SRA FY 2017 Annual Report

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SRA FY 2017 Annual Report SABINE RIVER AUTHORITY OF TEXAS Comprehensive Annual Financial Report for Fiscal Years Ended August 31, 2017 and 2016 INTRODUCTION SECTION Letter to the Board of Directors ..........................2 Supplementary Information Board of Directors ..............................................4 Amortization of TWDB Loan ......................67 Board Officers ....................................................6 Insurance in Force ......................................68 Board Highlights..................................................7 Executive Staff ....................................................8 STATISTICAL SECTION Management Staff ..............................................9 Table 1 ..............................................................69 GFOA Certificate of Achievement ....................10 Table 2 ..............................................................69 Authority General Office Table 3 ..............................................................70 Managing East Texas Water ..........................12 Table 4 ..............................................................70 Sabine River Basin Planning Issues..............13 Table 5 ..............................................................71 Cover Feature: Lake Fork Reservoir ............14 Table 6 ..............................................................71 Administrative Office and Accounting ..........16 Table 7 ..............................................................72 Water Resources Branch: Table 8 ........................................................73-74 Water Resource Management ......................18 Table 9 ..............................................................75 Resource Mgmt & Project Development .......19 Table 10 ............................................................76 Environmental Services Division ..................20 Table 11 ............................................................77 Operations Branch: Table 12 ............................................................78 Operations Overview ....................................23 Table 13 ............................................................79 Gulf Coast Division ........................................24 Table 14 ............................................................80 Toledo Bend Division ....................................26 Toledo Bend Project Joint Operation ............28 SRA QUICK REFERENCE Parks and Recreation Division ......................30 Water Supply Schedules: Lake Fork Division ........................................32 Gulf Coast Division ..................................82-83 Iron Bridge Division........................................34 Toledo Bend Division................................84-85 Iron Bridge Division ..................................86-87 FINANCIAL SECTION Lake Fork Division ........................................88 Independent Auditors' Report ..........................38 Laboratory Samples Analyzed ......................89 Management’s Discussion and Analysis ..........40 Miscellaneous Statistical Data ..........................90 Basic Financial Statements: SRA Reservoirs Map ........................................91 Statements of Net Position ............................46 Sabine River Basin Map ..................................92 Statements of Revenues, Expenses and Changes in Net Position ......................48 Statements of Cash Flows ............................50 Notes to Financial Statements ......................52 Required Supplementary Information ............66 THIS REPORT PREPARED BY THE AUTHORITY GENERAL OFFICE The cover features the Dallas Lake Fork intake structure which withdraws water from Lake Fork Reservoir under the new Lake Fork water supply contract with the City of Dallas. (For more information about the new Lake Fork Dallas contract, see page 14) 2017 Annual Report 1 2 Sabine River Authority 2017 Annual Report 3 BOARD OF DIRECTORS - 2017 Williams and his wife, Suzanne, have two children and live in the Orange area. David Koonce, Center, Texas Secretary/Treasurer Mr. Koonce is president/CEO of General Shelters of Texas Ltd., president/CEO of Campbell Portable Buildings, Ltd. and also has partner- ship interests in three small busi- nesses. He is past president of the Shelby County Chamber of Com- merce, past president and treasurer of the Shelby County Bass Anglers, Director for the Houston Livestock Show and Rodeo, member of Shelby County Area Go Texan Committee, member of Shelby County Cookers, past vice chairperson for the Shelby County Historical Com- mission, and past board member for Center Crime Stoppers. Mr. Koonce received a bachelor's degree from Stephen F. Stanley N. (Stan) Mathews Austin State University. In