Utility companies had ups and downs

It was a year alternately charged with positive and negative changes for the Valley's utility companies. The year saw some new faces and some reorganization, and it was also marked with litigation and political battles -- some of which are yet to be resolved.

Jan. 15

Court orders Janecek seated on MEA board

MAT-SU -- Michael Janecek is claiming victory in one battle of what is turning into a long court case against Matanuska Electric Association.

In two orders filed on Jan. 2 in Palmer Superior Court, Judge Beverly Cutler denied without prejudice a motion to bring the case to a close and grant Janecek a seat on the MEA board.

Cutler did, however, order MEA attorneys to pay fees incurred by Ingaldson Maassen for setting up depositions that MEA attorneys and two board members ultimately skipped. She also ordered Janecek to produce a list of names of those who contributed less than $100 during his campaign. That list will be reviewed by Cutler in her chambers, where she will determine whether it should be released to MEA attorneys.

The lawsuit stems from MEA's 2001 board of directors election, in which Janecek won a seat on the MEA board. At the board's April 30 meeting, board members decided 5-2 not to seat Janecek, claiming his campaign disclosures were inaccurate and did not demonstrate a good faith effort to comply with MEA bylaws.

Jan. 18

MEA releases $1.5 million to co-op members

MAT-SU -- The Matanuska Electric Association board of directors unanimously agreed Monday to release $1.5 million in capital credits, a move that will allow MEA to stay within an acceptable equity range, according to board treasurer Wes Pollock.

The capital-credits checks and bill credits will be released to MEA consumers by the end of March, according to information from MEA board president Bill Folsom.

This capital-credit retirement, according to information from MEA's press release, is the cooperative's 20th consecutive annual distribution, and is in addition to $1.4 million paid out last August. Up to and including 2001's capital credit retirement, the cooperative has paid out a total of $24.8 million.

April 5

DeVilbiss seated on MEA board

PALMER -- After Matanuska Electric Association board members cleared several parliamentary hurdles at Tuesday evening's special meeting, Larry DeVilbiss was seated and sworn in to fill the Palmer-area seat vacated Feb. 16 by Aaron Downing.

Three candidates applied for the seat that was vacated by Downing. The former MEA board member had only held the seat since mid-December, a few weeks after former board member Rose Marie "Tiny" DePriest's November resignation from the board.

April 9

Hermon, Daugharty elected to MEA board

PALMER -- Two board members were elected at Matanuska Electric Association's annual meeting Saturday and were scheduled to be seated yesterday at the board's monthly meeting.

Incumbent Jim Hermon of Palmer was the top vote-getter in the election, taking home 4,709 votes, according to unofficial results. The second-highest vote-getter, Scott Daugharty, garnered 4,383 votes. This year's election entailed a plurality vote, in which candidates run at large for seats on the board, with top vote-getters winning the election.

Daugharty, principal of Tanaina Elementary School in Wasilla, said he looks forward to his involvement with the co-op.

April 19

MEA board activates bylaws committee

PALMER -- Matanuska Electric Association's board recently agreed unanimously to activate the association's bylaws committee and charge its members with the task of reforming the association's campaign disclosure laws.

Board member Lois Lester made a motion at the board's April 8 meeting that the board be activated, an action she said was necessary after the disclosure rules did not hold up in court.

"I think the way the campaign disclosure rules are set up -- it's a disservice to members and a disservice to candidates," Lester said.

She added that the committee should look into clarifying disclosures for groups and organizations that presently advertise on behalf of candidates without having to report the amount of money they spend or where that money comes from.

Board member Linda Shattuck suggested the committee go a step further and compare MEA's rules with those of the Alaska Public Offices Commission.

May 28

Reorganization of board, bylaws on MTA ballot

PALMER -- Matanuska Telephone Association members received a somewhat daunting ballot in the mail recently, but MTA staff said the proposed changes will help bring MTA's bylaws and articles of incorporation up to date.

During the past year, the MTA board has worked to implement the suggestions found in the "Carver Guide, Basic Principles of Policy Governance," a guide the board agreed to follow to more effectively fulfill their duties.

"I'm really impressed," said MTA Senior Executive Assistant Connie Egger. "They're really committed to it. It's nice to see that."

Egger explained that the seven bylaw amendments are a result of a bylaw review that was completed by two board members and an MTA attorney. For the most part, she said, the changes bring the bylaws and articles of incorporation in line with existing practices at the utility.

