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CITY OF TIGARD
MEMORANDUM OREGON
CITY OF TIGARD, OREGON
TO: Intergovernme
ntal Water Board Members
FROM: Ed Wegner
DATE: July 29 , 1994
SUBJECT: Reschedule of 8-13-94 IWB Meeting
After speaking with Murray Smith and Associates and per my
telephone conversation with Chairperson, Peggy Manning, we have
decided to reschedule the regular business meeting of the IWB from
August 13 , 1994 until August 17 , 1994 .
The firm of Murray Smith and Associates needed some additional time
to prepare their report and they will be in attendance at the
August 17 , 1994 meeting to provide that information to the Board.
If you have any questions , feel free to contact me at 639-4171,
extension 396 .
kathy\iwb\resched
13125 SW Hall Blvd„ Tigard, OR 97223 (503) 639-4171 TDD (503) 684-2772
INTERGOVIN NMENTAT, WATER BOARD
Meeting Minutes
May 11, 1994
Board Members Present: Chair Peggy Manning, Chair-Elect Bill Sheiderich,
Lynda Jenkins, and George Morgan
Staff Present: Pat Reilly, Ed Wegner, Wayne Lowry, Mike Miller,
Kathy Kaatz
1. Call to order
Chair Manning called the meeting of the Intergovernmental Water Board to
order at 5:37 p.m.
2. Approval of Minutes
Ed Wegner informed the Board that in their packet was a set of revised
minutes from the April 27, 1994 meeting which included additional
comments made by Paul Hunt that had previously been omitted im regards
to the Chair-Elect issue. George Morgan motioned to approve the minutes
which was seconded by Lynda Jenkins.
o
3. visitors Comments
Jack Polans, King City resident, discussed the importance of public
input. At the time a bond issues comes up for vote, the public needs to
be informed in order for that to be passed. Jack discussed the
importance of the City of Tigard providing this information to the
- public via the Library. All water information- files are kept with Ed
Wegner in a centralized location.
Pat Reilly stated that Ed Wegner would be the source to refer the public
to in order to gain information regarding water issues. Pat Reilly also
stated that the Library has a local information center where information
is readily available, which enables the City to facilitate the public
access to information.
Jack Polans asked how we could consolidate this information? Pat Reilly
stated that in regards to the Tigard Water District information, the
Tigard Water District is a separate entity and that Board is responsible
for distributing information on their own.
George' Morgan stated that the Tigard Water District has a responsibility
through the provisions of the Intergovernmental Agreement to provide
access to records and minutes and make available to the public and all
interested participants. George Morgan also stated that the primary
reasons for continued meetings at this time, of the Tigard Water
District Board is to meet their responsibilities in regards to long term
water supply and a capital improvement program which will allow that
water supply to contract to serve the interest of the water service
area.
Jack Polans questioned how the unincorporated area would get thi
information? It was stated that they also could go to Ed Wegner this
obtain this information. Lynda Jenkins asked Jack where he obtains his
information? Jack stated that he, obtains his information from attending
various Board meetings, and through the City of Tigard. It was stated
by Lynda Jenkins that any members of the public can also contact Mr.
Wegner, any of they other of various Board members, as well as the
Library for information.
Chair Manning thanked Jack Polans for his input.
4. Budget Discussion
Ed Wegner stated that the packet of information that was provided to the
Board members was a document called Water Budget Overview which is in
outline form to highlight those areas of the budget that were determined
to be of importance to the future programs of the Water Division.
• 15.5 FTE's within the Water operation for next year. The other
positions were allocated to the Finance, Account, Customer Billing side.
This does not show a reduction in staffing.
• Water Costs for next year with Lake Oswego and Portland. Currently have
a water sampling program throughout the system. Will also be starting
a pump maintenance program to rebuild one pump and motor per year for
the next five year period. We will also be continuing the replacement
of 2" galvanized lines with copper. Most of these lines are located in
King City.
George Morgan asked if these were being replaced as part of the overal'
maintenance program? Ed Wegner stated that was the case.
• Vehicle maintenance program-this year will continue with contracting-the---
work
he -work out. It may be pulled in a later date into our fleet maintenance
program, depending upon the ability to offset costs.
• IWB expenses covers meeting costs as well as other necessities of the
Board.
• Pipeline replacement have been designated in three areas that need
additional work. Rates of new meter installations has averaged five
hundred.
• Field equipment. One item to be purchased in the budget is a chipper.
This piece of equipment reflects a cost savings due to the fact that the
costs are being shared among three other divisions of Maintenance
Services.
• Pipeline extensions. These differ from the replacement in the fact that
these are additional lines.
• Site work for the reservoir South of Scholls Ferry Road is also included
in this budget and the possible purchase of land for a pumping station
in the area of Beef Bend. Both of these items are subj ect to change
when the Murray Smith report is finalized.
Ed Wegner also included in the packet a table addressing some questions
that he received from Board members regarding clarification.. This table
outlined specific funds, justification and dollar amounts being
budgeted.
T, pRWVERNNENTAL WATER BOARD MEETING NINDTEs - MAY 11, 1994 - PAGE 2
Chair Manning Questions:
• Account 51-6340 Engineers - Plans for reservoir off Scholls, Pump
station off Beef Bend Road, ongoing system growth plan review. Why
General Fund not Capital Investments. Wayne Lowry stated that this has
been discussed and would be placed under Capital Improvements under 51-
2170-701.000.
• Janitorial supplies 51-6730 - recognize there might be a bulging of this
account. Ed Wegner stated that this fund was left at the amount that
the staff had requested. We will be consolidating with other City
Departments to contract these services out. Lynda Jenkins questioned
how many restrooms we have to deodorize? It was stated that were seven
restrooms at the Water Building. This cost alone runs approximately
$67.00/month which seems excessive. Yearly rag and coveralls costs were
also discussed with Ed Wegner where it was determined that there was a
duplication under the Safety Equipment account 51-6720. Chair Manning
requested that this account be looked at.
• Maintenance and repair of equipment 51-6200 - The City apparently owns
99 rolling stock vehicles and 45 pieces of various equipment and these
costs are on a shared basis with these costs reflecting .the Water
Division's share.
• Safety Programs 51-6720 - A dollar amount of $8,000 was requested which
also includes the purchase of a $5,000 shoring shield.
• Lynda Jenkins questioned if there would be accurate history of these
accounts made available. Ed Wegner stated that he has access to reports
that show what has been expended in these account for the last year
minus the last- three months.
• Office supplies 51-6401 - $5,000 amount appears to be totally out of
line.- Would like to see justification for this account next year, if
not available this year. Wayne Lowry stated that this was one of the
accounts that was scrutinized and was reduced from the previous budget
year from $18,700.
• Chair Manning stated that it was her understanding that the
Intergovernmental Water Board appropriation was canceled and was placed
into another account
• Due and Subscriptions 51-6480 - In the additional information that was
provided to the Board tonight those costs were broken down. It seems
still quite high at $500/month. Perhaps this is an area that could be
looked into to cut. Bill Sheiderich questioned how many employees were
enrolled in the AWWA association? Ed Wegner stated that there is five
members and membership is based upon service area size. The current
members are Mike Miller, Ed Wegner, Randy Volk, backflow water quality
person and an inspector. Peggy Manning questioned what value is
received from this membership? Ed Wegner stated that we received a lot
of technical advise, materials, and new equipment information.
• What League of Oregon Cities provides to the Water District that is not
currently being provided to the City resulting in the cost of $2,500?
Pat Reilly stated that the LOC initiated a state wide effort to look at
water resource issues within the state which are not a part of the
regular LOC membership. A lot of time is being spent with DEQ and water
standards and Drinking Water Act. The LOC has also been involved with
the reservation effort with the Willamette River trying to protect
INTBRGOVBRNNBNTAt+ NAT= BOARD STING MINUTES - MAY 11, 1994 - PAGE 3
domestic use. The City of Tigard has not participated until the last
few months to protect the Water Division interests. Chair Manning
stated that in 1991 there were 61 different water studies completed.
These were almost a sure way to provide guaranteed employment by
bringing up water issues and during this time period, she never seen LOC
representing other Cities. Would like to have some thought go into
joining other groups and agencies and look at the what we are getting in
return for that membership. Pat Reilly stated that he would evaluate
these memberships but after only three months does not feel that we can
fairly evaluate this membership other than based on -what other agencies
are gaining.
