The URL can be used to link to this page

5.2 ERMUSR 12-08-2020UTILITIES COMMISSION MEETING TO: FROM: ERMU Commission Melissa Karpinski Finance Manager MEETING DATE: AGENDA ITEM NUMBER: December 8, 2020 5.2 SUBJECT: 2021 Annual Business Plan Budget and Schedule of Rates & Fees ACTION REQUESTED: Adopt the 2021 Annual Business Plan BACKGROUND: In November, the preliminary 2021 Annual Business Plan was presented to the commission. There have been some changes due to finalizing of projects and expenses. The final highlights are discussed below. DISCUSSION: Electric Budget and Rates As discussed in November, we are proposing a 0% rate increase for 2021. Notable items in the electric budget for 2021are: 3% cost of living adjustment (COLA) for Office, Field, and Management pay plan groups and 3.6% COLA for Line Worker pay plan group. Conservative estimate for usage and growth. 0% wholesale power rate increase. Administrative expenses due to bonding for the new field services building. Administrative expenses for HR position that was filled in 2020. Substation Apparatus Technician position (replacement of current Meter Reader position). Replacement of Pickup Truck #28 Replacement of Digger Truck #10. Replacement of Bore Rig #56. Purchase of a Mini Skid. Highway 169 Redefine project. Landfill Gas Plant in-frame overhaul of engines #2, #3 and #4. Electric Service Territory acquisition loss of revenue for Areas 1&2, 3&4, 5&6, and 7&8 from reserves. Power Plant Substation Relocation and Field Services Site Prep for new field services building from reserves. New Field Services Building from bonding. ______________________________________________________________________________ Page 1 of 2 73 Water Budget and Rates As discussed in November, we are proposing a 0% rate increase for 2021. Notable items in the water budget for 2021 are: 3% COLA for Office, Field, and Management pay plan groups. Conservative estimate for usage and growth. Administrative expenses due to bonding for the new field services building. Administrative expenses for HR position that was filled in 2020. Water Utility Worker position to help with Backflow Prevention inspections (carried over from 2020 budget). Administrative expense due to wellhead protection plan amendment. Highway 169 Redefine project from reserves. Water main construction from reserves. New Field Services Building from bonding. Submitted for approval is the 2021 Annual Business Plan which includes the 2021 Budget and the 2021 Schedule of Rates & Fees.The 2021 fees were already approved by the commission in November and are being presented here unchanged, with the exception of the 4% increase to WAC fees, for formal adoption in the Annual Business Plan. The adoption of the 2021 Schedule of Rates & Fees through the adoption of the Annual Business Plan shall supersede and replace all previously adopted tariffs, rates, and fees. FINANCIAL IMPACT: As previously discussed, the Travel & Training budget is an increase from the prior year of 50%. This increase is a result of a change in presentation of showing Labor expense within the budget. Some other proposed key items are as follows: Additional training (Everyday Leadership) in all departments that was identified as a need in our organizational effectiveness survey $20,000 (distributed among all departments). Backflow Tester Certification class $3,600 (budgeted for 3 employees). Various new IT Training/Education $3,000. Human Resource Training $2,000. As previously discussed, the Dues & Subscriptions - Fees budget has a 67% increase. This increase is mainly due to additional expenses of $110,000 related to bonding for the new field services building. The other increases are very minimal with nothing being noteworthy. ATTACHMENTS: Proposed 2021 Annual Business Plan o 2021 Budget o 2021 Schedule of Rates & Fees ______________________________________________________________________________ Page 2 of 2 74 2021 Annual Business Plan 75 TABLE OF CONTENTS 2021 BUDGET Summary of Budgets Electric Revenue and Expense Budget Water Revenue and Expense Budget Electric Capital Budget Administration and Technical Services Capital Budgets Water Capital Budget Training and Travel Budget Dues and Subscriptions Budget Conservation Improvement Program Budget 2021 SCHEDULE OF RATES & FEES Residential All Electric Service Rate Residential Electric Service Rate Residential Clean Energy Choice Program Rate Non-Demand All Electric Service Rate Non-Demand Electric Service Rate Demand All Electric Service Rate Demand Electric Service Rate Large Industrial Demand Electric Service Rate Commercial Clean Energy Choice Program Rate Off-Peak Demand Electric Service Rate Commercial All Electric with Ground Source Heat Pump Service Rate Ground Source Heat Pump Program Rate Electric Vehicle Charging Rates Energy Management Program Rates Dispersed Generation/Interruptible Load Program Rate Street/Security Light Service Rate Water Service Rates Fee Schedule 76 2021 Budget 77 ELK RIVER MUNICIPAL UTILITIES SUMMARY OF YEAR 2021 BUDGETS ELECTRICBUDGETSUMMARY2021 ELECTRICREVENUE$39,820,488 ELECTRICEXPENDITURES(38,468,940) ELECTRICNETFORCAPITAL1,351,5483.39%1,109,893110%annualavgdebtsvc2.79% DEBTRETIREMENT(953,000) PROMISSORYNOTETOCOUNTY(206,616) NETLESSDEBTPRINCIPALPMTS191,932 CAPITALEQUIPMENT/CONSTRUCTION(16,979,595) FUNDFROMRESERVES400,000*FieldServicesBuildingsiteprep FUNDFROMRESERVES884,185*TerritoryAcquisitionAreas1&2,3&4,5&6,7&8LossofRevenue BONDING12,231,000 NET(3,272,478) DEPRECIATION3,105,509 NETTORESERVES(166,968)*Notethatthisisseparatefromabovefundingofdrawonreserves WATERBUDGETSUMMARY2021 WATERREVENUE$2,778,731 WATEREXPENDITURES(3,093,704) WATERNETFORCAPITAL(314,972)11.34% DEBTRETIREMENT(282,000) NETLESSDEBTPRINCIPALPMTS(596,972) CAPITALEQUIPMENT/CONSTRUCTION(2,992,790) FUNDFROMRESERVES855,000*Highway169Redefine FUNDFROMRESERVES500,000*WaterMainConstruction(Capital) BONDING1,359,000 NET(875,762) DEPRECIATION1,182,605 NETTORESERVES306,843*Notethatthisisseparatefromabovefundingofdrawonreserves Ϋ/ǒƩƩĻƓƷƌǤͲƷğƩŭĻƷƩĻƭĻƩǝĻƭğƩĻƒĻƷ͵ 78 ELKRIVERMUNICIPALUTILITIES ELKRIVER,MINNESOTA 2021ELECTRICBUDGET 2021Annual2020Annual2019Annual ElectricBudgetBudgetActual Revenue OperatingRevenue ElkRiver 440.4411ELECTSALESELKRIVERRESIDENTIAL12,599,98511,827,24411,622,469 440.4412ELECTSALESELKRIVERNONDEMAND3,009,9623,142,8803,012,436 440.4413ELECTSALESELKRIVERDEMAND18,759,26418,863,09918,622,414 33,833,22333,257,319 TotalforElkRiver:34,369,210 Otsego 440.4416ELECTSALESOTSEGORESIDENTIAL1,274,4991,196,3361,164,319 440.4417ELECTSALESOTSEGONONDEMAND395,302412,758395,770 440.4418ELECTSALESOTSEGODEMAND1,075,452 1,099,8841,076,600 TotalforOtsego:2,745,2532,708,9782,636,689 RuralBigLake 440.4421ELECTSALESBIGLAKERESIDENTIAL192,155180,370176,484 440.4422ELECTSALESBIGLAKENONDEMAND3,9244,0973,708 TotalforRuralBigLake:196,078184,467180,192 Dayton 440.4431ELECTSALESDAYTONRESIDENTIAL198,925186,725180,895 440.4432ELECTSALESDAYTONNONDEMAND34,46435,98634,798 TotalforDayton:233,389222,711215,693 PublicSt&HwyLighting 440.4414ELECTSALESSECLTS244,000225,195226,649 TotalforPublicSt&HwyLighting:244,000225,195226,649 OtherElectricSales 440.455SUBSTATIONCREDIT4,8004,8004,800 TotalforOtherElectricSales:4,8004,8004,800 TotalforOperatingRevenue:37,792,73037,179,37436,521,342 OtherOperatingRevenue Interest/DividendIncome 460.4691INTEREST&DIVIDENDINCOME70,000100,000159,014 TotalforInterest/DividendIncome:70,000100,000159,014 CustomerPenalties 470.4701CUSTOMERDELINQUENTPENALTIES210,000254,552 TotalforCustomerPenalties:210,000254,552 LFGProject 470.4721LFGPROJECT1,186,3071,166,7421,102,835 TotalforLFGProject:1,186,3071,166,7421,102,835 ConnectionFees 470.4702DISCONNECT&RECONNECTCHARGE145,000150,000194,295 TotalforConnectionFees:145,000150,000194,295 MiscRevenue 470.4703MISCELECREVENUETEMPCHG500600 470.4704STREETLIGHT5,0005,00021,599 470.4715TRANSMISSIONINVESTMENTS460,951300,000422,221BudgetestimateprovidedbyCMPAS 470.4722MISCNONUTILITY60,00050,000114,433 470.4723GAINONDISPOSITIONOFPROPERTY15,000 470.4739PERAPENSIONREVENUE5,717 470.475RENTALPROPERTYINCOME8,08025,662 470.477CONTRIBUTIONSFROMCUSTOMERS100,00075,000125,764 470.478CONTRIBUTIONSFROMGRANTS10,000 TotalforMiscRevenue:626,451438,080740,996 TotalOtherRevenue TotalforTotalOtherRevenue:2,027,7582,064,8222,451,692 TotalRevenue 39,820,48839,244,19638,973,0341.5% Expenses PurchasedPower 540.5551PURCHASEDPOWER25,546,48025,507,84924,851,301 TotalforPurchasedPower:25,546,48025,507,84924,851,301 Operating&MtceExpense 540.5461OPERATINGSUPERVISION121,000109,513103,807 540.5471DIESELOILFUEL15,00017,00014,455 540.5472NATURALGAS27,00027,00024,994 540.5483ELECTRIC&WATERCONSUMPTIONPLANT33,00033,00031,289 540.5484PLANTSUPPLIES&OTHEREXPENSE10,0007,0008,368 540.5491MISCPOWERGENERATIONEXPENSE7,0007,0005,841 540.5521MAINTENANCEOFSTRUCTUREPLANT19,00019,00030,631 540.5531MTCEOFPLANTENGINES/GENERATORS20,00032,00019,825 540.5541MTCEOFPLANT/LANDIMPROVEMENT30,00030,00044,209 TotalforOperating&MtceExpense:282,000281,513283,419 LandfillGas 550.505LANDFILLGASPLANTPURCHASEDGAS182,000180,000172,286Percontract 550.5051LANDFILLGASPLANTOPERATIONS&MTCE518,725511,277529,311 550.5052LANDFILLGASPLANTADMINISTATION57,00035,00017,450Ctybonus,utilitiesandattyfees(increasedfrom$5kto$15K) 550.5053LANDFILLGASPLANTINSURANCE20,00025,00017,160 550.5054LANDFILLGASPLANTMTCE5,0001,172Roofrepair TotalforLandfillGas:782,725751,277737,379 TransmissionExpense 79 ELKRIVERMUNICIPALUTILITIES ELKRIVER,MINNESOTA 2021ELECTRICBUDGET 2021Annual2020Annual2019Annual ElectricBudgetBudgetActual 560.562TRANSMISSIONMTCEANDEXPENSE74,000 39,00039,331Updatedfrom$49,000forSubstationTech TotalforTransmissionExpense:74,00039,00039,331 DistributionExpense 580.5801REMOVEEXISTINGSERVICE&METERS2,0001,6002,080 580.5821SCADAEXPENSE42,80042,03239,704 580.5831TRANSFORMEREXPENSEOH&URD16,00020,00010,794 580.5851MTCEOFSIGNALSYSTEMS2,0002,000310 580.5861METEREXPENSEREMOVE&RESET1,0001,2006,388 580.5871TEMPSERVICEINSTALL&REMOVE2,0001,200894 580.5881MISCDISTRIBUTIONEXPENSE275,000312,968241,739 580.589INTERCONNECTIONCARRYINGCHARGE2,4162,4164,832 TotalforDistributionExpense:343,216383,416306,741 MaintenanceExpense 590.5911MTCEOFSTRUCTURES27,50021,5005,036 590.5921MTCEOFSUBSTATIONS28,00028,00025,431 590.5922MTCEOFSUBSTATIONEQUIPMENT57,00030,00026,181Updatedfrom$27,000forSubstationTech 590.5931MTCEOFOHLINES/TREETRIM150,000171,000106,712 590.5932MTCEOFOHLINES/STANDBY32,00031,00029,072 590.5933MTCEOFOHPRIMARY160,000140,000125,153Updatedfrom$140,000forSubstationTech 590.5941MTCEOFURDPRIMARY155,000130,000132,921Updatedfrom$134,000forSubstationTech 590.5943LOCATEELECTRICLINES97,00095,00090,191 590.5944LOCATEFIBERLINES1,0001,000373 590.5951MTCEOFLINETRANSFORMERS45,00051,00042,184 