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On October 4, 2010, the Occupational Safety and Health Administration (“OSHA”) issued an open letter to employers announcing an educational program encouraging employers to prevent work-related distracted driving and asking employers to review their policies and practices with respect to texting and driving. The OSHA letter further stated employers have a “legal obligation” to prevent hazards such as texting and driving.
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‘The Commission finds that debris associated with routine maintenance, in a maintained area, should be removed in a timely manner. Generally, absent intervening inclement weather that may pull crews from maintenance activities, it is reasonable to expect normal maintenance trimming debris will be promptly removed within three calendar days. … The Commission views standard trimming practices differently from restoration of service following storm damage. Utilities, and ultimately ratepayers, should not have to pay for the cost of vegetation removal necessitated by storm damage. … Accordingly, we find that it is not appropriate to require the removal of storm-related debris. It is reasonable for the property owners to remain responsible for such debris and for utilities to remain responsible for debris resulting only from routine vegetation management.” (pages 104-105)
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When discussing standard clearances, the Commission stated: “Simply put, a “one-size-fits-all” approach is not appropriate. Furthermore, the record demonstrates that there already are nationally recognized industry standards and best practice vegetation management standards and practices for tree trimming which the Respondents follow. …The record also establishes that the adoption of a uniform statewide minimum clearance distance would increase costs and threaten reliability. … Line clearances should continue to take into consideration the characteristics of the locality, the electric facility and the health of the tree, along with the other pertinent factors identified by Respondents. However, it is imperative that the utilities actually consider and apply these factors in determining the appropriate clearance for a given tree or line. The record is replete with customer complaints that strong, healthy, mature trees were trimmed as aggressively as trees posing bigger risks to reliability. …If existing easements or rights of way are insufficient, utilities either need to obtain such additional easements as necessary from the property owner, or obtain the consent of the property owner prior to trimming vegetation outside of the easement or right of way. Second, as noted above, the ANSI standard leaves substantial judgment in the hands of the utility in determining how a tree will be trimmed. We find that if a tree would have more than 25% of its canopy removed, the utility must obtain consent from the property owner. If a property owner does not consent, and the owner and the utility are unable to mutually agree on how the tree can be trimmed to provide sufficient clearance in order to maintain reliable electric service, the utility shall consider removing the tree, at the utility’s expense, as long as it has secured the requisite easements to allow its personnel onto the owner’s property, or inform the customer that it will need to make non-ANSI standard cuts in order to provide clearance. 13 To the extent removal is required, the rulemaking discussed below in Paragraph 7(D) will also address a tree replacement program.” (pages 99-100)
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Here are some of the key comments and statements contained in the Order:

“…we find that vegetation management plays a key role in keeping lines and facilities clear of trees and brush, and helps to reduce the number of service interruptions to Indiana consumers. We find Respondents understand and have incorporated this goal into their respective VMPs. We further find that utilities must be able to respond quickly to vegetation issues before they turn into reliability problems and that utilities must not be unreasonably delayed in performing vegetation management work by burdensome regulations or a lack of access to their facilities.” (page 95)
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On November 30, 2010, the IURC issued its 111 page tree trimming order in cause number 43663. Some of the mandates of the Order apply to all regulated utilities, including the regulated REMCs and other portions which are referred to a rule making do not apply directly. It is clear from the Order that the Commission carefully considered the testimony presented by the REMCs and for the most part agreed with what you said. Even though these provisions do not apply directly to the unregulated REMCs, they are likely to become the de facto standard that many members will expect the unregulated REMCs to meet. Here are the highlights:
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In Dep’t of Waterworks v. Community School Corp. of Southern Hancock County, the Indiana Court of Appeals recently affirmed the trial court’s holding that a school may connect a new facility to an existing water main through the use of a service pipe instead of using a water main extension. Dep’t of Waterworks for Consol. City of Indianapolis v. Cmty. Sch. Corp. of S. Hancock County, 933 N.E.2d 880 (Ind. Ct. App. 2010). The Court of Appeals relied on the Indiana Utility Regulatory Commission’s (IURC) determination that the “the [Water Company’s departmental] rules do not preclude the School from connecting a service pipe to its new facility from an existing main.”

