Lakeland Regional Sewer District – August 21, 2024 Regular Meeting Minutes
CALL MEETING TO ORDER / REPORT OF MEETING NOTICE PROVIDED
Lakeland Regional Sewer District (LRSD) Board of Trustees met at the District’s Administration Office, 5002 East 100 North, Warsaw, Indiana. The monthly general meeting date and time were posted and advertised as required and was called to order at 6:00 PM by Jim Haney.
Present: Jim Haney, Mike DeWald, Joe Cleland, Cullen Reece, Mark Koehler, Jack Bonewits, Rosa Ritchie
Absent: n/a
PUBLIC COMMENT PERIOD Greg Stump of 3466/3468 N 650 E was in attendance to question the EDU count and capacity charges for his new duplex. Mr. Stump indicated that when he completed his permit application in January 2023, he was told that it would only be one EDU and one capacity charge because it was only one grinder station and connection. The connection is now inspected and approved for use and Mr. Stump was notified that it would be billed at two EDU’s and for two capacity charges.
There were no others in attendance for public comment, so the public comment period was closed.
Motion by Jim Haney to take up Mr. Stump’s inquiry; second by Joe Cleland.
Motion carried by voice vote of: 7 Yeas; 0 Nays; 0 Abstains
EDU AND CAPACITY CHARGE INQUIRY – 3466/3468 N 650 E
Jim Haney questioned Mr. Stump if he had anything in writing to document that he was told he would only be charged one EDU and one capacity fee? Mr. Stump stated that he did not; it was verbal from Greg Gear. Andy Boxberger (Carson LLP) clarified that the Rate Ordinance update which was effective January 1, 2023, had no impact on this subject matter. The Rate Ordinance is clear that apartments or duplexes are to be charged one EDU for each unit; and it is also very clear that each EDU is to be charged one capacity fee. Mr. Stump reiterated that he only purchased one station and has one connection for the duplex. Examples were provided of two neighbors sharing one grinder station, but each property owner pays for service. Mr. Stump acknowledged the need to pay for two EDUs however, requested to only have to pay for one capacity fee. Jim opened the floor to entertain a motion regarding Mr. Stump’s request.
Motion by Jack Bonewits to reduce Mr. Stump’s capacity charge to one unit ($1042), however, there was no second.
Motion failed; Mr. Stump’s request is denied.
APPROVAL OF PREVIOUS GENERAL MEETING MINUTES
A draft of the July 17, 2024 regular meeting minutes was submitted to all Board members via email on July 22, 2024. The final version was posted on Boardable.
Motion to approve by Joe Cleland with second by Mark Koehler.
Motion carried by voice vote of: 6 Yeas; 0 Nays; 1 Abstain
TREASURER’S REPORT AND OTHER FINANCIAL MATTERS Mike Dewald overviewed the Cash and Funds Balance Matrix – July 31, 2024 denoting the funds grand total of $2,581,639.
Mike DeWald overviewed the Management Cash Budget of January 1, 2024 through July 31, 2024
The following financial reports, prepared by O. W. Krohn & Associates, were presented by Mike DeWald: Unaudited Schedule of Cash Receipts and Disbursements; Monthly Analysis of Funds Balances; and Monthly Analysis of Cash and Investment Accounts.
Motion to approve by Jim Haney with second by Joe Cleland.
Motion carried by voice vote of: 7 Yeas; 0 Nays; 0 Abstains
The Monthly Claims Approval form of August 2024 was reviewed by Lichelle Parker.
Motion to approve the payment of monthly claims grand total of $68,706.19 by Jim Haney with second by Mike DeWald.
Motion carried by voice vote of: 7 Yeas; 0 Nays; 0 Abstains
Board members affixed their signature approval to the Monthly Claim Approval Form.
Historically the Board has always reviewed and approved money being invested (CDs, Treasury bills, etc.) prior to Mike handling the transactions. Jim wondered if that step was needed, so reviewed the Bylaws. The Bylaws are clear that adding a new financial institution must come before the Board, however, it is a bit ambiguous about investing and transferring money. After some correspondence with Andy, Jim’s view is that if we are dealing with a Board approved financial institution, Mike should have the authority to transfer funds between bank accounts. Jim also asked the Board to consider giving Mike the authority to reinvest funds (as they mature), rather than them defaulting into a money market account until the Board meets to review and approve other investment options. The other Board members agreed that this process makes sense.
