5.1 ERMUSR 10-12-2021UTILITIES COMMISSION MEETING
TO:FROM:
ERMU Commission Melissa Karpinski –Finance Manager
MEETING DATE: AGENDA ITEM NUMBER:
October 12, 20215.1
SUBJECT:
Financial Report – August2021
ACTION REQUESTED:
Receive the August2021 Financial Report
DISCUSSION:
Please note that these are the preliminary unaudited financial statements.
Electric
August’s electric kWhsales are up from the prior year, 9% (July error in billing with adjustment
done in August). For further breakdown:
Residential usage is up 5%
Small Commercial usage is up 7%
Large Commercial usage is up 12% (July error in billing with adjustment done in August)
Electric Operating Revenues for August of $3,821,633 are more than prior year by 3% but
unfavorable to budget by 1%. August YTD is ahead of prior year by 4% and favorable to budget
by 1%. The prior YTD varianceis mainly due to Elk River Sales.
Other Revenues of $255,537 are more than prior yearby 20% and favorable to budget by 53%.
Other Revenues YTD are ahead of prior year by 11% andfavorable to budget by 26%.
Overall, Total Revenues of $4,077,171 are more than prior year by 3% and favorable to budget
by 1%. YTD is more than prior year by 5% and is favorable to budget by 2%.
Purchased Power of $2,987,985 is more than prior year by 15% an unfavorable to budget by
6%. YTD is more than prior year by 12% and is unfavorable to budget by 8%. YTD EAC charge is
$1,239,983 more than prior year.
YTD Other Operating Expense of ($156,050) is due to relieving the Other Post-Employment
Benefits (OPEB) liability ($208,274) due to the change from group-based medical premiums to
age-based medical premiums. With this change ERMU no longer has an OPEB liability.
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Administrative Expenses of $253,778are morethanprior yearby 4% butfavorable to budget by
7%. YTD costs are more than prior year by 2% butfavorable to budget by 5%. The main driverof
the prior YTDvariance isDues &Subscriptions – Fees (bonding expenses).
General Expenses of $23,788 are less than prior year by 5% and favorable to budget by 51%.
YTD costs are less than prior year by 6% and favorable to budget by 39%.
Total expenses YTD are 9% more than prior year and are unfavorable to budget by 4%. The
main driver causing the prior YTD variance is Purchased Power.
For August 2021, the Electric Department has a Net Profit of $97,503 and YTD Net Profit of
$491,071. This is behind the budgeted monthly Net Profit of $166,705 and is less than prior
year monthly Net Profit of $448,276. YTD is behind the budgeted YTD Net Profit of $755,430
and is less than the prior YTD Net Profit of $1,377,839.
Water
August gallons of water sold are up 25% from the prior year. For further breakdown:
Residential use is up 35%
Commercial use is up 15%
Water Operating Revenues for August of $479,520 are ahead of prior year by 28% and
favorable to budget by 46%. YTD is ahead of prior year by 15% and favorable to budget by 31%.
Other Revenues of $79,171 are less than prior year by 24% but favorable to budget by 97%. YTD
is ahead of prior year by 34% and favorable to budget by 102%. The main driver of the YTD
variance to prior year and budget are Connection Fees.
Overall, Total Revenues of $558,692 are ahead of prior year by 17% and are ahead of prior YTD
by 19%. YTD Total Revenues are favorable to budget by 43%.
YTD Other Operating Expense of ($46,149) is due to relieving the OPEB liability ($44,525) due to
the change from group-based medical premiums to age-based medical premiums. With this
change ERMU no longer has an OPEB liability.
YTD Administrative Expenses are more than prior year by 19% but favorable to budget by 3%.
The main driver of the prior YTD variance are Dues & Subscriptions – Fees (bonding expenses).
Total Expenses of $256,526 are more than prior year by 4% and more than prior YTD by 15%.
YTD is unfavorable to budget by 2%. The main driver of the prior YTD variance is from Mtce of
Structures, which is due to the transfer of the Jackson Street Water Tower.
For August 2021, the Water Department has a Net Profit of $302,102 and YTD Net Profit of
$612,381. This is better than the budgeted monthly Net Profit of $113,162 and better than the
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prior year monthly Net Profitof $232,025. YTD issignificantly aheadof the budgeted YTD Net
Loss of ($162,103) andis ahead ofthe prior YTDNet Profit of $454,158.
ATTACHMENTS:
Combined Balance Sheet 08.2021
Electric Balance Sheet 08.2021
Water Balance Sheet 08.2021
Summary Electric Statement of Revenues, Expenses and Changes in Net Position
08.2021
Summary Water Statement of Revenues, Expenses and Changes in Net Position 08.2021
Graphs Prior Year and YTD 2021
Detailed Electric Statement of Revenues, Expenses and Changes in Net Position 08.2021
Detailed Water Statement of Revenues, Expenses and Changes in Net Position 08.2021
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