HomeMy Public PortalAbout03-15-1976 PROCEEDINGS OF THE COMMON COUNCIL OF THE
CITY OF RICHMOND, INDIANA, SERVING AS
A COMMITTEE IN CHARGE OF THE OPERATION OF THE
RICHMOND POWER & LIGHT PLANT, MARCH 15 , 1976
1 The Common Council of the City of Richmond, Indiana, serving
2 as a committee in charge of the operation of the Richmond Power
3 & Light Plant, met In regular session March 15, 1976, at the
4 hour of 7:00 p.m. in the Municipal Building of said City. Mr.
5 Ahaus presided with the following members present: Messrs.
6 Austerman , Cornett, Elstro, Merchanthouse , Mills, Paust and
7 Williams. Absent: Mr. Carter. The following business was had,
8 to-wit:
9
10 Mr. t[i:lliams moved to approve the minutes of the previous meeting ,
11 seconded by Mr. Mills; and on unanimous voice vote the motion was
12 carried.
13
14 Mr. Cornett moved to approve the following bills , seconded by Mr.
15 Paust and on unanimous voice vote the motion was carried.
16
17 APPROVE THE FOLLORING
18 Bills in the amount of $527,541 .88
19 Interest coupons 3,188.75
20 1 Payroll 71 ,104.49
21
22 TRANSFERS FROM CASH OPERATING FUND
23 Depreciation Reserve Fund 91 ,000.00
24 Utility Bond Reserve Fund 68,251 .65
25 Cash Reserve Fund 60,000.00
26
27 INVESTMENTS PURCHASED
28 *Depreciation Reserve Fund 91 ,000.00
r
290 " **Cash Operating. Fund 300,000.00
3 *Cash Reserve Fund 60,000.00
31
32 *C.D. 's Maturing 12-31-76, yielding 5 3/4%
33 **C.D. 's Maturing in 90 days, yielding 5 to 5 1/2%
34
35 Chairman Ahaus reminded members of a meeting Monday, March 22 ,
36 1976 at 7:00 p.m. at Richmond Power & Light.
37
38 Chairman Ahaus called the attention of the members to a letter
39 each received from Ernst and Ernst.
40
41 Mr. Merchanthouse questioned investing in C.D.s at their present
42 interest rate. More interest is being paid for under $100,000.00
43 than over $100,000.00. Mr. Huffman stated that Mr. Cox from RP&L
44 monitors these investments.
45
46 Mr. Irving Huffman , General Manager, received bids for 2 1976 van-
47 type vehicles.
48
,. .49 Mr. Mills moved to accept and file Proof of Publication for these
50 bids , seconded by Mr. Paust and on unanimous voice vote the motion
51 was carried.
52
\ 53 The following bids were received: (See attached sheet)
54
55 Mr. Huffman wants bids referred to him for further study and
56 recommendation. Mr. Mills so moved, seconded by Mr. Rilliams and
57 on unanimous voice vote the motion was carried.
58
59 Mr. Huffman requested authorization to receive bids for a new Line
60 Truck at the next meeting. This would replace the #6 truck; however,
61 the #6 truck would replace the stand-by truck #4 and RP&L would
62 trade in #4, which is a 1952 model equipped with an "A" frame.
RP&L Minutes Cont'd
March 15, 1976
Page 2
1 Mr. Williams moved authorization for this request, seconded by
2 Mr. Paust and on unanimous voice vote the motion was carried.
3 -
4 The approximate cost of this truck will be $50,000.00 total .
5
6 Plant Superintendent Bob Ray has received word that the coal
7 supplier i.s lowering coal price from $17.50 per ton to $15.50
8 per ton plus $5.33 freight charge. This is the lowest freight
9 charge RP&L has. The present price is about $1 .00 per million
10 BTU. The April price will be .90 per million BTU.
11
12 The spot market purchase has been about .85 but lowest has been
. 13 80.(t price; however, this is distress coal . RP&L has cut contract
44 coal purchases back in recent weeks to bare minimum and have
15 purchased spot market purchase coal , therefore, decrease in fuel
16 clause. Spot market purchase has been around 85(t which will lower
17 fueld clause rate. With new price and market conditions, we are
18 in a competitive position as far as purchasing.
19
20 In answer to question about the duration of our contract, Mr.
21 Huffman stated that the contract is subject to escalation and
22 is subject to change after a 3 month notice. Both sides feel
23 the contract should be re-worded and re-negotiated for longer
24 term and more stability in contract.
25
26 The fuel portion of bills will be coming down about 4%. The
27 Public Service Commission is running at a 3 month backlog on
28 reviews, so user may not realize this reduction for 4 months.
29
30 Mr. Elstro asked about the old Main Street dam which was install-
31 e.d by RP&L and is deteriorating. Mr. Huffman said that since
32 RI &L has no need for this dam at this time, there is no reason to
33 keep the dam up. zn answer to another question by Mr. Elstro,
34 Mr. Huffman stated that RP&L has engaged a firm to tear down the
35 old cooling tower; however, this was some time ago , and nothing
3& has been done thus far. Mr. Huffman said the situation is being
37 held in cold stand-by and could be put into service, if required.
-
38
39 Mr. Austerman announced a public meeting at Charles School on
40 Thursday, March 18 at 7:30 in the gym to discuss street lighting
41 in that area.
42
43 There being no further business, on motion duly made, seconded,
44 and passed, the meeting was adjourned.
45
46 Fredric Ahaus
47 Chairman
48
49 ATTEST: JoEllen Trimble
50 City Clerk