The URL can be used to link to this page

04-25-2007 HUCMRegular Meeting April 25, 2007 Members present: President Donald H. Walser; Vice President David Wetterling; Secretary Dwight Bordson; Commissioner Craig Lenz; Commissioner Robert Hantge; General Manager Michael Kumm; Attorney Marc Sebora. President Walser called the meeting to order at 3:00 pm. Vice President Wetterling made a motion to approve the minutes of the March 28, 2007, Regular Meeting. Commissioner Lenz seconded the motion and it passed unanimously. Commissioner Lenz made a motion to approve the minutes of the April 6, 2007, Special Meeting. Secretary Bordson seconded the motion and it passed unanimously. Commissioner Lenz made a motion to ratify the payment of bills in the amount of $4,366,901.14 (detailed listing in payable book). Vice President Wetterling seconded the motion and it passed unanimously. GM Kumm presented the financial statements/budget year-to-date. After discussion Vice President Wetterling made a motion to approve the financial statements/budget year to date. Secretary Bordson seconded the motion and it passed unanimously. President Walser welcomed Miles Seppelt, Economic Developer for the City of Hutchinson. Mr. Seppelt gave a presentation on behalf of Warrior Manufacturing and was asking the Board to lower the required meter deposit for Warrior to establish a new commercial account in Hutchinson. After discussion, it was determined that the language in the Policies and Requirements Booklet should be made more clear. No action was taken and the deposit amount quoted by HUC will stand as it is. General Manager Kumm reported on the RW Beck feasibility review for potential biomass energy recovery project, which was tabled from the March 28, 2007 regular meeting. There is a significant quantity of biomass feedstock, but because the status of the industry is less developed than desired, there are no performance guarantees or even guaranteed costs to be considered in the project. It was decided the project be concluded for this year, giving technology a chance to catch up. Jan Sifferath presented the joint & cooperative agreement with LOGIS. This is an agreement that would allow HUC to become members with LOGIS. LOGIS is a consortium of 37 local government entities where they provide the network and computer support for these entities. LOGIS will work with the billing software firm (AUS) to provide us the same billing software (CIS Infinity) as the City is currently using This is a new utility billing system that the City uses also and we would like to become members. Ken Merrill, Finance Director for the City, explained the financial benefits of the agreement while Tom Kloss, Information Services Director, explained the technology side of the agreement. After discussion Commissioner Lenz made a motion to approve the joint and cooperative agreement with LOGIS. Secretary Bordson seconded the motion and it passed unanimously. Commissioner Lenz made a motion to approve call for bids for 1500 ton packaged hermetic centrifugal liquid chiller. Commissioner Hantge seconded the motion and it passed unanimously. Commissioner Hantge made a motion to approve requisition #002537 for Mini Excavator from St. Joseph Equipment. Secretary Bordson seconded the motion and it passed unanimously. Commissioner Lenz made a motion to approve requisition #002544 for padmounted transformers from RESCO. Secretary Bordson seconded the motion and it passed unanimously. GM Kumm and Dan Lang, HUC Technical Service Manager, asked for authorization for staff to execute an electric base load contract. After discussion Commissioner Lenz made a motion approving authorization for staff to execute an electric base load contract with CMMPA. Commissioner Hantge seconded the motion and it passed unanimously. Division reports Business Jan Sifferath Fencing is scheduled to start on Monday Questionnaire being distributed to employees regarding HSAs Insurance deficit, as of today, is approximately $290,000 Electric Steve Lancaster Combined cycle engine checks complete Gas John Webster Meetings with New Vision Coop are moving along Condemnation hearing was held should hear something on settlement by next Friday Legal update Attorney Sebora reported on a reimbursement were seeking for damages done to our property and if we dont receive it we need to work on collecting it. Special consideration might be given as far as the City ordinance reads regarding New Vision Coop being a retail customer of ours and being outside the City limits. Old Business Special Meeting, May 8, 2007 MN Municipal Gas Agency. Also added to the agenda will be the results of the compensation study. New Business Recognition Banquet We will have a Holiday/Recognition Party in December Transportation Contract Possibility for HUC to provide transportation of natural gas There being no further business, Commissioner Lenz made a motion to adjourn the meeting at 4:20 p.m. Secretary Bordson seconded the motion and it passed unanimously. _________________________________ Dwight Bordson, Secretary ATTEST________________________________ Donald H. Walser, President Regular Meeting April 25, 2007 Members present: President Donald H. Walser; Vice President David Wetterling; Secretary Dwight Bordson; Commissioner Craig Lenz; Commissioner Robert Hantge; General Manager Michael Kumm; Attorney Marc Sebora. President Walser called the meeting to order at 3:00 pm. Vice President Wetterling made a motion to approve the minutes of the March 28, 2007, Regular Meeting. Commissioner Lenz seconded the motion and it passed unanimously. Commissioner Lenz made a motion to approve the minutes of the April 6, 2007, Special Meeting. Secretary Bordson seconded the motion and it passed unanimously. Commissioner Lenz made a