HomeMy WebLinkAboutJuly 18 -2023 Board of Water and Light Minutes
Regular Board Meeting
July 18, 2023
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Approved by the Board of Commissioners 09-26-23
MINUTES OF THE BOARD OF COMMISSIONERS MEETING
LANSING BOARD OF WATER AND LIGHT
_________________________________
July 18, 2023
________________________________
The Board of Commissioners met at the Lansing Board of Water and Light (BWL) Headquarters-
REO Town Depot located at 1201 S. Washington Ave., Lansing, MI, at 5:30 p.m. on Tuesday, July
18, 2023.
Chairperson Semone James called the meeting to order at 5:30 p.m.
Chairperson James welcomed new Commissioner Brian Pillar representing Meridian Township as
an Advisory Commissioner.
Corporate Secretary, LaVella J. Todd, called the roll.
Present: Commissioners Semone James, Beth Graham, Dusty Horwitt, DeShon Leek, Tony Mullen,
David Price, and Sandra Zerkle. Non-Voting Commissioners present: Brian Pillar (Meridian
Township).
Absent: Commissioner Tracy Thomas; and Non-Voting Commissioners Douglas Jester (East
Lansing) and Robert Worthy (Delta Township).
Corporate Secretary Todd declared a quorum.
Commissioner Dusty Horwitt led the Pledge of Allegiance.
ELECTION OF OFFICERS FY 2023-2024
Nominating Committee Chairperson Beth Graham presented the June 13, 2023, Nominating
Committee Report. The proposed slate of officers for Fiscal Year 2023-2024 is as follows:
Commissioner Semone James serving as Chairperson; and Commissioner David Price serving as
Vice Chairperson. There were no further nominations for the officers’ positions from the floor.
Motion by Commissioner Tony Mullen, Seconded by Commissioner Beth Graham to close
nominations for officers’ positions.
Action: Motion Carried.
Motion by Commissioner Dusty Horwitt, Seconded by Commissioner Tony Mullen to approve
the nominations of Commissioner Semone James to serve as Chairperson and Commissioner
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July 18, 2023
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David Price to serve as Vice Chairperson of the Board of Commissioners for Fiscal Year 2023-
2024.
Roll Call Vote:
Yeas: Commissioners Semone James, Beth Graham, Dusty Horwitt, DeShon Leek, Tony Mullen,
David Price, and Sandra Zerkle.
Nays: None.
Action: Motion Carried.
Chairperson Semone James stated that the Executive Committee consists of the Board
Chairperson, the Board Vice Chairperson, the past Board Chairperson, plus a Board Member
selected by the Board Chairperson and approved by vote of the Board Members. As the past
Board Chairperson, David Price, is now the Board Vice Chairperson. Chairperson James
appointed Commissioner Sandra Zerkle as a past Board Chairperson to be on the Executive
Committee. Commissioner Sandra Zerkle accepted the appointment as a past Board
Chairperson for the Executive Committee.
Chairperson James nominated Commissioner DeShon Leek as the Board Member for the
Executive Committee. Commissioner DeShon Leek accepted the appointment as the Board
Member for the Executive Committee.
Roll Call Vote:
Yeas: Commissioners Semone James, Beth Graham, Dusty Horwitt, DeShon Leek, Tony Mullen,
David Price, and Sandra Zerkle.
Nays: None.
Action: Motion Carried.
Chairperson James stated committee assignments will be sent out next week and she will be
reaching out to board members regarding their preferences.
APPROVAL OF MINUTES
Motion by Commissioner David Price, Seconded by Commissioner Tony Mullen, to approve the
Regular Board Meeting minutes of May 23, 2023.
Action: Motion Carried.
PUBLIC COMMENTS ON AGENDA ITEMS
Jim Smiertka, Lansing City Attorney, spoke regarding the excellence of the presentation by the
BWL Executive Director, Finance Director, Board Members and BWL staff at the July 11, 2023
Committee of the Whole Meeting. He also informed of the legal resources available through
the Office of the City Attorney.
COMMUNICATIONS
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July 18, 2023
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Electronic mail received from Beth Colosimo regarding Tree Trimming - Referred to
Management. Received and Placed on File.
Letter received from Archie Bryde regarding Complaint - Referred to Management. Received
and Placed on File.
Electronic mail received from Andrea Conarton regarding Utility Bill - Referred to Management.
Received and Placed on File.
COMMITTEE REPORTS
Human Resources Committee Chairperson, Tony Mullen presented the Human Resources
Committee Report:
HUMAN RESOURCES COMMITTEE
Meeting Minutes
June 13, 2023
Human Resources (HR) Committee: Tony Mullen, Committee Chairperson; Commissioners Beth
Graham, DeShon Leek and Tracy Thomas; Alternates Commissioners: Semone James and
Sandra Zerkle; Non-Voting Members: Commissioners Douglas Jester, Larry Merrill and Maggie
Sanders.
The HR Committee of the Lansing Board of Water and Light (BWL) met at the BWL Headquarters-
REO Town Depot located at 1201 S. Washington Ave., Lansing, MI, at 5:30 p.m. on Tuesday, June
13, 2023.
HR Committee Chairperson, Tony Mullen called the meeting to order at 5:38 p.m. and asked the
Corporate Secretary to call the roll. The following members were present: Commissioners Tony
Mullen, Beth Graham, DeShon Leek and Tracy Thomas; Alternate Commissioners: Semone James
and Sandra Zerkle. Also present: Commissioners Dusty Horwitt and David Price.
Absent: None.
The Corporate Secretary declared a quorum.
Public Comments
There were no public comments.
Approval of Minutes
Motion by Commissioner Tracy Thomas, Seconded by Commissioner Beth Graham, to approve
the HR Committee meeting minutes of March 16, 2023.
Action: Motion Carried.
FY 2024 Board Appointee Performance Reviews
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July 18, 2023
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HR Committee Chairperson, Tony Mullen opened the floor for the Board Appointee Performance
Reviews.
Corporate Secretary
Corporate Secretary, LaVella J. Todd requested a closed session for the purpose of receiving her
contractual year-end performance evaluation as permitted by the Open Meetings Act exemption
MCL 15.268(a).
Motion by Commissioner Tracy Thomas, Seconded by Commissioner DeShon Leek, to go into
closed session to discuss the contractual year-end performance evaluation of Corporate
Secretary, LaVella J. Todd.
Roll Call Vote:
Yeas: Commissioners Tony Mullen, Beth Graham, DeShon Leek and Tracy Thomas.
Nays: None.
Action: Motion Carried.
Commissioners Semone James, Sandra Zerkle, David Price, and Dusty Horwitt and Corporate
Secretary, LaVella J. Todd were also requested to go into closed session.
The Human Resources Committee went into closed session at 5:43 p.m.
Motion by Commissioner DeShon Leek, Seconded by Commissioner Beth Graham, to reconvene
into open session.
Action: Motion Carried.
The Human Resources Committee reconvened to open session at 6:00 p.m.
Upon conclusion of the Closed Session, the following motion was offered:
Motion by Commissioner DeShon Leek, Seconded by Commissioner Beth Graham, to forward
the resolution reappointing LaVella J. Todd to the Charter position of Corporate Secretary for
FY24 to the full Board for consideration.
Action: Motion Carried.
General Manager
General Manager, Richard R. Peffley requested a closed session for the purpose of receiving his
contractual year-end performance evaluation as permitted by the Open Meetings Act exemption
MCL 15.268(a).
Motion by Commissioner Tony Mullen, Seconded by Commissioner Beth Graham, to enter into
closed session to discuss the contractual year-end performance evaluation of General Manager,
Richard R. Peffley.
Roll Call Vote:
Yeas: Commissioners Tony Mullen, Beth Graham, DeShon Leek, and Tracy Thomas.
Nays: None.
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July 18, 2023
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Action: Motion Carried.
Commissioners Semone James, Sandra Zerkle, David Price, and Dusty Horwitt and General
Manager, Richard R. Peffley were also requested to go into closed session.
The Human Resources Committee went into closed session at 6:02 p.m.
Motion by Commissioner Beth Graham, Seconded by Commissioner Tracy Thomas, to reconvene
into open session.
Action: Motion Carried.
The Human Resources Committee reconvened to open session at 6:31 p.m.
Upon conclusion of the Closed Session, the following motion was offered:
Motion by Commissioner DeShon Leek, Seconded by Commissioner Beth Graham, to forward
the resolution reappointing Richard R. Peffley to the Charter position of General Manager for
FY24 to the full Board for consideration.
Action: Motion Carried.
Subsequent Steps for Board Appointed Employees Contracts
A discussion was held on the subsequent steps for Board Appointed Employees contracts and
the direction by which to proceed for filling the position of Internal Auditor. HR Committee
Chairperson, Tony Mullen stated a procedure would be put in place for the hiring of new
employees and the contract review of current employees. Hiring in-house and hiring a
headhunter were the two choices offered by which to proceed. Suggestions were made for
hiring a local candidate and adjusting the required credentials for the Internal Auditor position.
Motion by Commissioner Tony Mullen, Seconded by Commissioner Beth Graham, to charge the
HR Committee Chairperson and the Board Chairperson with the task of working with the
appointed employees on their respective annual merit considerations on behalf of the Board of
Commissioners.
Action: Motion Carried.
Discussion on Follow-Up Communication
A discussion was held on the receipt of communication received from a member of the public.
Board of Commissioners Expenditures Resolution
A discussion was held regarding whether the Board of Commissioners quarterly budget and
expense report should be reviewed by the Executive Committee as stated in the Rules of
Procedure, or by the Finance Committee. The resolution was tabled to be placed on the agenda
of the July 11, 2023 Committee of the Whole meeting.
Other
A discussion was held regarding the Remote Work Agreement for all contracted employees. A
resolution will be placed on the agenda for the July 11, 2023 Committee of the Whole meeting.