• Travel and Training 51-6800 - Typing error on the part of personal
versus personnel in the 1-1/2% for travel and training purposes.
Apparently this was also added in twice which adjusted this account from
$7,100 to $3,200.
• Seminars and Classes 51-6850 - Classes and seminars for 12 FTE's not
included in the prior budget amount. This account includes registration
whereas, 51-6800 includes travel, food and lodging.
• Scada equipment, Phase II - has already been approved by Council, Phase
III is what will be budgeted. Phase III will be $200,000 v7hich will
include hard and software. Meter van which was listed on the budget is
no longer in the budget.
Lynda Jenkins noted that she has gone through some issue with Ed Wegner
on the phone and he responded to all questions asked. Lynda Jenkins did
state that she would like to have the history and background which
provides a lot of information. When addressing Citizens questions, it
is beneficial to share this information with them. For example, Lynds
questioned if rain gear is bought every-year, 'or a partial set each
year? Ed Wegner addressed the issue by stating that rain gear is bought
on an as needed basis.
Bill Sheiderich questions:
• Overview of water costs - Are we currently purchasing water from both
agencies (Lake Oswego and Portland) minimum purchase contracts? Mike
Miller stated that during the peak season, we play the market. ' We have
a Purchase Agreement with Portland for a minimum purchase set amount
(3.8% purchased) . The next year will purchase water during winter
months versus during peak season, to avoid peak season pricing.
Beaverton has inquired into using the line that was built to serve
Washington Square, which from his understanding there is capacity there
and Portland contractual commitment to send water through it to either
City. Beaverton's interest is only as a second supply at the South end
of Beaverton, at Washington Square. Beaverton is not currently paying
that rate to Portland for surface water.
• Vehicle Maintenance - Have any other public entities been solicited to
do a joint program? Ed Wegner stated that we currently have our own
full time Fleet Maintenance Manager and Mechanic and are looking at the
prospect of the ability to absorb those vehicles into our program.
• Pipeline Replacement - Bull Mountain road widening to be funded by Road
Levy and if so could relocation costs of water facilities be charged tr
INTERtiOVERNDU3NTAL WATER BOARD MEETING MINUTES - MAY 11, 1994. - PAGE 4
that levy also? Pat Reilly stated that there is no Bull Mountain Road
widening other than a walkway. Mike Miller stated that the widening
project is being funded by MSTIP. It was determined that it would be to
late to be a part of that project.
• Bill Sheiderich also questioned the other two capital improvement
projects and whether they were General Fund Projects (Beef Bend and
Durham Road) or are they out of road levies. Has the Tigard Street Levy
expired? Wayne Lowry_ stated that these are not our projects and was not
a street levy but a bond issue. Mike Miller stated that both projects
are outside the City limits.
• Site work for the 2.5 million gallon reservoir - Land use approval is in
place? This is outside the City limits.
George Morgan questions:
• Took a different approach at looking at the budget document. He has
planned on forwarding on a document to the Board with his comments, but
was unable to have that ready at this time. His primary purpose to
approaching the budget was to devise a plan of operation and to try to
identify what the responsibilities of the Board are. Primary purpose
was to review a plan that anticipates a variety of services and actions,
capital improvements, consultant contracts, works that are in progress
or are likely to be in progress during the year. First recommendation
to establish a program budget for the water enterprise, basically
identifying programs and activities that relate to production,
maintenance and operation, training and development, public and consumer
information.- He has great respect for the efforts that have been made
in reducing the budget to a more manageable level. George discussed the
issue of developing a program budget, which he realizes, would take a
considerable amount of time in defining terms. He feels that this
should be an objective to be accomplished during the first quarter of
the 1994/95 budget year. Important for two reasons; allows you to
forecast and identify the priorities and to access achievement of those
goals; and establishment of accountability. A program budget is a)
framework to accomplish things which should include a more sophisticated
reporting system, b) major program that addressed the subject of public
information and consumer services. The need to be more aggressive in
making sure that the information is available not when things are
already accomplished but as it is being developed, an example of this is
the City Newsletter. At this time, it seems to be only a handful of
people that have inquired about information as it relates to the Water
Division. We need to generate an interest in asking the public to
support this plan and the need to provide information, orientation and
education programs. c) Staff training and development
Chair Manning, wanted to clarify at this time, if the issue of staff
training and development is an area that we as an advisory board to the
City Council on water related matters, have the authority to get into
George Morgan stated that the responsibilities of this agency as
outlined in the IGA are quite remarkable. We are neither an
administrative board nor a policy making agency, except to our
respective jurisdictions as it applies to water supply and capital
IpTERGOpERNDU�N'1'AL WATER BOARD MEETING MINUTES - MAY 11, 1994 - PAGE 5
improvements. We are an advisory board to the City of Tigard in those
things that the City of Tigard asks for advise on. One of those is
specified in the application for variance, etc. We have a
responsibility to inform the City Council things that we believe are
items that should .be of concern to them, as we observe as a result of
our activities. Chair Manning stated that she did not agree with George
No on this issue. George Morgan stated that a reporting system is
important to staff training and development in trying to find out what
is being done and make a judgement to its adequacy and any necessity if
there is some to advise the City of Tigard that there are needs that
require attention. George Morgan stated that our role today is to
support and encourage and hold people accountable for what they propose
and what they do.
Chair Manning thanked George for his input and asked staff that when the
budget document goes to Council will the comments that were made by the
Board accompany that document?
Chair Manning questioned whether the minutes should accompany this
document to the Budget Committee to convey concerns and suggestions?
Pat Reilly stated that the Board put together a Motion to convey their
concerns and present it to the Budget Committee. It has not been
effective in the past to provide the Budget Committee with a lot of
additional reading information. Chair Manning questioned what the
expectation of Council was in regards to the Budget document? Pat
Reilly stated that the Council's expectation is that the Board has seen
a full disclosure of the document and had the opportunity to comment on
it.
George Morgan stated that he would like to see the Board address a
Motion. The Board's responsibilities are to make recommendations to the
Budget Committee and the Council on all budget requests for operation
and maintenance.
A Motion was entertained by George Morgan that stated:
The primary recommendation being that the budget document reflect
a plan and a series of programs which anticipate a variety of
maintenance and operation activity during the 1994/95 fiscal year.
That a program budget be developed to achieve that objective and
that reporting system adequate to valuate progress in achievement
of those objectives be established.
Public information and customer service program be formalized to
ensure public awareness and orientation and education relating to
the activities of the Water Division in pursuit of long term water
supply, capital improvement plan and maintenance and operation of
operational efficiencies.
Budget program be established for the personnel training and staff
development so that some consolidation proposals of staff can be
pursued.
gR WAMM BOARD DING MINOTzs - may 11, 1994 - PAGE 6
_ . a
Chair Manning stated that hearing no second, this motion fails to
continue in the process.
Bill Sheiderich made a motion to recommend that Chair Manning make a
verbal presentation to the Budget Committee summarizing the concerns the
Board has. This would be contingent on being recognized by the Chair of
the Budget Committee to speak. If at that time we are unable to speak,
we would come back to the Board and come up with a written document.
This was seconded by Lynda Jenkins. Pat Reilly stated that if the Board
wishes to present a verbal presentation to the Budget Committee that is
fine, but the Board need to clarify what there concerns actually are.
Chair Manning stated that through the IGA this Board is given the right
to go through the budget and make comments and requests changes. Bill
Sheiderich stated that he would like to withdraw the Motion. The Board
continued with further discussion on a Motion. Pat Reilly stated that
the Board need to focus on the issue at hand, being whether or not to
recommend the budget for approval.
A short break was taken at 7:00 and meeting was resumed at 7:08 p.m.
Lynda Jenkins made a Motion that moved that the Administration inform
the Budget Committee of the Intergovernmental Water Board's preference
that the budget for fiscal year 1995 be managed using performance
criteria (goals and objectives) to be devised and that the fiscal year
1996 budget be prepared using that format, showing history and
justification. The Motion was seconded by Bill Sheiderich. The Motion
passed unanimously.
Chair Manning stated the Board's appreciation for Ed Wegner and Wayne
Lowry to take the time to discuss and clarify their budget questions
during the week.
