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5.3. ERMUSR 06-14-2016
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5.3. ERMUSR 06-14-2016
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6/13/2016 10:59:28 AM
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City Government
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ERMUSR
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Elk River <br /> Municipal Utilities UTILITIES COMMISSION MEETING <br /> TO: FROM: <br /> Elk River Municipal Utilities Commission Eric Volk—Water Superintendent <br /> John Dietz—Chair <br /> Al Nadeau—Vice Chair <br /> Daryl Thompson—Trustee <br /> MEETING DATE: AGENDA ITEM NUMBER: <br /> June 14th, 2016 5.3 <br /> SUBJECT: <br /> Metropolitan Council Notice of Termination of Contract <br /> DISCUSSION: <br /> In March of 2009 ERMU entered into an agreement with the Metropolitan Council allowing <br /> them to install antennas for the Northstar Commuter Train on the Gary Street Water Tower. <br /> Metropolitan Council paid ERMU$9,000 for a lease scheduled to terminate on December 31, <br /> 2028. <br /> In October 2015 the Metropolitan Council approached ERMU with intention to remove their <br /> antennas from the Gary Street Water Tower and terminate the lease agreement. The removal of <br /> the equipment was completed satisfactorily on November 11, 2015. <br /> On May 16, 2016 a letter was written to ERMU requesting a prorated refund for the unused <br /> portion of the $9,000 originally paid to ERMU at the beginning of the agreement. According to <br /> legal counsel, the $9,000 was a payment made to ERMU for the term of the agreement regardless <br /> of length. As the lease agreement does not address proration or a refund of monies, staff will be <br /> sending a response to Metropolitan Council denying their request for a refund. <br /> ACTION REQUESTED: <br /> Staff requests that the Commission receive the letter terminating the contract with Metropolitan <br /> Council. <br /> ATTACHMENTS: <br /> • Metropolitan Council Termination of Contract Letter—May 16, 2016 <br /> • Badger State Inspection, LLC. Inspection Letter—November 20, 2015 <br /> • Metropolitan Council Site Lease Agreement <br /> ER <br /> rEllED D 1Page 1 of 1 A URE <br /> Reliable Public' <br /> Power Provider P OWER ED T O S ERV E <br /> 294 <br />
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