Saturday, February 21, 2009

Jerry's Comments 2-21-09

Jerry’s Comments 2-21-09 Gennaro A. Marino P.E.
www.marinoreport.com
Seventeen comments in one day and still climbing on one post that’s great and it is wonderful that none of the comments refer to my questions or comments in the post. Thank you friends. Now that I have your attention the main reason I printed a copy of the minutes of the HU meeting was to point out that the comments and questions to Mr. Dawson, of CCG Consulting, by the residents were not noted in the minutes. None of the comments to this post mentions this fact even though it was highlighted in capital letters. The Borough does not want to any one to know the facts, the finances and the truth about HU by publishing the opinions of the residents who are shareholders in HU. They want you to hear Mr. Dawson who was voted $20,000 to tell the Borough Officials what they want to hear, that HU is a viable venture.
While I have your attention please note Mr. Dawson stated in the minutes:
1) HU should come close to breaking even 2009. I say this is a lie and he does not show any figures or statistics backing this up.
2) Services to the Borough should be billed at market rate. What he did not say that more HU revenue is realized from Borough Services than from HU subscribers. I say in other words the Borough is the best customer HU has.
3) The current HU technology works fine but is obsolete and should be replaced in 3 to 5 years. I say he did not say where the funds would come from to replace the obsolete technology.
4) Although HU has 50% of the customers in town, the fiber is not evenly distributed, so customers can not be added in some areas. I say where will the new customers come from?
5) System bandwidth is limited because of the way it is being used. I say why wasn’t it set up properly to begin with?
6) Add local programming. I say I thought HU had all programs available.
7) Increase data speeds because H is “vastly superior to competition”. I say he said this after he stated the technology was obsolete.
8) Have more open discussions about rates and sensitive issues. I say in 7 years since its inception there has never been any discussion or financial report on HU.
Mr. Dawson made all these statements after he stated and I quote “the current business is run really efficiently”. All of the statements listed above by Mr. Dawson are taken from the Borough Council Meeting minutes. Finally Mr. Dawson was a $20,000 paid shill for the Borough. What is the profit or loss of HU for 2007?
Another example of how the Borough Council is mishandling our money is on page 17540 of the minutes. I quote,” MOTION WAS MADE BY MR. SEYLER, SECONDED BY MR. SCHLEGEL, RESOLVED, TO TRANSFER MONEY FROM THE ELECTRIC REVENUE FUND TO MAKE UP FOR A SHORTFALL IN THE GENERAL FUND. AN AMOUNT WAS NOT AVALABLE SINCE THE BUDGET HAS NOT BEEN FINALIZED”. PASSED BY UNANIMOUS VOTE.
How can the Borough Council vote on a transfer of money without an amount and discussion? I welcome comments on this one. Thank you.
Sincerely, Gennaro A. Marino P.E.

Friday, February 20, 2009

Comments on 12-3-08 Special HU Meeting

Comments on 12-3-08 HU Special Meeting Gennaro A. Marino P.E.
www.marinoreport.com
Kutztown Borough Council
Dear Elected Officials,
As you can see the post previous to this post is a copy of the minutes of the 12-3-08 HU Special Council Meeting from the Borough website which was published almost 2 months after the meeting. Before reading this post please read the minutes of the meeting. The minutes were witnessed by Assistant Secretary Wiand and were reviewed and accepted by you unanimously at the January 20, 2009 Council Meeting. My repeat post of 12-22-08 points out all the false profitability and engineering statements by Mr. Dawson and I also point out Mr. Dawson did not show any hard facts or figures to back up his statements.
The reason I am commenting on these minutes is that after Mr. Dawson completed his presentation several residents commented and questioned Mr. Dawson and the minutes state “and lengthy conversations ensued and all questions and comments were addressed by Mr. Dawson, Borough Council, Borough staff and Solicitor Mooney”.
THE MINUTES DO NOT CONTAIN ONE QUESTION OR COMMENT FROM THE LENGTHY CONVERSATIONS BETWEEN THE CONCERNED RESIDENTS, MR. DAWSON, BOROUGH COUNCIL, BOROUGH STAFF AND SOLICITOR MOONEY. The questions and comments were deliberately omitted from the minutes on your orders because you disagreed with them.
This again confirms that under your orders and direction the Borough is deliberately withholding the facts and finances about Hometown Utilicom. How can the comments and questions on Hometown Utilicom be withheld at a meeting that was advertised as a Special Meeting on Hometown Utilicom?
This post in conjunction with my 2 previous posts exposes you for what you are and what you are doing. How much longer are you going to hide the fact that Hometown Utilicom loses about $1 million a year. If you read Mr. Dawson’s report carefully you will see that HU is not a viable venture and should be shut down.
Sincerely, Gennaro A. Marino P.E.

