PRESENT: Annamarie Borgione, Chairman

Deborah Collinson, Trustee

Kent Jensen, Trustee

Keith Hanson, Gen. Mgr./Treasurer

Monica Lisenbee, Secretary/Clerk

ABSENT: Steve McIntosh, System Supervisor

Ms. Borgione called the meeting to order at 12:02 p.m. Ms. Borgione moved to approve the meeting minutes from the March 17^th, 2009 regularly scheduled board meeting as written. Ms. Collinson seconded the motion and it passed unanimously. Ms. Borgione then made a motion approving the work session meeting minutes from March 13^th, 2009. Ms. Collinson seconded the motion and it passed unanimously.

Ryan Tesch and Dave Haw, auditors with Hansen, Barnett & Maxwell began reviewing financial records for the 2008 audit at the Service Area office on April 1^st, 2009. To remain in compliance with audit requirements, Mr. Hanson presented the Management’s Discussion and Analysis for 2008, which was presented and reviewed in detail at the work session meeting on 4-17-09. This MD & A is an overview of the Service Area’s financial activities for 2008. Also, as part of the audit, Mr. Hanson gave copies to the board of the State of Utah Legal Compliance Audit Guide-Ref. - GC-17, which describes the Utah Retirement System Compliances, which include portions we are required to respond to. Mr. Hanson stated that our policies and procedures will need to reflect the revisions from the audit compliance standards. Mr. Hanson has addressed responses to the Utah Retirement Systems. The board received copies of the State of Utah Legal Compliance Guide-Ref. – GC-15, which discusses impact fees and other development fees. The Utah Legislature modified codes for impact and development fees, which now requires governments who collect these fees to provide additional reporting included in their financial statements. Mr. Hanson has responded to this document as well.

Cindy Arbon, who is the controller for Cottonwood Improvement District has sent the Service Area a notice of a grama request which they received from Evan Johnson. This request is for billing statements from the Solitude Improvement District and Snowbird/Service Area for the past 20 years showing amount billed and the amount of sewage water usage. Also requested, are the meter logs for both canyons. Ms. Arbon stated in her reply that this information will be provided within the 10 day law requirement. Ms. Arbon stated in her notice to us that she will be providing Mr. Johnson with 5 years of data. Mr. Hanson stated that as part of the Service Area By-Laws, it is required that we adopt a Grama Policy. Ms. Collinson asked who pays for these requests. Mr. Hanson mentioned that this is part of the policy, which so states a person who oversees the grama policies and what fees are involved for obtaining documents. By the May 15^th, 2009 work session, Mr. Hanson will have additional information on grama policy requirements.

Mr. Hanson reviewed the water and sewer ecu spreadsheet for Snowbird Ski & Summer Resort with the board. The spreadsheet displayed the breakdown of how the various accounts for Snowbird are charged. The last rate increase by rate resolution #12 was in 2007 with an increase of water 2% and sewer 1%. Effective on July 1, 2009 the increase for water is 8% and sewer 15% adopted by rate resolution #13. This is an overall increase of $5,000.00 per month. The spreadsheet does not include snowmaking charges, as this is non-consumptive use billed at 18% of the regular water rate. Mr. Hanson has discussed the new rates with Mr. Bonar and Lee Herron.

As a finalist for the best tasting water from Silver Fork, Mr. McIntosh is attending the Rural Water Rally in Washington, D.C. Mr. McIntosh will be visiting all of the Utah congressional delegates during this rally. The majority of his expenses are being paid by the Rural Water Association of Utah, although Mr. Hanson authorized some of his expenses as it is beneficial to the Service Area.

Kellie Hunsaker and R.J. Hannah recently completed the water operator certification classes. Ms. Hunsaker tested for water treatment grade 4 and R.J. Hannah tested for water treatment grade 2. Test results should be received soon. For the summer we will lose R.J. Hannah and Josh Lambert as they will be fire fighters out of state. The Service Area will post for a part-time night operator position during their absences. Mr. Hanson will be hiring Brian Gorsage for 12 weeks to assist on the Bay City treatment plant full time during the summer. Mr. Gorsage will start at a rate of pay of $13.50 per hour for two weeks and thereafter at $14.00 per hour.

The Alta Town Council has requested that Mr. Hanson give a monthly update at their monthly meetings. At the most recent meeting, Mr. Hanson reviewed his construction rate spreadsheet with the members. Mr. Hanson has made adjustments to the original request of laborers. Mr. Hanson stated that he will also give our trustees updates on this project and hours involved. This week the Town of Alta will open the bids for media treatment.

Mr. Hanson prepared an action report and gave copies to the board of the Cliff Lodge mainline break. On April 6, 2009, water was leaking from a rock wall area on the north side of the Cliff Lodge. Mr. Hanson was assisted by the fire fighters, Snowbird crew and our operators to evaluate problem and take action. After approximately 1 hour of water service interruption, the lodge was restored with culinary water through a fire hose in the co-gen plant from the cooling water supply. On April 7^th, Mr. Hanson met with Jerry Giles and Newman Construction to plan the order of the repair. On April 8^th, Newman Construction began work on locating the leak and repairing it. The break was located 12 feet deep, 10 feet off the southeast corner of the air conditioning unit. Photos were presented of this repair. Mr. Hanson explained that the thrust block put stress on the pipe, which caused it to crack. There are also two more co-gen pipes in the same area which could also crack and will be addressed in the near future. Mr. Hanson expects the repair costs to be just under $10,000. Mr. Hanson discussed the importance of our water and sewer contact information and also the importance of being familiar with the emergency water and sewer response procedures.

Mr. Hanson suggested to the trustees to consider appointing a vice-chairman to the Service Area Board of Trustees as stated in our recently adopted By-Laws.

Mark Anderson has completed his review to the first sections of the policies and procedures manual. Mr. Hanson will be reviewing the 10 sections with him before presenting to the board. Mr. Hanson will also discuss Grama requirements for establishing a policy for the Service Area with Mr. Anderson.

Legrand Bitter will conduct a trustee training on May 19^th, 2009 at 1:00 p.m. Lunch will be provided.

Annamarie Borgione will not be present for the May 15^th, 2009 work session meeting. The clerk will be on vacation May 20^th through May 29, 2009.

Mr. Hanson reviewed with the Board of Trustees, the Balance Sheet Previous Year Comparison report ending March 31^st 2009, and the Profit and Loss Budget vs. Actual ending March 31^st, 2009, as prepared by Salt Lake County Service Area #3.

Ms. Borgione moved that the bills listed on the March 18^th, 2009 through April 21^st, 2009 payment register, as presented by Mr. Hanson hereby be authorized and ratified to be paid by the manager. Ms. Collinson seconded the motion and it passed unanimously. Copies of the approved bills are attached to the minutes.

There being no further business to be discussed, a motion to adjourn was made, seconded and unanimously carried at 1:16 p.m.

Salt Lake County Service Area #3-Snowbird

___________________________________

Annamarie Borgione/Chairman

ATTEST:_____________________________ DATE:______________________________

Monica L. Lisenbee/Clerk

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