5/16 Board Meeting Recap

Three biggest takeaways from the meeting last night, none of which were actually on the agenda:

1.  The company is attempting a new well at Cambria/Mescalero Rd.  As of last night, the rig has drilled down to 320′.
2.  The board will no longer use Zoom for remote participation.  There will be no remote participation.  In person or not at all, from now on, at board meetings.  This does mean they are unable to turn anyone away from the meeting as long as 24 hours written notice of intent to attend the meeting is provided in advance. The board discussed meeting in the garage from now on (not kidding).
3.  30% of the water pulled from the wells/tunnel in April disappeared.  For the year, that means just over 25% of the water has been wasted (10% is the accepted industry standard).  That’s quite a bit of money down the drain.  The GM said it might be due to faulty meters, and that’s why the company is working on upgrading meters.  They replaced 3 meters in April and 2 in March, and with 1,200 current meters in use, obviously this is a problem that won’t be fixed anytime soon.  If this is a meter issue and not a leak the company doesn’t know about, then some customers are getting lots and lots of free water at the moment.   If that’s you, enjoy it!

Other items that were on the agenda:

1.  A customer with one share had a water leak in March, and received a $2000+ water bill in April that he can’t pay.  He petitioned the board for relief on the large bill, and was denied.
2. A great deal of time was spent discussing the share buyback plan – with the board secretary tasked with writing up the details of the plan.  This one is a little weird.  What exactly did the shareholders vote on if the company is going to go making changes to the plan proposed at the annual meeting?
3. Sheep Creek is finishing their well rehabs with Well 8, which is fine and all if a little confusing since there haven’t been issues with this well.  It does seem like the company has more money than it knows what to do with thanks to Tier 3, so the board is trying to figure out how to spend it.
4. Dave Nilsen is going to train the board on how to use Robert’s Rules of Order.

Finally, the company lawyer was in attendance, which is highly unusual.  There was nothing on the agenda for him, so it’s a mystery why he was there.  An expensive mystery, obviously, but the company clearly has money to burn.  The lawyer only spoke once, making a suggestion about the share buyback plan.