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Show Improper Management? Whose Benefit? (EDITOR'S NOTE The following letter was dated Feb., 1982, but was not received for publication until March 10, 1982, for publication. Since this letter was written, several of the items mentioned have been resolved as explained in a story on Page One of this issue. Editor: With March elections scheduled for three directors of Garkane Power Association's Board, there is some information that I think is important to its members. The Utah Public Service Commission, in a Report anri Order dated December 16, 1981, found that Garkane "failed to act in a reasonable and prudent manner" in making a loan of $96,626.15 to a rancher in Kane County; for failing to show the loan on its records and reports to its members; in failing to require a title search on land optioned; in expending large sums of money without determining whether a power plant such as was contemplated in the making of the loan was necessary or feasible; and in con- suiting attorneys with a known financial interest in the property for legal advice on the transaction and the preparation of the necessary documents to complete the same. Appeal by Garkane has postponed or negated the Commission's order that Garkane publish the Report in newspapers with circulation in its certificated area. However, the Report is a matter of public record and a copy may be obtained from the Public Service Commission in Salt Lake City. The Garkane Board of Directors is responsible for policy making and decisions which direct and ontJ the management" and operation 'of' the Cooperative. The ln terests and welfare of the membership should be reflected in the actions of the Board. Selection of Board members is therefore critical in determining the destiny of the Company and the costs of providing electricity. All Garkane members are eligible to vote for a candidate from each of three District areas where terms are expiring. It is important that members of the Garkane Association identify and vote for candidates who will be able to provide the strong leadership and direction which are essential in preventing unnecessary and Inappropriate activities and expenditures, and in putting economics into effect to keep the costs of electricity as low as possible In these times of widespread economic difficulty. Sincerely Carole Lippincott |