A G E N D Astorage.hkywater.org/.../HWU_Board_Packet_2015-12-21.pdf · 2015. 12. 21. · Boyett with “The Gleaner”. B. INVOCATION – Rodney Michael C. PRESENTATION ... Approval

A G E N D A

HENDERSON WATER & SEWER COMMISSION (270) 826-2421

December 21, 2015 Monday @ 4:30pm

______________________________________________________________________________ A. ROLL CALL

B. INVOCATION

C. APPROVAL OF MINUTES

Approval of Minutes from November 16, 2015

D. MONTHLY REPORTS

Financial o Financial System Profile Audited Cost YE June 30, 2015-2014

Operations Engineering Human Resources Safety Report General Manager’s

o Report on Stormwater Projects

E. BUSINESS

Action Report #2015-32 – 6th Street Water Main Replacement Project Action Report #2015-33 – Lawn Care Services Discuss moving January 2016 Meeting to fourth Monday, January 25th due to third

Monday falling on holiday.

F. EXECUTIVE SESSION – Requested

To discuss matter regarding proposed or pending litigation, pursuant to KRS 61.810(c).

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ACTION MINUTES OF MEETING November 16, 2015

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ACTION MINUTES November 16, 2015

HENDERSON WATER & SEWER COMMISSION ______________________________________________________________________________ A. ROLL CALL

Present at the meeting was Commissioner Paul Bird, Chairman, who presided over the meeting, along with Commissioners George Jones, Gary Jennings and Julie Wischer (left meeting after Operations Report). Commissioner John Henderson was unable to attend the meeting. General Manager, Tom Williams and Eric Shappell, Attorney were also present. Other Staff members present were Rodney Michael, Leason Neel, Kathy Ambrose, and Patty Brown. Also in attendance were Mayor Steve Austin, and Assistant City Manager, Buzzy Newman. Others present were Brian Crafton and Jack Sommerville with Myriad CPA Group, and Reporter Frank Boyett with “The Gleaner”.

B. INVOCATION – Rodney Michael

C. PRESENTATION

Myriad CPA Group, LLC presentation on 2014-2015 Audit of Financial Statements Brian Crafton with Myriad CPA Group, LLC, appeared before the board to present the findings on the Audited Financial Statements for Henderson Water Utility for the fiscal year ended June 30, 2015. Hard copies of the report were distributed to the board members who had received copies to review the previous week. He highlighted items in the report that pertain to possible risks for the utility. Some of the risks included regulatory issues; having a small concentration of customers that make up 48% of revenue; and the pension obligations that are required by the State this year according to GASB 68. The GASB 68 required that $5,018.088.00 be placed on the books as an unfunded pension liability. These numbers are provided by the State. The contributions that were made in 2015 did not get recorded as pension expense but are recorded as a deferred outflow and will be expensed next year. Mr. Crafton explained that they look at any changes that the utility might have. They also look at utility billing with larger customers like Tyson, International Paper, Henderson County Water District and Beech Grove. They likewise reviewed the purchasing and procurement cycle and payroll transactions. He reported that the audit has a clean opinion. He advised that if there are any questions concerning the audit to contact him. Copies of the 2014-2015 Financial Audit are available upon request at the HWU Administrative Office. The board thanked Mr. Crafton and Mr. Sommerville for their presentation. Tom Williams commented that the audit will be brought before the City Commission on the 24th. Motion was made and approved to accept the audit as presented.

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Action Minutes 2015Nov16

D. APPROVAL OF MINUTES

Approval of Minutes from October 19, 2015

Minutes were approved as submitted.

E. MONTHLY REPORTS

Financial – Discussed and approved as submitted. Leason Neel noted that the pension liability required by GASB68 reduced the accounting expense allocated to our contract customers. He also reviewed the Projected Cash Flow statement that was included with the financials showing updated numbers.

Operations – Discussed and approved as submitted. Rodney Michael highlighted a couple of new reports that are being generated that are very helpful. Automation has a report that gives daily readings on pump stations which should help identify any potential problems and GIS has a report created through Cityworks that gives detail on each of the vehicles in our fleet. Commissioner Jones asked if anything else could be done to notify the public of the leaf collection procedure. He said he noticed that a lot of leaves are being put into the street instead of just to the curb. Mr. Michael said that information is being included in bill inserts four times a year, but he mentioned that a new brochure is being worked on that would have pictures as examples, since every customer doesn’t have the same situation, it can be confusing.

Engineering – Discussed and approved as submitted.

Human Resources – Discussed and approved as submitted.

Tom Williams informed the board that an offer has been made to an individual to fill the vacant IT position and there should be someone to introduce to the board at the next meeting. He also mentioned how helpful Greg Nunn has been in the interim.

Safety Report – Discussed and approved as submitted.

General Manager’s – Discussed and approved as submitted.

F. BUSINESS

Action Report #2015-30 – Finley Addition Sewer Project After review, approved Action Report #2015-30 – Finley Addition Sewer Project, appropriating an additional $20,000 from the 2015-16 Capital Budget under the “Special Projects” line item. This will be used for Scada monitoring and control panels that are required for the pump stations.

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Action Minutes 2015Nov16

Action Report #2015-31 – Annual Renewal of Service Contracts – Hach Company

After review, approved Action Report #2015-31 for Annual Renewal of Service Contracts with Hach Company for instrumentation calibrations at the NWTP and SWTP in the amount of $43,065 which is included in the 2015-16 fiscal year budget.

G. EXECUTIVE SESSION – None Requested

Motion was made and approved to adjourn. The next regular monthly meeting will be held on December 21, 2015.

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FINANCIAL REPORT

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Henderson Water Utility

Financial Summary

For Five Months Ended November 30, 2015

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November November Year to Date Year to Date Fiscal Year

Actual Budget Actual Budget Budget

OPERATING REVENUES

Water Sales 641,127$ 629,694$ 3,348,431$ 3,298,469$ 7,556,325$

Water Penalties 2,328 2,370 12,903 11,848 28,435

Water Fees ‐ 4,022 19,924 20,110 48,265

Wastewater Services 907,098 897,372 4,585,276 4,611,858 10,768,458

Wastewater Penalties 3,491 3,161 18,440 15,805 37,932

Wastewater Fees 8,901 15,800 121,601 78,998 189,595

Total Operating Revenues 1,562,945 1,552,418 8,106,575 8,037,088 18,629,010

OPERATING EXPENSES

Salaries and Wages 305,237 364,511 1,684,844 1,766,478 4,374,135

Payroll Taxes 21,421 26,491 119,200 130,417 317,891

Health Insurance 96,187 108,000 487,877 540,000 1,296,000

Pension Benefits 51,356 62,186 284,627 306,144 746,227

Workers Compensation 6,422 8,320 43,767 58,238 99,836

Other Employee Benefits 1,149 2,044 6,808 10,061 24,524

Car Allowance 1,800 2,250 9,000 11,250 27,000

Electricity 105,069 117,513 550,907 587,564 1,410,154

Natural Gas 445 502 1,144 4,765 37,050

Chemicals 102,586 90,833 486,405 454,167 1,090,000

Inventory Expense 19,664 14,033 61,051 70,167 168,400

Fuel 5,445 13,875 40,187 69,375 166,500

Tools & Small Equipment 10,206 10,721 56,531 53,604 128,650

Safety Supplies 1,232 4,617 8,170 23,083 55,400

Clothing/Cleaning Allowance ‐ ‐ ‐ ‐ 18,975

Vehicle Repair 4,641 5,850 21,542 29,250 70,200

Other Equipment Repair 21,285 23,108 70,352 115,542 277,300

Other Structures Repair 19,237 24,618 123,174 123,092 295,420

SCADA Expense 739 2,869 21,179 14,343 34,424

Administrative Services 49,916 50,083 249,588 250,417 601,000

Contractual Services 94,798 101,671 507,861 508,355 1,220,052

Contractual Labor 5,259 20,083 71,255 100,417 241,000

Professional Services 1,838 2,917 4,558 14,583 35,000

Equipment Rental 304 4,693 9,227 23,465 56,315

Audit Expense 20,000 20,000 20,000 20,000 20,000

Trust Fees 37 1,250 2,835 6,250 15,000

Public Contributions ‐ 3,958 6,165 19,792 47,500

Insurance ‐ ‐ 138,276 139,800 278,100

Technology Expense 347 12,721 75,682 63,603 152,648

Office & Field Supplies 18,847 15,167 88,448 75,833 182,000

Telephone 3,979 4,189 20,084 20,946 50,271

Medical Exams 321 500 1,896 2,500 6,000

Travel and Training 6,465 5,370 20,818 26,850 64,440

Dues and Subscriptions 553 1,204 2,405 6,020 14,448

Printing 393 358 1,064 1,792 4,300

Miscellaneous 86 596 1,190 2,979 7,150

Depreciation 291,666 291,667 1,458,333 1,458,333 3,500,000

Total Operating Expenses 1,268,930 1,418,767 6,756,450 7,109,474 17,133,310

Operating Income 294,015$ 133,650$ 1,350,125$ 927,614$ 1,495,700$


Operating Revenues and Expenses Summary

For the Five Months Ended November 30, 2015

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Henderson Water UtilityVariance Analysis

Five Months Ended 11/30/2015

Actual Operating Revenues 8,106,575$

Budgeted Operating Revenues 8,037,088

Favorable (Unfavorable) Variance 69,487$

Percentage Difference 0.86%

Billable Gallons

Through 11/30/2015 1,054,532,157

Through 11/30/2014 1,104,844,919

Difference (50,312,762)

Percentage Difference -4.55%

Actual Operating Expenses 6,756,450$

Budgeted Operating Expenses 7,109,474

Favorable (Unfavorable) Variance 353,024$

Percentage Difference 4.97%

Breakdown of Volumetric Differential For Five Months Ended :

Nov-15 Nov-14 Differential %Residential 267,334,021 269,230,198 -0.70%Industrial 454,109,567 489,818,607 -7.29%Commercial 333,088,569 345,796,114 -3.67%

Ninety percent of industrial variance attributable to large contract customer.

