Docket Item 3

Staff Report & Agenda Item Details

3. Consider Bookkeeper contract amendment and take any action thereon. Ms. Rickert presented to and reviewed with the Board the Amendment for Bookkeeping Services Agreement and a summary of the amendment, copies of which is attached hereto as Exhibit C. Ms. Rickert discussed various factors, including threats of cyber fraud, that led to an increase in operation costs for Artesian. Ms. Rickert stated that she is asking for (1) bookkeeper services fees for the STP account; (2) an increase in base fee for the GOF account; and (3) a Technology/Cyber fee, which is a one- time annual fee. Upon inquiry, Ms. Rickert stated that she does not anticipate additional projects next year since the second audit will be completed. Discussion ensued regarding automatic annual Federal Bureau CPI increase that will be effective on August 1 of each year. Director Higgins motioned to approve the Amendment for Bookkeeping Services Agreement, seconded by Director Maxwell. The motion failed due to a lack of majority vote with two directors opposing and one director abstaining. Director Randall requested to table further discussion to the next meeting. Director Maxwell motioned to add a 2nd clause regarding CPI increase every August 1, seconded by Director Higgins. The motion failed due to lack of majority vote with three directors abstaining.