SILOAM SPRINGS — Siloam Springs plans to file a complaint with the Arkansas Public Service Commission over allegations Carroll Electric Cooperative Corp. is poaching customers from the city’s Electric Department.
City directors unanimously approved a resolution Nov. 7 giving City Administrator Allan Gilbert the authority to file a complaint with the commission on the matter.
Carroll Electric serves a round 200 customers within the Siloam Springs electric utility boundaries, according to Electric Department Superintendent Glenn Severn.
“These boundaries are established by the Arkansas Public Service Commission,” Severn said. “Staff has visited with Carroll Electric staff on more than one occasion with little resolution.” Siloam Springs received a letter dated Nov. 2 in which Carroll Electric claimed not to know anything about the alleged poaching until the city brought up the matter.
Jason Carter, general counsel for the Arkansas Municipal Power Association, said he was brought in by the city specifically to consult on the issue. He expressed confidence in the city’s position.
Director Ken Wiles said the letter stated the city had adhered to this boundary concept since 1939 and mentioned Carroll Electric’s lack of knowledge regarding the matter.
“If we’ve been basing our business off of this for that long, how could they not know or understand that that’s what we have been using?” Wiles said.
Carter said he believed there had been conversations in the past where the boundary issue was likely brought up.
The Public Service Commission issued an order pertaining to Siloam Springs rural service territory, he said. Carroll Electric signed that order.
“So when they say that they’re not aware of it, that’s their own record-keeping issue,” Carter said.
Director Carol Smiley said she thinks this has been going on since she first started on the board in 2005 and that it is time for a resolution.
Director Reid Carroll thanked Carter for bringing clarity and hopefully a resolution to the issue, as well as helping to keep unity where the city can still work with Carroll Electric.
“We’re not here to tear down our relationships,” Carter said. “We’re here to resolve the conflict.”