MINUTES FOR THE MAY 23, 2013

BOARD MEETING

The Chairman, Horace Harrod, called the meeting to order at 2:00 p.m. Present were Board Secretary-James Griffin, Board Treasurer-Art Henson, Attorney-Carl Horneman, Accountant-Stan Clark, and from Veolia Water – Ed Basquill, Kevin Gibson, Vickie Miller and Andrea Matz.

1. Minutes - The minutes from the April 18, 2013 Regular Board Meeting were emailed for review in advance and presented in the meeting packet for approval.

A motion was made by Art Henson and seconded by James Griffin to approve the minutes of the April 18, 2013 Regular Board Meeting as presented. The motion carried unanimously.

2.  Treasurer’s Report and Payables Request

– Stan Clark reviewed the monthly financial report and payables request for stormwater. During review of the payables request, it was brought to the Board’s attention that the invoice from Beckmar Labs should be paid by Veolia Water, and therefore, it was removed from the payables requested for approval. Also noted, the reimbursement to Shawn Carroll for rain garden expenses was from last year’s grant program.

A motion was made by Art Henson and seconded by Horace Harrod to approve the April 2013 financial statement and the monthly payables request forstormwater after deducting Beckmar Labs invoice, for a total of $63,845.36. The motion carried unanimously.

- Next, Mr. Clark reviewed the monthly financial report and payables request for sewer. Mr. Clark requested an addition to the payables request in the amount of $1,500 for OCEA’s portion of the E-Civis Grant Network subscription. Also, a typographical error in the amount of $812 was removed from the payables request.

A motion was made by Horace Harrod and seconded by James Griffin to approve the April 2013 financial report and the monthly payables request for stormwater with the addition of $1,500 for OCEA’s portion of the E-Civis Grant Network subscription, and deduction of the $812 typographical error, for a total of $315,583.81. The motion carried unanimously.

- Mr. Clark advised the Board of sewer billing issues related to apartment complexes where one meter serves several multi-family residential units. The Board agreed that, in this situation, commercial rates would apply which vary depending on meter size. The Board directed staff to revise the heading on the Commercial Rate Schedule to “Commercial/Multi-Family Rates” and post to inform the public of this clarification.

- Stormwater Billing Status Update – Stan Clark relayed that stormwater bills are on schedule to be mailed by the end of June. Mr. Clark also requested direction from the Board on billing the Cooperstone Mobile Home Park because no agreement had been reached with the owner. The Board advised Mr. Clark to bill based on the proposed agreement.

3.  Public Comment 1

There were no comments from the public.

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4. Operations / Capital Project Report – The Operations/Capital Report was emailed in advance of the meeting to the Board for review. Ed Basquill reviewed the highlights of the report and requested Board action on the following items.

- Tap Locate Policy Review– past issues were illustrated using a Powerpoint presentation. The Board directed the following changes/additions to the current policy, and requested staff post the changes on the OCEA website.

- Payment of capacity fees will be verified through OCEA’s accountant, Stan Clark, prior to providing location of the tap.

- Taps on gravity sewer system will be located within 48 business hours once payment of capacity fee has been confirmed.

- Taps on low pressure systems may require more than 48 business hours depending on circumstances.

A motion was made by Horace Harrod and seconded by James Griffin to approve the changes/additions to the Tap Locate Policy as stated above. The motion carried unanimously.

- KIA Conditional Commitment Letter for New Regional Plant Construction – The Chairman advised other members of the Board that signing this document should be postponed until support from the Division of Water is communicated. The subject was tabled until the OCEA engineer has cleared up any questions related to the facilities plan and gets written support of the plan from the DOW.

- KRWA Funding Application – The Board Chairman explained that an opportunity to obtain funding from the Kentucky Rurual Water Association may be available, and the original plan was to obtain half the funding for construction of a new wastewater treatment plant from KIA and the other half from KRWA, but in light of recent discussions with KIA, the Board decided to apply for funding of the entire project through KRWA.

A motion was made by Horace Harrod and seconded by Art Henson to apply for funding in the amount of $13,366,800.00 from the Kentucky Rural Water Association for construction costs to build a new regional wastewater treatment plant. The motion carried unanimously.

- Abbott Lane Stormwater Improvements Project Contract Award – Kevin Gibson reviewed bids for the project stating that TSI Paving was the low bidder but did not submit a complete bid package. Mr. Gibson recommended that the Board award the project to the second lowest bidder, K. Wiehe Construction, Inc. Mr. Gibson also requested prior approval for change orders not to exceed 10% of the total contract amount.

