03-17-2010 ECC MINMEETING OF THE ELK RIVER
ENERGY CITY COMMISSION
HELD AT ELK RIVER CITY HALL
ELK RIVER, MN
WEDNESDAY, MARCH 17, 2010
Members Present: Vance Zehringer, Denny Chuba, Mayor Stephanie Klinzing, John Setala, Jeff
Vassar, Tim Steinbeck, Bruce Sayler, Stephen Rohlf, and Ron Touchette
Members Absent: Scott Hagen, Susie Overholser,
Staff Present: Rebecca Haug, Environmental Administrator
Nicofa Blake-Bradley, Environmental Technician
Others Present: Debbie Huebner, City of Elk River
Annie Deckert, Economic Development Assistant
Rachel Leonard, Sherburne County Commissioner
The regular meeting of the Energy City Commission was called to order by Chair Zehringer at 1:33
p.m.
Call Meeting to Order
a. Oath of Office -Tim Steinbeck, Bruce Sayler, Vance Zehringer
Ms. Huebner was on hand to administer the oath of office to the Commissioners. Once they
were sworn in, Ms. Huebner left the meeting.
2. Consider March 17. 2010 ECC Agenda
No items were added to this agenda. However, Commissioner Rohlf requested that item #7
(Mission Statement and Goals) be moved in front of item #4 (OES Grant Updates) because he
needed to leave early. Commissioner Setala requested that an addition to the standing agenda be
made to have a "round table" discussion for commissioners to share thoughts or news.
MOTION BY COMMISSIONER TOUCHETTE AND SECOND BY COMMISSIONER STEINBECK
TO APPROVE AGENDA AS SUGGESTED. ALL IN FAVOR. MOTION CARRIED.
3. Consider February 17. 2010 ECC Minute
Economic Development Assistant Deckert submitted one change to Environmental Technician
Blake-Bradley requesting that the dates of the KBOB ads be listed for future reference under 2010
Energy Expo Update. County Commissioner Leonard noted that she attended the meeting and
asked to be listed under Others Present.
MOTION BY COMMISSIONER ROHLF AND SECOND BY MAYOR KLINZING TO APPROVE
THE MINUTES WITH CHANGES. ALL IN FAVOR. MOTION CARRIED.
4. Mission Statement and Goals
Environmental Administrator Haug handed out a draft copy of the Energy City Commission's
mission statement and goals for review and comment. She had met with Commissioners Rohlf
and Touchette on Monday to discuss potential changes. Questions that they wanted to have a
dialogue with the Commission were:
What is the main focus of Energy City? The commission appears to be evolving toward
more sustainability issues... so how does the commission feel about this?
• What is the impact for new or existing businesses? What can be done to help/improve?
Is it helpful for partners?
Environmental Administrator Haug added that they wanted to make sure that the mission
statement is what it should be. They made one change by removing the word "consumer" to make
it more toward education in general.
Commissioner Rohlf shared his thoughts on several topics. He stated that he had no issue with
Project Conserve as a demonstration, but cautioned the commission about getting too far into
recycling and water conservation. An expressed concern was that evolution toward more
sustainable or "green" was not a conscious decision by the commission. He worried that the
commission might be losing the focus of energy and encouraged discussion.
Commissioner Rohtf stated that the "value added" for the City has been identified but felt the
"value added" must be identified for the partners. He questioned what it is now. Finally, he
discussed Demonstration site promotions. Commissioner Rohlf stated that promoting
demonstrations was not the way it used to be. The Commission used to identify possible
demonstrations, let the projects be demonstrated, and then those that were environmentally and
economically valid were the ones that the Energy City Commission supported. He added that
there was a lot of emphasis on measurable results.