motion to ratify the payment of bills in the amount of $4,366,901.14 (detailed listing in payable book). Vice President Wetterling seconded the motion and it passed unanimously. GM Kumm presented the financial statements /budget year -to -date. After discussion Vice President Wetterling made a motion to approve the financial statements /budget year to date. Secretary Bordson seconded the motion and it passed unanimously. President Walser welcomed Miles Seppelt, Economic Developer for the City of Hutchinson. Mr. Seppelt gave a presentation on behalf of Warrior Manufacturing and was asking the Board to lower the required meter deposit for Warrior to establish a new commercial account in Hutchinson. After discussion, it was determined that the language in the Policies and Requirements Booklet should be made more clear. No action was taken and the deposit amount quoted by HUC will stand as it is. General Manager Kumm reported on the RW Beck feasibility review for potential biomass energy recovery project, which was tabled from the March 28, 2007 regular meeting. There is a significant quantity of biomass feedstock, but because the status of the industry is less developed than desired, there are no performance guarantees or even guaranteed costs to be considered in the project. It was decided the project be concluded for this year, giving technology a chance to catch up. Jan Sifferath presented the joint & cooperative agreement with LOGIS. This is an agreement that would allow HUC to become members with LOGIS. LOGIS is a consortium of 37 local government entities where they provide the network and computer support for these entities. LOGIS will work with the billing software firm (AUS) to provide us the same billing software (CIS Infinity) as the City is currently using This is a new utility billing system that the City uses also and we would like to become members. Ken Merrill, Finance Director for the City, explained the financial benefits of the agreement while Tom Kloss, Information Services Director, explained the �A technology side of the agreement. After discussion Commissioner Lenz made a motion to approve the joint and cooperative agreement with LOGIS. Secretary Bordson seconded the motion and it passed unanimously. Commissioner Lenz made a motion to approve call for bids for 1500 ton packaged hermetic centrifugal liquid chiller. Commissioner Hantge seconded the motion and it passed unanimously. Commissioner Hantge made a motion to approve requisition #002537 for Mini Excavator from St. Joseph Equipment. Secretary Bordson seconded the motion and it passed unanimously. Commissioner Lenz made a motion to approve requisition #002544 for padmounted transformers from RESCO. Secretary Bordson seconded the motion and it passed unanimously. GM Kumm and Dan Lang, HUC Technical Service Manager, asked for authorization for staff to execute an electric base load contract. After discussion Commissioner Lenz made a motion approving authorization for staff to execute an electric base load contract with CMMPA. Commissioner Hantge seconded the motion and it passed unanimously. Division reports Business — Jan Sifferath • Fencing is scheduled to start on Monday • Questionnaire being distributed to employees regarding HSA's • Insurance deficit, as of today, is approximately $290,000 Electric — Steve Lancaster • Combined cycle engine checks complete Gas — John Webster • Meetings with New Vision Coop are moving along • Condemnation hearing was held — should hear something on settlement by next Friday Legal update Attorney Sebora reported on a reimbursement we're seeking for damages done to our property and if we don't receive it we need to work on collecting it. Special consideration might be given as far as the City ordinance reads regarding New Vision Coop being a retail customer of ours and being outside the City limits. Old Business Special Meeting, May 8, 2007 — MN Municipal Gas Agency. Also added to the agenda will be the results of the compensation study. New Business Recognition Banquet — We will have a `Holiday /Recognition Party' in December Transportation Contract — Possibility for HUC to provide transportation of natural gas There being no further business, Commissioner Lenz made a motion to adjourn the meeting at 4:20 p.m. Secretary Bordson seconded the motion and it passed unanimously. ATTEST Donald H. Wallser, President Wight Bordson, Secretary ;,-5' �I u April 20, 2007 Mr. Mike Kumm General Manager Hutchinson Utilities 225 Michigan Street SE Hutchinson, MN 55350 Subject: Feasibility Review for Potential Biomass Energy Recovery Project Dear Mike: Hutchinson Utilities engaged R. W. Beck, Inc, to perform a feasibility review for a potential biomass energy recovery project in Hutchinson. Based on our initial task review we wish to provide this preliminary summary of our view of the project's technical feasibility. The goal of the biomass energy study is to quantify the potential energy value of the organic materials handled by the county, review conversion technologies and determine an appropriate match, and estimate the economics of a definable, realistic project. While there appears to be a significant quantity of biomass feedstocks available for conversion as indicated in Task One of the study, similar studies we are currently undertaking are indicating that the status of the industry domestically is less developed or commercialized than may be desired. Although there are a number of firms advertising developments in various pyrolytic and gasification technologies there does not appear to be a proven technology or even an operating full scale commercial project. As peak generation considerably enhances your project economics, the mechanics of Anaerobic Digestion or non - thermal conversion technologies