Saturday, September 17, 2005

Cost escalation no resistance

What the devil is going on at the Commerce Energy and Natural Resources (CENR) Committee? The committee passed the IBEW raise 2 zip. Tony Cardenas and Bill Rosendahl aren't tough on cost escalation. To the contrary, they turn into door mats and fall over the red carpet. The meaning of the acronym CENR now stands for Cost Escalation No Resistance.

Henry Martinez volunteered that the damage to DWP infrastructure was minimal. Contrary to his report, the Haynes Generating Plant is still out of commission because of the outage. Employees claim the plant will most likely remain out of commission for the next couple of weeks.

The cost of living raise seems to be sailing straight through. The wage disparity between DWP and similar civil service classifications in the City seems of no concern to the CENR. They are okaying the raise hike as if it is a matter of due course. It is amazing that they don’t inquire about the discrepancy, ask for justification, or demand a plan to use the union windfall momentum to figure out a solution to the City’s wage disparity problem.

All these snafus are going to result in increased costs and decreased efficiencies.

Power Outage to Pump Up L.A. Gas Prices

Gas prices in Los Angeles inched lower on Friday, but Monday’s power outage caused refineries to interrupt operations, a situation that could likely send prices higher next week, said the Automobile Club of Southern California.

The average price for regular self-serve unleaded gasoline in the Los Angeles-Long Beach area dipped 1.6 cents to $2.976 on Friday from $2.992 one week ago. Prices haven’t reached a new record high since Sept. 6, when they hit $2.999. The price was $2.762 per gallon one month ago and $2.071 one year prior.

“Effects of the power outage likely will be felt beginning this weekend as Southern California motorists deal with thin supply caused by interrupted refining operations,” said Auto Club spokeswoman Carol Thorp.
The Orange County area had the lowest average price in Southern California, falling 1.4 cents to $2.947. The Bakersfield area had the highest gas price for the second straight week, losing 2.9 cents to $3.129. Of all the areas surveyed, only the Bakersfield, Santa Barbara-Santa Maria-Lompoc and San Diego areas had average prices above the $3-a-gallon mark on Friday.

The Weekend Gas Watch monitors the average price of gasoline as of 12:01 a.m. each Friday.

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