ERMUSR 09-09-2025REGULAR MEETING OF THE
UTILITIES COMMISSION
September 9, 2025, 3:30 P.M.
Utilities Conference Room
AGENDA
1.0GOVERNANCE
1.1Call Meeting to Order
1.2 Pledge of Allegiance
1.3 Consider the Agenda
1.4 Recognition of Employee Longevity – Michelle M., 20 years
1.5 Resolution Recognizing 2025 Public Power Week
1.6 Resolution Recognizing 2025 Customer Service Week
2.0 CONSENT (Routine items. No discussion. Approved by one motion.)
2.1 Check Register – August 2025
2.2 Regular Meeting Minutes – August 12, 2025
(Non-agenda items for discussion. No action. Presenters must adhere to a time limit of 3
3.0 OPEN FORUM
minutes.)
4.0POLICY & COMPLIANCE (Policy review, policy development, and compliance monitoring.)
4.1 Commission Policy Review – G.4e – Core Customer Services
4.2 Commission Policy Review – G.4j – Cost Allocation and Recovery
(Current business action requests and performance monitoring reports.)
5.0 BUSINESS ACTION
5.1 Financial Report – July 2025
5.2 2026 Annual Business Plan: Capital Projects & Equipment Purchases, and 20-Year Capital
Projections
5.3 Advanced Meter Infrastructure ProjectDiscussion
5.4 Wage & Benefits Committee Update
6.0 BUSINESS DISCUSSION (Future business planning, general updates, and informational reports.)
6.1 Staff Updates
6.2 City Council Update
6.3 Minnesota Municipal Utilities Association Summer Conference Discussion
6.4 Future Planning (Announce the next regular meeting, special meeting, or planned quorum.)
a. Regular Commission Meeting – October 14, 2025
b. 2025 Governance Agenda
6.5 Other Business (Items added during agenda approval.)
7.0ADJOURN REGULAR MEETING
______________________________________________________________________________
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UTILITIES COMMISSION MEETING
TO: FROM:
ERMU CommissionMark Hanson –General Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 2025 1.4
SUBJECT:
Recognition of Employee Longevity – Michelle M., 20 years
ACTION REQUESTED:
Recognize Michelle M. for 20 years of service and award the LongevityBonus paycheck.
BACKGROUND:
In September2021, the Commission approved a Longevity Pay benefitto be paid to qualifying,
eligible employees based on their years of service according to the schedule below.
8 years $1,550
12 years $2,025
16 years $2,100
20 years $2,125
24 years $2,300
28 years $3,000
32 years $3,000
DISCUSSION:
Credit & Collections Specialist Michelle M. has been an employee with ERMU since September
19, 2005, and, therefore, has earned the 20-yearlongevity pay benefit. We recognize Michelle
and all her contributions to the success of ERMU.
Page 1 of 1
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UTILITIES COMMISSION MEETING
TO:FROM:
ERMU CommissionChris Sumstad –Electric Superintendent
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 2025 1.5
SUBJECT:
Resolution Recognizing 2025 Public Power Week
ACTION REQUESTED:
Adopt Resolution 25-6Recognizing Public Power Week, October 5-11, 2025
DISCUSSION:
Elk River Municipal Utilities, now in its80thyear operating as a municipally owned public power
utility, will be celebrating Public Power Week 2025.
This national event is sponsored in conjunction with the American Public Power Association.
There are approximately 2,000 community-owned electric utilities that collectively provide
electricity on a not-for-profit basis to 49 million Americans. They are operated by local
governments as a public service with the mission of providing electricity in a reliable manner, at
a reasonable cost, and with proper protection of the environment. Public power companies
exist to serve our fellow citizens, friends, and neighbors. Elk River Municipal Utilities’ loyalty is
to our customers and our community, not stockholders. We are proud to be a public power
utility and to help make our community a great place to live and work. Every year we recognize
Public Power Week as a reminder of the responsibility we have to our consumer-owners.
ATTACHMENTS:
Resolution No. 25-6 - Recognizing 2025 Public Power Week
______________________________________________________________________________
Page 1 of 1
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RESOLUTION No. 25-6
BOARD OF COMMISSIONERS
ELK RIVER MUNICIPAL UTILITIES
A RESOLUTION OF BOARD OF COMMISSIONERS OF ELK RIVER MUNICIPAL UTILITIES
RECOGNIZING PUBLIC POWER WEEK,OCTOBER 5-11, 2025
WHEREAS, we, the citizens of Elk River, place high value on local control over
community services and therefore have chosen to operate a community-owned, locally
controlled, not-for-profit electric utility and, as consumers and owners of our electric
utility, have a direct say in utility operations and policies; and
WHEREAS, ERMU provides our homes, businesses, farms, social service, and local
government agencies with safe, reliable, efficient, and cost-effective electricity
employing sound business practices designed to ensure the best possible service at not-
for-profit rates; and
WHEREAS, ERMU is a valuable community asset that contributes substantially to the
well-being of local citizens through energy efficiency, customer service, environmental
protection, economic development, and safety awareness;
NOW, THEREFORE BE IT RESOLVED that ERMU will continue to work to bring lower-
cost, safe, reliable electricity (and water services) to community homes and businesses
just as it has since the utility was created; and
BE IT FURTHER RESOLVED that the week of October 5-11 be designated Public Power
Week in order to honor ERMU for its contributions to the community and to make its
consumer-owners, policy makers, and employees more aware of its contributions to
their well-being; and
BE IT FURTHER RESOLVED that our community joins hands with more than 2,000 other
public power systems in the United States in this celebration of PUBLIC POWER.
th
day of September 2025.
This Resolution Passed and Adopted on this 9
John J. Dietz, Chair
Mark Hanson, General Manager
4
UTILITIES COMMISSION MEETING
TO:FROM:
ERMU CommissionSara Youngs – Administrations Director
MEETING DATE: AGENDA ITEM NUMBER:
September9, 2025 1.6
SUBJECT:
Resolution Recognizing 2025 Customer ServiceWeek
ACTION REQUESTED:
Adopt Resolution 25-7Recognizing Customer Service Week, October 6-10, 2025
BACKGROUND:
In 1992 the U.S. Congress, by Senate joint resolution, designated the first week of October as
National Customer Service Week and requested the President issue a proclamation in support.
On October 8, 1992, President George Bush issued Proclamation 6485 recognizing the first
week of October as National Customer Service Week.
In President Bush’s proclamation he notes, “…businesses will do a better job of providing high
quality goods and services by listening to its employees and by empowering them with
opportunities to make a difference. Customer service professionals work in the front lines
where a firm meets its customers; where supply meets demand. With responsive policies and
procedures and with simple courtesy, customer service professionals can go a long way toward
ensuring customer satisfaction…”
DISCUSSION:
Elk River Municipal Utilities’ (ERMU) mission statement promises: “To provide our customers
with safe, reliable, cost effective and quality long term electric and water utility service. To
communicate and educate our customers in the use of utility services, programs, policies, and
future plans. These products and services will be provided in an environmentally and financially
responsible manner.” To be successful in our mission, it is essential that ERMU provide
excellent customer service while providing safe, reliable, and cost-effective utility services.
At ERMU, we value our employees who provide excellent customer service. We respectfully ask
the Commission to support these employees, and our organization, by adopting this resolution
recognizing Customer Service Week.
ATTACHMENTS:
Resolution No. 25-7 - Recognizing 2025 Customer Service Week
______________________________________________________________________________
Page 1 of 1
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RESOLUTION No. 25-7
BOARD OF COMMISSIONERS
ELK RIVER MUNICIPAL UTILITIES
A RESOLUTION OF BOARD OF COMMISSIONERS OF ELK RIVER MUNICIPAL UTILITIES
RECOGNIZING CUSTOMER SERVICE WEEK, OCTOBER 6-10, 2025
WHEREAS, Elk River Municipal Utilities (ERMU) provides electric and water utility
services within the City of Elk River, the City of Otsego, the City of Dayton, and Big Lake
Township; and
WHEREAS, the ERMU mission statement specifies: “To provide our customers with safe,
reliable, cost effective and quality long term electric and water utility service. To
communicate and educate our customers in the use of utility services, programs,
policies, and future plans. These products and services will be provided in an
environmentally and financially responsible manner”; and
WHEREAS, providing excellent customer service is an essential component of
successfully operating in accordance with the ERMU mission statementand an
expectation of our customers; and
NOW, THEREFORE, BE IT RESOLVED that ERMUwill continue to work to bring lower-
cost, safe, reliable electricity and water services to community homes and businesses
just as it has since the utility was created; and
BE IT FURTHER RESOLVED that ERMU will encourage their employees to take initiative
and continue to provide new and more efficient ways of providing excellent customer
service; and
BE IT FURTHER RESOLVED that the week of October 6-10 be designated Customer
Service Weekin order to honor ERMUand its staff for the continued commitment to
providing excellent customer service.
th
day of September 2025.
This Resolution Passed and Adopted on this 9
John J. Dietz, Chair
Mark Hanson, General Manager
6
CHECK REGISTER
August 2025
APPROVED BY:
John Dietz
Jill Larson-Vito
Mary Stewart
Matt Westgaard
Nick Zerwas
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ELK RIVER MUNICIPAL UTILITIES
REGULAR MEETING OF THE UTILITIES COMMISSION
HELD AT THE UTILITIES CONFERENCE ROOM
August 12, 2025
Members Present: Chair John Dietz, Vice ChairMary Stewart,andCommissioner Jill Larson-Vito
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
Jenny Foss, Communications & Administrative Coordinator
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
Moved by CommissionerLarson-Vito and seconded by Commissioner Stewart to approve
the August 12, 2025, agenda. Motion carried 3-0.
2.0CONSENT AGENDA (Approved By One Motion)
Moved by Commissioner Stewart and seconded by Commissioner Larson-Vito to approve
the Consent Agenda as follows:
2.1 Check Register – July 2025
2.2 Regular Meeting Minutes – July 8, 2025
2.3 2025 Second Quarter Utilities Performance Metrics Score Card Statistics
2.4 2025 Second Quarter Delinquent Items
2.5 Employee Safety Manual
2.6 East Substation Foundation Installation Bid
Elk River Municipal Utilities Commission Meeting Minutes
August 12, 2025
Page 1
34
Motion carried 3-0.
3.0 OPEN FORUM
No one appearedfor open forum.
4.0 POLICY & COMPLIANCE
4.1 Commission Policy Review – G.4d1 – Customer Data Privacy
Mr. Mauren presented the current Customer Data Privacy policy for review. He explained
that this policy outlines ERMU’s responsibility to keep customer information secure and
confidential. No changes to the policy were recommended by staff or the Commission.
Ms. Youngs provided clarification that customer data is not shared with third parties
except as required by law or through formal data requests, which are reviewed for
compliance.
4.2 Annual Strategic Plan Review
Mr. Hanson presented updates tothe strategic plan, which had been restructured at the
June meeting as having a three-year windowinstead of five years for better predictability.
Five initiatives for 2026-2027 were added to the seven initiatives remaining on the plan,
the added items are:
Evaluation of new utility billing software offerings.
Assessment of IT/OT needs due to growth and new technologies.
Implementation of an outage management system.
Construction of the East substation.
Review of AppSuite-related processes, focusing on service order efficiency.
Mr. Hanson explained that all initiatives on the plan align with ERMU’s Mission, Vision,
and Values.
The Commission had no questions.
5.0 BUSINESS ACTION
5.1 Financial Report – June 2025
Ms. Karpinski presented the June 2025 financials which showed a combined electric and
water net position increase of $994,000, which is a 4.1% margin.
Elk River Municipal Utilities Commission Meeting Minutes
August 12, 2025
Page 2
35
The revenue & expense breakdown showed that 93% of revenue and 92% of expenses are
from the electric department, while 7% revenue and 8% expenses came from the water
department.
Year-to-date actuals combining electric and water were favorable with a cumulative
actual balance of $993,000 compared to the budgeted loss of $266,000.
