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5.7. ERMUSR 09-15-2010 Elk River --- Municipal Utilities 13069 Orono Parkway • P.O. Box 430 Elk River, MN 55330.0430 UTILITIES COMMISSION MEETING 5; ~ r Phone: 763.441.2020 Fax: 763.441.8099 TO: FROM: EIk River Municipal Utilities Commission Troy Adarns, P.E. -Director of Operations John Dietz. Chair Jerry Gumphrey, Vice Chair Daryl Thompson, Trustee ~ MEETING DATE: ' AGENDA ITEM NiJMBER: ~ September l5, 2010 5.7 SUBJECT: Minnesota Municipal Utilities Association 2010 System Innovation Award DISCUSSION: EIk River Municipal Utilities (ERMU) has won the System Innovation Award from Minnesota Municipal Utilities Association. The award was presented to ERMU "in recognition for its leadership and innovation in customer service, energy efficiency, renewable energy or technology use, which has improved service to its community and enhanced public power's prestige." This award really comes to ERMU because of our excellent electrical system reliability and our progressive resource conservation programs. It represents the effort and dedication from the current and past employees and Utilities Commissioners of ERMU as well as the Energy City Commission, City Council, the Mayor, and City employees involved in our conservation programs. This also reflects well on our customers who have participated in our conservation programs making them successful. Our electric utility maintains excellent reliability numbers quantified by the reliability standards established by the state. Most impressive is our availability of service indicated by the Average Service Reliability Index (ASAI). The ASAI for ERMU in 2009 indicates that electrical service is available 99999% of the time. Our excellent reliability index numbers reflect the condition of our robust electrical system as well as the superb response time from our local line crews. This also reflects the local accountability, long term visioning on system design, and ongoing system maintenance. In 1997 the Cih" of Elk River became "Energy City" after being chosen by the Minnesota Environment Initiative as a demonstration point to highlight renewable ener~~. In 2008, Energy City with the leadership of ERMU consultant Vance Zehringer started a pilot project call Project Conserve developed for educating and promoting resource conservation. This pilot project set very high goals for resource conservation and energy efficiency. The goals included a 20% reduction in electric usage. The results of the pilot program were great and the program was honored with the 2009 Green Project of the Year Award from the Recycling Association of Minnesota. Phase II of the program kicks of this year and will aggressively expand the participants from 31 to 500. This project has become a huge component of our Conservation Improvement Program and has received much industry attention. Vance Zehringer and his contributions to ERMU, Energy City, and our community was a significant factor in our achievements that led to receiving this award.