A motion was made by James Griffin and seconded by Art Henson to award the Abbott Lane Stormwater Improvement Project to K. Wiehe Construction in the amount of $79,500 and give prior approval for any necessary change orders, at Kevin Gibson’s discretion, not to exceed 10% of the contract or $7,950 cumulatively, and authorize the Board Chairman to execute the contract. The motion carried unanimously.

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Next, Ed Basquill informed the Board that a change in vendors is being made for lab testing due to failures made by the current vendor which caused violations.

Jim Hagerty spoke next regarding the Covered Bridge lagoon decommissioning project stating there is enough remaining in the contingency funding to cover this expense estimated to cost $22,000.00. Mr. Hagerty also requested a signature on the “no discharge” certificate for the Covered Bridge WWTP and approval to submit for a 30 day time extension from KIA.

A motion was made by Horace Harrod and seconded by Art Henson to approve bidding of the Covered Bridge Lagoon Decommissioning project for an expense not to exceed $22,000.00, and may be awarded as a change order to the contractor on the Covered Bridge Wastewater Treatment Plant Decommissioning Project, or as a separate contract to a different low bidder. In addition, approval is given to the Chairman to execute the no-discharge permit for the Covered Bridge WWTP. The motion carried unanimously.

Next, Mr. Hagerty spoke regarding comments and requests from the Division of Water regarding the facilities plan, and noted that more site analysis is needed before a revised facilities plan can be submitted. Mr. Hagerty estimates the cost not to exceed $25,000.00.

A motion was made by Horace Harrod and seconded by James Griffin to approve a task order not to exceed $25,000.00 to Hagerty Consulting for site analysis and to complete a revised facilities plan in response to DOW request. The motion carried unanimously.

5. Correspondence Review – All incoming and outgoing correspondence since the last Board meeting was emailed prior to the meeting for review and presented in the meeting binder. The Board discussed and took the following actions.

- Grant request from Oldham County Conservation District – The Board received a letter from the OCCD requesting a $1,000 grant to cover the cost of vouchers for soil testing available to all Oldham County residents.

A motion was made by Art Henson and seconded by James Griffin to approve a $1,000 grant to the Oldham County Conservation District to provide soil testing vouchers to residents of Oldham County. The motion carried unanimously.

- Request for sewer charge refund due to leak – The property owner at 6620 Willowrun Lane in Pewee Valley requested a refund of sewer charges due to a water leak.

A motion was made by Art Henson and seconded by Horace Harrod to credit sewer charges due to a water leak in the amount of $202.62 to Shawna Clark of 6620 Willowrun Lane. The motion carried unanimously.

- Sewer refund requests due to filling pools –Two customers submitted a written request for a sewer refund due to filling pools.

A motion was made by Art Henson and seconded by Horace Harrod to deny both requests for a refund of sewer charges due to filling swimming pools. The motion carried unanimously.

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- Arrowshire Drive Back Up – Ed Basquill brought a late-breaking issue to the Board’s attention. The Collections Dept found a sewer main located on Arrowshire Drive that has a private property line bore through it. The private line extends over half way through the main and prevents cleaning or camera inspection in that area. The Chairman requested staff draft a letter for his signature to be sent certified mail stating the property owner needs to have the problem corrected, or OCEA staff will correct it and bill the property owner for the expense.

- Approval for over $2500 Repair & Maintenance expense – Ed Basquill requested approval to expend necessary funds to redirect flow at Morgan Place Lift Station in order to eliminate the Dispatcher’s Way Lift Station. Mr. Basquill estimated the expense to be approximately $15,000.

A motion was made by Art Henson and seconded by James Griffin to approve expenses not to exceed $15,000 to redirect flow and eliminate the Dispatcher’s Way Lift Station. The motion carried unanimously.

6. Public Comment 2 – There were no comments from the public.

Announcement of Next Meeting Date – The Chairman announced that the next regular monthly meeting of the Board will be held on June 20, 2013 at 3:00 p.m.

Adjournment – There being no further public business before the Board, Horace Harrod motioned and Art Henson seconded to adjourn the regular meeting at 4:25 p.m. and reconvene in Executive Session after a 5-minute break. Motion carried unanimously.

EXECUTIVE SESSION

This session is called pursuant to KRS 61.815 et seq. The closed session concerns exceptions outlined in KRS 61.810(1)(c) allowing for discussion of proposed or pending litigation by a public agency to be conducted in private session.

After Executive Session, a motion was made by Horace Harrod and seconded by Art Henson to return to regular session at 4:40 p.m. in order to formally conclude the meeting. The motion carried unanimously.

A motion was made by Art Henson and seconded by Horace Harrod to adjourn the meeting at 4:42 p.m.

Minutes respectfully submitted by Andrea Matz, Veolia Water N.A.