Baldwin becomes the first city to formally approve filing a court appeal against a Kansas City, Kan., utility company.
Monday night the Baldwin City Council voted unanimously to take part in the appeal effort. City Administrator Larry Paine said he expects the six other cities who were initially involved in the lawsuit against the Board of Public Utilities also will join the appeal.
The six others expected to continue the battle are Ottawa, Osawatomie, Fredonia, Mulvane, Neodesha and Winfield.
Last month, Franklin County Chief District Judge James Smith said the cities lacked evidence to make a case against the Kansas City BPU. He said the plaintiffs the cities and the Kansas Municipal Energy Assn. never proved that they were overcharged by BPU under terms of their contracts.
But KMEA attorney Ed Peterson said he and the attorney for Baldwin and Ottawa, Bob Bezek, think they have a case.
"[The legal ruling is] contrary to a decision the judge made earlier in the motion for summary judgment," he said.
In November, Smith reaffirmed an earlier finding that said the cities and KMEA have grounds for a suit. The judge also found grounds with the way the cities were charged.
At the February trial, Peterson said the judge ruled that the plaintiffs failed to prove which was the lower rate in the contract. The contract states the municipalities should be charged the lowest rate for power, whether it's the contract rate or the rate based on the industrial standards.
Peterson said he expects the cities to decide whether to appeal this week when the written opinion of the court case is signed by the judge. When the document is signed, the plaintiffs have 30 days to file an appeal notice with the State Board of Appeals in Topeka.
Monday, the Baldwin City Council will consider directing Bezek to file an appeal with the six other Nearman cities.
Baldwin city council member Lee Whaley said he thought the city has a chance for appeal.
"I think for what we're spending and for the amount we can receive, I think we must try to do so," he said.
The appeal would cost between $8,000 and $9,000, which would be split up by the cities. At stake for Baldwin is $300,000, which had to be paid to BPU for electricity while the Nearman Plant was shut down in July and August of 1999. Ottawa was charged $700,000.
The Ottawa City commission will have an executive session Wednesday to discuss legal matters in the case.
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