590.5961MTCEOFSTREETLIGHTING45,00045,00041,748 590.5962MTCEOFSECURITYLIGHTING10,00012,0008,431 590.5971MTCEOFMETERS85,000107,00076,866 590.5972VOLTAGECOMPLAINTS10,00010,0009,087 590.5981SALARIESTRANSMISSION&DISTRIBUTION43,00045,61739,247 590.5985ELECTRICMAPPING100,000115,00091,744 590.5991MTCEOFOHSECONDARY20,00020,00016,540 590.5992MTCEOFURDSECONDARY41,00041,00033,347 590.5995TRANSPORTATIONEXPENSE225,000225,000219,760 TotalforMaintenanceExpense:1,331,5001,319,1171,120,024 Depreciation&Amortization 595.8031DEPRECIATION2,437,3742,362,5432,188,122Add'lduetoLFGPlantEngines 595.8032AMORTIZATION668,135668,135668,135 TotalforDepreciation&Amortization:3,105,5093,030,6782,856,257 InterestExpense 596.8071INTERESTEXPENSEBONDS622,859657,782694,630 596.8075INTERESTEXPENSEDEFEASEDBONDS(3,317)(3,317)(3,316) 597.8281AMORTIZATIONOFDEBTDISCOUNT(48,152)(48,152)(48,151) TotalforInterestExpense:571,390606,313643,163 OtherOperatingExpense 597.8165EVCHARGINGEXPENSE4,6504,8774,528 597.8213LOSSONDISPOSITIONOFPROP(CAPITAL)12,50012,63017,049 597.8263OTHERDONATIONS3,0004,1042,856 597.8265MUTUALAID29,577 597.8302PENSIONEXPENSE82,00060,000150,775 597.8303OPEBEXPENSE45,0003,00092,537Usedaverage 597.8341INTERESTEXPENSEMETERDEPOSITS13,00023,82822,754 597.84RENTALPROPERTYEXPENSE 9,00010,179 TotalforOtherOperatingExpense:160,150117,439330,255 CustomerAccountsExpense 900.9021METERREADINGEXPENSE34,00029,29927,298 900.903DISCONNECT/RECONNECTEXPENSE15,00015,22614,521 900.9051MISCCUSTOMERACCOUNTSEXPENSEUTILITY275,000279,000264,303 900.9061BADDEBTEXPENSE&RECOVERY20,00015,00011,828 TotalforCustomerAccountsExpense:344,000338,525317,950 AdministrativeExpense 920.9201SALARIESOFFICE&COMMISSION762,000755,000697,446HRposition 920.9202SALARIESCOVID19 920.9205TEMPORARYSTAFFING4,0004,000 920.9211OFFICESUPPLIES165,000197,57086,045 920.9212ELECTRIC&WATERCONSUMPTIONOFFICE31,00030,58728,799 920.9213BANKFEES2,6403,0002,251 920.9221LEGALFEES32,00027,50026,786 920.9231AUDITINGFEES18,00017,36016,720 920.9241INSURANCE175,000175,000162,843 920.926UTILITYSHAREDEFERREDCOMP117,500103,00089,001Updatedfrom$115,000forSubstationTech 920.9261UTILITYSHAREMEDICAL/DENTAL/DISABIL807,166780,000714,622Updatedfrom$780,000forSubstationTech 920.9262UTILITYSHAREPERA269,940255,000241,529Updatedfrom$262,440forSubstationTech 920.9263UTILITYSHAREFICA252,650241,500227,281Updatedfrom$245,000forSubstationTech 920.9264EMPLOYEESICKPAY127,000120,983131,695 920.9265EMPLOYEEHOLIDAYPAY138,500131,643131,797 920.9266EMPLOYEEVACATION&PTOPAY230,000224,957222,218 920.9267UPMICDISTRIBUTION62,00065,00051,685Updatedfrom$60,000forSubstationTech 920.9291CONSULTINGFEES72,20030,00019,655BondingandAdditionalConsultingServicesforFieldServicesBldgand169Project 920.9301TELEPHONE31,00023,50022,519 920.9302ADVERTISING15,00015,00016,686 920.9303DUES&SUBSCRIPTIONSFEES220,093162,80097,465Bonding 80 ELKRIVERMUNICIPALUTILITIES ELKRIVER,MINNESOTA 2021ELECTRICBUDGET 2021Annual2020Annual2019Annual ElectricBudgetBudgetActual 920.9305SCHOOLS&MEETINGS198,811270,360154,238MMUASafetyLabor&EverydayLeadershipTraining 920.9321MTCEOFGENERALPLANT&OFFICEHEATING9,0005,8417,155 TotalforAdministrativeExpense:3,740,5013,639,6013,148,436 GeneralExpense 920.9269CIPREBATESRESIDENTIAL67,05075,62535,640 920.927CIPREBATESCOMMERCIAL222,200210,200112,422 920.9271CIPADMINISTRATION81,6687206,606 920.9272CIPMARKETING46,00043,40017,229 920.9273CIPLABOR100,083135,338150,344 920.9274CIPREBATESLOWINCOME15,5005,0008,405 920.9275CIPLOWINCOMELABOR15,5004,5009,661 920.9281ENVIRONMENTALCOMPLIANCE32,20030,56429,188 920.9306MISCGENERALEXPENSE2,500 4,800708 TotalforGeneralExpense:582,701510,147370,203 TotalExpenses(beforeOperatingTransfers)36,864,17236,524,87535,004,459 OperatingTransfer OperatingTransfer/OtherFunds 597.8262TRANSFERTOCITYELKRIVERREVENUE1,374,7681,365,0001,157,444 TotalforOperatingTransfer/OtherFunds:1,374,7681,365,0001,157,444 Utilities&LaborDonated 597.8261UTILITIES&LABORDONATEDTOCITY230,000220,000210,790 TotalforUtilities&LaborDonated:230,000220,000210,790 TotalOperatingTransfer TotalforTotalOperatingTransfer:1,604,7681,585,0001,368,234 NetIncomeProfit(Loss)1,351,5481,134,3212,600,341 81 ELKRIVERMUNICIPALUTILITIES ELKRIVER,MINNESOTA 2021WATERBUDGET 2021Annual2020Annual2019Annual BudgetBudgetActual Water Revenue OperatingRevenue WaterSales 610.6101WaterSalesResidential1,256,7461,242,9621,224,743 610.6102WaterSalesCommercial800,700801,362804,624 610.6103WaterSalesIrrigation242,30 4240,785205,855 TotalforWaterSales:2,299,7512,285,1092,235,222 TotalOperatingRevenue 2,299,7512,285,1092,235,222 2,299,7512,285,1092,235,222 TotalforTotalOperatingRevenue: OtherOperatingRevenue Interest/DividendIncome 460.4691Interest&DividendIncome38,00038,00038,097 460.4692OtherInterest/MiscRevenue1,0001,0001,088 TotalforInterest/DividendIncome:39,00039,00039,185 CustomerPenalties 620.6301CustomerPenalties15,00017,865 TotalforCustomerPenalties:15,00017,865 ConnectionFees 620.6401Water/Access/ConnectionsFees110,000200,000428,662 620.6402CustomerConnectionFees30,00020,00035,888 620.6407BulkWaterSales/HydrantRental14,0005,00014,695 TotalforConnectionFees:154,000225,000479,245 MiscRevenue 470.4722MiscNonUtility 470.4739PeraPensionRevenue973 470.475RentalPropertyIncome2,0006,416 620.626TransferInFromCity25,000 620.6403MiscellaneousRevenue449 620.6323GainOnDispositionOfProperty 620.6404HydrantMaintenanceProgram11,50011,76012,984 620.6406WaterTowerLease274,480235,713227,050 TotalforMiscRevenue:285,980274,473247,871 TotalOtherRevenue 478,980553,473784,165 TotalforTotalOtherRevenue:478,980553,473784,165 TotalRevenue 2,778,7312,838,5823,019,387 Expenses ProductionExpense 700.7021MTCEOFSTRUCTURES61,20060,00057,354Securityupgrade TotalforProductionExpense:61,20060,00057,35 4 PumpingExpense 710.7101SUPERVISION63,00055,00049,455 710.7181ELECTRIC&GASUTILITIES240,000230,000229,100 710.7182SAMPLING15,00018,00013,681 710.7183CHEMICALFEED28,00028,00018,435 710.722MTCEOFWELLS175,000186,124144,649 710.723SCADAPUMPING10,00010,0003,767 TotalforPumpingExpense:531,000527,124459,087 DistributionExpense 730.7301MTCEOFWATERMAINS85,00087,22069,733 730.7309LOCATEWATERLINES16,00016,00015,704 730.7312WATERMETERSERVICE45,00045,14341,578 730.7316BACKFLOWDEVICEINSPECTION15,00011,782338devicesandsoftwareexpense 730.7321MTCEOFCUSTOMERSSERVICE25,00027,80522,143 730.7325WATERMAPPING12,00016,00012,404 730.7331MTCEOFWATERHYDRANTSPUBLIC20,00025,00018,159 730.7332MTCEOFWATERHYDRANTSPRIVATE7,0009,0002,897 730.7341WATERCLOTHING/PPE10,0009,0007,823 730.7391WAGESWATER7,5007,0006,121 730.7395TRANSPORTATIONEXPENSE15,00015,00011,073 730.7399WATERPERMIT15,00015,00013,733 TotalforDistributionExpense:272,500283,951221,368 82 ELKRIVERMUNICIPALUTILITIES ELKRIVER,MINNESOTA 2021WATERBUDGET 2021Annual2020Annual2019Annual BudgetBudgetActual Water Depreciation&Amortization 595.8031DEPRECIATION1,182,6051,215,8391,147,148 TotalforDepreciation&Amortization:1,182,6051,215,8391,147,148 InterestExpense 596.8071INTERESTEXPENSEBONDS14,28824,34533,767 596.8075INTERESTEXPENSEDEFEASEDBONDS(829)(829)(829) TotalforInterestExpense:13,45923,51632,938 OtherOperatingExpense 597.8213LOSSONDISPOSITIONOFPROP(CAPITAL) 597.8264DAMMAINTENANCEEXPENSE1,0008931,442 597.8302PENSIONEXPENSE20,5005,000(17,722)Usedaverage 597.8303OPEBEXPENSE20,0003,00024,663Usedaverage 597.8341INTERESTEXPENSEMETERDEPOSITS500758730 597.84RENTALPROPERTYEXPENSE2,1252,544 TotalforOtherOperatinExpense:42,00011,77611,657 CustomerAccountsExpense 900.9021METERREADINGEXPENSE2,5001,7611,334 900.9051MISCCUSTOMERACCOUNTSEXPENSEUTILITY65,00065,10060,465 900.9061BADDEBTEXPENSE&RECOVERY1,0001,000 TotalforCustomerAccountsExpense:68,50067,86161,799 AdministrativeExpense 920.9201SALARIESOFFICE&COMMISSION211,000212,000197,084HRposition 920.9202SALARIESCOVID19 920.9205TEMPORARYSTAFFING1,0001,000 920.9211OFFICESUPPLIES41,25054,16218,533 920.9212ELECTRIC&WATERCONSUMPTIONOFFICE8,0007,3537,199 920.9213BANKFEES700800542 920.9221LEGALFEES8,0005,5266,264 920.9231AUDITINGFEES4,5004,3404,180 920.9241INSURANCE26,00024,00023,391 920.926UTILITYSHAREDEFERREDCOMP20,00022,00014,612 920.9261UTILITYSHAREMEDICAL/DENTAL/DISABIL208,500208,455174,917 920.9262UTILITYSHAREPERA46,00048,95341,109 920.9263UTILITYSHAREFICA45,00043,99038,523 920.9264EMPLOYEESICKPAY30,00030,00026,370 920.9265EMPLOYEEHOLIDAYPAY28,00028,27522,245 920.9266EMPLOYEEVACATION&PTOPAY40,00037,00035,614 920.9267UPMICDISTRIBUTION10,50011,0007,421 920.9268WELLHEADPROTECTION20,000Wellheadprotectionplanamendment 920.9291CONSULTINGFEES13,50034,0004,662Bonding 920.9301TELEPHONE6,0005,5005,487 920.9302ADVERTISING7,0007,0006,575 920.9303DUES&SUBSCRIPTIONSFEES80,32852,00043,975Bonding 920.9305SCHOOLS&MEETINGS49,31257,87119,352MMUASafetyLabor&EverydayLeadershipTraining 920.9321MTCEOFGENERALPLANT&OFFICEHEATING2,7001,8891,788 TotalforAdministrativeExpense:907,290897,114699,843 GeneralExpense 920.9269CIPREBATESRESIDENTIAL4,5004,6054,005 920.927CIPREBATESCOMMERCIAL500 920.9272CIPMARKETING500477210 920.9273CIPLABOR4,7004,4894,226 920.9281ENVIRONMENTALCOMPLIANCE2,2001,003934 920.9306MISCGENERALEXPENSE1,2501,1501,216 TotalforGeneralExpense:13,65011,72410,591 TotalExpenses(beforeOperatingTransfers) 3,092,2043,098,9062,701,785 OperatingTransfer Utilities&LaborDonated 597.8261WATER&LABORDONATEDTOCITY1,5001,6301,583 TotalOperatingTransfer TotalforTotalOperatingTransfer:1,5001,6301,583 NetIncomeProfit(Loss)(314,972)(261,953)316,019 83 Elk River Municipal Utilities Business Plan/Budget 2021 Electric Department Capital Budget Capital Construction Projects - Non-Recurring Normal Distribution, Feeders, and Substations CostDescription $ 100,000185th Ave rebuild $ 75,000 Otsego Street Lights $ 75,000 Highway 10 project from Xenia to Jackson $ 750,000Highway 169 redefine 750,000.00 $ 100,000Cty Rd 13 Tyler to Line Ave w/ Roundabout $ 50,000 Cty Rd 33 $ 140,000RDF Plant $ 300,000Power Plant Substation RelocationReserves $ 100,000Field Services Site Prep (relocating feeders)Reserves $ 200,000Rebuild feeder 73 from power plant to Hwy 10 $ 100,000County Rd 35 Feeder to Waco Subtotal$ 1,990,000 Capital Construction Projects - Recurring CostDescription $ 200,000Transformers and Meters $ 350,000New Development Distribution Installation $ 50,000 Street Lighting $ 50,000 Ongoing OH Equip Replacement (Poles, Switches, Cut-Outs) $ 100,000Ongoing URD Equip Replacement (Switches, J-Boxes, Fuse Pads) $ 500Territory Acquisition - Loss of Revenue payment (1991 contract) $ 884,185Territory Acquisition - Loss of Revenue payment (2015 contract - Area 1&2, 3&4, 5&6, 7&8)Reserves Subtotal$ 1,634,685 Capital Equipment Needs CostDescription $ 45,000 Pickup TrucksTruck #28 $ 275,000Replace Digger Truck Vehicle #10 $ 300,000Replace Bore RigVehicle #56 $ 60,000 Mini Skid $ 46,160 Electric share of Administration $ 397,750Electric Share of Technical Services Subtotal$ 1,123,910 Field Services Building $ 12,231,000 Total Capital$ 16,979,595 Electric Noteworthy Non-Recurring Expenses CostDescription $ 4,000Repaint Trailer $ -Laptop Computers, Ipads, Software, Accessories $ 7,800Electric share of Administration $ 9,500Electric share of Technical Services Total$ 21,300 84 Elk River Municipal Utilities Business Plan/Budget 2021 Administration and Technical Services Departments Capital Budgets Administration Capital Equipment Needs CostDescription $ 17,000Office Furniture $ 20,000Network Switch (City main core) $ 5,000Network Switches (ERMU) $ 8,200NISC Linux Upgrade $ 5,000Domain Controller $ 2,500Endorser Subtotal$ 57,700 Administration Noteworthy Non-Recurring Expenses CostDescription $ 9,750Computer, Software, Accessories, Scanners, Printers - Upgrades Subtotal$ 9,750 Total Administration$ 67,450 Technical Services Capital Equipment Needs CostDescription $ 45,000ESRI Bolt-On Software Currently designated as emergency standby, $ - Diesel Engines Emission Retrofit$ 350,000retrofit on hold until further notice $ - Diesel Plant to run on Natural gas.