03-31-1997 HUCM11
Regular Meeting
March 31, 1997
All Commissioners were present. Also present were Manager Kadrmas and
Counsel G. Barry Anderson.
President Ward called the meeting to order at 3:00 p.m.
The minutes of February 24, 1997, regular meeting were reviewed. The Mayor of
Brownton has not contacted Mgr. Kadrmas regarding supplying natural gas to the
city of Brownton. Discussion took place regarding 1997 money for the Energy Grant
Program. Counsel Anderson will draft an affidavit to be signed by the grant recipient
after completion of the job. The affidavit will also set a time limit as to when the
grant project is to be completed. A motion was made by Commissioner Ackland,
seconded by Commissioner Gilmer to approve the minutes as written. Motion was
unanimously carried.
The February payables were discussed. A motion was made by Commissioner
Ackland, seconded by Commissioner Cornell to accept the payables in the amount
of $1,473,540.70 (detailed listing in payables book). Motion was unanimously
carried.
Paul Harvego of Fawcett, Young & Associates, Ltd. was welcomed to the meeting
and reviewed the audit for year ended December 31, 1996. Discussion took place
regarding increasing the catastrophic fund to $1.25 million. Manager Kadrmas will
check with First Federal about collateral and report back to the Commission at the
April meeting. A motion was made by Commissioner Gilmer, seconded by
Commissioner Carls to accept the auditor's report. Motion was unanimously carried.
The 1997 year -to -date (thru February) financial and budget reports were reviewed.
A motion was made by Commissioner Ackland, seconded by Commissioner Cornell
to accept the financial and budget reports. Motion was unanimously carried.
Mgr. Kadrmas presented a requisition for rotary meters for the Natural Gas
Department. The meters have been budgeted. After discussion, a motion was made
by Commissioner Carls, seconded by Commissioner Ackland to approve the
requisition for rotary meters. Motion was unanimously carried.
Mgr. Kadrmas reported on Unit #8. Lovegreen Turbine Services was apparently
putting it back together incorrectly, three times. The new inlet guide vanes were
installed, but the reversal of two lube oil orifices solved the problem. Counsel
Anderson will draft a letter to Lovegreen demanding our $106,000 payment be
returned. Commission Board will review at the April's meeting.
q9
Mgr. Kadrmas presented a letter from a resident of Hutchinson and his irritation with being
charged for electric and gas underground services which were installed nine months
before he became the owner. The underground charges should have been paid by the
contractor, not to the homeowner. Those charges have already been paid by the
contractor.
Discussion took place regarding the Condemnation Petition with McLeod Cooperative
Power Association. Counsel Anderson will send a letter offering a payment of $23,000, at
three mils, for the four areas which are still in contention:
Clocktower Plaza $2,500 x 4 $10,000
City Brush Dump - HATS Facility $ 7,000
Hutch Iron & Metal $ 1,000
HTI - Education & Expansion 5,000
$23,000
Old Business: None
New Business:
A motion was made by Commissioner Gilmer, seconded by Commissioner Cornell
to put $500,000 cash reserve into the catastrophic fund. Motion was unanimously
carried.
President Ward announced that as of April 15, 1997, Commissioner Cornell will no
longer be serving on the Commission Board. Commissioner Cornell thanked the
board for nine years of learning and experience. Counsel Anderson will inform
Mayor Torgerson of the vacancy on the Hutchinson Utilities Commission Board.
Commissioner Ackland announced that he will miss the next four Commissioner's
meetings: April, May, June and July. He'll be in Wisconsin on company business.
There being no further business, a motion was made by Commissioner Cornell, seconded
by Commissioner Gilmer to adjourn the meeting at 5:12 p.m. Motion was unanimously
carried.
Vft Carts, -secretary
ATTEST )IWZ4
D glas Ward, President