5. Director's Report
Ed Wegner stated that he provided the monthly report, but due to the
difficulty in getting those completed, would discuss at the next
meeting. In the future, will include these reports in the packet sent
to the Board members.
Ed Wegner stated he had two questions for the Tigard Water District; 1)
Has Ring City and Durham passed SDC's. Lynda Jenkins stated that the
Water Division should have received a copy. 2) City of Durham is close
to passing and will provide a copy to the Water Division.
Pat Reilly stated that we have asked the various entities to affirm the
request to extend the CIP deadline from June 30 to September 30, and
have not had a response to date. Icing City did send a copy but will
make sure another copy is provided. City of Durham has not acted on
that at this time. Chair Manning requested that Mr. Feldman get
together with the City of Tigard to discuss these issues.
INTERGOVERNMENTAL WATER BOARD MEETING MINUTES - MAY 11, 1994 - PAGE 7
6. Non Agenda Items
George Morgan brought up the issue of asset allocation and as a matter
of information that program is underway and the Consultant is using his
judgement. Their is uncertainty to what direction to head since it is
not as simple as it sounds. It would be appropriate for members of each
jurisdiction to direct those questions to the consultant or attend the
meeting. Hope to be finish in the next couple of months.
Items for next agenda would be:
Discussion of the draft bylaws.
Water Budget update
Long term water supply update
The next meeting of the IWB was set for June 8, 1994 at 5:30 p.m.
Lynda Jenkins questioned the possibility of obtaining copies of the
water quality reports. Lynda stated that the Board in the past has
received copies of the sampling printouts. Mike Miller stated that the
Water Division is done with the testing for Lead and Copper for the last
period. Lynda stated she would like to receive these when available
with their agenda packets.
Bill Sheiderich made a Motion to Adjourn and was seconded by Lynda
Jenkins at 7:20 p.m.
INTSRGOVSRNKMAL WATLR BOARD MMING MINO783 - MAY 11, 1994 - PAGE 8
T- J+
Yo semcl
7- 1"64, a E�
REGIONAL WATER SUPPLY PLAN
' Portland Metropolitan Area
June 22, 1994
PARTICIPATING
WATER
PROVIDERS
Mr. Ed Wegner
City of Tigard water Department
City Beaverton post Office Box 230000
Canby Utilities
Board Tigard, Oregon 97281-1999
Clackamas Water
District Dear Mr. Wegner:
City of Gladstone
Clairmont Water Attached you will find the most recent version of the
District policy objectives piece that we have been working on
Damascus Water for the Regional Water Supply Plan project . The goal
District at this point would be to share this document with your
City of Fairview policy bodies and elected officials as you deem
City of Gresham appropriate to get their feedback, thoughts, comments,
City of Hillsboro, suggested revisions, additions . The piece can be used
-1%iitiesCommission to provoke some thinking about water supply issues from
.ty of Forest Grove
City of Lake Oswego your own jurisdiction' s perspectives . The objectives
Citv of N&lwaukie can be used to stimulate discussion about the
Mt.Scott Water objectives themselves as a statement of the important
District issues regarding water supply and to hone in on those
Oak Lodge Water issues that are of particular concern to your decision
District makers and stakeholders .
Citv of Portland
Raleigh Water The policy objectives are very important to the
Dist`ctcompletion of the Phase 2 planning process because they
Rockwood Water will be used to guide the formulation of integrated
City ofSandv `„later supply strategies and will form the basis of
City of Sherwood
South Fork Water measurable evaluation criteria against which future
Board, water resource strategies will be assessed. In many
(City of Oregon City ways, the policy objectives are the "engine" that
City of west Linn) drives the planning process .
Tigard Water Dist.
City of Troutdale The policy objectives are meant to represent the
City of Tualatin ranee of values held throughout the region not a
Tualatin Valley statement of consensus . Therefore, some will be
Water District complementary while others will compete or may actually
West Slope Water conflict with each other (in terms of satisfying them
District
City of Wilsonville to varying degrees) The idea for this piece was to
City of Wood village represent what citizens, stakeholders, as well as water
providers believe to be important in how this region
^ meets its future water supply needs . It is
Regional Water Supply Plan Project, 1120 S.W.5th #601,Portland,Oregon 97204-1926 (503)823-7528
Participants Committee
Regional Policy Objectives
June 20, 1994 Page 2
important that this set of objectives represent as broad a
range of views as exists in the region. Otherwise, we risk
not addressing legitimate concerns which we will have to
address later, after we have completed most of the work.
For that reason the policies have been formulated based on
not only the expertise of the water provider participants
but also the feedback gained from the last couple of years
in reaching out to other stakeholder groups.
The Steering and Participants Committees have engaged in an
intensive collaborative process to develop this set of
policy objective statements . This process has also
incorporated the input of the Water Services Leadership
Group and some other advisory bodies specific to this
process. The policy objectives have gone through many
iterations, which has resulted in a much better focus on
what is truly important to the region in evaluating
alternative resource strategies .
Some of you have already begun to share these objectives
with your decision making bodies. Now is the time to engage
whatever groups, individuals, or bodies that you feel is
appropriate. The intent would be to use this set of
objectives to stimulate discussion about both the objectives
themselves as a statement of the range of values regarding
water supply issues and to hone in on those values that are
of particular concern to your decision makers and
stakeholders. Any suggestions for revisions or additions to
the policy objectives should be given to either myself or
Gary Fiske and once these are compiled the Steering
Committee will recommend changes to the Participants
Committee. We would like to complete this review pr-ocess==by
September of this year. �-
Sincerely Yours,
S J-J'�
Lorna Stickel
Project Manager
Attachments
�i1rr+;
ENVIRONMENTAL IMPACTS
■ Minimize the impact of water resource development on the natural and human
environments. For purposes of discussion and analysis, the distinction between
the two-is described as follows:
The natural environment includes but is not limited to the following areas:
- Fisheries
- Wetlands
- Threatened & endangered species
- Wildlife
- Water quality
- Geotechnical hazards
The human environment includes but is not limited to the following areas:
- Cultural and historic resources
- Land use compatibility for facility siting
- Recreation
- Scenic resources
- Hazardous waste and waste discharges
NOTE: All of these impacts are those that remain after mitigation efforts. The
cost of environmental mitigation will be reflected in the "economic
costs" policy area.
GROWTH
■ Be consistent with Metro's regional growth strategy and local land use plans.
FLEXIBILITY TO DEAL WITH FUTURE UNCERTAINTY
■ Maximize the ability to anticipate and respond to unforeseen future events or
changes in forecasted trends.
liwwl
3
ENVIRONMENTAL IMPACTS
■ Minimize the impact of water resource development on the natural and human
environments. For purposes of discussion and analysis, the distinction between
the two-is described as follows:
The natural environment includes but is not limited to the following areas:
- Fisheries
- Wetlands
- Threatened & endangered species
- Wildlife
- Water quality
- Geotechnical hazards
The human environment includes but is not limited to the following areas:
- Cultural and historic resources
- Land use compatibility for facility siting
- Recreation
- Scenic resources
- Hazardous waste and waste discharges
NOTE: All of these impacts are those that remain after mitigation efforts. The
cost of environmental mitigation will be reflected in the "economic
costs" policy area.
GROWTH
■ Be consistent with Metro's regional growth strategy and local land use plans.
FLEXIBILITY TO DEAL WITH FUTURE UNCERTAINTY
■ Maximize the ability to anticipate and respond to unforeseen future events or
changes in forecasted trends.
liwwl
3
. f
MAY 1994
WATER MONTHLY REPORT
Revenues/Expenditures:
Month of May Year to Date Prior Yr. to Date %of Budget
Revenues:
Water Sales $223,642.08 $2,821,842.43 $2,542,731.57
Meter Sales 63,855.00 519,135.93 304,054.12
Developer Fees 16,366.68 96,005.54 126,047.19
Other Income 5,436.12 106,015.27 114,322.83
Total Revenue $309,299.88 $3,542,999.17 $3,087,155.71 96.2%
Expenditures:
Personal Services $60,037.17 $763,856.08 $820,274.78
Material Services 123,671.78 1,548,428.82 1,261,353.62
Capital Outlay 6,736.99 254,273.90 339,090.00
Cap. Proj. Res. Fund 00.00 300,000.00 300,000.00
Total Expends. $190,445.94 $2,866,558.80 $2,720,718.40 62.2%
SDC Fund: $83,170.00 $665,853.68 $405,185.78 216.2%
Meter Installations: 5/8" x 3/4" 1" 1 1/2" 2" Total
Durham 5 0 0 0 5
King City 0 0 0 0 0
Unincorporated Area 37 3 0 0 40
City of Tigard 24 3 2 2 31
Total for May 76
Work Accomplished:
Durham
• Water Division personnel replaced a fire hydrant that was damaged by a
motor vehicle at 16075 SW Upper Boones Ferry Road.
