Lamar Utility Board Recognizes Service of Clifford R. Boxley, Discusses Funds Investments

At the meeting of October 24, the Lamar Utility Board began its meeting by approving Resolution 23-10-03 – Recognition of Clifford R. Boxley and his service to the Lamar Utilities Board from October 2016 to June 2023.  He was presented with a ceremonial lamp by Light Plant Superintendent Houssin Hourieh.

Minutes from the October 10, 2023 meeting were unanimously approved.  The only board member not present at today’s meeting was Mayor Kirk Crespin.

The Board paid purchase orders totaling $36,199.29.  These included miscellaneous supplies and parts, professional services and utilities, among others.   The Board also approved the payment of bills totaling $1,044,283.73.   The largest of bills paid include a payment of $835,697.27 to ARPA and $56,874.00 to the Stella-Jones Corporation.

Approved was Bid #2034 for Line Materials and Hardware.  5 bids were originally submitted.  The staff recommendation was to accept the lowest bid, from Western United for a total amount of $7,530.68, which is for line materials and hardware to replenish the stock inventory.

A discussion was held as to investment of reserve funds and the various options.  It was decided to split the amount invested into two separate accounts so as to minimize investment risks.

Superintendent Hourieh presented the September 2023 Financial Report.  There were no significant changes to the balance sheet.  Cash is up $124,570 from August and accounts receivable decreased by $33,704.   Total operating revenue for the month is $1,554,654 with operating costs totaling $1,105,974, resulting in gross operating income of $448,680.  When non-operating costs and expenses are taken into consideration, there is a net income for the month of $323,737.  The YTD Income Statement showed total operating revenues of $11,107,308  with total operation costs of $9,589,703, resulting in gross operating income of $1,517,606.  When non-operating revenues and expenses are taken into consideration, there is a net income of $118,253 year to date.   The YTD comparison with the previous year shows that revenues from retail sales are up approximately $136,486 or 1% comparing September 2023 to September 2022.  Overall operating expenses are down approximately $429,189 or 4%, resulting in a net income of $118,253 for the year.

The System Operating Report was also presented by Superintendent Hourieh.  It states that through the end of September, Lamar’s wind turbines have generated 8,820.24 MWH’s of electricity.   This is about 8.7% lower than the same period in 2022.  The turbines have an average capacity factor of 26.83%, which is also lower than last year.   The Superintendent explained that the reduction is due to the fact that our area had “less wind” than last year.  Lamar’s wind turbine crew is in the process of conducting the annual maintenance on all of the wind turbines.

By Barbara Crimond