appreciation and interest to learn more on an individual level. As a Board in representing OWUI membership, the OWUI Board declined to make an official comment at this time but did consider OWUI Mark Mayer’s input in whether OWUI would make a comment in the future.

8.        Public Access: As noted above.

9.        Next Meeting Time: September 19, 2024, 6:00 PM

OWUI Meeting Minutes, July 13, 2024

JULY 2024 MEETING MINUTES

Saturday, July 13th, 2024, 7:00 PM

Olga Community Center

1.        Call to Order: 7:01 PM

a.        Attendees:

                                                                                             i.         OWUI Board Members, present:

1.        Geoff Cunard, President

2.        Dave Noneman, Vice President (telephonically)

3.        Pat Boehm, Director of Operations

4.        Paul Groeninger, Secretary

5.        Guy Woods, Treasurer

b.        OWUI Members, present:

                                                                                             i.         Alexandra Gayek

                                                                                          ii.         Peter and Joyce Schultz

                                                                                       iii.         Mark Mayer

                                                                                       iv.         Brian McMillen

                                                                                          v.         Randall Burge

                                                                                       vi.         Jess and Norene Nealy

                                                                                    vii.         John Phillips

                                                                                  viii.         Suzanne Myers

                                                                                       ix.         Dan and Grace Gottlieb

c.        Sue Min on behalf of Administration, present.

d.        Sam Prado on behalf of Operator Eastsound Water Users Association (EWUA), absent

2.        Approval of Minutes:

a.        OWUI Treasurer Guy moved to approve June 2024 meeting minutes. OWUI Secretary Paul seconded. All members voted in favor. June meeting minutes were approved.

3.        OWUI President’s Report:

a.        Intertie Update:

                                                                                             i.         Winter was a quiet period for intertie construction activity such as excavating, but OWUI was actively working on the intertie progress in the Spring.

                                                                                          ii.         Challenge #1: Vault Installation

1.        OWUI got the vault installed, which was a big positive development. With the vault in place, folks can work underground to put in valves and controls to get the water from Doe Bay Water Users Association (DBWUA) to OWUI.

2.        Installment involved tying into DBWUA’s existing water main, which was worked on in May. Through a “hot tap” method, the subcontractor excavated the pipe and was able to install a valve.

3.        Now, OWUI is very close to connecting. There are some leaks being detected, but OWUI is continuing to test for those leaks and adjust to resolve them.

                                                                                       iii.         Challenge #2: Department of Health (DOH) Approval

1.        OWUI cannot flow water through the intertie until this flow is approved by DOH. DOH is not able to approve until OWUI has an approved small water systems plan. OWUI is close to this goal. OWUI’s engineer, Barry Buchanan, has done a lot of work and will need to complete additional testing.

2.        One main datapoint necessary for this process involves identifying OWUI’s largest use of water in one day and DBWUA’s as well for the year in order to assess treatment plant capacity. With this quantity for maximum daily demand, Barry Buchanan will be able to show DOH that the plant has the acceptable level of capacity to allow the flow. Barry Buchanan has received this new data, and he is waiting to hear back from DOH.

3.        When DOH approves water systems plans for DBWUA and OWUI, we can proceed to turn things on.

b.        Online Billing

                                                                                             i.         In this year, OWUI transitioned to “online billing” by sending bills to Members via email. This has worked for the most part, and most Members were able to receive the OWUI bill and remit payment. Per OWUI President Geoff, OWUI will continue with this method of billing, as the Board believes it will save a lot of headache.

c.        January Outage Recap

                                                                                             i.         The outage in January 2024 was a challenging week and exposed vulnerability in OWUI’s system on the intake with at least 100 feet of above-ground pipeline. This is simply vulnerable infrastructure. But, if OWUI starting flowing through the intertie, which would run water uphill, OWUI will not be this vulnerable going forward.

                                                                                          ii.         OWUI Operator Eastsound Water Users Association (EWUA) worked hard to get the outage resolved and did so in record time. OWUI Board is thankful for their efforts.

d.        Sanitary Survey

                                                                                             i.         OWUI had a Sanitary Survey completed, as DOH does this survey of OWUI’s treatment plant and distribution infrastructure every three years.

                                                                                          ii.         As with previous surveys, DOH had a laundry list of items for OWUI to review or improve.

                                                                                       iii.         One main takeaway from DOH: DOH said OWUI needs to charge its Members more.

                                                                                       iv.         Taking care of OWUI’s infrastructure costs money. Over the past three years, OWUI Board has effected Assessments in the fees charged to the Membership, and those fees go to the infrastructure and modernizing as much as possible.

