PEC may trim advisory director slots
The measure continues a reform movement introduced by both old and new board members in the wake of several controversies that started nearly two years ago and a civil lawsuit that is still under appeal.
Advisory directors cannot vote but still earn hefty compensation for their attendance.
Meanwhile, the PEC board is taking their show on the road, which begins at 10 a.m. Monday at the Hays Consolidated Independent School District Performing Arts Center, 979 Kohler’s Crossing in Kyle.
Board members will consider a proposal by board Vice President James Williams that could reduce the number of advisory directors.
Williams in July proposed a new policy amending the co-op’s bylaws to reduce the number of advisory directors from 11 to four.
The board usually includes one for each of PEC’s seven service districts and up to four at-large directors. Three — at-large advisory directors Libby Linebarger and Kenneth Kennedy, and District 7 Advisory Director Stuart Nunnally of Marble Falls — have recently resigned from the board.
There currently are seven voting directors and seven advisory directors, according to a PEC Web site.
“The size of the board as it is now is actually larger than the boards of the other cooperatives,” Williams said. “It’s kind of expensive having that many directors, and I felt if we streamlined that approach we could get just as much work done while cutting the cost.”
According to information released by the co-op, the new policy would allow up to four at-large advisory directors who would serve three-year terms. Williams’ proposal would also require the advisory directors to have expertise in areas such as the legal or legislative professions, energy and utility management or financial fields — all subjects regularly broached by the board.
“I have belonged to organizations and have seen situations where you have a group of advisory directors who were selected because they have an area of expertise,” he said. “There’s no lawyer on the PEC board at this time, and it might make sense to have one. There are other areas, such as finance that should be reflected on the board. It makes sense to examine that seriously.”
Williams said his proposal could save the co-op up to $350,000 through reductions in pay and benefits paid to current advisory directors.
The proposal would phase out the advisory directors’ position after their current terms end, though Williams said the board may consider eliminating the positions outright.
“Either one of those would be the right thing to do,” Williams said.
PEC officials said rotating the board meetings to different towns is good for the 220,000-member co-op, the largest in the country.
The board meetings are normally held at PEC headquarters in Johnson City.
Co-op spokesman Michael Racis said the change gives PEC members in distant areas a chance to attend a board meeting in person.
“Our board decided to periodically hold meetings in venues beyond our headquarters to make attending a meeting for convenient for members in different locations throughout our service area,” Racis said. “The board plans to continue this practice beyond our meeting in Kyle, however they have yet to set the next location and date.”
The board previously held a meeting in Cedar Park, he said.
The rest of Monday’s agenda will likely keep the board busy. Directors will go behind closed doors for a lengthy executive session to discuss ongoing negotiations for a multi-year power contract with the Lower Colorado River Authority.
The board will also hear from legal counsel on election-related issues and developments concerning the co-op’s recent civil-suit settlement, officials said.
The board is also set to discuss transferring a vacant 1/6-acre lot to the city of Wimberley, and hear updates on a resolution calling for the co-op to generate 20 percent of its power through renewable energy by 2020.
chris@thepicayune.com