Blog Archive

Friday, October 18, 2019

October 22, 2019, EPB Regular Meeting

TENTATIVE REGULAR MEETING AGENDA
GLASGOW ELECTRIC PLANT BOARD
OCTOBER 22, 2019, 6:00 PM
1. APPROVAL OF AGENDA AND ANY ADDITIONS
2. CONSIDER MINUTES OF SEPTEMBER 24, 2019 MEETING
3. RECEIVE AUDIT REPORT FROM CARR, RIGGS, & INGRAM
4. MAYOR ARMSTRONG REMARKS
5. CONSIDER BIDS FOR 69 KV SYSTEM REFURBISH LABOR
6. CONSIDER TVA LONG TERM PROPOSAL
7. CONSIDER PROGRAMMING COMMITTEE RECOMMENDATION
8. SUPERINTENDENT’S REPORT
A. SEPTEMBER METRICS AND FINANCIAL METRICS REVIEW
B. NOVEMBER FCA
C. CPD LEDGER
D. WINDSTREAM BANKRUPTCY
9. ADJOURN

TO: Members of Glasgow Electric Plant Board
FROM: William J. Ray, PE
DATE: 10/18/2019
SUBJECT: Board Meeting Information
October Main Topics
Ø Annual Audit Report
Ø Consideration of Labor Bids for Transmission Line Refurbishment
Ø Discussion of TVA Long Term Offer
Ø Programming Committee Recommendation
Ø Reports
📷November 1 FCA
Ø The November 2019 TVA FCA will increase to 1.758 cents per kWh. This is the second monthly increase to the FCA in the last few months. TVA’s explanation is that September sales were much higher than had been forecast, and the extremely hot weather, combined with a forced nuclear outage and low hydro resources, resulted in increased fuel costs. These increases came from purchasing more coal and from buying more power from neighbors.
Ø On November 1, the energy component of our retail rates will adjust to reflect this anticipated increase to the wholesale cost of energy.
Action Items
Approval of Agenda and any New Items Desired by Board
Ø The present proposed agenda is attached to this narrative, but, as always, any board member can ask for additional items to be added, or placed in a different order.
Review and Approve Minutes of September 24, 2019 Meeting
Ø This is the customary review and consideration of formally adopting the proposed minutes for the last meeting.
Audit Report from Carr, Riggs, & Ingram
Ø Lanny White, from Carr, Riggs & Ingram, will deliver the annual report on findings by the team of auditors who examined all EPB finances and methods of operating the business, for Fiscal 2019.
Ø Copies of the report will be shared with the City of Glasgow, and I will appear before City Council in November, or December (whenever I can get on the agenda) to discuss the audit and other 2019 activities of Glasgow EPB.
Mayor Armstrong Remarks
Ø The Mayor has requested time on the agenda to make some remarks. Nothing further is known about this item.
Bids for Transmission Line Refurbishment Labor
Ø A couple of months ago we awarded bids to various vendors for hardware and materials needed for this project.
Ø On October 18 we opened bids for the labor necessary to install the hardware previously ordered to complete the transmission line work. At the meeting I will review the bids, and our budget for the work, and make a recommendation to the Board for approval of the best labor vendor for the project.
Consideration of TVA Long Term Offer
Ø This matter was discussed at the last meeting, but there was no resolution to the matter. Since then, considerable discussion on the issue has taken place in the community.
Ø TVA’s new CEO has proposed a novel approach to the problem of declining energy sales and TVA’s need to modernize its generation fleet. That proposal is outlined in a document attached to this narrative, entitled “Long-Term Agreement.”
Ø This is a very complicated matter, but the simple elements are: TVA is willing to give LPCs a 3.1% credit to their power bills (for Glasgow, that means about $500,000 per year), and they also want LPCs to alter their power contract to make the term a rolling 20-year agreement instead of the rolling 5-year term.
Ø Some local opponents to the offer seem to base their opinions on a recently published article by Daniel Tait – representing the Energy and Policy Institute. Since this is such a critical decision for the Board, I’ve written a response to that article, so that the Board will have access to a better-rounded set of facts than the opinions presented in the Energy and Policy Institute article. My response is as follows:
o In a September 22, 2019 article, authored by Daniel Tait, and published by Energy and Policy Institute, TVA is condemned for offering a modified power contract which includes an extended term, in return for certain concessions. These concessions are not minor. A 3.1% credit on their wholesale power billing to local power companies (LPCs), coupled with TVA’s first offer to allow LPCs to make some of their own power, is a very big deal for TVA and the LPCs. Over 85% of the 154 TVA LPCs have already taken the offer. In examining this article, it is first important to know who Daniel Tait and the Energy and Policy Institute appear to represent. They represent the loose association of those renewable energy industries that want to replace the big power companies, like TVA, with the technologies that they find most profitable. In fact, they really want retail power costs to steadily increase, such that their replacement technologies are more economically attractive when compared to utilities. One cannot blame them for trying to be more profitable, but also the buyer should beware of whom they are accepting opinions from, when articles like this one are published.
