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~, N ~ <br />N <br />~, <br />~~ <br />Elk River ^~ ~ ~ <br />Municipal Utilities <br />13069 Orono Parkway • P.O. Box 430 <br />Elk River, MN 55330-0430 <br />December 6, 2007 <br />To: Elk River Municipal Utilities Commission <br />Jerry Takle <br />Jerry Gumphrey <br />Jim Tralle <br />From: Bryan Adams <br />Subject: Miscellaneous Issues <br />Phone: 763.441.2020 <br />Fax: 763.441.8099 <br />Enclosed is the packet for Tuesday, December 11, 2007 commission meeting at 4:00 p.m. <br />To date the water and electric usage remain well above last year at 7.9% and 9.6% respectively. <br />During the week of December 3, 2007 we experienced problems with the tap changer at West <br />Substation Bank #2 and the power plant at the landfill. Troy Adams along with Mike Price and <br />Adam Freiberg did a great job of finding a bent contact in the tap changer and getting the <br />problem resolved. Due to the cold weather and a faulty cooling fan switch, the landfill power <br />plant was off line for about two days. After much searching and trouble shooting, the problem <br />was by-passed and the plant brought back on line. Don Yurecko, plant operator is in the process <br />of permanently resolving this problem. Don, an Elk River Landfill employee, does a good job <br />operating and maintaining this facility and has a lot of personal pride in its success. <br />We are experiencing a large increase in residential foreclosures this past month. Not a good sign <br />for the immediate future. <br />Great River Energy is starting their work on the construction of a peaking plant in Elk River. <br />Attached is the project update from Great River Energy. Also attached is a portion of the project <br />agreement with the City. Paragraph five pertains to us for we will receive $.20/MWH generated <br />with a maximum of $35,000 for five years. The initial intent of this payment is to help off-set <br />the increasing transmission cost we will be seeing from transmission system tariffs through <br />Midwest Independent System Operator (MISO). <br />Attached is an article from the 4t" Quarter National Rural Water Association titled, "The Perfect <br />Storm, the Aging Infrastructure and Work Force." <br />