and their base -load, 24/7 operating requirements limits their applicability. Clearly the favored approach would be an on -peak thermal process for direct conversion to syn- gas fuel for your engine- generators. Unfortunately no process vendor we are aware of would be in a position to provide performance guarantees or even guaranteed costs. While several vendors have expressed considerable interest in teaming on a developmental commercial /research project with shared risks and capital costs, the normal project procurement options do not exist at this time. There is no doubt the industry is poised to move forward, and we are certain one or more vendors will demonstrate a commercial process in the near future, but we feel it's important to address these issues openly before engaging the next task of the project. If you have any questions, feel free to call either Scott Coon or me. Sincely, R. WI BF David A. National Finance 01-00365-101011 070467 1 004712 PA004712 Hutchinson\0 1-00366-10 10 1 \Work Products \Potential Biomass Project letter 042007.doc - - _ ...... ..... -. 1.380 Corl)omte Center Curve, Suit(' 305 St. Paul, MN 55121 Phone (651) 994 -8415 Fax (651) 994 8396 om \ / / ' � . . < o % k ° C4 C4 u I a_ j\f }+ qG k } $0 ■ �(0 >c n� I f 11 $ 2i R an E AL 01+ R /§ % § $ G @ +2 CL 0 �ƒ$ 313 #M_ «co r CD 04 =C%4 \ ° ` =k \k\\\ CT 7 �7 m0 -cl -02 r $ % % 2 .c' G =�® n 0) w GG w a % 2 /w /� LL E 00000 0 00 \ �a�\ \\k / k\ f >j = } k Co % F223$ ° $2 0. �(D 0 ca -0 E k§ �$ 2® &f m % @tq 7 { U) (D CD ,v 00 00LO 0 0 0 00 2 # LO >CIJCN g CD oC5 £ m 2 e = § m 0 CD § E ) a E / 8 m 3 a_ a n 2 }5 /ƒ k 0 C: > \00 7 E � 02k\\ u ; c ¥ k a k R °] o \ ; = ƒ 12 12 k7- 0 ( f o kk /\ \\ / -0 \\ m ; E « / ff »/ kf � � « f§ E \ �\ /E\ \ —&+7 / 33 /§ \ ±2\\ 3 k�da) f \k \\ \k } \k(a EE §§ 4zIo § {{ /\ \ f3 /\ // § D 0%§ £ LL� \ \\ \ \\ ( -0- $ kk §k z = a 4X4=2 e E 0o ii 1 11/16/2006 Hutchinson Utilities LUGIS Cost Es!:Ln :te - LOG !S Ifnpie�t�li.: ticrl in 20Q7 Based on 2007 Budget A B C D E Total UB, FS, 1 Utility Billing (UB) Financial (FS) HR/Payroll (HR/PR) HR/PR Annual Operating 2 1COStS 3 4 Application Support $54,615 $6,241 $6,505 $67,360 Systems Development - 5 Note 1a. And 1b. 5,562 1,448 502 7,512 44#to4 l I�pplicatign upPo '&' Systeffi, 6 bevaloprlterit �6tf,17i $7,6$9 $7,007 $74,$72 7 8 One Time Costs 9 Software 6uy-in 10 $5,000: lgglud±d �t1.FS $ j2$,OgQ 12 Implementation -Note 3 Included Included Included 13 Data Conversion - Note TBD - Could range TBD - Could range TBD - Could range 14,4 from $30 - $50,000 from $15 - $25,000 from $15 - $25,000 15 Desktop Hardware - 16 Note 5 TBD TBD TBD 17 18 19 Note 1 Note 2 Note 3 Note 4 Note 5 A. Systems development Software buy -in Implementation Data conversion is Depending on is billed annually and does may be paid as a costs are included optional. Data the current not apply until the second lump sum or over in application conversion is also desktop calendar year of three years. The support charges. difficult to estimate configuration, membership in an three year option Billing for without knowledge of it might be application. Therefore, includes a small application support the systems the data necessary to should Hutch Utilities join interest charge. begins the first is being converted upgrade to UB in 2007, this charge month of any from. The ranges newer PC's. would not apply until 2008. implementation listed are based on B. Based on factors, activity (as past experience and applied a "small city" opposed to starting are only rough discount of 75% to once you've gone estimates. An in- systems development for live.) depth analysis would FS and HR/PR. be required to determine a more accurate estimate. 20 JOINT AND COOPERATIVE AGREEMENT LOCAL GOVERNMENT INFORMATION SYSTEMS (Originally dated May 1, 1972) (Amended, effective December 3, 1993) (Further Amended, effective October 1, 2003) The parties to this agreement are governmental units of the State of Minnesota. This agreement is made and entered into pursuant to Minnesota Statutes, Section 471.59. I. GENERAL PURPOSE The general purpose of this agreement is to provide for an organization through which the parties may jointly and cooperatively provide for (i) the establishment, operation and maintenance of data processing facilities and management information systems for the use and benefit of the parties and others and (ii) group health, life, accident, and other insurance and personnel benefits for the officers and employees of the parties and the organization. (Amended by Amendment No. 2, effective October 1, 2003). II. DEFINITION OF TERMS Section 1. For the purpose of this agreement, the terms defined in this article shall have the meanings given them. Section 2. "Local Government Information Systems" means the organization created pursuant to this agreement, which organization is hereafter referred to as "LOGIS." Section 3. 'Board" means the Board of Directors of LOGIS, consisting of one director from each governmental unit which is a member of LOGIS. Section 4. "Council" means the governing body of the member governmental unit, except that in the case of any department or agency of the state, council shall be deemed to mean the Commissioner of Administration of the State of Minnesota. Section 5. "Member" means a governmental unit which enters into this agreement and is, at the time involved, a party in good standing. Section 6. "Governmental unit" means any city, village, borough, town or other political subdivision of the State of Minnesota or any department or agency of the state government. Section 7. "Software" means computer programs, form designs, user manuals and associated documentation. III. MEMBERSHIP Section 1. Any governmental unit is eligible to be a member of LOGIS. Section 2. A governmental