                                                                                          v.         Overall: The Survey identified that OWUI has an old system with a long list of action items DOH would like OWUI to work on – about $1M in upgrades were suggested by DOH – but if OWUI closes its valve, this will accomplish most of what DOH is requesting.

e.        Board Service Reminder

                                                                                             i.         OWUI Board is looking for an OWUI Member to volunteer to become a OWUI Board Member. Please contact OWUI President Geoff with any interest.

4.        OWUI Administrator’s Report

a.        Sue presented the following on behalf of Administration:

                                                                                             i.         Member Billing / Receivables:

1.        Outstanding Member Accounts: 10 Member IDs still owe OWUI payment, amounting to roughly $27,240 outstanding billing to collect.

a.        Admin to continue to monitor receipt of partial payments from Members and to follow up for collection efforts.

b.        Please contact Admin to discuss payment options or receive another copy of the OWUI annual bill, if necessary.

2.        2024 Receivables to date: $219,530

3.        Billing Reminder: When making payment, please identify OWUI Membership number(s) so Admin can expedite processing.

                                                                                          ii.         Recent Admin Project involved:

1.        OWUI Membership reconciliation for billing and distribution of annual mailing and ballots

                                                                                       iii.         Future Admin Projects will involve:

1.        Continued updates and maintenance of OWUI digital files

2.        Improved Board access to OWUI archives and key documents

3.        Live dashboard to communicate with OWUI Board about billing status updates and other Admin news

5.        Treasurer/Financial Report

a.        As Treasurer, Guy presented the following regarding OWUI’s finances:

                                                                                             i.         Bank Accounts

1.        Overall, OWUI currently has about $337,000 in total across its bank accounts, which is an improvement from last year:

a.        OWUI’s operating budget for the remainder of 2024: Roughly $70,000

b.        Completing the intertie: $60,000 to $70,000

2.        OWUI has about $200,000 as true reserves. As noted in the Annual Letter, OWUI’s financial reserves are projected to reach $245,000 by the end of 2025.

3.        Board will work on improving identification and communication about earmarking reserves for special projects such as tank replacement, leak repairs and pipeline replacement.

                                                                                          ii.         New Rate and Fee Schedule

1.        Base Fee:

a.        OWUI Treasurer Guy explained how the Board calculated the new Base Fees, which factored in total operational costs as well as projected water purchase costs, divided across OWUI Members.

2.        Assessment

a.        OWUI Treasurer Guy explained that the new Assessments were intended to raise funds over three years for meter replacements, about $110,000.

                                                                                       iii.         Financial Risk Mitigation

1.        Going forward, when OWUI has to pay for the amount of water used due to the intertie, OWUI cannot afford to be leaking water. This emphasizes the importance of funding a meter solution that allows OWUI to see what is happening in the water system more than once a year and find leaks faster.

2.        In addition to meters, OWUI will need to have its tank replaced. If OWUI has $300,000 in the tank fund, OWUI can use it to put a downpayment on a $1M loan for the tank replacement and move forward.

6.        Operations Report

a.        Meter Update

                                                                                             i.         OWUI Director of Operations Pat presented the following:

1.        DOH strongly advised to replace all the meters.

2.        There are three types of meters:

a.        Walk-by reading (current meter style): requires physical walk by the meter to read the meter, write down the number; labor intensive

b.        Drive-by reading: you can drive within a specific distance from the meter and you can receive automatic meter reading

c.        Cellular connection reading: This is problematic due to cell service coverage issues

3.        OWUI also has been trying to collaborate with DBWUA for meters.

4.        If OWUI does not have a large cell phone service area covered by the required cellular meter reading, then OWUI will likely go with a drive-by type of meter, which will allow OWUI to collect meter readings as frequently as once a month, which is also the type of reading DOH wants.

5.        Monthly drive-by reading will also provide better data for OWUI to understand and identify system operation activity and issues.

6.        OWUI Director of Operations Pat advised that the digital water usage communication device known as Flume is a great personal meter alternative/supplement for an individual homeowner, but it would not be suitable for OWUI’s operations.

7.        OWUI Secretary Paul clarified that a Flume device is about $200, needs to be mounted on an individual meter, and connect to the home’s wifi.

8.        OWUI President Geoff noted that OWUI will likely move forward with the drive-by type of meter.

9.        After the Board receives a pending update from the cellular meter company, Badger, about the cellular coverage capacity for Olga, then the Board will look at final quantities and costs and proceed with the most economical purchase and overall meter operation.

10.  Meter operation fees for new meters, such as upfront costs and monthly fees for software, will be part of the OWUI Membership Fees.

