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2026-7 - ERMU - Regular Commission Meeting REGULAR MEETING OF THE UTILITIES COMMISSION July 14, 2026, 3:30 P.M. Utilities Conference Room ______________________________________________________________________________ Page 1 of 1 AGENDA 1.0 GOVERNANCE 1.1 Call Meeting to Order 1.2 Pledge of Allegiance 1.3 Consider the Agenda 1.4 Recognition of Employee Longevity – Christy Schallock, 12 years 1.5 New Employee Verbal Introduction – Jake Walz 2.0 CONSENT (Routine items. No discussion. Approved by one motion.) 2.1 Check Register – June 2026 2.2 Regular Meeting Minutes – June 9, 2026 2.3 Dispute Resolution Committee Update 3.0 OPEN FORUM (Non-agenda items for discussion. No action. Presenters must adhere to a time limit of 3 minutes.) 4.0 POLICY & COMPLIANCE (Policy review, policy development, and compliance monitoring.) 4.1 Commission Policy Review – G.4h – Financial Planning and Budgeting 4.2 Payment In Lieu of Taxes Discussion 5.0 BUSINESS ACTION (Current business action requests and performance monitoring reports.) 5.1 Financial Report – May 2026 5.2 National Energy Foundation Report 6.0 BUSINESS DISCUSSION (Future business planning, general updates, and informational reports.) 6.1 Staff Updates 6.2 City Council Update 6.3 American Public Power Association (APPA) National Conference Discussion 6.4 Future Planning (Announce the next regular meeting, special meeting, or planned quorum.) a. Sherburne County Fair Parade – July 18 b. MMPA Annual Meeting – July 28 - Chaska c. Regular Commission Meeting – August 11, 2026 d. 2026 Governance Agenda 6.5 Other Business (Items added during agenda approval.) 7.0 ADJOURN REGULAR MEETING 1 Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Mark Hanson – General Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 1.4 SUBJECT: Recognition of Employee Longevity – Christy Schallock, 12 years ACTION REQUESTED: Recognize Christy Shallock for 12 years of service and award the Longevity Bonus paycheck BACKGROUND: In September 2021, the Commission approved a Longevity Pay benefit to 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: Christy Schallock has been an employee with ERMU since July 21, 2014, and, therefore, has earned the 12-year longevity pay benefit. We recognize Christy and all her contributions to the success of ERMU through her service. 2 CHECK REGISTER June 2026 APPROVED BY: John Dietz Jill Larson-Vito Mary Stewart Matt Westgaard Nick Zerwas 3 Payroll/Labor Check Register Totals Page: 107/02/2026 9:43:13 am Elk River Municipal Utilities 06/05/2026 To 06/05/2026 Rev: 202303050330 Pays Job Amount Hours Gross Pay 170,656.92 3,014.502Reg Hours 3,290.04 48.503Overtime 0.00 0.004Double Time 2,760.10 56.005On-Call/Stand-by 47.20 0.0024FLSA 252.08 4.0025Rest Time 947.72 14.5010Bonus Pay 0.00 0.0018Commissioner Reimb - Electric 1,370.00 0.00104Commission Stipend 0.00 0.00105Perf. Metr. Distr. 19,388.78 332.75VACVacation Pay 2,991.07 57.25SICKSick Pay 21,197.75 368.00HOLHoliday Pay 0.00 0.0078Retro Earnings 0.00 0.005-2 On-Call/Stand-by/OT 0.00 0.0018ACommissioner Reimb. - Water 0.00 0.0010-3 Bonus Pay Overtime 300.00 0.00104ACommission Stipend - Water 925.84 16.00PTOYPersonal Day - Year 732.99 11.003COvertime-Comp Time 414.96 4.004CDouble Time-Comp Time -732.99 -11.00CM3COvertime-Comp Time Adjusted -414.96 -4.00CM4CDouble Time-Comp Time Adjusted 1,071.11 17.00COMPComp Time Taken 0.00 0.00106Longevity Pay 0.00 0.00MILMilitary Pay - Calendar Year Gross Pay Total:225,198.61 3,928.50 Total Pays:225,198.61 3,928.50 /pro/rpttemplate/acct/2.65.1/pl/PL_CHK_REG_TOTALS.xml.rpt KGreenberg25252034 Payroll/Labor Check Register Totals Page: 107/02/2026 9:43:50 am Elk River Municipal Utilities 06/18/2026 To 06/18/2026 Rev: 202303050330 Pays Job Amount Hours Gross Pay 199,778.80 3,549.002Reg Hours 6,252.18 92.523Overtime 1,503.60 12.004Double Time 3,347.26 56.005On-Call/Stand-by 239.73 0.0024FLSA 1,441.99 22.0025Rest Time 326.80 5.0010Bonus Pay 0.00 0.00105Perf. Metr. Distr. 13,245.41 235.25VACVacation Pay 2,860.86 51.50SICKSick Pay 0.00 0.00HOLHoliday Pay 0.00 0.0078Retro Earnings 1,275.75 12.505-2 On-Call/Stand-by/OT 0.00 0.0010-3 Bonus Pay Overtime 507.04 16.00PTOYPersonal Day - Year 357.15 3.733COvertime-Comp Time 593.84 4.004CDouble Time-Comp Time -357.15 -3.73CM3COvertime-Comp Time Adjusted -593.84 -4.00CM4CDouble Time-Comp Time Adjusted 1,713.10 27.25COMPComp Time Taken 0.00 0.00106Longevity Pay 0.00 0.00MILMilitary Pay - Calendar Year Gross Pay Total:232,492.52 4,079.02 Total Pays:232,492.52 4,079.02 /pro/rpttemplate/acct/2.65.1/pl/PL_CHK_REG_TOTALS.xml.rpt KGreenberg25252035 Page 107/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 1 - GENERAL FUND Check / Tran Date Pmt Type AmountVendor NameVendor Reference WIRE23926/3/26 FISERV5655 CC FEES - MAY 2026 2,170.49 CC FEES - MAY 2026 542.62 CC FEES - MAY 2026 2,308.93 CC FEES - MAY 2026 577.23 CC FEES - MAY 2026 599.14 CC FEES - MAY 2026 149.78 CC FEES - MAY 2026 2,778.87 CC FEES - MAY 2026 694.72 CC FEES - MAY 2026 117.38 CC FEES - MAY 2026 29.34 CC FEES - MAY 2026 821.48 CC FEES - MAY 2026 205.37 Total for Check/Tran - 2392:10,995.35 Total for Bank Account - 1 :(1)10,995.35 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt252036 Page 207/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference WIRE52646/8/26 AMERICAN EXPRESS1008 AMERICAN EXPRESS 1.19 AMERICAN EXPRESS 0.30 Total for Check/Tran - 5264:1.49 WIRE52656/8/26 HEALTHEQUITY, INC738 ADMINISTRATIVE FEE INVOICE - JUNE 2026 129.70 ADMINISTRATIVE FEE INVOICE - JUNE 2026 25.30 Total for Check/Tran - 5265:155.00 WIRE52666/8/26 ONLINE UTILITY EXCHANGE (ELECTR166 UTILITY EXCHANGE REPORT - MAY 2026 394.44 UTILITY EXCHANGE REPORT - MAY 2026 98.61 Total for Check/Tran - 5266:493.05 WIRE52676/9/26 PERA (ELECTRONIC)153 PERA EMPLOYEE CONTRIBUTION 11,668.57 PERA CONTRIBUTIONS 13,463.75 PERA EMPLOYEE CONTRIBUTION 2,508.48 PERA CONTRIBUTIONS 2,894.38 Total for Check/Tran - 5267:30,535.18 WIRE52686/9/26 VOYA INSTITUTIONAL TRUST COMPAN160HCSP EMPLOYEE CONTRIBUTIONS 2,627.19 HCSP EMPLOYEE CONTRIBUTIONS 468.99 Total for Check/Tran - 5268:3,096.18 WIRE52696/9/26 VOYA INSTITUTIONAL TRUST COMPAN161MNDCP EE MANAGER CONTRIBUTIONS 368.37 MNDCP EMPLOYEE CONTRIBUTIONS 4,008.31 MNDCP EMPLOYER CONTRIBUTION 1,702.41 MNDCP EMPLOYER MGR CONTRIBUTION 619.54 MNDCP EE ROTH CONTRIBUTIONS 1,863.39 MNDCP EE ROTH MGR CONTRIBUTIONS 251.17 MNDCP EE MANAGER CONTRIBUTIONS 51.74 MNDCP EMPLOYEE CONTRIBUTIONS 351.45 MNDCP EMPLOYER CONTRIBUTION 325.29 MNDCP EMPLOYER MGR CONTRIBUTION 85.52 MNDCP EE ROTH CONTRIBUTIONS 404.55 MNDCP EE ROTH MGR CONTRIBUTIONS 33.78 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt252037 Page 307/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference Total for Check/Tran - 5269:10,065.52 WIRE52706/9/26 JOHN HANCOCK285 W&A EMPLOYER CONTRIBUTION 156.97 W&A MANAGER CONTRIBUTION 436.88 WENZEL EMPLOYEE CONTRIBUTIONS 1,776.86 WENZEL MANAGER CONTRIBUTIONS 136.43 DEF COMP ROTH CONTRIBUTIONS W&A 1,025.00 WENZEL EE ROTH MGR CONTRIBUTIONS 300.45 W&A EMPLOYER CONTRIBUTION 39.19 W&A MANAGER CONTRIBUTION 67.50 WENZEL EMPLOYEE CONTRIBUTIONS 154.17 WENZEL MANAGER CONTRIBUTIONS 34.11 DEF COMP ROTH CONTRIBUTIONS W&A 347.78 WENZEL EE ROTH MGR CONTRIBUTIONS 33.39 Total for Check/Tran - 5270:4,508.73 WIRE52716/9/26 MINNESOTA CHILD SUPPORT PAYMEN598 CHILD SUPPORT 304.10 WIRE52726/9/26 HEALTHEQUITY, INC738 HSA EMPLOYEE CONTRIBUTION 3,180.87 HSA EMPLOYEE CONTRIBUTION 585.57 Total for Check/Tran - 5272:3,766.44 WIRE52736/9/26 IRS - USA TAX PMT (ELECTRONIC)152 PAYROLL TAXES - FEDERAL & FICA 18,662.63 PAYROLL TAXES - FEDERAL & FICA 26,693.00 PAYROLL TAXES - FEDERAL & FICA 3,801.60 PAYROLL TAXES - FEDERAL & FICA 5,628.62 Total for Check/Tran - 5273:54,785.85 WIRE52746/9/26 MEDICA8708 MEDICAL EE INSURANCE - JUNE 2026 11,629.80 MEDICAL ER INSURANCE - JUNE 2026 65,893.97 MEDICAL COBRA INSURANCE - JUNE 2026 1,374.88 MEDICAL EE INSURANCE - JUNE 2026 2,712.20 MEDICAL ER INSURANCE - JUNE 2026 15,616.28 Total for Check/Tran - 5274:97,227.13 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt252038 Page 407/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference WIRE52776/11/26 MINNESOTA REVENUE (ELECTRONIC)154 PAYROLL TAXES - STATE 8,489.83 PAYROLL TAXES - STATE 1,769.05 Total for Check/Tran - 5277:10,258.88 WIRE52786/11/26 HEALTHEQUITY, INC738 FSA CLAIM REIMBURSEMENTS - 164 222.22 FSA CLAIM REIMBURSEMENTS - 164 55.55 Total for Check/Tran - 5278:277.77 WIRE52796/12/26 CHARTER COMMUNICATIONS549 OFFICE TELEPHONE & CABLE 217.09 OFFICE TELEPHONE & CABLE 54.27 Total for Check/Tran - 5279:271.36 WIRE52826/12/26 CARDMEMBER SERVICE9654 TANKLESS WATER HEATER -384.01 TANKLESS WATER HEATER-RESTOCK FEE 38.29 FIRST NATIONAL BANK VISA 7,108.82 FIRST NATIONAL BANK VISA 816.01 Total for Check/Tran - 5282:7,579.11 WIRE52836/22/26 PERA (ELECTRONIC)153 LATE PAYMENT INTEREST - 1-16-26 (196)22.33 LATE PAYMENT INTEREST - 1-30-26 (196)22.90 PERA EMPLOYEE CONTRIBUTION 12,113.73 PERA CONTRIBUTIONS 13,977.41 PERA EMPLOYEE CONTRIBUTION 2,489.47 PERA CONTRIBUTIONS 2,872.46 Total for Check/Tran - 5283:31,498.30 WIRE52846/22/26 VOYA INSTITUTIONAL TRUST COMPAN160HCSP EMPLOYEE CONTRIBUTIONS 2,750.59 HCSP EMPLOYEE CONTRIBUTIONS 465.89 Total for Check/Tran - 5284:3,216.48 WIRE52856/22/26 VOYA INSTITUTIONAL TRUST COMPAN161MNDCP EE MANAGER CONTRIBUTIONS 368.37 MNDCP EMPLOYEE CONTRIBUTIONS 4,160.22 MNDCP EMPLOYER CONTRIBUTION 1,579.13 MNDCP EMPLOYER MGR CONTRIBUTION 619.49 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt252039 Page 507/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference MNDCP EE ROTH CONTRIBUTIONS 1,863.38 MNDCP EE ROTH MGR CONTRIBUTIONS 251.12 MNDCP EE MANAGER CONTRIBUTIONS 51.74 MNDCP EMPLOYEE CONTRIBUTIONS 349.54 MNDCP EMPLOYER CONTRIBUTION 298.57 MNDCP EMPLOYER MGR CONTRIBUTION 85.57 MNDCP EE ROTH CONTRIBUTIONS 404.56 MNDCP EE ROTH MGR CONTRIBUTIONS 33.83 Total for Check/Tran - 5285:10,065.52 WIRE52866/22/26 JOHN HANCOCK285 W&A EMPLOYER CONTRIBUTION 156.97 W&A MANAGER CONTRIBUTION 436.88 WENZEL EMPLOYEE CONTRIBUTIONS 1,739.02 WENZEL MANAGER CONTRIBUTIONS 136.43 DEF COMP ROTH CONTRIBUTIONS W&A 1,025.08 WENZEL EE ROTH MGR CONTRIBUTIONS 300.45 W&A EMPLOYER CONTRIBUTION 39.19 W&A MANAGER CONTRIBUTION 67.50 WENZEL EMPLOYEE CONTRIBUTIONS 154.17 WENZEL MANAGER CONTRIBUTIONS 34.11 DEF COMP ROTH CONTRIBUTIONS W&A 347.70 WENZEL EE ROTH MGR CONTRIBUTIONS 33.39 Total for Check/Tran - 5286:4,470.89 WIRE52876/22/26 MINNESOTA CHILD SUPPORT PAYMEN598 CHILD SUPPORT 304.10 WIRE52886/22/26 HEALTHEQUITY, INC738 HSA EMPLOYEE CONTRIBUTION 3,183.18 HSA EMPLOYEE CONTRIBUTION 583.26 Total for Check/Tran - 5288:3,766.44 WIRE52896/23/26 MINNESOTA REVENUE SALES TX (ELE174 SALES AND USE TAX - MAY 2026 227,998.50 SALES AND USE TAX - MAY 2026 -0.46 SALES AND USE TAX - MAY 2026 4,542.96 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520310 Page 607/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference Total for Check/Tran - 5289:232,541.00 WIRE52906/24/26 IRS - USA TAX PMT (ELECTRONIC)152 PAYROLL TAXES - FEDERAL & FICA 20,116.47 PAYROLL TAXES - FEDERAL & FICA 27,621.64 PAYROLL TAXES - FEDERAL & FICA 3,862.62 PAYROLL TAXES - FEDERAL & FICA 5,807.12 Total for Check/Tran - 5290:57,407.85 WIRE52916/25/26 MINNESOTA REVENUE (ELECTRONIC)154 PAYROLL TAXES - STATE 8,957.06 PAYROLL TAXES - STATE 1,806.04 Total for Check/Tran - 5291:10,763.10 WIRE52926/25/26 HEALTHEQUITY, INC738 FSA CLAIM REIMBURSEMENTS - 164 222.22 FSA CLAIM REIMBURSEMENTS - 164 55.55 Total for Check/Tran - 5292:277.77 WIRE52946/30/26 HEALTHEQUITY, INC738 FSA CLAIM REIMBURSEMENTS - 147 368.42 FSA CLAIM REIMBURSEMENTS - 147 92.10 Total for Check/Tran - 5294:460.52 DD238616/4/26 BEAUDRY OIL COMPANY6 UNLEADED FUEL 298.32 DIESEL 4,973.74 CIP REBATE - LIGHTING 3,282.75 Total for Check/Tran - 23861:8,554.81 DD238626/4/26 ELK RIVER GAS, INC493 FUEL - UNIT #23 22.27 DD238636/4/26 ELK RIVER MUNICIPAL UTILITIES23 CYCLE 2 - INV GRP 436 - APRIL 2026 2,925.29 CYCLE 2 - ACCT 41038 - APRIL 2026 96.20 CYCLE 2 - ACCT 41038 - APRIL 2026 5.06 Total for Check/Tran - 23863:3,026.55 DD238646/4/26 HAWKINS, INC.809 CHLORINE CYLINDER RENTAL 180.00 DD238656/4/26 I-STATE TRUCK CENTER2923 KEYS - UNIT #5 -3.29 KEYS - UNIT #5 40.82 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520311 Page 707/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference Total for Check/Tran - 23865:37.53 DD238666/4/26 INNOVATIVE OFFICE SOLUTIONS LLC6836 OFFICE SUPPLIES 349.96 OFFICE SUPPLIES 91.30 OFFICE SUPPLIES 49.13 OFFICE SUPPLIES 12.28 Total for Check/Tran - 23866:502.67 DD238676/4/26 MARILU INC828 MONTHLY CLEANING FOR THE PLANT-MAY 2026 2,982.74 MONTHLY CLEANING FOR THE PLANT-MAY 2026 426.11 Total for Check/Tran - 23867:3,408.85 DD238686/4/26 PLAISTED COMPANIES, INC.5056 LINESTONE 2,706.14 LINESTONE 11,377.44 Total for Check/Tran - 23868:14,083.58 DD238696/4/26 RESCO130 GANG SWITCH 27,065.28 Discount -13.53 GANG SWITCH 6,766.32 Discount -3.38 Total for Check/Tran - 23869:33,814.69 DD238706/4/26 WRIGHT HENNEPIN COOPERATIVE ELE610SECURITY - 1435 & 1705 MAIN ST 54.55 SECURITY - 1435 & 1705 MAIN ST 7.79 SECURITY - WELL 8 439.49 Total for Check/Tran - 23870:501.83 DD238716/10/26 CITY OF ELK RIVER11 TRASH BILLED - MAY 2026 177,084.00 DD238726/10/26 CITY OF ELK RIVER11 FUEL USAGE - APRIL 2026 1,696.77 FUEL USAGE - APRIL 2026 1,018.06 DOT INSPECTION - UNIT #40 162.50 DOT INSPECTION - UNIT #29 130.00 PARTS & LABOR FOR UNIT #61 -28.17 PARTS & LABOR FOR UNIT #61 450.77 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520312 Page 807/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference PARTS & LABOR FOR UNIT #19 -1.30 PARTS & LABOR FOR UNIT #19 82.88 DOT INSPECTION - UNIT #43 162.50 PARTS & LABOR FOR UNIT #20 -1.43 PARTS & LABOR FOR UNIT #20 117.12 LABOR FOR UNIT #35 61.75 LABOR FOR UNIT #35 3.25 PARTS & LABOR FOR UNIT #13 -1.43 PARTS & LABOR FOR UNIT #13 117.12 PARTS & LABOR FOR UNIT #16 -1.30 PARTS & LABOR FOR UNIT #16 82.88 DOT INSPECTION - UNIT #46 162.50 PARTS & LABOR FOR UNIT #46 -2.90 PARTS & LABOR FOR UNIT #46 169.86 PARTS & LABOR FOR UNIT #70 -4.46 PARTS & LABOR FOR UNIT #70 77.48 PARTS & LABOR FOR UNIT #29 -164.06 PARTS & LABOR FOR UNIT #29 2,637.23 Total for Check/Tran - 23872:6,927.62 DD238736/10/26 ELK RIVER MUNICIPAL UTILITIES23 CYCLE 3 - INV GRP 395 - APRIL 2026 10,797.74 DD238746/10/26 EPS, INC729 EAST SUBSTATION FIBER CHANGE ORDER 2,037.00 DD238756/10/26 FASTENAL COMPANY671 Locate Paint 1,313.24 Locate Paint 544.76 Total for Check/Tran - 23875:1,858.00 DD238766/10/26 HAWKINS, INC.809 Water Chemicals 1,093.12 Water Chemicals 377.47 Total for Check/Tran - 23876:1,470.59 DD238776/10/26 INNOVATIVE OFFICE SOLUTIONS LLC6836 OFFICE SUPPLIES 1.04 OFFICE SUPPLIES 0.26 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520313 Page 907/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference OFFICE SUPPLIES 8.41 OFFICE SUPPLIES 2.10 Total for Check/Tran - 23877:11.81 DD238786/10/26 LOCATORS & SUPPLIES INC.417 RED LOCATE BALLS 529.37 DD238796/10/26 METRO SALES, INC330 COPIER MTC CONTRACT - 4/21 to 5/20/26 179.52 COPIER MTC CONTRACT - 4/21 to 5/20/26 44.89 Total for Check/Tran - 23879:224.41 DD238806/10/26 MINNESOTA MUNICIPAL POWER AGEN1001 PURCHASED POWER - MAY 2026 1,885,676.84 PURCHASED POWER - MAY 2026 828,181.93 Total for Check/Tran - 23880:2,713,858.77 DD238816/10/26 ROYAL SUPPLY INC603 SORBENT PADS 116.50 SORBENT PADS 29.13 Total for Check/Tran - 23881:145.63 DD238826/10/26 VESSCO, INC5536 Break Box 716.93 DD238836/10/26 WATER LABORATORIES INC135 WATER SAMPLING - MAY 2026 418.00 DD239336/18/26 BORDER STATES ELECTRIC SUPPLY9 Tools 288.42 ARRESTER 1,122.72 GLOVES -9.65 GLOVE 132.00 GLOVES -2.12 GLOVE 29.21 GLOVES -1.46 Glove 20.14 SCREWS & STAPLES -23.63 SCREWS & STAPLES 323.63 Total for Check/Tran - 23933:1,879.26 DD239346/18/26 CITY OF ELK RIVER11 REVENUE TRANSFER - MAY 2026 144,983.56 REVENUE TRANSFER - MAY 2026 4,059.68 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520314 Page 1007/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference SEWER BILLED - MAY 2026 250,903.23 STORMWATER BILLED - MAY 2026 59,164.22 Total for Check/Tran - 23934:459,110.69 DD239356/18/26 CRC7448 CUSTOMER SERVICE AFTER HOURS 2,714.29 CUSTOMER SERVICE AFTER HOURS 678.57 Total for Check/Tran - 23935:3,392.86 DD239366/18/26 ELK RIVER MUNICIPAL UTILITIES23 CYCLE 4 - ACCT 51086 - MAY 2026 60.48 CYCLE 4 - INV GRP 396 - MAY 2026 326.36 Total for Check/Tran - 23936:386.84 DD239376/18/26 FASTENAL COMPANY671 MISC PARTS & SUPPLIES 121.01 DD239386/18/26 FRONTIER ENERGY, INC664 CIP PROFESSIONAL SERVICES - APRIL 2026 10,000.00 DD239396/18/26 GOPHER STATE ONE-CALL91 LOCATES FOR - MAY 2026 778.48 LOCATES FOR - MAY 2026 40.97 Total for Check/Tran - 23939:819.45 DD239406/18/26 KATHY A GREENBERG8469 PAYROLL MEETING MILEAGE - 144 53.13 PAYROLL MEETING MILEAGE - 144 13.28 Total for Check/Tran - 23940:66.41 DD239416/18/26 NISC9300 PRINT SERVICES - MAY 2026 6,994.09 PRINT SERVICES - MAY 2026 1,748.51 AGREEMENTS INVOICE - MAY 2026 53.94 AGREEMENTS INVOICE - MAY 2026 794.12 AGREEMENTS INVOICE - MAY 2026 11,789.08 AGREEMENTS INVOICE - MAY 2026 260.00 AGREEMENTS INVOICE - MAY 2026 340.33 AGREEMENTS INVOICE - MAY 2026 2,660.22 AGREEMENTS INVOICE - MAY 2026 65.00 MISC INVOICE - MAY 2026 1,738.59 MISC INVOICE - MAY 2026 5,600.00 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520315 Page 1107/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference MISC INVOICE - MAY 2026 184.65 MISC INVOICE - MAY 2026 1,400.00 Total for Check/Tran - 23941:33,628.53 DD239426/18/26 TOTAL CONTROL SYSTEMS, INC840 TRANSMITTER 1,130.00 DD239436/25/26 AMERICAN PAYMENT CENTERS191 DROP BOX CHARGES - 2026 Q3 224.38 DROP BOX CHARGES - 2026 Q3 56.10 Total for Check/Tran - 23943:280.48 DD239446/25/26 CAMPBELL KNUTSON8843 LEGAL FEES PD 2X - 4/30/26 -340.38 LEGAL FEES PD 2X - 4/30/26 -85.10 LEGAL SERVICES - MAY 2026 2,325.60 LEGAL SERVICES - MAY 2026 581.40 Total for Check/Tran - 23944:2,481.52 DD239456/25/26 ELFERING & ASSOCIATES3667 PROFESSIONAL SERVICES - MAY 2026 2,550.00 PROF SERV - MAY 2026 CTY RD 44 150.00 PROF SERV - MAY 2026 MEADOWVL BOOSTER 1,200.00 Total for Check/Tran - 23945:3,900.00 DD239466/25/26 ELK RIVER MUNICIPAL UTILITIES23 CYCLE 1 - INV GRP 421 - MAY 2026 8,172.08 CYCLE 1 - ACCT 183 - MAY 2026 729.85 CYCLE 1 - INV GRP 101 - MAY 2026 3,595.33 CYCLE 1 - INV GRP 101 - MAY 2026 39.86 CYCLE 1 - INV GRP 101 - MAY 2026 957.24 CYCLE 1 - INV GRP 101 - MAY 2026 551.26 CYCLE 1 - INV GRP 101 - MAY 2026 239.31 Total for Check/Tran - 23946:14,284.93 DD239476/25/26 GARAGE DOOR STORE404 ANNUAL INSPECTION - FREEPORT TOWER -2.36 ANNUAL INSPECTION - FREEPORT TOWER 117.36 Total for Check/Tran - 23947:115.00 DD239486/25/26 HAWKINS, INC.809 Water Chemicals 4,756.15 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520316 Page 1207/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference DD239496/25/26 JT SERVICES OF MINNESOTA8083 CORRUGATED CONDUIT -647.25 ADJUSTABLE PART ADDED TO PO 15887 889.98 Total for Check/Tran - 23949:242.73 DD239506/25/26 LOCATORS & SUPPLIES INC.417 Locate Flags 1,183.73 Locate Flags 606.31 Total for Check/Tran - 23950:1,790.04 DD239516/25/26 NCPERS MINNESOTA573 EXTRA LIFE INSURANCE - JULY 2026 297.60 EXTRA LIFE INSURANCE - JULY 2026 38.40 Total for Check/Tran - 23951:336.00 DD239526/25/26 SPENCER FANE LLP817 LEGAL SERVICES - MAY 2026 1,800.50 DD239536/25/26 WATER CONSERVATION SERVICE, INC.8808 WATER LEAK LOCATE - 19472 ELGIN 543.69 CHK909206/4/26 3K LADIES LLC9997 INACTIVE REFUND 250.77 CHK909216/4/26 ACE HARDWARE766 FASTENERS - UNIT #55 4.60 CHK909226/4/26 AMERICAN WATER WORKS ASSOC2 MEMBERSHIP RENEW - 157 8/26 to 7/27 85.00 CHK909236/4/26 AT & T MOBILITY4531 CELL PHONES & iPAD BILLING 41.07 CELL PHONES & iPAD BILLING 2,549.94 CELL PHONES & iPAD BILLING 17.60 CELL PHONES & iPAD BILLING 688.27 Total for Check/Tran - 90923:3,296.88 CHK909246/4/26 KENYA AVILA RAMIREZ9997 INACTIVE REFUND 62.86 CHK909256/4/26 B & R EXCAVATING LLC815 Fiber 31,870.87 CHK909266/4/26 DIANE BARTUSH9997 INACTIVE REFUND 82.34 CHK909276/4/26 BATTERIES PLUS BULBS2920 6VOLT BATTERY 27.99 CHK909286/4/26 PIOTR BERBER9997 INACTIVE REFUND 159.88 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520317 Page 1307/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference CHK909296/4/26 SHANELLE BERGMAN9997 INACTIVE REFUND 112.63 CHK909306/4/26 BLUE CROSS BLUE SHIELD OF MINNES5224 VISION INSURANCE - JULY 2026 302.28 VISION INSURANCE - JULY 2026 87.12 Total for Check/Tran - 90930:389.40 CHK909316/4/26 KATHERINE BOUGHTON9997 INACTIVE REFUND 36.64 CHK909326/4/26 CINTAS28 MATS & TOWELS 529.75 MATS & TOWELS 75.67 MATS & TOWELS 529.75 MATS & TOWELS 75.67 MATS & TOWELS 529.75 MATS & TOWELS 75.67 Total for Check/Tran - 90932:1,816.26 CHK909336/4/26 CONNEXUS ENERGY76 LOCATING SUPPORT 2,182.71 LOCATING SUPPORT 120.93 LOCATING SUPPORT 114.88 Total for Check/Tran - 90933:2,418.52 CHK909346/4/26 DGR ENGINEERING656 MMPA SOLAR FIELD - APRIL 2026 356.00 CHK909356/4/26 ECM PUBLISHERS INC25 CLASSIFIED AD - TEMP LOCATOR 328.68 CLASSIFIED AD - TEMP LOCATOR 17.30 Total for Check/Tran - 90935:345.98 CHK909366/4/26 ESTATE OF RICHARD WATERS9997 INACTIVE REFUND 467.62 CHK909376/4/26 FEICK HOMES, LLC9997 INACTIVE REFUND 3,774.28 CHK909386/4/26 FERGUSON WATERWORKS #25168247 Key 140.96 MISC PARTS & SUPPLIES - WELL #6 -191.33 MISC PARTS & SUPPLIES - WELL #6 200.69 MISC PARTS & SUPPLIES - WELL #6 162.53 HYDRANT METER & KEY -416.23 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520318 Page 1407/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference Valve Tool 5,701.57 Total for Check/Tran - 90938:5,598.19 CHK909396/4/26 FIVE STAR HYDRANT DIFFUSER788 Flush Box 592.00 CHK909406/4/26 CAROL FRANK9997 INACTIVE REFUND 69.00 CHK909416/4/26 GREAT PLAINS INSTITTUTE5091 2026 DRIVE ELECTRIC MEMBERSHIP 500.00 CHK909426/4/26 GREAT RIVER ENERGY53 BATTERY BANK TESTING 595.50 CHK909436/4/26 HASSAN SAND & GRAVEL308 PULVERIZED TOPSOIL - STORAGE 486.85 PULVERIZED TOPSOIL - STORAGE 25.62 Total for Check/Tran - 90943:512.47 CHK909446/4/26 PANHIA JACOB9997 INACTIVE REFUND 9.68 CHK909456/4/26 LIPINSKI CONCRETE INC850 FSB GARAGE FLOOR SEALING 27,002.50 FSB GARAGE FLOOR SEALING 3,857.50 Total for Check/Tran - 90945:30,860.00 CHK909466/4/26 ANDREA MACDONALD9997 INACTIVE REFUND 61.62 CHK909476/4/26 MENARDS145 WELL #3 EYEWASH 203.88 GREEN TREATED LUMBER 49.14 MISC PARTS & SUPPLIES - WELL #3 94.60 REBATE -2.40 REBATE -42.38 REBATE -56.89 Total for Check/Tran - 90947:245.95 CHK909486/4/26 MIDWESTONE BANK9997 INACTIVE REFUND 4,160.54 CHK909496/4/26 MINNESOTA DEPT OF HEALTH16 WATER CONNECTION FEE - 2026 QTR 2 22,282.00 CHK909506/4/26 NAPA AUTO PARTS120 PARTS FOR UNIT #14 122.96 PARTS FOR UNIT #14 6.47 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520319 Page 1507/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference Total for Check/Tran - 90950:129.43 CHK909516/4/26 OTIS ELEVATOR COMPANY710 PO 15300 FUEL SURCHARGE 153.13 PO 15300 FUEL SURCHARGE 21.87 Total for Check/Tran - 90951:175.00 CHK909526/4/26 MYRON OTTMAR9997 INACTIVE REFUND 148.72 CHK909536/4/26 LUIS F PAEZ-PEREZ9997 INACTIVE REFUND 63.70 CHK909546/4/26 QUALITY POWER SOLUTIONS699 Emergency Lighting 437.50 Emergency Lighting 62.50 Total for Check/Tran - 90954:500.00 CHK909556/4/26 SALES RAMP LLC9997 Credit Balance Refund 354.32 CHK909566/4/26 SALES RAMP LLC9997 Credit Balance Refund 278.79 CHK909576/4/26 DAWN SMITH9997 INACTIVE REFUND 72.28 CHK909586/4/26 MCKENNA STOLL9997 INACTIVE REFUND 323.91 CHK909596/4/26 STUART C. IRBY CO.6107 TRANSFORMER PADDLES -46.36 TRANSFORMER PADDLES 635.16 GLOVES & TESTING -5.52 GLOVES & TESTING 113.73 Hot Arms 7,375.89 GLOVE 1,300.45 GLOVE 195.28 GLOVE 296.98 Total for Check/Tran - 90959:9,865.61 CHK909606/4/26 JANE TRADUP9997 INACTIVE REFUND 238.99 CHK909616/4/26 USABLUEBOOK543 HYDRANT METER 4,500.16 CHK909626/4/26 VIKING ELECTRIC375 CABLE PROTECTOR 258.75 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520320 Page 1607/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference MISC PARTS & SUPPLIES 1,994.43 MISC PARTS & SUPPLIES -145.59 Total for Check/Tran - 90962:2,107.59 CHK909636/4/26 NATALIE WEBSTER9997 INACTIVE REFUND 77.83 CHK909646/4/26 WESCO RECEIVABLES CORP.55 COLD SHRINK KIT 5,272.00 CHK909656/10/26 ACE HARDWARE766 DRILL SET - UNIT #21 32.20 CHK909666/10/26 AUTO ZONE834 CIP - LIGHTING REBATE 195.73 CHK909676/10/26 BULLFROG IND654 POLE PAINTING - TARGET 2,750.00 PAINT POLES - EVANS ST 3,705.00 Total for Check/Tran - 90967:6,455.00 CHK909686/10/26 BURNDY LLC7003 TOOL REPAIR 593.31 CHK909696/10/26 C3 PROJECT SERVICES9999 MR Refund 1,495.29 CHK909706/10/26 ESTATE OF RICHARD WATERS9997 Credit Balance Refund 14.11 CHK909716/10/26 FAIRVIEW HEALTH SERVICES8709 DOT DRUG SCREENING - 63 128 165 204 311.00 DOT DRUG SCREENING - 63 128 165 204 9.00 Total for Check/Tran - 90971:320.00 CHK909726/10/26 GREATAMERICA FINANCIAL SERVICES730LEASE FOR COPIER AT PLANT 105.01 LEASE FOR COPIER AT PLANT 26.26 Total for Check/Tran - 90972:131.27 CHK909736/10/26 HEALTHPARTNERS631 DENTAL EE INSURANCE - JULY 2026 1,180.57 DENTAL ER INSURANCE - JULY 2026 3,225.53 DENTAL EE INSURANCE - JULY 2026 182.09 DENTAL ER INSURANCE - JULY 2026 862.45 Total for Check/Tran - 90973:5,450.64 CHK909746/10/26 KODIAK POWER SYSTEMS, INC5377 SCADA WIRING - WELL #3 1,294.56 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520321 Page 1707/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference CHK909756/10/26 MARCO TECHNOLOGIES, LLC8605 PRINTER MTC CONTRACT - 6/1 to 7/1/126 196.66 PRINTER MTC CONTRACT - 6/1 to 7/1/126 49.16 Total for Check/Tran - 90975:245.82 CHK909766/10/26 MINNESOTA COMPUTER SYSTEMS INC119 COPIER MTC CONTRACT - 5/12 to 6/11/26 114.13 COPIER MTC CONTRACT - 5/12 to 6/11/26 28.53 Total for Check/Tran - 90976:142.66 CHK909776/10/26 PRIME ADVERTISING & DESIGN, INC.811 MONTHLY HOSTING OF WEBSITE 60.00 MONTHLY HOSTING OF WEBSITE 60.00 MONTHLY HOSTING OF WEBSITE 30.00 Total for Check/Tran - 90977:150.00 CHK909786/10/26 REPUBLIC SERVICES, INC574 TRASH SERVICE - MAY 2026 550.40 TRASH & RECYCLING SERVICE - MAY 2026 87.44 TRASH & RECYCLING SERVICE - MAY 2026 12.49 TRASH & RECYCLING SERVICE - MAY 2026 1,906.50 TRASH & RECYCLING SERVICE - MAY 2026 272.36 Total for Check/Tran - 90978:2,829.19 CHK909796/10/26 STUART C. IRBY CO.6107 GLOVES & TESTING -9.46 GLOVES & TESTING 163.62 Total for Check/Tran - 90979:154.16 CHK909806/10/26 THE UPS STORE 50933360 SHIPPING - BURNDY TOOL 94.75 CHK909816/10/26 TRANSUNION331 SKIP TRACING - MAY 2026 80.00 SKIP TRACING - MAY 2026 20.00 Total for Check/Tran - 90981:100.00 CHK909826/10/26 VIKING ELECTRIC375 Mtce of OH Primary 254.64 REDUCER -2.18 REDUCER 29.88 CONDUIT REPAIR KIT -12.49 CONDUIT REPAIR KIT 171.21 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520322 Page 1807/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference Total for Check/Tran - 90982:441.06 CHK909836/10/26 WESCO RECEIVABLES CORP.55 Cable 1,063.81 SINGLE PHASE CABINET 2,890.00 Total for Check/Tran - 90983:3,953.81 CHK909846/18/26 AMARIL UNIFORM COMPANY2512 Employee Clothing - 142 285.71 Employee Clothing - 194 370.00 Total for Check/Tran - 90984:655.71 CHK909856/18/26 BENEFIT EXTRAS, INC662 COBRA ADMINISTRATION - MAY 2026 15.00 CHK909866/18/26 TIMOTHY BRAY9997 INACTIVE REFUND 86.22 CHK909876/18/26 BREW FITNESS LLC9997 Credit Balance Refund 963.60 CHK909886/18/26 JOHN BUSONICK9997 Credit Balance Refund 16.25 CHK909896/18/26 CAPSTONE HOMES9997 Credit Balance Refund 137.86 CHK909906/18/26 CAPSTONE HOMES9997 Credit Balance Refund 134.75 CHK909916/18/26 CAPSTONE HOMES9997 Credit Balance Refund 126.36 CHK909926/18/26 CAPSTONE HOMES9997 Credit Balance Refund 116.80 CHK909936/18/26 CENTERPOINT ENERGY3982 NATURAL GAS & IRON REMOVAL 462.82 NATURAL GAS & IRON REMOVAL 246.30 Total for Check/Tran - 90993:709.12 CHK909946/18/26 CW HOULE9999 Hydrant Rental Deposit Refund 1,192.31 CHK909956/18/26 ELK RIVER WINLECTRIC122 CONDUIT 23.63 CONDUIT -1.73 MISC PARTS & SUPPLIES 5.48 MISC PARTS & SUPPLIES 86.46 MISC PARTS & SUPPLIES 92.10 MISC PARTS & SUPPLIES -0.84 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520323 Page 1907/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference MISC PARTS & SUPPLIES 2,009.14 MISC PARTS & SUPPLIES -142.50 MISC PARTS & SUPPLIES 14.70 MISC PARTS & SUPPLIES -1.08 MISC PARTS & SUPPLIES 12.25 MISC PARTS & SUPPLIES -0.90 MISC PARTS & SUPPLIES 31.89 MISC PARTS & SUPPLIES -2.33 CORD GRIP - METER SHOP -0.42 CORD GRIP - METER SHOP 5.64 Total for Check/Tran - 90995:2,131.49 CHK909966/18/26 DAVID FINK9997 INACTIVE REFUND 55.80 CHK909976/18/26 CORY FLUCK9997 INACTIVE REFUND 200.77 CHK909986/18/26 NOLAN GARDAS9997 Credit Balance Refund 905.95 CHK909996/18/26 GREENLINE HOME WASHING SERVICE9999 Hydrant Rental Deposit Refund 164.06 CHK910006/18/26 FRANK GREMSPERGER9997 INACTIVE REFUND 153.15 CHK910016/18/26 HOME DEPOT CREDIT SERVICES824 HOME DEPOT 118.98 HOME DEPOT 61.94 Total for Check/Tran - 91001:180.92 CHK910026/18/26 ROY JENNINGS9997 INACTIVE REFUND 379.54 CHK910036/18/26 COLLEEN KAISER9997 INACTIVE REFUND 203.17 CHK910046/18/26 JOHN LOPEZ9997 INACTIVE REFUND 356.52 CHK910056/18/26 MCDOWALL COMPANY3419 ROOF REPAIR - PLANT 1,753.00 CHK910066/18/26 MENARDS145 MISC PARTS & SUPPLIES - UNIT #5 122.83 MIRROR & DEGREASER 31.01 REBATE -35.94 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520324 Page 2007/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference REBATE -11.07 REBATE -29.13 Total for Check/Tran - 91006:77.70 CHK910076/18/26 DONALD MORRISON9997 INACTIVE REFUND 387.39 CHK910086/18/26 SAMANTHA OROZCO9997 INACTIVE REFUND 40.26 CHK910096/18/26 JENNY E PETERSON9997 INACTIVE REFUND 71.84 CHK910106/18/26 PLUNKETT'S PEST CONTROL, INC22 PEST CONTROL PROGRAM 1,476.92 PEST CONTROL PROGRAM 210.99 Total for Check/Tran - 91010:1,687.91 CHK910116/18/26 PRIME ADVERTISING & DESIGN, INC.811 Marketing 1,500.00 CHK910126/18/26 RDO EQUIPMENT CO.3218 PARTS FOR UNIT #61 -21.98 PARTS FOR UNIT #61 279.87 Total for Check/Tran - 91012:257.89 CHK910136/18/26 DAVID SCHULTE9997 INACTIVE REFUND 343.46 CHK910146/18/26 CHRISTOPHER SOLEM9997 INACTIVE REFUND 53.73 CHK910156/18/26 SPEEDCUTTERS OUTDOOR MAINTENA8141 LAWN MOWING SERVICES 954.31 LAWN MOWING SERVICES 2,537.40 Total for Check/Tran - 91015:3,491.71 CHK910166/18/26 SPINDLER CONSTRUCTION9997 INACTIVE REFUND 251.87 CHK910176/18/26 PETER STRAIGHT9997 INACTIVE REFUND 210.87 CHK910186/18/26 NANCY STRUSS9997 INACTIVE REFUND 93.99 CHK910196/18/26 STUART C. IRBY CO.6107 Glove Dust 283.50 CHK910206/18/26 TIMRON PRECISION GEAR, INC.6206 CIP REBATE 4,806.58 CHK910216/18/26 UC LABORATORY222 PHOSPHORUS SAMPLING - MAY 2026 17.66 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520325 Page 2107/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference CHK910226/18/26 VERIFIED CREDENTIALS, LLC8381 BACKGROUND SCREENING - 204 205 135.00 CHK910236/18/26 VIKING ELECTRIC375 CABLE TIES 70.00 CONDUIT REPAIR KIT -12.49 CONDUIT REPAIR KIT 171.21 CONDUIT REPAIR KIT -12.49 CONDUIT REPAIR KIT 171.21 Total for Check/Tran - 91023:387.44 CHK910246/18/26 JUSTIN VINGE9997 INACTIVE REFUND 450.93 CHK910256/18/26 WESCO RECEIVABLES CORP.55 WIRE 6,672.07 CHK910266/18/26 WRUCK SEWER AND PORTABLE RENT5451 PORTABLE TOILET RENTAL - 5/15 to 6/11/26 106.58 CHK910276/18/26 BRIAN ZIEGLER9997 INACTIVE REFUND 119.42 CHK910286/18/26 GREAT RIVER ENERGY53 SYSTEM IMPACT STUDY 10,000.00 CHK910296/25/26 AMARIL UNIFORM COMPANY2512 Employee Clothing - 206 705.38 Employee Clothing - 206 176.35 Total for Check/Tran - 91029:881.73 CHK910306/25/26 BELL LUMBER & POLE COMPANY, LLC214 CLASS 2 POLES 18,575.00 CLASS 4 & CLASS 3 POLES 8,770.00 Total for Check/Tran - 91030:27,345.00 CHK910316/25/26 ASHLEY BIALKE9997 INACTIVE REFUND 299.12 CHK910326/25/26 BLAINE LOCK & SAFE, INC.376 REPLACE LOCK - GARY ST TOWER 495.44 CHK910336/25/26 JESSICA BOHLSEN9997 INACTIVE REFUND 281.03 CHK910346/25/26 BRENTESON COMPANIES, INC97 Water Main 27,200.00 CHK910356/25/26 KAYLEE CONNOLLY9997 INACTIVE REFUND 18.89 CHK910366/25/26 LANCE DEHN9997 INACTIVE REFUND 93.35 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520326 Page 2207/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference CHK910376/25/26 ERICA ERICKSON9997 INACTIVE REFUND 93.36 CHK910386/25/26 EVERGREEN TOWNHOMES, LLC9997 Credit Balance Refund 231.09 CHK910396/25/26 FIVE STAR HYDRANT DIFFUSER788 Hose 700.00 CHK910406/25/26 KAREN GANNON9997 INACTIVE REFUND 172.00 CHK910416/25/26 HAVEN HOMES LLC9997 Credit Balance Refund 141.20 CHK910426/25/26 HUBBARD ELECTRIC5341 REPLACE EXISTING SERVICE - 14305 191ST 1,073.33 REPLACE EXISTING SERVICE - 14305 191ST -33.09 REPLACE EXISTING SERVICE - 14325 191ST 452.43 REPLACE EXISTING SERVICE - 14325 191ST -14.34 Total for Check/Tran - 91042:1,478.33 CHK910436/25/26 LISA KELLEHER9997 INACTIVE REFUND 91.26 CHK910446/25/26 KL MN 1, LLC9997 Credit Balance Refund 385.19 CHK910456/25/26 KALEE KRIPPNER9997 INACTIVE REFUND 68.76 CHK910466/25/26 LANDRY CHIROPRACTIC9997 Credit Balance Refund 258.72 CHK910476/25/26 ISAK LARSON9997 INACTIVE REFUND 117.86 CHK910486/25/26 LENNAR HOMES9997 Credit Balance Refund 145.22 CHK910496/25/26 LENNAR HOMES9997 Credit Balance Refund 153.45 CHK910506/25/26 LGI HOMES, MN9997 Credit Balance Refund 169.65 CHK910516/25/26 MENARDS145 US FLAG 56.09 US FLAG 14.02 HYDRANT SUPPLIES 36.49 Total for Check/Tran - 91051:106.60 CHK910526/25/26 MINNESOTA DEPT OF COMMERCE7293 2027 QTR 1 INDIRECT ASSESSMENT 7,906.41 /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520327 Page 2307/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities 06/01/2026 To 06/30/2026 Bank Account: 5 - GENERAL FUND WITHDRAWALS Check / Tran Date Pmt Type AmountVendor NameVendor Reference CHK910536/25/26 MUTUAL OF OMAHA633 ELEC LIFE INSURANCE - JULY 2026 277.80 LIFE & LTD INSURANCE - JULY 2026 1,826.60 ELEC LIFE INSURANCE - JULY 2026 212.90 LIFE & LTD INSURANCE - JULY 2026 452.83 Total for Check/Tran - 91053:2,770.13 CHK910546/25/26 JAMES RAHKO9997 INACTIVE REFUND 214.38 CHK910556/25/26 REROOF AMERICA CONTRACTORS MN 9997 INACTIVE REFUND 93.03 CHK910566/25/26 BRITNY SCHMITZ9997 INACTIVE REFUND 14.74 CHK910576/25/26 ABRIELLE STANAWAY9997 INACTIVE REFUND 41.76 CHK910586/25/26 STAR ENERGY SERVICES LLC674 NOVA POWER PORTAL RENEWAL - 7/26 to 6/27 2,200.00 CHK910596/25/26 STUART C. IRBY CO.6107 GLOVE 165.60 GLOVES 92.00 GLOVE 18.40 COMPRESSION LUG -51.98 COMPRESSION LUG 711.98 Connector 972.50 Total for Check/Tran - 91059:1,908.50 CHK910606/25/26 THE UPS STORE 50933360 SHIPPING - DURALABEL 22.27 CHK910616/25/26 VIKING ELECTRIC375 CONDUIT REPAIR KIT -12.49 CONDUIT REPAIR KIT 171.21 Total for Check/Tran - 91061:158.72 CHK910626/25/26 ALAN VOROTINOV9997 INACTIVE REFUND 98.73 Total for Bank Account - 5 :(213)4,377,065.93 Grand Total :4,388,061.28(214) /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520328 Page 2407/02/2026 9:42:26 AM Rev: 202303050106 Accounts Payable Check Register Elk River Municipal Utilities PARAMETERS ENTERED: Check Date:06/01/2026 To 06/30/2026 Bank:All Vendor:All Check: Journal:All Format:All GL References/Amounts Extended Reference:No Check/TransactionSort By: Voids:None AllPayment Type: NoGroup By Payment Type: Minimum Amount:0.00 Authorization Listing:No Credit Card Charges:No /pro/rpttemplate/acct/2.65.1/ap/AP_CHK_REGISTER.xml.rpt2520329 Elk River Municipal Utilities Commission Meeting Minutes June 9, 2026 Page 1 ELK RIVER MUNICIPAL UTILITIES REGULAR MEETING OF THE UTILITIES COMMISSION HELD AT THE UTILITIES CONFERENCE ROOM June 9, 2026 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 Mike Tietz, Technical Services Superintendent Jenny Foss, Communications & Administrative Coordinator Megan Zachman, Human Resources Generalist Others Present: Jared Shepherd, Attorney; Cal Portner, City Administrator; 1.0 GOVERNANCE 1.1 Call Meeting to Order The regular meeting of the Utilities Commission was called to order at 3:30 p.m. by Chair Dietz. 1.2 Pledge of Allegiance The Pledge of Allegiance was recited. 1.3 Consider the Agenda There were no recommended changes to the agenda. Moved by Commissioner Westgaard and seconded by Commissioner Stewart to approve the June 9, 2026, agenda. Motion carried 5-0. 2.0 CONSENT AGENDA (Approved By One Motion) Commissioner Stewart noted that Commissioner Larson-Vito was not listed in the Members Present section of the May minutes. Staff stated they would correct the published minutes. Moved by Commissioner Stewart and seconded by Commissioner Zerwas to approve the Consent Agenda with the correction to item 2.2 Regular Meeting Minutes – May 12, 2026, as follows: 30 Elk River Municipal Utilities Commission Meeting Minutes June 9, 2026 Page 2 2.1 Check Register – May 2026 2.2 Regular Meeting Minutes – May 12, 2026 2.3 Summary of General Manager Performance Evaluation Closed Session 2.4 Summary of Information Security Committee Closed Session Motion carried 5-0. 