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5.1 ERMUSR 04-13-2021UTILITIES COMMISSION MEETING TO:FROM: ERMU Commission Melissa Karpinski –Finance Manager MEETING DATE: AGENDA ITEM NUMBER: April 13, 2021 5.1 SUBJECT: Financial Report – February 2021 ACTION REQUESTED: Receive the February 2021 Financial Report DISCUSSION: Please note that these are the preliminary unaudited financial statements. Electric February’selectric kWh sales are up from the prior year, 4%. For further breakdown: Residential usage is up 9% Small Commercialusageis down 1% Large Commercial usage is up 2% Electric Operating Revenues for February of $2,851,025 are more than prior year by 4% and favorable to budget by 1%. February YTD is ahead of prior year by 3% but unfavorable to budget by 1%. The prior YTD variance is mainly due to Elk River Sales. Other Revenues of $217,270 are more than the prior year by 42% and favorable to budgetby 32%. Other Revenues YTD is less than the prior year by 3% but is favorable to budget by 9%. The prior YTD variance is mainly due to Landfill Gas Plant and Customer Penalties (due to not charging penalties on delinquent accounts during the Emergency Peacetime Order), which are partially offset by Contributions from Customers. Overall, Total Revenues of $3,068,296 are more than the prior year by 6% and favorable to budget by 2%. YTD is more than the prior year by 2% and is in line with budget. Purchased Power of $1,942,498 is more than the prior year by 10% and is unfavorable to budget by 9%. YTD is more than prior year by 9% and is unfavorable to budget by 4%. Administrative Expenses of $261,096 are more than the prior year by 5% but are favorable to budget by 15%. YTD costs are more than the prior year by 9% but are favorable to budget by 11%. The main driver of the prior YTD variance is Medical expense, which is due to the larger employer contribution to employee HSA accounts. ______________________________________________________________________________ Page 1 of 2 236 General Expenses of $26,596areless than prior yearby 30% andarefavorable to budget by 45%. YTD costs are lessthan the prior year by 20% but are favorable tobudget by 52%. Total expensesYTDare 6% more than prior year butare favorable to budget by 1%. The main driver causing the prior year variance is Purchased Power. For February 2021, the Electric Department has a Net Profit of $152,176 and YTD Net Profit of $245,095. This is ahead of the budgeted monthly Net Profit of $145,185 and is more than prior year monthly Net Profit of $145,775. YTD is ahead of the budgeted YTD Net Profit of $222,033 but is less than the prior YTD Net Profit of $450,277. Water February gallons of water sold are down 1% from the prior year. For further breakdown: Residential use is up 8% Commercial use is down 9% Water Operating Revenues for February of $124,914 are ahead of prioryearby 1% and are favorable to budget by 14%. YTD is behind of prior year by 1% but is favorable to budget by 12%. Other Revenues of $70,903 are behind prior year by 46% but favorable to budget by 79%. YTD is behind prior YTD by 14% but are favorable to budget by 83%. The main driver causing the prior YTD variance is Connection Fees. Overall, Total Revenues of $195,817 are behind prior year by 23% and are behind prior YTD by 6%. YTD Total Revenues are favorable to budget by 30%. al Expenses of $259,198 are more than prior year by 21% and morethan theprior YTDby Tot 15%. YTD is favorable to budget by 7%. For February 2021, the Water Department has a Net Loss of ($63,380)(typical for the water department) and YTD Net Loss of ($108,871). This is ahead ofthe budgeted monthly Net Lossof ($110,997) but is behind the prior year monthly Net Profit of $40,260. YTD is ahead of the budgeted YTD Net Loss of ($240,226) butis behind the prior YTD Net Loss of ($15,543). ATTACHMENTS: Balance Sheet 02.2021 SummaryElectric Statement of Revenues, Expenses and Changes in Net Position 02.2021 Summary Water Statement of Revenues, Expenses and Changes in Net Position 02.2021 Graphs Prior Year and YTD 2021 Detailed Electric Statement of Revenues, Expenses and Changes in Net Position 02.2021 Detailed Water Statement of Revenues, Expenses and Changes in Net Position 02.2021 ______________________________________________________________________________ Page 2 of 2 237