THE MINUTES OF THE MEETING OF THE BOARD OF PUBLIC WORKS

February 21, 2022

The regular meeting of the Board of Public Works was held on February 21, 2022 at 5:00 pm in the City Council Chambers. Those in attendance were Vice President Brian Terry, Board Member David Ausmus, Board Member David Wilt, Board Member Scott Lucas, General Manager Stephanie Wilson, and Assistants to the General Manager Benjamin Stueve and Bryce Butner (via phone). Also in attendance was City Councilman Tony Petre.   

Vice President Brian Terry called the meeting to order at 5:00 pm. Board Member David Ausmus made a motion, seconded by Board Member Scott Lucas, to approve the minutes from the January 18, 2022 regular meeting. The motion carried with four votes for and none against.

Under old business, the first agenda item was an Update on Employee Request for Variance in Residency Requirement.  Due to Resolution No. 2022-02-08 passing at the City Council meeting held on February 8, 2022 extending the mileage requirement from 10 miles to 15 miles there was no need to take further action. 

Next item under old business was Update on Integrated Management Plan for Long-Term Wastewater Improvements.  The IMP report was reviewed by General Manager Stephanie Wilson with Burns & McDonnell. A draft report will be presented to the Board of Public Works for review in March 2022. 

Under new business the first item on the agenda was Election of Officers for the Board of Public Works. Scott Lucas was appointed by the City Council on February 8, 2022 to be a member of the Board of Public Works.   David Ausmus made a motion, seconded by David Wilt, to elect Brian Terry as President.  The motion carried with three votes for and none against.  For Vice President, Brian Terry made a motion, seconded by Scott Lucas, to elect David Ausmus.  The motion carried with three votes for and none against.  David Wilt and Scott Lucas will be members of the Board of Public Works. 

The next item was a review of a Dashboard for Operational Updates. General Manager Stephanie Wilson presented charted data for the Board of Public’s Works knowledge of the utility representing the electric, water, wastewater, and natural gas utilities. Information was discussed along with ideas for additions and deletions.

The next item was Monthly Review of Financials – 2021 Year-to-Date and January 2022. Ms. Wilson shared the activities and accounting entries from 2021 and January 2022 that had the largest impact on the financials.

The next item was an Update on the Purchase of a Transformer for Substation 3. Information is being gathered in order to serve a new customer in the industrial park. Assistant to the General Manager Ben Stueve shared bids are due on March 8, 2022 for the Board to review on March 21, 2022.

The next item on the agenda is Approval to Proceed with Purchase of a Backhoe.  It was budgeted to replace a 2014 model backhoe at $129,500 but due to inflation impacts the bids came in slightly higher.  Assistant to the General Manager Bryce Butner presented the bid and equipment background information. Board Member Scott Lucas made a motion, seconded by Board Member David Wilt, to proceed with purchasing a 2022 Case 590SN backhoe from Crown Power & Equipment in the amount of $132,785.00 and to transfer the 2014 Backhoe to the City of Macon, Missouri in exchange for the proceeds from their current model to be applied towards MMU’s purchase. The motion carried with four votes for and none against. 

Next on the agenda was a Natural Gas Hedging Option for November 2022 – March 2023. Ms. Wilson and Mr. Stueve shared initial hedging recommendations for next winter with additional hedges to be considered at a later date. President Brian Terry made a motion, seconded by Board Member David Ausmus, to recommend to the City Council of Macon, Missouri to approve a 25% hedge option for 58,801 dekatherms at a commodity cost up to $4.30 per dekatherm and another 25% hedge option for 58,801 dekatherms at a commodity cost up to $4.00 per dekatherm. The motion carried with four votes for and none against.

Next on the agenda was Recommendation to the City Council of Macon, MO to approve Master Lease Agreement with US Cellular for Small Cell Wireless Facilities.  MMU reviewed and worked with the City of Macon on placement of poles and their locations.  The suggestion was to use existing poles to reduce the amount of infrastructure in of rights-of-ways.  US Cellular will pay $100.00 per location for a permit fee and an annual pole usage fee of $150.00 per installation.  US Cellular will pay MMU time and material to set the new poles and make ready for attachment of their equipment.  There are 17 proposed installations for this project.  The initial term of the agreement is for five years with four additional five-year periods. Vice President David Ausmus made a motion, seconded by Board Member David Wilt, to recommend the Master Lease Agreement with US Cellular for Small Cell Wireless Facilities as presented.  The motion carried with four votes for and none against. 

Regarding agenda items Approval of New Construction Fee Sheet, Approval of Truck & Labor Rates for 2022, and Update to Electric Policy Regarding Emergency Disconnects while discussion was held all were tabled until the next meeting.

Ms. Wilson provided updates for non-agenda items which noted a Build My Future event to attract high school students to consider occupations in the construction industry to be held on September 21, 2022 at the Macon County Park.  She also informed the Board of an extension to March 11, 2022 for bids on the Wastewater Collection Relining Project.

Under updates provided by Assistants to the General Manager Ben Stueve and Bryce Butner, operation and maintenance activities at the Macon and Audrain Energy Centers were noted.  For the Macon Energy Center enclosures filters were fixed due to being clogged by snow.  MMU met with PSI at the Audrain Energy Center to preform maintenance on both air compressors. Special Services Group has cleaned up sites at the Macon Lake, performed sub check and fixed weather sealing on the transformer control box at Substation #3, facilitated maintenance projects at City Hall/Utility Office and performed snow removal at MMU properties.  Electric Distribution department has assisted at headworks at the wastewater treatment plant due to faulted module in the electric cabinet and continue preparation of equipment for dielectric testing.  Underground Facilities has begun the annual water valve operation project, inspected sewer manholes from lining project to check for issues, and have worked on isolated service anode installation and cathodic re-checks for natural gas. 

Updates were also shared from Supervisor Ed Samel at the Water Treatment Plant and Supervisor Ronny Smith at the Wastewater Treatment Plant.  The Water Treatment Plant is fully staffed and training of new operators is going well.  A tour of the plant was held with the Board of Public Works on February 17, 2022.  General operation for the Wastewater Treatment Plant noted monthly discharge monitoring reports and the 2021 annual reports including sludge reports were turned into the Missouri Department of Natural Resources and the Environmental Protection Agency.  Also, operational issues are being worked on at the new headworks site.

After approval of accounts payable and setting the next regular meeting was set for Monday, March 21, 2022 at 5:00 pm, a motion was made by David Ausmus, seconded by Brian Terry to go into executive session regarding Legal (Rs. MO.610.021(1)), Leasing, Purchase, or Sale of Real Estate (Rs. MO.610.021(2)), and Personnel (Rs. MO.610.021(3)).  The motions were as follows: Brian Terry, yea; David Ausmus, yea; David Wilt, yea; and Scott Lucas, yea.

When the open meeting reconvened at 8:20 pm a motion was made by seconded by to adjourn the meeting.  The motion passed with four votes for and none against.