Council discusses options with power provider

The Town of Basin recently reviewed a proposed amended and restated Article of Incorporation from Nebraska Municipal Power Pool (NMPP). The town purchases power from NMPP.  
Mayor CJ Duncan said this is an opportunity for the town to opt out. Even so, the option would not take place for 20 years from now “because they are purchasing power basically on the future market.”
“So, they can guarantee their customers they will be able to produce enough power to supply to them in the future. Basically, they are saying they have worked to secure power enough, including Basin and their customers, for a certain amount of years. They want to ensure they get paid back,”  explained Duncan.
Attorney Kent Richins added he believes it is partially based on the debt NMPP incurs and when that debt would be paid off.
Councilman Chuck Hopkin asked if the town would have another way to buy power in 20 years. Duncan responded that the town would have to approach another bulk power company to have a plan in place.
Duncan further clarified, “It doesn’t say we are opting out. It gives us the opportunity to opt out of this agreement. If we sign it, it gives us the opportunity if we so desire.”
Councilman Carl Olson asked “If we sign that, they say we basically can’t get out for 20 years … do they quit planning on futures for us? One of the biggest things that bothers me, this council saying we are going to opt out in 20 years. I’m good with it saying we could, but I don’t want it saying we are. Because 20 years from now, none of us are going to be on the council.”
Duncan’s response was the town is not prepared to opt out now. By no means does he want the town to call NMPP and give them notice. His intent is to give the town the opportunity if a future council desires to.
Richins asked if the town could opt back in should they opt out. Duncan explained that the difference between this agreement and the old one is that there is the opportunity to opt out in written document form. There was no opportunity in the old agreement. There would have been a breach of contract to get the town out. This would likely cost the town a lot of money.
The council voted to sign the revised article after a comment from Councilman Stuart DesRosier. “I think it is important that not only this council but future councils have the opportunity that we did not have.”
OTHER BUSINESS
• Jim Rielly presented the town audit.
• Town Foreman Mike Dellos gave the public works department update. He said he wanted to give a pat on the back to the crew that stayed busy and got things done while he was gone. Doorknob notices are going on homes so the residents may make appointments to have new meters put in.
• A written electric department report was included in the council’s packet. Duncan said the town needs to move the parking signs in front of town hall off the power poles.
• A three-page report for the town’s Administration Department update was included in the packet.
• The written municipal court report was reviewed.
• Police Chief Kyle McClure was at the meeting and presented the police department summary report. The new truck is in and being used. He recommended decommissioning the 2010 Charger. He is working on the department policy update.
• A building permit for a storage addition was approved for J&E Irrigation.
• An additional easement request from Mary Russell was not approved unless she annexes into the town limits.
• Duncan said there should be some changes to the council appointments in the new year.
• The heating at town hall has not been working properly. Hopkin said he has been in the office when it is 55 degrees.