• Water Division personnel responded to a few, less than five, requests for
routine pressure and meter problems. The most common meter problems
consist of determining whether or not a water leak actually exists on the
customer side of the meter.
King City
• Water Division personnel responded to a few requests for routine
pressure and meter problems within the city limits of King City
Unincorporated Area
• Water Division personnel performed meter maintenance in various
locations throughout the unincorporated area. This work involved
adjusting four water meters and the meter boxes to the proper grade;
replacing the concrete meter box covers on three meters; installing a
concrete traffic meter box; and replacing four water meters that were
stuck, broken, and fogged.
• Water Division personnel repaired three water services that were damaged
by other utility installations within newer subdivisions in the
unincorporated area.
• Water Division personnel relocated a fire hydrant and seven water services
on SW 139th Avenue, south of SW Bull Mountain Road, due to a conflict
with a new sidewalk that was required by Washington County after the
subdivision was completed. This completes the relocation work on SW
139th Avenue that began in April.
• Water Division personnel relocated five 5/8" x 3/4" meters,two 1" water
meters,three CARV's (combination air and vacuum release valve) and
one fire hydrant along SW Bull Mountain Road due to the City of Tigard
Bull Mountain Road Shoulder Improvement and Washington County
overlay project.
City of Tigard
• Water Division personnel installed two 2" water services on SW Sequoia
Parkway for the Office Depot site.
• Water Division personnel relocated a water meter on SW Falcon Rise
Drive and relocated two water meters on SW Mary Place due to conflicts
with driveway locations.
• Water Division personnel tapped the 8-inch water main from the#3
reservoir located on SW 135th Avenue, south of SW Walnut Street, for a
pressure sensor that will be installed in phase 2 of the SCADA program.
• Water Division personnel installed two 3/4" water services and one 1"
water service on SW Park Street for a single family residential
development.
• Water Division personnel removed one 3/4" and one 1" temporary water
services at the Durham Water Treatment Plant. These water services were
used during the construction of the plant expansion.
Water Consumption and Loss:
Total 100 cubic feet of water purchased or produced 234,887 ccf
Plus amount of water from storage during May and
consumption not billed in April 10,278 ccf
Total 100 cubic feet of water billed <140,100 ccf>
Net amount of water in storage < 12,000 ccfl
Amount of water consumed but not yet billed < 70,200 ccf5
Total Water loss 14,865 ccf 6.06%
Status Report:
Golden Valley Construction, Inc. of Salem, Oregon started construction Monday,
June 6, on the SW North Dakota Street 12-inch Transmission Main Project.
Handheld Meter Reading is proceeding very well and currently we are cross-training
two additional personnel to perform this task.
Classification interviews of the Water Staff were completed on Friday, June 3.
Coopers and Lybrand, Certified Public Accountants, have completed the audit of the
Southeast Washington County Joint Water Agency for the period of July 1, 1993 to
December 31, 1993. The final report was received on June 6. A presentation to the
IWB by Coopers and Lybrand will be scheduled at a later date.
Murray Smith and Associates, the engineering firm performing the Water Supply
Study, will give an informational update on the Water Supply Study at the IWB
meeting June 8.
July 1, 1994 is still the target date for combined sewer and water billings for city of
Tigard residents who are also within the Water Department's service area.
Complaint Summary:
We are still receiving inquiries from citizens about the joint sewer and water billing
system. Number of calls: 20 to 25 last month.
There is still some confusion regarding the way the water bill is calculated. The
confusion stems from both the minimum ccf for the billing period and the dollar
amount. The inconsistency is from the information on the back of the water bills and
the way the computer system is setup to apply the minimum. The computer bases its
calculations on a 61 day billing period. Number of inquiries: 5 to 8 last month.
We have received 4 to 5 calls regarding the construction of the 12-inch transmission
main on SW North Dakota. The callers stated that they were concerned with the
safety of the school children waiting for the school buses in the morning and their
return in the afternoon.
Operational Changes:
No major operational changes during the month of May.
MEMORANDUM
CITY OF TIGARD, OREGON
TO: Intergovernmental Water Board Members
FROM: Liz Newton, Community Involvement Coordinator
DATE: April 15, 1994
SUBJECT: DRAFT Bylaws
Attached is a revised copy of the DRAFT IWB Bylaws. The section on
Voting and Motions has been clarified to reflect that a majority
vote of the Board is necessary to pass motions.
I have ordered five copies of the pamphlet on Conflict of Interest
from the Oregon Government Standards and Practices Commission. An
appropriate reference to that document will be included in. the
bylaws. In addition, a reference regarding Parliamentary Authority
will be added after the City Recorder makes a recommendation.
As I pointed out at your meeting on April 13, the Board may want to
consider their obligation to appoint a Chair-Elect in the event of
a mid-term resignation. The last paragraph on page one of the
DRAFT Bylaws require the Board to fill that vacancy at the next
available meeting. The Board may want more flexibility if there is
only two or three months left of the term.
If after discussion, the Board agrees to other modifications,
additions, or- deletions, the changes will be made and presented to
the Board prior to adoption. If no additional revisions are
necessary, staff will present the final version for adoption.
INTERGOVERNMENTAL WATER BOARD
DRAFT BYLAWS
REVISED APRIL 15, 1994
ARTICLE I: Name of Organization
Intergovernmental Water Board
ARTICLE II: Mission
The Cities withdrew from the original District with
intent to take a more active role in planning and
operating a domestic water supply system for the
Southeast Washington County area in order to
provide the residents of that area with the highest
quality water service at the lowest possible cost.
In keeping with that intention, the Parties to this
Intergovernmental Agreement commit to working
together to provide all of the residents and
undeveloped property in the original District with
a clean, economical water supply. The Parties
further commit to working together and with other
agencies and jurisdictions in a cooperative effort
to plan for the future long term water supply needs
of the area.
ARTICLE III: Members
The Intergovernmental Water Board (IWB) will
consist of five members. Members of the Board will
be appointed by the respective governing bodies as
follows:
Tigard - One Member
King City - One Member
Durham - One Member
District/Unincorporated Area - One Member
At Large - One Member selected by a majority
vote of the Other Members.
ARTICLE IV: Officers
The Intergovernmental Water Board shall elect a
Chair and Chair-Elect from its' members. Election
of the Chair-Elect shall be held the first meeting
of each calendar year. The Chair-Elect shall serve
one calendar year in that position and become Chair
the first meeting of the next calendar year.
In the event of a resignation of the Chair, the
standing Chair-Elect shall become Chair on the
effective date of the resignation of the Chair.
(� The new Chair shall serve the remainder of the
vacating Chair's term. The new Chair's one year
term shall commence at the first meeting of the
next calendar year.
In the event of a resignation by the Chair-Elect,
an election to fill the unexpired term shall be
held at the next available meeting.
Duties of the Chair:
Presides over the deliberations of the Board.
He/She votes on all questions brought before the
Board.
Has the authority, with consent of Board Members in
attendance, to place time limits on visitor
comments.
Is recognized as the spokesperson for., Board actions
and activities.
Reviews and approves meeting agendas set by Board
prior to the meeting.
Duties of the Chair-Elect:
Presides over the Board in the absence of the
Chair.
Preforms other duties assigned to the Chair in the
absence of the Chair.
ARTICLE V: Meetings:
Meetings of the Intergovernmental Water Board shall
be held at a regular time and place set by the
members. Meetings of the Intergovernmental Water
Board are subject to the open meetings law and are
open to the public. Only issues covered under ORS
192.660 may be discussed in Executive Session.
