Quarterly Report: 2011, April - June (Q4), Kasigluk

Community:
Kasigluk 
Staff:
Eli Jacobson  
DCRA Regional Office:
 
Gov't Type:
Federally Recognized Tribe 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
Kasigluk Traditional Elders Council 
Population:
569  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
8/3/2011 
Community Sanitation Overview:
The washeteria in the old village site of Kasigluk was closed for good. The residents at the old village site rely on rain water for drinking and haul raw river water for washing every day house cleaning needs. The new village area known as Akula Heights uses the school well. Honeybuckets are dumped into sewage bins and hauled to the lagoon. Homes are not plumbed, and residents were reliant on the washeteria for bathing and laundry. Major infrastructure improvements have been funded, including two new wells, water treatment plant, a 100,000-gal. storage tank, a new washeteria and sewage lagoon. Electricity is provided by AVEC. AVEC installed three wind generators in 2006. 
RUBA Status & Activities This Qtr:
On May 9, a copy of Kasigluk's adopted collection policy with meeting minutes was received by the Bethel RUBA office which met criteria for essential indicators in the area of accounting systems and organizational management. On June 2, 2011, RUBA staff traveled to Kasigluk and met with Traditional Council Administrator Karen Martin and Bookkeeper Abigail Tinker. The administrator had requested onsite assistance to teach the newly hired tribal bookkeeper about budgets and monthly financial reports. RUBA staff brought two copies of the budget manual produced by Department of Commerce, Community and Economic Development, and for about two hours went through it completely with the bookkeeper. Also provided was a budget example from another community, which was compared to Kasigluk's budget. RUBA staff reviewed monthly report formats and provided examples. The bookkeeper asked lots of questions, took notes, and highlighted portions of the manual. The bookkeeper compared the current Kasigluk budget with the examples given and developed a plan to create a new city budget and monthly reports. RUBA staff then met with the administrator and assisted with paperwork necessary to receive Community Revenue Sharing funds and an Alaska Energy Authority fuel loan, both of which support operation of the utility. While onsite, RUBA staff observed that new water and sewer lines were being hooked up to houses and was informed by a construction worker that ANTHC is connecting water/sewer lines to about seventy or eighty houses. There were several construction workers and heavy equipment involved in the project.  
RUBA Activities for the Coming Qtr:
RUBA staff will continue to work with Kasigluk Traditional Council on the remaining indicators.
Scores:
 
Essential Indicators:
19 of 27
Sustainable Indicators:
14 of 26
Total Score:
33 of 53

Finances

Essential Indicators
Answer Question
No All revenues and expenses for the utility are listed in the utility budget.
No The utility has adopted a balanced realistic budget.
No 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.
No The utility is receiving revenues (user fees or other sources) sufficient to cover operating expenses.
Sustainable Indicators
Answer Question
No The utility is receiving revenues (user fees or other sources sufficient to cover operating expenses and Repair & Replacement (R) costs.
No YTD revenues are at a level equal to or above those budgeted.
No YTD expenditures are at a level equal to or below those budgeted.
No A monthly manager's report is prepared.
No Budget amendments are completed and adopted as necessary.
Finances Comments
KTC's monthly finance report lists revenues and expenditures, however it does not have a comparison to the adopted budget. A copy of calendar FY11 budget and documentation of its adoption by KTC has not been provided. RUBA staff contacted Alaska Village Electrical Cooperative (AVEC) on June 22, 2011. AVEC stated that the Kasigluk Traditional Council is not current on electric bills. The monthly reports received in previous quarters contain expenditures and revenues that show year-to-date expenses being reasonable, however documentation that the budget was adopted needs to be provided. Past financial reports show excess funds that could be used for repair and replacement althought it is not budgeted that way or accounted for separately. Either a copy of a monthly manager's report or meeting minutes showing it being addressed to the council are acceptable documentation for the managers report.

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.
Yes An accounts receivable system is in place which tracks customers and reports past due accounts and amounts.
Yes An accounts payable system is in place.
Yes The payroll system correctly calculates payroll and keeps records.
Yes A cash receipt system is in place that records incoming money and how it was spent.
Yes 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.
Yes 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
KTC has an adopted written collection policy. Copies of past utility bills were provided and, while the assessment was being conducted, customers were coming in and paying bills. They were issued hand written receipts. KTC staff generated a billing statement they send out. QuickBooks is being used for accounting functions. The accounts payable system was a file cabinet that had all vendors organized into files. Receipts for outgoing money were kept in this file. Their monthly reports and 941 forms demonstrate they have a payroll system. The cash receipts system was manual with carbon copies. Bank reconciliations are not done on a monthly basis. The tribal administrator submits purchase requisition requests to KTC for supplies needed.

Tax Problems

Essential Indicators
Answer Question
Yes The utility has a system to accurately calculate, track, and report payroll tax liabilities.
No The utility is current on filing tax reports.
No The utility is current on making tax deposits.
No 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
A form requesting release of federal tax information from April 2008 to March 2011 was sent to the IRS on June 22, 2011. On June 27, 2011 the IRS stated that Kasigluk Traditional Council is not current on Federal taxes. The IRS states that Kasigluk Traditional Council owes $271.48 for the first quarter of 2011. The Alaska State Department of Labor (DOL) was contacted on June 17, 2011. DOL stated that the Kasigluk Traditional Council is not current on their Employment Security Contributions account. Kasigluk is not on the Lien Watch dated March-April 2011.

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
Kasigluk Traditional Council workers compensation insurance is through Umialik Insurance Company for the period from January 4, 2011 through January 4, 2012. A copy of KTC's personnel policy was provided. It describes job classifications, performance evaluations, orientation/training, and reassignment/probation periods. KTC's personnel files were spot checked. The bookkeeper and tribal administrator have both received multiple kinds of training.

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.
Yes 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
No 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
KTC owns and operates the utility. KTC has weekly meetings in which they make policy. The tribal administrator has been working for KTC for over a year, and has an Associate's degree. The administrator stated she had training in orientation, BIA, at the Providers Conference and in administration. The bookkeeper started in May 2011. The utility operator is currently certified. The council has not adopted an organizational chart.

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
No 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.
No 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.
N/A The utility has completed and distributed its "Consumer Confidence Report".
Yes 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 utility operator is currently certified. A preventative maintenance plan was provided by Dave Roland, the onsite superintendent. A copy of meeting minutes that document the manager addressing the council about the monthly operations and maintenance report meets this sustainable indicator. A safety manual and regular safety meetings are needed. The utility operators report to the tribal administrator and give her verbal reports. KTC is not on the SNC list. They currently do not have a Consumer Confidence Report posted and one was not provided. However, the water plant is no longer providing potable water to the community. When a new water plant comes on line, a Consumer Confidence Report will be required. The utility operator provided an inventory control list that mainly focused on tools. It had a detailed account of all the tools they have and use but no spare parts. The critical spare parts list had only one entry.