Repeat from 12-22-08 Post

Hometown Utilicom and CCG Consulting Report

CCG Consulting was paid $20,000 to conclude and state what the Borough Council and Mayor Sandy Green wanted to hear, that Hometown Utilicom is viable. Nothing is further from the truth. No Business Plan or Marketing Plan was presented by Mr. Dawson as was agreed upon at the February Council Meeting by Mayor Green and the Borough Council. Mr. Dawson’s report was based on falsified budgets and fraudulent financial reports that he received from the Borough. The only revenue of HU should be the revenue from the subscribers and not include the funds the Borough is moving into HU through so called rentals, services, subsidies and transfers. Mr. Dawson neglected to state that funds moved into HU were included as revenue.
HU has never produced one financial report and Mr. Dawson stated it was well run. He stated the Electric Fund would help finance HU, but he neglected to say residents pay double the rate for electricity than the surrounding area.
It is strange that all my blogger (www.marinoreport.com) comments and supporters of Hometown Utilicom are nameless and do not include any statistics or financial information to support their comments. It is also strange that the Borough Council, Mayor Green, Borough Solicitors Dietrich and Mooney, Auditor Long and Barrell and other Borough employees do not dispute or respond to my statements and comments.
The Borough has not published or included any information on the Borough website of the details and vote of this Special Hometown Utilicom Council Meeting of December 3, 2008.
It is a known fact that the HU Internet System is outdated, over loaded and can not compete with our competitors. The sweetheart deal with Apex has been broken and the Borough should shut down the Hometown Operation immediately. The last time I looked HU was losing about $1 million a year.
I think it is time for the Borough to defend their actions and explain to the Borough Residents the financial status of HU.
Gennaro A. Marino P.E. December 22, 2008

