10-27-2021 HUCMMINUTES
Regular Meeting — Hutchinson Utilities Commission
Wednesdlay, October 27, 2021
Call to order — 3:00 p.mi.
President Matt Cheney called the meeting to order. Members present: President Matt
Cheney; Vice President Anthony Hanson; Secretary Don Martinez; Commissioner Monty
Morrow; Commissioner Robert Wendorff; GM Jeremy Carter; Attorney Marc Sebora
1 Conflict of Interest
Commissioner Hanson and President Cheney declared conflict of interest in voting
on agenda item 2b Ratify Payment of Bills; Commissioner Hanson is part owner of
235 Hassan LLC, President Cheney is owner of Redline Systems both of which are
on this month's payment of bills. Mr. Hanson, and Mir. Cheney will both be
abstaining.
2. Approve Consent Agen
a. I
Approve Minutes
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b. Ratify Payment of Bffls
Motion by Commissioner Martinez, second by Commissioner Morrow to approve the
Consent Agenda. Motion carried unanimously.
3. Approve Financial Statements
Mr. Martig presented the financial statements. Electric Division is similar to year
before. MRES increased slightly by $15,020 and market purchases/ MISO costs
increased by $122,838. Natural Gas Division net income increased by $41,391 with
increased revenue exceeding an increase in expenses.
Commissioner Martinez inquired about past due accounts. Mr. Marti g noted that
past due accounts were catching up and that disconnects have now started.
Motion by Commissioner Wendorff, second by Commissioner Hanson to approve
the financial statements. Motion carried unanimously.
4. Open Forum
5. Communication
a. City Administrator,— Matthew Jaunich—
i. Econo Foods building is coming down
ii. Middle of Budget Season
b. Divisions
i. Dan Lang, Engineering Services Manager —
1. Energized Plant 2 Transformers at the substation yesterday. Project
is now completed.
ii. Dave Hunstad, Electric Transmission/Distribution Manager— Nothing
iii. Jared Martig, Financial Manager —
1. Cross Training of Computer Systems Analyst position will happen
soon, will be cross training with 2 people
iv. John fTebster, Natural Gas Division Director —
1 Looking, into what can be done with the exposure of high natural gas,
prices that are out there. Have been reviewing the average load
through the Nov -Feb timeframe and how much, swing HUC can
reduce. Did purchase different volume levels of gas for Nov -Feb;
prices were high at $,6.35 but averages in with HUC's cois,t, can try to
blend, down with contracts so customers should not see an impact,
2. 3M's, contracts are done in December, working on pricingi,
Commissioner Hanson inquired about the percentage of hedging, Mr.
Webster noted it is, about 87%, which is high and can be sold back into
the market if needs to, be,.
Commissioner Morrow inquired to Mr. Hunistad about construction
projects and how equipment held up. Mr. Hunstad noted that the
equipment is in great shape, all large projects, are completed, and
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c. Human Resources - Brenda Ewing —
i. Reminder that the Commissioners will need to set a dateand time for
the General Manager annual review, which can be a separate date or in
conjunction with a regular Commission meeting.
d. Legal — Marc Sebora — Nothing to Report
e, General Manager-- Jeremy Carter —
i. Inquiries have been received from the community on the increased
energy prices this winter. With what Mr. Webster has locked up, HUC
should be sittingi well. Overall, H:UC is hedged well against the market
depending on normalized consumption. Transmission constraints are
still an issue. There still are transportation constraints and if the weather
is extremely cold around the entire country, there will be price inflation
again this, winter season.
6. Policies
a. Review Policies
L Security Light Rental — Rate to Furnish and Maintain Fixture
ii. Electric Service Requirements & Charges
iiii. Temporary Service- Electric
iiv. Temporary Service in Case of Underground Failure
v, Sealing of Meters — Electric
vi. Meter Testing - Electric
vii. Riight-of-Way Clearing
viii. Tree Removal of Trimming
ix., Locating Customer's Underground Utilities Electric
x. Natural Gas Service Requirements & Charges
xi, Temporary, Service Natural Gas
xii . Natural Gas Meter Requirements & Placement
xiii. Meter Testing — Natural Gas
xiiv. Natural Gas Service Work
xv, Locating Customer's Underground Utilities — Natural Gas
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b. Approve Changes
L Electric Meter Piacement- being proactive and staying ahead of the
industry. Customers may use meter sockets to install equipment- Staff
is trying to head off and protect HUC's infrastructure, to prevent
damage.
ii. Electric Rate Schedule & Natural Gas Rate Schedule — both are to
update new rates to be in line with the Glide paths that were put in
place as part of the last cost of service study.
Motion by Commissioner Martinez, second by Commissioner Hanson to approve
Policy Changes. Motion carried unanimously.
7. Unfinished Business
a. Discussion/Approvall of Rescheduling the November 24, 2021 and December
29, 20,21 Reguilar Commission Meetings if needed.,
The Commissioners held discussions on if rescheduling the two meetings is
needed, The consensus from the Board was to keep the November 24, 2021
meeting as is and to reschedule the December 29, 2021 meeting to December
22,2021.
A motion by Commissioner Hanson, second by Commissioner Wendorff to
approve rescheduling the December 29, 20,20 meeting to December 22, 2021.
Motion carried unanimously.
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November 2021 meeting or as a separate meetings. Commissioners agreed to
have a separate meeting. Ms. Radke will send out information on available dates
9. Adjourn
There being no further business, a motion by Commissioner Morrow second by
Commissioner Martinez to adjourn the meeting at 319 pm. Motion carried
unanimously,
ATTEST:
a t "te ce y, President
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—0-0-n Martinez, Secretary,,r