Most accounts receivable balances were current, having only 3% at over 90 days, and
those consisting mainly of inactive accounts.
Electric usage was up 5% over last year, presumed by staff to be attributable to higher
temperatures.
Year-to-date water usage was 11% higher than last year.
Administrative expenses were up 10% from last year, with a large increase over prior year
coming from changes in sick pay accrual per new GASB laws that require 100% accrual as
opposed to 50% previously.
In response to Chair Dietz’s question about the increase to Connection Fees, Mr. Ninow
noted there were large projects at Spectrum High School and a new tire shop.
Moved by Commissioner Larson-Vito and seconded by Commissioner Stewart to receive
the June 2025 Financial Report. Motion carried 3-0.
5.2 2026 Annual Business Plan: Travel and Training; Dues, Subscriptions - Fees Budget
Ms. Karpinski presented this portion of the business plan which is to be approved in its
entirety by the Commission in December.
The Travel & Training budget proposed a 2% decrease from last year with additional
leadership, IT, and customer services trainings planned.
The Dues & Subscriptions budget overall has a 15% increase largely due to planned bonding
for new water infrastructure in 2026, the siting of which will be the subject of a feasibility
report.
5.3 2025 National Energy Foundation Report
Mr. Mauren presented his memo on the National Energy Foundation report, recapping the
energy and water conservation presentation and energy saving kits provided to fourth
graders in ERMU’s service territory during the spring of 2025.
Elk River Municipal Utilities Commission Meeting Minutes
August 12, 2025
Page 3
36
Mr. Mauren explained that the program reached 389 students in 14 classrooms across
Lincoln, Meadowvale, Parker, and Twin Lakes Elementaries. Key results included a 42% return
rate on energy kit installation data, an estimated net savings of 96,058.14 kWh from the
energy saving kit products, 91% of parents stating they would like to see the program
continued in local schools, and 88% of parents said they will continue to use the products
after the completion of the program.
In response to Chair Dietz’s question, Mr. Mauren explained that the all-in 2025 cost for the
program was $14,612, or roughly $38 per student. He added that this is part of the
Conservation Improvement Program budget.
6.0 BUSINESS DISCUSSION
6.1 Staff Updates
Staff discussed issues with how a residential solar solicitor was communicatingtheir
affiliation with ERMU and the solicitor’snon-compliant conduct while sellingin the
community. The company’s solicitation license with the City of Elk River has been revoked.
Mr. Hanson noted there will be a meeting of the Wage & Benefit Committee on
September 2 at 11:30 a.m. in the Utilities Conference Room.
Ms. Youngs provided the last AMI meter installations status update:
Approximately 1,548 combined residential and commercial electric meters
remain to be exchanged.
Approximately 119 residential water meters, 59 commercial water meters, and 1
irrigation water meter remain to be exchanged.
Approximately 33 customers have not returned their opt-out form or scheduled
an exchange. Two of those 33 customers have not completed their opt-out form
and sent certified letters to staff and commissioners stating their disagreement
with ERMU’s need or ability to exchange their meters regardless of
ordinance/policy.
A discussion on next steps for meter exchange holdouts will be part of the
September agenda.
Commercial electric meters are expected to arrive in November.
At the September meeting, the Commission will discuss plans for the Employee
Appreciation Lunch in October.
6.2 City Council Update
Chair Dietzprovided a City Council update.
Elk River Municipal Utilities Commission Meeting Minutes
August 12, 2025
Page 4
37
6.3 Future Planning
Chair Dietz announced the following:
a. Regular Commission Meeting – September 9, 2025
b. Quorum – MMUA Summer Conference, August 18-20, 2025 – Rochester, MN
c. 2025 Governance Agenda
6.4 Other Business
There was no other business.
7.0ADJOURN REGULAR MEETING
Moved by CommissionerStewartand seconded by Commissioner Larson-Vitoto adjourn the
regularmeeting of the Elk River Municipal Utilities Commission at 4:29p.m. Motion carried
3-0.
Minutes prepared by Tony Mauren.
___________________________________
John J. Dietz, ERMU Commission Chair
___________________________________
Tina Allard, City Clerk
Elk River Municipal Utilities Commission Meeting Minutes
August 12, 2025
Page 5
38
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Tony Mauren – Governance & CommunicationsManager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20254.1
SUBJECT:
Commission Policy Review – G.4e – Core Customer Services
ACTION REQUESTED:
Adopt updated policy language
BACKGROUND/DISCUSSION:
This month commissioners are reviewing policy G.4e – Core Customer Services to make
comments, ask questions, or recommend updates.
With policy G.4e, the Commission sets forth its expectations for the General Manager
concerning core customer services and related business opportunities.
Staff is recommending one minor edit to make the text gender neutral.
ATTACHMENTS:
Updated ERMU Policy – G.4e – Core Customer Services
______________________________________________________________________________
Page 1 of 1
39
COMMISSION POLICY
Section: Category:
Governance Delegation to Management Policies
Policy Reference: Policy Title:
G.4e Core Customer Services
PURPOSE:
With this policy, the Commission sets forth its expectations for the General Manager concerning
core customer services and related business opportunities.
POLICY:
The ERMU Commission expects the General Manager to ensure that customers receive safe,
reliable, cost effective and quality long term electric and water utility services that directly
support ERMUÓs core purpose and mission as stated in the Organizational Core Purpose
Policy and Mission Statement Policy. ERMUÓs Ðcore customer servicesÑ are retail electric
and water services.
Consistent with this general statement, the General Manager shall:
1. Identify and keep the Commission informed about the full range of business opportunities
that are reasonably available to ERMU for the provision of its core customer services,
bringing appropriate recommendations to the Commission for consideration and approval.
2. Keep him/herself themself and others in the organization informed about electric and water
services trends, technologies, and practices through independent research, membership in
appropriate organizations, and participation in appropriate industry workshops, seminars, and
other similar opportunities.
3. Actively participate in relevant associations and advocacy groups, and stay informed about
the national, regional, and state electric power and water supply markets, market participants,
market management, and related legal and regulatory initiatives that may directly affect the
interests of ERMU customers. Work to mitigate regulatory risks by acting on behalf of the
interests of ERMU and its customers.
______________________________________________________________________________
Page 1 of 2
40
ERMU Commission Policy Î G.4e Core Customer Services
______________________________________________________________________________
4. Maintain professional and productive relationships with utility service providers, regulators,
professional experts and others with whom ERMU must collaborate to create and execute
successful business opportunities.
5. Clearly articulate and consistently demonstrate a high value proposition for customers who
receive ERMUÓs core customer services.
6. Establish core customer service standards for reliability, cost, quality, regulatory compliance,
and other factors important to ERMUÓs customers.
7. Routinely monitor and keep the Commission informed about ERMUÓs overall performance
with respect to its core customer services standards, as well as ERMUÓs business strategies
and initiatives to improve those services.
The General Manager is expected to look for and consider new business opportunities but
shall not implement any new core customer services or pursue any related business
opportunities without legal authority and clear direction to do so from the Commission-
approved ERMU Strategic Plan, Annual Business Plan or specific authorization of the
Commission.
POLICY HISTORY:
Adopted July 11, 2017
Revised September 9, 2025
______________________________________________________________________________
Page 2 of 2
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UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Tony Mauren – Governance & CommunicationsManager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20254.2
SUBJECT:
Commission Policy Review – G.4j –Cost Allocation and Recovery
ACTION REQUESTED:
Adopt updated policy language
BACKGROUND/DISCUSSION:
This month commissioners are also reviewing policyG.4j – Cost Allocation and Recovery. With
this policy, the Commission sets forth its expectations for the General Manager concerning cost
allocation and recovery of costs for ERMU’s core customer services.
The provided update helps ERMU align with leading practices, per the American Public Power
Association, in conducting a full cost-of-service study every five years instead of every ten as
previously listed.
ERMU last did a study in 2020 and is preparing for a study now in 2025.
ATTACHMENTS:
Updated ERMU Policy – G.4j – Cost Allocation and Recovery.
______________________________________________________________________________
Page 1 of 1
42
COMMISSION POLICY
Section: Category:
Governance Delegation to Management Policies
Policy Reference: Policy Title:
G.4j Cost Allocation and Recovery
PURPOSE:
With this policy, the Commission sets forth its expectations for the General Manager
concerning cost allocation and recovery of costs for ERMUÓs core customer services (See
Core Customer Services Policy).
POLICY:
The General Manager shall operate ERMU in accordance with the Financial Plan (See Financial
Planning and Budgeting Policy).
Consistent with this general statement, the General Manager shall:
1. Annually report to the Commission on the performance and adequacy of ERMUÓs rates, fees,
and charges for utility services with respect to revenue requirements, provide an updated
projection of revenue and revenue requirements in the Financial Plan (See Financial
Planning and Budgeting Policy), and recommend an appropriate plan for rate adjustments as
needed.
2. Provide, at least once every ten five (10 5) years or sooner at Management or Commission
discretion, and in conjunction with development of the Financial Plan, a full cost-of-service
rate study for each of ERMUÓs core customer services which fairly allocates costs among
customer classes, provides for sufficient revenues, demonstrates that recommended rates are
just and reasonable, and provides for competitive positioning with nearby service providers.
3. Recommend any new or adjusted rates, fees, or charges to the Commission for consideration
and approval.
4. Implement any Commission-approved rates, fees, charges (or changes to same), provide
adequate advance public notice and information to affected customers.
______________________________________________________________________________
Page 1 of 2
43
ERMU Commission Policy Î G.4j Cost Allocation and Recovery
______________________________________________________________________________
5. Apprise the Commission of and recommend any changes to existing cost-of-service
allocation methods or practices concerning rates, fees, or charges that are inconsistent with
good and accepted utility practice.
POLICY HISTORY:
Adopted August 8, 2017
Revised September 9, 2025
______________________________________________________________________________
Page 2 of 2
44
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Melissa Karpinski – Finance Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20255.1
SUBJECT:
Financial Report – July 2025
ACTION REQUESTED:
Receive the July 2025 Financial Report
DISCUSSION:
Please note that these are the preliminary unaudited financial statements.
Electric
July year to date (YTD) electric kWh sales are up 5% from the prior year. For further breakdown:
Residential usage is up 7%
Small Commercial usage is up 3%
Large Commercial usage is up 4%
For July 2025, the Electric Department overall is ahead of prior YTD and favorable to budget
YTD. Additional variance analysis can be found on the Summary Electric Statement of Revenues,
Expenses and Changes in Net Position attachment.
Water
July YTD gallons of water sold are up 11% from the prior year. For further breakdown:
Residential use is up 15%
Commercial use is up 7%
For July 2025, the Water Department overall is ahead of prior YTD and favorable to budget YTD.
Additional variance analysis can be found on the Summary Water Statement of Revenues,
Expenses and Changes in Net Position attachment.
ATTACHMENTS:
Balance Sheet 7.2025
Electric Balance Sheet 7.2025
Water Balance Sheet 7.2025
Summary Electric Statement of Revenues, Expenses and Changes in Net Position 7.2025
Summary Water Statement of Revenues, Expenses and Changes in Net Position 7.2025
Graphs Prior Year and YTD 2025
Detailed Electric Statement of Revenues, Expenses and Changes in Net Position 7.2025
Detailed Water Statement of Revenues, Expenses and Changes in Net Position 7.2025
______________________________________________________________________________
Page 1 of 1
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ELK RIVER MUNICIPAL UTILITIES
ELK RIVER, MINNESOTA
STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN NET POSITION
FOR PERIOD ENDING JULY 2025
202520252025YTD 20252025 YTD 20242024 YTD2024 v.