unit desiring to be a member shall execute a copy of this agreement and shall pay the established membership dues and charges. Section 3. The initial members shall be those members who joined LOGIS on or prior to June 1, 1972. Section 4. Governmental units joining LOGIS after June 1, 1972, shall be admitted only upon the favorable vote of two - thirds of the members of the board. The board may impose conditions upon the admission of members other than the initial members. IV. BOARD OF DIRECTORS Section 1. The governing body of LOGIS shall be its board. Each member shall be entitled to one director, who shall have one vote. Section 2. Each member shall also be entitled to one alternate director who shall be entitled to attend meetings of the board and who may vote in the absence of the member's director. Section 3. Directors and alternate directors shall be appointed by the council of each member. In order for LOGIS to develop data processing and management information systems which will be of maximum value to member governmental units, the members shall appoint, as their directors and alternates, their chief administrative officers and employees with general management responsibilities. Directors and alternates shall serve without compensation from LOGIS but this shall not prevent a member from providing compensation for its director or alternate director if such compensation is authorized by such unit and by law. Section 4. There shall be no voting by proxy, but all votes must be cast in person at board meetings by the director or his alternate. Section 5. Directors and alternate directors shall be appointed to serve until their successors are appointed and qualified. Section 6. When the council of a member appoints a director or an alternate director, it shall give notice of such appointment to LOGIS in writing. Such notice shall include the mailing address of the persons so appointed. The names and addresses shown on such notices may be used as the official names and addresses for the purposes of giving any notices required by this agreement or by the bylaws of LOGIS. Section 7. Any director or alternate director shall be subject to removal by the council of the member appointing him, at any time, with or without cause. 2 Section 8. A majority of the votes of the members shall constitute a quorum of the board. Section 9. A vacancy on the board shall be filled by the council of the member whose position on the board is vacant. Section 10. A director (or his alternate) shall not be eligible to vote on behalf of his governmental unit during the time that such governmental unit is in default on any contribution to LOGIS or on any contract with it. During the existence of such default, the vote or votes of such governmental unit shall not be counted as eligible votes for the purposes of this agreement. If a governmental unit remains in default for a period of more than 45 days on any billing from LOGIS, the membership of such governmental unit automatically shall be terminated. V. MEETINGS - ELECTION OF OFFICERS Section 1. Any governmental unit desiring to enter into this agreement may do so by the duly authorized execution of a copy of this agreement by its proper officers. Thereupon, the clerk or other corresponding officer of the governmental unit shall file a duly executed copy of the agreement, together with a certified copy of the authorizing resolution or other action, with the city manager of the City of Brooklyn Center. The resolution authorizing the execution of the agreement shall also designate the first director and alternate for the member. The agreement shall become effective when it has been authorized by ten (10) governmental units and when executed copies from such governmental units, together with certified copies of the authorizing resolutions, have been duly filed as set out herein. Within thirty (30) days after the effective date of this agreement, the manager of the City of Brooklyn Center shall call the first meeting of the board, which shall be held not later than fifteen (15) days thereafter. Section 2. At the first meeting of the board and in July of each even numbered year after 1972, the board shall elect from its directors a president, a vice - president and a secretary- treasurer. Section 3. At the organizational meeting, or as soon thereafter as it may reasonably be done, the board shall adopt bylaws governing its procedures including the time, place and frequency of its regular meetings. Such bylaws may be amended from time to time. Regular public meetings of the board, however, shall be held at least quarterly in the months of January, April, July and October. Section 4. Special meetings of the board may be called (a) by the president, (b) by the executive committee or (c) by the executive committee upon the written request of a majority of the directors. Five days' written notice of special meetings shall be given to the directors and alternates. Such notice shall include the agenda for the special meeting. Section 5. The specific date, time and location of regular and special meetings of the board shall be determined by the executive committee. Regular and special meetings of the board shall be held in the seven county twin city metropolitan area. 3 Section 6. Notice of regular meetings of the board shall be given to the directors and alternates by the secretary- treasurer of the board at least fifteen (15) days in advance and the agenda for such meetings shall accompany the notice. However, business at regular meetings of the board need not be limited to matters set forth in the agenda. VI. POWERS AND DUTIES OF THE BOARD Section 1. The powers and duties of the board shall include the powers set forth in this article. Section 2. It shall take such action as it deems