06-13-2023 ERMU MINELK RIVER MUNICIPAL UTILITIES
REGULAR MEETING OF THE UTILITIES COMMISSION
HELD AT THE UPPERTOWN CONFERENCE ROOM
June 13, 2023
Members Present: Chair John Dietz, Vice Chair Mary Stewart, Commissioners Matt Westgaard,
and Nick Zerwas
Members Absent: Commissioner Paul Bell
ERMU Staff Present: Mark Hanson, General Manager
Sara Youngs, Administrations Director
Melissa Karpinski, Finance Manager
Tony Mauren, Governance & Communications Manager
Tom Geiser, Operations Director
Chris Sumstad, Electric Superintendent
Mike Tietz, Technical Services Superintendent
Dave Ninow, Water Superintendent
Chris Kerzman, Engineering Manager
Jenny Foss, Communications & Administrative Coordinator
Parker Theisen, IT/OTTechnician
Jessica Hibbard, Customer Service Representative
Theresa Olek, Customer Service Representative
Curt Wark, Lead Lineworker
Jeremy Lindberg, Bore Rig Operator
Others Present: Jared Shepherd, Attorney
1.0 GOVERNANCE
1.1 Call Meeting to Order
The regular meeting of the Utilities Commission was called to order at 3:30 p.m. by Chair Dietz.
1.2 Pledge of Allegiance
The Pledge of Allegiance was recited.
1.3 Consider the Agenda
There were no additions or corrections to the agenda. Mr. Hanson did address new language
that will now be included under 3.0 Open Forum informing presenters they must adhere to a
three -minute time limit. Moving forward Chair Dietz will remind presenters of this rule and Mr.
Mauren will be the official timekeeper.
Elk River Municipal Utilities Commission Meeting Minutes
June 13, 2023
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Moved by Commissioner Westgaard and seconded by Commissioner Stewart to approve the
June 13, 2023, agenda. Motion carried 4-0.
1.4 Recognition of Employee Longevity
In September 2021, the Commission approved a Longevity Pay benefit to be paid to qualifying,
eligible employees based on their years of service. Lead Lineworker Curt Wark, Customer
Service Representative Jessica Hibbard, Customer Service Representative Theresa Olek, Bore
Rig Operator Jeremy Lindberg, and Water Superintendent Dave Ninow each earned the 8-year
longevity pay benefit.
Chair Dietz presented each employee with their award while the individual's direct supervisor
shared a few words as to how they contribute to the success of the organization.
Mr. Sumstad introduced Mr. Wark as one of the company's lead lineworkers who is a hard-
working Elk River native that ERMU is happy to have on the crew.
Mr. Wark stated he was happy to be at ERMU and that the time has gone by fast.
Ms. Youngs described Ms. Hibbard as a very thorough customer service representative who is
extremely helpful when working with customers. Ms. Youngs also mentioned Ms. Hibbard
recently completed the Elk River Area Chamber of Commerce Community Leadership program
and received an award for being most likely to ask a good question from her peers.
Ms. Youngs commended Ms. Olek for her thoroughness as a customer service representative
and noted she always has a smile on her face when working with customers. Ms. Youngs
shared that Ms. Olek is set to retire this July and thanked her for her years of service.
Mr. Sumstad introduced Mr. Lindberg as being part of ERMU's bore crew who operates the
directional drill rig. Mr. Sumstad also commented on the important role Mr. Lindberg plays in
the shop during the winter months welding, fabricating, and repairing equipment.
Mr. Geiser thanked Mr. Ninow for his eight years of service, noting four years have been as
ERMU's water superintendent.
A round of applause was given to all Longevity Pay recipients.
Commissioner Stewart congratulated Ms. Olek on her retirement and stated she was looking
forward to many more years of service from the remaining four recipients.
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June 13, 2023
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2.0 CONSENT AGENDA (Approved By One Motion)
Moved by Commissioner Westgaard and seconded by Commissioner Zerwas to approve the
Consent Agenda as follows:
2.1 Check Register— May 2023
2.2 Regular Meeting Minutes— May 9, 2023
2.3 Summary of General Manger Performance Evaluation
2.4 Compensation Report
2.5 Advanced Metering Infrastructure System Master Agreement — Core & Main
Motion carried 4-0.
3.0 OPEN FORUM
No one appeared for open forum.
4.0 POLICY & COMPLIANCE
4.1 Commission Policy Review — G.1f — Organizational Fundamentals
Mr. Mauren asked the commission if they had any questions, changes, or comments
regarding G.1f — Organizational Fundamentals. The commission did not.
Mr. Mauren stated that he would provide a comprehensive summary of the G.1 policy
manual section at the July commission meeting.
Commissioner Westgaard stated he appreciated that there will be an overall review of the
section before moving on.
4.2 Employee Handbook Annual Updates
Ms. Zachman presented her memo detailing the regular annual update of the ERMU
Employee Handbook, noting there were 11 minor changes which were made by legal
counsel and reviewed by management.
Commissioner Westgaard asked if there were any additional costs incurred in awarding
the Longevity Pay benefit in the month of the recipients anniversary date since it may
require a separate check run. Ms. Karpinski replied there were no additional costs.