The Indianapolis Department of Waterworks unsuccessfully argued that the IURC’s decision was contrary to law because the School’s new facility “does not abut an existing main as required…by the rules.” The Department of Waterworks also argued against the IURC’s factual determinations concerning the economical decision by the school. According to the estimates for the project, it would have cost the School approximately $412,000 if a new main was constructed. In contract, connection of a service pipe to an existing water main would only cost the School approximately $168,000.
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The Indiana Court of Appeals recently shed more light on what constitutes a “special relationship” necessary for a plaintiff to establish constructive fraud without proving the five traditional elements of constructive fraud. American Heritage Banco, Inc. v. Cranston, 928 N.E.2d 239 (Ind. Ct. App. 2010).

Indiana case law on constructive fraud is, quite frankly, a mess. There are at least two types of constructive fraud. One form of constructive fraud requires five elements. The five elements include:

(i) a duty owing by the party to be charged to the complaining party due to their relationship; (ii) violation of that duty by the making of deceptive material misrepresentations of past or existing facts or remaining silent when a duty to speak exists; (iii) reliance thereon by the complaining party; (iv) injury to the complaining party as a proximate result thereof; and (v) the gaining of an advantage by the party to be charged at the expense of the complaining party.
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Experience has shown that motor vehicles occasionally collide with utility poles located along roads and highways. Causes can include driver error, icy road conditions, animal dart out, and collisions with other vehicles. Bodily injury sometimes results and that brings the prospect of litigation.

Those injured may look to the utility for potential recovery. Electric cooperatives must be prepared to investigate and defend claims that may be brought even up to two years after the accident.

Electric cooperatives, like other utilities, typically have the authority to locate poles and structures in the road right-of-way. Often the available right-of-way is limited, resulting in the pole being close to the road’s edge. Some traffic safety engineers contend that utility poles (as well as mailboxes, bridge culverts, fences, trees, etc.) should be further from the roadway. A few of those safety engineers will testify against utilities in litigation..
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Harness v. Schmitt, 924 N.E.2d 162 (Ind. Ct. App. 2010) – Governmental Immunity

In a recent Indiana Municipal law case, the presence of a police officer during the service of a wrongful eviction notice did not affect the police officer’s governmental employee immunity because the officer was present for the purpose of preventing a possible breach of the peace.

Mark Harness Jr. appealed from a grant of summary judgment in favor of the Town of Winona Lake and one of its police officers, Paul Schmitt. On January 12, 2007, Hunter Carlile went to the police station to enlist the help of Paul Schmitt to serve an eviction notice on Harness as well as to change the locks on Harness’s home. At the time, Harness was purchasing the house on contract from Carlile and had possession of the home. When Carlile and Schmitt arrived at the property, Harness was not present; however, Daniel Linton was. When Linton questioned the eviction, he noticed that Schmitt placed his hand on his gun. Linton decided not to resist or challenge the eviction because he felt threatened by Schmitt. So, Linton helped Carlile remove property from the house. Carlile also changed the locks.
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The health care reform package that went into law on Tuesday, March 23, 2010, most clearly will have substantial effects on the health care industry. However, the legislation will also have far reaching impact on employers. Although employers are not mandated under the health care reform package to provide insurance coverage to employees, the new legislation will penalize employers that do not offer coverage at all to the employees or do not offer coverage considered “good enough.” For example, employers with 50 or more full-time employees that do not offer insurance coverage will have to pay an assessment to the government to help offset the cost of health insurance if their employees are receiving help from the federal government to purchase their own insurance. Additionally, a tax will be assessed on employer sponsored, high-end “Cadillac” coverage, which is 40% of the “excess benefit” of plans that exceed the thresholds of $8,500 for individual coverage and $23,000 for family coverage under the original Senate bill. However, when the original Senate bill is combined with the reconciliation bill, the effective date of the tax provision will be changed from 2013 to 2018, and the original threshold will be raised to $10,200 for individual coverage and $27,500 for family coverage.
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