Owensville candidates discuss city’s share of MoPEP debt during candidate forum

In the Wednesday, April 2, ’08, Gasconade County Republican story, “Critical vote faces Owensville residents,” Editor Dave Marner provided readers with a near-verbatim Q&A from their candidate’s forum, a debate which was dominated by the MoPEP controversy that has raged since Owensville signed their MoPEP contract. When Owensville’s citizens vote on Tuesday they will be largely voting on candidates who are defined by their attitudes either for or against the MoPEP contract and their MoPEP electric prices. The news report quoted Ward 2 candidate John Kamler’s response to a question, “Our aldermen did not know what they were signing or understanding.” Kamler continued noting the city’s attorney admitted publicly to having only read every other page of the “Restated and Amended” 2005 MoPEP (Missouri Public Energy Pool) contract since the facsimile copy he [the lawyer] received was not copied on both sides of the page.” (A moment of silence while we all absorb the magnitude of the culpability revealed in that statement.)

On the Owensville ballot there will also be a rather confusing straw poll to test citizen’s will as to whether they want their new city council to start the process of getting them out of the MoPEP contract so they can do business with a private electric company that, unlike MoPEP, is regulated by the Missouri Public Service Commission.

In the article, Marner pointed out that in the 2007 Owensville annual audit the audit firm of Verkamp and Malone, CPA, Rolla, revealed to the city that Owensville’s “pro-rata share of the above (MoPEP) liabilities at Dec. 31. 2006 was $994,977.” At the time the auditors made that calculation of the city’s MoPEP liability, MJMEUC/MoPEP had only sold revenue bonds to buy shares in the first four power plants. MJMEUC has since invested in a total of 7 and perhaps 9 plants so Owensville’s pro-rated share now would be at least double the 2006 amount. Marner’s article added that, “This was the first year the city’s independent audit actually acknowledged this debt existed. Debt, by the way, which was “not included in the financial statements presented.” Members of the Concerned Citizens of Owensville group are credited with pointing that issue out to the auditors.”

More citizens in towns with MoPEP contracts need to be asking our city auditors to find out what our liability exposure is.