Board Meeting: April 27, 2020 ~4:00 P.M.
PERSONS PRESENT: Gary Winchester, Eric Wilmarth, Doug Dabbs, Lisa Woodruff, Harry Johnston, Nancy Martin, Barry Mansell, Tom Heard, David Kubala, Dwayne Fowler, Tom Roach, Wesley Banks, Corey Ghorley, Beth Jones, Garry Hensley, Clint Blackwell, Sharon Clark, Melanie Stephens, Mark Cochran, Rodney Satterfield, Gaye Blackwell, Greg Long, Jennifer Arp, Ryan Sarks, Joey Buice, Mike Venters, Eric Wright, Leo Baker, Jeff Hooper, Bryce Holcomb, and Brian Senne.
Gary Winchester, Chair, called the meeting to order.
1. AN INVOCATION WAS GIVEN BY ERIC WILMARTH.
2. BRYCE HOLCOMB OF CITI PROVIDED AN UPDATED REFUNDING ANALYSIS FOR THE AUTHORITY’S SERIES 2010, 2011 AND 2013 BONDS. Mr. Holcomb noted that under current market conditions, the Authority’s callable Series 2010 bonds produce approximately $5.2 million in present value savings (19.0%) assuming a tax-exempt current refunding. Mr. Holcomb also noted that under current market conditions, the Authority’s callable Series 2011 bonds produce approximately $186,000.00 in present value savings (4.4%) assuming a taxable advance refunding. Mr. Holcomb also noted that under current market conditions, the Authority’s callable Series 2013 bonds produce approximately $411,000.00 in present value savings (4.7%) assuming a taxable advance refunding.
Mr. Holcomb noted that he recommends that the Board move forward with the refunding of the Series 2010 and 2011 bonds at the May 2020 meeting, and cautioned that the Board may wish to further review the proposed refunding of the Series 2013 bonds at that time.
IT WAS THE CONSENSUS OF THE BOARD FOR MR. HOLCOMB TO PROCEED AND PROVIDE AN UPDATE CONCERNING THE PROPOSED REFUNDINGS AND BOND PRICING AT THE MAY MEETING.
3. COREY GHORLEY REQUESTED APPROVAL OF AN ENGINEERING BUDGET IN THE AMOUNT OF $230,300.00 FOR THE IT/LAB OFFICE BUILDING PROJECT FROM PRECISION PLANNING, INC. Mr. Ghorley noted that this project is listed as Item #11 under Construction Expansion/Upgrade on the Authority’s current CIP listing.
MOTION BY ERIC WILMARTH AND SECOND BY DOUG DABBS TO APPROVE THE ENGINEERING BUDGET IN THE AMOUNT OF THE $230,300.00 FOR THE IT/LAB OFFICE BUILDING PROJECT FROM PRECISION PLANNING, INC. All members voted for the motion.
4. COREY GHORLEY REQUESTED APPROVAL OF A CONSTRUCTION BUDGET IN THE AMOUNT OF $1,600,000.00 FOR THE ODOR CONTROL AT ROSE CREEK (PHASE 3) PROJECT. Mr. Ghorley noted that this project is listed as Item #6 under Construction Expansion/Upgrade on the Authority’s current CIP listing.
MOTION BY ERIC WILMARTH AND SECOND BY NANCY MARTIN TO APPROVE THE CONSTRUCTION BUDGET IN THE AMOUNT OF $1,600,000.00 FOR THE ODOR CONTROL AT ROSE CREEK (PHASE 3) PROJECT. All members voted for the motion.
5. COREY GHORLEY REQUESTED APPROVAL OF A CONSTRUCTION BUDGET IN THE AMOUNT OF $1,900,000.00 FOR THE BLANKETS CREEK CAPACITY EXPANSION PROJECT. Mr. Ghorley noted that this project is listed as Item #5 under Construction Expansion/Upgrade on the Authority’s current CIP listing.
