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05-19-2010 ECC MINMEETING OF THE ELK RIVER ENERGY CITY COMMlSS1ON HELD AT ELK RIVER CITY HALL ELK RIVER, MN WEDNESDAY, MAY 19, 2010 Members Present: Denny Chuba, Ron Touchette, Mayor Stephanie Klinzing, Stephen Rohlf, Tim Steinbeck, John Setala, Bruce Sayler, Vance Zehringer, and Jeff Vassar Members Absent: Susie Overhoiser, and Scott Hagen Staff Present: Nicola Blake-Bradley, Environmental Technician Others Present: Annie Deckert, Economic Development Assistant Rachel Leonard, Sherburne County Commissioner 1. Ca11 Meeting to Order The regular meeting of the Energy City Commission was called to order by Chair Zehringer at 1:34 p.m. 2. Consider May 19. 2010 ECC Agenda MOTION BY COMMISSIONER CHUBA AND SECOND BY COMMISSIONER SETALA TO APPROVE THE AGENDA WITH NO CHANGES. ALL IN FAVOR. MOTION CARRIED. 3. Consider April 21, 2010ECC Minute MOTION BY COMMISSIONER CHUBA AND SECOND BY COMMISSIONER STEINBECK TO APPROVE THE MINUTES WITH NO CHANGES. ALL IN FAVOR. MOTION CARRIED. 4. OES Grant Updates - Proiect Conserve Revolving Loan and Ice Arena Mayor Klinzing has signed the agreement and Project Conserve should be able to be advertised next week. Approximately 100 applications have been received so far. To find 500 participants, Chair Zehringer estimates that the commission needs between 650 - 700 applications. Economic Development Assistant Deckert passed around a brochure for Project Conserve. Chair Zehringer discussed the statistical results of the Pilot Project. Five participants exceeded the 20% goal for electrical savings and three exceeded the 25% savings goal for water use. Seven participants exceeded the 10% savings goal for natural gas. He noted that there is no way to measure the waste reduction but highlighted that the source separated organics program has started which could meet the waste reduction goal. He added that Project Conserve Pilot participants said they would monitor gas usage and mileage. Awards were given to the top three participants which saved the most. Gold, silver, and bronze awards went to Tim Goerdt ($499 savings), Erik Silvola ($464 savings) and AI Kachel ($433 savings). Building inspectors and several utilities employees are being trained to be able to do the blower door tests. Chair Zehringer showed the commission a thermal leak detector and stated that he may get some loaners for the Project Conserve participants use. Phase II deadline for application to the Project is August 1 with August 31St the internal deadline for choosing participants. Pilot project participants will help recruit for Phase II. For Phase III, commercial businesses and apartments will be a focus. 5. Overview of Joint meeting with Citv Council The draft minutes were passed around for review. Most members of the Energy Gity Commission attended. Mayor Kiinzing commented that in her opinion, there has been a 200% increase in interest from the City Council regarding Energy City and the commission, and she sees no difficulty in gaining support from the Council. They are very pleased with the programs (particularly Project Conserve). A comment was made that it takes funds to move along. Discussion concerning moving into businesses realm followed as well as discussion of the economic development component. Commissioner Sayler commented that he felt the council exhibited positive body language and he feels the Commission should continue educating the council. Commissioner Steinbeck questioned whether the Project Conserve data has been shared yet. Chair Zehringer responded no, (not yet) but it should be presented at a City Council meeting. Commissioner Rohlf commented that his term expires in August. 6. Mission Statement and Goals This should be finalized by the June meeting. Budgets are due June 7th. The two versions which Commissioner Touchette has need to be blended yet. A comment was made that the connection Yo the City needs to be strengthened. Discussion followed. Commissioner Touchette needs final comments and questions by Friday for Monday. Both Commissioner Steinbeck and Mayor Klinzing have minor changes or language change requests. 7. CBAC Uadate Commissioner Touchette stated that Elk River is doing everything they can to convince the VA to choose Eik River. He commented that the parking ramp availability associated with the Ramsey site/proposal may be very attractive for that site. No one knows for sure yet what the decision will be or when it will be made. 8. SMART Grid Discussion Commissioners Setala and Sayler presented. Commissioner Setala discussed Great River Energy's (GRE) system and commented that the benefits of a SMART grid is better data (real time data) regarding substation outage, feeder balance, and monitoring equipment status and control for maintenance. A question was asked and answered regarding what a substation actually is. Commissioner Sayler discussed getting better data, faster. He stated that as much as 98% of the energy generated may be lost before it reaches the end user. Very little is lost in transmission - most is lost at generation. Incandescent lights are only 10% efficient. SMART grids improve grid reliability and provides less outages by helping determine where energy use has increased (exactly). Utilities are moving toward time differentiated pricing (TDP) t~ match costs better. Consumers will be better able to control appliances and reduce energy costs by5-15%. 2 Discussion followed that GRE could cover smart grids as part of their Energy City tout. Mayor Klinzing briefly returned to the topic of the Mission Statement and gave Commissioner Touchette some possible changes. Economic Development Assistant Deckert discussed PACE which is a program that allows energy upgrades to be placed on property tax and paid back over time through revenue bonds sold ahead of time to cover initial costs in-lieu of a revolving loan fund (for residential and commercial). Mayor Klinzing left the meeting at 3:00 p.m. 9. Bloom Fuel Cell Discussion Chair Zehringer showed a U-tube video. The fuel cell is the largest in the State. He discussed the technology and chemistry which has water and energy as bi-products to the chemical reaction. It is 30% efficient. Chair Zehringer also passed around handouts regarding fuel cells. 10.Other a. Roundtable Discussion GRE has purchased RRT and the Becker Ash Landfill. It was in the Waste News periodical on May 10~n 11. Schedule Next ECC Meeting and Identify Agenda Items The next meeting will be held June 16, 2010 at 1:00 p.m. at the Elk River Landfill Environmental Learning Center. Commissioner Steinbeck requested an item to be added to the agenda regarding GRE's management of the Elk River Resource Recovery Facility (ERRR). 13. Adjournment The meeting was adjourned at 3:22 p.m. Minutes prepared by t~licRft Blake-Bradley. ~//' 1~ Tina Allard City Clerk ~ o Vance Zehring Energy City ommissiQ Chair