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Henderson Water UtilityCapital Expenditures Report


Total Action Beginning Current MTD Current YTD Project to Date Fiscal Year Capital Report Balance Activity Activity Balance Budget Budget No.

Construction In Progress:Center & Julia -$ -$ -$ -$ 100$ Pump Station Modifications 27,545 - 27,545 110,000 110,000 13-14US 60W Water Booster Station 83,646 15,940 101,716 185,362 85,000 185,000 14-45NWWTP Headworks Project 10,979,179 328,201 1,384,209 12,363,388 2,650,960 13,630,139 13-24NWTP Rehab 302,015 7,298 31,427 333,442 1,661,226 1,661,226 15-11SWTP Rehab 213,891 53,800 187,600 401,491 330,000 625,100 15-09Countryview Subdivision Stormwater 41,488 8,097 49,585 400,000 400,000 Frontier Tank Project 14,111 155,414 205,896 220,007 655,800 655,800 15-13Cooper Park Stormwater 138,645 116,409 255,054 346,000 346,000 15-10South Main & Drury Stormwater 10,591 1,580 12,171 35,000 14-51Atkinson Park Watershed - 48,185 126,185 126,185 198,500 198,500 15-14College Tank - - 15,000 15,000 15-27Vine Street Tank - - 35,000 35,000 15-27Finley Addition 3,180 3,180 3,180 20,000 20,000 15-30Special Projects - - 631,941 Total Construction In Progress 11,811,111 612,017 2,166,299 13,977,410 7,139,527

Buildings and Improvements:SOC Bldg Roof 13,991 - 13,991 34,125 14-23NWWTP Digestor Blower - 1,005 22,375 22,375 23,000 23,000 15-17Blower Bldg # 1 Roof - 11,543 11,543 100 Admin Bldg Improvements 18,272 99,791 104,509 122,781 280,000 280,000 15-25Sludge Storage Bldg 9,188 936 78,964 88,152 150,000 150,000 15-04Total Buildings and Improvements 41,451 101,732 217,391 258,842 453,100

Equipment and Vehicles:Equipment - - - - 235,000 235,000 15-24Virtual Server - - 40,160 40,160 45,000 45,000 15-23Generator - - - - 25,000 25,000 Tapping Machines - - 9,439 9,439 23,310 23,310 14-32& 52Work Order Mgt. System - - - - 100 Transformers - - - - 20,000 20,000 Engineering Plotter - 9,602 9,602 9,602 Vehicles - - - - 191,197 191,197 Camera Tractor - - - - 9,000 9,000 Wash Truck - - - 230,000 230,000 15-19Total Equipment and Vehicles - - 59,201 59,201 788,209

Total Capital Expenditures 11,852,562$ 713,749$ 2,442,891$ 14,295,453$ 8,380,836$

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Financial Statements

For Five Months Ended November 30, 2015

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ASSETSCurrent assets: Cash 8,640,781$ Unrestricted Investments 2,102,698 Restricted Investments 392,411 Accounts receivable 1,216,696 Inventories 902,859 Total current assets 13,255,445

Noncurrent assets: Construction in progress 13,977,410 Utility plant and equipment, net of accumulated depreciation 65,265,771 Other assets 228,635 Total noncurrent assets 79,471,816

Deferred outflows of resources 653,720

Total assets 93,380,981$

LIABILITIESCurrent liabilities: Accounts payable 247,154$ Retainage payable 538,841 Deposits payable 82,839 Accrued liabilities 1,207,400 Current portion of long-term debt 160,000 Total current liabilities 2,236,234

Noncurrent liabilities: Accrued pension liability 5,018,088 Long-term debt 40,047,239 Total noncurrent liabilities 45,065,327

Deferred inflows of resources 560,000

Total liabilities 47,861,561

NET POSITIONNet investment in capital assets 39,264,577 Restricted for debt service 392,411 Unrestricted 5,862,432

Total net position 45,519,420

Total liabilities and net position 93,380,981$

Henderson Water UtilityStatement of Net Position

November 30, 2015

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November November Year to Date Year to Date Fiscal YearActual Budget Actual Budget Budget

OPERATING REVENUESWater sales and fees 643,455$ 636,085$ 3,381,258$ 3,330,427$ 7,633,025$ Wastewater services and fees 919,490 916,332 4,725,317 4,706,661 10,995,985

Total operating revenues 1,562,945 1,552,417 8,106,575 8,037,088 18,629,010

OPERATING EXPENSESSalaries, wages, and benefits 483,572 573,801 2,636,123 2,822,587 6,885,613 Contractual services 172,152 204,656 871,044 939,321 2,235,867 Supplies and materials 139,133 134,079 652,344 670,395 1,627,925 Utilities expense 105,514 118,015 552,051 592,329 1,447,204 Repairs and maintenance 45,902 56,445 236,247 282,225 677,344 Other services and expenses 30,991 40,105 350,308 344,283 759,357 Depreciation 291,666 291,666 1,458,333 1,458,334 3,500,000

Total operating expenses 1,268,930 1,418,767 6,756,450 7,109,474 17,133,310

Operating income 294,015 133,650 1,350,125 927,614 1,495,700

NONOPERATING REVENUES (EXPENSES) Investment income 1,461 2,083 17,524 10,417 25,000 Other income 416 - 8,275 - - Interest expense (96,542) (100,748) (501,940) (503,741) (1,208,973) Amortization expense (1,482) (1,470) (8,929) (7,351) (17,642)

Total nonoperating revenues (expenses) (96,147) (100,135) (485,070) (500,675) (1,201,615)

Income before capital contributions and distribution 197,868 33,515 865,055 426,939 294,085

Capital contributions 170,216 - 170,216 - 377,411 Distribution to City of Henderson - - - - (400,000)

Change in net position 368,084 33,515 1,035,271 426,939 271,496

Net position, beginning of period 45,151,336 44,877,573 44,484,149 44,484,149 44,484,149

Net position, end of period 45,519,420$ 44,911,088$ 45,519,420$ 44,911,088$ 44,755,645$

Henderson Water UtilityStatement of Revenues, Expenses, and Changes in Net Position


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November Year to Date

CASH FLOWS FROM OPERATING ACTIVITIESReceipts from customers 910,519$ 7,441,867$ Payments for goods and services (530,917) (2,667,142) Payments for employees (483,572) (2,630,825)

Net cash provided (used) by operating activities (103,970) 2,143,900

CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIESDistribution to City of Henderson - -

Net cash provided (used) by noncapital financing activities - -

CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIESAcquisition and construction of capital assets (667,133) (2,825,350) Principal payments on long-term debt (215,000) (5,574,603) Interest payments on long-term debt (69,355) (745,088) Bond proceeds, net of closing costs - 3,504,483 Capital contributions 170,216 170,216

Net cash provided (used) by capital and related financing activities (781,272) (5,470,342)

CASH FLOWS FROM INVESTING ACTIVITIESInvestment and other income received 3,147 27,710 Investments proceeds 284,355 642,848 Investments purchases (29,578) (149,316)

Net cash provided (used) by investing activities 257,924 521,242

Net increase (decrease) in cash (627,318) (2,805,200)

Cash, beginning of period 9,268,099 11,445,981

Cash, end of period 8,640,781$ 8,640,781$

Henderson Water UtilityStatement of Cash Flows


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System And Service Profile

Years Ended June 30, 2015 and 2014

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Henderson Water UtilitySystem & Service Profile By Customer

For Year Ended June 30,2015

System: Revenues % ofOverall

Sewer WaterNorth System 1,278,741,303 1,700,940,572 12,361,397$ 70.22%South System 671,304,998 776,673,398 5,243,612 29.78%

1,950,046,301 2,477,613,970 17,605,009$ 100.00%

Service:

Water 6,968,160$ 39.58%Wastewater 10,636,849 60.42%

17,605,009$ 100.00%

Customer: % of % of % of North South Overall

Residential 615,910,723 615,967,783 5,954,716$ 48.17% 0.00% 33.82%Tyson 628,351,038 628,351,038 4,598,838 0.00% 87.70% 26.12%International Paper 241,073,970 241,073,970 1,871,239 15.14% 0.00% 10.63%Commercial 208,518,508 208,529,961 1,800,471 14.43% 0.32% 10.23%Industrial 213,456,062 213,456,062 1,431,732 11.58% 0.00% 8.13%Henderson County Water 454,650,079 1,076,842 7.93% 1.85% 6.12%Other Fees 352,542 2.53% 0.75% 2.00%City of Sebree 42,736,000 46,925,400 269,906 0.00% 5.15% 1.53%City of Beech Grove 68,659,677 209,358 0.00% 3.99% 1.19%City of Corydon 0 - 39,364 0.32% 0.00% 0.22%

1,950,046,301 2,477,613,970 17,605,009$ 100% 100% 100.00%

Billed Volumes

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Henderson Water UtilitySystem & Service Profile By Customer

For Year Ended June 30,2014

System: Revenues % ofOverall

Sewer WaterNorth System 1,282,607,967 1,742,938,928 12,214,436$ 68.88%South System 715,057,751 797,721,148 5,517,904 31.12%

1,997,665,718 2,540,660,076 17,732,340$ 100.00%

Service:

Water 7,539,513$ 42.52%Wastewater 10,192,827 57.48%

17,732,340$ 100.00%

Customer: % of % of % of North South Overall

Residential 633,284,148 633,425,394 5,808,273$ 47.54% 0.01% 32.76%Tyson 671,650,689 671,650,689 4,920,513 0.00% 89.17% 27.75%International Paper 248,613,586 248,613,586 2,056,521 16.84% 0.00% 11.60%Commercial 204,707,501 204,735,142 1,743,474 14.13% 0.31% 9.83%Industrial 183,165,529 183,165,529 1,206,561 9.88% 0.00% 6.80%Henderson County Water 496,436,135 1,117,908 8.63% 1.17% 6.30%Other Fees 392,729 2.71% 0.87% 2.21%City of Sebree 43,163,900 47,605,400 275,006 0.00% 4.98% 1.55%City of Beech Grove 55,028,201 175,301 0.00% 3.18% 0.99%City of Corydon 13,080,365 - 36,054 0.30% 0.00% 0.20%

1,997,665,718 2,540,660,076 17,732,340$ 100% 100% 100.00%

Billed Volumes

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Audited Cost

Years Ended June 30, 2015 and 2014

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North PlantCost Analysis Per Unit Sold

Based on Twelve Month PeriodJuly 2014-June 2015

North Plant Cost of Service Through 06/30/15 Water Wastewater Stormwater

Operating Expenses 4,309,742$ 5,149,864$ 1,806,041$ Non Operating Expenses 180,325$ 705,248$ 219,938$

Total Audited Cost 4,490,067$ 5,855,112$ 2,025,979$

Billed Throughput:

Cubic Feet 227,382,665 170,942,836 170,942,836 Gallons 1,700,940,572 1,278,741,303 1,278,741,303

Audited Cost of Service Rates Per CCF 1.97$ 3.43$ 1.19$ Audited Cost of Service Rates Per 1000 Gallons 2.64$ 4.58$ 1.58$

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North PlantCost Analysis Per Unit Sold


North Plant Cost of Service Through 06/30/14 Water Wastewater Stormwater

Operating Expenses 4,566,823$ 5,449,989$ 688,254$ Non Operating Expenses 171,661$ 675,610$ 229,539$

Total Audited Cost 4,738,484$ 6,125,599$ 917,793$

Billed Throughput:

Cubic Feet 232,997,028 171,459,855 171,459,855 Gallons 1,742,938,928 1,282,607,967 1,282,607,967

Audited Cost of Service Rates Per CCF 2.03$ 3.57$ 0.54$ Audited Cost of Service Rates Per 1000 Gallons 2.72$ 4.78$ 0.72$

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South PlantAudited Cost Analysis Per Unit Sold


South Plant Cost of Service through 06/30/15 Water Wastewater

Operating Expenses 1,533,755$ 2,620,314$ Non Operating Expenses 74,683$ 57,455$

1,608,438$ 2,677,769$

Billed Throughput:

Cubic Feet 103,826,124 89,746,657 Gallons 776,673,398 671,304,998

Audited Cost of Service Rates Per CCF 1.55$ 2.98$ Audited Cost of Service Rates Per 1000 Gallons 2.07$ 3.99$

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South PlantAudited Cost Analysis Per Unit Sold


South Plant Cost of Service through 06/30/14 Water Wastewater

Operating Expenses 2,122,621$ 2,327,769$ Non Operating Expenses 46,822$ 60,879$

2,169,443$ 2,388,648$

Billed Throughput:

Cubic Feet 106,639,799 95,595,956 Gallons 797,721,148 715,057,751

Audited Cost of Service Rates Per CCF 2.03$ 2.50$ Audited Cost of Service Rates Per 1000 Gallons 2.72$ 3.34$

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OPERATIONS REPORT

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Operations Report 12-21-2015

General Operations:

A. Treatment Plants - Overview

1. Regulatory

No Regulatory Updates to Report

2. Personnel:

Current Plant Staff Levels:

North Water: Full Operational Staff.

North Wastewater: It was approved to change the Sludge Press Operator position to a Maintenance Tech 1 position. It was also approved to add an additional Maintenance Tech 1 position. The exam for these two openings is scheduled for January 7th.

South Water: Full Operational staff.

South Wastewater: Full operational staff

3. Projects

Plant Beautification Efforts: This effort is continuing on with updates to the entrance and first floor bathroom of NWTP. All of the work is being performed by in-house staff and they are doing a good job.

Plant Maintenance:

o Winterization of all the plants is pretty much complete other than a couple of heaters that need parts ordered.

o Tony Gish is investigating the cost for installing a diesel back-up generator that would be able to supply backup power to the treatment plants and Admin building. The estimates covering all material and labor have been received and sent to Kevin Roberts for review.

o Renovation of some office space at the NWWTP is in the beginning stages.

o A training program for the plant maintenance staff is being developed and slated to be ready for January. This is in cooperation with Henderson Community College and will offer both electrical and hydraulic system training. Final draft of the curriculum has been approved and classes are slated to begin on January 20.

o We’re going to be experimenting with some automatic greasing devices at the SWWTP. If all works out, this is something that could be used at all of the treatment plants.

o We are in the process of getting quotes for repair or replacement of some electric valve actuators at the NWTP that have not functioned in a while.

o Maintenance personnel at full staff.

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o We are continuing to supply engineering with documents from all of the plants for an operation and maintenance searchable data base.

B. North WTP:

Treatment Quality:

1. All regulatory treatment goals were met.

2. While construction has made treatment challenging, all PfSW goals have been met within the 99th percentile.

3. No Water Quality Calls for November.

4. The Kentucky Division of Water will conduct a comprehensive audit of the microbiology lab on June 14th and 15th.

Operations:

1. Treatment Challenges: Construction is in full swing and the raw water temperature is falling. This creates treatment challenges. For example, one of the superpulsators is out of service causing the water velocity to double in the superpulsator that is in service. This causes the sludge blanket to be loose and high compared to normal, requiring us to draw off more water to keep our turbidities in check. Nothing critical – it just means more operational attention needed.

2. Construction: Over the last few weeks, basin two has seen extensive construction. The new by-pass knife valve has been added to the effluent trough, and the new water tight wall has begun between the wet and dry sections of the basin.

3. Plant Optimization: Operations and maintenance staff are moving forward with further optimization at the plant. Operations staff is currently in the planning stages of filter forensics which will begin after the first of the year. This will include detailed evaluations of our filtering process and will help with future decision-making and budgeting.

4. Budget:

a. Chemical expenditures were over budget this month due to the ordering of two chemicals that are ordered on a quarterly basis, Sodium Chlorite and K-5 phosphate.

b. Total expenses for the month were over budget.

5. Average water treated & water pumped data trend:

Note: These values are current readings, but the actual billed readings are approximately 45 days behind.

0.01.02.03.04.05.06.07.08.09.0

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NWTP Treated (MGD) NWTP Pumped (MGD)

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C. North WWTP:

Treatment Quality:

1. Effluent Quality: All regulatory treatment goals were met. We have seen a return to a high quality effluent as the norm again although constant attention is required as we take tanks in and out of service for construction. This holds true with the exception of heavy rain events which cause some wash-out in the clarifiers elevating the solids leaving the plant. The new clarifier will help greatly with this issue as will getting Clarifier #1 repaired.

2. Biosolids Quality: (No Change) Hazex has been able to keep current on removal this past month. The cake solids have been mostly of high quality (dryness).

3. Reports: All reports for the calendar year are complete...with the exception of the final 503 tally which is under way now. Work in Cityworks and WIMS is always improving as more team members get comfortable with the software and logging in their work. There is still a lot room for growth in the software knowledge here.

Operations:

1. Plant Update: All treatment goals have been met.

2. Personnel: Two operators took the exam for a Class IV license this month. The new sludge press operator is staying extremely busy when not running press or loading sludge he has been making repairs and improvements to the structures.

3. Construction: Construction is still progressing – equipment start-ups began 14 December 2015 and are scheduled to continue until the end of January. At that time we will be able to start treating water in the new system while modifications are made to the old structures & piping. I t will be very demanding of the staff to maintain permit limits of effluent quality. The new clarifier has been grouted which was the final phase of construction for it – start up is scheduled soon.