Adjourn
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July 18, 2023
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Meeting adjourned at 7:12 p.m.
Respectfully Submitted,
Tony Mullen, Chairperson
Human Resources Committee
Commissioner Beth Graham presented the Nominating Committee Report:
NOMINATING COMMITTEE
Meeting Minutes
June 13, 2023
The Nominating Committee of the Lansing Board of Water and Light met at the BWL
Headquarters-REO Town Depot located at 1201 S. Washington Ave., Lansing, MI, at 5:00 p.m. on
Tuesday, June 13, 2023.
Nominating Committee Chairperson, Beth Graham, called the meeting to order at 5:00 p.m. and
asked the Corporate Secretary to call the roll. The following committee members were present:
Commissioners Beth Graham, DeShon Leek, Tony Mullen and Tracy Thomas.
Absent: None
The Corporate Secretary declared a quorum.
Public Comments
There were no public comments.
Commissioner Tracy Thomas requested permission from the Nominating Committee
Chairperson, prior to the start of the Nominating Committee process, to allow him to make a
personal, editorial comment for all Commissioners in attendance. Nominating Committee
Chairperson Beth Graham granted Commissioner Thomas’ request. Following Commissioner
Thomas’ comment, Commissioners running for Chairperson and Vice Chairperson were
respectfully asked to consider leaving the meeting to allow the Nominating Committee to have
open conversation and dialogue for the Fiscal Year 2023-2024 nominations of Chairperson and
Vice Chairperson. Commissioners Dusty Horwitt, Sandra Zerkle and David Price complied with
this request and left the meeting until the open conversation and dialogue had concluded.
Approval of Minutes
Motion by Commissioner Tony Mullen, Seconded by Commissioner Tracy Thomas to approve the
Nominating Committee meeting minutes of July 12, 2022.
Action: Motion Carried.
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July 18, 2023
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Officer & Committee Survey Memorandum, Committee Selection Results Memorandum and
Officer & Committee Survey Results and Comments
Nominating Committee Chairperson, Beth Graham stated that the Officer & Committee Survey
Memorandum, Committee Selection Results Memorandum and the Officer & Committee
Survey Results and Comments were included in the Nominating Committee meeting packet for
review and asked if there were any questions regarding the documents. There were no
questions.
Nomination of Board Officer Candidates for Fiscal Year 2023-2024
Chairperson and Vice Chairperson
Nominating Committee Chairperson, Beth Graham opened the floor for nominations for the
Chairperson for the 2023-2024 fiscal year and for the Vice Chairperson for the 2023-2024 Fiscal
Year.
Motion by Commissioner Tony Mullen to nominate Commissioner David Price to serve as
Chairperson of the Board of Commissioners for the 2023-2024 Fiscal Year. There was no second.
Action: Motion failed.
Motion by Commissioner DeShon Leek to nominate Commissioner Semone James to serve as
Chairperson of the Board of Commissioners for the 2023-2024 Fiscal Year. There was no second.
Action: Motion failed.
Motion by Commissioner Tony Mullen to nominate Commissioner Sandra Zerkle to serve as
Chairperson of the Board of Commissioners for the 2023-2024 Fiscal Year. There was no second.
Action: Motion failed.
Motion by Commissioner DeShon Leek, Seconded by Commissioner Tracy Thomas, to nominate
Commissioner Semone James to serve as Chairperson of the Board of Commissioners for the
2023-2024 Fiscal Year.
Roll Call Vote:
Yeas: Commissioners Beth Graham, DeShon Leek and Tracy Thomas
Nays: Commissioner Tony Mullen
Action: Motion Carried.
Motion by Commissioner Tracy Thomas, Seconded by Commissioner Tony Mullen to nominate
Commissioner David Price to serve as Vice Chairperson of the Board of Commissioners for the
2023-2024 Fiscal Year.
Yeas: Commissioners Beth Graham, DeShon Leek, Tony Mullen and Tracy Thomas
Nays: None.
Action: Motion Carried.
Motion by Commissioner Tony Mullen, Seconded by Commissioner DeShon Leek to present the
Slate of Officers for Fiscal Year 2023-2024 to the full Board for consideration as follows:
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July 18, 2023
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Chairperson: Semone James
Vice Chairperson: David Price
Roll Call Vote:
Yeas: Commissioners Beth Graham, Tony Mullen, DeShon Leek and Tracy Thomas
Nays: None.
Action: Motion Carried
Nominating Committee Chairperson, Beth Graham stated that the recommended slate of officers
will be presented to the full Board for consideration and nominations will be taken from the floor
at the July 18, 2023, Regular Board/Annual Organizational meeting.
Adjourn
There being no further business, the meeting adjourned at 5:27 p.m.
Respectfully submitted,
Beth Graham, Chairperson
Nominating Committee
Vice Chairperson Sandra Zerkle presented the Committee of the Whole Report:
COMMITTEE OF THE WHOLE
Meeting Minutes
July 11, 2023
The Committee of the Whole of the Lansing Board of Water and Light (BWL) met at the BWL
Headquarters-REO Town Depot located at 1201 S. Washington Ave., Lansing, MI, on Tuesday, July
11, 2023.
Committee of the Whole Chairperson, Sandra Zerkle called the meeting to order at 5:30 p.m. and
asked the Corporate Secretary to call the roll.
Present: Commissioners Sandra Zerkle, Beth Graham, Dusty Horwitt, Semone James, DeShon
Leek, Tony Mullen, David Price, and Tracy Thomas; Non-Voting Commissioner Douglas Jester
(arrived at 5:34 p.m.)
Absent: None.
The Corporate Secretary declared a quorum.
Public Comments
Brian Jackson, Lansing, MI, spoke about the All Purpose RFP that is on the agenda for tonight and
asked who vets the applicants and selects the contractors for an alternate energy source.
Heather Douglass, Lansing, MI, MSU Department of Philosophy, spoke about the All Source RFP
that is on the agenda tonight and inquired about the criteria used to weight and evaluate the
proposals and asked that the incredible threat of climate change be taken into consideration.
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July 18, 2023
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Andrew Sarpolis, Lansing, MI, Sierra Club, spoke about the All Source RFP that is on the agenda
tonight and the concern of climate change effects.
Approval of Minutes
Motion by Commissioner Beth Graham, Seconded by Commissioner David Price, to approve the
Committee of the Whole Meeting minutes of May 9, 2023.
Action: Motion carried. The minutes were approved.
Customer Satisfaction Survey Results
General Manager, Dick Peffley introduced Mr. Bernie Porn from EPIC-MRA who presented the
employment satisfaction survey results from the survey that was conducted for residential
customers April 21-24, 2023 and for business customers May 1-5, 2023. An 87% positive result
is the highest percentage received from residential customers for the survey. A comparable
result of 89% was received from business customers.
Commissioner Sandra Zerkle and Commissioner Dusty Horwitt expressed concern on how
customers could be made more aware of assistance programs that are available. Mr. Porn
responded that the information is provided but just may not be accessed by the customers.
All Source RFP
Paul Eory, Strategy & Planning Manager presented the All Source Request for Proposal (RFP). The
acquisition of Ultium as a customer, shutting down Eckert and coal production, and the
prospective of DTE ceasing the use of coal at their Belle River plant, has increased the capacity of
energy to be provided to customers. Offers were received and evaluated for compliance and
economics – affordability, reliability and sustainability, and location.
General Manager, Dick Peffley summarized the information provided and gave a prospective of
how BWL will proceed. To reach carbon neutrality in the next ten years, capital outlays of $750
million spanning multiple locations will consist of 160 MW of battery, an additional 240 MW of
wind added for a total of 328 MW, an additional 260 MW of solar added for a total of 374 MW,
and 110 MW of RICE engines to complement wind and solar. Also, continued work on the
demand and response program, energy waste reduction, compliance with MISO, and the need
for a combined cycle plant will be evaluated.
Commissioner Douglas Jester commented on the recent DTE IRP proposed settlement which
includes the conversion of Belle River from coal to gas in 2025, 2026.
Commission Dusty Horwitt commented on the RFP process with consideration of Board
suggestions throughout the remainder of the RFP process. General Manager, Dick Peffley stated
Management is open to suggestions from the Board and can provide RFP updates as a standing
agenda item at Committee of the Whole meetings going forward.
Fraud Prevention Policy
General Counsel, Mark Matus presented the Fraud Prevention Policy. A resolution will be
prepared for the revised version of the Fraud Prevention Policy for the July 18, 2023 Board
meeting.
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July 18, 2023
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Diversity, Equity & Inclusion Update
Diversity, Equity & Inclusion Specialist, Vernon Woodley presented the Diversity, Equity and
Inclusion update.
Commissioners Tracy Thomas, Sandra Zerkle, Semone James, and Dusty Horwitt commended
the DEI team for their work notably during a presentation at the 2023 APPA National
Conference in June.
Board of Commissioners Expenditures Resolution
Commissioner Tony Mullen presented the Board of Expenditures Resolution and requested the
resolution be forwarded to the full Board for consideration.
Motion by Commissioner David Price, Seconded by Commissioner Tony Mullen, to forward the
resolution for Board of Commissioners Expenditures as presented to the full Board for
consideration.
Action: Motion Carried.
Remote Work Agreement for All Contracted Employees Resolution
Committee of the Whole Chairperson, Sandra Zerkle requested that the Remote Work
Agreement for All Contracted Employees Resolution be sent to the next Human Resources
Committee for discussion.
Motion by Commissioner David Price, Seconded by Commissioner DeShon Leek to move the
Remote Work Agreement for All Contracted Employees Resolution to the Human Resources
Committee for review.
Action: Motion Carried.
Human Resources Committee Chairperson, Tony Mullen stated the next HR Committee meeting
can take place in September. Further discussion followed regarding the agenda items placed on
the board and committee meeting agendas.
