4.1. SR 08-18-2003M£MORANDUM
TO:
FROM:
DATE:
SUBJECT:
Mayor and City Council
Pat Klaers, City Admin'~r
August 18, 2003
Utilities Commission Update
Item 4. I.
Councilmember Dietz is the City Council representative on the Elk River Municipal Utilities
Commission. At the August 12, 2003, City Council meeting, John is scheduled to provide the
Council with an update on Utilities activities.
Attached for your review are the draft Utilities Commission minutes from the August 12, 2003
meeting.
S.'ICOUNCIL IPat I Updatesl Utilities.doc
AUB-14-2003 O8:03AM FROIvI-ERMU 763-441-$099 %451 P.002/003 F-631
ELK RIVER MUNICIPAL UTILITIES
REGULAR MEETING OF THE
UTILITIES COMMISSION
August 12, 2003
Members Present: John Dietz, President; Jerry Taldc, Trustee
Members Absent: James Tralle, Vice Chair
Staff Presem: Bryan Adams, General Manager; Glenn Srmdeen, Line Superintendent; David Berg, Water
Superintendent; Parricia Hemza, Office Manager
1. Call meeting to order .August 12. 2003
President Jolm Dietz called the August 12, 2003 meeting to order.
2. Consider Utilities Agenda
Staff updates will be discussed under Old Business.
Jerry Takle moved to approve the Agenda for August 12, 2003, with the addition of staff updates.
John Dietz seconded the motion. Motion carried 2-0.
3. Consider Consent Agenda
Jerry Takle moved to approve the Consent Agenda as follows:
July Check Register
July 8, 2003 Minutes
Financials
John Dietz seconded the motion. Motion carded 2-0.
Staff Up-dates
Glema Sundeen reported on the current re-builds in progress, and that once again, 40 new services were
connected. David Berg reported that Elk River has been up-graded to a Class B operating plant by the
Minnesota Department of Health, based on population, and connections. He further up-dated Commission
on work in progress. Pat Hemza advised the Commission that rates for the long term disability insurance
provided to the ERMU employees have been received. A comparison shows that Principal offers an
excellent rate with the same benefits offered. John Dietz noted that an item such as the long term disability
insurance should be a separate agenda item.
Jerry Takle moved to accept the bid for long term disability insurance from Principal. John Dietz
seconded the motion. Motion carried 2-0.
AU~-14-~003 08:03AM FROM-ERMU ?~3-441-8089 T-451 P.O03/O03 F-$31
Page 2
Regular meeting of the Elk River Municipal. Utilities Commission
August 12, 2003
5.1 Update - Well #8
Test wells were constructed at the location of Well #8 and Well #9. The ground fomaations at Well #8
proved to be of good water quality. The test Well #9, showed a water bearing gravel layer above the Mt.
Simon Hinelcley formation. Two production wells at Well #9 site are a good possibility. Bid tabulations
will be presented to Commission at the September 2003 meeting, to construct Well #8, and construct the raw
water line fi'om Well #8 to treatment plant #7 for treatment.
5.2 Review Annual URGE Tests
Urge tests were run on the 4 diesel generation u_nits at our power plant. Bryan explained the Power
Transaction Agreement with Great River Energy, including payment and terms of agreement. Commission
directed Bryan. to re-negotiate the agreement, which expires 10-31-03. Discussion continued concerning
Unit #332, the 1948 550kw, black start Worthington trait. Bryan advised that the engine needs some major
work, or should be retired. No action taken.
6.1 Review Schedule - 2004 Budget
The time line for the 2004 budget was reviewed, and agreeable with Commission and Staff. The
proposed Travel & Training, and 10 Year Personnel Projections were presented, and discussed. The items
were reviewed, with Staff responding to questions from the Commissioners.
6.2 Review Landscaping for Plant
Commission had requested that Bryan collect costs for landscaping at the plant site. Sod, trees,
shrubs, and sprinlder installation costs were presented, and discussed. Discussion of the project continued.
John Dietz moved to approve landscaping for the plant site, at a cost to not exceed $15,000.00. Jerry
Takle seconded the motion. Motion carried 2-0.
Other Business
No Other Business.
The next regalarly scheduled meeting of the Elk River Municipal Utilities Commission will be held
September 9, 2003.
President John Dietz adjourned the regular meeting of the Elk River Municipal Utilities Commission
at 5:05 pm.
Respectfully submitte.d,
Patricia Hemza
Office Manager