4. Hauling Contractor: We began loading drybed sludge into Hazex triaxle’s for final disposition at Dozit landfill. Tommy Owen’s crew stopped hauling on 30 November.

5. Budget:

a. Chemical expenditures were under budget for the month.

b. Fuel (Off-Road Diesel) was under budget for the month.

c. Sludge Hauling and Disposal was under budget for the month.

d. Total expenses were under budget for the month.

D. South WTP:

Treatment Quality:

1. All regulatory and in-house treatment goals were met.

Personnel:

1. Short one operator due to surgery; will return with restrictions by end of December.

2. We have a new temporary employee (Nathan Francis) that started 12/7/15. He is a college student and will only be working part time at the SWTP.

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3. Mark Julian has applied to test for his Class IVA KYDOW Drinking Water Treatment license in January.

Operations:

1. Treatment Challenges: We have started to see the yearly seasonal negative effects on cones and filters, though operations staff make every effort to ensure water quality goals are met.

2. Plant Maintenance:

Maintenance replaced a failed valve on filter #1 and will be replacing the actuator next.

Both cones were cleaned on 12/14/15. The Secondary basin is scheduled to be cleaned 12/17/15.

The door on top of the filters leading to the cones has rusted badly from the inside. This door will most likely have to be replaced with a heavier gauge and better quality door.

One of the supports that hold the conduit and receptacles in the chemical room rusted and had almost fallen over. Randy and Tim removed the receptacle on that support and the conduit running to that support. We will have to try to either remove or replace the support when time and personnel allow.

3. Budget:

a. Chemical expenditures were over budget for the month.

b. Total expenses for the month were over budget.

4. Average Treated & Pumped water trend:

Note: These values are current readings, but the actual billed readings are approximately 45 days behind.

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

Nov2013

Dec2013

Jan2014

Feb2014

Mar2014

Apr2014

May2014

June2014

July2014

August2014

Sep2014

Oct2014

Nov2014

Dec2014

Jan2015

Feb2015

Mar2015

Apr2015

May2015

June2015

July2015

August2015

Sep2015

Oct2015

Nov2015

SWTP Treated (MGD) SWTP Pumped (MGD)

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E. South WWTP:

Treatment Quality:

1. Effluent Quality: Effluent quality was very good this past month. No known slugs from Tyson. For the winter months we are increasing our MLSS’s as a part of normal operations. Submitted November’s DMR for review and submittal to the State.

2. Plant Update: (Update) Basin has been pumped down and is almost empty. Work will be started on cleaning for inspection. (Background: Due to the lateness in the year for beginning a major rehab project and the lack of consistent manpower, work on putting Aeration Basin #6 back in service will be delayed until early spring 2016. We have a plan to deal with unexpected loading concentrations from Tyson until then.)

Operations:

1. Personnel:

a. All SWWTP Employees have attended the annual Drug & Alcohol training classes.

b. SWWTP Operations are at full staff.

2. Projects:

a. Clean Up: This continues to take place on a consistent basis.

b. Sludge Storage Pad: Deig Brothers has completed all the work on the sludge storage building. We are now waiting on the manufacturing and delivery of the conveyor belt system.

c. Process Control: We recently purchased an Effluent pH meter and controller. Next phase is installation and then automation on their end. We have also purchased auto oilers for the digester blower motors and some of the aeration blower motors. This should help in keeping these units auto filled with grease and has the potential to be a great help with PM on these units. If it works out well, these units will get incorporated into other areas at the plants.

d. Moving Entryway Doors: Two doors that are no longer needed or in the way of the conveyor system will be removed and covered up. One door being removed will be installed on front of main building.

3. Budget:

a. Chemicals: Chemicals were under budget for the month of November.

b. Sludge Hauling & Disposal: Sludge removal costs were under budget this month.

c. Total Budget: Total budgeted expenses for the month were over budget.

F. Pretreatment Program & FOG Services:

1. Fourth quarter industrial compliance monitoring has been completed. This concludes all of HWU’s compliance monitoring for 2015.

2. Cyndy Leasor of Hall Environmental and David Brister have completed the last of the annual industry inspections for 2015.

3. FOG permits and forms have been received from Hall Environmental.

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G. Automation Department:

1. We have completed automation for the new water booster station. It is ready for startup.

2. The SCADA computer located at the NWTP has been replaced. This brings all plant computers up to

Win7 with the latest version of Wonderware. We also incorporated the new booster station into the

HMI. Finally, there were several problems that a contractor, Southern Flow, had left with

communications to the Raw Water Intake. We fixed all of these issues.

3. We had a failure with the NWWTP fine bar screens on the Friday after Thanksgiving (this was a

holiday). The VFD’s that run the screens stopped with a fault code indicating a power supply

problem. We traced out the circuits to find that there was a grounding issue on one of the 480v lines.

HMPL was called in and they verified the problem was on our side. 480v is considered high voltage,

and we do not have anyone specifically trained or certified on it, nor do we have the proper tools and

safety equipment (it’s fairly rare that we need to deal with 480v or higher). Rain was forecast and we

expected leaves to be an issue, so the bar screens had to be operational. Because of the high voltage

issue, we called Galloway Electric to assist us. We were looking at a scenario where overtime could

be a significant expense if it required a crew from Galloway to come in, not to mention that these

screens, along with the old headworks, were only going to be around for a few more months pending

the new headworks completion. We found a workaround by shutting down power to the clarifiers

when needing to run the fine screens. This allowed operations to get through the holiday weekend

without HWU having to pay overtime & holiday wages. The following Monday Chad Russell and

Tony Gish traced out the wiring to where they knew it was isolated. They shut down the power on

that circuit, pulled the wire from the conduit and found where the insulation had failed. The wiring

was replaced. The fine screens and clarifiers are fully operational. Downtime and expenses were

minimized. A good example of our employees working as a team, using all the resources at their

disposal, and making good, fact-based decisions.

4. (No Change) We are in the process of incorporating new pH and Dissolved Oxygen sensors at the

SWWTP Headworks into SCADA. Conduit has been run and wiring pulled. PLC logic has been

completed. HMI development is underway. Sensors have been installed.

5. We have completed fabrication of a new SCADA control panel to be installed in the pump station on

the Finley Addition project. This particular control panel is different from all others in that we have

the pump controller located in this panel rather than in the pump control panel. This is because the

County contractor used an enclosure that was not big enough to accommodate the pump controller.

The station is located on Springfield Drive and we expect it to be operational by approximately the

end of January 2016.

6. New instrument integration at the NWTP is a project that was pending installation of a new SCADA computer with the latest Wonderware. We have completed that and will be incorporating new instrumentation at the NWTP over the next several weeks. There are seven instruments to be incorporated into SCADA comprising two turbidimeters and five chlorine analyzers.

7. We have purchased new pressure sensors and will be installing these around our north water system in order to assist in water modeling, water quality control and to enhance our pressure monitoring. We will be adding ten new sensors to our existing, as time permits.

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8. Startups have begun at the NWWTP with various portions of the process and with various equipment. We will be attending each startup, beginning Dec. 14th and going through the 18th.

H. SOC General

1. LTCP Postconstruction Monitoring Plan: We are continuing to work with Strand Associates, Inc. to develop a Postconstruction monitoring plan to clarify the requirements stipulated in the Consent Judgment’s Long Term Control Plan (LTCP). The LTCP currently requires monitoring of CSO discharge water quality in addition to discharge volume. We feel that monitoring discharge water quality will not provide meaningful information on our requirement to capture and treat a minimum of 85% of the combined flow in our system.

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I. Customer Service:

Customer Service Calls and Work Orders (NORTH):

These are the customer calls we responded to and by no means represent all of the calls that came in. We provided the following services to customers last month:

Water Line and Service Maintenance Qty. Water Main Repairs 2 Water Service Line Repairs 2 Water Meter Inspection 13 Water Meter Changes 8 Water Meter Repair 1 Water Meter Disconnected 3 Water Meter Reposition 2 Water Meter Box Cleaned 0 Water Meter Locate 0 Water Meter Leak Detection 3 Water Meter Consumption Check 7 Fire Hydrant Repairs 2 Low Water Pressure Calls 3 Water Leak Calls 7 Water Quality Calls 0 No Water Calls 2 Turn Water Off/Turn Water On Calls 3 Install Temporary Hydrants 0 Stormwater Maintenance Qty. Storm line Repairs 2 Storm Intake Repairs 3 Stormwater Flooding Calls 2 Clean/Unblock Intakes 4 Pump Station Maintenance Qty. Pump Station Repairs 1 Pump Station Inspections 1 Pump Station Cleaning 26 Pump Station Maintenance 9

Sewer Line and Service Maintenance Qty. Sewer Main Repairs 1 Sewer Service Line Repairs 1 Sewer Manhole Repairs 1 Sewer Main Cleaning 4 Sewer Main Grease Removal 0 Sewer Overflow Calls 2 Sewer Backup Calls 13 Sewer Blocked Calls 0 Sewer Odor Calls 0 Sewer Service Line Locates 1 New Services Qty. Water Taps 0 Sewer Taps 0 Sewer Tap Locates 1 Water Meter Installation 2 Miscellaneous Services Qty. Sink Hole Calls 3 Inspect Misc. Items 12 Smoke Test Lines 12 Camera Inspect Lines 2 Regulatory Issues Qty.