Variance
Bud Var%2025 Actual
JULYYTDJULY YTDBudget ANNUALYTDVARIANCE
Item
Var%
Electric BUDGETVarianceBUDGET
Revenue
Operating Revenue
Elk River3,763,57922,594,90022,479,728115,172141,085,7283,286,96520,858,3251,736,5758
Otsego382,2022,329,1592,210,112119,04754,073,730338,8942,082,825246,33312
Rural Big Lake18,245122,663128,233(5,569)(4)231,86316,360114,4578,2067
Dayton23,774155,848154,1581,6911281,98721,208138,68917,16012
Public St & Hwy Lighting23,900165,202152,25012,9529261,00021,710152,02713,1769
Other Electric Sales4002,8002,800004,8004002,80000
Total Operating Revenue 4,212,09825,370,57225,127,280243,292145,939,1083,685,53823,349,1222,021,4509
Other Operating Revenue
Interest/Dividend Income18,521253,371204,16749,20424350,00061,555163,43389,93855(1)
Customer Penalties28,142157,662166,250(8,588)(5)285,00031,208151,2666,3954
Connection Fees24,875149,79687,50062,29671150,00072,806223,657(73,861)(33)(2)
Misc Revenue173,2991,022,548551,875470,67385972,500122,278887,901134,64615(3)
Total Other Revenue 244,8371,583,3771,009,792573,585571,757,500287,8481,426,257157,11911
4,456,93526,953,94926,137,072816,877347,696,6083,973,38524,775,3802,178,5699
Total Revenue
Expenses
Purchased Power3,536,85617,668,82816,943,190725,638430,599,6283,234,95016,651,1681,017,6606
Operating & Mtce Expense21,538178,045204,417(26,372)(13)341,00019,023157,02221,02313
Transmission Expense3,55820,88544,333(23,448)(53)76,0004,32434,832(13,947)(40)
Distribution Expense40,776315,856304,20811,6484521,50035,410283,53532,32111
Maintenance Expense124,7111,049,7661,297,458(247,692)(19)2,144,500128,7581,152,785(103,019)(9)(4)
Depreciation & Amortization289,0782,015,4381,948,07267,36633,339,552275,0481,926,12389,3155
Interest Expense61,983435,155435,15500735,06965,175457,459(22,304)(5)
Other Operating Expense24,14468,49536,98331,51285482,4008,32942,25326,24262(5)
Customer Accounts Expense37,454242,176274,167(31,990)(12)470,00036,660242,505(329)(0)
Administrative Expense324,3732,592,0972,823,150(231,053)(8)4,783,849289,2362,343,123248,97311
General Expense77,338359,472373,217(13,745)(4)639,80039,434306,03053,44117(6)
4,541,80824,946,21224,684,349261,863144,133,2984,136,34423,596,8361,349,3776
Total Expenses(before Operating Transfers)
Operating Transfer
Operating Transfer/Other Funds151,292908,989899,1899,80011,643,429132,179839,24169,7498
Utilities & Labor Donated
20,514138,879154,583(15,704)(10)265,00019,009130,6738,2066
Total Operating Transfer171,8061,047,8691,053,772(5,904)(1)1,908,429151,189969,91377,9558
(256,679)959,868398,951560,9171411,654,881(314,148)208,630751,238360
Net Income Profit(Loss)
mVariance of +/- $25,000 and +/- 15%
Ite
(1)
YTD budget variance is due to a conservative budget amount. PYTD variance is mainly due to more funds being invested with UBS and change in Fair Market Value.
(2)
YTD budget variance is due to a large agreement in June. PYTD variance due to large a large connection agreement in January and July of 2024.
(3)YTD budget and PYTD variance is mainly due to Contributions from Customers having large SOWs for additional service and/or upgrade and transmission investments.
(4)YTD budget variance is mainly due to less Tree Trimming expense than budgeted and Mtce of Substation Equipment, Mtce of OH Primary, and Mtce of Meters timing as these are an even
budget
spread.
(5)YTD budget and PYTD variance is due to loss on disposition of property (disposal of assets) due to timing.
(6)PYTD variance is due to CIP rebates and CIP administration costs. Timing of rebates coming in earlier in the year in 2025.
49
ELK RIVER MUNICIPAL UTILITIES
ELK RIVER, MINNESOTA
STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN NET POSITION
FOR PERIOD ENDING JULY 2025
202520252025YTD 20252025 YTD 20242024 YTD2024 v.
Variance
Bud Var%2025 Actual
JULYYTDJULYYTD YTDBudget ANNUALVARIANCE
Item
Var%
Water BUDGETVarianceBUDGET
Revenue
Operating Revenue
Water Sales326,2131,490,5861,513,826(23,240)(2)3,143,314284,4861,331,671158,91612
326,2131,490,5861,513,826(23,240)(2)3,143,314284,4861,331,671158,91612
Total Operating Revenue
Other Operating Revenue
Interest/Dividend Income6,27470,93488,083(17,150)(19)151,00017,38252,51718,41735
(1)
Customer Penalties2,24116,79416,333460328,0003,45113,3243,47026
Connection Fees65,049474,344185,792288,553155318,50016,142229,042245,302107
(2)
97571,6159,10062,515687426,1001,1718,38863,227754
Misc Revenue
(3)
Total Other Revenue 74,539633,687299,308334,378112923,60038,145303,271330,416109
400,7522,124,2731,813,134311,139174,066,914322,6321,634,941489,33230
Total Revenue
Expenses
Production Expense12,49175,98778,750(2,763)(4)135,00013,17977,988(2,002)(3)
Pumping Expense60,899366,538392,088(25,550)(7)672,15076,256337,53329,0059
Distribution Expense35,213291,427280,42511,0024459,66039,080213,25578,17237
(4)
Depreciation & Amortization115,485807,867773,42234,44641,325,866101,013706,575101,29214
2,71218,98718,9870031,4662,91220,387(1,400)(7)
Interest Expense
Other Operating Expense225(15,550)16,438(31,987)(195)60,75060842(16,392)(1,947)
(5)
Customer Accounts Expense9,21858,68061,396(2,716)(4)105,2507,86554,0944,5868
Administrative Expense80,941658,359698,384(40,024)(6)1,199,70064,942564,16494,19517
(6)
General Expense1781,9567,146(5,190)(73)12,250(41)1,882744
317,3612,264,2512,327,034(62,783)(3)4,002,092305,2671,976,720287,53115
Total Expenses(before Operating Transfers)
Operating Transfer
Utilities & Labor Donated001,167(1,167)(100)2,0000000
Total Operating Transfer001,167(1,167)(100)2,0000000
Net Income Profit(Loss)83,391(139,979)(515,067)375,0887362,82217,365(341,779)201,80159
ItemVariance of +/- $15,000 and +/- 15%
(1)PYTD budget variance is mainly due to more funds being invested with UBS and change in Fair Market Value.
(2)YTD budget variance is due to connection fees being budgeted conservatively and PYTD variance is due to more WAC fees in 2025.
(3)YTD budget variance and PYTD variance is due to Contributions from Developers and initial 3M settlement.
PYTD variance is mainly due to one large watermain repair in 2025 and AMI project (water meter repairs).
(4)
(5)YTD budget variance and PYTD variance is due AMI (timing).
PYTD variance is mainly due to consulting (Cty Rd 44, Power Plant, Scada, Service Line Inventory), and Salaries (Comp Study change and COLA), Medical Insurance, and Sick Pay (change
in accrual).
(6)
50
Elk River Municipal Utilities Monthly Electrical Demand
80.0
75.0
70.0
65.0
60.0
55.0
Demand in MW 50.0
45.0
40.0
35.0
Month
20242025
Elk River Municipal Utilities Monthly Energy Purchases
40,000
35,000
30,000
25,000
20,000
Energy Purchases in MWH
15,000
Month
20242025
51
Elk River Municipal Utilities Monthly Total Electric Load
40,000
35,000
30,000
25,000
Electric Load in MWH
20,000
15,000
Month
20242025
Elk River Municipal Utilities Monthly Electric Sales
$5,500,000
$5,000,000
$4,500,000
$4,000,000
$3,500,000
$3,000,000
$2,500,000
Sales in Dollars
$2,000,000
$1,500,000
$1,000,000
Month
20242025
52
Elk River Municipal Utilities Monthly Residential, Commercial & Industrial
Loads
25,000
20,000
15,000
10,000
Loads in MWH
5,000
-
Month
2024 Residential2025 Residential2024 Commercial
2025 Commercial2024 Industrial2025 Industrial
Elk River Municipal Utilities Monthly Residential, Commercial & Industrial
Sales
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
Sales in Dollars
$500,000
$0
Month
2024 Residential2025 Residential2024 Commercial
2025 Commercial2024 Industrial2025 Industrial
53
Elk River Municipal Utilities Monthly Water Pumpage
140.0
120.0
100.0
80.0
60.0
40.0
Pumpage in Million Gal.
20.0
0.0
Month
20242025
Elk River Municipal Utilities Peak Day Pumpage
6.0
5.0
4.0
3.0
illion Gal.
2.0
Peak Day in M
1.0
0.0
Month
20242025
54
Elk River Municipal Utilities Monthly Water Sales
180$600,000
160
$500,000
140
120$400,000
100
$300,000
80
Sales In Dollars
60$200,000
Sales in Million Gal.
40
$100,000
20
0$0
Month
2024 MG2025 MG2024 $2025 $
55
56
57
58
59
60
61
62
63
64
65
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
PRESENTED AT MEETING - 2025-9 - 5.1
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Melissa Karpinski – Finance Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20255.2
SUBJECT:
2026 Annual Business Plan: Capital Projects & Equipment Purchases, and 20-Year Capital
Projections
ACTION REQUESTED:
No action is required.
DISCUSSION:
In preparation for budget submittal in November, staff continues to work through the 2026
budget process. The first draft of the capital budget portion of the 2026 budget has been
completed for commission review. The capital budget may change as the complete 2026
budget is assembled, when more information on project timing is available, when the rates
change, and once cash flow becomes more definite. Included are the timeline projections for 20
years. Non-capital noteworthy items (expenses) are shown separately from the capital budgets
at the bottom.
The following information is included for your review of the capital budgets:
1. Electric Department 2026 Capital Budget – Includes large non-recurring capital
construction projects, recurring capital construction projects and asset preservation,
and capital equipment purchases. Notable items for 2026 include the completion of
Advanced Metering Infrastructure (AMI – a multi-year project originally estimated to be
completed in 2025), East substation construction (multi-year project estimated to be
completed in 2026), Otsego transformer replacement (multi-year project estimated to
be completed in 2026), underground equipment replacement, additional/unidentified
feeders, replacing digger truck #15, and electric service territory acquisition loss of
revenue payments.
2. Electric Department Capital 20-Year Projections – Highlights anticipated large non-
recurring capital construction projects, recurring capital construction projects, and asset
preservation projects through 2045.
3. Water Department 2026 Capital Budget – Includes large non-recurring capital
construction projects, recurring capital construction projects and asset preservation,
and capital equipment purchases. Notable items for 2026 include a new well and water
treatment plant, replacement of existing water main at Upland/Meadowvale and city
road project, Freeport booster station, and SCADA upgrades.
______________________________________________________________________________
Page 1 of 2
66
4.Water Department Capital 20-Year Projections – Highlights anticipated large non-
recurring capital construction projects, recurring capital construction projects, and asset
preservation projects through 2045.
5.TechnicalServices and Administrative 2026 Capital Budgets – Includes capital projects
and capital equipment purchases. Notable items for 2026 include a fiber extension to
East substation, and security upgrades.
6. Administration and Technical Services Departments Capital 20-Year Projections –
Highlights anticipated large non-recurring capital construction projects, recurring capital
construction projects, and asset preservation projects through 2045.
The utilities utilize a vehicle replacement evaluation system implemented with the city.
Additional information on vehicle evaluations is available upon request.
FINANCIAL IMPACT:
The 2026 Electric Department Capital Budget has increased compared to the prior year. The
main driver of the increase is the construction of the new East substation and the completion of
Otsego transformer replacement projects in 2026. As in years past, we will use reserves to pay
for the territory expansion costs. We will also plan on using reserves to pay for the East
substation construction, Otsego transformer replacement, any unidentified feeder work, and
replacement of underground equipment. We also plan to do an inter-fund loan from the Water
department to partially fund the electric portion of the capital projects.
