by Leslie Lytle, Messenger Staff Writer
At the Nov. 24 meeting of the Board of Commissioners of the Sewanee Utility District of Franklin and Marion Counties, SUD manager Ben Beavers proposed reducing the 2015 budget by $110,000 to avoid a sharp rate increase.
To comply with Tennessee Utility Management Review Board standards, SUD must show a net positive income in 2015, since SUD didn’t show a net positive income in 2014 due to the cost of installing automated meter reading technology. SUD’s consulting firm, Raftelis Financial Inc., recommended SUD increase rates 9–10 percent in 2015.
Beavers suggested putting off painting the water tank until 2016 and reducing by half the amount allocated for wastewater collection system repair in 2015; these two changes would reduce the proposed 2015 budget by $110,000.
On the recommendation of the board, Beavers will revise the budget and send it to Raftelis for review. Beavers estimates only a 3 percent rate increase will be necessary with the budget revision. In the past four years, SUD raised rates twice, in 2011 and in 2013.
Another possible savings in 2015 could come from a reduction in office staff. Currently, the office staff consists of Beavers and two office employees. One employee is leaving in mid-December. Beavers said a part-time employee might be sufficient to maintain the level of segregation of duties required by the comptroller to provide oversight for authorizing expenses and making deposits. Beavers will wait until February to make a decision about hiring to see how efficiently the office operates with a staff of two and what the needs are. Hiring a part-time employee instead of a full-time employee could save SUD $20,000 or more per year.
Beavers revisited the issue of ownership of the trial wetlands slated for construction at the SUD wastewater treatment plant in conjunction with a research project undertaken jointly by the University of the South and the University of Georgia. Beavers consulted with SUD attorney Don Scholes, who said a deed transferring ownership of the constructed wetlands to SUD upon completion is not necessary since SUD already owns the land. Scholes recommended a document licensing the University of the South to proceed with construction. Scholes will consult with University attorney Donna Pierce and draft a document for the board’s review.
In regard to the related question of project funds being set aside to decommission the wetlands site if the project did not continue, Beavers said the amount could not be determined until the design was finalized.
University forestry professor Scott Torreano, the wetlands project construction manager, said he planned to have a design for SUD to review by mid December. Torreano anticipates the wetlands will be ready for planting by graduation.
The SUD board is seeking nominees to run for the office of SUD Marion County commissioner. SUD President Cliff Huffman’s term will expire in January; Huffman is term-limited and cannot seek re-election. Nominees must be SUD customers and must reside in Marion County. Prospective nominees should contact the SUD office by calling 598-5611.
In December, the board will meet a week early, on Dec. 16.
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