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08-29-2007 HUCMRegular Meeting August 29, 2007 Members present: Vice President David Wetterling; Secretary Dwight Bordson; Commissioner Craig Lenz; General Manager Michael Kumm; Attorney Marc Sebora Members absent: President Donald H. Walser; Commissioner Robert Hantge Vice President Wetterling called the meeting to order at 3:00 p.m. General Manager Kumm asked to discuss the safety management contract with Minnesota Municipal Utilities Association (MMUA) as a New Business item. The only change in the annual contract is that the fee has been increased by $400. HUC and City split the cost for the safety training. A motion was made by Commissioner Lenz, seconded by Commissioner Bordson to approve the safety management contract with MMUA. Motion was unanimously carried. Commissioner Lenz made a motion, seconded by Commissioner Bordson to move into closed session to discuss pending litigation. Motion was unanimously carried. Meeting closed at 3:05 p.m. Present at closed meeting: Vice President David Wetterling; Secretary Dwight Bordson; Commissioner Craig Lenz; General Manager Michael Kumm; Director Natural Gas Division John Webster; Recording Secretary Lin Madson; Attorney Marc Sebora; Attorney Gary Van Cleve of Larkin Hoffman Attorneys via teleconferencing. Commissioner Lenz made a motion, seconded by Commissioner Bordson to move back to open meeting. Motion was unanimously carried. The meeting was reopened at 3:15 p.m. Attorney Sebora excused himself from the rest of the meeting because of a previous commitment. The minutes of the July 25, 2007 regular meeting were reviewed. A motion was made by Commissioner Bordson, seconded by Commissioner Lenz to approve the minutes as written. Motion was unanimously carried. The July payables were discussed. A motion was made by Commissioner Bordson, seconded by Commissioner Lenz to ratify the payment of bills in the amount of $3,057,351.71. Motion was unanimously carried. The financial statements/budget year-to-date were discussed. A motion was made by Commissioner Lenz, seconded by Commissioner Bordson to approve the financial statements/budget year-to-date. Motion was unanimously carried. John Webster, Director Natural Gas Division, presented the bid tabulation for installation and retirement of natural gas distribution lines. After discussion, a motion was made by Commissioner Lenz, seconded by Commissioner Bordson to award the bid to NPL Construction Company in the amount of $84,900. Motion was unanimously carried. John Webster presented requisition #002693 for a transfer prover. This equipment tests large volume meters. After discussion, a motion was made by Commissioner Bordson, seconded by Commissioner Lenz to approve requisition #002693 for a transfer prover from Dresser Roots Meters and Instruments in the amount of $20,255.24. Motion was unanimously carried. Steve Lancaster, Director Electric Division, presented requisition #002724 for a 2000 KVA padmounted transformer. This is an inventory item which will eventually be used in the new chiller project. After discussion, a motion was made by Commissioner Lenz, seconded by Commissioner Bordson to approve requisition #002724 for a 2000 KVA padmounted transformer from RESCO in the amount of $36,371.88. Motion was unanimously carried. GM Kumm gave an overview of the MMUA annual meeting he attended. Division reports Electric – Steve Lancaster An operator has resigned – an offer of conditional employment has been extended to an applicant Gas – John Webster Installed an anode on fuel line at Ridgewater College Installed two flange kits at HTI Received a thank you card from Fire Dept. for our assistance Received 2006 Safety Award from American Public Gas Association Business – none Legal update None Unfinished Business Customer Credit Card Payments: We will study this more then draft a policy on convenience/handling fee and report back to the Commission at a later time. Big Stone II: Administrative Law Judge recommended approval; Dept. of Commerce expected to endorse it; PUC expected to make a decision in October regarding the Certificate of Need. There being no further business, a motion was made by Commissioner Lenz, seconded by Commission Bordson to adjourn the meeting at 4:32 p.m. Motion was unanimously carried. _________________________________ Dwight Bordson, Secretary