The 2026 Water Department Capital Budget has increased compared to the prioryear. We plan
to bond for the new water treatment plant and then plan on using reserves to pay for the
remaining capital needs in 2026.
In 2022, both the Electric Department and Water Department started a multi-year project
implementing AMI. The AMI project should be completed for both departments in 2026.
The Administration and Technical Services Departments’ Capital Budgets have increased
compared to the prior year. These projects are allocated to the Electric and Water Departments
and are shown as separate lines on their capital budgets.
ATTACHMENTS:
2026 Electric Department Capital Budget
2026 Electric Department Capital 20-Year Projections
2026 Water Department Capital Budget
2026 Water Department Capital 20-Year Projections
2026 Administration and Technical Services Departments Capital Budgets
2026 Administration and Technical Services Departments Capital 20-Year Projections
______________________________________________________________________________
Page 2 of 2
67
Elk River Municipal Utilities Business Plan/Budget
2026 Electric Department Capital Budget
Capital Construction Projects
CostDescription
1$ 125, 000Cty Rd 44 Rebuild
2$ 250,000 Rebuild: Ogden, 196th
3$ 250,000 Rebuild: Zebulon and Xerxes
4$ 250,000 OH to URD 208th, Wilson, 207th, single phase on Brook Rd
5$ 40,000 Rebuild: Mississippi Rd/Orono Rd
6$ 250,000 Unidentified Projects
6$ 100,000 198th Ave & Polk St OH to URD(for new well)
7$ 50,000 Otsego Street Lights
8$ - Cty Rd 33
Subtotal$ 1,315,000 *in order of priority
Capital Construction Substations
CostDescription
$ 1,413,000 East Substation ConstructionReserves
$ 150,000 North Recloser Tank Replacement
$ 1,280,120 Otsego Transformer ReplacementReserves
$ 28,000 Otsego Recloser Controller Replacement
$ 120,000 Otsego Recloser Tank Replacement
$ 20,000 14-4 Relay Panel Replacement
$ 60,000 Waco Bank #1 Recloser Tank Replacement
$ 21,000 West Bank #1 Recloser Controller Replacement
$ 30,000 West Bank #1 Recloser Tank Replacement
$ 28,000 West Bank #2 Recloser Controller Replacement
$ 60,000 West Bank #2 Recloser Tank Replacement
$ 50,000 SCADA Network Upgrades
Subtotal$ 3,260,120
Capital Construction Feeders
CostDescription
$ 175,000 Feeder 65 Rebuild OH from Landfill to North Sub
$ 200,000 East Sub Feeders #11, 13, 14
$ 500,000 Unidentified FeedersReserves
Subtotal$ 875,000
Capital Construction System
CostDescription
$ 425,000 Transformers and Meters
$ 70,607 AMI
$ 350,000 New Development Distribution Installation
$ 50,000 Street Lighting
$ 75,000 Ongoing OH Equip Replacement (Poles, Switches, Cut-Outs)
$ 900,000 Ongoing URD Equip Replacement (Switches, J-Boxes, Fuse Pads)Reserves
$ 75,000 Fault Indicators Replacements
Subtotal$ 1,945,607
Capital Equipment Needs
CostDescription
$ 500,000 Replace Digger TruckVehicle #15
$ 130,000 Replace Truck#30 and new foreperson
$ 75,000 Hot Arms
$ 154, 600Electric share of Administration
$ 298,500 Electric Share of Technical Services
Subtotal$ 1,158,100
Capital Facilities & Misc Needs
CostDescription
$ 472,275 Territory Acquisition - Loss of Revenue Pmt (2015 Contract - Area 1&2, 3&4, 5&6, 7&8)Reserves
Subtotal$ 472,275
Total Capital$ 9,026,102
Electric Noteworthy Non-Recurring Expenses
CostDescription
$ 3,500Computers, iPads, Software, Accessories
$ 2,000Paint Transformers/Switchgear
$ 5,000Paint Street Lights
$ 10,000 Tools
$ 30,000 Contractor Testing and Inspections
$ 12,240 Electric share of Administration
$ 23,275 Electric share of Technical Services
Total$ 86,015
68
ABCDEFGHIJKLMNOPQRSTUV
1 Elk River Municipal Utilities Business Plan/Budget
2 Electric Utility
3 Capital Budget 2026-2045
4 Description202520262027202820292030203120322033203420352036203720382039204020412042204320442045
5 Projects
6 OH to URD 208th, Wilson, 207th, single phase on Brook Rd$250,000$100,000
7 Dayton Rebuild 2400V OH to 7200V URD$376,000$306,000$102,000$80,000$83,000
8 Cty Rd 32 single phase OH to three phase UG$300,000
9 198th Ave & Polk St OH to URD$100,000$100,000
10 198th Ave & Gary St OH to URD$100,000
11 Otsego Street Lights$50,000$50,000
12 Highway 169 redefine$25,000
13 3 Phase on Co Rd 1 from Co Rd 33 to 221st$300,000
14 Co Rd 39 O'dean to Nashua - OH to URD$200,000
15 Rebuild Parrish$200,000
16 Rebuild: Dayton River Road$150,000$150,000$150,000
17 Rebuild: Zebulon and Xerxes$250,000
18 Rebuild: 190th Ave, Waco Street$250,000
19 Rebuild: Ogden, 196th$250,000
20 Rebuild: 211th$100,000
21 Rebuild: 227th, 223rd$100,000
22 Rebuild: Dodge Elk Hills and 190th wire replacement$125,000
23 Rebuild: 192nd Zane and Yale wire replacement$125,000
24 Rebuild: Kennedy and Lincoln wire replacement$125,000
25 Rebuild: Main and Gates OH to URD$250,000$250,000
26 Rebuild: 5th St and Line Ave$100,000
27 New development: Hwy 10 from Hwy 101 to Jarvis$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000
28 Gravel Mine Development$250,000$250,000$250,000$250,000$250,000
29 Cty Rd 33$200,000$200,000
30 Waco Business Center Dr Recon$125,000$125,000
31 Cty Rd 44 Rebuild$125,000$125,000
32 Rebuild: Mississippi Rd/Orono Rd$40,000
33 Unidentified Projects$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000
35 Total Projects Budget$1,350,000$1,315,000$1,975,000$950,000$1,176,000$906,000$702,000$680,000$683,000$600,000$350,000$350,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,00
0
36
37 Substations
38
East
39 Design
40 Construction$1,250,000$1,250,000
41 Recloser Controller$28,000$28,000
42 Recloser Tank$120,000$120,000
43 Contractor Testing and Inspection$15,000
44 North
45
Transformer Replacement (Target Date 2053)
46 Relay Panel Replacement$25,000
47 Recloser Controller Replacement$35,000$6,000$6,000$6,000
48 Recloser Tank Replacement$150,000$150,000$45,000$15,000$15,000
49 Communication Equipment Replacement$10,000
50 Meter Replacement$7,500
51
Orrock (Future)
52 Design$150,000
53 Construct$1,850,000
54 Otsego
55 Transformer Replacement (Target Date 2023)$1,280,120
56 Relay Panel Replacement$25,000
57 Recloser Controller Replacement$28,000
58 Recloser Tank Replacement$120,000$15,000$45,000
59 Communication Equipment Replacement$10,000
60 Meter Replacement$7,500
61
Otsego East (Future)
62 Design$150,000
63 Construct$1,850,000
64
Station 14-3
65 Transformer Replacement (Target Date 2037)$1,250,000
66 Relay Panel Replacement
67 Recloser Controller Replacement$49,000$30,000
68 Recloser Tank Replacement$150,000$15,000$15,000
69 Communication Equipment Replacement$10,000
70 Meter Replacement$7,500
71
Station 14-4
72
Transformer Replacement (Target Date 2046)
73 Relay Panel Replacement$20,000
74 Recloser Controller Replacement$14,000$6,000$6,000
75 Recloser Tank Replacement$60,000$30,000
76 Communication Equipment Replacement$10,000
77 Meter Replacement$7,500
78
Waco Bank #1
79
Transformer Replacement (Target Date 2047)
80 Relay Panel Replacement$25,000
81 Recloser Controller Replacement$6,000
82 Recloser Tank Replacement$60,000$30,000
69
ABCDEFGHIJKLMNOPQRSTUV
1 Elk River Municipal Utilities Business Plan/Budget
2 Electric Utility
3 Capital Budget 2026-2045
4 Description202520262027202820292030203120322033203420352036203720382039204020412042204320442045
83 Communication Equipment Replacement$10,000
84 Meter Replacement$7,500
85
Waco Bank #2
86
Transformer Replacement (Target Date 2057)
87 Relay Panel Replacement$25,000
88 Recloser Controller Replacement$21,000$18,000
89 Recloser Tank Replacement
90 Communication Equipment Replacement$10,000
91 Meter Replacement$7,500
92
West Bank #1
93 Transformer Replacement (Target Date 2046)
94 Relay Panel Replacement
95 Recloser Controller Replacement$21,000$21,000$12,000$6,000
96 Recloser Tank Replacement$30,000$30,000$15,000
97 Communication Equipment Replacement$10,000
98 Meter Replacement$7,500
99
West Bank #2
100 Transformer Replacement (Target Date 2034)$1,250,000
101 Relay Panel Replacement
102 Recloser Controller Replacement$28,000$28,000$18,000
103 Recloser Tank Replacement$60,000$60,000$15,000
104 Communication Equipment Replacement$10,000
105 Meter Replacement$7,500
106 Cap and Reg Controllers
107 SCADA Network Upgrades$50,000$50,000
108 Substations voltage upgrade to 115kV$2,000,000$2,000,000$2,000,000$2,000,000
110 Total Substations Budget$1,772,000$3,260,120$273,000$21,000$156,000$1,862,000$33,000$138,000$87,500$1,271,000$2,057,000$2,085,000$3,373,000$2,000,000$150,000$1,850,000$52,500$0$0$0$0
111
112 Feeders
113 Quaday to River Road NE$500,000
114 County Rd 35 Feeder to Waco$100,000
115 Highway 10 Feeder from 101 to Jarvis$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000
116 Rebuild Feeder 46 Substation to Hwy 10$250,000
117 Gravel Mine Feeders$250,000$250,000$250,000$250,000$250,000
118 Feeder 71/72 Replace 500 MCM from reclosure to riser$25,000
119 Feeder 65 Rebuild OH from Landfill to North Sub$150,000$175,000
120 East Sub Feeders #11, 13, 14$200,000
121 Unidentified Feeders$750,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000
123 Total Feeders Budget$925,000$875,000$1,250,000$900,000$650,000$900,000$900,000$900,000$900,000$900,000$650,000$650,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000
124
125
126 Miscellaneous
127 Territory Acquisition - Loss of Revenue Pmt (1991 Contract)
128 County Rd 12 Interconnection Agreement - Connexus
129 Territory Acquisition - Loss of Revenue Pmt (2015 Contract - Area 1&2, 3&4, 5&6, 7&8)$935,000$472,275$316,884$198,046$100,816$100,816
131 Total Miscellaneous Budget$935,000$472,275$316,884$198,046$100,816$100,816$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0
132
133 Facilities
134 Vactron clean out west sub
135 West sub storage asphalt
137 Total Facilities Budget$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0
138
139 System
140 Transformers and Meters$375,000$425,000$425,000$425,000$425,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000$250,000
141 AMI$1,425,000$70,607
142 New Development Distribution Installation$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$350,000$3
50,000$350,000
143 Street Lighting $50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000$50,000
144 Ongoing OH Equip Replacement (Poles, Switches, Cut-Outs)$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,000$75,00
0$75,000
145 Ongoing URD Equip Replacement (Switches, J-Boxes, Fuse Pads)$150,000$900,000$900,000$650,000$650,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,000$150,00
0$150,000$150,000$150,000$150,000
146 Fault Indicators Replacements$75,000$75,000
148 Total System Budget$2,500,000$1,945,607$1,800,000$1,550,000$1,550,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,000$875,0