Quorums:
A majority of 3 members shall be considered a
quorum to conduct business. Duly appointed
Alternates count as Members for purposes of
establishing a quorum. In the event that the
elected Chair and Chair-Elect are both absent, the
Members in attendance shall elect a pro-tem Chair
for that meeting.
Agendas:
At the end of each Board meeting agenda, sufficient
time shall be allocated to set the agenda for the
next meeting. Agendas shall be reviewed and
approved by the Chair prior to mailing. . Agendas
and supporting material shall be mailed to Board
Members one week prior to meetings. Information
for last minute agenda items shall be distributed
to Board Members at least 48 hours in advance of
meetings. Only true emergencies may be brought
before the Board without at least 48 hour notice.
Meeting Notice:
Notice of all Board meetings must be posted at
least three days prior to the meeting in the
following locations:
Tigard City Hall
King City City Hall
Durham City Hall
Tigard Water Building
In addition, Notice of all meetings of the Board•
must be published in the Tigard Times at least
three days prior to each meeting.
Public Comment:
There shall be time set aside on each regular
meeting agenda for Visitors to address the Board on
any topic related to the Board's duties. Visitors
will be asked to limit their comments to five
minutes. In addition, the Board may ask for Public
comment on specific issues under consideration.
The Board reserves the right to place time limits
on speakers.
Voting and Motions:
Each Board Member shall be allowed one vote. Any
members may make and second motions. Motions shall
be addressed to the Chair. All seconded motions
shall be voted on by the Board. The Chair may ask
for unanimous consent if the motion is not debated
or discussed. A voice vote shall be the usual
method of voting. For adoption, motions require a
majority vote of the Board Members (3 affirmative
votes) . in the event of a tie, any member may ask
for reconsideration of the motion. The motion
fails if the second vote is a tie.
Minutes:
Staff shall be assigned to record and transcribe
minutes of all Board meetings. Prepared minutes
shall be considered "draft" until approved by
majority vote of the Board at a regular meeting.
The Chair shall sign minutes acknowledging Board
approval.
Parliamentary Authority:
ARTICLE VI: Conflict of Interest
ARTICLE VII: Amendments
These Bylaws of the Intergovernmental Water Board
may be amended at any time by majority vote of the
members.
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SOUTHEAST WASHINGTON COUNTY
JOINT WATER AGENCY
REPORT ON AUDIT OF FINANCIAL STATEMENTS
AND SUPPLEMENTARY DATA
(Containing Audit Comments and Disclosures
Required by State Regulations)
for the six months ended December 31, 1993
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
DIRECTORS AS OF DECEMBER 31, 1993
Name Term Expires
Lynda Jenkins December 31, 1993
Paul Hunt December 31, 1993
John Schwartz December 31, 1993
Beverly Froude December 31, 1993
Clarence Nicoli December 31, 1993
Bob Tydeman December 31, 1993
Patrick Reilly December 31, 1993
ADMINISTRATOR
Randy Volk (acting)
REGISTERED OFFICE
8777 S.W. Burnham Street
Tigard, Oregon 97223
LEGAL COUNSEL
George Mardikes Derryck H. Dittman
Davis Wright Tremaine Anderson&Dittman
2300 First Interstate Tower 8865 S.W. Center Street
Portland, OR 97201-5682 Tigard, Oregon 97223
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
TABLE OF CONTENTS
Page
REPORT OF INDEPENDENT ACCOUNTANTS 1
SECTION I-BASIC FINANCIAL STATEMENTS:
Balance Sheet 3
Statement of Changes in Agency Equity 4
Statement of Income 5
Statement of Cash Flows 6
Notes to Financial Statements 7
SECTION Il - SUPPLEMENTARY DATA:
Description of Budgetary Funds 12
Schedule of Revenues - General Fund 13
Schedule of Expenditures - General Fund 14
Schedule of Revenues and Expenditures - Systems
Development Fund 15
Schedule of Revenues and Expenditures - Capital Projects
Reserve Fund 16
Reconciliation of Revenues and Expenditures to the
Statement of Income 17
SECTION III- AUDIT COMMENTS AND DISCLOSURES
REQUIRED BY STATE REGULATIONS:
Introduction 18
Internal Accounting Control 19
Other Comments and Disclosures 19
CooPp`rs certified public accountants
Y
&L brand
REPORT OF INDEPENDENT ACCOUNTANTS
Board of Directors
Southeast Washington County Joint Water Agency
Tigard, Oregon
We have audited the accompanying balance sheet of Southeast Washington
County Joint Water Agency as of December 31, 1993, and the related statements of changes in
Agency equity, income and cash flows for the six months then ended. These financial statements
are the responsibility of the Agency's management. Our responsibility is to express an opinion
on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and the Minimum Standards for Audits of Oregon Municipal Corporations. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation. We believe that
our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in all
material respects, the financial position of Southeast Washington County Joint Water Agency at
December 31, 1993, and the results of its operations and its cash flows for the six months then
ended in conformity with generally accepted accounting principles.
1
Our audit was conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplementary data included in this report on pages
12 to 17, inclusive, are presented for purposes of additional analysis and are not a required part
of the basic financial statements of Southeast Washington County Joint Water Agency. Such
information has been subjected to the auditing procedures applied in the audit of the basic
financial statements and, in our opinion, is fairly presented, in all material respects, in relation to
the basic financial statements taken as a whole.
COOPERS &LYBRAND
By eeU44k 0 7- 4��
Brent A. Macey,a partner
Portland, Oregon
April 8, 1994
2
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SECTION I
BASIC FINANCIAL STATEMENTS
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SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
BALANCE SHEET
December 31, 1993
ASSETS
Current assets:
Cash and cash equivalents $ 3,711,838
Investments 102,875
Accounts receivable 478,869
Inventory of materials and supplies 110,664
Other current assets 13,006
Total current assets 4,417,252
Deferred compensation investments, designated for deferred compensation benefits 331,059
Utility plant in service, at cost,net of accumulated depreciation 20,872,627
$25,620,938
LIABILITIES AND AGENCY EQUITY
Current liabilities:
Accounts payable $ 129,352
Other accrued liabilities 96,485
Total current liabilities 225,837
Deferred compensation plan liability 331,059
Total liabilities 556,896
Agency equity.:
Contributed capital 24,762,704
Retained earnings 301,338
Total agency equity 25,064,042
$25,620,938
The accompanying notes are an integral
part of the financial statements.
3
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
STATEMENT OF CHANGES IN AGENCY EQUITY
for the six months ended December 31, 1993
Contributed Retained Total Agency
Capital Earnings Equity
Balances,July 1, 1993 $ 23,820,494 $ 23,820,494
Net income $ 301,338 301,338
Contributions 942,210 942,210
Balances, December 31, 1993 $ 24,762,704 $ 301,338 $ 25,064,042
The accompanying notes are an integral
part of the financial statements.
4
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
STATEMENT OF INCOME
for the six months ended December 31, 1993
Operating revenues:
Residential and commercial water service $ 1,901,774
Other 3,546
Total operating revenues 1,905,320
Operating expenses:
Labor and fringe benefits 459,433
Water purchased 713,436
Electricity and other utilities 75,452
Maintenance and repairs 60,011
Professional and engineering 74,068
General and administrative 39,048
Supplies 53,340
Less overhead and equipment usage expenses capitalized on line extensions (58,644)
Total operating expenses before depreciation 1,416,144
Operating income before depreciation 489,176
Depreciation expense 267,084
Operating income 222,092
Nonoperating income:
Interest income 59,189
Gain on disposal of utility plant 3,319
Miscellaneous income 16,738
79,246
Net income $ 301,338
The accompanying notes are an integral
part of the financial statements.
5
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
STATEMENT OF CASH FLOWS
for the six months ended December 31, 1993
Cash flows from operating activities:
Operating income $ 222,092
Adjustments to reconcile operating income to net cash provided by
operating activities:
Depreciation 267,084
Changes in assets and liabilities:
Increase in accounts receivable (15,997)
Increase in inventory (20,787)
Increase in other current assets (7,107)
Decrease in accounts payable (191,803)
Decrease in other accrued liabilities (1,967)
Increase in deferred compensation plan liability 33,813
Total adjustments 63,236
Net cash provided by operating activities 285,328
Cash flows from noncapital financing activities:
Other nonoperating income 16,738
Cash flows from capital and related financing activities:
Cash received on disposal of utility plant 3,319
Acquisition of utility plant (160,444)
Capital contributions 583,071
Net cash provided by capital and related financing activities 425,946
Cash flows from investing activities:
Interest 59,189
Investments purchased (1,820)
Increase in deferred compensation investments, net (33,813)
Net cash provided by investing activities 23,556
Net increase in cash and cash equivalents 751,568
Cash and cash equivalents, July 1, 1993 2;960,270
Cash and cash equivalents, December 31, 1993 $ 3,711,838
Noncash capital and related financial activities:
The Agency received$359,139 in fixed assets from developers.