Other
Commissioner Tracy Thomas requested that only required meeting attendees be allowed behind
the dais during meetings due to safety concerns. Commissioner Tony Mullen asked if any rules
or procedures addressed this safety concern. General Manager, Dick Peffley responded that it
can be addressed by BWL Security.
General Counsel, Mark Matus read the Fraud Prevention Policy Resolution prepared for the
Regular Board Meeting and requested the resolution be forwarded to the full Board for
consideration.
“RESOLVED, the Fraud Prevention Policy as amended and presented by Management on July 11,
2023 is approved for immediate implementation.”
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Motion by Commissioner David Price, Seconded by Commissioner Semone James to forward the
Resolution for the Fraud Prevention Policy to the full Board for consideration.
Action: Motion Carried
General Counsel, Mark Matus will forward a draft of the Fraud Prevention Policy Resolution to
Corporate Secretary, LaVella Todd to include in the July 18, 2023 Regular Board meeting packet.
Commissioner Tracy Thomas asked if there had been any discussion about increases in the
proposed Appointed Employees’ contracts. Commissioner Tony Mullen responded that it is
scheduled to be discussed with Chairperson Semone James.
Adjourn
Chairperson Zerkle adjourned the meeting at 7:24 p.m.
Respectfully Submitted
Sandra Zerkle, Chairperson
Committee of the Whole
Finance Committee Chairperson, Dusty Horwitt presented the Finance Committee Report:
FINANCE COMMITTEE
Meeting Minutes
July 11, 2023
Finance Committee: Dusty Horwitt, Committee Chairperson; Commissioners: Semone James,
David Price and Sandra Zerkle; Alternate Commissioners: Tony Mullen, Tracy Thomas; Non-
Voting: Commissioners Douglas Jester, Brian Pillar, Robert Worthy.
The Finance Committee of the Board of Water and Light (BWL) met at the BWL Headquarters –
REO Town Depot, located at 1201 S. Washington Ave., Lansing, MI on Tuesday, July 11, 2023.
Finance Committee Chairperson, Dusty Horwitt called the meeting to order at 7:40 p.m. and
asked the Corporate Secretary to call the roll.
Present: Commissioners Dusty Horwitt, Semone James, David Price, and Sandra Zerkle, Alternate
Commissioner: Tracy Thomas; also present: Commissioners Beth Graham and DeShon Leek; and
Non-Voting Commissioner Douglas Jester.
Absent: None.
The Corporate Secretary declared a quorum.
Public Comments
There were no public comments.
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July 18, 2023
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Approval of Minutes
Motion by Commissioner David Price, Seconded by Commissioner Semone James, to approve
the Finance Committee Meeting minutes of May 9, 2023.
Action: Motion Carried.
May YTD Financial Summary
Chief Financial Officer (CFO), Heather Shawa presented the May YTD Financial Summary.
Commissioner Sandra Zerkle asked where the renewable portfolio applied to the $750 million
budget that was recently passed. General Manager, Dick Peffley and CFO, Heather Shawa
responded that the renewable portfolio would be included in a future budget and budget
forecast when approved.
Commissioner Beth Graham asked whether the recruitment campaigns that were run were
helpful and a cause of the increase in employees. General Manager, Dick Peffley responded that
the increase in line worker, apprentice and administrative support applicants was a direct effect
of the campaigns.
Capital Project Report
CFO, Heather Shawa presented the Capital Project Report. There were no comments or questions
from Commissioners.
Drinking Water State Revolving Fund (DWSRF) Bond Resolution
Accounting, Finance & Planning Director, Scott Taylor, presented the Drinking Water State
Revolving Fund Bond Resolution and requested the resolution to execute the bond issuance be
forwarded to the full Board for approval.
Motion by Commissioner Semone James, Seconded by Commissioner Dusty Horwitt, to forward
the Resolution for the Drinking Water State Revolving Fund (DWSRF) Bond to the full Board for
consideration.
Action: Motion Carried.
Retirement Plan Committee (RPC) Update
CFO, Heather Shawa presented the RPC update. An annual orientation presentation will be given
by LBWL Associate Attorney II, Marie Mireles at a Retirement Planning Committee meeting that
will be held on July 12, 2023 with all the new members. CFO, Heather Shawa added that a request
was made for the Retirement Plan Committee to have access to the Commissioner’s Dashboard
portal to post and review its meeting information, documents, and materials.
Bi-Annual Internal Audit Open Management Responses Update
Internal Control Supervisor, Elisha Franco presented the Bi-Annual Internal Audit Open
Management Responses Update.
Commissioner Sandra Zerkle asked how PA-95 would be measured for assistance to the local
area and what results would be considered reasonable. CFO, Heather Shawa responded that
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after the first year the data and results would be evaluated. General Manager, Dick Peffley
responded that BWL’s expectation is that the money contributed will be the money returned
and that the results will be brought to the Board of Commissioners.
P-Card Procedure Modifications Resolution
Chairperson Horwitt presented the P-Card Procedure Modifications resolution and the
Committee agreed to forward as amended to the full Board for consideration. The resolution
modifies the purchasing card policy for the Board’s Appointed Employees.
Motion by Commissioner David Price, Seconded by Commissioner Dusty Horwitt to accept the
resolution as written and forward to the full Board for consideration.
A discussion followed regarding oversight of monthly spending for the General Manager,
Corporate Secretary, and Internal Auditor.
CFO, Heather Shawa requested two grammatical changes be made to the resolution, to remove
“to add the following” after “RESOLUTION 2015-07-04 is hereby amended” and add “as follows”;
and to change the “Travel and Reimbursement Policy” to “Travel and Expense Policy.”
Action: Motion Failed.
The P-Card Procedure Modifications Resolution will be revised and brought before the July 18,
2023 full Board meeting.
Other
There was no other business.
Adjourn
Chairperson Dusty Horwitt adjourned the meeting at 8:30 p.m.
Respectfully submitted,
Dusty Horwitt, Chairperson
Finance Committee
MANAGER’S RECOMMENDATIONS
There were no Manager’s Recommendations.
UNFINISHED BUSINESS
There was no unfinished business.
NEW BUSINESS
There was no new business.
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RESOLUTIONS
RESOLUTION 2023-07-01
Appointment of the Charter Position of Corporate Secretary
WHEREAS, the Board’s Rules of Procedures specify that the Board is to appoint a Director and
General Manager, Internal Auditor, and Corporate Secretary, at its first regular meeting following
July 1st of each year or as soon as practicable thereafter.
RESOLVED, That the Board of Commissioners hereby appoints the following individual to the
Charter position of Corporate Secretary fiscal year 2023-2024 or until a successor is appointed,
whichever last occurs:
LaVella J. Todd, Corporate Secretary
FURTHER RESOLVED, That the Chairperson of the Board of Commissioners is authorized to
execute any and all contractual amendment documents which reflect merit adjustments
recommended by the Human Resources Committee for FY 2023’s performance.
--------
Motion by Commissioner DeShon Leek, Seconded by Commissioner Sandra Zerkle, to approve the
reappointment of the Corporate Secretary for Fiscal Year 2023-2024 at a Board Meeting held on July
18, 2023.
Roll Call Vote:
Yeas: Commissioners Semone James, Beth Graham, Dusty Horwitt, DeShon Leek, Tony Mullen,
David Price and Sandra Zerkle
Nays: None.
Action: Motion Carried.
RESOLUTION 2023-07-02
Appointment of the Charter Position of Director and General Manager
WHEREAS, the Board’s Rules of Procedure specify that the Board is to appoint a Director and
General Manager, Internal Auditor, and Corporate Secretary, at its first regular meeting following
July 1st of each year or as soon as practicable thereafter.
RESOLVED, That the Board of Commissioners hereby appoints the following individual to the
Charter position of General Manager for fiscal year 2023-2024, or until a successor is appointed,
whichever last occurs:
Richard R. Peffley, Director and General Manager
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FURTHER RESOLVED, That the Chairperson of the Board of Commissioners is authorized to
execute any and all contractual amendment documents which reflect merit adjustments
recommended by the Human Resources Committee for fiscal year 2023’s performance.
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Motion by Commissioner Semone James, Seconded by Commissioner Tony Mullen, to approve
the Appointment of the Charter Position of Director and General Manager for Fiscal Year 2023-
2024 at a Board Meeting held on July 18, 2023.
Roll Call Vote:
Yeas: Commissioners Semone James, Beth Graham, Dusty Horwitt, DeShon Leek, Tony Mullen,
David Price and Sandra Zerkle
Nays: None
Action: Motion Carried.
RESOLUTION 2023-07-03
Board of Commissioners Expenditures
WHEREAS, the Board of Commissioners discussed the planning and monitoring of Board
expenditures by the Corporate Secretary at a Human Resources Committee meeting held on
March 16, 2023; and
WHEREAS, a budget and expense report has been developed by the Corporate Secretary for the
Board of Commissioners; and
WHEREAS, the Rules of Procedure, Section 19.7.2 states the Executive Committee shall review
Member expenses on a quarterly basis; and
WHEREAS, the Board of Commissioners wishes to meet organizational objectives and to have the
budget information shared frequently with the Board of Commissioners; and
WHEREAS, the Board of Commissioners determined that the budget and expense report shall be
sent by the Corporate Secretary to the Board of Commissioners quarterly.
RESOLVED, That the Board of Commissioners hereby approves the Board of Commissioners
Expenditures reporting procedure.
Motion by Commissioner Tony Mullen, seconded by Commissioner Dusty Horwitt to approve the
Resolution for the Board of Commissioners Expenditures at a Regular Board Meeting held on July
18, 2023.
