Marshall Municipal Utilities

Board Meeting Minutes

March 13, 2007

The Board of Public Works convened the regular session at 8:30 a.m. at the Marshall Municipal Utilities Business Office. Present were Jim Heinzler, President; Spencer Fricke, Vice President; and Charles Hird, Secretary. Mike Mills was absent. Also present were Rick and Kim Whitlock.

The agenda was approved on a motion by Mr. Hird, seconded by Mr. Fricke.

Mr. Heinzler presented Jim Johnson, Electric Production Director, with a plaque honoring his 30 years of service to MMU.

Mrs. Kim Whitlock explained a water main break in January of this year caused flooding in the crawl space under a rental house that she and her husband own. The furnace in the crawl space had to be replaced. MMU’s insurance company has denied the claim for damages. The Whitlock’s asked that the Board consider compensating them $2,307.99 for the repairs and replacement of the furnace. The Board will consider the request and let the Whitlock’s know their decision. The Whitlock’s left the meeting.

The minutes of the previous meeting were approved as printed on a motion by Mr. Fricke, seconded by Mr. Hird.

Electric Distribution Director Jeff Bergstrom explained the ground source heating and air-conditioning at the Service Center is not working properly and needs revisions made to the system. On a motion by Mr. Hird, seconded by Mr. Fricke, the Board approved requesting proposals for this project.

Director Bergstrom suggested ads be placed on the radio and in the newspaper concerning proper selection and planting of trees in order to avoid power lines, and also energy saving tips and ideas for customers. The Board had no objections to this suggestion.

Director Bergstrom reported KCPL is in the process of replacing one of the relays in the Norton Substation and will replace the second relay soon.

Underground Facilities Director Monty Chase indicated there is a need for a System Operator position in Underground Facilities that would involve being the lead person on some projects with advanced knowledge, certain certifications and experience. Four individuals would be needed to work in this capacity. On a motion by Mr. Fricke, seconded by Mr. Hird, the Board approved creating four System Operator positions in Underground Facilities with no increase in total staff to be accomplished by eliminating four other Underground Facilities positions as the System Operator positions are filled.

Director Chase reported options for the 12” water main loop along 65 Highway near the hospital are being investigated since not all the easements for the original proposed route could be obtained.

The following bids were opened for the South Odell sewer project at the City Offices on March 8, 2007:

Willis Brothers			$	  933,017.00
	Macon, MO
J C Industries Inc.		$	1,331,230.10
	Jefferson City, MO
M & M Utility			$	  946,321.00
	Chillocothe, MO
G & G Mechaniccal Contractors	$	1,085,129.00
	Higginsville
Lehman Construction Co.		$	1,078,241.25
	California, MO
Joshua Excavating		$	1,074,258.00
	Grand View, MO
CL Richardson Co.		$	  894,213.95
	Ashland, MO
Kat Excavating Inc.		$	 1,199845.00
	Odessa, MO
Breat Construction Co.		$	1,198,950.50
	Raymore, MO

The Larkin Group will make at recommendation at the next City Council meeting.

Manager of Employee Relations Megan Baldridge reported management recognizes a need for license and certification incentives for other MMU departments similar to those currently offered to water and wastewater operators. Other areas where these incentives would assist with developing and maintaining qualified personnel are Electric Distribution – Electricians, Underground Facilities – all personnel, and Underground Facilities – Foreman and System Operator. On a motion by Mr. Hird, seconded by Mr. Fricke, the Board approved revisions to MMU’s Personnel Policy effective March 18, 2007, adopting three license and certification incentives.

Ms. Baldridge reported that due to staffing shortages at the Water Treatment Plant, cancellation of some planned vacation time off may be required and would result in at least one person reaching the vacation cap of 260 hours. Re-implementing a temporary procedure to allow an employee to petition the Department Director to be paid straight time for any vacation time earned over the 260-hour ceiling would avoid this situation. This procedure would apply only if the Department Director can document that the employee cannot be allowed to take vacation time off due to business reasons. The petition would be submitted to the General Manager for review and approval. On a motion by Mr. Hird, seconded by Mr. Fricke, the Board approved a procedure as described to allow an employee to be paid straight time for vacation time earned over the 260-hour ceiling for a period ending December 22, 2007. To the extent any other document, personnel policy, or practice provides for something different, this procedure will take precedence until its expiration on December 22, 2007.

Electric Production Director Jim Johnson reported the Hoffman Boiler Service representative, who will be evaluating the Unit #4 boiler, has been delayed a week. Units #10 and #11 will be run in support of the relay work being done at Norton Substation.

Environmental Services Director Ginny Ismay reported Douglas Pump has started the annual well maintenance project.

A discussion was held concerning the Chief Operator vacancy at the Water Treatment Plant. The Board deferred further discussion on this matter to an executive session following the regular meeting.

Administrative Services Director Ken Gieringer explained the need for an increase in the ratchet percentage on the demand section of the electric rates for small general, large general and industrial customers. Any changes to this ratchet would need to be conveyed to affected customers so they can plan to minimize their summer peak in order to reduce the future effects of such a change. A recommendation on this change will be made at a future meeting.

General Manager Kyle Gibbs reported being appointed as the Operations Committee Chairman for MJMEUC. This appointment allows General Manager Gibbs to be a MUMEUC Executive Committee member.

General Manager Gibbs reported HB 1020 has the potential to restrain municipal Internet business and would seriously limit competition in providing Internet service to rural Missouri.

On a motion by Mr. Fricke, seconded by Mr. Hird, accounts payable were approved and warrants ordered issued from the following funds:

	WATER OPERATING FUND		$	290,496.42
	ELECTRIC OPERATING FUND		$	838,504.44
	SEWER REVENUE FUND		$	 96,501.06
	INTERNET OPERATING FUND		$	  5,928.17
	NATURAL GAS OPERATING FUND	$	    586.99
	ELECTRIC CONSUMERS DEPOSIT FUND	$	  2,425.00

The Board adjourned the regular meeting at 9:49 a.m. to go into an executive session to discuss matters related to personnel (Mo. Rev. Stat. 610.021 [3]). Roll call:
Jim Heinzler yes
Spencer Fricke yes
Charles Hird yes