Meeting Minutes 4-13-2015




Monday, April 13, 2015


The Board of Trustees of the Holiday Shores Sanitary District met on the above date in regular session pursuant to laws and rules of said Board of Trustees and in accordance with the terms of the notice of regular meeting.

Richard Hayes, President called the meeting to order.  Trustees present were Jeff Sedlacek and Dennis Van Sandt.  Also present were Carla Lankster, District Clerk, and Ken Dulle of Du-Con.  Also present were Robin & Brennen Murphy regarding property on Monaco Drive.


Robin and Brennen Murphy have concerns about the property discrepancy going on for an extended period of time.  The “pie-shape” property was to be sold along with the main property that the water plant used to be located on, however that portion has been involved in a legal dispute with the neighbor.  If this piece of property is not available, the Murphy’s will have to change the position of their house.  This has also caused a major delay in starting the building process, which has caused loss of time and monetary losses.  The Trustees and the District apologized for this total misunderstanding and delay.  There is a mediation hearing on Thursday regarding the “pie-shape” piece of property, and if the ruling does not go in the District’s favor, Mr. Hayes offered, on behalf of the District to monetarily compensate the Murphy’s in the amount of $4,000.00.  Mr. Hayes made a motion to approve compensation for the delay.  Mr. Sedlacek seconded the motion and all Trustees voted “Aye”.


The minutes of March 9, 2015 regular meeting were submitted for approval.  Mr. Van Sandt made a motion to approve the minutes for the March 9, 2015 regular meeting.  Mr. Sedlacek seconded the motion and all Trustees voted “Aye”.


The Summary of Accounts was reviewed for the month of March, 2015.  No motion necessary.


After reviewing the disbursements for the month of March, 2015, Mr. Sedlacek made a motion to approve the March 2015 disbursements.  Mr. Van Sandt seconded the motion and all Trustees voted “Aye”.

Du-Con submitted Invoice No. 04-9, dated April 9, 2015, for the month of March, 2015 for managing and operating water and wastewater treatment.  Mr. Van Sandt motioned to approve Du-Con invoice No. 04-9, dated April 9, 2015.  Mr. Sedlacek seconded the motion and all Trustees voted “Aye”.


The water and sewer applications for March, 2015 were reviewed, and included 10 customer transfers.  Mr. Sedlacek made a motion to approve the March, 2015 applications.  Mr. Van Sandt seconded the motion and all the Trustees voted “Aye”.


The CD that was set up for the IEPA Water Tower loan will be maturing April 27, 2015, in the amount of $81,914.50.  If it just rolls over for 24 months it will be at a rate of only .59% APY.  However there is a 27 month CD available at FNB for 1.21% APY.  Ms. Lankster feels the higher rate with a slightly longer term would be the better option and the Trustees agreed.


There was a continued discussion from last month, on the proposed rate increase to pay for the Radio-Read Water Meter Upgrade, which was to be paid out of the Water Capitalization reserves that were put in place for capital expenditures such as this.  At the last two meetings a temporary $6.00 per month increase was discussed, but a permanent percentage increase would probably be a better option and would be less of a monthly increase for most customers.  The issue of the ongoing payments for the Water Plant needs to be addressed, as well as increases in the normal operating expenses.  In recent months, there have been high service pumps that had to be replaced or repaired at the water plant in the amount of $17,000.00, and the Moro Road lift station will need a $4,000.00 repair or it could cave in.  One of the options would be 3% per year over the next several years.  Mr. Dulle suggested a 10% increase on the water and sewer usage rates.  However, the Trustees feel it would be a better option to use 8% or 9%, followed by 4% over each of the following two years.  Then look at the financial situation after those three years.

The Trustees asked Ms. Lankster to run some numbers on the 8% and 9% increases to see what would best cover the Water Plant loan and the operating expenses over the next three years.


A statement of Revenues and Expenditures through the month ended March 31, 2015 was given to the Trustees to let them see where we are on the current Fiscal Year 2015 Budget.  We are beginning to work on the FY 2016 Budget and will present a preliminary Budget at the May meeting.


Installation of the radio read water meters began April 6, 2015.


Mr. Hayes made a motion to adjourn the regular meeting.  Mr. Sedlacek seconded the motion and all the Trustees voted “Aye”.

Respectfully submitted, Carla Lankster, District Clerk