HomeMy Public PortalAbout05-18-1970 • W
MINUTES OF THE MEETING 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, MAY 18 1970
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1 The. Common Council of the City of Richmond, Indiana, serving as
2 a committee in charge of the operation of the Richmond Power &
3 Light Plant met in regular session in the Council Chambers in
the
I Municipal Bldg. , in said City, May l8, 1970 at the hour of
7:00 o'clock p.m, Councilman F. Marino presiding with the
6 following members presents Messrs. Bl•ackwood, Elst.:"o, Geier,
7 Henn, P . Marino, Paust and Stigleman. Absent: Hilligoss.
8 The following business was had to-wit:
9
10 Mr, Henn moved that the minotos of the previous meeting be
11 approved, secwded by Mr . Paust and on unanimous voice vote the
12 motion was carried. •
13
14 Mr. Stigleman moved that the i'ollowing be approved and paid: ,
15 seconded by Nr . Faust a7.! u.; unElaol.is voice vote tho 11-..otioa was
a carried.
17
18 Approve the followino:._
19 gilTi—iil the amou:11: Di' $ 154,065.88
20 Interest Coupons 75.00
21 1 Payroll ' 5953879
22
23 Transfer from Cash Operating Fund to:
24 Cash Reserve Fuld ------------7, 58,292.28
25 Depreciation Reserve Fund . - 36,000.00
26 Utility Bond Fthid 22, 780.21
27
11128
29 Mr . Beck read the following letter:
30
31 • May 14, 1970
32 TO: A. E. BECK
33 FROM: D . COX
34
.)..)
''t- • Mr . Beck:
36
37 • We have ! 75„000.00 in the Cash Reserve Fund available ?or
33 investment.
39 •
40 E recommend investing this cash in U. S. Treasury Notes
41 maturing November 1 5 1971 .
42
43 The present yield on these securities is 7.48%.
44
45 • Upon approval by Council , T. vd11 place our order with the
46 First National Bank.
47
48 Mr . Blackwood moved to approve the investment, since the mriney
49 will not be needed until the notes mature, seconded by Mr , Elstro
50 and on unanimous voice vote the motion was carried.
51
1 52 Mr. Beck reported that Black 8- Veatch recalmended the Board award
53 the bid for the deaerator to the Chicago Heater Co. for f,24, 00.00,
54 lowest and best bid. Hro Beck said he concurred in the recommen-
55 dation. Mrk Stigleman moved the Boar0 award the bid as reco:mended,
56 seconded by Mr, Paust and on unanimous voice vote the motion was
57 carried.
58
59 Mr. Kent Klinge, Asst, City Attorney, sitting in as Acting City
60 Attorney examined proof of publication for one (1 ) 1970 model
61 4-door sedan and found it to be correct and in order . Mr, Geier
62 moved that proof of pub/ ication be accepted and filed, seconder!
63 by Mr . Stigleman and on unanimous voice vote the motion was carcied
64 •
65
R.P . & L. Minutes
May 18, 1970
Page 2
1 The following bids were opened l (see attached sheet)
2
3 Mr . Stigleman moved the Board refer the bids to Mr . Beck for
4 study and tabulation; seconded by Mr . Blackwood and on unanimous
5 voice vote the motion was carried.
1116
7 Mr . Klinge examined proof of publication on Heat Exchanger bids
and found it to b correct and in crder . Mr . Geier moved that
9 proof of publication be accepted and filed, seconded by Mr.
10 Stigleman and on urianimous voice vote the motion was carried.
11
12 The following bids were openedg (see attached sheet)
13
14 Mr. Stigleman wtoved the Board refer the bids to Mr . Beck for
15 study and tabulation, seconded by Mc . Elstro and on unanircous
16 voice vote the motion 4.7:1S carred.
17
9 4,
Mr . Kiinç exE:mr.ed proof of pua6icion or, Surface Condenser 6
19 Auxiliary Equipment bide and round it to be correct and in order .
20 Mr . Geier rove that proof of puolication be accepted and Filed,
21 seconded by Mr . Paust acid on unanir;ious voice vote the motion was
22 carried.
23
94 The following bids were opened (see attached sheet)
25
26 Mr. Geier moved the Board refer the bids to Mr. Beck for study
27 and tabulatim„ seconded by Mc . Sean and on unanimous voice
28 vote the motion was carried.
