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<br />City of Elk River <br />2004 Annual Report <br /> <br />MINNESOTA MUNICIPAL UTiliTIES ASSOCIATION <br />2004 RATE SURVEY RESULTS <br /> <br />Assignments of the members to groups is an attempt to achieve more clearly valid comparisons. <br />Rates between municipals reflect geographic and other local values which, in most circumstances, <br />are unavoidable or reflect reasonable local decisions. Therefore, use of these rate comparisons <br />should reflect care and analysis. <br /> <br />GROUP I: <br />Those municipals in the northern one-third of the state that do not have WAPA allocations. They <br />are generally winter peaking. <br /> <br />GROUP 2: <br />Those municipals which have federal hydro power available to them. It must be noted that some <br />have more hydro power available than others and that the mix of supplemental resources available <br />to them will vary. <br /> <br />GROUP 3: <br />Constitutes the remaining municipals in the state including Elk River. <br /> <br />Rate Survey Results are based upon the following: <br /> <br />)) Rates are tabulated for the month of November 2003. <br />)) Fuel/power cost adjustments are included. <br />)) Monthly base charges are included. <br />)) Sales tax is not included. <br />)) Large Commercial and Industrial rates are calculated for three phase <br />metering on secondary. <br /> <br />In conclusion, Elk River's rates are very comparable to all group statistics and we tend to be lower <br />than group 3 municipals which are our counterparts in the wholesale arena with no Western Area <br />Power Association (WAPA) power allocation. The triangle symbol on the following spread sheet <br />reflects Elk River Municipal Utilities rate position in comparison to I st quartile, average, and 3rd <br />quartile. <br />