The accompanying notes are an integral
part of the financial statements.
6
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
NOTES TO FINANCIAL STATEMENTS
1. The Agency and Summary of Significant Accounting Policies:
Organization and Operation
Southeast Washington County Joint Water Agency (the Agency), was formed on July 1, 1993
pursuant to ORS 190.003 to provide domestic water services to the cities of Tigard, Durham and
King City (the cities). The Agency assumed all the assets and liabilities, except for that related
to bonded indebtedness, as of July 1, 1993 from the Tigard Water District. The responsibility for
the payment of bonded indebtedness remained with the Tigard Water District. The Agency is
governed by a seven member Board of Directors, of which four members represent the City of
Tigard and one each represents the cities of Durham and King City and the Tigard Water
District. Effective January 1, 1994 the Agency's operations were assumed by the City of Tigard.
The Agency's accounts are maintained on the fund accounting basis required for budgetary
reporting. For financial reporting purposes its financial statements are presented as an operating
utility enterprise. The principal sources of working capital are revenues from water service and
contributions. Working capital is expended primarily for operations and additions to utility plant
in service.
Description of Reporting Entity and Basis of Accounting
The financial statements have been prepared on the accrual basis of accounting whereby
revenues are recorded at the time they are earned and expenses are recorded at the time liabilities
are incurred.
The Agency's financial statements include all activities and organizations over which the Agency
exercises oversight authority as demonstrated by financial interdependency and/or authoritative
appointment of governing authority. The Agency has no potential component units.
Cash Flows
For purposes of the statement of cash flows, the Agency considers all highly liquid investments
with an original maturity of three months or less when purchased and all amounts in pooled
accounts (including restricted assets)to be cash equivalents.
Investments
Investments and deferred compensation investments on the balance sheet are carried at cost plus
accrued interest, which approximates market value.
7
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
NOTES TO FINANCIAL STATEMENTS, Continued
1. The Agency and Summary of Significant Accounting Policies, Continued:
Accounts Receivable
The Agency accrues receivables for water service rendered, including unbilled service.
Substantially all accounts receivable for water service are either current or less than 30 days
delinquent and are considered collectible. Therefore, an allowance for uncollectible accounts has
not been provided. All accounts receivable balances are due from customers within the
Agency's boundaries.
Inventory of Materials and Supplies
The inventory of materials and supplies is stated at lower of cost or market on the first-in,
first-out basis.
Utility Plant in Service
Utility plant in service is stated at cost. Depreciation is computed on assets placed in service,
using the straight-line method, over their estimated useful lives as follows:
Buildings 33 years
Supply and distribution lines 50 years
Wells,reservoirs and pump stations 10 to 40 years
Machinery and equipment 5 to 10 years
Normal maintenance and repairs are charged to operations as incurred. Expenditures for major
additions, improvements and replacements are capitalized. Upon disposition of such assets, the
accounts are relieved of the related costs and accumulated depreciation and resulting gains or
losses are reflected in income.
Contributed Capital
Contributed capital is comprised of meter installation and waterline hookup fees from customers,
and pipe installations by developers.
8
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
NOTES TO FINANCIAL STATEMENTS, Continued
2. Cash, Cash Equivalents and Investments:
The Agency is legally authorized to invest in the types of investments listed under Oregon
Revised Statutes Section 294.035. All of the investments held at December 31, 1993 are
allowable under this Section. Cash, cash equivalents and investments are comprised of:
Cash on hand $ 400
Cash in bank demand deposit accounts 238,180
State of Oregon Local Government Investment Pool 3,473,258
Total cash and cash equivalents 3,711,838
Investments - certificates of deposit 102,875
Deferred compensation investments . 331,059
Total cash,cash equivalents and investments $ 4,145,772
The carrying value of all investments held at December 31, 1993, approximates market value.
At December 31, 1993, the carrying amount of the Agency's demand deposits was $238,180 and
the bank balance was $244,096. Of the bank balance, $100,000 was covered by federal
depository insurance, $125,000 was collateralized with securities held by financial institutions in
the Agency's name and $19,096 was uncollateralized. Statutes require depository institutions to
maintain on deposit with a collateral pool manager securities having a value not less than 25% of
the outstanding certificates of participation issued by the pool manager.
The Agency's investment in the State of Oregon Local Government Investment Pool of
$3,473,258 at December 31, 1993 is not required to be categorized by risk in accordance with
Governmental Accounting Standards Board Statement No. 3 (GASB No. 3). The deferred
compensation investments of$331,059 at December 31, 1993 are held by an insurance company
in a pooled investment account and are classified in accordance with GASB No. 3 in Category 3.
GASB No. 3 requires categorization of investments to give an indication of the level of risk
assumed by the Agency. Category 1 includes investments that are insured or collateralized with
the Agency or its agent in the Agency's name. Category 2 includes uninsured investments for
which the securities are held in the Agency's name by the trust department of the financial
institution selling the security to the Agency. At December 31, 1993 the Agency has no
Category 1 or 2 investments. Category 3 includes uninsured investments for which the securities
are held by the financial institution selling the security to the Agency or by its trust department,
but not in the Agency's name. At December 31, 1993, all investments required to be categorized
are classified in Category 3.
9
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
NOTES TO FINANCIAL STATEMENTS, Continued
3. Utility Plant in Service,
Changes in these accounts are as follows!
Retirements Balances
Balances and December 31,
July 1, 1993 Additions Transfers 1993
Land $ 692,559 $ 692,559
Buildings 1,409,745 1,409,745
Improvements other than
buildings 23,614,049 $ 482,563 $ (9,556) 24,087,056
Machinery and equipment 1,400,683 37,020 1,437,703
27,117,036 519,583 (9,556) 27,627,063
Accumulated depreciation (6,496,908) (267,084) 9,556 (6,754,436)
$ 20,620,128 $ 252,499 $ $ 20,872,627
4. Retirement Plan and Deferred Compensation Plan:
The Agency assumed the responsibility of Tigard Water District's (the District) noncontributory
defined contribution retirement plan. The Plan covers all full time employees who have been
employed for a full six months or more by the Agency or District with a minimum age of 20-1/2
years and who have elected to be covered by the Agency's deferred compensation plan. Covered
payroll for the six months was approximately$269,000 of$451,000 in total payroll.
Under the defined contribution retirement plan, the Agency makes contributions to the Plan
totaling 10% of each participant's salary. Total employer contributions accrued and charged to
operations were $26,955.
The Agency assumed responsibility for the District's deferred compensation plan. The Plan
created in accordance with Internal Revenue Code Section 457, has eligibility requirements
identical to the Agency's defined contribution retirement plan. A percentage of the participant's
gross compensation, generally a minimum of 3% and a maximum of 25% or$7,500, is withheld
from the participant's gross compensation and remitted (usually quarterly) to an insurance
company. The amounts remitted are held on deposit, solely as the property of the Agency, and
become a general liability of the Agency to its employees whose rights are equal to, but no
greater than, the rights of other general creditors with respect to such amounts.
10
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
NOTES TO FINANCIAL STATEMENTS, Continued
4. Retirement Plan and Deferred Compensation Plan:
Deferred compensation assets are valued at the contribution amount, plus the net interest income
earned which approximates market.
5. Commitments:
The Agency has a twenty-five year agreement to purchase a minimum percentage of its total
water consumption from the City of Portland. A penalty is charged if the Agency does not
purchase at least the minimum amount. The minimum percentage is recalculated each year and
is based on a five-year moving average. For the six months ended December 31, 1993 the
minimum percentage amount has not been calculated. If the Agency made no water purchases
from the City of Portland for five successive years, the purchase commitment percentage would
decrease to zero.
