Quarterly Report: 2012, October - December (Q2), Golovin

Community:
Golovin 
Staff:
Leroy Seppilu  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Golovin 
Population:
167  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
1/31/2012 
Community Sanitation Overview:
The City of Golovin turned over the responsibility of the management of the water supply and storage system to Alaska Rural Utilities Collaberative (ARUC), as well as water treatment plant. The city operate and manage the washeteria. In conjunction with Alaska Native Tribal Health Consortium (ANTHC), a community-wide piped water and sewer system was constructed last year. Water is pumped from Chinik Creek, treated, and stored in three heated water storage tanks. A new 1.2 million-gallon water tank has been built and a new washeteria is completed and utilized by the residents who are not connected to the water and sewer system. At present, there are twenty six commercial and residential customers in the lower area of Golovin.  
RUBA Status & Activities This Qtr:
Alaska Rural Utilities Cooperative (ARUC) provides full management and operation services to the city's water and sewer utility. However, Golovin contacts RUBA/LGS staff rountinely for assistance with finance and election questions. At the request of the mayor, Nome LGS/RUBA staff traveled to Golovin to work with the city clerk to review and make recommendations to the administration and council to the election results. The city council acts as the utility board for the utilities, including ARUC-managed water and sewer department. 
RUBA Activities for the Coming Qtr:
RUBA staff will continue to monitor ARUC reports and provide assistance to the community as requested.
Scores:
 
Essential Indicators:
27 of 27
Sustainable Indicators:
26 of 27
Total Score:
53 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
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
Alaska Rural Utilities Collaberative (ARUC) manages the water and sewer utility. The new fiscal year for ARUC started on October 1st. For FY '12, ARUC budgeted revenues of $151,232 and exependitures of $146,905. For the month of October, 2011, the latest monthly financial report, revenues received were $38,830 and expendures of $18,120.

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 regularly bills water and wastewater customers on a monthly basis from its Anchorage office. The monthly financial reports are made on Excel Spreadsheet and are very comprehensive. ARUC has adopted a purchase order process that requires checking the budget prior to approval of the purchase request.

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
The city and ARUC are both deemed compliant by both IRS and Alaska Department of Labor's Employment Security Division for quarterly tax reports and payments. The utility is currently not on the Tax Lien Watch.

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
ARUC has general liability and workers's compensation coverage paid for by ARUC. The water and wastewater utility department employees are under the city's personnel policies. The policies are fairly old and have not been updated, but are fairly complete and comprehensive.

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 council acts as the utility board and hold once a month council meetings as required by the city ordinance. Water and wastewater utility department activities are on the agenda each month. A representative from Golovin participates in the advisory board for ARUC. Despite a couple of minor issues, the City of Golovin successfully conducted a municipal election. The mayor did ask to have Nome RUBA staff review and advise the city council on the run-off election. After the run-off election, the new city council re-organized and elected Donald Oliver and new mayor.

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
The water and wastewater utility project is still on-going and more residential customers will be added in the future as the sanitation project continues. In the latest SNC list, the city is still on the Significant Non-Complier list for Stage 1, LCR and TCR violations. The operators are working with the Remote Maintenance Worker to get off the listing.