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02-28-2024 HUCCPHUTCHINSON UTILITIES COMMISSION AGENDA REGULAR MEETING February 28, 2024 3:00 p.m. 1. CONFLICT OF INTEREST 2. APPROVE CONSENT AGENDA a. Approve Minutes b. Ratify Payment of Bills 3. APPROVE FINANCIAL STATEMENTS 4. OPEN FORUM 5. COMMUNICATION a. City Administrator b. Divisions C. Human Resources d. Legal e. General Manager 6. POLICIES a. Review Policies i. Section 2 of Exempt Handbook ii. Section 2 of Non -Exempt Handbook b. Approve Changes i. Equal Employment Opportunity Policy 7. UNFINISHED BUSINESS 8. NEW BUSINESS a. Approval of 3M Natural Gas Transportation and Daily Swing Supply Agreement b. Approval of Natural Gas Facilities Maintenance Agreement — City of Fairfax C. Approval of HTI/TDK Amendment to Natural Gas Transportation Agreement d. Approve Req#009834 — 2024 GMC 1500 Pickups e. Approve Implementing a Protective Safety Footwear Policy f. Discussion on Non -Union Grid movement g. Approve Additional Cost of NSR Work for Unit 1 9. ADJOURN MINUTES Regular Meeting — Hutchinson Utilities Commission Wednesday, January 31, 2024 Call to order — 3:00 p.m. President Anthony Hanson called the meeting to order. Members present: President Anthony Hanson; Vice President Matt Cheney; Secretary Don Martinez; Commissioner Robert Wendorff; Commissioner Kathy Silvernale; GM Jeremy Carter; Attorney Marc Sebora Don Martinez was sworn in as commissioner by Attorney Marc Sebora 1. Conflict of Interest 2. Commission Reorganization a. A motion made by Commissioner Cheney, second by Commissioner Wendorff to elect Don Martinez to the position of President. Motion carried unanimously. b. A motion made by Commissioner Martinez, second by Commissioner Silvernale to elect Matt Cheney to the position of Vice President. Motion carried unanimously. c. A motion made by Commissioner Wendorff, second by Commissioner Martinez to elect Kathy Silvernale to the position of Secretary. Motion carried unanimously. d. A motion made by Commissioner Silvernale, second by Commissioner Cheney to re -appoint Marc Sebora as legal counsel. Motion carried unanimously. e. A motion made by Commissioner Martinez, second by Commissioner Wendorff re -appoint Angie Radke as recording secretary. Motion carried unanimously. President Hanson turned item 2f over to vice president Matt Cheney. President Anthony Hanson will be abstaining from item 2f. A motion made by Commissioner Martinez, second by Commissioner Wendorff to designate Citizens Bank & Trust, Wells Fargo Bank, Wells Fargo Advisors, Home State Bank, Morgan Stanley and Cetera Investment Services as depositories for utility funds. Motion carried unanimously. 3. Approve Consent Agenda a. Approve Minutes b. Ratify Payment of Bills Motion by Commissioner Cheney, second by Commissioner Silvernale to Approve the Consent Agenda. Motion carried unanimously. 4. Approve Financial Statements Mr. Martig presented the Financial Statements. December Financials are always difficult to compare to previous years due to GASB and other year-end entries. Salaries and Benefits had a large December 2023 decrease mostly due to a year- end GASB entry for PERA liabilities. The 2023 entry has not been done yet as the PERA report is not out yet. Another year-end entry that does not affect cash but is required is a market to market adjustment to adjust the value of HUC investments. GM Carter noted that financials are coming in as expected to the budgets. Motion by Commissioner Silvernale, second by Commissioner Martinez to Approve the Financial Statements. Motion carried unanimously. 5. Open Forum 6. Communication a. City Administrator —Matthew Jaunich — i. Nothing to Report 'IEbig015607 i. Dan Lang, Engineering Services Manager — Nothing to report ii. Dave Hunstad, Electric Transmission/Distribution Manager — 1. Provided an update on the 2 outages in the last couple of weeks. Staff replaced some switches that had failed iii. Mike Gabrielson, Production Manager — 1. Continuing to work on Unit 1 iv. John Webster, Natural Gas Division Director — 1. Provided Heartland Corn Project Update v. Jared Martig, Financial Manager- 1. Auditors were here last week. Looking to have presentation in March 2. Will have Sales Tax audit update next month c. Human Resources — Angie Radke - i. Working on OSHA Logs d. Legal — Marc Sebora — i. Nothing to report e. General Manager — Jeremy Carter i. Met with Senator Gruenhagen and MRES today regarding Legislative priorities coming up ii. Updating Cash Flow Models iii. Provided LM6000 update 7. Policies a. Review Policies i. Section 1 of Exempt Handbook ii. Section 1 of Non -Exempt Handbook No changes recommended at this time. 2 8. Unfinished Business 9. New Business a. Review Annual Solar Production Mr. Hunstad presented the Annual Solar Production for 2023. Staff is able to calculate the cost savings from purchasing additional energy from MISO by comparing the actual MISO hourly Locational Marginal Pricing (LMP) with the hourly production of the array. For 2023, the array generated 1,082,237 KWH with a cost savings of $34,284.24. The array was anticipated to operate at a 14% capacity factor, however for the first full 24 months the array is operating better than expected with a capacity factor of 19.2%. b. Approve Cogeneration and Small Power Production Tariff Mr. Hunstad presented Approval of Cogeneration and Small Power Production Tariff. Municipal Utilities annually shall file for review and approval of a cogeneration and small power production tariff with the governing body. Mr. Hunstad reviewed Schedules 1: For facilities of 40KW or less and Schedule 4: for facilities 40KW — 100KW. Motion by Commissioner Cheney, second by Commissioner Silvernale to Approve Cogeneration and Small Power Production Tariff. Motion carried unanimously. c. Review 2023 Distributed Energy Resources Generation Report Mr. Hunstad reviewed the 2023 Distributed Energy Resources Generation Report. The law requires municipal utilities that have adopted co -generation policies to review annually all net energy billed qualifying facilities. HUC has 18 active Solar DER Co -generation facilities which consist of 13 Commercial, 4 Residential and 1 Utility owned. d. Approve Req#009794 — Trencher/Plow Service Machine Replacement Mr. Hunstad presented Approval of Req#009794 — Trencher/Plow Service Machine Replacement. HUC is due to replace the 2007 Ditch Witch 420SX trencher/plow service machine per the fleet replacement schedule. Staff is recommending the 2024 Vermeer PTX40 which is part of the Sourcewell Cooperative Purchasing Contract for State and Local Governments. Quote also includes a trade in value of $17,500 for the 2007 Ditch Witch. Sales tax will be paid separately once the Vermeer PTX40 is delivered. 3 A motion by Commissioner Wendorff, second by Commissioner Cheney to Approve Req#009794 — Trencher/Plow Service Machine Replacement. Motion carried unanimously. 9e. Review End of Year Energy Summaries Mr. Lang presented the End of Year Energy Summaries. Summary charts show how 2023 went as far as load usage, costs, and where it came from compared to previous years. HUC Energy Graph shows 20 years of data and what the cost of energy is. The key line would be the green line which is roughly the wholesale cost, buying from MISO, MRES and what is being generated. System Load Average MWh chart compares current 2023 year to last 2 years. Load Duration Curve shows how MRES contract is working. Still going well. Annual Generation (MWh) chart shows 20 years of information. 2023 shows the amount of generation that is being generated by the plants. Annual System Load chart has been trending down. f. Approval of Req#009793 — Task Order #8 — HTI Substation Relay and RTU Upgrades Ms. Lang presented Approval of Req#009793 — Task Order #8 — HTI Substation Relay and RTU Upgrades. Similar to past substation upgrades an engineering firm (DGR) will be used to design the protection system scheme for the substation and feeders, specify materials, develop relay settings, and commission the relays. DGR will also design and specify the materials to replace the obsolete Ilex RTU and integrate with the new relaying equipment. Staff will procure and install the equipment. A motion by Commissioner Cheney, second by Commissioner Silvernale to Approve Req#009793 — Task Order #8 — HTI Substation Relay and RTU Upgrades. Motion carried unanimously. 9g Approve Hutchinson Substation Circuit Breaker Advertisement for Bids Mr. Lang presented Approval of Hutchinson Substation Circuit Breaker Advertisement for Bids. Staff is requesting approval to advertise for bids for 115kV and 69kV circuit breakers to be installed at the Hutchinson Substation as part of the 115kV expansion project. Looking at a 2-year lead time frame. 12 A motion by Commissioner Silvernale, second by Commissioner Wendorff to Approve Hutchinson Substation Circuit Breaker Advertisement for Bids. Motion carried unanimously. 9h. Approve Phase 2 Plant 1 Tuck Pointing Mr. Gabrielson presented Approval of Phase 2 Plant 1 Tuck Pointing. Phase one was completed in 2023. Phase 2 will consist of tuck pointing and sealing the south side of the plant and the north and south switch gear buildings. In 2025, Staff is looking to complete phase 3. Total project cost when complete will be $341,908. A motion by Commissioner Martinez, second by Commissioner Cheney to Approve Phase 2 Plant 1 Tuck Pointing. Motion carried unanimously. 9i. Approve Phase 4 Plant 1 Cooling Tower Mr. Gabrielson presented Approval of Phase 4 Plant 1 Cooling Tower. Phase 4 is the final phase of the Cooling Tower Repair Project and will consist of replacement of west and middle fan blades and all 3 fan stacks. Looking to complete in the Spring with the Tuck Pointing project. A motion by Commissioner Cheney, second by Commissioner Wendorff to Approve Phase 4 Plant 1 Cooling Tower. Motion carried unanimously. 9j. Approve Union Contract January 1, 2024 — December 31, 2026 GM Carter presented Approval of Union Contract January 1, 2024 — December 31, 2026. A redlined version was sent to the Commissioners to see changes. The union and management sub -committees met a couple of times to discuss and negotiate the tentative terms and conditions of a new contract upon final approval by the union and board of commissioners. On January 9t", the union members ratified the tentative terms and conditions of the contract document which is in the commission packet. In years past the contract has been ratified by the end of the year but a tentative agreement was not met by both sides. GM Carter thanked Commissioner Cheney and Silvernale for being a part of the committee. Ms. Radke will be working with the State on the HCSP portion. A motion by Commissioner Martinez, second by Commissioner Silvernale to Approve Union Contract January 1, 2024 — December 31, 2026. Motion carried unanimously. 5 9k. Approve Policies —Sick, Holiday and Family Death Ms. Radke presented Approval of Sick, Holiday and Family Death Policies. With the approval of the union contract, these polices need to be updated in the Exempt and Non -Exempt Handbooks. A motion by Commissioner Silvernale, second by Commissioner Cheney to Approve Policies — Sick, Holiday and Family Death. Motion carried unanimously. 10. Adjourn There being no further business, a motion by Commissioner Cheney, second by Commissioner Martinez to adjourn the meeting at 3:46p.m. Motion carried unanimously. ATTEST: Don Martinez, President 0 Kathy Silvernale, Secretary 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 1 ELECTRIC 02/07/2024 GEN 8033614 ACE HARDWARE 02/07/2024 GEN 80337*4 ADEPT BLAST AND PAINT Page 1/23 Account Dept Amount Sales Tax Receivable - Replace 186-000- 00 0.55 Sales Tax Receivable - Replace 186-000- 00 0.48 Sales Tax Receivable - Replace 186-000- 00 0.48 Maint Power Prod Plant - Build 402-554- 01 148.90 Maint Power Prod Plant - Build 402-554- 01 14.09 Maint Power Prod Plant - Build 402-554- 01 86.55 Maint Power Prod Plant - Build 402-554- 01 9.18 Maint Power Prod Plant - Build 402-554- 01 169.47 Accessory Plant - Materials 402-554- 01 7.98 Accessory Plant - Materials 402-554- 01 6.99 Accessory Plant - Materials 402-554- 01 6.99 Maintenance Other - Materials 402-554- 01 7.04 Maintenance Other - Materials 402-554- 01 2.78 Maintenance Other - Materials 402-554- 01 18.51 Maintenance Other - Materials 402-554- 01 (7.04) Line - Materials 401-581- 02 25.38 Line - Materials 401-581- 02 3.09 Materials 402-574- 03 3.20 Grounds - Materials 401-935- 08 78.51 Grounds - Materials 401-935- 08 (5.00) HECK GEN 80336 TOTAL FOR FUND 1: 578.13 Grounds - Outside Services 401-935- 08 417.45 02/07/2024 GEN 80338* AMERICAN PAYMENT CENTERS INC BOX RENTAL 401-903- 06 51.14 02/07/2024 GEN 80339 APR STORAGE OVERPAYMENTS 142-000- 00 434.36 02/07/2024 GEN 80340* AUTUMN FERNANDEZ DEP REFUND/APPLIED 235-000- 00 91.00 02/07/2024 GEN 80341*4 BORDER STATES ELECTRIC SUPPLY GVD3P3030KMVOLTMSGL3 Granville III LED 107-373- 00 164,286.70 DLL127 1.5 J50 Photo Eye 107-373- 00 4,888.40 STREETLIGHT, LED COBRA HEAD 154-000- 00 307.24 KIT, SPLICE, 500-1000, QS4-15SP-QCI-500 154-000- 00 6,289.44 TAPE, WHITE, 3/4" x 66, 3M SCOTCH 154-000- 00 52.40 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 2/23 Amount Fund: 1 ELECTRIC INHIBITOR, OXIDE, DE-OX, 8 OR, ILSCO 154-000- 00 48.60 FUSE, BAY-O-NET, 8A, RTE 01991 154-000- 00 53.88 Sales Tax Receivable - New 186-000- 00 11,630.79 Sales Tax Receivable - New 186-000- 00 21.11 Sales Tax Receivable - New 186-000- 00 432.40 Sales Tax Receivable - New 186-000- 00 6.94 Sales Tax Receivable - New 186-000- 00 3.70 HECK GEN 80341 TOTAL FOR FUND 1: 188,021.60 02/07/2024 GEN 80342* BREANNE KBAGENBRING DEP REFUND/APPLIED 235-000- 00 48.75 02/07/2024 GEN 80343* BS&A SOFTWARE It Admin And Support 401-921- 08 984.00 02/07/2024 GEN 80344* CALEB OR LEAH JARMAN DEP REFUND/APPLIED 235-000- 00 253.50 02/07/2024 GEN 80345 CARLY'S SHOE STORE Uniforms & Laundry 401-588- 02 237.99 Uniforms & Laundry 401-588- 02 237.99 HECK GEN 80345 TOTAL FOR FUND 1: 475.98 02/07/2024 GEN 80346* CARTER STOICK OR MOLLY HOVDA DEP REFUND/APPLIED 235-000- 00 100.75 02/07/2024 GEN 80347* CARTER, JEREMY J Training - Expense 401-930- 08 65.50 02/07/2024 GEN 80348 CARTWRIGHT & ASSOCIATES XML Service Quote for Hutchinson QTR 4 402-554- 01 1,750.00 02/07/2024 GEN 803494 CENTRAL HYDRAULICS Sales Tax Receivable - Replace 186-000- 00 3.66 Generator 46 Material 402-554- 01 53.30 HECK GEN 80349 TOTAL FOR FUND 1: 56.96 02/07/2024 GEN 80351*4 CINTAS CORPORATION 4470 Uniforms & Laundry 401-550- 01 248.06 Uniforms & Laundry 401-550- 01 123.76 Uniforms & Laundry 401-550- 01 248.06 Uniforms & Laundry 401-550- 01 248.06 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 3/23 Amount Fund: 1 ELECTRIC UNIFORMS & LAUNDRY 401-588- 02 151.45 UNIFORMS & LAUNDRY 401-588- 02 50.88 UNIFORMS & LAUNDRY 401-588- 02 151.45 UNIFORMS & LAUNDRY 401-588- 02 151.45 HECK GEN 80351 TOTAL FOR FUND 1: 1,383.17 02/07/2024 GEN 8035214 CITY OF HUTCHINSON QTR PILOT 70/30 234-000- 00 336,450.75 VEHICLE/EQUIPMENT FUEL -POWER 401-550- 01 161.49 VEHICLES/EQUIPMENT FUEL-ELEC 401-588- 02 1,397.80 Cip- Commercial 401-916- 07 4,060.00 IT ADMIN AND SUPPORT 75/25 401-921- 08 23,051.25 LEGAL SERVICES 75/25 401-923- 08 8,268.75 VEHICLES/EQUIPMENT FUEL-ADMIN 55/45 401-935- 08 67.60 HECK GEN 80352 TOTAL FOR FUND 1: 373,457.64 02/07/2024 GEN 80353 CODIE ARNESON OR JULIA BRYANT OVERPAYMENTS 142-000- 00 80.22 02/07/2024 GEN 80355 CROW RIVER FLORAL OFFICE SUPPLIES 401-921- 08 40.00 OFFICE SUPPLIES 401-921- 08 51.50 HECK GEN 80355 TOTAL FOR FUND 1: 91.50 02/07/2024 GEN 80356* DALTON FAIRCHILD OR JASON EGGERT DEP REFUND/APPLIED 235-000- 00 136.50 02/07/2024 GEN 80357* ELIZABETH CARRIGAN-HOLAWAY DEP REFUND/APPLIED 235-000- 00 208.00 02/07/2024 GEN 80358* ET WORLDWIDE LLC DEP REFUND/APPLIED 235-000- 00 536.25 02/07/2024 GEN 80359* FIRST CHOICE FOOD & BEVERAGE BREAKROOM/RECOGNITION BANQUET 401-926- 08 151.88 02/07/2024 GEN 80360* FIRST CLASS BUILDERS Cip - Residential 401-916- 07 175.00 Cip - Residential 401-916- 07 150.00 Cip - Residential 401-916- 07 150.00 HECK GEN 80360 TOTAL FOR FUND 1: 475.00 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 4/23 Amount Fund: 1 ELECTRIC 02/07/2024 GEN 80361 GOLDEN VIEW PROPERTIES LLC Cip- Commercial 401-916- 07 36.00 02/07/2024 GEN 8036214 GOPHER STATE ONE -CALL INC Line - Materials 401-581- 02 56.05 02/07/2024 GEN 80363 GREAT RIVER ENERGY Outside Services 402-574- 03 2,243.41 02/07/2024 GEN 80365* HEALTH PARTNERS DENTAL INSURANCE - 82% ELEC 242-000- 00 4,262.53 DENTAL INSURANCE - COBRA 242-000- 00 443.25 HEALTH INSURANCE-82o ELEC 242-000- 00 55, 476. 92 HEALTH INSURANCE -COBRA 242-000- 00 (3,059.92) HECK GEN 80365 TOTAL FOR FUND 1: 57,122.78 02/07/2024 GEN 80366*4 HILLYARD/HUTCHINSON Supplies 401-550- 01 70.06 Grounds - Materials 401-935- 08 157.13 Grounds - Materials 401-935- 08 69.57 HECK GEN 80366 TOTAL FOR FUND 1: 296.76 02/07/2024 GEN 80367* HUTCHFIELD SERVICES Grounds - Outside Services 401-935- 08 1,093.21 02/07/2024 GEN 80368 HUTCHINSON CO-OP Vehicles - Material 402-598- 02 7,222.79 02/07/2024 GEN 80369*4 HUTCHINSON LEADER Cip - Marketing 401-916- 07 337.50 02/07/2024 GEN 80370*4 HUTCHINSON WHOLESALE SUPPLY CO Supplies 401-550- 01 18.24 Vehicles - Material 402-598- 02 32.48 Vehicles - Material 402-598- 02 18.43 Vehicles - Material 402-598- 02 189.16 HECK GEN 80370 TOTAL FOR FUND 1: 258.31 02/07/2024 GEN 80371* HWY 7 E LLC GET REFUND/APPLIED 235-000- 00 845.00 02/07/2024 GEN 80372 IEM ENERGY CONSULTANTS Professional Support for LM600 Depot 402-554- 01 175.10 Generator 41 Outside Services 402-554- 01 29.90 HECK GEN 80372 TOTAL FOR FUND 1: 205.00 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 1 ELECTRIC 02/07/2024 GEN 80373* JARVIS WATNEMO 02/07/2024 GEN 80374* JAY MCCLINTOCK 02/07/2024 GEN 80375 JOHN FRONING 02/07/2024 GEN 803764 JOHN HENRY FOSTER 02/07/2024 GEN 80377 JOSH KAMRATH 02/07/2024 GEN 80378* KASSI UECKER 02/07/2024 GEN 80379* KATELYN SCHMIDT 02/07/2024 GEN 803814 KURITA AMERICA INC 02/07/2024 GEN 80383* MARCO TECHNOLOGIES, LLC 02/07/2024 GEN 803844 MATHESON TRI-GAS INC 02/07/2024 GEN 803854 MCC ENERGY SOLUTIONS, LLC Page 5/23 Account Dept Amount Cip - Residential 401-916- 07 25.00 GET REFUND/APPLIED 235-000- 00 91.00 OVERPAYMENTS 142-000- 00 42.30 FILTER, AIR DRYER, FOR PRE -FILTER PART 154-000- 00 214.00 FILTER, AIR DRYER, FOR PRE -FILTER PART 154-000- 00 214.00 FILTER, AIR DRYER, FOR AFTER -FILTER 154-000- 00 214.00 Sales Tax Receivable - Replace 186-000- 00 45.59 FREIGHT 401-588- 02 21.09 HECK GEN 80376 TOTAL FOR FUND 1: 708.68 Cip - Residential 401-916- 07 28.00 GET REFUND/APPLIED 235-000- 00 110.50 GET REFUND/APPLIED 235-000- 00 52.00 Sales Tax Receivable - Replace 186-000- 00 10.59 Accessory Plant - Materials 402-554- 01 154.00 HECK GEN 80381 TOTAL FOR FUND 1: 164.59 OFFICE SUPPLIES 401-921- 08 521.68 Sales Tax Receivable - Replace 186-000- 00 14.43 Generator 41 Material 402-554- 01 209.90 HECK GEN 80384 TOTAL FOR FUND 1: 224.33 I AM MANAGEMENT FEES 401-555- 02 3,900.00 IAM USAGE FEES 401-556- 03 3,050.00 CHECK GEN 80385 TOTAL FOR FUND 1: 6,950.00 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 6/23 Amount Fund: 1 ELECTRIC 02/07/2024 GEN 80386 MIA RODRIGUEZ-LOPEZ OVERPAYMENTS 142-000- 00 77.99 02/07/2024 GEN 80387* MICHAEL OR BROOKE FREUND DEP REFUND/APPLIED 235-000- 00 227.50 02/07/2024 GEN 80388* MICKENA INSELMANN DEP REFUND/APPLIED 235-000- 00 97.50 02/07/2024 GEN 80390 MN DEPT OF LABOR AND INDUSTRY Permits And Rent 401-550- 01 10.00 02/07/2024 GEN 80393 NORTHERN STATES SUPPLY INC WIRE BUFFING WHEEL. 154-000- 00 134. 96 Distribution Inventory 154-000- 00 0.01 Sales Tax Receivable - New 186-000- 00 9.28 HECK GEN 80393 TOTAL FOR FUND 1: 144.25 02/07/2024 GEN 80395* NUVERA TELEPHONE 401-921- 08 1,921.10 02/07/2024 GEN 80396* NYSTROM & ASSOCIATES DEP REFUND/APPLIED 235-000- 00 292.50 DEP REFUND/APPLIED 235-000- 00 500.50 DEP REFUND/APPLIED 235-000- 00 399.75 HECK GEN 80396 TOTAL FOR FUND 1: 1,192.75 02/07/2024 GEN 80397 O'REILLY AUTOMOTIVE INC Vehicles - Material 402-598- 02 19.15 02/07/2024 GEN 80398*4 OXYGEN SERVICE COMPANY INC Supplies 401-550- 01 119.82 Supplies 401-550- 01 82.12 HECK GEN 80398 TOTAL FOR FUND 1: 201.94 02/07/2024 GEN 80399* PREMIUM WATERS INC OFFICE SUPPLIES -BOTTLED WATER 401-921- 08 12.24 02/07/2024 GEN 80400*4 PRO AUTO & TRANSMISSION REPAIR Vehicles - Material 402-554- 01 105.93 Vehicles - Material 402-554- 01 64.34 Vehicles - Material 402-554- 01 72.39 Vehicles - Material 402-598- 02 115.28 Vehicles - Material 402-598- 02 48.28 HECK GEN 80400 TOTAL FOR FUND 1: 406.22 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 1 ELECTRIC 02/07/2024 GEN 80401 QUALUS SERVICES, LLC 02/07/2024 GEN 80403 ROD EQUIPMENT 02/07/2024 GEN 80404* REICE OR HANNAH TIERNAN 02/07/2024 GEN 80405* REID COON-GROE 02/07/2024 GEN 80406* RILEY STENZEL 02/07/2024 GEN 80408 RUNNING'S SUPPLY INC 02/07/2024 GEN 80412* SAMANTHA BERNARDY 02/07/2024 GEN 80413* SHIVA LLC 02/07/2024 GEN 80414* SHRED RIGHT 02/07/2024 GEN 80415* STANDARD PRINTING & MAILING 02/07/2024 GEN 80416 THOMAS ALMQUIST 02/07/2024 GEN 804174 TOTAL FILTRATION SERVICES Page 7/23 Account Dept Amount Relay testing. 107-362- 00 3,094.00 Power Equipment - Materials 402-598- 02 1,131.63 GET REFUND/APPLIED 235-000- 00 130.00 GET REFUND/APPLIED 235-000- 00 107.25 HECK GEN 80404 TOTAL FOR FUND 1: 237.25 GET REFUND/APPLIED 235-000- 00 65.00 GET REFUND/APPLIED 235-000- 00 162.50 Maintenance Other - Materials 402-554- 01 485.42 GET REFUND/APPLIED 235-000- 00 143.00 GET REFUND/APPLIED 235-000- 00 2,665.00 OFFICE SUPPLIES -SHREDDING SERVICES 401-921- 08 15.36 OFFICE SUPPLIES 401-921- 08 19. 50 Office Supplies 401-921- 08 220.43 Advertising/Printing 401-921- 08 283.35 HECK GEN 80415 TOTAL FOR FUND 1: 523.28 Cip - Residential 401-916- 07 500.00 FILTER CARTRIDGE 30" PT4GXOI-30 40RO 154-000- 00 437.60 Sales Tax Receivable - Replace 186-000- 00 32.19 FREIGHT 401-588- 02 30.60 HECK GEN 80417 TOTAL FOR FUND 1: 500.39 02/07/2024 GEN 80418* TRANS Grounds - Materials 401-935- 08 2,295.00 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 8/23 Amount Fund: 1 ELECTRIC 02/07/2024 GEN 80419* TRI-COUNTY WATER CONDITIONING Grounds - Materials 401-935- 08 8.41 02/07/2024 GEN 80420* TRUE BALANCE PROPERTIES DEP REFUND/APPLIED 235-000- 00 390.00 02/07/2024 GEN 80421* UNITED PARCEL SERVICE MAIL SERVICES - UPS, FEDEX 401-921- 08 119.56 02/07/2024 GEN 80422* VERIZON WIRELESS TELEPHONE 401-921- 08 234.21 TELEPHONE 401-921- 08 1,069.68 HECK GEN 80422 TOTAL FOR FUND 1: 1,303.89 02/07/2024 GEN 80423* VIA ACTUARIAL SOLUTIONS Misc Services 401-923- 08 660.00 02/07/2024 GEN 804244 WARTSILA OF NORTH AMERICA, INC SENSOR, PRESSURE, 4516 541 154-000- 00 6,769.82 Sales Tax Receivable - Replace 186-000- 00 486.23 FREIGHT 401-588- 02 302.66 HECK GEN 80424 TOTAL FOR FUND 1: 7,558.71 02/07/2024 GEN 804254 ZIEGLER OIL ANALYSIS LAB BOTTLE, OIL SAMPLE, 4SOS-12 154-000- 00 418. 90 MISC 401-588- 02 14.11 HECK GEN 80425 TOTAL FOR FUND 1: 433.01 02/07/2024 GEN 804264 ZIEGLER POWER SYSTEMS SENSOR, TRANSMITTER, CYLINDER PRESSURE 154-000- 00 33, 400.00 FREIGHT 401-588- 02 13.90 HECK GEN 80426 TOTAL FOR FUND 1: 33,413.90 02/22/2024 GEN 80429*4 ACE HARDWARE Supplies 401-550- 01 29.90 Maint Power Prod Plant - Build 402-554- 01 13.88 Maint Power Prod Plant - Build 402-554- 01 4.05 Maintenance Other - Materials 402-554- 01 8.53 Materials 401-588- 02 91.85 Power Equipment - Materials 402-598- 02 7.04 HECK GEN 80429 TOTAL FOR FUND 1: 155.25 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 1 ELECTRIC 02/22/2024 GEN 804304 ADVANCED PROCESS SOLUTIONS 02/22/2024 GEN 80431 ALTEC INDUSTRIES INC 02/22/2024 GEN 80432 ANDREW CASE 02/22/2024 GEN 80433* BIRCHDALE FIRE & SAFETY 02/22/2024 GEN 80434*4 BORDER STATES ELECTRIC SUPPLY 02/22/2024 GEN 80436 CARLY'S SHOE STORE 02/22/2024 GEN 80438*4 CINTAS CORPORATION 4470 02/22/2024 GEN 80439*4 CITY OF HUTCHINSON Page 9/23 Account Dept Amount VALVE, AUTOMATIC WATER INJECTION VALVE 154-000- 00 578.00 FREIGHT 401-588- 02 18.44 HECK GEN 80430 TOTAL FOR FUND 1: 596.44 Vehicles - Material 402-598- 02 11,340.43 OVERPAYMENTS 142-000- 00 224.05 GROUNDS - OUTSIDE SERVICES 401-935- 08 117.84 BUSHING, WELL INSERT, 200A, COOPER 154-000- 00 371.10 SPLIT BOLT 1/0 KS25 BURNDY 154-000- 00 142.00 TAPE, FIRE RETARDANT ELECTRIC ARC 154-000- 00 122.22 Sales Tax Receivable - New 186-000- 00 35.28 Sales Tax Receivable - New 186-000- 00 8.40 Line - Materials 401-581- 02 683.12 HECK GEN 80434 TOTAL FOR FUND 1: 1,362.12 Uniforms & Laundry 401-588- 02 225.95 Uniforms & Laundry 401-550- 01 248.06 Uniforms & Laundry 401-550- 01 265.31 UNIFORMS & LAUNDRY 401-588- 02 151.45 UNIFORMS & LAUNDRY 401-588- 02 156.08 HECK GEN 80438 TOTAL FOR FUND 1: 820.90 Generator 41 Water & Sewer 401-547- 01 235.99 Generator 41 Water & Sewer 401-547- 01 616.65 Waste Disposal 401-550- 01 1,772.81 Waste Disposal 401-550- 01 41.81 Waste Disposal 401-550- 01 585.65 Line - Materials 402-594- 02 145.81 Utility Expenses - Water/Waste 401-930- 08 17.70 Utility Expenses - Water/Waste 401-930- 08 553.99 HECK GEN 80439 TOTAL FOR FUND 1: 3,970.41 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 10/23 Amount Fund: 1 ELECTRIC 02/22/2024 GEN 80440* CONWAY DEUTH & SCHMIESING PLLP MISC SERVICES 401-923- 08 6,500.00 02/22/2024 GEN 80441 COUNTY OF MCLEOD Maintenance Other - Materials 402-554- 01 340.00 02/22/2024 GEN 804424 CULLIGAN ULTRAPURE OF NORTHFIELD KIT, DIAPHRAM & SEAL, V531-RAE FCS P/N 154-000- 00 207.76 FREIGHT 401-588- 02 20.54 HECK GEN 80442 TOTAL FOR FUND 1: 228.30 02/22/2024 GEN 80443* DAVID LARSON Cip - Residential 401-916- 07 25.00 02/22/2024 GEN 80444 DESIGN ELECTRIC, INC Maintenance Other - Materials 402-554- 01 83.54 02/22/2024 GEN 80445 DGR ENGINEERING Hutchinson Substation 115kV rebuild 107-362- 00 15,372.00 STATION EQUIPMENT (SWITCHGEAR, 107-362- 00 7.00 HECK GEN 80445 TOTAL FOR FUND 1: 15,379.00 02/22/2024 GEN 80446 DIVERSIFIED MGNT GROUP INC OVERPAYMENTS 142-000- 00 695.21 02/22/2024 GEN 80447*4 EMBROIDERY PLUS Uniforms & Laundry 401-588- 02 45.42 02/22/2024 GEN 80448 ETERNITY KRAMPITZ OVERPAYMENTS 142-000- 00 53.13 02/22/2024 GEN 804494 FERGUSON ENTERPRISES 4525 Dragon Valve SP-D1053V3B Bid B935029 402-554- 01 948.69 FREIGHT 401-588- 02 40.00 HECK GEN 80449 TOTAL FOR FUND 1: 988.69 02/22/2024 GEN 80450 GREAT RIVER ENERGY TRANSMISSION EXPENSE 401-565- 03 127,785.29 02/22/2024 GEN 80451* HOTSY EQUIPMENT OF MINNESOTA GROUNDS - OUTSIDE SERVICES 401-935- 08 250.00 02/22/2024 GEN 80452 HUTCHINSON WHOLESALE SUPPLY CO Power Equipment - Materials 402-598- 02 61.43 Other Equipment - Materials 402-598- 02 2.34 CHECK GEN 80452 TOTAL FOR FUND 1: 63.77 02/22/2024 GEN 80453 INTERNATIONAL FILTER SERVICE FILTER, TRI-DEK, 20"X80", 050201605 154-000- 00 634.40 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 11/23 Amount Fund: 1 ELECTRIC 02/22/2024 GEN 80454 IRBY TOOL & SAFETY Uniforms & Laundry 401-588- 02 156.67 02/22/2024 GEN 804554 KURITA AMERICA INC HUHA7430-B, Hardness indicator 401-550- 01 43.24 HUED2073-B, Hardness titrating solution 401-550- 01 32.04 KUPH1605-B, Phenolphthaleon indicator 401-550- 01 33.08 KUAI6925-B, Alkalinity total indicator 401-550- 01 41.76 KUSA1663-B, Sulfuric acid 5.25N 401-550- 01 33.20 KU85499, Ferrover iron reagent powder 401-550- 01 107.52 KUHA7405-B, Hardness buffer solution 401-550- 01 40.76 KU1407099, Free chlorine powder pillows 401-550- 01 156.92 KUFTR57, Starch indincaot solution 401-550- 01 79.58 FREIGHT & TAX 401-588- 02 56.65 HECK GEN 80455 TOTAL FOR FUND 1: 624.75 02/22/2024 GEN 804574 LIBERITY PROCESS EQUIPMENT INC. Pump repair Quote 0104998 402-554- 01 1,790.00 FREIGHT 401-588- 02 387.16 HECK GEN 80457 TOTAL FOR FUND 1: 2,177.16 02/22/2024 GEN 80459 LUBE-TECH & PARTNERS, LLC OIL, MOBIL PEGASUS 1005 154-000- 00 15,540.36 Lubricant Inventory 154-000- 00 (5.37) Lubricant Inventory 154-000- 00 16,181.96 Lubricant Inventory 154-000- 00 (16,181.96) HECK GEN 80459 TOTAL FOR FUND 1: 15,534.99 02/22/2024 GEN 804601 MADDEN GALANTER HANSEN Legal Services 401-923- 08 32.25 02/22/2024 GEN 80461 MASON DEMARS OVERPAYMENTS 142-000- 00 77.18 02/22/2024 GEN 804634 MECHANICAL SYSTEMS INC KIT, REPAIR KIT FOR 41I SERIES PUMP. 154-000- 00 213.60 Sales Tax Receivable - Replace 186-000- 00 16.07 FREIGHT 401-588- 02 20.12 HECK GEN 80463 TOTAL FOR FUND 1: 249.79 02/22/2024 GEN 80465 NERC Purchased Power 401-555- 02 4,747.74 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 12/23 Amount Fund: 1 ELECTRIC 02/22/2024 GEN 8046714 OXYGEN SERVICE COMPANY INC Supplies 401-550- 01 66.93 02/22/2024 GEN 80469* RELIANCE STANDARD LIFE -LIFE LTD INSURANCE-80o ELEC 242-000- 00 1,888.78 LIFE INSURANCE-80o ELEC 242-000- 00 1,068.94 HECK GEN 80469 TOTAL FOR FUND 1: 2,957.72 02/22/2024 GEN 80470 RESCO Materials 401-588- 02 89.78 02/22/2024 GEN 80471 REY ARNALDO CARRERAS GARCIA JR OVERPAYMENTS 142-000- 00 25. 