Yosemite Spring Park Utility Company

We have several main wells that provide clean healthy water for each of the lots, and homes. We manage and operate Yosemite Spring Park Utility Company (YSPUC) with a separate board of directors and have several employees that work for the YSPUC to maintain the system. Current YSPUC Projects- Click Here (Members Only)

   YOSEMITE SPRING PARK UTILITY COMPANY
            30250-B Yosemite Springs Parkway
   Coarsegold, CA 93614
Telephone (559) 658-7451 Facsimile (559) 658-7866

Water Company/YSPUC(written by Ken Harrington)

Financials: numbers displayed in thousands

Current – May 2010	Actual$	Budget$	May 2009 actual
Revenue	114.1K	141.2K	145.8K
C.O.G.S.	21.4K (18.7%)	29.6K (20.9%)	30.5K (20.9%)
Operating Expenses	108.1K	121.8K	118.6K
Misc Income	3.9K	2.2K	2K
Net from Operations	<11.5K>	<8K>	*<1.3K>*

Significant contributors to variance (+ & -) include lower-than-planned single family revenue (-27K), savings in COGS (+8K), new capital depreciation (-19K); lower than planned cost in grant development and related engineering services (+10K) and MTBE expenses (+4K.)

Financials: numbers displayed in thousands

Year-to-Date May 2010	Actual$	Budget$	May 2009 actual
Revenue	558.5K	706K	579.2K
C.O.G.S.	72K (12.8%)	148.1K (21%)	78K (13.4%)
Operating Expenses	580.7K	609K	511.3K
Misc Income	11.7K	12.8K	11.6K
Net from Operations	<82.5K>	<38.3K>	*1.5K*

Significant contributors to variance (+ & -) include lower-than-planned single family revenue (-131K), higher-than-expected facility fee revenue (+8K), savings in COGS (+76K), new capital depreciation (-96K); lower than planned cost in grant development and related engineering services (+49K), direct labor cost savings (+13K), non-reimbursable MTBE costs (-16.3K).

(Covers time period of May 1^st thru 31^st 2010)

Tanks: During the May period, we experienced 12 days where one or more of our storage tanks fell below the 75% fill level. The detail is as follows:

Tank #1 – Total of 1 day – Operational Decisions

Tank #2 – Total of 11 days – Operational Decisions

Tank #3 – Total of 0 days

Tank #4 – Total of 0 days

At no time during the month did any storage tank fall below 50% capacity. The 11 days noted for Tank #2 should not be viewed with any concern. It is normal in the spring weather periods for the days to warm up but the nights to remain cool. When this occurs, water usage is up during the day but falls dramatically at night. During this type of usage cycles, the production capability of the well that supplies this tank will cause an overflow if there is not additional room for the water. Since and overflow due to this circumstance would cause an unnecessary loss of water, create the potential for property damage and cause an alarm that would require an operator to correct in an overtime capacity, we choose to let the tank fall below the 75% full make and refill it during the following day. This was the case with 8 of the eleven days. The remaining 3 days was due to our shutdown of the well for the purpose of rebuilding the wellhead.

Production for May 2010 was approximately 19.54MG as compared to approximately 24.99MG for 2009, representing a decrease in production of 21.81%*. I am unable to compare weather between May 2009 and May 2010 as the private weather station located in YLP was off line for a significant number of days during May. Likewise, the next closest private weather station (Quartz Mtn.) was off line a significant number of days in 2009 making their comparisons unusable. A review of the leak repair histories comparatively for May 2009 & 2010 show that we made 5 service line repairs in 2009 compared to 5 in 2010. There were 2 mainline repairs (1 failure and 1 minor crack) in 2009 compared to only 1 mainline crack in 2010. Water used for flushing the system accounted for 279,715 gallons in 2009 compared to 192,855 for 2010, a decrease of 86,860 gallons (31.05%).

* Please note that the discrepancy found to exist in the meters at the MTBE treatment plant is still under review. We received delivery of our testing meter to be used for corrections/repairs. We are currently investigating the accuracy of the suspected meters and plan to make the correction in the near future. Production numbers and percentages noted here are based on the current recorded values known to contain errors.

(Covers time period of May 1^st thru 31^st 2010)

Well Status:

Well 1A(YSP & Corral Dr. North end): No new information to report at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 0 out of 31 days.

Well 1E (YSP & Cavestone Ct): This well is functioning properly and there are no concerns to report at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 4 out of 31 producing 361,500 gallons.

Well 28B (YSP & clubhouse drive):This well is functioning properly and there are no concerns to report at this time. This well is operated during the month on an as needed basis. . During May, this well was operated for 0 out of 31 days.

Well 31A (Ranger Circle Dr. North of Revis Rd): No new information at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 0 out of 31 days.

Well 35A (Ranger circle dr. @ Revis Rd): No new information at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 0 out of 31 days.

Well 36A (Long Hollow Ct. North): No new information at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 27 out of 31 days producing 1.82M gallons.

Well 37A, Well 40A (MTBE Treatment Plant): No new information at this time. During May, Well 37A was operated for 4 out of 31 days producing 49,540 gallons*. Well 37A was only operated on testing days. During May, Well 40A was operated for 31 out of 31 days producing 8.82M gallons*.

Well 39A (Outlot D Fire Road off Revis Ln East):This well is functioning properly with no concerns to report. This well is operated during the month on an as needed basis. During May, this well was operated for 0 out of 31 days.

Well 42A (Outlot D Fire Road off Revis Ln East): No new information to report. This well is operated during the month on an as needed basis. During May, this well was operated for 15 out of 31 days producing 1.09M gallons.

