An email, dated August 2022, regarding creating a charter amendment was sent by Grand Haven City Council member Kevin McLaughlin and received by council members Karen Lowe and Ryan Cummings, as well as by BLP board member Andrea Hendrick and others, under their personal email accounts.
It appears that in the latter half of 2022, some Grand Haven City Council members were not only aware that a supposedly “citizen-led” initiative to transfer the control of the Grand Haven Board of Light and Power (BLP) under their purview was underway, but that three city council members were involved in the “citizen-led” effort. A November 2022 email shows they were also likely aware that, should this charter amendment go through, it would open the possibility to transfer money from the BLP to the City of Grand Haven.
The email dated November 2022 was sent by Field Reichardt and received by City of Grand Haven board member Karen Lowe and likely others. The email, obtained by FOIA, confirmed that Lowe received the email, but did not include a header showing additional recipients. The email states, “This may help you focus for tomorrow. In addition, here are some key questions, from my perspective, we need to consider (you surely will have other issues):” Notice he used the word “we” likely indicating that Lowe was involved in the process and not being supplied with this email as an informational courtesy.
The November 2022 email contained edited attachments to charters for various boards of light and power operating in the state of Michigan showing the changes likely desired to the Charter of the City Grand Haven regarding the BLP. It appears the edited charters indicate those involved wanted the Grand Haven City Council to have final authority over the BLP thereby reducing the BLP to an advising body under a new entity called the “Board of Public Utilities”.
It appears to show they wanted the Grand Haven City Council to have the authority to set electrical utility rates, charge higher rates to customers outside the city limits, and create a path for transferring money from the BLP to the city general fund.
In addition, the edited charters included in the email appear to show those involved likely wanted the BLP to pay an annual sum of money to the city which would be determined by the city.
The edited charters also indicate those involved are likely considering the future sale of BLP property.
Here is an excerpt from the proposed charter. You can read the entire proposed change here. This section indicates that excess funds collected from customers for electricity charges can be transferred to city funds by an election. Notice that this section only refers to reserve funds. It appears the Grand Haven City Council will have immediate control over BLP general funds.
The BLP has a reputation of providing excellent reliability and service at low rates. Why transfer leadership of an organization outperforming nearly all utility providers in the country? If you are a resident of the City of Grand Haven, ask yourself if this amendment passes, what is likely to happen to your power rates and reliability? Do you really trust the members of the Grand Haven City Council who appear to be involved with this effort?