5.4 ERMUSR 11-12-2019 Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission
MEETING DATE:
Michelle Canterbury—Executive Administrative Manager
AGENDA ITEM NUMBER:
November 12, 2019 5.4
SUBJECT:
2020 Utilities Fee Schedule and Street/Security Light Service Rate
ACTION REQUESTED:
Approve the 2020 Utilities Fee Schedule for Adoption into Ordinance by the City Council.
Approve the Revised Street/Security Light Service Rate sheet.
BACKGROUND:
Typically, the Elk River Municipal Utilities Commission approves the budget in December. In
January,the rates and fees are published. Per legal counsel, the Utilities' ability to collect on
fees would be strengthened by having them listed as part of the City's Master Fee Schedule and
adopted into city ordinance after being approved by the Commission.
DISCUSSION:
Annually ERMU staff reviews the proposed fees for the upcoming year. Proposed changes are
highlighted in yellow on the attached fee schedule. Proposed changes include:
Street Light Fees—Two new product offerings are being added to the fee schedule, a 14 foot
decorative pole with an acorn fixture, and a 14 foot decorative pole with a cobra fixture.These
new product offerings will help fulfill the City of Elk River's downtown, and the City of Otsego's
street lighting needs. With the addition of the new street lighting options, staff conducted a
cost analysis of our existing street lights and is recommending price increases to the 30 foot
decorative pole, and the 23 foot decorative pole.The proposed prices include the cost of
materials and labor. As a result of the addition of the decorative poles, the Street/Security Light
Service Rate sheet has also been revised to include the associated monthly rate per fixture.
Historically there has been an annual increase to the Water Connection Charge and Water
Availability Charge. As ERMU staff will be working with a consultant to conduct a cost of service
and rate design study in 2020, at which time we'll verify our philosophy on allocation of cost
and aid to construction for water connection fees, staff is recommending no increase to these
fees at this time.
FINANCIAL IMPACT:
The proposed fees have been added or adjusted to cover the cost of providing services to our
customers.
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ATTACHMENTS:
• Proposed -2020 Utilities Fee Schedule
• Revised -Street/Security Light Service Rate
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Elk River Municipal Utilities
Proposed 2020 Utilities Fee Schedule
Fee Description 2019 Proposed Proposed
2020 Increase
New Residential Electric Connection-Developer-Lot with ERMU water service $ 475.00 $ 475.00
New Residential Electric Connection-Developer-Lot without ERMU water service $ 575.00 $ 575.00
New Residential Electric Connection-Builder $ 875.00 $ 875.00
New Wire Footages over 200'(per foot) $ 4.00 $ 4.00
New Service Frost Trenching(per foot) $ 5.00 $ 5.00
New Commercial&Industrial Electric Connection 50% 50%
Service Upgrades or Additions for Existing Customers 100% 100%
Minimum Temporary Electric Service Fee-Existing Transformer $ 150.00 $ 150.00
Minimum Temporary Electric Service Fee-Without Existing Transformer $ 500.00 $ 500.00
Street Light-30'Decorative Pole with 6'Arm and Cobra Fixture $ 1,850.00 $ 2,700.00 46%
Street Light-23'Decorative Pole with Traditiorraife Cobra Fixture $ 1,500.00 $ 1,800.00 20%
Street Light- 14'Decorative Pole with Cobra Fixture $ 4,100.00 New
Street Light- 14'Decorative Pole with Acorn Fixture $ 5,300.00 New
Security Light-Wood Pole with Fixture $ 975.00 $ 975.00
Security Light-Existing Pole $ 125.00 $ 125.00
Pole Attachment Fee(per pole) $ 6.50 $ 6.50
Manual Meter Reading Fee(per month) $ 10.00 $ 10.00
Water Access Charge=Water Connection Charge+Water Availability Charge $ 3,764.00 $ 3,764.00