Well 44A(Outlot H Long Hollow Ct. North): This well is functioning properly with no concerns to report. This well is operated during the month on an as needed basis. This well is a very low producing well at only about 5 to 7 GPM. It cost more in power, chemicals, and labor to run this well than the amount we bill for service. Because of this, we typically do not operate Well 44A unless overall production necessitates. We maintain its status with the state because it provides us with water credit towards our system requirement. During May, this well was operated for 0 out of 31 days.

Well 45A(Outlot D, end of Blue Heron): The rebuilding work on this well site is continuing. The work is being completed as we have time to devote to this project and we are in a “design as we go” mode. Both of these add to the number of days needed to complete the project. The plan is to create a new “standard” well format that will have many improvements over previous designs while also allowing for the installation of improvements in the future while minimizing the need for additional major reconfigurations. During May, this well was operated for 23 out of 31 days producing 1.59M gallons.

Well 47A(YSP, North of Revis Rd):No new information at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 29 out of 31 days producing 5.81M gallons.

Well 48A(North Dome Dr. near North Dome Ct.):No new information at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 0 out of 31 days.

Well 49A (Parking lot at Golf Course –PERMITTED AS OF MAY 15, 2009): No new information at this time. This well is operated during the month on an as needed basis. During May, this well was operated for 0 out of 31 days.

The following wells are not currently listed on our permit as available. Their status is:

Well 11A(OFS Date 09-12-01) – Ordered off to due to MTBE contamination.

Well 18A(OFS Date 09-12-01) – Ordered off due to concern of spreading MTBE contamination.

Well 29A(OFS Date 05-19-01) – Ordered off due to fecal bacteria contamination.

Well 38A(OFS Date 08-09-04)– Placed on standby status due to failed pump and motor and possible uranium concerns. This well does not produce enough water to warrant the repair expense at this time.

Well 41A(OFS Date 03-31-04)– Placed on standby status due to failed pump and motor and subsequent well collapse after pump was pulled.

Well 46A(OFS Date 06-06-05)– Ordered off due to uranium contamination.

Boosters:

All boosters are functioning properly with no concerns to report at this time.

(Covers time period of May 1^st thru 31^st 2010)

Operational Items/Misc:

Repairs:

	2010 period	2009 period	2010 Ytd	2009 Ytd
Total Leaks	6	7	23	26
Main Repairs	1	2	6	8
Service Repairs	5	5	17	18
Pro-active Repairs	2	1	7	7

In May, there was one repair listed as a main repair. This repair was due to a crack in the main which would normally be repaired using a repair clamp. However, in this case a short section (1.6 feet) was replaced because the crack was long enough that it was felt that a repair clamp may not permanently hold. Of the 5 service repairs, 2 were off road repairs and were handled with repair couplings. The remaining 3 service repairs were handled by adding corp-stops and replacing the service lines.

There are currently 3 known active minor service line leaks pending (2 discovered on June 11^th).

We have not set any additional water meters since the last reporting period. As of June 11th, we have set 2 new water meters YTD.

Equipment:The non-invasive flow meter ordered on April 22^nd arrived but was missing all of the required connection cables. These cables did not arrive until the afternoon of June 4^th. We have entered the required parameters to test 3 of the four suspect meters at the MTBE Treatment Plant and have performed some initial checks. We will continue with our tests to verify our current findings and then make determinations regarding corrective actions. So far it appears that Well 40A is recording production at a rate of approximately 40gpm higher than the actual. This flow rate, if it remains constant, would equal 1,785,600 gallons of falsely recorded water in a 31 days month. Again, we are still learning how to use this new machine so these numbers are preliminary.

One of the two new pressure recorders has been tested to verify proper operation and the second unit is currently being tested. This should be completed next week and then both units will be available for use whenever and wherever they are needed.

Compliance Testing: Nitrate testing of all wells, with the exception of Well 48A, was conducted on May 26^th. Well 48A was not collected as we were experiencing some operational troubles with the well on this morning and preferred to recollect the same on a future day to ensure sample integrity. Additionally, the Title 22 testing for Well 1A was also collected on May 26th.

Aside from the outstanding Nitrate/Nitrite test to be performed at Well 48A, we plan to perform Lead & Copper testing during the Month of June. However, we can actually pull these samples anytime between June 1^st and September 30^th to meet compliance. We typically plan for June to allow some leeway should we get busy in the season.

Main Replacement Areas for 2009:As is now common knowledge, the paving of Corral is set to begin on Monday, June 14^th. Aside from striping, this will be the final set in the mainline replacement project. My staff has located all of the new gate valves as well as the existing still in use gate valves for the paving contractor. After the paving is complete Travis Construction will return to raise the gate valve vaults to grade and cement then in place.

Hydrant Inspection / Maintenance Program: The hydrants inspections for May have been completed. June inspections are underway.

Training: The Title 22 Sampler certification class scheduled for May 28^th went very well. Although all of our staff had previously received training in proper sample collection, there is a requirement to refresh this training every two years. All of our staff received certification at the end of the class. The new aspect to this particular class is that for the first time we received continuing education credits (CE) that can be applied to our requirements for State Treatment & Distribution Operator certifications.

Valve Maintenance program: No new information to report at this time.

Annual Water System Report to the State of California: At the time of the last Board Report, the Annual Report to the CDPH had a due date of May 31^st. However, due to the numerous changes by CDPH, they extended the filing deadline until June 15^th. Our annual report was completed on Thursday, June 1^st and then filed with the State on June 8^th after I completed a second review of the new forms for 2010. An acknowledgement of acceptance by the State has been received via email.

Technologies: No new information to report at this time.