RESOLUTION 2023-07-04
Fraud Prevention Policy
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July 18, 2023
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WHEREAS, having a Fraud Prevention Policy (“Policy”) is a critical tool in communicating the
Lansing Board of Water & Light’s (“BWL”) high standards of business and personal ethics in the
performance of duties and responsibilities on behalf of the BWL; and
WHEREAS, it is the intent of the Board to promote consistent organizational behavior by
establishing controls that will aid in the detection and prevention of fraud against the BWL;
NOW, THEREFORE, BE IT RESOLVED, that the Fraud Prevention Policy as amended and presented
by Management at the July 11, 2023 Committee of the Whole meeting is approved for immediate
implementation.
Motion by Commissioner Beth Graham, Seconded by Commissioner DeShon Leek to adopt the
Fraud Prevention Policy and Fraud Prevention Policy Resolution at a Board meeting held on July
18, 2023.
Action: Motion Carried.
RESOLUTION 2023-07-05
Lansing Board of Water and Light
SECOND SUPPLEMENTAL
UTILITY SYSTEM REVENUE BOND RESOLUTION
TO AUTHORIZE JUNIOR LIEN BONDS
A RESOLUTION TO AUTHORIZE:
● Junior Lien Utility System Revenue Bonds to finance water supply
system improvements;
● Junior Lien Bonds to be sold to the Michigan Finance Authority
through the Drinking Water State Revolving Fund loan program
administered by the Authority and the Michigan Department of
Environment, Great Lakes and Energy;
● Chief Financial Officer to sell Bonds without further Board approval.
PREAMBLE
WHEREAS, the City of Lansing (the “City”) acting through the governing body of the
Lansing Board of Water and Light, from time to time issues its utility system revenue bonds
payable from revenues of the water supply, steam, chilled water and electric utility system (the
“System”) under the provisions of Act 94, Public Acts of Michigan, 1933, as amended (“Act 94”);
and
WHEREAS, the Board has determined that it is necessary for the public health, safety and
welfare of the City and the users of the System to acquire and construct water supply system
improvements including, but not limited to, construction, improvement, and renovation of
transmission and distribution lines, storage, treatment and related utility system facilities for water
supply, together with any appurtenances and attachments thereto and any related site acquisition
or improvements (collectively, the “Project”); and
Regular Board Meeting
July 18, 2023
Page 17 of 32
WHEREAS, on Friday, May 26, 2023, the Board published in the Lansing State Journal a
Notice to Electors of the City of Lansing of Intent to Issue Revenue Bonds for Water Supply
System Improvements and Right to Petition for Referendum describing utility system revenue
bonds to be issued in an amount not-to-exceed Thirty-Two Million Two Hundred Twenty
Thousand Dollars ($32,220,000) to finance costs of the Project, and no petitions requesting
referendum as described in the Notice were filed with the City Clerk during the referendum period
provided by Act 94; and
WHEREAS, in order to finance costs of the Project, the Board now desires to authorize the
issuance and sale of the UTILITY SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 2023
(the “Series 2023 Bonds”) pursuant to the provisions of Act 94.
NOW, therefore, be it resolved:
Section 1. Definitions. Whenever used in this Resolution, except when otherwise indicated
by the context, the following terms shall have the following meanings:
(a) “Act 94” means Act 94, Public Acts of Michigan 1933, as amended.
(b) Additional Junior Lien Bonds” means any additional junior lien bonds of equal
standing with the Bonds issued pursuant to Section 17 of this Resolution.
(c) “Authorized Officer” means severally the Chief Financial Officer, her designee, the
Chairperson, and the Corporate Secretary.
(d) “Board” or “Issuer” means the Board of Water and Light established pursuant to
Section 5-201 of Chapter 2 of the City Charter of the City.
(e) “Chief Financial Officer” means the Board’s Chief Financial Officer.
(f) “City” means the City of Lansing, Michigan.
(g) “EGLE” means the Michigan Department of Environment, Great Lakes and
Energy, or any successor agency which administers loans from the State of
Michigan Drinking Water State Revolving Fund (DWSRF) program.
(h) “Issuer” or ““Board” means the Board of Water and Light established pursuant to
Section 5-201 of Chapter 2 of the City Charter of the City.
(i) “Junior Lien Bonds” and “Junior Lien Notes” means any bonds or series of bonds
(including the Series 2023 Bonds) or bond anticipation notes issued under Act 34,
Public Acts of Michigan, 2001, as amended, or other obligations which may be
issued or incurred by the Board to provide funds for any lawful purpose of the
System which are of junior standing and priority of lien with respect to the Net
Revenues to the claim of the Senior Lien Bonds.
(j) “Net Revenues” means the Revenues remaining after deducting the reasonable
expenses of administration, operation, and maintenance of the System.
(k) “Prior Resolution” means Amended and Restated Bond Resolution 2018-03-03, as
amended by Resolution 2019-03-03 and Resolution 2020-11-05, and as
supplemented by First Supplemental Resolution #2019-11-04.
(l) “Purchase Contract” means the Purchase Contract to be entered into between the
Michigan Finance Authority and the Issuer relating to the purchase by the Michigan
Finance Authority of the Series 2023 Bonds.
Regular Board Meeting
July 18, 2023
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(m) “Resolution” means the Prior Resolution as supplemented by this Resolution, and
any other resolution amendatory or supplemental thereto.
(n) “Revenues” means the income derived from the rates charged for the services,
facilities, and commodities furnished by the System, earnings on investment of
funds and accounts of the System required to be deposited in the Receiving Fund
pursuant to this Resolution and other revenues derived from or pledged to the
operation of the System.
(o) “Senior Lien Bonds” means any Bonds or series of Bonds so designated and
payable from Net Revenues, which are secured by a statutory first lien on the Net
Revenues established by the Prior Resolutions and which are senior and superior in
all respects to any Junior Lien Bonds secured by the statutory second lien
established by this resolution, including the outstanding portion of the Utility
System Revenue Refunding Bonds, Series 2013A, the Utility System Revenue
Refunding Bonds, Series 2017A, the Utility System Revenue Bonds, Series 2019A,
the Utility System Revenue Refunding Bonds, Series 2019B, Utility System
Revenue Bonds, Series 2021A, and the Utility System Revenue Bonds,
Series 2021B, and any Additional Bonds of equal standing hereafter issued.
(p) “Series 2023 Bonds” means the Utility System Junior Lien Revenue Bonds,
Series 2023 issued pursuant to this Resolution.
(q) “Series 2023 Project” means the water supply system improvement project
described in the Notice of Intent published in the Lansing State Journal on May 26,
2023, including, but not limited to, construction, improvement, and renovation of
transmission and distribution lines, storage, treatment and related utility system
facilities for water supply, together with any appurtenances and attachments thereto
and any related site acquisition or improvements (the “System Improvements
Project”).
(r) “Series 2023 Project Fund” means the 2023 Junior Lien Revenue Bonds Project
Fund established pursuant to this Resolution.
(s) “Sufficient Government Obligations” means direct obligations of the United States
of America or obligations the principal and interest on which is fully guaranteed by
the United States of America, not redeemable at the option of the issuer, the
principal and interest payments upon which without reinvestment of the interest,
come due at such times and in such amounts as to be fully sufficient to pay the
interest as it comes due on the Bonds or Junior Lien Bonds and the principal and
redemption premium, if any, on the Bonds or Junior Lien Bonds as it comes due
whether on the stated maturity date or upon earlier redemption. Securities
representing such obligations shall be placed in trust with a bank or trust company,
and if any of the Bonds or Junior Lien Bonds are to be called for redemption prior
to maturity, irrevocable instructions to call the Bonds or Junior Lien Bonds for
redemption shall be given.
(t) “Supplemental Agreement” means the supplemental agreement among the Issuer,
the Michigan Finance Authority and EGLE relating to the Series 2023 Bonds.
(u) “System” means the complete facilities of the Board for the supply and distribution
of water and the generation and distribution of electricity, steam, chilled water, and
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July 18, 2023
Page 19 of 32
heat, including all plants, works, instrumentalities and properties used or useful in
connection with the supply and distribution of water and the generation and
distribution of electricity, steam, chilled water, and heat, and all additions,
extensions and improvements thereto existing or hereafter acquired by the Board.
(v) “Transfer Agent” means the transfer agent and bond registrar for the Junior Lien
Bonds as appointed from time to time by the Issuer as provided in Section 6 of this
resolution and who or which shall carry out the duties and responsibilities as set
forth in Section 6 of this resolution.
Section 2. Necessity; Approval of Plans and Specifications. It is hereby determined to be
a necessary public purpose of the Issuer to acquire and construct the Series 2023 Project in
accordance with the plans and specifications prepared by the engineer for the Series 2023 Project,
and on file with the Issuer, which plans and specifications are hereby approved. The Series 2023
Project qualifies for the Drinking Water State Revolving Fund financing program being
administered by EGLE and the Michigan Finance Authority, whereby bonds of the Issuer will be
sold to the Michigan Finance Authority and bear interest at a fixed rate of 1.875% per annum, with
62% of the principal borrowed qualifying for principal forgiveness.
Section 3. Costs; Useful Life. The total cost of the Series 2023 Project is estimated to be
$32,220,000 including the payment of incidental expenses as specified in Section 4 of this
resolution, which estimate of cost is hereby approved and confirmed, and the period of usefulness
of the Series 2023 Project is estimated to be not less than forty (40) years.
Section 4. Payment of Cost; Bonds Authorized; Effect of Prior Resolutions. To pay costs
of acquiring and constructing the Series 2023 Project, including legal, engineering, financial and
other expenses incident to the issuance and sale of the Series 2023 Bonds, it is hereby determined
that the Issuer borrow the sum of Thirty-Two Million Two Hundred Twenty Thousand Dollars
($32,220,000), or such lesser amount as shall have been advanced to the Issuer pursuant to the
Purchase Contract and the Supplemental Agreement, and that the Series 2023 Bonds be issued
thereof pursuant to the provisions of Act 94. The remaining cost of the Series 2023 Project shall
be defrayed from Issuer funds on hand legally available for such use.