97 02/22/2024 GEN 804724 RS AMERICAS, INC. Relay 107-362- 00 33.04 Relay socket 107-362- 00 24.14 FREIGHT 401-588- 02 10.75 CHECK GEN 80472 TOTAL FOR FUND 1: 67.93 02/22/2024 GEN 80473*4 RUNNING'S SUPPLY INC Materials 401-588- 02 453.05 Grounds - Materials 401-935- 08 26.97 HECK GEN 80473 TOTAL FOR FUND 1: 480.02 02/22/2024 GEN 80475*4 SCHWEITZER ENGINEERING SEL-787 107-362- 00 5, 402.06 SEL-751 107-362- 00 3,256.73 SEL-751 107-362- 00 3,965.79 Sales Tax Receivable - New 186-000- 00 867.94 HECK GEN 80475 TOTAL FOR FUND 1: 13,492.52 02/22/2024 GEN 80477* STANDARD PRINTING & MAILING OFFICE SUPPLIES 401-921- 08 15.15 02/22/2024 GEN 80479 UCAP OVERPAYMENTS 142-000- 00 489.44 02/22/2024 GEN 80480* UNITED INFORMATION SERVICES, INC COLLECTION - MATERIALS 401-903- 06 2, 037.49 02/22/2024 GEN 80481 UPSIDE RE LLC OVERPAYMENTS 142-000- 00 107.21 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 1 ELECTRIC 02/22/2024 GEN 80483* VERIZON WIRELESS 02/22/2024 GEN 80484*4 WEST CENTRAL SANITATION INC 02/22/2024 GEN 80485* ZACK RUSSELL-TUREK TELEPHONE Account Dept 401-921- 08 GENERATOR 41 WATER & SEWER -INDUSTRIAL 401-547- 01 WASTE DISPOSAL-4TH AVE 401-550- 01 UTILITY ESP - WATER/WASTE 55/45- 401-930- 08 HECK GEN 80484 TOTAL FOR FUND 1: Cip - Residential 401-916- 07 Page 13/23 Amount 234.22 108.68 175.46 265.15 549.29 25.00 02/22/2024 GEN 804864 ZIEGLER POWER SYSTEMS SPARKPLUG, 193468327 154-000- 00 16,600.00 FREIGHT 401-588- 02 12.63 HECK GEN 80486 TOTAL FOR FUND 1: 16,612.63 Total for fund 1 ELECTRIC 941,237.09 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 2 GAS 02/07/2024 GEN 8033614 ACE HARDWARE 02/07/2024 GEN 80337*4 ADEPT BLAST AND PAINT M & R STATION EQUIPMENT Materials Materials Materials Materials Grounds - Materials HECK GEN 80336 TOTAL FOR FUND 2 Materials Grounds - Outside Services HECK GEN 80337 TOTAL FOR FUND 2: 02/07/2024 GEN 80338* AMERICAN PAYMENT CENTERS INC BOX RENTAL 02/07/2024 GEN 80340* AUTUMN FERNANDEZ 02/07/2024 GEN 80341*4 BORDER STATES ELECTRIC SUPPLY Account Dept 107-369- 00 401-874- 04 401-874- 04 401-874- 04 401-874- 04 401-935- 08 402-892- 04 401-935- 08 401-903- 06 DEP REFUND/APPLIED 235-000- 00 NIPPLE, 1" X 2 1/2", BM, STD, SMLS, TEE 154-000- 00 VALVE, SAV-A-VALVE, 3/4" X 3", MUELLER 154-000- 00 NIPPLE, 3/4" X 6", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 3/4" X 3 1/2", BM, STD, SMLS, 154-000- 00 NIPPLE, 3/4" X 2", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 3/4" X 2 1/2", BM, STD, SMLS, 154-000- 00 NIPPLE, 3/4" X 5", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1" X 5", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1/2" X 2 1/2", BM, STD, SMLS, 154-000- 00 NIPPLE, 1" X 3", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 3/4" X 3", STD, BM, SMLS, TEE 154-000- 00 NIPPLE, 1" X 4", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1" X 5 1/2", BM, STD, SMLS, TEE 154-000- 00 TAX 401-874- 04 TAX 401-874- 04 TAX 401-874- 04 HECK GEN 80341 TOTAL FOR FUND 2: Page 14/23 Amount 68.13 54.46 37.40 193.19 34.19 465.88 310.00 341.55 651.55 41.84 49.00 5.08 300.75 20.10 15.24 10.68 10.00 6.96 11.16 6.06 32.78 11.25 it.90 19.92 0.37 20.68 10.73 493.66 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 15/23 Amount Fund: 2 GAS 02/07/2024 GEN 80342* BREANNE KBAGENBRING DEP REFUND/APPLIED 235-000- 00 26.25 02/07/2024 GEN 80343* BS&A SOFTWARE It Admin And Support 401-921- 08 328.00 02/07/2024 GEN 80344* CALEB OR LEAH JARMAN DEP REFUND/APPLIED 235-000- 00 136.50 02/07/2024 GEN 80346* CARTER STOICK OR MOLLY HOVDA DEP REFUND/APPLIED 235-000- 00 54.25 02/07/2024 GEN 80347* CARTER, JEREMY J Training - Expense 401-930- 08 65.50 02/07/2024 GEN 80350 CENTURYLINK Utilities (Electric, Satellite 401-856- 05 69.07 02/07/2024 GEN 80351*4 CINTAS CORPORATION 4470 UNIFORMS & LAUNDRY 401-880- 04 99. 91 UNIFORMS & LAUNDRY 401-880- 04 60.87 UNIFORMS & LAUNDRY 401-880- 04 99. 91 UNIFORMS & LAUNDRY 401-880- 04 99. 91 HECK GEN 80351 TOTAL FOR FUND 2: 360.60 02/07/2024 GEN 80352*4 CITY OF HUTCHINSON QTR PILOT 70/30 234-000- 00 149,206.25 VEHICLE/EQUIPMENT FUEL -GAS 401-880- 04 2, 396.41 IT ADMIN AND SUPPORT 75/25 401-921- 08 7,683.75 LEGAL SERVICES 75/25 401-923- 08 2,756.25 VEHICLES/EQUIPMENT FUEL-ADMIN 55/45 401-935- 08 55.30 HECK GEN 80352 TOTAL FOR FUND 2: 162,097.96 02/07/2024 GEN 80354 CONNIE DALLMANN Cip - Residential 401-916- 07 25.00 02/07/2024 GEN 80356* DALTON FAIRCHILD OR JASON EGGERT DEP REFUND/APPLIED 235-000- 00 73.50 02/07/2024 GEN 80357* ELIZABETH CARRIGAN-HOLAWAY DEP REFUND/APPLIED 235-000- 00 112.00 02/07/2024 GEN 80358* ET WORLDWIDE LLC DEP REFUND/APPLIED 235-000- 00 288.75 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 2 GAS 02/07/2024 GEN 80359* FIRST CHOICE FOOD & BEVERAGE 02/07/2024 GEN 80360* FIRST CLASS BUILDERS 02/07/2024 GEN 80362*4 GOPHER STATE ONE -CALL INC 02/07/2024 GEN 803644 GROEBNER & ASSOCIATES INC 02/07/2024 GEN 80365* HEALTH PARTNERS 02/07/2024 GEN 80366*4 HILLYARD/HUTCHINSON 02/07/2024 GEN 80367* HUTCHFIELD SERVICES 02/07/2024 GEN 80369*4 HUTCHINSON LEADER Account Dept Page 16/23 Amount BREAKROOM/RECOGNITION BANQUET 401-926- 08 50. 62 Cip - Residential 401-916- 07 350.00 Cip - Residential 401-916- 07 350.00 Cip - Residential 401-916- 07 700.00 HECK GEN 80360 TOTAL FOR FUND 2: 1,400.00 ASSETS 401-870- 04 56.70 Materials 401-874- 04 56.05 HECK GEN 80362 TOTAL FOR FUND 2: 112.75 SB050 - Silver Bullet fits 1/2" CIS 107-380- 00 2,535.00 FREIGHT & TAX 401-874- 04 201.61 HECK GEN 80364 TOTAL FOR FUND 2: 2,736.61 DENTAL INSURANCE - 18% GAS 242-000- 00 935.68 HEALTH INSURANCE-18o GAS 242-000- 00 12,177.86 HECK GEN 80365 TOTAL FOR FUND 2: 13,113.54 Grounds - Materials 401-935- 08 157.13 Grounds - Materials 401-935- 08 69.57 HECK GEN 80366 TOTAL FOR FUND 2: 226.70 Grounds - Outside Services 401-935- 08 894.44 Public Awareness - Material 401-874- 04 187.07 Public Awareness - Material 401-856- 05 187.07 Cip - Marketing 401-916- 07 112.50 WELDER SERVICE POSITION 401-921- 08 320.01 HECK GEN 80369 TOTAL FOR FUND 2: 806.65 02/22/2024 10:28 AM CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES User: JMartig CHECK DATE FROM O1/26/2024 - 02/22/2024 DE: Hutchinson Utili Check Date Bank Check # Payee Description Account Dept Fund: 2 GAS 02/07/2024 GEN 8037014 HUTCHINSON WHOLESALE SUPPLY CO Vehicles - Material 402-895- 04 Power Equipment - Materials 402-895- 04 Power Equipment - Materials 402-895- 04 HECK GEN 80370 TOTAL FOR FUND 2: 02/07/2024 GEN 80371* HWY 7 E LLC DEP REFUND/APPLIED 235-000- 00 02/07/2024 GEN 80373* JARVIS WATNEMO Cip - Residential 401-916- 07 02/07/2024 GEN 80374* JAY MCCLINTOCK DEP REFUND/APPLIED 235-000- 00 02/07/2024 GEN 80378* KASSI UECKER DEP REFUND/APPLIED 235-000- 00 02/07/2024 GEN 80379* KATELYN SCHMIDT DEP REFUND/APPLIED 235-000- 00 02/07/2024 GEN 80380 KRANZ LAWN & POWER Power Equipment - Materials 402-895- 04 02/07/2024 GEN 80382 KURTH WELDING & REPAIR Materials 402-892- 04 02/07/2024 GEN 80383* MARCO TECHNOLOGIES, LLC OFFICE SUPPLIES 401-921- 08 02/07/2024 GEN 80387* MICHAEL OR BROOKE FREUND DEP REFUND/APPLIED 235-000- 00 02/07/2024 GEN 80388* MICKENA INSELMANN DEP REFUND/APPLIED 235-000- 00 02/07/2024 GEN 80389 MINI BIFF INC M & R STATION EQUIPMENT 107-369- 00 02/07/2024 GEN 803914 MRC GLOBAL YS64C0600-1/8 INPRF-SCRNONLY 1/8 IN 107-369- 00 YS64C0600-CVRGSKT- SS SPIRLA WOUND 107-369- 00 SCREEN ONLY FOR 4" 782-CS 1/8" PERT 107-369- 00 OVER GASKET FOR 4" 782-CS 107-369- 00 SCREEN ONLY FOR 4" 782-CS 1/8" PERT 107-369- 00 TAX 401-874- 04 TAX 401-874- 04 Page 17/23 Amount 4.15 7.79 50.22 62.16 455.00 50.00 49.00 59.50 28.00 26.98 112.00 173.90 122.50 52.50 73.61 302.36 548.88 298.75 156.88 597.50 58.53 20.54 02/22/2024 10:28 AM CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES User: JMartig CHECK DATE FROM O1/26/2024 - 02/22/2024 DE: Hutchinson Utili Check Date Bank Check # Payee Description Account Dept Fund: 2 GAS TAX 401-874- 04 TAX 401-874- 04 IN 2271197-00-06 Relief valve 402-892- 04 HECK GEN 80391 TOTAL FOR FUND 2: 02/07/2024 GEN 80392 NORTHERN BORDER PIPELINE CO LINE - OUTSIDE SERVICES -INTERCONNECT 401-856- 05 02/07/2024 GEN 80394 NOVASPECT INC FREIGHT 401-874- 04 IN R63EGX00122, kit, 402-892- 04 IN R99HX000022, kit, repair, 99H Comp 402-892- 04 HECK GEN 80394 TOTAL FOR FUND 2: 02/07/2024 GEN 80395* NUVERA TELEPHONE 401-921- 08 02/07/2024 GEN 80396* NYSTROM & ASSOCIATES DEP REFUND/APPLIED 235-000- 00 DEP REFUND/APPLIED 235-000- 00 DEP REFUND/APPLIED 235-000- 00 HECK GEN 80396 TOTAL FOR FUND 2: 02/07/2024 GEN 80398*4 OXYGEN SERVICE COMPANY INC Materials 401-874- 04 Materials 401-874- 04 HECK GEN 80398 TOTAL FOR FUND 2: 02/07/2024 GEN 80399* PREMIUM WATERS INC OFFICE SUPPLIES -BOTTLED WATER 401-921- 08 02/07/2024 GEN 80400*4 PRO AUTO & TRANSMISSION REPAIR Vehicles - Material 402-895- 04 Vehicles - Material 402-895- 04 Vehicles - Material 402-895- 04 Vehicles - Material 402-895- 04 HECK GEN 80400 TOTAL FOR FUND 2: 02/07/2024 GEN 80402 PATH RACING, INC Services 107-380- 00 02/07/2024 GEN 80404* REICE OR HANNAH TIERNAN DEP REFUND/APPLIED 235-000- 00 Page 18/23 Amount 51.87 53.59 779.50 2,868.40 2,000.00 25.55 247.00 640.36 157.50 269.50 119.82 4.08 4,507.27 132.95 54.76 3,822.00 70.00 02/22/2024 10:28 AM CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES Page 19/23 User: JMartig CHECK DATE FROM O1/26/2024 - 02/22/2024 DE: Hutchinson Utili Check Date Bank Check # Payee Description Account Dept Amount Fund: 2 GAS DEP REFUND/APPLIED 235-000- 00 57.75 HECK GEN 80404 TOTAL FOR FUND 2: 127.75 02/07/2024 GEN 80405* REID COON-GROE DEP REFUND/APPLIED 235-000- 00 35.00 02/07/2024 GEN 80406* RILEY STENZEL DEP REFUND/APPLIED 235-000- 00 87.50 02/07/2024 GEN 80407 ROBIN KASHUBA Cip - Residential 401-916- 07 300.00 02/07/2024 GEN 80409 RUSCH, BRYCE Training - Expense 401-870- 04 492.74 02/07/2024 GEN 80410 RUSCH, JUSTIN Training - Expense 401-870- 04 419.78 02/07/2024 GEN 80411 RYAN ELBERT Cip - Residential 401-916- 07 350.00 02/07/2024 GEN 80412* SAMANTHA BERNARDY DEP REFUND/APPLIED 235-000- 00 77.00 02/07/2024 GEN 80413* SHIVA LLC DEP REFUND/APPLIED 235-000- 00 1,435.00 02/07/2024 GEN 80414* SHRED RIGHT OFFICE SUPPLIES -SHREDDING SERVICES 401-921- 08 5.12 02/07/2024 GEN 80415* STANDARD PRINTING & MAILING OFFICE SUPPLIES 401-921- 08 6.50 Office Supplies 401-921- 08 180.35 Advertising/Printing 401-921- 08 283.35 HECK GEN 80415 TOTAL FOR FUND 2: 470.20 02/07/2024 GEN 80418* TRANS Grounds - Materials 401-935- 08 2,295.00 02/07/2024 GEN 80419* TRI-COUNTY WATER CONDITIONING Grounds - Materials 401-935- 08 8.42 02/07/2024 GEN 80420* TRUE BALANCE PROPERTIES DEP REFUND/APPLIED 235-000- 00 210.00 02/07/2024 GEN 80421* UNITED PARCEL SERVICE MAIL SERVICES - UPS, FEDEX 401-921- 08 39. 85 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # Payee CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Description Fund: 2 GAS 02/07/2024 GEN 80422* VERIZON WIRELESS 02/07/2024 GEN 80423* VIA ACTUARIAL SOLUTIONS 02/22/2024 GEN 80429*4 ACE HARDWARE 02/22/2024 GEN 80433* BIRCHDALE FIRE & SAFETY 02/22/2024 GEN 80434*4 BORDER STATES ELECTRIC SUPPLY TELEPHONE TELEPHONE HECK GEN 80422 TOTAL FOR FUND 2: Misc Services Materials Materials Power Equipment - Materials HECK GEN 80429 TOTAL FOR FUND 2: Account Dept Page 20/23 Amount 401-921- 08 78.07 401-921- 08 356.56 434.63 401-923- 08 540.00 402-892- 04 402-892- 04 402-895- 04 GROUNDS - OUTSIDE SERVICES 401-935- 08 TAPE, TEFLON, 1/2" X 260", HIGH 154-000- 00 NIPPLE, 3/4" X 5 1/2", BM, STD, SMLS, 154-000- 00 COUPLING, 3/4" IPS, EF, MDPE 154-000- 00 TAPE, TEFLON, 1/2" X 260", HIGH 154-000- 00 NIPPLE, 3/4" X 1 1/2", BM, STD, SMLS, 154-000- 00 NIPPLE, 1" X 2", BM, STD, SMLS, TEE 154-000- 00 NIPPLE 1" X 6", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 3/4" X 4", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 3/4" X 5", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1" X 5", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1" X 3", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 3/4" X 4 1/2", BM, STD, SMLS, 154-000- 00 NIPPLE, 1" X 2 1/2", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1" X 3 1/2", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1" X 4 1/2", BM, STD, SMLS, TEE 154-000- 00 NIPPLE, 1" X 5 1/2", BM, STD, SMLS, TEE 154-000- 00 TAX 401-874- 04 TAX 401-874- 04 TAX 401-874- 04 TAX 401-874- 04 HECK GEN 80434 TOTAL FOR FUND 2: 1.76 7.04 7.05 15.85 96.42 3.92 33.75 158.00 19.60 it.90 30.81 83.30 13.95 10.44 19.53 8.94 15.25 12.70 16.55 20.05 4.98 0.29 2.32 10.85 495.56 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 21/23 Amount Fund: 2 GAS 02/22/2024 GEN 80435 BROWN COUNTY RURAL ELECTRIC Utilities (Electric, Satellite 401-856- 05 387.88 02/22/2024 GEN 80437 CINDY WOLLER Cip - Residential 401-916- 07 350.00 02/22/2024 GEN 80438*4 CINTAS CORPORATION 4470 UNIFORMS & LAUNDRY 401-880- 04 99. 91 UNIFORMS & LAUNDRY 401-880- 04 102.88 HECK GEN 80438 TOTAL FOR FUND 2: 202.79 02/22/2024 GEN 80439*4 CITY OF HUTCHINSON Utility Expenses - Water/Waste 401-930- 08 14.48 Utility Expenses - Water/Waste 401-930- 08 443.19 HECK GEN 80439 TOTAL FOR FUND 2: 457.67 02/22/2024 GEN 80440* CONWAY DEUTH & SCHMIESING PLLP MISC SERVICES 401-923- 08 6,500.00 02/22/2024 GEN 80443* DAVID LARSON Cip - Residential 401-916- 07 50.00 02/22/2024 GEN 80447*4 EMBROIDERY PLUS Uniforms & Laundry 401-880- 04 45.42 02/22/2024 GEN 80451* HOTSY EQUIPMENT OF MINNESOTA GROUNDS - OUTSIDE SERVICES 401-935- 08 204.55 02/22/2024 GEN 80456 LEAGUE OF MN CITIES INS TRUST Worker's Compensation 401-926- 08 197.13 02/22/2024 GEN 80458 LIEN, MIKE Training - Expense 401-870- 04 85.76 02/22/2024 GEN 80460* MADDEN GALANTER HANSEN Legal Services 401-923- 08 10.75 02/22/2024 GEN 804624 MCLEOD COOPERATVIE POWER ASSN MISC EXPENSE -GAS LINE PUMP 401-880- 04 84.11 UTILITIES (ELECTRIC, SATELLITE-MCLEOD 401-856- 05 44.03 HECK GEN 80462 TOTAL FOR FUND 2: 128.14 02/22/2024 GEN 80464 NELSON TECHNOLOGIES INC TAX & FREIGHT 401-874- 04 75.80 P/N G2-0012 YZ Odorant tank 402-892- 04 315.00 P/N F4-0103 Sentry Utility Download 402-892- 04 450.00 HECK GEN 80464 TOTAL FOR FUND 2: 840.80 02/22/2024 10:28 AM User: JMartig DE: Hutchinson Utili Check Date Bank Check # CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES CHECK DATE FROM O1/26/2024 - 02/22/2024 Payee Description Account Dept Page 22/23 Amount Fund: 2 GAS 02/22/2024 GEN 804664 NOVASPECT INC FB3000 4-Slot Chassis with CPU 107-370- 00 3,167.20 FB3000 Mixed I/O Card - 12 Channel 107-370- 00 916.00 FB3000 Mixed I/O Card personality 107-370- 00 309.60 FREIGHT 401-874- 04 25.55 FREIGHT 401-874- 04 53.57 NPS 1/4 H120 BRASS BODY NIT 85PSI SET 402-892- 04 130.24 IN 14A5685X012, gasket, to 302F/150C 402-892- 04 50.00 IN R99HX000022, kit, repair, 99H Comp 402-892- 04 552.00 IN R6365X00022, Kit,Repair,6365, SIG 402-892- 04 292.00 IN M0196770X12, cover indicator 402-892- 04 23.00 HECK GEN 80466 TOTAL FOR FUND 2: 5,519.16 02/22/2024 GEN 8046714 OXYGEN SERVICE COMPANY INC Materials 401-874- 04 66.94 02/22/2024 GEN 80468 PRO AUTO & TRANSMISSION REPAIR Vehicles - Material 402-895- 04 87. 92 Vehicles - Material 402-895- 04 586.69 Vehicles - Material 402-895- 04 47.69 HECK GEN 80468 TOTAL FOR FUND 2: 722.30 02/22/2024 GEN 80469* RELIANCE STANDARD LIFE -LIFE LTD INSURANCE-20o GAS 242-000- 00 472.20 LIFE INSURANCE-20o GAS 242-000- 00 267.23 HECK GEN 80469 TOTAL FOR FUND 2: 739.43 02/22/2024 GEN 80473*4 RUNNING'S SUPPLY INC Grounds - Materials 401-935- 08 26.96 02/22/2024 GEN 80474 RUSCH, JUSTIN Training - Expense 401-870- 04 77.37 02/22/2024 GEN 80475*4 SCHWEITZER ENGINEERING SEL-3505-3 RTAC 107-370- 00 1,718.20 TAX 401-874- 04 118.13 HECK GEN 80475 TOTAL FOR FUND 2: 1,836.33 02/22/2024 GEN 80476 SOUTH CENTRAL ELECTRIC ASS'N UTILITIES (ELECTRIC, SATELLITE 401-856- 05 52.47 02/22/2024 GEN 80477* STANDARD PRINTING & MAILING OFFICE SUPPLIES 401-921- 08 5.05 02/22/2024 10:28 AM CHECK DISBURSEMENT REPORT FOR HUTCHINSON UTILITIES User: JMartig CHECK DATE FROM O1/26/2024 - 02/22/2024 DE: Hutchinson Utili Check Date Bank Check # Payee Description Fund: 2 GAS 02/22/2024 GEN 80478 STATE OF MINNESOTA Regulatory Expenses 02/22/2024 GEN 80480* UNITED INFORMATION SERVICES, INC COLLECTION - MATERIALS 02/22/2024 GEN 80482 UTILITY SAFETY & DESIGN, INC M & R STATION EQUIPMENT 02/22/2024 GEN 80483* VERIZON WIRELESS TELEPHONE 02/22/2024 GEN 80484*4 WEST CENTRAL SANITATION INC UTILITY ESP - WATER/WASTE 45/55- 02/22/2024 GEN 80485* ZACK RUSSELL-TUREK Cip - Residential Total for fund 2 GAS TOTAL - ALL FUNDS '*'-INDICATES CHECK DISTRIBUTED TO MORE THAN ONE FUND '#'-INDICATES CHECK DISTRIBUTED TO MORE THAN ONE DEPARTMENT Account Dept Page 23/23 Amount 401-928- 08 2,142.33 401-903- 06 1,667.03 107-369- 00 26,384.00 401-921- 08 78.07 401-930- 08 216.94 401-916- 07 350.00 259,200.73 1,200,437.82 HUTCHINSON UTILITIES COMMISSION COMBINED DIVISIONS FINANCIAL REPORT FOR JANUARY, 2024 2024 2023 Di %Chna 2024 2023 Di %Chna Full Yr Bud %of Bud Combined Division Customer Revenue $ 3,667,584 $ 3,922,229 $ (254,645) (6.5%) $ 3,667,584 $ 3,922,229 $ (254,645) (6.5%) $ 37,151,166 9.9% Sales for Resale $ 430,551 $ 410,495 $ 20,056 4.9% $ 430,551 $ 410,495 $ 20,056 4.9% $ 3,681,000 11.7% NG Transportation $ 171,365 $ 88,656 $ 82,709 93.3% $ 171,365 $ 88,656 $ 82,709 93.3% $ 2,108,203 8.1% Electric Division Transfer $ 60,383 $ 59,960 $ 424 0.7% $ 60,383 $ 59,960 $ 424 0.7% $ 724,600 8.3% Other Revenues $ 35,552 $ 34,900 $ 652 1.9% $ 35,552 $ 34,900 $ 652 1.9% $ 481,893 7.4% Interest Income $ 77,861 $ 66,003 $ 11,858 18.0% $ 77,861 $ 66,003 $ 11,858 18.0% $ 783,457 9.9% TOTAL REVENUES $ 4,443,296 $ 4,582,242 $ (138,947) (3.0%) $ 4,443,296 $ 4,582,242 $ (138,947) (3.0%) $ 44,930,319 9.9% Salaries & Benefits $ 696,663 $ 626,290 $ 70,373 11.24% $ 696,663 $ 626,290 $ 70,373 11.2% $ 7,969,960 8.7% Purchased Commodities $ 2,326,275 $ 2,628,481 $ (302,206) (11.5%) $ 2,326,275 $ 2,628,481 $ (302,206) (11.5%) $ 20,379,028 11.4% Transmission $ 183,682 $ 229,713 $ (46,031) (20.0%) $ 183,682 $ 229,713 $ (46,031) (20.0%) $ 2,755,000 6.7% Generator Fuel/Chem. $ 376,335 $ 29,988 $ 346,347 1,155.0% $ 376,335 $ 29,988 $ 346,347 1,155.0% $ 1,364,260 27.6% Depreciation $ 364,361 $ 375,920 $ (11,559) (3.1%) $ 364,361 $ 375,920 $ (11,559) (3.1%) $ 4,430,000 8.2% Transfers (Elect./City) $ 222,269 $ 218,671 $ 3,598 1.6% $ 222,269 $ 218,671 $ 3,598 1.6% $ 2,667,226 8.3% Operating Expense $ 290,132 $ 372,753 $ (82,620) (22.2%) $ 290,132 $ 372,753 $ (82,620) (22.2%) $ 3,268,836 8.9% Debt Interest $ 58,538 $ 65,534 $ (6,996) (10.7%) $ 58,538 $ 65,534 $ (6,996) 10.7% $ 702,457 8.3% TOTAL EXPENSES $ 4,518,256 $ 4,547,350 $ (29,094) (0.6%) $ 4,518,256 $ 4,547,350 $ (29,094) (0.6%) $ 43,536,767 10.4% NET PROFIT/(LOSS) $ (74,960) $ 34,893 $ (109,853) (314.8%) $ (74,960) $ 34,893 $ (109,853) (314.8%) $ 1,393,552 (5.4%) January January YTD YTD 2024 HUC 2024 2023 Change 2024 2023 Change Budget Target Gross Margin %: 22.9% 25.6% -2.8% 22.9% 25.6% -2.8% 33.6% 26%- 28% Operating Income Per Revenue $ (%): -5.1% 0.3% -5.4% -5.1% 0.3% -5.4% 2.3% 1%-4% Net Income Per Revenue $ (%): -1.7% 0.8% -2.4% -1.7% 0.8% -2.4% 3.1% 1%-3% HUTCHINSON UTILITIES COMMISSION ELECTRIC DIVISION FINANCIAL REPORT FOR JANUARY, 2024 II ' o 2024 2023 Di . %Chna 2024 2023 Di . %Chna Full YrBud %of Bud Electric Division Customer Revenue $ 1,898,888 $ 2,031,577 $ (132,689) (6.5%) $ 1,898,888 $ 2,031,577 $ (132,689) (6.5%) $ 24,902,363 7.6% Sales for Resale $ 430,551 $ 410,495 $ 20,056 4.9% $ 430,551 $ 410,495 $ 20,056 4.9% $ 3,681,000 11.7% Other Revenues $ 13,578 $ 11,810 $ 1,767 15.0% $ 13,578 $ 11,810 $ 1,767 15.0% $ 188,770 7.2% Interest Income $ 40,324 $ 34,396 $ 5,929 17.2% $ 40,324 $ 34,396 $ 5,929 17.2% $ 408,457 9.9% TOTAL REVENUES $ 2,383,340 $ 2,488,278 $ (104,937) (4.2%) $ 2,383,340 $ 2,488,278 $ (104,937) (4.2%) $ 29,180,590 8.2% Salaries & Benefits $ 532,064 $ 475,125 $ 56,939 12.0% $ 532,064 $ 475,125 $ 56,939 12.0% $ 5,777,096 9.2% Purchased Power $ 1,099,394 $ 1,321,657 $ (222,262) (16.8%) $ 1,099,394 $ 1,321,657 $ (222,262) (16.8%) $ 12,638,152 8.7% Transmission $ 183,682 $ 229,713 $ (46,031) (20.0%) $ 183,682 $ 229,713 $ (46,031) (20.0%) $ 2,755,000 6.7% Generator Fuel/Chem. $ 376,335 $ 29,988 $ 346,347 1,155.0% $ 376,335 $ 29,988 $ 346,347 1,155.0% $ 1,364,260 27.6% Depreciation $ 271,567 $ 285,232 $ (13,664) (4.8%) $ 271,567 $ 285,232 $ (13,664) (4.8%) $ 3,330,000 8.2% Transfers (Elect./City) $ 172,534 $ 169,911 $ 2,623 1.5% $ 172,534 $ 169,911 $ 2,623 1.5% $ 2,070,402 8.3% Operating Expense $ 221,881 $ 285,780 $ (63,899) (22.4%) $ 221,881 $ 285,780 $ (63,899) (22.4%) $ 2,111,928 10.5% Debt Interest $ 35,305 $ 37,738 $ (2,433) (6.4%) $ 35,305 $ 37,738 $ (2,433) LLILI $ 423,657 8.3% TOTAL EXPENSES $ 2,892,762 $ 2,835,143 $ 57,620 2.0% $ 2,892,762 $ 2,835,143 $ 57,620 2.0% $ 30,470,495 9.5% NET PROFIT/(LOSS) $ (509,422) $ (346,865) $ (162,557) 46.9% $ (509,422) $ (346,865) $ (162,557) 46.9% $ (1,289,905) 39.5% �y�y �� ppJJJJyyy �� IIffI�IIIIM ��IIIIIIIIIIII�IIIIII��IIII��, o 8,33r6 of :.Year Comp. P I ��yyyyyy �J� �IJ kkkkNN I I� i o00000000000000000OOOO ��O�^��i I�IIII��IIIIIIIIIIII�� 2024 2023 Di . %Chna 2024 2023 Di . %Chna Full YrBud %of Bud Electric Division Residential 4,629,131 4,537,544 91,587 2.02% 4,629,131 4,537,544 91,587 2.02% 54,084,350 8.6% All Electric 339,975 346,621 (6,646) (1.92%) 339,975 346,621 (6,646) (1.92%) 2,585,300 13.2% Small General 1,595,872 1,608,782 (12,910) (0.80%) 1,595,872 1,608,782 (12,910) (0.80%) 18,348,996 8.7% Large General 5,951,920 6,475,960 (524,040) (8.09%) 5,951,920 6,475,960 (524,040) (8.09%) 83,540,973 7.1% Industrial 9,000,000 8,430,000 570,000 6.76% 9,000,000 8,430,000 570,000 6.76% 113,841,379 7.9% Total KWH Sold 21,516,898 21,398,907 117,991 0.55% 21,516,898 21,398,907 117,991 0.55% 272,400,998 7.9% January January YTD YTD 2024 HUC 2024 2023 Change 2024 2023 Change Budget Target Gross Margin %: 13.1% 17.7% -4.6% 13.1% 17.7% -4.6% 27.1% Operating Income Per Revenue $ (%): -22.0% -14.0% -8.0% -22.0% -14.0% -8.0% -4.6% Net Income Per Revenue $ (%): -21.4% -13.9% -7.4% -21.4% -13.9% -7.4% -4.4% Customer Revenue per KWH: $0.0883 $0.0949 -$0.0067 $0.0883 $0.0949 -$0.0067 $0.0914 $0.0914 Total Power Supply Exp. per KWH: $0.0946 $0.0944 $0.0002 $0.0946 $0.0944 $0.0002 $0.0769 Notes/Graphs: Net Loss increased by $162,557 over January 2023 in large part due to decreased revenues and overall increased expenses. Purchased Power was down but generator fuels were up by $346,347 due in large part to an increase in natural gas prices during the January cold spike. Revenues were down despite increased usage because the PCA brought in an additional $216,577 a year ago compared to zero this year. The PCA would have brought in $320,474 if we would have been below the threshold in the rate stabilization fund. HUC is now below that threshold so future PCA's can be expected. Sales for Resale of $430,551 consisted of $186,301 in market sales, $98,000 in capacity sales to Rice Lake, and $146,250 in capacity sales to AEP. January 2023 Sales for Resale of $410,495 included $9,771 in market sales, $98,000 in capacity sales to Rice Lake, $146,250 in capacity sales to AEP and $156,474 in tolling sales to Dynasty Power. January 2022 Sales for Resale of $278,518 consisted of $34,268 in market sales, $98,000 in capacity sales to Rice Lake, and $146,250 in capacity sales to AEP. Overall Purchased Power decreased by $222,262. MRES purchases increased by $32,269 and market purchases/MISO costs