Loading...
10-25-1982 HUCMRegular Meeting October 25, 1982 All Commissioners were present, also present were Mgr. Alexander, Counsel Peterson, Robert Weida and Ruth Hakel. The meeting was called to order by President Filk at 1:00 p.m. Robert Weida, representing Commercial Union Insurance Company, was welcomed to the meeting by President Filk. Mr. Weida presented a proposal for boiler and machinery insurance (breakdown coverage). The program has been endorsed by the Minnesota Municipal Utilities Association for its members. Attached to these minutes is a copy of the proposal. The annual premium for the units at generating plant #1 would be $23,544.00. Breakdown coverage for unit Yk9 would require an additional $16,591.00. Should a proposal be accepted by the Commission, a binder would be offered after an inspection had been completed of the facilities to be covered. President Filk thanked Mr. Weida for his presentation; and, at an early date, Mgr. Alexander would inform him as to the Commission's decision. The September 27, 1982 minutes were discussed. A motion was made by Commissioner Daggett, seconded by Commissioner Filk to approve the minutes. Motion was carried. A motion was made by Commissioner Daggett, seconded by Commissioner Lyke to accept the minutes of the Special Meeting of September 1, 1982 as presented. Motion was carried. The September financial reports were reviewed by the Commission. After discussion, a motion was made by Commissioner Daggett, seconded by Commissioner Lyke instructing staff to issue the fourth quarter payment to the General Fund of the City of Hutchinson in the amount of $62,500 from the electric division; also, to transfer $400,000 from current investments to restricted funds; namely, $200,000 to Reserve for Fuel Oil account and $200,000 to Future Expansion and Development. Motion was unanimously carried. At this time, Mgr. Alexander introduced Michael Bissen, employee of the Citizens Bank & Trust Company. Mr. Bissen explained Bank 24. With a card, customers would have the ability to deposit funds, withdraw funds and pay bills. At present the Hutchinson Telephone Company and Cable TV Company are using this service. President Filk asked that management be presented a letter stating full operation and charges. The September electric and gas payables were then considered. A motion was made by Commissioner Daggett, seconded by Commissioner Lyke to accept the electric and gas division payables for September, 1982. Motion was carried. The electric and gas budgets for the nine month period were given to the Commissioners with commentaries by Mgr. Alexander. Both entities show lesser actual income than projected and expenditures lower than projected. President Filk commended manager and staff on preparation of the budget. Ivan Larson was asked to give a gas study report. He indicated that with the current rate of return the gas division should show a 6.5% net for the year end. He personally did not feel an increase necessary at the present time. A discussion followed regarding the fuel and power adjustment. President Filk requested staff to present several options for the November meeting regarding the implementation of the adjustments; also, requested Counsel Peterson to determine if services and policies, etc. should be considered a part or portion of rate structure. Mgr. Alexander presented an "Application for Utility Service" and recommended all new customers complete this form. Mgr. Alexander reported David Schmidt would soon have drawings completed for the Northern States Power Company "tie." A meeting will be held with Associated Consultants, United Power Association and Northern States Power Company in the near future. The following are September payables: 1 r r NATIONAL SECURITY INSURANCE UNDERWRITERS IP.O. Box 979 • Phone: (612) 693 -7876 • Litchfield, Minnesota 55355 Property & Casualty Division October 22, 1982 Hutchinson Utilities Commission 225 Michigan Street Hutchinson, Minnesota 55350 RE: Boiler and Machinery Insurance Proposal Thru the Minnesota Municipal Utilities Association Dear Sirs: We are pleased to offer our program based