00
149
150 Inventory/Equipment
151 Digger Truck$335,000$500,000
152 Bucket Truck$300,000$302,500$332,750
153 Dump Truck/Flatbed Truck$75,000$50,000$85,000
154 Vactron$145,000
155 Excavator$45,000$45,000$45,000$45,000
156 Brush Chipper$30,000
157 Cable Plow$200,000$250,000
158 Bore Rig$250,000
159 John Deere Tractor
160 Diesel Tank
161 Trailer$55,000$40,000$20,000$20,000$17,000$30,000$20,000$15,000$30,000$20,000$20,000
162 Shared Equipment$12,800$21,600$48,000$65,000$16,000
70
ABCDEFGHIJKLMNOPQRSTUV
1 Elk River Municipal Utilities Business Plan/Budget
2 Electric Utility
3 Capital Budget 2026-2045
4 Description202520262027202820292030203120322033203420352036203720382039204020412042204320442045
163 Pickup Trucks $130,000$195,000$65,000$65,000$65,000$65,000$195,000$66,000$66,000$66,000
164 Chipper Box$55,000
165 Dump Trailer
166 Hot Arms$75,000
167 Ez Spot
168 Tools at Field Services Building
170 Total Inventory/Equipment Budget$892,800$705,000$120,000$587,500$332,750$241,600$105,000$370,000$130,000$130,000$420,000$20,000$255,000$30,000$20,000$36,000$0$0$66,000$66,000$66,000
171
172 Total$8,374,800$8,573,002$5,734,884$4,206,546$3,965,566$4,885,416$2,615,000$2,963,000$2,675,500$3,776,000$4,352,000$3,980,000$5,253,000$3,655,000$1,795,000$3,511,000$1,677,500$1,625,000$1,691,000
$1,691,000$1,691,000
173 Reserves$3,333,000$4,565,395$1,250,000$2,000,000$1,250,000$1,850,000
174 Bonding
175 Grants
176 Inter-Fund Borrowing$1,425,000$1,400,000
177 Total Less Additional Funding$3,616,800$4,007,607$5,734,884$4,206,546$3,965,566$4,885,416$2,615,000$2,963,000$2,675,500$2,526,000$2,352,000$3,980,000$4,003,000$3,655,000$1,795,000$1,661,000$1,677
,500$1,625,000$1,691,000$1,691,000$1,691,000
178
179 Difference from Previous Year$337,300$390,807$1,727,277($1,528,338)($240,980)$919,850($2,270,416)$348,000($287,500)($149,500)($174,000)$1,628,000$23,000($348,000)($1,860,000)($134,000)$16,500($52
,500)$66,00000
180
181
182 Non-Capital Expenses - Noteworthy
183 Computers/iPads$10,500$3,500$10,500$5,500$1,300$5,500$14,000$3,500$10,500$5,500$1,300$5,500$14,000$3,500$10,500$5,500$1,300$5,500$14,000$3,500$10,500
184 Paint Trailer
185 Paint Truck
186 Paint Transformers/Switchgear$15,000$2,000
187 Paint Street Lights$5,000
188 Tools$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000
189 Highway 10 (Future)
190 Contractor Testing and Inspections (Expense)$15,000$15,000
191 North
192 Contractor Testing and Inspections (Expense)$15,000$15,000
Otsego
193
194 Transformer Arrestor Replacement (Expense)
195 Contractor Testing and Inspections (Expense)$15,000
196 Otsego East (Future)
197 Contractor Testing and Inspections (Expense)$15,000
198 Station 14-3
199 Transformer Arrestor Replacement (Expense)
Contractor Testing and Inspections (Expense)$15,000$15,000
200
201 Station 14-4
202 Contractor Testing and Inspections (Expense)$15,000$15,000$15,000$15,000$15,000
203 Waco Bank #1
204 Contractor Testing and Inspections (Expense)$15,000$15,000
205 Waco Bank #2
206 Contractor Testing and Inspections (Expense)$15,000$15,000
West Bank #1
207
208 Contractor Testing and Inspections (Expense)$15,000
209 West Bank #2
210 Transformer Arrestor Replacement and Current Transformers (Expense)
211 Contractor Testing and Inspections (Expense)$15,000$15,000$15,000
213 Total Non-Capital Expenses - Noteworthy$ 50,500 $ 50,500 $ 35,500 $ 30,500 $ 11,300 $
30,500 $ 39,000 $ 28,500 $ 35,500 $ 30,500 $ 26,300 $ 30,500$ 39,000 $ 28,500
$ 35,500 $ 30,500$ 26,300$ 30,500$ 39,000$ 28,500$ 35,500
71
Elk River Municipal Utilities Business Plan/Budget
2026 Water Department Capital Budget
Water Capital Construction Needs
Cost
Description
$ 40,000 Well #5 RehabilitationReserves
$ 1,500,000 New Well #10Reserves
$ 8,000,000 New Well #10 WTPBonding
$ 12,000Hi-E Dry DehumidifiersReserves
$ 100,000Facility Repair (Capital)Reserves
$ 400,000
Freeport Booster StationReserves
$ 15,000Placeholder for undetermined projectsReserves
$ 200,000SCADA upgradesReserves
$ 15,000Well SecurityReserves
$ 75,000Fiber - Meadowvale & Freeport Boosters, Well #6Reserves
$ -Hwy 169 Redefine
$ 1,050,000
Water Main Construction (City Rd project)Reserves
Subtotal$ 11,407,000
Capital Equipment Needs
CostDescription
$ 65,000Trucks#3Reserves
$ 15,000GPS locating equipmentReserves
$ 33,400Water share of Administration
$ 1,500Water Share of Technical Services
Subtotal$ 114,900
Total Capital$ 11,521,900
Water Noteworthy Non-Recurring Expenses
CostDescription
$ -Computers, iPads
$ 10,000Meters/ERT
$ 10,000Tools
$ 5,580Water share of Administration
$ 825Water share of Technical Services
Total$ 26,405
72
ABCDEFGHIJKLMNOPQRSTUV
1 Elk River Municipal Utilities Business Plan/Budget
2 Water Utility
3 Capital Budget 2026-2045
4 Description202520262027202820292030203120322033203420352036203720382039204020412042204320442045
5 Wells
6 Well 2
7 Roof Replacement
8 Well Rehabilitation (Last Recondition 2022) $40,000$40,000$40,000
9 Flood Alarms
10 Well 3
11 Roof Replacement
12 Well Rehabilitation (Last Reconditioning 2024) $40,000$40,000
13 Flood Alarms
14 Generator$175,000
15 Well 4
16 Roof Replacement
17 Well Rehabilitation (Last Reconditioning 2023)$40,000$40,000
18 Media
19 Well 5
20 Roof Replacement
21 Well Rehabilitation (Last Reconditioning 2015)$40,000$40,000$40,000
22 Flood Alarms
23 Well 6
24 Roof Replacement
25 Well Rehabilitation (Last Reconditioning 2017)$20,000$40,000$40,000
26 Well 7
27 Roof Replacement
28 Well Rehabilitation (Last Reconditioning 2023)$40,000$40,000
29 VFD
30 Flood Alarms
31 Well 8
32 Well Rehabilitation (Last Reconditioning 2015) $40,000$40,000$40,000
33 Well 9
34 Roof Replacement $10,000
35 Well Rehabilitation (Last Reconditioning 2018)$40,000$40,000$40,000
36 Well 10
37 New Well$1,200,000$1,500,000
38 New Treatment Plant$8,000,000
39 Well 11
40 New Well$1,200,000$1,500,000
41 New Treatment Plant$8,000,000
42 All Wells
43 Chlorine Alarms$25,000
44 Chlorine Analyzers
45 Hi-E Dry Dehumidifiers$12,000$10,000
46 Facility Repair (Capital)$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000$100,000
48 Total Well Budget$2,695,000$9,652,000$150,000$140,000$140,000$140,000$140,000$140,000$140,000$9,640,000$140,000$140,000$140,000$165,000$150,000$140,000$140,000$140,000$140,000$140,000$140,000
49
50 Miscellaneous
51 Freeport Booster Station$400,000$20,000$20,000
52 Meadowvale Booster Station$150,000
54 Total Miscellaneous Budget$150,000$400,000$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$20,000$20,000$0$0
55
56 Towers
57 Gary St. Tower
58 Paint/Sandblast (Capital)
59 Wash Outside of Tower (Capital)$35,000$20,000$20,000$20,000
60 Mixer$20,000
61 Freeport Tower
62 Paint/Sandblast (Capital)
63 Wash Outside of Tower (Capital)$20,000$20,000$20,000$20,000$20,000
64 Mixer
65 Auburn Tower
66 Paint/Sandblast (Capital)
67 Wash Outside of Tower (Capital)$20,000$20,000$20,000$20,000
68 Mixer
69 Johnson Tower
70 Paint/Sandblast (Capital)$2,000,000
71 Wash Outside of Tower (Capital)$20,000$20,000$20,000$20,000
73
ABCDEFGHIJKLMNOPQRSTUV
1 Elk River Municipal Utilities Business Plan/Budget
2 Water Utility
3 Capital Budget 2026-2045
4 Description202520262027202820292030203120322033203420352036203720382039204020412042204320442045
72 Mixer$20,000
73 New Tower$3,500,000
74 New Tower$4,000,000
75 Placeholder$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000$15,000
77 Total Tower Budget$50,000$15,000$2,015,000$35,000$35,000$95,000$15,000$15,000$15,000$55,000$3,555,000$35,000$15,000$15,000$35,000$4,055,000$35,000$15,000$15,000$35,000$55,000
78
79 System
80 Facilities Building
81 SCADA upgrades$39,500$200,000$40,000$60,000$40,000$40,000
82 Well Security$15,000
83 Fiber - Meadowvale & Freeport Boosters, Well #6$150,000$75,000
84 AMI$500,000
85 Highway 169 Redefine$185,000
86 Gravel Mine Development$500,000$500,000$500,000$500,000$500,000
87 Water Main Construction (Capital)$500,000$1,050,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000$500,000
89 Total System Budget$1,374,500$1,340,000$540,000$60,000$540,000$540,000$1,000,000$500,000$1,000,000$500,000$500,000$0$500,000$0$500,000$0$500,000$0$500,000$0$500,000
90
91 Inventory/Equipment
92 Equipment$65,000$65,000$6,000
93 Shared Equipment$3,200$5,400$12,000$22,000$4,000
94 Trucks (Capital)$65,000$65,000$65,000$65,000$130,000$66,000$65,000$130,000
95 GPS locating equipment$15,000
96 Fire Hydrant Flushing Equipment
98 Total Inventory/Equipment Budget$68,200$80,000$65,000$130,000$130,000$5,400$0$0$12,000$22,000$0$65,000$0$0$0$10,000$0$0$66,000$65,000$130,000
99
100 Total $4,337,700$11,487,000$2,770,000$365,000$845,000$780,400$1,155,000$655,000$1,167,000$10,217,000$4,195,000$240,000$655,000$180,000$685,000$4,205,000$675,000$175,000$741,000$240,000$825,000
101 Reserves$3,050,000$3,487,000$500,000$500,000$500,000$1,000,000$500,000$1,000,000$500,000$500,000$500,000$500,000$500,000$500,000
102 Bonding$8,000,000$2,000,000$9,500,000$3,500,000$4,000,000
103 Trunk Funds
104 Total Less Additional Funding$1,287,700$0$270,000$365,000$345,000$280,400$155,000$155,000$167,000$717,000$195,000$240,000$155,000$180,000$185,000$205,000$175,000$175,000$241,000$240,000$325,000
105
106 Difference from Previous Year$ 859,700$ (1,287,700)$ 270,000$ 95,000 $ (20,000)$ (64,600)$ (125,400) $ -
$ 12,000$ 550,000$ (522,000) $ 45,000 $ (85,000)$ 25,000 $ 5,000$ 20,000$ (30,000) $
-$ 66,000 $ (1,000) $ 85,000
107
108
109 Non-Capital Expenses - Noteworthy
110 Computers/iPads$9,500$0$0$3,500$1,300$6,000$11,000$0$0$3,500$1,300$6,000$11,000$0$0$3,500$1,300$6,000$11,000$0$0
111 Meters/ERTs$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000
112 Tools$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000
113 Rate Study$5,000$5,000$5,000$5,000
115 Total Non-Capital Expenses - Noteworthy$ 34,500 $ 20,000 $ 20,000 $ 23,500 $ 21,300 $ 31,000 $ 31,000$
20,000$ 20,000$ 23,500 $ 26,300$ 26,000 $ 31,000 $ 20,000 $ 20,000 $ 28,500$ 21,300
$ 26,000 $ 31,000 $ 20,000 $ 20,000
74
Elk River Municipal Utilities Business Plan/Budget
2026 Administration and Technical Services Departments Capital Budgets
Administration Capital Needs
CostDescription
$ 40,000Hallway Display and Branding
$ 30,000Server upgrades
$ 5,000Network Switches/Misc (ERMU)
$ 6,000Domain Controller
$ 6,000Microsoft server upgrade (city shared)
$ 5,000Server Backup System (city shared)
$ 18,000OMS
$ 5,000Office Furniture
$ 8,000Team's Room - FS Building
$ 10,000Security Camera System Replacement - Admin
$ 40,000OT Security
$ 10,000Phone System (city shared)
$ 5,000Misc Office Equipment
Subtotal$ 188,000
Administration Noteworthy Non-Recurring Expenses
