04-09-1996 ERMU MIN REGULAR MEETING OF THE ELK RIVER
MUNICIPAL UTILITIES COMMISSION
HELD AT THE ELK RIVER MUNICIPAL UTILITIES OFFICE
TUESDAY, APRIL 9, 1996
Members Present: President James Tralle, Vice Chairman John
Dietz, Trustee George Zabee
Others Present: Pat Klaers, City Administrator, Rick Newland
AEC, Mike Rajala AEC, Glenn Sundeen
Line Superintendent, Robert McCartney Water
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 4-9-96 Agenda. Mr. Zabee
seconded the motion. Motion carried 3-0 .
3 . Consider Consent Agenda
Mr. Dietz moved to approve the Consent Agenda as follows:
3 . 1-3-96, 3-8-96, 3-12-96, 3-22-96, 3-26-96 and 3-27-96
minutes -- approved
6 . Check register -- approved.
4 . Evaluation of Utility management Services from Anoka
Electric Cooperative
Mr. Newland and Mr. Rajala presented the proposal from Anoka
Electric Cooperative to offer Utility Management Services to
the Elk River Municipal Utilities . General discussion of
issues and concerns of the proposal followed the
presentation. A copy of the AEC proposal is attached to
these minutes .
5 . Evaluation of switch gear bids opened 4-8-96.
Mr. Sundeen presented the bids for 600 AMP Pad Mounted
Switch Gear.
Mr. Zabee moved to award the bid for 600 AMP Pad Mounted
Switch Gear to Wesco in the amount of $5995. 00 each. Mr.
Dietz seconded the motion. Motion carried 3-0 .
Regular meeting Elk River Utilities Commission Meeting
April 9, 1996
Page 2
6 . Other business
Mr. Klaers reported on the incubator site to Elk River
through the Anoka County Capitol Fund. Mr. Klaers will
check on the legality of investment by the Utilities .
Mr. Dietz discussed the wiring on the riverfront, and
the plans of Mr. Elmer Anderson to remove buildings,
and rebuild to enhance the area. Mr. Sundeen was directed
to put together proposals for a rebuild of the area.
Mr. McCartney reported on the installation of a 10 inch
water main valve at Sherburne County Road 30 .
The next scheduled regular meeting of the Elk River
Utilities Commission will be May 14, 1996 .
Mr. Dietz moved to adjourn. Mr. Dietz seconded the motion.
Motion carried 3-0 .
The meeting of the Elk River Utilities Commission adjourned
at 6 : 15 P.M.
Respectfully submitted,
Patricia Hemza
Office Manager
APR-04-1996 08:42 MAUN & SIMON 1 612 229 2800 P.03/04
UTILITY MANAGEMENT SERVICES AGREEMENT
This Agreement is made on this day of April, 1996,
between the Anoka Electric Cooperative (AEC) and the Elk River
Municipal Utility (ERMU) , as follows:
1. Routine Management Services. AEC will provide routine
management services through an on site manager for the operations
of the ERMU. These management services will be provided on an "as
needed" basis as determined by the Elk River Utilities Commission
(ERUC) . The on site manager will direct the work of the ERMU
employees subject to the overall supervision and control of the
ERUC. AEC will provide these services in accordance with the same
standards which it uses for its own utility operations.
2. Special Management Services. AEC will also make
available to the on site manager a multi-resource team of AEC
employees to counsel and advise the manager on any management
issues or matters that are not routine in nature. AEC's multi-
resource team will respond immediately upon the request of the on
site manager.
3 . Compensation. ERMU will pay AEC for these management
services the sum of $ per month, beginning
1996. Payment will be made within ten (10) days after receipt of
an invoice.
4. Resources. ERMU will provide all necessary resources to
operate and maintain the municipal utility system whether for
labor, materials, financial, or otherwise.
