JC council talks finances, technology, energy


Staff report



JACKSON CENTER – The Jackson Center Village Council met on July 27 to finances, technology and energy.

Council Member Larry Wahrer reported that the June financial figures are all in now for the first half of the calendar year. Compared to last year at this time their ending cash balance is $281,658 greater and our Income Tax receipts are a little over $37,000 greater than this time last year.

Wahrer reported they are half-way through the year and their General Fund has receipts of around $16,000 more than expenditures. Their Water Operating Fund is about $5,000 more than expenditures and their Electric Operating Fund is about $142,000 more than expenditures.

Wahrer went on to say, the June month-to-date revenue was $78,425 less than expenditures. However, the reason for this is some out-of-the-ordinary expenses totaling $178,000 for the month of June, which included loan payments, property and liability insurance and paving expenses. Wahrer stated the June Income Tax was around $5,700 more than last year and right now, it looks like July will be a good month too.

The council suspended the three reading rule and adopted an ordinance that will allow them to transfer appropriations to the appropriate appropriation account code to pay for the Exacter service.

The Exacter Technology will be mounted in their vehicle which will drive along the electric system route to detect failing hardware, bad splices and other items that may be degrading. It will also be used at their sub-station to identify failing equipment.

When they have completed reviewing the system, the Exacter Technology will be returned to the company who will in turn provide them with reports that show where the system has weaknesses, the need for repair, or the need for replacement of equipment.

They will be provided with spreadsheets, maps and GIS compatible formats including Google Earth Imagery. They have used this technology before to identify potential problems within the electric system and it has helped them avoid some system failures.

Village Administrator Bruce Metz reported the village received a letter from American Municipal Power asking if anyone would be interested in buying or selling any of their assets for power.

The Western Area Service Group decided to have Sawvel and Associates Inc. complete a study of their power supply portfolios. The results of the study are as follows:

• The village estimated Baseload Requirement is approximately 1.6 MW. The existing and planned capacity resources are approximately 1.9 MW. The result is a baseload resource surplus of approximately 300 kW.

• The estimated Intermediate Requirement is approximately 1.2 MW. The existing and planned capacity resources are approximately 660 kW. The result is an intermediate resource deficit of approximately 550 kW.

• The estimated Peaking Requirement is approximately 1.8 MW of which approximately 600 kW is planning reserves. The existing and planned capacity resources are approximately 200 kW. The result is a peaking resource deficit of approximately 1.6 MW.

To summarize, Sawvel and Associates suggests that the village sell up to approximately 393 kW of existing capacity from the Prairie State Energy Campus project to provide additional opportunity for baseload diversity within their Power Supply Portfolio.

To meet the Intermediate need, a potential realignment suggestion would be to purchase up to approximately 160 kW of additional capacity from the AMP Fremont Energy Center. In the short term, peaking energy needs may be met with Market Energy and Capacity purchases while market prices are low.

Metz stated that their excess in the baseload has been covering the shortage of their intermediate load so he does not want to sell any of it. Metz said with Airstream and EMI expanding and when the EMI building sells they may need the extra power on their baseload.

Metz stated that he would like to put in a letter of intent to purchase 160 more kW out of the natural gas plant. Metz said he is hoping the solar will come thorough and that will help with the peaking load shortage. Metz concluded that he would like to purchase more from AFEC and submit the letter of intent by Friday.

Council was in agreement to send in the letter of intent.

Fiscal Officer Bev Wren informed council members that we are working on the Income Tax ordinance to include administration changes to municipal income tax that were put in place by the passage of House Bill 5.

The Regional Income Tax Agency has sent a model ordinance that Wren is currently working on with the solicitor. The new changes will take effect on Jan. 1, 2016 and the village needs to have their amended ordinance passed and sent to R.I.T.A. by Nov. 15, 2015.

Wren then called to the attention of Council members that lastest Ohio Municipal League Bulletin that talks about legislation restricting Municipal Income Tax to residents only. This legislation has been introduced as Senate Bill 198 by Senator Kris Jordan (R-Delaware) and is a reintroduction of legislation the Senator sponsored last General Assembly.

SB 198 wants to restrict the ability of the nearly 600 Ohio cities and villages who have an income tax to have that earnings tax apply only to residents, providing no municipal tax obligation for those who work and earn an income in a municipality other than the municipality where they reside. Wren stated that this proposal of SB 198 would have a large negative impact on the Village of Jackson Center

In other business:

• Freytag & Associates were present at the meeting to discuss putting in a drive along the railroad tracks in preparation for school construction.

• National Night Out will be Aug. 4 from 5 to 10 p.m. at the Jackson Center Pool.

The next meeting will be Aug. 10 at 7 p.m. in the council chambers.

Staff report