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Marshall Municipal Utilities

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Board Meeting Minutes

February 24, 2009

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

The agenda was approved as presented. On a motion by Mr. Heinzler, seconded by Mr. Fricke, the minutes of the previous meeting were approved as printed.

Administrative Services Director Ken Gieringer reported there is a need for a new position that would, among other things, involve the day-to-day supervision of activities of accounting, meter reading and janitorial duties. The new position would be titled Accounting Assistant and assigned to pay range 8, but would not increase the number of positions in Administrative Services. One of the Account Associate/Secretary positions would be eliminated and that person would take the new position at no increase in salary to start with. On a motion by Mr. Heinzler, seconded by Mr. Fricke, the Board approved creating one Accounting Assistant position in Administrative Services with no increase in total staff, to be accomplished by eliminating one Accounting Associate/Secretary position.

Environmental Services Director Ginny Ismay indicated the SMI-CO contract for the disinfection facility at the Water Treatment Plant needs to have a change order for additional work on the south and middle drives. After discussion, the Board postponed a decision on this matter until the next meeting.

Director Ismay reported the startup of the disinfection facility has been delayed to the week of March 2, 2009. The old CO2 tank has been removed.

The following quotes were received February 13, 2009, for annual well maintenance at the Water Treatment Plant.

    Douglas Pump Service    $39,690.00
        Overland Park, KS
    Flynn Drilling          $34,795.00
        Troy, MO

Director Ismay indicated Flynn Drilling has agreed to perform a four-step process for the same amount of money as the three-step treatment originally quoted. On a motion by Mr. Fricke, seconded by Mr. Heinzler, the Board accepted the quote from Flynn Drilling for $34,795.

Director Ismay reported the two items noted on the annual DNR pretreatment inspection of the Wastewater Treatment Plant have been addressed.

A discussion was held concerning the recommendations for annual wage increases. Employee Relations Manager Megan Baldridge indicated a 2 ¼% increase to all pay ranges, except five, would be recommended (the other five were: three at 1%, one at 4.25%, and one at 1.25%), along with a corresponding adjustment to individual wages to maintain individual progress within the pay range (except for those that have failed to sustain their performance), and also merit based changes to wages and salaries in an amount not to exceed $45,000. The Board postponed a decision on this matter until the next meeting.

Electric Production Director Jim Johnson reported problems are continuing with cracking on both coal conveyor belts. The vendor has contacted the manufacturer (U.S. Rubber Corp.), and the manufacturer will evaluate the belting sometime in March.

Director Johnson reported two loads of cardboard from the Recycling Center have been shipped out at $40/ton. This price is down considerably from the $95/ton price last October, but we are running out of room to store the cardboard.

Electric Distribution Director Jeff Bergstrom reported proposals are due March 6, 2009, for replacement of the roof on the Southeast Substation. All crews have returned from the mutual aid work in Campbell and Kennett, Missouri. Nelson Tree Service has started back on the tree trimming work in walkway easements.

Director Bergstrom indicated Missouri Valley College has requested assistance on maintenance on some light poles at the rodeo arena. This would involve the use of a bucket truck and the volunteer services of an MMU equipment operator. It was the consensus of the Board to provide this service to Missouri Valley College.

Underground Facilities Director Monty Chase reported the tracks on the mini-excavator are being replaced because there are many cuts, splits and tears in the rubber tracks.

General Manager Kyle Gibbs reported ConAgra has requested a change to their BOD limit. Discussions have been held on possible alternatives. General Manager Gibbs is investigating the formula on how the BOD surcharge is calculated.

A discussion was held concerning known increases to electric rates in Missouri.

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

	WATER OPERATING FUND		$	 85,520.49
	ELECTRIC OPERATING FUND		$	451,641.32
	SEWER REVENUE FUND		$	104,292.00
	INTERNET OPERATING FUND		$	  9,511.40
	NATURAL GAS OPERATING FUND	$	  2,501.72
	ELECTRIC CONSUMERS DEPOSIT FUND	$	  6,725.00

On a motion by Mr. Heinzler, seconded by Mr. Fricke, the Board voted to adjourn the regular meeting at 9:51 a.m.