2.7. ERMUSR 01-09-2018 - Laserfiche WebLink

Home Browse Search

Elk River Municipal Utilities UTILITIES COMMISSION MEETING TO: FROM: ERMU Commission Troy Adams, P.E.—General Manager MEETING DATE: AGENDA ITEM NUMBER: January 9, 2018 2.7 SUBJECT: Notice to Connexus Energy of Electric Service Territory Area 5 & 6 Transfer Date ACTION REQUESTED: Receive the Notice to Connexus Energy of Electric Service Territory Area 5 & 6 Transfer Date BACKGROUND: In March 2015 Elk River Municipal Utilities and Connexus Energy executed mutually agreeable terms with a multiyear arrangement for the Connexus service territory within the City of Elk River corporate boundary to be transferred to ERMU. DISCUSSION: On December 18, 2017, formal notice was given to Connexus documenting intent for a transfer of Areas 5 & 6 in late 2018. Although the agreement only requires five months written notice of intent to transfer, this was given early to allow for planning and scheduling of the reintegration work needed to facilitate the transfer. It is preferable to coordinate a September 2018 transfer date; however,the actual date will be chose through a collaborative process with Connexus energy. Attached is an overview map indicating the location of the transfer areas identified in the agreement. Areas 1A, 1B, 2, 3, and 4 have already been transferred. Per the provisions of the agreement, ERMU has until September 2020 to complete the transfers under the negotiated terms. As indicated on the attached overview map, Areas 5 & 6 are located on the west side of Elk River. In these two areas there are approximately 350 customers which are primarily residential. The reintegration,plant, and pre-work costs were all budget line items in the 2017 and 2018. ATTACHMENTS: • Notice to Connexus Energy of Electric Service Territory Area 5 & 6 Transfer Date • 2015 Connexus Energy Electric Service Territory Transfer Agreement Overview Map Page 1 of 1 43