Wednesday, June 18, 2008

B100 Pricing for the coop, for members

A local supplier has provided these prices for B99.9 or blended, Biodiesel. the fuel is made from poultry, choice white fat.
22April $3.30
09May $3.32
13May $3.55
21May same
28May $3.80
02June $3.65
12June same
18June $3.75

Road taxes must be paid to Maryland and Federal authorities, adding $0.49 per gallon to the above prices.
Our fuel transporter charges us $0.45 per gallon for service, as well.

We charge $0.35 per gallon to pay for development and growth of the coop:
bumper stickers
new truck ( which should save us $0.25 per gallon once we're using it)
BBD9000 systems

Therefore our price of $4.94 per gallon will be changing to $5.04 per gallon by weekend of 6/27.

Please note that we offset the preposterous jump in price from May 21 to May 28 by selling B100 that was purchased late in 2007.

Tuesday, June 17, 2008

Reorganization of the Cooperative

501(c)12, tax-exempt, non-profit status
1) Board of directors will be elected for 2 year terms, with half of the board up for reelection each year.
Board will nominate the officers.

2)A draft set of bylaws will be written up and posted here.
Our current bylawsw borrow heavily from other successful biodiesel cooperatives: Piedmont and Yokayo.
We plan to have all members purchase a share of stock (presumably this will be paid for by the $70 application fee we now charge) and along with it, the right to vote.
A quorum will be 10 members for any given meeting.

3)Naming of operators
Heads of committees will name someone to execute the responsibilities of the committee at short notice.
Eventually these may become paid positions.

Outreach to members of note....

Steve Howard, Laura Koontz and Frank Lee have been noticed by various committees and board members. We would like to get them involved with marketing and operations in the coming year.

Nominations and elections

President- Davis Bookhart
Vice President- Ilya Goldberg
Secretary- Mark Eckley
Treasurer- Andrew Gellene

All were elected unanimously.

Executive Board was named, as follows:
Ted Rouse
John Shepley
Dave Saffell
Keith Losoya
Paul Kovalcik
Carrie Harlan
Rich Dean
Mare Cromwell
Susan Smith

Committee updates

1. Technical Committee
see BBD9000
Filter has been attached to the tank to continue providing clear fuel to our users.

2. Marketing Committee
No report given as Carrie was out sick.

3.Finance Committee
Discussion of operational costs of truck suggest we need to reapply to Maryland Energy Administration for further grants.
>40% increase in sales demonstrates we are using the money they granted us last year wisely and effectively.

4.Membership Committee
Focusing on retaining existing members by using iContact to send out alerts, bulletins, etc. to keep information flowing from the board to the members.

We voted to name Mare Cromwell our operations 'co-head' along with John Shepley. They will assign projects to specific members of the committees.

Response team for operations needs to be put in place, with backups available.
We proposed an Operations Committee
Pay rent- Treasurer
Buy fuel-fuel liaison and treasurer
Maintenance- any capable member. Currently filter changes have been made by a handful of folks willing to get a little oily.
The tank still needs a proper cleaning.
No volunteers were ackowledged, any would be welcome.

Old business-BBD9000

The BBD9000 is in operational test mode currently. Several board members have successfully purchased fuel at their convenience, outside of 'normal' business hours.

Scenarios are being tested- e.g., can a member buy fuel if their membership is not current?
Debugging will be complete by end of June.

Sales have increased from 2007 to 2008:
5 weeks around June 2007 (221, 233, 205, 168, 265 gallons->1092/5= 218.4 gallons per week)
Last 5 weeks, June 2008 (225,330,300 215,337 gallons -> 1407/5= 281.4 gallons per week)

That's a 28.8% increase in volume. Considering the price has increased from $3.25 per gallon to $4.75 per gallon, (46% increase)
sales have increased over 40%.

We expect this increase to grow faster with the expansion of hours for the membership to buy fuel, enabled by the BBD9000.

Finally we discussed providing the service for running the BBD9000 for other coops and biodiesel sellers in the area. We have learned how to maintain a database of members and keep track of sales, etc.
We will set up a virtual domain and website and administer those things for our clients. We can lease or sell BBD9000 machines, or help other groups assemble their own.
Ilya had purchased circuit boards with Baltimore Biodiesel enscripted on them and will be working with Rich to populate them.
Ilya has purchased a swipe machine and computer and estimates the cost of a new BBD9000 to have decreased to somewhere around $1700, including a wireless modem.

Considering fuel pumps that are used at gas stations cost upwards of $10,000 each, the BBD9000 is a really attractive alternative.

A business development committtee was proposed. Their job will be to make a plan for distribution and production fo BBD9000's in the future.

Old Business- new Truck ("Molly Pitcher")

The tale of Molly Pitcher can be found on the yahoo! group, Charm21:

She cost us $3898 to buy and drive to New Jersey. $1338 to tow to Maryland where we are getting her in shape to pass Maryland inspection.
Fuel tank, Transmission, Brakes, Universal Joint, Air Compressor and Tanker pump will all be assessed.
The board voted to research buying a new chassis to put Molly's tank on.
We will not begin repairs for one month while we look into a chassis for a GVW 44000 pound vehicle, e.g., a heavy duty dump truck.
The board will research a gated, secure location for parking the truck, too.
Finally, it was suggested that MEA might be able to assist us with the gift of a used truck. Alternatively, we could trade for a used truck with biodiesel fuel. Paying off the truck over time, in effect.

Annual Board Meeting

Board members in attendance:
Bookhart and Rouse (co-presidents)
Goldberg (vice president)
Eckley (secretary)
Shepley (Treasurer)
Kovalcik, Gellene, Dean, Cromwell (Executive board members)
Note-Harlan, Saffell, Losoya, Smith not in attendance.

Agenda items:
Old business-
New Truck ("Molly Pitcher")
BBD9000 ('BFD9000')

Committee updates-

Reorganizing the cooperative into a democratic, 501(c)12 non-profit concern.

Election of board members for 2008-2009

Members of note.