Quarterly Report: 2012, October - December (Q2), South Naknek

Community:
South Naknek 
Staff:
Robert Madeson  
DCRA Regional Office:
 
Gov't Type:
Federally Recognized Tribe 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
South Naknek Village 
Population:
74  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
1/31/2012 
Community Sanitation Overview:
Individual water wells and septic systems serve the majority of the community; others use the piped water and sewer system. Roughly 30 homes are connected to the piped water and sewer systems. Two permitted landfills are available; one operated by the Bristol Bay Borough and one by a private fish processing company. Power lines cross the Naknek River 5 miles east of Naknek and connect to South Naknek. 
RUBA Status & Activities This Qtr:
To date, ARUC has provided RUBA a monthly financial report and other documentation. The village council and the Alaska Native Tribal Health Consortium Alaska Rural Utility Collaborative (ARUC) reported to RUBA a jointly signed contract for ARUC to manage the water/sewer utility. RUBA continues to recommend a RUBA Assessment be conducted and will maintain contact with ARUC. The village council continues working with the Alaska Native Tribal Health Consortium (ANTHC) to plan upgrades to the public water/sewer system with a focus on improvements to the wastewater system.  
RUBA Activities for the Coming Qtr:
RUBA will maintain contact with the ANTHC Alaska Rural Utility Collaborative and provide assistance upon request. RUBA continues to recommend a RUBA Assessment to be conducted and will maintain contact with ARUC.
Scores:
 
Essential Indicators:
27 of 27
Sustainable Indicators:
23 of 27
Total Score:
50 of 54

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
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.
Yes A monthly manager's report is prepared.
Yes Budget amendments are completed and adopted as necessary.
Finances Comments
The utility budget is balanced and realistic. Expenditures are exceeding revenues. ARUC provides a subsidy when customer revenues fall short of expenditures. Revenues exceeded expenditures by $1824.19. The subsidy is listed in the ARUC monthly financial reports but it does not appear in the budget. ARUC staff produces monthly financial reports presenting year to date activity. RUBA staff maintains contact with ARUC during the quarter concerning their financial reporting. Manger's reports are prepared and budgets are mended when necessary.

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
Yes A chart of accounts is used that identifies categories in a reasonable, usable manner.
Yes 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
ARUC bills customers consistently. ARUC operates under an agreement with the village council and a water/sewer ordinance that includes a collections policy. ARUC maintains a workers compensation policy and uses computerized accounting to monitor and track finances. ARUC maintains accounting records including accounts payable, receivable, and payroll under direction of a utility manager based in their central office in Anchorage. ARUC maintains a chart of accounts, reconciles bank accounts, and utilizes a purchasing system that requires approval prior to purchase.

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.
Yes 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
On 11/29/2011 The Tax Advocate deemed The Village of South Naknek compliant. On 12/06/2011 the Alaska Department of Labor (DOL) confirmed ARUC is meeting Alaska ESC tax obligations through 09/30/2011. ARUC uses accounting software to process payroll out of their Anchorage office. Currently South Naknek is not listed in The Small Community Tax Lien List.

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
Worker's compensation insurance coverage, purchased for ANTHC through Alaska National Insurance Company is reportedly current. On 12/23/11 ARUC abides by a comprehensive personnel policy, maintains personnel folders, utilizes a probationary period for new hires, and provides training opportunities to staff.

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.
Yes 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
ARUC oversees water/sewer utility management with the village council through a written, contractual agreement signed by the South Naknek Village Council and ARUC in October 2008. ARUC provided RUBA a water/sewer ordinance reported to have been adopted by South Naknek's village council. ARUC manages customer billing and enforces collections. Utility staff is trained and receives training opportunities.

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.
Yes The utility maintains an inventory control list.
Yes The utility maintains a critical spare parts list.
Operation of Utility Comments
In prior quarters, the primarily water operator possessed certification for Water Treatment OIT, Water Distribution OIT according to the Alaska Department of Environmental Conservation operator database. The utility maintains a basic preventative maintenance plan. The current operations manual includes schedules for critical tasks and parts. Currently South Naknek is not listed in the Significant Non-Complier (SNC) list.