R'ville Power & Light pulls Marantha plug over unpaid bills

9/11/2013

By Jim Poole

Maranatha Family Center in Warnerville is striving to reopen a week after Richmondville Power and Light shut off the giant gym's electricity.
And while Maranatha has moved some services back to its former Elm Street, Cobleskill, location, it is waiting for money to pay the electric bill in Warnerville to reopen there.
The electric bill is the issue for the Village of Richmondville, which owns Richmondville Power and Light.
Richmondville Village Board members authorized last Thursday's shutoff after working with Maranatha since April to pay the bill, according to Mayor Kevin Neary.
"We certainly know the impact of shutting down a new business," Mayor Neary said of Maranatha, which opened in Warnerville last October.
"The village doesn't take pleasure in this. It's a severe step."
Mayor Neary wouldn't say how much Maranatha owes but said the village took the steps it normally takes--and then some--with a delinquent bill.
After the first month, Maranatha received a letter with its next bill; after the second, a red tag went on the building notifying the gym owners to call the village office.
At that point, Mayor Neary said, Richmondville offered a contract or budget plan, as it does with other customers.
"We work with customers the best we can," Mayor Neary said. "That's our trademark. And that's been every mayor, not just me."
Maranatha signed a commitment in April, he said. When payments were still late, the village board told Maranatha in August that it must pay half the balance or the power would be turned off.
"It's a considerable amount, substantial," Mayor Neary said.
"We asked for half and got almost half that."
Agreeing that the partial payment wasn't enough, Maranatha Manager Lynnette Kubat said Monday that late payments from insurance companies for the physical therapy unit combined with the usual slow summer season caused a cash-flow problem.
Richmondville Power and Light shut off the power at 5pm Thursday.
On its website and with a sign on the door, Maranatha first told customers there was an electrical problem and the gym and physical therapy services were closed for safety.
In a Monday email, Maranatha acknowledged the shutoff.
". . .The bill will be promptly taken care of once Medicare releases the funds that are in backlog," the email read.
Ms. Kubat added that their goal is to reopen the Warnerville site by the end of the week.
"We do want our members and our community to know that we are planning on reopening as soon as possible," she said.
"They pay their obligation today, we'll put the power back on," Mayor Neary said.
Meanwhile, some fitness classes continued at the Elm Street facility.
Mayor Neary wasn't pleased with the shutoff but said it was done to protect the village and the power company's owners--village taxpayers.
At the same time, he feels Richmondville treated Maranatha fairly.
"We've had multiple conversations with Maranatha, including our attorney talking with Maranatha's attorney in Albany," he said.
Richmondville Village Attorney JR Parshall agreed.
"The village board and mayor worked with Maranatha for months and months and months, with numerous conversations and meetings," he said.
"It's a shame they're not up and running. Most people want to see that."
Ms. Kubat said that Maranatha will make accommodations to compensate customers for the temporary shutdown.