COLDWATER, MI (WTVB) – The Coldwater Board of Public Utilities Board of Directors is scheduled to get an update Wednesday evening on the Village of Union City’s withdrawal from the Michigan South Central Power Agency.
B.P.U. Director Jeff Budd, who is also a M.S.C.P.A. Board Member, says in his report that Coldwater and Marshall have tentatively agreed to buy out the shares of Union City’s assets and liabilities in the agency.
Budd says the tentative agreement calls for Union City to be paid $500,000 over eight years with no interest. In exchange, Coldwater and Marshall will receive their allocation in transmission entitlement rights and agree to pay Union City’s portion of liabilities and expenses.
Upon completion of this transaction, Union City will be completely divested of their participation in both the MSCPA and AMP (American Municipal Power).
Legal counsel is still working on the required documents which will be presented at a future Board meeting for formal adoption.
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