necessary and appropriate to accomplish the general purposes of the organization including the establishment of data processing and information systems, engaging in the development and implementation of the necessary programs therefor, acquiring any necessary site, purchasing any necessary supplies, equipment and machinery, employing any necessary personnel and operating and maintaining any systems for the handling of data processing and management information for the members and for others. Any of the foregoing activities, or any other activities authorized by this agreement, may be accomplished by entering into contracts, leases or other agreements with others, whenever the board shall deem this to be advisable. Section 3. The board shall have full control and management of the affairs of LOGIS including the power to make contracts as it deems necessary to make effective any power to be exercised by LOGIS pursuant to this agreement; to provide for the prosecution and defense or other participation in actions or proceedings at law in which it may have an interest; to employ such persons as it deems necessary to accomplish its duties and powers on a full -time, part-time or consulting basis; to conduct such research and investigation as it deems necessary on any matter related to or affecting the general purposes of the organization; to acquire, hold and dispose of property both real and personal as the board deems necessary; and to contract for space, materials, supplies and personnel either with a member or with a number of members or elsewhere. Section 4. It may establish and collect membership dues. Section 5. It may establish and collect charges for its services to members and to others. Section 6. It may accept gifts, apply for and use grants or loans of money or other property from the state, or any other governmental units or organizations and may enter into agreements required in connection therewith and may hold, use and dispose of such moneys or property in accordance with the terms of the gift, grant, loan or agreement relating thereto. Section 7. It shall cause an annual independent audit of the books to be made and shall make an annual financial accounting and report in writing to the members. Its books and records shall be available for and open to examination by its members at all reasonable times. Section 8. It shall establish the annual budget for the organization as provided in this agreement. 11 Section 9. It may delegate authority to the executive committee of the board, between board meetings. Such delegation of authority shall be by resolution of the board and may be conditioned in such manner as the board may determine. Section 10. It may accumulate and maintain reasonable working capital reserves and may invest and reinvest funds not currently needed for the purposes of the organization. Such investment and reinvestment shall be in accordance with and subject to the laws applicable to the investment of village funds. Section 11. It shall make its data processing and management information systems available to its members, subject to reasonable charges for the development and processing thereof. Section 12. It may pay the reasonable and necessary expenses of officers, directors and alternates incurred in connection with their duties as such, but this shall not include the expenses of attending meetings of LOGIS within the seven county twin city metropolitan area. Section 13. It may provide for any of its employees to be members of the Public Employees Retirement Association and may make any required employer contributions to that organization and any other employer contributions which municipalities are authorized or required by law to make. Section 14. It may purchase public liability insurance and such other bonds or insurance as it may deem necessary. Section 15. It may exercise any other power necessary and incidental to the implementation of its powers and duties. VII. OFFICERS Section 1. The officers of the board shall consist of a president, a vice - president and a secretary- treasurer who shall be elected at the regular annual meeting of the board held in even numbered years after 1972. New officers shall take office at the adjournment of the annual meeting of the board at which they are elected. Section 2. A vacancy shall immediately occur in the office of any officer upon his resignation, death or upon his ceasing to be an employee of his member governmental unit. Upon vacancy occurring in any office, the executive committee shall fill such position until the next meeting of the board. Section 3. The three officers shall all be members of the executive committee. Section 4. The president shall preside at all meetings of the board and the executive committee. The vice - president shall act as president in the absence of the president. 5 Section 5. The secretary- treasurer shall be responsible for keeping a record of all of the proceedings of the board and executive committee, for custody of all funds, for the keeping of all financial records of the organization and for such other matters as shall be delegated to him by the board. Any persons may be engaged to perform such services under his supervision and direction, when authorized by the board. He shall post a fidelity bond or other insurance against loss of organization funds in an amount approved by the board, at the expense of the organization. VIII. EXECUTIVE COMMITTEE Section 1. The board shall have an executive committee consisting of three officers and two other directors, all of whom shall be elected at the annual meetings of the board held in even numbered years after 1972. Vacancies of members on the executive committee may be filled by the board of directors at any regular or special meeting. Section 