5.1. ERMUSR 09-11-2012 - Laserfiche WebLink

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Elk River II Municipal Utilities 13069 Orono Parkway Elk River, MN 55330 (763) 441-2020 UTILITIES COMMISSION MEETING TO: FROM: Elk River Municipal Utilities Commission Tom Sagstetter — Conservation and Key John Dietz, Chair Accounts Manager Daryl Thompson, Vice Chair Allan Nadeau, Trustee MEETING DATE: AGENDA ITEM NUMBER: September 11, 2012 5.1 SUBJECT: Tri-County Action Program Service Agreement BACKGROUND: State Statute requires ERMU to spend .2% of residential gross operating revenue on programs specifically designed for low-income eligible customers. To be eligible for the programs, customers must earn less than 200%of the Federal Poverty Income Guidelines effective February 12, 2012. Tri-County Action Program (Tri-CAP) is the federally designated administrator for Sherburne, Benton, and Stearns counties. In an effort to more effectively meet the spending requirements for this segment, ERMU has developed a partnership with Tri-CAP. The Weatherization Assistance Program that is federally funded through the U.S. Department of Energy works to permanently reduce energy bills while protecting the health and safety of the family members. DISCUSSION: The Service Agreement with Tri-CAP will allow ERMU to pay Tri-Cap up to $1,500 per home or rental. The maximum expense for 2012 for this Service Agreement is not to exceed a total expense of$6,000 for 2012. ERMU contributions to the weatherization of homes or rentals will primarily be for measures that permanently improve the electric efficiency of the home or rental. The Service Agreement will be an additional tool used to reach the low-income customers of ERMU. The plan for 2013 is to focus Project Conserve on low-income customers and customers ' rorEeeo I NATURE Reliable Public Power Provider POWERED T o $ E0.vE