2.2. ERMUSR 11-18-2014 - Laserfiche WebLink

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II water expenses reflected a 2.1% increase and the electric expenses a 1.3%increase. The expense budget will change as the complete 2015 budget is assembled and the finalized wholesale power costs are reflected. Revenues and rate increases for 2015 will be presented in November. John Dietz asked a few questions. Staff responded. Troy Adams went over the proposed staff additions for consideration. Staff budgeted for the addition of an entry level Field Engineer and a Key Accounts Specialist. Also included was a part-time cleaning position or contracted cleaning employee for the Field Services building. With the retirement of the current Technical Services Superintendent we would look at hiring the replacement early in 2015 to allow for an overlap in training. These staff additions are preliminary and will be discussed further with the Wage and Benefits Committee for their recommendations. 5.5 Third Quarter Write-Offs Theresa Slominski presented the delinquent items for the third quarter. Our budgeted amount for collections and write-offs are $105,000 or .32%Uncollectable Accounts per Revenue Dollar. Our write-offs for the year are well below this number, at a total of $12,828.16 or.037%. According to APPA's most recent published standard ratios (2012), the industry standard is between .10% and .41%. Theresa also presented a color-coded recap comparison with last year, identifying the various categories and running totals. The Commission had a few questions. Staff responded. Al Nadeau made a motion to approve the Third Quarter Write-Offs. John Dietz seconded the motion. Motion carried 2-0. 5.6 National League of Cities Service Line Warranty Program Eric Volk informed the Commission that ERMU recently met with the Regional Area Manager for the National League of Cities (NLC) Service Line Warranty Program. This company offers coverage for buried, external water and sewer lines from the utility connection point to the home. Eric included the highlights of the program in his memo. Eric told the Commission that he made some calls to the four other cities that were participating in the program and found out that one of them had dropped out. The other cities that were using the service gave mixed reviews. Some of the dissatisfaction was due to the limited coverage the program had to offer. Troy Adams explained that this program seems less viable for us as we have the ability to finance a customer's water or sewer line expense through assessment. There was further discussion. The Commission was in consensus to continue with the assessment method we currently have in place. 5.7 2014 Midwest Municipal Transmission Group Annual Meeting Update Page 4 Special meeting of the Elk River Municipal Utilities Commission October 21,2014 30