Mike Straub

x

Robert O’Donnell

x

Dave Blanton

x

Jim Simpson

x

Bill Wescott

x

Mayor Mulvaney

x

Issue

Discussion

Plan of Action

Review invoice from Mrs. Loso @ 1005 Island View Road for damage caused by directional boring in the easement behind her residence.

While the Line Crew was installing conduits, a problem with the conduit occurred under Mrs. Loso’s water fountain and shrubs, which were moved to make repairs.  Some plants, shrubs and rock damage.  Outside labor and plants cost $490.00 to restore the display.

The Electric Committee approved paying Mrs. Loso the full amount of $490.00.

2003/2004 Budget review

Mr. O’Donnell reviewed the changes with the Committee, one being the development of Generation & Communication Supplement to the budget to keep expenses and revenues separated.

Budget in the review process by the Finance Committee.

Upgrade the Pitney Bowes utility bill folder or keep present one with maintenance contract

Pitney Bowes offers a 48-month lease purchase agreement.  The present machine lease has expired and now requires a maintenance contract at $3,155.00 the first year.  In high volume machines, the life expectancy is around 60 months.  With our machine close to that point, the Committee recommended replacing the equipment.

City Council approval on the Consent Agenda to upgrade the folder on a lease purchase for a 48-month term at $10,212/year.

Upgrade of Unit #1 Controller at the Hydro Plant

Unit #2 upgrade has been installed and working well.  We are now ready to upgrade Unit #1 to complete the project.  Parts for the old G.E. controller are no longer available.  The Committee agreed to move ahead with phase II of the project.

City Council approval for Unit #1 controller replacement.  Estimated replacement cost  $80,000 to $100,000 including G.E. controller, spare parts and engineering to fine tune and program.  To be placed on the Council Consent Agenda.

Replace the NMPP program with Civic System Inventory Material Management Program

The City is no longer tied to NMPP with the Utility Billing and inventory program support.  Civic System has a Material Management Program that all interested departments could use.  The Electric Department is willing to put the program on the network and provide the training.  The Committee agreed to move ahead with this program.

City Council approval to purchase the program on the Consent Agenda for a cost of $8,900.  The breakdown is $5,000 for the program, $2,000 for training for up to 5 trainees and $1,900 for conversion of data.

Review IMEA contract extension and James Reese comments on the proposed extension

In reviewing the risks in the Reese letter risk one comments were: Trimble County I and proposed #2 are a small part of the IMEA member power requirements. Spreading the costs over a large group and having more members involved improves IMEA bond rating.  The size of the members involved is the factor, not the number of members, e.g.  Batavia has sent a letter indicating if any of the original members drop out they want in, their size and load is large enough to support Trimble II alone.  Risk two:  The consulting firm making the presentation, R.W. Beck, is a firm hired by IMEA to review the Integrated Resource Plan by Burns & McDonnell, that pointed out Trimble II would be the #1 lowest cost resource for IMEA.  R.W. Beck has substantiated the Burns & McDonnell findings.  The likelihood of IMEA’s employees being employed with IMEA at the end of our first contract is unlikely because of their present age (e.g. CEO is in his mid fifties). This is not a factor or would professional employees push members for continued employment.

Committee has recommended and Ordinance be developed for next City Council Meeting.

Hydro Plant Lease

Lease was approved with no gate level requirements, nor was the contract reviewed by the Electric Department before final approval.  The Electric Department was not aware the new lease existed until 16 months after approval and it happen to come up in a conversation.

Alderman Blanton plans to discuss the changes with James Reese.

High-speed Communication Link

Rock Falls, along with four other communities, has been working on a high fiber link to the outside world.  The link would be used for City development and expansion efforts, along with Commercial and Industrial Web use.  The 20-year lease of fiber through the tollway authority would cost a one-time fee of $42,000 plus a maintenance fee.

The Electric Department will continue working with RFCDC to develop this project.

City Administrator budget breakdown

Mr. O’Donnell was asked by the Committee of 11 to revise the breakdown in a way it would be affordable to the General Fund.

The Committee thought the breakdown was affordable and could be worked into the budgets involved.