4.4. ERMUSR 11-15-2011Elk River ^-~
Municipal Utilities
13069 Orono Parkway
Elk River, MN 55330
UTILITIES COMMISSION MEETING
PUWEA~'EU BY
r ~~~
p oweaeo To 5=~~-
phone: 763.441.2020
Fax: 763.441.8099
TO: FROM:
Elk River Municipal Utilities Commission Troy Adams, P.E. -Utilities Director
John Dietz -Chair
Daryl Thompson -Vice Chair
AI Nadeau -Trustee
MEETING DATE: AGENDA ITEM NUMBER:
November 15, 2011 4.4
SUBJECT:
Proposed Street Light Installation and Maintenance Policy Revisions and Memorandum of
Understanding with the City of Elk River
BACKGROUND:
In 2007 Elk River Municipal Utilities and the City of Elk River established an agreement
regarding costs associated with new and replacement street lights related to street rehabilitation
and improvement projects. The ERMU Street Light Payment Policy is attached for your review.
The policy was also considered by City Council on July 16, 2007.
Discussion between Utilities and City staff regarding the maintenance and replacement of
existing street lights gave way to an overall analysis of street lighting in Elk River. Both believe
that the Utilities are better outfitted with technical staff and equipment to perform all of the
responsibilities related to street lighting. Both are in agreement that by bringing the installation
and maintenance of street lighting back to the Utilities, the customers and residents will receive
more value for the cost.
DISCUSSION:
At the October 2011 Utilities Commission meeting, the Commission directed staff to work with
the City on developing a Memorandum of Understanding (MOU) regarding Street Light
Installation and Maintenance. Attached is the resulting MOU.
ACTION REQUESTED:
Staff recommends approving the proposed Memorandum of Understanding regarding Street
Light Installation and Maintenance between Elk River Mundcipal Utildties and the City of Elk
River, Minnesota. Staff recommends the submittal of the MOU for consideration to the City
Council.
• -` Street Light Payment Policy
The latest of the Street Light Pagment Policy (Policy) is m address the payment for street
lights installed in street xehabilitation and improvement projects. This Polley addressee both
the replacement of esiating street lights and the installation of additional street lights in street
improvement and rehabilitation projects. It does sot apply to neav developmeata.
The cost for street lights in street rewnattuctioa end improvement projects will be allocated
ae follows:
1. Replacement Street Lights:
^ The City will pay the material cost of replacement lig)tts. ERMU will
invoice the City for the replaced streetlight material cost providing
documentation of the actual wets along with the imroice.
^ ERM[7 will provide the labor to install the lights.
2. New Street Lights:
^ F.RMU.will pay for the material coat of new attest lights.
^ ERMU will provide the labor to install the lights.
The City will notify ERMiJ of the estimated etrxt lighting costa when a street improvement
or rehabilitation project is being considered The City will notify F.RMU when a project is
being considered and provide coat estitnares ae soon as they are available.
Cottaideted by City Council on 07/16/07
S:\POLIC185\Street Light Payment Pohry.doe
MEMORANDUM OF UNDERSTANDING
REGARDING
STREET LIGHT INSTALLATION AND MAINTENANCE
BETWEEN
ELK RIVER MUNICIPAL UTILITIES
AND
THE CITY OF ELK RIVER, MINNESOTA
This MEMORANDUM OF UNDERSTANDING, hereinafter referred to as "MOU", is hereby
made and entered into on this day of , 2011, by and
between the City of Elk River, Minnesota, hereinafter referred to as the "City" and Elk River
Municipal Utilities, hereinafter refen•ed to as the "Utilities".
1.0 Purpose
The purpose of this MOU is to address the material costs and labor associated with the
installation and maintenance of street lights located within the Utilities' electric service territory
within the City of Elk River, Minnesota.
2.0 Installation of New and Replacement Street Lights
The Utilities will provide as a contribution to the City all the material costs and labor associated
with the installation of new or replacement street lights in street improvement and rehabilitation
projects located within the Utilities' electric service territory within the City. The City will
notify the Utilities of street improvement or rehabilitation projects being considered on a timely
basis to provide adequate time for design and budgeting and will specify the number and location
of street lights to be provided.
Street lights in new developments shall be installed by the Utilities, pursuant to the Utilities'
standazds, as part of the Utilities' process of providing electrical distribution service to the
development.
The Utilities will specify the street light fixtures and be the owner of the street lighting and
associated facilities assets.
3.0 Maintenance of Street Lights
The Utilities will provide as a contribution to the City all material costs and labor associated with
the maintenance of street lights located within the Utilities' electric service territory within the
City of Elk River, Minnesota. The maintenance of street lights will include tamping, ballasts,
painting, and the locating of associated underground facilities.
4.0 Maintenance of Semaphores
The Utilities will provide as a contribution to the City limited maintenance of semaphores owned
by the City. The limited maintenance of these semaphores will include tamping and the locating
of associated underground facilities.
5.0 Termination of MOU
This MOU maybe cancelled or terminated without cause by either party by giving (30) calendar
days advance written notice to the other party. Such notification shall state the effective date of
termination or cancellation. Any and all amendments must be made in writing and must be
agreed to and executed by the parties before becoming effective.
IN WITNESS WHEREOF, each of the parties has caused this MOU to be executed by their duly
authorized representatives:
ELK RIVER MUNICIPAL UTILITIES
By
John Dietz
Chair
By
Troy Adams, P.E.
Utilities Director
GP:3069797 vl
THE CITY OF ELK RIVER, MINNESOTA
By.
By.
John Dietz, Mayor
Tina Allazd, City Clerk