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Home My Public Portal About03-17-2003 PROCEEDINGS OF THE COMMON COUNCIL OF THE CITY OF RICHMOND,INDIANA,SERVING AS A BOARD IN CHARGE OF THE OPERATION OF THE RICHMOND POWER&LIGHT PLANT MONDAY,MARCH 17,2003 The Common Council of the City of Richmond,Indiana,serving as a Board in charge of the operations of the Richmond Power&Light Plant met in regular session at 7 p.m.Monday,March 17,2003 in the Council Chambers in the Municipal Building in said City.Chairperson Bruce Wissel presided with the following Councilmembers in attendance:Howard"Jack"Elstro,Etta J.Lundy,Karl Sharp,Bing Welch,Larry Parker,Stephen H.Rabe,Phil Dickman and Sarah"Sally"Hutton. The following business was conducted: ROLL CALL Nine present. MINUTES FOR MARCH 3,2003 Councilmember Welch moved to approve the minutes of March 3,second by Councilmember Sharp and the motion was carried on a voice vote. APPROVAL OF BILLS,INVESTMENTS AND TRANSFERS - Upon recommendation of the Finance Committee,Councilmember Hutton moved to approve the following bills for payment,seconded by Councilmember Dickman and the motion was carried on a voice vote. Bills Already Paid: Payroll and Deductions $263,992.58 Investments Purchased From: Cash Operating Fund Bond Sinking Fund Utility Bond Reserve Fund Depreciation Reserve Fund Insurance Reserve Fund Consumer Deposit Fund Cash Reserve Fund Group Insurance Fund Total $263,992.58 Telecommunications Division Investments Purchased From: Cash Operating Fund Transfer from Cash Operating Fund to: Cash Reserve Fund for Payment To City in lieu of taxes Transfer from Cash Operating Fund to: Depreciation Reserve Fund For Property&Plant Transfers from Depreciation Reserve to: Cash Operating Fund Transfers from Consumer Deposit to: Cash Operating Fund Transfers from Utility Bond Reserve Fund to: Bond Sinking Fund Transfers from Cash Operating to: Interest and Bond Principal Bond Sinking Fund Cash Reserve Fund Utility Bond Sinking Fund Depreciation Reserve Fund Insurance Reserve Fund Consumer Deposit Fund Interest and Bond Principal End of Month Petty Cash Revenue Bonds Interest Coupons Redeemed - Interest Coupons Redeemed Miscellaneous Prepaid Invoices $ 119,883.58 ' Telecom.Div.Misc.Pre Paid Invoices: 48,619.64 Total Prepaid Invoices: 1,880,113.80 Total EFT/Direct Deposit of Payroll: (87,998.63) Total Prepaid Invoices: 1,792,115.17 Total EFT Transfers: 1,271,173.46 Total Prepaids plus EFT Transfers: 3,063,288.63 Total Bills Not Paid: 460,254.15 Grand Total of Bills to be approved: $ 3,523,542.78 RP&L Minutes Cont'd March 17,2003 Page 2 REMARKS BY CHAIRPERSON Chairperson Wissel had no remarks. UNFINISHED BUSINESS STREET LIGHT COMMITTEE REPORT Councilmember Elstro had no remarks. REPORT BY GENERAL MANAGER General Manager David Osburn requested authorization to fill the positions of Lineman,Truck Driver/Groundman,and Accounting Supervisor.He explained that once a position has been vacant for some time,he needs to come back before the Board to get approval to fill it,and that's the case tonight.He said the line department management has requested that this position be filled on a second shift basis and added that it has a lot of merit,explaining that by doing that there would be somebody who could respond to calls as needed.He said their primary job would be to run street lights,do relamping and do service related calls.He said he feels this would cut down on some of the overtime and he thinks it would be a good service related move and they would like to give it a try. He said by filling the position of Accounting Supervisor it would relieve the utility's Finance Manager from a lot of work that she does and would free her to work on some things that would bring a significant value to the utility over the next two years.He gave as an example of work to be done,he talked about inventory,saying that they needed to look at the utility's inventory management practices and the stocking levels.In answer to a question by Councilmember Hutton,Osburn said if this gets approved he would come back and amend the salary ordinance. Councilmember Welch moved to authorize the General Manager to fill the three positions mentioned,second by Councilmember Sharp and the motion was carried on a voice vote.Osburn said he would keep Board members up to date as to how this procedure progresses. Osburn also requested authorization to purchase 3 high voltage circuit breakers for the N.W. 11`h Street Substation for a total cost of$56,670.In answer to a question by Councilmember Parker Osbum said one is always kept on hand as a spare.Councilmember Welch asked if these were in the 2003 budget and Osburn said they are in the budget but not as a separate line item,adding that there is a general budget for system improvements and