Commission Minutes January 19, 2017

For your consideration, please review the minutes for the Commission Meeting from January 19, 2017:

BGJWSC_Commission_Minutes_January_19,_2017_with_Attachments

To read the minutes, please open or download the pdf from the link above or you may see more below:

Brunswick-Glynn County Joint Water and Sewer Commission

1703 Gloucester Street, Brunswick, GA 31520

Thursday, January 19, 2017 at 2:30 PM

 

COMMISSION MINUTES

PRESENT:                             

Donald M. Elliott, Chairman

Clifford Adams, Commissioner

Michael Browning, County Commissioner

Cornell L. Harvey, City Commissioner

Robert Bowen, Commissioner

Steve Copeland, Commissioner

Dave H. Ford, Commissioner

 

ALSO PRESENT:                 

Jimmy Junkin, Executive Director

Charlie Dorminy, Legal Counsel HBS

Thomas A. Boland, Sr., Deputy Director

John D. Donaghy, Director of Administration & Finance

Todd Kline, Senior Engineer

Pam Crosby, Director of Purchasing

Chairman Elliott called the meeting to order at 2:30 PM.  Commissioner Elliott provided the invocation and led the pledge.

COMMISSIONER’S SWEARING-IN CEREMONY

Probate Judge Debra Godwin Duncan

Michael Browning

Judge Debra Godwin Duncan read the oath to incoming Commissioner Browning, swearing him into his new position as BGJWSC Commissioner, and prompted him to sign all 3 original copies of the formal oath of which she also signed. Judge Debra Godwin Duncan then congratulated him and departed from the Commission Meeting.

PUBLIC COMMENT PERIOD

Chairman Elliott opened the public comment period.  There being no citizens for public comment, Chairman Elliott closed the public comment period.

 PRESENTATION

Mel Baxter of the Brunswick-Glynn County Economic Development Authority gave a presentation regarding the Shared Vision Statement for Brunswick, Glynn County, and the Golden Isles. This Vision is intended to be a cooperation between various partners/stakeholders in working together to make Brunswick and the Golden Isles an exceptional place in Georgia to live, work, and visit by strengthening our communities and enhancing the quality of life. His purpose in presenting to the BGJWSC was to request that the Commission consider adopting this Shared Vision and joining the other local entities and agencies who have currently partnered with the Economic Development Authority in this mission.  BGJWSC by joining as a partner would become active in the strategic planning, meetings, decisions, agenda and the mission the current participants are striving for to enhance our Economic Community.

 COMMITTEE UPDATES

None at this time.  Committees to be approved.

 Chairman Elliott briefly mentioned the meeting scheduled for Friday, January 20, 2017 at 12:00 noon to discuss the Commission’s committees.

APPROVAL

  1. Minutes from the January 5, 2017 Regular Meeting

Commissioner Harvey made a motion seconded by Commissioner Adams to approve the minutes from January 5, 2017 Regular Meeting.  Motion carried 7-0-0.

  1. Minutes from the January 5, 2017 Executive Meeting

Commissioner Harvey made a motion seconded by Commissioner Adams to approve the minutes from January 5, 2017 Executive Meeting.  Motion carried 7-0-0.

 Banking Resolution – F. Wilson

Frances Wilson presented to the Commissioners Section 10.A of the JWSC Financial Policy and shared the fact that two (2) signatures are required on any check issued for $25,000.00 or more, and explained that in the absence of either the Executive Director or the Director of Finance, it would be necessary to have either the Chairman or Vice-Chairman of the BGJWSC’s Governing Body sign checks.  She presented her recommendation that the Chairman and Vice-chairman of the JWSC be added as authorized signatories on the bank accounts of the JWSC and along with the Executive Director and Director of Finance be authorized to execute the necessary banking resolutions and signature cards with BB&T Bank.

Commissioner Harvey made a motion seconded by Commissioner Copeland to approve the addition of the Chairman and the Vice-Chairman of the JWSC as authorized signatories on the bank accounts of the JWSC and that the Chairman, Vice-Chairman, Executive Director and Director of Finance be authorized to execute the necessary banking resolutions and signature cards with BB&T Bank.  Motion approved 7-0-0.

  1. Operational Agreement Amendment – C. Dorminy

Charlie Dorminy, legal counsel for JWSC, presented the Fifth Addendum to the Operational Agreement by and among the City of Brunswick and Glynn County and Brunswick-Glynn County Water and Sewer Commission.  He explained that this Addendum is necessary due to the passing of SPLOST 2016 which would include direct disbursements to the JWSC for improvements to the sewer systems in the City of Brunswick and Glynn County.  Without this Addendum, the County would still be responsible for bidding the projects and managing the projects included in this SPLOST.  This Addendum would enable the JWSC to act more quickly in making improvements that are necessary for the SPLOST. The specifics of the authority of JWSC to use these funds would be laid out in the Intergovernmental Agreement which will be adopted at the next meetings with these Governments.  Mr. Dorminy has been working with the City and County Attorneys in the preparation and details of this Addendum.  Specific changes made by this Addendum were noted as being in Section 20.c of the current Operational Agreement.

Commissioner Adams made a motion seconded by Commissioner Bowen to adopt the Fifth Addendum to the Operational Agreement by and among the City of Brunswick and Glynn County and Brunswick-Glynn County Joint Water and Sewer Commission .  Motion approved 7-0-0.

  1. Academy Creek Biosolids Building Roof – M. Hopkins

Mark Hopkins presented to the Commission a brief discussion concerning the necessity to make repairs to the roof over the Academy Creek Biosolids Building.  This repair consists of a re-roof over the building whereas there will be a metal covering versus the originally discussed polyurethane foam that was previously presented to the Commission as a Discussion item.  The metal covering will be more cost-effective than the polyurethane foam.  The quote from Edward Dasch & Sons and package was presented to the Commissioners for their review.  Estimated start is expected within the next month with completion of a few weeks.