2. The executive committee may adopt bylaws governing its own procedures, which shall be subject to this agreement, the bylaws of the board, and any resolutions or other directives of the board. Section 3. A quorum at a meeting of the executive committee is three (3). Section 4. The executive committee shall meet at the call of the president or upon the call of any two other members of the executive committee. The date and place of the meeting shall be fixed by the person or persons calling it. At least forty-eight (48) hours' advance written notice of such meeting shall be given to all members of the executive committee by the person or persons calling the meeting. Such notice, however, may be waived by any or all members who actually attend the meeting or who give written waiver of such notice for a specified meeting. Section 5. The executive committee shall have the following duties: (a) It shall exercise the powers and perform the duties delegated to it by the board of directors, subject to such conditions and limitations as may be imposed by the board. (b) It shall cause to be prepared a proposed annual budget each year which shall be submitted to the board of directors at least thirty (30) days before the annual meeting. (c) It shall present a full report of its activities at each regular meeting of the board. Section 6. Subject to the provisions of the approved budget it shall have the authority to appoint, fix the conditions of employment of, and remove any employees of the organization. 0 Section 7. It shall have authority to fix charges for the use of the programs and facilities of LOGIS, both as to members and nonmembers consistent with policies and guidelines established by the board. Section 8. All actions taken by the executive committee shall be subject to control by the board of directors as the board shall deem advisable. IX. FINANCIAL MATTERS Section 1. The fiscal year of LOGIS shall be the calendar year. Section 2. The annual budget of LOGIS must be adopted in the following manner: (a) annually prior to June 1 the Board will supply each member with a proposed preliminary budget; (b) annually prior to the annual meeting of the Board in July the Board will supply each member with a proposed budget adjusted for withdrawal notifications received pursuant to Article XII; (c) the annual budget must be adopted at the annual meeting of the Board in July. Promptly after adoption of the budget, the Board must mail copies of the budget to the chief administrative officer of each member. Upon adoption of the budget each member is obligated to LOGIS for the budgeted revenues and cost sharing charges fixed by the Board for the ensuing fiscal year in accordance with this Article. (Amended by Amendment No. 1, December 3, 1993.) Section 3. The board shall have authority to fix cost sharing charges for all members in an amount sufficient to provide the funds required by the budgets of the organization. It shall advise the chief administrative officer of each member, on or before September 1 of each year, of the amounts of such charges falling within Classes 1 and 2 and the rates of such charges falling within Class 3, as such classes are defined in Section 5 of this article. Section 4. Billings for all charges shall be made by the board and shall be due when rendered. Any member whose charges have not been paid within 45 days after billing shall be in default and shall not be entitled to further voting privileges nor to have its director hold any office nor to use any LOGIS facilities or programs until such time as no longer in default. In the event that such charges have not been paid within 45 days after such billing, such defaulting member shall be deemed to have given, on such 45th day, notice of withdrawal from membership. In the event of a bona fide dispute between the member and the board as to the amount which is due and payable, the member shall nevertheless make such payment in order to preserve its status as a member, but such payment may be made under protest and without prejudice to its right to dispute the amount of the charge and to pursue any legal remedies available to it. 7 Section 5. The charges of LOGIS shall be divided, for cost sharing purposes, into three classes, to -wit: (a) Class 1 Charges. These charges shall be made to cover the organization's general, administrative and operational expenses not falling within Classes 2 and 3. Class 1 charges shall be made as fixed monthly, quarterly or annual membership dues. They shall be determined annually by the board of directors. They shall not be retroactively applied to new members. (b) Class 2 Charges. These charges shall be made to cover the costs of design and development of computer programs and systems and other capital costs. The initial members of LOGIS shall pay such portion of the Class 2 charges as shall be established by the board, provided that the board shall attempt in good faith to pro rate such Class 2 charges among the members in as equitable a manner as possible, giving consideration, among other things, to anticipated use of the programs, systems and facilities of the organization. Any new members, i.e. any governmental units joining LOGIS after May 31, 1972, shall pay a pro rated share of the accumulated Class 2 charges which have been charged to or incurred by all members, as computed by the board on the same formula as for initial members as the price of membership; and such charges, when paid by such new members, shall be apportioned among the then existing members in cash or credit on unpaid or future billings in proportion to the Class 2 charges which such existing members have thus far paid or incurred. (c) Class 3 Charges. These charges shall be to cover the costs of system operation and maintenance