BRAZOS MUTUAL DOMESTIC WATER CONSUMERS ASSOCIATION, INC.

 

September 22, 2013 Meeting Minutes

 

Meeting was brought to order at 8:05 a.m. at the Brazos Volunteer Fire Station

 

Directors Present:    Mike Valdez

Deej Banister

Rubel Martinez

Paul Walenciak

Irv Lindemuth

 

Minutes of August 18, 2013:

Paul Walenciak made a motion to accept the minutes as submitted.  Rubel Martinez seconded the motion.  The motion unanimously carried.

 

TreasurerŐs Report:

Rubel Martinez presented the month-end financial report.  Gretchen Denman, bookkeeper, added a Profit and Loss Previous Month Comparison sheet to the month-end reporting procedures for review of income, expenses, and bank balances on a month-to-month basis.

 

Bank accounts:

Community Bank checking as of August 31, 2013:               $   18,332.64

                        Fidelity cash as of August 31, 2013:                                      $   36,365.69

JASBX as of August 31, 2013:                                              $  105,797.27

 

                        Total Checking/Savings                                                           $  160,495.60

 

Rubel informed the Board that he has delayed moving the approved $30,000.00 into a mutual fund with Fidelity, Thompson (THOPX).  Currently, the market does not appear stable and we do not know what our total legal fees for water rights preparation and litigation will be.  The need to use a lesser investment amount was discussed.  The pros and cons of an early payoff of current loan(s) were discussed.  Rubel Martinez is to research our options and report back to the Board.

 

Mike Valdez made a motion to accept the TreasurerŐs report.  Paul Walenciak seconded the motion.  The motion unanimously carried.

 

Memberships/Transfers/Cancellations:

There are no new memberships/transfers.

 

Delinquent Water Fees:

Nell Thurston submitted a written request to have her late fee waived.  The request was reviewed and discussed.  The Rules and Regulations state that payment of yearly fees must be made on or before June 1.  Her payment was postmarked after June 1.  Irv Lindemuth made a motion to deny her request for a late fee waiver.  Deej Banister seconded.  Mike Valdez, Rubel Martinez, Irv Lindemuth, and Deej Banister voted for the motion.  Paul Walenciak voted against.  The motion carried.  ThurstonŐs request for a late fee waiver was denied.

 

 

 

Survey for Upper Tank Property:

Paul Walenciak reported that the upper tank property survey by Metes and Bounds should be completed prior to end of October.

 

Other:

Ron Stafford submitted his resignation to the Board, effective August 25, 2013.  The responsibilities assigned to this position were discussed and distributed among current Board members and/or Levi Sandoval.  The yearly budget will be prepared by Rubel Martinez, Treasurer.

 

Irv Lindemuth made a motion to nominate James Walker to fill the Director vacancy for the remainder of the year—subject to meeting membership requirements.  Mike Valdez seconded.  The motion unanimously carried.  Mike Valdez will contact Clay Kilmer.

 

Mike Valdez appointed Rubel Martinez to the supervisory position of Levi Sandoval.  Levi will report to the BOD through the President or Rubel who will be responsible for the day-to-day management of affairs and business between contractor and BMDWCA.

 

Rules and Regulations Changes

Rules and Regulations Sections VI, VII, and IX were reviewed and revised.  Irv Lindemuth made a motion that the changes made to Sections VI, VII, and IX as written in Appendix I be approved.  Rubel Martinez seconded the motion.  The motion unanimously carried.

 

Mike Valdez made a motion that the approved changes to the Rules and Regulations not be implemented until after June 1, 2014.  Paul Walenciak seconded the motion.  The motion unanimously carried.

 

The possibility of forming an Operations Committee of the Board was discussed.  Irv Lindemuth proposed adding a section XIV to the Rules and Regulations that would read as written in Appendix II.  Since the committee would consist of less than a quorum of Board members and would execute, and not formulate, policy, this would allow the Association to conduct operations as required while remaining in compliance with the New Mexico Open Meetings Act.  Further review and discussion was tabled until a later meeting.

 

The next meeting is scheduled for Sunday, October 20, 2013 at the BVFS at 8:00 a.m.

 

The meeting officially adjourned at 10:30 a.m.

 

Respectfully submitted,

 

 

 

Deej Banister

Secretary

 

 

 

 

 

 

 

Appendix I

 

VI.  BILLINGS

 

1.     The fiscal year will run from April 1 of that year until March 31 of the following year.

 

2.     All annual fees will be billed by April 15th of each year and due on June 1.

 

3.     Service fees including fines, fees based on meter readings, and any other charges will be billed within one month of the time the charges are incurred and are due and payable in full by the first day of the second month following the billing date.

 

4.     All payments sent by U.S. Mail must be postmarked on or before the due date.  If the due date falls on a Saturday or Sunday, the payment must be postmarked on or before the following Monday.

