HomeMy Public PortalAbout11-06-1978 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, NOVEMBER 6, 1978
1 The Common Council of the City of Richmond, Indiana, serving as a Board in
2 charge of the operation of the Richmond Power & Light Plant, met in regular
3 session November 6, 1978 at the hour of 7: 00 p.m. in the Municipal Building of
4 said City. Councilman Ahaus presided with the following members present: Messrs.
5 Elstro, Williams, Austerman, Merchanthouse, Mills, Carter, Paust, and Welch.
6 Absent: None. The following business was had, to—wit:
7
8 Councilman Welch moved to approve the minutes as prepared, seconded by Councilman
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9 Mills and on unanimous voice vote, the motion was carried.
10
11 Councilman Welch moved to approve the following bills and investments, seconded
12 by Councilman Carter and on unanimous voice vote, the motion was carried.
13
14 APPROVE THE FOLLOWING:
15 Bills in the amount of $1,020,557.56
16 Bonds and Interest Coupons 1,215.00
17 1 Payroll 87,742. 72
18
. 19 INVESTMENTS PURCHASED:
20 * Cash Operating Fund 660,000.00
21 ** Depreciation Reserve Fund 90,683.92
22 *** Depreciation Reserve Fund 103,511.30
23 **** Depreciation Reserve Fund 121,046.34
24 ** Cash Reserve Fund 67, 105.92
25 ** Bond Sinking Fund 69,260.41
26 *** Bond Reserve Fund 5,716.45
27
28 * Short term investments, yielding 7.8 & 8.3%
29 ** U.S. Treasury Notes maturing 1/5/79, yielding 8.3%
30 *** U.S. Treasury Notes maturing 4/25/79, yielding 9.04%
31 **** C.D. maturing 10/18/79, yielding 8.5%
32
33 Chairman Ahaus announced the Executive meeting will be. held Monday, November
34 27, 1978 at 7:00 p.m. at RP&L. A rate and fuel clause comparison will be
35 presented at that time.
36
37 General Manager Irving Huffman reported there is a hearing scheduled before the
38 Public Service Commission of Indiana on November 28th at Indianapolis
39 concerning the refund received from I&M. RP&L will present, their material and - -=
40 expense report concerning the refund and the Commission will issue an order as
41 to the amount of the refund.
42
43 Mr. Huffman reported that on October 9, RP&L received an increase in coal prices
44 from $18.80 per ton to $21.00. By January, 1979, he expects this figure to be
45 close to $23.00 per ton. The freight rates went from $6.23 to $6.48 in June.
46 It is anticipated there will be a 7% to 8% increase in December and a 6% to 7%
47 increase in July. Calculated out this comes out to an increase of 9 per million
48 BTUs or an increase of the bill of the consumer of $1.00 per 1,000 kilowatt hours
49 of usage of power. This is passed on to the consumer through the fuel clause.
50 I&M Wholesale Rate Tracking will hit on December 23rd. I&M will be increasing
51 their wholesale rate by 30% over & above the new negotiated rate. This will
52 represent an increase to our consumers of 7% to 10% through rate tracking. Mr.
53 Huffman noted that the proposed cost from Conrail is under $15,000.00 per year.
54 There would have been a $400,000.00 increase because of loss of volume freight
55 rate if Line 633 had not been preserved.
56
II/ 57
Councilman Carter recommended a letter be written to President Carter pointing
58 out the excess of his voluntary wage and price restraints as the increases noted
59 by Mr. Huffman are in excess of the President's proposal. Chairman Ahaus
60 requested Mr. Huffman draft this letter.
61
62 There being no further business on motion duly made, seconded and passed, the
63 meeting was adjourned.
64 Rick Ahaus
65 Chairman
66 ATTEST: JoEllen Trimble
67 City Clerk