Chair Dietz asked if staff could look into consolidating legal services by having Campbell
Knutson also review the employee handbook in the future as opposed to having it done
by a second firm.
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June 13, 2023
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Attorney Shepherd stated that Campbell Knutson could provide that service.
Mr. Hanson said he would take this request as an action item and report back.
Moved by Commissioner Zerwas and seconded by Commissioner Stewart to adopt the
revised ERMU Employee Handbook. Motion carried 4-0.
5.0 BUSINESS ACTION
5.1 Financial Report —April 2023
Ms. Karpinski stated electric finances are favorable to budget ahead of prior YTD. She
added that water finances are favorable to budget but behind prior YTD.
Chair Dietz asked if snow removal is taken care of internally or if there is an outside
vendor. Ms. Karpinski explained it is handled internally during regular business hours and
coded to the snow removal general ledger account.
Chair Dietz asked a clarifying question about the energy audit expense for the Furniture &
Things Community Event Center. Staff explained that ERMU absorbed the cost of the audit
and added it to the Donated Labor to the City line.
Commissioner Stewart requested clarification as to why, according to the financial graphs,
electric demand and purchasing is trending up but electric load is trending down when it
was her understanding they usually trend together. Mr. Tietz stated he would look into
this further and report back.
Mr. Tietz presented the review of the Miscellaneous Power Generation expense which
falls under the Operating and Maintenance expense category. He explained this expense
consists mostly of the water and oil samples taken for testing related to the engines and
the labor to operate them. Permitting to run the engines is expensed through this account
as well.
Mr. Ninow presented the review of the Chemical Feed expense which falls under the
Water Pumping Expense category. He explained this account is used to purchase
chemicals for water treatment and filtration.
Moved by Commissioner Westgaard and seconded by Commissioner Stewart to receive
the April 2023 Financial Report. Motion carried 4-0.
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June 13, 2023
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5.2 Field Services Facility Expansion Project Update
Mr. Kerzman reported that after meeting with RJM Construction on the remainder of final
scoping items, the contract cost increase looked to be $160.29. He added that final
documentation of this cost increase agreement will be brought to the next month's
commission meeting.
Mr. Kerzman stated asphalt work is finishing up this week, irrigation repairs have been made,
and grass seed has been planted.
Chair Dietz asked clarifying questions about the asphalt, landscaping, and steps on the west
side of the building leading down to the lower level entrance. Staff responded.
5.3 Field Services Facility Open House Update
Ms. Foss presented an open house planning status update for the event occurring Thursday,
August 24, 4-8 p.m. She reported the required special event permit application has been
approved by the City. The open house planning committee continues to meet monthly to
ensure all tasks are completed on time. There is a coordinated effort with staff to ensure all
areas on the logistics map are covered. The communications team has a plan in place to
market the event through a variety of platforms beginning around mid -July.
Chair Dietz asked if staff would be paid overtime to run the event. Mr. Hanson confirmed that
they would.
Ms. Youngs requested closure of the administration offices at 3:30 p.m. on the day of the
event so that staff can be ready to go at the field service building at 4 p.m. Customers would
be informed of the early closure and the phones will be set to roll over to the after-hours call
center. The Commission approved this request.
The Commission requested a personal invitation be sent to former commissioner Al Nadeau
and other special guests.
6.0 BUSINESS DISCUSSION
6.1 Staff Updates
Ms. Youngs reported 80 applications were received for the open customer service
representative position and four have been scheduled for an interview.
Mr. Mauren explained there will be a quorum notice at the July commission meeting for the
Sherburne County Fair Parade on July 22 and the upcoming Minnesota Municipal Power
Agency Annual Summer Meeting at Wild Marsh Golf Club in Buffalo, MN on July 25.
Elk River Municipal Utilities Commission Meeting Minutes
June 13, 2023
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Commissioner Stewart asked if the letter received from the National Weather Service was
related to the set-up of a new weather station at the field services building. Mr. Ninow
explained it was a transfer from the old building to the new building.
6.2 City Council Update
Commissioner Westgaard provided an update from the City Council meetings which have
covered commission interviews, a nuisance ordinance update, a tax increment financing
extension, review of a gambling license, and city parks restrooms updates.
Chair Dietz asked Mr. Tietz if he could present an introduction to Advanced Metering
Infrastructure to the City Council so they have a better understanding of the project. Mr. Tietz
offered to give a presentation to the council and answer questions they may have in person.
6.3 Future Planning
Chair Dietz announced the following:
a. Regular Commission Meeting —July 11, 2023
b. 2023 Governance Agenda
6.5 Other Business
Mr. Mauren informed the commission they would be receiving the commissioner self -
evaluation survey via email at the conclusion of this commission meeting. He added
results would be presented at the July commission meeting.
7.0 ADJOURN REGULAR MEETING
Moved by Commissioner Westgaard and seconded by Commissioner Stewart to adjourn the
regular meeting of the Elk River Municipal Utilities Commission at 4:06 p.m. Motion carried
4-0.
Minutes prepared by Jenny Foss.
Mary Stev_G.aJft/ERNN Commission Vice Chair
Tina Allard, City Clerk
Elk River Municipal Utilities Commission Meeting Minutes
June 13, 2023
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