Then (2005) and Now (2009)
Then:
- Operations of the Chisholm Creek Utility Authority a mystery
- Conflict of interest - Bel Aire city attorney also represented CCUA
- Recordkeeping and billing done by Bel Aire City employees
- CCUA, City of Bel Aire, and Bel Aire LLC records, funds comingled
- Auditors stated bookkeeping done incorrectly for at least 1 1/2 years
- $60,000 spent for audit, unauthorized expenditure
- Vote to purchase trash company compromised with one board member intimidated due to fact he reported to another member in his employment
- No purchasing policy in place
- No operations contract with plant manager, OEI.
- OEI convinced that construction contract entitled them to design/build every CCUA project in perpetuity
- Maintenance at plant scanty at best, despite Randall Harris’ efforts
- Randall Harris left for other employment, replaced by inexperienced manager
- Then, almost no maintenance, problems with KDHE over dumping sludge on ground, integral parts removed from equipment and not replaced
- OEI sued individual CCUA board members for “conspiracy” to make operations and finances transparent
- CCUA sued OEI to obtain declaratory judgment on legality of contract
Now: - New CCUA attorney is independent of either city
- Recordkeeping and bill payment done by independent bookkeeper
- Monthly revenue/expense statement part of minutes
- Minutes are detailed, taken by independent secretary
- New auditors are helping to make and keep books correctly
- Board expanded to six members, with a minimum of two elected officials from each city
- No member may be employed in a position reporting to another member
- No contract with outside operator, CCUA is independent
- Randall Harris hired by CCUA, maintenance and employee training now current
- Purchasing policy in place
- No lawsuits
- Attendees at meetings can tell what their utility is doing.
All of this cost about $200,000 in legal fees and settlement costs. The option was to let OEI design and build every project forever, regardless of the board’s wishes, and let the plant fall apart due to mismanagement. The first boards had never operated a utility company and, of course, neither had the current board. However, the current board is now composed of qualified business people who know how things should be done.
The process of cleaning up the CCUA has been long and arduous - four years of hard work by a dedicated board consisting of former business owners/managers, a former purchasing agent, a former banker, a physician, a PhD. We believe it's finally a transparent publicly owned utility.
Mayor Stuart,
ReplyDeleteI just wanted to comment on the trash and recycling issue. I will admit, I was skeptical of it at first, and I was wrong. For some reason no attention has been paid to it during this election. Both of your opponents voted against it. Neither have admitted they were wrong for opposing it. Everyone in Park City is paying less for trash service and we still have the freedom to choose. This helps so many people who are dealing with layoffs and reduced work weeks.
Please keep us moving forward!!!!
Dee Stuart,
ReplyDeleteYou noted that you have done quite a bit for the CCUA during your service as Mayor. Have your efforts reduced the likelihood of a rate hike for sewer and/or water? If so, could you explain how?
Undecided Voter
Dear Anonymous,
ReplyDeleteBrian Withrow, Jack Whitson, all the board members were responsible along with me for the changes in the CCUA. Brian and I led the charge, but all saw the problems.
If we had not replaced OEI as the operator of the plants, there is simply no way to tell how much worse the situation would have become. As it was, the plants were deteriorating, there was no policy on purchases, the new headworks required by the state would have been designed and built by OEI, regardless of the cost.
All of those things would surely have sent the rates higher. Having said that, there is no guarantee that we will not have to raise the rates, just a guarantee that we won't raise them unless it is absolutely necessary to keep the utility operating.
Operating costs may increase due to factors which are beyond our control. At least now, we know where we stand financially and should be able to make intelligent decisions.
Raising rates is the equivalent to raising taxes, maybe even worse, and no one wants to do that.
Its a pitty we are loosing you - I know you poured your heart and life into correcting so many of the problems left to you... how much can you attribute to mismanagement or poor decisions by the former and now now re-elected mayor and any of the council's decisions? How much was just growing and startup pains that we may have seen from anyone or any group of volunteers? Just curious - I have heard from many people that Mr. Bergquist was at fault for a lot of things - and other that Bel Aire folks had issues - but it seems that all were unhappy with the OEI contract - who signed that? How can any vendor get a contract like that - endless and without public oversight of our dollars to be spent? What gives? What attorney and which mayor appointed that attorney would have given the advice to our city to accept such a contract?
ReplyDelete