29
30 Chairman F. Martha read the owing letter
132 May th, 1970
33 Mr , Frank Marino, Chairmen
34 Richmond Power & Light Co.
35 Richmond, Indiapa
36
37 R7g 1630 Nerh "J" Street,
38 Crieswell Property
39
40 Dear Mr. Marinog
41
42 As instructed by you, Ucrman Pilgrim and Al Rehlicig, Realtors,
41 have thspected and researched to detemine an equitable market
44 value on the above property.
45
46 The land is directly north across the street from present sub
47 station on North "Jr' Street which would reduce cost of moving
48 and/or erecting new substation.
50 The land size is approximately 50 x 150 with the 150 ' length
51 fronting on North "J" Street . However there Is an exception
52 of 9' at west end of lot and 3 at east and for widening Hon
53 "J" Street.
54
55 The house is a larger older house in poor condition The third
11•156 assessed valuation on this property is $1 ,550.00. With no con
the -
57 sideration to fact that this is desirable to the buy it er,
58 is our opinion a fair market value of the property is $5,000.
59
60 We have learned that there is an agreement signed by both parties
61 to purchase this property for $8,550.00 contingent but the approval
62 of Common Council (Light Plant Directors) .
63
64 Because of the existence of this document, it rules out negotiating
65 at this time for the purchase of this property. If approved by
66 Council , then Purchase will be completed at agreed price. If
67
68
R.P . & L. Minutes
May 18, 1970
Page 3
T not approved, It is possible to re-neaotiate for the purchase
2 of this property, but conditions now would be unfavorable to
3 the Light Plant.
5 it would be possible to negotiate for other property .
6
7 We have also discovered that the property across the alley and
8 immediately to the west might possibly be purchased. The lot
9 size is 40 by 139.50 fronting on Morth "J" Street with. a
10 smal /or and less attractive house.
il
12 It is our opinion a fair market value of this property is $3,000.
13 Owner 's wife is 111 and the husband, Nr. •Rasner, indicated that
14 he might sell later and mentioned a price in the area of $5,5010.
15
16 There is also a very large piece of ground to the east and north
17 of the Grieswall property with 798 frontage on North UJ Street
18 and owned by Louis and Myrtle Rcbinsono This is probably a
19 little less than two acres and has beenor is a coal yard, . truck
ing operation and is a haven for junk automobiles. It would
21 also be •necessary to exercise the right of eminent domain as we
22 understand the price would be out of reason and impossible to
23 negotiate to the satisfaction of the buyer. It would also be
24 essential that the buyer prove a need- for this particular prop-
25 erty and it would take time to obtain results.
26
27 Our concluding opinion is that prices on all three properties
28 are considerably more than they would bring under normal conditions
29 and that only Richmond Power and Light Company can decide what
I30 they should pay to obtain their desired objective.
31
32 Yours truly,
33 •
34 /a/ Norwien Pilgrim, Realtor
35 /a/ Al Rehling, Realtor
36
37
38 Mr . Geier suggested each Board member receive a copy of the letter
39 foe further study. Mr . Beck reported that the property to the
40 West is only a few feet farther away than the Grieswell property,
41 and, although it is ten feet nar:-ovr , it could accommodate the
42 substation. The disadvantape is that it slopes to the west.
43 Mr. Geier suggested that the substation should be relocated to
44 the north rather than the west in order not to be in the way of
45 future housing developments, Mr . Stigleman said it might be
46 good to separate the sections. Chairman F. Marino asked whether
47 Redevelopment would pay for the lot . Mr . Deck said no, but they
48 would pay appraised value for the present substation lot, • Mr .
49 Po Marino moved that a copy of the lett:er, with all pertinent
50 addresses , added, be sent to each Board member for consideration
51 and the Board hold the decision under advisement, seconded by
52 Mr. Stigleman and on unanimous voice vote the motion was carried.
53
I54 Mr. Blackwood asked whether the Board' s decision to hire Mr .
55 Leslie Duval for consultation on the rate case in Indianapolis
56 meets with Mr . Beck' s approval . Mr . Deck said it did indeed,
57 and that Mr. Duval is being used only as cohsultant in preparing
58 exhibits . He said when it comes to formal hearings, the City
59 Attorney and anyone he might specify would do the work• .
63
61 There being DO further business on motion duly made, seconded and
62 carried, the meeting adjourned.
64 is/ Frank Marino, Chairman
65
66 Attests /s/ Lotte Hoskins, City Clerk