November 11, 2015 District No. 2 Meeting Minutes

MINUTES Of the MEETING OF THE COMMISSIONERS Of the BUFFALO RAPIDS IRRIGATION DISTRICT NO. 2 Terry, Montana NOVEMBER 11, 2015 The Seventh Regular Meeting of the members of the Buffalo Rapids Irrigation District No. 2 at Terry, Prairie County, Montana, was held on the eleventh day of November, 2015 at 1:30 p.m. There were present and participating at the meeting: Barry Rakes Scott Sackman Also present and participating were: Tim Kortum, Secretary; Pat Davis, Treasurer, Attorney; Gary Ryder, Producer; John McAulay. President Barry Rakes called the meeting to order, stating that all necessary and advisable business be conducted during this time and that notice had been received by each Board Member. Thereupon, President Barry Rakes announced that legal notice had been given and a quorum was present so that the meeting was legally and lawfully ready to transact business. The Minutes & Resolutions from the September 09, and October 14, 2015 Board Meetings were approved without corrections and, or additions, by Scott Sackman seconded by Barry Rakes. All in Favor. Motion Carried FINANCIAL REPORT: Pat Davis presented current budget figures which included payroll and expenditures for November to all Board members for their review. A list of invoices to be paid was submitted and forms for the Prairie County Treasurer to transfer funds in the amount of $73,085.93, to cover payroll and invoices were signed. November 15th estimated payroll: $10,806.06; November estimated invoices $51,277.58; November 30th estimated payroll: $11,002.29. Investment transfer was also signed to invest the remaining monthly District No. 2 cash balances in the amount of $310,069.00 with Prairie County Pool. An additional transfer worksheet was also signed for the additional employee payroll in the amount of $43,724.64 to be transferred from System Rehab Reserve Account. The Board also agreed that any additional cost overruns for payroll expense until the end of the year can be transferred from System Rehab Reserve Account. In addition the members of the Board agreed with Pat’s suggestion that they transfer in December the costs associated with the removal of the Shirley Fish Screens from the System Rehab Reserve Account to be included for financial continuity. Pat presented to the Board a worksheet for year-end bonuses for the employees. All members present agreed that the bonus amount looked accurate and should be distributed to the employees on the December 15th payroll. On a motion made by Scott Sackman and seconded by Barry Rakes the treasurer’s report was approved. All in Favor. Motion Carried. The Board discussed the proposed employee contract. All revisions to the contract were discussed among all individuals present. The employees proposed that all health and dental insurance premiums be maintained at no cost to the employees. Tim advised the Board on a few changes in the wording of the contract that he had made, and that the employees agreed to those changes. Pat Davis concurred with Mr. Kortum as a representative of the employees of Buffalo Rapids Irrigation District No. 2. On a motion made by Scott Sackman and seconded by Barry Rakes it was resolved to accept the Contract between Buffalo Rapids Irrigation District No. 2 and the Employees of Buffalo Rapids Irrigation District No. 2. All in Favor, Motion Carried. RESOLVED, To accept the contract agreement between Buffalo Rapids Irrigation District No. 2 and the Employees of Buffalo Rapids Irrigation District No. 2. All in Favor, Motion Carried The Board discussed the proposed Managers contract for Mr. Timothy Kortum. The Board agreed to accept the proposed Managers contract for a one year term for Mr. Timothy Kortum with a net salary of $1,500.00 (ONE THOUSAND FIVE HUNDRED DOLLARS) payable twice per month. On a motion made by Scott Sackman and seconded by Barry Rakes is was RESOLVED, To accept the proposed Manager’s contract, for a one year term, for Mr. Timothy Kortum. All in Favor. Motion Carried. Pat Davis informed the members of the Board that they received reimbursement from their insurance company for Property & Liability, in the amount of $1,971.93 for the replacement of the damaged spray wash pump for the Shirley Fish Screens. Tim Kortum and Pat Davis inquired of the Board if they would like to have a District No. 2 Christmas Party. Tim advised the Board that they have a good group of employees and thought it would be a nice gesture. The members of the Board agreed and Pat will plan the party and send notice for all employees and Board members of when to attend. Mr. John