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

Community:
Kwethluk 
Staff:
Ken Berlin  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Kwethluk 
Population:
721  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
8/6/2007 
Community Sanitation Overview:
The Kwethluk Utilities Commission (KUC) operates the water treatment plant, washeteria, garbage collection, and the honey-bucket haul system for the community. The Kwethluk Utilities Commission Utility Board is the policy making body for the utility. A new washeteria/water treatment plant is still under construction through Alaska Native Tribal Health Consortium (ANTHC) engineering services. The school and teachers' housing have their own water sewer systems. There are honeybucket bins located sparingly throughout the community for the container haul system, these are hauled to the sewage lagoon on a concurrent basis. Very few homes have running water or plumbing for showers, but many residents have sauna/steambath houses. 
RUBA Status & Activities This Qtr:
In April 2007 RUBA staff called the City of Kwethluk and spoke with Arthur Alexie, City Administrator concerning the take over of the water and sewer project. The water and sewer project was administered by YKHC RUC program but they decided to terminate the agreement at the end of April. I told Alexie we needed to schedule a meeting with the City Council concerning this matter as soon as possible and he said he will get back to me after he consults with the Mayor. In April 2007 RUBA staff met with IRS and discussed the IRS debt owed by Kwethluk Utility Commission (KUC). IRS requested a tax release form which staff faxed to the KUC to be send in to IRS. Once the signed release form is received IRS will send out the information to the assigned RUBA staff. On July 24, 2007 the City of Kwethluk bookkeeper hand carried documents related to the RUBA essential indicators into our office. The following documents were enclosed: FY 2008 budget, finance reports to June 2007, copy of current electric bill, 941 and ESC quarterly reports and copies of payroll tax deposits, Personnel Policy and copies of job descriptions, Operator certification, ordinance establishing water and sewer utility department, organizational chart, business plan and copies of reports by the manager and operator. 
RUBA Activities for the Coming Qtr:
Schedule trip to Kwethluk this quarter to review RUBA essential indicators onsite with city administrative staff.
Scores:
 
Essential Indicators:
20 of 26
Sustainable Indicators:
18 of 27
Total Score:
38 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
No 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
FY 2007 budget was amended in May 2007 to balance out certain line items. FY 2008 budget is balanced and adopted. Finance reports are up to date to June 2007.

Accounting Systems

Essential Indicators
Answer Question
No The utility has adopted a collection policy and actively follows it.
No 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.
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.
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
City has a collection policy but did not enforce it. Billings were not done in the past but will start in July 2007. The accounts receivable and payable systems are not verified by documentation at this time.

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
941 and ESC quarterly reports on file current to 2nd quarter along with payroll tax liability payments.

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.
No 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
City of Kwethluk is covered by AML/JIA effective to 7/2008. Personnel Policy, job descriptions, evaluation process, hiring process, probationary and training are on file.

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.
No 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
The ordinance establishing the utility is on file but was not enforced in the past. Utility has a trained manager, bookkeeper and operators with certification.

Operation of Utility

Essential Indicators
Answer Question
Yes The utility operator(s) are actively working towards necessary certification.
No 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.
No Utility facilities have not suffered any major problems/outages due to management issues that are unresolved.
No 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.
No 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
A copy of the preventative maintenance plan was requested and a sample was faxed to Kwethluk.