MOTION BY DOUG DABBS AND SECOND BY LISA WOODRUFF TO APPROVE THE CONSTRUCTION BUDGET IN THE AMOUNT OF $1,900,000.00 FOR THE BLANKETS CREEK CAPACITY EXPANSION PROJECT. All members voted for the motion.
6. COREY GHORLEY REQUESTED APPROVAL OF PLATE SETTLERS VS. TUBE SETTLERS AT THE ETOWAH RIVER WATER TREATMENT FACILITY. Mr. Ghorley noted that this project is listed as Items #5&6 under Asset Replacement on the Authority’s current CIP listing.
Mr. Ghorley noted that the Etowah River Water Treatment Facility was originally constructed in 1986 and was expanded in 1996 and 2007. During the expansion in 2007, tube settlers with a stainless steel support system were installed in each of the sixteen sedimentation basins. Due to the age and condition of the tube settlers, they have reached the end of their design life and need to be replaced.
Mr. Ghorley further noted that to help address the tube settler improvements at the Water Treatment Facility, Freese and Nichols, Inc. was tasked by CCWSA to review and recommend alternatives to replace the existing tube settlers in eight of the sixteen sedimentation basins (Numbers 9-16). CCWSA plans to replace the tube settlers in two phases, both for budgetary control and to maintain plant operation during replacement.
Mr. Ghorley noted that to address the tube settler replacement in Sedimentation Basins Numbers 9-16, Freese & Nichols developed the following four options for feasibility evaluation and further discussion with CCWSA:
Option A – Remove and replace the existing tube settlers with traditional PVC tube settlers and reuse the existing support structure. (Initial Capital Cost of $872,000; 30 Year Life Cycle Cost of $2,706,000)
Option B – Remove and replace the existing tube settlers with “walkable” PVC tube settlers and reuse the existing support structure. (Initial Capital Cost of $1,089,000; 30 Year Life Cycle Cost of $3,357,000)
Option C – Remove and replace the existing tube settlers with walkable poly-propylene tube settlers and reuse the existing support structure. (Initial Capital Cost of $1,140,000; 30 Year Life Cycle Cost of $2,370,000)
Option D – Remove the existing tube settlers and support structures and replace them with plate settlers with an integral support system. (Initial Capital Cost of $1,542,000; 30 Year Life Cycle Cost of $1,632,000)
Mr. Ghorley noted that although Option D has the most expensive up-front capital cost, it is cheaper in the long term due to the 30-year life expectancy. Options A, B & C would have to be replaced two or three times over the course of 30 years due to either a 10 or 15-year life expectancy. Therefore, staff recommends approval of Option D.
MOTION BY ERIC WILMARTH AND SECOND BY BARRY MANSELL TO APPROVE OPTION D, ALONG WITH THE ORIGINAL TIMELINE FOR COMPLETION OF TWO YEARS. All members voted for the motion.
7. TOM ROACH REQUESTED BOARD CONSIDERATION TO RATIFY STAFF’S RECOMMENDATION TO APPROVE JP MORGAN’S REQUEST TO TERMINATE THE 1995 MBIA REINVESTMENT AGREEMENT BY A PAYMENT TO THE AUTHORITY OF $380,000.00.
MOTION BY NANCY MARTIN AND SECOND BY DOUG DABBS TO RATIFY STAFF’S RECOMMENDATION TO APPROVE JP MORGAN’S REQUEST TO TERMINATE THE 1995 MBIA REINVESTMENT AGREEMENT BY A PAYMENT TO THE AUTHORITY OF $380,000.00. All members voted for the motion.
8. MOTION BY BARRY MANSELL AND SECOND BY LISA WOODRUFF TO APPROVE THE 2/24/20 BOARD MEETING MINUTES AS PRESENTED. All members voted for the motion.
9. MOTION BY DOUG DABBS AND SECOND BY LISA WOODRUFF TO APPROVE THE 3/26/20 WORK SESSION MINUTES AS AMENDED. All members voted for the motion.