Commissioner Harvey made a motion seconded by Commissioner Adams to accept the proposal from Edward Dasch & Sons to perform roof repairs at the Academy Creek Biosolids Building. ED&S has presented all the necessary documents and can begin work within the next month.  Motion approved 7-0-0.

  1. Debt Acquisition Compliance With Policy-Sewer ByPass Pump Capital Lease – P. Crosby

Pam Crosby presented background information to the Commission regarding a previous Commission approval on August 18, 2016 authorizing the purchase of ten (10) permanent bypass pumps for six (6) Mainland and four (4) SSI lift stations at an estimated cost of 1.25M from cash reserves.  Further explained was the Commission on September 22, 2016 approved and awarded a contract to Davenport & Company for Financial Advisory Services.  All of the firms who had been interviewed as a part of the selection process for this contract had stressed the importance of JWSC’s available cash balances to the strength of overall credit ratings.

After additional discussion with the Finance Committee, Davenport & Company, and JWSC staff, the decision with regard to payment for the bypass pumps was made to pursue finance options versus a direct purchase from cash reserves.  This will continue to maintain JWSC favorable ratings and keep options open for future larger borrowings that may be required.  Ten (10) proposals were received for incurring debt to finance the ten (10) bypass pumps, with the most favorable capital lease coming from Key Government Finance with a seven (7) year term and 2.32% interest rate.

Ms. Crosby further presented Section 3 of the JWSC Financial Policy adopted on September 19, 2007 regarding the issuance of debt by the JWSC.  Section 3 of this Policy provides that a debt management strategy is required when debt is incurred, details the conditions for using debt, and also requires the sound financing of debt.  Included in the presentation was the Key Finance Proposal dated 1/17/2017.

Commissioner Harvey made a motion seconded by Commissioner Bowen to move that the JWSC affirmatively determine that a capital lease acquisition for (10) ten permanent bypass pumps are in accordance with adopted JWSC Financial Policy and that the conditions for using debt and the sound financing of that debt have been satisfied; And that the Chairman and Executive Director be authorized to execute the documents necessary, subject to the review by legal counsel.  Motion approved 7-0-0.

  1. Adoption of Shared Vision Statement – Mel Baxter, Brunswick-Glynn County Economic Development Authority. After the presentation given by Mel Baxter regarding the mission and strategic planning purposes of the Shared Vision Statement it was unanimously agreed upon by the full Commission that BGJWSC should become a partner along with the other local entities and agencies who have joined in the Shared Vision to strengthen our local community and enhance the quality of life.

Commissioner Harvey made a motion seconded by Commissioner Browning to move that the JWSC should become a partner in the Adoption of the Shared Vision Statement for Brunswick, Glynn County and the Golden Isles, and that this Adoption should be added as Item #7 under the Approval section of the meeting agenda.  Motion approved 7-0-0.

 DISCUSSION

  1. Finance Report – J. Donaghy

John Donaghy presented the Financial statements for the December Month End.  The balance sheet showing period ending June 30, 2016 and period ending December 31, 2016 was reviewed.  Under Restricted Cash Accounts, it was noted that the JWSC Reserves went from approximately $16.3M down to approximately $12.9M due to an increase in the Construction in Progress and those reserves went down in order to complete infrastructure items. Under the Long Term Debt a new item as of December 31 was a Capital Lease Payable of $1.2M which is a capital lease for 4 Vac-con machines that were previously approved by the Commission. The detailed revenue and expenditures were reviewed.  It was noted that at the beginning of the current fiscal a Facilities Division was created to maintain our buildings and other structures and those costs were spread throughout other divisions and were pulled out to create the new division. In the next budgeting process the necessary revisions will be made to allow for personnel and expenditures of this division. This Facilities Division was split from the Systems Pumping & Maintenance Division to be a facility department for the whole organization rather than just for Systems Pumping & Maintenance.

EXECUTIVE DIRECTOR’S UPDATE

Mr. Junkin stated that JWSC is working on the 2018 budget instructions for staff.  He wants to look at organizational emergency preparedness situations, and they have identified a building at Academy Creek WWTP to modify to incorporate such long term needs, and inventory control and operational consolidations such as staging personnel to improve efficiencies.  During walkthroughs in the treatment plants it was discerned that both Academy Creek and Dunbar have some infrastructure needs.  There have been complaints about odor problems at Academy Creek, and there is concern about health issues for personnel working in the plant, as well as corrosion caused to assets inside the plant from the gases created by the sewage.  Staff is working to engineer solutions at both treatment plants to solve this source of corrosion and odor.  North Mainland sewer capacity issues are being addressed are projects are being worked on simultaneously solve this issue.  The Master Plan will be reviewed and some needs that may not have been documented and plant needs will be revisited.

There will be a Commission Orientation on two days. February 2nd will be for the Administrative side of the organization to present, and then on Feb. 16th will be the wastewater treatment and water distribution presentations and facility visits in order for the new Commissioners to better understand the organization and issues.

CHAIRMAN’S UPDATE

There was no Chairman’s update for this meeting.

 EXECUTIVE SESSION

Commissioner Harvey made a motion seconded by Commissioner Adams to adjourn into Executive Session to discuss Property Issues with no vote to be taken.  Motion approved 7-0-0.

Return to regular session

Commissioner Adams made a motion second by Commissioner Copeland to return to the Regular meeting.  Motion approved 7-0-0.

Commissioner Adams made a motion to adjourn the regular meeting.  Motion approved 7-0-0.

Chairman Elliott adjourned the open meeting at 4:06 pm.