Marshall Municipal Utilities

Board Meeting Minutes

September 25, 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; and Mike Mills, member. Also present were Mr. and Mrs. Terry Clark; Mr. Al Jones; and Mr. Dave Hoy, Naught-Naught Agency.

The agenda was approved as presented.

Mr. Jones talked about companies offering third party collection services and what to look for. Mr. Jones encouraged the Board to employ such a company in order to collect overdue accounts. Mr. Hird indicated an interest in pursuing this issue. The Board will continue to discuss this matter in the future.

Mr. Clark indicated he and his wife were present in order to learn the ruling of the Board concerning the Clark’s high electric bill due to a faulty remote meter (as discussed at the August 28, 2007, Board meeting). General Manager Kyle Gibbs reported that the faulty remote meter had slowed and eventually failed, but the meter on the house had accurately recorded the electric usage. General Manager Gibbs explained that the main problem was knowing when the electricity was used in order to know at what rate the usage would be charged since there had been a rate increase June 1, 2005, and another June 1, 2006. Mr. Clark stated that he felt the Board should reduce the electric bill since the equipment failure was MMU’s fault. On a motion by Mr. Mills, seconded by Mr. Hird, the Board agreed to adjust the rate charged for the usage to the 2005 rate and allow Mr. and Mrs. Clark to make payments of the bill over time. Mr. Mills asked that a letter be written to all customers with remote meters explaining that if the remote meter fails, the customer is still responsible for any usage registered by the meter on the house. Mr. and Mrs. Clark and Mr. Jones left the meeting. Mr. Mills asked that a digital electric meter be installed on the Clark’s house in order for them to be able to read the meter and call in the reading, which would eliminate the need for a remote meter.

Mr. Hoy, Naught-Naught Agency, explained the options available for partially self-funded health insurance. As MMU’s agent of record for health insurance, Mr. Hoy stated partially self-funded health insurance will be examined as an alternative in addition to reviewing all other health insurance quotes received for MMU’s insurance for next year. Mr. Hoy left the meeting.

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

Underground Facilities Director Monty Chase reported Cort and Jeana Pointer are building a new house outside the city limits of Marshall on Lot 7 of the Coffman Estates, south and west of the Wastewater Treatment Plant. They have requested to be allowed to tap into the sewer trunk line near their home site and are willing to agree to annexation into the city limits if and when the city decides to annex this area. On a motion by Mr. Fricke, seconded by Mr. Hird, the Board approved the Pointer’s request to connect to the sewer main.

Director Chase reported there should be an update on the concrete situation at the S. Odell Lift Station on September 26. Crews will start the annual flushing of fire hydrants on Sunday, September 30.

On a motion by Mr. Mills, seconded by Mr. Fricke, the Board approved the purchase of a copier for the Business Office through the Missouri State contract. The old copier will be moved to the Underground Facilities Department.

A discussion was held concerning the possibility of getting the issue of fluoride addition to drinking water put on an upcoming ballot. The Board will make a decision concerning this matter at the next Board meeting.

Electric Distribution Director Jeff Bergstrom reported progress is being made on the maintenance project on the transmission line. Due to the height limits on our trucks, a contractor may be needed in order to replace some of the bad poles.

Director Bergstrom reported Lutz, Daily and Brain has proposed completing engineering work for the North Street Substation replacement project and Units #4 and #5 generator relay replacement work for a not-to-exceed cost of $152,500. It was the consensus of the Board to proceed with this project.

Director Bergstrom reported pole-top rescue training conducted by MPUA was recently completed at the Service Center. MMU personnel have indicated an interest in becoming certified to conduct this training.

Electric Production Director Jim Johnson reported Unit #4 is being taken off line today and Unit #5 will be taken off line September 28. Several maintenance projects will be worked on while these units are off line. MPUA has tentatively scheduled Unit #5 to go back on line in November and Unit #4 in December.

Director Johnson reported the net peak load for 2007 was 41,526 KW. This was slightly less than 2006.

Employee Relations Manager Megan Baldridge reported the Employee Appreciation Lunch will be held October 25 at the Service Center.

General Manager Kyle Gibbs reported a utility easement is needed from the City of Marshall in order to install the utilities for the Civic Center/Museum. On a motion by Mr. Hird, seconded by Mr. Mills, the Board approved a request to the City Council to authorize Mayor Latimer to execute a utility easement along the north and east sides of the Civic Center/Museum property.

General Manager Gibbs reported Shafer, Kline and Warren has not yet provided a revised cost to complete a study concerning the best option for getting a water line across Salt Fork Creek and across the Union Pacific Railroad at the Eastwood Street viaduct.

The final easement for installing sewer main to the new Health Office has been received.

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

	WATER OPERATING FUND		$	 73,309.39
	ELECTRIC OPERATING FUND		$	246,873.15
	SEWER REVENUE FUND		$	 38,197.46
	INTERNET OPERATING FUND		$	  9,040.01
	NATURAL GAS OPERATING FUND	$	 12,375.90
	ELECTRIC CONSUMERS DEPOSIT FUND	$	  4,905.00

The Board voted unanimously to adjourn the regular meeting at 10:15 a.m. on a motion by Mr. Hird, seconded by Mr. Mills.