Quarterly Report: 2014, January - March (Q3), Ninilchik

Community:
Ninilchik 
Staff:
Glen Hamburg  
DCRA Regional Office:
Anchorage regional office 
Gov't Type:
Community Non Profit 
Borough:
Kenai Peninsula Borough 
Agreement?
No 
Agreement Date:
 
Entity:
Ninilchik Village Townsite Association-INACTIVE 
Population:
855 2013 Department of Labor Estimate 
Assessment Status:
Assessment Completed 
Assessment Date:
9/27/2010 
Exp Date:
 
Last Updated:
3/14/2014 
Community Sanitation Overview:
Ninilchik lies on the west coast of the Kenai Peninsula on the Sterling Highway, about 40 miles southwest of the City of Kenai. The community lies within the Kenai Peninsula Borough but itself is not incorporated as a municipality. Instead, the non-profit Ninilchik Water and Sewer Association (NWSA) incorporated in 2008 under Title 10 of state statute to provide sanitation services in the area. The majority of homes in Ninilchik rely on individual wells or have water delivered. Two-thirds of all residences have individual septic systems and full plumbing; others use privies. The school operates its own well and water treatment facility. Many homes in this area are used only seasonally. There have been requests for funding to construct a piped sewer system for homes in the Old Ninilchik Subdivision where lots are too small for both individual wells and septic systems. Local bodies have expressed that they would like a public water source. A borough refuse transfer site is located in Ninilchik, at mile 138.5 of the Sterling Highway. 
RUBA Status & Activities This Qtr:
RUBA staff was not able to contact utility representatives this quarter directly. Nonetheless, RUBA staff sent invitations to utility management trainings to the Ninilchik Water and Sewer Association. Until up-to-date information concerning the management of the community's sanitation utilities is provided to RUBA staff, relevant indicators in this report have been marked 'No'. 
RUBA Activities for the Coming Qtr:
RUBA staff will be making additional attempts to contact utility representatives to propose conducting an updated on-site utility management assessment.
Scores:
 
Essential Indicators:
1 of 27
Sustainable Indicators:
1 of 27
Total Score:
2 of 54

Finances

Essential Indicators
Answer Question
No All revenues and expenses for the utility are listed in the utility budget.
No The utility has adopted a balanced realistic budget.
No Monthly financial reports are prepared and submitted to the policy making board.
No The utility is current in paying all water/wastewater electric bills.
No The utility has on hand a year's adequate fuel supply or it has a financial plan to purchase an adequate supply.
No The utility is receiving revenues (user fees or other sources) sufficient to cover operating expenses.
Sustainable Indicators
Answer Question
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.
No A monthly manager's report is prepared.
No Budget amendments are completed and adopted as necessary.
Finances Comments
No current information about the corporation’s financial management practices have been made available to RUBA staff. Indicators in this section have therefore been marked ‘No’.

Accounting Systems

Essential Indicators
Answer Question
No The utility has adopted a collection policy and actively follows it.
No The utility bills customers on a regular basis.
No An accounts receivable system is in place which tracks customers and reports past due accounts and amounts.
No An accounts payable system is in place.
No The payroll system correctly calculates payroll and keeps records.
No A cash receipt system is in place that records incoming money and how it was spent.
No The utility has a cash disbursement system that records how money was spent.
Sustainable Indicators
Answer Question
No A chart of accounts is used that identifies categories in a reasonable, usable manner.
No Monthly bank reconciliations have been completed for all utility accounts.
No The utility has a purchasing system that requires approval prior to purchase, and the approval process compares proposed purchases to budgeted amounts.
Accounting Systems Comments
No current information about the community’s accounting processes have been provided to RUBA staff, and therefore all relevant indicators have been marked 'No.'

Tax Problems

Essential Indicators
Answer Question
No The utility has a system to accurately calculate, track, and report payroll tax liabilities.
No The utility is current on filing tax reports.
No The utility is current on making tax deposits.
No 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.
Tax Problems Comments
RUBA staff has not been riven signed authorization to verify NWSA’s federal tax filings and deposits and the State’s Department of Labor and Workforce Development has not given clearance for the corporation’s employment security (ESC) tax filings and deposits either. Relevant indicators in this section have been marked ‘No’ until such conformation is received. The utility is not, however, listed in the November-Dcember 2013 Lien Watch report.

Personnel System

Essential Indicators
Answer Question
No The utility has a posted workers compensation insurance policy in effect.
Sustainable Indicators
Answer Question
No The utility has adopted and uses a Personnel Policy, which has been reviewed by an attorney, AML or Commerce for topics and language.
No The utility has adequate written job descriptions for all positions.
No The utility has adopted and follows a written personnel evaluation process that ties the job description to the evaluation.
No The utility has an adequate written hiring process.
No The utility has personnel folders on every employee that contain at least: I-9, Job Application and Letter of Acceptance.
No The utility has a probationary period for new hires that includes orientation, job training/oversight, and evaluations.
No The utility provides training opportunities to staff as needed and available.
Personnel System Comments
The Ninilchik Water and Sewer Association is not listed has having a valid workers' compensation insurance policy in effect, though it is not clear whether it has any employees necessitating such a policy. There is no evidence of other personnel system functions being in place.

Organizational Management

Essential Indicators
Answer Question
No The entity that owns the utility is known; the entity that will operate the utility is set.
No The policy making body is active in policy making of the utility.
No The policy making body enforces utility policy.
No The utility has an adequately trained manager.
No The utility has an adequately trained bookkeeper.
No The utility has an adequately trained operator or operators.
No The utility has adopted the necessary ordinances (or rules and regulations) necessary to give it the authority to operate.
Sustainable Indicators
Answer Question
No The utility has adopted an organizational chart that reflects the current structure.
No The policy making body meets as required.
No The utility complies with the open meeting act for all meetings.
Organizational Management Comments
RUBA staff confirmed on Mqarch 13, 2014 that NWSA is in good standing with the State’s Division of Corporations, Business, and Professional Licensing. However, no information, such as entity bylaws, meeting minutes, or staff certifications have been provided to show that a meaningful organizational structure has been established, that the governing-body is active, or that an adequately-trained manager, bookkeeper, or operator is currently working with the utility.

Operation of Utility

Essential Indicators
Answer Question
Yes The utility operator(s) are actively working towards necessary certification.
No The utility has a preventative maintenance plan developed for the existing sanitation facilities.
Sustainable Indicators
Answer Question
No 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.
No The utility has a safety manual and holds safety meetings.
No Utility facilities have not suffered any major problems/outages due to management issues that are unresolved.
No The utility is operating at the level of service that was proposed.
No The operator provides status reports to the manager on a routine basis.
No The utility has completed and distributed its "Consumer Confidence Report".
Yes The utility is not on the "Significant Non-Complier" (SNC) list.
No The utility maintains an inventory control list.
No The utility maintains a critical spare parts list.
Operation of Utility Comments
NWSA has been encouraging community members to become operators for the community. There are several members of the community that are OIT certified, and that have attended utility management training. The utility is also not listed on the January 2014 Significant Non-Complier (SNC) list. However, supporting documentation for the other indicators in this section has not been provided to RUBA staff.