Except as amended by or expressly provided to the contrary in this resolution, all of the
provisions of the Prior Resolutions shall apply to the Series 2023 Bonds issued pursuant to this
resolution, the same as though each of said provisions were repeated in this resolution in detail;
the purpose of this resolution being to authorize the issuance of revenue bonds of subordinate lien
to the Senior Lien Bonds.
Section 5. Series 2023 Bond Details. The Series 2023 Bonds are authorized to be issued
in one or more series in the aggregate principal sum of not to exceed Thirty-Two Million Two
Hundred Twenty Thousand Dollars ($32,220,000) as finally determined by order of EGLE for the
purpose of paying part of the cost of the Series 2023 Project, including the costs incidental to the
issuance, sale and delivery of the Series 2023 Bonds. The Series 2023 Bonds shall be designated
as the “UTILITY SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 2023” with such
additional or other designations as determined by an Authorized Officer. The Series 2023 Bonds
shall be payable solely out of the Net Revenues, as set forth more fully in Section 7 hereof,
provided that the Series 2023 Bonds shall be subordinate to the prior lien with respect to the Net
Revenues in favor of the Senior Lien Bonds. Each series of the Series 2023 Bonds shall be in the
form of a single fully-registered, nonconvertible bond of the denomination of the full principal
amount thereof, dated as of the date of delivery, payable in principal installments as finally
Regular Board Meeting
July 18, 2023
Page 20 of 32
determined by the order of EGLE at the time of sale of the Series 2023 Bonds and approved by
the Michigan Finance Authority and an Authorized Officer. Principal installments of the Series
2023 Bonds shall be payable on such payment dates and in such amounts as determined in the
Purchase Contract, provided that the final principal payment of the Series 2023 Bonds shall be due
and payable in not-to-exceed 40 annual installments.
The payment schedule shown in Section 8 below shows payment of $32,220,000 of
principal; the Michigan Finance Authority has advised the Board that $20,000,000 of this
amount is eligible for Principal Forgiveness and it is anticipated that the Loan Amount to be
Repaid will be $12,220,000. The Series 2023 Bonds shall bear interest at a rate or rates to be
determined by an Authorized Officer at the time of execution of the Purchase Contract,
anticipated to be 1.875%, payable semiannually on such dates as determined in the Purchase
Contract. In addition, if required by the Michigan Finance Authority, the Series 2023 Bonds will
bear additional interest, under the terms required by the Michigan Finance Authority, in the event
of a default by the Issuer in the payment of principal or interest on the Series 2023 Bonds when
due.
The principal amount of the Series 2023 Bonds is expected to be drawn down by the
Issuer periodically, and interest on each installment of the principal amount shall accrue from the
date such principal installment is drawn down by the Issuer. Principal installments of the Series
2023 Bonds will be subject to prepayment prior to maturity as permitted by the Michigan
Finance Authority and approved by an Authorized Officer.
The Series 2023 Bonds shall not be convertible or exchangeable into more than one fully-
registered bond per series. Principal of and interest on the Series 2023 Bonds shall be payable as
provided in the Series 2023 Bonds as executed.
The Chairperson and Corporate Secretary are authorized to execute the Series 2023 Bonds
by manual or facsimile signature. At least one signature on the Series 2023 Bonds shall be a manual
signature. Any Authorized Officer is hereby authorized to deliver the Series 2023 Bonds in
accordance with the delivery instructions of the Michigan Finance Authority.
Section 6. Registration and Transfer. The Transfer Agent shall keep or cause to be kept at
its principal office sufficient books for the registration and transfer of the Series 2023 Bonds, which
shall at all times be open to inspection by the Issuer. The Transfer Agent shall transfer or cause to
be transferred on said books any bond presented for transfer, as hereinafter provided and subject
to such reasonable regulations as it may prescribe.
The Series 2023 Bonds may be transferred upon the books required to be kept by the
Transfer Agent pursuant to this Section, by the person in whose name it is registered, in person or
by his duly authorized attorney, upon surrender of such Bond for transfer, accompanied by delivery
of a duly executed written instrument of transfer in a form approved by the Transfer Agent.
Whenever any Bond shall be surrendered for transfer, the Transfer Agent shall record such transfer
on the registration books and shall register such transfer on the registration grid attached to the
Series 2023 Bond. At the time of such transfer the Transfer Agent shall note on the Series 2023
Bond the outstanding principal amount thereof at the time of such transfer. The Transfer Agent
shall require the payment by the bondholder requesting the transfer of any tax or other
governmental charge required to be paid with respect to the transfer. The Issuer shall not be
required (i) to issue, register the transfer of, or exchange any bond during a period beginning at
the opening of business fifteen days before the day of the mailing of a notice of prepayment of the
bond or installments thereof selected for redemption and ending at the close of business on the day
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July 18, 2023
Page 21 of 32
of that mailing, or (ii) to register the transfer of or exchange the bond or portion thereof so selected
for prepayment. In the event any bond is called for prepayment in part, the transfer agent upon
surrender of such bond shall note on the bond the principal amount prepaid and shall return the
bond to the registered owner thereof together with the prepayment amount on the prepayment date.
The Chief Financial Officer or her designee is hereby appointed to act as Transfer Agent
with respect to the Series 2023 Bonds. If and at such time any Series 2023 Bond is transferred to
or held by any registered owner other than the Michigan Finance Authority, the Issuer by resolution
may appoint a bank or trust company qualified under Michigan law to act as transfer agent and
bond registrar with respect to the bond, and the Issuer may thereafter appoint a successor Transfer
Agent upon sixty (60) days notice to the registered owner of the bond.
Section 7. Payment of Series 2023 Bonds; Security; Priority of Lien. Principal of and
interest on the Series 2023 Bonds shall be payable solely from the Net Revenues. There is hereby
recognized the statutory lien upon the whole of the Net Revenues created by this resolution which
shall be a lien that is junior and subordinate to the lien of the outstanding Senior Lien Bonds created
by the Prior Resolutions and to any Senior Lien Bonds hereafter issued, to continue until payment
in full of the principal of and interest on all Series 2023 Bonds, or until sufficient cash or Sufficient
Government Obligations have been deposited in trust for payment in full of all Series 2023 Bonds
then outstanding, principal and interest, to maturity, or, if called for redemption, to the date fixed
for redemption together with the amount of the redemption premium, if any. Upon deposit of cash
or Sufficient Government Obligations for the Series 2023 Bonds, the statutory lien shall be
terminated with respect to the Series 2023 Bonds, the holders of the Series 2023 Bonds shall have
no further rights under this resolution except for payment from the deposited funds, and the Series
2023 Bonds shall no longer be considered to be outstanding under this resolution.
Section 8. Series 2023 Bond Form. The Series 2023 Bonds shall be in substantially the
form shown on the following pages, with such revisions, additions and deletions as the Board may
deem advisable or necessary to comply with the final terms of the Series 2023 Bonds established
upon sale thereof:
Bond NO. R-__
UNITED STATES OF AMERICA
STATE OF MICHIGAN
COUNTIES OF INGHAM AND EATON
CITY OF LANSING
LANSING BOARD OF WATER AND LIGHT
UTILITY SYSTEM JUNIOR LIEN REVENUE BOND, SERIES 2023
DWSRF #7538-01
Registered Owner: Michigan Finance Authority
Principal Amount: [amount]
Date of Original Issue: [date]
The City of Lansing, Counties of Ingham and Eaton, State of Michigan (the “City”), acting
through the governing body of the Lansing Board of Water and Light (the “Issuer”), acknowledges
Regular Board Meeting
July 18, 2023
Page 22 of 32
itself to owe and for value received hereby promises to pay to the Michigan Finance Authority (the
“Authority”), or registered assigns, only from the Net Revenues of the System as hereinafter
provided, the Principal Amount shown above, or such portion thereof as shall have been advanced
to the Issuer pursuant to a Purchase Contract between the Issuer and the Authority and a
Supplemental Agreement by and among the Issuer, the Authority and the State of Michigan acting
through the Department of Environment, Great Lakes and Energy, in lawful money of the United
States of America.
During the time the Principal Amount is being drawn down by the Issuer under this bond,
the Authority will periodically provide to the Issuer a statement showing the amount of principal
that has been advanced and the date of each advance, which statement shall constitute prima facie
evidence of the reported information; provided that no failure on the part of the Authority to
provide such a statement or to reflect a disbursement or the correct amount of a disbursement shall
relieve the Issuer of its obligation to repay the outstanding Principal Amount actually advanced
(subject to any principal forgiveness as provided for in Schedule A), all accrued interest thereon,
and any other amount payable with respect thereto in accordance with the terms of this bond.
The Principal Amount shall be payable on the dates and in the annual principal installment
amounts set forth on Schedule I attached hereto and made a part hereof, as Schedule I may be
adjusted if less than $[amount] is disbursed to the Issuer, or if the Issuer prepays a portion of the
Principal Amount as provided below with the prior written consent of the Authority, with interest
on the principal installments from the date each installment is delivered to the holder hereof until
paid at the rate of [rate]% per annum. Interest is first payable on [date], and semiannually
thereafter, and principal is payable on the first day of [month] commencing [date] (as identified in
the Purchase Contract executed for sale of this bond) and annually thereafter.
Principal installments of this bond are subject to prepayment by the Issuer prior to maturity
only with the prior written consent of the Authority and on such terms as may be required by the
Authority.