Commissioner Rohlf finished by questioning whether the Commission broadens the focus to more
than just energy. Discussion followed. Mayor Klinzing responded that there are links to "green"
issues with energy that do need to be looked at. She commented upon reuse and recycling saving
energy from not creating new products from virgin materials. She felt the focus is still energy and
conservation. Commissioner Chuba discussed replicable energy conservation houses and adder
that remodelers are the ultimate recyclers. Chair Zehringer felt that recycling cannot be eliminateo
because of the energy savings associated with recycling.
Commissioner Rohlf reiterated his thought that energy should be the focus rather than being too
spread out or diluted. He asked that the words "resource conservation" be removed. Chair
Zehringer really wanted to leave the words in the vision statement. Commissioner Steinbeck
commented that energy savings should be the main focus whenever talking about the various
resource conservation topics or technologies. Chair Zehringer suggested making a change to the
vision statement to the effect that resource conservation is replaced with a phrase that draws a
link between energy use and conservation practices.
Discussion of the timeline for q~oing to the City Council was brought up by Commissioner
Touchette. It's on the April 12t agenda currently. He questioned whether a revised document
could be circulated electronically and approved that way (within two weeks) prior to going back to
the council. Environmental Administrator Haug commented that this doesn't have to go to the
Council on the 12th, but added that there is a deadline by the end of the year regarding Energy
City continuing. Mayor Klinzing stated that the Council needs to be asked what they want to see
regarding Energy City and the connection between the other areas that the Environmental
Department focuses upon. She added that it may fend more acceptability of the Commission to
the Council.
Commissioners Rohlf and Touchette stated that the value added for partners is critical. At this
point, Commissioner Rohlf left the meeting (1:15 p.m.). Discussion followed regarding the issue o~
"resource conservation". Mayor Klinzing stated that she didn't feel it was pulling away from the
original intent. She felt the two are linked. Commissioner Touchette agreed and stated that he felt
they are functionally connected and the economic climate is conducive to a "green" component.
He felt that the Commission does not need to pick up al( the green measures if they aren't tied t0
energy. Mayor Klinzing discussed the change that she has seen over time regarding the
environmental, holistic groups and energy groups and the newer partnerships that have been
emerging.
Commissioner Touchette discussed that Vision statement was added completely (new) and
brought attention to the specific wording "Identify, inform, and promote taking care to put
distinction behind those items that work". He wants to make sure that things come together in an
economically feasible manner for ail. He'd tike to add a few things to the vision statement. A very
important consideration through the process was that the partners are receiving a benefit for being
part of Energy City.
Discussion briefly digressed to increased environmental regulation regarding such things as lead
and mercury. Then Chair Zehringer steered discussion back to goals. Each goal was discussed
and changes or clarifications made. For example, under item number one, Chair Zehringer asked
that U.S. State be added regarding tours. Environmental Administrator Haug clarified that social
media means Facebook and Twitter sites that Economic Development Assistant Deckert helped
set up. She invited all commissioners to become a fan or follower. A general change under the
education goal (#3) was focusing upon all schools, including the district, and young people in
general. All changes or suggestions were noted by Commissioner Touchette directly into the
document on his laptop.
During the discussion of the goals and tasks, Chair Zehringer notified the commission that he
informally and unofficially added WinElectric as a demonstration site. At this disclosure,
Commissioner Touchette questioned whether a site inventory of businesses or technologies
should be added to the document. General agreement followed from the commission. Economic
Development Assistant Deckert questioned whether there are criteria for being a demonstration
site and commented that the criteria would be useful as a business retention and expansion tool.
Commissioner Steinbeck questioned involvement by the schoo! district. Discussion followed
regarding historic relationships with the District and inroads made with Spectrum High School,
Twin Lakes Elementary, and ECFE (Early Childhood Family Education). Mayor Klinzing offered
comments concerning "hands on" learning such as the St. Cloud State University Science trailer
and suggested piquing school teachers' interest. Chair Zehringer commented that curriculum was
put together by himself and Commissioner Rohlf at one time. A comment was made that
transportation is a huge obstacle for the schools.
