5.1 ERMUSR 01-10-2023Eli River
Municipal I tilities UTILITIES COMMISSION MEETING
TO:
FROM:
ERMU Commission
Melissa Karpinski — Finance Manager
MEETING DATE:
AGENDA ITEM NUMBER:
January 10, 2023
5.1
SUBJECT:
Financial Report — November 2022
ACTION REQUESTED:
Receive the November 2022 Financial Report
DISCUSSION:
Please note that these are the preliminary unaudited financial statements.
Electric
November's electric kWh sales are down from the prior year, 1%. For further breakdown:
• Residential usage is up 1%
• Small Commercial usage is up 5%
• Large Commercial usage is down 3%
Electric Operating Revenues for November of $2,967,145 are less than prior year by 11% but
favorable to budget by 3%. November YTD is more than prior year by 8% and favorable to
budget by 6%. The prior YTD variance and budget YTD variance is due to an increase in PCA
revenue.
Other Revenues of $254,360 are more than the prior year by 56% and favorable to budget by
111%. Other Revenues YTD are more than prior year by 7% and favorable to budget by 12%.
The main drivers of budget YTD variance are Contributions from Customers, LFG Project, Misc
Non -Utility (mainly due to mutual aid), and Gain on Disposition of Property (mainly LFG Plant
and trade-in from bucket truck) which are partially offset by Interest & Dividend Income.
Overall, Total Revenues of $3,221,506 are less than the prior year by 8% but favorable to
budget by 7%. YTD is more than the prior year by 8% and favorable to budget by 7%.
Purchased Power of $2,131,934 is less than the prior year by 4% but is unfavorable to budget by
17%. YTD is more than prior year by 13% and unfavorable to budget by 16%. YTD EAC charge is
$3,024,621 more than prior year and $3,986,496 more than budget. EAC charge is partially
offset by PCA revenue of $3,486,495.
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Administrative Expenses of $324,092 are more than the prior year by 16% but favorable to
budget by 2%. YTD costs are more than the prior year by 5% but are favorable to budget by 2%.
General Expenses of $25,934 are less than prior year by 8% and favorable to budget by 48%.
YTD costs are more than the prior year by 13% but are still favorable to budget by 29%.
Total expenses YTD are 12% more than prior year and unfavorable to budget by 11%. The main
driver causing the prior YTD variance and budget YTD variance is Purchased Power (majority of
other expenses are favorable to budget).
For November 2022, the Electric Department has a Net Profit of $48,816 and YTD Net Profit of
$297,063. This is behind the budgeted monthly Net Profit of $116,303 and behind the prior
year monthly Net Profit of $312,712. YTD is behind the budgeted YTD Net Profit of $1,588,893
and is less than the prior YTD Net Profit of $1,498,748.
Overall, the electric department has decreased usage YTD (4% less than budget and 2% less
than prior year) but increased PCA revenue due to passing along the EAC charge from our
purchased power cost. YTD total operating revenue excluding PCA revenue would be
unfavorable to budget by 3% (due to decreased usage) and about .5% more than prior year
(due to decreased usage being offset by the rate increase). Total expenses excluding purchased
power are favorable to budget by 2%. The YTD variance for purchased power is unfavorable to
budget by $3,990,108 and YTD total expense variance is unfavorable to budget by $3,754,480
(total expense variance is less than the purchased power variance because other expenses are
coming in favorable to budget).
Water
November gallons of water sold are up 2% from the prior year. For further breakdown:
• Residential use is up 1%
• Commercial use is up 3%
Water Operating Revenues for November of $166,234 are more than prior year by 7% and
favorable to budget by 21%. YTD is less than prior year by 6% but favorable to budget by 17%.
Other Revenues of $270,608 are more than prior year by 266% and favorable to budget by
259%. YTD is more than prior YTD by 117% and favorable to budget by 127%. The main driver
causing the prior YTD variance and budget YTD variance is Connection Fees.
Overall, Total Revenues of $436,842 are more than prior year by 90% and more than prior YTD
by 22%. YTD Total Revenues are favorable to budget by 46%.
Total Expenses of $254,808 are more than prior year by 2% and more than prior YTD by 1%.
YTD is favorable to budget by 2%.
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For November 2022, the Water Department has a Net Profit of $182,034 and YTD Net Profit of
$1,732,114. This is ahead of the budgeted monthly Net Loss of ($71,963) and ahead of the prior
year monthly Net Loss of ($21,510). YTD is ahead of the budgeted YTD Net Profit of $211,376
and is ahead of the prior YTD Net Profit of $935,851.
ATTACHMENTS:
• Balance Sheet 11.2022
• Electric Balance Sheet 11.2022
• Water Balance Sheet 11.2022
• Summary Electric Statement of Revenues, Expenses and Changes in Net Position
00W, OW AP
• Summary Water Statement of Revenues, Expenses and Changes in Net Position 11.2022
• Graphs Prior Year and YTD 2022
• Detailed Electric Statement of Revenues, Expenses and Changes in Net Position 11.2022
• Detailed Water Statement of Revenues, Expenses and Changes in Net Position 11.2022
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