1.6 ERMUSR 05-09-2023Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO:
FROM:
ERMU Commission
Mike Tietz —Technical Services Superintendent
MEETING DATE:
AGENDA ITEM NUMBER:
May 9, 2023
1.6
SUBJECT:
American Public Power Association RP3 Designation
ACTION REQUESTED:
Receive the APPA RP3 Designation
BACKGROUND/DISCUSSION:
I am thrilled to announce that Elk River Municipal Utilities (ERMU) has once again received
national recognition from the American Public Power Association (APPA) for being a Reliable
Public Power Provider (RP3). The RP3 designation recognizes public power utilities that
demonstrate proficiency in four key areas: reliability, safety, workforce development, and
system improvement. Criteria within each category are based on sound business practices and
represent a utility -wide commitment to providing safe and reliable electricity.
Currently, 271 of the nation's more than 2,000 public power utilities hold an RP3 designation,
and ERMU is just one of 109 utilities to earn an RP3 designation this year. There are three
designation levels based on scoring: Gold (score of 80-89%), Platinum (score of 90-97%), and
Diamond (score of 98-100%). ERMU is one of 37 utilities who received a Platinum designation
with a score of 90.5%. This designation will begin on May 1, 2023, and last for three years.
Receiving an RP3 designation is a sign of a utility's dedication to efficiently operating a safe and
reliable electric distribution system. Being recognized by the RP3 program demonstrates to
community leaders, governing board members, suppliers, and service providers a utilities'
commitment to its employees, customers, and community. This designation means that our
customers receive some of the best possible services in the country.
It also shows that we are committed to keeping costs low, improving best practices, and raising
the bar for other electric service providers. It means that we hire the best people, who are
dedicated to doing an exceptional job for ERMU and our community.
ERMU is proud of our reliability performance. In 2022, the average ERMU customer would have
experienced only 13.29 minutes without power, while the average electric customer within our
region would have experienced 98.67 minutes. ERMU conducts annual reviews of our system to
identify areas that may need improvement and performs ongoing vegetation management to
ensure that trees do not interfere with overhead lines.
Page Iof2
0
In February of 2020, management conducted a disaster recovery tabletop exercise to assess our
preparedness for a tornado. This drill ended up preparing us for the start of COVID-19 protocols
a month later, with ERMU staff needing to find innovative ways to continue to provide utility
services throughout our community. We still need to finalize our formal disaster recovery plan
and continue to practice for these events on an annual basis. We remain diligent in
safeguarding the utilities by implementing cyber security best practices and preparing to be
ready for any potential threats.
ERMU takes safety very seriously. Over the three-year review period, employees maintained a
consistent record of safe operation. During our monthly training courses, daily tailgate
meetings, and on -site job briefings, working safely is on every employee's mind. All new
employees are required to go through our initial safety training as part of their on -boarding
process. All incidents and near misses are discussed to make everyone aware of the hazard and
to determine steps to prevent a similar incident in the future. The Safety Training Workgroup
was established in 2019 to provide perspective from all departments with the goal of enhancing
our culture of safety.
ERMU is committed to workforce development. Throughout the company, employees are
encouraged to network with others in our industry by attending seminars, conferences, job -
related training, etc., so they can keep up to date on standards and best practices within the
industry. Leadership training is provided to all employees to help with the development of
those skills, regardless of their position. This type of development contributes to why ERMU has
such exceptional employees. We could not have received this award without our employees
being deeply committed to doing such a remarkable job.
ERMU is dedicated to continuous system improvement. We continue to focus on improving our
facilities by performing constant inspections, maintenance of equipment, and replacement of
aging infrastructure. ERMU continuously reviews and assesses system performance to help us
determine future projects and scope. ERMU maintains a comprehensive long-term capital
project plan to identify our needs well into the future. Budget planning is conducted annually
and presented to the Commission for approval. We perform cost of service studies every five
years to preserve the financial health of the utilities along with maintaining adequate financial
reserves to mitigate risk.
The staff at ERMU is proud to serve its community and keep it powered up every day. We are
always looking for ways to improve and achieve the best possible results for our customers by
providing reliable service at competitive rates.
Page 2of2
9