Notwithstanding any other provision of this bond, as long as the Authority is the owner of
this bond, (a) this bond is payable as to principal, premium, if any, and interest at [Bank], or at
such other place as shall be designated in writing to the Issuer by the Authority (the “Authority’s
Depository”); (b) the Issuer agrees that it will deposit with the Authority’s Depository payments
of the principal of, premium, if any, and interest on this bond in immediately available funds by
12:00 noon at least five business days prior to the date on which any such payment is due whether
by maturity, redemption or otherwise; in the event that the Authority’s Depository has not received
the Issuer’s deposit by 12:00 noon on the scheduled day, the Issuer shall immediately pay to the
Authority as invoiced by the Authority an amount to recover the Authority’s administrative costs
and lost investment earnings attributable to that late payment; and (c) written notice of any
redemption of this bond shall be given by the Issuer and received by the Authority’s Depository at
least 40 days prior to the date on which such redemption is to be made.
Additional Interest
In the event of a default in the payment of principal or interest hereon when due, whether
at maturity, by redemption or otherwise, the amount of such default shall bear interest (the
“additional interest”) at a rate equal to the rate of interest which is two percent above the
Authority’s cost of providing funds (as determined by the Authority) to make payment on the
bonds of the Authority issued to provide funds to purchase this bond but in no event in excess of
the maximum rate of interest permitted by law. The additional interest shall continue to accrue
Regular Board Meeting
July 18, 2023
Page 23 of 32
until the Authority has been fully reimbursed for all costs incurred by the Authority (as determined
by the Authority) as a consequence of the Issuer’s default. Such additional interest shall be payable
on the interest payment date following demand of the Authority. In the event that (for reasons other
than the default in the payment of any municipal obligation purchased by the Authority) the
investment of amounts in the reserve account established by the Authority for the bonds of the
Authority issued to provide funds to purchase this bond fails to provide sufficient available funds
(together with any other funds which may be made available for such purpose) to pay the interest
on outstanding bonds of the Authority issued to fund such account, the Issuer shall and hereby
agrees to pay on demand only the Issuer’s pro rata share (as determined by the Authority) of such
deficiency as additional interest on this bond.
For the prompt payment of principal and interest on this bond, the revenues received by
the Issuer from the operations of the Issuer’s facilities for the supply and distribution of water and
the generation and distribution of electricity, steam, chilled water, and heat (the “System”) after
provision has been made for reasonable and necessary expenses of operation, maintenance and
administration of the System (the “Net Revenues”), are irrevocably pledged and a statutory lien
thereon has been created to secure the payment of the principal of and interest on this bond when
due, subject to the first lien in favor of Utility System Revenue Refunding Bonds, Series 2013A,
the Utility System Revenue Refunding Bonds, Series 2017A, the Utility System Revenue Bonds,
Series 2019A, the Utility System Revenue Refunding Bonds, Series 2019B, Utility System
Revenue Bonds, Series 2021A, and the Utility System Revenue Bonds, Series 2021B.
This bond is a single, fully-registered, non-convertible bond issued for the purpose of
constructing water supply system improvements. This bond is issued in the Principal Amount
pursuant to an Amended and Restated Utility System Revenue Bond Resolution adopted by the
Issuer on March 27, 2018, as amended and supplemented from time to time, including by a Second
Supplemental Resolution adopted by the Issuer on July 18, 2023 (collectively, the “Bond
Resolution”), and under and in full compliance with the Constitution and statutes of the State of
Michigan, including specifically Act 94, Public Acts of Michigan, 1933, as amended (“Act 94”).
For a complete statement of the revenues from which and the conditions under which this
bond is payable, a statement of the conditions under which additional bonds of superior and equal
standing as to the Net Revenues may hereafter be issued, and the general covenants and provisions
pursuant to which this bond is issued, reference is made to the Bond Resolution. Reference is
hereby made to the Bond Resolution and any and all supplements thereto and modifications and
amendments thereof, if any, and to Act 94, for a more complete description of the pledges and
covenants securing the bonds of this issue, the nature, extent and manner of enforcement of such
pledges, the rights and remedies of the registered owners of the bonds of this issue with respect
thereto and the terms and conditions upon which the bonds of this issue are issued and may be
issued thereunder.
THIS BOND IS A SELF-LIQUIDATING BOND AND IS NOT A GENERAL
OBLIGATION OF THE CITY AND DOES NOT CONSTITUTE AN INDEBTEDNESS OF THE
CITY WITHIN ANY CONSTITUTIONAL, STATUTORY OR CHARTER LIMITATION, AND
IS PAYABLE BOTH AS TO PRINCIPAL AND INTEREST SOLELY FROM THE NET
REVENUES OF THE SYSTEM AND CERTAIN FUNDS AND ACCOUNTS ESTABLISHED
UNDER THE BOND RESOLUTION. THE PRINCIPAL OF AND INTEREST ON THIS BOND
ARE SECURED BY THE STATUTORY LIEN HEREINBEFORE DESCRIBED.
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July 18, 2023
Page 24 of 32
The Issuer has reserved the right, on the conditions stated in the Resolution, to issue
additional bonds of prior and senior or equal standing and priority of lien with this bond as
to the Net Revenues.
The Issuer has covenanted and agreed, and covenants and agrees, to fix and maintain at all
times while any bonds payable from the Net Revenues of the System shall be outstanding, such
rates for service furnished by the System as shall be sufficient to provide for payment of the
principal of and interest on the bonds of this issue and any other bonds payable from the Net
Revenues as and when the same shall become due and payable, to provide for the payment of
expenses of administration and operation and such expenses for maintenance of the System as are
necessary to preserve the same in good repair and working order, and to provide for such other
expenditures and funds for the System as are required by the Bond Resolution.
This bond is transferable only upon the books of the Issuer by the registered owner in
person or the registered owner’s attorney duly authorized in writing, upon the surrender of this
bond together with a written instrument of transfer satisfactory to the Issuer, duly executed by the
registered owner or the registered owner’s attorney, and thereupon a new bond or bonds in the
same aggregate principal amount and of the same maturity shall be issued to the transferee in
exchange thereof as provided in the Bond Resolution, and upon payment of the charges, if any,
therein prescribed.
It is hereby certified and recited that all acts, conditions and things required by law to be
done precedent to and in the issuance of this bond have been done and performed in regular and
due time and form as required by law.
IN WITNESS WHEREOF, the City, acting through the Lansing Board of Water and Light,
has caused this bond to be signed in its name by the Chairperson and Corporate Secretary of the
Issuer, all as of the Date of Original Issue.
LANSING BOARD OF WATER AND LIGHT
By ____________________________________
Chairperson: Semone M. James
Countersigned:
By ________________________________________
Corporate Secretary: LaVella J. Todd
Name of Issuer: Lansing Board of Water and Light
Project No.: DWSRF 7538- 01
Approved Amt: $32,220,000*
Loan Amount Forgiven: $20,000,000
Loan Amount to be Repaid: $12,220,000
SCHEDULE I
Based on the schedule provided below unless revised as provided in this paragraph, repayment of
principal of the bond shall be made until the full amount advanced to the Issuer is repaid. In the
event the Order of Approval issued by the Department of Environment, Great Lakes and Energy
(the “Order”) approves a principal amount of assistance less than the amount of the bond delivered
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July 18, 2023
Page 25 of 32
to the Authority, the Authority shall only disburse principal up to the amount stated in the Order.
In the event (1) that the payment schedule approved by the Issuer and described below provides
for payment of a total principal amount greater than the amount of assistance approved by the
Order, or (2) that less than the principal amount of assistance approved by the Order is disbursed
to the Issuer by the Authority, or (3) that any portion of the principal amount of assistance approved
by the Order and disbursed to the Issuer is forgiven pursuant to the Order, the Authority shall
prepare a new payment schedule which shall be effective upon receipt by the Issuer.
Due Date
Amount of
Principal
Installment Due Due Date
Amount of
Principal
Installment Due
April 1, 2024 $565,000 April 1, 2044 $ 825,000
April 1, 2025 575,000 April 1, 2045 840,000
April 1, 2026 585,000 April 1, 2046 855,000
April 1, 2027 600,000 April 1, 2047 870,000
April 1, 2028 610,000 April 1, 2048 890,000
April 1, 2029 620,000 April 1, 2049 905,000
April 1, 2030 635,000 April 1, 2050 920,000
April 1, 2031 645,000 April 1, 2051 940,000
April 1, 2032 655,000 April 1, 2052 955,000
April 1, 2033 670,000 April 1, 2053 975,000
April 1, 2034 685,000 April 1, 2054 995,000
April 1, 2035 695,000 April 1, 2055 1,010,000
April 1, 2036 710,000 April 1, 2056 1,030,000
April 1, 2037 720,000 April 1, 2057 1,050,000
April 1, 2038 735,000 April 1, 2058 1,070,000
April 1, 2039 750,000 April 1, 2059 1,090,000
April 1, 2040 765,000 April 1, 2060 1,110,000
April 1, 2041 780,000 April 1, 2061 1,130,000
April 1, 2042 795,000 April 1, 2062 1,155,000
April 1, 2043 810,000
Interest on the bond shall accrue on that portion of principal disbursed by the Authority to the
Issuer which has not been forgiven pursuant to the Order from the date such portion is disbursed,
until paid, at the rate of 1.875% per annum, payable April 1, 2024, and semi-annually thereafter.
The Issuer agrees that it will deposit with U.S. Bank Trust Company National Association, or at
such other place as shall be designated in writing to the Issuer by the Authority (the “Authority’s
Depository”) payments of the principal of, premium, if any, and interest on this bond in
immediately available funds by 12:00 noon at least five business days prior to the date on which
any such payment is due whether by maturity, redemption or otherwise. In the event that the
Authority’s Depository has not received the Issuer’s deposit by 12:00 noon on the scheduled day,
the Issuer shall immediately pay to the Authority as invoiced by the Authority an amount to recover
the Authority’s administrative costs and lost investment earnings attributable to that late payment.
* Not to exceed amount. Loan reductions at close out will result in a proportional decrease.
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July 18, 2023
Page 26 of 32
Section 9. Management. The operation, repair and management of the System shall be
under the supervision and control of the Board.
