1. The meeting was held at the District Building at 5:00 PM on December 21, 2005. Present were:
COMMISSIONERS: Floyd Ford, Sandra Hatcher, Glenn Senter, Travis Beach, & Lonnie Houck.
TCW&SD STAFF: John Gentry, David Morgan, Diane Carlton and Shirley Shinholser.
Chairman Ford declared that a quorum was present.

2. Chairman Ford welcomed our guests: Lynn Aibejeris; Lynette Senter

3. The minutes of our meeting on November 16, 2005 were presented. A motion was made by Travis Beach and seconded by Sandra Hatcher to approve the minutes as read. Minutes were adopted unanimously.

4. Staff and Committee Reports
· Sewer Project Update - John Gentry
Our final Progress Meeting was held on December 19 with 298 grinder pumps installed. Fritz, Bud, and I (John) took a tour of the project to note items that need to be completed and a final punch list is being prepared. A final change order is also in the works for an additional 8 days with final completion coming late December. All units of Keaton Beach Landing are now connected. We have not yet had a response from Howie Woods regarding payment for installation of a grinder pump. The grinder pump and electrical box installed in error on his lot have been removed but the wet well remains on his property. There are four (4) septic tanks that could not be decommissioned due to buildings, concrete drives, etc. The Health Department will be advised that they have been disconnected but not pumped. The WWTP is operating and our Contract Operator, Doyle Frierson, is addressing concerns. Those customers connected to the system prior to December 3, 2005 will be billed in January 2006. Others will be billed in February 2006.

At our request, Roger Murphy of QPS has signed a contract to connect 13 additional customers to the
system. We have requested that the work be completed within 14 days after all the material has arrived.
Some customers require an extended line to supply service and future customers are bypassed in the process.
As a general consensus, the Board agreed that if a customer puts up the money to extend the line to get
connected, that he be reimbursed in the future for the additional line costs as other bypassed owners
come on line. TCW&SD will be responsible for record keeping.

We've been reviewing our Contingency funds, which seem to be accurate. The desired equipment is being sought. We've obtained two (2) quotes on a ¾ ton HD 8' bed 4x4 service truck. Thomas Chevrolet has quoted $28,946 on a vehicle, which includes a utility body with a hoist. We are looking for a pump. If Mary Gavin of Rural Development approves, we will submit an invoice as soon as possible since expected delivery is ten (10) weeks. We may need a backhoe in the future but we anticipate contracting out the heaviest work at this time. We will "exchange" any defective GPs with those on hand and seek repair/replacement as needed. After reviewing our funds, we may purchase a mower for the lift station maintenance but we plan to contract the mowing of the spray field. In summary, QPS has worked diligently these last months to complete the contract. We anticipate one (1) final Partial Pay Estimate and will pay retention when all work is approved and liens have been satisfied. A tour of the facilities is being considered and a ribbon-cutting ceremony is being planned.

· Financial Reports - Diane Carlton/Shirley Shinholser
Our sales are up by $946.81 but our receivables are down due to overpayments and past due accounts. We are addressing all Past Dues via phone/letters. The Poppell account has been turned off and must be paid in full before water service is restored. Crowder is making monthly payments. There have been several account adjustments due to line cuts by QPS as well as misread and miss-keyed meter readings.

Our November 2005 Financial report was presented noting that we paid out the previously approved $3740 from our Cash Reserve Savings to JEA for our portion of the Phase 2 Pre-Development work. We also paid Utility Services the $3,000 annual tank maintenance fee. We are paying all bills in a timely manner and

should be able to direct more towards loan payment reserves and capital improvement savings as the sewage funds come in.

Our water rate required further revisions when the sewage rate was introduced into our RVS system. Structure G was prepared by combining two 3,000-gallon increments to create one 6,000-gallon increment.
Travis Beach made a motion that we adopt Structure G as our new water rate. The motion was seconded by Sandra Hatcher and approved unanimously.

· Management Issues - John Gentry
(None at this time.)

· Operational Issues - David Morgan
There are two major water leaks at Cedar Island and Ezell Beach that are now being addressed.

· Phase II - Floyd Ford
The Environmental Assessment (EA) and Preliminary Engineering Report (PER) are being reviewed. They need to be updated and formally submitted the first of 2006. Copies of the CBIR and Congressman Boyd's letter of support have been sent to Representative Kendricks and Senator Argentziano. Someone will need to go before the committee with pictures, etc. to secure funds. We've asked for one (1) million. We need to put out some feelers to SRWMD and/or OTTED the first of the year to request surplus funds that may be needed. We can advise Mary Helen Blakesley of our budget and request additional help as needed. Rural Development has funded the Pre-Development and we have been promised $750,000 from EPA.

