WEST HANOVER TOWNSHIP WATER & SEWER AUTHORITY

7171 ALLENTOWN BOULEVARD, HARRISBURG, PA 17112

TUESDAY, NOVEMBER 18, 2003, 7 P.M.

REGULAR MEETING

CALL TO ORDER

Chairman Millard called the regular meeting to order at 7 p.m., followed by the Pledge of Allegiance. Mr. Millard announced that an executive session was held at 6 p.m. to discuss personnel and legal matters.

ROLL CALL

Stephen L. Millard, Chairman

Donald L. Steinmeier, Vice Chairman

Robert R. Jones, Secretary/Treasurer

Gary Dunsworth

Kenneth L. Tyndale

PUBLIC COMMENT

Robert Kalbach, West Hanover Associates. Mr. Kalbach was present at the meeting as a representative for the partners of West Hanover Associates. Mr. Millard noted that the Authority and West Hanover Associates reached an agreement on the EDU/tapping fee issues discussed at previous meetings.

Mr. Steinmeier moved, seconded by Mr. Dunsworth, to settle the matter with West Hanover Associates for $110,000. The motion was unanimously approved.

Mr. Kalbach presented Mr. Millard with the Settlement Agreement, which was executed by the partners of West Hanover Associates. Mr. Millard presented Mr. Kalbach with the Authority’s check in the amount of $110,000.

APPROVAL OF MINUTES

October 21, 2003, Regular Meeting. A correction was noted on page 3, under Update on Sandy Hollow Road. The motion should read as follows:

Mr. Tyndale moved, seconded by Mr. Dunsworth, to review the bills related to the Sandy Hollow Road project authorize the Authority Manager to make a decision regarding the paving of the driveways, and have the Board make a decision regarding payment of the additional charges associated with Sandy Hollow Road at the next regular meeting in November 2003. The motion was unanimously approved.

Mr. Jones moved, seconded by Mr. Tyndale, to approve the Minutes of October 21, 2003, as amended. The motion was unanimously approved.

FINANCIAL REPORTS

Operating Expenses. Mrs. Martin reported that the operating expenses for November totaled $310,508.31.

Mr. Tyndale moved, seconded by Mr. Steinmeier, to approve the operating expenses in the amount of $310,508.31. The motion was unanimously approved.

OLD BUSINESS

Update on Letters to Residents in Arrears. Mr. Yost had no further update.

Five-Year Financial Plan. Mr. Shope reviewed the revised Five-Year Financial Plan, as discussed at the October 2003 meeting. In response to a question as to the frequency with which the plan should be updated, Mr. Shope suggested that it would be appropriate to update and/or revise the plan every two years.

Update on Sandy Hollow Road. A brief discussion ensued regarding the written materials provided relative to the additional costs involved with the Sandy Hollow Road project.

Mr. Tyndale moved, seconded by Mr. Steinmeier, to authorize the Authority Manager to advise the developers involved with the Sandy Hollow Road project that the Authority will pay a total of $408,000 for costs associated with the project. The motion was unanimously approved.

Mr. Salisbury reiterated to the Authority members that the operating expenses included a check for $113,000 representing the first payment for credits, as outlined in the agreement between the Authority and the developers involved with the project. Mr. Salisbury will forward the check to Richard Yingst, along with a letter outlining the Authority’s decision to pay a total of $408,000. Mr. Yingst has agreed to make the disbursements to the other parties involved in the agreement.

West Hanover Associates. This matter was discussed under the public comment portion of the meeting.

Waste Management Proposal for Grit/Screenings Box. Mr. Salisbury reported that samples were sent to the lab for the necessary testing and that he was awaiting the results. He will update the Authority at the December meeting.

Tapping Fees for 2004. The Authority reviewed the letter provided by Mr. Shope regarding tapping fees for 2004. Mr. Shope’s letter indicated that the tapping fees could be raised to $3,088 for 2004. Following a brief discussion, it was agreed by consensus that the tapping fee should be raised to $3,075 beginning January 1, 2004. Mr. Millard directed staff to prepare a resolution for the December meeting setting forth the increase.

Ritzie Village. The Authority reviewed the materials provided, which included a letter written by Township Manager Mike Rimer on behalf of the Board of Supervisors asking the Authority to review the feasibility of the project, as well as a copy of that portion of the Act 537 Plan that addressed Ritzie Village. It was pointed out that no communication was received from the Township’s SEO regarding ongoing problems in the area. It was also suggested that there might be a reasonable alternative to installing public sewer, e.g., a community sand mound. A brief discussion followed.

Mr. Jones moved, seconded by Mr. Steinmeier, to advise the Board of Supervisors that the Ritzie Village project was not feasible at the present time. The motion was unanimously approved.

Generator Proposal. Mr. Shope advised that he would have an update for the December meeting.

Watson Property. Mr. Yost reported that a verbal agreement had been reached with Mr. Watson regarding a right-of-way on his property to the developers of Chestnut Ridge, at a cost of $37,500. Mr. Yost suggested that an agreement should be prepared and executed in the near future. Mr. Millard indicated that the Authority would make the payment initially to Mr. Watson, and that the cost would then be passed on to the developer for reimbursement to the Authority.