o It is notable that the author didn’t contact TVA for their input to the story, and much of the information which is available regarding TVA’s renewable energy portfolio, was ignored and omitted. Further, after speaking with BGMU representatives, I determined the author did not speak with them either, and likely didn’t contact other LPCs that they described in the article. No link to the CFC analysis is provided, so the reader is left wondering just what assumptions were used, when this study supposedly revealed the wide disparity between TVA wholesale rates and those of Kentucky Utilities, Duke, or MISO. Was this a cobbled together, apples vs. oranges analysis? It seems more likely than not.
o Though the article does a fair job of identifying the underlying fiscal elements of the offer relative to power cost, and the decisions required by the LPCs thereupon, the author totally misses many other factors which will impact these decisions. The article curiously laments the wisdom of signing a contract with a twenty-year notice provision, while suggesting that many LPCs might be able to build new transmission facilities that could pay for themselves over a twenty-year, or less, period. In Glasgow’s case, such new facilities could easily cost over $100 million. Thus, they are suggesting that a twenty-year agreement with TVA is constraining, while a twenty-year bond issue to finance the duplication of transmission facilities that already exist, is somehow liberating.
o The LPC-TVA relationship is more complex than the simple determination of who might provide the cheapest flow of electrons in the future, and over 85% of the LPCs have already processed the information and chosen to sign the new agreement. In doing so, it must be presumed that those LPCs value the 3.1% wholesale bill credit (which is worth about $500,000 per year to Glasgow’s customers), as well as TVA’s diverse portfolio of generation assets. TVA’s diverse portfolio of generation provides the comfort of knowing that, whatever the future holds with respect to one method of generating power, TVA has several other options at their disposal. They value TVA’s 86- year history of improving the environment of the seven states they serve, and TVA’s record of providing 99.999% reliability is a huge accomplishment. Glasgow and the other LPCs cherish the partnership with TVA that allows very small LPCs access to TVA’s expertise when certain technical facets of our distribution system present problems which challenge us. TVA provides its LPCs with backup mobile substations, which keep our customers in service, even after a catastrophic failure of a major substation component. TVA is also still close to its original mission of inventing ways to improve the operation of the grid, and the LPCs enjoy being a part of the research and development efforts which TVA undertakes, completes, and makes available to their LPCs.
o While it is understandable that Energy and Policy Institute wants to make its funders happy by promoting more use of solar, and other renewable generation options, it isn’t okay to do that by attacking TVA. While it is true that TVA could do better, especially in the field of promoting renewable resources and allowing its LPCs to provide same to their respective communities, this agreement opens the door to doing just that.
o At the meeting, Ernie Peterson will be present to answer any questions about the proposed agreement that come up. Like I said, this is a complicated matter which deserves ample consideration. But, as depicted by the average bill impacts presented last month, the agreement gives the Board an opportunity to reduce power bills for everyone.
Consideration of Programming Committee Recommendations
Ø The Committee considered programming service renewal proposals from Fox-owned networks – FX, FXX, FXM, NatGeo, and NatGeo Wild.
Ø The renewal proposals cover only 2020 and 2021, and, if accepted, will add 14 cents per subscriber in programming cost for 2020, to the Essential Tier.
Ø The programming cost would increase 3 cents per subscriber to the Premier Tier for 2020.
Ø The Programming Committee met and considered the cost and benefits of accepting the renewal proposals and unanimously voted to recommend we accept the offer.
Reports
Ø SEPTEMBER METRICS. Superintendent will do a brief review of the performance of the Glasgow EPB metrics for September.
Ø NOVEMBER FCA. The Superintendent will go over the upcoming change to the Fuel Cost Adjustment for November, as dictated by TVA.
Ø CPD LEDGER. Since we altered our Variable Rate, at the request of an Advisory Council of our customers, to limit our peak predictions to four days per month, we have financial exposure when we miss the correct actual peak hour. To compensate for that exposure, we added a small amount to the wholesale cost of a peak kW, to collect funds to pay for missed predictions. The Superintendent will report on the status of that fund thus far in the fiscal year.
Ø WINDSTREAM BANKRUPTCY. Windstream Holdings (parent company of Windstream Company in Glasgow) filed Chapter 11 bankruptcy early this year. There is a large outstanding debt which is owed to EPB (about $40,000 now). To protect our interests and work to secure payment, as well as a suitable new relationship with Windstream going forward, I have engaged Scott Bachert, with the firm Kerrick Bachert PSC, to represent us in this matter. There will be a report on the progress at the meeting.
Conclusion
Please let me know if you have any questions before the meeting.
Thursday, September 19, 2019

