MINUTES OF THE

BULLOCK PEN WATER DISTRICT

DECEMBER 2015 MEETING

The December 2015 meeting of the Bullock Pen Water District was called to order on December 17, 2015, at the hour of 1:00 p.m. at the District Headquarters, 1 Farrell Drive, Crittenden, KY 41030. Present at the meeting were Superintendent William Catlett, Chairman Bobby Burgess, Office Manager Amy Ruark, Karen VanHolten, Pat Deming of CMW, Inc., Kerry Odle of HMB Professional Engineers, Inc., and Attorney Thomas R. Nienaber. Also present were Commissioners Logan Murphy, Charles Givin and Andrea Walton. Commissioner William Wethington was absent.

The first order of business was a review of the November 2015 Minutes. After discussion, upon motion of Logan Murphy and second by Charles Givin, it was unanimously,

“RESOLVED: that the November 2015 Minutes be approved as attached.”

The next order of business was a review of the profit and loss and warrants for November 2015. After discussion, upon motion of Charles Givin and second by Andrea Walton, it was unanimously,

“RESOLVED: that the November 2015 profit and loss and warrants be approved as attached.”

The next order of business was a report by CMW, Inc., Mr. Pat Deming as follows:

  1. Mr. Deming reported on the status of the Phase XIV Project. He stated that the project is very near completion. The master meter is currently being installed and should be completed the following week. The underground bore should be completed by December 18, 2015. Overall, the project is behind schedule and will not be completed within the contract deadline. The new estimated completion date will be December 31, 2015. The original contract completion date was December 9, 2015. The delay is not the responsibility of the contractor. Rather it was due to an inability to obtain proper equipment for the master meter. Mr. Deming indicated that a change order on the contract would be necessary to extend the completion date to December 31, 2015. Pat Deming recommended that a liquidated damage penalty not be assessed. After discussion, upon motion of Logan Murphy and second by Andrea Walton, it was unanimously,

“RESOLVED: that the Phase XIV Project completion date be extended to December 31, 2015, without assessing any liquidated damage charge to the contractor.”

2.Mr. Deming presented Pay Request #3 for the Phase XIV Project in the total amount of $20,717.49 as attached. After discussion, upon motion of Logan Murphy and second by Charles Givin, it was unanimously,

“RESOLVED: that Pay Request #3 for the Phase XIV Project in the total amount of $20,717.49 as attached be approved.”

The next order of business was a report by HMB Professional Engineering, Inc., Mr. Kerry Odle as follows:

1.Mr. Odle reviewed a copy of a proposed plat for Freedom Ridge Estates Subdivision located off Cleek Lane, Boone County, Kentucky. This subdivision will require a line extension of approximately 1200 feet. Kerry Odle stated that the District is able to provide water service to this development provided the developer makes the necessary line extension of approximately 1200 feet.

The next order of business was a report by counsel Thomas R. Nienaber as follows:

1.Mr. Nienaber inquired as to the status of the Phase XV and Bullock Pen Lake Dam Project. Chairman Burgess and Superintendent Catlett reported that they had discussions with Division of Water representatives within the last week. Mr. Peter Goodmann spoke with Chairman Burgess and Superintendent Catlett stating that the Division of Water is reconsidering its plans to reconstruct the dam at Bullock Pen Lake in such manner which would require the draining of Bullock Pen Lake thereby prohibiting the District from maintaining its water treatment plant operations. Mr. Goodmann reported that the Division of Water is working on those plans for alternative solutions. The Division of Water will contact the District when alternatives are reviewed. Chairman Burgess reported that the Division of Water is requesting a meeting with the District after alternative solutions are prepared.

2.Mr. Nienaber inquired as to the status of the East Fairview Road Project easements. Superintendent Catlett reported that while all of the easements have not yet been signed, commitments have been received from all of the appropriate property owners to execute the easements which have been submitted.

3.Mr. Nienaber reviewed with the Commissioners a proposed Water Bill Adjustment Policy as attached. By way of background, Mr. Nienaber reported that Superintendent Catlett had requested at the last meeting for permission to revisit this issue and present a revised Water Bill Adjustment Policy for the District. In response to that request, Superintendent Catlett with counsel prepared the attached Water Bill Adjustment Policy. Mr. Nienaber reviewed all of the terms of that proposal. Mr. Nienaber indicated that if the District were to adopt the Water Bill Adjustment Policy as attached, the Public Service Commission would have to approve same prior to adoption by the District. Generally, the Commissioners were supportive of the proposed Water Bill Adjustment Policy. After discussion, upon motion of Logan Murphy and second by Charles Givin, it was unanimously,

“RESOLVED: that counsel submit the attached Water Bill Adjustment Policy to the Public Service Commission for approval.”

