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04-16-2013 HUCMMINUTES Special Meeting — Hutchinson Utilities Commission Tuesday, April 16, 2013 Called to order at 12:01 p.m. Members present: President Dwight Bordson; Vice President Leon Johnson; Secretary Monty Morrow; Commissioner Anthony Hanson; Attorney Marc Sebora; General Manager Michael Kumm. Members Absent: Commissioner Craig Lenz. Guests: Jeremy Carter (City), Mayor Steve Cook and Council Member Chad Czmowski. President Bordson presented agenda item #2 first, regarding the criteria for new HUC commissioner candidates. Recommended changes from the Board and HUC staff on the new commissioner matrix were reviewed. This will be added as an agenda item to the May regular commission meeting for further discussion. GM Kumm presented a summary of recommended alternatives to the existing PILOT formula. Commissioner Hanson commented he liked the alternative based on retail revenues only, as those revenues appear to be steady. Commissioner Hanson would like to see two to three years of historical wholesale financials to show specifically what HUC can and cannot afford. He also suggested excluding shared services from PILOT with the exception of roadway lighting. Commissioner Morrow expressed concern that the retail side would bear costs for the wholesale side, when splitting the business into retail and wholesale. This will be added as an agenda item to the April regular commission meeting for further discussion. A motion was made by Commissioner Hanson, seconded by Secretary Morrow to adjourn the meeting at 1:03 p.m. Motion was unanimously carried. ATTEST: Dwight Bordson, President Monty Morrow, Secretary MINUTES Special Meeting — Hutchinson Utilities Commission Tuesday, April 16, 2013 Called to order at 12:01 p.m. Members present: President Dwight Bordson; Vice President Leon Johnson; Secretary Monty Morrow; Commissioner Anthony Hanson; Attorney Marc Sebora; General Manager Michael Kumm. Members Absent: Commissioner Craig Lenz. Guests: Jeremy Carter (City), Mayor Steve Cook and Council Member Chad Czmowski. President Bordson presented agenda item #2 first, regarding the criteria for new HUC commissioner candidates. Recommended changes from the Board and HUC staff on the new commissioner matrix were reviewed. This will be added as an agenda item to the May regular commission meeting for further discussion. GM Kumm presented a summary of recommended alternatives to the existing PILOT formula. Commissioner Hanson commented he liked the alternative based on retail revenues only, as those revenues appear to be steady. Commissioner Hanson would like to see two to three years of historical wholesale financials to show specifically what HUC can and cannot afford. He also suggested excluding shared services from PILOT with the exception of roadway lighting. Commissioner Morrow expressed concern that the retail side would bear costs for the wholesale side, when splitting the business into retail and wholesale. This will be added as an agenda item to the April regular commission meeting for further discussion. A motion was made by Commissioner Hanson, seconded by Secretary Morrow to adjourn the meeting at 1:03 p.m. Motion was unanimously carried. �=� Z11 onty Morrow, Secretary ATTEST: l Kwig Bor on, President