Downspout Removal Letters Mailed We have mailed out a total of 193 downspout letters to date. 159 have complied and been inspected.

12

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J. Collection System:

1. We have been working on a few Sewer Main repairs and cleaning lines.

2. We worked this month on a couple of the neighborhood stormwater projects and ditch cleaning.

K. Distribution System:

1. We have been working on a few leaks and normal maintenance of the system this month.

L. Stormwater Phase II:

1. IDDE – A Grate Concern

A series of videos called “IDDE – A Grate Concern” is being presented to the public. IDDE, or Illicit Discharge Detection and Elimination, is one of the six key hallmarks of our MS4 (Municipal Separate Storm Sewer System) general permit. The word “Grate” is a play on words, and refers to stormwater intakes, or grates. It is a great concern when illicit discharges go down our stormwater grates. The videos are being shown as a triple-pronged approach. They are being shown in the following venues:

• Henderson County School System • Public Access Cable-TV Channel 7 (Time-Warner Cable) • On the HWU website at www.hkywater.org

The video program contains five (5) versions of the message, each with a different run time and varying amount of detail. The run times of the different versions are:

• 30 Seconds • 1 Minute • 2 Minutes • 5-1/2 Minutes • 10 Minutes

All five versions are being rotated in the County High School video system. The 1 Minute version is showing on Public Access Cable-TV, and the 2 Minute version is available for viewing on the HWU website.

M. Information Systems Department:

1. The new IT Manager, Tim Fischbeck, started on Monday the 14th of December. He is ready to hit the ground running.

2. Worked with Jeff and Wayne from Automation to get communications working to the new booster station on US 60.

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N. GIS Department: (No Change)

1. We currently have surveyed 64% (2152 out of 3321) of our wastewater manholes. Tony Samples is doing the GPS field work as well as updating the spatial and attribute (rim elevation) information in the GIS.

2. (No Change) Working on delineating our sewer pump station service areas. This will be useful for statistics on the total number of customers the pump station services, critical customers that the pump station services, total service area, and the ability to query which pump stations flow into one another. The final product will be a GIS web map.

3. Currently looking into the feasibility of moving plan and profile design plans from AutoCAD into a GIS environment. There could be ways to make the design process more automated in GIS. AutoCAD will still be needed for drawing plan details, but most of the mapping might be easier in GIS.

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Henderson Water UtilityNovember 2015 Door Tags

Date Crew # Address Comments Rodney's Comments

11/11/2015 124 1340 Dylan Circle Great service! Troy and Scott did a great job! Dated 10/18/2015, but received 11/11/2015

11/11/2015 140 1324 Taransay Drive No comments.

11/19/2015 124 1817 Turnagain Drive The door tag was handed to me. Your employee Troy told me the problem was my responsibility. He was very nice and considerate in doing his job.

11/19/2015 124 310 Robin Road Thank you for checking. Still have sewer gas odor in bathroom.

11/18/2015 124 340 Old Orchard Take care of in a very timely manner. Very helpful and courteous people.

11/25/2015 135 459 Klutey Park The did a great job! Replaced old meter and helped find leak. Thank you!

09 Service Request Tags Given Out 12 Work Order Tags Given Out 06 Returned Door Tags

35

ENGINEERING REPORT

36

Engineering Report

Engineering Report 21 December 2015

21 December 2015

1. North Wastewater Treatment Plant: Headworks/Plant Upgrade: Work on the North WWTP Improvements (Headworks) continues, with initial startup of the screens, grit collection equipment and plant water systems the week of December 14th. Actually using the new part of the plant is dependent on startup of the UV system, which will be in mid-January, weather permitting.

After the Headworks project is complete, we will need to install a new liner in Basin 3; it’s at the end of its useful life, and the basin contains a lot of solids making it more efficient to clean the basin with an end loader, although that destroys the existing liner in the process. This will require some additional funding, but the expense may be able to be put off until next fiscal year.

Construction Progress at North WWTP

Digester Building: Wauford has prepared plans for upgrades in this building, bringing access up to code and reworking piping to make it simpler to operate and easier to maintain. It will also add some automation to the sludge pressing operation. We received KDOW approval for this project in early December, but will likely not take bid until FY 2016 or later.

Clarifier Repairs: The two existing secondary clarifiers are in need of maintenance, including painting and repair of the large rotating mechanisms in the center, and replacement of the weirs and baffle plates. It’s difficult to know how much this is going to cost, until we get further into it; if the mechanisms are rusted through in a lot of places, it might be easier and more cost-effective to replace them. Our approach will be to contract for a limited amount of sand-blasting services, and then determine our best course when we have a better idea of what shape the metal parts are in.

2. Atkinson Park Sewershed Study - Myrene Drive Sewer Pump Station: Phased in five sections, design of these projects is progressing. Surveying for a new force main route from Myrene to Atkinson Park PS, and from Atkinson Park to 14th Street, and down 14th to the east side of Green, has been completed. Have started on the process of writing easements, and acquiring those (appraisals, offers, etc) will follow; a time-consuming and lengthy process, usually.

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The construction of a revamped Myrene Drive pump station is being studied further, to see if there are better alternatives for location and/or arrangement of this station in a cramped location without much room to maneuver.

3. Frontier Tank Rehab and Painting Project: Project got off to a rocky start with the contractor having difficulty getting work done through a subcontractor, and then assigning an inexperienced crew leader. We put the contractor on notice for a potential default. The interior is now complete (pending a final inspection), and exterior work has begun, but cold weather may slow progress considerably. The contractual completion date was 24 November, and the Contractor will be charged liquidated damages of $ 500 per day for at least a portion of the time that work runs past that deadline. Our additional costs due to delay include inspection by the design engineer, and a special painting/coating consultant who has made several additional trips to inspect substandard or incomplete work. Recouping that cost is part of the reason for the LDs.

A copy of a letter to the neighbors around the tank is attached, apologizing for the noise and extended construction period.

Renovation and Painting of Frontier Tank – Work on Legs (L) & Bowl (R)

4. South Water Treatment Plant – Rehab Projects: Several projects were included in a 2014 preliminary engineering report for the SWTP. We are attempting to set up a meeting with Tyson after the first of the year to discuss these projects and provide information on our plans.

Raw Water: Plans for the Raw Water & Effluent Lines Relocations have received KDOW review and approval. New agreement with Big Rivers has cleared the way to bid this project, next fiscal year.

Membrane Filtration Plant: Award of the membrane equipment was made to GE/Xenon, and they set up a pilot plant that has confirmed the choice of the equipment; that experiment is now concluded, and plant design is progressing. Have reviewed design at the 30% mark, and Wauford will be setting up a meeting with the South operations staff, to solicit their input on some layout questions in the lab/control room.

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Update on Clearwell Painting Project: Bidding of the new 800,000 gallon prestressed tank is awaiting availability of funds, and we will likely not bid this until next fiscal year. The current Clearwell, while it needs painting, is not a critical water-quality issue at the moment. KDOW has granted plan approval.

Lake – Backup Water Source: Survey results received, but we’ve not had a chance to review or look at possible solutions, which may include expanding the lake, or dredging out the existing footprint.

Repair of Metal Structures in the Current Plant: The interim project to repair and paint the older portions of the plant will be bid in Spring 2016, so that we can keep the existing plant operational for its remaining 5 to 10 year expected life (prior to switching to the membrane filtration concept). We’re looking at coating systems, repair methods and how to schedule this work, since it must be performed on weekends so that we can maintain production during the week.

Electrical Issues: We’ve had some outages over the last few months, because our incoming power transformers are near their rated capacity. Rather than upgrading the transformers on an existing pole, we’ll be installing a pad mounted transformer and doing an upgrade in the process. This plant has a history of somewhat violent wind and weather so a ground-mount unit will reduce some of that risk. New pad and electrical work should be bid after the first of the year; HMPL will help us with transformer acquisition through their annual bid process.

5. North Water Treatment Plant – Rehab and Basin Repair Project: Contractor on this project is M. Bowling, Inc. of Henderson. Pre-Construction meeting was held on July 9th. Construction was delayed while we dealt with treatment issues arising from the algae bloom in the River. Work now proceeding, with one basin out of service. A new wall for one of the super-pulsators was poured on December 7th.

Work has begun on the North WTP Renovations Project

6. South WWTP – Sludge Storage Building: Building complete. Awaiting delivery of conveyor.

7. Bobby G. Gish Building (Admin) Roof and Building Repairs: Work by Danco Construction of Evansville has moved along well, the new roof is complete as well as repairs to the EFIS, and work on the brick should be complete by end of December. Also having our

39


architect on this project take a look at security upgrades, both for the Admin Building and the front office at the SOC.