September 24, 2019 Regular EPB Meeting

TENTATIVE REGULAR MEETING AGENDA
GLASGOW ELECTRIC PLANT BOARD
SEPTEMBER 24, 2019, 6:00 P.M.
1. APPROVAL OF AGENDA AND ANY ADDITIONS
2. CONSIDER MINUTES OF AUGUST 27, 2019 MEETING
3. CONSIDER REVIEW OF ELECTRIC RATE PERFORMANCE AND POSSIBLE APPROVAL OF RATE CHANGES
4. CONSIDER TVA LONG TERM PROPOSAL
5. CONSIDER PROGRAMMING COMMITTEE RECOMMENDATION
6. SUPERINTENDENT’S REPORT
A. AUGUST METRICS AND FINANCIAL METRICS REVIEW
B. OCTOBER FCA
C. CPD LEDGER
D. WINDSTREAM BANKRUPTCY
7. ADJOURN


MEMORANDUM
TO: Members of Glasgow Electric Plant Board
FROM: William J. Ray, PE
DATE: 9/19/2019
SUBJECT: Board Meeting Information
September Main Topics
Ø Continued Retail Rate Effectiveness Review
Ø Discussion of TVA Long Term Offer
Ø Programming Committee Recommendation
Ø Reports
📷October 1 FCA
Ø The October 2019 TVA FCA will increase to 1.528 cents per kWh. This is the first monthly increase to the FCA in the last few months, since the July increase. TVA’s explanation is that August sales and weather were in line with predictions, but rainfall was low, providing less hydro power than expected. That shortfall was replaced with higher cost coal generation and purchases of power from neighbors.
Ø On October 1, the energy component of our retail rates will adjust to reflect this anticipated increase to the wholesale cost of energy.
Action Items
Approval of Agenda and any New Items Desired by Board
Ø The present proposed agenda is attached to this narrative, but, as always, any board member can ask for additional items to be added.
Review and Approve Minutes of August 27, 2019 Meeting
Ø This is the customary review and consideration of formally adopting the proposed minutes for the last meeting.
Retail Rates Review
Ø We made a commitment to an Advisory Committee, and to the City of Glasgow, to conduct annual analysis of our retail electric rates. This is a sound business practice that should be followed, regardless of our commitments, and that review, which we began in August, will continue in the September meeting.
Ø As per the Board’s input, more gradual progress toward making EPB’s rates 100% non-volumetric, will be presented at the meeting for your consideration.
Ø Melanie Reed has completed her preliminary analysis of the performance of our various retail rates utilized by the different customer classes, and we will review those at the meeting, especially demonstrating the very small impact on total bills that would result from altering the Customer Charge, while reducing the kWh charge.
Ø It will be the Board’s decision on how we should proceed during September, and maybe October, as we move toward any adjustments necessary to stay the course.
Consideration of TVA Long Term Offer
Ø This matter really dovetails with the rate discussion above, and we will likely discuss both together, especially since the TVA offer would produce pretty dramatic changes in retail rate design.
Ø TVA’s new CEO has proposed a novel approach to the problem of declining energy sales, and that proposal is outlined in a document attached to this narrative, entitled “Long-Term Agreement.”
