1 00:00:01,433 --> 00:00:03,767 Okay, Google says it's four o'clock. Let's call our meeting order. 2 00:00:04,033 --> 00:00:05,166 Can you take the roll, please? 3 00:00:06,000 --> 00:00:06,934 Certainly. Mr. White? 4 00:00:07,266 --> 00:00:07,467 Here. 5 00:00:07,867 --> 00:00:08,300 Mr. Miller? 6 00:00:08,533 --> 00:00:08,734 Here. 7 00:00:09,233 --> 00:00:09,700 Mr. O'Reilly? 8 00:00:10,066 --> 00:00:10,100 Here. 9 00:00:10,500 --> 00:00:11,233 Mr. Eberle? 10 00:00:11,300 --> 00:00:11,500 Here. 11 00:00:11,734 --> 00:00:12,133 Mr. Knecht? 12 00:00:12,467 --> 00:00:12,700 Here. 13 00:00:13,066 --> 00:00:13,734 Mr. Varshall? 14 00:00:13,834 --> 00:00:14,033 Here. 15 00:00:15,300 --> 00:00:18,000 Mr. Capulis here, as well as trail manager, comp, and utility staff. 16 00:00:18,934 --> 00:00:19,533 Thank you, Bob. 17 00:00:20,467 --> 00:00:22,133 Jessica, was the meeting appropriately noticed? 18 00:00:22,634 --> 00:00:25,066 Yes, we spent on a notification from various media 19 00:00:25,100 --> 00:00:29,233 outlets and just posted here at the library city hall 20 00:00:29,300 --> 00:00:30,533 as well as the city website. 21 00:00:31,300 --> 00:00:33,100 Thank you very much. 22 00:00:34,066 --> 00:00:36,033 Number three, public comment period. At this time 23 00:00:36,100 --> 00:00:38,433 the commission recognized members of the public and 24 00:00:38,500 --> 00:00:42,834 dedicated the desire to address the commission. Do we have any members of the 25 00:00:42,867 --> 00:00:44,567 public here today to address the commission? 26 00:00:46,066 --> 00:00:48,100 Any members of the public for public comment? 27 00:00:50,266 --> 00:00:50,934 Seeing none. 28 00:00:52,066 --> 00:00:54,266 Number four, commissioner and staff comments. 29 00:00:54,567 --> 00:00:56,033 Commissioner, is there anything before we get going? 30 00:00:57,000 --> 00:01:02,000 I would just want to welcome John to the commission. 31 00:01:03,000 --> 00:01:04,934 Thank you, John. Did you want to tell anybody about yourself? 32 00:01:05,867 --> 00:01:09,066 Well, just recently appointed to the common council 33 00:01:09,100 --> 00:01:12,433 in two meetings, two and a half, three meetings now. 34 00:01:13,133 --> 00:01:17,700 And, yeah, I work as an IT director at Ford Bank. Prior 35 00:01:17,734 --> 00:01:20,367 to that, I worked in healthcare for far too many years. 36 00:01:21,000 --> 00:01:24,367 Almost 30. I aged myself a little bit by saying that. 37 00:01:25,433 --> 00:01:29,433 I'm happy to be here. I know I have a lot to learn, but I'm ready to dig in. 38 00:01:30,000 --> 00:01:31,033 Good. Welcome. 39 00:01:32,867 --> 00:01:33,700 Staff comments tonight. 40 00:01:34,433 --> 00:01:36,000 Yes, I have two of them tonight. 41 00:01:36,500 --> 00:01:38,634 So first, Jessica will be sending out an email. 42 00:01:39,567 --> 00:01:41,533 Probably tomorrow. The blue human annual 43 00:01:41,634 --> 00:01:45,033 meeting is scheduled for October, October 20th. 44 00:01:45,066 --> 00:01:47,433 It will be held on the cross. It's from 9 a.m. to 4 p.m. 45 00:01:48,000 --> 00:01:50,066 So that's bringing together two joint-act agencies. 46 00:01:50,433 --> 00:01:55,433 About 29 different utilities are represented. Both bodies will have board meetings, 47 00:01:55,500 --> 00:01:59,166 but then we'll have, right now, we have four or five speakers lined up to give 48 00:01:59,266 --> 00:02:02,333 insight into the industry on the electric side. 49 00:02:03,000 --> 00:02:08,133 From generation type batteries and the end-of-meter diesel generators to someone 50 00:02:08,033 --> 00:02:11,233 talking about banking security and then someone giving 51 00:02:11,300 --> 00:02:14,133 maybe an overview of the state of the electric market. 52 00:02:14,634 --> 00:02:17,700 So look for that email and if you can respond to her to let her know if you're 53 00:02:17,734 --> 00:02:19,133 available to attend, that would be great. 54 00:02:20,934 --> 00:02:24,066 Especially for newer members, these are great educational opportunities. 55 00:02:25,300 --> 00:02:28,634 Yeah, and this will bring together, like I said, 29 communities, but 56 00:02:28,700 --> 00:02:34,133 representatives will be, you know, my level or department of public works 57 00:02:34,033 --> 00:02:38,100 directors, utility directors, council members, commissioners, mayors. 58 00:02:38,166 --> 00:02:40,567 It will be the whole gamut of people that may attend 59 00:02:40,634 --> 00:02:43,767 these events. So we're more than welcome to join us. 60 00:02:44,700 --> 00:02:47,500 The second item I have is, I'm sure many of you have heard in the news about a 61 00:02:47,567 --> 00:02:50,333 local company that's going to be closing later this year. 62 00:02:51,867 --> 00:02:55,300 Unfortunately, this company, you know, it represents about half a percent of our 63 00:02:55,367 --> 00:02:58,900 electric sales. So if I exclude purchase power, it's about a half a percent. 64 00:02:59,066 --> 00:03:06,133 So it's meaningful, but not maybe too large, if you will. On the water side, it 65 00:03:06,033 --> 00:03:09,133 represents closer to about 7.5 percent of our water sales. 66 00:03:09,934 --> 00:03:14,433 So unfortunately on the water side, while there would be that reduction revenue, 67 00:03:14,500 --> 00:03:16,667 there isn't really a corresponding expense, per se. 68 00:03:17,266 --> 00:03:20,934 There may be some slight, you know, decrease in electric electricity that we use 69 00:03:21,000 --> 00:03:24,233 for pumping and a little bit from a chemical perspective as far as treatment. 70 00:03:24,867 --> 00:03:29,000 So we're already taking this into account as we consider the budgets as we prepare 71 00:03:29,066 --> 00:03:30,867 those for your consideration in the months that come. 72 00:03:31,500 --> 00:03:35,667 And another thing to think about is this may, unfortunately, lead us, as you know, 73 00:03:35,734 --> 00:03:37,333 on the water side, we have the ability to do a simplified water rate case. 74 00:03:37,433 --> 00:03:41,667 And that would be something that would be looked at in March or April next year. So 75 00:03:41,734 --> 00:03:45,233 it's possible with a combination of looking at the budgets and the audit and so 76 00:03:45,300 --> 00:03:48,066 forth that we may have to strongly consider that when the time comes. 77 00:03:48,734 --> 00:03:52,233 So just kind of putting that out there for information on me. 78 00:03:52,634 --> 00:03:55,367 That's great. And that's both of them? 79 00:03:55,467 --> 00:03:55,734 Yes. 80 00:03:57,066 --> 00:03:57,467 Thank you. 81 00:03:58,634 --> 00:04:00,367 Number five, Employee Service Awards. 82 00:04:00,467 --> 00:04:05,834 Yes. So today we get to recognize Jessica Lure. She's celebrating five years of 83 00:04:05,867 --> 00:04:10,233 service on September 27th. It's hard to imagine that five years have gone past. 84 00:04:11,033 --> 00:04:15,700 It's gone pretty fast. So she is our communications and executive assistant that 85 00:04:15,734 --> 00:04:18,066 whole time. So please join me in congratulating Jessica. 86 00:04:19,367 --> 00:04:25,433 Thank you. 87 00:04:25,500 --> 00:04:26,000 Thank you. 88 00:04:26,300 --> 00:04:28,000 Number six, a glue update. 89 00:04:28,433 --> 00:04:32,867 Yes. So each quarter we provide an update on Great Lakes Utilities activities. 90 00:04:33,567 --> 00:04:35,000 It's kind of a recap of a lot of the 91 00:04:35,066 --> 00:04:38,500 activities that are going on from across the quarter. 