decreased by $254,531. The average cost of MISO power was $39.31/mwh (2,564 mwh's purchased), compared to $39.67/mwh (5,974 mwh's purchased) in January 2023. There was no Power Cost Adjustment for January 2024. Power Cost Adjustment for January 2023 was $.01009/kwhr bringing in $216,577 for the month and YTD. Gas Division Customer Revenue Transportation Electric Div. Transfer Other Revenues Interest Income TOTAL REVENUES Salaries & Benefits Purchased Gas Operating Expense Depreciation Transfers (City) Debt Interest TOTAL EXPENSES NET PROFIT/(LOSS) HUTCHINSON UTILITIES COMMISSION GAS DIVISION FINANCIAL REPORT FOR JANUARY, 2024 2024 2023 2 . $ 1,768,696 $ 1,890,652 $ (121,956) $ 171,365 $ 88,656 $ 82,709 $ 60,383 $ 59,960 $ 424 $ 21,975 $ 23,090 $ (1,115) $ 37,536 $ 31,607 $ 5,929 $ 2,059,955 $ 2,093,965 $ (34,010) % Chna 2024 2023 2 . (6.5%) $ 1,768,696 $ 1,890,652 $ (121,956) 93.3% $ 171,365 $ 88,656 $ 82,709 0.7% $ 60,383 $ 59,960 $ 424 (4.8%) $ 21,975 $ 23,090 $ (1,115) 18.8% $ 37,536 $ 31,607 $ 5,929 (1.6%) $ 2,059,955 $ 2,093,965 $ (34,010) % Chna 8.33% of Year Full Yr Bud $ 12,248,803 Comp. % of Bud 14.4% (6.5%) 93.3% $ 2,108,203 8.1% 0.7% $ 724,600 8.3% (4.8%) $ 293,123 7.5% 18.8% $ 375,000 10.0% (1.6%)l $ 15,749,729 13.1% $ 164,599 $ 151,165 $ 13,434 8.9% $ 164,599 $ 151,165 $ 13,434 8.9% $ 2,192,864 $ 1,226,881 $ 1,306,825 $ (79,944) (6.1%) $ 1,226,881 $ 1,306,825 $ (79,944) (6.1%) $ 7,740,876 $ 68,252 $ 86,973 $ (18,722) (21.5%) $ 68,252 $ 86,973 $ (18,722) (21.5%) $ 1,156,908 $ 92,794 $ 90,689 $ 2,105 2.3% $ 92,794 $ 90,689 $ 2,105 2.3% $ 1,100,000 $ 49,735 $ 48,760 $ 975 2.0% $ 49,735 $ 48,760 $ 975 2.0% $ 596,824 $ 23,233 $ 27,796 $ (4,563) 0.0% $ 23,233 $ 27,796 $ (4,563) 16.4% $ 278,800 $ 13,066,272 $ 1,625,494 $ 1,712,207 $ (86,713) (5.1%) $ 1,625,494 $ 1,712,207 $ (86,713) (5.1%) 7.5% 15.8% 5.9% 8.4% 8.3% 8.3% 12.4% $ry 434,462 $ 381,758 $kkkkNNN 52,704 13.8% $ 434,462 $ 3�y81,758 $ 52,704 13.8% $ 2,683,457 16.2% 8.33% of Year Comp. 2024 2023 2 %Chnq I 2024 2023 2 %Chnq I Full YrBud %of Bud Gas Division Residential 77,179,659 76,420,480 759,179 0.99% 77,179,659 76,420,480 759,179 0.99% 450,091,000 17.1% Commercial 53,598,718 54,208,584 (609,866) (1.13%) 53,598,718 54,208,584 (609,866) (1.13%) 350,477,000 15.3% Industrial 96,266,264 104,534,054 (8,267,790) (7.91%) 96,266,264 104,534,054 (8,267,790) (7.91%) 908,618,000 10.6% Total CF Sold 227,044,641 235,163,118 (8,118,477) (3.45%) 227,044,641 235,163,118 (8,118,477) (3.45%) 1,709,186,000 13.3% January January YTD YTD 2024 HUC 2024 2023 Change 2024 2023 Change Budget Target Gross Margin %: 34.9% 35.2% -0.3% 34.9% 35.2% -0.3% 46.0% 37%-40% Operating Income Per Revenue $ (%): 15.8% 17.6% -1.8% 15.8% 17.6% -1.8% 15.5% IIIIIIIIIIIIIIIIIIIIII Net Income Per Revenue $ (%): 21.1% 18.2% 2.9% 21.1% 18.2% 2.9% 17.0% IIIIIIIIIIIIIIIIIIIIII Contracted Customer Rev. per CF: $0.0084 $0.0073 $0.0011 $0.0084 $0.0073 $0.0011 $0.0060 IIIIIIIIIIIIIIIIIIIIII Customer Revenue per CF: $0.0074 $0.0086 -$0.0012 $0.0074 $0.0086 -$0.0012 $0.0083 $0.0083 Total Power Supply Exp. per CF: $0.0055 $0.0056 ($0.0002) $0.0055 $0.0056 ($0.0002) $0.0048 $0.0048 Notes/Graphs: January Net Income increased by $52,704 despite decreased retail revenues from a fuel credit adjustment as well as lower usage due to lower costs of purchased gas. Transportation revenue will increase in 2024 as a new N.G. transport customer started this year. Fuel Credit Adjustment was $1.14178/MCF for January 2024 with $150,146 going out in credits to the customers for the month and YTD. There was no fuel credit in January 2023. Current Assets UnrestrictedlUndesignated Cash Cash Petty Cash Designated Cash Capital Expenditures - Five Yr. CIP Payment in Lieu of Taxes Rate Stabilization - Electric Rate Stabilization - Gas Catastrophic Funds Restricted Cash Bond Interest Payment 2017 Bond Interest Payment 2012 Debt Service Reserve Funds Total Current Assets Receivables Accounts (net of uncollectible allowances) Interest Total Receivables Other Assets Inventory Prepaid Expenses Sales Tax Receivable Deferred Outflows - Electric Deferred Outflows - Gas Total Other Assets Total Current Assets Capital Assets Land & Land Rights Depreciable Capital Assets Accumulated Depreciation Construction - Work in Progress Total Net Capital Assets HUTCHINSON UTILITIES COMMISSION BALANCE SHEET - CONSOLIDATED JANUARY31, 2024 Electric Gas Total Total Net Change Division Division 2024 2023 Total (YTD) 5,584,465.21 11,155,351.83 16,739,817.04 15,774,504.69 965,312.35 680.00 170.00 850.00 850.00 - 2,750,000.00 700,000.00 3,450,000.00 3,450,000.00 - 1,345,802.00 596,824.00 1,942,626.00 1,904,536.00 38,090.00 182,888.64 - 182,888.64 395,204.99 (212,316.35) - 626,564.78 626,564.78 278,849.08 347,715.70 800,000.00 200,000.00 1,000,000.00 1,000,000.00 - 197,276.04 - 197,276.04 897,142.71 (699,866.67) - 362,300.00 362,300.00 359,758.34 2,541.66 1,183,656.00 2,072,000.00 3,255,656.00 2,711,029.66 544,626.34 12,044,767.89 15,713,210.61 27,757,978.50 26,771,875.47 986,103.03 1,871,775.81 2,041,541.27 3,913,317.08 4,357,476.87 (444,159.79) 70,706.31 70,706.32 141,412.63 118,283.99 23,128.64 1,942,482.12 2,112,247.59 4,054,729.71 4,475,760.86 (421,031.15) 1,923,809.95 558,751.57 2,482,561.52 2,222,582.50 259,979.02 604,913.38 264,616.02 869,529.40 160,751.10 708,778.30 330,991.80 - 330,991.80 237,025.05 93,966.75 1,221,397.00 - 1,221,397.00 1,221,397.00 - - 407,133.00 407,133.00 407,133.00 - 4,081,112.13 1,230,500.59 5,311,612.72 4,248,888.65 1,062,724.07 18, 068, 362.14 19, 055, 958.79 690,368.40 3,899,918.60 113,787,739.97 43,427,718.63 (70,572,827.00) (21,439,271.28) 1,113,677.63 901,320.19 45,018,959.00 26,789,686.14 37,124,320.93 35,496,524.98 1,627,795.95 4,590,287.00 4,590,287.00 - 157,215,458.60 155,571,598.64 1,643,859.96 (92,012,098.28) (87,602,265.41) (4,409,832.87) 2,014,997.82 1,000,075.08 1,014,922.74 71,808,645.14 73,559,695.31 (1,751,050.17) Total Assets 63,087,321.14 45,845,644.93 108,932,966.07 109,056,220.29 (123,254.22) Current Liabilities Current Portion of Long-term Debt Bonds Payable Bond Premium Lease Liability - Solar Array Accounts Payable Accrued Expenses Accrued Interest Accrued Payroll Total Current Liabilities Long -Term Liabilities Noncurrent Portion of Long-term Debt 2017 Bonds 2012 Bonds Bond Premium 2012 Pension Liability- Electric Pension Liability - Electric OPEB Pension Liability - Nat Gas Pension Liability - Nat Gas OPEB Accrued Vacation Payable Accrued Severance Deferred Outflows - Electric Deferred Outflows - Nat Gas Total Long -Term Liabilities Net Position Retained Earnings Total Net Position HUTCHINSON UTILITIES COMMISSION BALANCE SHEET - CONSOLIDATED JANUARY31, 2024 Electric Gas Total Division Division 2024 730,000.00 19, 546.00 3,209,393.62 70,609.37 191,611.84 4,221,160.83 1,825,000.00 185,608.32 1,694,591.64 46,466.68 62,303.73 3,813,970.37 2,555,000.00 185,608.32 19, 546.00 4,903,985.26 117,076.05 253,915.57 8,035,131.20 Total 2023 700,000.00 185,608.32 4,083,932.68 131,067.73 208,350.19 5,308,958.92 Net Change Total (YTD) 1,855,000.00 19, 546.00 820,052.58 (13, 991.68) 45,565.38 2,726,172.28 12,570,000.00 - 12,570,000.00 13,330,000.00 (760,000.00) - 4,130,000.00 4,130,000.00 7,780,000.00 (3,650,000.00) 462,821.28 340,281.55 803,102.83 1,022,168.11 (219,065.28) 4,021,396.00 - 4,021,396.00 4,021,396.00 - 77,480.00 - 77,480.00 77,480.00 - - 1,340,466.00 1,340,466.00 1,340,466.00 - - 25,827.00 25,827.00 25,827.00 - 527,144.22 191,450.10 718,594.32 700,600.34 17,993.98 121,598.92 32,321.13 153,920.05 140,285.54 13,634.51 98,554.00 - 98,554.00 98,554.00 - - 32,851.00 32,851.00 32,851.00 - 17,878,994.42 6,093,196.78 23,972,191.20 28,569,627.99 (4,597,436.79) 40,987,165.89 35,938,477.78 76,925,643.67 75,177,633.38 1,748,010.29 40,987,165.89 35,938,477.78 76,925,643.67 75,177,633.38 1,748,010.29 Total Liabilities and Net Position 63,087,321.14 45,845,644.93 108,932,966.07 109,056,220.29 (123,254.22) Hutchinson Utilities Commission Cash -Designations Report, Combined January 31, 2024 Change in Financial Annual Balance, Balance, Cash/Reserve Institution Current Interest Rate Interest January 2024 December 2023 Position Savings, Checking, Investments varies varies varies 27,757,978.50 27,780,580.05 (22,601.55) Total Operating Funds 27,757,978.50 27,780,580.05 (22,601.55) Debt Reserve Requirements Bond Covenants - sinking fund Debt Reserve Requirements Bond Covenants -1 year Max. P & I Total Restricted Funds Operating Reserve Rate Stabalization Funds PILOT Funds Catastrophic Funds Capital Reserves Total Designated Funds Min 60 days of 2024 Operating Bud. Charter (Formula Only) Risk Mitigation Amount 5 Year CIP (2024-2028 Fleet & Infrastructure Maintenance) 559,576.04 979,788.02 (420,211.98) 3,255,656.00 2,711,029.66 544,626.34 3,815,232.04 3,690,817.68 124,414.36 6,631,467.17 6,631,467.17 809,453.42 1,129,927.47 (320,474.05) 1, 942, 626.00 1, 942, 626.00 1, 000, 000.00 1, 000, 000.00 3,450,000.00 3,450,000.00 13,833,546.59 14,154,020.64 (320,474.05) YE YE YE YE YT0 2020 2021 2022 2023 2024 Debt to Asset 32.3% 30.8% 31.4% 28.6% 29.4% Current Ratio 5.67 5.22 4.47 4.48 3.95 RONA 3.62% 0.41% -1.38% 1.96% -0.08% HUC Target >0 Change in Cash Balance (From 12131114 to 113112024) Month End Electric Elec. Change Natural Gas Gas Change Total Total Change 1/31/2024 12, 044, 768 15, 713, 211 27, 757, 979 12/31/2023 12,158,338 (113,570) 15,622,242 90,969 27,780,580 (22,602) 12/31/2022 11,633,212 525,126 15,450,554 171,688 27,083,766 674,213 12/31/2021 12,870,253 (1,237,041) 15,086,000 364,554 27,956,253 (872,487) 12/31/2020 14,239,233 (1,368,981) 15,019,173 66,827 29,258,406 (1,302,153) 12/31/2019 12,124,142 2,115,092 13,837,040 1,182,133 25,961,181 3,297,225 12/31/2018 15,559,867 (3,435,725) 12,335,998 1,501,042 27,895,864 (1,934,683) 12/31/2017 23,213,245 (7,653,378) 10,702,689 1,633,309 33,915,934 (6,020,070) 12/31/2016 8,612,801 14,600,444 9,500,074 1,202,615 18,112,875 15,803,059 12/31/2015 6,170,790 2,442,011 9,037,373 462,701 15,208,163 2,904,712 12/31/2014 3,598,821 2,571,969 6,765,165 2,272,208 10,363,986 4,844,177 * 2017's Significant increase in cash balance is due to issuing bonds for the generator project. Hutchinson Utilities Commission Cash -Designations Report, Electric January 31, 2024 Change in Financial Annual Balance, Balance, Cash/Reserve Institution Current Interest Rate Interest January 2024 December 2023 Position Savings, Checking, Investments varies varies Total HUC Operating Funds tiectric iI Debt Restricted Requirements Bond Covenants - sinking fund Debt Restricted Requirements Bond Covenants -1 year Max. P & I Total Restricted Funds Operating Reserve Rate Stabalization Funds PILOT Funds Catastrophic Funds Capital Reserves Total Designated Funds varies 27,757,978.50 27,780,580.05 (22,601.55) 27,757,978.50 27,780,580.05 (22,601.55) Min 60 days of 2024 Operating Bud. $400 K-$1.2 K Charter (Formula Only) Risk Mitigation Amount 5 Year CIP (2024-2028 Fleet & Infrastructure Maintenance) 197,276.04 798,638.02 (601,361.98) 1,183,656.00 522,335.64 661,320.36 1,380,932.04 1,320,973.66 59,958.38 4,593,259.83 4,593,259.83 182,888.64 503,362.69 (320,474.05) 1, 345, 802.00 1, 345, 802.00 800,000.00 800,000.00 2,750,000.00 2,750,000.00 9,671,950.47 9,992,424.52 (320,474.05) YE YE YE YE YTD APPA Ratio HUC 2020 2021 2022 2023 2024 5K-10K Cust. Target Debt to Asset Ratio (* w/Gen.) 32.6% 32.2% 34.8% 34.0% 35.0% 39.8% Current Ratio 6.18 5.70 4.96 4.35 3.66 3.75 RONA 2.5% -1.2% -4.2% -0.9% -0.9% NA >0% Notes/Graphs: Hutchinson Utilities Commission Cash -Designations Report, Gas January 31, 2024 Change in Financial Annual Balance, Balance, Cash/Reserve Institution Current Interest Rate Interest January 2024 December 2023 Position Savings, Checking, Investments varies varies Total HUC Operating Funds Debt Restricted Requirements Bond Covenants - sinking fund Debt Restricted Requirements Bond Covenants -1 year Max. P & I Total Restricted Funds Operating Reserve Rate Stabalization Funds PILOT Funds Catastrophic Funds Capital Reserves Total Designated Funds varies 27,757,978.50 27,780,580.05 (22,601.55) 27,757,978.50 27,780,580.05 (22,601.55) Min 60 days of 2024 Operating Bud. $200K-$600K Charter (Formula Only) Risk Mitigation Amount 5 Year CIP (2024-2028 Fleet & Infrastructure Maintenance) 362, 300.00 181,150.00 181,150.00 2,072,000.00 2,188,694.02 (116,694.02) 2,434,300.00 2,369,844.02 64,455.98 2,038,207.33 2,038,207.33 626,564.78 626,564.78 596,824.00 596,824.00 200,000.00 200,000.00 700,000.00 700,000.00 4,161, 596.11 4,161, 596.11 YE YE YE YE YTD HUC 2020 2021 2022 2023 2024 AGA Ratio Target Debt to Asset 32.0% 28.8% 26.5% 21.0% 21.6% 35%-50% Current Ratio 5.18 4.79 4.06 4.61 4.25 1.0-3.0 RONA 5.3% 2.9% 3.0% 6.2% 1.1% 2%-5% Notes/Graphs: HUTCHINSON UTILITIES COMMISSION Investment Report For the Month Ended January 31, 2024 Interest Current Date of Date of Par Current Purchase Unrealized Premium Next Institution Description Rate YTM Purchase Maturity Value Value Amount Gain/(Loss) (Discount) Call Date Wells Fargo Money Market 4.910% 4.910% NA NA - 6,357.37 - - - N/A Wells Fargo FHLB 4.750% 4.750% 02/01/2023 02/01/2024 1,000,000.00 1,000,000.00 1,000,000.00 - - N/A Wells Fargo FFCB 4.250% 4.250% 12/20/2022 12/20/2024 1,000,000.00 995,350.00 1,000,000.00 (4,650.00) - N/A Wells Fargo FFCB 4.000% 4.000% 40/10/2023 03/10/2025 580,000.00 577,923.60 580,000.00 (2,076.40) - N/A Wells Fargo FHLB 5.000% 5.000% 05/31/2023 11/26/2025 1,000,000.00 995,970.00 1,000,681.44 (4,711.44) 681.44 02/26/2024 Wells Fargo FHLB 0.500% 0.587% 01/29/2021 01/29/2026 295,000.00 275,745.35 295,000.00 (19,254.65) - 07/29/2024 Wells Fargo FHLB 0.500% 0.525% 02/09/2021 02/09/2026 470,000.00 437,584.10 470,000.00 (32,415.90) - 02/09/2024 Wells Fargo FHLB 1.000% 1.432% 04/29/2021 04/29/2026 400,000.00 383,116.00 400,000.00 (16,884.00) - 06/29/2024 Wells Fargo FHLB 0.750% 1.069% 06/30/2021 06/30/2026 300,000.00 279,465.00 300,000.00 (20,535.00) - 03/30/2024 Wells Fargo FHLB 0.900% 1.281% 09/30/2021 09/30/2026 250,000.00 232,960.00 250,000.00 (17,040.00) - 03/30/2024 Wells Fargo FHLB 1.115% 4.179% 01/10/2024 02/26/2027 575,000.00 524,394.25 526,218.41 (1,824.16) (48,781.59) 02/26/2024 Wells Fargo CD's 0.450% 0.450% 04/14/2021 04/15/2024 245,000.00 242,625.95 245,000.00 (2,374.05) - 02/14/2024 Wells Fargo CD's 2.800% 2.800% 06/17/2022 06/17/2024 245,000.00 242,905.25 245,000.00 (2,094.75) - N/A Wells Fargo CD's 0.550% 0.550% 08/02/2021 08/05/2024 245,000.00 239,526.70 245,000.00 (5,473.30) - N/A Wells Fargo CD's 4.800% 4.800% 11/16/2022 11/15/2024 245,000.00 244,850.55 245,000.00 (149.45) - N/A Wells Fargo CD's 1.100% 1.100% 01/31/2022 01/31/2025 245,000.00 236,180.00 245,000.00 (8,820.00) - 07/31/2024 Wells Fargo CD's 1.600% 1.600% 02/23/2022 02/24/2025 245,000.00 236,917.45 245,000.00 (8,082.55) - N/A Wells Fargo CD's 4.650% 4.650% 04/12/2023 04/07/2025 245,000.00 244,615.35 245,000.00 (384.65) - N/A Wells Fargo CD's 4.650% 4.650% 40/14/2023 04/14/2025 245,000.00 244,644.75 245,000.00 (355.25) - N/A Wells Fargo CD's 3.100% 3.100% 06/15/2022 06/16/2025 245,000.00 239,774.15 245,000.00 (5,225.85) - N/A Wells Fargo CD's 3.100% 3.100% 06/15/2022 06/16/2025 245,000.00 239,774.15 245,000.00 (5,225.85) - N/A Wells Fargo CD's 3.300% 3.300% 08/26/2022 08/26/2025 245,000.00 239,989.75 245,000.00 (5,010.25) - N/A Wells Fargo CD's 1.000% 1.000% 05/19/2021 05/19/2026 245,000.00 226,982.70 245,000.00 (18,017.30) - N/A Wells Fargo CD's 1.000% 1.000% 07/28/2021 07/28/2026 245,000.00 225,505.35 245,000.00 (19,494.65) - N/A Wells Fargo CD's 1.050% 1.050% 08/08/2021 08/25/2026 238,000.00 219,355.08 238,000.00 (18,644.92) - N/A Wells Fargo CD's 4.500% 4.500% 12/20/2023 12/21/2026 245,000.00 247,050.65 245,000.00 2,050.65 - N/A Wells Fargo CD's 1.000% 1.207% 07/31/2021 07/13/2028 245,000.00 217,929.95 245,000.00 (27,070.05) 06/13/2024 Broker Total 49.6% 9,783,000.00 9,497,493.45 9,734,899.85 (243,763.77) (48,100.15) Cetera Investment Services Money Market 0.750% 0.750% N/A N/A - 61,634.92 - - - N/A Cetera Investment Services Municipal Bonds 2.854% 3.173% 12/20/2018 02/01/2024 100,000.00 100,000.00 99,605.96 394.04 (394.04) N/A Cetera Investment Services Municipal Bonds 2.977% 3.246% 12/20/2018 03/15/2024 250,000.00 249,292.50 248,743.99 548.51 (1,256.01) N/A Cetera Investment Services Municipal Bonds 1.940% 1.821% 01/13/2020 05/01/2024 65,000.00 64,440.35 65,570.70 (1,130.35) 570.70 N/A Cetera Investment Services Municipal Bonds 5.742% 3.658% 04/11/2019 08/01/2024 100,000.00 100,317.00 109,960.00 (9,643.00) 9,960.00 N/A Cetera Investment Services Municipal Bonds 5.000% 4.253% 02/09/2023 08/15/2024 270,000.00 270,237.60 279,454.50 (9,216.90) 9,454.50 N/A Cetera Investment Services Municipal Bonds 2.400% 2.908% 08/05/2022 08/15/2024 50,000.00 49,291.50 50,070.17 (778.67) 70.17 N/A Cetera Investment Services Municipal Bonds 2.402% 2.926% 08/05/2022 10/01/2024 125,000.00 122,907.50 124,674.19 (1,766.69) (325.81) N/A Cetera Investment Services Municipal Bonds 2.033% 4.794% 06/05/2023 10/01/2024 85,000.00 83,310.20 82,332.21 977.99 (2,667.79) Make -Whole Call Cetera Investment Services Municipal Bonds 5.200% 4.710% 02/21/2023 11/01/2024 30,000.00 30,042.90 30,711.27 (668.37) 711.27 N/A Cetera Investment Services Municipal Bonds 4.000% 4.689% 05/19/2023 12/01/2024 50,000.00 49,614.50 50,428.33 (813.83) 428.33 N/A Cetera Investment Services Municipal Bonds 2.528% 1.918% 01/13/2020 12/01/2024 100,000.00 97,977.00 102,999.53 (5,022.53) 2,999.53 N/A Cetera Investment Services Municipal Bonds 1.319% 4.407% 09/26/2022 12/01/2024 50,000.00 48,523.00 47,238.35 1,284.65 (2,761.65) N/A Cetera Investment Services Municipal Bonds 3.922% 3.429% 12/20/2018 12/01/2024 204,000.00 202,467.96 208,181.10 (5,713.14) 4,181.10 N/A Cetera Investment Services Municipal Bonds 3.375% 4.693% 06/05/2023 03/01/2025 260,000.00 256,027.20 256,618.05 (590.85) (3,381.95) Make -Whole Call Cetera Investment Services Municipal Bonds 2.092% 4.793% 08/04/2023 05/01/2025 190,000.00 183,948.50 182,543.32 1,405.18 (7,456.68) NA Cetera Investment Services Municipal Bonds 4.415% 4.516% 02/21/2023 05/01/2025 60,000.00 59,755.80 59,907.79 (151.99) (92.21) N/A Cetera Investment Services Municipal Bonds 4.400% 3.221% 04/11/2019 07/01/2025 500,000.00 493,555.00 539,101.11 (45,546.11) 39,101.11 07/01/2024 Cetera Investment Services Municipal Bonds 0.824% 4.678% 01/09/2023 08/01/2025 100,000.00 94,310.00 91,160.64 3,149.36 (8,839.36) N/A Cetera Investment Services Municipal Bonds 5.640% 3.007% 04/18/2019 08/15/2025 205,000.00 189,048.95 169,737.95 19,311.00 (35,262.05) N/A Cetera Investment Services Municipal Bonds 3.743% 2.740% 04/18/2019 09/15/2025 215,000.00 212,566.20 228,334.53 (15,768.33) 13,334.53 N/A Cetera Investment Services Municipal Bonds 3.379% 1.934% 08/19/2019 10/01/2025 310,000.00 301,378.90 339,739.18 (38,360.28) 29,739.18 N/A Cetera Investment Services Municipal Bonds 2.727% 2.271% 03/03/2022 12/01/2025 335,000.00 319,311.95 342,781.72 (23,469.77) 7,781.72 N/A Cetera Investment Services Municipal Bonds 5.600% 1.186% 07/28/2020 12/01/2025 45,000.00 45,788.40 55,250.55 (9,462.15) 10,250.55 N/A Cetera Investment Services Municipal Bonds 4.250% 3.258% 04/11/2019 01/01/2026 500,000.00 493,335.00 529,769.03 (36,434.03) 29,769.03 N/A Cetera Investment Services Municipal Bonds 2.420% 1.175% 10/06/2020 03/01/2026 100,000.00 94,966.00 106,734.28 (11,768.28) 6,734.28 N/A Cetera Investment Services Municipal Bonds 3.000% 5.017% 11/17/2023 04/01/2026 135,000.00 130,855.50 129,493.80 1,361.70 (5,506.20) N/A Cetera Investment Services Municipal Bonds 1.609% 1.124% 09/24/2020 04/01/2026 285,000.00 265,705.50 292,370.10 (26,664.60) 7,370.10 N/A Cetera Investment Services Municipal Bonds 6.690% 3.356% 04/18/2019 04/15/2026 60,000.00 53,676.60 47,545.20 6,131.40 (12,454.80) N/A Cetera Investment Services Municipal Bonds 5.900% 1.451% 07/28/2020 06/15/2026 75,000.00 77,130.00 93,741.75 (16,611.75) 18,741.75 N/A Cetera Investment Services Municipal Bonds 0.000% 1.415% 08/13/2020 07/01/2026 100,000.00 88,517.00 92,037.00 (3,520.00) (7,963.00) N/A Cetera Investment Services Municipal Bonds 3.250% 2.903% 04/18/2019 08/01/2026 500,000.00 482,470.00 514,790.69 (32,320.69) 14,790.69 N/A Cetera Investment Services Municipal Bonds 2.116% 3.307% 06/07/2022 08/01/2026 75,000.00 70,811.25 71,565.00 (753.75) (3,435.00) N/A Cetera Investment Services Municipal Bonds 2.150% 2.203% 07/01/2019 12/01/2026 40,000.00 37,813.60 40,150.64 (2,337.04) 150.64 N/A Interest Current Date of Date of Par Current Purchase Unrealized Premium Next Institution Description Rate YTM Purchase Maturity Value Value Amount Gain/(Loss) (Discount) Call Date Cetera Investment Services Municipal Bonds 1.664% 1.150% 08/27/2020 09/01/2026 225,000.00 207,852.75 231,696.00 (23,843.25) 6,696.00 N/A Cetera Investment Services Municipal Bonds 2.375% 1.816% 09/04/2019 12/01/2026 90,000.00 84,881.70 93,395.70 (8,514.00) 3,395.70 N/A Cetera Investment Services Municipal Bonds 2.350% 2.191 % 07/01/2019 12/01/2026 500,000.00 472,245.00 505,385.00 (33,140.00) 5,385.00 N/A Cetera Investment Services Municipal Bonds 3.000% 1.991% 08/19/2019 02/01/2027 50,000.00 48,062.00 53,551.00 (5,489.00) 3,551.00 N/A Cetera Investment Services Municipal Bonds 3.150% 2.034% 08/1 9/201 9 03/15/2027 100'000.00 96,456.00 109,138.50 (12,682.50) 9,138.50 N/A Cetera Investment Services Municipal Bonds 3.332% 3.120% 04/1 8/201 9 04/15/2027 500,000.00 486,585.00 507,783.94 (21,198.94) 7,783.94 N/A Cetera Investment Services Municipal Bonds 3.865% 2.470% 08/1 9/201 9 05/01/2027 55,000.00 54,420.30 60,986.48 (6,566.18) 5,986.48 05/01/2025 Cetera Investment Services Municipal Bonds 5.981% 4.910% 11/20/2023 05/01/2027 120,000.00 124,711.20 126,798.40 (2,087.20) 6,798.40 N/A Cetera Investment Services Municipal Bonds 3.553% 2.289% 08/19/2019 05/01/2027 55,000.00 52,998.55 60,468.04 (7,469.49) 5,468.04 05/01/2026 Cetera Investment Services Municipal Bonds 3.230% 1.828% 08/1 9/201 9 05/15/2027 145,000.00 140,254.15 160,827.31 (20,573.16) 15,827.31 N/A Cetera Investment Services Municipal Bonds 1.925% 1.719% 11/23/2021 06/01/2027 310,000.00 283,721.30 313,447.46 (29,726.16) 3,447.46 Make -Whole Call Cetera Investment Services Municipal Bonds 1.861% 1.254% 06/07/2021 07/01/2027 410,000.00 375:059.80 412:336.71 (37,276.91) 2:336.71 N/A Cetera Investment Services Municipal Bonds 3.000% 3.101% 05/18/2020 09/01/2027 65,000.00 63,875.50 69,180.58 (5,305.08) 4,180.58 09/01/2025 Cetera Investment Services Municipal Bonds 2.817% 2.817% 09/25/2019 10/01/2027 35,000.00 29,635.55 27,969.55 1,666.00 (7,030.45) 05/01/2025 Cetera Investment Services Municipal Bonds 1.415% 1.793% 11/23/2021 03/01/2028 100,000.00 89,881.00 98,088.31 (8,207.31) (1,911.69) N/A Cetera Investment Services Municipal Bonds 3.270% 2.141% 08/19/2019 03/15/2028 155,000.00 148,965.85 170,805.09 (21,839.24) 15,805.09 09/15/2027 Cetera Investment Services Municipal Bonds 2.974% 2.574% 11/07/2019 04/01/2028 75,000.00 70,137.75 77,253.00 (7,115.25) 2,253.00 N/A Cetera Investment Services Municipal Bonds 2.125% 1.904% 11/23/2021 06/01/2028 110,000.00 99,199.10 111,525.06 (12,325.96) 1,525.06 N/A Cetera Investment Services Municipal Bonds 2.547% 1.240% 08/10/2021 07/01/2028 125:000.00 116,670.00 136,101.16 (19,431.16) 11,101.16 N/A Cetera Investment Services Municipal Bonds 3.140% 2.004% OS/19/2019 08/01/2028 500,000.00 475,530.00 547,105.00 (71,575.00) 47,105.00 OS/01/2027 Cetera Investment Services Municipal Bonds 3.000% 2.199% 05/19/2020 08/15/2028 90,000.00 88,395.30 95,401.80 (7,006.50) 5,401.80 08/15/2025 Cetera Investment Services Municipal Bonds 1.692% 1.813% 11/24/2021 10/01/2028 180,000.00 158,486.40 179, 18%4 (20,702.34) (811.26) N/A Cetera Investment Services Municipal Bonds 3.000% 1.942% 08/19/2019 06/01/2029 115:000.00 108:089.65 125:961.80 (17,872.15) 10,961.80 N/A Cetera Investment Services Municipal Bonds 4.000% 3.214% 03/22/2021 09/01/2031 60,000.00 59,288.40 64,292.00 (5,003.60) 4,292.00 09/01/2024 Cetera Investment Services Municipal Bonds 3.500% 2.699% 11/23/2021 02/01/2033 50:000.00 50:156.00 54:390.44 (4,234.44) 4:390.44 02/01/2025 Cetera Investment Services Municipal Bonds 3.250% 2.655% 08/1 9/201 9 06/01/2029 75,000.00 75,204.75 79,860.31 (4,655.56) 4,860.31 02/01/2025 Cetera Investment Services Municipal Bonds 3.125% 2.303% 11/23/2021 10/01/2034 50,000.00 48,991.00 54,773.69 (5,782.69) 4,773.69 04/01/2027 Cetera Investment Services Municipal Bonds 3.125% 2.456% 11/23/2021 02/01/2035 50:000.00 49:313.50 54,236.11 (4,922.61) 4,236.11 02/01/2026 Broker Total 50.4% 9,964,000.00 9,640,095.78 10,265,289.81 (686,828.95) 301,289.81 TOTAL INVESTMENTS 100.0% $ 19,747,000.00 $ 19,137,589.23 $ 20,000,189.66 $ (930,592.72) $ 253,189.66 ELECTRIC DIVISION Operating Revenue January 2024 CLASS AMOUNT KWH /KWH Street Lights $26.82 492 $0.05451 Electric Residential Service $490,630.35 4,629,131 $0.10599 All Electric Residential Service $32,417.04 339,975 $0.09535 Electric Small General Service $161,814.50 1,595,872 $0.10140 Electric Large General Service $539,669.91 5,951,920 $0.09067 Electric Large Industrial Service $674,329.10 9,000,000 $0.07493 Total $1,898,887.72 21,517,390 $0.08825 Power Adjustment $0.00000 Rate Without Power Adjustment $0.08825 Electric Division Year -to -Date M2024 $A--t 02023 $A--t ■2024 KWH110 02023 KWH110 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 Street Lights Residential All Elec. Small Gen. Large Gen. Large For Resale Total Resid. Srv. Srv. Industrial NOTE: Sales for resale includes capacity sales and energy for resale NATURAL GAS DIVISION Operating Revenue JANUARY 2024 CLASS AMOUNT MCF /$ MCF Residential $566,474.03 77,180 $7.33965 Commercial $395,636.55 53,599 $7.38142 Large Industrial $9,612.42 1,099 $8.74652 Large Industrial Contracts $796,972.82 95,167 $8.37447 Total $1,768,695.82 227,045 $7.79007 ® 2024 $ Amount 2,000,000 1,800,000 1,600,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 200,000 0 Fuel Adjustment-$1.14000 Rate Without Fuel Adjustment $8.93007 Natural Gas Division Year -to -Date 0 2023 $ Amount ■ 2024 MCF 13 2023 MCF Gas Residential Gas Commercial Large Industrial Large Industrial Total Contracts Monthly Report - Hutchinson Utilities Hutchinson Utilities Commission Commission Year Minimum duration Substation 2024 v Month Maximum duration Circuit 01 -January ----- v IEEE 1366 Statistics Metric Jan 2024 Jan 2023 SAI DI 11.341 None SAI FI 0.154 None CAI DI 73.434 None ASAI 99.9737% 100% Momentary Interruptions 0 0 Sustained Interruptions 2 0 Circuit Ranking - Worst Performing Ranked by Outage Count Circuit Substation Fdr#18 Plant 1 Ranked by Customer Interruptions Circuit Substation Fdr#18 Plant 1 Ranked by Customer Minutes of Duration Number of Outages 2 Customer Interruptions 1.150 Circuit Substation Customer Minutes of Duration Fdr#18 Plant 1 84,450 Historical Monthly SAIDI Chart 12.5 M, nthly A'erage 10.D 7.5 5.0 2.5 — — ,. 