This is the letter to the editor that I sent to the Morning Journal and Salem News in response to Mr. Mcbanes letter the other day. His letter only told a fraction of the story. I felt the need to respond to make sure people were not being mislead. The letter I sent to the morning journal that was printed this morning was partially edited. They removed the last paragraph. I am going to post the entire letter here, as well as post the link to the Morning Journal letter that they titled The Citys Bane. Mr. Mcbane stated in his letter to the editor that I suggest the city lower its electric rate by 20% by simply moving salaries out of the electric fund and into the general fund. I never stated that as the only cause of the problem. I stated that I called 3 random municipalities that are AMP public power partners. This is the same source of power that the City of Columbiana purchases from. Out of 3 random phone calls made, all 3 cities had current total rates including all taxes that were nearly 20% less than the city of Columbiana. That to me exposes a broken system! Two years ago when I first called for the vote to lower the city electric rates, they were dropped to the mid 8 cent per kwh range. Two short years later the rate climbed back over 11.5 cents per kwh. We operated with the rates nearly 30% lower than they are now. The fund never went down from the rate drop. In fact, the rate reduction was originally temporary for 3 months. After 3 months, the bottom line had actually increased. The lower rate was again extended for 3 more months and finally made permanent by a unanimous vote of council. The electric fund has since decreased from retirement payouts, north substation upgrades, and the addition of a new substation. The real problem is black and white in Mr. Mcbanes letter. He states” Most, if not all, companies allocate these types of administrative costs back to their divisions and product lines through an administrative overhead rate”. I don’t think that my opposition understands that we are a municipality, not a company. We are entrusted with providing a great service and a low rate. The power system was acquired with tax dollars. It should be a benefit to the tax payers in the form of low rates, not operated as a for profit business that grows the governments bottom line by profiting from the utility. The people of Columbiana need a leader that will represent them, not protect the status quo. So long as I am entrusted with that charge, I will continue to present ideas, question the way things are done, and look for ways to reduce the cost of living in town while providing exemplary services to our residents. That is what I believe a Councilman or Mayor for that matter is tasked with doing. Sincerely, Bryan Blakeman Councilman and candidate for Mayor
Posted on: Thu, 24 Oct 2013 12:16:49 +0000
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