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05-24-1993 HUCM�s Regular Meeting May 24, 1993 All Commissioners were present; also present were Mgr. Kadrmas and Counsel Prochnow. President Lyke called the meeting to order at 1:00 p.m. The minutes of April 26, 1993 regular meeting were reviewed. A motion was made by Commissioner Cornell, seconded by Commissioner Beatty to approve the minutes as written. Motion was unanimously carried. The April payables were discussed. A motion was made by Commissioner Beatty, seconded by Commissioner Cornell to accept the April payables in the amount of $1,268,795.13 (detailed listing in payables book). Motion was unanimously carried. Paul Harvego of Fawcett, Young and Associates was welcomed to the meeting. He reviewed the audit for year ended December 31, 1992. Dave Maroney of Ehlers and Associates, Inc. was welcomed to the meeting. Mr. Maroney discussed planned Hutchinson Utilities bond issue. Counsel Prochnow presented a resolution relating to electric power cost adjustment (copy attached). After discussion, a motion was made by Commissioner Beatty, seconded by Commissioner Cornell to adopt the electric power cost adjustment resolution. Motion was unanimously carried. The 1993 year -to -date (thru April) financial and budget reports were reviewed. A motion was made by Commissioner Beatty, seconded by Commissioner Cornell to accept the financial and budget reports. Motion was unanimously carried. Mgr. Kadrmas presented a request for bids for City street lights. After discussion, a motion was made by Commissioner Beatty, seconded by Commissioner Gilmer to advertise for bids and to open the bids on June 16, 1993. Motion was unanimously carried. Manager's Report: 1. Update on unit #1 (new generating unit). �60 Old Business: Counsel Prochnow informed the Commission that Harvey Kemper's employment was terminated on May 18, 1993. Counsel Prochnow updated the Commission on the service territory issue. New Business: Hutchinson Jaycee's requested a water carnival contribution for advertising. After discussion, a motion was made by Commissioner Beatty, seconded by Commissioner Gilmer to contribute to water carnival advertising the amount of $300. Motion was unanimously carried. There being no further business, a motion was made by Commissioner Beatty, seconded by Commissioner Gilmer to adjourn the meeting at 3:05 p.m. Motion was unanimously carried. Douglas . Ward, Secretary r r .1 i ATTEST r �° Thomas B. Lyke, President Adopted this 24th day of May, 1993. -n ZD;u occnm RESOLUTION 148 CD m cr m CD c C o HUTCHINSON UTILITIES COMMISSION o c m cn ch RESOLUTION RELATING TO POWER COST o o ADJUSTMENT (ELECTRIC) cn m o' C'=3o BE IT RESOLVED by the Hutchinson Utilities Commission ocno o ° (the "Commission ") as follows: 3 o 1. Recitals: Q (a) The Commission last amended the power cost N -� a d u stmwc4 -At (alCvtr <<-) .or August 291 1988. O:0 56 (b) The Commission is currently calling for a bond to finance the GE LM 6000 gas turbine project in the approximate amount of $14,000,000.00. (c) That commencing May 1, 1996 the Hutchinson Utilities will no longer be responsible to UPA for pass through demand charges from the Coal Creek Unit. It will be beneficial to the bond rating of the Hutchinson Utilities. 2. Official Intent Declaration: Based upon the foregoing recitals, the power cost adjustment (electric) shall be and is hereby amended as follows, effective May 1, 1996: Power Cost Adjustment is based on the combined costs of fuel, lubricants, payroll adjustment, transmission maintenance,* purchased power from outside suppliers and maintenance of generating units ** used in the Hutchinson electrical generating stations. If the above combined costs have increased or decreased, each monthly electrical bill shall be increased or decreased from the base of $.0295 per rrLl for each $.00010 per KWH. Computations of power adjustment shall be made monthly. The resultant adjustment, if any, shall be applicable for the month. *Maintenance is defined as the average monthly cost for the previous six months. * *Maintenance is defined as the average monthly cost for the previous half year that exceeds $14,000 per month. Adopted this 24th day of May, 1993. ADVERTISEMENT FOR BIDS FOR CITY STREET LIGHTS HUTCHINSON UTILITIES COMMISSION HUTCHINSON, MINNESOTA Notice is hereby given that the Hutchinson Utilities Commission of the City of Hutchinson, Minnesota, hereinafter referred to as the Owner, will receive sealed Bids at the Hutchinson Utilities office until 10:00 a.m. on the 16th day of June, 1993, and will publicly open and read aloud such Bids on the following work and equipment: "CITY STREET LIGHTS" Proposals shall be properly endorsed and delivered in an envelope marked, "CITY STREET LIGHTS" and shall be addressed to: Hutchinson Utilities Commission of the City of Hutchinson, 225 Michigan Street, 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 shall be accompanied by a Bid Bond, made payable to the Hutchinson Utilities Commission of the City of Hutchinson, Minnesota, in the amount of five percent (5%) of the Bid, as a guarantee that the Bidder will enter into the proposed Contract and provide a Performance Bond after his Bid shall have been accepted. The successful Bidder shall furnish a Performance Bond in an amount equal to one hundred percent (100 %) of the Contract price to the Owner prior to the approval of the Contract. 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. The work shall be started within ten (10) days after award of Contract(s). Specifications and Plans are available at the Office of the Hutchinson Utilities, 225 Michigan Street, Hutchinson, Minnesota 55350. The Hutchinson Utilities Commission of the City of Hutchinson, Minnesota, reserves the right to reject any and all bids. By Dat ATTEST By Secre ary Date .5, 2 T 13