Quarterly Report: 2012, July - September (Q1), Levelock

Robert Madeson  
DCRA Regional Office:
Gov't Type:
Federally Recognized Tribe 
Agreement Date:
Levelock Village 
Assessment Status:
Assessment Date:
Exp Date:
Last Updated:
Community Sanitation Overview:
The Village of Levelock is a progressive community providing a variety of services to 36 households and approximately 84 residents. Those services include septic pumping, garbage haul, a public washeteria, electricity and fuel sales. All the homes and infrastructure are serviced by private wells and septic systems. The landfill is an unclassified dump and is operated by a solid waste manager. Garbage is collected three times a week. The solid waste management is part of the IGAP grant program. Sewage is pumped from the septic systems and dumped into a trench within a fenced area just the landfill. Lime is added to the trench. The costs of these services are subsidized by the Lake and Peninsula Borough Community Revenue Sharing funds to help prevent the septic systems from becoming a problem for the community. An active survey of the community, listing the age of each home, age of the septic system, and if there is a known problem, is maintained at the village office and is said to be current. There are currently 11 homes in need of new septic tanks and repairs to leach fields. Water in this area has a high mineral content. In recent years the community has had new infrastructure and housing projects. New wells that were drilled to a depth lower than in past projects. The new water tables appear to be producing a higher than normal mineral content. The Village Council has an active and current Alaska Energy Authority Revolving Fuel Loan. 
RUBA Status & Activities This Qtr:
RUBA staff activities this quarter consisted in assisting Tribal Administrator Greg Andrews and Joyce Herr CPA in taking care of delinquent payroll taxes. Joyce Herr is currently assisting Levelock in obtaining a payment agreement with IRS. Joyce Herr CPA is also working with Mike Mida of the IRS to set up payment for payroll taxes for the 3rd and 4th quarters 2010 and 1st quarter 2011. Levelock does not operate a water/wastewater utility. All homes have their private wells and septic systems. 
RUBA Activities for the Coming Qtr:
RUBA staff will remain available to provide assistance per the request of the council.
Essential Indicators:
15 of 18
Sustainable Indicators:
24 of 24
Total Score:
39 of 42


Essential Indicators
Answer Question
N/A All revenues and expenses for the utility are listed in the utility budget.
Yes The utility has adopted a balanced realistic budget.
Yes Monthly financial reports are prepared and submitted to the policy making board.
N/A The utility is current in paying all water/wastewater electric bills.
Yes The utility has on hand a year's adequate fuel supply or it has a financial plan to purchase an adequate supply.
Yes The utility is receiving revenues (user fees or other sources) sufficient to cover operating expenses.
Sustainable Indicators
Answer Question
N/A The utility is receiving revenues (user fees or other sources sufficient to cover operating expenses and Repair & Replacement (R) costs.
Yes YTD revenues are at a level equal to or above those budgeted.
Yes YTD expenditures are at a level equal to or below those budgeted.
Yes A monthly manager's report is prepared.
Yes Budget amendments are completed and adopted as necessary.
Finances Comments
The current budget is balanced and realistic. Current Profit and Loss Statement shows a net income of 61,618.02. The utility is current on paying their wastewater electric bills. Levelock has 64,000 gallons of winter fuel on hand which will be adequate supply for the winter.

Accounting Systems

Essential Indicators
Answer Question
N/A The utility has adopted a collection policy and actively follows it.
N/A The utility bills customers on a regular basis.
N/A An accounts receivable system is in place which tracks customers and reports past due accounts and amounts.
Yes An accounts payable system is in place.
Yes The payroll system correctly calculates payroll and keeps records.
Yes A cash receipt system is in place that records incoming money and how it was spent.
Yes The utility has a cash disbursement system that records how money was spent.
Sustainable Indicators
Answer Question
Yes A chart of accounts is used that identifies categories in a reasonable, usable manner.
Yes Monthly bank reconciliations have been completed for all utility accounts.
Yes The utility has a purchasing system that requires approval prior to purchase, and the approval process compares proposed purchases to budgeted amounts.
Accounting Systems Comments
Some of the essential indicators are not marked because they do not apply to the management of the village's accounting system. The residents are not billed for the garbage haul or the septic pumping, as it was the vote of the council to subsidize the services for the residents with general funds. The decision was made to haul garbage in order to keep the community clean and assist in preventing residents from self hauling, and burning or placing things in the dump that should not be put there. The septic hauling was subsidized to assist with maintaining the septic and leach fields and to better be able to monitor those systems that are failing before it becomes a problem for the community. The council staff does bill for fuel services and electricity. QuickBooks Premium is utilized for all accounting practices.