Motion by Jim Haney to provide Mike DeWald, as Treasurer of the District, the authority to invest funds into CDs or US Treasury Bills, provided he continues to use previously approved financial institutions, to invest those funds; second by Mark Koehler.
Motion carried by voice vote of: 6 Yeas; 0 Nays; 1 Abstain
ASTBURY MONTHLY REPORT
PUMP/PANEL INVENTORY, CUSTOMER PROTOCOL REMINDER
Astbury has reorganized their personnel structrure a little bit to separate the collection system staff/responsibilities from the treatment plant staff/responsibilities. This change should help with retention, recruiting, and allowing operators to focus on their specialties.
Tom Astbury introduced:
Aaron Burris, Head of Collection System division
Tim Hare, Lakeland Treatment Plant Operator
Matt Rippey, Oversee Lakeland
Kevin Sochocki, Billing operations
Josh Denlinger, Certified Operator
Jim requested an organizational chart for the personnel that supports the day-to-day District activities.
The LRSD Treatment System Operations Treatment System Operations Report of August 18, 2024 was emailed to Board members by Astbury Water Technology, Inc. Tom and other Astbury personnel fielded questions from the Board members regarding the report content.
Tom noted that although the CBOD levels were elevated, there was not an exceedance over the permit limit for the month. Tim and Matt clarified that samples are taken three times per week, so the monthly number will be based on 12-15 samples depending on how the month falls. Accumulated algae – that was not visible, but in the water — could have been a factor in the elevated levels, or Tim noted that because this is a closed collection system, something could have entered the system that caused it to react as it did. Tim stated that treatment plants are very complex both biologically and chemically and it is hard to nail down the exact cause of the spike, but the system has recovered and is operating normally again.
Jim also noted the elevated Total Suspended Solids (TSS) number and questioned what caused it to spike also? Tim clarified that it is tested three times per week as is the CBOD, and stated that algae could be the culprit with this also. CBOD and TSS usually track together; if one is elevated, the other will be also.
The July 6, 2024 inflow was very high and Jim questioned if that was a record. Mike DeWald pulled up July 2023’s inflow and it was a little bit higher.
Astbury fielded questions and provided responses on several work orders:
#244570 – Joe questioned the lift station start up process after a loss of power, such as occurred in July. Matt stated that when the power goes out and the generators run, sometimes that creates a fault in the soft start. Astbury receives alarms from SCADATA when this happens and there is a button to reset them.
Tim advised that since the stations now have fiber ran to them, the communication capabilities are much better and there is the possibility that Astbury could have remote access to reset the stations. This option would have cost considerations and DIZ would likely need to review as well.
#244376 – At that time, there were several power outages in the area, including a transformer in the area, so Astbury is assuming that caused both breakers to trip.
#244651 – Work order noted that sewage was backing up into the residence. There actually was not sewage backing up, they were having trouble with their toilets not flushing.
#244654 – Comment on work order indicated that it appeared no one lived at residence and the operator left the power off. There were four work orders relating to one event (#244651, 244652, 244653, & 244654). The situation was resolved and power was not left off. Tom noted that there are a few newer employees and there will be some discussion on the details and wording that should be included in work orders to properly document the situation and corrective action.
#244427 – Noted that there was an alarm at Lift Station #3, but when the operator arrived, the station was operating properly and there were no issues detected. Matt believes that it was a glitch triggering the high alarm.
#244590 & 244591 – Call-outs on two consecutive days regarding faulty wiring. During the first visit, the operator found that there was no neutral at the lift station; he tightened everything up in the panel and it started working so he thought it was corrected. However, there were additional problems and the next day the problem was traced back to the conduit that came out of the house where the neutral wire was loose. When it lost connection, it created the problem. The wiring issue was potentially caused when homeowner had house resided, but has been corrected.
#244363 – Comment on work order included that the homeowner was told they needed to have their lateral, which was full of rocks and gravel, cleaned and then clean the grinder station to prevent any further damage. Was this completed? By who and when? At whose expense? If not done, when will it be done? Matt will need to research and provide follow up information to the District on this work order.
#244425 – Damage was noted to the basin rim. Has this been repaired and was Lichelle notified? Matt will research and follow up.
#244429 – Indicated that the lid lock and lid lock fitting were missing. Jim questioned if the property owner caused the issue? Matt will research and follow up.
#244567 – Note on work order indicates that it needed followed up on. Matt stated this was a discharge diaphragm issue and has been followed up on.
#244647, 244648, 244649 – This issue spanned three days and Jim wondered why it took so long. Matt stated that a newer employee responded to the call; he misdiagnosed the problem which extended the issue and did not follow proper procedures.