0.0 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 2023 2023 2023 2023 2023 2023 2023 2023 2023 2023 2023 2024 Historical Monthly SAIFI Chart May Jun Jul Aug Sep Oct Nov Dec Jan 2023 2023 2023 2023 2023 2023 2023 2023 2024 3AID1 of monthly SAIDI values SAIFI of monthly SAIFI values Causes Ranked by Count Count Unknown Manufacturing Defect Causes Ranked by Duration Cause Duration Manufacturing Defect 44,450 Unknown 40,000 Top 2 Outages for the Month Address Customers Interrupted Duration Customer Minutes of Interruption Start Date School Road 350 127 44,450 01/29/2024 Fdr 18 800 50 40,000 01/20/2024 Total Customers Affected for the Month: 1,150 Average Customers Affected per Outage: 575 Flow rhcl Corn r7u uu•,�uh FPINA-P] HUTCHINSON UTILITIES COMMISSION f tit ,c�,« Board Action Form Agenda Item: Review Policies Anqie Radke Review Policies BACKGROUND/EXPLANATION OFAGENDA ITEM: es As part of HUC's standard operating procedures, a continual policy review is practiced. This month, the following policies were reviewed and no changes are recommended on these policies at this time: Section 2 of Exempt Handbook Section 2 of Non -Exempt Handbook BOARD ACTION REQUESTED: None EXEMPT SECTION 2 — ADMINISTRATION OF PERSONNEL POLICIES The Commission approves personnel policies intending uniform administration of personnel matters of the Utilities. The Commission may supplement, amend and/or rescind the policies to assure that they will remain practical, useful and current. In approving personnel policies, the Commission has made every effort to be as reasonable and practical as possible. Final responsibility for the enforcement of the policies shall rest with the Commission. The Commission however, has delegated to the General Manager the responsibility and authority for the enforcement of all personnel policies. The General Manager, in turn, delegates certain responsibilities and authority to the Staff as deemed advisable in order to carry out the personnel policies. The General Manager, however, remains accountable to the Commission. If the Commission has not clearly delegated its authority in a certain manner, the Commission retains authority to determine the appropriate action. These personnel policies govern all Utilities employees and apply to all cases except where a policy contained herein conflicts with a Union Contract, or other employment contract, or past practice, in which case the Union Contract, or other employment contract, or past practice shall govern. SAVINGS CLAUSE If any provision of this Handbook is declared by proper legislative, administrative or judicial authority to be unlawful, unenforceable or not in accordance with applicable Civil Service rules, or law, all other provisions of this Handbook shall remain in full force and effect for the duration of this Handbook. HIRING It is the Commission's policy to hire qualified applicants through internal employee promotion and external recruitment if appropriate. The General Manager has the authority to hire all employees and must approve all hiring recommendations. Final interviews for the General Manager position will be conducted by the Commissioner Board with the assistance of the Administrative/HR Coordinator. Final interviews for Director positions will be conducted by the General Manager, President of the Commission and Administrative/HR Coordinator. PROBATIONARY PERIOD UPON HIRING A newly hired exempt employee shall serve a six (6) month probationary period during which the employee shall have the opportunity to demonstrate abilities and work performance. During this qualifying period, the Director, Manager or Supervisor should discuss with the employee, the employee's progress in becoming fully acquainted with the job and co-workers. The General Manager can terminate a probationary employee's employment without notice and without cause at any time during the probationary period. The General Manager may choose to extend an employee's probation period up to a maximum of three months. New full-time employees are required to sign the acknowledgement in Appendix B when they begin employment. TEMPORARY EMPLOYEES Temporary employees are required to sign the acknowledgement in Appendix C when they begin employment. The General Manager must approve employment of a temporary worker for longer than 14 consecutive weeks. The responsible Director or Manager must inform the General Manager of the desire to employ a temporary worker longer than 14 weeks. PROMOTIONS AND TRANSFERS HUC encourages individual advancement by providing opportunities for promotion and transfer as positions become available. Job vacancies shall be posted ten (10) working days. Employees desiring to be considered for the position must provide a letter of interest to the appropriate staff person by the deadline stated on the posting. All promoted and transferred employees shall serve a six (6) month trial period during which time the promoted or transferred employee may be placed back in the employee's previous job classification if a position is available and at the sole discretion of the Employer, without loss of seniority. We encourage employees to discuss their career plans and goals with their Director or Manager. LAYOFFS HUC retains its right to eliminate positions within the organization if the Commission deems it appropriate to do so. If a layoff occurs, RUC will provide four weeks' notice to affected employees. Layoffs will be based on skill, knowledge, utility needs and also employee's seniority. VOLUNTARY LEAVE OF ABSENCE HUC may request employees to voluntarily take a leave of absence without pay for a specified period of time. EMPLOYMENT OF RELATIVES No applicant or employee shall receive preferential consideration because of his/her relationship to an HUC employee, a Commission member, a Hutchinson City Council member or other City employees and officials. Any HUC employee who extends such preferential treatment is subject to discipline. No member of a department head's immediate family shall be a direct report to the department head. No member of the General Manager's immediate family shall be a direct report to the General Manager. A former Commission member may not be hired as an employee of HUC for two years after the end of the Commissioner's term in office. MEMBERSHIP/DUES/CONVENTIONS Employees are encouraged to join and participate in professional and technical associations, which are expected to enhance job performance. HUC will pay the association dues if membership relates directly to an employee's job with HUC. The appropriate Staff Personnel must approve payment of membership dues. The General Manager must approve attendance at association meetings, conferences, and/or conventions. HUC will pay the attendance fee for pre -approved meetings and expenses incurred. DATA PRACTICES ADVISORY Employee records are maintained by Administrative/HR Coordinator. Personnel data is retained in personnel files, finance files, and benefit/medical files. Information is used to administer employee salary and benefit programs, process payroll, complete state and federal reports, document employee performance, etc. Employees have the right to know what data is retained, where it is kept, and how it is used. All employee data will be received, retained, and disseminated according to the Minnesota Government Data Practices Act. Media Requests: All HUC employees have a responsibility to help communicate accurate and timely information to the public in a professional manner. Requests for private data or information outside of the scope of an individual's job duties should be routed to the appropriate department. Any employee who identifies a mistake in reporting should bring the error to the General Manager or other appropriate staff. Regardless of whether the communication is in the employee's official utilities role or in a personal capacity, employees must comply with all laws related to trademark, copyright, software use, etc. With the exception of routine events and basic information that is readily available to the public, all requests for interviews or information from the media are to be routed through the General Manager. No HUC employee is authorized to speak on behalf of HUC without prior authorization from the General Manager or his designee. Media requests include anything intended to be published or viewable to others in some form such as television, radio, newspapers, newsletters, social media sites, and web sites. When responding to media requests, employees should follow these steps: I. If the request is for routine or public information (such as a meeting time or agenda) provide the information and notify the General Manager of the request. 2. If the request is regarding information about HUC personnel, potential litigation, controversial issues, an opinion on a HUC matter, or if an employee is unsure if the request is a "routine" question, forward the request to the General Manager. An appropriate response would be "I'm sorry, I don't have the full information regarding that issue. Let me take some basic information and submit your request to the appropriate person who will get back to you as soon as he/she can." Then ask the media representative's name, questions, deadline and contact information. All news releases concerning HUC personnel will be the responsibility of the General Manager. When/if the General Manager authorizes a staff person to communicate on behalf of HUC in interviews, publications, news releases, on social media sites, and related communications, employees must: ✓ Identify themselves as representing HUC. Account names on social media sites must be clearly connected to HUC and approved by the General Manager. ✓ All information must be respectful, professional and truthful. Corrections must be issued when needed. ✓ Personal opinions generally don't belong in official statements. One exception is communications related to promoting a service. ✓ Employees need to notify the General Manager if they will be using their personal technology (cell phones, home computer, cameras, etc.) for HUC business. Employees should be aware that the data transmitted or stored may be subject to the Data Practices Act. It is important for HUC employees to remember that the personal communications of employees may reflect on HUC, especially if employees are commenting on HUC business. The following guidelines apply to personal communications including various forms such as social media (Facebook, Twitter, blogs, YouTube, etc.), letters to the editor of newspapers, and personal endorsements. ✓ Remember that what you write is public, and will be so for a long time. It may also be spread to large audiences. Use common sense when using email or social media sites. It is a good idea to refrain from sending or posting information that you would not want your boss or other employees to read, or that you would be embarrassed to see in the newspaper. ✓ HUC expects its employees to be truthful, courteous and respectful towards supervisors, co-workers, citizens, customers and other persons associated with HUC. Do not engage in name-calling or personal attacks. ✓ If you publicize something related to HUC business, identify yourself and use a disclaimer such as, "I am an employee of HUC. However, these are my own opinions and do not represent those of HUC." ✓ HUC resources, working time, or official positions cannot be used for personal profit or business interests, or to participate in personal political activity. ✓ Personal social media account name or email names should not be tied to HUC. COMPLAINT/GRIEVANCE PROCEDURE It is the Commission's policy to provide an equitable process which employees may use to advance complaints and grievances. An employee may grieve any alleged violation of a written or verbal policy or procedure, disciplinary action other than an oral reprimand, or unsafe practice. Prior to initiating a grievance, an employee must discuss the complaint with the immediate Supervisor. If the complaint cannot be resolved informally through such discussion with the Director, Manager or Supervisor, the employee may choose to file a written grievance. The grievance must be filed with the Administrative/HR Coordinator within ten (10) working days after the incident -giving rise to the grievance. The Administrative/HR Coordinator shall attempt to resolve the grievance and shall provide the employee a written response no later than five (5) working days following receipt of the grievance. If the employee is dissatisfied with the Administrative/HR Coordinator's response, the employee may file the grievance with the General Manager within five (5) days of the Administrative/HR Coordinator's response. The General Manager shall attempt to resolve the complaint or grievance and shall provide the employee a written response not later than five (5) days following the receipt of the complaint. If dissatisfied with the General Manager's response, the employee may request a hearing on the grievance before the Hutchinson Utilities Commission. The Hutchinson Utilities Commission may choose to appoint an independent hearing officer to hear the grievance. An employee presenting a complaint or grievance shall not be subject to retaliation or reprisal. EMPLOYEE CONDUCT All HUC employees are expected to conduct themselves in a manner that creates a work environment enabling employees to work effectively and to promote positive customer relations. HUC employees are required to adhere to the following standards of conduct while on the job. • To behave in a courteous, business -like manner and to comply with HUC policies and work rules. • Refrain from any and all action, which may be detrimental to the safety or work of other employees or to the goals of HUC. • To communicate openly and honestly with management, other employees, and the public. • To share responsibility for personal development and growth. • To continually strive for excellence in work product and habits. DISCIPLINE In general, HUC employees shall be subject to disciplinary action for failing to fulfill their duties and responsibilities, including observance of work rules approved by the Commission. It is the policy of the Commission to administer discipline fairly, without discrimination, and for just cause. The employee may use the grievance procedure with respect to any disciplinary action believed to be unjust or disproportionate to the alleged offense. The General Manager, Director or Manager shall investigate any allegation on which disciplinary action might be based before disciplinary action is taken. The Commission supports the concept of progressive discipline but expressly reserves the right to impose various levels of discipline depending on the nature of the offense. Staff Personnel may impose oral and written reprimands. Only the General Manager may impose a suspension without pay, letter in lieu of suspension, demotion, or discharge. Notices of oral reprimand, written reprimand, suspension without pay, demotion, or discharge will be documented in written form and will state the reason(s) for the action taken. The employee shall be provided with a copy of each such notice and a copy shall be retained in the employee's personnel file. The following are examples of disciplinary action but do not constitute an exclusive list of possibilities and may be taken in any order or not used at all. These examples and their descriptions are not intended to create a contract or obligation on management's part. A Oral reprimand. An oral notice advising an employee of inappropriate conduct and expected corrective action. B Written reprimand. A written notice advising an employee of inappropriate conduct. A written reprimand should describe in detail the behavior to be corrected, describe past actions taken by the supervisor to correct the problem, give direction and orders for the future including timetables and goals for improvement when appropriate, and specify consequences of repeating the inappropriate behavior. The employee will be given a copy of the reprimand and sign the original acknowledging receipt of the reprimand. The signature of the employee does not signify agreement with the reprimand. The reprimand will be placed in the employee's personnel file. C Prior to the suspension or as soon after as possible, the employee will be notified in writing of the reason for the suspension and its length. There are two forms of suspension: suspension as discipline and suspension pending investigation. An employee receiving a suspension as discipline may not be paid, may not accrue vacation, holiday or sick leave benefits during the suspension, and may not use paid time while suspended. An employee suspended pending investigation of allegations will have a copy of each written statement placed in the personnel file and will be paid during the investigation. If the allegations prove false, the statement will be removed. An employee placed on investigatory suspension should be notified as quickly as reasonably possible of the action taken regarding employment. D Demotion. Placement of an employee in a lower level position. E Discharge. The General Manager may discharge any employee, but if the employee has completed the probationary period, a dismissal will be made only for just cause. A dismissed employee will be notified by the previous posting of a summary of Minnesota Statute Sections 181.931 to 181.935 or by furnishing the terminated employee a copy of those statutes at termination that the employee has a right to make a written request for HUC reason for termination. If requested, HUC will provide reasons, in writing, within five working days. This notice will also contain a statement indicating that the employee may respond to the charges both orally and in writing and may appear personally before the official having authority to make or recommend the final decision. An adequate reason or "just cause" for a disciplinary action will include, but not be limited to, evidence of any of the following: A Incompetence or inefficiency in the performance of duties. B Negligence or carelessness in the performance of duty, such as in the handling or control of municipal property, equipment, or funds and failure to observe safety rules and regulations. C Offensive or inappropriate conduct or language toward Utilities employees or other persons. D Failure to obey any lawful and reasonable direction given by an employee's supervisor or the appointing authority. E Acceptance of a fee, gift, or other valuable item or benefit in the course of, or as a result of, the employee's work. This limitation is not intended to prohibit the acceptance of articles of negligible value, which are distributed generally, or to prohibit employees from accepting social courtesies, which promote good public relations. This prohibition is intended to prevent or discourage relationships, which may be construed as evidence of favoritism, coercion, unfair advantage, or collusion. Employees may accept food and refreshments in such instances as a luncheon, dinner meeting, or inspection tour in conjunction with HUC business. F Conviction of a crime, which affects or relates to the performance of assigned duties. G Using, threatening or attempting to use, political influence or unethical pressure to influence a decision on a promotion, transfer, leave of absence, increased compensation, other benefit, or any other matter in which the employee has an interest. Unethical pressure includes offers of gifts or other special benefits, coercion, collusion, threats of blackmail, requests for favoritism, and use of unfair advantage. H Absence from work without prior approval in accordance with this policy. I During assigned work schedules, (1) consuming or being under the influence of alcoholic beverages, (2) having the odor of an alcoholic beverage on the breath, or (3) consuming or being under the influence of a controlled substance, other than one prescribed by a physician, which does not impair the ability to perform assigned duties. J Tardiness or abuse of sick leave privileges. K Theft of public property, pilferage, or other unauthorized use or taking of property. L Sexual harassment. M Discrimination against or harassment of any HUC employee at any time, or any other person during work hours, based on race, color, creed, religion, national origin, sex, marital status, status with regard to public assistance, veterans status, disability, or age. N Performance of personal or other non-HUC work related matters during work hours. O Violation of the HUC's equal employment plan. P Engaging in a conflict of interest or performing public duties in a situation where the employee has a conflict of interest. Q Violations of the provisions of this Handbook and/or policies. R Horseplay, loafing or sleeping on the job. S Proven dishonesty in the performance of duties. T Acts or threats of physical violence directed toward HUC employees. U Unauthorized use or release of confidential, sensitive or privileged information. V As a supervisor, knowingly permitting another employee to violate this policy or other work rules. W Acting or failing to act in a manner not otherwise specified that tends to lower discipline or morale among HUC employees, brings or tends to bring discredit to the HUC, its employees, or that adversely affects the prompt, courteous and efficient provisions of public services. Freedom of speech protected by the First Amendment shall not be a basis for discipline. X Unauthorized possession or use of firearms or hazardous materials on HUC time or property. Y Refusal, during working hours, to submit to a Breathalyzer or other drug test required by law. CONFLICT OF INTEREST Employees must notify their Director or Manager of any direct or indirect financial interest they have in any contract with HUC, any interest they have in a contractor supplying HUC, or any such interest they may have with any entity competing with HUC, and all such notifications shall be forwarded to the General Manager. Employees who do not report to a Director or Manager shall directly notify the General Manager. Any employee with such a financial interest may not work on any HUC project or make any decision concerning an HUC project involving the employee's outside financial interest, unless the interest has been disclosed, and deemed acceptable by HUC management. INTELLECTUAL PROPERTY Assignment: All inventions that are: (a) developed using equipment, supplies, facilities or trade secrets of HUC; or (b) result from work performed by an employee of HUC; or (c) relate to the HUC's current or anticipated business and business models, will be the HUC's sole and exclusive property and are hereby assigned by the employee to HUC. If necessary, the employee will assist HUC in the prosecution and issuance of patents, copyrights and other proprietary rights necessary to protect inventions that are developed. Disclosure: While employed by HUC, the employee will promptly inform HUC of the full details of all inventions, discoveries, improvements and innovations, whether or not patentable, copyrightable or otherwise protectable, that the employee conceives, completes or reduces to practice (whether jointly or with others) and which: (a) relate to HUC's present or prospective business, or actual or anticipated business and business models; or (b) result from any work that the employee does using any equipment, facilities, materials, trade secrets or personnel of HUC; or (c) result from, or are suggested by, any work that the employee may do for HUC. The employee will inform HUC within 30 days of the adoption of this policy of all previous inventions, improvements or discoveries actually made or copyright registration or patent applications filed prior to the incorporation of this policy. Inventions, improvements or discoveries not made known to HUC within 30 days of the adoption of this policy shall be deemed to have been made while this policy was in effect. Confidentiality: From time to time, HUC may develop, and employees may have exposure to, formulas, programs, devices, techniques or processes that have been designated by HUC as confidential or proprietary information of HUC. The employee shall not directly or indirectly disclose, furnish, or make accessible to any person or other entity any confidential or proprietary information of HUC that the employee developed or obtained while the employee was employed by HUC. As required by Minnesota law, this policy does not apply to an invention for which no equipment, supplies, facility or trade secret information of HUC was used and which was developed entirely on the employee's own time and (1) does not relate (a) directly to the business of HUC or (b) to HUC's actual or demonstrably anticipated research or development, or (2) which does not result from any work performed by the employee for HUC. OTHER EMPLOYMENT An employee's position at HUC must take precedence over any other job an employee holds. Employees must inform their Director or Manager of any work they perform for profit outside of HUC's position to ensure there is no conflict of interest between the HUC job and the outside