Tax Problems

Essential Indicators
Answer Question
Yes The utility has a system to accurately calculate, track, and report payroll tax liabilities.
No The utility is current on filing tax reports.
Yes The utility is current on making tax deposits.
No If there are any past due tax liabilities or recorded tax liens, a lien release has been issued or a repayment agreement has been signed and repayments are current.
Tax Problems Comments
Staff now maintains an effective and accurate payroll processing system based on QuickBooks accounting software. On 09/20/2011 the tax payer was deemed non-compliant by the IRS for not filing tax returns for the 2nd, 3rd, and 4th quarter of 2010 and 1st quarter 2011. Joyce Herr CPA is working with Mike Mida on a payment agreement for back taxes. On 09/7/2011 the State of Alaska Department of Labor Employment Security Division denied tax clearance through the period ending 03/31/11. Currently Levelock is not listed in The Small Community Tax Lien List.

Personnel System

Essential Indicators
Answer Question
Yes The utility has a posted workers compensation insurance policy in effect.
Sustainable Indicators
Answer Question
Yes The utility has adopted and uses a Personnel Policy, which has been reviewed by an attorney, AML or Commerce for topics and language.
Yes The utility has adequate written job descriptions for all positions.
Yes The utility has adopted and follows a written personnel evaluation process that ties the job description to the evaluation.
Yes The utility has an adequate written hiring process.
Yes The utility has personnel folders on every employee that contain at least: I-9, Job Application and Letter of Acceptance.
Yes The utility has a probationary period for new hires that includes orientation, job training/oversight, and evaluations.
Yes The utility provides training opportunities to staff as needed and available.
Personnel System Comments
Workers compensation insurance is purchased through Alaska National Insurance Company. The employer's notice was posted as required. On 09/16/11 the Division of Workers Compensation verified coverage was active. Personnel files and job descriptions are in the process of being updated.

Organizational Management

Essential Indicators
Answer Question
Yes The entity that owns the utility is known; the entity that will operate the utility is set.
N/A The policy making body is active in policy making of the utility.
N/A The policy making body enforces utility policy.
Yes The utility has an adequately trained manager.
Yes The utility has an adequately trained bookkeeper.
N/A The utility has an adequately trained operator or operators.
No The utility has adopted the necessary ordinances (or rules and regulations) necessary to give it the authority to operate.
Sustainable Indicators
Answer Question
Yes The utility has adopted an organizational chart that reflects the current structure.
Yes The policy making body meets as required.
Yes The utility complies with the open meeting act for all meetings.
Organizational Management Comments
Garbage haul is subsidized. The council is active in policy making and enforcement. The manager and bookkeeper are trained and experienced.

Operation of Utility

Essential Indicators
Answer Question
N/A The utility operator(s) are actively working towards necessary certification.
Yes The utility has a preventative maintenance plan developed for the existing sanitation facilities.
Sustainable Indicators
Answer Question
Yes The manager receives a monthly O&M report from the utility operator and routinely "spot checks" the facilities to see that the maintenance items are being completed.
Yes The utility has a safety manual and holds safety meetings.
Yes Utility facilities have not suffered any major problems/outages due to management issues that are unresolved.
Yes The utility is operating at the level of service that was proposed.
Yes The operator provides status reports to the manager on a routine basis.
N/A The utility has completed and distributed its "Consumer Confidence Report".
N/A The utility is not on the "Significant Non-Complier" (SNC) list.
Yes The utility maintains an inventory control list.
Yes The utility maintains a critical spare parts list.
Operation of Utility Comments
The village provides septic pumping services and maintains the sewage trench. The village council is not required to have a certified water operator or wastewater operator or provide the community with a consumer confidence report. Levelock is not on the Significant Non-Compliance (SNC) list. The solid waste operator is updating his solid waste management certifications. The Solid Waste operator is an active member of the Tribal Solid Waste Advisory Network, and is working to stay current in solid waste management. The designated operator for the sewage pumping service maintains direct contact with the administrator before and after service is rendered. The utility needs to update their inventory list and critical spare parts for the septic pumper.