substation improvements and that is what it gets charged off to.Councilmember Welch moved to authorize the purchase of the circuit breakers, second by Councilmember Parker and the motion was carried on a voice vote. Osburn invited Amy Burris,customer service manager at the 8th Street RP&L office,to step to the microphone to talk about the moratorium for cutoffs for customers who are delinquent in their bills.Burris said this concerns the SAFE program which is a federally funded program for the low income families that need assistance with their heating and cooling bills.She said that between December 1 and March 15,RP&L is not legally allowed to disconnect those customers regardless what their bill is.She added that if they had applied for SAFE or have received SAFE then the service cannot be disconnected. She said there were 1,343 customers who participated in that program this year and the majority of those haven't made any payments so she said she is concerned that Councilmembers might start getting some calls once RP&L starts to disconnect service. She explained that the utility always offers a payment agreement so they can come into the office and make arrangements for payment,but those customers who have not made a payment in over 90 days are going to be asked to pay 30 percent of their past due balance then the utility would set up a payment agreement. She added that some have not made a payment for 5 months.She said that most of those accounts are now kicking into the disconnect mode so those customers will receive a notice and they will have 17 days to come into the office to make arrangements or make payment on that notice. Burris said if customers have prior payment arrangements,and some date back to September and October,that they did not pay,then they have just been held back because the utility has not disconnected service because of the moratorium. She said those customers will go into disconnect mode quicker,going into it three days after the moratorium ended, which would be this week. Those people needing assistance,she said,may call upon three agencies for help.They are the Salvation Army,Community Action and the Wayne Township Trustee's office. Osburn commented that customers are aware of how far behind they are getting on their bills because it does show on their bills what their past due allowance is as well as their current allowance.He said RP&L's purpose in getting this information out to the public is to make them more aware so they can start making arrangements to get the bill paid.In answer to a question by Councilmember Hutton,Burris said the individuals do sign something when they go to SAFE to request help,which tells them that they should attempt to make payments toward their bill and it informs them that if they do not do that,come March when the moratorium runs out,the utility may not be able to make arrangements with them.Councilmember Lundy said may be it would be a good idea for RP&L to send notices to customers that they should be making payments and telling them what would happen on March 15.Burris said the utility might be able to implement something like that for customers next year. Answering Councilmember Parker's question about whether or not all the 1,343 customers are on the bubble as far as getting disconnected,Burris estimated that perhaps a little more than 50 percent are.She said the payment agreements are set up monthly for the next time they receive a bill and when that bill is due they need to pay half plus their current bill,then the next month the other half plus the current bill.Burris said most of the bills are in the median$500 range, but there are many that are$1,000 to$1,200.She pointed out,however,that not all of the 1,343 customers are behind at this point in time,saying that many have received assistance but are paid up and many of the elderly who receive assistance,their bills are paid up.Answering a question by Chairperson Wissel,Burris said those people who are in the SAFE program who have made an effort to keep their bill current and get behind would not need to make that 30 percent payment to get an agreement. RP&L Minutes Cont'd March 17,2003 Page 3 Osburn said that after meeting recently with the Richmond Sanitary Board and its attorney about the landfill gas project he feels that an agreement can be put together and they are going to be able to spread the project out so that there will be a smaller investment next year.Osbum also commented on the legislative activity,noting he was keeping his eye on one of the bills having to do with raising the claims liability cap. NEW BUSINESS ADJOURNMENT There being no further business,on a motion duly made,seconded and passed,the meeting was adjourned at 7:30 p.m. Bruce Wissel,Chairperson ATTEST: Norma Schroeder,Clerk