2.5. ERMUSR 09-09-2014 p
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:
September 9, 2014 2.5
SUBJECT:
Extended Customer Payment Arrangement
BACKGROUND:
A residential customer's meter was not reading correctly and was replaced. The customer was
concerned about the substantial increase in energy use in the month following the meter
replacement. The meter was inspected and tested in the field and was within acceptable
standards.
The ERMU standard process is to bill customers for unbilled energy use for the previous 12
months from the date of discovery. The customer's energy consumption was estimated based on
the average residential customer use per month. The energy that was already billed to the
customer was subtracted from the average use calculation. The customer was presented with a
total under billed amount of$1,004.00. The customer stated that a 6 month payment plan, in
addition to a higher monthly utility bill based on accurate reads, would cause a hardship on the
family. The customer attended the "Open Microphone"portion of the August 12th meeting to
discuss options.
DISCUSSION:
Based on state statutes and Minnesota Administrative Rules 7820.3800 Subpart 4, the utility is
able to bill for an undercharge for one year prior to discovery.
The customer expressed concern that ERMU field staff entered their property to replace the
meter without their notification. ERMU and the customer exchanged phone messages after the
meter change out in an attempt to inform the customer. Unfortunately ERMU staff and the
customer were not able to speak prior to the meter being changed.
As part of the standard policies and the National Electric Code, ERMU shall have access at all
reasonable hours to meters, service connections and other property owned by it which may be
located on customer's property. Access shall be provided for purposes of installation,
maintenance, reading, checking or removal if necessary. Failure to provide access shall result in
MN IP-OWEIIED BY
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Reliable Public
Power Provider POWERED TO SERVE
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termination of service until it has been provided. It shall also be a requirement that the electric
meter be located outside the building before service will be restored.
ERMU will continue to work to inform customers when work needs to be performed on their
property. Currently ERMU has a number of methods to contact customers that include:
telephone, email, door hangers, and written notices. In some cases there are times when direct
customer contact is not possible in order to complete work in a timely cost effective manner.
The customer and Commission discussed at lenth how to resolve the issue of under billing
amounts and payment options at the August 12t meeting and directed staff to allow an exception
to the standard practice of a three month payment plan.
ACTION REQUESTED:
Staff recommends that the Commission allow the under billed amount$1,004.00 to be collected
over a twelve month period. This is a deviation from the standard practice of three months. The
customer will pay$85.00 per month in addition to the current charges. The customer will be
required to make timely payment for current charges. The calculated amount was based on the
average ERMU residential customer energy consumption for the previous twelve months. The
customer has not yet signed the standard payment arrangement form. The form does state that if
customer fails to pay the current charges plus the under billed portion,they will be subject to the
standard notification and collection process. In the event the customer does not make the
payments as agreed to, they may be disconnected until they are current with all charges on the
account.
'POWERED O1
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Reliable Public
Power Provider P O W E R E D T o S E R V E
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5.1
cn,o, Land Use Transportation and Utility Plan
'it
Elk for the
River Elk River Gravel Mining Area
Elk River Municipal Utilities Commission Meeting
September 9, 2014
3:30pm
I. Presentation on the Study and Background Information
a. Create a long-range master plan for the 2,600 acre area: 30-40 years
b. Plan to include:
i. Eventual land uses,
ii. Transportation routes
iii. Final reclaimed grades for efficient operation of sanitary and storm water
collection/treatment
iv. Water distribution
c. Stakeholder Engagement
II. Top Priorities—Water Distribution
a. Supply
i. Wells
b. Storage
i. Water tower siting
ii. Additional zone
c. Interconnection
i. Multiple zones
d. Final reclaim grades
III. Next Steps
a. Develop 3 land use scenarios
b. Vet each scenario with public engagement, Planning&Park Commissions, City Council
c. Finalize one scenario with transportation, utilities,grades
d. Final presentation to Planning& Park Commissions, City Council
e. Project complete January/February
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