Section 10. Charges. The rates to be charged for service furnished by the System and the
methods of collection and enforcement of the collection of the rates shall be those permitted by
law and established by the Board and in effect on the date of adoption of this Resolution and
thereafter as established by the Board.
Section 11. No Free Service. No free service shall be furnished by the System to any
person, firm or corporation public or private, or to any public agency or instrumentality.
Section 12. Rate Covenant. The Board will at all times fix, establish, maintain and collect
rates, fees and charges for the sale of the output, capacity, use or service of the System which,
together with other income, are reasonably expected to be sufficient to provide for payment of the
principal of and interest on the Bonds payable from the Net Revenues of the System, as and when
the same shall become due and payable, to provide for the payment of expenses of administration
and operation and such expenses for maintenance of the System as are necessary to preserve the
same in good repair and working order, and to provide for such other expenditures and funds for
the System as are required by the Resolution.
Section 13. Operating Year. The System shall continue to be operated on the basis of an
operating year commencing on July 1st and ending on the 30th day of the following June.
Section 14. Funds and Accounts: Flow of Funds Junior Lien Bond and Interest Redemption
Fund. All funds belonging to the System and all Revenues of the System shall continue to be set
aside as collected and credited to the Utility System Receiving Fund established by the Prior
Resolutions (the “Receiving Fund”), except as provided in this resolution. The Revenues credited
to the Receiving Fund are pledged for the purposes of the funds and accounts established by the
Prior Resolutions and this resolution and shall be transferred or debited from the Receiving Fund
periodically in the manner and at the times and in the order of priority specified in the Prior
Resolutions and this resolution.
Funding Existing Funds and Accounts. Out of the Revenues in the Receiving Fund there
shall be transferred and debited the amounts required by the Prior Resolutions to be deposited into
the existing Operation and Maintenance Fund, the existing Bond and Interest Redemption Fund
(including the Bond Reserve Account), and the Rebate Fund created pursuant to the Prior
Resolutions.
Junior Lien Bond and Interest Redemption Fund. There is hereby established and there
shall be maintained a separate depositary account designated JUNIOR LIEN BOND AND
INTEREST REDEMPTION FUND (the “Junior Lien Redemption Account”). Except as otherwise
provided herein, the moneys on deposit therein from time to time shall be used for the purpose of
paying the principal of and interest on any Junior Lien Bonds.
Out of the Revenues remaining in the Receiving Fund, after provision for the Operation
and Maintenance Fund and the existing Bond and Interest Redemption Fund (including the Bond
Reserve Account), there shall be set aside periodically in the Junior Lien Redemption Account a
sum sufficient to provide for the payment when due of the current principal of and interest on the
Junior Lien Bonds, including any amounts necessary to maintain any reserve account established
within the Junior Lien Redemption Account.
The amount to be set aside for the payment of principal and interest on any date shall not
exceed the amount which, when added to the money on deposit in the Junior Lien Redemption
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July 18, 2023
Page 27 of 32
Account, including investment income thereon and on any bond reserve account which may be
established on a future date, is necessary to pay principal and interest due on the Revenue Bonds
on the next succeeding principal payment date.
The Issuer may establish separate bond reserve accounts in the Junior Lien Redemption
Account to provide for the payment of any series of Junior Lien Bonds.
Section 15. Series 2023 Bond Proceeds. The proceeds of the sale of the Series 2023 Bonds
as received by the Issuer shall be deposited in one or more separate accounts in a bank or banks
qualified to act as depository of the proceeds of sale under the provisions of Section 15 of Act 94,
designated as the 2023 JUNIOR LIEN REVENUE BONDS PROJECT FUND (the “Project
Fund”). Moneys in the Project Fund shall be applied solely in payment of the cost of the Series
2023 Project and any engineering, legal and other expenses incident thereto and to the financing
thereof. If moneys other than proceeds of the Series 2023 Bonds is deposited into the Project Fund,
then the moneys constituting proceeds of the Series 2023 Bonds shall be accounted separately from
such other funds or moneys.
Any unexpended balance of the proceeds of sale of the Series 2023 Bonds remaining after
completion of the Series 2023 Project may in the discretion of the Issuer be used for further
improvements, enlargements and extensions to the System. Any remaining balance after such
expenditure shall be paid into the Junior Lien Redemption Account and used as soon as is practical
for the prepayment of installments of the Series 2023 Bonds.
After completion of the Series 2023 Project and disposition of remaining proceeds, if
any, of the Series 2023 Bonds pursuant to the provisions of this Section, the Project Fund shall
be closed.
Section 16. Bondholders’ Rights; Receiver. The holder or holders of the Junior Lien Bonds
representing in the aggregate not less than twenty percent (20%) of the entire principal amount
thereof then outstanding, may, by suit, action, mandamus or other proceedings, protect and enforce
the statutory lien upon the Net Revenues of the System, and may, by suit, action, mandamus or
other proceedings, enforce and compel performance of all duties of the officers of the Issuer,
including the fixing of sufficient rates, the collection of Revenues, the proper segregation of the
Revenues of the System and the proper application thereof. The statutory lien upon the Net
Revenues, however, shall not be construed as to compel the sale of the System or any part thereof.
If there is a default in the payment of the principal of or interest upon the Junior Lien
Bonds, any court having jurisdiction in any proper action may appoint a receiver to administer and
operate the System on behalf of the Issuer and under the direction of the court, and by and with
the approval of the court to perform all of the duties of the officers of the Issuer more particularly
set forth herein and in Act 94.
The holder or holders of the Junior Lien Bonds shall have all other rights and remedies
given by Act 94 and law, for the payment and enforcement of the Junior Lien Bonds and the
security thereof.
Section 17. Additional Junior Lien Bonds. The Issuer may issue Additional Junior Lien
Bonds of equal standing with the Junior Lien Bonds for the following purposes and subject to the
following conditions:
(a) To complete a project financed with junior lien bonds in accordance with the plans
and specifications thereof. Such bonds shall not be authorized unless the engineers in charge of
construction shall execute a certificate evidencing the fact that additional funds are needed to
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July 18, 2023
Page 28 of 32
complete the project in accordance with the plans and specifications thereof and stating the amount
that will be required to complete the project. If such certificate shall be so executed and filed with
the Issuer, it shall be the duty of the Issuer to provide for and issue additional revenue bonds in the
amount stated in said certificate to be necessary to complete the project in accordance with the
plans and specifications plus an amount necessary to issue such bonds or to provide for part or all
of such amount from other sources.
(b) For subsequent repairs, extensions, enlargements and improvements to the System
or for the purpose of refunding part or all of the Bonds then outstanding and paying costs of issuing
such additional Junior Lien Bonds. Junior Lien Bonds for such purposes shall not be issued
pursuant to this subparagraph (b) unless the Adjusted Net Revenues of the System for the then last
two (2) preceding twelve-month operating years or the Adjusted Net Revenues for the last
preceding twelve-month operating year, if the same shall be lower than the average, shall be equal
to at least one hundred percent (100%) of the maximum amount of principal and interest thereafter
maturing in any operating year on the then outstanding Senior Lien Bonds, Junior Lien Bonds and
on the Additional Junior Lien Bonds then being issued. If the additional Junior Lien Bonds are to
be issued in whole or in part for refunding outstanding Bonds, the annual principal and interest
requirements shall be determined by deducting from the principal and interest requirements for
each operating year the annual principal and interest requirements of any Bonds to be refunded
from the proceeds of the additional Junior Lien Bonds. For purposes of this subparagraph (b) the
Issuer may elect to use as the last preceding operating year any operating year ending not more
than sixteen months prior to the date of delivery of the additional Junior Lien Bonds and as the
next to the last preceding operating year, any operating year ending not more than twenty-eight
months prior to the date of delivery of the additional Junior Lien Bonds. Determination by the
Issuer as to existence of conditions permitting the issuance of additional Junior Lien Bonds shall
be conclusive. No additional Junior Lien Bonds of equal standing as to the Net Revenues of the
System shall be issued pursuant to the authorization contained in this subparagraph if the Issuer
shall then be in default in making its required payments to the Operation and Maintenance Fund,
the Redemption Fund or the Junior Lien Redemption Fund.
(c) For refunding a part or all of the Bonds then outstanding and paying costs of issuing
such additional Junior Lien Bonds including deposits which may be required to be made to the
bond reserve account, if any, for such Junior Lien Bonds. No additional Junior Lien Bonds shall
be issued pursuant to this subsection unless the maximum amount of principal and interest
maturing in any operating year after giving effect to the refunding shall be less than the maximum
amount of principal and interest maturing in any operating year prior to giving effect to the
refunding.
Section 18. Covenant Regarding Tax Exempt Status of the Series 2023 Bonds. The Issuer
shall, to the extent permitted by law, take all actions within its control necessary to maintain the
exemption of the interest on the Series 2023 Bonds from general federal income taxation (as
opposed to any alternative minimum or other indirect taxation) under the Internal Revenue Code
of 1986, as amended, including, but not limited to, actions relating to any required rebate of
arbitrage earnings and the expenditure and investment of Series 2023 Bonds proceeds and moneys
deemed to be Bond proceeds.
