Laserfiche WebLink
Page 4 <br />Regular meeting of the Elk River Municipal Utilities Commission <br />July 9, 2007 <br />continues to be a problem is the replacement value of the old generation equipment at our <br />power plant. If the building was destroyed and generation equipment damaged beyond repair, <br />what is its value and how would it be replaced. Replacement parts for the old generation <br />equipment are becoming very difficult to find. LMCIT is proposing using high speed <br />caterpillar units as replacements if a catastrophe occurs. This will have to be reviewed <br />annually to keep the values current. Jerry Gumphrey questioned if there would be future <br />budgeting for engine replacement. Jerry Takle then commented about the decision to invest in <br />power plants versus engines. Bryan Adams added that if the transmission system failed local <br />generation could support sections of Elk River via the generation engines at the power plant. <br />James Tralle questioned the cost of the engines. Bryan Adams replied, per the property <br />insurance schedule, each engine/generator with auxiliary equipment would be $650,000. <br />6.2 Review Waco Substation Agreement with GRE <br />The Interconnection Agreement with GRE was discussed. As additional substations are <br />constructed, the interconnection agreement is amended to reflect an additional interconnect <br />point and defines who owns what equipment. Supplement #5 to the Interconnection <br />Agreement between Elk River Municipal Utilities and Great River Energy was reviewed. <br />James Tralle asked if there were future plans of renegotiating for additional territory within the <br />city limits. Bryan Adams responded possibly the East corridor along Hwy 10, and the western <br />edge along old Meadowvale Road. <br />Other Business <br />James Tralle questioned why Elk River was on the low end of the Water survey results. <br />Bryan Adams responded that the base usage they used was on the low end. The base for this <br />survey was only 7,500 gallons per month. Based on this survey, the base rate for water could <br />be raised. <br />The next regularly scheduled meeting of the Elk River Municipal Utilities Commission <br />will be Tuesday, August 14, 2007. <br />President Jerry Takle adjourned the regular meeting of the Elk River Municipal Utilities <br />Commission at 5:00 p.m. <br />espectful ubm' d, <br />Judy padd <br />Recording Clerk <br />