The Agency has an agreement to purchase water from the City of Lake Oswego. A minimum
purchase of$75,000 per year is required under the agreement. The Agency's purchases from the
City of Lake Oswego totaled approximately $711,000 for the six months ended
December 31, 1993.
11
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SECTION II
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SUPPLEMENTARY DATA
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
DESCRIPTION OF BUDGETARY FUNDS
For financial reporting and operating purposes, management considers the Agency's activities as
those of a unitary enterprise operation and, as such, are reported in a single fund in the basic
financial statements. However, for budgetary and legal purposes, these activities are accounted
for in the funds described below:
General Fund
This fund accounts for the Agency's normal recurring operations. The primary source of revenue
is water service charges.
Systems Development Fund
This fund accounts for the development of water systems. The primary source of revenue is
meter installation charges.
Capital Projects Reserve Fund
This fund accounts for monies reserved for construction of a new reservoir. The primary source
of revenue is interest earnings.
12
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
GENERAL FUND
SCHEDULE OF REVENUES
for the six months ended December 31, 1993
Over(Under)
Budget Actual Budget
REVENUES:
Water service charges $3,232,300 $ 1,934,402 $(1,297,898)
Sewer service charges 30,000 (30,000)
Meter installations 225,700 260,977 35,277
Recovery of construction costs from developers and
others 98,400 43,766 (54,634)
Rebates from line extensions 2,000 (2,000)
Miscellaneous, interest and penalties 90,200 51,501 (38,699)
Sale of equipment 2,000 3,319 1,319
Rental income 2,100 1,701 (399)
Total revenues 3,682,700 2,295,666 (1,387,034)
BEGINNING FUND BALANCE AVAILABLE FOR
APPROPRIATIONS 2,000,000 2,188,411 188,411
$5,682,700 $ 4,484,077 $(1,198,623)
This schedule is prepared on a budgetary basis to conform with
the Minimum Standards for Audits of Oregon Municipal Corporations.
13
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
GENERAL FUND
SCHEDULE OF EXPENDITURES
for the six months ended December 31, 1993
Budgeted (Over)Under
EXPENDITURES: Qppro rias tions Actual Budget
Personal services:
Administrator $ 77,981 $ 7,330 $ 70,651
Foreman 56,261 28,563 27,698
Crewmen 330,029 161,060 168,969
Other field labor 60,000 15,625 44,375
Shop labor 45,752 22,706 23,046
Bookkeeper 39,555 20,082 19,473
Office manager and office help 145,103 60,207 84,896
Overtime 30,519 18,874 11,645
Pension plan contributions 68,000 28,263 39,737
Medical,vision,dental,life and disability insurance 92,000 42,794 49,206
Payroll taxes 94.500 36.127 58.373
1.039.700 441.631 598.069
Materials and services:
Water purchased 1,454,000 713,436 740,564
Water costs-electricity 156,000 63,066 92,934
Maintenance and repair of lines and pumps 85,200 29,892 55,308
Meter maintenance and repair 28,800 12,948 15,852
Equipment rental 1,200 1,039 161
Insurance 38,000 38,000
Professional fees 137,500 74,068 63,432
Office supplies and expense 96,800 44,446 52,354
Utilities 33,700 12,386 21,314
Advertising and elections 31,700 4,812 26,888
Dues and subscriptions 13,000 9,802 3,198
Miscellaneous 21,200 7,504 13,696
Fire hydrant maintenance 26,300 6,039 20,261
Truck and equipment maintenance and repair 18,000 9,456 8,544
Gas and oil I8,000 7,395 10,605
Janitorial services 15,000 6,433 8,567
Tires and batteries 3,000 464 2,536
Small tools 6,000 1,034 4,966
Rain gear and first aid 9,000 2,590 6,410
Employee training 19,200 4,084 15,116
Repairs-smalI tools and equipment 3,500 1,678 1,822
Caterbury Shop expense 2,000 766 1,234
Training travel 6.000 2.006 3.994
2.223.100 1.015.344 1.207.756
Capital outlay:
Buildings and additions 10,000 10,000
Meter installations 108,500 70,433 38,067
Equipment and tools 288,500 37,020 251,480
Line extensions 251,610 17,922 233,688
Fire hydrants 3,000 3,000
Land and improvements to land 76,800 18,319 58,481
Public art program 2,700 2,700
741.110 143.694 597.416
Operating contingencies 305.000 305.000
Total expenditures 4,308,910 1,600,669 2,708,241
OTHER FINANCING USE:
Operating transfer to Capital Projects Reserve Fund 300.000 300,000
Total expenditures and other financing use 4,608,910 $-1,9-00
.,669 $ 2.708.241
UNAPPROPRIATED ENDING FUND BALANCE 1.073.790
Total $ 5.682,700
This schedule is prepared on a budgetary basis to conform with
the Minimum Standards for Audits of Oregon Municipal Corporations.
14
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
SYSTEMS DEVELOPMENT FUND
SCHEDULE OF.REVENUES AND EXPENDITURES
for the six months ended December 31, 1993
Over(Under)
Budget Actual Budget
REVENUES:
System development charges for meter installations $ 300,000 $ 322,094 $ 22,094
Interest 8,000 12,978 4,978
Total revenues 308,000 335,072 27,072
BEGINNING FUND BALANCE AVAILABLE FOR
APPROPRIATIONS 400,000 511,168 111,168
$ 708,000 $ 846,240 $ 138,240
Budgeted (Over) Under
Appropriations Actual Budget
EXPENDITURES:
Pipeline extensions $ 128,000 $ $ 128,000
UNAPPROPRIATED ENDING FUND BALANCE 580,000
Total $ 708,000
This schedule is prepared on a budgetary basis to conform with
the Minimum Standards for Audits of Oregon Municipal Corporations.
15
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
CAPITAL PROJECTS RESERVE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
for the six months ended December 31, 1993
Over(Under)
Budget Actual Budget
REVENUES:
Interest $ 10,000 $ 11,733 $ 1,733
OTHER FINANCING SOURCE:
Operating transfer from General Fund 300,000 300,000
Total revenues and other financing source 310,000 311,733 1,733
BEGINNING FUND BALANCE AVAILABLE FOR
APPROPRIATIONS 318,000 313,294 (4,706)
$ 628,000 $ 625,027 $ (2,973)
Budgeted
Appropriations
UNAPPROPRIATED ENDING FUND
BALANCE $ 628,000
This schedule is prepared on a budgetary basis to conform with
the Minimum Standards for Audits of Oregon Municipal Corporations.
16
SOUTHEAST WASHINGTON COUNTY JOINT WATER AGENCY
RECONCILIATION OF REVENUES AND EXPENDITURES
TO THE STATEMENT OF INCOME
for the six months ended December 31, 1993
Systems Capital
Development Projects
General Fund Fund Reserve Fund Combined
Revenues $ 2,295,666 $ 335,072 $ 11,733 $ 2,642,471
Expenditures 1,600,669 1,600,669
Excess of revenue over
expenditures $ 694,997 $ 335,072 $ 11,733 1,041,802
Salaries, materials and capital
outlay capitalized 160,444
Developers'contributions
capitalized 359,139
Depreciation (267,084)
Contributions:
Contribution of fixed assets
from developers (359,139)
Meter installations (583,071)
Decrease in unbilled water sales (32,322)
Increase in accrued vacation
payable (18,431)
Net income(page 5) $ 301,338
This schedule is prepared on a budgetary basis to conform with
the Minimum Standards for Audits of Oregon Municipal Corporations.
17
SECTION III
AUDIT COMMENTS AND DISCLOSURES
REQUIRED BY STATE REGULATIONS
.w
w
AUDIT COMMENTS AND DISCLOSURES
REQUIRED BY STATE REGULATIONS
Oregon Administrative Rules 162-10-050 through 162-10-320 of the Minimum
Standards for Audits of Oregon Municipal Corporations, prescribed by the Secretary of State in
cooperation with the Oregon State Board of Accountancy, enumerate the financial statements,
schedules, comments and disclosures required in audit reports. The required statements and
schedules are set forth in Sections I and II of this report. Required comments and disclosures
related to our audit of such statements and schedules are set forth following.