3.0 OPEN FORUM No one appeared for open forum. 4.0 POLICY & COMPLIANCE 4.1 Annual Commission Performance Evaluation Mr. Hanson led a review of the annual 360-degree performance evaluation, which included quantitative scores and qualitative comments from both the Commission and management staff. Evaluation scores have remained remarkably consistent over the past three years with only minor fluctuations. Positive feedback included a comment calling the current commission the "strongest to date." Staff suggested better incorporating the new mission, vision, and values into the meeting process. Commissioners agreed that staff should lead this effort by reinforcing how agenda items align with these principles, similar to how the Planning Commission connects items to the City's comprehensive plan. Staff praised the Commission for thorough preparation, healthy debate, and willingness to engage in continuing education. They appreciated the time taken to vet complex issues and reach a unified consensus. Staff feedback indicated that recurring questions from commissioners about budget variances related to the compensation study could be perceived as questioning the study's validity. Commissioners clarified their intent is to understand significant year-over- year financial differences as part of due diligence, not to undermine the study. A suggestion was made by staff for commissioners to provide questions on complex packet items ahead of meetings to allow adequate research time. A response was noted regarding instances where emotionally charged topics like compensation have led to statements that fall short of professional commentary. This was raised as a point of awareness. 31 Elk River Municipal Utilities Commission Meeting Minutes June 9, 2026 Page 3 In response to an open ended comment from the Commission, saying the body should “Be careful not to turn into a group that just goes along with everything staff recommends. Staff has a lot of good ideas that need to be thoroughly vetted by the Commission before Approval,” General Manager Mark Hanson noted that he intentionally avoids making recommendations on certain issues to encourage full and independent vetting by the Commission. Commissioners expressed that their in-depth discussions on internal operations (like compensation policies) are a function of focusing on areas of direct impact and control, not micromanagement, as day-to-day operations are handled effectively by staff. The Commission expressed appreciation for staff’s participation in the review. 4.2 Employee Handbook Annual Updates Ms. Zachman presented the updates to the employee handbook as part of staff’s annual review to comply with new state law requirements and minor housekeeping improvements. Legal counsel and staff confirmed all changes are compliant with current labor laws. It was clarified that field employees take breaks in the field and only return to the plant if their schedule allows. It was confirmed that the utility's private plan for Minnesota Paid Leave has been approved by the state. Moved by Commissioner Westgaard and seconded by Commissioner Larson-Vito to adopt the revised ERMU Employee Handbook. Motion carried 5-0. 5.0 BUSINESS ACTION 5.1 Financial Report – April 2026 Ms. Karpinski presented the financial report. She explained that it is normal for water to be at a loss this time of year and that the trend is changing as the report window moves into the warmer, dryer months. Commissioner Westgaard had submitted a question prior to the meeting wondering why there was a variance in the Production Expense for water. Ms. Karpinski explained that this was due to the transformer that was installed at the Meadowvale booster station which was installed by the electric department to power the station. She explained the transformer is an expense on the water side and an asset on the electric side. 32 Elk River Municipal Utilities Commission Meeting Minutes June 9, 2026 Page 4 There was a question about how many customers were still on payment plans from the Cold Weather Rule. Ms. Youngs explained that all of those plans are current/paid. Moved by Commissioner Zerwas and seconded by Commissioner Larson-Vito to receive the April 2026 Financial Report. Motion carried 5-0. 5.2 2025 Consumer Confidence Report In Mr. Ninow’s absence, Mr. Mauren presented the report. The 2025 water quality sampling results show full compliance with all Minnesota Department of Health standards. Ms. Foss explained that this would be the first year the report was produced in-house, implementing a custom, ERMU-branded template and producing a cost savings of approximately $3,600. She added that collaboration between the water and communications teams ensured regulatory compliance and clearer presentation. Commissioners praised the clarity of the new charts and improved language. Moved by Commissioner Stewart and seconded by Commissioner Westgaard to receive and file the 2025 Consumer Confidence Report. Motion carried 5-0. 5.3 Revised Market-Based Electric Service Agreement for 19178 Industrial Boulevard NW Mr. Hanson presented the revised agreement and explained there are a series of steps at the city level that involve the Planning Commission and City Council before the project can move forward. The presented agreement was largely the same as one approved the previous month, changes were reference to the rate plan from the power provider, which is in development, a plan for procuring a necessary transformer within the agreement to leverage economies of scale, and mandatory backflow prevention for any connection to the water service for the cooling system – which is city code for industrial customers but listed for clarity. Commissioner Zerwas shared that part of the additions seem to be in conflict with the prior language, in particular regarding backflow prevention for water connection. He noted that the agreement also states the company is prohibited from connecting the cooling system to water service. Mr. Hanson explained that while continuous use is prohibited, charging the system could require connection. Mr. Zerwas recommended clarifying that in the text. Mr. Hanson confirmed there is a noise study that is intended to be available to City Council by July 15. 33 Elk River Municipal Utilities Commission Meeting Minutes June 9, 2026 Page 5 Staff confirmed that the advance money paid by the developer for feasibility studies is nonrefundable in response to Commissioner Stewart’s question. There was discussion about zoning and land use for the proposed site. Mr. Shepherd explained that if the property is sold, any new owner would be bound by the original agreement's terms, including the 33-megawatt capacity limit. Staff explained that the project offers millions of dollars in potential margins that will help stabilize rates for all customers and will not cause a rate increase for existing customers, with risks responses having been thoroughly researched. Mr. Hanson added that staff is still working with Great River Energy as the transmission provider to analyze system impact. Moved by Commissioner Larson-Vito and seconded by Commissioner Zerwas to approve the revised Market-Based Electric Service Agreement for 19178 Industrial Boulevard NW pending final legal review, with provision of authorization to the general manager and ERMU’s attorney to approve any subsequent changes that are not material, and the addition of clarifying language on acceptable water connection. Motion carried 5-0. 5.4 Streetlight Installation and Maintenance Agreement Mr. Hanson presented an updated agreement with the City of Elk River for streetlight services. Key updates were that ERMU will now charge the city on a per-fixture basis for the municipal streetlights it owns and responsibilities for downtown decorations and flag hanging has been removed from this agreement and are expected to be handled via separate agreements with the appropriate entities. Moved by Commissioner Larson-Vito and seconded by Commissioner Westgaard to approve the revised Streetlight Maintenance Agreement between ERMU and the City of Elk River. Motion carried 5-0. 6.0 BUSINESS DISCUSSION 6.1 Staff Updates There was discussion about attendance at the Minnesota Municipal Utilities Association’s Summer Conference. 34 Elk River Municipal Utilities Commission Meeting Minutes June 9, 2026 Page 6 Commissioner Stewart requested staff investigate options for tracking donated water for greater transparency in response to Mr. Ninow’s bullet about mutual aid firefighting efforts outside the City. Staff responded that they would research options to report it more clearly. ERMU will participate in the Sherburne County Fair parade scheduled for July 18, 2026. Ms. Youngs announced that ERMU had hired a new IT professional, Jake Walz, who had previously worked for the City’s IT department. Mr. Walz was selected from a pool of 30 applicants and will start on June 23, 2026. It was confirmed that the presence of a quorum of commissioners at the upcoming American Public Power Association’s national conference in Boston, MA should be publicly noticed. Staff will provide an email update to attendees with logistical details. 6.2 City Council Update Chair Dietz provided a City Council Update. 6.3 Future Planning Chair Dietz announced the following: a. American Public Power Association National Conference – June 26- July 1 b. Regular Commission Meeting – July 14, 2026 c. 2026 Governance Agenda 6.4 Other Business Commissioner Westgaard shared that a request has been received to convene the Dispute Resolution Committee. A commercial user is seeking a second transformer and wishes to discuss associated fees. Staff is coordinating a meeting with the subcommittee members, Ms. Larson-Vito and Mr. Westgaard, and the applicant. A report will be provided to the full commission after the meeting. 7.0 ADJOURN REGULAR MEETING Moved by Commissioner Larson-Vito and seconded by Commissioner Westgaard to adjourn the regular meeting of the Elk River Municipal Utilities Commission at 5:23 p.m. Motion carried 5-0. Minutes prepared by Tony Mauren. 35 Elk River Municipal Utilities Commission Meeting Minutes June 9, 2026 Page 7 ___________________________________ John J. Dietz, ERMU Commission Chair ___________________________________ Justin Dunford, City Clerk 36 ______________________________________________________________________________ Page 1 of 3 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Tony Mauren – Governance & Communications Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 2.3 SUBJECT: Summary of Dispute Resolution Committee Meeting ACTION REQUESTED: Approve updated Dispute Resolution Committee Charter language. BACKGROUND: On June 16, 2026, the Dispute Resolution Committee held a meeting at 7 a.m. in the Utilities Conference Room at Elk River City Hall to review an issue submitted by a customer, the summary of which can be found below. After the meeting it was recommended by legal staff to strike the language from the Committee’s charter establishing that Dispute Resolution Committee meetings would be closed to the public, as it would not generally conform with Open Meeting Law. Attached are the redline edits for Commission approval. DISCUSSION: Summary from Chair Westgaard: • Committee Members Present: Chair Matt Westgaard, General Manager Mark Hanson, Administrations Director Sara Youngs, Operations Director Tom Geiser • Committee Members Absent: Commissioner Jill Larson-Vito • Customer Submitting Dispute Present: Eric Schultz with Village of Otsego Apartments, Rick Schultz with Village of Otsego Apartments The Committee convened to discuss its agenda item, Service Upgrade for Existing Commercial & Industrial Customers – Village of Otsego – Schultz. The first phase of the Village of Otsego apartment complex was built in 2020 and has 101 electric meters. A second and final phase, consisting of an additional 90 units on the same parcel, broke ground in March of 2026. ERMU’s fee schedule lists New Commercial & Industrial Electric Connection as a 50% cost share between the customer and the utilities for the initial transformer. This was applied in the first phase of the project. The Service Upgrade for Existing Commercial & Industrial Customers fee, which is for any transformer after the initial, has been listed as 100% at the customer’s expense on ERMU’s fee schedule since 2012 and listed in the Electric Rules prior to that. Accordingly, the 37 ______________________________________________________________________________ Page 2 of 3 customer had been invoiced $55,117.74 for the service upgrade to support phase two. The Customer felt that the rate structure for the second transformer placed too much burden on the customer and cited other utilities who structured transformer connection fee differently. Staff shared that Conexus and Anoka Utilities mirror ERMU’s exact rate structure, while Wright Hennepin Cooperative Electric Association slightly differs with a 75% charge to the customer for a new connection and a 75% charge to the customer for a service upgrade. In the meeting, there was discussion about why the initial transformer installed did not factor in the eventual needs of the site. Eric Schultz felt there was a lack of communication and expressed that he would have preferred that a transformer which could support the entire facility had been installed from the beginning. In the meeting, ERMU staff provided historical basis for the fee structure, namely that it is responsive to the unique demands of commercial & industrial customers. Staff also expressed their understanding that the fee structure had been communicated to the customer or their contactors. At the time of the meeting, Mr. Schultz was unsure if this was accurate but said he would confer with his contractor, Alliance Building Corporation. Mr. Geiser shared that the current transformer on site is full and cannot support additional service lines for the remaining 90 units. At the close of the meeting the Committee recommended the item be brought for consideration to the entire Commission with any documentation of the initial planning discussions between the customer and staff provided for consideration. The customer confirmed to the Committee that the official request to the Commission is some form of relief on the 100% cost for the service upgrade/second transformer. The customer agreed to pay the total amount invoiced with a credit potentially to be applied to their account should discussion yield a ruling that the customer be provided with some form of relief. The meeting adjourned at 7:40 a.m. After the meeting staff produced an email exchange occurring between October 2, 2020 and October 15, 2020 with the Village of Otsego’s electrical contractor describing the fee structure. In the email chain, the contractor acknowledged their understanding of ERMU’s fees and chose a course of action that resulted in the charges now being applied. In light of the email chain, the Committee recommended against deviating from ERMU’s fee structure as they had been clearly communicated to the customer’s contractor. Mr. Schultz was informed of the Committee’s recommendation and intends to resolve the issue internally without further engagement with the utilities. Matt Westgaard Committee Chair 38 ______________________________________________________________________________ Page 3 of 3 ATTACHMENTS: • Redline - ERMU Policy - G.2g4 - Dispute Resolution Committee Charter 39 Page 1 of 3 COMMISSION POLICY Section: Category: Governance Governance Policies Policy Reference: Policy Title: G.2g4 Dispute Resolution Committee Charter PURPOSE: The Dispute Resolution Committee exists to provide customers an alternative dispute resolution option for circumstances which: require action beyond the authority assigned through the Delegation to Management Policies; require policy creation, revision, or exception; have exhausted the established utilities procedures and/or protocol; and involves customer protected data for which the customer prefers addressing the issue through a meeting closed to the public. For qualifying customer disputes, the Committee will provide: an informal hearing in accordance with Open Meeting Law allowing the customers to communicate the concern; recess and reconvene as needed to conduct appropriate research and/or deliberate; make a determination within parameters established through the Commission Policies and within the authorities delegated through this policy; and report and/or make recommendations to the Commission as required. MEMBERSHIP: The Committee shall be comprised of five members, three appointed annually and two which vary with each dispute. The three members appointed annually shall include two Commissioners and the General Manager. At no time shall there be a quorum of the Commission on the Committee. The Committee shall also include the director and the manager most directly involved in the dispute. The Commission shall appoint Committee members annually following the Commission election of officers during the March Regular Commission meeting. The Commission shall also appoint the Committee Chair at that time. ROLE OF THE COMMITTEE CHAIR: The primary role of the Committee Chair is to run the Committee meetings. The Committee will adhere to the Current edition of Robert’s Rules of Order Newly Revised for all situations to which they are applicable and are not inconsistent with ERMU’s bylaws, policies, and any 40 Page 2 of 3 ERMU Commission Policy – G.2g4 Dispute Resolution Committee Charter special rules of order that the Commission may adopt. AUTHORITY: Except as established in this Committee Charter, the authority of the Committee is limited to the purpose of dispute resolution within the authorities delegated to management through the Commission Policies, research related to customer disputes or complaints, and recommendations to the Commission. The Committee, at the discretion and through formal action of the Commission, may be empowered beyond the role as outlined in this policy such that it is consistent with the Organizational Core Purpose policies and the Commission Committees policy. SPECIFIC DUTIES: 1. After a formal request is submitted for a qualifying customer dispute, the Committee will schedule a hearing, either in person or virtual, within a reasonable amount of time. 2. Through the hearing, the Committee will allow the customer to communicate relevant information and request dispute resolution which may require policy creation, revision, or exemption. 