CHADDS FORD TOWNSHIP SEWER AUTHORITY

None

OTHER MATTERS:

‚ Chairman Murray said Mrs. McCrabb called two days ago to tell him there is a cave-in in her back yard where the sewer line is. Mr. Murray went to inspect the site this morning and the cave-in has been filled and seeded. Mrs. McCrabb was not at home so Mr. Murray was not able to ask who filled it in and seeded it. He will follow up on this with Mrs. McCrabb to find out who did the work.

‚ During Chairman Murray’s inspection, he also noted there is a sink hole about two and a half feet deep over the sewer line on the Bailey property. He brought it to the attention of Mr. Bailey who was not aware of the problem. In response to a question from Chairman Murray, Mr. Mezzanotte said the Authority does still hold a bond to cover this type of work.

MINUTES:

The minutes of the November 19, 2002 CFTSA meeting were unanimously approved on a motion duly made and seconded. (Morgan/Spoehr)

TREASURER’S REPORT:

The Treasurer’s Report was read. Account balances were reported as follows:

General Fund Account

Beginning Balance $133,116.86

Receipts 12,628.13

Balance $145,744.99

PLGIT/Plus Account - Tapping Fee Account

Beginning Balance $443,266.60

Receipts 0.00

Balance $443,266.60

Ridings Operating Account - First Union

Beginning Balance $1,000.00

Receipts 564.20

Balance $1,564.20

PLGIT Account - ROA

Beginning Balance $55,084.11

Transfer from First Union ROA 0.00

Dividends 64.59

Balance $55,148.70

Disciascio Escrow Account

Beginning Balance $15,088.79

Interest 15.68

Balance $15,104.47

Mrs. Taylor reported on:

1. Outstanding Cummins Invoice - This unpaid invoice is for a service call which the

Authority believes should be covered under the generator warranty. Chairman Murray said he will get the necessary documentation from Mr. Tate at the plant, and will then write a letter to Cummins regarding this invoice.

2. Bank Accounts - After conferring with Mrs. D’Elia and Mrs. Kot of the CFT Financial

Committee and the CFTSA auditor, Mrs. Taylor said she would like to recommend that the Authority combine the General Fund Account and the Ridings Operating Account. First Union Government Banking representative, Yvonne Hunter, said she would suggest that, if the accounts are combined, the Authority open a Government Advantage Account. This type of account has no banking fees and pays some interest.

Chairman Murray said the area he has a problem with is, if the accounts are combined, what control would be available regarding expenses which exceed the original contract price. He asked if change orders should be required and if someone on the board should sign off on any invoice that is not for the contracted amount. Mrs. Taylor explained that she does not approve the payment of invoices. She just presents the invoices for consideration by the Authority. The Authority decides what invoices are to be paid.

Mrs. Morgan and Mr. Spoehr expressed their concerns regarding keeping the funds in each fund separate. It was felt that ROA funds would be used to cover a deficit in the General Fund. Mrs. Taylor assured the Authority that by using prefix numbers in the chart of accounts, the balance in each fund would be known.

It was explained by Mrs. Morgan that she feels it is an unfair burden to expect the users of the Ridings Plant to pay for the administrative expense of running the Sewer Authority.

Mr. Shipley said maybe the users of privately owned community sewage treatment plants should be assessed a small tax to cover some of the CFTSA administrative expenses.

After further discussion, it was decided to maintain the accounts the way they are currently.

3. St. Cornelius Church Escrow Request - A question was raised at last month’s CFTSA

meeting regarding the need for an escrow agreement and the amount to be deposited. After discussion, it was decided that a developer’s escrow agreement requesting $3,000 be sent to St. Cornelius Church. This amount is specified in the Developer’s Agreement in the approved Standards and Regulations. It was noted that Ms. Forndran said she did not expect the recoverable expenses to exceed that amount and any funds not spent would be returned to St. Cornelius Church.

4. Quarterly Invoices to Users - The invoices for the first quarter of 2003 have been mailed

out

5. Extended Payment of Tapping Fee - A letter has been received from a resident

accepting the terms of the extended payment plan. The agreement will have to be completed

6. Kids First - The auditors have asked, for accrual purposes, when the sewer line in the

easement across Kids First was completed and approximately what the cost will be to the Authority. It was determined the work on the line was completed at the end of December 2000. The amount the Authority will owe Kids First when the agreement is finalized will be about $22,500.