June 18

Strawn, Cottle win board seats, members approve reorganization

PALMER -- Every vote counts, especially at the Matanuska Telephone Association's annual election and meeting of member-owners held on Wednesday, June 12, at Raven Hall on the Alaska State Fairgrounds.

Although Al Strawn was re-elected to a three-year board seat by a comfortable 1,600-plus vote, a narrow 34-vote margin awarded the two-year board seat to Bennie Cottle over candidate Bill Hogan.

The membership passed changes that included: a more flexible timeline for the board to approve the election nominating committee; more flexibility for the board in scheduling their meetings while assuring at least one meeting quarterly; an amendment making board meeting attendance mandatory; an amendment replacing the position titles of president, vice president and treasurer with the position title of chief governance officer (retaining the position title of secretary); delegation of employee compensation determinations to the chief executive officer (CEO) while retaining board authority to determine compensation of the CEO; and approval of a global language amendment to replace gender references in the Articles of Incorporation and Bylaws with non-gender specific language.

July 12

MEA seeks to consolidate with Chugach's membership

MAT-SU -- Eight years after Matanuska Electric Association customers were asked to choose whether they wanted to remain under MEA's direction or be bought out by MEA power-supplier, Chugach Electric, the tables have turned.

MEA board members heard a pitch Monday by General Manager Wayne Carmony to bring the retail distribution customers of Chugach into MEA's fold. Although MEA officials stated numerous times throughout their presentation and the board's discussion of the matter that they are not proposing a takeover of Chugach, the end result, if MEA's proposal is successful, would mean the approximately 52,000 Chugach residential and small business customers would write their checks out to MEA while Chugach would continue as MEA's wholesale power supplier.

July 16

NLRB dismisses IBEW complaint

PALMER -- The National Labor Relations Board recently upheld an Aug. 2001 decision by Administrative Law Judge James L. Rose, dismissing a complaint lodged by the International Brotherhood of Electrical Workers, Local 1547 that Matanuska Electric Association unlawfully implemented a bargaining proposal before a negotiations impasse was reached.

MEA spokesman Mike Pauley, Friday, called the decision a "significant victory" for the cooperative.

"This was a very serious charge brought by the IBEW, to charge that MEA bargained in bad faith throughout the [negotiations]," Pauley said. "We're very pleased that Judge Rose, in essence, saw through the union's posturing."

Sept. 3

Commission pulls plug on MEA bid for Chugach customers

MAT-SU -- The Regulatory Commission of Alaska, Thursday, struck down Matanuska Electric Association's request that the commission grant MEA control over Chugach Electric Association's retail service.

Chugach Electric General Manager Joe Griffith applauded the decision Friday.

"I'm pleased with the action the committee has taken," Griffith said. "I think it was entirely appropriate and certainly recognized our view that it was a frivolous act that no one should have wasted any human or capital effort on."

Oct. 22

MEA appeals Waterman decision

PALMER -- Matanuska Electric Association released a letter Thursday to its board members notifying them that an appeal had been filed in Alaska Supreme Court challenging the Sept. 10 final decision of Palmer Superior Court Judge Beverly Cutler in the Waterman vs. MEA lawsuit.

Cutler had found in September that Waterman met the requirements to be a public interest litigant and, subsequently ordered MEA to pay $100,000 in attorney fees to Waterman's attorney, Ingaldson Maassen.

Nov. 19

MEA requests ninth consecutive rate decrease

MAT-SU -- Matanuska Electric Association's board of directors voted unanimously last week to decrease rates by three percent -- the 15th rate reduction approval since 1996.

The proposed reduction must be approved by the Regulatory Commission of Alaska before it goes into effect, and, if approved, MEA members will see the reduction by the first week of January.

The reduction follows a 1.5 percent reduction approved in August and eight previous quarterly reductions. At a time when many companies are reporting declining revenues, Pauley cited several reasons for MEA's ability to consistently decrease rates, putting general efficiency at the top of the list.

Nov. 26

Power companies lock horns over possible rate increase

MAT-SU -- More than a year after its general rate case was filed, Chugach Electric Association is now in hearings before the Regulatory Commission of Alaska seeking a rate increase that averages 5.7 percent. Matanuska Electric Association and Homer Electric Association, both utilities that purchase wholesale power from CEA, have joined the case, seeking to block the increase and, in MEA's case, requesting a decrease instead.

Dec. 10

MEA protests Chugach rate increase request

ANCHORAGE -- Matanuska Electric Association attorneys alleged Thursday that Chugach Electric Association, in asking the Regulatory Commission of Alaska to approve an average rate increase of 5.7 percent, is trying to recoup money lost through bad investments and financial mismanagement.

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