3.Mr. Nienaber inquired as to the status of the letter to be forwarded to all volunteer and full-time fire departments providing fire protection services within the District boundaries. Superintendent Catlett indicated that he is working on that letter and would work with Mr. Nienaber to finalize same for presentation to the Commissioners at the next meeting.

4.Mr. Nienaber administered the oath of office to Commissioner Walton who was reappointed to serve as a Commissioner on the District Board by the Grant County Fiscal Court. The appropriate Certificate of Oath was signed and entered into the record as attached.

The next order of business was a report by Superintendent Catlett as follows:

1.Superintendent Catlett reviewed with the Commissioners his Supervisor’s Report as attached.

2.Superintendent Catlett reported that Grant County and the NKADD ranked the District’s Phase XV Projects as a No. 1 priority status for funding purposes.

The next order of business was a report by Office Manager Amy Ruark as follows:

1.Ms. Ruark raised the issue of the Software Solutions Maintenance Agreement for the District’s computer hardware system. Ms. Ruark recommended that the District not engage Software Solutions for the maintenance contract in that the District’s hardware system is old and should be replaced. After discussion, upon motion of Charles Givin and second by Andrea Walton, it was unanimously:

“RESOLVED: that Amy Ruark notify Software Solutions in writing of the District’s intent to cancel the current hardware maintenance agreement.”

2.Amy Ruark reported that the District needs a new operating system for the District’s computer server. The cost is approximately $800.00, plus installation cost. Amy Ruark estimates that the total cost of equipment and installation costs would be under $2,000.00. Ms. Ruark requested that the District authorize this work immediately. After discussion, upon motion of Logan Murphy and second by Andrea Walton, it was unanimously:

“RESOLVED: that Amy Ruark be and she is hereby authorized to purchase a new operating system for the District’s computer server at a cost not to exceed $2,000.00 which shall include installation.”

3.Amy Ruark notified the Commissioners of the upcoming Legislative Breakfast scheduled for January 27, 2016. Ms. Ruark asked that anyone wishing to attend should notify her as soon as possible.

4.Amy Ruark presented the District’s proposed Budget prepared by Peggy Gamble. The District must take final action on the proposed Budget at this meeting. After discussion, upon motion of Logan Murphy, and second by Charles Givin, it was unanimously,

“RESOLVED: that the District adopt the proposed annual Budget for the District as attached.”

5.Amy Ruark reported that the Commissioners should take final action on pay raises for District personnel. Karen VanHolten reported that the salary review committee consisting of Logan Murphy, Andrea Walton, Karen VanHolten and Amy Ruark met earlier in the day. A proposed salary increase was recommended as attached. While Commissioner Murphy was in favor of the recommendation for salary increases, he mentioned once again that the District’s expense and income gap is narrowing and that the District needs to watch these numbers very closely. Karen VanHolten reported that she had prepared a survey of salaries and pay scales from other water districts around the state. A copy of her survey is attached. Overall, Karen VanHolten reported that the District salaries are in line with other Districts around the State. Commissioner Givin reported that while he agreed with the committee’s recommendation for salary increases, he believes that Amy Ruark, as Manager of the Water District, should receive a larger pay raise. Commissioner Givin recommended an additional pay increase of $1,040.00 per year. After discussion, upon motion of Charles Givin and second by Andrea Walton, it was unanimously,

“RESOLVED: that the District approve pay increases for District personnel as set forth on the attached pay increase summary, with the exception that Amy Ruark receive an additional $1,040.00 per year pay increase.”

6.Ms. Ruark reported that the next meeting is scheduled for January 21, 2016. There being no apparent conflicts, the meeting will take place on that date.

There being no further business to conduct before the meeting, upon motion and second, same was adjourned.

BULLOCK PEN WATER DISTRICT

BY:______

BOBBY BURGESS, CHAIRMAN

ATTEST:

______

WILLIAM WETHINGTON,SECRETARY

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