McAulay, a producer from the Shirley Division, was present to speak with the Board after he notified the District No. 2 Board in writing requesting to meet. He spoke with the Board in regards to the procedure for excluding acres from irrigation in the Shirley Division. He stated that he would like to remove the acres added to his land during the reclassification of land that started in 2005. He stated that some of the acres are not irrigable ground due to being unsuitable for production. The Board discussed the issue at length and agreed that they would look into the issue further and contact Mr. McAulay when they learned more. Mr. Gary Ryder, Attorney specializing in water rights, met with the Board concerning an order received by the Buffalo Rapids District No. 2 office from the Montana Water Court. The order was a notice of a telephone conference to be held on December 01, 2015 with the Montana Water Court, concerning one of the water rights for the District. Mr. Ryder informed the Board what the process would entail for the water rights of the District as a whole. He advised the Board that he would also be in attendance along with Mr. Kortum and Mrs. Davis for the telephone conference. Gary Ryder and the Board also discussed at length all other water right issues that the District is dealing with and how to proceed as the issue progresses. MANAGER’S REPORT: Mr. Tim Kortum passed for the Board’s review pictures of the progress made on the Terry Discharge Line Rehab Project. The crew has made tremendous progress and will most likely complete the project before Christmas break. Tim showed the Board that they have all of the concrete out and disposed of, the pipe has been fused and inserted into the remaining line, the use of the large rented excavator is done and has been returned, the hammer attachment has also been returned, and they have started to backfill the new discharge lines. Tim also relayed to the Board the remaining financials that still need to be allocated for expenditure of grant funds and that the Project is coming in right on budget. Tim also stated that a phone line had been installed at the Terry Pumping Plant so they can install the monitoring system for the water levels at the plant. Tim informed the Board that he is working on getting a quote for the work that is needed to be done for the electrical problems at all of the pumping plants. Tim reported to the Board that they have pulled all pumps for the year that are in need of repair or routine maintenance. The Shirley Pump#3 is already completed and ready to be reinstalled yet this year. Tim informed the Board that he hopes to reinstall as many of the completed pumps as possible while the weather stays mild. The Shirley pump showed signs of cavitation due to the problems with the Fish Screens this year. The Terry # 3 pump shaft is broken just above the pump and will need extensive repairs. The Fallon Relift #1 and #2 pumps are out, one of them has been in for seven years and past due for scheduled maintenance. One Fallon River pump has also been taken out for maintenance and repairs. Tim spoke to the members of the Board and informed them that the Shirley Fish Screens were taken out on October 29, 2015. He stated that there was extensive damage to the screens this year. They may have stayed running, but there is a bearing out on one of the screens, the belt for that side is not tracking correctly. Most of the buckets are off on that side as well, along with many of the buckets off on both screens. The cost to fix the screens is undetermined at this point, but it will be very substantial. Tim advised the Board that he will call George Jordan, US Fish & Wildlife, and Steve Davies, Bureau of Reclamation, and inform them of the difficulties with the Fish Screens since the beginning of the project. He will ask them what they would like the District to do concerning the continuation of the use of the Fish Screens and the cost to the District. Mr. Kortum informed the Board that all of the pipelines have been pumped throughout the District with the help of Bill Fleckenstein and Ben Benjamin. All of the meters have been read and the year-end water usage statements have been mailed. Tim also informed all Board members present that they have hired a new full time employee, Jason Smith, for a permanent position at Buffalo Rapids Irrigation District No. 2. The meeting was adjourned on a motion by Scott Sackman, seconded by Barry Rakes. All in Favor. Motion Carried. ATTESTED: ________________________________ ____________________________________ Tm Kortum, Secretary Barry Rakes, President