CostDescription
$ 15,300Computers, iPads, Software, Accessories, Scanners, Printers - Upgrades
Subtotal$ 15,300
Total Administration$ 203,300
Technical Services Capital Needs
CostDescription
$ 10,000GIS Enterprise version update
$ 20,000VOLT/VAR Implementation
$ 125,000 Fiber Extension - East Sub
$ 25,000Substation Security
$ 15,000Thermal Imager Camera
$ 15,000Locator
$ 25,000Communications Cap Bank VR Controllers
$ 65,000Trucks (Capital)#17
Subtotal$ 300,000
Technical Services Noteworthy Non-Recurring Expenses
CostDescription
$ 14,500Computers, iPads, Software, Accessories - Upgrades
$ 10,000Tools
Subtotal$ 24,500
Total Technical Services$ 314,500
Total Capital Items$ 488,000
Total Non-Recuring Expenses$ 39,800
75
ABCDEFGHIJKLMNOPQRSTUV
1 Elk River Municipal Utilities Business Plan/Budget
2 Administration & Technical Services
3 Capital Budget 2026-2045
4 Description202520262027202820292030203120322033203420352036203720382039204020412042204320442045
5 Admin
6 Information Technology
7 Server upgrades$75,000$30,000$75,000$75,000$75,000
8 Microsoft server upgrade (city shared)$6,000$6,000
9 Network Switch (City main core)$20,000$20,000
10 Network Switches/Misc (ERMU)$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000
11 Domain Controller$6,000$5,000$5,000$5,000
12 Security Camera System Replacement - FSB$10,000$50,000$50,000
13 Security Camera System Replacement - Admin$10,000
14 Building Security
15 Commission Room AV Upgrade$15,000
16 Cellular Boosters - Field Services Building
17 Server Backup System (city shared)$8,400$5,000
18 Simplivity server node - increase storage space (city shared)$12,000$12,000$12,000
19 Voice Server Replacement
20 OMS$18,000
21 Team's Room - Admin Building$5,000
22 Team's Room - FS Building$14,000$8,000
23 OT Security$40,000
24 Phone System (city shared)$10,000
26 Total IT Budget$113,400$138,000$15,000$17,000$17,000$127,000$10,000$5,000$55,000$5,000$5,000$85,000$5,000$5,000$5,000$100,000$10,000$5,000$55,000$5,000$5,000
27
28
29 Facilities
30 Office Furniture$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$15,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000
31 Conference Room/Office Reno
32 Hallway Display and Branding$40,000$40,000
33 Field Services Branding
34 FSB Accoustics$40,000
35 Computer Monitor Arms
36 Carpet$50,000
38 Total Facilities Budget$80,000$45,000$5,000$5,000$5,000$5,000$5,000$55,000$5,000$15,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000$5,000
39
40
41 Miscellaneous
42 Office Vehicles$30,000$50,000$30,000$50,000
43 Misc. Office Equipment - Folder, Letter Opener, RemitPlus Scanner & Computer$5,000$5,000$5,000$5,000$4,000$5,000
45 Total Miscellaneous Budget$0$5,000$5,000$30,000$0$0$0$5,000$50,000$5,000$0$0$4,000$30,000$0$0$5,000$0$50,000$0$0
46
47
48 Tech Services
49 Information Technology
51 GIS Enterprise version update$10,000
53 Total IT Budget$0$10,000$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0
54
55
56 Projects
57 VOLT/VAR Implementation$20,000
58 Fiber Extension - 169 to Sub
59 Fiber Extension - Waco Sub$60,000
60 Fiber Extension - East Sub$125,000$125,000
61 Fiber Extension - West Sub
62 Fiber Extension - Johnson Tower
63 Fiber Extension - Auburn Tower
64 Fiber Loop
65 Substation Security$40,000$25,000
67 Total Projects$165,000$170,000$60,000$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0$0
68
69
70 Inventory/Equipment
71 Substation Meter and SCADA Equipment
72 Field Meter Testing Equipment
73 Shop Meter Tester
74 Thermal Imager Camera$15,000$15,000
75 Locator$15,000
76 Communications Cap Bank VR Controllers$25,000
77 Trucks (Capital)$65,000$65,000$65,000$65,000$65,000$65,000$130,000$65,000$65,000$65,000$65,000$65,000$65,000
79 Total Inventory/Equipment Budget$15,000$120,000$65,000$65,000$65,000$65,000$65,000$0$0$130,000$65,000$65,000$65,000$65,000$65,000$0$65,000$0$0$0$0
80
81
82 Total $373,400$488,000$150,000$117,000$87,000$197,000$80,000$65,000$110,000$155,000$75,000$155,000$79,000$105,000$75,000$105,000$85,000$10,000$110,000$10,000$10,000
83 Reserves
84 Bonding
85
86 Total Less Additional Funding$373,400$488,000$150,000$117,000$87,000$197,000$80,000$65,000$110,000$155,000$75,000$155,000$79,000$105,000$75,000$105,000$85,000$10,000$110,000$10,000$10,000
87
88 Difference from Previous Year$ (177,100)$ 114,600$ (338,000)$ (33,000)$ (30,000)$ 110,000$ (117,000)$ (15,000)$ 45,000$
45,000 $ (80,000)$ 80,000$ (76,000)$ 26,000$ (30,000)$ 30,000 $ (20,000)$ (75,000)$ 100,000$ (100,000)$
-
89
90
91 Non-Capital Expenses - Noteworthy
92 Admin - Computers, Software, Accessories, Upgrades$27,900$15,300$14,000$28,000$15,700$4,600$24,400$15,300$14,000$28,000$15,700$4,600$24,400$15,300$14,000$28,000$15,700$4,600$24,400$15,300$14,000
93 Tech Services - Computers, Software, Accessories, Upgrades$6,500$14,500$0$0$5,200$3,000$6,500$14,500$0$0$5,200$3,000$6,500$14,500$0$0$5,200$3,000$6,500$14,500$0
94 Tools$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000$10,000
96 Total Non-Capital Expenses - Noteworthy$ 44,400 $ 39,800$ 24,000 $ 38,000$ 30,900 $ 17,600 $ 40,900$ 39,800 $
24,000$ 38,000 $ 30,900 $ 17,600$ 40,900 $ 39,800$ 24,000 $ 38,000 $ 30,900$ 17,600 $ 40,900$
39,800 $ 24,000
76
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Mark Hanson - General Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20255.3
SUBJECT:
Advanced Metering Infrastructure Project Discussion
ACTION REQUESTED:
None, Discussion Only
DISCUSSION:
We are nearing the end of our multi-year Advanced Metering Infrastructure (AMI) project. We
have replaced nearly all meters for which we have received replacement meters from the
vendor. Meters that still need to be replaced fall into one of four categories:
1) Insufficient Supply: We have not received replacement meters from the vendor.
2) Non-Responsive: The customer has not responded to our requests to change the meter.
3) Active Holdout: The customer has responded but is refusing to schedule an appointment
to change the meter.
4) To Be Scheduled: Meter change out is limited by staff/contractor availability or the
customer has recently scheduled a meter replacement.
The table below presents the current numbers of remaining meters by meter type and
replacement category (as of Wednesday, September 3):
Total Insufficient Non-Active To Be
Meter TypeRemaining Supply Responsive Holdout Scheduled
Commercial Electric 810 421 0 0 389
Residential Electric 308 86 0 2 220
Commercial Water 39 10 0 38
Residential Water 97 083 2 12
We expect to receive the remaining commercial electric meters in November. Once received,
we will work directly with those customers to replace their meters. Our contracted plumber
continues to replace the remaining commercial water meters. We have not received active
resistance from any of our commercial water customers.
With regard to residential electric meters, most meters have been replaced, or will be replaced,
except for two active holdouts claiming we do not have the legal right to change the meter
(these same customers are making the same claim for the water meter in their home). Staff is
working with our attorney to draft a letter clarifyingour legal right to change the meter.
______________________________________________________________________________
Page 1 of 2
77
Regarding the 83 non-responsive residential water customers, staff recommend we send a final
letter in accordance with city ordinance stating their water will be shut off within 15 days if
they do not allow access to replace their meter. Should any water customers remain non-
responsive as of the shutoff date, staff recommend proceeding with the following scenarios:
1) Per city ordinance, staff will visit the property one more time to change the meter. If the
property owner is either not home or denies access, staff will post a letter stating access
to change the meter must be granted within 15 days or the water will be shut off.
2) If the owner remains non-responsive after 15 days, staff will have meters on hand when
we go to shut off non-responsive customers. If the customer is home and allows us
access, we will replace the meter.
3) At the time of the planned shutoff, if the customer requests to schedule a meter
appointment, they must schedule an appointment within two weeks of the planned
shutoff date.
4) If we show up to a scheduled appointment to change the meter and the customer is
either not home or denies access, we will shut them off at the curb stop. We will not
turn the water back on until the meter has been replaced. The customer will be charged
a disconnect/trip fee for the shutoff.
Staff understand that shutting off a customer’s service is a last resort, but we have arrived at
this course of action after making numerous attempts via multiple media formats to ensure
customers are aware of the need to schedule an appointment to replace their meter. Please
see attached AMI Communication Timeline 2023-2025 for a list of those communication efforts.
Discussion Questions:
1) Is the commission comfortable with shutting off customers as described above?
2) If yes, are there any other concerns the commission would like addressed?
ATTACHMENTS:
AMI Communication Timeline 2023-2025
______________________________________________________________________________
Page 2 of 2
78
AMI Communication Timeline
Introduction to AMI (November 2023 – December 2023)
November 2023
AMI Project FAQ Page: A dedicated FAQ page for the AMI project was launched on ERMU's
website with continuous updates provided throughout the project.
Customer Notification: All customers received a 1/3 sheet insert introducing AMI with their
November billing statement.
Newsletter and Social Media:
o Introductory AMI information was shared in ERMU’s monthly e-newsletter, The
Connector.
o A social media post on November 1 introduced AMI to customers via LinkedIn,
Facebook, Instagram, and Twitter.
December 2023
The Current Newsletter: Introductory AMI information was included in the winter edition of The
Current,distributed with customers' December billing statements.
Social Media Post: A follow-up post on December 4 directed customers to The Current for more
details.
AMI Installation Updates (March 2024 –November 2024)
March 2024
The Current Newsletter: An AMI installation update was included in the spring edition of The
Current and distributed with customers’ March billing statements.
Social Media Post: A March 4 post directed customers to The Current for more information.
May 2024
Appointment Letters: Water meter installation appointment letters were mailed to customers in
stages beginning May 3.
