5.1. ERMUSR 11-18-2014 Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
Elk River Municipal Utilities Commission Theresa Slominski—Finance &Office Manager
John Dietz—Chair
Al Nadeau—Vice Chair
Daryl Thompson—Trustee
MEETING DATE: AGENDA ITEM NUMBER:
November 18, 2014 5.1
SUBJECT:
Performance Metrics Update
BACKGROUND:
Following adoption of the Commission adopted Performance Metrics program in December
2012, we will be tracking the progress for 2014, to be awarded in 2015. This is a company
performance based program designed to incentivize employee commitment towards the
company's success. Divided into categories representing core values of the company and again
into sub-categories that are quantifiable, this program is designed to track goals that require
companywide support of the employees to continually achieve. When the employees work
together as a team to achieve these goals,the company recognizes a corresponding increase in
value to our customers.
DISCUSSION:
At close of the fiscal 2014 year, and completion of the audit, the final score card would be
evaluated and presented to the Commission for awarding the related bonus in 2015. We will
track the progress of the company and the related score card quarterly throughout 2014. This will
help to keep the Commission and employees informed of our success/failure throughout the year
and will also help with budgeting for the 2015 year.
The scorecard is attached, projecting scores that have known components at this date, and with
some notes for the third quarter results. You will note we are on target for all metrics, except
one. Only the CAIDI reliability metric is off target. CAIDI is the average outage duration, or
average restoration time. The goal is 2 hours or less and we are just under 3 hours for the metric
calculation. This is certainly not indicative of our capability,but rather a factor of the increased
"critter activity"that has plagued us this year. Noting these items indicates that the metrics goals
are probably not set too low for easy achievement,but offer some challenge to meet them.
ACTION REQUESTED:
None, this is for information only.
P O W E R E D I T
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ATTACHMENTS:
• Performance Metrics and Incentive Compensation Policy Score Card- 2014
rIIEBEI BY
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Reliable Public
Power Provider
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