8. Highway #41A South/Finley Addition Sewer System Project: Springfield Drive pump station complete, and the gravity sewer portion is progressing well. There has been a major hiccup with the location of a high pressure Texas Gas main, which is at an elevation that will not allow our 18” gravity sewer to pass with enough clearance, but we are working with the County’s design engineer to overcome this. Project is 65% complete through the end of November.

9. Countryview Subdivision Stormwater Project: We have a joint project in the current budget to begin provision of storm sewers in this neighborhood. The City committed $ 100,000 for this fiscal year, as did we. Progress meeting was held in October, and we are moving forward with some minor changes to our plans. Easements will likely be a holdup, since we must cross property to get ditches out to the creek, which basically surrounds this neighborhood. Met with Corps of Engineers representative to determine needs for permitting of the outlets to the creek, and to avoid crossing wetland areas.

10. Water Model: (no change since last report) Strand Associates is working on project-related updates to our water model. This includes our plans for future improvements to the south and west sections of the north (City) service area. With painting of the College Tank scheduled for next year, we need to determine if the future plans for enhancement in that area will require the tank to be elevated. Also included in the study is a look at continuing our “backbone” water main down South Main Street, extension of additional lines in the Borax-Ohio-Riverport area, and how a new 41A storage tank might play into these plans.

11. Graham Hill and Green River Road Pressure Zone Studies: (no change since last report) Contracts negotiated and signed. Preliminary pressure testing of the existing system will be the first items performed on these studies. We met with Wauford to discuss their work on the Graham Hill station; have not had a chance to talk to Strand on the Green River Road station. Neither of these projects is currently funded.

12. College Tank Painting: (no change since last report) Award made to Strand Associates; initial meeting held on the 15th, with plans to bid this project in the new fiscal year.

13. Vine Street Tank Painting: (no change since last report) On-site visit with Wauford and their electrical consultant was held on 12 October. The “dry” interior portion of this tank is in excellent shape, and will likely only require power-washing and some touch-up painting. The exterior will need to be sand-blasted, as the coating is significantly deteriorated. We also are adding construction of a more permanent electrical room inside the tank, to house radio repeater equipment for us, the Fire Department and the Housing Authority.

14. Wash Truck: (no change since last report) New unit has been ordered; typical delivery takes about 8 months. Current truck is well past its useful life, and will likely be declared surplus and sold on GovDeals.

15. Vehicle Replacements: Action Report processed in September, and new vehicles are ordered. We are replacing a few crew trucks, and one truck at the plants. One of the older trucks will be retained as a “sub” for a crew

40


truck, allowing us a little more flexibility when maintaining those vehicles. One of the F-250 trucks has been released, and should be here soon.

16. North Main Street Pressure Zone: Plans have been prepared, and have been submitted to KDOW for approval. We are also preparing a bid for materials, which will likely be received before we do an action report authorizing this project. Current plan is to do the installation with our own forces.

17. South Wastewater Treatment Plant – Repairs to Basin # 6 (no change since last report) Basin 6 of the South Wastewater Plant was taken out of service in 2008 due to a slope slip under the liner. Since that time, we’ve been able to get by without this basin, knowing that at some point we would need to bring it back up. That point is now, based on increases in biological loadings from Tyson. The slope failure has not worsened, and an action report for new diffuser equipment and some liner repairs will be processed before we begin work, likely in the spring of next year. The equipment is single-source, installation will be by our staff, and we will also be repairing portions of the liner.

18. 6th Street Water Main Replacement: Part of our ongoing projects to replace century-old cast-iron mains, we have accepted bids for materials for this project, which is the subject of an action report for this Board meeting. The project runs from North Adams Street to Lambert Street, and on Lambert from 6th to 5th, a total of about 4 blocks. These lines need to be replaced for system reliability, and for potential water quality issues.

19. 100 South Elm: Just in case you’re wondering, hope to be in the new house by the end of January.

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HENDERSON WATER UTILITY Water • Wastewater • Stormwater MANAGED BY THE WATER & SEWER COMMISSION OF THE CITY OF HENDERSON TOM WILLIAMS, P.E. GENERAL MANAGER

1 December 2015 Allen R. & Patricia Morris 2716 Flintlock Drive Henderson, KY 42420 Re: Painting the Frontier Tank Dear Allen & Pat : I want to update you on our project to paint the elevated, 500,000 gallon “Frontier” water tank on Wilderness Drive, near property you own at 2716 Flintlock Drive. This tank was built in 1968, and was last painted in 1992.

We are upset and disappointed with the progress by the contractor, so far. They are now a week past their deadline for completion, and with the onset of winter approaching, I don’t have high hopes that the work will be completed before Spring. They started out with a subcontractor that failed to perform, then sent an inexperienced crew leader, who further delayed progress.

Now, on the fourth try, they do have a crew that knows what they’re doing, with a good leader. Unfortunately, the wasted time at the beginning has led us to the situation where the weather is not going to cooperate. Temperatures must be 40 degrees and rising before any paint can be applied. We’re approaching the time where that might not happen again until next year.

I wanted to write you this short note to let you know what’s going on, and to apologize for the noise and ongoing disruption. I’ve never had a situation like this in my career, with a contractor that has run past their deadline, and doesn’t seem to care enough to get the work done in a timely manner. The quality of work is good (we have inspectors to make sure of that), it’s just taking far too long! The contract allows us to charge $ 500 a day for every day past the deadline that work is not completed, and we are going to do that.

If you have any questions or need further information on this or any other matter, please feel free to call me at 270.869.6621 (Office) or 270.823.2573 (Cell). Sincerely, Tom Williams, P.E. General Manager

42

HUMAN RESOURCE REPORT

43

HWU Human Resources Summary: December 21, 2015

Staffing Levels:

1. Utility System Crew Leader [1 position]: promotion effective 1/4/16

2. Information Technology Manager [1 position]: hired on 12/14/15

3. HWU [SOC] Secretary [1 position]: interviews are being scheduled for 12/17/15

4. Utility System Worker III [1 position]: register sent to department on 12/8/15

5. Seasonal Utility System Worker [3 positions]: Staffing agency is working to fill positions

6. SOC – Seasonal Worker [4 positions]: No request for action

7. Treatment Plants – Seasonal Maintenance Worker [1 position]: No request for action on SWW

8. Maintenance Technician – [2 positions]: exam scheduled for 1/7/16

Safety Report (as of 11/30/2015):

2012 NAICS is the classification for Utilities: Water, Sewage, and other systems DART = Days Away, Restricted, or Transferred DAFW = Days Away From Work How incident rates are calculated: [(# Cases) x 200,000] / Employee Hours Worked Change data compared to data at the end of the previous month.

One recordable incident in November The November comprehensive fixed facility safety audit of the HWU Administration Building found a few bulbs burnt out

in the exit sign. A few minor issues have also been identified within the HWU Systems Operation Center. All issues have been fixed or are in the process of being fixed. Both locations were last audited in August 2015.

Other:

Upcoming City-wide Events:

Lean training is schedule for December 9 & 10, and 16 & 17 OSHA 30-hr card for General Industry being scheduled for February, March, April and May of 2016

HWU Change

Hours Worked 146,649 + 12,079 Total Cases 5 +1 Days Away/Restricted Time Cases 4 0 Days Away From Work Cases 3 0 Actual # Days Away From Work 460 0 Transfer/Restricted Cases 2 0 Actual #Days Restricted Duty 76 0

Incident Rates HWU Change 2012

NAICS 2213

Total Recordable Rate 6.82 +0.88 2.8

DART Incident Rate 5.46 -0.48 1.4

DAFW Rate 4.09 -0.37 0.8

Trans / Restrict. Rate 2.73 -0.24 0.6

44

SAFETY REPORT

45

Safety Report 12-21-2015

A. Safety Committee:

The monthly safety committee meeting was postponed due to holidays and scheduling conflicts,

B. Training

Training performed in November:

1. Safety meetings are continuing for the crews at the SOC.

2. Cut off saw safety and using a spotter while backing a trailer training was given to all affected employees.

C. Safety Inspections:

1. Administration Building

See facility audit below.

2. Systems Operation Center (SOC):

See facility audit below.

3. WTP North:

There were no significant safety issues found during periodic site visits. These visits, unlike the complete audits below, may not cover every area of the facility on the day visited. Site visit dates in November were on the 4th, 9th, 11th, 16th, 17th, and 30th.

4. WWTP North:

There were no significant safety issues found during periodic site visits. These visits unlike the complete audits below may not cover every area of the facility on the day visited. Site visit dates in November were on the 4th, 9th, 11th, 16th, 17th, and 30th.

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5. WTP South:

There were no significant safety issues found during periodic site visits. These visits unlike the complete audits below may not cover every area of the facility on the day visited. Site visit dates in November were on the 10th, 12th, 16th, 19th, and 30th.

6. WWTP South:

There were no significant safety issues found during periodic site visits. These visits unlike the complete audits below may not cover every area of the facility on the day visited. Site visit dates in November were on the 5th, 9th, 12th, 16th, 19th, and 30th.

7. Water Distribution/ Collection System:

There were no safety issues with employees observed during safety site visits and proper PPE and signage was being used.

D. Comprehensive Safety Audits:

1. Administration Building :

There was one minor issue noted that is being corrected.