employment, and all such notifications shall be forwarded to the General Manager. Employees who do not report to a Director or Manager shall directly inform the General Manager. Also, employees are expected to be mentally alert and physically able to perform their Utility jobs. Employees may not work on their outside employment while on duty with HUC nor may any HUC property or equipment be used to conduct such business at any time. LICENSE REQUIREMENTS FOR UTILITY VEHICLE OPERATION Prior to hire date as an WC employee, the candidate's driving record is evaluated and must be approved. This is a condition of employment if operation of a vehicle is an essential part of an employee's job. An employee whose job requires operating a motor vehicle must possess a valid Minnesota Driver's License with necessary endorsements in order to conduct WC business. If an employee's driver's license is suspended, revoked, or cancelled during employment with WC, the employee must immediately inform the employee's Director, Manager or Supervisor who must inform the General Manager. The General Manager shall take appropriate action up to and including discharge. SMOKING The HUC observes and supports the Minnesota Clean Indoor Air Act. All HUC buildings and vehicles, in their entirety, shall be designated as tobacco free, meaning that smoking in any form (through the use of tobacco products (pipes, cigars and cigarettes) or "vaping" with e-cigarettes is prohibited while in a HUC facility or vehicle. Smoking of any kind, including pipes, cigars, cigarettes, vaping with e-cigarettes and the use of chewing tobacco is prohibited for employees while on duty. Employees 18 and over are allowed to smoke only during their breaks and lunch, and only in areas designated for that purpose. Per City of Hutchinson ordinance, smoking is prohibited in public places and places of work and within 15 feet of entrances, exists, open windows and ventilation intakes of public places and places of work. ALCOHOL OR DRUGS Possession or consumption of alcohol or controlled substances is prohibited while on -duty or on/in any HUC equipment or property. An employee who reports to work incapacitated or whose performance is impaired through the use of alcohol or controlled substances is subject to disciplinary action up to and including discharge. All HUC employees required to maintain a Commercial Driver's License (CDL), and/or perform a maintenance or emergency function on a natural gas pipeline regulated by 49 CFR Parts 192, 193 or 195 must comply with the Total Compliance Solutions Drug and Alcohol Plan as administered by HUC. VIOLENCE IN THE WORKPLACE HUC strives to ensure a healthy and productive working environment. In that regard, safety and security are of the utmost importance. HUC will enforce zero tolerance for any acts of physical assault or threats of bodily harm in the performance of work duties, wherever those duties are performed. Policy on Violence HUC views aggressive and/or violent behavior as disruptive and contrary to the development and maintenance of a safe, productive and supportive work environment. Such behavior is not tolerated. Employees who exhibit such behavior will be held accountable under the policy and work rules, as well as local, state, and federal law. All threats and acts of aggression or violent behavior should be taken seriously and addressed immediately. Such threats or acts include, but are not limited to: • Harming or threatening to harm any employee or visitor; • Damaging or threatening to damage property or the property of any employee or visitor; • Unlawfully possessing a firearm, ammunition, weapon or incendiary device on HUC property, vehicles, construction sites or while attending HUC business -related activities off site; • Engaging in stalking behavior of any employee. Accountability All personnel are responsible for notifying their immediate supervisor, or in the absence of their supervisor, another member of the management staff of any threats that they have witnessed, received, or have been told that another person has witnessed or received. Even without an actual threat, personnel should also report any behavior they have witnessed which they regard as threatening or violent, when that behavior is job related or might be carried out on a public site, or is connected to municipal employment. Employees are responsible for making this report regardless of the relationship between the aggressor and the individual to whom the threat or threatening behavior was directed. Directive Any person who makes substantial threats, exhibits threatening behavior, or engages in violent acts against employees, visitors, guests, or other individuals while on HUC property shall be removed from the premises as quickly as safety permits and shall remain off HUC premises pending the outcome of an investigation. Law enforcement should be utilized to remove individuals who are perceived as a threat. HUC will initiate an appropriate response which may include, but is not limited to, suspension and/or termination of any business relationship, reassignment of job duties, suspension or termination of employment and/or criminal prosecution of the person or persons involved. Employees and supervisors should work together to identify and report situations or locations where there is a potential for physical assault or threat of bodily harm. Employees should record specific incidents, behaviors or conversations that may indicate a potential for violence. Documentation should be forwarded to their Manager/Director. In instances where their supervisor is the source of potential violence, documentation should be forwarded to the next level of management with a copy to Human Resources. Supervisors must carefully review and assess information provided by employees or other sources. Appropriate precautions should be taken based on the specific situation. For example: If a problem situation or location is identified, it should be communicated to other employees who are likely to become involved in the situation or come in contact with the location. Individuals applying for a restraining order must provide their supervisor and Human Resources with a copy of the petition used to seek the order, and a copy of any temporary and permanent protective restraining order which is subsequently granted. Human Resources will monitor and evaluate the violence reports on an ongoing basis and will submit program reports to the General Manager when requested. OFFENSIVE BEHAVIOR/SEXUAL HARASSMENT It is HUC's policy to maintain a work environment free from offensive behavior and sexual harassment. Offensive behavior may include such actions as: rudeness, angry outbursts, inappropriate humor, vulgar obscenities, name calling, disrespectful language, or any other behavior regarded as offensive to a reasonable person. A violation of this policy is subject to discipline up to and including discharge. One specific kind of illegal behavior is sexual harassment. Sexual harassment includes unwelcome sexual advances, requests for sexual favors, sexually motivated physical conduct or other verbal or physical conduct or communication of a sexual nature when: 1. submission to that conduct or communication is made a term or condition of obtaining employment; or 2. submission to or rejection of that conduct or communication by an individual is used as a factor in a decision affecting that individual's employment; or 3. that conduct or communication has the purpose or effect of substantially interfering with an individual's employment or creating an intimidating, hostile, or offensive employment environment. Examples of conduct that violate this policy include, but are not limited to: • Repeated offensive sexual flirtations, unwelcome advances, propositions or invitations; or • Unwelcome repeated comments, jokes, displays, or suggestions of a sexual nature; or • Objectionable physical contact, including touching • In summary, sexual harassment is the unwanted, unwelcome and repeated action of an individual against another individual, using sexual overtones as a means of creating stress. Any employee who feels he/she is being subjected to offensive or discriminatory behavior of any kind or employees who are aware of such behavior is/are encouraged to express their objection to the behavior and should also immediately report the behavior to their immediate Supervisor, Department Manager or Director (if not the immediate supervisor), the Human Resources Director, or the General Manager. In addition, the employee may also file a complaint with the Minnesota Department of Human Rights and the EEOC. A person must file a complaint with the Minnesota Department of Human Rights within one year of the incident and file a complaint with the EEOC within 300 days of the incident. Staff Personnel who receives an offensive behavior or discrimination complaint shall inform the General Manager and Human Resources of the complaint as soon as possible. The General Manager must ensure an appropriate and prompt investigation of the complaint. If the investigation substantiates the complaint, HUC will take appropriate corrective action. Strict confidentiality is not possible in all cases of sexual harassment as the accused has the right to answer charges made against them; particularly if discipline is a possible outcome. Reasonable efforts will be made to respect the confidentiality of the individuals involved, to the extent possible. Any employee who makes a false complaint or provides false information during an investigation may be subject to disciplinary action, up to and including termination. Retaliation against any person who files a complaint or participates in an investigation is expressly prohibited. Retaliation includes, but is not limited to, any form of intimidation, reprisal or harassment. Any individual who retaliates against a person who testifies, assists, or participates in an investigation may be subject to disciplinary action up to and including termination. RETIREMENT Any employee who elects to retire shall give the Employer sixty (60) days' written notice of date that employee intends to retire. RESIGNATION Employees leaving employment with HUC in good standing will be paid any accrued unused vacation. To leave employment in good standing, an employee should provide written notice of resignation to Supervisor or Manager at least 10 working days prior to the resignation effective date. The General Manager may waive this requirement for good cause. A terminating employee must also return all HUC property, and equipment including keys, security devices, clothing and small hand tools provided by HUC. SOLICITATION ON UTILITY PREMISES Salespersons offering merchandise not related to HUC business are prohibited from soliciting during normal business hours. Employees are discouraged from soliciting other employees. Brochures and/or pamphlets are allowed to be put out in the breakroom for voluntary participation. Employees shall not provide another employee's contact information to a salesperson without the employee's consent. EMPLOYEE GIFTS Employees are not required to make a contribution for a gift or grant a favor for another employee. FLOWERS In the event of the death of a full-time or part-time employee or employee's immediate family, flowers/plant will be sent at HUC expense without delay to the appropriate funeral home. Information needed: Funeral Home Address Date to Send Flowers Similar consideration may be given, at the discretion of the General Manager, Directors, or Managers, for retirees, consultants, Commission members or others who provide significant service to HUC. PETTY CASH Petry cash funds are kept with the Accountant. The petty cash fund will be used to reimburse payment up to $50.00. Any expenditure over $50.00 will be reimbursed by check. Itemized receipts mustbe attached to a complete petty cash slip whenever possible. An employee may obtain an advance of petty cash by completing a petty cash slip and reconciling the advance with the actual amount as soon as possible. Non -Exempt SECTION 2 — ADMINISTRATION OF PERSONNEL POLICIES The Commission approves personnel policies intending uniform administration of personnel matters of the Utilities. The Commission may supplement, amend and/or rescind the policies to assure that they will remain practical, useful and current. In approving personnel policies, the Commission has made every effort to be as reasonable and practical as possible. Final responsibility for the enforcement of the policies shall rest with the Commission. The Commission however, has delegated to the General Manager the responsibility and authority for the enforcement of all personnel policies. The General Manager, in turn, delegates certain responsibilities and authority to the Staff as deemed advisable in order to carry out the personnel policies. The General Manager, however, remains accountable to the Commission. If the Commission has not clearly delegated its authority in a certain manner, the Commission retains authority to determine the appropriate action. These personnel policies govern all Utilities employees and apply to all cases except where a policy contained herein conflicts with a Union Contract, or other employment contract, or past practice, in which case the Union Contract, or other employment contract, or past practice, shall govern. SAVINGS CLAUSE If any provision of this Handbook is declared by proper legislative, administrative or judicial authority to be unlawful, unenforceable or not in accordance with applicable Civil Service rules, or law, all other provisions of this Handbook shall remain in full force and effect for the duration of this Handbook. HIRING It is the Commission's policy to hire qualified applicants through internal employee promotion and external recruitment if appropriate. The General Manager has the authority to hire all employees and must approve all hiring recommendations. Final interviews for the General Manager position will be conducted by the Commissioner Board with the assistance of the Administrative/HR Coordinator. Final interviews for Director positions will be conducted by the General Manager, President of the Commission and Administrative/HR Coordinator. PROBATIONARY PERIOD UPON HIRING A newly hired non-exempt employee shall serve a six (6) month probationary period during which the employee shall have the opportunity to demonstrate abilities and work performance. During this qualifying period, the Director, Manager or Supervisor should discuss with the employee, the employee's progress in becoming fully acquainted with the job and co-workers. The General Manager can terminate a probationary employee's employment without notice and without cause at any time during the probationary period. The General Manager may choose to extend an employee's probation period up to a maximum of three months. New full-time employees are required to sign the acknowledgement in Appendix B when they begin employment. TEMPORARY EMPLOYEES Temporary employees are required to sign the acknowledgement in Appendix C when they begin employment. The General Manager must approve employment of a temporary worker for longer than 14 consecutive weeks. The responsible Director or Manager must inform the General Manager of the desire to employ a temporary worker longer than 14 weeks. PROMOTIONS AND TRANSFERS HUC encourages individual advancement by providing opportunities for promotion and transfer as positions become available. Job vacancies shall be posted ten (10) working days. Employees desiring to be considered for the position must provide a letter of interest to the appropriate staff person by the deadline stated on the posting. All promoted and transferred employees shall serve a six (6) month trial period during which time the promoted or transferred employee may be placed back in the employee's previous job classification if a position is available and at the sole discretion of the Employer, without loss of seniority. We encourage employees to discuss their career plans and goals with their Director or Manager. LAYOFFS HUC retains its right to eliminate positions within the organization if the Commission deems it appropriate to do so. If a layoff occurs, HUC will provide four weeks' notice to affected employees. Layoffs will be based on the Utility's skill and knowledge needs and also employee's seniority. VOLUNTARY LEAVE OF ABSENCE HUC may request employees to voluntarily take a leave of absence without pay for a specified period of time. EMPLOYMENT OF RELATIVES No applicant or employee shall receive preferential consideration because of his/her relationship to an HUC employee, a Commission member, a Hutchinson City Council member or other City employees and officials. Any HUC employee who extends such preferential treatment is subject to discipline. No member of a department head's immediate family shall be a direct report to the department head. No member of the General Manager's immediate family shall be a direct report to the General Manager. A former Commission member may not be hired as an employee of HUC for two years after the end of the Commissioner's term in office. DATA PRACTICES ADVISORY Employee records are maintained by Administrative/HR Coordinator. Personnel data is retained in personnel files, finance files, and benefit/medical files. Information is used to administer employee salary and benefit programs, process payroll, complete state and federal reports, document employee performance, etc. Employees have the right to know what data is retained, where it is kept, and how it is used. All employee data will be received, retained, and disseminated according to the Minnesota Government Data Practices Act. Media Requests: All HUC employees have a responsibility to help communicate accurate and timely information to the public in a professional manner. Requests for private data or information outside of the scope of an individual's job duties should be routed to the appropriate department. Any employee who identifies a mistake in reporting should bring the error to the General Manager or other appropriate staff. Regardless of whether the communication is in the employee's official utilities role or in a personal capacity, employees must comply with all laws related to trademark, copyright, software use, etc. With the exception of routine events and basic information that is readily available to the public, all requests for interviews or information from the media are to be routed through the General Manager. No HUC employee is authorized to speak on behalf of HUC without prior authorization from the General Manager or his designee. Media requests include anything intended to be published or viewable to others in some form such as television, radio, newspapers, newsletters, social media sites, and web sites. When responding to media requests, employees should follow these steps: 3. If the request is for routine or public information (such as a meeting time or agenda) provide the information and notify the General Manager of the request. 4. If the request is regarding information about HUC personnel, potential litigation, controversial issues, an opinion on a HUC matter, or if an employee is unsure if the request is a "routine" question, forward the request to the General Manager. An appropriate response would be "I'm sorry, I don't have the full information regarding that issue. Let me take some basic information and submit your request to the appropriate person who will get back to you as soon as he/she can." Then ask the media representative's name, questions, deadline and contact information. All news releases concerning HUC personnel will be the responsibility of the General Manager. When/if the General Manager authorizes a staff person to communicate on behalf of HUC in interviews, publications, news releases, on social media sites, and related communications, employees must: ✓ Identify themselves as representing HUC. Account names on social media sites must be clearly connected to HUC and approved by the General Manager. ✓ All information must be respectful, professional and truthful. Corrections must be issued when needed. ✓ Personal opinions generally don't belong in official statements. One exception is communications related to promoting a service. ✓ Employees need to notify the General Manager if they will be using their personal technology (cell phones, home computer, cameras, etc.) for HUC business. Employees should be aware that the data transmitted or stored may be subject to the Data Practices Act. It is important for HUC employees to remember that the personal communications of employees may reflect on HUC, especially if employees are commenting on HUC business. The following guidelines apply to personal communications including various forms such as social media (Facebook, Twitter, blogs, YouTube, etc.), letters to the editor of newspapers, and personal endorsements. ✓ Remember that what you write is public, and will be so for a long time. It may also be spread to large audiences. Use common sense when using email or social media sites. It is a good idea to refrain from sending or posting information that you would not want your boss or other employees to read, or that you would be embarrassed to see in the newspaper. ✓ HUC expects its employees to be truthful, courteous and respectful towards supervisors, co-workers, citizens, customers and other persons associated with HUC. Do not engage in name-calling or personal attacks. ✓ If you publicize something related to HUC business, identify yourself and use a disclaimer such as, "I am an employee of HUC. However, these are my own opinions and do not represent those of HUC." ✓ HUC resources, working time, or official positions cannot be used for personal profit or business interests, or to participate in personal political activity. ✓ Personal social media account name or email names should not be tied to HUC. COMPLAINT/GRIEVANCE PROCEDURE See Union Contract. EMPLOYEE CONDUCT All HUC employees are expected to conduct themselves in a manner that creates a work environment enabling employees to work effectively and to promote positive customer relations. HUC employees are required to adhere to the following standards of conduct while on the job. • To behave in a courteous, business -like manner and to comply with HUC policies and work rules. • Refrain from any and all action, which may be detrimental to the safety or work of other employees or to the goals of HUC. • To communicate openly and honestly with management, other employees, and the public. • To share responsibility for personal development and growth. • To continually strive for excellence in work product and habits. DISCIPLINE In general, HUC employees shall be subject to disciplinary action for failing to fulfill their duties and responsibilities, including observance of work rules approved by the Commission. It is the policy of the Commission to administer discipline fairly, without discrimination, and for just cause. The employee may use the grievance procedure with respect to any disciplinary action believed to be unjust or disproportionate to the alleged offense. The General Manager, Director or Manager shall investigate any allegation on which disciplinary action might be based before disciplinary action is taken. The Commission supports the concept of progressive discipline but expressly reserves the right to impose various levels of discipline depending on the nature of the offense. Staff Personnel may impose oral and written reprimands, and may send an employee home for the remainder of a shift without pay. Only the General Manager may impose a suspension without pay, letter in lieu of suspension, demotion, or discharge. Notices of oral reprimand, written reprimand, suspension without pay, demotion, or discharge will be documented in written form and will state the reason(s) for the action taken. The employee shall be provided with a copy of each such notice and a copy shall be retained in the employee's personnel file. The following are examples of disciplinary action but do not constitute an exclusive list of possibilities and may be taken in any order or not used at all. These examples and their descriptions are not intended to create a contract or obligation on management's part. A Oral reprimand. An oral notice advising an employee of inappropriate conduct and expected corrective action. B Written reprimand. A written notice advising an employee of inappropriate conduct. A written reprimand should describe in detail the behavior to be corrected, describe past actions taken by the supervisor to correct the problem, give direction and orders for the future including timetables and goals for improvement when appropriate, and specify consequences of repeating the inappropriate behavior. The employee will be given a copy of the reprimand and sign the original acknowledging receipt of the reprimand. The signature of the employee does not signify agreement with the reprimand. The reprimand will be placed in the employee's personnel file. C Prior to the suspension or as soon after as possible, the employee will be notified in writing of the reason for the suspension and its length. There are two forms of suspension: suspension as discipline and suspension pending investigation. An employee receiving a suspension as discipline may not be paid, may not accrue vacation, holiday or sick leave benefits during the suspension, and may not use paid time while suspended. An employee suspended pending investigation of allegations will have a copy of each written statement placed in the personnel file and will be paid during the investigation. If the allegations prove false, the statement will be removed. An employee placed on investigatory suspension should be notified as quickly as reasonably possible of the action taken regarding employment. D Demotion. Placement of an employee in a lower level position. E Discharge. The