Quarterly Report: 2010, October - December (Q2), Ouzinkie

Community:
Ouzinkie 
Staff:
Tammy Helms  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Ouzinkie 
Population:
155  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
2/22/2010 
Community Sanitation Overview:
Water is supplied by a dam on Mahoona Lake and Katmai Creek, is treated, and piped throughout the City. The system serves 80 homes and commercial facilities. A piped sewage system, central septic treatment system, and sludge disposal site are used for waste. Over 90% of all homes are completely plumbed. The City needs a 400,000-gallon water tank for adequate treatment and storage. Refuse is collected by the City. A new landfill site was recently completed. The community participates in a hazardous waste collection program, but would like a facility to recycle scrap metal. Electricity is provided by City of Ouzinkie.  
RUBA Status & Activities This Qtr:
RUBA staff has maintain contact with the community throughout the quarter answering various questions. RUBA staff also follwed up on the community's winter fuel supply. The City of Ouzinkie continues to be a stable and sustainable community. 
RUBA Activities for the Coming Qtr:
RUBA staff will continue to work with the community to offer any support needed.
Scores:
 
Essential Indicators:
27 of 27
Sustainable Indicators:
22 of 27
Total Score:
49 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.
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 City of Ouzinkie has an created and adopted their FY10 entity budget. Included in the entity budget is a well thought out water and wastewater budget. The budget is regularly reviewed and budget amendments are completed and adopted as necessary. Budget vs. actual financial reports are provided each month to the council The city produces its own electricity for the community and the inter-facility electric bills are paid on a regular basis to track electric cost of the utility. The utility purchases fuel from the local Native corporation. The corporation has kept an adequate supply of fuel on hand throughout the winter. The water and wastewater revenues combined with a subsidy from the electric revenues are sufficient to cover operating expenses. In August 2008, the city raised the water and wastewater rates. A manager's report is given to the council monthly. This report can be either verbal or written and is recorded in the meeting minutes.

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
Section 13.04.030 of the City of Ouzinkie water and sewer ordinance clearly addresses billing and payment procedures. Section 13.04.130 addresses discontinuance procedures however, customers in Ouzinkie are diligent in paying their bills so customers rarely have their services discontinued. Currently, the city utilizes the accounting software QuickBooks Pro which can accurately track customers and report past due accounts and amounts, as well as accounts payable and payroll. The city also has created an extensive Excel program spreadsheet to calculate customers electricity bills. Once the electric bills are calculated through Excel, the final amount due is entered in QuickBooks as an invoice for each customer. The city's purchasing system consists of first requesting approval from the manager; once approval is given, the purchase is made then submitted to the utility clerk for payment.

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
As previously stated, all payroll is calculated, tracked and payroll tax liabilities reports are created through QuickBooks Pro. The city has signed a tax release form; the IRS is currently reporting the City of Ouzinkie is compliant with payroll tax reports and deposits. The Department of Labor has responded that the City of Ouzinkie is current with the reporting and payment requirements for their department.

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.
No 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 utility has a posted workers compensation insurance policy through AMLJIA that is valid from July 2009- June 2010. The utility has adopted and uses a personnel policy. All job descriptions are written and in place. It is updated as the council deems necessary. All employee personnel folders contain a minimum of the employee's application, letter of acceptance, employee I-9 and W-4's as well as any disciplinary action or acknowledgement. The utility has a probationary period for new hires. The probationary period is 90 days. At the end of the probationary period a personnel evaluation is completed. Evaluations are completed annually thereafter. Training opportunities to staff are provided as funds allow or opportunities by other sponsors become available. Other entities that provide training are as follows: ANTHC, Village Safe Water, Kodiak Area Native Association and RUBA.

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
The City of Ouzinkie is known as the entity that owns and operates the utility, and is active in policy making for the utility as well as in enforcing the policy they have adopted. The utility manager has attended three utility management training classes sponsored by the RUBA program, the utility clerk has also attended three utility management training classes and the current water operator has attended two training classes. The current utility operator is trained and has passed the Level 1 test for water treatment and distribution. The two back-up operators (the utility manager and utility clerk) are also certified. The city has an adopted water and sewer ordinance. Section 13.04.120 states all rates will be set by the city council by resolution. On March 12, 2009 the Ouzinkie City Council passed a resolution setting the water and wastewater rates as shown below: Water Wastewater Residential $25 $5 Senior Citizen $17.50 $2.50 Commercial $65 $10 School $340 $10 The utility has adopted a detailed organizational chart that reflects the current structure. A copy of the organizational chart was provided to RUBA staff. Council meetings are held monthly and comply with the Open Meeting Act.

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.
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.
Yes 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
As previously stated, the current utility operator and both back up operators are trained and certified. The City of Ouzinkie has a preventative maintenance plan for the existing system posted on the wall of the treatment plant. The utility operator reports to the utility manager when there is a problem or if he can foresee one. A verbal status report is given to the utility office on a daily basis. The City of Ouzinkie has prepared and distributed the CCR report for 2008. The City of Ouzinkie is not currently on the SNC list. The utility operator and council attempt to keep needed critical spare parts on hand but they currently have no actual written list.