2. SOC:

There was a few minor issues noted during the audit which are in the process of being corrected.

E. Recordable Injuries:

1. There was one recordable injuries in November involving a Crew Worker. The worker was using a cut off saw to cut a piece of pipe when the saw kicked back hitting his chin requiring several sutures. It was found that the two injuries we have had similar to this was when a backup saw was being used which was a different brand and required different hand placement than the normally used saw. There is now a backup saw that is the same brand as the one the crews normally use and the other saw will no longer be used to cut pipe. There are also alternative type equipment being looked at that may hold less of a danger while cutting pipe.

47

GENERAL MANAGER’S REPORT

48

General Manager Report

General Manager Report 21 December 2015

21 December 2015

Regulatory Issues

On the LTCP/CJ Termination issue, we have a proposal generated by Strand for our Post-Construction Monitoring scheme, which we will be submitting next month, to keep the discussion going with KDOW. Working through some technical issues on how to calculate percent capture and prove that we’re meeting the goal of 85% capture of combined flows in wet weather, which requires us to define wet weather, which is harder than you’d think.

We received confirmation from KDOW that they are considering our request to provide water and wastewater plan review at the local level, and action on at least part of that request should happen in the first quarter of 2016. There are several other cities in Kentucky that provide local water main extension plan review, and that can be accomplished with an Agreed Order and payment of a fee by us to KDOW. This would simplify the process for both developers and for our own projects, cutting out a level of review that normally takes 6 weeks.

On the wastewater side, we may be plowing new ground, since only two groups (MSD in Louisville, and SD1 in Northern KY) do this at the local level. That one may take longer to get approved, but we’re moving ahead with the water side.

Water and Wastewater Services Outside the City Limits

A section of the City Code of Ordinances dealing with provision of wastewater services outside the City Limits has been used in several instances to require a property owner requesting service to consent to future annexation. This applied, for instance, to the Bent Creek Subdivision, off Airline Road. In that instance, the subdivision is not contiguous to the current limits, so annexation can’t be done now, but the consent document is good for a 20 year term.

Recently, a property that is totally surrounded by the City, but was never incorporated, has been developed, and the owner applied for water service, but decided to put in a septic system. This led to the realization that we had no way of requiring annexation when water service alone was requested. As far as I’ve been able to determine, there’s no statutory or regulatory difference in the provision of water and wastewater services, from the standpoint of being able to require consent to annexation prior to providing the service. I can’t speak to why the ordinance only covered wastewater service in the annexation provision, but would suggest that we add a consent provision for water service extensions in the next set of revisions we make to the ordinance. The City Commission will also need to sign off on this.

With your concurrence, we’ll get that process started. Should be a fairly simple change, and I would anticipate needing to review that change, and some other minor changes to the ordinance, with the City Commission in a work session, possibly in January. Will work towards that with Russell, Buzzy and Dawn.

49

HWU Neighborhood Stormwater Projects - Effective 12/16/2015

Project Name and

Contact Information

Date

Opened Description of Work Effective 12/16/2015

Budget

Cost

Actual

Cost

Duration

(Days)

W.O.

Number

Project

Priority

Date

Completed

_____

1 Eighth and Main Stormwater

Project

Barbara Harwood

270-577-2768

01/01/2015 Lay a 12" stormwater pipe from 9th and Main to 8th and Main,

and then to the Ohio River. Requires Directional Drilling.

$100,000 57377 120

2 11th and Main Storm Sewer 01/01/2015 Storm sewer on 11th street from Craig Dr to Main Street $40,000 57378 1073 2063 Downey Lane

Ronald Inge

270-577-7786

01/23/2015 Cut new ditches along back property lines on both sides of

Downey Lane to route farm drainage to ditch along Turnagain.

$15,000 5 56891 106

4 2617 Catalina Dr

Wanda Majors

(270) 212-1991

04/28/2014 Street and yards flood from rain. Getting in crawl spaces and

creating problems.

$110,000 45 56893 90

5 893 Beechwood Dr.

Debbie Gray

270-383-6041 (work)

270-993-1592 (cell)

08/16/2013 Pipe ditch from Green River Road culvert to culvert behind 887

Beechwood Dr and pour invert in drainage structure behind

883 Beechwood.

$55,000 30 56895 83

6 2450 Cobblestone Dr.

Shirley Sutton

812-455-1276

06/04/2014 Ditch blockage due to trees growing in the ditch. $80,000 45 56901 78

7 1312 Burchwood

Louann Baumeyer

270-860-3466

---------------

Also reported by:

Jill Henderson - 1340 Porter Dr

270-577-2948

06/01/2013 Regrade swale across backs of 1312 & 1316 Burchwood Ct. $110,000 60 56899 78

8 1711 Clay Street

Mary Conrad

07/01/2013 Inlet/Pipe or Ditch low area in back yard and on adjacent

property owned by HWU; outlet to Clay Street roadway ditch

$10,000 15 56900 77

9 2409 Cobblestone Dr.

Kevin Smith

270-577-4850

07/15/2014 Cut new swale along top of slope at back property line to catch

& divert offsite runoff. CALL BEFORE STARTING WORK.

$1,900 5 56928

5824776

10 502 & 506 Canoe Creek Drive

Kim Dean (270-860-7787)

Nellie Harris ([email protected])

05/28/2014 Swale along back property lines ponding water. $15,000 10 56929 74

11 2954 Briarcliff Tr.

Joe Beard

559-352-2033

04/17/2013 Clean & Pave or pipe (?) Ditch $12,000 15 56930 70

12 Kimsey Lane/Van Wyk Road

J.R. Stanley

270-860-2074

12/31/2013 Replace twin culverts under Van Wyk Road with an RCBC

sized to provide area equal to ditch cross section

$115,000 30 56936 67

13 1339 Porter Dr.

Eric Bartlet

270-748-0455 (cell)

270-827-4289 (work)

04/26/2013 Clean & reshape roadside swale in front of 1331, 1335 & 1339

Porter Dr.

$15,000 15 56937 64

14 1667 Marshall Dr.

Dorothy Quinn

270-724-9717

05/15/2015 Clean existing swales and culverts along Marshall. Construct

culvert beneath 2nd driveway at 1668 Marshall and cut a swale

across end of Marshall.

$8,000 10 57946 62

15 2837 Meadowlark 08/28/2013 Clean & reshape ditch behind 2831, 2837 & 2843 Meadowlark

Ln

$20,000 30 56943 60

16 2023 Redbird Ln. 06/01/2013 Reshape swale along back lot lines $8,000 10 56941 60

17 1438 Wilson Dr.

Julie Rutedge

270-860-4086

06/01/2013 Reshape ditch in back yard. Part of Countryview Subdivision -

Approx 565 LF of swale.

$20,000 20 56942 60

18 280 Blueridge Dr

Houston Reese

(270) 827-5408

04/07/2014 Lay 100' of 15" pipe with headwall $8,000 8 56945 59

19 505 Norris Ln.

Keith Ray

270-831-0224

06/01/2013 Two culverts beneath alley (Public?) $12,000 10 56944 59

20 2035 Summer Hill Ln.

Shelly Pervenecki

270-577-3117

06/05/2014 Ditch cutting into back yard $230,000 90 56951 55

21 1027 Homestead Pt.

James Towery

270-826-0990

04/11/2014 Ditch is stopped up and not draining. Ditch is eroding. $4,000 56953 55

22 1616 Washington St.

Randy Gentry

270-577-2957

08/20/2013 Culvert across common driveway at alley. $1,500 5 56949 55

23 617 S Alvasia St.

Tony Welch

270-212-0711

06/01/2013 Clean & Reshape Ditch $35,000 30 56948 55

24 816 Bent Tree

Nonnie Hopper

270-826-7737

06/01/2013 Widen 160LF ditch in back yard. $10,000 30 56950 53

50

HWU Neighborhood Stormwater Projects - Effective 12/16/2015

Project Name and

Contact Information

Date

Opened Description of Work Effective 12/16/2015

Budget

Cost

Actual

Cost

Duration

(Days)

W.O.

Number

Project

Priority

Date

Completed

_____

25 369 Fox Hollow Run (West)

Nicole Campbeu

270-454-8027

05/20/2013 Reshape approx 250 LF of swale behind W Fox Hollow Run

homes

$8,000 $1,372 10 56947 Completed 12/08/2015

26 1300 Taransay Drive

Ditch behind address

11/23/2015 Install rock wall to protect gas main. $3,239 58719 Completed 12/01/2015

27 58 S Gardengate

Don Haggens

727-239-1173

---------------

Also reported by:

Steve Dickerson

55 S. Gardengate

270-826-1071

05/12/2015 Construct swale at back property lines between S Gardengate

and Broomsage.

$6,000 $6,519 10 56991 Completed 12/01/2015

28 2550 Wood Dr.

Michelle Denton

270-860-0726

08/16/2013 Fix & clean pipe and clean and reshape downstream swale. $2,500 $269 5 56946 Completed 11/20/2015

29 1324 Taransay Dr.