General Manager may discharge any employee, but if the employee has completed the probationary period, a dismissal will be made only for just cause. A dismissed employee will be notified by the previous posting of a summary of Minnesota Statute Sections 181.931 to 181.935 or by furnishing the terminated employee a copy of those statutes at termination that the employee has a right to make a written request for HUC reason for termination. If requested, HUC will provide reasons, in writing, within five working days. This notice will also contain a statement indicating that the employee may respond to the charges both orally and in writing and may appear personally before the official having authority to make or recommend the final decision. An adequate reason or "just cause" for a disciplinary action will include, but not be limited to, evidence of any of the following: A Incompetence or inefficiency in the performance of duties. B Negligence or carelessness in the performance of duty, such as in the handling or control of municipal property, equipment, or funds and failure to observe safety rules and regulations. C Offensive or inappropriate conduct or language toward Utilities employees or other persons. D Failure to obey any lawful and reasonable direction given by an employee's supervisor or the appointing authority. E Acceptance of a fee, gift, or other valuable item or benefit in the course of, or as a result of, the employee's work. This limitation is not intended to prohibit the acceptance of articles of negligible value, which are distributed generally, or to prohibit employees from accepting social courtesies, which promote good public relations. This prohibition is intended to prevent or discourage relationships, which may be construed as evidence of favoritism, coercion, unfair advantage, or collusion. Employees may accept food and refreshments in such instances as a luncheon, dinner meeting, or inspection tour in conjunction with HUC business. F Conviction of a crime, which affects or relates to the performance of assigned duties. G Using, threatening or attempting to use, political influence or unethical pressure to influence a decision on a promotion, transfer, leave of absence, increased compensation, other benefit, or any other matter in which the employee has an interest. Unethical pressure includes offers of gifts or other special benefits, coercion, collusion, threats of blackmail, requests for favoritism, and use of unfair advantage. H Absence from work without prior approval in accordance with this policy. I During assigned work schedules, (1) consuming or being under the influence of alcoholic beverages, (2) having the odor of an alcoholic beverage on the breath, or (3) consuming or being under the influence of a controlled substance, other than one prescribed by a physician, which does not impair the ability to perform assigned duties. J Tardiness or abuse of sick leave privileges. K Theft of public property, pilferage, or other unauthorized use or taking of property. L Sexual harassment. M Discrimination against or harassment of any HUC employee at any time, or any other person during work hours, based on race, color, creed, religion, national origin, sex, marital status, status with regard to public assistance, veterans status, disability, or age. N Performance of personal or other non-HUC work related matters during work hours. O Violation of the HUC's equal employment plan. P Engaging in a conflict of interest or performing public duties in a situation where the employee has a conflict of interest. Q Violations of the provisions of this Handbook and/or policies. R Horseplay, loafing or sleeping on the job. S Proven dishonesty in the performance of duties. T Acts or threats of physical violence directed toward HUC employees. U Unauthorized use or release of confidential, sensitive or privileged information. V As a supervisor, knowingly permitting another employee to violate this policy or other work rules. W Acting or failing to act in a manner not otherwise specified that tends to lower discipline or morale among HUC employees, brings or tends to bring discredit to the HUC, its employees, or that adversely affects the prompt, courteous and efficient provisions of public services. Freedom of speech protected by the First Amendment shall not be a basis for discipline. X Unauthorized possession or use of firearms or hazardous materials on HUC time or property. Y Refusal, during working hours, to submit to a Breathalyzer or other drug test required by law. CONFLICT OF INTEREST Employees must notify their Director or Manager of any direct or indirect financial interest they have in any contract with HUC, any interest they have in a contractor supplying HUC, or any such interest they may have with any entity competing with HUC, and all such notifications shall be forwarded to the General Manager. Any employee with such a financial interest may not work on any HUC project or make any decision concerning an HUC project involving the employee's outside financial interest, unless the interest has been disclosed, and deemed acceptable by HUC management. OTHER EMPLOYMENT An employee's position at RUC must take precedence over any other job an employee holds. Employees must inform their Director or Manager of any work they perform for profit outside of HUC's position to ensure there is no conflict of interest between the RUC job and the outside employment. All such notifications shall be forwarded to the General Manager. Also, employees are expected to be mentally alert and physically able to perform their Utility jobs. Employees may not work on their outside employment while on duty with HUC nor may any HUC property or equipment be used to conduct such business at any time. LICENSE REQUIREMENTS FOR UTILITY VEHICLE OPERATION Prior to hire date as an WC employee, the candidate's driving record is evaluated and must be approved. This is a condition of employment if operation of a vehicle is an essential part of an employee's job. An employee whose job requires operating a motor vehicle must possess a valid Minnesota Driver's License with necessary endorsements in order to conduct WC business. If an employee's driver's license is suspended, revoked, or cancelled during employment with WC, the employee must immediately inform the employee's Director, Manager or Supervisor who must inform the General Manager. The General Manager shall take appropriate action up to and including discharge. SMOKING The HUC observes and supports the Minnesota Clean Indoor Air Act. All HUC buildings and vehicles, in their entirety, shall be designated as tobacco free, meaning that smoking in any form (through the use of tobacco products (pipes, cigars and cigarettes) or "vaping" with e-cigarettes is prohibited while in a HUC facility or vehicle. Smoking of any kind, including pipes, cigars, cigarettes, vaping with e-cigarettes and the use of chewing tobacco is prohibited for employees while on duty. Employees 18 and over are allowed to smoke only during their breaks and lunch, and only in areas designated for that purpose. Per City of Hutchinson ordinance, smoking is prohibited in public places and places of work and within 15 feet of entrances, exists, open windows and ventilation intakes of public places and places of work. ALCOHOL OR DRUGS Possession or consumption of alcohol or controlled substances is prohibited while on -duty or on/in any HUC equipment or property. An employee who reports to work incapacitated or whose performance is impaired through the use of alcohol or controlled substances is subject to disciplinary action up to and including discharge. All HUC employees required to maintain a Commercial Driver's License (CDL), and/or perform a maintenance or emergency function on a natural gas pipeline regulated by 49 CFR Parts 192, 193 or 195 must comply with the Total Compliance Solutions Drug and Alcohol Plan as administered by HUC VIOLENCE IN THE WORKPLACE HUC strives to ensure a healthy and productive working environment. In that regard, safety and security are of the utmost importance. HUC will enforce zero tolerance for any acts of physical assault or threats of bodily harm in the performance of work duties, wherever those duties are performed. Policy on Violence HUC views aggressive and/or violent behavior as disruptive and contrary to the development and maintenance of a safe, productive and supportive work environment. Such behavior is not tolerated. Employees who exhibit such behavior will be held accountable under the policy and work rules, as well as local, state, and federal law. All threats and acts of aggression or violent behavior should be taken seriously and addressed immediately. Such threats or acts include, but are not limited to: • Harming or threatening to harm any employee or visitor; • Damaging or threatening to damage property or the property of any employee or visitor; • Unlawfully possessing a firearm, ammunition, weapon or incendiary device on HUC property, vehicles, construction sites or while attending HUC business -related activities off site; • Engaging in stalking behavior of any employee. Accountability All personnel are responsible for notifying their immediate supervisor, or in the absence of their supervisor, another member of the management staff of any threats that they have witnessed, received, or have been told that another person has witnessed or received. Even without an actual threat, personnel should also report any behavior they have witnessed which they regard as threatening or violent, when that behavior is job related or might be carried out on a public site, or is connected to municipal employment. Employees are responsible for making this report regardless of the relationship between the aggressor and the individual to whom the threat or threatening behavior was directed. Directive Any person who makes substantial threats, exhibits threatening behavior, or engages in violent acts against employees, visitors, guests, or other individuals while on HUC property shall be removed from the premises as quickly as safety permits and shall remain off HUC premises pending the outcome of an investigation. Law enforcement should be utilized to remove individuals who are perceived as a threat. HUC will initiate an appropriate response which may include, but is not limited to, suspension and/or termination of any business relationship, reassignment of job duties, suspension or termination of employment and/or criminal prosecution of the person or persons involved. Employees and supervisors should work together to identify and report situations or locations where there is a potential for physical assault or threat of bodily harm. Employees should record specific incidents, behaviors or conversations that may indicate a potential for violence. Documentation should be forwarded to their Manager/Director. In instances where their supervisor is the source of potential violence, documentation should be forwarded to the next level of management with a copy to Human Resources. Supervisors must carefully review and assess information provided by employees or other sources. Appropriate precautions should be taken based on the specific situation. For example: If a problem situation or location is identified, it should be communicated to other employees who are likely to become involved in the situation or come in contact with the location. Individuals applying for a restraining order must provide their supervisor and Human Resources with a copy of the petition used to seek the order, and a copy of any temporary and permanent protective restraining order which is subsequently granted. Human Resources will monitor and evaluate the violence reports on an ongoing basis and will submit program reports to the General Manager when requested. OFFENSIVE BEHAVIOR/SEXUAL HARASSMENT It is HUC's policy to maintain a work environment free from offensive behavior and sexual harassment. Offensive behavior may include such actions as: rudeness, angry outbursts, inappropriate humor, vulgar obscenities, name calling, disrespectful language, or any other behavior regarded as offensive to a reasonable person. A violation of this policy is subject to discipline up to and including discharge. One specific kind of illegal behavior is sexual harassment. Sexual harassment includes unwelcome sexual advances, requests for sexual favors, sexually motivated physical conduct or other verbal or physical conduct or communication of a sexual nature when: 4. submission to that conduct or communication is made a term or condition of obtaining employment; or 5. submission to or rejection of that conduct or communication by an individual is used as a factor in a decision affecting that individual's employment; or 6. that conduct or communication has the purpose or effect of substantially interfering with an individual's employment or creating an intimidating, hostile, or offensive employment environment. Examples of conduct that violate this policy include, but are not limited to: • Repeated offensive sexual flirtations, unwelcome advances, propositions or invitations; or • Unwelcome repeated comments, jokes, displays, or suggestions of a sexual nature; or • Objectionable physical contact, including touching • In summary, sexual harassment is the unwanted, unwelcome and repeated action of an individual against another individual, using sexual overtones as a means of creating stress. Any employee who feels he/she is being subjected to offensive or discriminatory behavior of any kind or employees who are aware of such behavior is/are encouraged to express their objection to the behavior and should also immediately report the behavior to their immediate Supervisor, Department Manager or Director (if not the immediate supervisor), the Human Resources Director, or the General Manager. In addition, the employee may also file a complaint with the Minnesota Department of Human Rights and the EEOC. A person must file a complaint with the Minnesota Department of Human Rights within one year of the incident and file a complaint with the EEOC within 300 days of the incident. Staff Personnel who receives an offensive behavior or discrimination complaint shall inform the General Manager and Human Resources of the complaint as soon as possible. The General Manager must ensure an appropriate and prompt investigation of the complaint. If the investigation substantiates the complaint, HUC will take appropriate corrective action. Strict confidentiality is not possible in all cases of sexual harassment as the accused has the right to answer charges made against them; particularly if discipline is a possible outcome. Reasonable efforts will be made to respect the confidentiality of the individuals involved, to the extent possible. Any employee who makes a false complaint or provides false information during an investigation may be subject to disciplinary action, up to and including termination. Retaliation against any person who files a complaint or participates in an investigation is expressly prohibited. Retaliation includes, but is not limited to, any form of intimidation, reprisal or harassment. Any individual who retaliates against a person who testifies, assists, or participates in an investigation may be subject to disciplinary action up to and including termination. RETIREMENT Any employee who elects to retire shall give the Employer sixty (60) days' written notice of date that employee intends to retire. RESIGNATION Employees leaving employment with HUC in good standing will be paid any accrued unused vacation. To leave employment in good standing, an employee should provide written notice of resignation to Supervisor or Manager at least 10 working days prior to the resignation effective date. The General Manager may waive this requirement for good cause. A terminating employee must also return all HUC property, and equipment including keys, security devices, clothing and small hand tools provided by HUC. SOLICITATION ON UTILITY PREMISES Salespersons offering merchandise not related to HUC business are prohibited from soliciting during normal business hours. Employees are discouraged from soliciting other employees. Brochures and/or pamphlets are allowed to be put out in the breakroom for voluntary participation. Employees shall not provide another employee's contact information to a salesperson without the employee's consent. EMPLOYEE GIFTS Employees are not required to make a contribution for a gift or grant a favor for another employee. FLOWERS In the event of the death of a full-time or part-time employee, or employee's immediate family, flowers/plant will be sent at HUC expense without delay to the appropriate funeral home. Information needed: Funeral Home Address Date to Send Flowers Similar consideration may be given, at the discretion of the General Manager, Directors, or Managers, for retirees, consultants, Commission members or others who provide significant service to HUC. PETTY CASH Petry cash funds are kept with the Accountant. The petty cash fund will be used to reimburse payment up to $50.00. Any expenditure over $50.00 will be reimbursed by check. Itemized receipts must be attached to a complete petty cash slip whenever possible. An employee may obtain an advance of petty cash by completing a petty cash slip and reconciling the advance with the actual amount as soon as possible. HUTCHINSON UTILITIES COMMISSION f tit ,c�,« Board Action Form Agenda Item: Approve Policy Changes ie Radke Approve Policy Changes es BACKGROUND/EXPLANATION OFAGENDA ITEM: As part of HUC's standard operating procedures, a continual policy review is practiced. The following revisions to the policies below are recommended. Equal Employment Opportunity BOARD ACTION REQUESTED: Approve Policy Changes NON-EXEMPT EQUAL EMPLOYMENT OPPORTUNITY HUC is committed to providing equal opportunity in all areas of employment, including, but not limited to recruitment, hiring, demotion, promotion, transfer, selection, lay-off, disciplinary action, termination, compensation and selection for training. In accordance with Minnesota State Statute 363A, HUC will not discriminate against any employee or job applicant on the basis of race (i.aicfi.u(iiaag traits, <b4m4moa;°i<:aa.ed wi i race, i ria;;hxfirig, bt.o, Griot fiiidted to, hair ta;xtt' a-e, aaad hair styles, sawh as braids, loos, arid twists), color, creed, religion, national origin, ancestry, sex, sexual orientation, gerider ideroity, or gerlder disability, age, marital status, genetic information, status with regard to public assistance, veteran status, familial status, or on a local human rights commission EXEMPT EQUAL EMPLOYMENT OPPORTUNITY HUC is committed to providing equal opportunity in all areas of employment, including, but not limited to recruitment, hiring, demotion, promotion, transfer, selection, lay-off, disciplinary action, termination, compensation and selection for training. In accordance with Minnesota State Statute 363A, HUC will not discriminate against any employee or job applicant on the basis of race (i.aicfi.u(iiaag traits, <b4m4moa;°i<:aa.ed With race, i ria;;hxfirig, bt.o, riot fiii�ited to, hair te. X;1'tn-e' aaad hair styles, sawh as braids, loos, arid twists), color, creed, religion, national origin, ancestry, sex, sexual orientation, gerider ideroity, or gerlder disability, age, marital status, genetic information, status with regard to public assistance, veteran status, familial status, or on a local human rights commission. HUTCHINSON UTILITIES COMMISSION��` Board Action Form �r�turscti mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm Agenda Item: Approval of 3M's Natural Gas Transportation and Daily Swing Supply Agreement Presenter: John Webster Agenda Item Type: Time Requested (Minutes): New Business Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: 3M currently transports base load and daily swing supplies of natural gas on Hutchinson Utilities' transmission and distribution systems. 3M's current agreement expires on March 1, 2024 at 9 A.M.. This agreement provides transportation rights to 3M on Hutchinson's facilities from March 1, 2024 at 9.00 A.M., through March 1, 2025 at 9.00 A.M.. This Agreement is identical to the 2023 Agreement with the exception of the increased monthly meter fee. All fees are in alignment with the rate realignment structure proposed by the Commission for this customer. BOARD ACTION REQUESTED: Approval of the 3M's Natural Gas Transportation and Daily Swing Supply Agreement Fiscal Impact: Approx. $$680,000 per year Included in current budget: Yes Budget Change: No PROJECT SECTION: Total Project Cost: Remaining Cost: Hutchinson Utilities ' Commission 225 McNgan Street 5E Hutchinson, MN 55350-1905 320-587-4746 h Fax 320-587-4721 wwwarw,hutchlnsonutil'ities. corn ■ w All of r r You THIS AGREEMENT IS MADE BY AND BETWEEN HUTCHINSON. UTILITIES COMMISSION, HEREINAFTER "HUC" AND MINNESOT',A. MINING AND MANUFACTURING Co_ HEREINAFTER "3M°", ON THE FOLLOWING TERMS AND CONDITIONS. SHALL PROVIDE, FIRM NATURAL GAS TRANSPORTATION AND : M'S HUTCHINSON NORTH AND SOUTH PLANTSAND, IN RELIANCE UPON THIS AGREEMENT, ENTER INTO AN AGREEMENT TO PROVIDE FIRM NATURAL. GAS TRANSPORTATION AND DAILY NATURAL GAS COMMODITY WING SUPPLY. FOREGOING AND FOR OTHER GOOD AND VALUABLE CONSIDERATION, THE RECEIPT OF"WHICH IS HEREBY ACKNOWLEDGED, THE PARTIES HAKE THE FOLLOWING AGREEMENT: HUC SHALL PROVIDE, AND 3M SHALL ACCEPT, FIRM NATURAL GAS TRANSPORTATION AND DAILY NATURAL GAS COMMODITY SWING SUPPLY COMMENCING MARCH 1, 2024, AT '.00 AM. AND TERMINATING CAN MARCH 1, 2025, AT :00 A.M. I . HUTCHINSON'S SOLE OBLIGATION UNDER THIS AGREEMENT 1S TO PROVIDE FIRM NATURAL GAS TRANSPORTATION AN DAILY NATURAL GAS C.OMMO.D1TY SWING SUPPLY TO 3M. 22. 3M SHALL PAY HUC BY THE FOLLOWING SCHEDULE DURING THE TERM OF THIS AGREEMENT: FLOW THROUGH ALL NATURAL GAS METERS TRANSPORTATION (TRANSMISSION - $0.20JDTH) (DISTRIBuTION - $0.27IDTH) METER. FEE. (5 MEf'ERS.) MONTHLY PEAK DAY DEMAND $O.A7%DTH $488f M ETER $9.00/MCF 3. HUC SHALL TRANSPORT ALL 3M QUANTITIES FROM THE :HUC PIPELINE. TRIMONT/TRJM0NT RECEIPT PO[NT TO THE HUTCHINSON 3M NORTH AND SOUTH PLANTS LOCATED IN. HUTCHINSON, MINNESOTA. HUTCHINSON AGREES TO PROVIDE DAILY SWING SUPPLY TO 3M AT THE APPLICABLE PRICE, AS PUBLISHED: FOR THE DAY:BY PLATT'S `'.GAS DAILY" IN ITS "DAILY PRICE SURVEY (.$/DTH)" FOR "NORTHERN, VENTURA "MIDPOINT" ("DA L)(lNREX".) PLUS/MINUS $0:0.1 SWING SUPPLY 1S..DEFINE❑ AS SUPPLY INCREASES OR DECREASES, FROM. CONTRACTED LEVELS, NOMINATED AT LEAST 24 HOURS :PRIOR TO THE START OF THE GAS DAY. 4. HUTCHINSON SHALL PROVIDE 3M WITH REAL-TIME BALANCING,. BASED ON THE.FOLLOWfNG: BEST EFFORTS REAL.TIME SWING NOMINATED LESS THAN: 24 HOURS PRIOR TO THE EN OF THE GAS DAY ON A BEST EFFORTS BASIS,. PRICED AT THE APPLICABLE PRICE, .AS.PUBLISHED FOR THE DAY BY PLATT'S "GAS.DAiLY" IN ITS "DAILY.PRICE SURVEY ($%DTH) FOR "NORTHERN, VENTURA" "MIDPOINT" ("DAILY INDEX"), PLUS/MINUS $O, f 5, 5. 3M SHALL PROVIDE TO HUC 13Y THE END OF THE i 15TH DAY OF THE MONTH PRIOR TO. GAS. FLOW: THE BASE LOAD LEVEL OF.NATURAL GAS RE UIRE D FOR THE FOLLOWING MONTH. IN THE EVENT HUC HAS NOT RECEIVED THE BASE LOAD. NOMINATION FROM 3M BY THE END OF THE__'I.5THDAY OF THE: MONTH_PRIOR TO THE GAS FLOW, HUC SHALL NOMINATE THE CURRENT MONTH'S.BASE LOAD LEVEL FOR THE FOLLOWING MONTH 5. DURING THE TERM OF THIS AGREEMENT, HUC SHALL NOT BE LIABLE FOR STOPPAGE OF FLOW ON THE :PIPELINE, NORTHERN BORDER PIPELINE .COMPANY EQUIPMENT FAILURE, OR ANY OTHER FORCE MAJEU.RF WHICH. AFFECTS THE FLOW. OF GAS TO THE. H.U.C. BORDER STATIONS., OR: ANY ACT' OF GOD WHICH INTERRUPTS FLOW OF GAS ON THE PIPELINE. 