#244650 – The comment in the work order stated that there were no washers on the flange and Jim questioned if Astbury knew why that would be. Perhaps steel washers were used and they rusted and fell off.
Jim requested that page numbers be added to the work orders exhibit, so the work orders can be found more easily when questions are asked about specific ones.
In the inventory section, Joe questioned the inventory levels for the float trees-(4) floats and contactors, as both were below the minimum quantity on hand and neither indicated any were on order. Lichelle noted that the float trees were received on the day of or after the inventory had been done. Astbury confirmed that contactors had also been ordered.
Joe questioned the section in the recent IDEM letter pertaining to wastewater utilities performing cybersecurity vulnerability assessments. Kevin Sochocki stated that since our systems are all stand alone, (none are networked), the District does not really have any vulnerabilities. If the District chose to move towards networking the lift stations, as was mentioned earlier, that could then open some of those vulnerabilities that would need to be evaluated and addressed. Jim questioned if we could obtain a document from SCADATA and AeroMod to have in our file to show to IDEM that we have evaluated and do not have any vulnerabilities. Tim will be responsible for completing requesting and ensuring the District has proper documentation that no vulnerabilities are currently present.
Cullen Reece questioned where Astbury was at with reviewing Type II stations to ensure that the alarm has power. A couple meetings ago, it was mentioned that there had been a few instances where operators had found the alarm was not powered because the alarm is only tied to one side. Casey stated that the control panel would need to be refigured to change that.
IDEM was on-site August 7, 2024 for a Compliance Evaluation Inspection. The report from the visit indicated that the 8 maintenance related overflow events warranted a marginal rating. Comments in the Astbury Operations report alluded that the quantity of self-reporting of overflows was not an issue due to their minor nature and proper handling. Jim requested clarification on this statement because after reviewing our IDEM permit, he did not see anything that allowed us any latitude to not self-report an overflow based on the minor size of it. The District’s stance is that any spill should be reported. Matt Rippey stated that there is some subjectivity quantifying how much is involved in an actual spill, but also some common sense needs to be used. If the operator arrives at a station that is full and/or just starting to leak out of the lid, but there is no standing/ponding water, they must make a call if that constitutes an overflow. The new matrix that IDEM uses, is difficult for a district like Lakeland who has a smaller inflow of gallons, placing us in the minor collection system category, but a lot of lift stations, or areas where an overflow could occur. Matt feels that is why the inspector noted that although there were 8 spills, which could have rated unsatisfactory, most of them were minor in nature, so she rated it as marginal instead. Tim suggested reaching out to IDEM for clarification on how many gallons constitutes a reportable overflow; it was suggested waiting until the next inspection and raising this question with the inspector at that time. Matt also noted that the inspector clarified that if a spill is caused by the property owner’s plumbing/lateral, that it was not reportable. The inspector suggested keeping documentation of the details of what happened within file, but we do not have to file an overflow report with IDEM. Tim also suggested taking pictures and documenting additional details for our file to present to the inspector if/when needed.
The parts have been shipped for the fine screen replacement, but have not been received yet. Tim and Matt will ensure the technician is scheduled and the project is completed.
Jim questioned the status on the extra pump for the lift stations. Matt indicated that he was following up this issue with HP Thompson. The pump had been sent out for warranty work and when it was received back, the 17’ cable had a slice in the insulation. It is difficult to determine how or when this cut happened and HP Thompson has not committed to repair it at no cost yet.
Tim will be coordinating with Aeromod to schedule them to program the digester.
Astbury’s report noted that they will be experimenting with Ferrous Sulfate as a replacement for Ferric Chloride. Jim stated that he would like to see some cost analysis to understand what opportunity there might be before much time is invested in experimenting with it. Tom believes that there is a potential to save 50%, but will work on supplying details for this claim.
INDEPENDENT CONTRACTOR COMMITTEE
Nothing to report.
ENGINEERING UPDATE
There were several items Casey addressed this afternoon with Lichelle which should clear up all outstanding items.
Casey is continuing to work with Andy and Lichelle to update the District’s permit and forms packet. The vacate permit is next on the agenda to review.