7.        Member Comments/Questions

a.        During President’s Report

                                                                                             i.         Currently, OWUI runs water downhill but with the intertie system, water will run uphill – is this approved?

1.        OWUI President Geoff noted that the Board will confer with OWUI Consultant Barry about this question.

                                                                                          ii.         Has OWUI been invoiced for the winter freeze fix?

1.        OWUI President Geoff noted that OWUI has not been billed.

                                                                                       iii.         DBWUA’s plant is well taken care of and far ahead of OWUI. Key to the future is redundancy in OWUI’s water system.

1.        OWUI President Geoff acknowledged that the Board hopes to “mothball” the current OWUI plant and have it standing by with a limited amount of water through its filters.

                                                                                       iv.         Some small water systems have seasonal usage. If OWUI goes to seasonal usage, there are processes that need to be in place prior to shutdown/reactivation.

1.        OWUI President Geoff expressed interest in researching this comment further.

                                                                                          v.         Will the existing OWUI plant remain viable as a backup?

1.        OWUI Director of Operations responded that the Board intends to keep a biosystem alive, which can be easily done by running water through at a minimal amount.

                                                                                       vi.         Two years ago, OWUI made a big deal that 40-45% of the water flowing through the OWUI system may have been a leak downhill.

1.        OWUI Director of Operations responded that OWUI has since addressed most of the major leaks.

                                                                                    vii.         What happened to water that leaked away? We all pay for that water?

1.        OWUI President Geoff clarified that OWUI Members currently only pay for the gallons of water that flow through their specific meter. Thanks to improved leak detection systems, OWUI has since found and resolved a good amount of leaks and overall has reduced the loss percentage. A year and a half ago, OWUI had over a million gallons produced at the OWUI plant. Now, OWUI is down to half a million gallons produced – this is an improvement made by fixing the leaks and is a continuing area of improvement.

                                                                                  viii.         What is the “$90,000” OWUI Members will pay for water?

1.        OWUI President Geoff clarified that the $90,000 is a projected “post-intertie” operating cost. After the intertie is completed and active, OWUI will be “purchasing” water from DBWUA.

b.        During Admin Report

                                                                                             i.         Will OWUI’s billing process become like OPALCO’s where you can just go online, click, and instantly see your usage or bill?

1.        OWUI President Geoff responded that in a perfect world, that would be the ideal. With better tools such as modern drive-by meters, OWUI will be able to communicate better and keep better records. If OWUI Board decides to bill more than once a year, having these tools will make the process easier.

c.        During Treasurer’s Report

                                                                                             i.         Has OWUI received any requests lately for a new membership?

1.        OWUI President Geoff responded that OWUI has not received such a request in a long time but new memberships are available.

                                                                                          ii.         Has OWUI assessed the aging of its distribution plan and overall infrastructure?

1.        OWUI President Geoff responded that investigating and establishing a water facilities/assets inventory for OWUI’s systems would be one of the first steps once OWUI has its water system plan approved by DOH.

                                                                                       iii.         After OWUI’s water system plan is approved by DOH, it would be nice to let OWUI Members know what kind of funding from Washington State could be available to OWUI thanks to this major approval as well as the timeline to receive the funding to give OWUI Members peace of mind.

1.        OWUI President Geoff acknowledged the comment and further noted that DOH wants OWUI to first establish that OWUI has reasonable financial stability and “money in the game.”

d.        During Operations’ Report

                                                                                             i.         When OWUI installs new meters, will there be different types of meters installed across the Membership (i.e., will some have a drive-by meter while other have a cellular type of meter?)?

1.        OWUI President Geoff responded that it would be preferred if all meters were the same type.

                                                                                          ii.         For EWUA Members, they have two types of water meters, most that are purely cellular and others that are drive-by types of water meters. Where there is a remote location for the member or bad cellular coverage, EWUA had to change the meter to a drive-by meter. The battery for such a meter may last 6-10 years.

1.        OWUI Board expressed appreciation for this public comment regarding meter types

                                                                                       iii.         Will the costs for the meter, such as battery replacement and other long term costs to maintain the meter system, be in the OWUI Membership Fee?

1.        OWUI President Geoff responded that the drive-by meters may be lower in costs to operate and that the Board would assess costs and try to find the best value for Members.

e.        Additional Member/Community comments or questions

                                                                                             i.         Will the Assessment Fee continue to stay $225/year?

1.        OWUI Treasurer Guy advised that at this time the Board intends to continue charging assessments as authorized under OWUI Bylaws with the intention to keep them as small as possible and for specific projects whenever possible, such as meters and raw line replacements.

