07-08-2025 ERMU MIN ELK RIVER MUNICIPAL UTILITIES
REGULAR MEETING OF THE UTILITIES COMMISSION
HELD AT THE UTILITIES CONFERENCE ROOM
July 8,2025
Members Present: Chair John Dietz,Vice Chair Mary Stewart,Commissioners Jill Larson-Vito,
Matt Westgaard,and Nick Zerwas
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
Dave Ninow,Water Superintendent
Jenny Foss,Communications&Administrative Coordinator
Katy Olson,Water Operations Foreperson
Others Present: None
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 Commissioner Westgaard and seconded by Commissioner Larson-Vito to approve
the July 8,2025,agenda.Motion carried 5-0
1.4 Recognition of Employee Longevity—Katy Olson,8 years
Water Operations Foreperson Katy Olson was recognized for eight years of dedicated service,
particularly her passion and commitment to the water department. Katy shared reflections on
teamwork,purpose,and the importance of supporting one another as a work family.
Elk River Municipal Utilities Commission Meeting Minutes
July 8,2025
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2.0 CONSENT AGENDA(Approved By One Motion)
Moved by Commissioner Zerwas and seconded by Commissioner Stewart to approve the
Consent Agenda as follows:
2.1 Check Register—June 2025
2.2 Regular Meeting Minutes—June 3,2025
2.3 Water Tower Attachment—Lease Amendment(Verizon)
Motion carried 5-0.
3.0 OPEN FORUM
No one appeared for open forum.
4.0 POLICY&COMPLIANCE
4.1 Commission Policy Review—G.4d—Customer Interests
The Commission reviewed the policy,which outlines expectations for management's
understanding and response to customer needs.
Commissioners agreed the policy remains aligned with core values. No action was
required.
5.0 BUSINESS ACTION
5.1 Financial Report—May 2025
Ms. Karpinski presented the report, noting that her second slide was labelled "January
2025—April 2025"when it should say"January 2025—May 2025."She went on to
highlight statistics in the report including a year-to-date budget net of$735,000 which is a
3.8% margin. Electric operations were at a 6.89%margin,$700,000 favorable to budget,
and about$700,000 above prior year.Water operations was at a loss of 46.29%,which is
typical for this time of year.The water budget is$214,000 favorable to budget but
$120,000 below prior year.
Receivables are 93%current with only 3%over 90 days past due thanks to the efforts of
the customer service team.
There was an increase in revenue from new tower lease agreements. In response to a
question, Ms. Karpinski confirmed that the budget has to show the full lease amount
including any likely extensions.
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July 8,2025
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There was discussion about how weather has impacted the budget. Ms. Karpinski added
that she expected increased connection fees, reduced expenses,and investment revenue
to aid the water budget.
There was a distribution for the Per-and Polyfluoroalkyl Substances (PFAS)settlement
with an initial amount received of$18,000, less$9,000 for legal fees.Staff expects future
disbursements to have lower legal fees.These funds will offset increased PFAS testing
costs.
Moved by Commissioner Stewart and seconded by Commissioner Westgaard to receive
the May 2025 Financial Report. Motion carried 5-0.
6.0 BUSINESS DISCUSSION
6.1 Staff Updates
Ms.Youngs shared that a customer service representative vacancy has been posted and
closes next week.
Ms.Youngs provided an Advanced Metering Infrastructure (AMI) meter installation
update including:
• Water:221 meters remain to be exchanged, 70 are commercial. While customers
are able to opt out of the remote meter reading function provided by AMI, all
physical meters in the system will need to be replaced.The opt-out process has
been communicated to customers who expressed interest in exercising that option.
A monthly manual meter read fee will begin August 1 for those customers,totaling
either$50 or$60 depending on the number of meters the customer has.
• Electric: 1,771 meters remain to be replaced.
6.2 City Council Update
Chair Dietz provided a City Council update.
6.3 American Public Power Association(APPA)National Conference Discussion
In June, Commissioners Stewart,Westgaard, and Zerwas, along with Mr. Hanson attended
the APPA National Conference in New Orleans, LA. In discussing the conference,the
Commission reached consensus to prepare an initial budget for sending all commissioners
to the conference in 2026, citing its value for information, keynote speakers,and
networking. ERMU's power provider covers the cost for its board members to attend,
currently Commissioner Stewart and Mr. Hanson.
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July 8,2025
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Commissioner Zerwas recommended attempting to a set up a meeting with U.S.
Representative Tom Emmer while he is in the district for the August congressional recess.The
Commission agreed this would be a beneficial opportunity.
6.4 Future Planning
Chair Dietz announced the following:
a.Scott Thoreson Retirement—July 15—Field Services Building
b.Sherburne County Parade—July 19
c. MMPA Annual Meeting—July 22—Canterbury Park,Shakopee, MN
d. Regular Commission Meeting—August 12, 2025
e. 2025 Governance Agenda
6.5 Other Business
There was no other business.
7.0 ADJOURN REGULAR MEETING
Moved by Commissioner Westgaard and seconded by Commissioner Larson-Vito to adjourn
the regular meeting of the Elk River Municipal Utilities Commission at 4:23 p.m.Motion
carried 5-0.
Minutes prepared by Tony Mauren.
Jo J. ie mission Chair
Tina Allard,City Clerk
Elk River Municipal Utilities Commission Meeting Minutes
July 8,2025
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