HomeMy WebLinkAboutMinutes - Water Utility Commission - 2/24/2015 ACTION SUMMARY MINUTES
ORO VALLEY WATER UTILITY COMMISSION
FINANCE SUBCOMMITTEE MEETING
FEBRUARY 24, 2015
WATER UTILITY CONFERENCE ROOM
11000 N. LA CANADA DRIVE
ORO VALLEY, AZ 85737
CALL TO ORDER at 10:05 a.m.
PRESENT: Winston Tustison, Chair, Finance Subcommittee
JavierArriaga, Member, Finance Subcommittee
Shanna Weagle, Member, Water Utility Commission
Shirley Seng, Water Utility Administrator
Jeffrey Kane, Meter Operations Supervisor
Philip Saletta, Water Utility Director
Stacey Lemos, Finance Director
Call to the audience
No public attendance at the meeting.
Discussion of the following items occurred and no action was taken:
1. Groundwater Preservation Fees
a. Discussed the current policy on revenue received from groundwater preservation fees
(GPF) — handout: Establishment of Groundwater Preservation Fee from 2003 Water
Rate Report
b. Discussed what type of capital expenditures could be financed with GPF revenue
based on the existing policy
c. Reviewed the history of GPF increases since it was established in 2003 —handout:
History of Groundwater Preservation Fees
d. Discussed the Town Council's request for staff to review the GPF for potential
reduction as long as there is no adverse financial impact to the utility
e. Discussed the available GPF cash as shown in the Preferred Financial Scenario in the
2014 Water Rates Analysis Report— handout: Five-Year projections on the
Groundwater Preservation Fees
f. Discussed preparing two separate financial scenarios
i. Decreasing the GPF
ii. GPF to finance all costs associates with CAP wheeling
iii. Scenarios will be presented to the Finance Subcommittee at next meeting
tentatively scheduled for 3/31/15
2. Cash Reserve Policy
a. Discussed the current policy on cash reserves — handout: Cash reserve policy from the
Mayor and Town Council Water
i. Need to amend the policy for clarity
ii. Review cash reserve policies of other utilities and municipalities
iii. Proposed cash reserve options to be presented to the Finance Subcommittee
at the next meeting tentatively scheduled for 3/31/15
3. Financial Update
a. Discussed the need to provide a financial update to the Water Utility Commission since
there are newer members who are not familiar with the utility
i. This will be done at a later date when the Finance Subcommittee has
completed the work on the GPF and the cash reserve policy
Adjourned at 11:09 a.m.
I hereby certify that I prepared the foregoing minutes and that they are a true and correct copy of the
minutes of the Finance Subcommittee meeting held on the 24rd day of February 2015. I further certify
that the meeting was duly called and held and that a quorum was present.
Prepared by:
Shirle ng, Water ility A ini ,tor