6.1. ERMUSR 06-11-2013 Elk River e
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Troy Adams, P.E. —General Manager
John Dietz—Chair
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
June 11, 2013 6.1
SUBJECT:
Staff Updates —General Manager
DISCUSSION:
On May 28th the Minnesota Municipal Power Agency (MMPA) unanimously approved ERMU's
request for membership. Next, MMPA will file the agreement with the State. I will likely be
attending the June MMPA board meeting as a voting member representative.
At some time this spring, something became lodged in a gate of the Lake Orono dam. Aryes
Consulting, the company the City hired in 2012 to do a full dam inspection, was brought in to
camera and/or dive and help determine what was restricting the gate from closing. It was
determined that a willow branch was lodged in the gate. Staff was able to flush the branch free
without needing to send in a diver.
Unrelated to the branch issue, ERMU had planned to hire a consultant to update the Dam
Emergency Action Plan(EAP). This was a follow up to the inspection the City had done last
year and was a budgeted item for ERMU. The dam is currently listed as a Class I High Hazard
dam with the DNR, one of 25 in the state. The DNR had requested that the Dam EAP be
updated. The current Dam EAP was developed in 1990. Barr Engineering has begun work on
the new EAP.
For the past 6 months, I've spent considerable time working with Sprint on contracts and plan
review for the upcoming antenna upgrade to the Auburn, Gary, and Johnson Street water towers.
The work will only result in additional lease revenue for the Auburn Street water tower. The
work on the Auburn Street water tower is ready to begin pending the full annual lease payment
and performance bond. The other two towers are still held up in contract review. During this
process, ERMU was contacted by Verizon who is interested in attaching antennas to the Gary
and Johnson street water towers. Verizon consultants have already conducted a site inspection
with David Berg, ERMU Water Superintendent. Peter Beck, ERMU legal counsel, has been
working with me on updating our non-exclusive tower attachment agreement template for use
with Verizon.
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Last year I had discussed conducting a strategic planning session with the Commission. The
Commission directed me to bring back examples. I would like to schedule a weekday afternoon
in August to have a strategic planning session workshop with the Commission to review some
options and get direction.
I attended a meeting with Great River Energy(GRE) regarding the Midcontinent Independent
System Operator(MISO) requirements related to the revised Capacity Agreement for our diesel
power plant. The MISO capacity market changed this planning year to a year-ahead market and
the process for submitting the required information has substantially changed. ERMU staff is
working through the logistics for how our engines would be called on to run. Based on this
summer, our agreement with GRE may need to be revised for the next MISO planning year. Our
agreement has an evergreen annual term.
The 2013 budget included one staff and one commissioner attending the American Public Power
Association Nation Conference. None of the commissioners were able to attend this year. We
had discussed at a previous commission meeting the possibility of sending a second staff
member in lieu of a commissioner, but after subsequent staff discussion decided against that. As
it turns out, the hotel at which the conference is being held was already booked. The money
budgeted for this conference will be carried forward for next year.
Just a reminder of a few upcoming event dates:
GRE Annual Meeting June 12
MMUA Annual Summer Meeting Aug 19-21
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Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Theresa Slominski —Finance and Office Manager
John Dietz—Chair
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
June 11, 2013 6.1
SUBJECT:
Staff Update
DISCUSSION:
We had 2,019 credit card payment transactions in May, compared to 2,037 in April. The fee for
May should be $4,542.75.
We had 65 people shut off on June 5th, with 47 paying and being reconnected within the first
day. There were no "events" related to the shutoffs,just the usual frustration on the part of those
being shut off It's always a difficult few days and ERMU staff did a great job in professionally
handling the shutoffs.
I attended an information session on Healthcare Reform,presented by our auditing firm, Abdo,
Eick, and Meyers, with the focus of"What does the employer need to do to be prepared?" A
take-away for me from the meeting was that our insurance broker is doing a great job in
preparing us for this. Many of the necessary items the employer needed to do and have in place
have been completed for us by our broker, or are already in the works. Additionally, a constant
message received at any of the sessions, webinars, or email communications has been that health
care insurance will be going up. To put everyone in the market and require insurance be
provided to them will have to be funded from somewhere, and it won't be able to be subsidized
from penalties assessed to companies not providing comparable insurance. The intent is to
subsidize it with the penalties but the reality is not visualized by those in the insurance industry.