on the information in the application and written thru Commercial Union Insurance Company. This program has been endorsed with the Minnesota Municipal Utilities Association for its members. Following are the details of the property damage coverages: A limit per accident of 10 million dollars. Repair or replacement coverage is included, except on objects 30 years of age or older. Perils exclusion endorsement is included. Blanket coverage on: Broad coverage on steam boilers and hot water boilers Air tanks and condensers Electric motors - 75 HP and over .Internal combustion engines and driven electric generators 2,000 HP anci over Deep well pump units - 25 HP and over Specific coverages on: Steam turbine generator unit - 5,500 KW - breakdown coverage Gas turbine generator unit - 8,500 KW - breakdown coverage Deductibles: Power boilers - PSI of 301 to 600 - $50,000 Steam turbine generator unit - 5,500 KW - $25,000 Gas turbine generator unit - 8,500 KW - $100,000 Internal combustion engines and driven electric generators: 2000 - 3000 HP $15,000 3001 - 5000 HP $25,000 5001 - 6000 HP $30,000 6001 - 7500 HP $35,000 All other objects - $5,000 I'he annual premium amount for the above lisLed boiler and machinery coveray:e.s would be $23,544.00. All Fornis of 111"maucc " Hutchinson Utilitie.- Comniission October 22, 1982 Page 2 Following are several options in this boiler and machinery insurance program that you may like to consider and include in the previously listed coverage: To include expediting expense to $25,000 on all above objects an additional annual premium charge of $942.00 would be required. To add blanket coverage on MEA (miscellaneous electrical apparatus) and transformers with deductibles as listed below, the annual premium would be $2,826.00. MEA - $15,000 Transformers: 500 - 10,000 KVA $5,000 10,001 - 30,000 KVA $10,000 To add expediting expense to a limit of $25,000 on MEA and transformers the annual premium charge of $144.00 would be necessary. To increase the limit per accident to read $15 million an additional premium amount of $6,250.00 would be charged annually. Also, please be advised that no coverage may be bound until all rebuilding work on the boiler and turbine generator equipment is completed. Also note that a resurvey is necessary prior to binding. I look forward to a long association with you and your utility_ Respectfully submitted, V-21 .. Robert C. Weida, Agent National Security Insurance Underwriters Property and Casualty Division RCW /lln I would like to express my thanks for the opportunity of utility with this boiler and machinery insurance quote. presenting your Gentlemen, should you have any questions on this quotation or if we can be of any further service to you, please don't hesitate contacting our Agency. We would be glad to assist you in any way we can and welcome the opportunity to serve you with your insurance needs. I look forward to a long association with you and your utility_ Respectfully submitted, V-21 .. Robert C. Weida, Agent National Security Insurance Underwriters Property and Casualty Division RCW /lln 1 1 1 SEPTEMBER PAYABLES - ELECTRIC American Payment Center Pauline Bipes Citizens Bank & Trust Colonial Life Four Seasons Service Hutch Util. - UB Natural Gas Division Richard Peterson Margie Robinson Continental Assurance Continental Assurance New York Life Insurance Joe Fahey, Jr. Petty Cash Barbara Raiber Mary L. Krsian Mary Tenney Terry Stille Neil Curit Randy Baumgarten Dale Penaz ICMA Corporation Putnam Fund Dist. Citizens Bank & Trust State Treasurer American Public Power Border States Supply Cooper Energy Services Electronic Center Floor Care Supply H & C Electric Hydraulic Jack & Equip. I.B.M. Corp. Instrulab, Inc. Petersen - Wisdorf Inc. Plowman's Inc. Texgas Corp. W E S C 0 Zee Medical Services Zins Machining Petty Cash Book Distribution Center Border States Supply Dover Corporation Electro Switch Corp. I.B.M. Corp. Lystad's Ren t Meter reading Deposit to Bond Payment acct. Accident insurance withheld Cup inserts Employee utility bills withheld Due to Natural Gas Division Accounts Receivable Legal retainer Meter