Ø This is a very complicated matter, but the simple elements are: TVA is willing to give LPCs a 3.1% credit to their power bills (for Glasgow, that means about $500,000 per year), they also want LPCs to alter their power contract to make the term a rolling 20-year agreement instead of the rolling 5-year term.
Ø There are many other “poison pills” in the proposed agreement, which is presently being reviewed by Ron Hampton.
Ø At the meeting, Ernie Peterson will be present to answer any questions about the proposed agreement that come up. Like I said, this is exceedingly complicated and will require much consideration, but it really must be considered along with our proposed actions which flow from the annual rate effectiveness study.
Consideration of Programming Committee Recommendation
Ø Due to an unreasonable rate increase proposal from the former vendor, who supplied the software and hardware for the local radar on Channel 9, we terminated our agreement with them. Since then, we’ve placed the NOAA weather radar on that channel, and many deem that unsatisfactory.
Ø Recently, a new vendor – WeatherPlay has made us a proposal to replace the NOAA weather radar with another product that seems more closely aligned with the former programming on Channel 9.
Ø The Programming Committee met and considered the cost and benefits of accepting the WeatherPlay offer, and unanimously voted to recommend we accept the offer.
Ø At the meeting we will quickly review some of the video and the pricing of this new product, for your consideration.
Reports
Ø AUGUST METRICS. Superintendent will do a brief review of the performance of the Glasgow EPB metrics for August.
Ø OCTOBER FCA. The Superintendent will go over the upcoming change to the Fuel Cost Adjustment for October, as dictated by TVA.
Ø CPD LEDGER. Since we altered our Variable Rate, at the request of an Advisory Council of our customers, to limit our peak predictions to four days per month, we have financial exposure when we miss the correct actual peak hour. To compensate for that exposure, we added a small amount to the wholesale cost of a peak kW, to collect funds to pay for missed predictions. The Superintendent will report on the status of that fund thus far in the fiscal year.
Ø WINDSTREAM BANKRUPTCY. Windstream Holdings (parent company of Windstream Company in Glasgow) filed Chapter 11 bankruptcy early this year. There is a large outstanding debt which is owed to EPB (about $40,000 now). To protect our interests and work to secure payment, as well as a suitable new relationship with Windstream going forward, I have engaged Scott Bachert, with the firm Kerrick Bachert PSC, to represent us in this matter. There will be a report on the progress at the meeting.
Friday, August 23, 2019

August 27, 2019 Regular EPB Meeting

TENTATIVE REGULAR MEETING AGENDA
GLASGOW ELECTRIC PLANT BOARD
AUGUST 27, 2019 - 6:00 pm
1. APPROVAL OF AGENDA AND ANY ADDITIONS
2. CONSIDER ENACTMENT OF GEPB RULES OF ORDER
3. REVIEW AND APPROVE MINUTES OF JULY 23, 2019 MEETING
4. CONSIDER RATIFICATION OF ADJUSTMENTS TO MATERIAL BID
5. CONSIDER PRELIMINARY REVIEW OF ELECTRIC RATE PERFORMANCE
6. CONSIDER TVA LONG TERM PROPOSAL
7. SUPERINTENDENT’S REPORT
A. JULY METRICS AND FINANCIAL METRICS REVIEW
B. SEPTEMBER FCA
C. CPD LEDGER
D. GLENVIEW HEALTH CARE BANKRUPTCY
E. WINDSTREAM BANKRUPTCY
8. ADJOURN

