Loading...
2.5 ERMUSR 05-08-2018 Elk River Municipal Utilities UTILITIES COMMISSION MEETING TO: FROM: ERMU Commission Troy Adams, P.E.—General Manager MEETING DATE: AGENDA ITEM NUMBER: May 8, 2018 2.5 SUBJECT: Elk River Municipal Utilities/Connexus Energy—Joint Request for Minnesota Public Utilities Commission (MPUC)Modification of the Parties' Electric Service Territory Boundary ACTION REQUESTED: Receive the MPUC Notice of Approval for the ERMU/Connexus Energy Electric Service Territory Boundary Modification 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: The third and fourth service territory areas including approximately 500 customers were transferred to ERMU under these terms in the fall of 2017. This transfer results in a service territory boundary change which needs to be filed with the MPUC. The terms negotiated in the service territory transfer agreement assign ERMU the authority to jointly file the request for MPUC to modify the electric service territory boundary. Connexus reviewed and approved that language. This filing was then made electronically. The docket was considered and approved by the MPUC on April 5, 2018. FINANCIAL IMPACT: None ATTACHMENTS: • Minnesota Public Utilities Commission Notice of Approval of the Elk River Municipal Utilities/Connexus Energy Joint Request for Modification of the Parties' Electric Service Territory Boundary—April 11, 2018. Page 1 of 1 39 BEFORE THE MINNESOTA PUBLIC UTILITIES COMMISSION Nancy Lange Chair Dan Lipschultz Commissioner Matthew Schuerger Commissioner Katie J. Sieben Commissioner John A. Tuma Commissioner Kaela Brennan SERVICE DATE:April 11, 2018 McGrann Shea Carnival Straughn &Lamb, Chartered DOCKET NO. E234,E101/SA-18-151 800 Nicollet Mall, Suite 2600 Minneapolis,MN 55402 In the Matter of the Joint Request of Elk River Municipal Utilities and Connexus Energy for approval to Modify Electric Service Territory Boundaries The above-entitled matter was considered by the Commission on April 5, 2018, and the following disposition made: 1. Approved the permanent service territory transfer from Connexus Energy to Elk River Municipal Utilities 2. The Commission's maps should be updated by the Minnesota Geospatial Information Office to reflect the service area designations as shown on the map in the Agreement The Commission agrees with and adopts the recommendations of the Department of Commerce, which are attached and hereby incorporated into the order. This order shall become effective immediately. BY ORDER OF THE COMMISSION Ii D4 01r .Mk.: Daniel P. Wolf 1. ),A , Executive Secretary This document can be made available in alternative formats(e.g., large print or audio)by calling 651.296.0406 (voice). Persons with hearing loss or speech disabilities may call us through their preferred Telecommunications Relay Service or email consumer.puc@state.mn.us for assistance. 40 COMrni MERCE DEPARTMENT March 12, 2018 Daniel P. Wolf Executive Secretary Minnesota Public Utilities Commission 121 7th Place East, Suite 350 St. Paul, Minnesota 55101-2147 RE: Comments of the Minnesota Department of Commerce, Division of Energy Resources Docket No. E234, E101/SA-18-151 Dear Mr. Wolf: Attached are the comments of the Minnesota Department of Commerce, Division of Energy Resources (Department) in the following matter: The Joint Request of Elk River Municipal Utilities and Connexus Energy for approval to Modify Electric Service Territory Boundaries. The petition was filed February 12, 2018 by: Kaela Brennan McGrann Shea Carnival Straughn & Lamb, Chtd. 800 Nicollet Mall, Suite 2600 Minneapolis, MN 55402 The Department recommends that the Minnesota Public Utilities Commission (Commission) approve the requested permanent service territory transfer from Connexus Energy to Elk River Municipal Utilities, and is available to answer any questions the Commission may have. Sincerely, /s/ DALE V. LUST! Financial Analyst DVL/ja Attachment 85 7th Place East-Suite 280-Saint Paul, MN 55101 I P: 651-539-1500 I F: 651-539-1547 mn.gov/commerce An equal opportunity employer 41 Mill COMMERCE II DEPARTMENT Before the Minnesota Public Utilities Commission Comments of the