ACCOUNTS PAYABLE:

In response to a question from the Authority, the invoice from Spotts, Stevens and McCoy was reviewed once again by Ms. Forndran. After further explanation of the extra expenses, the invoice from Spotts Steven and McCoy in the amount of $2,520.98 was approved to be included in the bill list to be paid from the General Fund, on a motion made and seconded (Murray/Spoehr). Mrs. Morgan voted no. Invoices totaling $7,709.68 were then approved for payment from the General Fund by a majority vote (Murray/Spoehr). Mrs. Morgan voted no.

Ridings Operating Account invoices totaling $7,364.12 were unanimously approved for payment on a motion duly made and seconded (Morgan/Spoehr).

ACCOUNTS RECEIVABLE:

It was recommended that Mrs. Taylor send Mr. Barnard a copy of the original invoice sent to the Brandywine Conservancy

SOLICITOR’S REPORT:

Mr. Mezzanotte reported on the following:

1. LAPA 1 - The new owner of what has been previously known as the Kassab Property has received the revised agreement acknowledging that the Sewer Authority has the approval right over any subsequent transfer of capacity. The executed document should be returned soon.

2. St. Cornelius Church Easement - The easement has been prepared and given to Mr. Spoehr who will deliver it to Mr. McGovern, a representative of the church.

3. Kids First - Because the Authority has not heard from Kids First regarding the money the Authority owes them, Mr. Mezzanotte called their attorney. He left a message asking that the attorney return his call.

4. CCMC - Mr. Mezzanotte has communicated with their attorney regarding what appears to be excessive water usage. The attorney said they will investigate the matter and let Mr. Mezzanotte know why the water use readings are so high. The attorney also indicated that CCMC will make available for resale any excess capacity they have.

5. Laskas Agreement - The latest revision of the agreement has been forwarded to Dr. Laskas’ attorney, who has approved it. It is expected the Authority will soon receive the signed agreement and a check for the tapping fee.

6. Lien and Forbearance Agreement - A Lien and Forbearance Agreement has been prepared as requested by the Authority to apply to certain residential users.

Chairman Murray noted that the reason for excessive water use by CCMC has to be resolved before the issue of excess capacity can be addressed.

The St. Cornelius pump and haul contract was discussed. Chairman Murray said the existing contract expires the end of December 2002. Mr. Mezzanotte said, as he remembers it, the contract has a built in provision for extension.

ENGINEERS REPORT:

Mrs. Morgan reported on:

3. Jet Tech has been contacted regarding the new chips, which do not allow the decant cycle

to operate properly.

Possible reasons for the excessive flows through the plant were discussed. It was suggested that some of the cause could be from a damaged manhole, or possible ice or snow build up around the manhole might allow water to enter it.

Chairman Murray noted that the as-built drawings for the Longview, Summit, Woodland project have been received. Ms. Forndran asked about the manual for the Woodland pump station. Mrs. Morgan said there is a copy at the pump station, one in the Authority’s file and one at the Ridings Plant.

Mr. Spoehr asked Mrs. Morgan if she would advise using watertight covers for manholes. Mrs. Morgan explained that you need to actually look at the collection system and identify where the problem is. If you determine it is coming in a manhole someplace, then a watertight cover would be appropriate. Discussion followed regarding methods of determining the source of I & I and methods of correcting the problem.

Ms. Forndran reviewed her written report:

1. RRE - Pre-construction meeting was held at the township building on December 13, 2002. The Notice to Proceed is issued effective December 23, 2002 with a substantial completion date of March 15, 2003. It is expected that ground breaking will be January 6 or 13, 2003.

A one page flyer is to be prepared explaining the detour requirements. Mrs. Taylor will see that the flyer is distributed to St. Cornelius school and neighborhood residents. An information packet will be sent to property owners in the RRE area and a SSM construction inspector will deliver the “stakes” for marking the desired lateral connection locations.

2. St.Cornelius Easement - The formal drawing showing the dedicated right-of-way and the proposed easement area for the Authority has been prepared.

3. Re-rate Feasability Proposal - The proposal from SSM is dated August 2001, but if the

proposal is accepted today, they would hold to the proposed prices. Ms. Forndran explained this is the first step in determining what is the total treatment capacity of the plant.

Chairman Murray said he would like to begin the process for re-rating the plant but feels the I and I problem must be addressed first.

Mrs. Morgan said this is properly done as part of the Act 537 Plan. She further explained the process of re-rating the plant.

Chairman Murray noted that the best cost estimate for the RRE Project Phase 1 is $276,359. Act 22 will come in to play when the tapping fee for Phase 2 is determined. It is planned that Phase 2 will be completed by the end of the year 2003.

ADJOURNMENT:

The meeting was adjourned at 9:15 p.m.

Respectfully submitted,

Sabina J. Taylor, Secretary