October 1998

Minutes

News & Views from Your Elected Representatives

During August, some members of the Board met with the five local candidates running for seats in various parts of Salem Electric's service territory. We wanted an opportunity to talk to the candidates about their current feelings on a subject that is of great interest to us, the restructuring of the electric industry. We also wanted to let the candidates know how we, as a cooperative, view the current discussions and the impacts of restructuring on Salem Electric members and our strong desire to maintain local control.

We met with Vic Backlund (R) and Rick Stucky (D), both running for the house seat formerly held by Peter Courtney in District 33. And, we met with Jackie Winters (R) and Loren Collins (D) who are running for the seat being vacated by Bryan Johnston in District 31. In addition, we also visited with Lloyd Kumley who is challenging incumbent Gene Derfler (R) in the District 16 Senate race. The Board met with Senator Derfler in May.

We talked with the candidates about how restructuring was dealt with during the 1997 legislative session and how, through our co-op association and other interested groups, we were able to stop any legislation from moving forward. This issue will most likely come up again in the 1999 session, so we felt it was in Salem Electric's best interest to share our views with our next lawmakers.

As a board we still feel that any restructuring efforts will not be in the best interest of our members. We are concerned that only large industrial customers would realize the perceived savings and the impacts on small commercial and residential customers would be unfavorable. Currently, some states are beginning to rethink legislation that has passed in their jurisdictions because the benefits did not materialize. In the Northwest we currently enjoy both low rates and reliable service. Rapid restructuring of the electric industry could jeopardize both of those important benefits.

Salem Electric, as a matter of policy, does not endorse candidates, but we did want to raise the candidates' awareness about electric restructuring from the point of view of the cooperative, as the issues are very complex and ripe for much more discussion. We urge you to ask all candidates about their views on retail wheeling and weigh their answers about this subject as carefully as you do the many other issues facing Oregonians.

 

Nancy Towslee

Vice-President

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Minutes of the Meeting Held on:

August 25, 1998

The Salem Electric Board of Directors met on August 25 at 7:00 p.m. Board members in attendance were Jim Dyer, Nancy Towslee, Bill Wolf, Jeff Anderson, Alicia Bonesteele, Curt Culver and Murray McCreary.

Member Services Report

Member Services Manager Terry Kelly reported that 18 employees signed up to participate in the United Way "Day of Caring" in September. Kelly explained that the employees at SE have decided to stay involved in United Way throughout the year. The staff will be working on two projects: a Habitat for Humanity home and a storage shed at the Women's Crisis Center.

Kelly also unveiled a series of ads that you will be seeing soon that feature photos of SE employees. The ads will run in local newspapers, on the SE website, in the Information Bulletin and possibly on billboards.

Manager's Report

General Manager Bob Speckman reported on the restructuring task force meeting of August 12. The task force has sponsored legislative forums around the state. The purpose of the forums was to inform local community leaders on restructuring issues. The forum sponsored by SE was well attended and very successful.

Speckman also commented on ORECA's attempts to meet with the Governor to explain the public power position regarding the BPA/PGE Regional Act Exchange Agreement. They have not been able to gain an audience, but have been connected to John Savage, who is the director of the Office of Energy and will be a member of the recently appointed Energy Issues Committee.

Checks Written Report

Chris Krieck, stepping in for Jack Belleque, presented information that was requested by the board regarding the Checks Written report, along with a new vendor report. After discussion, a motion was made by Towslee, seconded by Wolf and carried unanimously to keep the Checks Written report as it is and to add the Top 50 Vendor List to the board packets annually.

Meeting adjourned at 7:44 p.m.

The board met in executive session immediately following the regular meeting to hear a report from SE's attorney regarding contract negotiations.

Meeting adjourned at 8:03 p.m.

Bill Wolf

Secretary/Treasurer

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