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______________________________________________________________________________ <br /> <br />Page 1 of 2 <br /> <br /> <br /> <br /> <br /> <br />UTILITIES COMMISSION MEETING <br /> <br />TO: <br />ERMU Commission <br />FROM: <br />Mark Hanson – General Manager <br />MEETING DATE: <br />May 13, 2025 <br />AGENDA ITEM NUMBER: <br />5.3 <br />SUBJECT: <br />ERMU Power Plant Update <br />ACTION REQUESTED: <br />Discuss project status <br /> <br />BACKGROUND: <br />At the March 11, 2025, commission meeting, the Commission received a presentation by LEO A <br />DALY Architects on potential layouts for a proposed conversion of the Elk River Municipal <br />Utilities (ERMU) power plant to a history/education center. Staff retained the services of LEO A <br />DALY to review the building’s structural integrity, identify potential funding sources, explore <br />potential design layouts, and estimate the potential construction costs. The Commission <br />decommissioned the plant at their September 10, 2024, meeting via Resolution 24-10. <br /> <br />The Commission reached consensus on the following discussion points: <br />• Of the three layouts presented, they preferred the combined adult/child centric theme. <br />• The estimated $1.0M - $1.5M cost to convert the building (after offsets) was too much <br />to spend at this time. <br />• The estimated offsets for grants/donations were likely optimistic, which effectively <br />increases ERMU’s estimated costs. <br />• The building should be preserved due to its architecture and historical significance to <br />ERMU but converting it to another use is not feasible at this time. <br /> <br />Staff was directed to pursue the second phase of the preliminary review with LEO A DALY to <br />fine-tune the layouts/estimates based on commission feedback and to create artist renderings <br />of the facility for use in future discussions. <br /> <br />DISCUSSION: <br />Staff recommend additional planning/design efforts be paused until the larger assets identified <br />below can be removed, including the engines. Once the engines are removed, staff will explore <br />costs to level the concrete floor (fill in the engine foundations) and remove the interior <br />conference room and office space. These efforts will enable the building to be used for indoor <br />equipment and material storage. Estimates to convert the facility to a history/education center <br />can then be re-evaluated since several of the larger expenses will have been completed. Staff <br />will provide relevant updates as they are known. <br />99