Jerry Forte
Colorado Springs Utilities Chief Executive Officer Jerry Forte hasn’t had a base pay increase in the past four years, keeping his annual salary at $276,750.
But that doesn’t mean Forte hasn’t received more compensation.
In April, Forte received a “short term incentive payment” of $31,411 “based on his performance plan results from 2009,” according to a compensation and benefits report the Utilities Board will consider Wednesday.
The incentive compensation, approved by the board this year, “is in compliance with the parameters outlined in the Chief Executive Officer’s employment contract,” the report states.
So what. This sort of thing is usual and customary. If COLO SPGS UTILs were part of your precious “free enterprise” corporate world, his salary would be double what it is and his bonus’ would be six figures.
Nice try, and typical of this paper, to try and invent a controversy where none exists.
It must REALLY be a slow news day. This happened in April and you’re just reporting on it now? With most media, it’s “If it bleeds it leads.” For the Gazette, It’s “if there’s government/utilities salary, it leads.”
So that’s what the CSU Rate Increases are for !!!
Good Grief, my wife and I don’t even make $ 31,411 in a -whole year- !!! Something seriously Wrong with this picture !!!
The city council, as the utilities board, approved this extra compensation, and they also approved substantial rate increases. Whether you think this is usual and customary or not, it does make you think doesn’t it? I doubt seriously that here in Colorado Springs Forte’s so-called “corporate world” salary would be double. I think CSU is out of control and our city council doesn’t have the will, ability, or leadership to stop their abuses. I look forward to the April elections.
This was sent to Mr. Chacon earlier, and is what was previously shared with the Gazette on April 9, 2010. The Gazette already reported on this same subject on April 12, 2010, and for each of the past several years.
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4/9/2010
Eileen,
The City Auditor has completed his review of Utilities’ CEO 2009 performance evaluation. The payout figures are indicated below.
Keep in mind the unique nature of Colorado Springs Utilities. Most utility leaders need to be an expert in managing electric service. In Colorado Springs, the CEO needs not only electric expertise, but also needs to effectively run natural gas operations and deal with the complexities of providing water to a large city far from a major water source. Wastewater service provides a fourth level of knowledge and expertise that a Colorado Springs Utilities CEO must possess.
As you know, the CEO’s performance pay is based on several factors. Some of the 2009 accomplishments, on which the evaluation was based, include:
Financial performance: We strengthened our financial performance, even with the severe changes in our nation’s economy, completing our 5-year goal of reducing our workforce by 200 positions in 2009 – a year sooner than planned. This means $14 million in avoided annual labor costs even as the number of customers continues to climb. Also, nearly $16 million was cut from our operations and maintenance budget in 2009, yet we’re working at maximum efficiency to ensure reliable service. We continue to maintain exceptionally strong bond ratings which help to lower the interest rates we pay on projects. This translates into lower customer rates.
Electric generation: On average, power plant generating units in the U.S. run for 50 to 60 days before going off line for repair. Electric generating units 5, 6 and 7 at the Martin Drake Power Plant all ran continuously for 200 days or more in 2009. Additionally, unit 1 at the Ray Nixon Power Plant hit the 200-day mark in March. The accomplishments resulted in more than $12 million in avoided costs.
Water system performance: We continue to improve the reliability of our wastewater collection system to reduce the potential of spills. Efforts included pipe creek crossing projects, additional locking manhole covers to prevent vandalism and rapid response to events by our employees. The result: Only four reportable Sanitary Sewer Overflows in 2009 – among the best performances in our region.
SDS Permits/ROD: In 2009 we received a Record of Decision from the U.S. Bureau of Reclamation, necessary for moving forward on the Southern Delivery System, which will bring additional water to our community. Also, the Pueblo Board of County Commissioners approved a resolution to issue a 1041 land-use permit for the SDS preferred alternative, a pipeline beginning at the Pueblo Reservoir.
Among the highest in customer satisfaction: The J.D. Power and Associates 2009 Electric Utility Residential Customer Satisfaction Study ranked us third in the west for midsize utilities. We also received the 10th-highest score in the nation, regardless of utility size.
Keeping energy bills low: According to the 2009 ACCRA Cost of Living Index, Colorado Springs homeowners pay less to power and heat their homes than residents in all other large Colorado cities. Typical combined electric and natural gas bills in Colorado Springs were $124.79 a month in 2009 compared to an average of $153.23 for all Colorado cities included in the study. Energy bills averaged $181.86 nationwide. The study takes into account typical household energy consumption in each city and energy rates in effect in 2009.