92 00:04:38,934 --> 00:04:40,934 So I won't necessarily get into any specifics 93 00:04:41,000 --> 00:04:42,934 on it, but welcome any questions you may have. 94 00:04:43,367 --> 00:04:46,433 I know it's a little bit of alphabet soup. And if you look at it with the different 95 00:04:46,500 --> 00:04:49,467 acronyms, it's kind of a world I work in. 96 00:04:49,533 --> 00:04:50,300 If you will, that would work in. 97 00:04:52,934 --> 00:04:55,533 Yes, just a quick question. And maybe we've covered this. So I 98 00:04:55,634 --> 00:05:00,233 apologize. But I see on the reference to the CMP as RFP. Yes. 99 00:05:00,934 --> 00:05:03,000 You just give me two minutes on what that is. 100 00:05:03,166 --> 00:05:08,033 Sure. So CM Compass is another joint agency in Minnesota. 101 00:05:09,033 --> 00:05:13,900 And we partnered with glue partner with them along with Konexis, which is a 102 00:05:13,934 --> 00:05:17,000 cooperative in northern Minnesota, northern 103 00:05:17,066 --> 00:05:21,367 suburbs of the St. Paul area, Minneapolis area. 104 00:05:21,467 --> 00:05:24,700 Along with Cedar Falls, Iowa, the four groups 105 00:05:24,734 --> 00:05:27,266 went in and put together an RFP for a power supply. 106 00:05:27,867 --> 00:05:31,900 And we had basically any non-hydrogen. So renewables, wind, 107 00:05:31,934 --> 00:05:36,300 solar, or batteries for different various quantities and sizes. 108 00:05:36,634 --> 00:05:40,133 So we expect to see the results later this week. And then we'll be analyzing over 109 00:05:40,033 --> 00:05:41,333 the next month or two to see if there's some 110 00:05:41,433 --> 00:05:43,667 viable solutions to make glue power supply. 111 00:05:44,433 --> 00:05:45,467 Thank you. 112 00:05:46,700 --> 00:05:47,133 Good question. 113 00:05:49,433 --> 00:05:51,467 Any other questions on the Google update? 114 00:05:54,100 --> 00:05:55,567 That's for information only. 115 00:05:57,100 --> 00:06:01,567 So moving on to number seven, public and private side water replacement timeline. 116 00:06:02,467 --> 00:06:05,033 So this is a follow up to the lead service 117 00:06:05,100 --> 00:06:08,066 replacement schedule that the commission adopted back in 2025. 118 00:06:09,467 --> 00:06:13,467 At that time, we established deadlines for the end of this year for private side 119 00:06:13,533 --> 00:06:16,667 lead services, water services, 2027 for the 120 00:06:16,734 --> 00:06:19,367 public side lead services, and 2030 for lead gooseneks. 121 00:06:20,433 --> 00:06:23,066 As we progress through the replacement program, we're 122 00:06:23,133 --> 00:06:26,367 looking at recommending some adjustments to that timeline. 123 00:06:27,300 --> 00:06:32,533 We currently have about 273 public side lead services and approximately 542 lead 124 00:06:32,634 --> 00:06:37,066 gooseneks remaining, along with about 18 or so private lead services. 125 00:06:38,467 --> 00:06:41,000 And unfortunately, as we continue to do the public side, one 126 00:06:41,066 --> 00:06:43,734 thing that does occur is that we do identify new private side. 127 00:06:44,367 --> 00:06:47,767 And the reason that happens is obviously it's their underground facilities. Over 128 00:06:47,867 --> 00:06:50,300 time, people's lead services, they failed 129 00:06:50,367 --> 00:06:53,133 inside the house or it comes up into the house. 130 00:06:53,734 --> 00:06:57,834 So the private property owners replaced that maybe three or four or five feet. So 131 00:06:57,867 --> 00:06:59,634 when we do a visual, it looks like it's been updated. 132 00:06:59,700 --> 00:07:02,433 But in reality, when you go outside and look at the curb top, that's when you see 133 00:07:02,500 --> 00:07:04,333 the rest of it's unfortunately still wet. 134 00:07:04,433 --> 00:07:10,166 So we expect that, I think, John, was it one in 12, roughly? So for every 12 public 135 00:07:10,266 --> 00:07:15,166 side, we come across one of them has a private side lead to be replaced, roughly. 136 00:07:18,066 --> 00:07:23,667 So the recommendation is to allow newly identified, so what we're recommending is 137 00:07:23,734 --> 00:07:28,767 that for any newly identified private lead services, that they basically have until 138 00:07:28,867 --> 00:07:30,367 the following county year for replacement. 139 00:07:30,467 --> 00:07:32,300 So that would mean if they found it now, they 140 00:07:32,367 --> 00:07:34,867 would have until the end of next year to replace it. 141 00:07:37,300 --> 00:07:41,567 And then to extend the public side at least one more year to the end of 2028 and to 142 00:07:41,634 --> 00:07:44,000 extend the gooseneck deadline to the end of 2035. 143 00:07:44,934 --> 00:07:48,233 These changes will give us greater flexibility to coordinate the work with streets 144 00:07:48,300 --> 00:07:51,700 and other water main projects, better be able to 145 00:07:51,734 --> 00:07:54,133 and better manage our available capital spending. 146 00:07:55,467 --> 00:07:58,300 And as we just talked about that large customer, that's another component to be 147 00:07:58,367 --> 00:08:02,133 thinking about is it, you know, as our resources are lessened, this would help. 148 00:08:04,467 --> 00:08:08,567 Importantly to note is that even with these potential changes, we're still looking 149 00:08:08,634 --> 00:08:14,133 at targeting a replacement of the public service, the public lead services nine 150 00:08:14,033 --> 00:08:16,734 years ahead of the current federal and state requirements. 151 00:08:18,533 --> 00:08:21,367 So I'd like to leave it to you guys for any questions you might have. 152 00:08:22,467 --> 00:08:24,433 Is there a motion for anything? 153 00:08:25,166 --> 00:08:26,000 I'll move to approve that. 154 00:08:26,567 --> 00:08:26,634 Second. 155 00:08:27,533 --> 00:08:27,934 I'll move to approve the recommendation. 156 00:08:28,934 --> 00:08:29,133 Yes. 157 00:08:30,066 --> 00:08:30,266 Second. 158 00:08:30,634 --> 00:08:30,834 Second. 159 00:08:31,233 --> 00:08:31,467 Questions? 160 00:08:32,333 --> 00:08:34,000 Yeah, I don't have any problem with the high schedule. 161 00:08:34,066 --> 00:08:37,433 I think that looks fine, but I'm just curious if there's been any talk from 162 00:08:37,500 --> 00:08:41,467 regulators or environmental groups or others who might be concerned that the 163 00:08:41,533 --> 00:08:48,133 schedule, the planned schedule is too long and pushing legislators and whatever to 164 00:08:48,033 --> 00:08:50,834 advance the schedule or accelerate the schedule. 165 00:08:51,433 --> 00:08:53,634 I think it's a little more seeing it's actually gaps. 166 00:08:54,934 --> 00:08:59,300 So some of the big communities like Chicago and such have considerable amount of 167 00:08:59,367 --> 00:09:03,033 what services and for them to even meet those deadlines, it's unlikely. 168 00:09:04,033 --> 00:09:10,033 They should note that the EPA is in court right now with the AWBA and others 169 00:09:10,100 --> 00:09:12,934 fighting against the schedules that have been proposed. 170 00:09:14,433 --> 00:09:18,166 I'm not moving into the details, but they feel like it's unjust, if you will. 171 00:09:18,467 --> 00:09:21,567 So it's been more the latter. 172 00:09:21,867 --> 00:09:24,634 Not likely that anything will accelerate. 173 00:09:25,066 --> 00:09:28,166 Yeah, I think the only thing we'll likely hope that I would anticipate at some 174 00:09:28,266 --> 00:09:31,100 point we'll see a good snack deadline added to it. 175 00:09:31,000 --> 00:09:34,000 But I think at this point that the main focus is on the full blood services. 176 00:09:35,734 --> 00:09:39,000 And I should note that, you know, as we try to coordinate projects and I know you 177 00:09:39,066 --> 00:09:42,834 haven't seen the capital budget yet, but one thing that we do have is, and this is 178 00:09:42,867 --> 00:09:45,000 a ways out, and I alluded to Central Avenue. 179 00:09:45,433 --> 00:09:52,166 Central Avenue from Arnold to Harrison is scheduled to be replaced in 2032. 180 00:09:53,266 --> 00:09:55,266 And we have some blood services in that area. 181 00:09:55,867 --> 00:09:59,000 So as we continue down the road, is it possible this item might come back to you 182 00:09:59,066 --> 00:10:01,567 again for consideration if we want to make some adjustments? 