$ 20,000Deferred until future date $ 25,000upgrade tanks per inspection issues$25,000Deferred until 2021 or later $ 15,000Repair Exhaust - Engine #3 $ 5,000Rebuild - Engine #3 $ 5,000VOLT/VAR Implementation $ 25,000Fiber Extension - 169 to Sub $ 20,000Fiber Extension - Waco Sub $ 50,000Substation Meter and SCADA Equipment $ 210,000LFG Rebuild Engine #2, #3, #4 per contract $ - Meter Testing Equipment $ - Trucks Subtotal$ 400,000 Technical Services Noteworthy Non-Recurring Expenses CostDescription $ 10,000Computers, Software, Accessories - Upgrades Subtotal$ 10,000 Total Technical Services$ 410,000 Total Capital Items$ 457,700 Total Non-Recuring Expenses$ 19,750 85 ElkRiverMunicipalUtilitiesBusinessPlan/Budget 2021WaterDepartmentCapitalBudget WaterCapitalConstructionNeeds CostDescription $30,000Well#6RoofReplacement $40,000Well#8Rehab $100,000FacilityRepair $20,000MeadowvaleBoosterStation $15,000Placeholderforundeterminedprojects $60,000SCADAupgrades $855,000Highway169RedefineReserves $500,000WaterMainConstruction(Capital)Reserves Subtotal1,620,000$ CapitalEquipmentNeeds CostDescription $Trucks $11,540WatershareofAdministration $2,250WaterShareofTechnicalServices Subtotal $13,790 $1,359,000 FieldServicesBuilding TotalCapital2,992,790$ WaterNoteworthyNonRecurringExpenses CostDescription $3,000Computers $10,000Meters/ERT $1,950WatershareofAdministration $500WatershareofTechnicalServices Total$15,450 86 ELK RIVER MUNCIPAL UTILITIES TRAVEL & TRAINING BUDGET FOR 2021 BudgetBudgetBudget #Attending 202120202019 Comments Electric MMUAOverheadHotLineSchool2people2,1102,1103,165 MMUAUndergroundSchool2people2,1102,1103,165 MMUATransformerSchool2people2,1102,1103,510 MMUASubstationWorkshop2people2,1102,1102,110 1stLineSupervision1person1,7901,7001,700 AdvancedStakingWorkshop1person1,9001,900 Apprenticeship3people1,8751,1001,650 MMUAMeterSchool2people 1,9401,9401,940 MMUALocatorWorkshop2people720720720 RegionalWorkshop8people9201,150650 InfraredCameratraining750 CompetentPersontraining2people950950 GPS750 APPALinemenRodeoteam3people5,0003,4014,284LosAnglesCA20211team CrossTrainingSchool/DieselWorkshop2people1,9101,9101,910 PCBTraining1person1,2331,4281,428 MemberInformationConf(NISC)1person2,1352,1351,800 MMUAT&OConference2people230850850InventoryForepersonattendingpartial TreeTrimming/ChainsawWorkshop4people2,0604,120 EverydayLeadershipTraining16people7,2732,000IdentifiedneedinSurvey AdditionalTraining2,0002,0002,000 13%40,37635,74432,382 Water WaterCertificationContinuingEducation3people2,0002,0002,000 WastewaterCertificationContinuingEducation3people1,5001,5001,500 BackflowTesterCertificationClass3people3,600 ProfessionalOperatorandDevelopment1person750750 1stLineSupervision1person1,790 EverydayLeadershipTraining3people1,364500IdentifiedneedinSurvey AdditionalTraining2,5002,5002,500 86%13,5047,2506,000 TechnicalServices MMUALocatorWorkshop750 AdvancedStakingWorkshop1person 1,900750 MMUADieselWorkshop1person850750750 Engineeringseminar1person2,0002,000 EngineeringMPSYCON875875 UMMAMeterWorkshop1person700903903MNElectricMeterSchoolTony CADWorkshops/GPS2,000 ESRIUserConference SubstationSchool1person890890890 PowerQualitytraining2people1,0001,000751 InfraredCameratraining1person1,0001,0001,000 UMMAwintermtg1people400800800 UMMAsummermtg1person400400400 1stLineSupervision1person1,790 ElectricalLicensing1person365361 CrossTrainingSchool1person890890 ApprenticeMeterProgram(2) EverydayLeadershipTraining4person1,8181,000IdentifiedneedinSurvey AdditionalTraining1,0001,0001,000 28%9,84813,77314,120 Administration AWWA1staff1,7001,7001,700WaterCertificationContinuingEducation MRWA1staff500500WaterCertificationContinuingEducation WastewaterCertificationContinuingEducation1staff500500100 MVRSMeter/Softwaretraining1staff AWWANationalConference1staff2,1002,100 WaterUtilityManagementInstitute1staff605 EngineeringMPSYCON2staff1,750875875 UMMAMeterWorkshop1staff700 UMMAwintermtg1staff400 MMUAAnnualSummerMeeting3staff/5comm7,4067,4067,090 MMUALegislativeRoundup2staff/1comm1,3051,305870 APPALegislativeRoundup2staff/1comm6,4756,4752,950 MMUAT&OConference4staff2,4002,4002,400 AdvancedTraining1staff1,9001,900 Engineeringseminar1staff2,000 Clerk'sConference1staff800800800 MMUALeadershipAcademy1staff4,3103,1103,110 APPAE&OConference3staff6,1856,1856,185 APPANationalConference1staff/0comm3,0503,0501,800 1stLineSupervision2staff3,5803,4003,400 MemberInformationConf(NISC)3staff4,2706,4055,400 APPATraining(Mgmt,CS,Fin,Eng,CIP,etc)1staff2,5001,5292,500 APPATraining(Mgmt,CS,Fin,Eng,CIP,etc)1staff1,116 APPABoardMemberandRP3Travel1staff2,500 APPACybersecuritySummit1staff HumanResourcesTraining/Conference1staff2,000 EmergencyPreparedness&Restoration3staff1,085 CPACPE1staff1,500 ManagementTraining5,000 EverydayLeadershipTraining11person5,000 AdditionalTraining1,0001,0001,000 14%63,33155,34045,785 Office MemberInformationConf(NISC)2staff4,2704,2703,600 CustomerService3,0005,2501,750IdentifiedneedinSurvey AdobePublishing&DesignSoftwaretraining1staff6001,0001,000Communicationspositionattending MNMunicipalClerksInstitute1staff800Communicationspositionattending ChamberLeadershipProgram1person400400400 Financial/Accounting(APA,SHRM,NISC&Misc)1,6503,1252,925APAContinuingEd,MiscPR,Excel,AccountingMisc EverydayLeadershipTraining10person4,5451,500IdentifiedneedinSurvey AdditionalTraining1,0001,0001,000 APPACybersecuritySummit1staff1,500NewITTraining ITSCCPOnlineEducation1staff500NewITTraining NISC/MiscITTraining1staff1,000NewITTraining 16%19,26516,54510,675 SafetyTraining SafeDriverTraining7staff2,1002,1002,100 AdditionalTraining1,0001,000Updatedfrom0to1,000 HearingTest700700700 MMUAMonthlySafetyMeetings30,00029,200MovedtoDues&SubscriptionsFees Labor95,000Updatedfrom90,000to95,000 192%98,80033,80032,000 Education 3,0003,0003,000 3,0003,0003,000 Total 248,124165,452143,962 TotalChange 50%15%24% .ǒķŭĻƷ/ŷğƓŭĻǞźƷŷƚǒƷ\[ğĬƚƩ/ƚƒƦƚƓĻƓƷАі Page1 87 ELK RIVER MUNCIPAL UTILITIES DUES & SUBSCRIPTIONS - FEES BUDGET FOR 2021 BudgetBudgetActual Description202120202019 MMUAMembershipDues32,50030,67930,999 MMTGDues6,6006,5506,549 APPADues17,63015,50015,980updatedfrom17,000to17,630 APPADEEDProgramDues3,4003,1003,196 APPACustomerSurveyBenchmarking1,200updatedfrom1,200to0 MMUAMonthlySafetyMeetings 30,150 30,00029,200updatedfrom30,000to30,150 Rotary 300300300 DrugandAlcoholRandomTesting 800961775 BondAdministrative&ManagementFees 4,0001,7004,000USBank,City(BondDisclosureFees) Publications 387 QuarterlyMNDeptofHealthWaterConnectionFee 52,00052,00033,222 MRWAAnnualFee300270250updatedfrom250to300 AWWAAnnualFee(DuesandUpdates)2,904 2,4452,737updatedfrom2,800to2,904 MPCAPermitFeeWTP 345345 MPCAPermitFeeEngines 240586211 HomelandSecurity(HazardousChemicalFee)700725 SUSAMembership 125125(125) ElkRiverChamberMembership 600500530 updatedfrom550to600 EconomicDevelopmentAssociation 350295 GASBSubscription 260265260 ESRISmallGovtEnterpriseagreement27,00025,0005,995 AutoCADMaintenanceSupport2,4002,6002,030 AdobeCreativeCloudsoftware900 1,800267 AdobeProsoftware900 260 ResourceTraining&Solutionsmembership210 190207 MunicipalsMembership25 25 SurveyMonkey390 300360 AWWAPartnershipSafeWaterTreatment/Distribution 100300100 HRprofessionalmembership(s)500500 Miscellaneous 4,7921,0005,233Detailbelow BondUnderwriter'sDiscount85,0002021BondingExpense BondServiceProfessionalFee25,0002021BondingforFieldServicesBuilding Total 300,421179,908142,276 BudgetChange 67%74% .ǒķŭĻƷ/ŷğƓŭĻǞźƷŷƚǒƷ.ƚƓķźƓŭ9ǣƦĻƓƭĻƭЏі Miscellaneous4,792 1,000 5,233Total APANorthstarChapterMembershipFee 5050 SupervisorsLegalUpdateRenewal 530 ClassAElectricalLicense 13073 CPALicenseRenewal102204 MNSocietyofCPAMembership630310 Zoom 170 MCFOAMembership 9045 2memberships AWWAMembershipRenewal 316158 4memberships MPCAWastewaterCertificationRenewal 9246 4renewals EngineerLicenseRenewal 180 Evenyearrenewal IEEEMembershipRenewal241 241 SHRMMembershipRenewal219 189 updatedfrom190to219 NotaryRenewalFee 120 renews12/2025 APAMembershipRenewal 260254 MiscBonds/Permits 1,7501,750 WaterOperatorLicense 9246 4renewals ISC2Cerfication(IT)120 RP2ApplicationFee 1,200 Every3years BPMSSoftware 367 Page1 88 2021CIPOperatingBudget RequiredSpendingandSavingsGoals TotalSpendingRequirement1.5%ofGOR$547,350.00 LowIncome.2%ofResidentialGOR$26,134.00 MinimumConservationSpendingRequirement$273,675.00 MaximumLoadManagementSpendingRequirement273,675.00$ EnergySavingsGoal(kWh)LineLoss7.6%Subtracted5,005,684 TotalCIPBudget2021 DirectLabor$70,158 General&Administration$45,425 Advertising$46,500 Equipment$12,000 Contract(Includes$32,000MNPUCAssessment)$81,668 Total$255,751 ERMURebates$292,250 TotalallExpensesandRebates$548,001 TotalEstimatedkWhSavings5,006,099 TotalOperatingCIPBudgetNoRebatesOnlyDirectCosts DirectLabor$70,158 Advertising$46,500 Equipment$12,000 Contract(Includes$32,000MNPUCAssessment)$81,668 TotalERMUOperatingExpenses$210,326 TotalRebateBudget ERMUSelfFunded$292,250 TotalRequestedBudget DirectLabor$70,158 Advertising$46,500 Equipment$12,000 Contract(Includes$25,000MNPUCAssessment)$81,668 ERMUSelfFundedRebates$292,250 TotalRequested2021Budget*$502,576 *NoGeneralandAdministrativeIncluded 89 2021 Schedule of Rates & Fees 90 RESIDENTIAL ALL ELECTRIC SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To single-family residences and individually metered apartments for all domestic purposes with electric energy as a sole source of heating, and when all service is supplied through a single meter, provided ratings of individual single-phase motors do not exceed five (5) horsepower. Character of Service: AC, 60 cycles, 120/240 volt, three wire, single-phase. Special Conditions: Residential service to a multiple dwelling or apartment house through a single meter is allowed for existing services only. Service under this rate schedule shall not be sub-metered and resold to the individual tenants on the basis of usage and the cost of electric service to the tenant must be furnished without specific charge or price which varies with the quantity of energy used. Any apartment or dwelling unit which has separate permanent kitchen facilities shall be considered as one single family private residence. Meter to be accessible to our service department at any time. Residential All Electric Service Rate: Basic Monthly Electric Charge: $13.50 per month Summer Winter $0.1270 / kWh / month $0.1160 / kWh / month Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Minimum Bill: The Basic Monthly Electric Charge. Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Page 1 of 2 91 Residential All Electric Service Rate Terms and Conditions: 1.Usage may be fractionalized on the actual days of service for application of a change in rate or changing from summer to winter or from winter to summer rates. 2.Service will be furnished pursuant to rules. 3.Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4.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. 5.Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 92 RESIDENTIAL ELECTRIC SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To single-family residences and individually metered apartments for all domestic purposes when all service is supplied through a single meter, provided ratings of individual single-phase motors do not exceed five (5) horsepower. Character of Service: AC, 60 cycles, 120/240 volt, three wire, single-phase. Special Conditions: Residential service to a multiple dwelling or apartment house through a single meter is allowed for existing services only. Service under this rate schedule shall not be sub-metered and resold to the individual tenants on the basis of usage and the cost of electric service to the tenant must be furnished without specific charge or price which varies with the quantity of energy used. Any apartment or dwelling unit which has separate permanent kitchen facilities shall be considered as one single family private residence. Meter to be accessible to our service department at any time. Residential Electric Service Rate: Basic Monthly Electric Charge: $13.50 per month Summer Winter $0.1270 / kWh / month $0.1160 / kWh / month Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Minimum Bill: Basic Monthly Electric Charge. Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Page 1 of 2 93 Residential Electric Service Rate Terms and Conditions: 1.Usage may be fractionalized on the actual days of service for application of a change in rate or changing from summer to winter or from winter to summer rates. 2.Service will be furnished pursuant to rules. 3.Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4.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. 5.Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 94 RESIDENTIAL CLEAN ENERGY CHOICE PROGRAM RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To ERMU customers receiving service under another residential electric rate. This Program is available to residential will have the option to purchase 50, 75 or 100 percent of the monthly energy consumption from renewable energy sources. ERMU customers receiving service under the electric vehicle charging rate will be automatically enrolled in the Residential Clean Energy Choice Program Rate at the 100 percent participation level at no additional monthly charge. The customer shall agree to: 1.Complete an application - through the online registration process, or by returning a printed copy to ERMU. 2.Clearly indicate the participation level and the additional monthly charge applicable to the 50, 75 or 100 percent subscription level desired. 3.Provide notice to ERMU to cancel participation. ERMU shall provide: 1.Monthly billing statement with the Clean Energy Choice participation level clearly identified. 2.The applicable incremental cost per participation level will be identified and added to the billing statement. Participation Level % Monthly Charge 50 $1 75 $2 100 $3 Federal, state and local taxes may apply. Adopted December 817, 202019 Effective January 1, 20210 Page 1 of 1 95 NON-DEMAND ALL ELECTRIC SERVICE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: Available for non-residential customer accounts. Existing or new Customer accounts with electric energy as a sole source of heating, and with actual or projected demands of less than 50 kW for the previous 12 consecutive months if applicable. When the Customer achieves an actual maximum demand of 50 kW or greater, the Customer will be placed on the Demand Electric Service rate in the next billing cycle. The Customer accounts shall be in compliance with all policies, procedures, and safety requirements, and shall be taken through one meter. Rating of individual single-phase motors and other single-phase power and heating units served under this schedule shall not exceed ten (10) horsepower (or 7.355 kW) except by special permission. (Not applicable to resale, standby or auxiliary service.) Character Of Service: AC, 60 cycles, 120 volts or 120/240 volts, single-phase; 120/208 volts, or 277/480 volts, three-phase. Four wire, 240 volts three phase will only be applicable to existing customers now being served by this voltage. A Customer requiring voltages other than that already established by ERMU shall be required to provide suitable space and location for associated equipment. Special Conditions: One meter shall be installed to service one class of business. If additional buildings are required for a given business, they shall be interconnected by the customer to obtain one meter. If additional meters and services are requested by the customer, each shall be treated as a separate customer and billed individually. Meter must be accessible to our service department at any time. Installation of Demand Meter: At the option of ERMU, a demand meter may be installed on any customer whose monthly usage exceeds 15,000 kWh. Non-Demand All Electric Service Rate: Basic Monthly Electric Charge: $30.00 per month Summer Winter $0.1230 / kWh / month $0.1030 / kWh / month Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Page 1 of 2 96 Non-Demand All Electric Service Rate Federal, state, and local taxes may apply. Minimum Bill: The Basic Monthly Electric Charge plus $1.00 per kW per month of excess transformer capacity requested by customer. In case of equipment having abnormally low annual utilization factors or unusual operating characteristics, special minimum charges may be prescribed by ERMU. Power Factor Adjustment: The rates set forth in this schedule are based on the maintenance by the Customer of a power factor of not less than 95% at all times. If the power factor, as measured by the electric department, is lower than 95%, the monthly demand charge may be multiplied by the ratio 95% divided by the measured power factor, or at option, the power factor may be corrected at the Fluctuating Loads: Customers operating equipment having a highly fluctuating or large instantaneous demand, such as welders and X-ray machines, shall be required to pay all non-betterment costs of isolating the load from the balance of lines. No motor larger than ten (10) HP (or 7.355 kW) will be allowed to be across-the-line started without notification and written authorization from ERMU. In addition, Customers who fail to provide adequate corrective equipment shall be required to own and maintain their own transformers. Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Terms and Conditions: 1. Usage may be fractionalized on the actual days of service for application of a change in rate or changing from summer to winter or from winter to summer rates. 2. Service will be furnished pursuant to rules. 3. Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4. The rate 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. 5. Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 97 NON-DEMAND ELECTRIC SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: Available for non-residential customer accounts. Existing or new Customer accounts with actual or projected demands of less than 50 kW for the previous 12 consecutive months if applicable. When the Customer achieves an actual maximum demand of 50 kW or greater, the Customer will be placed on the Demand Electric Service rate in the next billing cycle. The Customer accounts shall be in compliance with all policies, procedures, and safety requirements, and shall be taken through one meter. Rating of individual single-phase motors and other single-phase power and heating units served under this schedule shall not exceed ten (10) horsepower (or 7.355 kW) except by special permission. (Not applicable to resale, standby or auxiliary service.) Character Of Service: AC, 60 cycles, 120 volts or 120/240 volts, single-phase; 120/208 volts, or 277/480 volts, three-phase. Four wire, 240 volts three phase will only be applicable to existing customers now being served by this voltage. A Customer requiring voltages other than that already established by ERMU shall be required to provide suitable space and location for transformers, metering and associated equipment. Special Conditions: One meter shall be installed to service one class of business. If additional buildings are required for a given business, they shall be interconnected by the customer to obtain one meter. If additional meters and services are requested by the customer, each shall be treated as a separate customer and billed individually. Meter must be accessible to our service department at any time. Installation of Demand Meter: At the option of ERMU, a demand meter may be installed on any customer whose monthly usage exceeds 15,000 kWh. Non-Demand Service Rate: Basic Monthly Electric Charge: $30.00 per month Summer Winter $0.1230 / kWh / month $0.1030 / kWh / month Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Page 1 of 2 98 Non-Demand Electric Service Rate Federal, state, and local taxes may apply. Minimum Bill: The Basic Monthly Electric Charge plus $1.00 per kW per month of excess transformer capacity requested by customer. In the case of equipment having abnormally low annual utilization factors or unusual operating characteristics, special minimum charges may be prescribed by ERMU. Power Factor Adjustment: The rates set forth in this schedule are based on the maintenance by the Customer of a power factor of not less than 95% at all times. If the power factor, as measured by the electric department, is lower than 95%, the monthly demand charge may be multiplied by the ratio 95% divided by the measured power factor, or at option, the power factor may be corrected at the Fluctuating Loads: Customers operating equipment having a highly fluctuating or large instantaneous demand, such as welders and X-ray machines, shall be required to pay all non-betterment costs of isolating the load from the balance of lines. No motor larger than ten (10) HP (or 7.355 kW) will be allowed to be across-the-line started without notification and written authorization from ERMU. In addition, Customers who fail to provide adequate corrective equipment shall be required to own and maintain their own transformers. Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Terms and Conditions: 1.Usage may be fractionalized on the actual days of service for application of a change in rate or changing from summer to winter or from winter to summer rates. 2.Service will be furnished rules. 3.Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4.The rate 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. 5.Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 99 DEMAND ALL ELECTRIC SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: Available for non-residential customer accounts. Existing or new Customer accounts with electric energy as a sole source of heating, and with actual or projected demand greater than or equal to 50 kW. A Customer account with a billing demand of less than 50 kW for 12 consecutive months will be given the option of switching to the Non-Demand rate. The Customer accounts shall be in compliance with all policies, procedures, and safety requirements, and shall be taken through one meter. (Not applicable to resale, standby or auxiliary service.) A Customer on this rate may qualify for integrity testing. Character Of Service: AC, 60 cycles, 120 volts or 120/240 volts, single-phase; 120/208 volts, or 277/480 volts, three-phase. Four wire, 240 volts three-phase will only be applicable to existing customers now being served by this voltage. A customer requiring voltages other than that already established shall be required to provide suitable space and location for transformers, metering and associated equipment. Special Conditions: One meter shall be installed to service one class of business. If additional buildings are required for a given business, they shall be interconnected by the customer to obtain one meter, unless an exception is approved by management. If additional meters and services are requested by the customer, each shall be treated as a separate customer and billed individually. Meter to be accessible to our service department at any time. Demand Service Rate: Basic Monthly Electric Charge: $75.00 per month. Summer Winter Demand Charge: $15.50 $11.50 in kW / month Energy Charge: $0.0651 $0.0651 in kWh / month Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Federal, state and local taxes may apply. Page 1 of 2 100 Demand All Electric Service Rate Minimum Bill: Maximum billing demand during previous twelve months times 3.0% of the demand charge, or the actual demand multiplied by the demand charge, whichever is greater plus $1.00 per kWVA per month of excess transformer capacity requested by customer. Determination of Billing Demand: The billing demand shall be the highest measured demand (corrected for power factor if required) during any fifteen (15) minute period occurring in the current billing period. But in no month shall the billing demand be greater than the value in kW determined by dividing the kWh sales for the billing month by 75 hours per month. This billing adjustment applies only if the Fluctuating Loads: Customers operating equipment having a highly fluctuating or large instantaneous demand, such as welders and X-ray machines, shall be required to pay all non-betterment costs of isolating the load from the balance of system so that the load will not unduly interfere with service on ERMU's lines. In addition, Customers who fail to provide adequate corrective equipment shall be required to own and maintain their own transformers. No motor larger than ten (10) HP (or 7.355 kW) will be allowed to be across-the-line started without notification and written authorization from ERMU. Power Factor Adjustment: For loads of 50 kW or more, or at the option of ERMU for loads of less than 50 kW, power factor adjustments may be made in the billing demand, when the power factor, as measured by electric department, is lower than 95%, the monthly demand charge may be multiplied by the ratio 95% divided by the measured power factor, or at option, the power Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Terms and Conditions: 1.Usage may be fractionalized on the actual days of service for application of a change in rate. 2.Service will be furnished pursuant to rules. 3.Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4.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. 5.Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 101 DEMAND ELECTRIC SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: Available for non-residential customer accounts. Existing or new Customer accounts with actual or projected demand greater than or equal to 50 kW. A Customer account with a billing demand of less than 50 kW for 12 consecutive months will be given the option of switching to the Non-Demand rate. The Customer accounts shall be in compliance with all policies, procedures, and safety requirements, and shall be taken through one meter. (Not applicable to resale, standby or auxiliary service.) A Customer on this rate may qualify for integrity testing. Character Of Service: AC, 60 cycles, 120 volts or 120/240 volts, single-phase; 120/208 volts, or 277/480 volts, three-phase. Four wire, 240 volts three-phase will only be applicable to existing customers now being served by this voltage. A customer requiring voltages other than that already established shall be required to provide suitable space and location for transformers, metering and associated equipment. Special Conditions: One meter shall be installed to service one class of business. If additional buildings are required for a given business, they shall be interconnected by the customer to obtain one meter, unless an exception is approved by management. If additional meters and services are requested by the customer, each shall be treated as a separate customer and billed individually. Meter to be accessible to our service department at any time. Demand Service Rate: Basic Monthly Electric Charge: $75.00 per month. Summer Winter Demand Charge: $15.50 $11.50 in kW / month Energy Charge: $0.0651 $0.0651 in kWh / month Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Federal, state and local taxes may apply. Page 1 of 2 102 Demand Electric Service Rate Minimum Bill: Maximum billing demand during previous twelve months times 3.0% of the demand charge, or the actual demand multiplied by the demand charge, whichever is greater plus $1.00 per kWVA per month of excess transformer capacity requested by customer. Determination of Billing Demand: The billing demand shall be the highest measured demand (corrected for power factor if required) during any fifteen (15) minute period occurring in the current billing period. But in no month shall the billing demand be greater than the value in kW determined by dividing the kWh sales for the billing month by 75 hours per month. This billing adjustment applies only if the Fluctuating Loads: Customers operating equipment having a highly fluctuating or large instantaneous demand, such as welders and X-ray machines, shall be required to pay all non-betterment costs of he load will not provide adequate corrective equipment shall be required to own and maintain their own transformers. No motor larger than ten (10) HP (or 7.355 kW) will be allowed to be across-the-line started without notification and written authorization from ERMU. Power Factor Adjustment: For loads of 50 kW or more, or at the option of ERMU for loads of less than 50 kW, power factor adjustments may be made in the billing demand, when the power factor, as measured by electric department, is lower than 95%, the monthly demand charge may be multiplied by the ratio 95% divided by the measured power factor, or at option, the power Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Terms and Conditions: 1. Usage may be fractionalized on the actual days of service for application of a change in rate. 2. Service will be furnished pursuant to rules. 3. Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4. 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. 5. Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 103 LARGE INDUSTRIAL DEMAND ELECTRIC SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: Available for non-residential customer accounts. Existing or new Customer accounts with actual or projected demand greater than or equal to 1 MW. A Customer account with a billing demand of less than 1 MW for 12 consecutive months may be switched to the Demand Electric Service Rate. The Customer accounts shall be in compliance with all policies, procedures, safety requirements, and shall be taken through one or more meters. Not applicable to resale, standby or auxiliary service. Character Of Service: 3-Phase Primary, 7,200/12,470 volt, AC, 60 cycles. Special Conditions: Customer must provide a location suitable for the installation of a utility metering cabinet(s). Customer will be responsible for providing suitable wire and connection in the utility owned metering cabinet(s). The primary meter(s) and cabinet(s) shall be installed to service one class of business. If additional buildings are required for a given business, they shall be interconnected by the customer to the existing meter(s), unless an exception is approved by management. If additional meters and services are requested by the customer, each shall be treated as a separate customer and billed individually. A customer on the rate may qualify for integrity testing. ERMU equipment and metering must be accessible to ERMU 24 hours per day. Demand Service Rate: Basic Monthly Electric Charge: $100.00 per month. Summer Winter Demand Charge: $15.00 $11.00 in kW / month Energy Charge: $0.0644 $0.0644 in kWh / month Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Minimum Bill: Maximum billing demand during previous twelve months times 3.0% of the demand charge, or the actual demand multiplied by the demand charge, whichever is greater plus $1.00 per kW per month of excess transformer capacity requested by customer. Page 1 of 2 104 Large Industrial Demand Electric Service Rate Determination of Billing Demand: The billing demand shall be the highest measured demand (corrected for power factor if required) during any fifteen (15) minute period occurring in the current billing period. Fluctuating Loads: Customers operating equipment having a highly fluctuating or large instantaneous demand, such as welders and X-ray machines, shall be required to pay all non-betterment costs of isolating the system so that the load will not unduly interfere with lines. No motor larger than ten (10) HP (or 7.355 kW) will be allowed to be across- the-line started without notification and written authorization from ERMU. Power Factor Adjustment: Power factor adjustments may be made in the billing demand, when the tment, is lower than 95%, the monthly demand Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Terms and Conditions: 1.Usage may be fractionalized on the actual days of service for application of a change in rate. 2.Service will be furnished pursuant to ERMU rules. 