I have been working with our new insurance agent to complete our insurance application for the
2013-2014 year. Previously, the City and Utilities were on a combined policy. This year, we are
splitting out the City and the Utilities liability policies for ease of administration and premiums
based on applicable claims experience. Our renewal date is July 1 and we will see how quickly
the LMCIT is able to process it this year. Last year we received it in December.
P I I I I E R E I B Y
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Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Mark Fuchs—Line Superintendent
John Dietz—Chair
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
June 11, 2013 6.1
SUBJECT:
Staff Update
DISCUSSION:
• Had two house services that went bad when the ground froze and needed to be replaced.
• Finished moving the transformer for Crossings Church; this was a project that started last
fall.
• Installed a new underground service and removed the lights, overhead wires and poles at
Kuss ball field on Gary Street.
• Had four new house services.
• When we rebuilt some projects, the old poles still had communication wires on them.
These communication companies are working on transferring the wires to the new poles.
• Started working on Rawlings Street rebuild. We are removing rear lot overhead wire and
installing front lot underground.
• Started working on changing out a pole and some x-arms on GRE Drive that were bad.
• Started working on changing out rusty junction boxes.
• Started working on changing out fuse pads. This has been an ongoing project that had to
be done because of our high fault current.
• We had to lower a few spans of overhead wires on Parrish Ave. and on Co. Rd. 39 under
GRE transmission lines to get the proper clearances.
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Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Wade Lovelette—Superintendent of Technical
John Dietz—Chair Services
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
June 11, 2013 6.1
SUBJECT:
Staff Update
DISCUSSION:
The Locating department had a total of 547 locate tickets for the month of May; five of them
being emergency tickets, eight cancelations, 10 meets, 491 normal, 23 updated tickets two
boundary surveys and one Engineering DSG.
In May, the Security Systems Department had a total of 103 phone contacts, 11 systems quoted,
10 system sales made, 13 installs completed, 42 service calls and 11 personal visits. It was a very
busy month for the Security Systems Department.
Meter Technicians continue with the meter reading, power bill, substation checks and off-peak
issues. They continue to change out the three phase meters to radio read meters. Staff has
responded to a couple of voltage complaints which ended up being on the customer side of the
meter.
The power plant staff did the annual Generator Verification Test Capability (GVTC) (formally
called urge) run of the generators. The generators performed very well. Power plant staff
completed the building safety checks and engine run reports to GRE.
Steve and Jeff are running the bore rig installing new primary cable and new house services to
capital projects as well as replacing existing services that failed over the winter.
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Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM: -
Elk River Municipal Utilities Commission David Berg—Water Superintendent
John Dietz—Chair
Al Nadeau—Vice Chair
Daryl Thompson —Trustee
MEETING DATE: AGENDA ITEM NUMBER:
June 11, 2013 6.1
SUBJECT:
Staff Update
DISCUSSION:
The Water Department has been cleaning and exercising gate valves, while repairing if
needed. They have finished about 80 so far. They are also starting to paint some hydrants and
had to repair two that were hit.
Angela has been working with a couple of associations to get them to purchase SMART
irrigation systems to help conserve water. Two of the associations are looking positive.
Eric is working closely with the painting crew at the Freeport Water Tower to make sure
they are keeping everything clean and safe and to learn the process. He is also working with the
company that is installing new antennas on our water towers.
Housing construction has started to pick up and we have delivered more new water
meters so far this year than last. The summer is looking positive for new construction.
I have attached an article on groundwater sustainability. A new report from the
Freshwater Society concluded that groundwater pumping in Minnesota has increased by 2.8
billion gallons per year from 1988-2011. That ends up being a 31 percent increase over that
period.
In relation to that, Eric and I attended a seminar on the Mt. Simon aquifer that was very
informational. It appears that a lot of cities and utilities have the same interesting—where is our
water going? The DNR is trying to determine where the biggest recharge areas for the aquifer are
and how we can further conserve water. I have attached a few educational flyers from the
seminar.
ATTACHMENTS:
• Freshwater Society Report Examines Groundwater Sustainability
• Mt Simon Aquifer Map & Graphs
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Freshwater Society report examines groundwater sustainability
htto://freshwater.o rq/
The following is adapted from the website above.
A new report from the Freshwater Society concludes that Minnesotans are over-using groundwater in ways
that could leave the state short of water. "Minnesota's Groundwater: Is our use sustainable?"estimates that total
reported groundwater pumping in Minnesota increased by about 2.8 billion gallons per year from 1988 through 2011.
That adds up to a 31 percent increase over that period. By comparison, the state's population increased 24
percent in the same period.