in serving members (and others) on a "as requested" basis. The amount of such charges shall be determined by the board and such amounts shall be computed on the basis of the actual workload utilized by each member. Class 3 charges shall not be retroactively applied to new members. Section 6. Nothing contained in the foregoing Section 5 shall prevent the board from charging nonmembers for services rendered by LOGIS, on such basis as the board shall deem appropriate. For example, the board shall not be obligated to charge nonmembers, for services, only Class 3 charges. Section 7. It is anticipated that certain members may be in a position to extend special financial assistance to LOGIS in the form of grants. The board may credit any such grants against any charges which the granting member would otherwise have to pay. The board may also enter into an agreement, as a condition to any such grant, that it will credit all or a portion of such grant towards charges which have been made or in the future may be made against one or more specified members. Section 8. Board funds may be expended by the board in accordance with procedures established by law for the expenditure of funds by villages. Orders, checks, drafts and other legal instruments shall be signed by the president or vice - president and countersigned by the secretary - treasurer or such other person as shall be designated by the board. Section 9. Contracts shall be let and purchases shall be made in accordance with the legal requirements applicable to contracts and purchases by Minnesota villages. X. ADMINISTRATOR An administrator may be appointed to perform such administrative duties as shall be delegated to him by the board. XI. ASSOCIATES Section 1. It is contemplated that certain governmental units may desire to follow, closely, the activities of LOGIS, to provide input into systems design, and to receive detailed information about system characteristics and performance, for the purpose of coordinating intergovernmental relationships. Such governmental units may affiliate with LOGIS as "associates." Section 2. A governmental unit desiring to become an associate may do so in the same manner as is applicable to becoming a member, except as otherwise provided in this article. Section 3. At the time of joining LOGIS as an associate, the governmental unit shall indicate in writing that it is not joining as a member but as an associate. Section 4. An associate may appoint a director and an alternate director to the board but such director (or alternate) shall be without voting power, shall not be eligible to serve as an officer and shall not be counted for quorum purposes. Section 5. The board may establish the charges to be paid by associates and for that purpose it may classify associates in accordance with their varying circumstances. Section 6. An associate may apply for membership status and become a regular member. Section 7. An associate may discontinue its association with LOGIS at any time by giving written notice of withdrawal to the secretary- treasurer of LOGIS. Withdrawal shall not relieve such withdrawing associate from its obligation to pay any charges which the associate has incurred up to the time of withdrawal. XII. WITHDRAWAL Section 1. Any member may at any time give written notice of withdrawal from LOGIS. The nonpayment of charges as set forth herein, and the refusal or declination of any member to be bound by any obligation to the organization shall also constitute notice of withdrawal. (a) Actual withdrawal shall not take effect for a period of forty -five (45) days from the date of such notification. 9 (b) Upon effective withdrawal the member shall continue to be responsible (1) for all of its prorated share of any unpaid Class 2 obligations, (2) for its share of Class 1 charges to the effective date of withdrawal, (3) for its share of any Class 3 charges to the effective date of withdrawal and (4) for any contractual obligations it has separately incurred with LOGIS. Section 2. A member who has not given notice of withdrawal on or before June 15 of a given year is obligated for the budgeted revenues and the cost sharing charges fixed by the Board for the ensuing fiscal year in accordance with Article IX. (Added by Amendment No. 1, December 3, 1993.) Section 3. A member withdrawing from membership at a time when such withdrawal does not result in dissolution of the organization shall forfeit its claim to any assets of the organization except that it shall have access to any software developed for its use while it was a member, in accordance with and subject to the provisions of Article XIII, Section 5, Paragraph (b). XIII. DISSOLUTION Section 1. The organization shall be dissolved whenever (a) a sufficient number of members withdraws from the organization to reduce the total number of members to less than six (6), or (b) by two - thirds vote of all members of the board. Section 2. In the event of dissolution the board shall determine the measures necessary to effect the dissolution and shall provide for taking of such measures as promptly as circumstances permit and subject to the provisions of this agreement. Section 3. Upon dissolution the remaining assets of LOGIS, after payment of all obligations, shall be distributed among the then existing members in proportion to their contributions, as determined by the board, provided that computer software prepared for such members shall be available to them, subject to such reasonable rules and regulations as the board shall determine. Section 4. If, upon dissolution, there is an organizational deficit, such deficit shall be charged to and paid by the members and former members on a pro rata basis, based upon the Class 1, 2 and 3 charges incurred by such members and former