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.
