Valley Forge Sewer Authority

Meeting Minutes

August 13, 2007

The Valley Forge Sewer Authority meeting was held on Monday, August 13, 2007 at 7:00 pm. The following people attended the meeting: Board members: Daniel Reese, William Hochwind, Michael Rodgers, Marilyn Randolph, and Norman Vutz; Staff, Leonard Pinchok, Martin Goldberg; Consultant: Lawrence Lutter.

Several employees also attended the meeting.

Mr. Reese called the meeting to order with the Pledge of Allegiance.

Public Comment

On behalf of Mr. Jock Rowe, the union expressed their appreciation for the Board's participation in their annual scholarship fund drive.

Meeting Minutes

Upon a second review of the May meeting minutes, Mr. Reese made a motion to amend the May minutes to reflect the actual vote tally of 5-1 regarding the General Manager title. Ms. Randolph seconded and the Board unanimously approved the amendment.

The July meeting minutes were then presented to the Board for approval. Mr. Reese made a motion to approve the minutes as presented. Ms. Randolph seconded the motion and the Board unanimously approved.

Reports

Operations Report

Mr. Goldberg reported that the Authority was in compliance with all permit requirements for the month of July and that there was one odor complaint for the month. The single odor complaint came from a new neighbor and Mr. Goldberg reported that he contacted and discussed the complaint with them. He reported that the Authority was meeting the limits and using fewer chemicals in the disinfection control system. He reported that one thickener was currently shutdown for inspection and recoating and would be out of service for at least one more week. He noted that the project was proceeding smoothly and acknowledged the cooperative effort being made involving maintenance, engineering and staff. The Board expressed their appreciation, as well, for the excellent effort of a job well done. Mr. Goldberg stated that one thickener tank was scheduled to be done around the third week of November. The Board thanked Mr. Goldberg for his report.

Financial Report

Mr. Pinchok thanked the Board for their understanding of his absence at the previous month's meeting. He reviewed the budget to actual summary with the Board and reported that the funds were doing well and showing a surplus in the budget. The year-end projection did not foresee any major changes and the funds would be within budget. He reported that Fund 10 was a little behind budget due to a slowdown on developments but was anticipating numbers to pickup in the last two quarters.

Mr. Pinchok reported that electricity was looking pretty good for the month and that the numbers were coming down. With regards to Fund 20, Mr. Pinchok stated that the septic dump was back on schedule and reported low solids for the month.

The A/P invoices presented for payment equaled $260,688. Mr. Vutz made a motion to pay the invoices. Mr. Hochwind seconded and the Board unanimously approved.

The requisition presented for payment equaled $12,550. Mr. Rodgers made a motion to pay this requisition. Mr. Vutz seconded and the Board unanimously approved.

The Imprest Fund/Petty Cash Fund presented for payment equaled $654. Mr. Rodgers made a motion to pay these expenses. Mr. Reese seconded and the Board unanimously approved.

Two months' of Debit Card purchases were presented to the Board with a June amount of $721 and a July amount of $1511. Mr. Rodgers made a motion to pay both months as presented. Mr. Hochwind seconded and the Board unanimously approved.

Mr. Pinchok also reviewed the Payroll Account report with the Board.

Act 537 Plan

Mr. Goldberg reported on the status of the Regional Act 537 Plan. He stated that the reports had been submitted to DEP for review and the Authority was currently waiting for their response. He stated that the next step will be to engage an engineer for the scope of the work and that the Operations and Construction committee was currently reviewing. Mr. Goldberg reported that DEP approval was expected by October 1 and that the design contract was slated for January 2008. The Board expressed their desire to review the recommendations made by the Operations and Construction committee prior to the design contract.

Old Business

Road Repair Procedures

Mr. Goldberg reported on the Old Kimberton Road repair procedures performed by Rittenbaugh. He reviewed the memo detailing the procedures that were followed and reported to the Board that the costs did not appear to be unreasonable. He stated that a sanity check was made and inspections done during and after completion of the work. Mr. Goldberg also contacted East Pikeland Twp and Kim Marretti regarding the costs of the repairs that were made. The Board discussed reimbursements from the township and instructed Mr. Goldberg to compile a draft of procedures for future problems that would be discussed with each of the townships. Mr. Rodgers made a motion to pay the Rittenbaugh invoice of $11,045 and to approach East Pikeland Township with regards to reimbursement. Ms. Randolph seconded and the Board unanimously approved.

VFSA Meeting Minutes

August 13, 2007

Page 3

New Business

Aqua Request

Mr. Pinchok reviewed with the Board the request from Aqua to change the trucked-in waste receiving hours. The Board discussed the impact that would have on the Authority and what steps would have to be taken for these accommodations. Following a lengthy discussion, the Board instructed Mr. Pinchok and Mr. Goldberg to discuss further with Aqua and take into account such issues as noise caused by the absence of brake retarders.

Wilson Road/Valley Creek Act 537 Update

Mr. Goldberg reported that Tredyfrin Township reviewed the Authority's 537 Plan at the partner work session. The Authority has a parallel schedule to them in terms of their pump stations and did not foresee any surprises. He also reported on the Valley Creek trunk expansion and found that the engineer is expecting 20% of the costs to be paid by the Authority. The Board discussed further and concluded that the costs and paid percentages need to be renegotiated. It was determined that there is a need for costs to be recovered by builders on future developments and that an assessment of the pipes would need to be done prior to any agreements being finalized. The Board noted that there will be a meeting at Tredyfrin with the partners and other townships by next month and that more information will be available to discuss at next month's meeting.

Customer Write-off Request

Mr. Pinchok presented a customer's write-off request to the Board. He explained that the customer wanted the late fees written off because the Authority does not provide an option to pay online and to suspend future fees. The Board discussed and instructed Mr. Pinchok to forward a response letter to the customer. Mr. Reese made a motion to deny the write-off request. Ms. Randolph seconded and the Board unanimously approved.

Other

Ms. Bingham reported her findings to the Board with regards to the healthcare quotes and plan comparisons. She reported that V F Benefit Consulting obtained alternative plans and compared their findings with the plans offered through the current supplier. It was determined that the current supplier, Aetna still offers the lowest costs available for the healthcare plans and that the increase was not as high as expected. Mr. Pinchok informed the Board that a meet and discuss meeting with the union would be held shortly. Ms. Bingham reported that there had been no complaints from the employees and that the Authority renewals fare much better than other companies she meets with. The renewal plan is to go into effect on September 1, 2007.

With regards to the non-healthcare benefits, Ms. Bingham reported that V F Benefit Consulting renegotiated the accounts with MetLife and has acquired an increase of 3%. There is a possibility that a further reduction will be made as negotiations continue.

Following a lengthy discussion, the Board concurred to renew the current plan for healthcare benefits on September 1, 2007. Mr. Reese then made a motion to remain with MetLife for the non-healthcare coverage with a blended change from 2% to 7%. Mr. Rodgers seconded the motion and the Board unanimously approved the renewal.

Staff Assignments

1.) Review energy sources and possible alternatives and obtain green document.

2.) Have Operations & Construction committee frame out engineering specs for 537.

3.) Review possible employees to attend PMAA conference.

4.) Contact East Pikeland Township regarding road repair work reimbursement.

5.) Response letter to customer with write-off request.

6.) Continue with Aqua negotiations.

Adjournment

Mr. Reese adjourned the regular monthly meeting at 8:59 pm.