3. The Committee is required to verify all information and data; and the Committee will review the Customer’s account history and other relevant information. 4. And as needed, the Committee shall research industry best practices related to the dispute. 5. The Committee is authorized to engage legal counsel for legal review and recommendations. 6. The Committee will make a determination whether resolution can be provided within the authorities assigned through this policy; and if so, the Committee will provide written summary of the dispute and the authorized resolution for implementation by management. 7. When no action is taken by the Committee toward resolution, the Committee will determine whether the request warrants further consideration by the Commission, in which case the Committee will present a summary of the dispute to the Commission and a make recommendation. In the event that no action is taken by the Committee, and the Committee has determined that the dispute does not warrant further consideration or advancement to the Commission, the Committee shall summarize their finding in a report to be provide to the customer and placed on file. 8. The Committee shall record minutes of all Committee meetings. Committee meeting minutes shall be subject to applicable data retention law and policies. SCHEDULE: The Committee shall meet on an as-needed basis. 41 Page 3 of 3 ERMU Commission Policy – G.2g4 Dispute Resolution Committee Charter TERMINATION: The Committee shall exist until at such time formal action of the Commission is taken to dissolve the Committee. POLICY HISTORY: Adopted January 12, 2021 Revised February 14, 2023 Revised February 13, 2024 Revised July 14, 2026 42 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Tony Mauren – Governance & Communications Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 4.1 SUBJECT: Commission Policy Review – G.4h – Financial Planning and Budgeting ACTION REQUESTED: None BACKGROUND/DISCUSSION: This month commissioners are reviewing policy G.4h – Financial Planning and Budgeting to make comments, ask questions, or recommend updates. With policy G.4h, the Commission affirms the importance of financial planning and budgeting and sets forth its expectations for the General Manager in terms of the effective development, implementation, monitoring, and updating of the Commission’s approved Financial Plan and Business Plan/Budget. Staff is not recommending any updates to the policy. ATTACHMENTS: • ERMU Policy – G.4h – Financial Planning and Budgeting 43 ______________________________________________________________________________ Page 1 of 2 COMMISSION POLICY Section: Category: Governance Delegation to Management Policies Policy Reference: Policy Title: G.4h Financial Planning and Budgeting PURPOSE: With this policy, the Commission affirms the importance of financial planning and budgeting and sets forth its expectations for the General Manager in terms of the effective development, implementation, monitoring, and updating of the Commission’s approved Financial Plan and Business Plan/Budget. (See Strategic and Business Planning Policy) POLICY: The General Manager will propose for Commission approval a Financial Plan that supports the Strategic Plan and provides credible projections of expenses and revenues (in major categories), reserve fund balances, and key financial ratios for not less than five (5) future fiscal years. The General Manager will propose for Commission approval a Business Plan/Budget for each fiscal year that is reasonably consistent with the projections contained in the Commission’s approved Financial Plan. Within the financial limits established by the Commission through its approved Financial Plan and Business Plan/Budget, the General Manager shall provide adequate resources for the effective execution of the Strategic Plan and for the accomplishment of the specific operating and financial results contained in the Business Plan/Budget. Consistent with this general statement, the General Manager shall implement financial planning and budgeting that: 1. Is based on credible assumptions about variables that are likely to affect ERMU’s future financial performance. 2. Includes credible projections of revenues, expenses, cash flow, mandatory and discretionary reserve funds, fund balances, and key financial ratios for a period of at least five (5) future fiscal years. 44 ERMU Commission Policy – G.4h Financial Planning and Budgeting ______________________________________________________________________________ ______________________________________________________________________________ Page 2 of 2 3. Includes credible projections of capital expenditures and borrowing needs. 4. Includes credible revenue requirements and general retail rate adjustment needs. 5. Recognizes the need for appropriate adjustments or contingencies that may arise during implementation as a result of changed conditions and unexpected events. 6. Clearly communicates the connection between planned expenditures of resources and the expected business results as identified in the Strategic Plan and the Business Plan/Budget. 7. Does not violate the Commission’s policy on Financial Condition and Transactions. 8. Provides financial support for the Commission’s activities in the amount that is needed for the Commission to fulfill its statutory duties and to govern with excellence. POLICY HISTORY: Adopted August 8, 2017 45 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Mark Hanson – General Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 4.2 SUBJECT: Payment in Lieu of Taxes Discussion ACTION REQUESTED: None BACKGROUND/DISCUSSION: Commissioner Zerwas requested a discussion on future Payment In Lieu of Taxes contributions to the City, in relation to municipal action that may affect the growth of the Utilities. Per ERMU Commission Policy – G.2f – Commission Officer Roles, Responsibilities, and Succession, which authorizes the Chair to set the agenda, Chair Dietz was made aware of the proposed topic for discussion and authorized its addition. Attached is the policy for reference. ATTACHMENTS: • ERMU Policy - G.2a1 - Payment In Lieu of Taxes (PILOT) 46 ______________________________________________________________________________ Page 1 of 2 COMMISSION POLICY Section: Category: Governance Governance Policies Policy Reference: Policy Title: G.2a1 Payment in Lieu of Taxes and Other Donations to the City of Elk River PURPOSE: The success of ERMU is linked with the success of our community. And the success of our community is linked with the operation of our city government and ERMU. ERMU was purchased by the City of Elk River in 1945 and separate governance was created per State Statute in 1947. Although governed separately, ERMU is still an important component of our local government and our city services. It is typical for a municipal utility to provide a Payment in Lieu of Taxes (PILOT) and other donations to their city, regardless of a separation of governance. Although typical, this contribution should never inhibit ERMU’s ability to make repayment on debt, cause ERMU to become non-competitive, or inhibit needed investment in personnel or infrastructure which may hurt ERMU’s ability to meet the needs of their customers. For these reasons the PILOT and other donations should be reviewed at least once every five (5) years by the ERMU Commission. POLICY: The PILOT and other donations to the City of Elk River shall be as follows: 1. Payment in Lieu of Taxes (PILOT); Electric – The electric PILOT transfer from Elk River Municipal Utilities to the City of Elk River shall be five percent (5%) of the revenues generated by ERMU’s electric customers, except customers qualifying for the Transmission Transformed Service rate, within the corporate boundaries of the City of Elk River. For the customers that qualify for the Transmission Transformed Service rate, the PILOT transfer from ERMU to the City of Elk River shall be five percent (5%) of the margin remaining from the evenly split charge per kWh to cover dispatching, billing, and administrative costs incurred by the wholesale power provider and ERMU. Should a catastrophic event occur, the five percent (5%) revenue transfer shall not be paid on the increased energy adjustment clause (EAC) from our power supplier, Minnesota 47 ERMU Commission Policy – G.2a1 Payment in Lieu of Taxes and Other Donations to the City of Elk River ______________________________________________________________________________ ______________________________________________________________________________ Page 2 of 2 Municipal Power Agency (MMPA). A catastrophic event shall be defined by MMPA’s use of their rate stabilization fund to offset the impact of the catastrophic event on its members. 2. Payment in Lieu of Taxes (PILOT); Water – The water PILOT transfer from Elk River Municipal Utilities to the City of Elk River shall be two percent (2%) of the revenues generated by ERMU’s water customers. 3. Donated Water – Elk River Municipal Utilities shall donate water to the City of Elk River: • For the purpose of extinguishing fires within the City of Elk River and other cities under contract with the Elk River Fire Department. • For the purpose of creating ice rinks for public/non-enterprise use. • For the purpose of street sweeping. POLICY HISTORY: Adopted December 6, 1994 Revised June 6, 2008 Revised July 2, 2013 Revised October 13, 2015 Revised January 1, 2016 Revised October 8, 2019 Revised May 11, 2021 Reviewed October 10, 2023 Revised November 12, 2025 48 ______________________________________________________________________________ Page 1 of 2 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Melissa Karpinski – Finance Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 5.1 SUBJECT: Financial Report – May 2026 ACTION REQUESTED: Receive the May 2026 Financial Report DISCUSSION: Please note that these are the preliminary unaudited financial statements. Electric May year to date (YTD) electric kWh sales are up 4% compared to the prior year. The breakdown is as follows: • Residential usage increased 2% • Small Commercial usage increased 1% • Large Commercial usage increased 6% For May 2026, the Electric Department is performing behind the prior YTD results but is favorable to the YTD budget. Additional variance analysis is provided in the attached Summary Electric Statement of Revenues, Expenses and Changes in Net Position. Water May YTD gallons of water sold are down 1% compared to the prior year. The breakdown is as follows: • Residential usage decreased 3% • Commercial usage increased 1% For May 2026, the Water Department is performing behind the prior YTD results and is unfavorable to the YTD budget. Additional variance analysis is provided in the attached Summary Water Statement of Revenues, Expenses and Changes in Net Position. ATTACHMENTS: • Balance Sheet • Electric Balance Sheet • Water Balance Sheet • Summary Electric Statement of Revenues, Expenses and Changes in Net Position • Summary Water Statement of Revenues, Expenses and Changes in Net Position • Graphs Prior Year and YTD 2026 49 ______________________________________________________________________________ Page 2 of 2 • Detailed Electric Statement of Revenues, Expenses and Changes in Net Position • Detailed Water Statement of Revenues, Expenses and Changes in Net Position • Financial Presentation 50 Electric Water Total Assets Current Assets Cash and Investments 11,065,452 10,816,345 21,881,797 Receivables 2,923,615 294,157 3,217,772 Due from Other City Funds 4,341 128,850 133,191 Inventories 2,637,003 68,253 2,705,256 Prepaid Items 234,271 63,896 298,167 Total Current Assets 16,864,683 11,371,502 28,236,184 Non-Current Assets Lease Receivable - 5,622,838 5,622,838 Capital Assets Construction In Progress 3,200,447 124,549 3,324,996 Land 697,870 200,714 898,584 Intangible Assets 29,656,945 - 29,656,945 Land Improvements 34,081 - 34,081 Buildings 15,832,325 3,425,450 19,257,775 Machinery and Equipment 6,035,053 789,641 6,824,694 Transmission 2,305,024 - 2,305,024 Production - 14,725,937 14,725,937 Distribution 61,917,091 31,206,714 93,123,806 Capital Assets, Cost 119,678,835 50,473,006 170,151,841 Less Accumulated Depreciation (45,655,946) (25,878,686) (71,534,632) Total Capital Assets, Net 74,022,889 24,594,320 98,617,209 Total Non-Current Assets 74,022,889 30,217,158 104,240,047 Other Assets Restricted Cash 1,779,016 - 1,779,016 Deferred Outflows of Resources 396,358 82,418 478,776 Total Assets 93,062,946 41,671,078 134,734,023 Liabilities and Fund Equity Current Liabilities Accounts Payable 3,147,192 161,996 3,309,188 Salaries and Benefits Payable 222,282 45,245 267,527 Accrued Interest Payable 256,385 12,200 268,585 Due to Other City Funds 820,890 6,667 827,558 Due to Other Governments 247,827 4,546 252,373 Customer Deposits Payable 1,251,771 193,695 1,445,466 Unearned Revenue 11,708 230,275 241,983 Compensated Absences 1,070,279 158,404 1,228,684 Bonds Payable-Current Portion 510,000 70,000 580,000 Total Current Liabilities 7,538,335 883,028 8,421,363 Non-Current Liabilities Bonds Payable, Net - Less Current Portion 26,090,595 1,410,872 27,501,467 Net Pension Liabilities 1,541,981 323,143 1,865,124 Total Non-Current Liabilities 27,632,576 1,734,015 29,366,591 Total Liabilities 35,170,911 2,617,044 37,787,954 Total Deferred Inflows of Resources 1,034,353 5,488,482 6,522,835 Total Net Position 56,857,682 33,565,552 90,423,234 Total Liabilities & Fund Equity 93,062,946 41,671,078 134,734,023 May 31, 2026 Elk River Municipal Utilities Elk River, Minnesota Statement of Net Position 51 Electric May 31, 2026 April 30, 2026 Current Month Change from Prior Month Assets Current Assets Cash and Investments 11,065,452 10,361,319 704,133 Receivables 2,923,615 3,823,326 (899,711) Due from Other City Funds 4,341 4,077 264 Inventories 2,637,003 2,857,529 (220,526) Prepaid Items 234,271 257,490 (23,219) Total Current Assets 16,864,683 17,303,742 (439,059) Non-Current Assets Lease Receivable - - - Capital Assets Construction In Progress 3,200,447 2,743,190 457,256 Land 697,870 697,870 - Intangible Assets 29,656,945 29,656,945 - Land Improvements 34,081 34,081 - Buildings 15,832,325 15,832,325 - Machinery and Equipment 6,035,053 5,688,820 346,233 Transmission 2,305,024 2,305,024 - Distribution 61,917,091 61,908,897 8,194 Capital Assets, Cost 119,678,835 118,867,152 811,684 Less Accumulated Depreciation (45,655,946) (45,361,249) (294,697) Total Capital Assets, Net 74,022,889 73,505,902 516,987 Total Non-Current Assets 74,022,889 73,505,902 516,987 Other Assets Restricted Cash 1,779,016 1,779,016 - Deferred Outflows of Resources 396,358 396,358 - Total Assets 93,062,946 92,985,018 77,928 Liabilities and Fund Equity Current Liabilities Accounts Payable 3,157,192 2,817,509 339,684 Salaries and Benefits Payable 222,282 193,776 28,506 Accrued Interest Payable 256,385 192,289 64,096 Due to Other City Funds 820,890 746,293 74,597 Due to Other Governments 247,827 246,612 1,215 Customer Deposits Payable 1,241,771 1,238,775 2,996 Unearned Revenue 11,708 13,380 (1,673) Compensated Absences 1,070,279 1,070,437 (157) Bonds Payable-Current Portion 510,000 510,000 - Total Current Liabilities 7,538,335 7,029,070 509,265 Non-Current Liabilities Bonds Payable, Net - Less Current Portion 26,090,595 26,095,583 (4,989) Net Pension Liabilities 1,541,981 1,541,981 - Total Non-Current Liabilities 27,632,576 27,637,564 (4,989) Total Liabilities 35,170,911 34,666,634 504,276 Total Deferred Inflows of Resources 1,034,353 1,034,353 - Total Net Position 56,857,682 57,284,030 (426,348) Total Liabilities & Fund Equity 93,062,946 92,985,018 77,928 Elk River Municipal Utilities Elk River, Minnesota Electric Statement of Net Position 52 Water May 31, 2026 April 30, 2026 Current Month Change from Prior Month Assets Current Assets Cash and Investments 10,816,345 10,755,034 61,311 Receivables 294,157 289,995 4,162 Due from Other City Funds 128,850 128,850 - Inventories 68,253 77,237 (8,984) Prepaid Items 63,896 71,255 (7,358) Total Current Assets 11,371,502 11,322,371 49,131 Non-Current Assets Lease Receivable 5,622,838 5,622,838 - Capital Assets Construction In Progress 124,549 118,321 6,228 Land 200,714 200,714 - Intangible Assets - - - Land Improvements - - - Buildings 3,425,450 3,425,450 - Machinery and Equipment 789,641 789,641 - Production 14,725,937 14,725,937 - Distribution 31,206,714 31,206,714 - Capital Assets, Cost 50,473,006 50,466,777 6,228 Less Accumulated Depreciation (25,878,686) (25,762,123) (116,563) Total Capital Assets, Net 24,594,320 24,704,654 (110,334) Total Non-Current Assets 30,217,158 30,327,492 (110,334) Other Assets Restricted Cash - - - Deferred Outflows of Resources 82,418 82,418 - Total Assets 41,671,078 41,732,281 (61,203) Liabilities and Fund Equity Current Liabilities Accounts Payabable 161,996 127,015 34,981 Salaries and Benefits Payable 45,245 40,515 4,730 Accrued Interest Payable 12,200 9,150 3,050 Due to Other City Funds 6,667 6,736 (69) Due to Other Governments 4,546 8,829 (4,283) Customer Deposits Payable 193,695 187,650 6,045 Unearned Revenue 230,275 230,275 - Compensated Absences 158,404 157,719 685 Bonds Payable-Current Portion 70,000 70,000 - Total Current Liabilities 883,028 837,889 45,139 Non-Current Liabilities Bonds Payable, Net - Less Current Portion 1,410,872 1,411,427 (554) Net Pension Liabilities 323,143 323,143 - Total Non-Current Liabilities 1,734,015 1,734,570 (554) Total Liabilities 2,617,044 2,572,459 44,585 Total Deferred Inflows of Resources 5,488,482 5,488,482 - Total