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03-23-1976 HUCM14101 Special Meeting March 27, 1976 All Commissioners were present; also Don. Swanson of Associated Consultants, and Ivan Larson. President Qua?e called the m-eting to order at 10 a.m. Discussion too'- place on the non - acceptance of Dale Frank as Manager of the Hutchinson Utilities. Don Swanson was instructed to explore, through various are yes, for a new manager. Don Swanson presented a study on rate comparisons for the Gas and Electric divisions. Detailed discussion took place on every aspect of the situation. On a motion by Commiss_oner Filk, seconded by Com- lissioner Tracy, and carried, instructions were given to Associated Consultants to proceed to prepare a new rate schedule using a 6`i increase, except a 10% increase for Large Gas Industrial. The motion was made by Commissioner Tracy, seconded by Commissioner Filk, and carried, instructing Associated Consultants to prepare specifications for the construction of a Roadway, Dice, and Other Site Work for the Municipal Electric Utility, bids to be opened at 2:00 p.m. on April ?0, 1976. There being no further business, the meeting adjourned at 12:15 p.m. :)n—Tracy, Secretary ATTEST H. P. Quade, President Special Meeting March 30, 1976 All Commissioners were present; also Orville Kuiken and Ivan Larson of the Utilities, Dale Birkeland and Brian Buchmayer of the Hutchinson Public School System. President Quade called the meeting tr order at 10:70 a.m. The meeting was called to discuss interest in purchasing the garage and was by the School System, which is renting the property at present. On a motion by Commissioner Filk, seconded by Commissioner Tracy, and carried, the Garage and Warehouse were offered to the Hutchinson Public School System for $140,000.00, this being $10,000.00 below the quoted price because of the offering being made to an inter - governmental agency. The meeting adjourned at 11:40 a.m. C'finton Tracy, ecretary ATTEST H. P. Quade, President I I L� Council gets verbal reply to letter to commission When some members of Hutchinson City Council attended a Monday meeting of Hutchinson Utilities Commission to discuss dike work, they received a verbal answer to a letter. The council members were told there had been five WK continued from page 1 outage. Investigations, into the fire and its cause began Jan. 10 and continued for days after, said Rufus Alexander, Utilities general manager, with local personnel aided by outside firms. Engineers from three firms on the scene soon after the fire, he said, were from Associated Consultants of Minneapolis, the commission's consulting engineer firm .which specializes in utility work; from Harold Scholz Company d, Omaha, Neb., and from United Power Association (UPA) of Elk River.. The telephone consultations were with General Electric, manufacturer of the equipment destroyed. "They have no answers as to why the breakers wouldn't open or why an insulator would give way," said Alexander. After three Utilities employees were injured Friday, Feb. 2, an inspector from Occupational Safety and Health' Act (OSHA) stationed at Montevideo investigated that incident and utilities equipment, said Alexander. And there has been an investigation by the State of Minnesota, Department of Education, Vocational - Technical Division, he said. Commission members pointed out to the city officials that General Electric had made a routine Inspection of all equipment in both switch gear buildings seven months prior to the fire and reported it in satisfactory workinic condition. investigations, as well as telephone consultations, following the Jan. 10 fire in the commission's switch gear building south of the downtown power plant. The council, during a special meeting Monday morning, Jan. 29, had approved sending a letter . to the commission suggesting that an outside engineering firm be retained to investigate the problems in the switch gear building that caused the January power See LETTER Page 2A "All the malfunctions have Alexander told The Leader been mechanical," said that in the various meetings of Alexander, "none of it has been local and outside engineers, a because of human error." determination of what type of During the meeting, replacement' equipment was commission members said the rgached and a design last time Hutchinson had a total formulated for installation. blackout was in 1957 or 1958 Equipment which was being when an insulator went out and manufactured for a municipal the power was off for four plant at Blair, Neb., was hours, released by Blair officials for And the commission had installation in Hutchinson by compiled a list of other outage the Scholz firm of Omaha. occurrences in parts of Alexander received word Hutchinson. In 1972 there was Tuesday that the first of the an hour outage, 1973 a 45- minute equipment is to arrive in outage, 1976 a 48- minute outage, Hutchinson Feb. 27. That will be 1977 a twb -hour, one - minute the cubicles to go into the fire. outage and in 1978 a two-hour, damaged switch gear building, 23- minute outage. which Is now being repaired. Alexander explained to The Breakers, or large switches, Hutchinson Leader that an which fit into the cubicles are to outage, in utility terms, is an arrive in Hutchinson no later uncontrollable loss of power, than March 1. such as the loss of a line or a "We'll be about a week doing feeder in all or part of a the wiring and getting ready community. and now we're looking to a There are planned outages, he March 4 hook -up, and the said, which occur when chances are very good that we equipment is shut down for can make the changeover maintenance work and affected without a blackout. The decision recipients are notified _. in on that will be made in the advance. coming week." "The reliability of utility Alexander added that rumors service in Hutchinson remains circulating in the community high,!' said Alexander, that the equipment here is not The coca's latter to the ,'. adequate to serve the dated Feb, 12, co mmunity and is beincommission, commission, also said, "There have been overworked are not true. questions from industry He said that with the fite- concerning reliability of damaged equipment having electrical power service and temporary replacements and the Curtiss- Wright turbine indications of apprehension 'among homeowners about rate down, the stag unit and three increases to cover damages." diesels in the downtown plant Alexander said if there were are producing enough power for to =_ be any rate increase for ' the community. "And we've a electricity in Hutchinson it fourth diesel on standby, ready would not be caused by the fire to start. We're buying some damages because of insurance power (from UPA), but mainly coverage the commission has, at a time it is cheaper than we The last rate increase was in can produce It. June 1976, he said. 9.0; "When everything is working, we have a generating capacity of 00.7 megawatts, designed to serve the community and its growth for the next 10 years. At our most recent peak hour, the demand was 28 megawatts so we're not up to half the generating capacity we have," said Alexander. The council's letter also expressed the city's "appreciation to the many concerned people who made great efforts during the recent power outages to extinguish the fire and restore electrical service under conditions of extreme cold." The dike work the council and commission members discussed Monday is being considered between the downtown plant and the South Fork of the Crow River "to give more stability to our operation there," said Alexander. (612) 879 -2311 CITY OF HUTCHINSON 37 WASHINGTON AVENUE WEST HUTCHINSON, MINN. 55350 February 12, 1979 Hutchinson Utilities Commission 225 Michigan Street Hutchinson, Minnesota 55350 Dear Commissioners: We wish to express again the City's appreciation to the many concerned people who made great efforts during the recent power outages to extinguish the fire and restore electrical service under conditions of extreme cold. Many accounts or rumors have been circulating regarding the cause of the crisis, its handling, and the extent of damage to facilities. There have been questions from industry concerning reliability of electrical power service and indications of apprehension among home - owners about rate in- creases to cover damages. We feel that public confidence and, conceivably, optimum economic health for our community may be best served through an investigation of the recent problems, con- ducted by qualified outside personnel. The investigation would rightly cover the design of the system, maintenance of'equipment, contingency planning, and per- formance during crisis, as these pertain to the recent events and potential fu- ture problems. This is an unusual step, but it is in response to serious and unusual events. Therefore, we recommend that the Hutchinson Utility Commission initiate such an investigation while events are fresh. Respectfully, CITY OF HUTCHINSON Pyor DBla ck DJB:ms