HSUD general manager's report

Holly Springs Utility Department general manager Wayne Jones reported some positives at the Jan. 7 board of aldermen’s meeting.

He said TVA was paid $700,000 for wholesale power in November, but HSUD has not paid for the current month of December, 2024, but will be able to pay TVA. And the City of Holly Springs was paid its monthly $150,000 payment-in-lieu of taxes (PILOT) for December.

Jones said he is recommending a pay by the area cut from point to point for right-of-way maintenance and to use before and after pictures to show the specific area contracted to cut for a specific price.

He said he wants to hire several providers to cut right-of-way using the $430,000 remaining in the $500,000 legislative appropriation funneled through the Tennessee Valley Authority.

He said he has modified the contract for cutting and the areas will be bid out. He said he has three right-of-way contractors “waiting in the wings” to bid on the specified areas, “so we will know exactly how much right-of-way has been cut and the amount of money that is going to be paid.”

“They are going to stay on one line, cut that one line for whatever the price is, and then they will get another contract,” Jones said.

“You are outside your authority,” said mayor Sharon Gipson. “You can’t just decide to just change that. Where is our in-house team working?”

Jones said the in-house right-of-way team cuts where George Humphrey tells them to cut.

Board attorney John Keith Perry Jr., said Jones was just bringing his proposal to the board, not making a decision on the contract.

“Are you going to bring a sample contract (before the board)?” Ward 2 alderman Andre Jones asked.

“I speak in engineering terms,” Wayne Jones said. “Proposal is a good word.” Attorney John Keith Perry Jr. asked for clarity.

“There is no criticism of C&M. I want to clear it,” Perry said.

“I am going to bring it to the board. Nobody has signed a contract, yet,” Wayne Jones said.

Gipson said the contract the city has (with C&M Bush Hogging) has been working.

“We know he’s been cutting because we have fewer and fewer outages,” Gipson said, pointing to the effectiveness of work done by C&M Bush Hogging. “This is the first that I’ve heard of an attempt from you lately, for that.

I know you have tried that before. Once a contract has been executed, you can’t just decide on yourself to change that. We also don’t want to interfere with the work that has been done.

“Where has our in-house (right-of-way crew) been working?” “I’m speaking of new contractors for the utility right-of-way, Mayor Gipson,” Jones said. “I’m not speaking of changing anything that Mr. Phillips or C&M Bush Hogging is doing or has done. But I had to modify that contract so they can come out and cut for a specific amount. It’s a new contract.” He said no contractors have been hired, but he has three companies who want to bid on the new contract.

Ward 2 alderman Andre Jones clarified that Jones was speaking of a proposal for a contract that he will bring before the mayor and board for approval.

“It’s a proposal,” Wayne Jones said.

Perry said Wayne Jones knows he doesn’t have the authority to create a new contract without board approval.

Ward 4 alderman Patricia Merriweather asked again for documentation of C&M’s work.

“That’s been one of my concerns — of actual data, of how much right-of-way has been cut,” she said. “What’s your next step? We get some raw data. I heard you say the money Rep. Faulkner is getting, is money from the state. To change the method, a proposal will have to have good data on where it is cut and how much we pay.”

“You are going to have a measurement,” Jones said.

He listed other items of priority which included getting more money for right-of-way cutting and getting a new AMI metering system.

And existing personnel and those being hired are receiving customer service training.

Jones said he wants to enter into a service agreement with Atwell and Gent engineering to help.

“IMS (engineers) does not have LPC (local power company) knowledge,” Jones said.

He asked permission to hire two experienced linemen and two experienced servicemen to create new crews.

“We need a minimum of three line crews and three service crews,” he said.

He asked permission to advertise the positions until the positions are filled.

Ward 1 alderman Bernita Fountain asked where advertisements would be placed.

Jones asked to hire Chris Mitchell, experienced in working with LPCs, to help create a local rate plan.