Hope Water and Light Commission

The Hope Water & Light Commission met Wednesday (9-24) at the Water & Light Building.  The minutes from the June 25th meeting were approved and the financial statements from August were reviewed.

Jason Holsclaw from Stephens, Inc presented to the commissioners 3 options for a bond issue that could be used to finance the West Booster Pump Station Project.  The need for multiple options was the fact that the project is going to cost $4,600,000 more than the original projected cost of $7,500,000.  A few years ago, Hope Water and Light did a rate study expecting the booster project to cost 7.5 million and increased rates to cover regular operation costs plus the booster project at 7.5 million.

After Mr. Holsclaw made his presentation and answered all questions, the commissioners decided to issue a $10million dollar bond issue and finance the remainder of the project internally.  Holsclaw did indicate the projected cost of the bond issue could be less because of the recent reduction in the interest rate by .25% by the Federal Reserve.  As a result of this decision, the commissioners passed Resolution 2025-06 recommending to the Hope City Board to authorize the issuance of these bonds.

Next the commissioners reviewed the bids that were submitted for the West Booster Pump Station Project.  Two bids were submitted.  One for $11,100,000 and one for $11,672,000.  The commissioners selected the low bid of $11,100,000 by TOLM Group, Inc.  During the discussion of the project, it was pointed out that the need for this project had to do with the original design and location of the water treatment plant.

The general managers gave project updates on transmission lines, Fiber to the Home, the Integrated Resource Plan and Prepay accounts.

Under communications the commissioners discussed customers deferred payments and cut-offs, the AEP/SWEPCO FERC Filings.  The commissioners also discussed a Self-Generation Meeting with SWEPCO and the Twin Creek Solar Project with a potential Interconnection to HWL’s 115kV Transmission Line.

With no further business, that meeting was adjourned.