MEMORANDUM
TO: Members of Glasgow Electric Plant Board
FROM: William J. Ray, PE
DATE: 8/22/2019
SUBJECT: Board Meeting Information
August Main Topics
Ø Ongoing Discussion of Establishing GEPB Rules of Order
Ø Ratify Minor Changes to Materials Bid Authorized in July
Ø Preliminary Retail Rate Effectiveness Review and Discussion of TVA Long Term Offer
Ø Reports
📷September 1 FCA
Ø The September 2019 TVA FCA will decrease to 1.503 cents per kWh. This is the second monthly decrease to the FCA in the last two months, since the July increase. TVA’s explanation is that July sales and weather were in line with predictions, and ample rain provided more hydro power than expected.
Ø On September 1, the energy component of our retail rates will adjust to reflect this anticipated decrease to the wholesale cost of energy.
Action Items
Approval of Agenda and any New Items Desired by Board
Ø The present proposed agenda is attached to this narrative, but, as always, any board member can ask for additional items to be added.
EPB Rules of Order
Ø As we’ve all seen, proper compliance with Robert’s Rules of Order, as adopted by the Board earlier this year, was quite difficult due to the volume of rules contained therein, and the general lack of expertise on the many facets to Robert’s Rules.
Ø Since Glasgow EPB has operated quite effectively for over 50 years using simple parliamentary procedures to govern its meetings, the Board may want to consider adopting a written version of basic parliamentary procedure, perhaps customized to meet the specific desires of the Board, such that a return to less burdensome meeting procedures can occur.
Ø A copy of the parliamentary procedure document presented to you last month is attached again for the Board’s consideration. The document includes a few recommended changes, which would better reflect the established operational habits adopted by the EPB over the years. At the meeting this document can be discussed, and any desired alterations can be directed to the Superintendent. If the Board chooses to adopt the Rules of Order document, this document will be formally recorded in the minutes as to what meeting rules are in place for Glasgow EPB.
Review and Approve Minutes of July 23, 2019 Meeting
Ø This is the customary review and consideration of formally adopting the proposed minutes for the last meeting.
Consider Ratification of Changes to Materials Bid from July
Ø After the bid opening of "Transmission Project A" we separated items to find the best price for each item from each vendor. After the Board gave me authorization to proceed with purchase orders, we had a few instances where a vendor made contact with us requesting to be withdrawn from a couple of bids due to inaccuracy of their bid (bid wrong item or gave us wrong price), or instances where they bid materials together (buy all or none) to get us a better price (itemizing every quote still gets us a better price). After talking to each vendor and getting price changes on items such as Ductile Iron Poles, Fiberglass Crossarms, etc., the new price for the project was $241,544.39 vs. the original bid of $236,823.19, which you approved. This is not a material change on a project of this size -- an increase of only around $4700, but to get the minutes and the Purchase Orders to agree, we need you to ratify this change.
Preliminary Retail Rates Review
Ø We made a commitment to an Advisory Committee, and to the City of Glasgow, to conduct annual analysis of our retail electric rates. This is a sound business practice that should be followed, regardless of our commitments, and that review will begin to be shared with you at the August meeting.
Ø We will likely start off with a brief review of the presentation on the history of the EPB rate evolution, which ought to get everyone on the same page as to where we have been and where previous boards have set our course to follow.
Ø Melanie Reed has completed her preliminary analysis of the performance of our various retail rates utilized by the different customer classes, and we will review those at the meeting.
Ø It will be the Board’s decision on how we should proceed during September, and maybe October, as we move toward any adjustments necessary to stay the course.
Consideration of TVA Long Term Offer
Ø This matter really dovetails with the rate discussion above, and we will likely discuss both together.
Ø TVA’s new CEO has proposed a novel approach to the problem of declining energy sales, and that proposal is outlined in a document attached to this narrative, entitled “Long-Term Agreement.”
Ø This is a very complicated matter, but the simple elements are: TVA is willing to give LPCs a 3.1% credit to their power bills (for Glasgow, that means about $500,000 per year), they also want LPCs to alter their power contract to make the term a rolling 20-year agreement instead of the rolling 5-year term.
Ø There are many other “poison pills” in the proposed agreement, which is set to be considered by the TVA board on August 22. Like I said, this is exceedingly complicated and will require much consideration.
Reports
Ø JULY METRICS. Superintendent will do a brief review of the performance of the Glasgow EPB metrics for July.
Ø SEPTEMBER FCA. The Superintendent will go over the upcoming change to the Fuel Cost Adjustment for September, as dictated by TVA.
Ø CPD LEDGER. Since we altered our Variable Rate, at the request of an Advisory Council of our customers, to limit our peak predictions to four days per month, we have financial exposure when we miss the correct actual peak hour. To compensate for that exposure, we added a small amount to the wholesale cost of a peak kW, to collect funds to pay for missed predictions. The Superintendent will report on the status of that fund thus far in the fiscal year.
Ø GLENVIEW HEALTHCARE FACILITY BANKRUPTCY. This was a big surprise to us. At the meeting I will provide an estimate of our likely loss due to our security being lower than our exposure. This matter again points out the wisdom of getting adequate security on all commercial customers, no matter how trustworthy they believe themselves to be. This customer has paid their bills in proper fashion for decades. But, still, bad things happen to good businesses.
Ø WINDSTREAM BANKRUPTCY. Windstream Holdings (parent company of Windstream Company in Glasgow) filed Chapter 11 bankruptcy early this year. There is a large outstanding debt which is owed to EPB (about $40,000 now and increasing each month). To protect our interests and work to secure payment, as well as a suitable new relationship with Windstream going forward, I have engaged Scott Bachert, with the firm Kerrick Bachert PSC, to represent us in this matter. There will be a report on the progress at the meeting.
Conclusion
Please let me know if you have any questions before the meeting.
Friday, July 19, 2019

