LINCOLN PIPESTONE RURAL WATER SYSTEM

East Highway 14, P.O. Box 188, Lake Benton, MN 56149

                (507)368-4248        fax (507)368-4573 email:  lprw@itctel.com

 

 

 

 

 

MEETING MINUTES

November 25, 2002

 

 

The regular scheduled meeting of the Lincoln Pipestone Rural Water (LPRW) System Board of Commissioners was held at the LPRW office in Lake Benton on Monday, November 25, 2002 starting at 10:00 a.m.  Chairman Frank Engels called the meeting to order with Commissioners Roger Gilliland, Ken Buysse, Jerry Lonneman, Charlie Simonson, Leonard Swenson, Bill Ufkin, Henry Van Dyke, and Rod Spronk present. Commissioner Joe Weber was absent.  Also present were LPRW Attorney, Dan McDonald; DGR Engineers, John Madden and Darin Schriever; Field Superintendent, Don Drietz; Director of Operations, Don Evers; and Director of Finance and Administration, Dennis Healy. 

 

Agenda:  The Agenda was approved as presented.

 

Minutes:  M/S/P Van Dyke/Swenson to approve the minutes of the October 28, 2002 Regular Board meeting.  M/S/P Ufkin/Lonneman to approve the minutes and the recommendations of the November 19, 2002 Personnel Committee meeting. M/S/P Ufkin/Simonson to approve the minutes and the 2003 Budget and Capital Improvement Program recommendation of the November 19, 2002 Budget & Finance Committee meeting. M/S/P Buysse/Swenson to approve the minutes and the recommendations of the November 19, 2002 Executive Committee meeting.

 

Treasurer's Report:  M/S/P Swenson/Van Dyke to approve the Treasurer's Report as presented.

 

Bills:  M/S/P Swenson/Simonson (Engels abstained) to approve the following bills for payment:

·   DeWild Grant Reckert and Associates Company: Minneota Tower #27 = $2,700.29; NE Phase #24 = $11,840.51; Lynd Area #23 = $3,444.80; General Services #20 = $785.00

·   McDonald, Gudmestad & Schramel: NE Phase = $300.00; General Legal Services = $790.63

·   Engineering America, Inc.: Lynd Standpipe & Booster-Pay Estimate #5 = $11,868.35

·   Underground Developers, Inc.: Lynd Schedule 1B Pipeline – Pay Estimate #2 = $49,302.05

·   Eatherly Constructors, Inc.: NE Phase Schedule 1B Mainline-Pay Estimate #1 = $295,323.72

·   Carstensen Contracting, Inc.: Schedule 1A User Additions-Pay Estimate #3 = $151,185.26

·   Winter Brothers Underground: Lynd Schedule 1A Pipeline = $31,889.54

·   Lewis & Clark Rural Water System: October-December 2002 quarterly fee = $14,117.00

·   Energy Alternatives: Burr and Verdi Standby Generators = $95,835.79

·   US Bank-1998 Refunding Bonds = $32,662.50; 1998 Series B Refunding Bond = $280,937.50

 

Attorney’s Report:  LPRW Attorney, Dan McDonald reported on the following items:

·   McDonald reported that the assessments for hookups outside the Burr Service Area are being processed for assessment this year.

·   The amended Lewis & Clark Rural Water System agreement is being further revised, and it will be available for Board action at a future meeting.

·   The “Joint Statement of Policy for Provision of Water Service In and Around the City of Marshall” was reviewed and discussed.  M/S/P Van Dyke/Lonneman to approve the “Joint Statement of Policy for Provision of Water Service In and Around the City of Marshall” and to forward it to Marshall Municipal Utilities for their action.

 

Burr Exploration:   LTP Enterprises is prepared to begin work on Burr Well #8 in the near future, and we may want to have them install a second test well in the Well 8 aquifer and Well 6 aquifer so we have backup wells in each aquifer.  Liesch Associates have estimated that the cost of this work will be approximately $35,017.00.  M/S/P Lonneman/Swenson to authorize Evers and Healy to approve proceeding with this work if Well #8 looks promising and USDA-RD will approve a change order to the existing contract.

 

 

 

 

 

Wellhead Protection:  Healy reported that there are no new wellhead issues.

 

Regional Water Supply:  Liesch Associates has reported that the work at the City of Adrian well field looks promising.  We received a letter from the City of Dawson indicating that they will be providing us with a water sales proposal in the near future.  Edgerton has not provided any new information.