3. governing Extension of Service and Facilities. 4.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. 5.Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 105 COMMERCIAL CLEAN ENERGY CHOICE PROGRAM RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To ERMU customers receiving service under another commercial electric rate. This Program is available to commercial customers choosing to purchase renewable energy. will be required to participate for one calendar year and the applicable Clean Energy Choice incremental charge will apply to all energy sold in the calendar year. The customer shall agree to: 1.Contact ERMU staff to discuss program participation. 2.Sign a contractual agreement for one calendar year prior to December 1 for participation in the upcoming year. 3.Continue to participate in the program annually until customer provides written notice of cancelation to ERMU. 4.Provide written notice of cancelation in the program to ERMU prior to December 1 of a given year for the upcoming year. ERMU shall provide: 1.Estimate of annual incremental charge for participating in program. 2.Clean Energy Choice incremental charge per kWh is $0.001. 3.The incremental charge applies to all kWh purchases in excess of the Wholesale Renewable Energy Standard. 4.The incremental charge will be calculated based on actual kWh consumed in the billing period. 5.The incremental charge will be calculated as follows: \[kWh consumed X (100% - Wholesale Renewable Energy Standard) X $0.001\] 6.Monthly billing statement with the Clean Energy Choice incremental charge identified. 7.Program price changes by November 1 for the coming year. Federal, state and local taxes may apply. Adopted December 817, 202019 Effective January 1, 20210 Page 1 of 1 106 OFF-PEAK DEMAND ELECTRIC SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: Available for non-residential customer accounts. Existing or new Customer accounts with actual or projected demand greater than or equal to 50 kW. A Customer account with a billing demand of less than 50 kW for 12 consecutive months will be given the option of switching to the Non-Demand rate. The Customer accounts shall be in compliance with all policies, procedures, and safety requirements, and shall be taken through one meter. (Not applicable to resale, standby or auxiliary service.) Character Of Service: AC, 60 cycles, 120 volts or 120/240 volts, single-phase; 120/208 volts, or 277/480 volts, three-phase. Four wire, 240 volts three-phase will only be applicable to existing customers now being served by this voltage. A customer requiring voltages other than that already established shall be required to provide suitable space location of transformers, metering and associated equipment. Special Conditions: One meter shall be installed to service one class of business. If additional buildings are required for a given business, they shall be interconnected by the customer to obtain one meter, unless an exception is approved by management. If additional meters and services are requested by the customer, each shall be treated as a separate customer. Meter to be accessible to our service department at any time. Off Peak Demand Service Rate: Basic Monthly Electric Charge: $75.00 per month. Summer Winter Demand Charge: On-Peak $15.50 $11.50 in kW / month Off-Peak $6.25 $6.25 in kW / month Energy Charge: $0.0680 $0.0680 in kWh / month On-Peak Demand: Actual demand during On-Peak Periods On-Peak Period: 3:00 PM -10:00 PM weekdays Off-Peak Demand: Actual demand during Off-Peak Periods less On-Peak Demand Off-Peak Period: All non On-Peak Periods Summer Rate: Applicable during the five monthly billing periods of June October. Winter Rate: Applicable during the seven monthly billing periods of November May. Rates are subject to application of Power Cost Adjustment (PCA). Page 1 of 2 107 Off-Peak Demand Electric Service Rate Federal, state, and local taxes may apply. Minimum Bill: Maximum billing demand during previous twelve months times 3.0% of the demand charge, or the actual demand multiplied by the demand charge, whichever is greater plus $1.00 per kW per month of excess transformer capacity requested by customer. Determination of Billing Demand: The billing demand shall be the highest measured demand (corrected for power factor if required) during any fifteen (15) minute period occurring in the current billing period. But in no month shall the billing demand be greater than the value in kW determined by dividing the kWh sales for the billing month by 75 hours per month. This billing adjustment applies only if the Fluctuating Loads: Customers operating equipment having a highly fluctuating or large instantaneous demand, such as welders and X-ray machines, shall be required to pay all non-betterment costs of isolating the load from the balance of system so that the load will not unduly interfere with service on lines. No motor larger than ten (10) HP (or 7.355 kW) will be allowed to be across- the-line started without notification and written authorization from ERMU. In addition, Customers who fail to provide adequate corrective equipment shall be required to own and maintain their own transformers. Power Factor Adjustment: For loads of 50 kW or more, or at the option of ERMU for loads of less than 50 kW, power factor adjustments will be made in the billing demand, when the power factor, as factor, as measured by electric department, is lower than 95%, the monthly demand charge may be multiplied by the ratio 95% divided by the measured power factor, or at option, the power Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Terms and Conditions: 1.Usage may be fractionalized on the actual days of service for application of a change in rate. 2.Service will be furnished pursuant to rules. 3.Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4.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. 5.Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 108 COMMERCIAL ALL ELECTRIC WITH GROUND SOURCE HEAT PUMP SERVICE RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To commercial customers having a single meter that includes a ground source heat pump (GSHP) in excess of 50 kW but no more than 150 kW in aggregated name plate capacity of the GSHP equipment (condensers and pumps). Character of Service: AC, 60 cycles, 120/240 volts, three wire, and three-phase. Special Conditions: This Program is available to commercial customers. A GSHP will be the only central heating and/or cooling system for the commercial workspaces. Commercial structures that are classified as Utility and Miscellaneous Group U by the International Code Council are not eligible for this rate. GSHPs that qualify for this program will not be interrupted. A GSHP paired with another heating source such as natural gas, fuel oil, or propane may qualify for the Dual Fuel Program. To qualify for the special rate, the customer shall provide: 1.The GSHP is the only heat source. Only closed loop GSHPs are eligible for this rate beginning September 1, 2016. 2.ERMU and the customer will agree on a meter location prior to the meter socket installation. 3.Commercial customers may have a separate meter to determine the energy and demand of the GSHP. Electric usage for the non-heating/cooling energy use of the building may be metered and priced using the appropriate rate (demand, or non-demand) schedule. 4.Accommodations for a meter and associated wiring installed according to the applicable electrical codes and will be installed by a qualified electrician. 5.Inspection by a State certified inspector and representative of ERMU. 6.Customers on this rate will not be eligible for the Dual Fuel Program. Meter to be accessible to our service department at any time. Ground Source Heat Pump Service Rate: Basic Monthly Electric Charge: $30.00 per month Energy Charge: $0.0909 / kWh Rates are subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Minimum Bill: Basic Monthly Electric Charge. Page 1 of 2 109 Commercial All Electric with Ground Source Heat Pump Service Rate Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Terms and Conditions: 1.Usage may be fractionalized on the actual days of service for application of a change in rate, or changing from summer to winter or from winter to summer rates. 2.Service will be furnished pursuant to E rules. 3.Extensions made for service under this schedule are subject to the provisions of rules governing Extension of Service and Facilities. 4.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. 5.Exceptions by management approval only. Adopted December 817, 202019 Revised January 14, 2020 Effective January 1, 20210 Page 2 of 2 110 GROUND SOURCE HEAT PUMP PROGRAM RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To single family residences, non-demand and demand customers receiving service under another rate, who add a second meter for any of the following controlled loads: Ground Source Heat Pump Rate: This Program is available to residential and commercial customers. A ground source heat pump (GSHP) is a central heating and/or cooling system for residential living spaces or commercial work spaces. Residential living spaces will meet all the applicable Minnesota state building codes. Commercial structures that are classified as Utility and Miscellaneous Group U by the International Code Council are not eligible for this rate. This program is available to residential or commercial customers with a GSHP as their sole heat source. GSHPs that qualify for this program will not be interrupted. A GSHP paired with another heating source such as natural gas, fuel oil, or propane may qualify for the Dual Fuel program. To qualify for the special rate, the customer shall provide: 1.The GSHP is the only heat source. Only closed loop GSHPs are eligible for this rate beginning January 1, 2016. 