Commissioners Present: Chairman Dave Bitter, Commissioners: Stan Alger, Dave Skotarzak, Doug Dorn, Dick  Dow, Val  Johnson and Rick Stacey

Commissioner (s) Absent: None

Also in Attendance:

Eric Kramer- East Troy Tax Service

Bob Nauta

9 Riparian owners

Absent:

Attorney Dean Laing of O’Neil, Cannon, Hollman, DeJong S.C. (excused)

Paul Nyffeler, Accountant (excused)

Chairman Dave Bitter called the meeting to order at 7:00 pm

Chairman Dave Bitter reviewed Annual Meeting Agenda and Process for public comment.

Item #1 - Approve Meeting Minutes of Previous Annual Meeting August 24, 2009

There was a brief discussion regarding the minutes.

Commissioner Rick Stacey, made a motion to accept the August 24, 2009 Annual Meeting Minutes as presented.  Commissioner, Dick Dow seconded the motion and the motion passed unanimously.

Item #2 – Audit Committee Report for Calendar Year Ended December 31, 2009

The Audit’s Report is as follows:

After carefully reviewing the financial records of the Lake Beulah Management District (LBMD) according to the guidelines adopted by the Board of Commissioners, the Auditor, Eric Kramer expresses confidence in the financial reports for the calendar year 2009.

Eric Kramer submitted a statement/letter dated August 20, 2010.  This letter serves as a review of accounting records- deposits, paid bills, checks written, payroll and general reporting.

Mr. Kramer commented on the few checks issued which were larger than $1000- 2 for payroll, 1  for the weed harvester.  Checks totaling more than $1000 required two signatures. Changing this process would require a bylaw change.  Mr. Kramer suggested preauthorizing payroll to avoid changing the bylaws.

It was agreed that a review of the check signing policy would be added to the next regular meeting.

Also, Mr. Kramer discussed the commissioner’s stipend and secretarial services payment.  Mr. Kramer stated these payments could properly be wages.  Treasurer Dow stated he would like to poll other lake districts and also review the IRS rules and regulations.  Currently, commissioners receive a 1099 at the end of the year.

Review of secretarial services as paid employee will be added the next regular meeting schedule.

Treasurer Dow publicly thanked Mr. Eric Kramer for this presentation.  Mr. Kramer’s letter will be properly filed with LBMD records.

Commissioner Stan Alger made a motion to accept the Audit Committee Report as presented by Eric Kramer, Commissioner Skotarzak seconded and the motioned passed unanimously.

Item 3# Approve 2011 Proposed Budget expenditures of $257,547 and Property Tax Levy of $255,547.  A copy of this budget may be obtained by calling Mr. Dick Dow, Treasurer.  A copy of the budget will be posted at the East Troy Town Hall and on LBMD Website.

There was brief discussion regarding the 2011 budget. A copy of the 2011 proposed budget will be filed with the official minutes.

Treasurer Dow reported the following:

Dow reported a proposed tax levy increase of 5%.

LBMD has applied for a DNR grant to help offset the cost of the new harvester.  The final cost of the new harvester will be funded from the existing Reserve Capital Certificates.

Treasurer Dow stated LBMD was double billed for liability insurance in 2009.  This resulted in the over budgeting mistake in last year’s budget.

Under Attorney’s Fees- $5000 is added for district expansion.  Most of the money will be used for engineering fees.

Treasurer Dow stated LBMD has fulfilled their commitment to donating money to Kettle Moraine Land Trust (KMLT).  The board had discussions regarding this matter.  It was determined that since there is no tax advantage, the group will pass on further contributions at this time.  Lake residents can donate money individually if they wish.

Commissioner Dave Skotarzak gave a brief report of the Mill Lake Dam project and submitted a written report which will be filed with the official meeting minutes.

Treasurer Dow stated a 10 year line of credit has been registered; however LBMD will not need to borrow money for this upcoming budget year.

There were a few comments made by the public:

Barb Church asked for clarification regarding the new harvester and the money used for purchase.

Josie Midmon publicly thanked LBMD for their efforts.

A motion was made by Commissioner Stan Alger to accept the 2011 budget with a 5% tax levy increase.  Commissioner Dave Skotarzak seconded the motion and the motion passed unanimously.

Item #4 Treasurer’s Report: Treasurer Dow Current Year Financial Reports and Line of Credit Review

Treasurer Dick Dow presented the Profit and Loss Budget vs. Annual Budget and commented on the following items:

The tax revenue check (2^nd payment) has been received totaling $75,780.

There is $243,638 in the bank which results in an unexpected overage of $300.  This overage is a result of a lottery credit.

Administrative fees are down because money has not been used to pay for redistricting.

Weed Harvesting expenses are down.  There have been no major repairs.  Weed cutting got a late start due to DNR permit issues so employee wages are down as well.

Proposed Well Defense Fund- this is under budget and the need to add more money will depend on the decision of the WI Supreme Court.  Further discussions will take place as court decisions are made.

There were a few items discussed with riparian owners.

