2.5 ERMUSR 01-10-2017 Elk River
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:
January 10, 2017 2.5
SUBJECT:
Notice to Connexus Energy of Electric Service Territory Area 3 & 4 Transfer Date
BACKGROUND:
In March 2015 Elk River Municipal Utilities and Connexus Energy executed mutually agreeable
terms with a multiyear arrangement for the Connexus service territory within the City of Elk
River corporate boundary to be transferred to ERMU.
DISCUSSION:
On December 21, 2016, formal notice was given to Connexus documenting intent for a transfer
of Areas 3 &4 in late 2017. Although the agreement only requires five months written notice of
intent to transfer,this was given early to allow for planning and scheduling of the reintegration
work needed to facilitate the transfer. It is preferable to coordinate a September 2017 transfer
date; however, the actual date will be chose through a collaborative process with Connexus
energy. Potentially,the two areas may be transferred on two separate dates similar to how Area 1
was transferred in 2015.
As indicated on the attached overview map, Areas 3 &4 are located on the west side of Elk
River on either side of the Elk River. In these two areas there are approximately 400 customers
which are primarily residential. The reintegration,plant, and pre-work costs were all budget line
items in the 2017 ERMU budget approved on December 13, 2016.
ATTACHMENTS:
• Notice of Electric Service Territory Area 3 and 4 Transfer Date—December 21, 2016.
• 2015 Connexus Energy Electric Service Territory Transfer Agreement Overview Map
El
[ 011E111 a
Page 1 of 1 NATURE
Reliable Public
Power Provider POWERED T o SERVE
79
Elk Riv4- -- --
Municipal Utilities Phone: 763.441.2020
13069 Orono Parkway.P.O.Box 430 Fax: 763.441.8099
Elk River,MN 55330-0430 www.elkriverutilities.com
December 21, 2016
Connexus Energy
Attn: Greg Ridderbusch
President& Chief Executive Officer
14601 Ramsey Blvd NW
Ramsey, MN 55303
Re: Notice of Electric Service Territory Areas 3 &4 Transfer Date
Dear Mr. Ridderbusch:
Per the provisions of our Electric Service Territory Agreement dated March 20,
2015, at least five months advance written notice is required for service territory
transfer. The intent behind the notice provision included in the agreement was to
provide sufficient time for reintegration and for engineering evaluation of plant.
This letter is to serve as formal notice of Elk River Municipal Utilities' intent for a
transfer of Areas 3 & 4 in late 2017. It is preferable to coordinate a September transfer,
however, the actual date will be chosen through a collaborative process with Connexus
Energy.
Best regards,
Troy Adams, P.E.
General Manager
E _,
POWERED ! 1
NA "URE
Reliable Public P o w g a r o To S ERVE
Power Provider 80
- ---.' I. i
1111 PPI
0 ,i 1
'--------- rellFII
F=°_ .p I�
� 7 n - ' �TiJ1IL
�r I _ i
bli,ftiii.w*MMEI 1 , ..„
® A69
0' — e �® ��ip b° ,o .• .
1 _ . . _,, , 1 ®v �roa ` I , r
'i � _)0100 �e A 1.
6 9 _. , .. .. -.,
AI
I a
4jhlru
Nal 14 F. a -
_ is L
1,,,,_,_ m�a
. . ., 11 , de irif„. , H
,. , '.7.-R-',4R,m, ''' , , , 116M .A'4:7,1°!. - -,ct : -__ bini- . ..1-'--7-
9 i �r�'= ` 14" Y pet S ` + v J
5 P i 1, �>•;_ V
Kr4' is r _4 ;4-' ��_� o
.,Ellam
,,z. Ar.4 Ca.,',','.4 .41 .,,,,„,.... 331"7,3,3• N --1 A„,•-•\,..( -Aral
4 4` ri. . .q: MM S "k w.
]93B
,. L 1 ,_ =En,:..ri",7,,-- „.: ‘1., . „„, _
i:
44
mi.r :. 7 ? �' vee
* r
. • ` ..N v..,..-,;-,,f,,,,,,-^ ' `, .. I 5 1 - 7 , T
;1?A . F'. . .� ,' _. - I'i i i
a�•0 hop
''x...-59033,9 :_ ,tom `(/''- Qa \�/\� '.6aa:m ' Rot,
„,140I,Em° ]man—_ g l®eea+me+ :
aai \W-411244....,„„:‘,44,,,,...„,„...,::,,:,,,,,,,,,,,,,,..„
A®�a.B/,1eYee a 1 a,���0� . ie- I✓..,„.4 `
•mrl tll 111110 poi li ®F°�C�
Ft: E.,11� m lir
2015p _
Elk River Municipal Utilities & Connexus Energy '
Electric Service Territory -N ,o ,
—
Transfer Agreement Overview ,®
Oi 2 1
Transfer Areas 'o �'
1A k').0,...,I 3 6 Existing ERMU o.:i:�m.
1 B 4 7 w'/04 •H o„��=
2 5 8 ' o® n,_ 9
®_, _ Ip ,rill aai
81