183 00:10:02,333 --> 00:10:05,133 But just I think this is a good interim to know. 184 00:10:05,033 --> 00:10:07,367 At least a first step, I guess, to help get us some flexibility. 185 00:10:08,433 --> 00:10:11,133 Yes, sir. 186 00:10:11,500 --> 00:10:13,033 Just a new guy question. 187 00:10:13,066 --> 00:10:16,066 On the private side funding, are those 188 00:10:16,133 --> 00:10:19,734 homeowners responsible to pay that replacement? 189 00:10:20,266 --> 00:10:21,567 And are there grants? 190 00:10:22,934 --> 00:10:24,533 Yeah, so there are grants right now. 191 00:10:25,533 --> 00:10:29,634 So through those that we complete this year are being 100% funded through the grant 192 00:10:29,700 --> 00:10:32,533 program or some, the commission allocated a 193 00:10:32,634 --> 00:10:34,367 few dollars from their fund to help support. 194 00:10:35,433 --> 00:10:38,233 Unfortunately, I want to look forward to next year and beyond. 195 00:10:38,300 --> 00:10:40,500 We're a little worried that the state funding may be trimmed. 196 00:10:41,033 --> 00:10:43,100 So right now it's 100% principal forgiveness. 197 00:10:44,066 --> 00:10:45,834 But we're anticipating is that we may see 198 00:10:45,867 --> 00:10:47,700 something like 25% that's full forgiveness. 199 00:10:48,433 --> 00:10:53,567 So obviously on a $5,000 expense, there's going to be 75% of that on the customer. 200 00:10:54,467 --> 00:10:56,867 However, I think, are we talking, what's the carryover? 201 00:10:56,934 --> 00:10:58,867 We're thinking like eight to 10, John. 202 00:10:59,000 --> 00:11:00,066 Of the remaining projects? 203 00:11:00,133 --> 00:11:01,000 For next year, yeah. 204 00:11:01,066 --> 00:11:01,333 Yeah, we have eight to 10. 205 00:11:02,233 --> 00:11:04,333 I'm still going to try to get them in this year yet. 206 00:11:04,867 --> 00:11:04,867 Yeah. 207 00:11:05,934 --> 00:11:07,000 But if we can't, we might put it off until April. 208 00:11:07,634 --> 00:11:09,634 But yeah, there's with the money we got left, we can 209 00:11:09,700 --> 00:11:13,533 probably do about eight to 10 of the 18 we have remaining. 210 00:11:13,834 --> 00:11:16,000 So there'll probably be eight or so that carry over to next year. 211 00:11:16,066 --> 00:11:21,100 If you figure we have about 250 or so to inspect on the public side, we're 212 00:11:21,000 --> 00:11:23,066 anticipating maybe another 20 to get added. 213 00:11:23,300 --> 00:11:25,100 So those are the ones, unfortunately, that'll 214 00:11:25,000 --> 00:11:27,367 get subject to that 25% principal forgiveness. 215 00:11:27,467 --> 00:11:32,066 And obviously when the time comes, when that funding comes back to you guys for 216 00:11:32,100 --> 00:11:35,367 consideration on if there's any creative 217 00:11:35,467 --> 00:11:37,166 solutions that'll come up with a shortfall. 218 00:11:38,100 --> 00:11:38,934 Thank you. 219 00:11:39,433 --> 00:11:42,333 So it starts with the homeowner is responsible for the private side. 220 00:11:42,734 --> 00:11:43,000 Got it. 221 00:11:44,100 --> 00:11:46,634 But the utility's got a great job of finding resources to help out. 222 00:11:48,567 --> 00:11:48,767 Okay. 223 00:11:50,100 --> 00:11:51,700 Okay, so we have a motion and a second. 224 00:11:51,734 --> 00:11:53,567 Any other questions or discussion on that? 225 00:11:55,000 --> 00:11:56,066 If not, all in favor? 226 00:11:56,934 --> 00:11:57,133 Aye. 227 00:11:57,433 --> 00:11:58,233 Opposed? 228 00:11:59,634 --> 00:12:00,100 Motion carries. 229 00:12:03,634 --> 00:12:06,300 Number eight, can you strategic plan quarterly update? 230 00:12:07,634 --> 00:12:09,900 So just kind of like the glue, this is a 231 00:12:09,934 --> 00:12:12,066 quarterly update that we provide to the commission. 232 00:12:13,266 --> 00:12:17,734 This is there's obviously a number of activity that's the initiatives. 233 00:12:18,066 --> 00:12:19,066 You can see that we cut it. 234 00:12:19,300 --> 00:12:21,934 We tell the quarter living rent has been changes from the last time. 235 00:12:22,467 --> 00:12:25,100 And then green are the ones that are different and something that's 100% complete. 236 00:12:25,467 --> 00:12:29,700 So you can see that the vast majority of the initiatives have some activity going 237 00:12:29,734 --> 00:12:32,667 on and changes from a month or just a quarter quarter. 238 00:12:33,066 --> 00:12:35,900 So this will get into details of anyone but 239 00:12:35,934 --> 00:12:39,433 welcome any questions or comments you might have. 240 00:12:40,533 --> 00:12:42,266 Questions to have today. 241 00:12:51,734 --> 00:12:53,467 Looks like good progress in a number of areas. 242 00:12:53,533 --> 00:12:56,166 Is there anything that's lagging behind that you're concerned about? 243 00:12:59,233 --> 00:13:03,066 I think that there's, you know, there's a couple that are related to the commission 244 00:13:03,100 --> 00:13:07,500 on the back end related to our support of glue and potentially U-MEG. 245 00:13:08,000 --> 00:13:12,100 I think there's also one on economic development because we kind of tabled that for 246 00:13:12,000 --> 00:13:13,367 the city to get their strategic plan completed. 247 00:13:14,433 --> 00:13:15,834 So those are areas that we're waiting on. 248 00:13:15,867 --> 00:13:17,266 Maybe that needs some. 249 00:13:18,867 --> 00:13:21,133 We need to do some things on the communication area. 250 00:13:21,567 --> 00:13:24,033 I know this is focusing on that so we can 251 00:13:24,100 --> 00:13:25,700 kind of move that on the floor a little bit. 252 00:13:26,567 --> 00:13:30,433 I do envision that, you know, there's a 27 plan based on where we are now. 253 00:13:30,934 --> 00:13:34,000 I could envision us asking for a one year extension if you would to run that one 254 00:13:34,066 --> 00:13:37,100 more year just given the activity that's going on. 255 00:13:37,266 --> 00:13:39,934 I don't think there's been a huge shift, I guess, overall in focus. 256 00:13:40,734 --> 00:13:42,033 There's obviously more work that could be done 257 00:13:42,100 --> 00:13:43,767 within the items that were already identified. 258 00:13:46,433 --> 00:13:47,934 Other questions? 259 00:13:48,433 --> 00:13:50,734 I'm just wondering, again, new guy question, how 260 00:13:50,834 --> 00:13:55,634 often is this strategic plan edited, redeveloped? 261 00:13:55,700 --> 00:13:56,333 Is it annually? 262 00:13:57,433 --> 00:14:00,333 Yeah, the overall plan I think is on a three year cycle generally. 263 00:14:00,433 --> 00:14:01,133 Three years? Okay. 264 00:14:01,533 --> 00:14:03,133 But we have the last one I think we want one more year 265 00:14:03,233 --> 00:14:05,467 and then this one I could see where we may go one more year. 266 00:14:05,867 --> 00:14:06,100 Thanks. 267 00:14:08,467 --> 00:14:10,500 Good. 268 00:14:10,567 --> 00:14:11,133 We've got questions. 269 00:14:13,100 --> 00:14:13,133 Okay. 270 00:14:14,000 --> 00:14:14,734 We're going to have to talk. 271 00:14:18,433 --> 00:14:20,333 All right, that's for information only. 272 00:14:20,433 --> 00:14:21,700 Any other questions? 273 00:14:23,734 --> 00:14:28,367 If not, number nine, economic development fund governance policy review. 274 00:14:30,433 --> 00:14:31,367 Version 62. 275 00:14:32,433 --> 00:14:33,333 Version 62. 276 00:14:34,433 --> 00:14:39,166 So, so based on the discussion of the last meeting, we've put together a new or 277 00:14:39,266 --> 00:14:45,066 replacement policy that was developed that basically split has the community 278 00:14:45,133 --> 00:14:47,266 donations which was a part of the policy originally. 279 00:14:48,100 --> 00:14:51,467 And then we added a section as it relates to economic development support support. 