79
The Current Newsletter: Information about SmartHub and how it enhances account
management was included in the summer edition of The Current.
Social Media Post: A May 3 AMI installation update was providedvia Facebook, Instagram, and
Twitter.
July 2024
Appointment Letters: A second round of water meter installation appointment letters were
mailed on July 3.
September – October 2024
Appointment Letters: Water meter installation appointment letters continued to be mailed to
customers in stages.
November 2024
Customer Reminder: All customers received a 1/3 sheet insert reminding them about the AMI
project and providing electric meter installation information, included with their November
billing statements.
Social Media Post: A November 13 post provided an AMI installation update via Facebook,
Instagram, and Twitter.
Final Push for Water Appointmentsand Electric Notifications (December 2024 – August2025)
December 2024
The Current Newsletter: An article about the benefits of AMI meters was featured in the winter
edition of The Current.
o Note: Customers in billing cycle 1 received the insert in their January 2025 billing due to
a distribution issue.
Social Media Post: A December 2 post highlighted the winter edition of The Current on LinkedIn,
Facebook, Instagram, and Twitter.
January 2025
Call Campaign: A call campaign targeted approximately 800 residential customers who had not
yet scheduled their water meter installation appointments:
o 300 calls were made on January 27, with the remainder placed on January 28.
Social Media Posts:
o January 22: A reminder post about residential electric meter installations (Facebook
only).
o January 31: A post featuring Allegiant staff alongside an Allegiant co-branded truck
(Facebook only).
80
February 2025
Direct Mail Postcard:A postcard was sent on February 11 to all remaining residential water
customers who had not scheduled their meter replacement appointments.
Call Campaigns:Primary reason was to remind residential electric customers of the ongoing AMI
project as we were made aware of police being called when Allegiant staff were present on
customer property.
o February 2: Calls notified cycle 2 customers that Allegiant would be in their area for
electric meter replacements.
o February 9: Calls notified cycle 3 customers of upcoming electric meter replacements.
o February 27: There were 275 calls made reminding customers that water appointments
must be scheduled by April 1 to avoid additional service fees, starting at $50 per month.
Bill Insert: All customers received the Year In Review that included an article about AMI.
March 2025
Bill Inserts
o All customers received a 1/3-sheet insert reminding them about the AMI water meter
appointment scheduling deadlineand providing electric meter installation information,
included with their Marchbilling statements.
o All customers received ERMU’s quarterly newsletter that contained an article reminding
them that AMI meter exchanges continue with the help of Allegiant.
April 2025
Website FAQ Page: Updated to inform customers that ERMU will handleall meter replacements
moving forward.
May 2025
Website FAQ Page: Updated to remindcustomers that meter replacement appointments must
be scheduledto avoid additional service fees starting at $50per month.
Customer Outreach: Customer Service Representativesbegan making outbound calls to
residential water customers to schedule water meter replacement appointments. Messages
were left for customers who did not answer.
June 2025
Customer Letter: On June 11, friendly letters were mailed to approximately 45 potential opt-out
customer outlining theopt-out process. The opt-out form (Request for Manual Meter Read) was
included.
Social Media Post: On June 26, areminder was posted on Facebook about water and electric
meter installations. The post explained the process for each type of meter and reminded
81
customers that water meter appointments must be scheduled to avoid additional service fees
startingat $50 per month.
Direct Mail Postcard: On June 30,postcards were mailedto all remaining residential water
customers who had not scheduled their meter replacement appointments.
July 2025
Website FAQ Page: Updated to inform customers that effective August 1, 2025,additional
service fees starting at $50 per month will apply to accounts without a scheduled water meter
replacement.
Call campaign: Follow-up calls to the June postcard recipients were made reminding them to
schedule their appointment. Customers were informed that their next bill would include a
service fee for manual meter reading if an appointment was not scheduled.
August 2025
Website FAQ Page: Updated to inform customers that beginning August 26, ERMU water
technicians would begin going door-to-door to complete water meter replacements for
residents who had not yet scheduled their appointment. If customers were not home,
technicians would leave a door hanger with scheduling information.
Certified Letters: On August 18, certified letters were sent to residential electric customers who
previously received the June 11 friendly opt-out letter but had not returned the opt-out form to
our office. This certified mailing included a cover letter and another set of opt-out documents.
o Out of the original 45 customers identified in June,there are two remaining holdouts.
82
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Mark Hanson - General Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20255.4
SUBJECT:
Wage & BenefitsCommitteeUpdate
ACTION REQUESTED:
None
DISCUSSION:
A Wage & Benefits Committee (WBC) meeting was held on Tuesday, September 2, 2025, to
receive and discuss employee requests. Also on the agenda was an update on Minnesota’s new
Paid Family Medical Leave (PFML) requirements going into effect January 1, 2026. This update
is presented only as information at this time.
Staff representatives made the following employee requests for WBC consideration:
1. 2026 COLA Calculation: When determining a 2026 cost of living adjustment (COLA), staff
requested the addition of the 0.5% from North St. Paul's additional step in 2025 to the 2026
metro average calculation. The impact of North St. Paul's step adjustment was not included
in the 2025 COLA. Staff representatives requested that the COLA be applied to all ERMU
employees.
2. Policy Adjustments for Consideration:
How accrued sick leave is paid out when employees separate/retire
Whether on-call (standby) pay should be increased
Whether the compensation time accrual/usage cap could be increased
Please see the attached 2025 Staff Proposals to Wage & Benefit Committee for staff's complete
requests.
Based on staff requests, the following information will be researched and provided to the WBC:
Confirmation of how the 2025 COLA was calculated.
History and dates of on-call pay increases at ERMU.
Workforce demographics (age, years of service) and analysis of how reducing years of
service requirements for sick leave conversion to Health Care Savings Plans at
retirement would impact ERMU and employees.
______________________________________________________________________________
Page 1 of 2
83
Employee utilization data for short-term disability since the State’s paid leave benefit
implementation.
General Manager Mark Hanson and HR Generalist Megan Zachman updated committee
members on the requirements and options associated with the State’s PFML requirements. Ms.
Zachman reported that ERMU’s current ancillary benefits provider quoted a rate below the
State’s published rate. Mr. Hanson recommended splitting the costs of offering PFML 50/50
between staff and employer responsibility. Lastly, it was recommended that we discontinue
offering short-term disability (STD) because of the overlapping coverage between PFML and
STD.
Please see the attachments from the State and Mutual of Omaha for additional information on
PFML received from our insurance broker.
ATTACHMENTS:
2025 Staff Proposals to Wage & Benefit Committee
State Paid Family Medical Leave Compliance Timeline
Mutual of Omaha Paid Family Medical Leave Insurance Proposal
______________________________________________________________________________
Page 2 of 2
84
9/2/2025
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33313.5914
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU CommissionMark Hanson – General Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 2025 6.1a
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
Staff continue to assemble the necessary documentation to support our submission for
the American Public Power Association’s (APPA) Reliable Public Power Provider (RP3)
designation. The submission packet is due September 30, 2025. An RP3 designation is a
sign of a utility's dedication to operating an efficient, safe, and reliable distribution
system. ERMU currently holds a Platinum level designation, putting us in the top 10% of
the nation’s more than 2,000 public power utilities.
Everlight Solar has appealed the revocation of their solicitation permit. The City Council
will hear their arguments at the September 15 council meeting. Administrations Director
Sara Youngs will attend to share the feedback received from ERMU customers.
The Minnesota Municipal Power Agency (MMPA) Board of Directors met on August 26,
2025, at Chaska City Hall in Chaska, Minnesota, and via videoconference. Commissioner
Stewart and I attended. The public summary follows:
o The Board reviewed the Agency’s financial and operating performance for July
2025.
o Participation in the residential Clean Energy Choice program increased by 65
customers. Customer penetration for the program is 6.6%.
o The Board discussed the status of renewable projects the Agency is pursuing.
______________________________________________________________________________
Page 1 of 1
100
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Sara Youngs – Administrations Director
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20256.1b
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
Office walk-in traffic for August consisted of 139 customers, averaging 35 per week over
the four-week period.
ERMU disconnections forAugust. September will be our last month of disconnections
before the Cold Weather Rule begins.
o Cycle 1 – 18 disconnections.
o Cycle 2 – 10 disconnections.
o Cycle 3 – 16 disconnections.
o Cycle 4 – 9 disconnections.
Currently there are five active residential solar photovoltaic projects planned or under
construction in the ERMU service territory.
Advanced Metering Infrastructure efforts continue to demand significant attention, with
a strong focus on communication and coordination to schedule the remaining electric
and water meter replacement appointments.
Customer service representative interviews are ongoing.
The credit and collection specialist has started the 2024 assessment process, customers
will start to receive assessment letters mid-September.
I will be attending the National Information Solutions Cooperative’s Member
Information Conference in Louisville, KY, September 22-25, 2025, along with the lead
customer service representative, communications coordinator, and IT/OT technician.
Staff has begun gathering data for the upcoming cost-of-service study.
IT staffing is back to one person with the departure of our summer intern. Staff is
balancing larger initiatives while also handling daily IT issues.
______________________________________________________________________________
Page 1 of 1
101
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Melissa Karpinski – Finance Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20256.1c
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
ERMU has received its 2025-2026 workers’ compensation coverage renewal.Our
experience modification factor came in at 0.84, which is slightly higher than last year at
0.69. Estimated annual premium will be $54,758, which is 9% lower than last year. Rates
on average will decrease 20% for renewals in 2025. Other factors that affect premiums
are changes in payrolls and rate adjustments by job class.
Experience Modification History:
10/1/2021-22: 0.69
10/1/2022-23: 0.69
10/1/2023-24: 0.70
10/1/2024-25: 0.69
10/1/2025-26: 0.84
Job Class Code Job Class 2024 Rates 2025 Rates Rate Change
75203.452.57-25.7%
WATERWORKS
7539 ELECTRIC & STEAM PLANT2.99 1.85 -38.0%
9410 MUNICIPAL EMPLOYEES 0.81 0.76 -5.9%
9411 ELECTED OR APPOINTED OFFICIALS0.44 0.55 25.0%
810CLERICAL OFFICE EMPLOYEES 0.64 0.41 -36.0%
Continued efforts compiling 2026 budget information.
I will be attending National Information Solutions Cooperative’s Member Information
Conference, September 22-25.
______________________________________________________________________________
Page 1 of 1
102
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Tony Mauren – Governance & Communications Manager
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20256.1d
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
In September, all customers will receive the fall edition of The Current newsletter and
information about the Cold Weather Rule, including their rights and responsibilities.
In addition to the bill insert topics, social media posts this month feature back to school
energy conservation tips,a commission meeting reminder, Lake Orono Dam inspection
information, and news about the American Water Works Association’s Source Water
Protection Week.
The annual employee lunch is scheduled for Tuesday, October 14 (the day of the
commission meeting) from 11 a.m. to 1 p.m. at the field services building. Staff has also
coordinated an electric safety demonstration provided by Connexus Energy which will
provide beneficial information for staff and commissioners.
ERMU hosted its first ever Touch-A-Truck event along with city police and fire on
Thursday, August 14 at the Elk River Farmers Market. The event was a big success, with
people of all ages enjoying an up-close look at the at utility, police, and fire trucks. The
Elk River Star News ran a follow-up story using photos taken by ERMU staff. Thanks to
everyone that helped make it a great inaugural event!
ERMU’s next community engagement event is Day of the Dozers at ERX Motor Park on
Saturday, September 20. This very popular family event gives kids a chance to explore
construction equipment while raising funds for Children’s Minnesota. Learn more here.
ERMU staff is also participating in the Elk River Homecoming Parade on Friday,
September 26.
ATTACHMENTS:
Bill Insert – The Current – Fall 2025
Bill Insert – Cold Weather Rule
______________________________________________________________________________
Page 1 of 1
103
FALL 2025
THE CURRENT
at MMUA Conference
The Minnesota Municipal Utilities Association (MMUA) held
its annual summer conference in Rochester, MN, on August
18
Scott Thoreson, ERMU’s recently retired Line Crew
Foreperson, received the Honorary Lifetime Membership
Award. This prestigious award symbolizes a long
professional life dedicated not only to the advancement of municipal utilities locally, but
also for the betterment of the industry in Minnesota. Scott retired on May 18, 2025,after an
DISCOVER SAVINGS
outstanding 32-year career with ERMU.
