Marshall Municipal Utilities

Board Meeting Minutes

May 1, 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; Charles Hird, Secretary. Mike Mills was absent.

The agenda was approved as presented.

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

Administrative Services Director Ken Gieringer reported on the need for an increase in electric rates. On a motion by Mr. Hird, seconded by Mr. Fricke, the Board approved a change of the existing ratchet factor of 25% to 75% for the Small General, Large General and Industrial (both regular and time of use) rates effective on billing after June 1, 2007. All other billing factors for calculating demand would remain unchanged.

Director Gieringer also recommended changes to the Interruptible rate classification and cost adjustment factor. On a motion by Mr. Hird, seconded by Mr. Fricke, the Board approved lowering the required load to qualify for the Interruptible rate from 400 kilowatts to 200 kilowatts; lowering the demand charge for this rate classification from the current $6.00 per kW to $4.00 per kW. In the same motion, the Board approved changing the cost adjustment factor from the negative 8% established June 1, 2006, to zero effective on billing after June 1, 2007.

Electric Distribution Director Jeff Bergstrom reported on the status of repairs to the HVAC system at the Service Center. He is exploring alternatives to installing a complete new well field to lower costs while correcting the existing problem.

Director Bergstrom also reported on the tap changer maintenance at the Southeast Substation. Maintenance and inspection is scheduled for May 10 as a result of an elevation in the levels of combustible gasses from the test on the oil from the tap changers.

Underground Facilities Director Monty Chase reported that construction will begin on U.S. Highway 65 and College Street to extend the 24" water line casing on each side of U.S. 65 as soon as we receive the permit from MoDOT.

Employee Relations Manager Megan Baldridge updated the Board on the Chief Operator position at the Water Treatment Plant and requested a consensus from the Board to negotiate moving expenses, if necessary, in filling the position. On a motion by Mr. Hird, seconded by Mr. Fricke, the Board moved to have further discussion of this matter in executive session.

Electric Production Director Jim Johnson reported that the Unit #5 pulverizer project is complete and stack repairs to this unit have been made.

Director Johnson also reported that samples of the coating from the treated water tank are being tested to determine the level of lead. This is necessary to determine the procedure to be used in disposal of the spent media when the project is done.

Environmental Services Director Ginny Ismay reported on the April fecal coliform sample taken from the effluent irrigation system.

General Manager Kyle Gibbs reported on the South Odell Sewer Project. On a motion by Mr. Fricke, seconded by Mr. Hird, the Board signified their approval by allowing General Manager Gibbs to sign the contract between the City of Marshall and C. L. Richardson for $894,213.95.

General Manager Gibbs also reported on a meeting with the Public Works Director of Sedalia concerning recycling and the possibility of temporarily sending products to our recycling facility.

Vice-President Fricke asked that the next Board meeting be moved to May 16th.

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		$	124,881.54
	ELECTRIC OPERATING FUND		$	437,304.94
	SEWER REVENUE FUND		$	 77,822.35
	INTERNET OPERATING FUND		$	  9,067.66
	NATURAL GAS OPERATING FUND	$	  2,462.07
	ELECTRIC CONSUMERS DEPOSIT FUND	$	  2,975.00

On a roll call vote, the Board adjourned the regular meeting at 9:35 a.m. to go into an executive session to discuss matters related to legal action and personnel matters (Mo. Rev. Stat. 610.021 [1 & 3], if authorized. Roll call:
Jim Heinzler yes
Spencer Fricke yes
Charles Hird yes