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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 � 1� 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 - - 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 2 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. 11�111 !11 1111111 IIlI!!!IJ 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 0 —0-0-n Martinez, Secretary,,r