Automated meter reading: In 2009 we made tremendous progress in laying the foundation for a smart grid. In fact, we’ve installed smart meters in nearly every home and business throughout the community. Smart meters will provide daily reads, giving customers a true snapshot of their utilities use and the ability to better manage their bills. We are among the first cities in the nation to install AMR for electric, natural gas and water all in the same initiative.
Emissions Reduction Testing/More Renewable Energy: In 2009 we started or made significant advancements in a number of initiatives that will improve operations, help preserve resources and reduce costs. We are:
- providing solar electric service to the U.S. Air Force Academy to significantly increase the use of solar energy in our community,
- testing emissions control technology that could reduce the amount of sulfur dioxide, nitrogen oxide and particulates coming from our power plants, helping us meet stricter environmental mandates taking effect in 2015 and potentially cutting our emission control costs in half, and
- ready to begin operations at our new hydroelectric plant in Cascade, which will bring our local hydropower capacity to 34 megawatts, enough to power 23,000 homes.
Wind contract: In 2009 we began to negotiate a purchased power agreement with Clipper Windpower for more wind energy. The project, to be based in eastern El Paso County, will provide up to 3 percent of Colorado Springs’ power starting in 2012.
Climate action plan: We completed our first transitional greenhouse inventory for the Climate Change Registry in 2009 to support Gov. Ritter’s Climate Action Plan for Colorado. This report represents an analysis of the potential carbon dioxide reduction options available to Colorado Springs Utilities.
Customer self-service: We improved customer options launching an online self-service that allows customers to easily view their account information, their billing and consumption history, pay their bill or request a payment extension. Plus, customers can now conveniently pay their bill at more than 40 local 7-Eleven® stores through the ChoicePay® kiosks. More functions will be added this year, such as a new outage notification program.
Customer assistance: Our effective communication to our customers about Low Income Energy Assistance Program (LEAP) resources has helped increase participation levels and the amount of federal funding coming to our community to help our customers with heating bills. This is particularly important during, the economic downturn, that has left more of our customers, friends and neighbors struggling to make ends meet. During the 2008 – 2009 heating season, Colorado Springs Utilities helped a record 11,427 households receive more than $5.5 million in direct utility assistance through LEAP.
Colorado Springs Utilities ended 2009 with a 22 percent reduction in net write-offs resulting in a near $950,000 savings compared to 2008. In addition, we minimized the number of accounts receivable that are past due beyond 31 days. Our success in managing write-offs and past-due accounts receivables is the result of various community partnerships, providing customers program options, educating customers, and our employee’s commitment to delivering compassionate service and assistance.
Employee volunteerism: Colorado Springs Utilities’ employees are committing valuable time and resources to help improve peoples’ lives and have been doing so for many years. 2009 was another record-breaking year for employee volunteerism. More than 977 employees and their friends and families volunteered 6,742 hours on 169 projects. We also donated $104,466 to local charities during our annual employee giving campaign.
Procurement processes: We must award contracts to the most qualified, cost-conscious bidders no matter where they are located. Yet, our staff was still able to award an average $55 million to local contractors in 2007, 2008 and 2009 by reaching out to our community and keeping them informed about our procurement process.
The performance rating of 3.87 under the annual performance plan results in an incentive payout of $31,411.13. The CEO’s annual incentive will be paid on April 9, 2010.
CEO pay watch: Xcel Energy’s Richard Kelly
Last update: April 7, 2010 – 6:13 AM
Richard Kelly, chairman, CEO
Total compensation: $7,024,885 for the year ended Dec. 31
Salary: $1,175,000
Bonus: $386,762
Non-equity incentive pay: $1,547,046
Other compensation: $115,779
http://www.startribune.com/business/90052877.html
He get s a 31K incentive and general city employees are getting a 80/20 insurance plan, maybe getting back the 24 hr of unpaid time off and an increased work load. Can I transfer from general citry to CSU?
taking online payments…
[...]Utilities CEO received $31,411 incentive payment – City Desk : Colorado Springs Gazette, CO[...]…
spiritual spin…
[...]Utilities CEO received $31,411 incentive payment – City Desk : Colorado Springs Gazette, CO[...]…