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6.1. ERMUSR 07-06-2004 Elk River Municipal Utilities 13069 Orono Parkway phone: 763.441.2020 Elk River,MN 55330 Fax 763.441.8099 June 29, 2004 To: Elk River Municipal Utilities Commission Jerry Takle Jim Tralle John Dietz From: Bryan Adams Subject: Electric Meter Accuracy One of our customers in Otsego called, concerned about high electric usage. This specific facility has six meters. The owner sub meters for their information, some of their facilities and the sub meter totals are not close to our billing meters. Upon further investigation, three of the six accounts utilize form 3S meters with a single current transformer. The proper "CT" ratio is 1/2 of the calculated "CT" ratio. Unfortunately we were utilizing the calculated "CT" ratio which in effect is billing twice the actual usage. These services were installed over 20 years ago and to the best of our knowledge, the metering has not been changed since the initial installation. Based upon the last 12 month consumption history, we have been over billing this customer approximately $8300.00/year. The PUC (public utility commission) rules for metering errors, refunds or charges shall be computed for a period of no longer than one year. Under state law, if the error is a result of negligence or fraud, the termination is six years. The customer supposedly has records back seven years. Out of fairness, does this commission desire to exceed the statuary requirements?