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Elk River <br />Munici~ al Utilitie s <br />13069 Orono arkway <br />Elk River, MN 55330 <br />763.441.2020 <br />Education /Seminar Report <br />Name: Troy Adams & Theresa Slominski Date: June 3, 2009 <br />Dates Attended: May 4-8, 2008 Location: Minneapolis, MN <br />Title of education /seminar: APPA Basic Utility Cost of Service & Rate Design, and APPA <br />Advanced Utility Cost of Service & Retail Rate Design <br />Organization Sponsoring Education /Seminar: American Public Power Association <br />Why did the employee choose to attend?: <br />This was a timely offering and fortunate location for this class. The location of APPA <br />classes vary from year to year. It was convenient and significantly less expensive being <br />able to attend this class at a local venue. The class covers the broad topic of utility rates <br />and rate design and how to fairly and equitably assess the true cost of service when <br />designing those rates. Rates are and will continue to be a politically sensitive yet <br />inevitable component to the utility industry. This class provides valuable training to <br />assist in rate design as well as short term and long term planning for the Utilities. <br />What information was learned by attending?: <br />Many concepts of and aspects to rates and rate design were discussed with a diverse <br />group of utility professionals. This provided an environment for great discussion on real <br />world challenges. The underlying theme to the class was that of "cost of service". This <br />is the concept of charging the customers appropriately for their contribution to <br />operational cost so that no one rate class is subsidizing another. To reach a perfect state <br />of "cost of service" rate design can be both financially and politically challenging. Tp <br />illustrate that point, as part of the class we conducted a mock rate hearing. This exercise <br />took the class through the process from rate design through commission approval. This <br />was a valuable learning experience. <br />Was information conveyed to supervisor and co-workers ant to who?: <br />The information learned has been discussed with management and other staff. <br />r + <br />Employee Signature: ~ ~,~/ -~ <br />Employee Signature:__C~~« ~J ~~~~~~G~c'.~ <br />