280 00:14:52,433 --> 00:14:55,066 The hope was this, you know, the strap policy might 281 00:14:55,100 --> 00:14:57,467 help facilitate some conversation and they may help us. 282 00:14:58,467 --> 00:15:00,834 So there's ways to tweak it or make it to make it better. 283 00:15:01,100 --> 00:15:04,000 But just again trying to help drive that forward a little bit. 284 00:15:06,634 --> 00:15:11,033 I really like the way that you guys separated out the community and the economic 285 00:15:11,066 --> 00:15:13,233 development criteria that was that was a big 286 00:15:13,300 --> 00:15:15,367 part of what came out of last month's conversation. 287 00:15:16,367 --> 00:15:18,000 I think you guys did a nice job on that. 288 00:15:18,734 --> 00:15:21,233 Do we want to start with questions comments discussion. 289 00:15:21,834 --> 00:15:22,867 Do we want to start with emotion. 290 00:15:25,066 --> 00:15:27,634 What's the flavor today. 291 00:15:31,433 --> 00:15:33,133 Move to approve for discussion. 292 00:15:35,433 --> 00:15:37,834 Second by Paul discuss. 293 00:15:41,634 --> 00:15:45,333 Yes, I'll just add that as I was looking over this this morning and remembering how 294 00:15:45,433 --> 00:15:47,100 many times we've talked about this before. 295 00:15:48,467 --> 00:15:53,033 We just need to get something down and proved and it's likely things will come up 296 00:15:53,100 --> 00:15:56,700 that might turn us to want to change this but until we 297 00:15:56,734 --> 00:15:59,934 have something adopted that covers what we've talked about. 298 00:16:01,066 --> 00:16:05,934 We could spin our wheels a lot trying to get us to find to exactly the way we think 299 00:16:06,000 --> 00:16:09,133 we want and then something will come up so I agree that 300 00:16:09,033 --> 00:16:12,667 we should prove this version and see how far it takes us. 301 00:16:14,433 --> 00:16:15,266 Okay. 302 00:16:17,433 --> 00:16:18,033 Other thoughts. 303 00:16:21,433 --> 00:16:24,934 This reads a whole lot better than the version 6061. 304 00:16:27,066 --> 00:16:30,000 I would agree I think it's time to give it a try. 305 00:16:31,734 --> 00:16:36,033 No further discussion with emotion in a second all in favor. 306 00:16:36,734 --> 00:16:42,367 I oppose motion carries we have updated set policy. 307 00:16:44,433 --> 00:16:49,100 Number 10 electric parallel generation PSC by back. 308 00:16:49,500 --> 00:16:55,066 PSC tariff update and GL you join the filing authorization that is a mouthful. 309 00:16:56,867 --> 00:16:57,100 Yes. 310 00:16:59,734 --> 00:17:03,300 So this item relates to how much of the utility compensates customers who generate 311 00:17:03,367 --> 00:17:05,667 their own electricity primarily through rooftop 312 00:17:05,734 --> 00:17:08,533 solar and provide the access back to our system. 313 00:17:09,433 --> 00:17:13,500 We currently have about 55 customers with customer generation and I should note 314 00:17:13,567 --> 00:17:20,066 that not all of them actually have access to maybe remember here half ish. 315 00:17:20,433 --> 00:17:23,066 I have access at least a few months of the 316 00:17:23,133 --> 00:17:25,367 year and generally it's the summer months. 317 00:17:27,066 --> 00:17:31,266 Our existing buyback rate is six point one eight cents per kilowatt hour and this 318 00:17:31,333 --> 00:17:35,333 is basically generate based generally on our available power cost. 319 00:17:36,467 --> 00:17:40,533 And what happens every year is Joe and team put together updated voice basically 320 00:17:40,634 --> 00:17:44,367 looks at our hard bills figures out what that updated cost is at this minute to the 321 00:17:44,467 --> 00:17:47,166 PSC in January usually by February March 322 00:17:47,266 --> 00:17:49,433 or maybe April depending how fast they are. 323 00:17:49,500 --> 00:17:52,667 They update that rate and that updates how much we pay for access. 324 00:17:54,433 --> 00:17:57,300 And so we have a lot of that back in 2018 is when that structure got put in place 325 00:17:57,367 --> 00:17:59,767 and at that time customers that had solar 326 00:17:59,867 --> 00:18:02,133 systems already installed were grandfathered in. 327 00:18:02,700 --> 00:18:06,900 So they were grandfathered for 10 years which goes to the end of next year. So they 328 00:18:06,934 --> 00:18:10,033 actually are grandfathered in where they get the full retail rate back. 329 00:18:11,133 --> 00:18:14,467 So that could be nine cents or somewhere in the nine cents. 330 00:18:19,834 --> 00:18:22,233 Over the past 18 months the public service commission 331 00:18:22,300 --> 00:18:24,867 Wisconsin has approved changes for Wisconsin utilities. 332 00:18:25,433 --> 00:18:28,934 They basically started with the industrial utilities and now we're starting to see 333 00:18:29,000 --> 00:18:32,667 movement to the municipalities and should note that cooperatives aren't governed by 334 00:18:32,734 --> 00:18:35,533 the public service commission they make their own rules locally. 335 00:18:36,000 --> 00:18:37,100 They don't have any PSC oversight. 336 00:18:38,433 --> 00:18:42,133 But anyway they changed the methodology and looking to move more from an avoided 337 00:18:42,033 --> 00:18:48,133 cost structure into a market based approach rather than using a single avoid a cost 338 00:18:48,033 --> 00:18:52,533 rate the proposed methodology considers myself their energy market their capacity 339 00:18:52,634 --> 00:18:54,166 market to figure out along with distribution 340 00:18:54,266 --> 00:18:57,033 losses to figure out that bio buyback should be. 341 00:18:59,433 --> 00:19:02,266 We looked at how this methodology would affect our customers over the past three 342 00:19:02,333 --> 00:19:07,066 years overall and you paid about just over thirty thousand dollars in apparel 343 00:19:07,100 --> 00:19:11,700 generation credits under the proposed methodology we'd estimate the credits would 344 00:19:11,734 --> 00:19:13,300 have been approximately twenty six thousand 345 00:19:13,367 --> 00:19:16,133 dollars or about four thousand dollars less. 346 00:19:17,467 --> 00:19:20,467 I think the more important thing to be considering here is that the methodology 347 00:19:20,533 --> 00:19:24,467 would better align what we pay our customers for generation based on what the 348 00:19:24,533 --> 00:19:29,100 market is that may be the volatility or the changes in our wholesale supply because 349 00:19:29,166 --> 00:19:33,066 as we know right now we have a certain structure as we look to the future. 350 00:19:33,467 --> 00:19:37,033 Martin you know we're pivoting into a different structure that's going to create 351 00:19:37,066 --> 00:19:41,767 volatility and giving a market signal is probably is a better approach and that's 352 00:19:41,867 --> 00:19:44,266 why the PSC is pushing people towards that. 353 00:19:45,433 --> 00:19:50,533 The utilities members have been monitoring some of the impacts of the PSC and the 354 00:19:50,634 --> 00:19:55,834 changes is now considering a joint PSC filing so there are basically a number of 355 00:19:55,867 --> 00:19:59,500 utilities would go together and submit basically one filing to the state. 356 00:20:00,100 --> 00:20:04,066 This joint filing would allow us to share in the regulatory consulting costs that 357 00:20:04,133 --> 00:20:08,333 filing versus filing individually so there's a kind of scale savings there. 358 00:20:08,433 --> 00:20:11,500 The structure of everyone's tariff would essentially be the same. 359 00:20:13,300 --> 00:20:16,300 What would generally what happens during a PSC filing is that there is a 360 00:20:16,367 --> 00:20:19,667 grandfathering period so even if we did make a change that started they'll say next 361 00:20:19,734 --> 00:20:24,767 year that PSC would likely have an order point in there that requires a five or ten 362 00:20:24,867 --> 00:20:28,734 year grandfathering period before the new structure would actually take effect. 