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HomeMy Public PortalAbout05-01-1967 6`4 FJ.d. 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 RIC'HMOND POWER AND LIGHT PLANT, MAY 1, 1967 The Common Council of the City of Richmond, Indiana serving as a committee in charge of the operation of the Richmond Power and Light Plant met in regular session in the Council Chambers in the City Building in said City, Monday, May 1, 1967 at the hour of 7:00 o'clock p.m. (est). Councilman Backmeyer presiding with the following members being present: Messrs. Bell, Henn, Hilligoss, Marino, Paust, Youngflesh and Yount. Absent, Hollingsworth. The following business waS had to-wit: Councilman Marino moved the minutes of the previous meeting be approved without being 111 read aloud, seconded by Councilman Youngflesh and on voice vote was carried. Councilman Bell moved the following claims be allowed and paid, seconded by Councilman Youngflesh and on voice vote was carried: Approve the following: Bills in the amount of $82,244.48 Interest Coupons - 1953 Revenue Bonds 47.50 1 Payroll 48,006.99 CQ Mr. Beck presented the following which was read aloud: r--, April 27, 1967 A. E, Beck General Manager _ We now have an amount of $1,462,000.00 in U.S. Treasury Notes 421%, which mature May 15, 1967. These notes are in the following funds. Depreciation Reserve Fund $1,450,000.00 Consumers' Deposit Fund - 12,000.00 Total $1,462,000.00 The U.S. Treasury is offering an exchange to holders of these notes for a new issue of 44% notes, maturing August 15, 1968. These notes are offered at a discount, or at 99.95, to yield 4.29%. The subscription books open May 1st and close May 3rd. This exchange has been approved by the Finance Ceimmittee. /s/ E. S. Porter Gen. Office Manager Councilman Marino moved the General Manager be authorized to make purchase of $1,462,000.00 in U.S. Treasury Notes which mature August 15, 1968 with stipulation that there will not be a need of this amount before August 15, 1968. Councilman Youngflesh seconded this motion and on voice vote was unanimously carried. Mr. Beck presented and read the following aloud: April 26, 1967 A. E. Beck , General Manager We received a phone call yesterday from Wildman, Neal & DeBolt, bond dealers in Indianapolis, Offering to sell us $50,000.00 of our Revenue Bonds at a price of 91.5. , These are 3k% bonds, maturing July 1, 1983. We do not have sufficient money in the Cash Operating Fund at this time tobuy the entire amount. However, we can buy ten bonds, or $10,000 worth. If the money is avail- able later and the balance of the bonds are not sold, we could buy more of them if we so desired. The savings on purchase of ten bonds would be as follows: Discount $ 850.00 Interest Savings V 16 yrs. 2 mos. 5,254.17 Total $6,104.17 • R.P. & L. minutes 5/1/67 cont. Considering the fact that most U.S. Government bond yields are now below 4%, we believe this to be a good buy. The above has been approved by the Finance C&mmittee. /s/ E. S. Porter General Office Manager Councilman Youngflesh moved the General Manager be authorized to make purchase of $10,000.00 of Richmond Power and Light Revenue Bonds, seconded by Councilman Bell and on voice vote was carried. 111 City Attorney, Mr. Keller, stated that this Body should take action on the follow- ing Contract: CONTRACT THIS AGREEMENT, made and entered into this day of ,1967, by and between the Richmond Power and Light, herein referred to as Richmond Power and Light, acting for the City of Richmond, Indiana, and Wayne County Rural Electric Membership Corporation, herein referred to as REMC, WITNESSETH, That WHEREAS, the Common Council of the City of Richmond is the governing body of the Richmond Power and Light, a municipally owned electric utility, and WHEREAS, REMC is an electric utility operating in and near the limits of said City of Richmond, and WHEREAS, Richmond Power and Light wishes to purchase certain property used and useful in the rendering of electric utility service now owned by REMC, and to acquire the right to furnish electric service within certain territory now being ,serviced by REMC, which territory is described in Exhibit "A" hereof, and REMC is desirous of selling the same to said Richmond Power and Light, the parties hereto do now mutually agree as follows: 1. Richmond Power and Light will pay on the date of closing to the Wayne County Rural Electric Membership Corporation the sum of Fourteen Thousand Seven Hundred Twenty-four Dollars ($14,724.00), and REMC will deliver to Richmond Power and Light on said date of closing a bill of sa14 transferring and assigning all property owned by it within the described area except transformers and meters now in service, free and clear of all liens and encumbrances. 2. REMC shall transfer and assign to Richmond Power and Light any and all rights or franchise rights it has to serve within the area described in Exhibit "A" hereof, 3. REMC shall transfer and assign to Richmond Power and Light any and all easements covering the location and installation of poles, wires, guys and other facilities used in or pertaining to service in the annexed area together with any tree trimming permits. 4. REMC shall receive all moneys due for electric energy supplied to con- _ sumers up to and including the date of closing. All such moneys received there- after shall be the property of Richmond Power and Light. Meters shall be read jointly by the parties hereto on the date of closing. 5. The date of closing shall be mutually agreed upon by the General Managers of both parties, to be held within thirty (30) days from the date hereof. IN WITNESS WHEREOF, the parties have hereunto executed this agreement on the date first above mentioned. RICHMOND POWER AND LIGHT BY WAYNE COUNTY RURAL ELECTRIC MEMBERSHIP Corporation BY Councilman Henn moved in-so-much that each Council member has a copy of said contract he would move that the reading of the same be waivered and further the Contract be accepted. This motion was seconded by Councilman Hilligoss and on voice vote was unanimously carried. Mr. Beck presented the following tabulation of bids that were opened April 17, 1967. NAME CABLE MFGR. AMOUNT DELIVERY Richmond Electric Co. General Electric $7,026.53 (13-15 weeks) Richmond, Indiana (91 - 105 days) Westinghouse Elec. Supply Co. Okonite 7,884.48 120 - 140 days Muncie, Indiana Westinghouse Elec.Supply Co. General Cable Co. 7,932.29 120 days Muncie, Indiana G. eY &v a i R.P. & L. minutes 5/1/67 cont. Mr. Beck stated that the bid of the Richmond Electric Company meets with the specfi- cations and he would so recommend the bid be accepted. Councilman Paust moved this Body concur in the recommendation of the General Manager, seconded by Councilman Henn and on voice vote was carried. Mr. Beck presented proof of publication of Notice. To Bidders printed in the Richmodd Palladium-Item, a local newspaper of general circulation in the City of Richmond, Indiana, on the dates of April 5-12; 1967. Said notice designated that sealed bids would be received on the date of May 1, 1967'for furnishing two oil circuit breakers, 15 K.V. according to specifications on file. The proof of publica= tion was examined and found to be correct and in order. Councilman Youngflesh moved the proof of publication be received and filed, seconded by Councilman Paust and on voice vote was carried. - May 1, 1967 the date designated. in said notice to open and read aloud all bids received. The following bids were opened and read aloud: Ralph David, Inc. , Logansport, Indiana Richmond Electric Co. , Richmond, Indiana Westinghouse Electric Co. , Muncie, Indiana Councilman Marino moved the bids be referred to the General Manager for tabulation and recommendation, seconded by Councilman Bell and on voice vote was carried. There being no further business on motion duly made, seconded and carried the meeting adjourned. Paul Backmeyer, Chairman.` Attest: Atha. J. Reeg, Cit' lerk Councilmen Bell and Youngflesh on the Light Plant Claims for May. -