5.3. ERMUSR 12-17-2019 - Laserfiche WebLink

Home Browse Search

Tier and basic monthly charges are increased by 2% in the proposed budget. But because the ndrd 2 and 3 Tiers are not being increased, the amount of usage will result in commercial customer blended rate increase of 2% or less. Notable items in the water budget for 2020 are: 3% COLA for Office, Field, and Management pay plan groups; Conservative estimate for usage and growth; Shared cost in the replacement for Pickup Truck #14 for Technical Services; Shared cost in a technology upgrade for the Utilities Conference Room (carryover from 2019); Joint Urban Services District Study with the city funded from trunk funds; Paint/Sandblast interior of the Gary Street Water Tower; An additional water operator to help with Backflow Prevention inspections. Submitted for approval is the 2020 Annual Business Plan which includes the 2020 Budget and the 2020 Schedule of Rates & Fees. The 2020 fees were already approved by the commission in November and are being presented here unchanged for formal adoption in the Annual Business Plan. The adoption of the of the 2020 Schedule of Rates & Fees through the adoption of the Annual Business Plan shall supersede and replace all previously adopted tariffs, rates, and fees. FINANCIAL IMPACT: The Travel and Training Budget is an increase from the prior year of 15%. This increase is a result of growth, in size of the organization with new employees and in participation with American Public Power Association (APPA.) Some of the proposed key items are as follows: Additional training in all departments that was identified as a need in our organizational effectiveness survey $6,750 (distributed among all departments) An additional staff person attending the APPA Legislative Round-up $1,458 An additional meeting for RP3 participation $2,500 The Dues, Subscriptions, and Fees budget has a 30.3% increase, and is also a result of growth. These increases are as follows: Monthly increases in our software support with NISC as we implement Mobile Workforce & AppSuite $5,995 (there is also a one-time cost associated with this of $17,800, and some of it should be capitalized) New Motorola radios that is per radio per month much like a cell phone cost $16,200 Mandated increase in connection fees for water from the Minnesota Department of Health $20,000 Increased licensing cost for adding licenses to view maps remotely $22,248 Potential Backflow Prevention monitoring software It was suggested that a list be compiled of items that were cut from the 2020 budget in order to meet the margins for the electric department, per bond covenants. Then, should margins prove sufficient as the year progresses, they could potentially be added back in. Some cut items occur early in the year and are not able to be reconsidered. Items cut are eliminating a second rodeo ______________________________________________________________________________ Page 2 of 3 559