his spare time he enjoys hunting, fishing, travel and spending time with his grandson. He and President wife, Angela, are members of the First Baptist Church, where Pinehurst, Texas he serves as deacon, and reside in Center. Mr. Mathews owns and operates Mathews Jewelers, Inc., established in Orange, Texas in 1984 and expanded to Cliff Todd, Carthage, Texas Beaumont in 2002. Born and raised in Orange as the son of Secretary Pro-Tem J. L. and Laverne Mathews, he is very active in his commu- Mr. Todd is semi-retired and is cur- nity. He has served as Board Member, VP of Economic De- rently doing consulting and contract velopment and Life Ambassador for the Greater Orange work with an emphasis in working Area Chamber of Commerce. Mr. Mathews was named with rural communities and also for 1997 "Small Business Person of the Year." He previously the oil and gas industry in several served as a school board member of Little Cypress Mau- areas. He was formerly with C & J riceville ISD and as an advisory board member for Memorial Energy Services. Previously, he was Hermann Baptist Orange Hospital. He is a member of the the executive director of the Marshall Texas Jewelers Association, a member of the Beaumont Economic Development Corporation. He is a past member Chamber of Commerce, a member of the Lamar University of the Austin and Carthage Rotary clubs and a past presi- Cardinal Club Board of Directors and a 30-year member of dent of the Carthage Rotary Club. He retired after nearly 30 the Orange Rotary Club. In his leisure time, he enjoys golf, years with the Texas Department of Agriculture, serving in fishing and travel. Stan and his wife, Linda, have two chil- Austin and later with the TDA Rural Economic Division for dren and five grandchildren and reside in Pinehurst, Texas. the entire East Texas region. He is involved in overseeing the management of his family-owned farm and ranch in Earl Williams, Orange, Texas Panola County. He has served as a longtime adult and col- Vice President lege Sunday school teacher for over 25 years. He currently Mr. Williams is CEO of Tool Tech serves as a deacon for Central Baptist Church. He enjoys Machining in Beaumont, Texas, part- being a pilot and spending time outdoors on weekends on ner of Cypress Bayou Industrial their farm. His wife, Denise, is a retired kindergarten teacher. Painting, and President of Cypress They have one daughter, Sara Roth of Dallas and two grand- Bayou, Inc. in Orange, Texas. He re- children. Mr. Todd received a bachelor's degree from ceived a Bachelor of Science degree Stephen F. Austin State University. from Howard Payne University, a Master’s degree from Stephen F. Austin State University and completed post graduate work at Texas A&M University. Mr. Williams was appointed to SRA's Board of Directors by Governor Rick Perry in 2001. He previously served on SRA's Board from 1994 to 1999. Mr. 4 Sabine River Authority BOARD OF DIRECTORS J.D. Jacobs, Jr., Rockwall, Texas Executive Board. Ms. Newcomer received a bachelor's Past President degree from Sam Houston State University, a master's Mr. Jacobs is the former President degree in elementary education from Stephen F. Austin State and CEO of Jacobs Transportation, University, and a master's degree in education counseling Inc. He resides in Rockwall County from Oregon State University. Ms. Newcomer has a where he farms 4,000 acres of cot- daughter and son-in-law and four grandchildren. She and ton, corn, milo and wheat and runs a her husband, Ed, reside in Mauriceville and she is a mem- 100-225 head cow/calf operation. Mr. ber of the choir at First Baptist Church of Orange. Jacobs is a current member of the Farm Service Agency County Com- Jeanette Sterner, mittee, the Rockwall County Extension Service Advisory Holly Lake Ranch, Texas Board and serves as VP for the Rockwall County Farm Bu- Col. Jeanette Sterner was honorably reau Insurance Board. He formerly served on the Rockwall discharged from the United States Housing Development Corporation Board. He received the Army and Texas Army National "2001 Agricultural Excellence Award" from the Texas Depart- Guard after 30 years of service. ment of Agriculture. Mr. Jacobs and his wife, Ollie Marian, While serving in the Texas Army Na- have three children and four grandchildren and he is a mem- tional Guard, she worked for the Vet- ber of the Lake Pointe Baptist Church of Rockwall. eran Administration Medical Center in Dallas as a vocational rehabilita- Cary “Mac” Abney, tion counselor and clinical coordinator for the Veterans Marshall, Texas Homeless Program. She is an active member of the Military Mr. Abney is a certified public ac- Officers Association of America, VFW Mineola, and the countant and president of Abney and Women’s Service Guild Holly Lake Ranch. She is vice pres- Company,
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