Net Position 33,565,552 33,671,340 (105,788) Total Liabilities & Fund Equity 41,671,078 41,732,281 (61,203) Elk River Municipal Utilities Elk River, Minnesota Water Statement of Net Position 53 Electric Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% Variance Revenue Operating Revenue Elk River 2,880,980 3,389,430 14,973,549 15,941,742 (968,193) -6%43,306,594 3,168,553 15,198,088 (224,539) -1% Otsego 273,256 346,513 1,565,920 1,655,008 (89,088) -5%4,454,313 327,815 1,591,796 (25,876) -2% Big Lake 13,253 17,944 87,063 93,439 (6,376) -7%241,665 16,066 88,173 (1,110) -1% Dayton 16,359 21,919 107,140 114,055 (6,914) -6%294,054 20,432 111,261 (4,121) -4% Public St & Hwy Lighting 23,851 23,333 119,178 116,665 2,513 2%280,000 23,882 117,420 1,759 1% Other Electric Sales 400 400 2,000 2,000 - 0%4,800 400 2,000 - 0% Total Operating Revenue 3,208,100 3,799,537 16,854,851 17,922,909 (1,068,058) -6%48,581,426 3,557,147 17,108,738 (253,887) -1% Other Operating Revenue Interest/Dividend Income 16,829 29,167 (3,426) 145,835 (149,261) -102%350,000 14,929 182,379 (185,805) -102%(1) Customer Penalties 19,278 25,417 103,060 127,085 (24,025) -19%305,000 20,690 110,120 (7,060) -6% Connection Fees 13,300 21,250 273,063 106,250 166,813 157%255,000 23,425 64,893 208,170 321%(2) Misc Revenue 172,616 97,751 962,580 511,255 451,325 88%1,193,000 310,276 738,605 223,974 30%(3) Total Operating Revenue 222,023 173,585 1,335,277 890,425 444,852 50%2,103,000 369,320 1,095,998 239,279 22% Total Revenue 3,430,123 3,973,122 18,190,128 18,813,334 (623,206) -3%50,684,426 3,926,467 18,204,736 (14,607) 0% Expenses Purchased Power 2,713,859 2,506,826 10,936,281 11,561,645 (625,364) -5%31,659,362 2,535,439 10,988,121 (51,841) 0% Operating & Mtce Expense 1,258 26,833 1,855 134,165 (132,310) -99%321,993 26,111 136,793 (134,938) -99%(4) Transmission Expense 4,245 5,833 16,484 29,165 (12,681) -43%70,000 3,046 14,125 2,359 17% Distribution Expense 65,054 45,417 407,007 227,085 179,922 79%545,000 35,489 241,963 165,043 68%(5) Maintenance Expense 160,246 153,246 721,566 844,230 (122,664) -15%1,990,000 138,807 799,408 (77,842) -10%(6) Depreciation & Amortization 294,697 294,428 1,476,698 1,472,140 4,558 0%3,533,136 288,506 1,438,328 38,370 3% Interest Expense 59,108 59,108 296,414 296,414 - 0%699,543 61,983 311,189 (14,775) -5% Other Operating Expense 3,747 9,105 37,588 45,525 (7,937) -17%414,250 4,320 39,994 (2,406) -6% Customer Accounts Expense 34,930 36,250 182,331 181,250 1,081 1%435,000 35,056 171,514 10,817 6% Administrative Expense 343,084 365,264 2,018,087 2,016,993 1,094 0%4,617,413 351,026 1,922,880 95,208 5% General Expense 30,867 54,774 197,901 273,870 (75,969) -28%657,300 28,666 176,694 21,207 12%(7) Total Expenses (before Operating Transfers)3,711,094 3,557,084 16,292,210 17,082,482 (790,272) -5%44,942,997 3,508,449 16,241,008 51,202 0% Operating Transfer Operating Transfer/Other Funds 144,984 169,471 753,344 797,087 (43,743) -5%2,165,330 127,490 611,620 141,724 23% Utilities & Labor Donated 393 - 393 - 393 0%- 20,516 98,667 (98,274) -100%(8) Total Operating Transfer 145,377 169,471 753,738 797,087 (43,350) -5%2,165,330 148,006 710,288 43,450 6% Net Income Profit (Loss)(426,348) 246,567 1,144,181 933,765 210,416 23%3,576,100 270,013 1,253,440 (109,259) -9% Item Variance of +/- $25,000 and +/- 15% (1) Budget and PYTD variance is due to the change in Fair Market Value. (2) Budget and PYTD variance is mainly due to a large connection agreement in January and March of 2026. (3) Budget and PYTD variance is mainly due to Contributions from Customers having a large SOW for a dedicated feeder in January 2026. (4) Budget and PYTD variance is due to not using majority of generating g/l accounts in 2026 due to retirement of power plant engines and reclassing to distribution expense. (5) Budget and PYTD variance is due to reclassing generating g/l accounts in 2026 to distribution expense. (6) Budget variance is mainly due to an even budget spread throughout year. (7) Budget variance is mainly due to timing of commercial rebates and low income rebates. (8) PYTD variance is due to the change to PILOT that was made in 2026. Year-To-Date Year-To-Date Elk River Municipal Utilities Elk River, Minnesota Statement of Revenues, Expenses and Changes in Net Position For Period Ending May 31, 2026 54 Water Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% Variance Revenue Operating Revenue Water Sales 202,984 241,203 859,121 888,136 (29,015)-3%3,226,078 226,387 838,635 20,486 2% Total Operating Revenue 202,984 241,203 859,121 888,136 (29,015) -3%3,226,078 226,387 838,635 20,486 2% Other Operating Revenue Interest/Dividend Income 5,511 10,500 6,501 52,500 (45,999)-88%126,000 4,722 50,708 (44,207) -87%(1) Customer Penalties 1,636 2,917 6,893 14,585 (7,692)-53%35,000 1,328 11,248 (4,355) -39% Connection Fees 31,439 37,167 211,871 185,835 26,036 14%446,000 20,712 194,780 17,091 9% Misc Revenue 13,276 1,008 30,604 9,040 21,564 239%477,350 19,773 25,075 5,529 22%(2) Total Operating Revenue 51,861 51,592 255,869 261,960 (6,091) -2%1,084,350 46,534 281,812 (25,942) -9% Total Revenue 254,845 292,795 1,114,990 1,150,096 (35,106) -3%4,310,428 272,922 1,120,447 (5,456) 0% Expenses Production Expense 15,607 10,417 100,416 52,085 48,331 93%125,000 9,546 54,806 45,610 83%(3) Pumping Expense 49,539 55,668 263,028 278,340 (15,312)-6%668,000 51,657 248,594 14,434 6% Distribution Expense 53,357 35,041 156,202 202,205 (46,003)-23%447,500 44,644 223,971 (67,769) -30%(4) Depreciation & Amortization 116,563 117,917 582,638 589,585 (6,947)-1%1,415,000 115,236 577,251 5,387 1% Interest Expense 2,496 2,496 12,479 12,479 0 0%28,782 2,712 13,562 (1,083) -8% Other Operating Expense 220 52 1,041 260 781 300%50,625 (16,220) (15,981) 17,022 107% Customer Accounts Expense 8,367 8,688 41,401 43,440 (2,039)-5%104,250 8,562 41,428 (27) 0% Administrative Expense 110,236 99,696 541,639 541,408 231 0%1,251,950 108,738 493,885 47,754 10% General Expense 190 605 553 3,025 (2,472)-82%7,250 228 1,614 (1,061) -66% Total Expenses (before Operating Transfers)356,574 330,580 1,699,396 1,722,827 (23,430) -1%4,098,357 325,103 1,639,130 60,266 4% Operating Transfer Operating Transfer/Other Funds 4,060 4,824 17,182 17,763 (581)-3%64,522 - - 17,182 0% Utilities & Labor Donated - 167 - 835 (835)-100%2,000 - - - 0% Total Operating Transfer 4,060 4,991 17,182 18,598 (1,416) -8%66,522 - - 17,182 0% Net Income Profit (Loss)(105,788) (42,776) (601,588) (591,328) (10,260) -2%145,550 (52,182) (518,684) (82,905) -16% Item Variance of +/- $15,000 and +/- 15% (1) Budget and PYTD variance is due to the change in Fair Market Value. (2) Budget variance is due to timing (even spread). (3) Budget and PYTD variance is mainly due installation of transformer at Meadowvale Booster Station and labor in 2026. (4) Budget variance is mainly due to an even budget spread throughout year. PYTD variance is due to mtce of water mains (Polk & Business Center Dr), water meter service repairs and water mapping labor. Year-To-DateYear-To-Date Elk River Municipal Utilities Elk River, Minnesota Statement of Revenues, Expenses and Changes in Net Position For Period Ending May 31, 2026 55 35.0 40.0 45.0 50.0 55.0 60.0 65.0 70.0 75.0 80.0 Demand in MWMonth Elk River Municipal Utilities Monthly Electrical Demand 2025 2026 15,000 20,000 25,000 30,000 35,000 40,000 Energy Purchases in MWHMonth Elk River Municipal Utilities Monthly Energy Purchases 2025 2026 56 15,000 20,000 25,000 30,000 35,000 40,000 Electric Load in MWHMonth Elk River Municipal Utilities Monthly Total Electric Load 2025 2026 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 $4,000,000 $4,500,000 $5,000,000 $5,500,000 Sales in DollarsMonth Elk River Municipal Utilities Monthly Electric Sales 2025 2026 57 - 5,000 10,000 15,000 20,000 25,000 Loads in MWHMonth Elk River Municipal Utilities Monthly Residential, Commercial & Industrial Loads 2025 Residential 2026 Residential 2025 Commercial 2026 Commercial 2025 Industrial 2026 Industrial $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 Sales in DollarsMonth Elk River Municipal Utilities Monthly Residential, Commercial & Industrial Sales 2025 Residential 2026 Residential 2025 Commercial 2026 Commercial 2025 Industrial 2026 Industrial 58 0.0 20.0 40.0 60.0 80.0 100.0 120.0 140.0 Pumpage in Million Gal.Month Elk River Municipal Utilities Monthly Water Pumpage 2025 2026 0.0 1.0 2.0 3.0 4.0 5.0 6.0 Peak Day in Million Gal.Month Elk River Municipal Utilities Peak Day Pumpage 2025 2026 59 $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 0 20 40 60 80 100 120 140 160 180 Sales In DollarsSales in Million Gal.Month Elk River Municipal Utilities Monthly Water Sales 2025 MG 2026 MG 2025 $2026 $ 60 Electric Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% RevenueOperating RevenueElectric Sales - Elk RiverELECT SALES - ELK RIVER RESIDENTIAL 904,181 1,109,809 5,566,773 5,781,204 (214,431) -4% 14,974,097 1,024,014 5,376,410 190,363 4%ELECT SALES - ELK RIVER NON-DEMAND 248,019 286,438 1,434,109 1,481,111 (47,002) -3% 3,713,891 261,571 1,384,138 49,971 4%ELECT SALES - ELK RIVER DEMAND 1,506,444 1,598,987 7,303,172 6,850,450 452,721 7% 19,613,601 1,492,720 6,752,460 550,712 8%PCA SALES REVENUE - ELK RIVER RESIDENTIA 59,934 119,100 218,948 620,416 (401,468) -65% 1,606,960 117,453 541,564 (322,616) -60%PCA SALES REVENUE - ELK RIVER NON-DEMAND 18,230 33,828 59,083 174,915 (115,832) -66% 438,601 32,843 152,889 (93,806) -61%PCA SALES REVENUE - ELK RIVER DEMAND 144,171 241,267 391,465 1,033,646 (642,181) -62% 2,959,444 239,951 990,627 (599,162) -60%Total Electric Sales - Elk River2,880,980 3,389,430 14,973,549 15,941,742 (968,193) -6% 43,306,594 3,168,553 15,198,088 (224,539) -1%Electric Sales - OtsegoELECT SALES - OTSEGO RESIDENTIAL 102,264 126,249 639,851 657,655 (17,804) -3% 1,703,416 114,886 602,473 37,378 6%ELECT SALES - OTSEGO NON-DEMAND 34,275 42,582 198,370 220,182 (21,812) -10% 552,105 42,398 196,727 1,643 1%ELECT SALES - OTSEGO DEMAND 116,707 139,932 658,121 599,501 58,620 10% 1,716,440 130,158 618,488 39,633 6%PCA SALES REVENUE - OTSEGO RESIDENTIAL 6,591 13,549 24,762 70,577 (45,815) -65% 182,804 12,939 60,285 (35,523) -59%PCA SALES REVENUE - OTSEGO NON-DEMAND 2,601 3,848 8,631 19,897 (11,266) -57% 49,894 5,596 22,918 (14,287) -62%PCA SALES REVENUE - OTSEGO DEMAND 10,818 20,353 36,185 87,196 (51,011) -59% 249,654 21,838 90,905 (54,720) -60%Total Electric Sales - Otsego273,256 346,513 1,565,920 1,655,008 (89,088) -5% 4,454,313 327,815 1,591,796 (25,876) -2%Electric Sales - Big LakeELECT SALES - BIG LAKE RESIDENTIAL 12,216 15,454 82,731 80,500 2,231 3% 208,507 14,155 79,119 3,612 5%ELECT SALES - BIG LAKE NON-DEMAND 215 361 942 1,864 (922) -49% 4,675 257 930 12 1%PCA SALES REVENUE - BIG LAKE RESIDENTIAL 812 1,658 3,366 8,639 (5,273) -61% 22,376 1,630 8,063 (4,697) -58%PCA SALES REVENUE - BIG LAKE NON-DEMAND 10 471 23 2,436 (2,413) -99% 6,107 24 61 (38) -62%Total Electric Sales - Big Lake13,253 17,944 87,063 93,439 (6,376) -7% 241,665 16,066 88,173 (1,110) -1%Electric Sales - DaytonELECT SALES - DAYTON RESIDENTIAL 12,699 16,476 86,929 85,829 1,1001% 222,309 15,148 85,173 1,7562%ELECT SALES - DAYTON NON-DEMAND2,675 3,191 16,242 16,501 (259) -2%41,376 3,211 15,980 2622%PCA SALES REVENUE - DAYTON RESIDENTIAL812 1,768 3,347 9,210 (5,863) -64%23,857 1,699 8,454 (5,106) -60%PCA SALES REVENUE - DAYTON NON-DEMAND173 483 623 2,515 (1,892) -75%6,512 374 1,655 (1,032) -62%Total Electric Sales - Dayton16,359 21,919 107,140 114,055 (6,914) -6% 294,054 20,432 111,261 (4,121) -4%Public St & Hwy LightingELECT SALES - SEC LTS23,851 23,333 119,178 116,665 2,5132% 280,000 23,882 117,420 1,7591%Total Public St & Hwy Lighting23,851 23,333 119,178 116,665 2,5132% 280,000 23,882 117,420 1,7591%Other Electric SalesSUB-STATION CREDIT400 400 2,000 2,000 00%4,800 400 2,000 00%Total Other Electric Sales400 400 2,000 2,000 00%4,800 400 2,000 00%Total Operating Revenue3,208,100 3,799,537 16,854,851 17,922,909 (1,068,058) -6% 48,581,426 3,557,147 17,108,738 (253,887) -1%Other Operating RevenueInterest/Dividend IncomeINTEREST & DIVIDEND INCOME 16,829 29,167 (3,426) 145,835 (149,261) -102% 350,000 14,929 182,379 (185,805) -102%Total Interest/Dividend Income16,829 29,167 (3,426) 145,835 (149,261) -102% 350,000 14,929 182,379 (185,805) -102%Customer PenaltiesCUSTOMER DELINQUENT PENALTIES 19,278 25,417 103,060 127,085 (24,025) -19% 305,000 20,690 110,120 (7,060) -6%Total Customer Penalties19,278 25,417 103,060 127,085 (24,025) -19% 305,000 20,690 110,120 (7,060) -6%Elk River Municipal UtilitiesElk River, MinnesotaStatement of Revenues, Expenses and Changes in Net PositionFor Period Ending May 2026Year-To-DateYear-To-Date61 Electric Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% Elk River Municipal UtilitiesElk River, MinnesotaStatement of Revenues, Expenses and Changes in Net PositionFor Period Ending May 2026Year-To-DateYear-To-DateConnection FeesDISCONNECT & RECONNECT CHARGE 13,300 21,250 273,063 106,250 166,813 157% 255,000 23,425 64,893 208,170 321%Total Connection Fees13,300 21,250 273,063 106,250 166,813 157% 255,000 23,425 64,893 208,170 321%Misc RevenueMISC ELEC REVENUE - TEMP CHG- 250 3,810 1,250 2,560 205%3,000 - 2,640 1,170 44%STREET LIGHT- 2,500 29,800 10,000 19,800 198%25,000 - - 29,8000%TRANSMISSION INVESTMENTS63,695 56,667 267,488 283,335 (15,847) -6% 680,000 57,800 258,643 8,8463%MISC NON-UTILITY9,593 9,167 81,783 45,835 35,948 78% 110,000 7,797 40,958 40,825 100%GAIN ON DISPOSITION OF PROPERTY- - - 25,000 (25,000) -100%25,000 - 22,755 (22,755) -100%CONTRIBUTIONS FROM CUSTOMERS70,592 29,167 550,963 145,835 405,128 278% 350,000 244,680 413,609 137,354 33%CONTRIBUTIONS FROM GRANTS28,736 - 28,736 - 28,7360%- - - 28,7360%Total Misc Revenue172,616 97,751 962,580 511,255 451,325 88% 1,193,000 310,276 738,605 223,974 30%222,023 173,585 1,335,277 890,425 444,852 50% 2,103,000 369,320 1,095,998 239,279 22%Total Revenue3,430,123 3,973,122 18,190,128 18,813,334 (623,206) -3% 50,684,426 3,926,467 18,204,736 (14,607) 0%ExpensesPurchased PowerPURCHASED POWER1,885,677 1,885,253 8,595,547 8,547,506 48,0401% 24,051,075 1,806,519 8,192,799 402,7485%ENERGY ADJUSTMENT CLAUSE828,182 621,573 2,340,734 3,014,138 (673,404) -22% 7,608,286 728,920 2,795,323 (454,589) -16%Total Purchased Power2,713,859 2,506,826 10,936,281 11,561,645 (625,364) -5% 31,659,362 2,535,439 10,988,121 (51,841) 0%Operating & Mtce ExpenseOPERATING SUPERVISION - DNU - 13,399 - 66,995 (66,995) -100% 160,783 13,611 66,711 (66,711) -100%NATURAL GAS - 2,292 - 11,460 (11,460) -100% 27,501 517 15,301 (15,301) -100%ELECTRIC & WATER CONSUMPTION - PLANT DNU - 5,434 - 27,170 (27,170) -100% 65,208 4,116 26,717 (26,717) -100%PLANT SUPPLIES & OTHER EXPENSE - DNU - 1,000 - 5,000 (5,000) -100% 12,000 761 3,880 (3,880) -100%MISC POWER GENERATION EXPENSE 1,258 83 1,855 415 1,440 347% 1,000 - 696 1,159 166%MAINTENANCE OF STRUCTURE - PLANT - DNU - 1,250 - 6,250 (6,250) -100% 15,000 620 6,482 (6,482) -100%MTCE OF PLANT ENGINES/GENERATORS - 42 - 210 (210) -100% 500 - 678 (678) -100%MTCE OF PLANT/LAND IMPROVEMENT - DNU - 3,333 - 16,665 (16,665) -100% 40,000 6,485 16,326 (16,326) -100%Total Operating & Mtce Expense1,258 26,833 1,855 134,165 (132,310) -99% 321,993 26,111 136,793 (134,938) -99%Transmission ExpenseTRANSMISSION MTCE AND EXPENSE 4,245 5,833 16,484 29,165 (12,681) -43% 70,000 3,046 14,125 2,359 17%Total Transmission Expense4,245 5,833 16,484 29,165 (12,681) -43%70,000 3,046 14,125 2,359 17%Distribution ExpenseSUPERVISION & ENGINEERING - DISTRIBUTION 13,618 - 71,449 - 71,4490%- - - 71,4490%REMOVE EXISTING SERVICE & METERS- 167 74 835 (761) -91%2,000 - 492 (418) -85%SCADA EXPENSE5,486 5,417 26,823 27,085 (262) -1%65,000 3,160 22,283 4,540 20%TRANSFORMER EXPENSE OH & URD1,149 2,083 7,024 10,415 (3,391) -33%25,000 1,230 6,039 985 16%MTCE OF SIGNAL SYSTEMS148 250 1,591 1,250 341 27%3,000 364 704 887 126%METER EXPENSE - REMOVE & RESET- 125 - 625 (625) -100%1,500 - 727 (727) -100%TEMP SERVICE - INSTALL & REMOVE291 708 8,387 3,540 4,847 137%8,500 106 1,802 6,585 365%MISC DISTRIBUTION EXPENSE44,362 36,667 291,659 183,335 108,324 59% 440,000 30,629 209,916 81,743 39%Total Distribution Expense65,054 45,417 407,007 227,085 179,922 79% 545,000 35,489 241,963 165,043 68%62 Electric Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% Elk River Municipal UtilitiesElk River, MinnesotaStatement of Revenues, Expenses and Changes in Net PositionFor Period Ending May 2026Year-To-DateYear-To-DateMaintenance ExpenseMTCE OF STRUCTURES 37,492 7,500 71,157 37,500 33,657 90% 90,000 8,201 43,196 27,961 65%MTCE OF SUBSTATIONS 2,108 3,333 14,040 16,665 (2,625) -16% 40,000 153 1,559 12,482 801%MTCE OF SUBSTATION EQUIPMENT 2,533 9,333 6,397 46,665 (40,268) -86% 112,000 4,068 21,395 (14,999) -70%MTCE OF OH LINES/TREE TRIM 279 2,000 85,963 88,000 (2,037) -2% 175,000 3,265 155,522 (69,559) -45%MTCE OF OH LINES/STANDBY 3,968 4,166 19,009 20,830 (1,821) -9% 50,000 3,701 18,065 944 5%MTCE OF OH PRIMARY 14,510 16,250 63,509 81,250 (17,741) -22% 195,000 17,075 33,606 29,903 89%MTCE OF URD PRIMARY 21,444 25,000 68,307 125,000 (56,693) -45% 300,000 25,257 156,284 (87,977) -56%LOCATE ELECTRIC LINES 21,307 10,416 47,985 52,080 (4,095) -8% 125,000 10,568 37,602 10,383 28%LOCATE FIBER LINES 786 333 1,056 1,665 (609) -37% 4,000 362 1,142 (86) -8%MTCE OF LINE TRANSFORMERS 1,563 7,916 24,838 39,580 (14,742) -37% 95,000 8,059 27,975 (3,136) -11%MTCE OF STREET LIGHTING 10,816 5,833 39,303 29,165 10,138 35% 70,000 5,030 21,884 17,418 80%MTCE OF SECURITY LIGHTING 308 2,083 8,818 10,415 (1,597) -15% 25,000 2,096 9,290 (473) -5%MTCE OF METERS 9,710 5,000 36,003 25,000 11,003 44%60,000 2,256 6,778 29,225 431%VOLTAGE COMPLAINTS197 833 3,098 4,165 (1,067) -26%10,000 - 2,551 547 21%SALARIES TRANSMISSION & DISTRIBUTION3,511 3,083 16,667 15,415 1,2528%37,000 3,076 14,869 1,797 12%ELECTRIC MAPPING10,706 13,500 74,857 67,500 7,357 11% 162,000 11,116 67,177 7,680 11%FIBER MAPPING- 833 - 4,165 (4,165) -100%10,000 - - 00%MTCE OF OH SECONDARY1,149 2,500 10,388 12,500 (2,112) -17%30,000 2,489 12,233 (1,845) -15%MTCE OF URD SECONDARY6,726 6,667 27,061 33,335 (6,274) -19%80,000 9,222 30,895 (3,833) -12%TRANSPORTATION EXPENSE11,132 26,667 103,110 133,335 (30,225) -23% 320,000 22,814 137,387 (34,277) -25%Total Maintenance Expense160,246 153,246 721,566 844,230 (122,664) -15% 1,990,000 138,807 799,408 (77,842) -10%Depreciation & AmortizationDEPRECIATION 239,019 238,750 1,198,308 1,193,750 4,558 0% 2,865,000 232,828 1,159,938 38,370 3%AMORTIZATION 55,678 55,678 278,390 278,390 (0) 0% 668,136 55,678 278,390 0 0%Total Depreciation & Amortization294,697 294,428 1,476,698 1,472,140 4,558 0% 3,533,136 288,506 1,438,328 38,370 3%Interest ExpenseINTEREST EXPENSE - BONDS64,096 64,096 321,357 321,357 00% 759,406 66,971 336,132 (14,775) -4%AMORTIZATION OF DEBT DISCOUNT/PREMIUM(4,989) (4,989) (24,943) (24,943) 00% (59,863) (4,989) (24,943) 00%Total Interest Expense59,108 59,108 296,414 296,414 00% 699,543 61,983 311,189 (14,775) -5%Other Operating ExpenseEV CHARGING EXPENSE107 104 440 520 (80) -15%1,250 189 948 (508) -54%LOSS ON DISPOSITION OF PROP (CAPITAL)- - - - 00%25,000 - 18,259 (18,259) -100%OTHER DONATIONS- 167 870 835 354%2,000 - 217 653 301%MUTUAL AID- - 18,165 - 18,1650%- - - 18,1650%PENSION EXPENSE- - - - 00% 280,000 - - 00%OTHER INTEREST EXPENSE- 4,667 - 23,335 (23,335) -100%56,000 - - 00%INTEREST EXPENSE - METER DEPOSITS3,641 4,167 18,113 20,835 (2,722) -13%50,000 4,131 20,570 (2,458) -12%Total Other Operating Expense3,747 9,105 37,588 45,525 (7,937) -17% 414,250 4,320 39,994 (2,406) -6%Customer Accounts ExpenseMETER READING EXPENSE 2,555 2,083 11,321 10,415 906 9% 25,000 2,774 14,810 (3,489) -24%DISCONNECT/RECONNECT EXPENSE 175 417 248 2,085 (1,837) -88% 5,000 95 161 87 54%MISC CUSTOMER ACCOUNTS EXPENSE UTILITY 30,889 31,667 149,118 158,335 (9,217) -6% 380,000 31,227 151,944 (2,827) -2%BAD DEBT EXPENSE & RECOVERY 1,310 2,083 21,644 10,415 11,229 108% 25,000 959 4,598 17,046 371%Total Customer Accounts Expense34,930 36,250 182,331 181,250 1,0811% 435,000 35,056 171,514 10,8176%63 Electric Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% Elk River Municipal UtilitiesElk River, MinnesotaStatement of Revenues, Expenses and Changes in Net PositionFor Period Ending May 2026Year-To-DateYear-To-DateAdministrative ExpenseSALARIES OFFICE & COMMISSION 83,695 90,417 427,070 452,085 (25,015) -6% 1,085,000 82,382 406,222 20,8485%TEMPORARY STAFFING- 333 - 1,665 (1,665) -100%4,000 - - 00%OFFICE SUPPLIES6,987 10,417 47,156 52,085 (4,929) -9% 125,000 9,635 34,347 12,809 37%ELECTRIC & WATER CONSUMPTION - OFFICE1,941 2,379 8,610 11,895 (3,285) -28%28,552 2,034 9,473 (863) -9%BANK FEES202 250 1,073 1,250 (177) -14%3,000 211 1,143 (70) -6%LEGAL FEES3,786 2,083 10,984 10,415 5695%25,000 1,732 6,395 4,589 72%AUDITING FEES1,800 1,875 9,000 9,375 (375) -4%22,500 1,720 8,600 4005%INSURANCE10,087 11,917 55,866 59,585 (3,719) -6% 143,000 14,853 74,307 (18,441) -25%UTILITY SHARE - DEFERRED COMP7,579 10,000 72,650 76,000 (3,350) -4% 125,000 10,349 72,413 2370%UTILITY SHARE - MEDICAL/DENTAL/DISABIL72,222 68,600 472,384 464,800 7,5842% 945,000 65,889 446,169 26,2166%UTILITY SHARE - PERA28,166 29,042 145,138 145,210 (72) 0% 348,500 27,202 141,277 3,8613%UTILITY SHARE - FICA27,710 28,542 139,985 142,710 (2,725) -2% 342,500 27,222 137,448 2,5362%EMPLOYEE SICK PAY15,919 19,454 111,804 97,270 14,534 15% 233,450 14,755 111,131 6741%EMPLOYEE HOLIDAY PAY16,904 17,000 66,558 67,000 (442) -1% 197,402 15,842 63,272 3,2865%EMPLOYEE VACATION & PTO PAY26,486 25,000 174,717 171,000 3,7172% 344,308 24,001 162,545 12,1727%UPMIC DISTRIBUTION- - 16,510 21,500 (4,990) -23%86,000 - 18,106 (1,596) -9%LONGEVITY PAY2,025 2,025 3,575 3,498 772%8,040 3,000 8,245 (4,670) -57%CONSULTING FEES1,479 4,650 69,877 23,250 46,627 201%55,800 15,304 49,788 20,089 40%TELEPHONE2,902 2,583 15,019 12,915 2,104 16%31,000 2,836 14,220 7996%ADVERTISING2,102 1,667 6,726 8,335 (1,609) -19%20,000 1,265 5,755 971 17%DUES & SUBSCRIPTIONS - FEES13,365 11,823 71,679 59,115 12,564 21% 141,879 12,228 63,422 8,257 13%SCHOOLS & MEETINGS17,186 24,290 89,005 121,450 (32,445) -27% 291,482 17,701 84,276 4,7296%MTCE OF GENERAL PLANT & OFFICE HEATING540 917 2,700 4,585 (1,885) -41%11,000 865 4,325 (1,625) -38%Total Administrative Expense343,084 365,264 2,018,087 2,016,993 1,0940% 4,617,413 351,026 1,922,880 95,2085%General ExpenseCIP REBATES - RESIDENTIAL 4,775 7,563 32,017 37,815 (5,798) -15% 90,758 3,203 32,116 (100) 0%CIP REBATES - COMMERCIAL - 9,333 18,421 46,665 (28,244) -61% 112,000 991 8,736 9,685 111%CIP - ADMINISTRATION 12,129 15,153 62,632 75,765 (13,133) -17% 181,840 10,736 55,890 6,742 12%CIP - MARKETING 1,400 4,572 19,401 22,860 (3,459) -15% 54,864 988 18,093 1,307 7%CIP - LABOR 9,154 11,340 47,566 56,700 (9,134) -16% 136,078 8,939 44,773 2,794 6%CIP REBATES - LOW INCOME - 2,480 - 12,400 (12,400) -100% 29,760 - - 0 0%CIP - LOW INCOME LABOR 860 833 4,482 4,165 317 8% 10,000 800 4,315 167 4%ENVIRONMENTAL COMPLIANCE 2,573 3,083 13,176 15,415 (2,239) -15% 37,000 2,680 12,502 673 5%MISC GENERAL EXPENSE (23) 417 206 2,085 (1,879) -90% 5,000 330 268 (63) -23%Total General Expense30,867 54,774 197,901 273,870 (75,969) -28% 657,300 28,666 176,694 21,207 12%Total Expenses (before Operating Transfers)3,711,094 3,557,084 16,292,210 17,082,482 (790,272) -5% 44,942,997 3,508,449 16,241,008 51,2020%Operating TransferOperating Transfer/Other FundsTRANSFER TO CITY ELK RIVER REVENUE 144,984 169,471 753,344 797,087 (43,743) -5% 2,165,330 127,490 611,620 141,724 23%Total Operating Transfer/Other Funds144,984 169,471 753,344 797,087 (43,743) -5% 2,165,330127,490611,620141,724 23%Utilities & Labor DonatedUTILITIES & LABOR DONATED TO CITY393 - 393 - 3930%- 20,516 98,667 (98,274) -100%Total Utilities & Labor Donated393 - 393 - 3930%- 20,516 98,667 (98,274) -100%Total Operating Transfer145,377 169,471 753,738 797,087 (43,350) -5% 2,165,330 148,006 710,288 43,4506%Net Income Profit (Loss)(426,348) 246,567 1,144,181 933,765 210,416 23% 3,576,100 270,013 1,253,440 (109,259) -9%64 Water Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% RevenueOperating RevenueWater Sales - Elk RiverWATER SALES RESIDENTIAL123,436 155,722 526,125 562,868 (36,742) -7% 1,821,516 142,461 514,933 11,1922%WATER SALES COMMERCIAL66,917 72,091 312,679 303,464 9,2163% 1,039,960 72,465 305,035 7,6443%WATER SALES IRRIGATION12,631 13,389 20,316 21,805 (1,489) -7% 364,603 11,462 18,666 1,6509%Total Water Sales - Elk River123,436 155,722 526,125 562,868 (36,742) -7% 1,821,516 142,461 514,933 11,192 2%Total Operating Revenue202,984 241,203 859,121 888,136 (29,015) -3% 3,226,078 226,387 838,635 20,486 2%Other Operating RevenueInterest/Dividend IncomeINTEREST & DIVIDEND INCOME5,511 10,417 5,934 52,085 (46,151) -89% 125,000 4,722 50,708 (44,774) -88%OTHER INTEREST/MISC REVENUE- 83 567 415 152 37%1,000 - - 5670%Total Interest/Dividend Income5,511 10,500 6,501 52,500 (45,999) -88% 126,000 4,722 50,708 (44,207) -87%Customer PenaltiesCUSTOMER PENALTIES1,636 2,917 6,893 14,585 (7,692) -53%35,000 1,328 11,248 (4,355) -39%Total Customer Penalties1,636 2,917 6,893 14,585 (7,692) -53%35,000 1,328 11,248 (4,355) -39%Connection FeesWATER/ACCESS/CONNECTION FEES25,200 30,500 184,272 152,500 31,772 21% 366,000 18,000 166,254 18,018 11%CUSTOMER CONNECTION FEES6,058 4,167 19,676 20,835 (1,159) -6%50,000 2,712 20,584 (909) -4%BULK WATER SALES/HYDRANT RENTAL181 2,500 7,923 12,500 (4,577) -37%30,000 - 7,942 (19) 0%Total Connection Fees31,439 37,167 211,871 185,835 26,036 14% 446,000 20,712 194,780 17,0919%Misc RevenueMISC NON-UTILITY- 8 30 40 (10) -25%100 - 311 (281) -90%CONTRIBUTIONS FROM GRANTS7,195 - 7,195 - 7,1950%- - - 7,1950%GAIN ON DISPOSITION OF PROPERTY- - - 4,000 (4,000) -100%4,000 - - 00%MISCELLANEOUS REVENUE4,832 83 16,460 415 16,045 3866%1,000 18,798 19,889 (3,429) -17%HYDRANT MAINTENANCE PROGRAM - PRIVATE1,250 917 6,920 4,585 2,335 51%11,000 975 4,875 2,045 42%WATER TOWER LEASE- - - - 00% 386,250 - - 00%LEASE INTEREST REVENUE- - - - 00%75,000 - - 00%Total Misc Revenue13,276 1,008 30,604 9,040 21,564 239% 477,350 19,773 25,075 5,529 22%Total Other Revenue51,861 51,592 255,869 261,960 (6,091) -2% 1,084,350 46,534 281,812 (25,942) -9%Total Revenue254,845 292,795 1,114,990 1,150,096 (35,106) -3% 4,310,428 272,922 1,120,447 (5,456) 0%ExpensesProduction ExpenseMTCE OF STRUCTURES 15,607 10,417 100,416 52,085 48,331 93% 125,000 9,546 54,806 45,610 83%Total Production Expense15,607 10,417 100,416 52,085 48,331 93% 125,000 9,546 54,806 45,610 83%Year-To-DateYear-To-DateFor Period Ending May 2026Statement of Revenues, Expenses and Changes in Net PositionElk River, MinnesotaElk River Municipal Utilities65 Water Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% Year-To-DateYear-To-DateFor Period Ending May 2026Statement of Revenues, Expenses and Changes in Net PositionElk River, MinnesotaElk River Municipal UtilitiesPumping ExpenseSUPERVISION 6,801 6,667 34,176 33,335 841 3% 80,000 6,774 33,077 1,100 3%ELECTRIC & GAS UTILITIES 29,222 25,000 109,264 125,000 (15,736) -13% 300,000 27,525 111,429 (2,165) -2%SAMPLING 1,094 2,000 7,725 10,000 (2,275) -23% 24,000 2,095 9,632 (1,907) -20%CHEMICAL FEED 1,651 4,167 13,282 20,835 (7,553) -36% 50,000 6,152 17,277 (3,995) -23%MTCE OF WELLS 10,508 16,667 95,979 83,335 12,644 15% 200,000 8,416 71,306 24,673 35%SCADA - PUMPING 263 1,167 2,602 5,835 (3,233) -55% 14,000 696 5,874 (3,272) -56%Total Pumping Expense49,539 55,668 263,028 278,340 (15,312) -6% 668,000 51,657 248,594 14,434 6%Distribution ExpenseMTCE OF WATER MAINS 18,400 14,583 41,292 72,915 (31,623) -43% 175,000 16,142 81,080 (39,788) -49%LOCATE WATER LINES 5,496 2,083 9,602 10,415 (813) -8% 25,000 9,365 14,214 (4,611) -32%MTCE OF WATER SERVICES - - 86 - 86 0% - - - 86 0%WATER METER SERVICE 9,466 4,167 23,048 20,835 2,213 11% 50,000 8,390 37,725 (14,677) -39%BACKFLOW DEVICE INSPECTION 2,537 1,917 7,817 9,585 (1,768) -18% 23,000 1,614 6,742 1,075 16%MTCE OF CUSTOMERS SERVICE 3,053 3,000 14,690 15,000 (310) -2% 36,000 2,977 14,272 418 3%WATER MAPPING 324 2,083 1,608 10,415 (8,807) -85% 25,000 1,085 15,540 (13,932) -90%FIBER MAPPING - 833 - 4,165 (4,165) -100% 10,000 - - 0 0%MTCE OF WATER HYDRANTS - PUBLIC 11,007 1,833 16,437 9,165 7,272 79% 22,000 639 8,494 7,943 94%MTCE OF WATER HYDRANTS - PRIVATE - 500 179 2,500 (2,321) -93% 6,000 - - 179 0%WATER CLOTHING/PPE 851 1,250 7,968 6,250 1,718 27% 15,000 2,501 9,786 (1,818) -19%WAGES WATER 774 792 3,958 3,960 (2) 0% 9,500 742 3,701 257 7%TRANSPORTATION EXPENSE 1,448 2,000 7,278 10,000 (2,722) -27%24,000 1,188 12,036 (4,757) -40%WATER PERMIT- - 22,238 27,000 (4,762) -18%27,000 - 20,382 1,8569%Total Distribution Expense53,357 35,041 156,202 202,205 (46,003) -23% 447,500 44,644 223,971 (67,769) -30%Depreciation & AmortizationDEPRECIATION 116,563 117,917 582,638 589,585 (6,947) -1% 1,415,000 115,236 577,251 5,387 1%Total Depreciation & Amortization116,563 117,917 582,638 589,585 (6,947) -1% 1,415,000 115,236 577,251 5,387 1%Interest ExpenseINTEREST EXPENSE - BONDS 3,050 3,050 15,250 15,250 0 0% 35,433 3,267 16,333 (1,083) -7%AMORTIZATION OF DEBT DISCOUNT/PREMIUM (554) (554) (2,771) (2,771) 0 0% (6,651) (554) (2,771) 0 0%Total Interest Expense2,496 2,496 12,479 12,479 0 0% 28,782 2,712 13,562 (1,083) -8%Other Operating ExpenseLOSS ON DISPOSITION OF PROP (NONCAPITAL) - - - - 0 0% - (16,272) (16,272) 16,272 100%DAM MAINTENANCE EXPENSE 175 - 818 - 818 0% - - 31 787 2571%PENSION EXPENSE - - - - 0 0% 50,000 - - 0 0%INTEREST EXPENSE - METER DEPOSITS 45 52 223 260 (37) -14% 625 52 260 (37) -14%Total Other Operating Expense220 52 1,041 260 781 300% 50,625 (16,220) (15,981) 17,022 107%Customer Accounts ExpenseMETER READING EXPENSE 507 417 2,699 2,085 614 29% 5,000 556 2,799 (100) -4%MISC CUSTOMER ACCOUNTS EXPENSE UTILITY 7,859 8,250 38,702 41,250 (2,548) -6% 99,000 8,005 38,629 72 0%BAD DEBT EXPENSE & RECOVERY - 21 - 105 (105) -100% 250 - - 0 0%Total Customer Accounts Expense8,367 8,688 41,401 43,440 (2,039) -5% 104,250 8,562 41,428 (27) 0%66 Water Actual May 2026 Budget May 2026 Actual 2026 Budget 2026 Budget Variance Budget Var% Budget 2026 Actual May 2025 Actual 2025 Prior Yr Variance PY Var% Year-To-DateYear-To-DateFor Period Ending May 2026Statement of Revenues, Expenses and Changes in Net PositionElk River, MinnesotaElk River Municipal UtilitiesAdministrative ExpenseSALARIES OFFICE & COMMISSION 24,410 27,750 130,974 138,750 (7,776) -6% 333,000 25,268 124,355 6,618 5%TEMPORARY STAFFING - 83 - 415 (415) -100% 1,000 - - 0 0%OFFICE SUPPLIES 1,500 2,500 12,903 12,500 403 3% 30,000 1,364 8,602 4,301 50%ELECTRIC & WATER CONSUMPTION - OFFICE 485 540 2,152 2,700 (548) -20% 6,500 509 2,370 (217) -9%BANK FEES 51 59 275 295 (20) -7% 708 53 292 (17) -6%LEGAL FEES 1,892 500 6,842 2,500 4,342 174% 6,000 9,233 10,399 (3,557) -34%AUDITING FEES 450 583 2,905 2,915 (10) 0% 7,000 430 2,696 209 8%INSURANCE 3,535 3,583 18,641 17,915 726 4% 43,000 3,480 17,423 1,218 7%UTILITY SHARE - DEFERRED COMP 1,454 2,500 13,423 16,250 (2,827) -17% 25,000 1,796 11,990 1,434 12%UTILITY SHARE - MEDICAL/DENTAL/DISABIL 17,998 18,500 116,851 119,500 (2,649) -2% 251,110 17,273 109,632 7,219 7%UTILITY SHARE - PERA 6,044 5,958 32,040 29,790 2,250 8% 71,500 5,621 27,643 4,398 16%UTILITY SHARE - FICA 5,875 5,875 31,026 29,375 1,651 6% 70,500 5,303 27,005 4,021 15%EMPLOYEE SICK PAY 3,419 4,417 22,729 22,085 6443%53,000 3,033 19,681 3,048 15%EMPLOYEE HOLIDAY PAY3,773 3,650 14,855 14,600 2552%43,000 3,426 12,839 2,016 16%EMPLOYEE VACATION & PTO PAY5,358 5,000 36,618 36,000 6182%72,000 4,411 31,288 5,330 17%UPMIC DISTRIBUTION- - 3,831 4,750 (919) -19%19,000 - 3,643 1885%WELLHEAD PROTECTION- 125 - 625 (625) -100%1,500 - - 00%LONGEVITY PAY- - - 78 (78) -100%1,260 - 155 (155) -100%CONSULTING FEES5,431 2,183 15,899 10,915 4,984 46%26,200 5,757 26,423 (10,524) -40%TELEPHONE777 717 4,044 3,585 459 13%8,600 723 3,339 705 21%ADVERTISING809 417 3,246 2,085 1,161 56%5,000 3,971 5,454 (2,208) -40%DUES & SUBSCRIPTIONS - FEES24,294 9,290 56,372 46,450 9,922 21% 111,475 16,020 38,428 17,944 47%SCHOOLS & MEETINGS2,548 5,241 15,338 26,205 (10,867) -41%62,897 851 9,149 6,188 68%MTCE OF GENERAL PLANT & OFFICE HEATING135 225 675 1,125 (450) -40%2,700 216 1,080 (405) -38%Total Administrative Expense110,236 99,696 541,639 541,408 2310% 1,251,950 108,738 493,885 47,754 10%General ExpenseCIP REBATES - RESIDENTIAL125 167 225 835 (610) -73%2,000 36 61 164 266%CIP REBATES - COMMERCIAL- 83 - 415 (415) -100%1,000 - - 00%CIP - MARKETING- 125 - 625 (625) -100%1,500 - - 00%CIP - LABOR- 42 - 210 (210) -100%500 - - 00%ENVIRONMENTAL COMPLIANCE65 167 328 835 (507) -61%2,000 191 1,552 (1,224) -79%MISC GENERAL EXPENSE- 21 (0) 105 (105) -100%250 - - (0) 0%Total General Expense190 605 553 3,025 (2,472) -82%7,250 228 1,614 (1,061) -66%Total Expenses (before Operating Transfers)356,574 330,580 1,699,396 1,722,827 (23,430) -1% 4,098,357 325,103 1,639,130 60,2664%Operating TransferOperating Transfer/Other FundsTRANSFER TO CITY ELK RIVER REVENUE 4,060 4,824 17,182 17,763 (581) -3% 64,522 - - 17,182 0%Total Operating Transfer/Other Funds4,060 4,824 17,182 17,763 (581) -3% 64,522 0 0 17,182 0%Utilities & Labor DonatedWATER & LABOR DONATED TO CITY - 167 - 835 (835) -100% 2,000 - - 0 0%Total Utilities & Labor Donated- 167 - 835 (835) -100% 2,000 - - 0 0%Total Operating Transfer4,060 4,991 17,182 18,598 (1,416) -8% 66,522 - - 17,182 0%Net Income Profit (Loss) (105,788) (42,776) (601,588) (591,328) (10,260) -2% 145,550 (52,182) (518,684) (82,905) -16%67 ______________________________________________________________________________ Page 1 of 2 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Tony Mauren – Governance & Communications Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 5.2 SUBJECT: 2026 National Energy Foundation Report ACTION REQUESTED: None BACKGROUND: It is a standing priority at ERMU to find ways to engage with the young people we serve, particularly while educating them on the utilities that support their community and how to be smart consumers of energy and water. We also seek to partner with schools in ERMU’s service territory whenever possible. After thorough planning sessions with National Energy Foundation (NEF), the Think! Energy program was launched in spring 2024, based in part on the service NEF was already providing locally to Austin and Rochester Utilities. In this program fourth grade students receive a classroom presentation by NEF staff on energy and water conservation, which corresponds to Minnesota Academic Standards. After the presentation, students are sent home with an ERMU-branded energy saving kit to apply their knowledge and teach their families what they learned. They then report their efforts at home back to NEF who compiles the conservation data and awards a small classroom grant to teachers based on their students’ response rates. DISCUSSION: Staff is glad to report another successful year with NEF. Our Think! Energy program increased from 389 students to 445 in 15 fourth-grade classrooms across Lincoln, Meadowvale, Parker, and Twin Lakes Elementaries during presentations occurring April 29-May 1, 2026. Key results include: • 56% return rate on energy kit installation data • 91% of parents stating they would like to see the program continued in local schools • 86% of parents said they will continue to use the products after the completion of the program • An estimated net savings of 108,726 kWh (up from 96,058.14 kWh) from the energy saving kit products We look forward to continuing this successful program in 2027. 