6.1. ERMUSR 12-15-2009 - Laserfiche WebLink

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Elk River --~ Municipal Utilities 13069 Orono Parkway • P.O. Box 430 Elk River, MN 55330-0430 December 10, 2009 To: Elk River Municipal Utilities Commission John Dietz Jerry Gumphrey Daryl Thompson From: Troy Adams Subject: Staff Updates -Director of Operations Phone: 763.441.2020 Fax: 763.441.8099 In October the City submitted their numbers for the state diesel and gas bids. The result of the bids may be available by the Utilities Commission meeting on Dec 15. An update will be provided at that time. As directed by the commission, a letter had been sent to the commercial customer who had the billing issue which was discussed two months ago. The letter extended the Commission's offer to discount the past due amount by 20% if paid in full within 30 days. The discounted amount was still too much for the customer to pay at one time. The customer has worked out payment arrangement to repay the full amount with an approximate 1 `/2 year timeline. At the November Utilities Commission meeting, the Commission approved a new low load factor adjustment clause to be implemented in 2010. At that time there was a question of metering cost. I believed that all 12 meters in question were already capable of collecting the data required. This would have also involved a meter technician to physically visit and download the data monthly. In actuality, six of the meters are still an older style because they have not been upgraded through our meter change out efforts. We have these in inventory, but do have a value of approximately $350. The other six would need a software upgrade at a cost of $250 per meter. These upgrades will also enable the meter readers to collect the addition data through a radio read as they do their monthly meter reading and would not require a meter technician to physically visit and download the data monthly. The upgrades are in process to be ready for Jan 1, 2010. Also at the November Utilities Commission meeting, the Commission was informed about the sale of tax forfeited land and a lot of possible interest to the Utilities. After further analysis, the lot doesn't fit the future needs of the Utilities well. The lot does not currently have road access, it is located under Xcel transmission lines, and is not located in an area projected for substantial load growth.