RUBA Community Status Report

Community Name: South Naknek


Community:

South Naknek

RUBA:

Yes

Staff:

Robert Madeson

Agreement:

No

DCA Region:

Dillingham

Agreement Date:

Region:

Dillingham

Exp Date:

Govt Type(s):

Tribal Council

Borough:

Bristol Bay Borough

Assessment Date:

5/30/2008

Population:

74

Active Community:

Yes

Date Updated:

10/2/2013


Community Sanitation Overview:

Individual water wells and septic systems serve the majority of the community; others use the piped water and sewer system. Roughly 30 homes are connected to the piped water and sewer systems. Two permitted landfills are available; one operated by the Bristol Bay Borough and one by a private fish processing company. Power lines cross the Naknek River 5 miles east of Naknek and connect to South Naknek.

RUBA Status
and Activities
this Quarter:

To date, ARUC has provided RUBA a monthly financial report and other documentation. The village council and the Alaska Native Tribal Health Consortium Alaska Rural Utility Collaborative (ARUC) reported to RUBA a jointly signed contract for ARUC to manage the water/sewer utility. RUBA continues to recommend a RUBA Assessment be conducted and will maintain contact with ARUC. The village council continues working with the Alaska Native Tribal Health Consortium (ANTHC) to plan upgrades to the public water/sewer system with a focus on improvements to the wastewater system.

 

Capacity Indicator: Finances

Essential Indicators:

Yes

All revenues and expenses for the utility are listed in the utility budget.

Yes

The utility has adopted a balanced realistic budget.

Yes

Monthly financial reports are prepared and submitted to the policy making board.

Yes

The utility is current in paying all water/wastewater electric bills.

Yes

The utility has on hand a year's adequate fuel supply or it has a financial plan to purchase an adequate supply.

Yes

The utility is receiving revenues (user fees or other sources) sufficient to cover operating expenses.

Sustainable Indicators:

No

The utility is receiving revenues (user fees or other sources sufficient to cover operating expenses and Repair & Replacement (R) costs.

No

YTD revenues are at a level equal to or above those budgeted.

No

YTD expenditures are at a level equal to or below those budgeted.

Yes

A monthly manager's report is prepared.

Yes

Budget amendments are completed and adopted as necessary.

Comment:

The FY 2013 water/sewer budget is balanced and realistic. Year to date revenue is $42,723 and year to date expenses is $42,203 Year to date revenues exceed expenses by $4230 with an overall collection percentage of 99%.

 

Capacity Indicator: Accounting Systems

Essential Indicators:

Yes

The utility has adopted a collection policy and actively follows it.

Yes

The utility bills customers on a regular basis.

Yes

An accounts receivable system is in place which tracks customers and reports past due accounts and amounts.

Yes

An accounts payable system is in place.

Yes

The payroll system correctly calculates payroll and keeps records.

Yes

A cash receipt system is in place that records incoming money and how it was spent.

Yes

The utility has a cash disbursement system that records how money was spent.

Sustainable Indicators:

Yes

A chart of accounts is used that identifies categories in a reasonable, usable manner.

Yes

Monthly bank reconciliations have been completed for all utility accounts.

Yes

The utility has a purchasing system that requires approval prior to purchase, and the approval process compares proposed purchases to budgeted amounts.

Comment:

ARUC bills customers consistently. ARUC operates under an agreement with the village council and a water/sewer ordinance that includes a collections policy. ARUC maintains a workers compensation policy and uses computerized accounting to monitor and track finances. ARUC maintains accounting records including accounts payable, receivable, and payroll under direction of a utility manager based in their central office in Anchorage. ARUC maintains a chart of accounts, reconciles bank accounts, and utilizes a purchasing system that requires approval prior to purchase.

 

Capacity Indicator: Tax Problems

Essential Indicators:

Yes

The utility has a system to accurately calculate, track, and report payroll tax liabilities.

Yes

The utility is current on filing tax reports.

Yes

The utility is current on making tax deposits.

