Quarterly Report: 2006, April - June (Q4), Marshall

Community:
Marshall 
Staff:
Jimmy Smith  
DCRA Regional Office:
 
Gov't Type:
Second Class City 
Borough:
 
Agreement?
No 
Agreement Date:
 
Entity:
City of Marshall 
Population:
370  
Assessment Status:
 
Assessment Date:
 
Exp Date:
 
Last Updated:
7/26/2006 
Community Sanitation Overview:
Water is derived from two wells. Two wells were completed in 1991. Approximately 70% of the City (60 homes) are served by a piped circulating water and sewer system and have full plumbing. The remainders haul water and use honeybuckets. The remaining unserved 19 homes and the fish processing plant, have been completed of the system installed in the late 1970s. A new landfill and access road were completed in 1997, and the City has begun a refuse collection service. 
RUBA Status & Activities This Qtr:
RUBA staff continues to provide the city staff assistance via the phone, fax and email. A site visit is scheduled for July to meet with staff and council members. This is to go over the RUBA assessment. The IRS tax advocacy department sent a letter to the city in reference to the taxes owed to the IRS that was incurred by the contractor on behalf of the city. The Tax Advocacy Department is requesting the city work with them to try and resolve the debt. The city needs to write a detailed letter to the tax advocacy department of how the debt was incurred by the city.  
RUBA Activities for the Coming Qtr:
RUBA staff will continue to provide assistance as requested. RUBA staff plans on making a trip to the community next quarter to meet with the staff and council members.
Scores:
 
Essential Indicators:
25 of 27
Sustainable Indicators:
21 of 27
Total Score:
46 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
The city staff has been providing a financial reports to the council members each month on all finances of the city. The financial reports show the approved budget, monthly and yearly expenditures including the revenues and the balance of the budget using an excel spreadsheet. An R/R account was set up several years ago but the council has been using this account for operational activities of the city.

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
The city staff continues to use QuickBooks for all their accounting practices. The staff follows and enforces the collection policy the council had passed. The staff makes sure the customer understands why they are being billed for the services from the city. If a customer does not pay their water sewer bill a shut off notice and even a disconnect notice is conducted to the customer.

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.
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
The city staff continues to use QuickBooks to report all the necessary IRS and DOL reports for their current EIN number that they use. A seperate EIN number was used for the community project by the contractor. The city staff and council members are trying to resolve the IRS debt that was incurred against the EIN number used by the contractor for the community project for the community.

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.
No 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.
No 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 city staff has been following the city council personnel policy for all subsitute and temporary hires.

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 may have to work with their attorney to address the potential vendor payments that will have to be paid along with the IRS. Although these are not water sewer related this may have an adverse impact on all the city finances. The operator for the city is a council member and was hired as a Superintendent by a contracting firm. The operator still resides in the community.

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".
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
The utiltiy created a preventative maintenance plan for their existing utility. A copy of the plan was submitted to the RUBA staff by the Mayor.