HU 12-3-08 Special Council Meeting

December 3, 2008 Council Meeting Minutes
17537
December 3, 2008
Kutztown, PA
A special meeting of the Kutztown Borough Council was called to order at
7:30 p.m. in the Kutztown Municipal Building by the President, Mr. Malcolm A. Eidle,
with other members of Borough Council present: Mr. Edwin K. Seyler, Mr. James F.
Schlegel, Mr. Mark R. Gangewere, Mr. Kevin J. Snyder, Ms. Amy Bray and the Mayor,
Ms. Sandra Green. Mr. Keith Mooney, Borough Solicitor; Mr. Gabriel Khalife, Borough
Manager/Treasurer; Mrs. Gina M. Wiand, Director of Marketing Communications and
Customer Relations/Assistant Borough Secretary; Mr. Frank Caruso, Director of
Information Technology; Mr. Russell Samilo, Director of Finance/Assistant Treasurer;
Mr. Robert Toth, Student Ambassador to Council; Mr. Joe Haughey, Student
Ambassador to the Mayor; residents Lisa Ladd-Kidder, Brendan Strasser, Dave Remaley,
Kenneth Kern, Joe Quinlan, Milton Kern, Art Goldberger, Jeri Carroll Coliccio, Craig
Koller, James Carroll, Jay Druckenmiller, Martin Smith, Mark Arnold, Tracy Arnold,
Evelyn Adams, Carl Lobb, Jan Crooker, Paul David; Kutztown University representative
Jerry Silberman; and Ms. Lisa Mitchell, reporter for the Kutztown Area Patriot were also
present.
After introducing himself and CCG, Doug Dawson presented the CCG report
relating to the review of Hometown Utilicom (HU). He began his presentation by stating
that the two major tasks of this study were profitability and engineering. Mr. Dawson
reported that the overall conclusion of the report is that “the current business is run really
efficiently.” He also remarked on his surprise that HU is “very near to break-even
condition,” considering the size of the business and the price competition in town.
December 3, 2008 Council Meeting Minutes
17538
Regarding profitability, Mr. Dawson made several points:
• HU should come close to breaking even in 2009.
• Although it may not be “wildly profitable,” the system will pay for itself.
• Services to the Borough should be billed at market rate.
Regarding engineering, Mr. Dawson made several points:
• The current HU technology works fine, but it is obsolete, and should be
replaced within three to five years, using old equipment as spares.
• Although HU has 50% of the customers in town, the fiber is not evenly
distributed, so customers cannot be added in some areas.
• System bandwidth is limited because of the way it is being used.
Mr. Dawson proposed some short-term improvement ideas:
• Add local programming.
• Increase data speeds because HU is “vastly superior to competition.”
• Initiate door-to-door marketing.
• Have more open discussions about rates and sensitive issues.
Mr. Dawson proposed some long-term improvement ideas:
• Add digital services.
• Add IPTV.
• Expand outside of the Borough’s boundaries by “cherry picking” certain
areas.
• Take back voice services by amending the arrangements with D&E.
President Eidle asked if there was anyone who wished to address Council
before proceeding with the agenda.
Kutztown University representative Jerry Silberman and Borough residents Joe
Quinlan, Paul David, Milton Kern, Jan Crooker, Lisa Ladd-Kidder, Art Goldberger and
Craig Koller all asked questions and made comments regarding HU. Lengthy
December 3, 2008 Council Meeting Minutes
17539
conversations ensued, and all questions and comments were addressed by Mr. Dawson,
Borough Council, Borough staff and Solicitor Mooney.
Under Personnel Committee, President Eidle called for an Executive Session at
9:26 p.m. to review 2009 wage proposals for salaried and other nonunion employees.
Mr. Gangewere left the meeting at 9:45 p.m. The Executive Session ended, and the
meeting reconvened at 10:01 p.m.
A motion was made by Mr. Seyler, seconded by Mr. Schlegel, Resolved, To
approve a four percent wage increase for all salaried and other nonunion employees in
accordance with the provided list of employees. Passed by a majority vote with Mr.
Snyder voting nay and Ms. Bray abstaining because she is Bonnie Bray’s daughter-inlaw.
A motion was made by Mr. Seyler, seconded by Mr. Snyder, Resolved, To
approve a four percent salary increase for the two pool managers for 2009. An additional
increase will be considered contingent upon their acquiring the pesticide applicators
license, with a category 24 pool endorsement. Passed by unanimous vote.
A motion was made by Mr. Seyler, seconded by Mr. Schlegel, Resolved, To table
the motion to authorize the appropriate Borough officials to adopt a leave of absence
policy for Borough employees. Passed by unanimous vote.
Off of the agenda, President Eidle announced that the Borough Electric
Department was presented with a safety award from AMP-OH.
Off of the agenda, under Public Works Committee, a motion was made by Mr.
Schlegel, seconded by Mr. Snyder, Resolved, To approve the payments for the street light
and storm sewer projects. Passed by unanimous vote.
December 3, 2008 Council Meeting Minutes
17540
Under Finance, Electric and Telecommunications Committee, the proposed
budget for 2009 was introduced and reviewed.
A motion was made by Mr. Seyler, seconded by Mr. Schlegel, Resolved,
To transfer money from the Electric Revenue Fund to make up for a shortfall in
the General Fund. An amount was not available since the budget had not been
finalized. Passed by unanimous vote.
A motion was made by Mr. Seyler, seconded by Mr. Snyder, Resolved, To
not increase electric rates in 2009. Passed by unanimous vote.
A motion was made by Mr. Seyler, seconded by Ms. Bray, Resolved, To
increase the 2009 fire tax from .15 to .40. Passed by unanimous vote.
A motion was made by Mr. Schlegel, seconded by Mr. Snyder, Resolved, To
authorize advertisement of the proposed Ordinance to adopt the 2009 real estate tax rates.
Passed by unanimous vote.
Under Miscellaneous, a motion was made by Mr. Schlegel, seconded by Mr.
Snyder, Resolved, To authorize advertisement of the proposed Resolution to adopt
revised labor and equipment rates for 2009. Passed by unanimous vote.
A motion was made by Mr. Schlegel, seconded by Mr. Snyder, Resolved, To
approve the preliminary list of 2009 Council and committee meetings and authorize
advertisement of meetings. Mr. Schlegel noted that the Kutztown Transportation
Authority will meet in the Kutztown Train Station. Passed by unanimous vote.
A motion was made by Mr. Schlegel, seconded by Mr. Seyler, Resolved, To
adjourn the Council Meeting upon vote. Passed by unanimous vote. The meeting ended
at 10:13 p.m.
Prepared and Attested by: Gina M. Wiand
Assistant Borough Secretary