Yes

If there are any past due tax liabilities or recorded tax liens, a lien release has been issued or a repayment agreement has been signed and repayments are current.

Comment:

On September 24, 2013 the Alaska Department of Labor (DOL) reported that South Naknek is compliant in meeting Alaska ESC tax obligations through June 31, 2014. On August 30, 2013 The Taxpayer Advocate deemed South Naknek compliant. ARUC uses accounting software to process payroll out of their Anchorage office. Currently South Naknek is not listed in The Small Community Tax Lien List.

 

Capacity Indicator: Personnel System

Essential Indicators:

Yes

The utility has a posted workers compensation insurance policy in effect.

Sustainable Indicators:

Yes

The utility has adopted and uses a Personnel Policy, which has been reviewed by an attorney, AML or Commerce for topics and language.

Yes

The utility has adequate written job descriptions for all positions.

Yes

The utility has adopted and follows a written personnel evaluation process that ties the job description to the evaluation.

Yes

The utility has an adequate written hiring process.

Yes

The utility has personnel folders on every employee that contain at least: I-9, Job Application and Letter of Acceptance.

Yes

The utility has a probationary period for new hires that includes orientation, job training/oversight, and evaluations.

Yes

The utility provides training opportunities to staff as needed and available.

Comment:

Workers compensation insurance coverage per the Division of Worker's Compensation web site verified South Naknek coverage is provided by Alaska Municipal League Joint Insurance Company and is active on September 30, 2013. ARUC abides by a comprehensive personnel policy, maintains personnel folders, utilizes a probationary period for new hires, and provides training opportunities to staff.

 

Capacity Indicator: Organizational Management

Essential Indicators:

Yes

The entity that owns the utility is known; the entity that will operate the utility is set.

Yes

The policy making body is active in policy making of the utility.

Yes

The policy making body enforces utility policy.

Yes

The utility has an adequately trained manager.

Yes

The utility has an adequately trained bookkeeper.

Yes

The utility has an adequately trained operator or operators.

Yes

The utility has adopted the necessary ordinances (or rules and regulations) necessary to give it the authority to operate.

Sustainable Indicators:

Yes

The utility has adopted an organizational chart that reflects the current structure.

Yes

The policy making body meets as required.

Yes

The utility complies with the open meeting act for all meetings.

Comment:

ARUC oversees water/sewer utility management with the village council through a written, contractual agreement signed by the South Naknek Village Council and ARUC in October 2008. ARUC provided RUBA a water/sewer ordinance reported to have been adopted by South Naknek's village council. ARUC manages customer billing and enforces collections. Utility staff is trained and receives training opportunities.

 

Capacity Indicator: Operation of Utility

Essential Indicators:

Yes

The utility operator(s) are actively working towards necessary certification.

Yes

The utility has a preventative maintenance plan developed for the existing sanitation facilities.

Sustainable Indicators:

Yes

The manager receives a monthly O&M report from the utility operator and routinely "spot checks" the facilities to see that the maintenance items are being completed.

Yes

The utility has a safety manual and holds safety meetings.

Yes

Utility facilities have not suffered any major problems/outages due to management issues that are unresolved.

Yes

The utility is operating at the level of service that was proposed.

Yes

The operator provides status reports to the manager on a routine basis.

Yes

The utility has completed and distributed its "Consumer Confidence Report".

No

The utility is not on the "Significant Non-Complier" (SNC) list.

Yes

The utility maintains an inventory control list.

Yes

The utility maintains a critical spare parts list.

Comment:

According to the Alaska Department of Environmental Conservation operator database; the primary water operator is certified for Water Treatment OIT, Water Distribution OIT. The utility maintains a basic preventative maintenance plan. The current operations manual includes schedules for critical tasks and parts. Currently South Naknek is not listed in the Significant Non-Complier (SNC) list.

RUBA Activities for the Coming Quarter:

RUBA will maintain contact with the ANTHC Alaska Rural Utility Collaborative and provide assistance upon request. RUBA continues to recommend a RUBA Assessment to be conducted and will maintain contact with ARUC.