363 00:20:29,834 --> 00:20:33,934 So the question for the commission tonight is if you'd like to participate in the 364 00:20:34,000 --> 00:20:37,000 joint filing and pursue an update to our parallel generation tariffs. 365 00:21:16,467 --> 00:21:18,834 I'm not sure if you're actually questioning to the customers this is a methodology 366 00:21:18,867 --> 00:21:20,567 today but it's always subject to change in 367 00:21:20,634 --> 00:21:22,867 the future based on our PSC requirements. 368 00:21:24,734 --> 00:21:29,033 I'm sure there are but I guess nothing's I mean. 369 00:21:29,367 --> 00:21:29,767 Yeah. 370 00:21:31,166 --> 00:21:34,700 I'm just trying to go to a market base so it's what the MISO you know if we were to 371 00:21:34,734 --> 00:21:37,667 go to MISO and buy energy or buy capacity that's 372 00:21:37,734 --> 00:21:39,834 the rates that the customers would get in turn. 373 00:21:43,433 --> 00:21:45,100 And you know they're going to be able to do the same thing annually based on what 374 00:21:45,000 --> 00:21:47,834 the new and the big two the structures of three year 375 00:21:47,867 --> 00:21:51,634 average look back basically to create the rate for the next year. 376 00:22:00,433 --> 00:22:04,867 But it's and in that you were installs in the future. 377 00:22:04,934 --> 00:22:07,333 Would that will have any impact on how these 378 00:22:07,433 --> 00:22:10,734 rates are determined in the future or or not. 379 00:22:11,433 --> 00:22:15,300 Yeah there's nothing from a taxation perspective that's associated with it. 380 00:22:15,734 --> 00:22:20,533 There hasn't been in the past and I guess for legislation may go I don't see it but 381 00:22:20,634 --> 00:22:24,166 it's unlikely unlikely from my perspective that would see correlation. 382 00:22:29,467 --> 00:22:33,333 Nick do you have a sense of what the cost of this filing would be. It looks like 383 00:22:33,433 --> 00:22:39,467 this change would save the utility a little bit of money but it could cost us more 384 00:22:39,533 --> 00:22:43,266 to go through the filing process than what we'd be saving. 385 00:22:47,467 --> 00:22:53,233 So if we do a full rate case it's a pretty costly endeavor. This is called a tariff 386 00:22:53,300 --> 00:22:58,567 edit so it's usually a little less. It is less because it's just an added to our 387 00:22:58,634 --> 00:23:03,367 tariff of 30 or 40 pages and now we're only talking about maybe five pages. 388 00:23:04,033 --> 00:23:05,000 So actually only doing the subside. 389 00:23:05,734 --> 00:23:15,133 However there would be a savings. I have to quantify it. I would guess if I had to 390 00:23:15,033 --> 00:23:18,033 guess maybe instead of 10,000 it's only one to two thousand. 391 00:23:20,467 --> 00:23:25,133 It really depends on how many people intervene in the process and how long it takes 392 00:23:25,233 --> 00:23:28,100 to go through that. If it becomes contested by 393 00:23:28,166 --> 00:23:31,033 interveners and working through that process and the legal cost. 394 00:23:32,133 --> 00:23:38,100 But being split amongst 10 others versus solving ourselves definitely savings. 395 00:23:38,634 --> 00:23:43,333 Right and the follow up would be if this is the direction PSC is going is it going 396 00:23:43,433 --> 00:23:47,934 to be a sooner or later thing this is would be expected that we'd go this direction 397 00:23:48,000 --> 00:23:51,333 and if so that would make sense to do with one of the else. 398 00:23:52,867 --> 00:23:57,066 Yeah, I mean sometimes it takes the PSC a while before they kind of standardized on 399 00:23:57,133 --> 00:24:01,100 something and since there's just one utility at this point, it may not if we would 400 00:24:01,166 --> 00:24:04,133 do it through a full rate case tomorrow, it may not be 401 00:24:04,033 --> 00:24:06,100 that they make that up to you but I could see in the future. 402 00:24:06,867 --> 00:24:12,133 Sturgeon Bay is a part of joint exchange called WPPI in my conversations with them. 403 00:24:12,033 --> 00:24:15,734 It sounds like they have a number of their members that want to file. So I think 404 00:24:15,834 --> 00:24:18,166 that to your point it's moving in the path 405 00:24:18,266 --> 00:24:19,734 where it would be the standard structure. 406 00:25:00,433 --> 00:25:04,066 I guess is what I'm trying to ask. 407 00:25:09,033 --> 00:25:16,567 I guess regardless of what we do it's just a matter of you paying 100% of the cost. 408 00:25:17,867 --> 00:25:22,033 If you do it by yourself versus if you do a 10 others you only pay 10% of that cost 409 00:25:22,100 --> 00:25:30,133 and to say if it's if you if you wait four years five years it'd be whatever the 410 00:25:30,033 --> 00:25:33,100 increase in labor costs from the attorney that 411 00:25:33,166 --> 00:25:34,333 would help with filing things and that sort of thing. 412 00:25:34,433 --> 00:25:36,700 I'm not talking about the cost of filing. I'm talking 413 00:25:36,734 --> 00:25:43,333 about the calculation model change produces a savings. 414 00:25:43,433 --> 00:25:57,133 I would say that it's a good question. When we analyze the numbers what I found was 415 00:25:57,033 --> 00:26:01,700 we have two different size of customers. We have our PGS one which are 20 KW or 416 00:26:01,734 --> 00:26:04,367 less and we have our PGS two which are 20 KW or more. 417 00:26:04,467 --> 00:26:10,433 And with the way the rights are structured the PGS one customer would see a 418 00:26:10,500 --> 00:26:15,133 decrease while the PGS two would actually see an increase because they're getting 419 00:26:15,033 --> 00:26:19,500 more they're getting accreditation for their capacity if you will. Whereas the 420 00:26:19,567 --> 00:26:22,233 smaller ones are not given how the structure is. 421 00:26:23,533 --> 00:26:31,133 So the savings increase, decrease. Good question. 422 00:26:32,433 --> 00:26:37,567 Probably depends if more 20 KW and larger come on board versus less. Right. Yeah. 423 00:26:37,634 --> 00:26:39,500 With the reduction in tax credit we're going to see 424 00:26:39,567 --> 00:26:42,433 less new installations and less something changes there. 425 00:26:43,700 --> 00:26:48,133 Yeah it's hard to say because you also have the factor of changes prop hands or the 426 00:26:48,233 --> 00:26:51,100 property changes hands and how they use electricity 427 00:26:51,000 --> 00:26:54,667 if it's less or more could create less or more excess. 428 00:26:56,433 --> 00:27:00,567 We also have over time these efficiencies of these units they have a decrease in 429 00:27:00,634 --> 00:27:04,333 factor of what we're seeing with the larger system is a half a percent. So every 430 00:27:04,433 --> 00:27:06,367 year they should in theory they should have about a 431 00:27:06,467 --> 00:27:08,734 half a percent decrease so they should see less excess. 432 00:27:09,700 --> 00:27:12,000 So then that should lessen the amount. 433 00:27:14,467 --> 00:27:20,000 I would also note that as I mentioned the grandfather if we take the grandfathered 434 00:27:20,066 --> 00:27:23,133 and provide them lower rates than that Delta 435 00:27:23,233 --> 00:27:25,033 that I originally talked about would be less. 436 00:27:26,066 --> 00:27:31,867 You know from where we're expecting the current study to where they are today that 437 00:27:31,934 --> 00:27:35,033 number will come down naturally just because of the grandfather period ending. 438 00:27:38,467 --> 00:27:42,100 I said something about grandfathered. Grandfather property changes hands 439 00:27:42,000 --> 00:27:48,233 grandfather property changes hands as it's still grandfathered and you go in there. 440 00:27:48,300 --> 00:27:52,934 What was the initial motivation for the change in general. 441 00:27:54,467 --> 00:27:56,767 2018 change or this change. 