CLEARFIELD – Uncomfortable with some wording, the Clearfield Area School District Board of Directors tabled action on an agreement with Premier Power Solutions, LLC at a special meeting Monday night.
Business Administrator Sam Maney advised the electric rate caps would come off on Jan. 1, 2011. He said they would see an increase next year as a result.
Maney said they have looked into consulting services and heard presentations from three companies – On Demand Energy, ClearChoice Energy and Premier.
Maney said they all can provide consulting services for the purchase and management of electric power. He said all the area business managers and superintendents felt most comfortable with Premier.
According to Maney, they have grouped the Penelec-served schools together. He said they would have a consortium among the Clearfield schools. He said they debated over expanding their consortium. But he said it was possible for their grouping to become too large and ineffective as a result.
Maney said they would have a year-to-year contract with Premier. He said they could withdraw from the same with a 90-day notice. He said the district would pay $3,000 per year for the services.
“I don’t have the time or expertise to watch the energy market,” he said. He said Premier would work closely with them on the district budget and review their bills. He said the district currently pays about $100,000 yearly for electric.
Board President Dave Glass said he liked the year-to-year set up of the agreement. He said it would allow them to try out the consulting services but pull out if they’re unsatisfied.
Tim Morgan, board member, expressed some concern about the resolution’s wording in both paragraphs 15 and 17. He said he was uncomfortable due to the different language in them.
According to paragraph 15, neither party in the agreement is liable for any incidental, consequential or punitive damages. It further states that in no event is either party liable to the other for lost profits or any other business interruption damages.
In paragraph 17, the resolution stated Premier indemnifies and holds the seller harmless from and against any and all claims, suits, costs or fees. It further stated it included attorney’s fees and litigation costs, which arose from or in connection with the agreement, if it occurred due to Premier’s performance of their obligations.
“I wouldn’t sign it. You can vote. I just won’t (vote in favor,)” he said. Glass said he too could see the difference in language but felt the latter paragraph encompassed more.
Glass then said they didn’t have to decide then, as they had a board meeting next Monday, March 22. Maney said it was OK to postpone a week, noting it must be addressed this month, however.
Glass said they would contact their solicitor to review the resolution.