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08-27-2025 HUCMMINUTES Regular Meeting — Hutchinson Utilities Commission Wednesday, August 27, 2025 Call to order — 3:00 p.m. President Matt Cheney called the meeting to order. Members present: President Matt Cheney; Secretary Don Martinez; Vice President Troy Pullis; Commissioner Kathy Silvernale; Commissioner Tom Lambert; GM Jeremy Carter; Attorney Marc Sebora: 1. Conflict of Interest 2. Approve Consent Agenda a. Approve Minutes b. Ratify Payment of Bills Motion by Commissioner Martinez second by Commissioner Silvernale to Approve the Consent Agenda. Motion carried unanimously. 3. Approve Financial Statements GM Carter presented the Financial Statements. Electric Division KWH sold up 9.62% from last year, Natural Gas Division up 3.42% from last year. GM Carter noted there was a customer that had moved from Industrial class to Large Industrial class. GM Carter reviewed the Market Sales from the last few months and how it has compared to previous years, along with the rate stabilization fund and fuel cost credit provided back to the customers. Balance Sheet and Investments were also reviewed. Motion by Commissioner Silvernale, second by Commissioner Pullis to Approve the Financial Statements. Motion carried unanimously. 4. Open Forum 5. Communication a. City Administrator — Matthew Jaunich — i. Street project wrapping up on Dale ii. Development interest at the City — Conditional use permit on Data Center was approved iii. Downtown Apartment complex could be starting soon iv. Comprehensive Plan for Burns Manor site v. Preliminary plat on Northside of town submitted b. Divisions i. Dan Lang, Engineering Services Manager — Nothing to Report ii. Dave Hunstad, Electric Transmission/Distribution Manager — 1. Reconductor project on Texas Ave 2. Elk Ridge Estates Development 3. Working at 3M during annual shutdown 1 iii. Mike Gabrielson, Production Manager — Nothing to Report iv. Jared Martig, Financial Manager —Absent v. Byron Bettenhausen, Natural Gas Manager — 1. Elk Ridge Estates Development 2. Working at 3M during annual shutdown 3. River Crossing Project Update c. Human Resources — Angie Radke - i. Will be meeting with Insurance Broker on PFML percentage rates ii. Working with Union representative to bring forth MOA regarding PFML iii. Benefits right around the corner, d. Legal — Marc Sebora — i. Nothing to report e. General Manager — Jeremy Carter i. Data Center update ii. Sustainability Committee- Commissioners are welcome to sit on committee iii. Working on Prepaid Contract iv. New Ulm Capacity Agreement conversations v. Looking to add Item 8b — Discussion of Solar Array's on Public Buildings 6. Policies a. Review Policies i. Hutchinson Utilities Commission ii. Establishing a New Electric/Natural Gas Account iii. Deposit Requirement — Residential iv. Deposit Requirement — Commercial/Industrial v. Terminating Electric/Natural Gas Service by Customer vi. Definition of Your Bill vii. Errors in Billing viii. Payment of Your Bill ix. Automatic Bill Payment Plan x. Budget Payment Plan A. Explanation of Billing Procedure xii. Disconnection of Residential Services by HUC xiii. Disconnection of Commercial Services by HUC xiv. After Hours Reconnection Policy xv. Landlord Acknowledgment xvi. Inserts with Utility Bills xvii. Identity Theft — "Red Flag Program" xviii. Minnesota Cold Weather Rule xix. Minnesota Government Data Practices Act and Public Records Request No changes recommended at this time b. Approve Changes 2 7. Unfinished Business 8. New Business a. Approve Req#10337 — Plant #1 Substation Circuit Breakers Mr. Lang presented Approval of Req#10337 — Plant #1 Substation Circuit Breakers. HUC has periodically been replacing the GE breakers at the Plant #1 substation with ABB breakers due to specific retrofit compatibility with the GE "Magne-Blast" breaker and switchgear. Motion by Commissioner Pullis, second by Commissioner Lambert to Approve Req#10337 — Plant #1 Substation Circuit Breakers. Motion carried unanimously. President Matt Cheney added new business item 8b b. Discussion of Solar Array's on Public Buildings Mr. Hunstad began the discussion of Solar Array's on Public Buildings. Staff met with EMS Solutions regarding grants that are available for solar array's on public buildings. 70% of the cost is covered through a state grant and 30% of the cost is covered through Federal IRA credit. Any building that is owned by the City that is metered separately qualifies for up to a 40kw system. Max cost of the system is $160k with the average being $95k. Any upgrades that are needed to be made for the system can be included with the grant. EMS Solutions will do the applications. If HUC is selected, HUC pays for the system upfront and will be reimbursed through progress payments. Once the system is complete, HUC will then go to the Federal side and request the 30% credit. HUC's risk would be 30% of the cost if no money is received from the federal side. If HUC is not selected for the grant there would not be a project. Discussion was held on the selection process of the grant, the buildings available with the kw size needed, maintenance costs, and total costs with the buildings selected for the project. Commissioners agree to proceed moving forward with the process 9. Adjourn There being no further business, a motion by Commissioner Lampert, second by Commissioner Pullis to adjourn the meeting at 3:30pm. Motion carried unanimously. ATTEST: att Cheney, Pres' ent 3 Don Martinez, Secretary