5.1. SR 11-19-2001 - Laserfiche WebLink

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NOV-IS-ZOO1 IO:Z~AM FROM-ERMU T89-44]-80gg T-gO? P.002/009 F-O?8 Page 2 Regular meeting of the Elk River Municipal Utilities Commission November 13, 2001 5.3 Rev~e.w 10 Year Cash Res.eryc Pr0je~tions Staff reviewed the Springsted Cash Reserve Projection Mode] for the Electric and Water departments. The Water cash reserve model has a slight recession built in. Variables, such as weather were discussed, along with future rate increases. These studies indicate both departments can accommodate the anticipated growth, and maintain close to the desired cash balances, although the Water department will be a little more challenging. 5.4 Consider Pron. oAed 2002 Budget The budget was reviewed, with highlights, assumptions, and capital budget changes discussed. George Zabee noted that he would like to discuss the proposed Electric and Water Rates, before approval of the budget. 5.5 Consider Propose0_2002 Electric & WaterRates In order to support the assumptions for the proposed 2002 budget, both the electric and water rates must be revised. Electric and Water tariff sheets with the proposed changes, and rate comparisons with other utilities were reviewed. Staffrecoxmnends the increase. James Tralle moved to approve the rate increases for Electric of $0.0050/KWH, with the exception of the Energy Management rate, and of Water to a Winter rate of the existing $1.15/1000 gal., and a Summer rate ~f $1.20/1000 gal. John Dietz seconded the motion. Motion carried 3-0. John Dietz moved to approve the Electric and Water Budget for 2002, as presented. James Tralle seconded the motion. Motion carried 3-0. Fm'ther discussion included the Sub-station North included in the 2002 Electric Capital Budget. James Tralle feels that bonding at the present time would be advantageous, with the ctuxent low interest rates. Staff and Commission agreed. James Tralle moved to authorize bonding for Sub-station North. John Dietz seconded the motion. Motion carried 3-0. 6. I Review and Consider Schedule and Pronosal for Garage at 'Power Plant The garage addition at the power plant was reviewed, regarding design, bidding, construction, and preliminary work. George Zabee asked for further clarification of the site of the addition. John Dietz asked if all equipment and supplies would be located inside the new garage. Staff responded that wire and poles would still have to be stored outside. John Dietz urged Staffto use constraint in the planning and design of the new garage. John Dietz moved to proceed with the engineering phase of the new garage project. George Zabee seconded the motion. Motion carried 3-0.