ATTEST________________________________ Donald H. Walser, President Regular Meeting August 29, 2007 Members present: Vice President David Wetterling; Secretary Dwight Bordson; Commissioner Craig Lenz; General Manager Michael Kumm; Attorney Marc Sebora Members absent: President Donald H. Walser; Commissioner Robert Hantge Vice President Wetterling called the meeting to order at 3:00 p.m. General Manager Kumm asked to discuss the safety management contract with Minnesota Municipal Utilities Association (MMUA) as a New Business item. The only change in the annual contract is that the fee has been increased by $400. HUC and City split the cost for the safety training. A motion was made by Commissioner Lenz, seconded by Commissioner Bordson to approve the safety management contract with MMUA. Motion was unanimously carried. Commissioner Lenz made a motion, seconded by Commissioner Bordson to move into closed session to discuss pending litigation. Motion was unanimously carried. Meeting closed at 3:05 p.m. Present at closed meeting: Vice President David Wetterling; Secretary Dwight Bordson; Commissioner Craig Lenz; General Manager Michael Kumm; Director Natural Gas Division John Webster; Recording Secretary Lin Madson; Attorney Marc Sebora; Attorney Gary Van Cleve of Larkin Hoffman Attorneys via teleconferencing. Commissioner Lenz made a motion, seconded by Commissioner Bordson to move back to open meeting. Motion was unanimously carried. The meeting was reopened at 3:15 p.m. Attorney Sebora excused himself from the rest of the meeting because of a previous commitment. The minutes of the July 25, 2007 regular meeting were reviewed. A motion was made by Commissioner Bordson, seconded by Commissioner Lenz to approve the minutes as written. Motion was unanimously carried. The July payables were discussed. A motion was made by Commissioner Bordson, seconded by Commissioner Lenz to ratify the payment of bills in the amount of $3,057,351.71. Motion was unanimously carried. The financial statements /budget year -to -date were discussed. A motion was made by Commissioner Lenz, seconded by Commissioner Bordson to approve the financial statements /budget year -to -date. Motion was unanimously carried. John Webster, Director Natural Gas Division, presented the bid tabulation for installation and retirement of natural gas distribution lines. After discussion, a motion was made by Commissioner Lenz, seconded by Commissioner Bordson to award the bid to NPL Construction Company in the amount of $84,900. Motion was unanimously carried. John Webster presented requisition #002693 for a transfer prover. This equipment tests large volume meters. After discussion, a motion was made by Commissioner Bordson, seconded by Commissioner Lenz to approve requisition #002693 for a transfer prover from Dresser Roots Meters and Instruments in the amount of $20,255.24. Motion was unanimously carried. Steve Lancaster, Director Electric Division, presented requisition #002724 for a 2000 KVA padmounted transformer. This is an inventory item which will eventually be used in the new chiller project. After discussion, a motion was made by Commissioner Lenz, seconded by Commissioner Bordson to approve requisition #002724 for a 2000 KVA padmounted transformer from RESCO in the amount of $36,371.88. Motion was unanimously carried. GM Kumm gave an overview of the MMUA annual meeting he attended. Division reports Electric — Steve Lancaster • An operator has resigned — an offer of conditional employment has been extended to an applicant Gas — John Webster • Installed an anode on fuel line at Ridgewater College • Installed two flange kits at HTI • Received a thank you card from Fire Dept. for our assistance • Received 2006 Safety Award from American Public Gas Association Business — none Legal update None Unfinished Business Customer Credit Card Payments: We will study this more then draft a policy on convenience /handling fee and report back to the Commission at a later time. Big Stone II: Administrative Law Judge recommended approval; Dept. of Commerce expected to endorse it; PUC expected to make a decision in October regarding the Certificate of Need. There being no further business, a motion was made by Commissioner Lenz, seconded by Commission Bordson to adjourn the meeting at 4:32 p.m. Motion was unanimously carried. ATTEST E-0 Donald H. 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