442 00:27:58,433 --> 00:27:59,266 It's a. 443 00:28:01,734 --> 00:28:05,000 We kind of follow the investor utilities so they kind of went through the process 444 00:28:05,066 --> 00:28:10,133 first and they came back with a rate methodology that's market based basically 445 00:28:10,033 --> 00:28:13,867 using the market to the MISO market to be the one that sets the rates. 446 00:28:14,433 --> 00:28:15,300 It's more. 447 00:28:18,000 --> 00:28:24,333 It's in Jersey quality across all utilities to some entry for that buyback versus 448 00:28:24,433 --> 00:28:29,100 us each having our own different methodology could trade in differences. 449 00:28:33,166 --> 00:28:34,300 It's a philosophy. 450 00:28:36,433 --> 00:28:38,700 Is trying to go on. 451 00:28:40,333 --> 00:28:44,266 Seems like it just comes down to when is the least expensive time to do such. 452 00:28:46,433 --> 00:28:48,700 Number one and number two. Are there any other cross 453 00:28:48,734 --> 00:28:52,133 subsidizations that are still going on in the solar transmission. 454 00:28:57,467 --> 00:29:00,467 Yeah I mean it still happen unfortunately. Yeah it does. 455 00:29:01,634 --> 00:29:05,467 Especially on a residential customer because let's say you have you and I both own 456 00:29:05,533 --> 00:29:07,700 homes are identical and every and we use the 457 00:29:07,734 --> 00:29:09,567 same amount of power but I have solar and you count. 458 00:29:10,634 --> 00:29:12,000 Well the utilities investment to provide you 459 00:29:12,066 --> 00:29:14,333 power is the same investment they had to make me. 460 00:29:14,433 --> 00:29:20,667 On a monthly basis I'm consuming a much less electricity or maybe in selling back 461 00:29:20,734 --> 00:29:25,867 access to now the utilities not recouping that fixed cost to extend services so 462 00:29:25,934 --> 00:29:28,100 that you're having even all the others that don't have solar 463 00:29:28,166 --> 00:29:32,367 are paying higher rate to subsidize me that the same equipment. 464 00:29:34,266 --> 00:29:36,300 And unfortunately until we get to time to use rates 465 00:29:36,367 --> 00:29:38,767 and even demand billing for residential customers. 466 00:29:39,433 --> 00:29:41,233 Unfortunately that piece is going to continue. 467 00:29:42,867 --> 00:29:48,133 So some of this bill is often changes also slowly working out that cross 468 00:29:48,033 --> 00:29:51,900 subsidization. Yeah you're starting to see more. 469 00:29:52,567 --> 00:29:55,467 I want to say Mg and e might be residential time of use 470 00:29:55,533 --> 00:29:58,634 is automatic you have to request to be in on time of use. 471 00:29:59,033 --> 00:30:01,467 Whereas here we have one customer time to 472 00:30:01,533 --> 00:30:03,033 use residential and turn on our employees. 473 00:30:03,467 --> 00:30:07,934 It's a rate that customers can have that no one wants and I signed up for it. 474 00:30:08,500 --> 00:30:11,333 But I think Phil softly across the United States you're starting to see that move 475 00:30:11,433 --> 00:30:15,300 in and some of the drive demand rates as well we're basically the man rate is take 476 00:30:15,367 --> 00:30:18,533 the whole all the hours in the month and basically 477 00:30:18,634 --> 00:30:21,567 look at what was your worst hour was your highest usage. 478 00:30:21,867 --> 00:30:24,834 You want one hour and there's a rate associated that that's 479 00:30:24,867 --> 00:30:27,033 what our commercial and industrial customers are rebuilding. 480 00:30:28,000 --> 00:30:31,433 And that helps you equate to the equipment that's needed to provide the service. 481 00:30:33,000 --> 00:30:36,033 Because it's so there's this set up to settle each month or 482 00:30:36,100 --> 00:30:40,567 does it have lost or carry over every month till end of year. 483 00:30:41,066 --> 00:30:42,767 There's some terminology in the order point I 484 00:30:42,867 --> 00:30:46,100 think that it's there's I think it was a chill. 485 00:30:46,500 --> 00:30:50,700 They can have as far as if they have access. They have to request to refund. 486 00:30:53,433 --> 00:30:54,000 Definitely. 487 00:30:55,433 --> 00:30:57,100 We'll just settle up at the end of the year. 488 00:30:57,734 --> 00:30:58,333 Generally. 489 00:30:58,867 --> 00:31:04,867 Energy savings account. 490 00:31:05,734 --> 00:31:09,567 I just wonder because Clark County they set up in December is what I've told. Just. 491 00:31:11,066 --> 00:31:15,934 Generally don't have customers running large negative. 492 00:31:16,700 --> 00:31:16,900 Balance. 493 00:31:19,433 --> 00:31:22,100 Majority of the ones that I looked at other than a media. 494 00:31:23,433 --> 00:31:28,033 They're providing access from June July and August maybe in September the other 495 00:31:28,100 --> 00:31:30,433 months they're using more power than they can. 496 00:31:32,934 --> 00:31:34,000 So maybe you're 20. 497 00:31:35,433 --> 00:31:36,033 Correct. 498 00:31:36,300 --> 00:31:37,233 Yeah there's a couple there. 499 00:31:37,867 --> 00:31:41,100 There's a couple larger customers who are probably providing them refunds. 500 00:31:43,433 --> 00:31:45,867 Any factory transmission costs on this as well. 501 00:31:46,433 --> 00:31:49,533 There's a place holder for transmission but through the filings. 502 00:31:50,734 --> 00:31:52,000 What is then. 503 00:31:55,934 --> 00:31:59,033 The output is really bad that there is no savings from a transmission perspective. 504 00:32:01,266 --> 00:32:03,133 So that is in there as a placeholder but 505 00:32:03,033 --> 00:32:05,133 given zero dollars in the credit calculation. 506 00:32:07,834 --> 00:32:11,266 The transmission providers have been able to show through reports and analysis. 507 00:32:11,433 --> 00:32:12,934 That's the case. 508 00:32:17,433 --> 00:32:18,700 So what do we think it. 509 00:32:26,500 --> 00:32:28,066 Seems like it's a two stage decision. 510 00:32:29,467 --> 00:32:31,734 We get on board with the philosophy changers. 511 00:32:32,100 --> 00:32:34,934 If you're going to get on board. 512 00:32:35,533 --> 00:32:36,233 It's not the time. 513 00:32:36,867 --> 00:32:37,834 Is there a better time. 514 00:32:40,033 --> 00:32:44,133 Well piece of that is you know right now we're talking about a four thousand dollar 515 00:32:44,033 --> 00:32:46,166 difference even if it grows a little bit. 516 00:32:47,634 --> 00:32:51,700 If you're looking at only having to pay one tenth we get one shot at that. 517 00:32:52,567 --> 00:32:54,934 Because I assume who is going to continue forward. 518 00:32:56,433 --> 00:32:57,100 With or without. 519 00:32:57,934 --> 00:32:58,700 Yeah there are. 520 00:32:59,734 --> 00:33:03,700 We mentioned we updated in 2018 there are a number of utilities that did do that. 521 00:33:04,100 --> 00:33:11,100 So there's still providing retail rate as the payment for access which. 522 00:33:11,533 --> 00:33:12,266 So there's savings. 523 00:33:13,433 --> 00:33:13,734 Correct. 524 00:33:15,634 --> 00:33:16,533 So from that standpoint. 525 00:33:17,533 --> 00:33:18,133 The savings. 526 00:33:19,100 --> 00:33:22,333 The savings we would gain from being one out of ten versus one alone. 527 00:33:22,467 --> 00:33:26,100 Is probably at least as much. 528 00:33:26,166 --> 00:33:28,100 Larger larger. 529 00:33:28,300 --> 00:33:30,634 So to me it makes sense to go forward. 530 00:33:31,734 --> 00:33:33,934 And be a part of the group. 531 00:33:34,433 --> 00:33:34,734 Yeah. 532 00:33:36,000 --> 00:33:39,533 One other thing to consider is that the methodology we use today is pretty 533 00:33:39,634 --> 00:33:42,300 straightforward and the ability we're able to take our wholesale bill. 534 00:33:43,000 --> 00:33:46,734 From Wisconsin Public Service and provide those numbers as we look to the future. 535 00:33:47,433 --> 00:33:49,133 And not being that simple. 536 00:33:49,867 --> 00:33:53,934 Having some other resource like this is looking at would be much more easy to 537 00:33:54,000 --> 00:33:56,000 administer and to provide to our customers. 