members during the two years preceding the event which gave rise to the dissolution. Section 5. In the event of dissolution the following provisions shall govern the distribution of computer software owned by the organization: (a) All such software shall be an asset of the organization. (b) A member or former member may use (but may not authorize reuse by others) any software developed during its membership upon (1) paying any unpaid sums due LOGIS, (2) paying the costs of taking such software, and (3) complying with 10 reasonable rules and regulations of the board relating to the taking and use of such software. Such rules and regulations may include a reasonable time within which such software must be taken by any member or former member desiring to do so. XIV. DURATION This agreement shall continue in effect indefinitely, until terminated in accordance with its terms. IN WITNESS WHEREOF, the undersigned governmental unit has caused this agreement to be signed and delivered on its behalf. 11 IN THE PRESENCE OF: HUTCHINSON UTILITIES COMMISSION (Name of Governmental Unit) By Its By Its GENERAL MANAGER Dated: , 20 Filed in the office of the City Manager of the City of Brooklyn Center, Minnesota, this day of , 20_ 1 I 12 Advertisement for Bids for 1500 Ton Packaged Hermetic Centrifugal Liquid Chiller Hutchinson Utilities Commission Hutchinson, Minnesota Notice is hereby given that the Hutchinson Utilities Commission of the City of Hutchinson, Hutchinson, Minnesota, hereinafter referred to as the Owner, will receive sealed Bids at the Hutchinson Utilities office until 2:00 p.m. on the 23rd day of May 2007, and will publicly open and read aloud such bids on the following: "1500 Ton Packaged Hermetic Centrifugal Liquid Chiller" Proposals shall be properly endorsed and delivered in an envelope marked "1500 Ton Packaged Hermetic Centrifugal Liquid Chiller" and shall be addressed to: Hutchinson Utilities Commission of the City of Hutchinson, 225 Michigan Street SE, Hutchinson, Minnesota 55350. All proposals shall be submitted in duplicate on the Bidder's own letterhead in facsimile of the Proposal Form enclosed in the Specifications, or by utilizing the Proposal Form enclosed with the Specifications by typing the official name of the Bidder at the top of the form. Each proposal should be accompanied by a Bid Bond, made payable to the Hutchinson Utilities Commission of the City of Hutchinson, Hutchinson, Minnesota, in the amount of five per cent (5 %) of the Bid, as a guarantee that the Bidder will enter into the proposed Contract after his Bid shall have been accepted. No Bidder may withdraw his Bid or Proposal for a Period of thirty (30) days after date of opening of Bids. At the aforementioned time and place, or at such later time and Place as the Owner then may fix, the Owner will act upon Proposals received and with its sole discretion may award Contract(s) for the furnishing of said equipment. Specifications and details are available at the Office of the Hutchinson Utilities, 225 Michigan Street, Hutchinson, Minnesota 55350. The Hutchinson Utilities Commission of the City of Hutchinson, Hutchinson, Minnesota reserves the right to reject any and all bids, or bid irregularities. By LJ�O -�'_t '' Donald Walser, President Date ATTEST By Dwight Bor son, Secretary Date w I` J ti M W) N 0 O Z C O v oo0o co r C N U 47 L6 X L �U U U — m o. o U) U) til �I N N o Lo r 0 a) 4 O O u a) N cu Q Z w N w CL W L/7 Q Z = Z O >. ° m C m 0 0 fn > o c Q O W Z 0 0 LL U) N Z O� P 0 V Co o W M Lu LO LO ui .J N �F —ZC cor to d N G p ZaZ`t� 0 0 00 00 �� ///// v U) 0 U) Ln Ln U) Z2Zc°404 r (� M M c C4 = O X V 2N2n ti U) W H e- Z U vI TZ i V H Z ...; U W 1` U CL It LO U' ZrnO CO �g , 2�Wti4 CL wog, OY � � = W N W W CU W i)co NCOL IL i 0- Q U) oo0o co r C N U 47 L6 X L �U U U — m o. o U) U) til �I N N o Lo r 0 a) 4 O O u a) N cu Q Z w N w CL W L/7 Q Z = Z O >. ° m C m 0 0 fn > o c Q O O 00 00 CD o i� r° o rn N M N LC) Cfl M r a U V U U m cu W W W W L o CL t- r- o rn Cl) LO CD N M OD Cb 00 00 ti r- � ti Ln LOn LO LOO °o 0O ° °o at o CD Q 0 rn rn rn 0 0 r r 0 r 0 r f0 G ti ti ti ti N O O O O ' Z u cr m O O O 4) O O ` O a) a� c a cn Cl 0 0 M z 300 L L N CL cc Cl) O ++ O @ U L () .y V > L O O 2 N U O L O O N O X W > L L LO E Q X a) �O Z LO L L� F- Q. 'D Q a O r 0 Y LO 0 L C U t o V m E O d0 i O J o ms o o o �.. m co L I6 a O W' Q O w O w 0 w o c70 o a o c o J J 0 J .E J r r r r r N M V oo0o co r C N U 47 L6 X L �U U U — m o. o U) U) til �I N N o Lo r 0 a) 4 O O u a) N cu Q Z w N w CL W L/7 Q Z = Z O >. ° m C m 0 0 fn > o c Q N O O O Z c 0 M O M P O P ti L(j P co N (n N m xL mU � U - m as U) C/)H I 4I w N 0 N_ r Vim' N m O d ca ui � cu Z w 0 N w a w � 3 Fa- _ U) Z = z 0 0 co c m o a M > m O C7 a 12 Q CL N a) 0 0 Z 00 LL N Z U) _O N I— 0 U t- WCO) (� F- W N N W M CO Z 'F^ 5Z It C-4 V) `I-I- p ZaZr- � 0 00000 US 0NL9 4? V) Z_SZNN (� (M c') S _ S P HIt) C F- O X V= S N S( u U) W H a J s 0 0 M m m ''0^ V/ m Z to w r O U c w Cfl S `c� 0 G (� j O M O o Q M Q T- S 0 0 ` 0 N O 0 w .. �m0c.. LU N Ra M -['L-- 2 c0fl Q Q rn M O M P O P ti L(j P co N (n N m xL mU � U - m as U) C/)H I 4I w N 0 N_ r Vim' N m O d ca ui � cu Z w 0 N w a w � 3 Fa- _ U) Z = z 0 0 co c m o a M > m O C7 a 12 Q CL 0 0 0 0 0 0 N 0) t- E P ti LO M O O ate+ P 4. 0 0 0 m m m w w w 0 v O o ` c0fl rn r` c at 00 Do 00 CD CD w Q 00 00 00 0 o O LO P LO P LO P °o H O 0 O o O cr N N N a v v v O O 0 c 0 O m co a a fl ti a a) N of P O N P _ r. co o 00 00 N N Z N Z Z Q M M N co U d O ) E U) Q Q Z o m > 0 O 0 dLO V Ci c c O N < fn of (n of < I- Z6 F- F- L L L E M E E P co N o N co O 0 9 Of Q Y C 0 N C N c O N C P N P E P N M N M O M P O P ti L(j P co N (n N m xL mU � U - m as U) C/)H I 4I w N 0 N_ r Vim' N m O d ca ui � cu Z w 0 N w a w � 3 Fa- _ U) Z = z 0 0 co c m o a M > m O C7 a 12 Q CL