7. PAYMENT IS DUE FROM 3M ON OR BEFORE THE TENTH DAY FOLLOWING.THE DATE .THE 8.1LL I ISSUED BY HUC. 8. THE INITIAL, TERM FOR SERVICE UNDER THIS AGREEMENT IS ONE. (1) YEAR. 3M MUST NOTIFY HUC IN WRITING THREE (3) MONTHS PRIOR TO. THE EXPIRATION. OF" THE TERM IF 3M DESIRES TO CONTINUE SERVICE UNDER THIS AGREEMENT. IF 3:M HAS COMPLIED: WITH ALL TERMS OF THIS.AGREEMENT,.AND HAS NO.OUTSTANDING ARREARAGES, 3M MAY, UPON. WRITTEN NOTICE PROVIDED TO HUC THREE (3)MONTHS PRIOR.TO THE EXPIRATION OF THE CURRENT TERM, EXTEND THIS AGREEMENT .F'OR A M UTUALLY AGRE ED-U PON PERIOD. IF`A TERM. FOR THE EXTENSION CANNOT BE AGREED UPON BY. 3M AND HUTCHiNSON, THE PART[ES.AGREE..TO A. MINIMUM TERM OF (1) YEAR, IF SUCH TIMELY NOTICE IS:NOT PROVIDED. BY 3M, H-UC IS NOT OBLIGATED TO RENEW SERVICE FOR 3M, REPRESENTATIVES OF HUC AND 3M SHALL MEET APPROXIMATELY (2) MONTHS PRIOR. TO THE EXPIRATION .DATE OF THE INITIAL TERM OF THIS AGREEMENT TO DISCUSS: FUTURE. OPERATIONS. THIS AGREEMENT SETS FORTH ALL TERMS AGREED UPON BETWEEN I"HE PARTIES, AND NO PRIOR ORAL OR WRITTEN AGREEMENTS SHALL BE BINDING, THIS AGREEMENT SHALL NOT BE ALTERED, AMENDED OR MODIFIED EXCEPT AS IN WRITING AND EXECUTED BY BOTH PARTIES, HUTCHINSON UTILITIES COMMISSION BY: NAME: TITLE: COMMISSION PRESIDENT DATE: BY: NAME: TITLE'. DATE' I UT 9 1 On = �02- � OVA MANUFACTURING BY: NAME: wc TITLE:I AV DATE: . ... .. Ed, Joll HUTCHINSON UTILITIES COMMISSION��` Board Action Form �r�turscti mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm Agenda Item: Approval of Natural Gas Facilities Maintenance Agreement - City of Fairfax Presenter: John Webster Agenda Item Type: Time Requested (Minutes): 2 New Business Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: The City of Fairfax has requested that the Natural Gas Division of Hutchinson Utilities continue performing the maintenance on their natural gas transmission/distribution interconnect and line control facilities serving all customers to the east on Highway 19 and the Cities of Fairfax and Gibbon effective April 1, 2024. Hutchison Utilities must present proof of PHMSA Drug and Alcohol Testing as well as pertinent Operator Qualifications for all Natural Gas Division staff performing work on the City of Fairfax facilities. The term for this Agreement is one year. BOARD ACTION REQUESTED: Approval of Maintenance Agreement Fiscal Impact: Minimal Included in current budget: No Budget Change: No PROJECT SECTION: Total Project Cost: 0.00 Remaining Cost: 0.00 HUTCHINSON UTILITIES COMMISSION MAINTENANCE AGREEMENT NATURAL GAS FACILITIES City of Fairfax 02/12/2024 This document sets forth the terms and conditions of service for operation and maintenance of the City of Fairfax's natural gas transmission/distribution metering, regulating, odorizing, water bath heater and line control facilities provided to the City of Fairfax by Hutchinson Utilities Commission. NATURAL GAS FACILITIES MAINTENANCE AGREEMENT THIS NATURAL GAS FACILITIES MAINTENANCE AGREEMENT ("Agreement") is made and entered into on this 28th day of February, 2024, by and between the City of Fairfax ("Owner") with offices located at 18 Ist Ave SE, Fairfax, Minnesota, 55332 and Hutchinson Utilities Commission ("Operator") a Minnesota municipal utility located at 225 Michigan St. SE, Hutchinson, Minnesota, 55350. Owner and Operator shall hereinafter sometimes be referred to separately as "Party" or jointly as "Parties." WITNES SETH: WHEREAS, Owner has constructed or is constructing the Natural Gas Facilities (as hereinafter defined); WHEREAS, Owner desires to retain Operator to Maintain the Natural Gas Facilities on behalf of Owner, and Operator is willing to provide said services on the terms and conditions set forth herein. NOW, THEREFORE, in consideration of the premises, mutual covenants, conditions and agreements herein contained the parties hereto, intending to be legally bound, hereby agree as follows: ARTICLE I: DEFINED TERMS Section 1.1 Definitions. The defined terms used in this Agreement shall, unless the context otherwise requires, have the meanings specified in this Article I. "Agreement" means this Natural Gas Facilities Maintenance Agreement, as the same may from time to time be amended with written consent of Owner and Operator. "Business Day" means any day except Saturday, Sunday or Federal Reserve Bank Holidays. "Commencement Date" shall mean "Nine a.m. Central Clock Time" on April 1, 2024. "Emergency" means any suspected or actual abnormal condition that has already caused, Gpetatinns and Maintmanm Agr—nett 1 Natural Gas Facilities CityofFairtax Inn. we w or represents an imminent threat to cause, Facility failure or damage, danger to or loss of life, pollution, or any hazardous condition. "Facility" or "Facilities" means the natural gas metering and regulation equipment belonging to Owner, including all apparatuses, located at the Fairfax Interconnect station on the Hutchinson Pipeline, the District Regulator Stations serving the Cities of Fairfax and Gibbon as well as two block valve sites located on the Owner's high-pressure transmission/distribution tine. "Gas" shall mean natural gas, manufactured, artificial or synthetic gas, or any mixture or combination thereof. "Gas Day" shall mean a period beginning and ending at 9:00 a.m., Central Clock Time. The reference date for any day shall be the date of the beginning of such day. "Governmental Authority" means (i) the United States of America, (ii) any state, county, parish, municipality or other governmental subdivision within the United States of America, and (iii) any court or tribunal or any governmental department, commission, board, bureau, agency or other instrumentality of the United States of America or of any state, county, parish, municipality or other governmental subdivision within the United States of America. "Law" means any applicable statute, law, ordinance, regulation, rule, ruling, order, decree, writ, injunction, judgment or other official act of or by any Governmental Authority. "Maintenance Fee" means the fee for Operator performing Maintenance of the Facilities and Routine Work. "Maintenance" means all work or services required to be furnished or performed by Operator pursuant to this Agreement. "Operator" means Hutchinson Utilities Commission and its permitted successors and assigns hereunder. "Owner" means City of Fairfax and its permitted successors and assigns hereunder. Operations and Maintenanm Agreement Natural Gas Facilities 2 City o€Fair€as John Webster "Permits" means all licenses, permits, certificates, orders, approvals and authorizations of any Governmental Authority necessary for or obtained in connection with operation of the Facilities or performance of the Operations. "Person" means any individual, firm, corporation, partnership, joint venture, association, trust or other entity or organization, including a government or political subdivision or an agency or instrumentality thereof. "Routine Work' includes day-to-day maintenance, testing and repair and more particularly defined in Exhibit C of this Agreement. "Non -Routine Worle' includes work not included in the Routine Work, but shall be provided on an as -needed basis. Said services and fees are set forth in Exhibit D. "Year" or "year" means a period of 12 consecutive months commencing with April 1 and ending on the following March 31. Section 1.2 References, Gender, Number. Unless the context requires otherwise, all references in this Agreement to an "Article," "Section" or "Subsection" shall be to an Article, Section or Subsection of this Agreement, and the words "this Agreement," "hereof," "hereunder," "herein," "hereby," or words of similar import shall refer to this Agreement as a whole and not to a particular Article, Section, subsection, clause or other subdivision hereof. Whenever the context requires, the words used herein shall include the masculine, feminine and neuter gender, and the singular and the plural. ARTICLE H: RESPONSIBILITIES OF OPERATOR Section 2.1 General Responsibilities. (a) General. Operator is hereby appointed to perform the Maintenance according to prudent practices generally followed by the gas pipeline industry under similar circumstances. To the extent necessary to carry out its duties hereunder, Operator certifies that it is qualified under the Operations and Maintmnnce Agreement Na —1 Gas Facilities City of Fairfax Jahn Webster Operator Qualification Program as required by the federal Department of Transportation and the Minnesota Office of Pipeline Safety. Operator also certifies that it complies with the Federal requirements outlined in 49 CFR Parts 40 and 199 pertaining to alcohol and controlled substance testing. Operator shall provide Owner with the services required for the testing, maintenance and repair of the Facilities as more fully described below and in Exhibit C and D. Owner and Operator shall have unrestricted access to the Facilities. It is expressly understood and agreed that in the performance of its obligations under this Agreement, Operator is and shall at all times be an independent contractor. Operator, as an independent contractor, shall be solely responsible for its employees and equipment. Owner acknowledges that the Maintenance is dependent upon Owner providing Operator access to the Facilities. (b) Routine Work. On and after the Commencement Date, Operator shall perform or cause to be performed all Routine Work for the Facilities, including but not limited to, repair, improvement, maintenance, alteration, inspection, testing, protection and other operations and activities with respect to the Facilities as are reasonably necessary to maintain the Facilities in a "first-class operating condition" in accordance with the federal safety and maintenance standards promulgated under 49 CFR Part 192 and the regulations of the Minnesota Office of Pipeline Safety. The Routine Work is described in greater detail in Exhibit C. (c) Emergency Work. Operator will perform all Emergency maintenance and repair of the Facilities consistent with prudent practices generally followed by the gas pipeline industry under similar circumstances. Operator will notify Owner of any Emergency condition affecting the Facilities promptly after Operator learns of such condition and will consult with Owner, as far as practical, concerning the actions that are necessary. If Owner fails to respond or if Operator is otherwise unable to consult with Owner, the Operator shall take those actions that Operator believes are necessary consistent with prudent utility practices and will contact Owner as soon as possible after the fact. Open tions and \daint--- Ag,...t 4 :•la —I C— Facifitiu City ofFeirfax John Webster Owner will notify Operator after Owner learns of any Emergency condition affecting the Facilities promptly after Owner learns of such conditions and will consult with Operator, as far as practical, concerning the actions that are necessary. Operator shall take those actions that the Operator believes are necessary consistent with prudent utility practices and will respond promptly to remedy emergency situation. (d) Scheduling. To the extent reasonably possible, the performance of repair or maintenance that affects the operations of the Facilities shall be scheduled to be performed only at times acceptable to Owner. Except for Emergency or unplanned work, in the event it is necessary to either interrupt or curtail the gas supply or to otherwise impose abnormal operating conditions on the Facilities, Owner shall be notified in advance and an agreement must be reached as to the time scheduled for such work. (e) Work by Others. If any part of the Maintenance is dependent upon the quality and completeness of work performed under another contract unrelated to Operator, Operator shall not be responsible if the work performed under the other contract is defective or unsuitable and such condition affects the timing, scheduling or quality of the Operations performed by Operator hereunder. Section 2.2 Personnel. Operator may employ or, contract for, the services of and be responsible for the supervision of Persons (including consultants and professional, service or other organizations) reasonably required by Operator to perform the Maintenance in an efficient and prudent manner. The number of Persons used by Operator in conducting the Maintenance, their hours of work and their compensation for services performed shall be determined by Operator. All employees and other personnel provided by Operator pursuant to this Agreement shall be the employees or independent contractors of Operator and in no event shall such employees or other personnel be deemed employees or contractors of Owner. On or before the Commencement Date, Operator shalt Operations and Maintenance Agi—mt Natural Gas F.61ities City of Fairfax John Webster designate to Owner in writing a representative who shall be authorized to act on behalf of Operator as to the Maintenance and with whom Owner may consult at all reasonable times. Operator may change its representative by written notice to Owner. Section 2.3 Operator Warranties. Operator warrants and represents to Owner as follows: Operator shall perform the Maintenance, and shall require all contractors, subcontractors and materialmen furnishing labor, material or services for the Maintenance to perform their services and carry out their responsibilities, in a diligent, safe and efficient manner in accordance with good workmanlike and prudent practices generally followed by the gas pipeline industry under similar circumstances, but such practices shall not be less than as may be specifically required by this Agreement. In carrying out such responsibilities, Operator shall comply, and shall use its reasonable efforts to require all contractors, subcontractors and materialmen to comply, with all Laws of Governmental Authorities having jurisdiction. All policies and procedures to be developed by Operator hereunder shall be available to Owner for its review at Operator's office during normal business hours. THESE WARRANTIES ARE EXCLUSIVE AND GIVEN IN LIEU OF ALL OTHER WARRANTIES WHETHER STATUTORY, EXPRESS, OR IMPLIED (INCLUDING ANY IMPLIED WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NONINFRINGEMENT OF THIRD PARTY INTELLECTUAL PROPERTY RIGHTS, OR ANY WARRANTY ARISING FROM A COURSE OF DEALING, USAGE, OR TRADE PRACTICE). Section 2.4 Owner Warranties. Owner warrants and represents to Operator that the information it supplies to Operator upon which the Operations may be based is true and correct to the best of Owner's knowledge. Section 2.5 Fee for Routine Work. Fees for Routine work are stated in Exhibit "C". Op —tiros and Mamtrnance Agreement Natural Gas Facilities 6 City.Mirf John Webster Section 2.6 Compensation for Non -Routine Work. Except for any non -routine expenditure that results from Operator's breach of this Agreement, negligence, or willful misconduct, Owner shall bear the cost of any direct out-of-pocket expenditure reasonably incurred by Operator for Non -Routine Work performed in connection with the Facilities, including labor and materials, plus Operator's overhead as stated in Exhibit "D". . Any Non -Routine Work that is in excess of $500.00 per event and that is not the result of an Emergency, will be reviewed and approved by the Owner in advance, subject to Section 2.1(c). "Non -Routine Work" is defined in more detail in Exhibit D attached hereto. Section 2.7 Payment. On or before the fifteenth (15th) day of each calendar month, Operator shall render an invoice to Owner indicating all fees payable under this Agreement for the preceding calendar month. Payment is due from Owner on or before the thirty fifth day following the date the bill is issued by Operator. A late payment charge of one and one-half percent per month, or the legally authorized maximum interest rate, whichever is lower, shall be levied on any unpaid balances. Section 2.8 Owner Duties. Owner shall fully cooperate with Operator in performing Maintenance. Owner hereby grants Operator the non-exclusive right to access and use the Facilities, for purposes of and subject to the terms of this Agreement. ARTICLE III: TRANSFERS OF RESPONSIBILITIES OF OPERATOR Section 3.1 Transfer of Responsibilities. (a) Upon the expiration of this Agreement or the removal of Operator under Section 7.2, the Operator shall assign, transfer and deliver to the Person selected by Owner to succeed Operator (or to such other Persons as Owner shall direct) (1) possession and control of the Facilities and all Operations and (2) to the extent requested by Owner, all contracts, warranties, operating and maintenance manuals, designs, drawings, operational plans, Operations and Maintenance Age mt 7 `latmi Crag Facilities City of Fairfax John Wabster proprietary information and operational rights obtained or entered into by Operator exclusively with respect to the Facilities or exclusively in connection with the Maintenance, in each case without giving rise to any penalty, charge, restriction, lien, security interest, encumbrance, cancellation, termination, acceleration or change in terms not previously approved by Owner. Operator shall fully cooperate with Owner in transfer of Maintenance hereunder to Owner or a successor operator designated by Owner. Upon termination, Operator shall return to Owner all original records and any materials purchased by Operator and paid for by Owner, such as pretested pipe, valves and other miscellaneous materials and supplies. (b) As soon as practicable after the date on which the Operator is required to transfer its responsibilities as provided in Article III (a), Owner may conduct an audit and inventory of the Facilities and all of Owner's assets and properties operated, managed or controlled by Operator. Such audits and inventory shall be used in the return of and the accounting for the Facilities and Owner's properties and assets by Operator for the purposes of the transfer of responsibilities under Article III. All costs and expenses incurred in connection with such audits and inventory shall be borne by Owner. ARTICLE IV: INSURANCE Section 4.1 Owner's Insurance. Owner shall procure and maintain in full force and effect, at the Owner's cost, all risk property insurance in an amount equal to the full insurable value of the Facilities. Section 4.2 Operator's Insurance. Operator shall procure and maintain in full force and effect at the Operator's cost, the following insurance coverage: (a) Worker's Compensation and Employer's Liability insurance in accordance with the laws of Minnesota with limits for Employer's Liability of $1,500,000 per accident or disease, aggregate as disease. Operations and Maintenance Ag cnt Natural Gas Facilities City of Fairfax John Webster (b) Business automobile liability insurance covering owned, non -owned and hired vehicles with minimum combined single limits for bodily injury and property damage for any single loss of $2,000,000. (c) Commercial general liability insurance with completed operations coverage for claims alleging bodily injury including death and damage to property of others, with a combined single limit of $2,000,000 for bodily injury and property damage per occurrence and $3,000,000 in the aggregate. (d) Excess liability insurance for claims alleging bodily injury including death and damage to property with a combined single limit of $5,000,000 for bodily injury and property damage per occurrence and in the aggregate. Section 4.3 Other Insurance Requirements. Each Party shall be listed as an additional insured with respect to the insurance coverage required under this Article IV. All insurance policies shall be endorsed to provide that all insureds and additional insureds hereunder be given thirty (30) days' advance notice of cancellation or material change. Within thirty (30) days of the date of this Agreement, each Party shall furnish to the other Party certificates as evidence showing that the insurance policies to be carried in accordance with this provision have been obtained. Section 4.4 Maximum Liability. Operator's maximum liability is limited to a combined single limit of $1,500,000 by Minnesota Statute. ARTICLE V: FORCE MAJEURE Section 5.1 Performance Excused. If any Party is rendered unable, wholly or in part, by force majeure to carry out its obligations under this Agreement, other than the obligation to make money payments or to fumish security, that party shall give to all other parties prompt written notice of the force majeure with reasonably full particulars concerning it; and thereupon, the obligations of the party giving notice, so far as they are affected by the force majeure, shall be suspended during, but no longer than, the Operations and Maintenance Agent Mt-1 Gas Facilities CityofFaid- fohn Webster W continuance of the force majeure. The party claiming force majeure shall notify the other parties of the force majeure situation within a reasonable time after the occurrence of the facts relied on and shall keep all parties informed of all significant developments. Such notice shall give reasonably fu11 particulars of said force majeure, and also estimate the period of time, which said party will probably require to remedy the force majeure. Force Majeure does not relieve the operator of the contractual responsibilities to operate the Facilities; provided that, the Facilities can be operated utilizing reasonable and safe methods. The affected party shall use all reasonable diligence to remove the force majeure situation as quickly as practicable in an economic manner. The requirement that any force majeure shall be remedied with all reasonable dispatch, shall not require the settlement of strikes, lockouts or other labor difficulty by the party involved, contrary to its wishes; how all such difficulties shall be handled shall be entirely within the discretion of the party concerned. Section 5.2 Force Majeure Defined. The term "force majeure", as here employed, shall mean an act of God, strike, lockout or other industrial disturbance, act of the public enemy, war, blockade, public riot, lightning, fire, storm, flood, earthquake, explosion, pandemic, governmental action, governmental delay, restraint or inaction, unavailability of equipment/supply chain issues and any other cause, whether of the kind specifically enumerated above or otherwise, which is not reasonably within the control of the party claiming suspension. ARTICLE VI: ASSIGNMENT Section 6.1 Assignment by Owner. Owner may not assign all or any part of its rights or obligations under this Agreement without prior written consent of Operator. Section 6.2 Assignment by Operator. Operator may not assign all or any part of its rights or obligations under this Agreement without the prior written consent of Owner. Such approvals shall not be unreasonably delayed, withheld or conditioned. Operations and Maintenance Agreement 1 VA-1 Gas Facilities City ofFairfes John Webster ARTICLE VIL TERM Section 7.1 Term. This Agreement shall become effective on the Commencement Date and shall continue in force and effect until "Nine a.m. Central Clock Time" on April 1, 2025, and year-to-year thereafter, subject to termination. (a) Owner shall notify Operator in writing ninety (90) days prior to the expiration date of this Agreement as to Owner's desire for Operator to continue maintenance of the Facility. Operator shall respond in writing to Owner within thirty (30) days of receipt of Owner's notice and on or before sixty (60) days prior to the expiration of this Agreement regarding the Operator's desire to continue as Operator. Section 7.2 Default and Termination. Upon failure by either Party in the performance of any provision, condition or requirement herein, the other Party may give notice in writing to the defaulting party specifying the default. Unless such default is cured within thirty (30) days following receipt of such notice to the defaulting Party, or if such default is susceptible of being cured and such cure cannot be completed with such thirty (30) days period, then if the cure thereof is not undertaken promptly upon receipt of such notice and diligently prosecuted thereafter, this Agreement may be terminated within sixty (60) days of the date of the notice claiming default was written at the option of the Party serving such notice of default. Section 7.3 Effect of Termination. Termination of this Agreement shall not relieve either Parry from any obligation including payments due for Operations as provided in this Agreement, accruing to the date of such termination or relieve any Party of any liability for its breach of this Agreement. Article III shall survive any termination of this Agreement. Opetatinns and INaintenance Agmw t Nat=[ Gas Facilities eityaF,aia. John Webster I ARTICLE VIII: MISCELLANEOUS Section 8.1 Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Minnesota without reference to the choice or conflict of law, rules or principals thereof which would refer the matter to the laws of another jurisdiction. Each Party shall abide by the Laws of any Governmental Authorities with jurisdiction over the matters of this Agreement, as may be amended from time to time. Section 8.2 Entire Agreement. This Agreement and the Schedules and Exhibits hereto contain the entire agreement between the Parties with respect to the subject matter hereof and there are no agreements, understanding, representations or warranties between the parties other than those set forth or referred to herein. Section 8.3 Notices. Except as otherwise specifically provided, all notices authorized or required between the Parties by any of the provisions of this Agreement, shall be in writing, in English and delivered in person or by registered mail or by courier service or by any electronic means of transmitting written communications that provides confirmation of complete transmission, and addressed to such Parties as designated below. The originating notice given under any provision of this Agreement shall be deemed delivered only when received by the Party to whom such notice is directed, and the time for such Party to deliver any notice in response to such originating notice shall run from the date the originating notice is received. The second or any response notice shall be deemed delivered when received. "Received", for purposes of this Section with respect to written notice delivered pursuant to this Agreement, shall be actual delivery of the notice to the address of the Party to be notified, specified in accordance with this Section. Each Party shall have the right to change its address at any time and/or designate that copies of all such notices be directed to another Person at another address, by giving written notice thereof to all other Parties. Operations and btainrw— Agteemrnt Natural Oas Facilifie 12 City of Fairfax John Webster City of Fairfax 18 1 sf St. SE Fairfax, MN 5539655332 Attention: Andrea Merkel City Administrator E-Mail: Admin@fairfax-mn.gov Telephone No.: 507-426-7255 Hutchinson Utilities Commission 225 Michigan St. SE Hutchinson, Minnesota 55350 Attention: John Webster E-Mail: jwebster@hutchinsom=.gov Telephone No.: 320-234-0507 Fax No.: 320-587-4721 Section 8.4 Successors and Assigns. Subject to the restrictions and requirements on assignment and transfer contained in this Agreement, this Agreement shall be binding upon and inure to the benefit of the Parties hereto and their respective successors and assigns. Section 8.5 Headings. The headings to Articles, Sections and other subdivision of this Agreement are inserted for convenience of reference only and will not affect the meaning or interpretation of this Agreement. Section 8.6 Amendments and Waivers. This Agreement may not be modified or amended except by an instrument or instruments in writing, signed by all Parties. Any Party may, only by an instrument in writing, waive compliance by another Party hereto with any term or provision of this Agreement on the part of such other Party hereto to be performed or complied with. The waiver by any Party of a breach of any term or provision of this Agreement shall not be construed as a waiver of any subsequent breach. Opemfians and Maintenance Agreement 1 Nate IC"PaciGties City 'f Fai (- John W6,w Section 8.7 Schedules and Exhibit. All Schedules and Exhibits to this Agreement are hereby incorporated by