5. OLD BUSINESS
· Fire Hydrants:
Commissioner Bethea has advised us that fire hydrants for the Beaches were NOT included in this year's
budget for TCBCC. He will attempt to get them into next year's budget. Buddy Humphries has said that we
need $15,000 but we think they can be installed for about $2700 each.

· District O&M Building and Equipment:
Repairs are being made to the existing units used by QPS. Additional lime rock is needed at the Chlorine
building and we will ask QPS to install it before leaving the site. Spare parts are under review. We
anticipate that it will take two months to close everything out.

· Sign:
Glenn is to appear before the TCBCC on January 9th addressing the fact that we are a non-profit public utility that needs to identify our location.

· Court Order on Timothy Brooks:
Trey Howard, assistant to Mike Smith, is attempting to serve Mr. Brooks. If they cannot serve the papers in person, they will serve them through the local paper. We will advise Mr. Howard that it has been reported that Mr. Brooks may be at Cedar Island now.

· New Commissioners:
Travis Beach recommended Lynn Aibejeris as a third nominee for the TCW&SD Board of Commissioners.
A letter will be sent to the TCBCC requesting that the appointment of a Commissioner to replace Floyd Ford
be placed on their January 9, 2006 agenda. Glenn Senter made a motion that we advise the TCBCC of
the three (3) nominees who are willing to serve in this capacity and, furthermore, that
TCW&SD requests consideration in the following order:
1) Lynn Aibejeris 2) Bill Calhoun 3) Tommy Mauldin
The motion was seconded by Travis Beach and approved.

· Proposed Joint Meeting with TCBCC
The Commissioners of TCW&SD agreed unanimously to meet with the TCBCC on the suggested date of January 9, 2006 from 5:00-6:00. As part of the discussion pertaining to future development and provision of water and sewer, the TCW&SD Board will address the lack of infrast5ructure versus the amount of taxes paid by Beach residents. These concerns include but are not limited to: hydrants, dredging and maintaining canals, a ladder truck, a fire station, elevated tanks, and the paving of Jody Morgan Grade for evacuation.

6. NEW BUSINESS
· Gifts of Appreciation for Philip Maddox and Sandra Bolton
After due consideration, a motion was made by Sandra Hatcher, seconded by Glenn Senter, and approved unanimously that we allocate and approve the following:
1) A $35 gift value for Philip Maddox for taking lab samples to Madison during 2005.
2) A $25 gift value for Sandra Bolton for faithful service to TCU and TCW&SD prior to
retirement.

· TCCA Use of Building
Sandra Hatcher made a motion that the Board approve the use of the District Building by TCCA on Sunday, January 15th for an "after Christmas" party and that no fees be charged provided they adhere to the stipulated requirements. The motion was seconded by Travis Beach and approved unanimously.

· Gray Water Issue
Letters are being included in the billing addressing the issue of gray water being sent into the canals versus the grinder pumps. As a Water District, we can cite those who do not meet the specifications. The Board can exercise necessary power to address all concerns and insist that the Health Department enforce connections. Per the "Clean Water Act", violators could be assessed $10,000 or 10 years. Notations will be made on non-compliance and further action taken.

· Policy Development and Adoption
The following will be placed on the Agenda for our January meeting:
1) TCW&SD must enforce the mandatory hook-up of those within 200 ft. of our sewer lines. The Board needs to develop a policy of enforcement.
2) TCW&SD needs to develop a policy to deal with delinquent Commissioners.

· Bonus for Office Manager
Commissioner Ford recommended to the Board that a $200 end-of-year bonus be given to our Office Manager, Shirley Shinholser, in appreciation for her dedicated contribution to TCW&SD since joining the team in March 2005. Travis Beach made a motion to give Shirley Shinholser a $200 bonus. The motion was seconded by Sandra Hatcher and unanimously approved.

A plaque of appreciation was presented to retiring Commissioner Floyd Ford. Words of commendation were given regarding his vast assistance and faithful dedication to TCW&SD.

Motion to adjourn was made by Travis Beach. A second was received and meeting adjourned.

(The next meeting is scheduled for Wednesday, January 18, 2006 at 5:00.)

Board Actions: 1. Approve Minutes from November 16, 2005
2. Agree to reimburse customers who pay for additional lines that bypass others
3. Adopt Structure "G" as current water rate
4. Approve recommendations to TCBCC for TCW&SD Commissioner
5. Approve appreciation gifts for Maddox and Bolton
6. Approve use of District Building by TCCA
7. Approve $200 bonus for Office Manager

Action Items: 1. Pursue lease of QPS building and all modifications needed.
2. Develop policies for mandatory sewer hook-up
3. Develop policy for delinquent Commissioners

John K. Gentry, P.E.
General Manager