2.        OWUI President Geoff further noted that when OWUI is able to implement a comprehensive asset management/inventory, such as identifying specific valves or assets that need replacement, the Board may be able to further clarify why the Board is charging the Assessment.

                                                                                          ii.         DOH’s Sanitary Survey indicated that OWUI should add more money to the reserves – any specific amounts?

1.        OWUI President Geoff clarified that DOH simply told him that OWUI was not billing enough. Other water systems do bill more than OWUI, but OWUI looks better now financially than two years ago.

2.        OWUI Treasurer Guy also noted that, technically, the OWUI Members are being charged more than before, which is what DOH advised.

                                                                                       iii.         The OWUI Board’s presentations are outstanding. Great to see how much has been organized. Thank you for volunteering so much time and not asking too much of Members. You’re doing a great job.

1.        OWUI President Geoff thanked the Member for the kind compliments and support.

                                                                                       iv.          In light of Rosario’s water rights that were sold to the new owners of Rosario Resort, is OWUI in danger of losing water rights with the intertie? The Board should do everything it can to ensure OWUI Members are compensated for water rights. We should keep the water rights, but if we are forced to get rid of our water rights, OWUI Members should be compensated.

1.        OWUI President Geoff noted that this was interesting and that the Board would consult with its water rights attorney, Tom Pors.

2.        OWUI Director of Operations Pat also noted that if OWUI were to keep its biosystem alive, that may help OWUI maintain activity and its potable water could be used elsewhere.

                                                                                          v.         If the OWUI plant runs seasonally, how much would OWUI’s water rights become pending?

1.        OWUI Director of Operations Pat responded that this was undetermined at this time, but that there was a long ways before the plant were to start running seasonally.

                                                                                       vi.         After the intertie is complete and some OWUI Members are inactive, would they remain inactive?

1.        OWUI President Geoff responded that each Member would be served by DBWUA, active or inactive.

                                                                                    vii.         Groundwater is increasing in the Olga area. Some Olga neighbors are not connected to OWUI and not part of the OWUI Membership. If they connect to OWUI, that will add additional revenue to OWUI. If OWUI has the capacity to expand membership, OWUI should reach out to prospective members, and this may help reduce groundwater issues.

1.        OWUI President Geoff noted that OWUI has about nine (9) OWUI memberships available at this time.

                                                                                  viii.         Good report regarding reserves status.

1.        OWUI Treasurer Guy thanked the Member and noted that the Board does not wish to “sit” on the reserve money or build up an exorbitant amount as it is OWUI Member money – the Board intends to maintain reasonable reserves to cover operational costs.

                                                                                       ix.         For Members who do not live on Orcas year round, will OWUI Board Meetings have Zoom capacity in the future?

1.        OWUI President Geoff noted that he previously looked into using Selby’s conference room, which has wifi and could potentially support Zoom attendance; will look into this again.

                                                                                          x.         Will the height of the plant provide enough pressure to Rosario?

1.        OWUI President Geoff noted that this was undetermined at this time.

8.        Public Access: As noted above.

9.        Fee and Rate Schedule Vote:

a.        2024 Results

                                                                                             i.         Fifty-Eight (58) Votes were received in response to OWUI Board’s proposed fee and rate schedule and conservation surcharge:

1.        57/58 in favor of the proposed 2026-2028 fee and rate schedule

2.        58/58 in favor of the proposed 2026-2028 conservation surcharge

b.        With these results in favor of the OWUI Board, OWUI Board will make the proposed 2026-2028 fee and rate schedule and conservation surcharge effective accordingly.

10.  Next Meeting Time: August 15, 2024, 6:00 PM

11.  Adjournment 8:26 PM

OWUI Meeting Minutes, June 5, 2024

JUNE 2024 MEETING MINUTES

Wednesday, June 5th, 2024, 6:00 PM

Olga Community Center

1.        Call to Order: 6:08 PM

a.        Attendees:

                                                                                             i.         OWUI Board Members, present:

1.        Geoff Cunard, President

2.        Paul Groeninger, Secretary

3.        Guy Woods, Treasurer

b.        OWUI Board Members, absent:

                                                                                             i.         Pat Boehm, Director of Operations

                                                                                          ii.         Dave Noneman, Vice President

c.        Sue Min on behalf of Administration, present.

d.        Sam Prado on behalf of Operator Eastsound Water Users Association (EWUA), absent

2.        Approval of Minutes:

a.        OWUI Treasurer Guy moved to approve May 2024 meeting minutes. OWUI President Geoff seconded. All members voted in favor. May meeting minutes were approved.

3.        Operator EWUA’s May Report:

a.        No report was provided for the Board Meeting.