The DLZ contract has a $10,000 ceiling for which they cannot charge beyond without Board authorization; that max has now been reached. Jim confirmed that DLZ was willing to move forward until next meeting when the Board can consider increasing the cap amount. Casey estimated that about 1/3 of their services this year have been plan reviews, 1/3 have been meetings, and then the other 1/3 have been miscellaneous questions. Jim asked for DLZ to consider structuring the engineering agreement in the future so the plan reviews do not apply to the cap amount. Two items this year have contributed to the higher costs: the digester project and updating forms. Jim suggested looking at extending the cap this year by $8000-10,000. Jim will circulate something to the Board before the next meeting.
Jim also questioned what the District can do to help get some of the items returned a little timelier. Casey stated that the dilemma DLZ has, is that very few people have been part of the LRSD project from the start until now. When there are general questions about the system, Casey tries to handle them himself because with the historical knowledge he has, it will take him less time overall than handing it off to someone else. He will do better with responding to those. New plan reviews, he plans to let another engineer handle the main load of those with a brief review by him before being returned.
This past summer the property owner of 9 EMS B40D, put in new landscape timbers. Research seems to support that the landscape timbers were reinstalled in the same place as initially installed – they were not moved any closer to the grinder station. Since then, there has been difficulty located the curb stop to, 1 – ensure that it is not covered by the landscape timbers, and 2 – ensure that it was not damaged by the project or the stone in the driveway. Astbury’s locator has been unable to find it; he is questioning if perhaps the lid was taken off. Aaron will go out tomorrow to try again. Casey found an original install picture, however, did not see anything on the curb stop. Casey will also research further and ask John to see if he can remember.
PURCHASING UPDATE
As of when the claims report was created, there was one open PO to Kester’s to rebuild two pumps. Since that time, the pumps have been received back and an invoice has been issued.
Aaron confirmed to Jim that we are still testing the pumps before we send them to Kester’s.
RATE STUDY RECOMMENDATIONS
Section 16 of the District’s Rate Ordinance requires the District to perform a rate study at least every two years to ensure that the rates are just and equitable and also sufficient to cover the District’s ongoing costs. The ordinance states that the study can be done internally or the District can hire an outside firm. The most recent rate study was performed by Baker Tilly the latter part of 2022 and the rates increased as of January 1, 2023. Jim and Mike reviewed the 2023 and YTD 2024 financials and both believe that the current rates are 1 – just and equitable, and 2 – are sufficient to cover the District’s ongoing costs.
Motion by Jim Haney to 1 – utilize the review he and Mike did to serve as the required rate study, rather than hiring an outside firm, and 2 – to continue using the current rates and charges that are in effect, and 3 – confirm the next rate study must be completed when the Board deems appropriate, but no later than October 31, 2026; second by Mike DeWald.
Motion carried by voice vote of: 7 Yeas; 0 Nays; 0 Abstains
LAKELIFE GREASE SAMPLE RESULTS
During last month’s meeting the Board took action to assess a $500 fine for LakeLife exceeding the F.O.G. requirements as stated in the District’s Use Ordinance. Since then, there have been two additional instances. The samples taken on 7/26/2024 and 7/30/2024 both exceeded the District’s allowable limits. Carson LLP sent a letter to LakeLife’s attorney on July 29, 2024; however, no response has been received.
Motion by Jim Haney to fine LakeLife $2,500 for the exceedance on July 26 and $2,500 for the exceedance on July 31 – for a total of $5,000; second by Mark Koehler.
Joe questioned how the fine would be assessed. Jim recommended that Carson LLP send a letter notifying LakeLife of the fines, and the fines will be added to LakeLife’s account.
Some discussion was held on the amount of the fines.
Motion carried by voice vote of: 4 Yeas; 2 Nays; 1 Abstain
PROPERTY OWNER CONNECTION STATUS
Lichelle Parker reviewed the Property Owner Connection Status report, updated through August 16, 2024.
Jim Haney plans to attend the August 27, 2024 County commissioner’s meeting. He has been told that both non-connected properties will be on the agenda to discuss a commissioner’s sale: 4881 E Armstrong Rd and 42 EMS T9.
Andy (Carson LLP) confirmed that it would be beneficial to send the property owners of 3924 N 700 E a letter notifying them that due to a change in the Indiana Code, they are not required to connect to the system when their septic exempt permit expires.
OTHER ITEMS THAT MAY COME BEFORE THE BOARD
None.
ADJOURNMENT
Motion to adjourn meeting was made at 8:01PM by Jim Haney with second by Cullen Reece.
Motion carried by voice vote of: 7 Yeas; 0 Nays; 0 Abstains
Submitted to Board by Lichelle Parker, District Administrator
Reviewed by Board Secretary, Mark Koehler