68 ______________________________________________________________________________ Page 2 of 2 FINANCIAL IMPACT: $18,884, for in-person presentations delivered by NEF staff, energy saving kits, and the Think! Energy program suite. This was a budgeted item for 2026. ATTACHMENTS: • 2026 National Energy Foundation Report 69 TAKE ACTION! | Spring 2026 Program Report ® 70 Prepared for: Tony Mauren and Jennifer Foss | Governance & Communications Manager Elk River Municipal Utilities 13069 Orono Parkway, Elk River, MN 55330 Prepared by: Chaise Ewert-Meyer | Program Director National Energy Foundation 1100 Corporate Dr., Suite 110, Milford, MI 48381 June 29, 2026 TAKE ACTION! | Spring 2026 Program Report 71 Take Action! Program Report | 3© National Energy Foundation 2026 TABLE OF CONTENTS Program Overview ��4 Program Description 6 Program Registration 7 Building Collaborations 7 Program Implementation 8 Take Action Kit Contents 9 Program Materials 9 Program Website 10 Program Accomplishments 11 Accomplishments in 2026: 11 Recommendations for 2027: 11 Program Attachments ��12 School and Teacher Information 13 Home Energy Worksheet Summary 14 Teacher Evaluation Summary 17 Cost Savings Analysis 19 Presentation 20 72 TAKE ACTION! | Spring 2026 Program Overview 73 445 TOTAL PARTICIPANTS 15 TEACHERS 4 SCHOOLS PARTICIPANTS 74 Take Action! Program Report | 6© National Energy Foundation 2026 PROGRAM DESCRIPTION “She loved it, and couldn’t wait to show me everything. We did as many as we could right away. So fun! She is determined to save me money on my next bill :)” “Love that your teaching kids how to save energy. Our home is already energy friendly but, always open to more ways to save.” “You should keep doing this.” “Fantastic educational opportunity for youth. Love the program and fully support continuational.” “I really like the program, especially the hot water temperature card.” -2026 PARENT PARTICIPANTS Think! Energy is a collaborative partnership between Elk River Municipal Utilities and the National Energy Foundation (NEF). It encourages teachers, students and families to “Think!” “Talk!” and “Take Action!” with their energy and water use. The program objective is to build energy awareness throughout the school year, with an engaging presentation and robust energy efficiency curriculum. The program also expands enthusiasm to homes via Elk River Municipal Utilities branded curriculum, games, online resources and measurable savings from the Take Action Kit. 75 Take Action! Program Report | 7© National Energy Foundation 2026 PROGRAM REGISTRATION Teachers were invited to participate in Think! Energy via phone and personal email communications. The program director, Chaise Ewert-Meyer, reached out to each lead teacher to invite them to participate. Teachers could enroll either through a registration form on thinkenergy.org/ERMU or over phone/email with Chaise. After enrolling, teachers received immediate confirmation. Presentations were scheduled for April 30th-May 1st and were conducted by Mike Sanisolo. The teacher materials and kits shipments were sent before the presentations, so everything was ready on the presentation day. The program fully enrolled with 445 participants. BUILDING COLLABORATIONS The program provided energy efficiency content that was custom devloped to support the Minnesota Academic Standards in fourth grade subjects. Curriculum correlation charts were posted to the program website to demonstrate these strong curriculum ties to teachers and administration. This highly focused curriculum ensured strong program enthusiasm within the education community. NEF utilized multiple strategies to support teacher, student and parent participants: • Installation videos for items in the Take Action Kit • Dedicated educational service representative • Custom toll-free number • Family Introduction Letter • Implementation Checklist for teachers • Spanish Home Energy Worksheet • Online and hard copy Home Energy Worksheets • Amazon gift cards for teachers with a qualifying Home Energy Worksheet return • Automated emails to communicate program details • Real time ability for teachers to determine students completing Home Energy Worksheets online through the Teacher Portal • Updates on progress toward teacher gift card incentive • Communication of additional resources to families at thinkenergy.org/ERMU 76 Take Action! Program Report | 8© National Energy Foundation 2026 PROGRAM IMPLEMENTATION All program materials were delivered to classrooms in the beginning of April in 2026. Before each delivery, NEF confirmed the school address, student numbers, teacher contact information and other details. The NEF registration suite automatically emailed tracking numbers for teacher materials, Take Action Kit shipments and teacher action items needed to prepare for a successful implementation. The teacher materials box was delivered first to individual teachers. In it, the Implementation Checklist instructed educators to prepare families for the arrival of the kits by sending home the Family Introduction Letter. The presentation introduced the school-to-home Family Guide as a way for students to share efficiency knowledge with their families. The presentation introduced teachers and students to the contents of their Take Action Kit and many no-cost, low-cost ways to reduce energy and water use in the home. Students were motivated to complete the Home Energy Worksheet (HEW) as they installed their efficient technologies with a parent or guardian. The Think! Energy color-changing pencil increased this enthusiasm when offered upon return of each worksheet. In addition, teachers were given the opportunity to earn a $50 Amazon gift card with a 50-79% return of their student’s Home Energy Worksheets or a $75 e-gift card for a 80%+ return. Seven teachers received the $75 classroom award and three received the $50 classroom award. Families were prepared for the presentation and letter with background knowledge to teach and build enthusiasm in the home for their installations. When the second shipment of Take Action Kits arrived in classrooms, students could then take their kits and Family Guides home to share after the presentation. The students like having program technologies delivered in the string backpacks, which they can bring home and reuse after the program. The backpack also contributes to ERMU name recognition in the community. Mike Sanislo presented to the students April 30th and May 1st. Mike is a local presenter and did a great job. Many of the teachers returned their HEW data within two weeks. There were two reminders to return the data from our scheduling system PAS. Chaise also reached out to teachers a week before school let out to remind them to turn in the data. 77 Take Action! Program Report | 9© National Energy Foundation 2026 TAKE ACTION KIT CONTENTS • High efficiency shower head • Kitchen aerator • Bathroom aerator • Water pipe insulation • Four outlet gaskets • Toilet leak tablets • Hot water temperature card • Night light • A pair of dryer balls PROGRAM MATERIALS The full-color Family Guide engaged students and families alike with interactive activities, games and efficiency tips. The guide is a tour through an efficient home. Families checked behaviors and technologies that they incorporated to save energy and water, then totaled their points to evaluate their progress toward an efficient lifestyle. The program Teacher Guide incorporates concepts that teachers need to instruct, such as natural resources, energy and efficiency. Lessons in the guide address valuable STEM concepts as well as social studies, language, math and art to provide support to diverse teacher and student needs and interests. The Electrical Generation, Energy Efficiency and Wise Use Behaviors and Water Posters, each with eight lesson panels on the back, as well as various teacher communication fliers, helped to provide further curriculum and program support to participants. 78 Take Action! Program Report | 10© National Energy Foundation 2026 PROGRAM WEBSITE The Think! Energy website was housed at thinkenergy.org/ERMU. It was communicated to families and teachers in written materials, through the automatic emails and through the educational service representative. The website served multiple purposes for participating teachers, students and families: Teachers • Program overview • Program registration • Access to an online evaluation • Access to program documents • Program FAQs • Links to additional resources Families • Program overview • Access to parent/guardian program documents • An efficiency education video All Participants • Educational service representative contact information • Installation videos • Access to the online Home Energy Worksheet • Five energy efficiency games • LED fun facts • Renewables game • E-learning course 79 Take Action! Program Report | 11© National Energy Foundation 2026 PROGRAM ACCOMPLISHMENTS The National Energy Foundation is pleased to have partnered with Elk River Municipal Utilities on this exciting new program. Enthusiastic enrollment, teacher evaluation comments, and savings documented through Home Energy Worksheets prove the program to be an asset to participants in the service territory. • 56% Home Energy Worksheet returned • 91% of parents said they would like to see the program continued in local schools • 86% of parents said they will continue to use the products after the completion of the program ACCOMPLISHMENTS IN 2026: • Dryer balls were added to the kits • 7 teachers received the full $75 classroom grant versus 3 last year • Increase in HEW return from 42% to 56% in 2026 • 10 teachers received classroom awards in 2026 RECOMMENDATIONS FOR 2027: • Bring back Energy Sticks for every teacher with the lesson or new lesson • QC check with shipping company • Continue with live presentations, stressing the importance of the HEW • New Electrical Generation and Water posters for 2027 • Updating videos on the website for 2027 80 TAKE ACTION! | Spring 2026 Program Attachments 81 SCHOOL AND TEACHER INFORMATION SCHOOL SCHOOL ADDRESS KITS PER SCHOOL TEACHER NAME KITS PER TEACHER HEWS RECEIVED MINI GRANT AMOUNT Parker Elementary 500 School Street Northwest 93 Lori Troiden 31 8 0 Parker Elementary 500 School Street Northwest Erinn Weinmann 31 0 0 Parker Elementary 500 School Street Northwest Adam Matthees 31 4 0 Lincoln Elementary School 998 Jackson Avenue Northwest 101 McKayla Aubrey 25 13 $50 Lincoln Elementary School 998 Jackson Avenue Northwest Lauren Swann 25 0 0 Lincoln Elementary School 998 Jackson Avenue Northwest Lauren Lougheed 25 13 $50 Lincoln Elementary School 998 Jackson Avenue Northwest Michlynn Jensen 26 0 0 Twin Lakes Elementary 10051 191st Avenue Northwest 134 Jacob Carlson 33 28 $75 Twin Lakes Elementary 10051 191st Avenue Northwest Sarah Edgar 33 32 $75 Twin Lakes Elementary 10051 191st Avenue Northwest Emily Friestad 34 30 $75 Twin Lakes Elementary 10051 191st Avenue Northwest Dean Hietala 34 28 $75 Meadowvale Elementary 12701 Elk Lake Road Northwest 117 Alexis Gagner 29 20 $50 Meadowvale Elementary 12701 Elk Lake Road Northwest Amanda Timp 29 26 $75 Meadowvale Elementary 12701 Elk Lake Road Northwest Stacy Manthey 29 24 $75 Meadowvale Elementary 12701 Elk Lake Road Northwest Marla Hietala 30 25 $75 Totals 445 445 251 675 82 Installation: Shower Head Response Frequency Percent Installed (in our home or another)59 23.8% Will install later 88 35.5% Do not plan to install 101 40.7% Total:248 Elk River Municipal Utilities Student Program Home Energy Worksheet Summary Report Installation: Kitchen Faucet Aerator Response Frequency Percent Installed (in our home or another)39 15.8% Will install later 87 35.2% Do not plan to install 121 49.0% Total:247 Installation: Shower Timer Response Frequency Percent Installed (in our home or another)140 56.5% Will install later 59 23.8% Do not plan to install 49 19.8% Total:248 25%50%75%100% 25%50%75%100% 25%50%75%100% Installation: Bathroom Faucet Aerator Response Frequency Percent Installed (in our home or another)48 19.4% Will install later 95 38.5% Do not plan to install 104 42.1% Total:247 25%50%75%100% Installation: Pipe Insulation Response Frequency Percent Installed (in our home or another)79 32.1% Will install later 77 31.3% Do not plan to install 90 36.6% Total:246 Installation: Outlet Gasket Response Frequency Percent Installed (in our home or another)43 17.6% Will install later 103 42.2% Do not plan to install 98 40.2% Total:244 25%50%75%100% 25%50%75%100% Installation: LED night light Response Frequency Percent Installed (in our home or another)184 74.2% Will install later 40 16.1% Do not plan to install 24 9.7% Total:248 25%50%75%100% HOME ENERGY WORKSHEET SUMMARY 83 What is the main source of heat in your home? Response Frequency Percent Natural Gas 183 73.8% Electricity 46 18.5% Other Fuel or Unknown 19 7.7% Total:248 How much will you turn down your thermostat in winter for heating? Response Frequency Percent 1 – 2 Degrees 94 37.8% 3 – 4 Degrees 70 28.1% 5+ Degrees 29 11.6% Will Not Adjust Thermostat 56 22.5% Total:249 How much will you turn up your thermostat in summer for cooling? Response Frequency Percent 1 – 2 Degrees 98 39.5% 3 – 4 Degrees 64 25.8% 5+ Degrees 23 9.3% Will Not Adjust Thermostat 63 25.4% Total:248 25%50%75%100% 25%50%75%100% 25%50%75%100% What was the flow rate of your old shower head? Response Frequency Percent 0 – 1.0 gpm 6 2.4% 1.1 – 1.5 gpm 9 3.6% 1.6 – 2.0 gpm 14 5.7% 2.1 – 2.5 gpm 15 6.1% 2.6 – 3.0 gpm 5 2.0% 3.1+ gpm 3 1.2% Did Not Test 195 78.9% Total:247 25%50%75%100% What is the flow rate of your new high-efficiency shower head? Response Frequency Percent 0 – 1.0 gpm 8 3.3% 1.1 – 1.5 gpm 31 12.6% 1.6 – 2.0 gpm 12 4.9% Did Not Install Shower Head 195 79.3% Total:246 25%50%75%100% Installation: Dryer Balls Response Frequency Percent Installed (in our home or another)169 68.7% Will install later 43 17.5% Do not plan to install 34 13.8% Total:246 25%50%75%100% 84 How much did you lower your water heater setting? Response Frequency Percent 1 – 5 Degrees 51 20.8% 6 – 10 Degrees 7 2.9% 11+ Degrees 3 1.2% Did Not Adjust Setting 184 75.1% Total:245 Will you continue to use the kit items after the completion of the program? Response Frequency Percent Yes 210 86.1% No 34 13.9% Total:244 25%50%75%100% 25%50%75%100% Would you like to see this program continued in local schools? Response Frequency Percent Yes 223 91.4% No 21 8.6% Total:244 25%50%75%100% Has participation in this program changed the way you use energy in your home? Response Frequency Percent Yes 176 72.1% No 68 27.9% Total:244 25%50%75%100% How is your water heated? Response Frequency Percent Natural Gas 163 67.4% Electricity 58 24.0% Propane or Other Method 21 8.7% Total:242 25%50%75%100% Were the kit and products easy for you and your child to install and use? Response Frequency Percent Yes 214 87.7% No 30 12.3% Total:244 25%50%75%100% 85 TEACHER EVALUATION SUMMARY Program Evaluation Elk River Municipal Utilities Program Excellent Good Fair Poor Materials 3 2 0 0 Energy Efficiency Kits 4 1 0 0 Student engagement 3 2 0 0 Content 3 2 0 0 Program overall 4 1 0 0 Impressions of the program from 5 educators. Was the educational gift card a good incentive to participate in the program? Yes No Gift card 5 0 22% 33%11% 33% Excellent Fair Good Poor Excellent Good Fair Poor 25% 50% 75% 100% 86 What additional activities did you or will you use from the Teacher Guide? We have talked more about this since the presentation. Students really enjoyed it and were engaged both that day and our expanded talking. I use the majority of the items Brought home my own kit N/A Water conservation What would you tell other teachers about the program? How much the students learned from it and were engaged. Well worth doing Fantastic. It is a great way to bring awareness to kids, but also directly to their homes. It is a good program for kids! How can we improve the program? It was a great program and kids enjoyed it! Loved it Same as above. Most families find it beneficial. Great way to get kids involved and parents too Additional comments and recommendations: Not all of the kits had everything in them. Some were missing items and others had a whole bunch of one item. The bags are not consistently packed. 87 COST SAVINGS ANALYSIS ERMU SCHOOL KIT PROGRAM Savings Estimates - Spring 2026 # of Kits Distributed 445 Total kWh 108,726 Total kW 4.42 Total Therms 13,392 KIT PRODUCTS QTY UNIT SAVINGS (NET)TOTAL SAVINGS (NET) KWH KW THERMS KWH KW THERMS Showerhead, 1.5 gpm 1 71.64 0.0020 9.22 31,882.02 0.8879 4,101.16 Bath Aerator, 1.0 gpm 1 12.31 0.0005 1.58 5,477.37 0.2435 704.58 Kitchen Aerator, 1.5 gpm 1 13.82 0.0006 1.78 6,148.85 0.2672 790.96 Shower Timer 1 66.41 0.0006 8.54 29,550.67 0.2818 3,801.27 1/2" Pipe Insulation 2 17.92 0.0020 1.72 15,949.90 1.8208 1,528.32 Outlet Gaskets 4 0.62 0.000003 0.16 1,109.77 0.0046 291.42 LED Night Light 1 23.20 0.000000 -0.44 10,322.43 0.0000 -196.81 Temperature Setback 1 18.62 0.0020 5.33 8,285.28 0.9105 2,370.95 Totals 12 224.54 0.008 27.89 108,726.29 4.4162 13,391.85 88 PRESENTATION 6/24/26 1 An Energy Efficiency Education Program 1 2 What will we do today? Learn about energy. Learn about properties of electrical generation. Participate in an electric circuit activity. Learn how to use the contents of the Think! Energy Take Action Kit. Share tips that help you and your family use energy wisely. 2 3 Energy is the ability to do work. What is energy? 3 4 What is energy? Kinetic energy: energy in motion Potential energy: energy that is waiting to be released 4 5 Forms of Energy Light Heat (Thermal) Sound Electrical Mechanical Chemical ENERGY LightHeat (Thermal)SoundElectricalMechanicalChemical 5 6 All the energy we have on earth comes from natural resources. Natural Resources 6 89 6/24/26 2 Sun/Solar Wind BiomassWater/Hydropower Hydropower video by CityXcape https://www.pexels.com/video/drone-footage-of-the-sir-adam-beck-hydroelectric-generating-stations-6133235/7 Fossil fuels Oil Coal Natural gas This work has been released into the public domain by its author,Thebiestsc at English Wikipedia. Uranium/Nuclear 8 9 Electrical Generation 9 10 Let’s make a circuit. 10 How can we make a human circuit? What happens when paper is put into our circuit? What happens when foil is put in our circuit? Experiment Time 11 Battery: energy source Wires: conductors to carry electricity Lights and noisemaker: loads to use the energy What did the energy stick contain? 12 90 6/24/26 3 Open and Closed Circuits 13 14 Energy efficiency is using less energy to accomplish the same amount of work. Energy Efficiency 14 We can use… technology behavior to reduce energy use. 15 Energy Savings 16 17 •Water and Saving Energy Water Savings 17 18 91 6/24/26 4 Energy Brain Storm 19 19% Faucet 24% Toilet 17% Clothes washer 20% Shower Which device do you think uses the most water in the average home? 20 Toilet Leak Detector Tablets 21 High-efficiency Shower Head and Timer 22 Bathroom and Kitchen Aerators 23 Use pipe insulation. 