Thursday, February 19, 2009

December '08 Council Meeting Minutes on Borough Website

December ’08 Council Meeting Minutes on Borough Website
February 19, 2009
http://www.marinoreport.com/
Friends of the Borough of Kutztown
After 2 months the Borough has finally published the minutes of the December ’08 Council Meeting Minutes. I noticed on page 17546 and I quote “A motion was made by Mr. Gangewere, seconded by Mr. Schlegel, Resolved, To hire Professional Computer Systems Co., Dennison, Iowa, to provide a utility billing software program, in the total amount of $185, 000, CONTINGENT UPON THE ACCEPTABLE REVIEW BY BOROUGH STAFF AND THE SOLICITOR”. Passed by unanimous vote.
Page 17548 of the minutes states and I quote “Off the agenda, a motion was made by Mr. Gangewere, seconded by Mr. Seyler, RESOLVED, TO RATIFY THE AGREEMENT WITH PROFESSIONAL COMPUTER SYSTEMS CO”.
Isn’t it strange that the unanimous vote was based on the acceptable review of the Borough Staff and the Solicitor and 2 pages later a motion was made and seconded to ratify the agreement with Professional Computer Systems Co. Some one should explain how and when the motion was reviewed by the Borough Staff and the Solicitor in just a few minutes. Was this contract given out for public bid or was it given out without a public bid as was the case of Borough Manager\Treasurer Vetraino and New World Systems which was supposed to supply a utility billing software program. Don’t forget New World Systems, whose contract was $225,000, was located in Vetraino’s hometown in Michigan. New World Systems was not capable of billing as the utilities as intended and that is one of the reasons he fled Pennsylvania. A couple of other reasons were the shady Apex Contract and his support and lies about Hometown Utilicom which loses about $1 million a year.
I think the Borough owes the residents of the Borough an explanation about the 2 computer firms which are outside of the state and publicize the bids of the 2 contracts.
I guess there are no computer firms capable of utility billing in Pennsylvania or is this another personal bid?
I also noted on page 17544 that the Borough increased the Borough employee's monthly health insurance contribution to $30 per month. It does not state how much the increase was but it was the act of a bunch of Council desperados looking for ways to finance their pet project Hometown Utilicom which loses about $1 million a year. Recently the Borough increased the tax from $10 to $54 for any one woking in the Borough.
Gennaro A. Marino P.E.

Wednesday, February 18, 2009

November '08 Council Meeting Minutes on Borough website

November ’08 Council Meeting Minutes on Borough website February 18, 2009
Gennaro A. Marino
www.marinoreport.com
To Those Who Care About Kutztown
The Minutes of the November 18, 2008 Council Meeting were finally put on the Borough website yesterday after 3 months. I noticed on page 17535 and I quote “Under Water and Wastewater Committee, Mr. Schlegel reported Kutztown University paid tapping fees totaling $1,058,000. Passed by unanimous vote” The Borough receives this large amount of money and votes without a discussion, comment or question from the Borough Council or any one at the meeting. This windfall should reflect a reduction in our Water Rate. Instead the Water Rate was increased. It should be stated why and when the Borough received the funds and when and if it was placed in the Water Fund.
The Borough Council is a disgrace and this typical of their policy of always being a day late and a dollar short with public information. Please note I never said I would attend the Council Meeting. I don’t have to because I can always find out what happened at the Meeting 3 months later.
Gennaro A. Marino P.E.

Sunday, February 15, 2009

Thank You Reading Eagle

Thanks Reading Eagle February 15, 2009 Gennaro A. Marino P.E.
www.marinoreport.com
Thank you Reading Eagle for printing my Letter to the Editor on Friday the 13th. I stated that the Borough has literally chased all the families out of town. For example there are about 200 university students and about 20 residents living in the 400 block of West Main Street. There is not one child in the Kutztown Area School District living in the 400 block of West Main Street.
I am also very happy that my message has reached the public that Hometown Utilicom loses about $1 million a year and that Borough residents pay double the electric rate that residents of the surrounding area pay.
Rather than comment on my website residents should comment to Mayor Green and Borough Council Members. Ask them if my statements are true and ask them to respond to this post.
It is common knowledge that the Borough is strapped for funds and is funneling funds from all Borough Departments into Hometown Utilicom.
Call or write your Elected Officials and demand they shut down Hometown Utilicom or produce Borough Records and Documents that show HU is a viable venture. I would like to remind the Mayor, the Borough Council, the Borough Manager\Treasurer Khalife, the Borough Solicitors, the so called independent Auditors and Frank Caruso the head of HU that the Borough has NEVER published a financial report on HU.
Thank you for patronizing my website and thank you for your comments, the comments are very motivating and show support of the Borough Elected Officials.
Gennaro A. Marino P.E.