2.ERMU and the customer will agree on a meter location prior to the meter socket installation. 3.Commercial customers may have a separate meter to determine the load of the heat pumps. Electric usage for the remainder of the building will be metered and priced using the appropriate rate (Demand or Non-Demand). 4.Accommodations for a meter and associated wiring installed according to the applicable electrical codes and will be installed by a qualified electrician. 5.Inspection by a State certified electrical inspector and a representative of ERMU. ERMU shall provide: 1.All electric energy consumed by the primary electric heating system at $.0909 per kWh. 2.A meter socket to accommodate the meter in a mutually agreed to location. 3.A meter to measure electricity consumed by the electric heating system. Rates are subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Adopted December 817, 202019 Effective January 1, 20210 Page 1 of 1 111 ELECTRIC VEHICLE CHARGING RATES Residential and Commercial Electric Vehicle Charging Rate Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To single family residences, non-demand and demand customers receiving service under another rate. Electric Vehicle Charging Rate: This Program is available to all customers of ERMU that own an electrically powered vehicle used for on road transportation. Charging of the vehicle can occur any time but will be subject to on-peak and off-peak energy charges per hour daily. On-peak hours are Monday through Friday between 10 AM and 10 PM. Off-peak hours are Monday through Friday between 10 PM Independence Day, Labor Day, Thanksgiving Day, and Christmas Day). To qualify for the special rate, the customer shall provide: 1.Electric vehicle charging station that is used for the sole purpose of charging electric vehicles. This charging station must be 240 volt. 2.Customer is responsible for installation of the additional meter socket in a mutually agreed upon location. 3.Inspection by a State Certified electrical inspector of all metering equipment and provide an affidavit to ERMU when completed. ERMU shall provide: 1.All on-peak electric energy consumed by the electric vehicle charging equipment will be at the summer rate of $0.1270/kWh for the five monthly billing periods of June October, and the winter rate of $0.1160/kWh for the seven monthly billing periods of November May. 2.All off-peak electric energy consumed by electric vehicle charging equipment will be at the rate of $.0602/kWh. 3.This equipment will be available for charging at applicable rates 24 hours per day and is not subject to any load control strategies. 3.4.All electric energy provided to an account that participates in this rate will be automatically enrolled in the Clean Energy Choice Program at the 100 percent participation level at no additional monthly charge. 4.5.All electric energy provided for the electric vehicle charging equipment will be 100 percent renewable. 5.6.Electric meter. 6.7.Final inspection prior to meter activation to ensure only qualified loads are being supplied through the electric vehicle charging equipment. Page 1 of 2 112 Electric Vehicle Charging Rates Rates are subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Public Electric Vehicle Charging Rate: This rate is available to anyone charging an electric vehicle or plugin electric vehicle at a public electric vehicle charging station owned and operated by ERMU within the ERMU service territory. All persons must have an active ChargePoint account or have the capability to create a ChargePoint account prior to utilizing the charging equipment for an electric vehicle or plug- in hybrid electric vehicle. To charge at the public charging stations customers shall: 1.Utilize their existing ChargePoint account or create a new account using a credit or debit card prior to charging the electric vehicle or plug-in hybrid. ERMU shall provide: 1.Access to public electric vehicle charging stations located in the ERMU service territory. 2.The chargers will be either level two (240 volt) or DC Fast Charging (480 volt) charging equipment. 3.Electric energy consumed at the level two charging stations will be at a rate of $0.1500 per kWh at all times. 4.Electric energy consumed at the DC Fast Charging station will be at a rate of $0.2000 per kWh at all times. 4.5.Electric energy provided at the public electric vehicle charging stations will be 100 percent renewable. Federal, state, and local taxes may apply. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 113 MORATORIUM EFFECTIVE FEBRUARY 14, 2017 ON THE FOLLOWING LOAD CONTROL PROGRAMS ENERGY MANAGEMENT PROGRAM RATES Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: To single family residences, non-demand and demand customers receiving service under another rate, who add a second meter for any of the following controlled loads: Dual Fuel Space Heating Rate: This Program is available to residential customers only. A dual fuel space heating system consists of an electric heating system and a secondary non-electric space heating system both capable of heating the living space at design conditions. Interruptions of the electric heating system will usually occur for up to 12 hours daily on peak winter days and a maximum of 400 hours per heating season. To qualify for the special rate, the customer shall provide: 1.An electric space heating system which can be interrupted by a single 5 amp rated relay. 2.A secondary non-electric space heating system capable of automatic start-up and continuous operation upon interruption of the electric heating system. 3.Obtain a load control device furnished by ERMU. 4.Accommodations for a meter and load control device and associated wiring installed according to the applicable electrical codes, and installed by a qualified electrician. 5.Inspection by a State certified electrical inspector and a representative of ERMU. 6.Radiant heat in the slab of the building qualifies for dual fuel, not electric thermal storage. 7.Dual Fuel is not allowed in garages, pole sheds, or any structure that does not confirm to the residential building code. 8.Exceptions by management approval only. ERMU shall provide: 1.All electric energy consumed by the primary electric heating system at $.0602 per kWh. 2.During peak load conditions, ERMU will turn customer controlled electrical heat off for extended periods of time as stated above. 3.A meter to measure electricity consumed by the electric heating system. 4.A load control device and meter socket to accommodate the meter. Rate is subject to application of Power Cost Adjustment (PCA). Federal, state and local taxes may apply. Page 1 of 3 114 MORATORIUM EFFECTIVE FEBRUARY 14, 2017 ON THE FOLLOWING LOAD CONTROL PROGRAMS Energy Management Program Rates Electric Thermal Storage (ETS) Space Heating Rate: This Program is available to all ERMU customers. An ETS space heating system is designed to store heat produced by electricity generated during eight off-peak hours for use in heating during the remaining on-peak hours daily. Off-peak hours typically occur between 11 PM and 7 AM. Qualifying ETS configurations may be central storage furnaces, room storage heaters or slab (deep heat) systems including combinations of same. To qualify for the special rate, the customer shall provide: 1.An ETS space heating system listed by UL or some other nationally recognized testing agency which can be interrupted by a single 5 amp rated relay. 2.Obtain a load control device from ERMU. 3.Accommodations for a meter and load control device and associated wiring installed according to the applicable electrical codes, and installed by a qualified electrician. 4.Inspection by a State certified electrical inspector and a representative of ERMU. ERMU shall provide: 1.All electric energy consumed by this ETS system at $.0463 per kWh. 2.This equipment will be energized only for 8 off peak hours daily. Additional on-time is provided on weekend days and holidays. 3.A meter to measure electricity consumed by the ETS space heating system. 4.A load control device which will automatically control ETS space heating system during on-peak hours. Rate is subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Electric Thermal Storage (ETS) Water Heating Rate: This Program is available to all ERMU customers. An ETS water heater is designed with extra storage capacity to provide total domestic hot water needs from electricity consumed only during eight off-peak hours daily. Off-peak hours typically occur between 11 PM and 7 AM. Qualifying ETS configurations may be a large single tank, dual tanks plumbed in series, or an electric and non-electric tank plumbed in series with the electric placed on the cold water side. Electric water heater must have an energy factor of .91 or more and a minimum of 80 gallons of storage capacity. To qualify for the special rate, the customer shall provide: 1.An ETS water heating system which can be interrupted directly by a single 30 amp rated relay. 2.Obtain a load control device from ERMU. 3.Accommodations for a meter and load control device and associated wiring installed according to the applicable electrical codes, and installed by a qualified electrician. 4.Inspection by a State certified electrical inspector and a representative of ERMU. 5.This rate is not available for hot water use in any production process for Commercial and Industrial users. Page 2 of 3 115 MORATORIUM EFFECTIVE FEBRUARY 14, 2017 ON THE FOLLOWING LOAD CONTROL PROGRAMS Energy Management Program Rates ERMU shall provide: 1.All electric energy consumed by the ETS water heater at $.0463 per kWh. 2.This equipment will be energized only for 8 off-peak hours daily. 3.A meter to measure electricity consumed by the ETS water heater. 