24 92 6/24/26 5 Hot Water Card 25 26 Outlet Gasket 27 LED Night Light 28 Dryer Balls for Clothes Dryer 29 Energy Brain Storm 30 93 6/24/26 6 31 Energy Jobs Be a changemaker in your community! •Endless possibilities •Something for everyone •Help develop new technologies •Always in demand •High paying jobs 31 32 Install the items in your kit, then… Do the… H E W Home Energy Worksheet 32 33 34 Do the HEW at thinkenergy.org/ERMU. 34 35 Earn Rewards thinkenergy.org/ERMU Home Energy Worksheet Hello energy savers! The easiest way to complete this form and earn your pencil is to visit thinkenergy.org/ERMU and click “Home Energy Worksheet.” Record your confirmation code in the box below and return this form to your teacher. You will find funny videos to help use the items in your kit there too. Items in your kit should be installed only by an adult or with adult supervision. Confirmation Code If you do not know the answer to a question, leave it blank. Installation Information Installed(in our home or another)Will Install Later Do Not Plan to Install Shower Head Bathroom Faucet Aerator Kitchen Faucet Aerator Shower Timer Pipe Insulation Outlet Gasket LED Night Light Dryer Balls Home Energy Use Questions 1. What is the main source of heat in your home? Natural Gas Electricity Other Fuel or Unknown2. How much will you turn down your thermostat in winter for heating? 1 - 2 Degrees 3 - 4 Degrees 5+ Degrees Will Not Adjust Thermostat3. How much will you turn up your thermostat in summer for cooling? 1 - 2 Degrees 3 - 4 Degrees 5+ Degrees Will Not Adjust Thermostat4. What was the flow rate of your old shower head? 0 - 1.0 gpm 1.1 - 1.5 gpm 1.6 - 2.0 gpm 2.1 - 2.5 gpm 2.6 - 3.0 gpm 3.1+ gpm Did Not Test Teacher ID Don’t have this ID? You can still complete the worksheet online at thinkenergy.org/ERMU with the ID lookup tool. It is easy! Teacher Name Student First Name, Last Initial ERMU 35 36 You can make a difference! by Unknown Author is licensed under CC BY-SA-NC 36 94 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Mark Hanson – General Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 6.1a SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • As most of you know, Wednesday, July 1, I was invited to speak at an open forum on data centers held at the Aegir Brewery in Elk River. I was one of three panel members. Planning commissioner Jim Lang and resident Jesse Lang were the other two panelists. The question-and-answer session lasted about 2.5 hours with about 50-60 people attending. Some great questions were asked and responses were well received. • At their July 6, 2026, meeting, the Elk River City Council voted 5-0 against approving a draft ordinance allowing data centers into the light and medium industrial zoning districts. They also directed staff to prepare a 12-month moratorium on data center development. Without an approved ordinance allowing data centers, the developer will likely rescind their conditional use permit (CUP) request. If not, the Planning Commission and City council are expected to deny the CUP at their respective July 28 and August 3 meetings. A summary of outcomes and recommended next steps, including final ERMU and Great River Energy system impact studies, will be provided next month. • The Minnesota Municipal Power Agency (MMPA) Board of Directors met on June 23, 2026, at Chaska City Hall in Chaska, Minnesota, and via videoconference. Commissioner Stewart and I attended. The public summary is below: o The Board reviewed the Agency’s financial/operating performance for May 2026. o Participation in the residential Clean Energy Choice program increased by 36 customers. Residential Customer penetration in the program is at 6.8%. o The Board reviewed the financial and resource planning presentations that were made to the Moody’s and Fitch credit rating agencies. o The Board discussed the outcome of the 2026 Minnesota legislative session, which adjourned on May 18, 2026. o The Board discussed the status of electric generation and renewable natural gas projects being pursued by the Agency. • MMPA’s annual dinner is set for Tuesday, July 28, in Chaska. Invites have been sent out. 95 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Sara Youngs – Administrations Director MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 6.1b SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • Office walk-in traffic for June consisted of 193 customers, averaging 39 customers per week over the five-week period. • ERMU disconnections for June. o Cycle 1 – 25 disconnections o Cycle 2 – 5 disconnections o Cycle 3 – 14 disconnections • Currently there is one active residential solar photovoltaic project planned or under construction in the ERMU service territory. • Billing Specialist participated in a Service Utility – General Overview Workshop training through National Information Solutions Cooperative. This training provided additional development and hands-on experience to increase understanding of the software. • Summer is in full swing, and over the past few weeks I have been focused on completing several strategic initiatives. Biggest accomplishment has been completing the first version of the electronic tailgate form for the field staff to begin testing in a few weeks. • IT Department added Jake Walz to the team, he has hit the ground running. 96 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Melissa Karpinski – Finance Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 6.1c SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • 2025 Minnesota Electric Utility Annual Report for Minnesota Department of Commerce has been filed. • Submitted responses/information for 2025 Energy Information Administration-861 data quality review. • We received our property and liability insurance summary quote for renewal effective 7/01/2026 to 7/01/2027. The total premium increased $3,707. A breakdown of the premium increase is below. 97 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Tony Mauren – Governance & Communications Manager MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 6.1d SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • The bill insert for July 2026 is a notice that ERMU will be hosting its second Touch-A- Truck event at the Elk River Farmers Market on August 13. ERMU looks to partner with ERPD and ERFD to host another fun event, giving kids a chance to explore city vehicles and learn about community services. • In addition to the bill insert topic, social media posts this month feature, closure for Independence Day, smart irrigation, commission meeting notice, and more. • I completed my final in person learning session for the Minnesota Municipal Utilities Association’s Developing Utility Expertise and Leadership program. This has been a great program, expanding an understanding of the utilities industry, strategic planning, and my personal leadership style. The program consists of three two-day foundational cohort sessions and eight elective courses over the course of the year. • Communications is launching a six-month SmartHub User Guide Series designed to help customers get the most out of the SmartHub account management tool. Whether they are brand new to SmartHub or just want to explore more of its features, this monthly step-by-step “How To” video series will walk customers through everything they need to know. July's video is: "How to Register for SmartHub". • ERMU will be participating in the Sherburne County Fair Parade on Saturday, July 18. This year's theme is "Splish, Splash, Fair Bash." ATTACHMENTS: • Bill Insert – Touch-A-Truck 2026 98 99 Touch-A-Truck is coming to the Elk River Farmers Market in downtown Elk River on Thursday, August 13 from 3-7 PM. Bring the whole family for a FREE event where kids can explore the utility, police, and fire vehicles they see around town and meet the people who operate them. Don’t miss this wheel-y fun day! 100 ______________________________________________________________________________ Page 1 of 2 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Thomas Geiser – Operations Director Meeting Date: July 14, 2026 AGENDA ITEM NUMBER: 6.1e SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • Working through the second round of maps for the new GIS mapping system that we plan to move forward with in the future. I have gone through maps 1-107 to this point. Round three/final review is yet to come. • ERMU has received twenty repaired reclosers so far. Ten more reclosers have been sent away to be fixed. We now have a plan to receive the rest of the reclosers once they are repaired. • ERMU has started the Cooper switchgear replacement plan. We have replaced five so far. • Completed 2026 reviews with staff. • Staff and I had our first round of meetings with DGR Engineering going over our Fuse Coordination System Impact Study. No major issues came from the study. DGR gave ERMU some opinions to fine tune our system for the better. This is and will be a multi- year quest. • June 10 ERMU had a power transformer failure at Waco substation bank 2 which dropped the substation offline. A total of 1,033 customers lost power. Crews were able to get the substation back online in less than two hours. ERMU also had a second outage during the same time frame in which a tree branch fell across the line causing an outage to 73 customers. All customers that were affected by the storm that night were back in power within a two and half hour period. The crew did a great job getting power back on during a short time frame. • June 16, ERMU Managers provided a grill out for all staff at the ERMU Field Service Building. A good time was had by all. • Staff have started putting back into service the five Nova reclosers that were taken out due to warranty issues that began back in December of 2024. • Participated in ERMU’s first Dispute Resolution Committee meeting Tuesday June 16. • June 19-21 was busy for the lineworkers on call due to the outages caused by weather, vehicles, and transmission lines issues. 101 ______________________________________________________________________________ Page 2 of 2 • Sunday June 28, Strong winds came through, knocking a few trees into our lines causing outages for 1,277 customers. 102 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Chris Sumstad – Electric Superintendent MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 6.1f SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • Installed 22 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, was here June 24 and 25, and held safety training on heat stress and stress management. • Crews have been working on re-installing the five reclosers that were in the field and initially removed from service in December of 2024 due to the factory recall. • East substation feeder work is nearly completed. These will be put into service once our substation transformer arrives in September. • Storms affected our system on the weekends of June 20 and 27, keeping our crews busy chasing outages mostly caused by wind and trees. • Cooper switchgear changeouts continue as time allows. • We had two power pole hit by vehicles this past month, resulting in outages and crews needing to replace poles or parts. • Crews are finishing up the electric install in the Meadowsweet Bend housing development located in the northwest portion of Elk River. The first phase has 32 lots available with two already under construction. • Crews are again working along County Road 44, adjusting a few poles for the reconstruction project set to begin yet this year. • We had a utility contractor drill into our underground power at Trott Brook Parkway and Smith Street on July 6. There were 60 customers without power until crews were able to backfeed from another route. • The bore crew continues to install new underground wire in housing areas, mostly replacing overhead wire this year. They currently are in the 196th Avenue and Ogden Street area on the northwest side of Elk River. 103 ______________________________________________________________________________ Page 1 of 1 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Mike Tietz – Technical Services Superintendent MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 6.1g SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • In June, the locators processed 589 locate tickets. These consisted of 501 normal tickets, 7 emergency tickets, 54 updated tickets, 16 meetings, 1 boundary survey, 2 planning, 1 correction, and 7 cancellations. This was a 5.8% decrease over last month and a 9.3% increase over June of last year. • In June, the electrical technicians completed 230 service order tasks, updated the power bill, addressed customer meter issues and any off-peak concerns. • The electrical technicians have continued to replace meters and test current transformers for our commercial customers. Staff must test, program, and verify the programming of each of these meters as we work through the exchange process for all the commercial meters. The Advanced Metering Infrastructure project remains at an overall completion rate of 99%. • Staff has completed most of the work for the East substation project at this time. We are waiting for the power transformer to arrive in September. We are also starting to review the logistics planning for the replacement of the Otsego transformer. This project will also be completed in September. • We are working with one of the fiber contractors in town to bring fiber to the Otsego substation this summer. The only substation left to run fiber to is Waco which has been budgeted as a 2027 project to follow the completion of the County Road 44 road project. • Our monthly peak was 72.43 MW on June 29, at 1:51pm. 104 ______________________________________________________________________________ Page 1 of 2 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Dave Ninow – Water Superintendent MEETING DATE: July 14, 2026 AGENDA ITEM NUMBER: 6.1h SUBJECT: Staff Update ACTION REQUESTED: None DISCUSSION: • Delivered a water meter, installed a Smart Point module, and took curb stop ties for 11 new water services. • Completed 20 BACTI/Total Chlorine Residual Samples. o All confirmed negative for Coliform Bacteria. o Bacteriological/Disinfectant Residual Monthly Report submitted to the MDH. • Completed 21 routine fluoride samples. o All samples met MDH standards. o Submitted MDH Fluoride Report. • Submitted Discharge Monitoring Report to the Minnesota Pollution Control Agency for the Diesel Generation Plant. • Completed and submitted annual cyber security assessment of our water system operational technology to MDH. • The DNR has issued a notice that the Mississippi-Headwaters and the Missouri-Big Sioux watersheds are now in the Drought Warning Response Phase. Because Elk River is in the Mississippi-Headwaters water shed, our goal is to help reduce water use through outreach to customers by means of our website and social media. • This year’s water service line inventory update has been submitted to MDH. Due to our application to the 2027 Intended Use Plan for service line replacements during the 2027 construction season, we needed to submit the inventory update a month earlier this year. • On June 1 we received a report of water slowly coming up alongside the curb on Elgin Court. Leak detection equipment indicated a small leak in the water main pipe. Dave Perkins Contracting excavated and repaired the leak on June 11. • To help keep up with current workload while having some staff on leave, we have advertised for an additional seasonal employe in the water department for the summer. • 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. 105 ______________________________________________________________________________ Page 2 of 2 • Water department staff continue to assist technical services staff with locating and marking water infrastructure for the contractors currently installing fiberoptic lines throughout the city. • Planned replacement of water main pipe has been completed with the downtown parking lot rehab project. • A section of the new water main pipe installed in the first phase of the Oakwater Ridge development has passed testing and inspection and is now in service. • As presented in the June commission meeting, the EPA requires community water systems to deliver a Consumer Confidence Report, also known as an annual drinking water quality report, to their customers each year. The EPA determines regulated contaminants that are tested for and results reported in the CCR. The MDH communicates these regulations to community water systems and monitors the testing process. At the beginning of each year, MDH sends a list of contaminates to be tested for and when to perform the testing. ATTACHMENTS: • June 2026 Pumping by Well 106 Values Are Displayed in Millions of Gallons (Well #, Gallons Pumped, Percentage of Pumping) Well #2, 12.11, 10% Well #3, 18.281, 15% Well #4, 17.115, 15% Well #5, 15.777, 13% Well #6, 13.458, 11% Well #7, 16.613, 14% Well #8, 14.417, 12% Well #9, 11.973, 10% June 2026 Monthly Pumping By Well 107 Tuesday, January 13: •Annual Review of Committee Charters Tuesday, February 10: •Review Strategic Plan and 2025 Annual Business Plan Results Tuesday, March 10: •Oath of Office •Election of Officers •Annual Commissioner Orientation and Review Governance Responsibilities and Role Tuesday, April 14: •Audit of 2025 Financial Report •Financial Reserves Allocations •Review 2025 Performance Metrics Tuesday, May 12: •Annual General Manager Performance Evaluation and Goal Setting Tuesday, June 9: •Annual Commission Performance Evaluation Tuesday, July 14: Tuesday, August 11: •Annual Business Plan – Review Proposed 2027 Travel, Training, Dues, Subscriptions, and Fees Budget Tuesday, September 8: •Annual Business Plan – Review Proposed 2027 Capital Projects Budget Tuesday, October 13: •Annual Business Plan – Review Proposed 2027 Expenses Budget •Review and Update Strategic Plan Wednesday, November 10: •Annual Business Plan - Review Proposed 2027 Rates and Other Revenue •Adopt 2027 Fee Schedule •2027 Stakeholder Communication Plan Tuesday, December 8: •Adopt 2027 Official Depository and Delegate Authority for Electronic Funds Transfers •Designate Official 2027 Newspaper •Approve 2027 Regular Meeting Schedule •Adopt 2027 Governance Agenda •Adopt 2027 Annual Business Plan 2026 GOVERNANCE AGENDA 108