Mr. Jones moved, seconded by Mr. Steinmeier, to authorize Mr. Yost to prepare an agreement for the right-of-way and to have the Chairman execute the agreement on behalf of the Authority prior to the December meeting. The motion was unanimously approved.

NEW BUSINESS

Resolution 2003-A-5. Since the issue with West Hanover Associates was resolved, no action was required on this resolution.

2004 Budget. The Authority discussed the 2004 Budget and it was suggested that the increased tapping fee of $75 per EDU should be computed on the 220 EDUs proposed for next year. The additional EDU receipts would total $16,500. Mr. Jones complimented staff on a job well done in preparing the budget. Mr. Salisbury indicated that the suggested change would be made and that the updated budget would be furnished to the Authority in the December meeting packet for approval.

Access Database. A brief discussion took place regarding the information provided by Mr. Shope relative to the preparation of an Access database.

Mr. Jones moved, seconded by Mr. Steinmeier, to accept Gannett Fleming’s proposal for preparing an Access database not to exceed $3,300. The motion was unanimously approved.

Review NPDES Permit. Mr. Salisbury reported that the Authority’s permit had to be renewed every five years.

Mr. Tyndale moved, seconded by Mr. Dunsworth, to accept Gannett Fleming’s proposal for renewing the NPDES Permit not to exceed $5,800. The motion was unanimously approved.

Diffendall Sewer Plan Approval. Mr. Salisbury reported that when Mr. Diffendall constructed the sewer system to his property at 7495 Jonestown Road, the system would come within 150 feet of the property located at 7509 Jonestown Road and within 165 feet of the property located at 7500 Jonestown Road. Per Mr. Salisbury, in accordance with the Second Class Township Code, any property within 150 feet of the sewer system was required to connect to the system. A brief discussion ensued during which it was discussed whether or not the developer should be required to provide sewer laterals for the two properties during construction.

Mr. Tyndale moved, seconded by Mr. Jones, to approve the Diffendall sewer plan as presented contingent upon “Ts” and/or laterals being provided to the two properties at 7500 Jonestown Road and 7509 Jonestown Road. The motion was unanimously approved.

Staff agreed to advise Mr. Diffendall of the approval and the contingency. A letter will also be sent to Mr. and Mrs. Speck at 7509 Jonestown Road advising them they will be required to connect and also to Dr. William Wewer at 7500 Jonestown Road asking whether or not he might be interested in connecting his property to the system.

CORRESPONDENCE

Mr. Salisbury called the Authority’s attention to a proposal from Aqua Aerobic Systems, Inc. for installation of a horn alarm to signal the phase changes in the SBRs at a cost of $1,282.

Mr. Tyndale moved, seconded by Mr. Steinmeier, to authorize installation of the alarm at a cost of $1,282. The motion was unanimously approved.

PUBLIC COMMENT

No public comment was offered at this time.

AUTHORITY MEMBER COMMENTS

Bob Jones. Mr. Jones had no comments.

Gary Dunsworth. Mr. Dunsworth had no comments.

Ken Tyndale. Mr. Tyndale had no comments.

Steve Millard. Mr. Millard had no comments.

Don Steinmeier. Mr. Steinmeier had no comments.

ANY OTHER BUSINESS THAT MAY COME BEFORE THE AUTHORITY

Mr. Millard stated that Bill McCahan, the Township’s emergency management coordinator, stopped by the Authority office concerning materials to be used in manholes following a possible spill. He suggested that sand should be used in those instances. Mr. Salisbury indicated that he did not agree with that suggestion because it could cause problems with the sewer system. He said there were several other alternatives available and suggested that perhaps the Authority consider purchasing equipment that could be used in the event of an emergency spill. A brief discussion followed. Mr. Salisbury will send a response to Mr. McCahan indicating that sand should not be used in those instances. He will report back to the Authority at the December meeting regarding possible alternatives and their costs.

Mr. Salisbury advised that Mr. Kotsalos, the owner of Skyline Restaurant, came into the office and questioned his October 2003 sewer billing in the amount of $700.56. Mr. Salisbury called their attention to the memorandum dated November 17, 2003 showing the monthly water useage from June 2003 through November 2003. In June 2003, the average monthly usage was 54,000 and in October 2003, the average monthly usage was 126,000. The amount of usage from November 1 through November 17, 2003 was 80,000. Mr. Kotsalos is looking to the Authority for some relief on the billings. Following a brief discussion, it was agreed that Mr. Salisbury should send a letter to Mr. Kotalos suggesting that he have his water meter

checked and also the lavatory facilities in his establishment. Following investigation by a plumber, if it is shown that there was a water leak, etc., the Authority may grant some adjustment to the billings. That matter would be discussed at a future meeting.

REPORTS

Manager. Mr. Salisbury submitted a written report (a copy of which is attached to the Minutes).

Engineer. Mr. Shope submitted a written report (a copy of which is attached to the Minutes).

Solicitor. Mr. Yost had no further report.

ADJOURNMENT

Mr. Jones moved, seconded by Mr. Tyndale, to adjourn the meeting. The motion was unanimously approved. The meeting was adjourned at 9:23 p.m.

Gail A. Martin

Recording Secretary