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Posts Tagged ‘pedernales electric coop’

UPDATE: We’ve added a little here and there based on some new information we’ve gotten since first publishing this, specifically some information from NRECA (National Rural Electric Cooperative Association) and Pedernales’ counsel about the effects of converting to SMDs.

Well folks, yesterday marked the beginning of voting for the board of the Pedernales Electric Coop.  I’m a proud co-op member, something I couldn’t have said several years ago when the co-op board met behind closed doors and the board nominated its own members. But now we have returned to the principle of democratic control by the member-owners of the co-op, in no small part due to the work of Public Citizen and others.

There’s been a lot of news recently about PEC and Public Citizen’s involvement in the reform effort.  We’re not going to comment on that just yet, as we want to keep this focused on the issue at hand, which is the election.  Voters across the co-op have the opportunity to vote for two board seats and on a member referendum about future elections and how they should take place.

You can vote in three ways.  A ballot should have been mailed to you on Wednesday according to PEC staff.  In it you will see that you can vote for candidates in Districts 2 and 3 and on the question of single member districts.  You can see videos of each of the candidates at the PEC Candidate Forum online here. We’ll let the candidates speak for themselves on why they should get your vote, as we do not and will not endorse anyone in these races.

However, what’s missing in all of this is a discussion about the pros and cons of single member district voting. Below I’ve attached the presentation we made to board candidates about what we would like to see in the future for PEC. We lay out a broad vision that investing in the future and the key to lower rates is efficiency and renewables. These also just so happen to help things like clean air, create jobs, and use little water in comparison to traditional power generation.  We believe that as a co-op, based on the principles of what a cooperative is (as opposed to a private utility or municipal utility), we have a special place in the community to be responsible, ethical, and think about the greater good of our policy choices.

Beware– this presentation is loooooooong, but I wanted to bring attention specifically to the slides about the pros and cons of single member districts. (pgs 15-19)

But in the spirit of transparency we wanted to put the entirety of what we spoke to the board candidates about out there. You know, in case someone publicly accuses you of being a secretive, corrupt cabal that pulls the strings at the co-op.

[scribd id=54650680 key=key-w92e1zwplb1yqkw42rp mode=list]

So, let’s discuss single member districts, or SMDs for short. I’m putting on my political science hat (my Political Science 350:  “Theories of Democracy and Democratization” professor would be so proud of me) and let’s talk about what SMDs actually do.  I’m personally agnostic about how people should vote on this. I see good sides and down sides to it, but both sides deserve an airing.

But first, what are we voting on?  This is how it will appear on the ballot: (more…)

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After only a day of deliberation, the jury has returned a guilty verdict on former Pedernales Electric Cooperative (PEC) general manager Bennie Fuelberg on all counts of money laundering, theft, and misapplication of fiduciary property.

During the two weeks of trial, the prosecution showed how Bennie Fuelberg filtered money through Clark, Thomas & White, the co-op’s law firm, to his lobbyist brother, Curtis, and Bill Price, the son of a co-op board member.  Fuelberg also misdirected staff, removing oversight of the co-ops legal bills from other managers in an attempt to hide the money being passed through to his brother.

Prosecutor Harry White detailed this in his closing arguments Thursday: “The reason Bennie Fuelberg kept a secret was because he knew it was wrong. What he did was he took money that didn’t belong to him, that belonged to normal people, and gave it to his brother.”

As an aside, Clark, Thomas & White repaid over $4 million in fees to PEC in a separate lawsuit, showing just how much money Bennie siphoned away from the co-op over the years.

Several of us here at Public Citizen are current or former PEC members.  We were part of the original investigations and lawsuits that opened up the wretched hive of scum and villany that Fuelberg had turned the co-op into, and have worked for and are proud of the reforms that have taken place in the past few years.

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By promoting cleaner energy, cleaner government, and cleaner air for all Texans, we hope to provide for a healthy place to live and prosper. We are Public Citizen Texas.

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Logo for PEC

Rep. Patrick Rose this morning had an opinion piece printed regarding transparency reforms at the  Pedernales Electric Cooperative (PEC) , echoing similar criticism from the Austin American Statesman last week.  I’m not saying I agree with every word Rep. Rose wrote here in this morning’s San Marcos Local News, but this shows that this will likely be an issue in the upcoming Legislative Session.  As a bit of history, Rep. Rose (D-Dripping Springs) and Senator Troy Fraser (R-Horseshoe Bay), both of whom are members of the co-op, tried to pass a bill to increase transparency at PEC last session, but that ultimately failed when, as with so many other issues, it got killed by Voter ID.

As an aside and for full transparency’s (ha!) sake, Rep. Rose is also my State Representative and I have to give him a big hat tip for the work he has done in working to reform the PEC, as that work directly affects the electric bills my family and neighbors pay every month.

Commentary
By PATRICK ROSE
District 45 State Representative

Rep. Patrick Rose by the river

Our three-county district is served entirely by electric co-ops and municipally owned systems. I believe that public power has served our area well and kept costs lower than other energy providers across the state. As we continue our efforts to protect and grow jobs in our region, energy affordability is key. This is one of the many reasons why I am committed to a strong and transparent Pedernales Electric Cooperative (PEC).

