4.1 ERMUSR 06-03-2025______________________________________________________________________________
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UTILITIES COMMISSION MEETING
TO:
ERMU Commission
FROM:
Tony Mauren – Governance & Communications Manager
MEETING DATE:
June 3, 2025
AGENDA ITEM NUMBER:
4.1
SUBJECT:
Commission Policy Review – G.4c – Strategic and Business Planning
ACTION REQUESTED:
Review the policy and provide comment
BACKGROUND/DISCUSSION:
This month commissioners are reviewing policy G.4c – Strategic and Business Planning to make
comments, ask questions, or recommend updates.
With policy G.4c, the Commission affirms the importance of strategic and business planning and
sets forth its expectations for the General Manager.
Staff is recommending one update, reducing the Strategic Plan time period from not less than
five years to not less than three years. Staff believes this more closely resembles past practice
and allows for greater responsiveness in rapidly changing economic conditions. The proposed
deletion in the notes section coincides with the recommended time period edit and removes
redundancy with the sentence that immediately proceeds it.
ATTACHMENTS:
• ERMU Policy – G.4c – Strategic and Business Planning
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COMMISSION POLICY
Section: Category:
Governance Delegation to Management Policies
Policy Reference: Policy Title:
G.4c Strategic and Business Planning
PURPOSE:
With this policy, the Commission affirms the importance of strategic and business planning and
sets forth its expectations for the General Manager in terms of the effective development,
implementation, monitoring, and updating of the Commission’s approved Strategic Plan,
Financial Plan and Business Plan/Budget.
POLICY:
The General Manager shall not allow ERMU to operate without the following Commission
approved plans:
1. A Strategic Plan that provides strategic direction for a period of not less than three five (53)
future fiscal years in terms of high-level elements such as vision, core purpose, core values,
mission, key result areas and broadly stated strategic objectives that are intended to achieve
the organizational outcomes contained in the Commission’s Authority and Purpose Policies.
2. A Financial Plan covering not less than five (5) future fiscal years (see Financial Planning
and Budgeting Policy).
3. A Business Plan/Budget that supports accomplishment of the Strategic Plan and sets forth
specific operating and financial results in terms of elements such as actions and outcomes,
budgeted financial and other resource requirements, and projected financial statements.
Consistent with this general statement, the General Manager shall:
1. Provide the overall direction, leadership, education, and resources needed to engage the
Commission, management employees, key staff employees, and other key stakeholders in an
effective strategic planning process.
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ERMU Commission Policy – G.4c Strategic and Business Planning
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2. Present to the Commission for approval a recommended Strategic Plan, a recommended
Financial Plan, and a recommended Business Plan/Budget, as well as any subsequent
changes to the approved plans that are needed to keep them relevant and effective. The
Strategic Plan, as approved by the Commission, will include the high-level elements
identified above. Consistent with the strategic direction approved by the Commission,
management will implement, monitor, and periodically report to the Commission the status
of the Strategic Plan through the use of goals, action plans, and performance measures. The
Strategic Plan, Financial Plan, and Business Plan shall not materially deviate from the
Commission’s Authority and Purpose Policies.
3. Implement, if the Commission does not approve in a timely manner, the recommended
Strategic Plan, Financial Plan, and Business Plan/Budget, as required to effectively manage
the ERMU organization and utility enterprises.
4. Use the Strategic Plan as a guide and point of reference for preparing and updating the
Financial Plan, Business Plan/Budget and other business management tools.
5. Communicate key elements of the Strategic Plan, Financial Plan, and Business Plan/Budget
to ERMU’s Commission, customers, employees, and other stakeholders at appropriate
intervals to keep them well-informed about ERMU’s operating environment, strategic
direction and desired business and operational performance.
6. Report key business results and other operational outcomes to ERMU’s Commission,
customers, employees, and other stakeholders at appropriate intervals, using the Strategic
Plan and Business Plan/Budget as a point of reference.
Note: The ERMU Commission has established strategic and business planning as an important
part of its own Governance Agenda (see Agenda Planning Policy). During the first quarter of
each fiscal year (January - March), the Commission will review the most current adopted version
of ERMU’s Strategic Plan and Financial Plan, along with the results of the Business Plan/Budget
for the preceding fiscal year. The Commission and Management will prepare, and the
Commission will adopt an updated Strategic Plan and Business Plan/Budget before the end of
each calendar year. During the second and third quarters of every third year, the Commission
and Management will work together to re-develop, and the Commission will adopt a Strategic
Plan for at least five (5) future fiscal years. Management will prepare, and the Commission will
adopt during the fourth quarter (October – December) of each year a Business Plan/Budget that
includes management’s revenue/expense budget and projections, including relevant assumptions
for two (2) future fiscal years.
POLICY HISTORY:
Adopted June 13, 2017
Revised June 3, 2025
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