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11/06/1978-CC-Minutes-Regular� ' f residential electrical service. Lindon Carr stated the policy applies to commercial as wel'1 as residential. Wants Council to give him something to be fair and equal to all. Mayor Cole stated that Susan Cornell was charged $58.55 to run a new electrical line when her old line had no installation on it at all. Stated Buddy Echols wants to run 220 and it will cost him $75.00 to $78.00. Council advised Tony and Lindon to get together and bring back figures for next meeting. 10. Vern Hammett spokesman for the group of School Board Members in attendance requested assistance concerning vandalism and criminal mischief to school administartor's houses. A recent incident _.._ involving the egging of Mr. James Ridout's house was brought to the Council's attention. Those present were notified by Mayor and Municipal Court`Judge that five (5) youths had been fined $18.50 each upon conviction for criminal mischief. 11. The Sanger Electric Budget was discussed briefly. Mayor Cole brought out there was no rate increase included in�the budget. Cooper made the motion to approve the budget. Bridges second. Voted unan. 12. Coker made the motion to appoint Harold Easley to the Planning & Zoning Commission to fill the vacancy for Alta Lovell. Bridges second. Voted unan. 13. Tony Wright, auditor for the City stated he was 95o finished with the City audit, and that he and the City Manager would be going to Waco on the 23rd of October. 14. Other matters: (a) Randal Garner, the new Water Superintendent was. introduced to and welcomed by Council. (b) City Mgr. noted the TML Conference would be held Oct. 28-31. . ATTEST: Minutes: City Council Meeting November 6, 1978 Present: Mayor Cole, Cooper, Hampton, McDaniel, Coker and Bridges Others Present: City Secretary, City Attorney, Lindon Carr, Tony Wright, Leonard Herring and Roy Lemons 1. The minutes of October 16, 1978 were approved as printed. 2. Disbursements for the amount of $15,977.13 were approved on a motion by McDaniel and a second by Cooper. Voted. unan. 3. Sanger Electric Capital Improvements for $3,013.48 were approved on a motion by McDaniel and seconded by Coker. Voted unan. 4. Mr. Howard Ashcraft dba North Texas Plastics requested. electrical service to his business located in the old Sanger Motor building at FM 455 and 5th. Lindon Carr stated he would need a 3 240/480 volt, 500 amp load to the plant. This is a 700 load factor at a cost of $5,471.00. He estimates a 11.5 month payout. It would also be on a demand charge. Brought out that five other individuals were on the exsting service and when changed out to accomodate them would involve a cost of $993.00. This would involve. extending the primary line 200 feet north. Mr. Ashcraft explained to Council that he would have a contract type of business in communications - two color key buttons. He would be doing business with ITT, t 0 Western Electric, IBM and others. He would through December, 1978. be in limited operation Lindon explained to the Council that it would take between 16 to 20 weeks to get a transformer delivered but a half load would aCco:_,odate the business until full operation is initiated. Lindon feels he can borrow necessary supplies from Whitesboro. There would be an approximate cost of $250.00 to change out the temporary operation when the new transformer comes in. Ashcraft agreed to pay the difference. ___ Lindon brought out that we really should purchase one extra '_00 KVA transformer @ the cost of $950.00 to cover this operation. Tt was agreed with Mr. Ashcraft that the City would bay one-half,. of the $950.00 and Ashcraft would pay one-half, an agreement letter to be written up by the City. Coker made the motion to gi�Te the necessary electri_al service as stated for an estimated cost of $7,414.00. Bridges second. Voted unan. 5. Upgrading Electrical Service Policy - Discussion. Mayor Cole felt the City Manager should write the letter from the City_'s standpoint instead of the electric company's standpoint. Stated the Council needed to rewrite the electrical policy. Mayor wanted to know what Counci_1 wanted to do. Hampton was in favor of not changing out drop service until absolutely necessary. Several of the Council felt it was the City's responsibility from the pole to the house. No action taken. To be put on agenda for the next meeting. 6. Coo?�er made the motion the City appoint Ron Adkins and Rony Holder to serve on the electrical beard. Bridges second. Voted unan. 7. Mr. Leonard Herring, Jr. General Manager with Denton County Electric Coop, Inc. explained to Council the "power cost adjustment" requested by the Coop. Thsi adjustment will be added to bills received on February 1, 1979. The adjustment requested is designed to stall a base rate increase further in 1979. If the City approves Mr. Herring would like a letter stating same. Hampton made the motion to approve. Coker second. Voting for were Hampton, Coker, and Bridges. Voting against were McDaniel and Cooper. Motion carried 3-2. 8. Tony Wright stated that cooperation at were posted up-to-date and one man was in operation. He handed out audit questions and explained. They are as follows. (1) Estimated Installation Cost Brazos was good. Records charge of SangL_r Electric for Council's consideration EstimatedInstallation cost .for installing replacement meters or transformers is charged and .capitalized to the Sanger .F,lectric System. Cost includes labor, miscellaneous materials, and trans- portation based on a schedule of average costs for installing the above." This schedule is based on 1973 prices in determining the cost of installation. These figures are charged to the Sanger Electric System under the heading of Special Equipment Items. -- Example: July 1978 Capital Improvement Schedule Special Items: Includes three50 kva Transformers Estimated Installation Cost: Labor 730.95 Materials, etc. 341.04 Total (2) Accounts Payable - Purchase Power Includes month of August (54,693.50) and a portion 58,420.70 billing (13,481.59). Purchase Power had been one month's billing due up to this time. 2,607.99 1, 536.00 1,071.99 2, 607.99 July's of being only (3) Main Lafrentz 1977 Adjusting Entry #13 Original Entry 1/77 - 1/78 Fees and Penalties 4,560.61 AJE #5 Adjusting Accounts Receivable to Audit 2,873.91 AJE #6 Adjusting Accounts Receivable to Audit 284.72 7,719.24 7,719.24 x 600 4,631.54 Accounts Payable Contract Guarantee: 4,631.54 Contract Guarantee: 4,631.54 This adjusting entry eliminated all fees and penalties collected during 1977 plus reduced sales of electrical power to adjust accounts receivables. The eliminating of fees and penalties seem to have been made by Main Lafrentz based on their interpretation of the amended contract between the City of Sanger and the Brazos System (Page 3, method B). If the penalties and fees are in�l.uded for the eight months ending August 31, 1978, the new adjustment should be: Adjustments to Accounts Receivable 2,450.15 x 60% - 1,470.09 Accounts Payable Contract Guarantee 1,470.09 Contract Guarantee 1,470.09 It was agreed by Council that fees and penalties are to be in- cluded as part of the gross revenues. Auditors were instructed to adjust back as far as necessary to include this and City will write a letter to Brazos regarding same. 9. 1978 Tax Roll - Council was informed that Western Date, com- puter service on our taxes, had rounded the values and dollar amounts. This is illegal, but of no great consequence to the individual taxpayer. The Tax Assessor -Collector was advised to make the necessary corrections and do a supplement of the correcting on the roll. 10. Other matters: (a) Georgia Royal would like Sims Street opened or would like the City to deed the street to her. Discussion. (b) Keaton Road is in need of repair. If it is the City's it should be palced on paving list. (c) Council does not desire membership in the U.S. Chamber of Commerce. (d) Connie Mask, Jim Smith and Bill Gentle have approached Council to do something about the burned out building belonging to Dick Chatfield. Citv Secretary was advised to qet a copy of Denton's ordinance on abandoned, unsafe or partially demolished buildings. Item to be on agenda at next meeting. Meeting adjourned. ATTEST: I MAYOR