reading Life insurance Life insurance Medical insurance Refund - overpayment Meter refunds & interest Meter refund & interest Deferred comp withheld Deferred comp withheld Federal tax withheld PERA withheld & expense Dues Inventory Engine maint. #7 Mdse. Plant supplies Inventory Tools Maint. service Engine maint. #9 Inventory Truck maint. Gas Inventory First aid supplies Misc. distribution Postage Misc. Inventory Engine maint. #7 Switch gear Lease Misc. 45.00 315.00 55,452.08 143.00 33.40 1,070.00 245,128.13 400.00 315.00 51.70 226.00 8,034.08 79.99 451.55 2.35 10.07 4.04 8.15 .76 .56 16.32 250.00 272.00 4,863.93 3,992.37 2,151.34 921.28 796.32 8.94 8.00 113.29 7.50 447.00 6,020.50 76.38 72.20 14.79 18.83 61.65 17.00 721.95 25.32 416.54 874.50 551.14 402.00 7.50 Mankato Business Prod. Petersen - Wisdorf Inc. Vincent Brass & Alum. Eugene Buboltz R. H. Alexander Doreen Vlcek Ronald Shun Dawn Schlueter Halverson Renee Saff ert Koglin Clifford Rasmussen Steven W. Quast Arlene Peterson The Pet Hutch Maurice's Inc. #334 Mark LeVasseur RoxAnn S. Lauer Dan Johnson Mark Greenwood Godfather's Pizza Clarence Freitag Howard Brandon Patricia Bouta Charles Boettcher Jr. Steve B luhm Paul Behrens Black & Decker Minnesota Municipal Utilities Assn. Central Petroleum PFC Equipment State Treasurer State Treasurer Commissioner of Revenue Citizens Bank & Trust Putnam Fund Dist. ICMA Retirement Corp. McLeod County Sheriff Erickson Oil Minnesota Municipal Utilities Assn. Petty Cash W.D. Enterprises Ditch Witch Amoco Oil Company Anderson Chemical Co. Apollo Piping Supply Border States Supply A. L. Crump & Company Office supplies Distribution Engine maint. #7 Refund - overpayment on utility bill Meeting expense Meter refund & interest Plant supplies Special assessment Oil, mdse. Engine inventory #8 PERA withheld & expense FICA withheld & expense State tax withheld Federal tax withheld Deferred comp withheld Deferred comp withheld Collection expense Gas Meeting expense Misc. expense Power operated equip. maint. Power operated equip. maint. Gasoline Chemical inventory Plant supplies, maint. water system Inventory Engine inventory #8 17.44 63.80 116.17 185.02 21.00 42.40 42.60 42.40 22.40 21.20 42.60 42.60 106.00 106.00 42.60 21.20 36.35 21.30 106.00 16.48 42.40 21.20 21.20 42.60 42.40 1.47 1,200.00 311.18 24.08 3,970.73 7,067.26 4,838.63 4,973.87 272.00 250.00 10.00 126.39 160.00 121.54 121.29 186.91 30.50 43.14 22.36 4,364.00 68.80 1 1 1 Ed Davis Business Office supplies 11.30 John Fluke Mfg. Line maint. 82.00 General Electric Supply Meter maint. 149.20 Graybar Electric Distribution inventory, bldg. 31197.62 maint. H & C Electric Mdse., distribution inventory 726.73 Hutchinson Telephone Co. Telephone 19200.55 Hutch Util Employee Fund Employee fund withheld 74.00 I B E W Local 949 Union dues withheld 467.60 Image Materials Inc. Office supplies 29.51 Instrument Controls Meter maint. 60.82 Kemske Paper Co. Office supplies 5.55 Lystads Bldg. maint. 3.65 Paper Service Company Plant supplies 119.06 Petersen - Wisdorf Inc. Distribution inventory 180.00 Petty Cash Meter deposit & interest, 544.67 office supplies, plant supplies, misc. Sterling Electric Mdse., plant supplies 89.13 Tippecanoe Press Office supplies 313.68 Vincent Brass & Alum. Engine maint. #7 90.84 Zep Mfg. Company Plant supplies 14.00 Mark Christensen Meter refund & interest 42.40 Esterline Angus Laboratory equip. 5,762.72 Eugene Rannow Overpayment on house move 74.62 Sterling Electric Distribution inventory 679.14 Border States Supply Distribution inventory, 112.83 underground main H & C Electric Distribution inventory, mdse. (600.59) (credit) United Power Assn. Purchased power, bldg. maint. 409,845.63 Standard Equip. Repair probeye infrared 540.38 viewer Albrecht Oil Gasoline 54.94 Allen Office Products Office supplies 25.45 American Linen Supply Laundry 49.64 American Welding Supplies Plant supplies 16.63 Associated Consultants Engineering fees 52142.77 Central MN Communications Radio repair 24.00 City of Hutchinson Water & sewer bill 179.50 Coast -to -Coast Plant supplies, truck maint. 