Commissioner Alger made the motion to accept the budget as proposed by Treasurer Dick Dow.  Commissioner Doug Dorn seconded the motion and the motion passed unanimously.

Item #5: Weed Harvesting/Equipment Status Report- Commissioner Alger:

Commissioner Alger stated official weed cutting started July 20.  LBMD has a permit to cut weeds for the next 4 years.  As of this time, there have been about 75-80 loads of weeds.  Commissioner Alger stated the harvester is working most of the time.

The DNR reported there is no need to chemically treat the lake.  There is a good weed/water balance.  The fishing and water quality has improved.

Public Comment/Discussion:  Stringer’s Bridge area needs buoys where the water is shallow.  There seems to be larger boats going through the area and getting too close to the lily pads.

Commissioner Alger stated he had discussions with the Chief of Police.  The Chief agreed to idea of placing additional buoys in the area.  The Chief agreed to investigate the cost.

There was group discussion regarding the addition of “Slow No Wake” buoys to sensitive areas on the lake.  This item will be added to the next regular meeting agenda.

Commissioner Alger went to the DNR budget process meeting and has the official minutes from the meeting.  He reported the DNR budget process has changed.  The now requires bonding- 20 year plan.  The bonding commission has to approve the grant (45% of total).  Commissioner Alger would like to wait to order the new harvester until he has confirmation of the grant.

Item #6 Lake Management Plan, Aquatic Plan Management Plan and Grant Update- Bob Nauta

Bob Nauta will coordinate with Commissioner Dick Dow as to when the plans will be complete.

USGS is sampling with water quality four times per year.  Bob suggested testing  three times per year and cutting back on analysis.  Bob suggested continuing using WI State Lab for future analysis.

Mr. Nauta provided graphs for Well #2 and Well #7.  These graphs illustrate ground water being drawn from the lake.

Mr. Nauta reported there are two missing temperature probs.  Mr. Nauta stated they are probably lost.

Mr. Nauta reported that lighting struck a well monitor and data has been lost (March-June).  The Village of East Troy has approved a new data logger and new data will be reported in September.

There were several public comments and discussions regarding these issues.

Item #7: Highway J Dam Status Report Commissioner Skotarzak:

Commissioner Dave Skotarzak provided a detailed hand out regarding the Highway J Dam timelines.  There was a meeting with Walworth County on July 20, 2010 regarding the timeline.

Fishing boats have destroyed the shoreline in front of Double D’s.  This issue needs to be addressed once the dam project is complete.

Item #8 Septic Ordinance Status Report- Chairman Bitter:

Chairman Bitter reported septic systems are working and being cared for.  Walworth County will monitor pumping in the upcoming years.

Chairman Bitter stated the current ordinance will be rescinded since the county will be handling.

The LBMD contract is ending with Otto Jacobs.  The county allows pumping by whomever the homeowner chooses.  Chairman Bitter is working to get Otto Jacobs added to the county’s preferred list.

Item #9: LBMD Boundary Status Report:

Chairman Bitter reported there are 15 properties which have lake access and are not part of the LBMD.  There was a brief review of the process to add these homes to the district.  The addition of these homes has to be approved by the county.

This item is to be added to the next regular meeting agenda.

Item #10: Well #7 Status Report from O’Neil, Cannon, Hollman, DeJong S.C.- Written Report by Attorney Dean Laing.

A hand out was provided in Attorney Dean Laing’s absence.  The hand out is a summary of pending litigation regarding Well #7.  A copy of this handout has been filed with the official meeting agenda and minutes.

Agenda Item Added: Nominating Committee Report:

Two commissioner terms are expiring as of this meeting.  Chairman David Bitter and Commissioner Stan Alger would like to continue on.  The nominating process and papers were published in local papers.  There were no riparian owner names submitted.

Commissioner Doug Dorn submitted the nominating report which nominated Stan Alger and David Bitter for an additional three year term.  There was a unanimous ballot.

Commissioner Rick Stacey made the motion to accept the nominating report as given.  Commissioner Stan Alger will continue for three years.  Chairman Bitter will continue for three years.  Commissioner David Skotarzak seconded the motion and the motion passed unanimously.

Item #11 Commissioner/Public Comments:

Commissioner Skotarzak commented on discussions he has had with other riparian owners regarding large boats creating “enhanced waves”.  This seems to be a rising concern due to the amount of boats on the lake.  There was discussion regarding this issue.

Item #12  Determine Next Annual Meeting Date: Monday, August 22, 2011 at 7:00 pm, East Troy Town Hall

After discussion of the date of the next Annual Meeting, Chairman Bitter made the motion to accept the proposed date of August 22, 2011 at 7:00 pm.  Commissioner Alger seconded the motion and the motion passed unanimously.

#13 Adjourn

Commissioner Doug Dorn made the motion to adjourn the meeting.  Commissioner Dave Skotarzak seconded and the meeting adjourned at 8:41 pm.

Respectfully Submitted,

Lisa Sweet

Administrative Services