Agricultural irrigation,the second-biggest use of groundwater and the fastest-growing use, increased an estimated 73
percent during those years. Pumping by city water systems,the biggest single use, increased an estimated 33
percent.
The Department of Natural Resources, the U.S. Geological Survey and the Metropolitan Council's top water planner
warn that current pumping levels are unsustainable or close to becoming unsustainable in some
areas. According to the Freshwater report, the shrinkage of White Bear Lake over the last decade illustrates that
unsustainability.
On a related note, Freshwater Society is sponsoring a free public lecture on the groundwater/surface water/wetlands
connection on June 6th, 2013,from 7-9 p.m. at the U of M St. Paul CampusStudent Center Theater.The talk, titled
Not Just for Scientists Anymore: Why the Public Should Care about the Connection between Groundwater
and Lakes,Streams and Wetlands, features Don Rosenberry, a U.S. Geological Survey hydrologist who was part
of the research team that studied the dramatic decline in White Bear Lake
For more information, to register for the lecture or to download the report, visit the webpage above.
Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Tom Sagstetter- Conservation and Key Accounts
John Dietz—Chair Manager
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
June 11, 2013 6.1
SUBJECT:
Staff Update
DISCUSSION:
• Due to scheduling conflicts, Vance's lifetime achievement celebration will not be a
formal event.
• Landfill expansion is moving very slowly. Waste Management has had a management
change at the Elk River Landfill and this changing staff has delayed any progress in the
expansion so far.
• Worked with Water Department to purchase rain barrels that will be sold to ERMU
customers for $70. This program was very successful and will be offered in 2014 again.
ERMU staff sold 27 rain barrels this year.
• Attended staff training for Energy Efficiency Management. This is a certificate program
that is sponsored by APPA. I have successfully completed the exam and need to
complete a program business plan to obtain the certification.
• Hosted Princeton Middle School for tours of the Elk River Landfill Gas to Electric Plant
and the Wind Turbine. There were a total of over 130 students and faculty that attended
this year.
• Hosted Anoka Hennepin Technical College for a tour of GRE, Landfill Gas to Electric
Facility, and Haubenschild Farm. The focus of this tour was careers in energy and
environmental sciences.
• Attended a Cyber Security informational meeting sponsored by the FBI and Michele
Bachmann. The information focused on protective measures for securing sensitive
information. For the utility this includes SCADA data and personal information
maintained by ERMU for billing purposes. The focus was on isolating systems from
outside access through password protection and tracking access by employees to sensitive
data. This is called data access logging. This is relatively new technology, but many
large companies are implementing to track when and where employees access data.
• Graduated from Leadership Elk River. This was an excellent introduction into the Elk River
Community and allowed me to build relationships with local business leaders.
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ELK RIVER MUNICIPAL UTILITIES EDUCATION / SEMINAR REPORT
DATE June 5th, 2013
EMPLOYEE NAME Tom Sagstetter
TITLE OF EDUCATION/SEMINAR Energy Efficiency Management Certificate Program
ORGANIZATION SPONSORING EDUCATION SEMINAR APPA
DATES ATTENDED May 6th through May 10th.
LOCATION Anaheim , CA
WHY DID EMPLOYEE CHOOSE TO ATTEND
To learn how and what other utilities around the country offer in terms of electric efficiency programs.
WHAT INFORMATION WAS LEARNED BY ATTENDING
Utility overview- How different utilities are governed and regulated by state and federal agencies
and organization's. How regulatory activity impacts day to day operations in reliability and in efficiency
program requirements. Gained an understanding how energy is provided to the customer from generation
resource mix to the different types of transmission and distribution systems that serve customers.
Efficiency Program Overview - Develop programs that meet the utilities needs and provide the customers
what they want. Utility goals are to decrease peak demand and energy consumption with minimal
customer impact. The customer wants reduced energy use (lower bills), positively impact the
environment, and do the correct thing for future generations (green house gas reduction). The success
of programs comes from education and customer awareness. Market new programs and successful
programs often and boldly. Trade partner education is as much a key as employee education.
Identify goals - Understand the customer load profiles and find a common ground between utility goals
and customer goals. Make achievable goals that can be measured. Constantly evaluate programs to
increase participation and cost effectiveness. Review often and improve. Always have an exit strategy.
Customer Strategies - Make it as easy as possible for customers to participate within policies and rules.
WAS INFORMATION CONVEYED TO SUPERVISOR AND CO-WORKERS AND TO WHO
The information was conveyed to management and staff at weekly meetings.
More details will be presented when the business plan is completed within one year of the course.
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