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03-12-1996 ERMU MIN MEETING OF THE ELK RIVER MUNICIPAL UTILITIES COMMISSION HELD AT THE ELK RIVER MUNCIPAL UTILITIES OFFICE TUESDAY, MARCH 12 , 1996 Members Present : James A. Tralle, President John Dietz, Vice Chairman George Zabee, Trustee Others Present : Pat Klaers, City Administrator; Lori Johnson, Assistant City Administrator; Steve Rohlf, Building and Zoning Administrator; Glenn Sundeen, Line Superintendent; Patricia Hemza, Office Manager 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 4 : 00 P.M. by President James Tralle . 2 . Consider Agenda Mr. Dietz moved to approve the 3-12-96 Agenda. Mr. Zabee seconded the motion. The motion carried 3-0 . 3 . Consider Consent Agenda Mr. Dietz moved to approve the Consent Agenda as follows: 3 . 2-13 minutes -- approved 12 . Check Register -- approved. Mr. Zabee seconded the motion. The motion carried 3-0 . 4 . Voluntary Assessment for National EMF research for 1996 After discussion of the pros and cons the EMF project, with reservations from Mr. Zabee, Mr. Dietz moved to approve payment of the voluntary assessment. Mr. Zabee seconded the motion. The motion carried 3-0 . 5 . Comp Worth Glenn Sundeen expressed his concerns with the booklets supplied to us by the City. Lori Johnson responded with her observations . Mr. Zabee has volunteered to take part in the Comp Worth Committee . Mr. Dietz moved to order booklets Utility Commission Minutes March 12, 1996 Page 2 through MMUA, to be used in conjunction with the booklets that the Utilities now has. Mr. Zabee seconded the motion. The motion caried 3-0. 6 . Set a meeting date with Dan Green of the First National Agency to discuss property insurance . Lori Johnson advised the Commission that a meeting has been scheduled for March 26, 1996, with Dan Green at the City Offices and that Utilities Department Heads would be welcome to attend the meeting to discuss policies . Mr. Sundeen was directed to report back to the Commission with his observations . 7 . Rate Study Glenn Sundeen reported on R.W. Beck' s proposal for a rate study. Mr. Tralle would also like to receive a proposal from Dahlen Berg & Company. When those are received the Utilities Commission will consider them, the offer from UPA, and the City of Anoka' s rate study. Discussion continued of wheeling charges, the possibility of the addition of a big-rate user, the possible need for a sub- station for the west-end. 8 . Preliminary preparation for wage/benefits negotiations Staff has been directed by Commission to look at out-state Utilities of the same size, as well as the metro, and local Utilities that have been used in the past . It was decided to include the clerical staff in the June 1, 1996 negotiations . 9 . Procedures for underground wire specifications and bid awards Glenn Sundeen reported on bids . Mr. Zabee will act as liaison between Mr. Sundeen and the Utilities Commission. Further discussion will be held at the March 26, 1996 Special Meeting of the Elk River Utilities Commission. 10 . Evaluation of bids for digger truck Glenn Sundeen presented bids from Altec and Simon-Telelect for the digger-derrick truck and chassis . Mr. Sundeen pointed out the differences in the way the companies submitted their bid. Capacities, out-rigger spread, and total gross weight were considered. The Federal Excise Tax was included in the bid from Simon-Telelect and omitted from Utility Commission Minutes March 12, 1996 Page 3 the bid from Altec. Mr. Dietz moved to accept the bid from Altec in the amount of $139, 050 .00 . Mr. Zabee seconded the motion. The motion carried 3-0 . 11 . Territory acquisition issues Glenn Sundeen discussed the proposed change in territory acquisition in regard to demarcation lines and changes in the franchise agreement . Mr. Zabee moved to not enter into the change in demarcation lines or the franchise agreement. Mr. Dietz seconded the motion. The motion carried 3-0 . 13 . Other business Steve Rohlf appeared to discuss the possible involvement by the Utilities, in regard to the Minnesota Environmental Initiative' s "Energy Alley" project . Mr. Zabee moved to support the City of Elk River becoming the Substainable City Showcase for this project. Mr. Dietz seconded the motion. Motion carried 3-0 . Mr. Tralle advised the Utilities Commission that he accepted the resignation of William M. Birrenkott, General Manager on Saturday, March 9, 1996 . The resignation was recognized by the Elk River Utilities Commission on March 12, 1996 . The position of General Manager was discussed, along with the possibility of hiring an Interim General Manager. Mr. Dietz moved to give Mr. Tralle permission to contact Tony Rudde, UPA, for names of possible Interim Managers. Mr. Zabee seconded the motion. Motion carried 3-0 . Mr. Zabee moved to contact Briemeyer Group, Inc. for a bid on job searches for General Manager and to contact at least one other company for the same process. Mr. Dietz seconded the motion. Motion carried 3-0 . Pat Klaers advised the Commission on the progress of the Ice Arena, with discussion following regarding electric and water charges . Mr. Zabee moved to forgive all electric and water charges for the construction project. Mr. Dietz seconded the motion. Motion carried 3-0. 14 . Adjournment Mr. Zabee moved to adjourn. Mr. Dietz seconded the motion. Motion carried 3-0 . Utility Commission Minutes March 12, 1996 Page 4 The meeting of the Elk River Utilities Commission adjourned at 6 : 10 P.M. Respectfuly submitted, Patricia Hemza Office Manager