2. SR 06-29-2009 - Laserfiche WebLink

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5. Power quality, reliability, and response time are excellent. These are one of the reasons why the Data Centers are here. These are also reason why ERMU can attract larger commercial/industrial customers even through that rate class is not the lowest available. (Refer to attached reliability graphs). Response time to fires and 6. The electric utility provides 31 good jobs within City. 7. Metering Department technical support for Water Department metering needs. 8. There are 4500 water meters and 9000 electric meters that are read every month and we contract this service out. 2009 budgeted numbers for meter reading are $80,000, of which $60,000 is attributable to the electric department. 9. The Utilities makes bond payments on 25% of City Hall building. The remaining bond payments are $1,842,705 on the utility portion. This would be an issue only if the Utilities were to be sold. 10. Lake Orono water level is monitored and controlled by ERMU 11. Underground facility locating for water system done with electric locating. There are approximately 2000 locates required for the water system per year. 12. Local control designing and setting rates to meet local (needs not rural coop needs). 13. Ability to culture City economic development through rate design. 14. Availability of emergency general transfer of funds from ERMU to City. 15. ERMU's Conservation Improvement Program (CIP) offers more programs to the ratepayers than the neighboring utilities offer. CIP money stays in ERMU service territory. See attached CIP comparison sheet. 16. Local economy stimulated through utility money spent at local shops for trucks, boots, clothes, fuel, printing, etc... Disadvantages of a Municipal Electric Utility 1. Political accountability 2. Legal liability 3. Accounting and audit accountability 4. Bond/debt liability 5. Opportunity cost of revenue from sale during time of reduced State funding This memo and discussion at the June 29 j oint Council/Commssion meeting is intended as an opportunity to provide information. Because of new developments in the discussions with Connexus and the delay in getting relevant information pertaining to Connexus' involvement in any of the scenarios outlined in this memo, no action is requested from the Council or Commission at this time. It is possible that Connexus would not be able to provide GRE board approved numbers prior to the BSII July 15th LOI deadline. However, Connexus has indicated that preliminary numbers would be available as soon as July 6th. Also, results from a BSII construction cost analysis should be available by the end of June. Having this additional information may help in making a decision. The recommendation of staff is to table this topic to be able to include this additional information for a future discussion prior to the BSII LOI July 15th deadline.