18
AUDIT COMMENTS AND DISCLOSURES
I. INTERNAL ACCOUNTING CONTROL:
In planning and performing our audit of the financial statements of Southeast
Washington County Joint Water Agency for the six months ended December 31, 1993, we
considered its internal control structure in order to determine our auditing procedures for the
purpose of expressing our opinion on the financial statements and not to provide assurance on
the internal control structure. Our consideration of the internal control structure would not
necessarily disclose all matters in the internal control structure that might be material weaknesses
under standards established by the American Institute of Certified Public Accountants. A
material weakness is a condition in which the design or operation of the specific internal control
structure elements does not reduce to a relatively low level the risk that errors or irregularities in
amounts that would be material in relation to the financial statements being audited may occur
and not be detected within a timely period by employees in the normal course of performing their
assigned functions. However, we noted no matters involving the internal control structure and its
operation that we consider to be material weaknesses as defined above.
This report is intended solely for the information and use of the Board of Directors,
management, others within the organization and the State of Oregon Secretary of State, Division
of Audits.
II. OTHER COMMENTS AND DISCLOSURES:
We have audited the financial statements of Southeast Washington County Joint
Water Agency as of and for the six months ended December 31, 1993, and our report thereon is
included on pages 1 and 2 of this report. Our audit was made in accordance with generally
accepted auditing standards and the Minimum Standards for Audits of Oregon Municipal
Corporations and, accordingly, included such tests of the accounting records and such other
auditing procedures as we considered necessary in the circumstances.
19
AUDIT COMMENTS AND DISCLOSURES, Continued
II. OTHER COMMENTS AND DISCLOSURES, Continued:
In connection with our audit, nothing came to our attention that caused us to believe
the Agency was not in compliance with:
• ORS 294.305 to 294.520 in the preparation and adoption of its budget for the six
months ending December 31, 1993,
• the cost accounting guidelines developed by the State of Oregon Executive
Department with regard to the Agency's cost accounting system,
• ORS 294.035 in the investment of public monies,
• ORS Chapter 295 in the collateral requirements for public fund deposits,
• ORS Chapter 279 in the awarding of public contracts and the construction of
public improvements.
However, it should be noted our audit was not directed primarily toward obtaining
knowledge of noncompliance with such requirements.
20
AUDIT COMMENTS AND DISCLOSURES, Continued
II. OTHER COMMENTS AND DISCLOSURES, Continued:
Additionally, we make the following other comments:
• We found the Agency's accounting records to be adequate for audit purposes.
• We reviewed the Agency's insurance and fidelity bond coverage at
December 31, 1993 and ascertained such policies appeared to be in force. We are
not competent by training to state whether the insurance policies, covering
Agency-owned property, in force at December 31, 1993 are adequate.
COOPERS & LYBRAND
By W�UG G
Brent A. Macey, a partner
Portland, Oregon
April 8, 1994
21
CITY OF TIGARD
MEMORANDUM OREGON
CITY OF TIGARD, OREGON
TO: Intergovernmental Water Board Members
FROM: Ed Wegner
DATE: July 29, 1994
SUBJECT: Reschedule of 8-13-94 IWB Meeting
After speaking with Murray Smith and Associates and per my
telephone conversation with Chairperson, Peggy Manning, we have
decided to reschedule the regular business meeting of the IWB from
August 13 , 1994 until August 17, 1994.
The firm of Murray Smith and Associates needed some additional time
to prepare their report and they will be in attendance at the
August 17, 1994 meeting to provide that information to the Board.
If you have any questions, feel free to contact me at 639-4171,
extension 396.
kathyM wb\reached
13125 SW Hall Blvd., Tigard, OR 97223 (503) 639-4171 TDD (503) 684-2772
yon rrAO,,lw -' sena
�w��d t6 C.'C'i�
?p Sw
S ' .7 F�14
REGIONAL WATER SUPPLY PLAN
Portland Metropolitan Area
June 22 , 1994
PARTICIPATING
WATER
PROVIDERS
Mr. Ed Wegner
City of Beaverton City of Tigard Water Department
Canby Utilities Post Office Box 230000
Board Tigard, Oregon 97281-1999
Clackamas Water
District Dear Mr. Wegner:
City of Gladstone
Clairmont Water Attached you will find the most recent version of the
District policy objectives piece that we have been working on
Damascus Water for the Regional Water Supply Plan project . The goal
District at this point would be to share this document with your
City of Fairview policy bodies and elected officials as you deem
City of Gresham appropriate to get their feedback, thoughts, comments,
City of Hillsboro, suggested revisions, additions . The piece can be used
"'ilitiesCommission to provoke some thinking about water supply issues from
'qty of Forest Grove P g pp y
City of Lake Oswego your own jurisdiction' s perspectives . The objectives
City ofMilwaukie can be used to stimulate discussion about the
Mt.Scott Water objectives themselves as a statement of the important
District issues regarding water supply and to hone in on those
Oak Lodge Water issues that are of particular concern to your decision
District makers and stakeholders .
City of Portland
Raleigh Water The policy objectives are very important to the
District completion of the Phase 2 planning process because they
Rockwood Water will be used to guide the formulation of integrated
City of Sandy
City of Sherwood strategies y water supply strate ies and will form the basis of
South Fork Water measurable evaluation criteria against which future
Board, water resource strategies will be assessed. In many
(City of Oregon City ways, the policy objectives are the "engine" that
City of West Linn) drives the planning process .
Tigard Water Dist.
City of Troutdale The policy objectives are meant to represent the
City of Tualatin range of values held throughout the region not a
Tualatin Valley statement of consensus . Therefore, some will be
Water District complementary while others will compete or may actually
West Slope Water in conflict with each other (in terms of satisfying them
District y g
City of Wilsonville to varying degrees) . The idea for this piece was to
City of Wood Village represent what citizens, stakeholders, as well as water
providers believe to be important in how this region
meets its future water supply needs . It is
Regional Water Supply Plan Project, 1120 S.W.5th#601,Portland, Oregon 97204-1926 (503)823-7528
Participants Committee
Regional Policy Objectives
June 20, 1994 Page 2
important that this set of objectives represent as broad a
range of views as exists in the region. Otherwise, we risk
not addressing legitimate concerns which we will have to
address later, after we have completed most of the work.
For that reason the policies have been formulated based on
not only the expertise of the water provider participants
but also the feedback gained from the last couple of years
in reaching out to other stakeholder groups.
The Steering and Participants Committees have engaged in an
intensive collaborative process to develop this set of
policy objective statements . This process has also
incorporated the input of the Water Services Leadership
Group and some other advisory bodies specific to this
process. The policy objectives have gone through many
iterations, which has resulted in a much better focus on
what is truly important to the region in evaluating
alternative resource strategies .
Some of you have already begun to share these objectives
with your decision making bodies. Now is the time to engage
whatever groups, individuals, or bodies that you feel is
appropriate. The intent would be to use this set of
objectives to stimulate discussion about both the objectives
themselves as a statement of the range of values regarding
water supply issues and to hone in on those values that are
of particular concern to your decision makers and
stakeholders. Any suggestions for revisions or additions to
the policy objectives should be given to either myself or
Gary Fiske and once these are compiled the Steering
Committee will recommend changes to the Participants
Committee. We would like to complete this review pr-ocess==by
September of this year. �-
Sincerely Yours,
S J-J'�
Lorna Stickel
Project Manager
Attachments
�i1rr+;
ENVIRONMENTAL IMPACTS
■ Minimize the impact of water resource development on the natural and human
environments. For purposes of discussion and analysis, the distinction between
the two-is described as follows:
The natural environment includes but is not limited to the following areas:
- Fisheries
- Wetlands
- Threatened & endangered species
- Wildlife
- Water quality
- Geotechnical hazards
The human environment includes but is not limited to the following areas:
- Cultural and historic resources
- Land use compatibility for facility siting
- Recreation
- Scenic resources
- Hazardous waste and waste discharges
NOTE: All of these impacts are those that remain after mitigation efforts. The
cost of environmental mitigation will be reflected in the "economic
costs" policy area.
GROWTH
■ Be consistent with Metro's regional growth strategy and local land use plans.
FLEXIBILITY TO DEAL WITH FUTURE UNCERTAINTY
■ Maximize the ability to anticipate and respond to unforeseen future events or
changes in forecasted trends.
liwwl
3