reference. Section 8.8 Agreement for the Parties' Benefit Only. This Agreement is not intended to confer upon any Person not a party hereto or a permitted successor or assign of a Party any rights or remedies hereunder, and no Person, other than the Parties or a permitted successor or assign thereof, is entitled to rely on any covenant or agreement contained herein. Section 8.9 Severability. If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law or public policy, all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal substance of the transactions contemplated hereby is not affected in any adverse manner to any party. Upon such determination that any term or other provision is invalid, illegal or incapable of being enforced, the parties hereto shall negotiate in good faith to modify this Agreement so as to effect the original intent of the parties as closely as possible in an acceptable manner to the end that the transactions contemplated hereby are fulfilled to the extent possible. Section 8.10 Independent Contractor; No Partnership. Operator shall perform its duties and obligations hereunder as an independent contractor, and nothing contained herein shall be deemed to create a relationship of employer/employee, master/servant, agency, partnership or joint venture. This Agreement is not intended to create, and shall not be construed to create, a relationship of partnership or an association for profit between Operator and Owner. Section 8.11 Data Practices Act. The Parties acknowledge that Operator is subject to Minnesota Government Data Practices Act, Minnesota Statutes, Chapter 13 (the "Act"), including limiting public access to trade secret and Operations and M1(amtenance Agreement Na —1 Gas Facilities 14 CftYdFairiac Jahn Webster other protected data. Each Party agrees to defend, indemnify, and hold harmless the other Party, its officials, officers, agents, employees, contractors, and subcontractors from any claims resulting from unlawful disclosure and/or use of such protected data. Owner agrees to promptly notify Operator if Owner receives a request to access the terms of this Agreement, and to cooperate with Operator if Operator seeps a protective order, at Operator's expense. Owner agrees to promptly notify Operator if Owner becomes aware of any potential claim, or facts giving rise to potential claims, under the Act. The terms of this section shall survive the termination of this Agreement. Section 8.12 News Releases. News releases concerning the Maintenance or the Facilities shall only be made in accordance with the following guidelines, subject to the requirements of applicable laws and governmental rules and regulations: No public announcement or statement shall be issued by Operator unless prior to its release Owner has been furnished with a copy of such statement or announcement and the reasonable approval of the Owner has been obtained. Where a public announcement or statement becomes necessary or desirable because of an Emergency as a result of activities arising under this Agreement, Operator is authorized to issue and make such announcements or statements without prior reasonable approval of the Owner, but shall promptly furnish Owner with a copy of the announcement or statement. Section 8.13 Authority to Enter Agreement. Each party to this Agreement represents and warrants that it has full and complete authority to enter into and perform this Agreement. Each person who executes this Agreement on behalf of either party represents and warrants that it has full and complete authority to do so and that such party will be bound thereby. Section 8.14 Alternative Dispute Resolution. Whenever the Parties disagree on the interpretation or enforcement of this Agreement, or upon calculations or payments, then upon written request of either Party, representatives with settlement authority for each Party shall meet in person and confer in good faith to resolve the dispute. If the Operations and Maintenance Agreement 1 r Natmi CW Facilities 3 Cityof Fairfax Iohn Webster Parties are unable to resolve the dispute, they shall submit their dispute to mediation pursuant to the Minnesota Civil Mediation Act. If the dispute is not resolved by mediation, the Parties may invoke their legal remedies available at law. Section 8.15 CountgMarts. This Agreement may be executed in counterparts, and each executed counterpart shall have the same force and effect as an original instrument. ARTICLE IX: LIABILITY; INDEMNITY Section 9.1 Indemnification by Owner. Owner shall defend, protect, indemnify, and hold harmless Operator, and its members, directors, officers, employees and agents from and against all liability, claims, liens, costs, expenses, demands, fines or other actions imposed by any Governmental Agency with jurisdiction, suits and causes of action of every kind and character arising in favor of any third party on account of personal injuries or death, or damages to property (including without limitation claims for pollution and environmental damage) in any way directly resulting from the negligent acts or omissions of the Owner, its agents, employees, representatives, or contractors, or from the failure of Owner, its agents, employees, representatives, or contractors to perform its obligations under this Agreement and in compliance with all applicable Laws. This indemnity includes Owner's agreement to pay all costs of defense, including without limitation attorneys' fees, incurred by any person or party indemnified herein. Owner acknowledges that utility equipment malfunction or failure may occur notwithstanding the inspection, maintenance, and repair work performed hereunder, and hereby indemnifies, releases, and holds Operator harmless from any claim or liability, and any direct or indirect damages claimed or actually suffered (including, without limitation, consequential damages and loss of profits), resulting from any utility equipment malfunction or failure occurring during the term of this Agreement, except such claims or liability directly resulting from the negligent acts or omissions of Operator. Opaudions and Nt.i.ku.. Ageement 1 Natural Oa, Faci)ities City'Mitfax John Webster Section 9.2 Indemnification by Operator. Subject to Section 2.1 (c), Operator shall defend, protect, indemnify, and hold harmless Owner, and its members, directors, officers, employees and agents from and against all liability, claims, liens, costs, expenses, demands, fines or other actions imposed by any Governmental Agency with jurisdiction, suits and causes of action of every kind and character arising in favor of any third party on account of personal injuries or death, or damages to property (including without limitation claims for pollution and environmental damage) in any way directly resulting from the negligent acts or omissions of Operator, its agents, employees, representatives, or contractors, or from the failure of Operator, its agents, employees, representatives, or contractors to perform its obligations under this Agreement and in compliance with all applicable Laws. This indemnity includes Operator's agreement to pay all costs of defense, including without limitation attorneys' fees, incurred by any person or party indemnified herein. Operator agrees that the obligations of indemnification herein include, but are not limited to, liens by third parties against Owner and its property because of labor, services, materials, or any other subject of lien, furnished to Operator or its assignees or subcontractors, in connection with any work performed by Operator hereunder. Section 9.3 No Consequential Damages Under no circumstances shall either Party hereto be liable to the other hereunder for indirect, special, consequential or similar damages, or for loss of profits. Opmmns and Maintenance Agreemrnt 1 . r Natwet Gas Facilities / CitydFahf. John WeWfer WHEREFORE, the Parties have executed this Agreement in two (2) duplicate originals by their duly authorized, respective officers, effective as of the date specified above. HUTCHINSON UTILITIES COMMISSION M. Name: Title: Commission President Title: Date: Date: Witness: M/fk& Witness: Date: �Date: Witness: Witness: Date: Date: Operations and Maim... Ageement Natal Cr Facititiu Cityof Fairfax 7abn Webster IN CITY OF FAIRFAX EXHIBIT "A" This Exhibit "A" is attached to and made part of that certain Maintenance Agreement — Natural Gas Facilities (the "Agreement") by and between City of Fairfax ("Owner") and Hutchinson Utilities Commission ("Operator"). OPERATOR'S PAYMENT INSTRUCTIONS: For the purpose of this Agreement, Owner shall make all payments provided in the Agreement to Operator via Check to the following: Hutchinson Utilities Commission 225 Michigan St SE Hutchinson, Minnesota 55350 EXHIBIT "B" This Exhibit "B" is attached to and made part of that certain Maintenance Agreement — Natural Gas Facilities (the "Agreement") by and between City of Fairfax ("Owner") and Hutchinson Utilities Commission ("Operator"). Owner has constructed (or will construct) and own the natural gas facilities, including all apparatuses, located at the Fairfax Interconnect station on the Hutchinson Pipeline, the District Regulator Stations serving the Cities of Fairfax and Gibbon as well as the two Block Valve Sites located on the Owner's high-pressure transmission/distribution line, appurtenances thereto, ("Facility" or "Facilities") serving City of Fairfax, Fairfax, Minnesota. Each interconnected third party natural gas operator shall operate their respective pipeline facilities connected to the Facilities. EXHIBIT "C" This Exhibit "C" is attached to and made part of that certain Maintenance Agreement — Natural Gas Facilities (the "Agreement") by and between City of Fairfax ("Owner") and Hutchinson Utilities Commission ("Operator"). ROUTINE WORK All labor shall be charged at a cost plus 50% of the Operator hourly rate in affect at the time of the work being performed multiplied by the number of hours required by the employee(s) to complete Maintenance work for Owner. Hours required to complete Maintenance includes travel time from Operators' work center to job site including return trip to Operator's work center. Operator non -overtime rate - $63/hour Operator vehicle hourly rate - $47/hour All materials shall be charged at a cost plus 10% to cover all inventory and purchasing fees. COMPLETE LIST OF ROUTINE ITEMS: A. Maintenance, Repair and Security L Perform routine station meter testing and calibration 2. Maintain, test and repair all station and high-pressure block valves 3. Maintain, test and repair regulators 4. Maintain and repair station line heater 5. Maintain and repair station odorizer 6. Maintain the cleanliness and environmental soundness of the Facilities 7. Make mechanical repair Perform preventative maintenance 9. Respond to emergency calls during HUC standard work hours (6:30 AM to 5:00 PM, Monday through Friday), except to the extent response to an emergency requires additional personnel that are not on duty during said emergency and/or additional outside contractors B. Legal and Regulatory Compliance I . Maintain DOT System records 2. Maintain Training & DOT Operator Qualification Program and records EXHIBIT "C", continued 3. Maintain Anti -Drug and Alcohol compliance programs 4. Maintain operating procedures, maintenance procedures, and training plans and procedures to be followed for Maintenance, and ensure procedures and plans are available for review by Owner in Operator's office during normal business hours 5. Maintain Emergency Response Plan, Operation & Maintenance Manual, and Operator Qualification Plan, including annual updates 6. Reporting to Owner any notices of violations of any Laws or Permit provisions 7. Otherwise maintain the Facilities' and Operations' ongoing compliance with all Laws and Permits C. Monitoring and Testing 1. Witness third party meter calibrations at the request of Owner. 2. Perform monthly odorization monitoring 3. Maintain proper documentation on all inspections, tests and calibrations D. Other 1. Maintain in force and effect, and require all contractors (and their subcontractors) performing services for the benefit of Owner to maintain in force and effect, insurance of the types and in the amounts specified by Owner. 2. Undertake all reasonable efforts to keep the Facilities, all contracts relating to the Maintenance, and all property and rights of Owner free and clear of any and all liens, encumbrances, security interests, charges, claims and restrictions arising out of or on account of the Operations 3. Maintain 24-hour emergency telephone number 4. Procure and furnish all equipment, services, supplies, labor and supervision necessary to carry out Operator's responsibilities under this Agreement. EXHIBIT "D" This Exhibit "D" is attached to and made part of that certain Maintenance Agreement — Natural Gas Facilities (the "Agreement") by and between City of Fairfax ("Owner") and Hutchinson Utilities Commission ("Operator"). NON -ROUTINE WORK EXAMPLE OF NON -ROUTINE ITEMS: Expense ** 1. After -hours, holidays, weekends emergency response Cost + 80% 2. Additional personnel as my be required during emergencies Cost + 80% 3. Additional contractors as may be required during emergencies Cost + 50% 4. Any and all other items relevant to the metering and regulation facility operation and maintenance that are neither listed above nor included in the attached Exhibit C. Cost + 50% ** "Expense", as referenced above, shall be the cost of materials, equipment and third - party labor to complete the applicable work or project. Operator shall invoice such cost plus listed overhead. In addition, thereto, Operator shall charge $60.00 per man-hour for non - overtime work. All vehicles and equipment shall be charged by the amount reflected in the following table. All labor shall be billed at the appropriate hourly rate; straight time, time and one-half or double time dependent on time of day and day of week work was required. EXHIBIT "D", continued Labor and Equipment Rates (per Hour) AIR COMPRESSOR $42.00 WELDER $52.00 BACKHOE $80.00 VEHICLE $47.00 OPERATOR $63.00 HUTCHINSON UTILITIES COMMISSION��` Board Action Form �r�turscti mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm Agenda Item: Approval 3rd Amendment to Natural Gas Transportation Agreement Presenter: John Webster Agenda Item Type: Time Requested (Minutes): 2 New Business Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: This 3rd Amendment to the Natural Gas Transportation Agreement allows TDK/HTI to assign their Natural Gas Transportation and Commodity Agreement to Highland Park Industrial, LLC located at 999 19th St., Suite 1120-S, Denver, CO, 80202. BOARD ACTION REQUESTED: Approval of 3rd Amendment to Natural Gas Transportation Agreement Fiscal Impact: $0.00 Included in current budget: Budget Change: PROJECT SECTION: Total Project Cost: Remaining Cost: Hutchinson D AMENDMENT To NATURAL GAS UtilitiesCommission TRANSPORTATION AGREEMENT 225 Michig in Street TEE 1 . THIS AMENDMENT (THE "AMENDMENT") IS MADE AND Hutchinson, Minnesota of ENTERED INTO THIS DAY OF FEBRUARY, 2024 By 55.1 9I UT HINSON TECHNOLOGY, INC. (8 HTI"), A TDK GROUP COMPANY, WITH OFFICES LOCATED AT 40 WEST HIGHLAND PARFi DRIVE NE, HUTCHINSON, MINNESOTA, 55350 AND HUTCHINSON UTILITIES COMMISSION (" 6 C") MINNESOTA MUNICIPAL UTILITY LOCATED T 225 MICHIGAN ST SE. HUTCHINSON, MINNESOTA, , PARTIES TO THE AGREEMENT DATED 2. THE AGREEMENT IS AMENDED AS FOLLOWS: 3. EXCEPT AS SET FORTH IN THIS E D SIT, THE AGREEMENT S` IS UNAFFECTED AND SHALL CONTINUE IN FULL FORCE AND EFFECT" IN ACCORDANCE WITH ITS TERMS AND CONDITIONS. Its THE EVENT THERE IS A CONFLICT BETWEEN `i°HIS AMENDMENT D THE AGREEMENT, CAR ANY EARLIER AMENDMENT, THE TERMS OF THIS AMENDMENT SHALL. PREVAIL. rl IIS A�,h4EPJDIl,4EP,lT SE r,S FORT1 III ALL rl,,-;II I'vlS,/-kGREED UPOI111 BIFTWEEP4 THE PAF?,TIES, d4t,"ll) NO F:4F,?IoFZ, GRY.-id AMErJDl',AEP4TS SHALL BE R,4DING I His AP,4Et,,,FI.)MENl St iAll 1 f,40 I" BE /-o rlEF?,,ED,, Af4EP,,lDEDl OJF? 1l ClEr--rT,4kS INWRITING jEliND EXECUTED B"ir 1:3o: rl I HUTCHINSON UTILITIES COMMISSION BY: TITLE: COMMISSION PRESIDENT WITNESS: ANN WITNESS: DATE.' m DATE: Z— WITNESS'. DATE' 0 HUTCHINSON UTILITIES COMMISSION��` Board Action Form �r�turscti mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm Agenda Item: REQ #009834 - 2024 GMC 1500 Pickups Presenter: Dan L. Agenda Item Type: Time Requested (Minutes): 5 New Business Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Replacement of two 2014 GMC 1500 pickups for the Production Department, per the fleet management schedule. MN state bid pricing, contract #199799. Total cost, minus tax and license: $76,821.80 Budgeted amount: $80,000 Attachment: 2024 GMC 1500 Quote_HUC.pdf Feb 2024 BOARD ACTION REQUESTED: Approval of Req #009834 to North Country GM for the purchase of two GMC pickups. Fiscal Impact: $82,645.80 Included in current budget: Yes Budget Change: PROJECT SECTION: Total Project Cost: Remaining Cost: QUOTATION NORTH COUNTRY GM 1502 E HOWARD ST CONTRACT # 199799 HIBBING, MN 55746 218-263-7578 BOB O'HARA EST DELIVERY TIME 218-263-7576 218-349-8955 140 -210 ARO rwohara01Qao1xom GTR-8 BASE MODEL 2024 GMC 1500 DOUBLECAB PRO TK10753 $ 39,075.30 4X4 w/6'6" BOX 147" WB Engine, 2.71- Turbo 310 hp [231 kW] STD @ 5600 rpm, 348 lb-ft of torque [471 L36 - Nm] @ 1500 rpm)(Not available with (VYU) Snow Plow Prep Package (1,320.00) Special Discounty only for the 1-313 XX X -$1,320.00 Engine Transmission, 8-speed automatic, MQE STD electronically controlled Engine, 5.3L EcoTec3 V8 (355 hp [265 kW] @ 5600 rpm, 383 lb-ft of torque [518 Nm] @ 4100 rpm); 1,403.60 featuring Dynamic Fuel 184 - Management(Includes (KW7) 170- amp alternator and (MHT) 10-speed automatic transmission.Not available with T*10703 models.) Transmission, 10-speed automatic, (Column shifter) electronically controlled with overdrive and tow/haul mode. MHT STD Includes Cruise Grade Braking and Powertrain Grade Braking(Included and only available with (1-84) 5.31- EcoTec3 V8 engine.) AIR CONDITIONING FRT STD STD CHROME BUMPERS X STD Pro Value Package includes (PCI) Convenience Package and (Z82) Trailering Package((K34) Cruise control can be upgraded to (KSG) 1,289.20 Adaptive Cruise Control if PEB - desired.Not available with (ZW9) pickup bed delete or (ZLQ) Fleet Convenience Package.Required with (WBP) Graphite Edition.)* Convenience Package When (ZW9) pickup bed delete is ordered (QT5) EZ Lift power lock and release tailgate and (UF2) LED cargo bed lighting will not be available. ) includes (QT5) EZ Lift power lock and release tailgate, (AKO) tinted 941.60 glass, (UF2) LED cargo bed lighting, PCI - (C49) rear -window defogger, (K34) cruise control and (DLF) outside power mirrors.((K34) Cruise control can be upgraded to (KSG) Adaptive Cruise Control if desired.Not available with (ZLQ) Fleet Convenience Package.lncluded with (PEB) Fleet Convenience Package includes (K34) cruise control and (DLF) outside power mirrors(Not available with (PCI) Convenience Package, (WBP) Graphite Edition or (PEB) Pro Value Package. Available 457.60 to upgrade to (DPO) outside power- ZLQ X $457.60 adjustable vertical trailering mirrors.lncludes (QT5) Lift power lock and release tailgate when (HOU) Jet Black interior trim is ordered.and is not available with (HOU) Jet Black interior trim.) 347.60 LT265/70R-17 ALL TERRAIN (5) RC5 - Trailering Package includes trailer 347.60 hitch, 7-pin and 4-pin connectors Z82 and (CTT) Hitch Guidance 1SA Safety Plus Package includes (UD5) Front and Rear Park Assist, (UKC) Lane Change Alert with Side Blind Zone Alert, (UFB) Rear Cross Traffic Braking, (U12) Perimeter lighting and (DP9) outside chrome mirror caps Requires (PCI) 607.20 Convenience Package, (PEB) Pro PQA Value Package or (ZLQ) Fleet Convenience Package, (KI4) 120-volt power outlet and (KC9) 120-volt bed - mounted power outlet.lncludes (V76) recovery hooks on 2WD models.Not available with (ZW9) pickup bed delete. Not available with (WBP) Graphite Edition Snow Plow Prep Package includes roof emergency light provisions, (KW5) 220-amp alternator, (K47) 352.00 high -capacity air filter, (NZZ) skid VYU - plates and heavy-duty front springs. (Requires 4WD model, (L82) 5.3L EcoTec3 V8 engine Floor covering, color -keyed 88.00 carpeting B30 - Wheelhouse liners, rear (Requires a 4WD 123.20 Crew Cab or 4WD B1J - 88.00 BLOCK HEATER K05 - 242.00 BRAKE CONTROLLER JL1 - 132.00 220 AMP ALT (only) KW5 - 198.00 Rear Defroster C49 - INCLw/PCI Glass, deep -tinted AKO - N/C Dash 4x4 switch with Auto trac STD - 255.20 Power Drivers Seat A2X DASH SWITCH AUTO TRAC w/2 176.00 Speed Transfer Case 4X4 Requires NQH - X31 option and 5.3L V8 X31 Off -Road Package includes Off - Road suspension, (JHD) Hill Descent Control, (NZZ) skid plates, (K47) heavy-duty air filter and X31 hard badge(Requires Crew Cab or 831.50 Double Cab 4WD model, (Z82) X31 - Trailering Package and AT tires.lncludes (G80) auto -locking rear differential and (NQH) 2-speed transfer case.Not available with (1_313) TurboMax engine 255.20 Power Drivers Seat A2X - 132.00 220 Amp Alternator KW5 - 132.00 UPFITTER SWITCHED (kit shipped 9L7 - loose, req additional uptitter wiring) 165.00 UptitterSwitch Wiring Comleted to DLR2 - make wiring easier 198.00 110 VOLT POWER OUTLET UNDER KC9 X $198.00 DASH & BOX 479.60 SPRA Y BEDLINER CGN - 347.60 LOCKING REAR AXLR G80 - 699.90 ASSIST STEPS BLACK 6" RVQ - RECTANGULAR LED Cargo Area Lighting located in cargo bed activated with switch on I N C L w/PCI center switch bank or key U F2 - fob(Included with (PCI) Convenience Package 121.44 1 Back-up alarm, 97 decibels 8S3 - 637.00 LPO, Tri-fold soft tonneau cover Requires Crew Cab or Double Cab model. Not available with any other tonneau cover.) 63B QTY 775.00 ADDITIONAL KEY/FOB COMB EA 0 $ - 41435,60 Cardinal Red G7C - 41435,60 Onyx Black GBA - 41435,60 Thunderstorm Gray GNO - 41435,60 Sterling Metallic GXD - 41435,60 Downpour Metallic GXP - 41435,60 SPECIAL PAINT 9V5 - EXT COLOR SUMMIT WHITE GAZ X STD INT TRIM COLOR BLACK CLOTH TRIM 1-11T X STD TOTAL $ 38,410.90 2,640.75 6.875% SALES TAX X $ 2,640.75 251.25 LICENCE TITLE & REG X $ 251.25 20.00 ITRANSIT TAX X $ 20.00 TOTAL per UNIT $ 41,322.90 CITY 2 $ 82,645.80 purchase order number contact customer phone email billing address delivery address date ordered order # Daniel Lang Hutchinson Utilities Commission 320-234-0564 dlan @hutchinsomm�. ov 225 Michigan St. SE Hutchinson, MN 55350 225 Michigan St. SE Hutchinson, MN 55350 HUTCHINSON UTILITIES COMMISSION Board Action Form r�turit mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm Agenda Item: Approve Implementing a Protective Safety Footwear Policy Presenter: Angie Radke Agenda Item Type: Time Requested (Minutes):; 5 New Business Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: Staff is looking to Implement an Organizational Policy to both the Union and Non -Union Handbooks. The Organizational Policy to add is Protective Safety Footwear. Departments included in this policy are Electric Division, Natural Gas Division, Plant Electricians, Production and Inventory. 2024 Budgeted amount: Up to $16,500 BOARD ACTION REQUESTED: Approve Implementing a Protective Safety Footwear Policy to Exempt and Non -Exempt Handbooks Fiscal Impact: Up to $16,500 Included in current budget:Yes Budget Change: No PROJECT SECTION: Total Project Cost: Remaining Cost: PROTECTED SAFETY FOOTWEAR The following footwear must be purchased by the Employee and the paid receipt submitted for reimbursement by HUC. HUC will reimburse the lessor of the actual purchase price or the maximum amount indicated within this policy. The type and/or need must be approved by the department manager/director prior to purchase and reimbursement. Protective footwear purchased with these funds must meet OSHA and uniform policy requirements for the individual's regular job duties according to APPA section 405 Wearing Apparel. The original receipt must be submitted with all reimbursement requests. Safety Toed Boots and Shoes - Employees are highly encouraged to purchase quality footwear for their own protection and comfort. HUC will reimburse employees based on the following criteria: • Up to $250 for full-time employees, once every 12 months • Up to $250 for Seasonal and Temporary employees, once every 3 years Insulated Safety Toed Winter Boots — The need for insulated boots must be approved by the department manager/director. HUC will reimburse employees based on the following criteria: • Up to $250 for full-time employees, once every 3 years Should an employee's protective footwear become damaged or in excessively poor condition, the employee would be eligible for replacement footwear provided that the department manager/director determines the footwear was damaged or in excessively worn condition due to the employee performing their assigned work duties. When replacing damaged or excessively worn protective footwear, the same maximum reimbursement amounts shall apply. HUTCHINSON UTILITIES COMMISSION��` Board Action Form �r�turscti mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm Agenda Item: Approve Additional cost of NSR work for Unit 1 Presenter: Mike Gabrielson Agenda Item Type: Time Requested (Minutes): 5 New Business Attachments: Yes BACKGROUND/EXPLANATION OFAGENDA ITEM: The Commission has authorized the General Manager to approve up to $700,000 for NSR work on Unit 1. Staff is requesting an additional $300,000 for a total of $1,000,000 in NSR repairs. Just an overall update, staff received confirmation from the vendor that the balance piston will be back 04/01. GE also confirmed that they are working on the quote for the mid -shaft repair, although a timetable has not be communicated yet. Their best estimate for the mid -shaft repair is somewhere between $30,000 - $45,000. BOARD ACTION REQUESTED: Approve Additional $300,000 of NSR cost for a total of $1,000,000 Fiscal Impact: $300,000 Included in current budget: Budget Change: PROJECT SECTION: Total Project Cost: Remaining Cost: