Editor's Note: Seventh in a series of stories on the people, places and events that made news in northern Michigan in 2008. For previously published newsmaker articles, see record-eagle.com/newsmakers.
TRAVERSE CITY -- Traverse City Light & Power spent much of the year working to regain public trust after the city utility drove out its top two administrators amid incidents of misconduct and public discord.
Light & Power's board of directors demanded Director Richard Smith's resignation in March while he was on a partial suspension for purposefully bumping a member of the public at a government meeting in Elmwood Township.
Less than two weeks later, Deputy Director Greg Pierce, who had taken over Smith's duties, also resigned. He improperly took furniture owned by the utility.
"I consider that a time that was unfortunate for both Rich and for Greg, and I think that the board dealt with that swiftly and appropriately," said Linda Johnson, board chairwoman. "We did not dodge it or did not try to sidestep the issue that there were significant public trust issues."
Ed Rice, a retired Consumers Energy manager, took over as interim director in April. He was named permanent director in August.
"I think the culture has changed for the positive with staff and the board," Johnson said. "Ed Rice brings a level of executive expertise that wasn't there before his hire."
Both Smith and Pierce moved on to new jobs, said Jim Cooper, Light & Power marketing manager.
Smith found a position in Texas, and Pierce is manager of Lowell Light & Power outside Grand Rapids. Cooper was unsure if Smith is working for a utility or other electrical-related job.
About a month before Pierce's resignation, the Light & Power board reprimanded him for a separate incident.
Pierce wrote a letter warning a citizen volunteer committee that disclosure of information could be at risk after a committee member revealed the utility's plans to increase electric rates and spend millions of dollars on two coal plants and a wind farm.
The letter was addressed to Ross Richardson, a member of the citizen group studying city finances and services. Richardson said he's seen an improvement since Smith and Pierce left, but he isn't completely satisfied.
"Ed Rice is certainly more gracious in listening to the public and so forth," Richardson said. "I still believe that Light & Power thinks that it should make its decisions based on the best interest of Light & Power, and that they still chafe at the idea that the citizens of Traverse City should be telling them what to do."
Richardson said that's evident in discussions over a west side transmission line route. The original plan, when Smith was in charge, was to run the line through Hickory Meadows and down Wayne Street in the city's Slabtown neighborhood.
Many residents decried that project, and board members have since sided with a route down M-72. Rice has warned against difficulties with M-72 and said Wayne Street is the more reasonable option, but staff is still working on making the M-72 route work.
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