44.93 Commissioner of Revenue Sales tax 13,921.09 Cooper Energy Services Engine inventory #7 217.78 Crow River Press Office supplies 219.20 Culligan Water Cond. Plant supplies 47.25 Dover Corporation Engine maint. #7 1,160.46 The Drawing Board Office supplies 15.12 Ericksons Gasoline 82.28 Fabricare Cleaners Laundry 204.00 Fairway Construction Maint. underground 50.60 Family Rexall Drug Office supplies 60.40 Farm & Home Dist. Mdse., plant supplies 50.14 Forbes Auto Store Truck maint. 61.29 Four Seasons Services Cup inserts 33.40 Gambles Bldg. maint. 182.16 General Electric Co. Engine maint. #8 11386.70 General Trading Co. Plant supplies, mdse, truck 296.22 maint. Graybar Electric Bldg. maint. 11.55 Home Bakery Cookies 229.50 Hutchinson Co -op Misc. expense 35.75 Hutchinson Plumbing Bldg. maint. 19.70 Hutch Utilities - UB 19,621.65 Engines 17,352.00 Labor 1,459.00 Building Lights & Gas 810.65 Hutch Wholesale Bldg. maint., plant supplies, 148.55 truck maint. Ink Spots Inc. Office supplies 107.00 Jahnke's Red Owl Coffee 191.32 Junker Sanitation Refuse service 80.00 Leef Bros. Laundry 72.02 Mankato Business Prod. Office supplies 49.79 Moorhead Machinery Maint. engine #8 11451.90 Northland Material Hand. Truck maint. 104.93 Oakite Products Plant supplies 123.00 Olsen Chain & Cable Underground maint. 65.00 Plaza OK Hardware Plant supplies, misc. expense 26.39 Price Electric Bldg. maint., engine maint. #9 410.14 Rockite Silo Distribution maint. 6.60 Scientific Columbus Engine maint. #9 462.40 Share Corporation Distribution maint. 100.53 Simonson Lumber Plant supplies 67.74 Sorenson Farm Supply Bldg. maint. 16.44 Texgas Corp. Gas 65.24 Thorsen, Campbell, Audit 3,700.00 Rolando & Lehne Warner Industrial Supply Office supplies 98.05' Welders Supply Plant supplies 72.58 September Payables - Gas Colonial Life First National Bank First State Federal Hutch Utilities - UB Putnam Fund Dist. Accident insurance withheld 24.50 Deposit to Contribution 20,900.00 account Deposit to Contract for Deed 500.00 account Employees utility bills withheld 422.00 Deferred comp withheld 150.00 Rolando & Lehne Citizens Bank & Trust Federal tax withheld 1,072.96 State Treasurer PERA withheld & expense 864.16 City of Hutchinson Quarterly contribution 62,500.00 Minvalco Inc. Inventory 47.73 Mueller Company Inventory 581.28 Texgas Corp. Gas 20.05 City of Hutchinson Blacktop mix - mains 57.75 Central Petroleum Oil 119.83 State Treasurer PERA withheld & expense 870.67 State Treasurer FICA withheld & expense 1,320.26 Commissioner of Revenue State tax withheld 1,025.82 Citizens Bank & Trust Federal tax withheld 1,082.04 Putnam Fund Dist. Deferred comp withheld 150.00 Orville Kuiken Meeting expense 154.23 American Meter Division Meter inventory 61.64 Apollo Piping Supply Inventory 71.18 Border States Supply Misc. expense 37.85 Don Hall Company Mdse. 35.45 Energy Economics Meter maint. 904.30 Hutch Util. Employee Fund Employees fund withheld 16.00 I B E W Local 949 Union dues withheld 96.00 Jungclaus Implement Power operated equip. maint. 64.47 Minvalco Inventory 49.95 Mueller Company Inventory 364.34 Northern States Supply Misc. expense 14.58 Petty Cash Meeting expense, misc. 20.18 Albrecht Oil Gasoline 27.46 American Welding Supplies Misc. 44.00 Circle -Hutch Utility Purchased gas 168,150.64 Energy Economics Meter maint. 949.74 Erickson Oil Gasoline 41.14 G T C Auto Parts Truck maint. 46.64 Hoffman Plumbing Meter expense 17.44 Hutch Utilities - UB Interdepartmental labor, 21629.21 gasoline, truck maint. Hutch Wholesale Truck & power operated equip. 132.72 maint. Krasen Plumbing Meter expense 3.63 McLeod Co -op Power Assn. Electric usage - Peak Shaving 51.50 Plant Plaza OK Hardware Meter expense, misc. truck 23.86 maint. Rockite Silo Meter maint. 8.75 Standard Equip. Maint. probeye infrared 540.38 viewer Texgas Corp. Gas 120.05 Thorsen, Campbell, General audit 2,700.00 Rolando & Lehne Hutch Utilities Due to Municipal Electric 11,602.61 Plant for September expenses There being no further business, a motion was made by Commissioner Lyke, seconded by Commissioner Daggett to adjourn the meeting at 5:05 p.m. ATTEST H. W. Filk, President Thomas B. Lyke, Secretary 1 I