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close to residences and "would intensify the use" to the point of nuisance. Jim Simpson, the <br /> chairman of the Utilities Commission, was infuriated by the denial, calling it"two-bit politics." <br /> The addition was approved after the commission revised its plans to be more compatible with the <br /> adjacent neighborhood. The addition was clad in stucco, with a line of trees planted to minimize <br /> the visual impact of the industrial building.88 <br /> In 1992, ERMU invested time and money updating infrastructure, soliciting bids for a new <br /> building at the former city hall site, a new well, and a treatment facility. An eighteen-megawatt <br /> substation was planned for the Industrial Park site to back up current operations and also serve <br /> the future demands of a growing Elk River.89 <br /> ERMU completed a study in September 1992 to assess how its rates compared to neighboring <br /> towns. The study concluded that in relation to other utilities, ERMU was charging much less for <br /> water and water connection fees. In fact, the current water connection fee was not enough to <br /> offset installation costs and ERMU was losing money when water service was extended to new <br /> customers.90 <br /> In response, in 1993, ERMU <br /> increased water connection arE. <br /> fees, as well as other fees it <br /> charged developers for new <br /> extending services to new <br /> plats. Revenue was earmarked . <br /> for future water towers and <br /> wells to serve new <br /> developments like Hillside � <br /> Estates. For example, ERMU <br /> purchased a site for a tower, <br /> well, and service station from �. <br /> the city for $10,000 to service <br /> Hillside Estates.91 � <br /> ERMU consolidated its £5 ;yam <br /> management structure in 1993b <br /> and replaced individual <br /> department superintendents <br /> with a general manager, who Bill Birrenkott <br /> was responsible for governing (Sherburne County News, undated clipping <br /> the organization as a whole. at Elk River Municipal Utilities) <br /> Bill Birrenkott was the first <br /> 88"City Stuns Utilities,"Elk River Star News,April 17, 1991;Don Heinzman "Furor over Utilities Dispute Is <br /> Defused,"Elk River Star News,April 24, 1991. <br /> 89 Elk River Municipal Utilities Commission Minutes,May 5, 1992;Bill Birrenkott,"Elk River Municipal Utilities," <br /> The Current: The City of Elk River Newsletter 3(August 1992). <br /> 90 Elk River Municipal Utilities Commission Minutes,September 8, 1992. <br /> 91 Ibid.,April 6,and September 7, 1993. <br /> 25 <br />