 

Water Service Requests:  LPRW staff and Board members have met with the Cities of Hanley Falls, Lismore and Rushmore to discuss water service.  Hanley Falls has decided to build their own water treatment plant and will not be connecting to LPRW.  Lismore and Rushmore may be interested, but we informed them that LPRW needs to have distribution problems solved in their area before we can commit to providing water service.  Discussions with Lismore and Rushmore will continue, but we also need to consider requests for water service from rural residents.

 

Director of Operations Report:  Don Evers reported on the following items:

·   Evers provided an update on Lewis & Clark progress, and reported that new agreements are being reviewed.

·   The Verdi and Burr standby generators are to be connected on December 4th and 5th.

·   The Erickson and Clairemont hookups should be completed soon because they decided to pay for the extra footage required when no additional hookups could be found in the area.

·   The Lynd Tower and Booster SCADA is being installed.

·   A quote from EFI for $36,373 to upgrade the Leota booster station pumps was presented for Board action.  M/S/P Ufkin/Buysse to authorize EFI to proceed with the Leota booster station pump upgrade at a cost of $36,373.

 

Engineer’s Report:  Darin Schriever reported on the following items:

 

•  Lynd Project:  Winter Brothers Underground has completed all work and Change Order #2 to decrease the contract by $513.15 was presented along with the Final Pay Estimate.  M/S/P Lonneman/Van Dyke to approve Change Order #2 and to make the Final Payment contingent on completion of Change Order #2 by Winter Brothers.  Engineering America Inc. is nearly done with the Lynd Standpipe and Booster project.  Underground Developers Inc. is making good progress on the Schedule 1B Pipeline work, but the railroad is requiring longer bores than those bid so Change Order #2 to increase the contract by $22,950.00 was presented.  M/S/P Buysse/Swenson to approve Change Order #2 to increase the Underground Developers, Inc. contract by $22,950.00.  U.S. Filter is providing the Lynd SCADA and Vlaminck Electric is doing the electrical hookup. 

 

•  Minneota Tower & Booster Project:  The Minneota Tower & Booster project is progressing.  Caldwell Tanks has decided that they will not start on the steel work until spring.  Change Order #1 to increase the Caldwell contract by $2,675.00 was presented.  M/S/P Swenson/Simonson to approve Change Order #1 to increase the Caldwell contract by $2,675.00.  KHC shop drawings are being reviewed, and the SCADA system has been ordered.

 

•  North Internal Users Project:  The Internal Users Expansion is proceeding on schedule, and Change Order #3 to increase the Carstensen Contracting, Inc. Schedule 1A User Additions contract by $4,940.00 was presented.  M/S/P Ufkin/Swenson to approve Change Order #3 to increase the Carstensen Contracting, Inc. Schedule 1A User Additions contract by $4,940.00.

 

•  Northeast Phase Expansion Project: Eatherly Constructors, Inc. is making good progress, and Change Order #1 to increase the Schedule 1B Mainline contract by $3,259.20 was presented.  M/S/P Lonneman/Buysse to approve Change Order #1 to increase the Eatherly Constructors, Inc. Schedule 1B Mainline contract by $3,259.20.

 

•   The Green Valley booster station is being designed, and billing of new users was discussed.

 

 

 

 

 

 

 

 

 

Director of Finance and Administration Report:

·   The Towerlink America agreement was tabled.

·   Healy reported that the construction financing for the Northeast Phase Project matures on February 1, 2003, and it needs to be extended until the project is closed and permanent financing is provided by USDA-RD.  M/S/P Buysse/Simonson to approve extension of the Minnesota Rural Water Finance Authority construction loan to September 6, 2004, and to authorize the Chairman or Vice Chairman and the Secretary or Treasurer to execute the Extension Certificate and such other documents as are needed to extend the construction financing.

·   Healy presented information on the planned December 19th System Tour and Water Issues Discussion for state and federal elected officials.  Senator  Arlene Lesewski will be invited and recognized for her support of LPRW and water issues during her tenure in the Minnesota State Senate.

 

Committee Reports: The following committee reports were given:

Executive Committee: Reported via minutes.

Budget & Finance Committee: Reported via minutes.

Personnel Committee: Reported via minutes.

Water Resources and Equipment Committee: No report.

Minnesota Rural Water Association, Board Representative:  Leonard Swenson updated the Board on the MRWA office project and operations.

 

Other Business: A Christmas Party is planned for December 7th.  M/S/P Buysse/Lonneman to provide a ham for each of the employees.

 

Adjournment:  M/S/P Simonson/Swenson to adjourn the meeting at 4:00 p.m.  The next Regular Board meeting will be Monday, December 30, 2002 at 10:00 a.m.

 

 

 

 

 

 

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                                  Rod Spronk, Secretary