5.1. SR 03-18-2002MEMORANDUM
Item 5. I.
TO:
Mayor and City Council
FROM:
Pat Klaers, City Administrator
DATE:
March 18, 2002
SUBJECT: Utilities Commission Update
Councilmember John Dietz is the City Council representative on the Elk River Municipal
Utilities Commission. At this March 18, 2002 City Council meeting, John is scheduled to
provide the Council with an update on Utilities activities. Attached for your review is the
agenda and the minutes from the March 12, 2002, Utilities Commission meeting.
i
ELK RIVER MUNICIPAL UTILITIES 1
REGULAR MEETING OF THE
I
UTILITIES COMMISSION
AGENDA
March 12, 2002
Elk River Utilities Offices
ITEM NUMBER
1. Call meeting to order March 12, 2002 at 4:00 p.m.
2. Consider Utilities Agenda
2.a. Election of Officers for 2002
3. *Approval of previous meeting minutes
4. *Check Register
OLD BUSINESS
5.1 Public Hearing to Consider Well Head Protection Plan
5.2 Update Administration Building
5.3 Authorize LFG Agreements
ACTION TAKEN
NEW BUSINESS
6.1 Review and Consider Bid Tabulation for Wire
6.2 Review and Consider Pole Attachment Agreement
6.3 Authorization to Hire Lineperson
6.4 Review Electric Meter Reconnect Policy
6.5 175th Avenue & Park Pointe Addition
*Financials
Other Business
*Consent Agenda items are considered to be routine and ~vill be approved by one motion.
MAR-]S-ZOOZ 08:04AM FROM-ERMU 76~-441-80gg %581 P.O02/O0$ F-438
ELK RIVER MUNICIPAL UTILITIES
REGULAR MEETING OF THE
ELK RIVER MUNICIPAL UTILITIES COMMISSION
March 12, 2002
Members Present: George Zabee, President; James Tmlle, Vice Chair; John Diet. z, Trustee
StaffPrcsent: Bryan Adams, General Manager; Glenn Sundeen, Line Superintendent; David
Berg, Water Superintendent; Patricia Hemza, Office Manager
Others Present: Pat Klaers, City Administrator; Gary Tushie, Tushie & Montgomery,
Architects', Ron Black, Attorney
I. Call meeting to order
President George Zabee called the meeting to order at 4:00 PM on March 12, 2002.
2. Consider Utilities Agenda
2.a. Election of Officers for 2002
John Dietz moved to appoint James Tralle, President; John Dietz, Vice Chair; and
George Zabee, Trustee for 2002. James Tralle seconded the motion. Motion carded
3-0.
James Tralle took over the meeting as President of the ERMU Commission.
John Diem, and Bryan Adams will each have one item to discuss under Other
Business.
John Dietz moved to approve the Consent Ag~da as follows:
February 2002 Check Register
February 19, 2002 Minutes
Sales Reports
5.1 Public Hearing to Consider Well Head Protection Plan
President Tralle opened the Public Hearing to consider the Well Head Protection Plan at 4:05
PM.
No one appeared for the Public Hearing, and President Tralle adjourned the Hearing at 4:10
PM.
John Dietz moved to receive and file the Well Head Protection Plan. George Zabee seconded
the motion. Motion cmxied 3-0.
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Page 2
Regular meeting of the Elk River Municipal Utilities Commission
March 12, 2002
5.2 _U_p_date Administration BuildinE
Commission received an estimate of the building construction costs, and a floor plan for
the Utility space at City Hall. George Zabee asked Pat Klaers to clarify the lease-purchase
agreement. Pat Klaers explained that the EDA is issuing the bonds, and will be the bond
holder. The interest paid will be on the debt only. Discussion continued with questions, and
comments regarding flue costs and the floor plan. Bryan Adams and Pat Hemza noted that
the facility is more than adequate, leaving room for growth. Bryan Adams further added that
he feels the facility is more up-scale than he deems necessary. Gary Tushie presented site
plans, and answered questions regarding them.
John. Dietz moved to approve the following items: Design (floor plans and elevations).
The Budget for the construction with authorization to utilize lease-purchase.
Kraus-Anderson Construction Managers as Construction Manager for the
Utility phase of the project.
Authorization of Tushie & Montgomery to proceed with construction
documents at approximately $79,400.
