04-08-1997 ERMU MIN REGULAR MEETING OF THE ELK RIVER
MUNICIPAL UTILITIES COMMISSION
HELD AT THE ELK RIVER MUNICIPAL UTILITIES OFFICES
APRIL 8, 1997
Members Present : President, John Dietz; Vice Chairman George
Zabee; Trustee, James Tralle
Others Present : Bryan Adams, General Manager ; Glenn Sundeen,
Line Superintendent; Robert McCartney, Water Superintendent;
Patricia Hemza, Office Manager ; Tom Zerwas, Police Chief; Patrick
Klaers, City Administrator ; Wade Lovelette, Lloyd Lorenzen, Derek
Ward, and Mark Fuchs, Linemen
1 . Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the
Elk River Utilities Commission was called to order at
3 : 30 P .M. by President Dietz .
2 . Consider Utilities Agenda
Mr . Tralle moved to approve the 4 - 8 -97 Agenda, with the
addition of two items from Bryan Adams, to be discussed
under other business . Seconded by Mr . Zabee . Motion
carried 3 - 0 .
3 . *Consider Consent Agenda
Mr . Dietz moved to approve the Consent Agenda as follows :
3 . 3 - 11-97 Minutes - - approved
4 . Check Register - - approved
Financials - - approved
5 . 1 Review E.R. Police Dept. Mid-block Street Light Request
Tom Zerwas, Chief of Police, appeared to discuss the
concerns regarding security and traffic in relation to
mid-block street lighting . Discussion followed as to the
merits, logistics and expenses .
Mr . Tralle moved to adopt the following:
In newly platted areas, street lights shall be
installed at all major intersections and at mid-block,
provided that no lights are spaced closer than 300
feet . Street lighting layout shall be approved by
Elk River Utilities and shall be consistent with the
standard type of lighting currently being utilized by
the City to provide for a uniform City Street Lighting
system.
Regular meeting of the Elk River Utilities Commission
April 8 , 1997
Page 2
Mr . Zabee seconded the motion. Motion carried 3 - 0 .
5 . 2 Up-date Highland Road Water Main Project
Bryan Adams up-dated the Commission on the progress of the
Water Main Project on Highland Road. He noted that the
property owners along Highland Road have been apprised
of the construction, and that the cost of the water main
will be paid by the E .R. Utilities . John Dietz noted that
the developer from Cottage Homes had contacted him in regard
to dirt his company would be required to move to accommodate
this water main, and that he requested the City Council to
forgive the letter of credit requirement, in exchange .
Bryan Adams further noted that the council authorized the
bond to finance the project . ISD #728 has agreed to up-
grade their fire services to Salk School by utilizing the
Highland Road water main. The property the ERMU wishes to
purchase from ISD #728 has been appraised at $21, 000 . 00 by
Jerry Smith.
5 . 3 Review Developers & Builders Cost & Procedures
The packet for Developers and Builders was given to the
Commission for their reviewal . It was directed by the
Commission to revise id under ELECTRIC to include the
wording for mid-block street lighting. Bryan Adams
asked the Commissioners to note the wording of living
units rather than lots throughout the documents. Mr .
Dietz suggested that a cover be used for the packet .
5 . 4 AEC-ERMU 1997 Territory Acquisition
The revised Territory Acquisition was outlined and
discussed.
Mr . Zabee moved to acquire Area 10 in 1997 , with billing
by AEC to be deferred for one year . Mr . Tralle seconded
the motion. Motion carried 3 - 0 .
Authorization was given to execute the 1997 Territory
Acquisition Agreement .
(Item 6.2 will be addressed before 6. 1)
Regular meeting of the Elk River Utilities Commission
April 8, 1997
Page 3
6 . 2 Presentation by Abdo, Abdo & Eick of the ERMU 1996 Audit
Steven McDonald of Abdo, Abdo & Eick presented the 1996
Audit, with a reviewal of the information and discussion
of the management letter .
Mr . Zabee moved to receive the 1996 Audit . Mr . Tralle
seconded the motion. Motion carried 3 - 0 .
6 . 1 Consider ERMU Lineperson 1997 Wage Request
Wade Lovelette, Lloyd Lorenzen, Derek Ward, and Mark
Fuchs appeared before the Commission to present their
request for a pay increase . Commission reviewed history,
salary surveys and other criteria used to resolve the
salary increases .
Bryan Adams was directed to meet with Glenn Sundeen and
the outside workers to discuss the present policy for
the provision of boots, and to return to the Commission
with recommendations .
Mr . Tralle moved to consider the wages for all employees
to be effective June 1, rather than outside workers on
June 1, and office on January 1 . Mr . Zabee seconded the
motion. Motion carried 3 - 0 .
Mr . Tralle moved to increase all ERMU employees salaries
at 3 . 14 % effective June 1, 1997 . Mr . Zabee seconded the
motion. Motion carried 3 - 0 .
6 . 3 Review Production and Sales Monthly Reports
Three new monthly reports that will be presented with
the financial statements were reviewed and discussed.
James Tralle left the meeting at 5:15 P.M. because of prior
commi tmen is.
6 .4 Update Lowell Avenue Up-grade
Since the City of Elk River is doing a street improvement
on Lowell Avenue, it would be timely to replace the existing
water service at the same time . Cretex Corporation would
be willing to pay the expense of the replacement labor and
material . No action required.
Regular meeting of the Elk River Utilities Commission
April 8, 1997
Page 4
6 . 5 Consider up-grading electric utility lines in Orono Lake
3rd Addition
Staff recommended to the Commission that since water and
sewer is being installed in Orono Lake 3rd Addition, that
the ERMU rebuild the electric distribution in this addition
from overhead to underground. This project would be done
instead of the budgeted County Road 12 item, which will
not be done this year, according to the County Engineer.
Mr. Zabee moved to substitute the Orono Lake 3rd addition
rebuild, instead of the County Road 12 project . Mr. Dietz
seconded the motion. Motion carried 2-0 .
Other Business
Bryan Adams, due to delivery restraints, requested
authorization to order the 12 . 5 KV micro-processor
based recloser. Authorization was granted under the
condition that low bid be used.
Bryan Adams advised the Commission that there was a
metering error at the Strip Mall in Elk Park Center.
Vivian Schmidt, Robert McCartney and Steve Nordahl
were commended for finding the error and correcting it in a
timely manner. The meter arrived at the Utility incorrectly
programmed from the manufacturer. ERMU will now be
programming their own meters .
The nekt scheduled meeting of the Elk River Utilities Commission
will be Tuesday, May 13 , 1997 at 3 :30 P.M.
Mr. Zabee moved to adjourn. Mr. Dietz seconded the motion.
Motion carried 2-0 .
The meeting of the Elk River Municipal Utilities Commission
adjourned at 5 : 35 P.M.
Respectfully submitted,
C::]RL/�r2/
Patricia Hemza
Office Manager