Electric rate increase after July 1

One block of Third Avenue sewer main recording shows need for replacement

 

 

New ML city council 1
THE MOUNTAIN LAKE City Council. Seated front, from left, Council Member Dana Kass, Mayor Mike Nelson and Council Member Darla Kruser. Standing back, Council Member Andrew Ysker, left and Council Member David Savage, right.

 

 

The Mountain Lake City Council returned to an electric rate study completed for the city, and the reports’s increase recommendations at its Monday, May 16 meeting.

The city’s governing body had spent a great deal of time discussing the study and its recommendations at a Monday, May 2 meeting before tabling a decision until the Council’s next meeting. The intervening time allowed for staff to provide members with information on proposed rate increases for water, sewer and electric for the next three years.

The electric rate study was completed by Tim Miller, a manager for financial analysis and rates for Missouri River Energy Services (MRES). The detailed review reported on energy forecasts, sources, consumption and costs, utility revenue and expenses and reserves. At the current electric rate, reserves will decrease by 50% from 2015 to 2019.

The recommendation by MRES is an increase to the monthly base charge, eliminate the discount now given to city/utility facilities and street lighting, establishment of a rural commercial class, commercial and large commercial classes and elimination of the industrial class.

In addition, the study recommends an overall increase of 4% for the remainder of 2016, and a 4.5% increase for each year from 2017 to 2019, with some classes seeing a larger increase, and some a reduction.

Presented to the Council at the May 16 meeting was a sample Utility bill – 700 kilowatts electricity, 4,000 gallons of water and sewer – for the second half of 2016 and 2017-2019. Those rates were reviewed by the members.

Also discussed were transmission costs, solar installations and the reasons for the base rate increase.

Mountain Lake resident Emily Bentson asked questions and offered suggestions about electric rates, the Utilities’ Conservation Improvement Plan program and communications with customers.

The Utility Commission is recommending that the discount for primary metering be removed.

Eventually the Council approved the rate change, along with the removal of the discount for primary metering.

The rate change will take effect for energy used after July 1, 2016.

After that time:

+ Residential rate will be $7 a month with an energy charge of $0.0990 per kilowatt hour (KWH).

+ Rural residential rate will be $9 a month with an energy charge of $0.1o60 per KWH.

+ Commercial rate of $12 a month and an energy charge of $0.0140 per KWH.

+ Large commercial and large rural commercial rates of $40 a month with an energy charge of $0.0680 per KWH and a demand charge of $7 per kilowatt.

Block of Third Avenue sewer main recorded

Council members viewed a recording of the Third Avenue sewer main from Seventh Street-to-Eighth Street. The recording was made on May 11, 2016, the day following heavy rainfall in the city.

It was discovered that the majority of private lines have clean water entering the main. These lines had been televised/inspected in 2015, and will need to be replaced by October 1, 2016.

In other business

+ Learned that Hometown Sanitation Services of Windom had collected 43.47 tons of refuse during the Saturday, May 7 city-wide clean-up, at a rate of $125 a ton. In addition, Cottonwood County collected 20 mattresses or box springs for recycling.

+ Approved the resignation of Dennis Siebert from the Mountain Lake Ambulance Service, effective May 9. He had served for 24 years.

+ Approved Fire Contracts with the townships of Mountain Lake, Midway, Selma and Lakeside at $155 a section for each.

+ Approved Ambulance Contracts with the townships of Mountain Lake, Delton, Carson, Midway, Selma and Lakeside at a charge of $3 per capita for each.

+ Approved the request by The Laker Bar & Grill for a street closure of Second Avenue from 10th Street west to the alley during Pow Wow Monday, June 20, from late afternoon to closing.

+ Reviewed and accepted the 2015 Auditor’s Report, Financial Analysis and Findings by Dennis Oberloh of Dennis Oberloh Ltd. Additional attention was given to the General Fund and Utility Funds balances. Both the city and utility are in good financial shape.

+ Discussed the Cottonwood County Landfill rules and regulations

+ Reviewed a second reading of an ordinance amending Mountain Lake City Code regarding residential front yard encroachments

+ Reviewed and adopted the final reading of an ordinance amending city code in regards to foundations, exterior walls and exterior roofs so that foundation walls are free of volunteer trees, shrubbery and other plants growing wedged between the basement or foundation wall and the surrounding soil.

+ Reviewed and adopted the final reading of an ordinance amending city code regarding public nuisances of noxious weeds and other rank growth – adding trees, shrubbery, flower beds and garden areas not reasonably maintained – on private and public properties.

+ Reviewed and adopted the final reading of an ordinance amending city code concerning the cutting and removal of grass, weeds and other rank poisonous or harmful vegetation, adding unmaintained garden areas and flower beds.

+ Reviewed the second reading of an amendment to city code in regards to telecommunications towers. The amendment declares that the term tower shall not include amateur radio operators’ equipment, as licensed by the Federal Communications Commission (FCC).

+ Noted that the Capital Improvement Plan (CIP) meeting date has been scheduled for 3 p.m. on Thursday, June 16. Each department head will have 15 minutes to present their department’s equipment and other capital needs to the Council.

+ Closed and reopened the meeting twice per attorney/client privilege. The first closed meeting discussed pending litigation in Kuechle vs. City of Mountain Lake, with Shelley Ryan, attorney witih Hof, Barry and Kozar, P A.

+ The Council meeting was also closed to discuss pending litigation in Kenneth and Rachel Yoder vs. City of Mountain Lake, with Mountain Lake City Attorney Maryellen Suhrhoff

City of Mountain Lake Meeting Dates

+ Mountain Lake City Council meets the first and third Mondays of every month at 6:30 p.m.

+ Utilities Commission meets the second and fourth Thursdays of every month at 7 a.m.

+ Economic Development Authority (EDA) meets the second Friday of every month at 12 noon.

+ Lake Commission meets the second Monday of every month at 6:30 p.m.

+ Library Board meets the second Wednesday of every month at 4:45 p.m.

+ Police Commission meets the second Thursday of every month at 7 p.m.

+ Planning and Zoning meets the last Monday of the month, if needed.

+ Tree Commission meets quarterly – January, April, July and October – at 7:45 p.m.

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