July 23, 2019 EPB Regular Meeting


TENTATIVE REGULAR MEETING AGENDA
GLASGOW ELECTRIC PLANT BOARD
JULY 23, 2019


1.  CONSIDER RULES OF PROCEDURE DOCUMENT

2.  REVIEW AND APPROVE MINUTES OF JUNE 25, 2019 MEETING

3.   ANNUAL COMPARATIVE REVIEW OF EPB METRICS

4. CONSIDER BIDS – MATERIALS FOR TRANSMISSION POLE
REPLACEMENT PROJECT

5. REVIEW AND CONSIDER PROGRAMMING COMMITTEE RECOMMENDATIONS

6. CONSIDER TEMPORARY AUTHORIZATION FOR EXECUTION OF DOCUMENTS

7.  SUPERINTENDENT’S REPORT

A. JUNE METRICS REVIEW
B. AUGUST FCA
C. CPD LEDGER
D. AG RULING ON GDT COMPLAINT – TRAINING COMPLETED
E. WINDSTREAM BANKRUPTCY
F. TVA DISCUSSION ON GREEN POWER PROGRAM ISSUE


 8.  ADJOURN  



MEMORANDUM
TO: Members of Glasgow Electric Plant Board
FROM: William J. Ray, PE
DATE: 7/19/2019
SUBJECT: Board Meeting Information
June Main Topics

Ø Consider Rules of Procedure document
Ø Annual Comparative Review of EPB Metrics
Ø Bids for Transmission Pole Replacement Project Materials
Ø Programming Committee Recommendations
Ø Temporary Authorization for Execution of Documents
Ø Reports


August 1 FCA
Ø The August 2019 TVA FCA will decrease to 1.673 cents per kWh. This is the first decrease to the FCA since May of this year. TVA’s explanation is that this decrease is due to higher expectations for hydro generation and lower purchased power and gas rates.      
Ø On August 1, the energy component of our retail rates will adjust to reflect this anticipated decrease to the wholesale cost of energy.

