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5.1 ERMUSR 01-12-2021UTILITIES COMMISSION MEETING TO:FROM: ERMU Commission Melissa Karpinski –Finance Manager MEETING DATE: AGENDA ITEM NUMBER: January 12, 2021 5.1 SUBJECT: Financial Report – November2020 ACTION REQUESTED: Receive the November 2020 Financial Report DISCUSSION: Please note that these are the preliminary unaudited financial statements. Electric November’selectric kWhsalesare down from the prior year, 8%. For further breakdown: Residential usage is down 12% Small Commercialusageis down 12% Large Commercial usage is down 6% Electric Operating Revenues for November of $2,711,966 are less than prior year by 7% and unfavorable to budget by 9%. NovemberYTD is in line with the prior year but unfavorable to budget by 2%. The YTD budget variance is mainly due to Elk River Commercial Sales. Other Revenues of $168,391 are less than the prior year by 27% and are unfavorable to budget by 15%. Other Revenues YTD are less than the prior year by 9% but favorable to budget by 6%. The prior YTD variance is mainly due to Customer Penalties, due to not charging penalties on delinquent accounts during the Peacetime Emergency Order. Overall, Total Revenues of $2,880,358 are less than the prior year by 9% and unfavorable to budget by 9%. YTD is in line with the prior year but unfavorable to budget by 1%. Purchased Power of $1,750,127 is more than the prior year by 5% but favorable to budget by 10%. YTD is less than prior year by 3% and is favorable to budget by 5%. Administrative Expenses of $265,468 are in line with prior year and are favorable to budget by 16%. YTD costs are more than the prior year by 10% but are favorable to budget by 5%. The main driver of the prior YTD variance is the recognition of $160,583 in Salaries expense due to COVID-19. An area that has seen a reduction in expense is Schools & Meetings due to COVID-19 as many trainings and meetings have been cancelled this year. ______________________________________________________________________________ Page 1 of 2 74 General Expensesof $38,994aremore than prior yearby 6% butarefavorable to budgetby 9%. YTD costs are morethan the prior yearby 13% but are favorabletobudget by 24%.The prior YTD variance is due to Commercial Rebates, but this is still favorable toYTD budget. Total expenses YTD are 1% less than prior year and are favorable to budget by 6%. The main driver of the prior YTD variance is Purchased Power. For November 2020, the Electric Department has a Net Profitof $227,627 and YTD Net Profit of $2,878,186. This is ahead of the budgeted monthly Net Profitof $162,569but isless than the prior year monthly Net Profit of $574,635. YTD is ahead of the budgeted YTD Net Profit of $1,295,274 andis morethan the prior YTD Net Profit of $2,835,670. Water November gallons of water sold are down from the prior year, 8%. For further breakdown: Residential use is down 4% Commercial use is down 13% Water Operating Revenues for November of $146,233 are behind prior year by 4% and are unfavorable to budget by 5%. YTD is ahead of prior year by 18% and is favorable to budget by 15%. The prior YTD variance is mainly due to Elk River Residential Sales. Other Revenues of $79,475 are ahead of prior year by 42% and favorable to budget by 80%. YTD is behindprioryear by 2% butare favorable tobudget by 38%. The main drivers causing the priorYTD variance are Customer Penaltiesand ConnectionFees. Overall, Total Revenues of $225,709 are ahead of prior year by 9% and ahead of prior YTD by 13%. YTD Total Revenues are favorable to budget by 20%. Total Expenses of $228,159 are more than prior year by 1% and are more than prior YTD by 1%. YTD is favorable to budget by 11%. For November 2020, the Water Department has a Net Loss of ($2,674) and YTD Net Profit of $682,236. This is ahead of the budgeted monthly Net Loss of ($67,165) and is ahead of the prior year monthly Net Loss of ($18,635). YTD is significantly ahead of the budgeted YTD Net Loss of ($165,955) and prior YTD Net Profit of $344,245. ATTACHMENTS: Balance Sheet 11.2020 Summary Electric Statement of Revenues, Expenses and Changes in Net Position 11.2020 Summary Water Statement of Revenues, Expenses and Changes in Net Position 11.2020 Graphs Prior Year and YTD 2020 Detailed Electric Statement of Revenues, Expenses and Changes in Net Position 11.2020 Detailed Water Statement of Revenues, Expenses and Changes in Net Position 11.2020 ______________________________________________________________________________ Page 2 of 2 75 76 77 78 Elk River Municipal Utilities Monthly Electrical Demand 75.0 70.0 65.0 60.0 55.0 50.0 Demand in MW 45.0 40.0 35.0 30.0 Month 20192020 Elk River Municipal Utilities Monthly Energy Purchases 40,000 35,000 30,000 25,000 20,000 Energy Purchases in MWH 15,000 Month 20192020 79 Elk River Municipal Utilities Monthly Total Electric Load 40,000 35,000 30,000 25,000 Electric Load in MWH 20,000 15,000 Month 20192020 Elk River Municipal Utilities Monthly Electric Sales $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 Sales in Dollars $2,000,000 $1,500,000 $1,000,000 Month 20192020 80 Elk River Municipal Utilities Monthly Residential, Commercial & Industrial Loads 25,000 20,000 15,000 10,000 Loads in MWH 5,000 - Month 2019 Residential2020 Residential2019 Commercial 2020 Commercial2019 Industrial2020 Industrial Elk River Municipal Utilities Monthly Residential, Commercial & Industrial Sales $2,500,000 $2,000,000 $1,500,000 $1,000,000 Sales in Dollars $500,000 $0 Month 2019 Residential2020 Residential2019 Commercial 2020 Commercial2019 Industrial2020 Industrial 81 Elk River Municipal Utilities Monthly Water Pumpage 160 140 120 100 80 60 Pumpage in Million Gal. 40 20 0 Month 20192020 Elk River Municipal Utilities Peak Day Pumpage 6.0 5.0 4.0 3.0 illion Gal. 2.0 Peak Day in M 1.0 0.0 Month 20192020 82 Elk River Municipal Utilities Monthly Water Sales 140 $500,000 $450,000 120 $400,000 100 $350,000 $300,000 80 $250,000 60 $200,000 Sales In Dollars $150,000 40 Sales in Million Gal. $100,000 20 $50,000 $0 0 Month 2019 MG2020 MG2019 $2020 $ 83 84 85 86 87 88 89 90 91 92 93