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HomeMy WebLinkAbout6-24-2026 HUCMMINUTES Regular Meeting — Hutchinson Utilities Commission Wednesday, June 24, 2026 Call to order — 3:00 p.m. President Don Martinez called the meeting to order. Members present: President Don Martinez; Secretary Matt Cheney; Vice President Tom Lambert; Commissioner Kathy Silvernale; GM Jeremy Carter; Attorney Marc Sebora 1. Conflict of Interest Secretary Cheney declared conflict of interest in voting on agenda item 2b Ratify Payment of Bills; Secretary Cheney is owner of Redline Systems which is on this month's payment of bills. Secretary Cheney will be abstaining from Agenda item 2b. 2. Approve Consent Agenda a. Approve Minutes b. Ratify Payment of Bills Motion by Commissioner Silvernale, second by Commissioner Lambert to Approve the Consent Agenda. Motion carried unanimously. Secretary Cheney abstained. 3. Approve Financial Statements GM Carter presented the Financial Statements. Purchase Power and Transmission costs were reviewed along with the Power Cost Adjustment and Market Sales. Electric Division is forecasted to be negative with increased power supply costs and having lack of generation to offset. Natural Gas Division usage and revenues increased compared to May 2025. Additional dollars were added back into the rate stabilization fund to grow the fund closer to $600K due to the unpredictability of the winter weather. Cash and Investments were also reviewed. Motion by Commissioner Cheney, second by Commissioner Silvernale to Approve the Financial Statements. Motion carried unanimously. 4. Open Forum 5. Communication a. City Administrator — Matthew Jaunich — Absent b. Divisions i. Dan Lang, Engineering Services Manager — Nothing to report ii. Dave Hunstad, Electric Transmission/Distribution Manager 1. Provided a Solar update. iii. Mike Gabrielson, Production Manager- Nothing to Report iv. Byron Bettenhausen, Natural Gas Manager - 1. Construction season 2. Working on State permitting for Highway 15 3. Annual maintenance of regulator stations 4. Flying of Transmission pipeline was completed for the Spring with no issues found 5. Working with Angie on 2 new hires 6. Leak Surveys have started v. Jared Martig, Financial Manager —Absent c. Human Resources — Angie Radke - i. Continuing to work with Byron on the Welder/Service Person open position ii. Working on Compensation Study d. Legal — Marc Sebora — i. Provided a City Solar update e. General Manager — Jeremy Carter i. Cost of Service Study update ii. Fagen/HDR update on Plant 1 iii. APPA conference next week 6. Policies a. Review Policies i. Section 6 of Exempt Handbook ii. Section 6 of Non -Exempt Handbook No changes recommended at this time. 7. Unfinished Business 8. New Business a. Approve Rescheduling the July 29, 2026, Regular Commission Meeting to Wednesday, July 22, 2026. Motion by Commissioner Lambert, second by Commissioner Cheney to Approve Rescheduling the July 29, 2026, Regular Commission Meeting to Wednesday, July 22, 2026. Motion carried unanimously. President Marteniz added new business item 8b b. Update and Discussion on Bond Financing GM Carter provided an update on Bond Financing. The City of Hutchinson estimates to have $5.8M in bonding, leaving $4.2M in bonding available for Hutchinson Utilities. City of Hutchinson and HUC Staff would like to stay below the $10M threshold so additional financing charges do not occur. GM Carter noted there may be a short time HUC will be below cash reserves with the projects that are being worked on. City of Hutchinson Staff would bring to the council for preliminary approval 2 July 14th with the Bond Sale being August 11th, which means bond proceeds would come in the end of August/beginning of September. GM Carter provided an update on the projects that are being worked on. Discussion was held on cash position, replenishing cash reserves and the timeline. Commissioners all agreed to move forward with the Bond Financing. 9. Adjourn There being no further business, a motion by Commissioner Cheney, second by Commissioner Lambert to adjourn the meeting at 3:24p.m. Motion carried unanimously. ATTEST .� Dori Martinez, President „ 3 Matt Cheney, Secretary