Minnesota Department of Commerce Division of Energy Resources Docket No. E234, E101/SA-18-151 I. BACKGROUND Elk River Municipal Utilities (the Municipal) is an electric municipal utility organized and existing under the laws of the State of Minnesota. Connexus Energy (the Cooperative) is an electric distribution cooperative organized and existing under the laws of the State of Minnesota. II. SUMMARY OF PROPOSAL On February 12, 2018, the Municipal and Cooperative, collectively the Parties,jointly filed a petition under Minn. Stat. 2166.39, asking the Minnesota Public Utilities Commission (Commission) to modify the Parties' service territory boundaries(Petition). Approval of the Parties' request would permanently transfer the Affected Area from the Cooperative to the Municipal. III. DEPARTMENT ANALYSIS A. TRANSFER OF THE AFFECTED AREA FROM THE COOPERATIVE TO THE MUNICIPAL Exhibit A to the Petition is a map of Affected Area which involves approximately 1,317 acres and 469 customers (448 residential, 21 commercial and 0 industrial). The Parties do not have a separate legal description of the Affected Area, but have agreed to provide MnGeo whatever information is needed to facilitate the adjustment in the official maps. 85 7th Place East-Suite 280-Saint Paul, MN 55101 I P: 651-539-1500 I F: 651-539-1547 mn.gov/commerce An equal opportunity employer 42 Docket No. E234, E101/SA-18-151 Analyst assigned: Dale V. Lusti Page 2 B. CUSTOMER NOTICE Exhibit B of the Petition contains copies of notices sent to customers subject to the transfer. The Cooperative sent a letter on August 1, 2017 informing customers of the transfer;the Municipal sent welcome letters August 8,August 22, and September 6, 2017. In February of 2018,the Municipal sent a notice to its new customers of the pending Commission proceeding. C. ANTICIPATED TRANSFER DATE As stated in the Petition,the transfer on September 17, 2017 occurred smoothly and without incident. D. COMPENSATION The Department notes that the Parties have agreed upon appropriate compensation regarding the permanent transfer of service rights in the Affected Areas. Thus, the Department agrees that the Parties' request to establish the Affected Areas as part of the Municipal's service area is consistent with Minn. Stat. 216B.39. IV. RECOMMENDATION The Department recommends that the Commission approve the permanent service territory transfer from Connexus Energy to Elk River Municipal Utilities. MnGeo should update the Commission's maps to reflect the service area designations as shown on the map in the Petition. ha 43 CERTIFICATE OF SERVICE I,Jamie Eschbach,hereby certify that I have this day, served a true and correct copy of the following document to all persons at the addresses indicated below or on the attached list by electronic filing,electronic mail, courier, interoffice mail or by depositing the same enveloped with postage paid in the United States mail at St. Paul,Minnesota. Minnesota Public Utilities Commission ORDER Docket Numbers: E234,E101/SA-18-151 Dated this 11th day of April,2018 /s/Jamie R Eschbach 44 Assigned Service List Members Page 1 of 1 Print Close Service List Member Information Electronic Service Member(s) Delivery View Last Name First Name Email Company Name Trade Method Secret Adams Troy tadams@elkriverutilities.com Elk River Municipal Utilities Electronic Service No Brennan Kathleen M. kmb@mcgrannshea.com McGrann Shea Carnival,Straughn&Lamb,Chartered Electronic Service No Commerce Attorneys Generic Notice commerce.attomeys@ag.state.mn.us Office of the Attorney General-DOC Electronic Service Yes Dobson Ian residential.utilities@ag.state.mn.us Office of the Attorney General-RUD Electronic Service Yes Ferguson Sharon sharon.ferguson©state.mn.us Department of Commerce Electronic Service No McGrane Sara G smcgrane@felhaber.com Felhaber Larson Electronic Service No Ridderbusch Greg greg.ridderbusch@connexusenergy.com Connexus Energy Electronic Service No Wolf Daniel P dan.wolf@state.mn.us Public Utilities Commission Electronic Service Yes Print Close • https://www.edockets.state.mn.us/EFiling/filing/filing.do?method=viewPrintUniqueService... 4/5/2018