East Central Solid Waste Commission
Commission’s Office – Mora, MN
December 12, 2019
The regular meeting of the East Central Solid Waste Commission was held on December 12, 2019 at the Commission Office, Mora, MN. Chairman Greene called the meeting to order at 9:00 a.m.
Members present at the meeting included: Chisago County Commissioner Richard Greene, Kanabec County Commissioner Dennis McNally, Pine County Commissioner Steve Hallan, Isanti County Commissioner David Oslund and Mille Lacs County Commissioner David Oslin.
Advisory Member Present – Executive Director Janelle Troupe.
Others also present at the meeting included: Bruce Rehwaldt of Foth Companies, Gerrald Nohner and Tammie Denholm of ECSWC, Jeanne McNally, Mike Leathers from Ziegler, Tim Seifert from Kennedy Scales.
PLEDGE OF ALLEGIANCE
All present said the Pledge of Allegiance.
Director Troupe added Blaine Brothers to Claims List and 2018 Audit Report, Metro Waste, and SMMPA Engine/ECSWC Flare to Executive Director Report.
Commissioner Hallan moved to approve the amended Agenda, second by Commissioner Oslund, all in favor, motion carried (5-0).
MEETING MINUTES FOR BOARD MEETING OCTOBER 14, 2019
Commissioner Oslin moved to approve the amended Meeting Minutes of November 11, 2019 second by Commissioner Hallan, all in favor, motion carried (5-0).
Commissioner McNally moved to approve the Claims List, Paid Claims List and the Additional Claims List with the addition of Blaine Brothers for 6,237.83, second by Commissioner Hallan all in favor of paying the Claims List 47 lines $180,317.71, the Paid Claims List 9 lines $48,643.62, and the Additional Claims List of 22 lines $49,371.84 plus Payroll account 14 lines $78,049.70 and VISA account 11 lines $2,056.83, all in favor, motion carried (5-0).
Director Troupe provided an update of the actual expenses for 2019 compared to the Budget of 2019. Income was year to date $560,700 more than budgeted because of added tonnage and scale fees. Fuel was more than budgeted also because of added hauling being done by ECSWC and the addition of a tanker trailer that is used to haul leachate to St. Paul.
Director Troupe presented the 2020 Budget stating accrual income totaled 6,633,740 and expenses totaled 6,475,320 the accrual net income is $158,419 and the cash flow income is $1,102,763.
Director Troupe presented the capital expenditure budget stating that these are items that may need to be purchased, not that we are definitely purchasing. The closure project will only happen if we are at the required height with garbage. Closure would reduce the amount of leachate that gets hauled. The articulated truck is a need and we are currently renting one because both of our trucks no longer are operational. Construction on the Cambridge pole building that was budgeted last year but the contractor is behind in their projects and has moved the project back to January 2020. We will put it back on the budget for this year along with an additional $40,000 for utilities, ventilation, and concrete. The Hinckley scale is also a need because that scale is in very poor condition. Commissioner Hallan suggested that we look into the cost of a long-term lease of an articulated truck. Director Troupe stated that she will bring back lease options as well as purchase options at next meeting.
Director Troupe stated that quarterly we will provide update on the budget and changes can be made at that time. We will discuss Patnode Trucking during the first quarter to determine if the contract will continue after April 30.
Commissioner Hallan moved to approve the 2020 Budget, second by Commissioner Oslin, all in favor, motion carried (5-0).
None at this time.
OCTOBER 19 FINANCIAL STATEMENT
Director Troupe reported for the month ended October 31, 2019 ECSWC realized a net income on an accrual basis of $141,521. On a cash flow basis for the month of October, there is an increase in cash of $245,273. Un-obligated cash less upcoming cash outlays at the end of the month was $4,130,805.
Reserve accounts for landfill expansion, hauler rebate, operating contingency, and host facility fund total $3,347,470.
The funds are invested as follows:
The money market checking account at First Citizens National Bank earns 2.0%, the CDs earn 2.0%. New CDs are 2.25%. The Magic Fund rate for October was 1.84% and Unity Bank interest rates for October were 2.0%.
Tonnage has increased 9.5% over budgeted amounts for the year.
Commissioner McNally asked about the length of time money was invested in for at Unity Bank. Finance Officer Tammie Denholm answered that there was no time requirement on those deposits.
Commissioner Hallan moved to approve the October 2019 Financial Statement, second by Commissioner McNally, all in favor, motion carried (5-0).
Director Troupe introduced Tim Seifert from Kennedy Scales and stated that he had requested to be on the Agenda to discuss the upcoming Hinckley Transfer Scale replacement and the above-ground scale that is planned for the Cambridge Transfer Station. Mr. Seifert explained the differences between above-ground and a pit scale. He explained that the existing Kennedy Scales were installed almost thirty years ago with very few repairs having been done to them.
Director Troupe commented that she still doesn’t have a clear plan for the Cambridge Scale. Fairbanks is asking for payment for the scale and would like us to take delivery. We also don’t have a final plan at this time for the concrete work. The Board consensus was to go back and cancel the contract with Fairbanks and get specs set and new bids.
EXECUTIVE DIRECTOR REPORT
December 2, 2019, it was cold and calm and that is when odors migrate. A neighbor called in and odor complaint early that morning.
Director Troupe reported that the engine hasn’t been running for over a month and SMMPA is planning to have Ziegler out on December 17 to troubleshoot the problem. Commissioner McNally stated that the flare has been running every time he has driven by but it’s not taking care of the odor. He asked Foth Engineer Bruce Rehwaldt if the flare should be blue not yellow like it is. Mr. Rehwaldt stated that the flare maybe needs to be tuned and that he has a call into the contractor.
The 2018 Audit shows a positive Change in New Position of $720,257.
Director Troupe stated that if the Counties wanted a Return on Investment that could be provided out of this income. Commissioner Hallan commented that until we know more about closure plus the capital purchases, he didn’t think we should not return to the Counties; the other members agreed.
Director Troupe presented the report that the MPCA wishes to have turned in monthly. Commissioner Hallan commented that she should tell them that there is not enough staff to do daily reports. Director Troupe didn’t feel it was appropriate that they are asking for tonnage from other than the metro counties. The Board decided that it would be appropriate to provide the metro county numbers and send a report in.
None at this time.
Chairman Greene reported that the Board would be going into Closed Session for personnel discussion per Minnesota Statute 13D.05 Subd.2(b).
Commissioner McNally moved to go into Closed Session, second by Commissioner Hallan, all in favor, Motion carried (5-0).
Commissioner McNally moved to go into Open Session, second by Commissioner Hallan, all in favor, Motion carried (5-0) Motion by Commissioner Hallan to send all the associated documents to a lawyer, second by Commissioner Oslin, all in favor, Motion carried.
JANUARY MEETING DATE
The January Meeting is scheduled for January 14, 2020 at 9:00 a.m. at the Commission offices.
Chairman Greene asked for a motion to adjourn. Commissioner Oslund moved to adjourn the meeting at 11:50 a.m., second by Commissioner Oslin, all in favor, motion carried (5-0).
Janelle Troupe, Executive Director