Action Items
         
Consider Rules of Procedure Document
Ø The Board voted at last month’s meeting to repeal Robert’s Rules of Order and develop a document centered around Parliamentary Procedure for operation of Board meetings.  All suggested changes have been incorporated into the document uploaded for your review.  Please review the Rules of Procedure document before the meeting.  

Review and Approve Minutes of June 25, 2019 Meeting
Ø This is the customary review and consideration of formally adopting the proposed minutes for the last meeting.

Annual Comparative Review of EPB Metrics
Ø We have access to a wide range of statistics on all TVA distributors.  At the meeting, we will present a review comparing EPB metrics to those of other TVA distributors.  This is presented to the Board on an annual basis.    

Bids for Transmission Pole Replacement Project Materials
Ø A bid opening for this project is planned for the afternoon of July 18.  I will have a full report on the bids and recommended vendors at the Board meeting.   
   
Review and Consider Programming Committee Recommendations
Ø At this month’s Programming Committee meeting, members voted to recommend addition of the ACC Network to the EPB’s cable lineup.  We do not yet have a final ACC Network agreement from NCTC for review.  If that is presented to us before the Board meeting, we will present it for your review.  Pricing for ACC Network was included in the rate increase that took effect July 1.
Ø At the July meeting, Committee members also voted to recommend execution of the Agreement for A&E Networks to secure pricing through 2022.  I will have a report on that pricing at our meeting.  
Ø The Programming Committee also voted to recommend approval of a new agreement for Viacom Networks, guaranteeing pricing through 2024.  I will also have a report on pricing for these networks.
Ø The Committee also considered signing a PCM from NCTC for negotiations on Fox Cable Networks.  PCM stands for Pre-Commitment Module and allows for NCTC to negotiate pricing with Fox Cable Networks on the EPB’s behalf.  The Programming Committee voted to recommend signature of this PCM.

Consider Temporary Authorization for Execution of Documents
Ø We will discuss written policy regarding execution of documents in my absence.

Reports
Ø JUNE METRICS. Superintendent will do a brief review of Glasgow EPB metrics for June.
Ø AUGUST FCA. The Superintendent will go over the upcoming change to the Fuel Cost Adjustment for August, as dictated by TVA.
Ø CPD LEDGER. Since we altered our Variable Rate, at the request of a committee of our customers, to limit our peak predictions to four days per month, we have financial exposure when we miss the correct actual peak hour. To compensate for that exposure, we added a small amount to the wholesale cost of a peak kW, to collect funds to pay for missed predictions. The Superintendent will report on the status of that fund thus far in the fiscal year.
Ø OPEN MEETING LAW TRAINING. The Kentucky Attorney General ruled on the appeal of Glasgow Daily Times, regarding their complaint against EPB which alleged violations of Kentucky Open Meetings Law. The ruling found EPB violated the law by failing to respond to the complaint in a timely matter, consistent with the law. The Board elected to attend the training recommended in the GDT complaint. Training on Open Meetings Law and Open Records Law was completed on July 15.    
Ø WINDSTREAM BANKRUPTCY. Windstream Holdings (parent company of Windstream Company in Glasgow) filed Chapter 11 bankruptcy early this year. There is a large outstanding debt which is owed to EPB (about $40,000 now and increasing each month). To protect our interests and work to secure payment, as well as a suitable new relationship with Windstream going forward, I have engaged Scott Bachert, with the firm Kerrick Bachert PSC, to represent us in this matter. Since last month’s meeting, Finance Manager Melanie Reed has filed a proof of claim with bankruptcy court, as well as filed claim against a Surety Bond the EPB held for Windstream.
Ø TVA GREEN POWER PROGRAM. As directed, I’ve reopened the subject of how the Green Power Program pays developers of distributed generation projects for the energy they produce, with TVA.  Ernie Peterson from TVA plans to attend the meeting and give a progress report on this topic.  

Conclusion

Please let me know if you have any questions before the meeting.