Barbara Carawan

The Reorganization Meeting of the Board of Directors primarily focused on the election and appointment of officers and committee liaisons. Key actions included the election of Ken Ingram as President, Mark Miller as Vice President, and the separation of the Secretary and Treasurer roles, with Carmen Reynolds appointed Secretary and Don Linnell appointed Treasurer. Changes were made to check signers for both the HNWS and MESI accounts, and for The Club at Hidden Creek. The Board appointed committee liaisons: Don Linnell for Finance Chair, Stephanie Lindsay for Capital Improvements, Pam Hardy for Budget O&M and the Benefits Committee, and Mark Miller and Carmen Reynolds for FRUS. A motion was passed to not assign a Board member to the Santa Rosa Regional Reuse Project liaison, relying instead on the CEO for updates, as the project is nearing completion. Furthermore, the Board approved a motion to engage a qualified strategic planning consultant to facilitate a three to five-year strategic plan, with staff directed to present recommendations by the next meeting. Finally, a motion was approved to extend the upcoming Board training from one day to two half-day sessions.

Key discussions for this meeting included the proposed agenda additions, approval of memberships for December 2025 and January 2026, and an update on the formation and scope of the Benefits Committee, including the election of Director Pam Hardy as the Board Liaison. New business involved an update from the CEO on Bad Debt Solicitation, updates from various Directors (Finance, Capital Improvement, Budget/O&M, Pension/401k, and representatives for The Club at Hidden Creek, Fairpoint Regional Utility System, and Municipal Engineering Services), a review of the November and December Quarterly 2025 Financials, approval for a sole source purchase of 13 SEL motor controllers from Electric Machine Control (EMC) for cybersecurity initiatives, approval of Change Order #3 for the SSR Reuse Project involving adjustments between Phase 1A and Phase 1B contracts with L&K Construction, a status update on strategic planning options, and approval for the purchase of new filter panels from Ovivo for the WWTP Filter Rehabilitation due to cracks found in existing panels. Engineering provided a Monthly Operations Report.

The proceedings commenced after the official closing of voting, confirming 13 members present at the start of the morning session. The agenda included the verification of public notice for the Annual Membership Meeting, noting distribution via the Navarre Press and individual mailings. An update on financials indicated that unaudited November and December financials would be considered at the February meeting, with the 2025 audit expected to be presented in April 2026; the 2024 audit is available online. The results of the Board of Directors election were announced, with Ken Ingram, Don Linnell, and Stephanie Lindsay elected for three-year, three-year, and two-year terms, respectively. Departing President Crumbley and Director Matthews were recognized for their service. The Board scheduled a Reorganization Meeting for Monday, January 26th, and a tentative Board training session for Friday, February 13th. During the Member Forum, a member expressed concerns regarding recurring high water bills resulting from water main breaks on business property, noting that previous assistance under the leak adjustment policy had been utilized. Staff clarified policies regarding leak adjustments and liability in such private property incidents. The Board determined that the detailed request for assistance regarding the water bill should be submitted in writing for review at the next meeting.

The meeting commenced with routine announcements and quorum confirmation based on member presence. Key agenda items included the presentation and staff recommendation to approve the 2026 Budget, which features a 2.8% Cost of Living Adjustment (COLA) for employees and proposes a 12% rate increase for water and sewer services. The agenda also addressed the 2026 Election of Directors, where two directors are to be elected for 3-year terms and one for a 2-year term to fill expired and vacant seats. Later discussions included announcements regarding attendance figures, proof of public notice, and financial updates, noting that unaudited financials for November and December 2025 will be presented at the February meeting, and the 2025 Annual Audit is expected in April 2026. The proceedings concluded with election result announcements, statements from outgoing board members, and the ceremonial passing of the gavel to the Vice President, with a Reorganization meeting scheduled for January 28, 2026.

The board discussed and approved new memberships. The May financial statements were reviewed, noting an increase in water usage due to weather and the addition of new water and sewer customers. The board also considered a request for impact fee financing for Navarre Gardens North, consistent with existing policy. Customer service billing improvements were presented, focusing on transitioning to monthly billing cycles and outsourcing credit card processing to Paymentus to realize labor savings and improve PCI compliance. A plan was presented to transition customers to the new billing cycle over three months, with communication efforts to inform customers of the changes.