538 00:34:01,433 --> 00:34:05,300 More transparent backward looking but harder to predict 539 00:34:05,367 --> 00:34:09,367 for someone wanting to know what they might get credited. 540 00:34:11,867 --> 00:34:13,033 Looking out into the future. 541 00:34:13,467 --> 00:34:13,700 Correct. 542 00:34:14,934 --> 00:34:16,066 No different than it is today. 543 00:34:17,433 --> 00:34:18,100 That's true. 544 00:34:18,433 --> 00:34:19,333 Changes every year. 545 00:34:19,834 --> 00:34:20,033 Yep. 546 00:34:23,100 --> 00:34:23,233 Yes. 547 00:34:24,133 --> 00:34:25,834 I was leaning toward what Paul was saying earlier. 548 00:34:26,033 --> 00:34:29,634 Earlier about now is the right time to do this because of the cost. 549 00:34:30,433 --> 00:34:31,433 Savings and sharing in that cost. 550 00:34:32,100 --> 00:34:37,033 But what Nick said earlier about maybe we would be an early adopter on this if 551 00:34:37,100 --> 00:34:39,367 Sturgeon Bay is one of the first and there's a few others looking at it. 552 00:34:39,467 --> 00:34:44,567 But if PSC hasn't settled into it, this is the methodology going forward. 553 00:34:44,634 --> 00:34:46,533 Is there a chance there would be another one of these 554 00:34:46,634 --> 00:34:50,133 coming up in a few years where PSC has changed the rules? 555 00:34:50,033 --> 00:34:52,734 Now we've got to go back and do what we've just done. 556 00:34:53,300 --> 00:34:57,266 I mean in 2018 there's been eight years and since the last time this has changed. 557 00:34:57,634 --> 00:35:00,233 But is this the last time it would change I guess is the question. 558 00:35:00,867 --> 00:35:02,033 And maybe you can answer that. 559 00:35:02,300 --> 00:35:02,834 Not likely. 560 00:35:03,834 --> 00:35:04,066 Yeah. 561 00:35:04,133 --> 00:35:05,700 I mean I would. 562 00:35:06,834 --> 00:35:09,066 The investor utilities are generally using that structure. 563 00:35:09,634 --> 00:35:11,100 So it's not as though I mean while the minister 564 00:35:11,166 --> 00:35:13,367 does there's only one minister with that structure. 565 00:35:14,867 --> 00:35:18,066 There's investor utilities represent a much greater share of the state. 566 00:35:18,133 --> 00:35:19,133 So there's that. 567 00:35:20,634 --> 00:35:20,867 Yeah. 568 00:35:21,266 --> 00:35:22,066 I mean there's always a risk. 569 00:35:23,000 --> 00:35:26,233 You know my so is the reference here and if they change how they administer those 570 00:35:26,300 --> 00:35:30,066 program and the energy market has been pretty stable capacity market is generally 571 00:35:30,100 --> 00:35:31,567 stable but has gone through some changes. 572 00:35:32,433 --> 00:35:35,233 From an annual number to a seasonal number. 573 00:35:35,300 --> 00:35:38,033 So I mean there's definitely some potential that there could be some changes. 574 00:35:39,000 --> 00:35:43,133 I think you always run that risk. 575 00:35:43,367 --> 00:35:46,166 As far as looking backwards generally no it would you 576 00:35:46,266 --> 00:35:49,867 know whatever if there was a new structure they would say OK. 577 00:35:50,634 --> 00:35:52,700 Now going forward this will be the new structure. 578 00:35:53,634 --> 00:35:53,867 Yeah. 579 00:35:54,867 --> 00:35:55,700 That's what if that would happen there would be a bunch of 580 00:35:56,066 --> 00:35:57,333 other folks who would want to have to make the same change. 581 00:35:57,433 --> 00:35:59,467 And so you can get in with the group again. 582 00:36:00,066 --> 00:36:00,266 Yeah. 583 00:36:01,066 --> 00:36:03,266 If that came out another eight to ten years. 584 00:36:10,066 --> 00:36:12,734 Under a single source contract right now. 585 00:36:13,066 --> 00:36:17,233 The methodology that we've had aligns pretty well with that. 586 00:36:17,934 --> 00:36:19,834 As we move into a market based. 587 00:36:20,567 --> 00:36:24,367 More of a market based system in a way from that single source contract. 588 00:36:26,467 --> 00:36:30,700 The new proposed concept aligns better with our future. 589 00:36:34,033 --> 00:36:38,033 And at this point in my mind it's purely a philosophical thing the cost is so. 590 00:36:38,533 --> 00:36:39,000 Yeah. 591 00:36:40,000 --> 00:36:41,367 The cost difference is so negligible. 592 00:36:42,133 --> 00:36:46,100 But it seems to me that the closer the alignment and philosophy is between how we 593 00:36:46,166 --> 00:36:50,100 pay for our energy and how we credit our energy. 594 00:36:51,133 --> 00:36:53,467 Reduces the chances of cross subsidization 595 00:36:53,533 --> 00:36:56,767 between our solar and non solar customers. 596 00:36:58,433 --> 00:37:02,033 So in my mind again it comes back to it 597 00:37:02,066 --> 00:37:04,266 makes sense to do it but at the lowest cost. 598 00:37:16,066 --> 00:37:17,367 When do you need a decision on this. 599 00:37:18,333 --> 00:37:21,300 Because I'm not sensing strong consensus. 600 00:37:22,166 --> 00:37:28,000 I believe we were targeting in October or November finally. 601 00:37:29,433 --> 00:37:33,467 So I mean it's possible we could wait until the next meeting. 602 00:37:34,266 --> 00:37:37,700 Obviously I'd ask the condition what more information I 603 00:37:37,734 --> 00:37:40,100 can provide you to help you with your decision making. 604 00:37:43,066 --> 00:37:45,166 Given that top line. 605 00:37:46,433 --> 00:37:48,066 Where's everybody at. 606 00:37:51,066 --> 00:37:59,700 I take a motion to to prove the change and to go with glue to join in the joint. 607 00:37:59,734 --> 00:38:01,166 The joint action joint filing. 608 00:38:01,734 --> 00:38:01,934 Second. 609 00:38:04,133 --> 00:38:04,266 Yes. 610 00:38:05,433 --> 00:38:05,634 Is. 611 00:38:06,300 --> 00:38:10,367 Too many new members here. 612 00:38:11,000 --> 00:38:15,066 All right. We have a motion in the second any further discussion. 613 00:38:17,000 --> 00:38:18,500 All in favor. 614 00:38:19,333 --> 00:38:19,834 All right. 615 00:38:22,000 --> 00:38:22,934 Motion carries. 616 00:38:25,700 --> 00:38:26,100 Number 11. 617 00:38:26,467 --> 00:38:26,667 You. 618 00:38:27,066 --> 00:38:28,767 Project resolution. 619 00:38:30,634 --> 00:38:33,834 Yes so this item relates to the proposed geo you marshall. 620 00:38:34,133 --> 00:38:39,100 This resolution formally confirms that I'm using tennis to participate in a project 621 00:38:39,166 --> 00:38:43,734 with a 30 percent ownership interest with the remaining remaining interest. 622 00:38:44,634 --> 00:38:48,066 The project is being developed as a natural gas generation with fuel backup 623 00:38:48,100 --> 00:38:50,467 resource here in Marshfield to provide long 624 00:38:50,533 --> 00:38:52,700 term capacity energy and reliability benefits. 625 00:38:53,433 --> 00:38:58,333 The purpose of the resolution is really to document our intended participation and 626 00:38:58,433 --> 00:39:01,367 allow us to continue to project development. 627 00:39:02,066 --> 00:39:05,500 It authorizes our staff and consultants legal counsel and others to continue to 628 00:39:05,567 --> 00:39:11,233 work through this ownership structure with construction operating agreements site 629 00:39:11,300 --> 00:39:14,133 arrangements financial costs allocation whether it's or requirements. 630 00:39:15,433 --> 00:39:20,767 This referendum doesn't bind us financially to any financial commitment other than 631 00:39:20,867 --> 00:39:25,900 those those costs that were occurring now from bidding and permitting and such 632 00:39:25,934 --> 00:39:30,300 before we would be obligated to fund construction and her debt. 633 00:39:31,433 --> 00:39:35,066 That revenues and to enter into the final agreement those items will come back to 634 00:39:35,133 --> 00:39:38,066 the commission and council for review and approval. 