ERMU RES 24-10RESOLUTION NO. 24-10
BOARD OF COMMISSIONERS
ELK RIVER MUNICIPAL UTILITIES
A RESOLUTION AUTHORIZING THE DECOMMISSION OF THE ELK RIVER MUNICIPAL
UTITILITIES POWER PLANT
WHEREAS, Elk River Municipal Utilities (ERMU) maintains a power plant, constructed in
1947; and
WHEREAS, since 1978, the power plant has not been fully operational because ERMU
has met all power generation needs through a cooperative purchasing agency; and
WHEREAS, ERMU has maintained the power plant for auxiliary purposes only; and
WHEREAS, operational costs to maintain the power plant continue to rise, including the
need for a substantial investment in repairs, likely to exceed $500,000; and
WHEREAS, ERMU's current distribution system includes multiple substations and
interconnected transmission and distribution tie -lines which provide significant
resilience to maintaining power within the City of Elk River; and
WHEREAS, given the reliability of ERMU's current distribution system without use of the
power plant, and the significant reinvestment needed to operate the power plant, staff
recommends that ERMU decommission the plant; and
WHEREAS, the Commission agrees that ERMU should decommission the power plant,
and investigate opportunities to repurpose the building;
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE BOARD OF COMMISSIONERS OF
ELK RIVER MUNICIPAL UTILITIES, BASED UPON THE FOREGOING RECITALS
INCORPORATED HEREIN, AS FOLLOWS:
1. Staff should initiate the process to decommission the power plant
immediately, including ceasing all power generation operations at the plant.
2. Staff should proceed with decommissioning in as practical and efficient a
manner as possible in compliance with all local, state, and federal legal and
regulatory policies and processes required of ERMU.
232484v1
3. Prior to repurposing the building, staff will secure the power plant to ensure
that no unauthorized members of the public may access the plant during the
decommissioning process or after its conclusion.
4. Staff shall repurpose all non -fixed assets within the power plant or dispose of
them in accordance with state law.
5. The Commission will continue to explore opportunities to repurpose the
building for a public use that takes advantage of this significant public
resource and investment within the City of Elk River.
This Resolution Passed and Adopted this 10th day of September, 2024.
o n J. NzCOr
Mark Hanson, General Manager
232484v1