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Minutes - Council - 10/02/2007 - Special
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Minutes - Council - 10/02/2007 - Special
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Meetings
Meeting Document Type
Minutes
Meeting Type
Council
Document Title
Special
Document Date
10/02/2007
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<br />Mayor Gamec stated that the City will need a lot of cooperation from Connexus Energy to move <br />forward with our own billing <br /> <br />Finance Officer Lund reviewed the finances and noted that ifthe City accepted the $42,000 from <br />Connexus Energy, it would actually be ahead. <br /> <br />Councilmember Dehen stated that he does not understand what prevents the City from sending <br />bills to businesses, getting the matter with Connexus Energy started, but giving Connexus <br />Energy an indefinite amount of time to get back to us depending on how much the City collects <br />from customers. <br /> <br />Mayor Gamec stated that he feels this approach would create animosity among businesses. <br /> <br />City Attorney Goodrich noted that the City cannot leave this issue open indefinitely. <br /> <br />Councilmember Strommen stated that she does not see a huge benefit in taking legal action <br />against Connexus Energy, because according to Finance Officer Lund, we may not come out any <br />better in the end, even if we "win". She stated that she feels the City has not gotten the service <br />that it needs from them and should move toward in house utility billing. She stated that <br />Connexus Energy has made an offer to cut some of the City's losses. She stated that she feels <br />the City should push for a little more from them, take it, and then decide if the City wants to try <br />to bill businesses for one-third of the amount or not out of goodwill since the City has not <br />contacted them since 2003. <br /> <br />Motion by Councilmember Strommen, seconded by Mayor Gamec, to reach a written agreement <br />with Connexus Energy for the in kind services that were offered to resolve the under billing issue <br />discovered in September 2003 and that the City will not bill businesses for any of the under <br />billed amounts. <br /> <br />Further Discussion: Mayor Gamec stated that he would like to ask for $75,000 from Connexus <br />Energy and have that in the motion. Councilmember Olson suggested that instead of a set dollar <br />amount that the City ask for the amount equal to four quarters or one year of billing. <br /> <br />Councilmember Strommen accepted a friendly amendment to ask for four quarters worth of <br />billing as the settlement amount from Connexus Energy Energy. Mayor Gamec seconded the <br />. friendly amendment. <br /> <br />Further Discussion: Councilmember Look suggested that the City send a letter to businesses <br />informing them that although we could pursue the full amount they owe, we are willing to cut the <br />amount they owe to one-third. Councilmember Strommen stated that she is open to this option, <br />but questions what the City would realistically collect while creating ill will among the <br />. businesses. Councilmember Look stated that he feels the businesses did receive benefit and feels <br />the letter could be worded properly so no ill will is created. He stated that this is taxpayer money <br />and businesses should pay one-third of the money by a specific date, the City will pay one-third <br />and try to collect additional money from Connexus Energy. City Administrator Ulrich asked if <br />there was a wholesale rate that the City could charge rather than the full rate. Public Works <br /> <br />City Council Special Meeting /October 2, 2007 <br />Page 8 of 11 <br />
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