 

5.     All overdue accounts will be assessed a 5% late payment service charge monthly until the accounts are made current.

 

6.     All annual and service fees are subject to New Mexico Gross Receipts Tax.  In the event of disconnection or other exception, the fee(s) will not be pro-rated and are not subject to refund.

 

7.     Exception to payment can be made only by a written arrangement with the Board.

 

8.     When the account is four months delinquent, the member's service meter will be locked in accordance with section 3-29-6D of the New Mexico Sanitary Projects Act and Section IX-2 of the BMDWCA By-Laws. The lock will remain in place until the account is paid in full.

 

9.     When the account is eight months delinquent, the account will be turned over to a collection agency if the Association has contracted with a collection agency.  All fees charged by the collection agency will be added to the account.

 

10.  When the account is twelve months delinquent, a lien will be placed upon the property in accordance with the New Mexico Sanitary Projects Act section 3-29-6C.  The lien will remain in place until the account is paid in full.  In accordance with the Sanitary Projects Act, the Association shall be entitled to recover all costs and attorney fees related to the lien.

 

11.  When the account is delinquent for three years, a process for cancelling the membership certificate will be initiated in accordance with BMDWCA By-Laws, Section IX-3.

 

12.  For memberships cancelled involuntarily under item 11 or voluntarily, liens put in place under item 9 will remain in place.  Furthermore, the BMDWCA will take whatever additional steps are appropriate to recover all funds in accordance with section 3-29-6D of the New Mexico Sanitary Projects Act.  Liens will be removed after all funds have been recovered.

 

13.  All delinquent accounts will be sent an updated statement monthly.  The statement will indicate the original delinquency date.

 

14.  Delinquent members will be notified by the Secretary or designee as appropriate (including notifications required by Section 3-29-6D of the New Mexico Sanitary Projects Act and Section IX-2 of the BMDWCA By-Laws) that steps 8, 9, and 10 are about to be taken or have been taken.

 

VII.  RATE SCHEDULE

 

The rate schedule herein will be reviewed by the Board on an annual basis and is subject to change if sufficient income is not being generated to cover the AssociationŐs anticipated expenses.  The Board will notify the Association bookkeeper whenever an account should be billed any amount other than the annual fee and subsequent service charges.

 

1.     New Mexico Gross Receipts Tax will be added where applicable.  (** Indicates a non-taxable item.)

 

2.   New membership fee (Residential or Commercial):         $6,000.00

 

3.   Application/Transfer fee:                                                 $     50.00**

 

4.   Change of Status fee:                                                        $     15.00**

 

5.   Residential fees:

                  User                                                                $   430.00/year

Non-User                                                        $   110.00/year

 

6.   Multiple residential fees:

First unit                                                         $    430.00/year

Each additional unit                                        No additional charge

 

Note:  At this time the Board chooses not to assess a charge for additional units.  A fee may be charged in the future should the load on the water system of multiple residential units be a cause for concern.

7.   Single Commercial Business:                                            $    750.00/year

 

8.   Multiple Commercial Businesses:

First unit                                                         $    750.00/year

Each additional unit                                        $    360.00/year

 

9.  Late payment service charge:                                             5% of balance due monthly

 

10. Excessive Water Usage Charges:  If water use is deemed excessive, the Board may implement additional charges based upon the amount (total number of gallons) of water used.  Members will be notified if and when such charges are implemented.

 

11. Fines for excessive leakage due to negligence or improper shut-off:

First occurrence                                              $     250.00

Subsequent occurrence                                    $     500.00

 

12. Late membership transfer fee:                                          $       25.00/month after 90 days

from date of property transfer (See Section XII, 1.)

 

 

 

IX.  DISCONNECTS AND RECONNECTS

 

1.     Water service that has been disconnected due to account delinquency or for other reasons will not be reconnected until the account is current.

 

 

Appendix II

 

XIV.  OPERATING COMMITTEE

 

A 3-member Operations Committee formed from Association members (Board or non-Board) will execute Board policy regarding system operations.

 

  1. The Committee is authorized to act on behalf of the Board to ensure that an adequate water supply is available and repairs are conducted in a timely manner.

 

  1. The Committee will be appointed by the President, and may include the President himself and non-Board-members.

 

  1. The membership of the Committee may be changed at the discretion of the President.

 

  1. The President will notify the Board of Committee membership and membership changes.

 

  1. One member of the Committee will supervise and interface with the System Operator.

 

  1. The President will ensure that the Committee is executing Board policy and not establishing new policies.

 

  1. The Committee may expend previously budgeted operating funds, which may be moved from subcategory to subcategory, providing the total operating budget is not exceeded.

 

  1. The President will notify the complete Board of decisions and actions of the Committee.