On Monday, Senator Troy Fraser (R-Marble Falls) and I spoke at the August meeting of the PEC board of directors. I appreciate every opportunity to meet with the board and co-op members about our reform efforts.

My remarks were focused on my strong disapproval of the board’s latest mistake that cost co-op members $1 million, firing its general manager days before the election of two new board members. In June, PEC seated its first ever 100 percent democratically elected board. This decision could have and should have waited until the new board members, duly elected by the members, were sworn in.

The two outgoing directors were part of the legacy board that allowed for and participated in the mismanagement and corruption at PEC that was brought to light over the last few years. They should not have been part of any decision that impacts the future of PEC. At the meeting, I repeatedly asked Larry Landaker, PEC’s board president, to explain why he and two other board members joined forces with the last two legacy members. He could not answer the question, and furthermore, he admitted that the board did not have cause for the firing, thus costing co-op members $1 million.

These actions are unacceptable and show the irresponsibility and lack of transparency that justify legislation. What co-op members can count on, regardless of the makeup of the PEC board or who is general manager, is that Sen. Fraser and I are committed to transparency and openness at our cooperative. The legislature will reconvene in January and we will proceed with our effort to statutorily protect members’ rights. (more…)

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Original post can be found at the ReEnergize Texas Blog

On Tuesday, students from Southwestern University’s Students for Environmental Activism and Knowledge (SEAK) had intended to speak before the Georgetown City Council regarding the 20 year energy plan for their city.  They had registered an agenda item with the City Secretary’s Office, asked all the right questions about who could speak and for howlong, and everyone was in City Council chambers ahead of the meeting forms in hand and polite, thoughtful, well-reasoned remarks committed to memory.

SEAK’s charismatic President, Connor Hanrahan, went to the mic and spoke politely about hoping to form a positive “working relationship” with the city as they discussed aspects of the energy plan and in particular a provision to purchase 30% of their electricity from nuclear power plants.

“We are not here to protest nuclear,” he said, “but want to discuss new information that affects this plan.”

And then the Mayor dropped a bomb.  Citing a “misunderstanding” about City Council procedures, he informed Connor and the group of students and allies he’d brought with him that they would not be allowed to speak at the meeting that evening.  To his credit, Mayor Garver did make an effort at conciliation by offering Connor the opportunity to nominate 2 members of his party to speak for 3 minutes apiece, but the notion was quickly rebuked by Councilwoman Pat Berryman, a known proponent of nuclear power.

Does this sound familiar to anyone?  Think Pedernales Electric Coop and CPS Energy.  These two major electric utilities in Texas have been recently embroiled in controversy over failure to provide information, give the public access to speak, and making bad, even corrupt decisions from positions of power.  As a result, reform candidates have been elected to the PEC Board of Directors and two of its former members face multiple felony indictments.  At CPS, two executives have been placed on leave while its board investigates why the utility failed to disclose new cost estimates to the public and the San Antonio City Council.

Why would Georgetown’s Mayor and City Council tell local students they had no right to speak about the energy future of their own city?  Because the rules said so?  Can a member of the City Council not make a motion to suspend the rules?  In fact they can, but no member of the City Council had the courage or good sense to make that motion and give their constituents the opportunity to weigh in on an issue of city governance. (more…)

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Board Promises Transparency, Whistleblower Protections, Open Meetings

AUSTIN, Texas – The first meeting of the new board of the Pedernales Electric Cooperative (PEC) on Monday marked an unprecedented change in leadership and vision for the nation’s largest electric cooperative. Not only is the majority of the board progressive reformers, but it is led by an entirely new executive body that has promised to prioritize transparency, accountability, whistleblower protection, renewable energy and energy efficiency new priorities.

“The PEC has an opportunity to be a national leader among co-ops. Board members see that the future of electric power in America lies with energy efficiency and renewable energy,” said Tom “Smitty” Smith, director of Public Citizen’s Texas Office. “Public Citizen Texas applauds the board’s openness and commitment to member rights and looks forward to working with directors in the future as they further investigate how to make their visions reality.”

Considering that just last year the co-op was deep in the midst of a scandal involving accusations of misappropriated funds, theft, money laundering, closed meetings and tainted elections, Monday’s meeting marked an incredible turnaround.

PEC held a special meeting Monday to seat newly elected board directors Christi Clement, Patrick Cox and Larry Landacker. During this meeting, the full board held the elections for the positions of president, vice president and secretary for the coming year.

Landacker was nominated for president and elected with six votes in favor and one abstention;  Clements secured the vice presidency with four votes in favor and three abstentions, and Kathy Scanlon was unanimously elected to the position of board secretary.

During his acceptance speech, Landacker announced that the board would begin working immediately on several projects to reform the co-op and move toward becoming a more environmentally friendly, sustainable business. Landacker plans to adopt a co-op members’ Bill of Rights, guarantee open access to meetings, implement a new whistleblower protection policy and create a new and open governance system for the co-op. These laudable measures will ensure that members have the opportunity to participate fully in their co-op and in decisions, and that workers are encouraged to act in the best interests of member-owners.

Landacker also pledged to move forward aggressively with the co-op’s goal, set last November, to purchase or generate 30 percent of its electricity from renewable sources by 2020. As a part of this effort, the co-op plans to create new programs to encourage energy efficiency and renewable energy projects among individual members.

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