WITH ERMU
Sara Youngs, ERMU’s Administrations Director, received the Rising Star Award. This honor
Saving money, decreasing
recognizes a future leader dedicated to the goals and principles of municipal utilities through
energy usage, and conserving
problem solving, creativity, and job knowledge while performing all job responsibilities in an
resources is easier than ever
outstanding manner, achieving high quality results, and demonstrating interest in improving
with programs and rebates from
management and operational skills through continuing education.
ERMU. Take a closer look at
the many ways residential and
Congratulations to Scott and Sara for these well-deserved honors!
commercial customers can save.
Dam Inspection Set for October 1
RESIDENTIAL
Appliance and Home
ERMU will conduct its annual inspection of the Lake
Orono Dam on Wednesday, October 1, 2025. This required
Electric Vehicle Charger
inspection, which helps to ensure the integrity of the
Heat Pumps
structure, will involve lowering the Lake Orono water level
HVAC Equipment
by 30 inches below its normal level.
Lighting and Lighting Controls
Boaters are advised that once ERMU begins to lower the
COMMERCIAL
lake level, they may be unable to remain on the lake. Failure
Lighting
HVAC
Water levels usually return to normal within a few days after the inspection.
VFD and ASD Drives
Other Equipment
DID YOU KNOW?1851 by Ard Godfrey, a settler from Maine.
Custom Grants High water destroyed the dam in 1912. A new dam was completed in 1916 and, together with
the Elk River power plant, provided hydroelectricity for the Elk River Power & Light Company,
Click the “Programs & Rebates”
1980.
tab at ERMUMN.COM to learn
more or simply scan the QR
code below.
to ERMU Commission
On June 3, 2025
member of the Elk River Municipal Utilities Commission. Ms. Larson-
Vito has a strong history of service that includes a 10-plus-year term
position created after Paul Bell retired in April 2025. Her term will end
on February 28, 2027. For commission information including agendas,
minutes, and policies, visit ERMUMN.COM/about-us/commission-info.
ERMUMN.COM | 763.441.2020 | 13069 ORONO PARKWAY | PO BOX 430 | ELK RIVER, MN 55330-0430
104
FALL 2025
THE CURRENT
COLD WEATHER RULE Information
The Minnesota Public Utilities Commission has established the Cold Weather
Rule (Minnesota Statutes, Chapter 216 B.097) as documented in the Minnesota
Legislative Session Law 2021. This rule ensures that from October 1 to April 30,
ERMU cannot disconnect a residential customer for non-payment if they qualify for
the CWR and adhere to a mutually agreed upon payment arrangement. However, if a customer
does not exercise this right or fails to enter into a payment arrangement, their service may be
disconnected. Because customers often contact us for more information about the program,
PUBLIC POWER
we wanted to provide answers to the most frequently asked questions.
WEEK 2025
Am I eligible for the CWR Program?
Residential customers who have electric as their primary heat source are eligible for CWR
if they meet the income guidelines (combined income at or below 50 percent of the state
median income) and receive some form of assistance.
How can I apply for a payment arrangement?
Individuals who meet income guidelines and already receive some form of assistance can
complete and submit an Inability to Pay Application (available on our website) and contact
ERMU to set up a mutually agreed upon payment arrangement.
1 - April 30)?
Yes. Eligible residential customers must make and keep a mutually agreed upon payment
arrangement with ERMU to avoid disconnection.
What if I can’t make my scheduled payment?
Keeping open communication with ERMU should circumstances change is the best way
to ensure a continuation of service.
What if I don’t qualify for the CWR but need assistance?
Customers who do not meet the income guidelines or assistance requirements for the
CWR can still contact ERMU to discuss the possibility of a mutually agreed upon
payment arrangement.
CUSTOMER SERVICE
WEEK 2025
ERMU would also like customers to know that, with multiple local
organizations available to provide assistance, help could be just a
phone call away:
Tri-County Action Program, Inc.
888.765.5597
Sherburne County Emergency Assistance
763.765.4000
Wright County Community Action
320.963.6500
Hennepin County Community Action
952.933.9639
Salvation Army HeatShare
1.800.842.7279
6-10.
763.441.1020
|
ERMUMN.COM 763.441.2020
105
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106
107
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Thomas Geiser – Operations Director
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20256.1e
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
Staff is working through the second round of maps for the new GIS mapping system that
we plan to move forward with in the future. Maps 1 through 71 are complete.
Still working through the lack of communication and action regarding the reclosers that
were recalled. We still continue to wait for our 30 units to be repaired.
Staff and I are working through ERMU’s Disaster Recovery Plan.
Staff and I are working on ERMU’s substation and well security measures.
Staff and I are working through the American Public Power Association’s Reliable Public
Power Provider designation application for 2025.
______________________________________________________________________________
Page 1 of 1
108
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Chris Sumstad– Electric Superintendent
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20256.1f
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
Installed 15 new residential services, which involves the connection of a secondary line
once the customer requests service.
Joe Schmidt, Safety Instructor from Minnesota Municipal Utilities Association (MMUA),
was here August 27-28, and held safety meetings on aerial lift safety and job briefings.
Crews worked in the Industrial Park in Elk River south of County Road 1 this past month
finishing up the wire replacement project along with new services to J&J Machine and
Timron Gear.
The bore crew finished the wire replacement in the Sunset Ridge development.
Crews responded to two separate incidents where a vehicle struck a feeder pole this
past month. The first was located in northern Elk River along Highway 169 and the
second on the eastside of Elk River along Highway10. The latter caused an outage to
over 700 customers at around 8:30 a.m. on September 2. The outage lasted about an
hour for 90% of those affected and full power was restored around 12:15 p.m.
A streetlight pole was toppled by a vehicle at Orono Drive and Main Street.
Crews are replacing electric infrastructure including cabinets, transformers, and
pedestals. These were identified during winter system and map checks.
The inventory & procurement crew has been receiving many material items for the East
substation project set to ramp up soon. They also shipped out many of the electric
meters that were changed during the Advanced Metering Infrastructure project, freeing
up space in the middle building at the field services building complex.
Staff finished the annual tree trimming inspection of the system this past month.
Congratulations to Scott Thoreson, retired ERMU Electric Foreperson, on receiving the
Lifetime Achievement Award at the MMUA Summer Conference in Rochester.
______________________________________________________________________________
Page 1 of 1
109
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU CommissionMike Tietz – Technical Services Superintendent
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 2025 6.1g
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
• In August, the locators processed 517 locate tickets. These consisted of 406 normal
tickets, 9 emergency tickets, 76 updated tickets, 12 meetings, 4 planning, 2 boundary
surveys, and 8 cancellations. This resulted in a 6.7% decrease in tickets from the
previous month and a 17.8% increase from the prior August.
• In August, the electrical technicians completed968 service order tasks, updated the
power bill, addressed customer meter issues and any off-peak concerns.
• The Advanced Metering Infrastructure (AMI) residential water meters and residential
electric meters continue to be installed in new services. The electrical technicians have
been busy changing our previous Automated Meter Reading meters to AMI for small
non-demand commercial customers. We did receive some of our returned merchandise
authorization/warranty meters back from Sensus. We have approximately 5,646 (99%)
water meters and 13,115 (93%) electric meters that are installed within the system and
our overall AMI project is approximately 95% completed.
• The East substation concrete foundation installation work should be getting underway
about the middle of September. The fencing contractor has finished the initial fence
installation and will return to complete the remaining fence work after the foundations
have been poured. Conduit and ground grid installation will take place in November,
with assemblyof the structures being built late winter by ERMU staff. The prefabricated
control building has been completed ahead of schedule, and we are looking at a
November 2025 delivery. Commissioningof the substation should be completed by
September 1, 2026.
• Our monthly peak was 66.24 MW on August 7, at 4:04pm.
______________________________________________________________________________
Page 1 of 1
110
UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Dave Ninow– Water Superintendent
MEETING DATE: AGENDA ITEM NUMBER:
September 9, 20256.1h
SUBJECT:
Staff Update
ACTION REQUESTED:
None
DISCUSSION:
Delivered 14 new water meters, installed a Smart Point radio transceiver module, and
took curb stop ties.
Completed 20 BACTI/Total Chlorine Residual Samples
o All confirmed negative for Coliform Bacteria.
o Bacteriological/Disinfectant Residual Monthly Report submitted to the
Minnesota Department of Health (MDH).
Completed 21 routine fluoride samples
o All samples met MDH standards.
o Submitted MDH Fluoride Report
Contactors for AT&T have started site work in preparationfor installation of AT&T
telecommunication equipment on Freeport Water Tower. They will be ready to start
welding work on the tower once they get the steel parts back from IPS/painting.
Water department staff have been working with city staff and the contractor for the
Yale Street extension project on the installation of new water main.
The MDH requires that every three years we collect water samples from an interior
faucet at 30 households on our water system for lead and copper testing. Staff needed
to find residents to participate, deliver sample bottles with instructions to those who
agreed, pick up the water samples, and send them into a lab to be tested. The results
will be sent to the MDH and to each resident that participated.
The water operators have been going door-to-door speaking to the remaining
residential customers that have not had their water meter exchanged for the Advanced
Metering Infrastructure project and have not responded to any previous attempts to
reach them by phone, email, or traditional mail. They are being met with a range of
responses from “Sure, come on in and exchange the meter” to “Just leave me alone.”
Seasonal employee Eric Plude’s last day for this season was August 18. Again, he was a
huge help to staff with fire hydrant maintenance, water main valve exercising, and GIS
mapping of water system infrastructure.
______________________________________________________________________________
Page 1 of 2
111
Work on the annual water system leak detection survey has begun. The initial part of
the survey should take a couple of weeks. The next step will be to investigate any
potential leaks identified.
ATTACHMENTS:
August 2025 Pumping by Well
______________________________________________________________________________
Page 2 of 2
112
August 2025 Monthly Pumping By Well
Well #2, 8.933, 9%
Well #9, 11.591, 11%
Well #3, 12.223, 12%
Well #8, 12.551, 12%
Well #7, 11.78, 11%
Well #4, 21.438, 20%
Well #6, 12.668, 12%
Well #5, 14.136, 13%
Values Are Displayed in Millions of Gallons (Well #, Gallons Pumped, Percentage of Pumping)
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2025GOVERNANCE AGENDA
Tuesday, January 14:Tuesday, February 11:
Annual Review of Committee ChartersReview Strategic Plan and 2024 Annual Business
Plan Results
Tuesday, March 11:Tuesday, April 8:
Oath of OfficeAudit of 2024 Financial Report
Election of OfficersFinancial Reserves Allocations
Annual Commissioner Orientation and ReviewReview 2024 Performance Metrics
Governance Responsibilities and Role
Tuesday, May 13:Tuesday, June 3:
Annual General Manager PerformanceAnnual Commission Performance Evaluation
Evaluation and Goal Setting
Tuesday, July 8:Tuesday, August 12:
Annual Business Plan– Review Proposed 2026
Travel, Training, Dues, Subscriptions, and Fees
Budget
Tuesday, September 9:Tuesday, October 14:
Annual Business Plan – Review Proposed 2026Annual Business Plan – Review Proposed 2026
Capital Projects BudgetExpenses Budget
Wednesday, November 12:Tuesday, December 9:
Annual Business Plan - Review Proposed 2026Adopt 2026 Official Depository and Delegate
Rates and Other RevenueAuthority for Electronic Funds Transfers
Adopt 2026 Fee ScheduleDesignate Official 2026 Newspaper
2026 Stakeholder Communication PlanApprove 2026 Regular Meeting Schedule
Adopt 2026 Governance Agenda
Adopt 2026 Annual Business Plan
114