James Tralle seconded the motion. Motion carried 2-0. George Zabee abstained from the
vote.
5.3 Authorize LFG Agreements
Ron Black appeared before the Commission to answer questions, and update progress
regarding the LFG contracts. It is noted that Waste Management has been reluctant to return
signed agreements to the ERMU. Points of contention appear to be related to the 95%
operating requirements, and warranty of their design. Bryan Adams noted that Sherburne
County and Great River Energy have their documents in order. James Tralle remarked that
the Utilities Commission appreciates Ron Black's diligence in this matter.
George Zabee moved to authorize Staff to execute documents with Ron Black's
approval if requirements are met. John Dietz seconded the motion. Motion carded 3-0.
6.1 Review and Consider Bid Tabulation for Wire
Bids were received for the 2002 electric wire needs. Staffpresented recommendations
for awarding contracts. Bids are spread between Border States, Burmeister, Wesco, mad
Resco.
George Zabee moved to accept the Bids for Wire as Sm.fi. recommended. John Dietz
seconded the motion. Motion carried 3-0.
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Page 3
Regular meeting oft he Elk River Municipal Utilities Commission
March 12, 2002
6.2 Review and Consider Pole Attachment A~reement
The ER.MU shares poles to carry overhead electric feeders with Connexus in eastem Elk
River. Staffrecommends authorization of the Agreement, which has been reviewed by Ron
Black.
George Zabee moved to authorize the Pole Artaclxment Agreement between
Connexus Energy, and Elk River Municipal Utilities. John Dietz seconded the motion.
Motion carried 3-0.
6.3 Authorization to I/ire Lineperson
The 2002 ERMU budget contains an item for another Lineperson position. The position
will be the beginning of an electric service crew to perform maintenance on the electric
system. Commission questioned Staffrcgarding the way Linepersons are paired for crews.
Glenn Sundeen explained that crew members are routinely rotated, and that two apprentice
linepersons are not put together.
George Zabec moved to approve the hiring of an additional Lineperson. John Dietz
seconded the motion. Motion calried 3-0.
6.4 Review Electric Meter Reconnect Policy
Staff presented a survey of other Utilities concerning the reconnection of electricity after
hours. It is the consensus of Commission and Staffthat reconnecting meters after dark is not
a good policy.
John Dietz moved to adapt the following:
If service is disconnected there is a $20.00 rccormcction charge within the
normal working hours of 8:00 a.m. - 4:30 p.m. Monday - Friday. The
Reconnecfion charge after normal working hours is $100.00. Rcconnection
will only occur before 8:00 p.m.
George Zabee seconded the motion. Motion carried 3-0.
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Page 4
Regular meeting of thc Elk River Municipal Utilities Commission
March 12, 2002
6.5 1.75TM Avenue & Park Pointe Addition
Cascade I Land Co. has requested that water service costs be provided from the Eagle
Marsh Water Tower, and not along 175t" Avenue. The developer does not want to pay for
the water main along 175~ Avenue. One of the issues considered is that for a period time,
the development would be serviced by a long dead-end watermain extended from the water
tower, which could cause numerous problems. A memo from Howard R. Green Company
was offered, with comments from Bryan Adams. John Dietz updated the Commission
regarding the City Council's position on the request at the meeting on March 11, 2002, which
was not to be required of the developer to pay and install a water main along 175th Avenue.
It was decided that no action would be necessary at this time.
Other Business
John Dietz presented a new Shop Rate Breakdown from the City regarding charges
for vehicle maintenance, and repairs. Several related items were discussed. It appears that
more detailed information about repairs will be forthcoming, lohn Diem advised that the
hourly charge will be $40.00 at this time, with periodic reviewal. A City mechanic will
become DOT certified, which will be important at certification time.
Bryan Adams advised file Commission that fl~e property near the water tower will be
developed. Staff is requesting authorization to take down the water tower at this dine.
John Dietz moved to auflaorize Staff to go out for bids on demolition of the Jackson
Avenue water tower. George Zabee seconded the motion. Motion carried 3-0.
The next regularly scheduled meeting of the Elk River Municipal Utilities
Commission will be April 9, 2002.
President Tralle adjourned the March 12, 2002 meeting of the Elk River Municipal
Utilities Commission at 5:10 p.m.
Respectfully submitted,
Patricia I-Iemza
Office Manager