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2025-12-18 - ERMU - Special Commission Meeting
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2025-12-18 - ERMU - Special Commission Meeting
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12/18/2025 9:48:14 AM
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12/18/2025 9:41:11 AM
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City Government
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ERMUSR
date
12/18/2025
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<br />Dedicated to providing personal service to consumer-owned utilities <br />Dave Berg Consulting, LLC | 15213 Danbury Ave W, Rosemount, MN 55068 | 612-850-2305 <br />www.davebergconsulting.com <br />December 10, 2025 <br />Elk River Municipal Utilities Commission <br />13069 Orono Parkway <br />PO Box 430 <br />Elk River, MN 55330 <br /> <br />Subject: Electric Rate Study <br /> <br />Commission Members: <br />Dave Berg Consulting, LLC has undertaken a study of the retail rates Elk River Municipal Utilities (ERMU) <br />charges its customers for electric service. This report summarizes the analyses undertaken and the <br />resulting recommendations for changes to the existing rates. <br />Average annual increases of 2% in electric rates for the period 2026-2029 are recommended. <br />Additionally, a new approach to calculation of the retail Purchased Cost Adjustment (PCA) has been <br />made. These adjustments are necessary to make progress in meeting ERMU’s new reserve level goals. <br />Specific rate adjustments for each year are provided for each rate class. <br />Thank you for the opportunity to be of service to ERMU through the conduct of this study. I wish to <br />express my appreciation for the valuable assistance I received from ERMU staff relative to the execution <br />of this study. <br />Sincerely, <br />Dave Berg Consulting, LLC <br /> <br />David A. Berg, PE <br />Principal <br />
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