Rock-Koshkonong Lake District (RKLD) newly elected treasurer Mark Meyer presented a financial report, outlining fund balances, potential dollars available for future projects, expenditures, both real and forecasted, and suggested areas of savings within the district’s budget. The report was delivered and approved during the district’s monthly meeting held Sept. 19 at the Albion Town Hall.
According to Meyer, as of Sept. 9, the district’s general fund balance was $117,048.84. After paying invoices received in August and September, the ending balance was $90,304.97.
Items paid included $2,480 for a 2018 financial compilation prepared by Summit Accounting, matching checks written against RKLD accounts with account balances; two invoices submitted by the legal firm of Wheeler, Van Sickle & Anderson, for services provided in June, for $5,244.75, and in July, for $6,126; two invoices from recently merged Emmons & Oliver, Inc., and Montgomery Associates Research Solutions, LLC, for services performed in June and August in the amounts of $3,960 and $3,419.50, respectively; $600 paid to Helgeson Crane Service for work performed on July 30; two invoices paid through Commissioner Mike Shumaker, including: Step Bits, $61.18, and Wisconsin Lift, $1,492.44, and $3,000 paid to GOE for dive team services employed while making repairs to the Indianford Dam drain plug and performing an inspection underneath the County F/M bridge.
Meyer also forecasted upcoming costs, including anticipated costs of operations, $15,000; annual costs associated with USGS, which, according to the report, will come due in September, $20,800; costs associated with hiring Emmons & Oliver to create request for proposal parameters to share with engineering firms looking to bid on the proposed sluiceway and Tainter gate dam modification project, $3,000, and a forecasted invoice from Wheeler, Van Sickle & Anderson for services rendered in August, $5,000.
After forecasted invoices are paid, Meyer estimated the general fund balance at $45,000, and estimated September deposits at $1,193, for a total of $46,193.30.
Reviewing tax and professional services provided to the district over a seven-year period between 2012 and 2018, Meyer said he could not accurately determine how the money was spent.
Meyer said the district had three certificates of deposit (CD), one of which will mature in November. He recommended placing those funds, totaling $207,473, into a two- to three-year vehicle bearing 1.5 to 2 % interest, to create a long-term savings plan. CDs coming due next year, in January and July, maturing at $234,069 and $204,008, respectively, he said, could be allocated toward future projects.
Advocating for a long-term savings plan, Meyer said: “If we don’t allocate money towards projects, we spend it on other things.”
He said longer-term vehicles offered better interest rates.
Commissioner Steve Proud asked about step-up CD interest rates.
Meyer said he would investigate step rates, as well as explore money market options.
Looking at funds placed in two money market accounts, with one labeled segregated dam fund, holding $51,680, and a second labeled segregated lake fund, holding $106,684, as well as a small business checking account, holding $46,504, Meyer said the district had available funds of $204,870.
Looking at funds within all three CDs, two money market segregated funds, the forecasted general fund balance and money allocated in the approved 2020 budget for boat landings ($68,000) and modifications to the dam ($50,000), Meyer said the district had a total project funding potential of $760,948.
Meyer said he canceled several vendor accounts because he did not believe they were necessary, including accounts with Frontier Online, Centurylink and Bliss Communications. Canceling the three accounts would bring an estimated annual savings of $1,843, he said.
Vendors under consideration to have services discontinued included three news publications, offering a total savings of $7,093, and the USGS velocity meters. Meyer said he would research meters and USGS requirements. He believed meter changes could bring a savings of $12,000.
Meyers said he would also investigate the district’s annual payment of $3,500 for insurance coverage. The district is insured through Baer in Madison.
Meyer said the district needed liability insurance. He said he would review and “shop” the policy.
“I’m just going to keep chipping away at what we don’t need and save the money,” Meyer said.
The board unanimously approved paying the identified invoices and approved, with one abstention made by Proud, the treasurer’s report, deciding against making a final decision about how best to handle the CD maturing in November.