Water Connection Charge(Per Plumbing Unit)-Builder $ 3,396.00 $ 3,396.00
Water Availability Charge(Per Plumbing Unit)-Developer $ 368.00 $ 368.00
Abandoned Water Service $ 2,500.00 $ 2,500.00
Hydrant Water Sales-Rental(per week) $ 50.00 $ 50.00
Hydrant Water Sales-Units(per 1000 gallons) $ 4.00 $ 4.00
Deposit for 5/8"Hydrant Meter $ 150.00 $ 150.00
Deposit for 2 1/2"Hydrant Meter $ 1,000.00 $ 1,000.00
Private Hydrant Maintenance Program Monthly Fee $ 5.00 $ 5.00
Manual Meter Reading Fee(per month) $ 10.00 $ 10.00
ADMINISTRATIVE
Administrative Fee for Continued Submission of Checks After No-Check Notice Given $ 20.00 $ 20.00
Billable Cost of Materials Markup 15% 15%
Billable Labor Markup 55% 55%
Billable Vehicle/Equipment(per employee per hour) $ 30.00 $ 30.00
Commercial Application Fee $ 20.00 $ 20.00
Electric Service Disconnect/Trip Fee-Meter Technician $ 50.00 $ 50.00
Electric Service Disconnect/Trip Fee-Line Crew $ 150.00 $ 150.00
Water Service Disconnect/Trip Fee-Water Operator $ 100.00 $ 100.00
Energy Audit $ 150.00 $ 150.00
Meter Tampering Fee $ 250.00 $ 250.00
Meter Testing Fee $ 50.00 $ 50.00
NSF Fee $ 20.00 $ 20.00
Penalty Amount 10% 10%
Photocopies(per page) $ 0.25 $ 0.25
Red Tag Handling Fee $ 20.00 $ 20.00
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Elk River -----
Municipal Utilities
STREET/SECURITY LIGHT SERVICE RATE
Available:To any customer meeting Elk River Municipal Utilities criteria for service under this schedule,
and whose lighting needs are not being furnished under any other schedule. Installation costs will be
determined by Elk River Municipal Utilities per the Utilities Fee Schedule or on a time and materials
basis.
Applicable:As determined by Elk River Municipal Utilities, but generally to non-metered roadway and
area lighting.
Character Of Service: 120/240 volts,AC,as available.
Street/Security Light Service
Type Monthly Rate Per
Fixture
Standard Low Output(<249 Watt HPS, <74 Watt LED) $9.00
Standard Medium Output (250-399 Watt HPS,75-124 Watt LED) $15.00
Standard High Output (400 Watt or larger HPS, 125 Watt or larger LED) $21.00
Standard Low Output with Decorative Pole (<74 Watt LED) $18.00
Decorative Medium Output with Decorative Pole(75-124 Watt LED) $24.00
Rates are subject to sales tax.
Ownership of Equipment: Elk River Municipal Utilities will install,own, and operate the lights, including
fixtures and control equipment, unless otherwise agreed upon by Elk River Municipal Utilities and the
Customer.
Lamp Replacements: Lamp replacements will be made by Elk River Municipal Utilities when and as
requested by the Customer.
Billing and Terms of Payment:See ERMU Service Policies Policy(Billing Due Dates, and Penalties and
Delinquent Notices.)
General Terms and Conditions Applicable To Non-Metered Lighting Service:
1. Area lighting installed on Elk River Municipal Utilities poles shall not be of the type that
interferes with climbing room,work space,or wire clearance as defined by the National
Electrical Safety Code and is to be installed below the secondary line and service drops, all per
Elk River Municipal Utilities'specification.
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Street/Security Light Service Rate
2. All area lights installed under this schedule shall be equipped with a photo-electric control which
will limit the hours of illumination from dusk to dawn (approximately 4,400 hours per year).
3. The rates set forth herein may be modified by the amount of any governmental changes
imposed and levied on transmission,distribution, production, or the sale of electrical power.
4. Exceptions by management approval only.
Adopted December 11, 2018
Revised January 8, 2019
Effective January 1, 2019
Revised November 12, 2019
Effective November 12, 2019
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