5. Other Services. ERUC may request that AEC perform an
internal operations audit of the municipal utility system. ERUC
will define the scope and direction of the audit which will be
APR 04 ' 96 08: 38 1 612 229 2800 PAGE . 003
APR-04-1996 08:43 MAUN & SIMON 1 612 229 2800 P.04/04
performed by appropriate AEC employees. The results of the audit
will remain confidential. AEC's fees and any other terms and
conditions for this audit will be negotiated after ERUC defines the
scope and direction of the audit.
6. Term. This Agreement shall be for a period of one year
after the above date. Either party may terminate the Agreement at
any time, however, upon thirty (30) days written notice to the
other.
IN WITNESS WHEREOF, the parties have executed this Agreement
on the above date.
ANOKA ELECTRIC COOPERATIVE
By
Its
ELK RIVER MUNICIPAL UTILITY
By
Its
4/04/96,111.483003_1S
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TOTAL P.04
APR 04 ' 96 08 : 38 1 612 229 2800 PAGE . 004
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ELK RIVER MUNICIPAL UTILITIES
REGULAR MEETING OF THE
UTILITIES COMMISSION
AGENDA
Tuesday, April 9, 1996
Elk River Utilities Offices
ITEM NUMBER ACTION TAKEN
1 . Call meeting to order at 4 : 00 P.M.
2 . * Consider Utilities Agenda
3 . * Consider Utilities Commission minutes
of January 3 , 1996, March 8, 1996, March 12, 1996,
March 22, 1996, March 26, 1996 and March 27, 1996 .
4 . Evaluation of Utility Management Services from
Anoka Electric Cooperative .
5 . Evaluation of switch gear bids to be opened 4-8-96
6 . * Check register
7 . Other business
*Consent Agenda items are considered to be routine and will be
approved by one motion.
To:
Elk River Utilities Commission
From:
Water Superintendent
Robert McCartney
Re:
Installing 10 in. water main valve at Sherburne Co. Rd. #30
crossing.
At February 13, 1996 Utility Commission meeting water main
valve placement was discussed in regards to safety of public
and vehicles on State Highways and County Roads.
It came to my attention that a new 10 in. water main was
being connected with the development of Country Crossings
Second Addition and that there was only one ( 1) water main
valve being installed. The existing water main was not being
used except for fire protection in the area and this
connection would complete a loop of the existing water main.
Looking at the plans I noticed that there was not a valve
for at least 1,000 feet and would not a valve on both sides
of the County Road. I called C. W. Houle Construction Co.
in Plymouth, MN. (they are doing the water and sewer
improvements in the Country Crossing Addition) and received
a written quote of NOT TO EXCEED $1,950.00 to install an
additional 10 in. valve in the existing water main on the
South side of Sherburne Co. Rd. #30 this includes
(excavation, Installation, back filling, and restoration of
ditch with sod) .
Repectfully
, ...dr/
/ 4e c .4"4111110
•
Robe J. McCartne
TO: ALL EMPLOYEES
FROM: JIM TRALLE, PRESIDENT, ERMU
I would like to inform you of the processes the
Commissioners are taking to replace the General Manager.
1 . We are talking to two Executive Search firms (head-
hunters) about the services they can offer us in a search
for a new G.M. If the Commission decides to seek a full
time General Manager, we are looking at a three to four
month time frame. Part of this process will include
interviewing employees, as well as others in the community,
to develop a Position Profile for General Manager. In other
words, you will be an important part of defining the new
G.M. position and job description.
It is possible that an interim G.M. will be hired. You will
be informed of any such decision.
2 . We are talking with AEC about the possibility of contracting
for general management services . They will present us with
a proposal on April 9 .
We are NOT discussing in any way, the sale of ERMU to AEC,
regardless of the rumors you may have heard. AEC is expected to
offer a wide range of options to us, including merging the two
utility operations and business functions . However, the
Commission has only asked for and will consider services for
General Manager.
If this changes in the future, we will meet with all
employees to discuss options and get input before making any
decisions.
Please remember that George, John and I are committed to
ERMU, and wish to see it remain strong and profitable .
If you have any questions or concerns, feel free to contact
any one of us .
Jim 441-5314
George 441-1443
John 441-5783
Jim Tralle