INSCRIPTION CANYON WATER COMPANY

 

Member Update – March 2021

TRR Water Supply discussion:

The ICWC board has recently started discussions with Jay Frank, the TRR club GM and COO of Symmetry, regarding the future of water supply to the TRR golf course.

 Jay was provided with two hydrology reports based on studies done on the TRR well field health, and the summer pumping capacity in 2020. Symmetry’s growth projections were incorporated.

Both studies concluded that while the aquifer was robust, the ICWC capacity to supply the golf course with its usual summer allotment was approaching limitations due to the expansion of households in the development, and the addition of amenities requiring irrigation. Constructive discussions are underway regarding timeline and potential supply shortfall, and alternatives to add another water source, reduce water usage and/or add water storage.

Jay Frank said he was now prepared to bring Peter Burger, the CEO of Symmetry into the discussions, and encouraged the board to keep the lines of communications open.

 

Rate Case Update

The board has executed a Letter of Engagement (Statement of work) proposal from Sonn Albrecht CPA to provide the management and assembly of a proposed rate case for the ACC.  The overall estimated cost of these services is $23K, and will be dependent somewhat on the amounts of additional information requested by the ACC staff. Having just produced all of the information to the ACC last year as part of the re-incorporation of the company, which included an onsite tour, the board does not anticipate significant additions to this scope. Trial accounting numbers generated last year indicated approximately an 11% rate hike request after 11 years.

 

Finance Report

The ICWC board has finalized and approved the 2021 pro forma operating budget. The budget showed a small profit and strong cash flow. The budget is posted to this website under the financial reports tab.

After some calculations of replacement costs and equipment lifetimes, the ICWC board agreed that $ 500K be allocated to the Capital account as reserves for future major equipment replacement. This is in addition to the ongoing maintenance budget. The contingency account was also approved to be funded with $50K for un-budgeted expenses. These changes will take affect this month.

The electronic lock box and credit card acceptance projects will be ready to test in April, and communication to members will occur in the April billing. The target is a go-live in May 2021. There will be a grace period for members to change the mailing address or E-billing accounts.

 

 

Operating Summary:

During the second week of March, there was a major service outage on the TRR delivery system. A rupture occurred in a 12-inch delivery main several hundred yards from the Cooper Morgan boost station. Many residents were without water service for approximately 4 hours while the break was located and the system was reconfigured to use the Molly Way station for the affected areas. The broken main was excavated, repaired and was on line within 12 hours. There were several small pressure and air entrainment issues after the system was brought back online. It was determined that the piping had been laid on solid rock with no bedding, and the years of vibration had allowed the rock to wear through the pipe wall.

There are also ongoing issues with ICR well #2.  The well pump recently failed again after only 17 months. The unit was sent to the lab in Phoenix for diagnosis. Warranty claims have been filed.

The board arranged some video and other testing to determine the possibility of internal well issues. The conclusion was that the well was substantially deviated (very crooked) after 140 ft. The pump will be re-installed with this in mind.

The board has agreed to pencil in June 15, 2021 for the ICWC annual meeting. The format of the meeting will be determined as the county protocols adjust.

The board requested that AQuality Water (our operator) propose a schedule and cost for preventative servicing/planned replacement of items like ARV’s and pumps. Pat Carpenter agreed to have a proposal for the board’s consideration by June 1st.

The board has also decided to go out for bids on an engineering survey of the total system. The goal would be to analyze vulnerabilities, redundancy issues, and to document operation and maintenance procedures, as well as recommend a set of stocked spare parts. Updates will be provided as this process continues.

The board has reviewed the process and timelines for the Whispering Canyon phase 5-7 and 11 buildout. Representatives met with the engineers, contractors and the developer and agreed on inspection, flushing and test protocols.

A redundancy item that surfaced from last year’s internal vulnerability assessment was Emergency Power for the wellfields and the ICR booster station. The economics determined a buy vs rent decision. The quotes received from 3 sources were approximately $35K for a trailered 150 KVA used diesel unit.

As part of this discussion, the board reviewed a rebate program that APS is offering to reduce power usage by installing variable frequency drives on pump motors. AQuality is investigating the program at another of their customers. The board agreed to research further. This would also allow the purchased generator to be smaller capacity and less expensive. The board agreed to put the generator purchase on hold pending the results of this research.

The board approved the best quote for a New structure for ICR well #1. The current structure has become very cumbersome as equipment and instrumentation have been added over the years. It is also not well suited for service work on the wellhead. The quote was for a steel structure and was for $25K. This item was planned for the 2021 operating year. This project will start next month.

 

Old Water Meter Disposal

The board has successfully found a buyer for our used water meters. The price/cost estimate would net the ICWC approximately $2K after shipping and disassembly by the buyer. This will substantially de-clutter the Grey Bears pumphouse.

If you have any questions or comments, please do not hesitate to contact a board member directly, or through the contact mechanism on this website.

 

Thank you,

Your ICWC Board of Directors

 

 

ABOUT INSCRIPTION CANYON WATER COMPANY

Inscription Canyon Water Company was formed in October of 2020. It came about as a successor to the Inscription Canyon Water Users Association, which was originally formed as a non-profit water company in 1995. This re-incorporation was performed to eliminate a legacy legal linkage between the ICRWUA and an HOA from one of the original developments in our community. 

At the time of formation of the original non-profit utility, the company served a territory including the Inscription Canyon Subdivision, under authority of and regulation by the Arizona Corporation Commission.

The water company is owned by members within the subdivisions it serves. It presently is governed by a five-member board of directors elected by the members. The board members are volunteers, elected for a two-year term. Day to day management, (including billing and accounting) and water systems operations are provided under contract agreements. The Association has no employees. Read more >>

Board of Directors

President: Mark Armstrong
Vice President of Operations: Mike Hubbard
Director: Dan Cancelleri
Secretary: Randy Joly
Treasurer: Giles Howard

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