10. BETH JONES PRESENTED THE FINANCE REPORT. Mrs. Jones reported that total operating revenues are approximately $1,883,445.00 above budget projections for the period ending 2/29/20. Mrs. Jones reported that total operating expenses are approximately $383,249.00 below budget projections for the same period. Mrs. Jones reported year-to-date net income of $5,871,932.00 for the period ending 2/29/20.
11. CLINT BLACKWELL PRESENTED THE WATER TREATMENT OPERATIONS REPORT. Mr. Blackwell reported an average daily treatment of 15.311 MGD for the month of March 2020 at the Etowah River Water Treatment Facility. Mr. Blackwell also reported that the Hollis Q. Lathem Reservoir is currently at full pool at 1189.3 ft. Mr. Blackwell reported a cumulative rainfall total of 67.35” for the past twelve months.
12. CLINT BLACKWELL NOTED THAT THE ETOWAH RIVER WATER TREATMENT FACILITY HAS RECEIVED THE GEORGIA ASSOCIATION OF WATER PROFESSIONALS PLATINUM AWARD FOR PERMIT COMPLIANCE DURING CALENDAR YEAR 2019.
13. MIKE VENTERS PRESENTED THE WASTEWATER TREATMENT OPERATIONS REPORT. Mr. Venters reported an average daily treatment of 3.8 MGD at the Rose Creek Wastewater Treatment Facility, as well as a total reuse monthly flow of 2.3 MG. Mr. Venters reported an average daily treatment of 4.8 MGD at the Fitzgerald Creek Wastewater Treatment Facility, and an average daily treatment of 0.375 MGD at the Riverbend Wastewater Treatment Facility.
14. MIKE VENTERS NOTED THAT THE FITZGERALD CREEK WASTEWATER TREATMENT FACILTY HAS RECEIVED THE GEORGIA ASSOCIATION OF WATER PROFESSIONALS PLATINUM AWARD FOR PERMIT COMPLIANCE DURING CALENDAR YEAR 2019. MR. VENTERS NOTED THAT THE ROSE CREEK WASTEWATER TREATMENT FACILITY HAS ALSO RECEIVED THE GEORGIA ASSOCIATION OF WATER PROFESSIONALS PLATINUM AWARD FOR PERMIT COMPLIANCE DURING CALENDAR YEAR 2019. MR. VENTERS FURTHER NOTED THAT THE RIVERBEND WASTEWATER TREATMENT FACILITY HAS RECEIVED THE GEORGIA ASSOCIATION OF WATER PROFESSIONALS GOLD AWARD FOR PERMIT COMPLIANCE DURING CALENDAR YEAR 2019.
15. JENNIFER ARP PRESENTED THE ENVIRONMENTAL REPORT. Mrs. Arp noted that no spills or overflows occurred during this reporting period.
16. DWAYNE FOWLER PRESENTED THE CONSTRUCTION REPORT. Mr. Fowler noted that the Hwy. 108 line extension project and the Mill Creek Bridge water main relocation project are complete at this time.
17. TOM HEARD PRESENTED THE GENERAL MANAGER’S REPORT. MR. HEARD NOTED THAT THE AUTHORITY IS CONTINUING TO OPERATE UNDER AN EMERGENCY MODIFIED OPERATIONS PLAN DUE TO THE ONGOING COVID-19 CRISIS.
18. TOM HEARD NOTED THAT THE AUTHORITY IS IN RECEIPT OF AN OPEN RECORDS REQUEST FROM MICHAEL MCCOY REGARDING TIMBER HARVESTING ON CCWSA PROPERTY. Mr. Heard noted that the Authority has responded to Mr. McCoy’s request, and has received a notice of appreciation from Mr. McCoy for staff’s professionalism and cooperation. Mr. Heard noted that Mr. McCoy has now requested that a trail system be reestablished on the Sutallee Trace property owned by CCWSA. Staff has referred Mr. McCoy to the Boy Scouts as the only approved trail builders on this property.
MOTION BY ERIC WILMARTH AND SECOND BY DOUG DABBS TO ADJOURN. All members voted for the motion.
