UNION CITY, MI (WTVB) – Even though they were outvoted in their attempt to immediately terminate the contract of Michigan South Central Power Agency General Manager Paul Beckhusen, officials from the village of Union City have expressed their gratitude to Hillsdale’s city government for their assistance in the effort.
Union City’s Village Council approved a letter to Hillsdale at their July 8, 2019 meeting, in which they praised the city’s officials for being “instrumental in calling attention to these abuses and fighting them,” referencing the two communities’ ongoing battle with the agency.
In June, Hillsdale and Union City voted to terminate Beckhusen, citing his leadership of the agency, for which he is paid nearly $250,000 annually in salary and benefits.
Coldwater, Clinton, and Marshall voted to retain the executive.
After a two hour closed session June 24, the MSCPA Board of Commissioners voted 5-0 not to renew Beckhusen’s contract after it expires June 30, 2020.
It was the second time in recent months that Union City and Hillsdale officials banded together to attempt to remove Beckhusen immediately.
The Union City Village Council letter cited alleged abuses by the agency, like spending $1.6 million to purchase a building from the city of Coldwater valued at less than half the purchase price, and buying alcohol with agency funds.
Other complaints have alleged more serious legal and ethical violations, including potential Open Meetings Act (OMA) violations and nepotism.
According to the Hilsdale Daily News, the letter also thanked Hillsdale’s City Manager David Mackie, BPU Director Chris McArthur, and Hillsdale residents who showed up at the agency’s last meeting to voice their concerns.
Union City’s letter was included in Monday’s Hillsdale City Council packet.