4.        OWUI Administrator’s Report

a.        Sue presented the following on behalf of Administration:

                                                                                             i.         Member Billing / Receivables

1.        2024 Receivables to date: $205,173

2.        Outstanding Member Accounts: 14 Member IDs still owe OWUI payment, amounting to roughly $37,000 outstanding billing to collect.

3.        Sue to follow up with Outstanding Member Accounts to continue collection efforts.

                                                                                          ii.         General Administration

1.        Sue continues to work on organizing OWUI and outlined to OWUI Board the projected phases through the end of 2024 for shifting from Google to Microsoft, which would include:

a.        Phase 1:

                                                                                                                                                                                                         i.         Digital File Migration

                                                                                                                                                                                                      ii.         Domain Name Management

b.        Phase 2:

                                                                                                                                                                                                         i.         Board Digital Access

                                                                                                                                                                                                      ii.         Streamlined Board/Operations Communication

                                                                                                                                                                                                   iii.         Dashboards

c.        Phase 3:

                                                                                                                                                                                                         i.         Digital Archives

                                                                                                                                                                                                      ii.         Template Billing

5.        Treasurer/Financial Report

a.        As Treasurer, Guy presented the following regarding OWUI’s finances:

                                                                                             i.         Bank Accounts

1.        Overall, OWUI currently has about $337,000 in total across its bank accounts. There are invoices and other payables not yet billed to OWUI that are expected to reduce this total amount.

2.        OWUI Treasurer Guy projected that OWUI’s financial reserves to have about $245,000 remaining by the end of next year.

3.        Board discussed reserve amounts in relation to operational costs and expenses to assess whether OWUI should build higher reserves for additional financial stability.

4.        OWUI Treasurer Guy continued to advise the Board regarding future expenses and projects such as tank replacement and meter replacements.

6.        Operations and Maintenance Report

a.        Old Business

                                                                                             i.         Intertie Update

1.        Prior to the Board Meeting, OWUI President Geoff spoke with Dan Burke of Operator EWUA on June 5, 2024. OWUI President Geoff relayed to the Board the following from Operator EWUA regarding the intertie project:

a.        A valve is now in place to close the intertie pipe. The final 15 feet of pipe is to be installed. When they pressurized the pipeline, Operator EWUA found it to be leaking 9 gallons per hour. This new pipeline should have zero leaks. Operator EWUA is looking into the leak as well as Earthworks.

b.        They are nearly complete with pipe construction, as 6” pipework has been completed and they are now working on the 2” pipework.

c.        There will be a flowtest within the next week.

b.        New Business

                                                                                             i.         Review annual meeting materials, fee and rate vote procedure

1.        Fee/Rate Schedule

a.        Board discussed potential fee/rate schedules to apply for 2026-2028.

b.        OWUI Treasurer Guy advised to apply a more gradually increasing rate across the three years:

Year 2026

Year 2027

Year 2028

$0.013/gallon

$0.014/gallon

$0.015/gallon

c.        OWUI President Geoff agreed with OWUI Treasurer Guy, and Geoff moved for the Board to propose this rate change to OWUI Membership for the 2026-2028 fee/rate schedule. Guy seconded; no opposition. Board to propose this rate change, as noted above, to the OWUI Membership, subject to OWUI Membership vote, per OWUI bylaws.

2.        Conservation Pricing

a.        Board reviewed and discussed conservation pricing, which would also be subject to OWUI Membership vote. Board agreed to propose charging an extra $0.01 per gallon for usage over 100,000 gallons the proposed conservation pricing.

3.        Annual Meeting Materials

a.        Board discussed materials to be distributed to OWUI Membership for the Annual Meeting and previous materials/voting methodology.

b.        OWUI President Geoff to work with OWUI Treasurer and prepare the President’s Annual Letter to the OWUI Membership, which will include OWUI financial budget, proposed Fee/Rate Schedule and Conservation Pricing and formal ballots for mail-in or hand-in if voting in person (or proxy) at Annual Meeting, July 13, 2024.

c.        Sue to prepare a ballot form and include as part of the Annual Meeting Materials to be mailed to OWUI Membership. Ballot form will ask OWUI Membership to vote for the Board’s proposed 2026-2028 Fee and Rate Schedule and proposed Conservation Pricing.

d.        These Annual Meeting Materials are to be mailed out US Mail by June 21, 2024, three weeks before the Annual Meeting per OWUI bylaws.

e.        OWUI President Geoff advised that prior to next year, Board to consider proposing bylaws amendment to OWUI Membership to provide electronic voting option.

7.        Public Access: none present

8.        Next Meeting Time: July 13, 2024, 7:00 PM

9.        Adjournment 7:35 PM