Frequent rains bring down Washington Water Authority revenue through spring
Posted on Thursday, June 26, 2008
URL: http://www.nwanews.com/nwat/News/66553/
More wet weather means less water usage, something brought to the attention of the Washington Water Authority Board at its Wednesday meeting.
“ Our water usage is down a little bit, being wet and being cooler than normal, ” said Josh Moore, general manager of the authority.
Water sales are at about 40 percent of the budgeted revenue for the fiscal year, which is $ 3. 75 million, according to financial records as of May 31. Sales for the budget year so far are about $ 1. 5 million.
Total operating revenue is 38. 9 percent of the budgeted $ 4. 14 million for the year.
The authority operates on the calendar year, Jan. 1 to Dec. 31.
Moore explained that the authority’s sales are down slightly, by a little more than 1 percent, on what would be tracked as an average for the budget during this period.
In addition to the wet and cool weather, he said, people right now “ may be a little bit more conservative because of the economy. ”
In another matter, the board approved contracting Flynt & Company, Bentonville, to perform accounting services in light of the recent resignation of J. C. Dobbs, who worked as assistant general manager of the Washington Water Authority. The contracted services will be about $ 18, 000 plus any additional non-scope services, which will be billed at $ 65 per hour.
“ This doesn’t seem too bad to me, ” board Chairman Randy Ogden said of the price for services.
An engagement letter has yet to be sent, pending the board’s approval of contracting the firm.
Moore said that Dobbs, whose last day on the job was June 13, decided to return to the funeral home business. His position at this point is not being replaced. It will save the authority about $ 50, 000 in salary and fringe benefits.
Moore plans to report on additional reorganization of staff functions to the board’s personnel committee before they go to the board as a whole.
Ogden said he is concerned that not filling Dobbs’ position means not having a backup to Moore.
Additionally Wednesday, county Grants Administrator Wayne Blankenship and Moore reported on progress of the Campbell Loop project to expand water capacity in that area.
Campbell Loop Road runs parallel to southbound Interstate 540 from the Greenland area to West Fork and loops back on the east side. There are 200 to 250 people served in the area.
The area currently is serviced by 2- and 3-inch lines. The improvement project will add about 10 miles of 12-inch lines to increase capacity. The $ 4. 2 million project is funded by a bond issue to be paid via water usage revenue.
The tentative completion date is about the first of next year.
There have been two crews working on the project in recent weeks and a third one expected to begin this week.
Moore also updated the board on the city of Tontitown’s proposed master water plan, which is expected to be discussed at 1 p. m. today in a public hearing conducted by the Arkansas Natural Resources Commission.
Moore said he is concerned about what the plan might mean to the water authority’s lines in the city limits.
“ I have not figured out what they have proposed to do, ” he said of the master plan.
He said there is federal debt tied up in the authority’s water lines in Tontitown, and the authority could lose existing and potential revenue.
He also said he is concerned about the possible precedent it might set for other towns in which the authority owns water lines. Those towns are Elm Springs, Springdale, Prairie Grove, West Fork, Greenland, Fayetteville and Farmington.
Ogden and Moore said they would like to talk to Tontitown officials about the situation.
“ At some point, they’re going to have to talk to us, ” Ogden said.
Board members also discussed the need for more Washington Water Authority board members.
Lea Milford, Kaye Trentham and Ogden were the only ones present at the meeting Wednesday. Board member Jim McClain has not been attending because of health issues, Moore said, and Pete Bennett, who is leaving the Prairie Grove School District as its superintendent, e-mailed his resignation from the board early last week.
There need to be five to seven board members, Moore said.
“ I’m going to meet with a potential candidate on Friday, ” he told board members.