4.A load control device and meter socket to accommodate the off-peak meter. Rate is subject to application of Power Cost Adjustment (PCA). Federal, state, and local taxes may apply. Adopted December 817, 202019 Revised January 14, 2020 Effective January 1, 20210 Page 3 of 3 116 MORATORIUM EFFECTIVE JUNE 1, 2014 DISCONTINUED EFFECTIVE JANUARY 1, 2021 DISPERSED GENERATION/INTERRUPTIBLE LOAD PROGRAM RATE Available: Within Elk River Municipal Utilities (ERMU) established service territory. Applicable: Existing Customers, or to new Customers receiving all electrical power from ERMU and with demands between 100 kW and 1,500 kW of connected load. Customers with on-site generation greater than 1,500 kW may also qualify, but special terms and conditions may apply on a case by case basis. Customer must agree to operate on-site generation and/or limit load to a mutually agreed to Predetermined Demand Level (PDL) upon notification by ERMU or its designated agent. Customer must be served by ERMU under the Demand Electric Service Rate. Customer must execute a Dispersed Generation Agreement or Interruptible Service Agreement to participate in either program. Customer is subject to the terms and conditions of the applicable Agreement. Not applicable to resale, standby or auxiliary service. Special Conditions: Customer must conduct normal business practices between the hours of 3:00 PM to 10:00 PM, Monday through Friday. Customer must provide access to a phone line or reimburse ERMU for all costs associated with providing program interruption notification and remote metering needs. Customer must have the means to operate on-site generation and/or reduce load to the PDL within 30 minutes following notification by ERMU or its agent. Credits apply only during months in which the Customer is fully operational. Customer represents and warrants that interruptible load of at least 100 kW shall be available for interruption upon request by ERMU or its designated agent twenty-four hours per day, seven days per week, three hundred sixty five day per year in order to receive credit. Dispersed Generation/Interruptible Credits: ERMU shall compensate Customer for load interruptions maintained at or below the PDL when requested by ERMU or its designated agent, at the rates indicated below: Monthly Credit/Kw* Summer (June, July, and Aug) $14.00 per kW Winter (Dec, Jan, and Feb) $10.00 per kW Spring/Fall (Mar, Apr, May, Sept, Oct, Nov) $6.00 per kW *Credit applies only during months in which Customer coincidental demand is at least 100 kW over the PDL. hly credit. In months in which no notice to Page 1 of 2 117 MORATORIUM EFFECTIVE JUNE 1, 2014 DISCONTINUED EFFECTIVE JANUARY 1, 2021 Dispersed Generation/Interruptible Load Program Rate In the event that participating customers are not controlled during the monthly coincidental billing peak demand hour, the customer will receive applicable demand credits only for metered demand that exceeds the PDL and is greater than 100 kW. The demand credit is based on the applicable rates above to the kW difference between the metered demand and the PDL using hourly interval meter data measured one hour prior to the monthly coincidental billing peak demand hour. In the event the participating customer is not operating at the time of the coincidental billing peak there is no credit calculated in that month. The customer must be operating at least one hour prior to the coincidental billing demand peak or the time designated for interruption to receive credit. Example 1: Notice for disconnect or interruption is given at 11:00 a.m. for disconnect or interruption at 3:00 p.m. The participating customer begins shut down at 2:30 and has a peak demand for that month on the day of the interruption at 2:15 with a total load of 350 kW. The customer has a PDL of 50. For this example the participating customer would receive a credit kW). The customer would receive a credit for the 300 kW reduction times the seasonal rate indicated above. Example 2: There is no notice to disconnect or interrupt for this example month. The coincidental billing peak occurs on a Tuesday night at 11:00 p.m. The customer had a demand of 45 kW at the time of the coincidental billing peak (11:00 p.m.). In months with no notice the (50 kW) shall be used to calculate the monthly credit. The difference between the coincidental billing peak and PDL in this example is -5. Since the participating customer was not operating and did not have any demand in excess of 100 kW to interrupt there is no credit given for this month. peak demand and the PDL is demand and the PDL remains less than 100 kW for two or more consecutive months, a new PDL may be established or ERMU shall have the right to terminate the Dispersed Generation or Interruptible Service Agreement. If Customer fails to interrupt load down to the PDL for the specified length of time of the control period in any calendar month a $5.00/kW demand penalty will be added to the Customers bill. The demand penalty will be determined using the maximum uncontrolled kW demand, defined as the highest hourly interval above the PDL recorded during all control periods in the billing month. The Customer will not receive the monthly credit for that month or any succeeding months until performance has been demonstrated to the satisfaction of ERMU personnel. If Customer fails to perform more than two times in any calendar year, ERMU reserves the right to terminate the Agreement. Adopted December 17, 2019 Discontinued Effective January 1, 20210 Page 2 of 2 118 STREET/SECURITY LIGHT SERVICE RATE Available: To any customer meeting Elk River Municipal Utilities (ERMU) criteria for service under this schedule, and whose lighting needs are not being furnished under any other schedule. Installation costs will be determined by ERMU per the Utilities Fee Schedule or on a time and materials basis. Applicable: As determined by ERMU, but generally to non-metered roadway and area lighting. Character Of Service: 120/240 volts, AC, as available. Street/Security Light Service Federal, state, and local taxes may apply. Type Monthly Rate Per Fixture Standard Low Output (<249 Watt HPS, <74 Watt LED) $10.00 Standard Medium Output (250-399 Watt HPS, 75-124 Watt LED) $16.00 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 Ownership of Equipment: ERMU will install, own, and operate the lights, including fixtures and control equipment, unless otherwise agreed upon by ERMU and the Customer. Lamp Replacements: Lamp replacements will be made by ERMU. 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 ERMU 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 specification. 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. Page 1 of 2 119 Street/Security Light Service Rate 4.Exceptions by management approval only. Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 120 WATER SERVICE RATES Available: To all customers who have municipal water service available at their property, lying within the corporate limits of the City of Elk River. Special Conditions: Each customer served by one meter. Multiple living entities, such as apartments, may be served by a combined meter upon approval of the Elk River Municipal Utilities (ERMU) and acceptance of applicable charges. Special Charges: A basic monthly water charge shall be applied to each meter based on the meter size according to the schedule below, and is separate from any water use. Included in the basic monthly water charge is $0.81 that is collected on a monthly basis from each service connection (excluding irrigation only accounts) to recover the total annual cost of $9.72 for the State of Minnesota Safe Water Testing Program (Minnesota Statutes 144.3831). Water Rates: stndrd BASIC MONTHLY 1 TIER 2 TIER 3 TIER METER TYPE CHARGE Cost per 1000 Cost per 1000 Cost per gallons gallons 1000 gallons Residential $9.40 $1.89 $3.50 $4.00 Commercial ¾ $11.28 $1.89 $3.50 $4.00 Commercial 1 $12.55 $1.89 $3.50 $4.00 Commercial 1 ¼ $13.81 $1.89 $3.50 $4.00 Commercial 1 ½ $15.06 $1.89 $3.50 $4.00 Commercial 2 $20.07 $1.89 $3.50 $4.00 Commercial 3 $43.89 $1.89 $3.50 $4.00 Commercial 4 $60.28 $1.89 $3.50 $4.00 Commercial 6 $87.79 $1.89 $3.50 $4.00 Commercial 8 $119.15 $1.89 $3.50 $4.00 Commercial Irrigation Seasonally or $20.07 $3.50 $4.00 Permanently Installed Federal, state, and local taxes may apply. Page 1 of 2 121 Water Service Rates Residential Rate Tier Definition: First Tier Rate = 0 9,000 gallons per month. Second Tier Rate = Between 9,000 and 15,000 gallons per month. Third Tier Rate = Above 15,000 gallons per month. Commercial Rate Tier Definition: First Tier Rate = 0 monthly consumption. Second Tier Rate thly 40,000 gallons. Third Tier Rate consumption + 40,000 gallons. Winter Measurement Period Definition: December April billing cycles. the Tier amount, the First Tier rate shall be utilized until a minimum of 3 months history is established. Commercial irrigation is not eligible for First Tier Rate as there is no winter use. Minimum Bill: Basic monthly water charge plus any charges applicable to multiple living entities. Billing and Terms of Payment: See ERMU Service Policies Policy (Billing Due Dates, and Penalties and Delinquent Notices.) Adopted December 817, 202019 Effective January 1, 20210 Page 2 of 2 122 2021 Utilities Fee Schedule ELECTRIC New Residential Electric Connection - Developer - Lot with ERMU water service$475.00 New Residential Electric Connection - Developer - Lot without ERMU water service$575.00 New Residential Electric Connection - Builder$875.00 New Wire Footages over 200' (per foot)$4.00 New Service Frost Trenching (per foot)$5.00 New Commercial & Industrial Electric Connection 50% Service Upgrades or Additions for Existing Customers 100% Minimum Temporary Electric Service Fee - Existing Transformer$150.00 Minimum Temporary Electric Service Fee - Without Existing Transformer$500.00 Street Light - 30' Decorative Pole with 6' Arm and Cobra Fixture$2,700.00 Street Light - 23' Decorative Pole with Cobra Fixture$1,800.00 Street Light - 14' Decorative Pole with Cobra Fixture$4,100.00 Street Light - 14' Decorative Pole with Acorn Fixture$5,300.00 Security Light - Wood Pole with Fixture$975.00 Security Light - Existing Pole$125.00 Pole Attachment Fee (per pole)$6.50 Manual Meter Reading Fee (per month)$10.00 WATER Water Access Charge = Water Connection Charge + Water Availability Charge$3,915.00 Water Connection Charge (Per Plumbing Unit) - Builder$3,532.00 Water Availability Charge (Per Plumbing Unit) - Developer$383.00 Abandoned Water Service$2,500.00 Hydrant Water Sales - Rental (per week)$50.00 Hydrant Water Sales - Units (per 1000 gallons)$4.00 Hydrant Wrench$40.00 Deposit for 5/8" Hydrant Meter$150.00 Deposit for 2 1/2" Hydrant Meter$1,000.00 Private Hydrant Maintenance Program Monthly Fee$5.00 Manual Meter Reading Fee (per month)$10.00 ADMINISTRATIVE Administrative Fee for Continued Submission of Checks After No-Check Notice Given$20.00 Billable Cost of Materials Markup 15% Billable Labor Markup 55% Billable Vehicle / Equipment (per employee per hour)$30.00 Commerical Application Fee$20.00 Electric Service Disconnect/Trip Fee - Meter Technician $50.00 Electric Service Disconnect/Trip Fee - Line Crew$150.00 Water Service Disconnect/Trip Fee - Water Operator$100.00 Energy Audit$150.00 Meter Tampering Fee$250.00 Meter Testing Fee$50.00 NSF Fee$20.00 Penalty Amount 10% Photocopies (per page)$0.25 Red Tag Handling Fee$20.00 Adopted by the Utilities Commission on November 10, 2020 under authority per Minnesota Statute 412.361 123