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5.5 ERMUSR 10-11-2005 i 16 Elk River I Municipal Utilities 13069 Orono Parkway phone: 763.441.2020 Elk River,MN 55330 Fax.763 441.8099 October 3, 2005 ' To: Elk River Municipal Utilities Commission Jerry Takle John Dietz Jim Tralle From: Bryan Adams ' Subject: Proposed 2006 CIP Budget Minnesota statutes require municipal utilities to spend a minimum of 1.5% of previous years gross electric revenues on conservation improvement programs (CEP). For 2006, 1.5% of 2005 gross electric revenues are approximately $208,500. We will be receiving $90,750 in CIP rebates from Great River Energy in the form of: $50,000 for Elk River East Elementary School ' $15,000 for other commercial rebates $ 25,750 for residential rebates ' With these Great River Energy rebates, the Elk River Municipal Utilities must spend approximately $120,000. Attached are the programs being proposed for the 2006 CIP 111program. - ir .... M - 2006 CONSERVATION IMPROVEM T PROGRAM (CIP) BUDGET I I i EXISTING PROGRAMS_ GOAL DIR LBR G & A !ADVERTREBATE EQUIP $-1CONTR $ SUBTOTAL I GRE $ !ERMU $ ETSWtr Htg 10 (2) I _ 400 601 600, 0. 9.60 0 20201 _0I 2020 ETS Space Htg 2 (0) I 200 60 600 0! 01 0 8601 01 860 Dual Fuel Htg 1 10 (0) 400 120 6001 0 0 0, 11201 0� 1120 Cycled AC 1120(104) 500 2600 1500 0 12600 144001 31600' 120001 19600 (1) r - 9001— 2000 - -0 0 — — _ 20690; 12000' _ _8690 A Rebates 60 (47) _ 1800 490 4001 180001 0 _ 0} ASHP Rebates 5400 1001 34001 1000 2400 GSHP Rebates 2 (2) 200 30! 9001 16001 0 0! _ 27301 400! 2330 Clothes Washer Rebates 75 (96) 500 500 3001i 0 01 88001 1875 6925 Dishwasher Rebates 75 (80) 500 3001 - 3001 37501 0 0 4850! 1875, 2975 Refrigerator Rebates 1, 90 (91) 5001 300 300 4500! _ 0' 0 5600' 4500; 1100 Dehumidifier Rebates 20 (18) 2001 100 3001 6004 01 0 1200 5001 700 Water Htr Rebates 5 (3) 1001 100 3001 - 250j _ 0' _0; 750 01 750 AC Tune-Ups 120(113) 7501 500 1500 9000 0, 011 117501 01 11750 AC Tree 150(150) 1 5000 5001 1000 0 18000! 0; 24500: 0 24500 Load Control Audits I 20 1 2000' 0 0 0 0 01 2000; 01 2000 Habitat For Humanity/Tri-Cap' 1 (0) 1 5001 50 0: 0 5000 _ 0 55501 01 5550 CFL Rebates 1200(1091) 1001 720! 15001 0, 6000 0 83201 12001 7120 Commercial Audits 1 1 (0) 3001 1001 2001 01 0 3000 3600 0 3600 Comm Lighting Rebates 2 (3) j 700 40 200, 65000' 0, 0 65940 65000 940 Comm Motor Rebates I 1 (0) 300 30 2001 2500 0 01 _ 3030' 0', 3030 Comm HVAC Rebates 0(0) I 0 01 0' 0, 01 01 0 01 0 Comm Consultations 15 (14) 1575 0 0 0. 01 01 1575 01 1575 Subtotals 1 169251 6700 11600 114700 4256.0 174001 209885 100350! 109535 Adj subtotal with GRE maximum allocation I _ 1 90,7501 119,135 NEW PROGRAMS i Display Artwork —� 01 p� j _1 r 01 _ 0! 01 0 0 0 01 0 Energy House III { 01 01 01 01 0, 01 P4 0 0t-_ 0 Totals With New Programs - 1 16925 67001 11600 114700; 425601 -_ 17400 _ 209885' 90,750' 119135 1 Notes: 1. The number in parantheses under goals is 2005 actual as of 9/20/05. 1 1 2.All rebates for existing programs remain the same as 2005 except, 10 current transfer switches were added as an incentive for ETS water heaters(+$960), clothes washer rebates were reduced from$150_to$100 (-$3,750)and_ AC Tune-Ups were increased from $65 to$75(+$1,200). I � — 13. Direct Labor includes my time (plus Mike P and Adam F time when load controls are involved) i ]4 I have assumed purchase costs for trees for our AC Tree Program remains @$120 ea. Budget constraints do not allow for 1 an increase to 200 trees in 2006. 1 1 15.The Load Control Audit Program uses staff to audit load controls each year. However, all load controls were audited in 2005, 1 so only routine repair is included in 2006. 1 1 1 1 16.The amounts listed in the GRE reimbursement column includes the$50,000 rebate for Elk River East School. In addition to that$50,000, GRE has allocated an additional $15,000 for other commercial rebates and $25,750 for residential rebates for 1 a total of$90,750. In order to meet our commitment ERMU should budget$120,000 in addition to the GRE allocation. 17. Total CIP spending required is 1.5%of gross electric sales=2005 sales X 1.5% or$13,900,000 X .015= $208,500