08-14-2018 ERMU MIN - Laserfiche WebLink

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could work this into the 2019 budget. Staff will add this topic to next month's meeting agenda,at which time it can be considered for formal approval. 4.0 POLICY&COMPLIANCE 4.1 Energy Management Programs At the July 10 Commission meeting,the Commission and staff discussed the option of maintaining the current energy management programs(Dual Fuel,Electric Thermal Storage(ETS)Water,and ETS Space Heating)for existing customers with a sunset date of 3 to 5 years.During the sunset period,the rates would be increased to reach parity with the standard general service rate.Based on the substantial capital investments customers may have in their existing systems,the Commission and staff had consensus that the 5 year sunset period would be best. Mr. Sagstetter presented his memo,and shared that to communicate the end of the programs,staff will provide an annual notification to customers participating in the Dual Fuel,and ETS Water and Space Heating programs to remind them of the end date of December 31,2023,and the need to evaluate other options for space and/or water heating needs.Any rate increases would also be included in this annual notification.He noted that the sunset period will be offered to any person purchasing or renting a property that is participating in an affected Energy Management program until the end date of December 31,2023.Attorney Beck stated that the notification letter should clearly state that the current participants will be responsible for disclosing that this program will be ending to any potential buyers,should they sell their home.He also made the suggestion that the initial letter be sent out certified mail.There was discussion. Mr. Sagstetter shared that staff will continue to research new programs during the sunset period that will provide benefit to the participating customers and ERMU.Any replacement Energy Management programs created will be marketed,communicated and made available to all ERMU residential customers. Moved by Commissioner Nadeau and seconded by Commissioner Stewart to approve a sunset date of December 31,2023 for the Dual Fuel,Electric Thermal Storage Water, and Electric Thermal Storage Space Heating Programs. Motion carried 5-0. 5.0 BUSINESS ACTION 5.1 Financial Report—June 2018 Ms. Slominski presented the June 2018 financial report. For the Maintenance Expense line item in the Summary Electric Statement, she noted that the significant increase of$44,000 from June this year to last year was the result of an inventory adjustment that was made. Ms. Slominski shared that last year staff began to identify some of our smaller in size and value Page 3 Regular Meeting of the Elk River Municipal Utilities Commission August 14,2018