635 00:39:38,100 --> 00:39:42,000 If you're if the commission is supportive of moving forward with this resolution 636 00:39:42,066 --> 00:39:44,166 tonight they would then be presented to the common council 637 00:39:44,266 --> 00:39:49,066 for the consideration of slightly at the September 22nd meeting. 638 00:39:50,634 --> 00:39:52,700 Sir motion to approve this resolution. 639 00:39:54,867 --> 00:40:00,000 I'll move to approve the motion by Mike second by Dan discussion. 640 00:40:01,734 --> 00:40:08,066 Just to confirm Nick the resolution firms are intent to participate but doesn't 641 00:40:08,133 --> 00:40:11,867 define the size or scope of that project evolving. 642 00:40:12,500 --> 00:40:12,700 Yes. 643 00:40:20,467 --> 00:40:21,000 Discussion. 644 00:40:23,433 --> 00:40:24,233 The next step. 645 00:40:26,266 --> 00:40:27,767 Very long and windy. 646 00:40:28,100 --> 00:40:28,367 Yes. 647 00:40:29,100 --> 00:40:29,266 All right. 648 00:40:29,934 --> 00:40:30,367 We have a motion in the second. 649 00:40:30,734 --> 00:40:31,033 All in favor. 650 00:40:31,867 --> 00:40:33,066 I oppose. 651 00:40:34,166 --> 00:40:34,834 Motion carries. 652 00:40:38,133 --> 00:40:39,567 12 job orders. 653 00:41:00,867 --> 00:41:00,934 No. 654 00:41:01,500 --> 00:41:02,834 Number 13 bills and payroll. 655 00:41:06,734 --> 00:41:10,367 Sir motion to pay bills to approve the bills and pay. 656 00:41:10,634 --> 00:41:13,000 So Paul second. 657 00:41:13,367 --> 00:41:13,567 Second. 658 00:41:15,433 --> 00:41:16,433 Discussion. 659 00:41:18,066 --> 00:41:19,567 I would say over time is higher with the 660 00:41:19,634 --> 00:41:21,567 generally related to operating in the power plant. 661 00:41:22,433 --> 00:41:23,300 Hours around hours. 662 00:41:24,000 --> 00:41:26,133 So that's where a lot of that that higher 663 00:41:26,033 --> 00:41:27,700 percentage share if you will in the payroll. 664 00:41:30,433 --> 00:41:33,767 And just to note on general bills were general bills were pre payments. 665 00:41:34,133 --> 00:41:38,467 I think it's probably known but so pre payments are those the correct people. 666 00:41:39,433 --> 00:41:43,467 Pre payments are those that we've already paid because they have like a net net 667 00:41:43,533 --> 00:41:47,066 term that was going to occur before the commission meeting or they're just regular 668 00:41:47,133 --> 00:41:49,533 payments that we make versus general bills are those 669 00:41:49,634 --> 00:41:51,467 that are still outstanding and haven't been paid yet. 670 00:41:52,467 --> 00:41:54,233 So you're proving both sides. 671 00:41:56,634 --> 00:41:57,100 All right. 672 00:41:58,266 --> 00:41:59,266 Thank you for the added color. 673 00:42:00,433 --> 00:42:02,066 We have a motion to second all the paper. 674 00:42:02,500 --> 00:42:04,033 I opposed. 675 00:42:06,033 --> 00:42:06,333 All right. 676 00:42:06,734 --> 00:42:07,467 That motion carries. 677 00:42:08,634 --> 00:42:13,634 Previous meeting minutes from August 10 meetings are motion to approve those. 678 00:42:14,734 --> 00:42:19,133 So by Nate second by seconded Mike. 679 00:42:19,433 --> 00:42:21,233 Any proposed changes. 680 00:42:22,433 --> 00:42:23,834 If not all in favor. 681 00:42:25,433 --> 00:42:26,300 Opposed. 682 00:42:27,433 --> 00:42:31,100 Motion carries back to adding for financial reports. 683 00:42:31,467 --> 00:42:32,100 This month. 684 00:43:00,433 --> 00:43:03,700 I mean it looks good having a footnotes and it's helpful. 685 00:43:03,734 --> 00:43:05,867 So that was good. 686 00:43:05,934 --> 00:43:06,934 And then on the cash. 687 00:43:07,433 --> 00:43:09,834 The cash account status. 688 00:43:10,133 --> 00:43:12,233 There's just two bar graphs for July August. 689 00:43:12,867 --> 00:43:14,567 What will happen is our intent there is it 690 00:43:14,634 --> 00:43:16,934 would be more of a one year or two year look. 691 00:43:17,066 --> 00:43:17,266 Sure. 692 00:43:18,433 --> 00:43:20,867 Hopefully there was self and then you can 693 00:43:20,934 --> 00:43:23,500 see in the description of the key if you will. 694 00:43:23,867 --> 00:43:26,066 It says the target and then the numbers 695 00:43:26,100 --> 00:43:28,000 within the graphs are showing more of a wrap. 696 00:43:29,834 --> 00:43:31,100 I would note that the cash. 697 00:43:31,500 --> 00:43:34,066 The cash account status. 698 00:43:34,100 --> 00:43:35,467 The unrestricted funds is at 115. 699 00:43:36,266 --> 00:43:37,266 That target is at 120. 700 00:43:38,066 --> 00:43:40,100 I think we're starting to recognize that in the policy we 701 00:43:40,166 --> 00:43:43,367 may need to make a change because that volatility is timing. 702 00:43:43,467 --> 00:43:43,834 There are parts. 703 00:43:44,734 --> 00:43:46,000 Time is during the month and we're actually over 120. 704 00:43:46,500 --> 00:43:49,500 But the last day of the month this is when we start to put together. 705 00:43:49,934 --> 00:43:51,433 If we're not above or below. 706 00:43:51,867 --> 00:43:53,166 So that's what's causing the volatility. 707 00:43:55,467 --> 00:43:57,467 It wouldn't surprise me with the changes we 708 00:43:57,533 --> 00:43:59,934 made that we would discover some things like that. 709 00:44:01,000 --> 00:44:05,333 The cash flow summary will be added a five year or four year look if you will. 710 00:44:05,734 --> 00:44:07,867 And that's how graphically you're going to see. 711 00:44:08,934 --> 00:44:10,533 And that's the net of inflow and outflows. 712 00:44:11,634 --> 00:44:13,033 You can see in April in November when you 713 00:44:13,100 --> 00:44:15,634 have bond payments and pilot payments and such. 714 00:44:16,634 --> 00:44:19,567 Where principal interest responds and then pilot and 715 00:44:19,634 --> 00:44:22,867 then an excess or a negative cash flow if you will. 716 00:44:23,433 --> 00:44:24,734 And the other ones are generally positive. 717 00:44:27,433 --> 00:44:29,467 January you can see sometimes you're at some negative. 718 00:44:29,533 --> 00:44:31,433 I'm guessing that's usually like a road project. 719 00:44:32,166 --> 00:44:40,900 I need to report to come up for information only. 720 00:44:40,934 --> 00:44:41,900 So it's just questions. 721 00:44:42,266 --> 00:44:43,000 Who's got questions? 722 00:44:49,433 --> 00:44:50,233 No questions. 723 00:44:51,333 --> 00:44:56,533 The session for Wisconsin State statute 19.85. 724 00:44:56,934 --> 00:45:02,533 See considering employment promotion compensation or performance evaluation data of 725 00:45:02,634 --> 00:45:04,667 any public employee over which the governmental 726 00:45:04,734 --> 00:45:07,867 body has jurisdiction or exercises responsibility. 727 00:45:08,867 --> 00:45:12,567 For the purposes of discussing the commission's self evaluation and personal. 728 00:45:14,467 --> 00:45:18,700 And approval to go into closed session for Wisconsin State statute 19.85. 729 00:45:19,433 --> 00:45:24,266 Deliberating or negotiating the purchasing of public properties the investment of 730 00:45:24,333 --> 00:45:27,233 public funds or conducting other specified public business. 731 00:45:28,066 --> 00:45:31,300 Whenever competitive or bargaining reasons require a closed session. 732 00:45:32,000 --> 00:45:34,266 For the purpose of discussing well number 19 733 00:45:34,333 --> 00:45:37,000 and number 24 access he's went to agreement. 734 00:45:37,433 --> 00:45:41,133 Our field generation project proposals in 735 00:45:41,233 --> 00:45:44,133 Wisconsin Public Service Corporation term sheet. 736 00:45:44,433 --> 00:45:47,500 Is there a motion to go into closed session. 737 00:45:48,867 --> 00:45:51,066 John second by second. 738 00:45:52,100 --> 00:45:53,166 Thank you. 739 00:45:53,500 --> 00:45:53,900 Brian. 740 00:45:55,533 --> 00:46:00,900 All in favor. 741 00:46:02,433 --> 00:46:03,100 Opposed. 742 00:46:04,433 --> 00:46:04,834 Take a minute to week before we can.