HomeCounty Wide News Marion City Commission challenges Westar on 'power loss' payments
Marion City Commission challenges Westar on 'power loss' payments
Written by Jerry Engler
Tuesday, 08 February 2005
The Marion City Commission Monday asked a Westar representative why the city would be expected to pay line power loss on a proposed new electric energy contract, and whether the contract would allow the city to receive power from wind turbine generators.
Mayor Martin Tice said he has heard that a wind farm for generating electricity might be a real possibility in the southern part of the county, and he wondered whether Marion could contract for power from it.
Bill Howgill, business manager with Westar, replied that Westar has no immediate interest in wind power development because the company hasn't found a way to depend on a resource that only generates when the wind blows.
Howgill noted that some states are requiring that 5 percent of electrical generation come from renewable sources, but Kansas isn't one of them. A political decision could change power company requirements, he said.
He said if Marion wanted a wind generation hookup, he believed it would have to be "on your side of the substation, not ours." He advised that the city and Westar in such an event would have to consult with attorneys.
Howgill told the commissioners the contract is only good if signed in February, and that he has no way of knowing what might be offered in March if they choose to wait.
The commissioners said they wanted time to study the contract anyway.
Howgill said charges for fuel adjustment have been dropped from the contract, but the Federal Energy Commission and the Southwest Power Pool have required Westar to include a charge for energy-loss adjustment-the electricity lost during transmission.
He said the charge is a percentage based on actual line losses, and at 4.39 percent, the charge to Marion is the lowest he's seen.
Commissioner Larry McLain, who deals with gas lines in the energy business, said when his company receives gas, it is responsible for any leaks in its lines that might cause it to lose some of the gas.
He said it looked to him like Westar's line loss charge was "just another way of jacking your price up-of passing it on to consumers."
Commissioner Jim Crofoot cracked, "They just have better lobbyists than you do."
The new contract would include energy charges of $18 a megawatt-hour for off-peak usage and $25 for peak usage.
Gene Winkler, representing the tourism board, said the board has been allocating $7,000 the city gave it in new ways, from opting out of a booth at the Kansas State Fair, where returns haven't been high enough, to joining in the Kansas Sampler Festival at Newton, where more direct tour results have been experienced.
Winkler said some money also has been used as a portion of Margo Yates' salary because she spends time, in addition to Chamber of Commerce duties, in getting tour groups to Marion.
Winkler also reported for the Marion Advancement Campaign that architectural plans for the $800,000 community building/ movie theater are being completed, along with a commitment to do the total project.
A grant would finance Kan-Step grant would finance $400,000 of the project, with $200,000 coming from volunteer labor, and another $200,000 in cash to be raised, he said.
Winkler said the grant would require that the project be completed within two years. He hopes for a groundbreaking this spring and completion before holiday movies are released in November-although that would take major effort.
Donald Marques appeared before the commission to ask that he be granted more time to make his house at 1018 Denver Street a liveable dwelling, according to city codes, instead of the city following through with a demolition of the property approved last week.
Marques said he had not been receiving registered letters the city sent him in Florida because of a divorce proceeding and his change of residence to Missouri. He said he was interested in living in the house himself because he considered Marion a "laid back" community and a good place to retire.
Marques said he had been doing restoration work such as painting the house, and repairing windows since coming to Marion. He said he was engaging local technicians for upgrading systems in the house, including Jim Davis for heating and Tony Schafers for plumbing.
Marques asked the commissioners to take his efforts into account.
Tice asked what kind of time frame Marques was looking at to make the house liveable.
Marques replied he planned for completion in six months.
City Attorney Dan Baldwin told Marques that taking his efforts into consideration wasn't the issue, that Marques must have the structure upgraded to meet building codes to avoid its demolition.
Baldwin said if the city is to agree to more time, Marques must read and agree with doing the changes to the property that have to be done. He said Marques would have to be seen "moving forward in good faith for the status of the place to be changed."
Baldwin said Davis and Schafers could complete their part of a renovation within a short time, and that it might be assumed by commissioners that much of bringing the building to code could be done within 30 to 40 days.
He asked Marques if he had the finances available not to wait for six months, and told him commissioners might be concerned about his commitment "to pour good money after bad" into a substandard structure.
Baldwin noted that Marques also has listed the property for sale. He advised commissioners that he should place an affidavit with the register of deeds to alert buyers through title search as to the status of the property.
Baldwin told Marques he would put requirements in a letter that Marques must agree to and sign before commissioners could approve granting more time.
The commissioners said they were willing to work with Marques, and would welcome him as a new resident if he upgraded the home in good faith.
City Administrator David Mayfield said Blue Cross Blue Shield has looked at employee profiles, and offered premium increase of 14.2 percent, lower than the initial proposed increase of 31 percent. Mayfield said profiles also have been sent to the McInnis Group for an alternative quote on insurance.
Mayfield said his staff had a meeting with Marion County Emergency Preparedness Director Michelle Abbott-Becker to look at the city's commission room as an alternative dispatch location for the county in case of disaster.
In addition, because of unexpected developments brought to attention in the recent ice storm, Mayfield said the city is pricing generators for the city building and the water plant.
Mayfield and Public Works Director Harvey Sanders met with the ministerial alliance last week to discuss the group's implementations during emergencies including involvement in transporting disabled persons.
Mayfield said the city again is meeting Kansas Department of Health and Environment requirements by sending out letters saying the city water system is not in compliance with new Environmental Protection Agency guidelines. He said the water supply is safe.
Mayfield said Pat McCool of the Kansas Rural Water Association will meet with engineers next week to see about getting permission from KDHE to move forward with new water plant upgrades.
The commissioners reappointed Casey Case to a one-year term on the Marion Economic Development Advisory Board.
They approved donating $200 as a corporate sponsor for "Bowl for Kids Sake" for Marion County Big Brothers Big Sisters.