Harry Duke

270-826-7344

04/08/2014 Ditch has fallen in - Needs shoring $25,000 $6,755 5 56896 Completed 11/16/2015

30 Cooper Park Stormwater Project

(FEMA)

11/07/2014 New storm sewer along Powell outlet to Canoe Creek $200,000 $201,814 90 53835 Completed 10/28/2015

31 215 Priest St.

Bob Hodson

270-827-4442

812-455-2916

05/19/2015 Cap abandoned storm sewers and repair eroded soils &

damaged pavement.

$15,000 $2,833 10 57944 Completed 10/27/2015

32 2002 Poplar Avenue

Allen McKinney

05/30/2014 Swale behind house needs to be piped; ditch slope is shallow,

and water ponds, making it hard to mow and a mosquito

problem

$10,000 $11,056 5 56902

56940

57930

Completed 10/21/2015

33 Pines Drive

Stormwater Line

07/28/2015 Install stormwater line.

Work complete, but Landscaping work order #58022 still open.

$9,000 $9,175 1 57710

58022Completed 10/08/2015

34 2538 Wood Drive

Ditch between Wood Dr. &

Maclerie St.

07/15/2015 Make a flat bottom trench down stormwater ditch. Seeded and

strawed ditch.

$9,959 57542

58228Completed 10/06/2015

35 1336 Burchwood Ct

Lilia Hall

(270) 8262603

04/03/2014 Swale behind 1332 Burchwood needs regraded to drain her

back yard.

$1,000 $7,772 5 56952 Completed 10/06/2015

36 2716 Brinson

Audubon Park Creek

(Near Zehner Drive)

Ron Faupel

09/01/2015 Cleaning section of Audubon Park Creek near Zehner Drive $3,940 58052 Completed 09/24/2015

37 Adams 14th to Kimsey lane 08/19/2015 Pipe ditch between 14th and Kimsey on Adams, City to pay for

the materials

$12,000 $11,333 57920

58199Completed 09/24/2015

38 Pringle to Bailey St.

(Between Pond and Meadow)

05/12/2015 Cleaned out ditch from Pringle to Bailey St., between Pond and

Meadow. Also ran camera to inspect 24 inch stormline in front

of 1105 Pringle to ditch behind home.

$3,500 $3,308 56874 Completed 09/03/2015

39 2363 Dundee

Joyce and Henry Neukam

06/20/2013 Reshape swale across back and side property lines, to correct

problem caused by development on adjacent property.

$2,776 1 56954 Completed 05/15/2015

40 Tiger Ditch

Cleaning & Erosion Prevention

12/04/2013 Cleaning Section of Tiger Ditch from Stadium Drive north

towards Second Street - Include Erosion Repair

$51,251 30 1439 Completed 10/06/2014

41 Kimsey Lane Pipe Replacement

Brian Williams

270-831-1200

06/24/2014 Metal Culvert Pipe is Rusted through at Bottom - Replace with

Concrete Pipe, Precast Headwalls

$22,000 21 54268 Completed 07/25/2014

$355,370

51

BUSINESS

Action Report #2015-32 – 6th Street Water Main Replacement Project Action Report #2015-33 – Lawn Care Services Discuss Moving January 2016 Meeting to Fourth Monday,

January 25th Due to Third Monday Falling on Holiday

52

53

Henderson Water Utility6th Street Water Line Materials Bids - Pipe and other Materials

Item # Bid Item Quantity Unit Unit Price Extension Unit Price Extension Unit Price Extension Unit Price Extension Unit Price Extension Unit Price Extension

1 8" DR18 C900 Pipe - Water 1360 Linear Foot 5.44$ 7,398.40$ 5.38$ 7,316.80$ 5.51$ 7,493.60$ 6.32$ 8,595.20$ 5.53$ 7,520.80$ 5.85$ 7,956.00$ 2 6" DR18 C900 Pipe - Water 60 Linear Foot 3.19 191.40 3.20 192.00 3.42 205.20 3.71 222.60 3.52 211.20 3.43 205.80 3 8" x 8" SS Tapping Sleeve – 8.63-9.05 1 Each 541.28 541.28 635.19 635.19 635.00 635.00 399.60 399.60 698.78 698.78 563.96 563.96 4 8" Tapping Valve w/ 2" Operating Nut for Bury 1 Each 946.55 946.55 928.00 928.00 760.00 760.00 1,031.67 1,031.67 859.68 859.68 989.12 989.12 5 8" x 6" MJ TEE - Domestic 3 Each 181.98 545.94 165.00 495.00 184.00 552.00 211.09 633.27 191.66 574.98 197.97 593.91 6 6" MJ x MJ Valve w/2" Operating Nut for Bury 3 Each 456.66 1,369.98 447.00 1,341.00 487.00 1,461.00 497.67 1,493.01 550.15 1,650.45 477.15 1,431.45 7 8" MJ x MJ Valve w/ 2" Operating Nut for Bury 1 Each 727.30 727.30 713.00 713.00 775.00 775.00 792.67 792.67 876.21 876.21 759.97 759.97 8 8" MJ 45 - Domestic 2 Each 117.63 235.26 107.10 214.20 119.00 238.00 141.68 283.36 123.88 247.76 127.96 255.92 9 5 1/4" Fire Hydrant, 6" MJ Shoe 3 Each 1,467.91 4,403.73 1,510.00 4,530.00 1,600.00 4,800.00 1,619.65 4,858.95 1,783.45 5,350.35 1,547.57 4,642.71

10 8” Hymax Coupling 1 Each 199.10 199.10 220.00 220.00 203.00 203.00 226.30 226.30 226.27 226.27 216.10 216.10 11 6” Foster Adaptor 3 Each 86.90 260.70 85.00 255.00 84.50 253.50 95.73 287.19 99.94 299.82 94.05 282.15 12 8" C900 Pipe Restraint Accessory Pack - Domestic 16 Each 50.88 814.08 41.50 664.00 53.75 860.00 49.66 794.56 56.53 904.48 55.91 894.56 13 6" C900 Pipe Restraint Accessory Pack - Domestic 6 Each 37.68 226.08 30.75 184.50 40.00 240.00 39.45 236.70 41.87 251.22 41.40 248.40 14 ¾” Brass Corporation Stop - CC x MIPT 39 Each 23.14 902.46 22.82 889.98 24.00 936.00 24.09 939.51 24.02 936.78 23.79 927.81 15 18” x 24” Round Meter Box 39 Each 21.25 828.75 21.50 838.50 20.25 789.75 23.00 897.00 25.21 983.19 21.64 843.96 16 8" x ¾” SS Tapping Saddle - 8.63-9.05 39 Each 56.70 2,211.30 56.46 2,201.94 80.00 3,120.00 44.28 1,726.92 58.85 2,295.15 81.62 3,183.18 17 ¾” Brass Meter Setter 39 Each 83.63 3,261.57 83.28 3,247.92 86.70 3,381.30 87.07 3,395.73 86.79 3,384.81 85.95 3,352.05 18 ¾” Meter Gasket 78 Each 0.06 4.68 0.15 11.70 0.20 15.60 0.09 7.02 0.11 8.58 0.15 11.70 19 ¾” Copper Tubing 17 100’ Roll 221.00 3,757.00 225.00 3,825.00 155.00 2,635.00 255.00 4,335.00 243.53 4,140.01 320.00 5,440.00 20 12 gauge solid THHN wire 3 500' Spool 40.00 120.00 50.00 150.00 55.00 165.00 45.00 135.00 76.47 229.41 49.00 147.00 21 2"x 1000" Magnetic Buried Underground Waterline Tape 2 1,000 Foot Roll 12.50 25.00 20.00 40.00 13.50 27.00 18.50 37.00 12.88 25.76 13.65 27.30 22 36" - 48" Complete Valve Box - Water 5 Each 35.42 177.10 55.00 275.00 51.00 255.00 55.00 275.00 48.89 244.45 120.50 602.50

Bid Form Total 29,147.66$ 29,168.73$ 29,800.95$ 31,603.26$ 31,920.14$ 33,575.55$

Bid Form Signed, Sealed and Notarized Yes Yes Yes Yes Yes YesAddendum No. 1 Acknowledged Yes Yes Yes Yes Yes Yes

Affidavits Supplied and Signed Yes Yes Yes Yes Yes YesLocal Bid Preference Affidavit Yes Yes Yes Yes Yes Yes

Certification: The prices tabulated above are as set forth in the Bidder's proposals.

This tabulation is true and accurate, to the best of my knowledge and belief.

Notes: Fortilie entered an incorrect price for item 19, and also incorrectly extended the price (corrected here).By: HD Supply Waterworks incorrectly extended prices for two items (corrected here)

Thomas D. Williams, P.E. Utility Pipe Sales entered an incorrect price for item 19, and also incorrectly extended the price (corrected here).Kentucky Registered Professional Engineer, No. PE 13875

HD Supply Waterworks Ferguson Waterworks Fortilie WaterworksJ & J Municipal Supply, Inc. Utility Pipe SalesUtility Supply Co.

54

55

Documents

A G E N D Astorage.hkywater.org/.../HWU_Board_Packet_2015-12-21.pdf · 2015. 12. 21. · Boyett with “The Gleaner”. B. INVOCATION – Rodney Michael C. PRESENTATION ... Approval