5. OES Grant Updates - Proiect Conserve. Revolving Loan and lce Arena
There is no news other than that the grants have not been determined yet. Environmental
Administrator Haug will inform the Commission via a-mail once the City has been notified whether
grants have been awarded.
6. 2010 Energy Expo Update
The expo was a success. Over 600 people attended. Surveys filled out by the exhibitors were
largely positive about the venue, time, etc. The spin wheel for door prizes was very popular. The
keynote was well received and sold out of the books that he brought to sell and sign afterward.
Several invoices are pending so Environmental Administrator Haug has not done a report to the
City Council yet. Commissioner Touchette stated he'd like to report to the Economic Development
Authority (EDA) about the event as well. Plans at this time are to continue in the same venue and
time of year but likely will not include entertainment by Tricia and the Toonies. ECFE and the
Luscious Landfill went over well, as did the food vendors. Environmental Administrator Haug
commented that commissioners will be needed to help with set up and take down next year. There
was not enough help at this venue this year.
Project Conserve participants shared their experiences with the public. Chair Zehringer handed
out the spreadsheet that he developed for the event of the savings each of 32 participants had.
Average electrical and water savings were approximately $160 and $70 respectively.
A comment was made that a public service announcement should be done to advertise the
savings from the first year. Chair Zehringer stated that the natural gas savings will be added at the
end of the heating season.
7. Cap and Trade Presentation -Bruce Savler
Commissioner Sayler presented a brief explanation of Cap and Trade, focusing upon the
economic impact. He commented that Carbon is one of the hardest emissions to remove from
coal burning. If legislation is passed, energy costs could increase by 34% on top of inflation by
2030 and by 49% for commercial.
Commissioner Sayler stressed that the impacts of Cap and Trade would not be felt right away due
to allowances, but later the impact would be MUCH higher. He added examples of cost increases
for commercial buildings like schools, public buildings, manufacturing services, and retail ranging
from $15,000 - $269,000 annually.
Comments have been made concerning cost differences between U.S. vs. foreign companies due
to environmental regulations here (and none outside the U.S.). Commissioner Setala stated that if
there is a carbon tax implemented, that will have even more of an impact on prices. Chair
Zehringer added that there is a correlation between the cost per ton of carbon dioxide and the
price of electricity at home. For every $10/ton of carbon dioxide, one cent per kWh can be added.
Discussion followed that funds from a carbon tax might be siphoned off for other uses.
Commissioner Sayler stated this has already happened in the northeast U.S. where carbon tax
funds have been used for other programs.
Commissioner Leonard expressed concern for small businesses that are already close to the
breaking point (DQ for example).
8. CBAC Uadate
Commissioner Touchette stated there really isn't much to report. The decision is down to two sites
now (1 in Elk River and 1 in Ramsey). He added that his concern is that the deciding factor will be
dedicated parking ramp space.
9. Water Conservation at the Source - Mavor Klinzing
Mayor Klinzing asked that this item be placed on the next month's agenda. She has not been able
to make contact with the person as yet.
10.Other
10.1 Bloom Fuel Cell: Chair Zehringer asked that this item be placed on the agenda for next
month.
10.2 Bakken Oil Fields: Discussion of the oil fields in Montana and North Dakota. The oil
deposits are quite deep under ground so it's expensive to pump, but they have been accessed
and are being pumped. Estimated reserves put it close or equal to that of Saudi Arabia.
11. Schedule Next ECC Meeting and Identify Agenda Items
The next meeting will be held April 21, 2010 at 1:30 p.m. at City Hall in the Uppertown Conference
Room. Potential topics include grants update, Green Cities (MPCA), CBAC update, Water
Conservation at the Source (Mayor), Bloom Fuel Cell, Smart Grid presentation (Commissioner
Sayler)
12. Adjournment
The meeting was adjourned at 3:00 p.m.
Minutes prep ~ed by ki Blake-Bradley.
L/~
Tina Allard
City Clerk
Vance Zehringer
Energy City Cprr
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