Section 19. Negotiated Sale; Application to EGLE and Michigan Finance Authority;
Execution of Documents. The Issuer determines that it is in the best interest of the Issuer to
negotiate the sale of the Series 2023 Bonds to the Michigan Finance Authority because the
Drinking Water State Revolving Fund financing program provides significant interest savings to
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July 18, 2023
Page 29 of 32
the Issuer compared to competitive sale in the municipal bond market. The Authorized Officers
are hereby authorized to apply to the Michigan Finance Authority and to EGLE for placement of
the Series 2023 Bonds with the Michigan Finance Authority. The actions taken by the Authorized
Officers with respect to the Series 2023 Bonds prior to the adoption of this resolution are ratified
and confirmed. The Authorized Officers are each severally authorized to execute and deliver the
Purchase Contract, the Supplemental Agreement, and the Issuer’s Certificate in the forms provided
by the Michigan Finance Authority. Any Authorized Officer is further authorized to execute and
deliver such contracts, documents and certificates as are necessary or advisable to qualify the
Series 2023 Bonds for the Drinking Water State Revolving Fund. Prior to the delivery of the Series
2023 Bonds to the Michigan Finance Authority, any Authorized Officer is hereby authorized to
make such changes to the form of the Series 2023 Bonds contained in this resolution as may be
necessary to conform to the requirements of the Michigan Finance Authority or Act 227, Public
Acts of Michigan 1985, as amended (“Act 227”), including, but not limited to changes in the
principal maturity and interest payment dates and references to additional security required by Act
227.
Section 20. Approval of Bond Details; Authorization of Other Actions. The Authorized
Officers are each hereby authorized to adjust the final bond details set forth herein to the extent
necessary or convenient to complete the transaction authorized herein, and in pursuance of the
foregoing are authorized to exercise the authority and make the determinations authorized pursuant
to Section 7a(1)(c) of Act 94, including but not limited to determinations regarding interest rates,
prices, discounts, maturities, principal amounts, denominations, dates of issuance, interest
payment dates, redemption rights, the place of delivery and payment, and other matters, provided
that the principal amount of Series 2023 Bonds issued shall not exceed the principal amount
authorized in this resolution, the interest rate per annum on the Series 2023 Bonds shall not exceed
1.875% per annum, and the Series 2023 Bonds shall mature in not more than forty (40) annual
installments.
The Authorized Officers are each hereby authorized and directed to take all other actions
necessary or advisable to enable the sale and delivery of the Series 2023 Bonds as contemplated
herein, including applying for and paying the related fees for ratings and making such other filings
with and paying related fees to any parties.
Section 21. Other Actions. In the event that the Chief Financial Officer is not available at
the time that it becomes necessary to take actions directed or authorized under this resolution, then
a person designated by the Chief Financial Officer is authorized to take such actions. The officers,
administrators, agents and attorneys of the Board are authorized and directed to take all other
actions necessary and convenient to facilitate issuance, sale and delivery of the Series 2023 Bonds
within the parameters of this resolution, and to execute and deliver all other agreements,
documents and certificates and to take all other actions necessary or convenient in accordance with
this resolution, and to pay costs of issuance.
Section 22. Conflicting Resolutions. All resolutions and parts of resolutions insofar as they
conflict with the provisions of this resolution are rescinded as of the effective date of this
Resolution.
Section 23. Severability and Paragraph Headings. If any section, paragraph, clause or
provision of this resolution shall be held invalid, the invalidity of such section, paragraph, clause
or provision shall not affect any of the other provisions of this resolution. The paragraph headings
in this resolution are furnished for convenience of reference only and shall not be considered to be
part of this resolution.
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July 18, 2023
Page 30 of 32
Section 24. Publication and Recordation. In accordance with the provisions of Section 6
of Act 94, this resolution shall be published once in full in the Lansing State Journal, a newspaper
of general circulation in the City qualified under State law to publish legal notices, and shall be
recorded in the minutes of the Board and such recording authenticated by the signatures of the
Chairperson and Corporate Secretary of the Board.
Section 25. Effective Date. This resolution is hereby determined to be immediately
necessary for the preservation of the public peace, property, health and safety of the City and the
users of the System. In accordance with the provisions of Section 6 of Act 94, this resolution shall
become effective immediately upon its adoption.
We hereby certify that the foregoing is a true and complete copy of a resolution duly
adopted by the Board of Commissioners of the Lansing Board of Water and Light at a Regular
meeting held on Tuesday, July 18, 2023 at 5:30 p.m., Eastern Time, and that said meeting was
conducted and public notice of said meeting was given pursuant to and in full compliance with the
Open Meetings Act, being Act 267, Public Acts of Michigan, 1976, and that the minutes of said
meeting were kept and will be or have been made available as required by said Act 267.
We further certify that the following Commissioners were present at said meeting: Semone
James, Beth Graham, Dusty Horwitt, DeShon Leek, Tony Mullen, David Price and Sandra Zerkle
and that the following Commissioners were absent: Tracy Thomas.
We further certify that Commissioner David Price moved adoption of said resolution, and
that said motion was supported by Commissioner Dusty Horwitt.
We further certify that the following Commissioners voted for adoption of said resolution:
Semone James, Beth Graham, Dusty Horwitt, DeShon Leek, Tony Mullen, David Price and Sandra
Zerkle and that the following Commissioners voted against adoption of said resolution: None.
We further certify that said resolution has been recorded in the Resolution Book and that
such recording has been authenticated by the signature of the Chairperson and Corporate Secretary.
__________________________________ __________________________________
Chairperson: Semone M. James Corporate Secretary: LaVella J. Todd
CERTIFICATION
I, LaVella J. Todd, Corporate Secretary of the Lansing Board of Water & Light, hereby certify
that the foregoing is a true and complete copy of a resolution adopted by the Board of Water &
Light Commissioners of the City of Lansing, Michigan, at a regular meeting, held on the 18th
day of July, 2023, and that a quorum was present and notice of said meeting was given in
accordance with the Open Meetings Act. This resolution is in full force and effect.
Certified this day of July, 2023.
40761026.2/101173.00039
Regular Board Meeting
July 18, 2023
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RESOLUTION 2023-07-06
Credit Card Policy
RESOLVED, that Board of Water and Light Board of Commissioners (“Board”) RESOLUTION 2015-
07-04, a copy of which is attached hereto and incorporated by reference is hereby amended in
part and also supplemented as follows:
RESOLVED, The Chairperson of the Board’s Finance Committee and a second Finance Committee
member shall review the P-Card expense reports of each Board Appointee (“Appointee”) in
accordance with the Purchasing Card (P-Card) Procedure. If either or both Commissioners have
questions about one or more transactions, the two Commissioners shall attempt to resolve the
issue with the Appointee. If they are unable to resolve the issue, the full Finance Committee shall
resolve the issue.
RESOLVED, If an Appointee’s P-Card expense report is not approved by both members of the
Finance Committee by 5:00 p.m. on the 18th calendar day of each month, the Finance Committee
Chairperson and Board Chairperson shall be notified via email and shall contact the P-Card
Administrator for guidance consistent with the Purchasing Card (P-Card) Procedure.
RESOLVED, Within five business days of approval of the expense report by the two members of
the Finance Committee, each Appointee shall circulate the Appointee’s approved P-Card expense
report via email to the entire Board.
RESOLVED, Appointees shall report their non-P-Card-related expenditures to the Board
consistent with other BWL procedures including procedures in the Travel and Expense Policy and
procedures in their employment contracts.
RESOLVED, P-Card Spending Limits for Board Appointees are:
Employee Classification Cycle (Monthly) Amount Limit
General Manager $100,000
Corporate Secretary $25,000
Internal Auditor $10,000
FURTHER RESOLVED, The changes in this resolution shall be reflected in the Purchasing Card (P-
Card) Procedure, on the Commissioner’s Dashboard, and in any other relevant BWL documents.
Motion by Commissioner Dusty Horwitt, Seconded by Commissioner David Price to approve the
Resolution for the amendments to Resolution 2015-07-04 and the Credit Card Policy at a Board
Meeting held on July 18, 2023.
Action: Motion Carried.
MANAGER’S REMARKS
General Manager, Dick Peffley shared the following remarks:
1.The General Manager’s Round Table will be held at the University Club on July 19, 2023
due to the upgrades being completed in the REO Depot.
2.On Saturday, July 29th the 10th Anniversary of the REO Town Plant will be celebrated.
3.The BWL employee picnic will be held at the Lugnuts Stadium on August 10, 2023.
COMMISSIONERS’ REMARKS
Commissioner Sandra Zerkle commented on the employees’ appreciation of General Manager
Peffley’s projects and vision for BWL’s future at the State of the BWL address. General Manager
Peffley added that a step-by-step roadmap to BWL’s future through 2040 will be placed on the
BWL website.
Commissioner Dusty Horwitt commended BWL on the State of the BWL event and asked when
the roadmap would be posted publicly. General Manager, Dick Peffley responded that the
roadmap for the next four years would be posted first and additional information will be posted,
and changes made as necessary, according to the schedule made after speaking with BWL staff.
Commissioner Dusty Horwitt asked if a combined cycle plant will be built. General Manager, Dick
Peffley responded that the timing is uncertain and will be driven by future load and MISO
requirements.
EXCUSED ABSENCE
Motion by Commissioner Beth Graham, Seconded by Commissioner David Price, to excuse
Commissioners Tracy Thomas, Douglas Jester, and Robert Worthy from tonight’s meeting.
Action: Motion Carried.
PUBLIC COMMENTS
Randy Dykhuis, Lansing, MI spoke regarding the All Source RFP and solar project presentations
and requested detailed information that will be provided in the roadmap on the website to the
public.
Heather Douglas, MSU, East Lansing, MI, commended the BWL for carbon neutrality by 2040
and on the roadmap to be placed on the BWL website. Ms. Douglass asked about the 0% given
by MISO for solar as she gets 10% for solar in the winter months and suggested caution in
building fossil fuel facilities due to the risks of changing prices of fuel and new technology being
discovered.
ADJOURNMENT
Being no other business Chairperson James adjourned the meeting at 6:00 p.m.
LaVella J. Todd, Corporate Secretary
Preliminary Minutes filed (electronically) with Lansing City Clerk 07-27-23
Approved by the Board of Commissioners: 09-26-23
Official Minutes filed (electronically) with Lansing City Clerk: 09-27-23
Regular Board Meeting
July 18, 2023
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