HomeMy Public PortalAbout09-02-1997 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
TUESDAY. SEPEMBER 2.1997
1 The Common Council of the City of Richmond, Indiana, serving as a Board in charge of the operations of the
2 Richmond Power & Light Plant met in regular session at 7 p.m. Tuesday, September 2, 1997, in the Council
3 Chambers in the Municipal Building in said City. Chairperson Bing Welch presided with the following
4 Councilmembers in attendance: Howard "Jack" Elstro, Etta Lundy, Bruce Wissel, Sarah "Sally" Hutton, Geneva
5 "Gene"Allen,Alan Stamper, Bob Dickman and Larry Parker. The following business was had to-wit:
6
7 APPROVAL OF MINUTES
8
9 The minutes of the meeting of August 18, 1997 were approved on a motion by Councilmember Hutton,second by
10 Councilmember Wissel and the motion was carried on a unanimous voice vote.
11
12 APPROVAL OF BILLS. INVESTMENTS AND TRANSFERS
13
14 Upon recommendation of the Finance Committee, Councilmember Hutton moved to approve the following bills
15 for payment, seconded by Councilmember Allen and by unanimous voice vote the motion carried.
16
17 Bills Already Paid 235,050.07
18 Payroll and Deductions
19
20 Investments Purchased From:
21 Cash Operating Fund 1,200,000.00
22 Bond Sinking Fund
23 Utility Bond Reserve Fund
24 Depreciation Reserve Fund 91,000.00
25 Insurance Reserve Fund
26 Consumer Deposit Fund
27 Cash Reserve Fund 171,385.00
28 Group Insurance Fund
29
30 Total Investments 1,462,385.00
31
32 Transfer from Cash Operating Fund to;
33 Cash Reserve Fund for payment
34 b City in Neu of taxes
35
36 Transfer from Cash Operating Fund to;
37 Depreciation Reserve Fund
38 for Property&Plant
39
40 Transfers from Depreciation Reserve to:
41 Cash Operating Fund
42
43 Transfers from Consumer Deposit to:
44 Cash Operating Fund
45
46 Transfers from Utility Bond Reserve Fund to:
47 Bond Sinking Fund
48
49 Transfers from Cash Operating to :
50 Interest and Bond Principal
51 Bond Sinking Fund
52 Cash Reserve Fund
53 Utility Bond Sinking Fund
54 Depreciation Reserve Fund
55 56
Insurance Reserve Fund
Consumer Deposit Fund
57 Interest and Bond Principal
58 End of Month Petty Cash
59 Revenue Bonds
60 Interest Coupons Redeemed
61 Bond Coupons
62 Miscellaneous Prepaid Invoices 184,493.42
63 Total Prepaid Invoices 1,881,928.49
64 Less EFT/Direct Deposit of Payroll (57,611.80)
65 Total Prepaid Invoices 1,824,316.69
Total EFT Transfers 1,299,649.24
Total Prepaids plus EFT Transfers 3,123,965.93
Total Bills Not Paid 596.684.40
Grand Total 3,720,650.33
RP&L Minutes Cont'd
September 2, 1997
Page 2
1 REMARKS BY CHAIRPERSON
2
3 Chairperson Welch had none.
4
5 UNFINISHED BUSINESS
6
7 There was none.
8
9 STREET LIGHT COMMITTEE REPORT
10
11 There was none.
12
13 MISCELLANEOUS BUSINESS
14
15 There was none.
16
17 REPORT BY GENERAL MANAGER
18
19 General Manager Irving Huffman said consulting engineers Black&Veach had helped prepare specifications and
20 issue those for the materials and installation for Unit No. 1 boiler. He said the companies submitting bids were
21 Asea Brown& Bavaria(A.B.B.)who owns Combustion Engineering Company; D.B. Riley, owned by Deutch
22 Babcock;and Kennedy Tank.
23
24 Black and Veach, he said, recommended the tubes be bought separately from the construction and seeing as
25 though D.B. Riley is the original manufacturer of Unit No. 1 and has the drawings they recommended the bid go to
26 them for$358,500 for the non-domestic,seamless tubes. He said they recommended the bid go to A.B.B.for the
27 labor at$752,843. He added that the amount of down time with A.B.B.will be 25 working days whereas it would
28 have been 70 working days with Kennedy Tank.
29
30 Councilmember Stamper stated that after talking with Huffman earlier, and seeing the figures for the work to be
31 done on Unit No. 1 he feels that replacing the tubes is a good idea.
32
33 Councilmember Hutton moved to accept the recommendations of Black&Veach and Huffman and award the bids
34 to D.B. Riley for the non domestic tubes at a cost of$358,500 and the installation to A.B.B. at a cost of$752,843,
35 second by Councilmember Elstro and the motion was carried on a unanimous voice vote. Councilmember Allen
36 asked about warranty and Huffman said the standard warranty is usually one year.
37
38 Councilmember Parker questioned why the drawings made by Riley would not belong to RP& L. Huffman
39 responded that some of these things are proprietary and they want you to have to come back and buy the tubes
40 from them.
41
42 NEW BUSINESS
43
44 Councilmember Stamper asked about the status of hiring the new general manager. Chairperson Welch read a
45 letter received from Carl Mykoff of the search firm recommending the position be offered to David Osborn of
46 Crawfordsville. He said he is a graduate electrical engineer and has his MBA from Indiana Weleyan, adding that
47 he has spend 16 years in the utility business and is currently involved with I.M.P.A. and the Indiana Municipal
48 Electrical Association. He asked for authorization from the Board to extend an offer of employment to him
49 stipulationg the agreement of the draft contract that he received and accepting an offered annual salary of
50 $78,000. Chairperson Welch said an additional stipulation would be that RP& L insist that he live within the RP &
51 L service territory. Councilmember Parker moved to offer the position to Osborn with that stipulation,second by
52 Councilmember Elstro and the motion was carried on a unanimous voice vote. Chairperson Welch said Osborn
53 would be asked to reply by Monday, September 8.
54
55 ADJOURNMENT
56
57 There being no further business,on a motion duly made,seconded and passed the meeting was
58 adjourned.
59
60
61
62
63 Bing Welch, Chairperson
64
65
ATTEST:
Norma Schroeder, Clerk