With the province asking all power companies in the province to declare whether or not they’re “for-profit” or “not-for-profit” as a condition of Bill 210, the Fort Frances Power Corp. will be sticking to the former upon the request of FFPC president and CEO Mark McCaig.
More a formality than anything else, McCaig told town council Monday night that re-confirming the “for-profit” status won’t mean any unwelcome changes for FFPC customers.
“The recommendation that comes from the [FFPC] board is to have us continue to operate as a for-profit corporation with a zero percent rate of return,” he remarked, noting that, in effect, the FFPC operates under for-profit regulations while effectively not reaping any.
“This resolution let’s us maintain the flexibility we currently have,” added McCaig, noting that becoming a not-for-profit corporation would bring the FFPC under new statutes, which would disallow assets to be sold off and dividends declared, and prohibit FFPC-related ventures like cellular phone service, among others.
“And it puts in place a paper trail that lets the government know we’ve done what they want us to,” added Mayor Glenn Witherspoon.
Coun. Sharon Tibbs asked if this re-confirmation of status under Bill 210 would alter the FFPC’s power agreement with the mill, to which McCaig replied “no.”
Council then voted unanimously to have Mayor Witherspoon and Clerk Glenn Treftlin sign the resolution.
In related news, McCaig noted yesterday the FFPC board of directors still is awaiting word from the province as to whether it has won a fight to secure a hydro rate for its customers that would be the fixed price of 4.3 cents/kWh less the 1.23 cents/kWh power agreement credit.
“We do know the Ministry of Energy staff we talked to has forwarded a recommendation to Minister of Energy [John] Baird,” McCaig said. “We don’t know what the recommendation was, but we should be hearing back anytime now.”
A group of local delegates went to Toronto last month to lobby for the aforementioned rate after the province had announced earlier in January that the FFPC was exempted from the hydro cap and instead must charge its customers a blend of spot market prices and the power agreement credit.
The province made this decision based on the fact FFPC customers, on average, paid less than 4.3 cents/kWh since the electricity market opened to competition last May.
In dealing with business from Monday’s committee of the whole meeting, council denied the request by resident Sue Fletcher to lower the speed limit on Second Street East near Robert Moore School.
Council cited as reasons encouraged use of controlled crossings at Armit and Crowe Avenues, and 10-minute student pickup/drop-off being permitted at all times on the north side of Second Street, thus eliminating the need for students to cross the street at mid-block.
This recommendation came from the Traffic Safety Committee.
Council also accepted the recommendation of the Traffic Safety Committee for no further action with regard to speeding on Sixth Street West between Portage Avenue and McIrvine Road—a concern raised previously by Coun. Tibbs.
Also stemming from Monday’s committee of the whole meeting, council:
•authorized that Idylwild Drive be considered in the 2004 road improvement capital budget following a request from residents Kathy and Jim Cuthbertson;
•authorized the execution of leases at the airport for Bearskin Airline Services Ltd., Ivey Aviation Ltd., North Air Services Ltd., and William Pruys;
•authorized the contract award for engineering services at the water pollution control plant to R.J. Burnside & Associates in the amount of $24,250, including taxes (funds will come from the sewer reserve);
•approved a Northern Career Development Services placement at the Fort Frances Children’s Complex (this would be at no cost to the town);
•received the project manager’s final report for renovations at the ’52 Canadians Arena and agreed to fund the $15,418 shortfall from the Memorial Sports Centre reserve account;
•agreed to be a minor sponsor of the Dudley Hewitt Cup hockey tournament (April 22-26), donating an amount of $250 as a council public relations expense;
•authorized the purchase of a business card-size ad in the Crime Stoppers “Battle of the Badges” event at the cost of $100 as a council public relations expense; and
•deferred the signing of an agreement for software for the 2003 election to a later meeting (Clerk Treftlin said he was waiting for word from Canada Post to see if the USTI software in question is compatible with Canada Post’s vote-by-mail system).
Fort Frances Times
Local News from Across the Rainy River District
