Co-op board shows signs of conforming
Although less contentious than most recent meetings of the Socorro Electric Cooperative’s Board of Trustees, Wednesday’s meeting, on July 28, still had its moments.
There was the time when trustee Charlie Wagner threw a fit over his colleagues’ vote to pass a resolution he said was already irrelevant. And there was the time co-op employee Maria Rivera, who was sitting in the audience, pointed a finger at Wagner and accused him of lying.
But for the most part, both trustees and audience members, the majority of which were in Wagner’s corner, behaved themselves.
Last month’s meeting was abruptly cancelled when a room full of reform-minded members staged a protest by refusing to leave the boardroom when the trustees called for an executive session.
An overflow crowd of about 30 member-owners attended Wednesday’s meeting, most of them anticipating some action might be taken on the co-op’s lawsuit against its member-owners.
It didn’t happen. The board reconvened the meeting after a 45-minute executive session to discuss personnel and legal matters only to adjourn.
Afterward, co-op President Paul Bustamante reiterated what he told El Defensor Chieftain earlier in the week — that the board would prefer to drop its lawsuit and resolve its issues with the member-owners through mediation.
“We want to try to get mediation between the parties — the board and the reformists,” he said. “We can’t change the resolutions, but we have to conduct meetings without interruption.”
The board of trustees voted in May to challenge three of a bevy of reform-related resolutions overwhelming passed by member-owners at the annual meeting in April.
The co-op’s attorney, Dennis Francish, filed a request for declaratory judgment and injunctive relief from the three bylaws — each of which address transparency — last month. In doing so, “all unnamed member-owners” — nearly 13,000 people, businesses and public and private entities — were named as defendants.
Bustamante said the board can’t drop the lawsuit until other matters are settled.
“According to the attorney (Francish), it’s up to the attorneys that put in counter claims and up to the judge,” he said.
Several attorneys — two of them acting as member-owners — have responded to the complaint so far. In addition, Alvin Hickox, a member-owner from San Antonio, N.M., answered the complaint and a filed a countersuit pro se.
Clearly, the board was ready to concede to some of the wishes expressed by member-owners when they voted that the trustees voluntarily abide by the Open Meetings Act.
A public comment period was listed on the agenda right after the pledge of allegiance; James Cherry, of Magdalena, was allowed to film the proceedings, a point of contention at last month’s meeting; the board provided a reason for going into executive session; and it agreed to have the policy committee meet with Rev. Doug May to discuss adopting a resolution addressing open meetings and transparency that was drafted by member-owners.
The latter matter stirred some of the debate that spawned the co-op lawsuit in the first place.
Trustee Charlie Wagner, who ran renegade against his fellow board members by leading the movement for reform, argued there was no point in discussing May’s proposal.
“These are already bylaws,” he said. “It’s a waste of money; the bylaws are already in force.”
Wagner said the bylaws that are being contested in the lawsuit went into effect immediately after they were passed by the membership on April 17. He contends any action taken by the board since then is invalid, because the board hasn’t followed open meetings rules.
Despite Wagner’s protest, Bustamante declared that the motion passed and Bustamante directed Leroy Anaya, chairman of the policy committee, to assemble a meeting with May to “begin the process.”
Sparks flew again when trustee Milton Ulibarri made allegations against member-owner James Padilla, who was not present.
Ulibarri read from a transcript from a tape recording of an SEC Reform Group meeting held in June, at which Padilla allegedly said he’d like to club some of the trustees with a 2-by-4. Ulibarri also claimed that Padilla intimidated Bustamante by standing behind him at the board’s May meeting.
“I motion that we have a restraining order placed against Mr. Padilla,” Ulibarri then said.
Again Wagner protested, criticizing the board’s penchant for taking legal action against its members and questioning whether Padilla’s alleged comment was a legitimate threat.
Rivera, who covertly tape recorded the reform group meeting, claimed it was.
“You heard him say it, because you were there,” said Rivera in a stern voice while pointing an index finger in Wagner’s direction.
When Bustamante called for the vote, Ulibarri, Anaya and Leo Cordova were in favor of filing a restraining order against Padilla and Wagner, and Prescilla Mauldin voted against it. The five other trustees abstained.
Although the result was 3-2 in favor, the motion failed to pass. Asked for a ruling, attorney Francish said a clear majority was required, meaning it would take six votes in favor for the motion to pass.
Although the board appeared to be making an effort to conform to the member-owners’ mandate for openness and transparency, a former trustee was on hand to advise them differently.
Juan Gonzales, who served as trustee for more than 30 years before he was defeated by Mauldin at district elections in Socorro last fall, took advantage of the public comment period to address the board.
“I think that this co-op had been working as a cooperative for the last 30, 40 years. Members think they own this co-op. They don’t own it. The trustees own it,” he said.
“You guys have the responsibility. That’s why they elected you,” he continued. “Yes, members own it to a certain extent, because they elected you.”
Gonzales went on to say board meetings should be held in private.
“Nobody should be here but you guys,” he told the trustees. “This is your cooperative. You guys are responsible for business, nobody else.”
While Gonzales’ comments drew a few groans from the 25 or so pro-reformers in the crowd — some wore T-shirts that read “Socorro Electric Cooperative Member-Owner and My Vote Counts!” and another couple in the corner donned custom-made shirts that read “SEC Home of the Untrustworthy Trustees” — the group remained civil, although one man did clap his hands in mock applause.
Contact T.S. Last