Quarterly Report: 2007, April - June (Q4), Shageluk

Community:
Shageluk 
Staff:
Ken Berlin  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Shageluk 
Population:
129  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
8/6/2007 
Community Sanitation Overview:
Residents haul treated well water and dispose of honey buckets in pit privies or bunkers. Residents are dependent upon the washeteria for bathing, laundry, and water, since no homes are fully plumbed. HUD houses constructed in 1991 use pit privies. The City washeteria/water treatment plant provides water to the city office building, post office and clinic. A sanitation master plan has been completed and funds are needed to proceed with the design and engineering of a community system. 
RUBA Status & Activities This Qtr:
FY 2007 budget and finance reports to June 2007 are on file in the Bethel RUBA office. Contact with Shageluk was mainly through e-mail. The city administrator was let go at the end of May 2007 and a new administrator was hired. On July 23, 2007 RUBA staff traveled to Shageluk to introduce new LGS and train new city administrative staff. The new LGS will be taking over Shageluk. The new administrator was trained mostly on fiscal management and recordkeeping. QuickBooks Pro was purchased and installed last year by the previous administration but it was not utilized. There was no cash disbursement system except for the check book and bank statements. A manual cash disbursement system was set up using the Ekonomik Check register and Excel. FY 2008 budget is balanced and adopted. Finance reports are up to date. First quarterly reports to IRS and DOL are filed and payroll tax liabilities are paid. Workers Compensation is covered by AML/JIA. 
RUBA Activities for the Coming Qtr:
Assist the new administration and schedule onsite training.
Scores:
 
Essential Indicators:
20 of 26
Sustainable Indicators:
21 of 27
Total Score:
41 of 53

Finances

Essential Indicators
Answer Question
Yes All revenues and expenses for the utility are listed in the utility budget.
Yes The utility has adopted a balanced realistic budget.
Yes Monthly financial reports are prepared and submitted to the policy making board.
Yes The utility is current in paying all water/wastewater electric bills.
Yes The utility has on hand a year's adequate fuel supply or it has a financial plan to purchase an adequate supply.
Yes The utility is receiving revenues (user fees or other sources) sufficient to cover operating expenses.
Sustainable Indicators
Answer Question
Yes The utility is receiving revenues (user fees or other sources sufficient to cover operating expenses and Repair & Replacement (R) costs.
Yes YTD revenues are at a level equal to or above those budgeted.
Yes YTD expenditures are at a level equal to or below those budgeted.
Yes A monthly manager's report is prepared.
Yes Budget amendments are completed and adopted as necessary.
Finances Comments
The FY 08 budget is on file. Monthly financial reports are current to June 2007 and are given to the City Council every month and copies are on file in the RUBA office. Fuel on hand is 11,798 gallons paid for in full. All utilities including the electric bill are paid every month.

Accounting Systems

Essential Indicators
Answer Question
Yes The utility has adopted a collection policy and actively follows it.
Yes The utility bills customers on a regular basis.
No An accounts receivable system is in place which tracks customers and reports past due accounts and amounts.
No An accounts payable system is in place.
Yes The payroll system correctly calculates payroll and keeps records.
No A cash receipt system is in place that records incoming money and how it was spent.
No The utility has a cash disbursement system that records how money was spent.
Sustainable Indicators
Answer Question
No A chart of accounts is used that identifies categories in a reasonable, usable manner.
No Monthly bank reconciliations have been completed for all utility accounts.
No The utility has a purchasing system that requires approval prior to purchase, and the approval process compares proposed purchases to budgeted amounts.
Accounting Systems Comments
During the 7/23/2007 trip no records of an accounts receivable, accounts payable, cash receipts, or cash disbursement were located. The City Council passed a water and sewer ordinance for the community and sends out a monthly bill to the Yukon Kuskokwim Health Corporation (YKHC). The City does not really have a water and sewer system in place yet to service all residents. Currently, there are 10 units with privies, which are serviced by the City with a sewage vacuum pump. Payment of $200 is required before service is rendered, and a payment of $10 is required for garbage haul service. Purchase order system is under City Council review and should be approved shortly.

Tax Problems

Essential Indicators
Answer Question
Yes The utility has a system to accurately calculate, track, and report payroll tax liabilities.
Yes The utility is current on filing tax reports.
Yes The utility is current on making tax deposits.
N/A If there are any past due tax liabilities or recorded tax liens, a lien release has been issued or a repayment agreement has been signed and repayments are current.
Tax Problems Comments
City of Shageluk was declared compliant by IRS. Copies of 1st quarterly 941 and State ESC reports were on file.

Personnel System

Essential Indicators
Answer Question
Yes The utility has a posted workers compensation insurance policy in effect.
Sustainable Indicators
Answer Question
Yes The utility has adopted and uses a Personnel Policy, which has been reviewed by an attorney, AML or Commerce for topics and language.
Yes The utility has adequate written job descriptions for all positions.
Yes The utility has adopted and follows a written personnel evaluation process that ties the job description to the evaluation.
Yes The utility has an adequate written hiring process.
Yes The utility has personnel folders on every employee that contain at least: I-9, Job Application and Letter of Acceptance.
Yes The utility has a probationary period for new hires that includes orientation, job training/oversight, and evaluations.
Yes The utility provides training opportunities to staff as needed and available.
Personnel System Comments
The City has worker's compensation insurance through AML/JIA effective to 12/07. The Personnel Policy handbook is being updated by the City.

Organizational Management

Essential Indicators
Answer Question
Yes The entity that owns the utility is known; the entity that will operate the utility is set.
Yes The policy making body is active in policy making of the utility.
Yes The policy making body enforces utility policy.
No The utility has an adequately trained manager.
No The utility has an adequately trained bookkeeper.
Yes The utility has an adequately trained operator or operators.
Yes The utility has adopted the necessary ordinances (or rules and regulations) necessary to give it the authority to operate.
Sustainable Indicators
Answer Question
Yes The utility has adopted an organizational chart that reflects the current structure.
Yes The policy making body meets as required.
Yes The utility complies with the open meeting act for all meetings.
Organizational Management Comments
Currently, the City is enforcing utility policies to the YKHC health clinic and the 10 units with privies. The administrator is competent but was let go in May 2007 the new City Administrator needs training. The bookkeeper needs training in QuickBooks Pro. The Utility Operator is adequately trained and experienced, but needs to be tested to get certified. Operator is going through online certification for Small Treated Water Systems training.

Operation of Utility

Essential Indicators
Answer Question
Yes The utility operator(s) are actively working towards necessary certification.
Yes The utility has a preventative maintenance plan developed for the existing sanitation facilities.
Sustainable Indicators
Answer Question
Yes The manager receives a monthly O&M report from the utility operator and routinely "spot checks" the facilities to see that the maintenance items are being completed.
Yes The utility has a safety manual and holds safety meetings.
Yes Utility facilities have not suffered any major problems/outages due to management issues that are unresolved.
Yes The utility is operating at the level of service that was proposed.
Yes The operator provides status reports to the manager on a routine basis.
Yes The utility has completed and distributed its "Consumer Confidence Report".
No The utility is not on the "Significant Non-Complier" (SNC) list.
No The utility maintains an inventory control list.
No The utility maintains a critical spare parts list.
Operation of Utility Comments
The current operator does not have an OIT certification. The washeteria/water treatment plant has an operation manual which contains preventative maintenance.