RPU BOARD MEETING MINUTES
Members Present: Mr. Toulouse, Mr. Landwehr, * Mr. Bourgeois, and Mr. Utz
Absent: Mr. Hunziker, Mr. Koshire
Also Present: Mr. Goslee, Deputy City Attorney
Board President Landwehr called the meeting to order at
1. Mr. Utz moved to approve the minutes of the
2. Mr. Toulouse moved to approve the accounts payable report, seconded by Mr. Utz. All voting "AYE"
3a & b. Mr. Landwehr moved to approve en bloc resolutions for the boom and body and cab and chassis for an aerial bucket truck, seconded by Mr. Toulouse. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, to approve a purchase order agreement with DUECO Inc. for
One Terex-Telelect Hi-Ranger OM 57/83 aerial device and
1 Fibre Body Tandem Special Fiberglass Body and Installation
The amount of the purchase order agreement to be ONE HUNDRED SIXTY-ONE THOUSAND TWO HUNDRED FORTY-FIVE AND 00/100 DOLLARS ($161,245) plus sales tax, with DUECO Inc. being lowest responsible bidder.
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota to approve a purchase order agreement with Boyer Trucks for
One –
The amount of the purchase order agreement to be SIXTY-EIGHT THOUSAND TWO HUNDRED FIFTY-NINE AND 00/100 DOLLARS ($68,259.00) plus sales tax, with Boyer Trucks being lowest responsible bidder.
3c. Mr. Utz moved to approve a purchase order with Twin Cities Mack and Volvo Trucks for a truck cab and chassis, seconded by Mr. Toulouse. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, to approve a purchase order agreement with Twin Cities Mack and Volvo Trucks, or its local subsidiary for
One – Mack Model CV713 Truck Cab & Chassis
The amount of the purchase order agreement to be FIFTY-NINE THOUSAND EIGHT HUNDRED ELEVEN AND 00/100 DOLLARS ($59,811.00) plus sales tax, with Twin Cities Mack and Volvo Trucks being lowest responsible bidder.
3d. Mr. Schlink, Production Manager, discussed the modifications required at the Silver Lake Plant to allow the existing piping to link with the new steam delivery piping that will connect the plant to Mayo's Prospect Utility Plant. Mr. Toulouse moved to approve a contract with Wrigley Mechanical, Inc. for the valve cut in, seconded by Mr. Utz. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, to approve a contract agreement with Wrigley Mechanical, Inc., and that the Mayor and the City Clerk execute the agreement for
Silver
Valve Cut In (Steam
The amount of the contract agreement to be ONE HUNDRED SIXTY-NINE THOUSAND NINE HUNDRED AND 00/100 DOLLARS ($169,900.00), which includes a contingency, and Wrigley Mechanical, Inc. being lowest responsible bidder.
4. Mr. Schlink informed the Board that additional engineering work was required by Stanley Consultants due to some required additions to the original scope of the project. The additional amount is $147,200.00. Mr. Utz moved to approve the additional scope and associated costs to the two engineering services agreements with Stanley Consultants, Inc., seconded by Mr. Toulouse. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve the additional scope and associated costs to the two engineering services agreements with Stanley Consultants, Inc. for
Silver
and Installation of Steam Delivery Pipeline
The Engineering Services Contract Agreement for the RPU Silver Lake Plant Project not to exceed $553,200.00, and the Engineering Services Contract Agreement for the Steam Export Project not to exceed $349,300.00, with the total amount of the two parts not to exceed $902,500.00.
5. Mr. Schlink informed the Board that the purchase order agreement with Pratt and Whitney was for the purchase of inventory spares only and not the extended warranty mentioned in the For Board Action form and resolution
* Mr. Bourgeois entered the meeting at this time.
Mr. Bourgeois asked if this item was in the budget. Mr. Schlink stated that the item was in the five year budget, but that it was being moved into 2002 and that Council approval would be required. Mr. Toulouse moved to approve a purchase order agreement with Pratt & Whitney as modified to include spare parts only, seconded by Mr. Utz. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a purchase order agreement with Pratt & Whitney for
Purchase of Inventory Spare Parts
Cascade Creek Unit 2 TwinPac
The amount of the purchase order agreement to be SIX HUNDRED NINETY-EIGHT THOUSAND FOUR HUNDRED FIFTY-EIGHT AND 83/100 DOLLARS ($698,458.83).
6. The change order to Contract 3 for the new gas turbine installation project at the Cascade Creek substation was discussed. It was necessitated due to unforeseen subsurface conditions and required field design changes. Mr. Bourgeois asked that the Board be given periodic updates on large projects. Mr. Utz moved to approve a change order to Contract 3, seconded by Mr. Bourgeois. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve Change Order No. 1 to the Cascade Creek Combustion Turbine agreement (Contract 3) between Rochester Public Utilities and Knutson Construction Services, Inc. and that the Common Council authorize the Mayor and the City Clerk to execute the change order for additions totaling $114,379 that will represent the final payment minus retainage and represents all costs associated with the contract.
7. Mr. Bourgeois moved to approve payment of the Silver Lake Plant 2002 air emissions fee, seconded by Mr. Toulouse. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, hereby approves payment of Invoice No. 110005426 from the Minnesota Pollution Control Agency for
Annual Air Emissions Fee For Silver
The amount of the payment to be ONE HUNDRED FIFTEEN THOUSAND THREE HUNDRED FIFTY-NINE AND 06/100 DOLLARS ($115,359.06).
8.a. The Minnesota Department of Transportation is replacing its 200 Watt high pressure sodium highway lighting lamps with 250 Watt lamps and has requested that RPUnitiate billing for the new size. Mr. Bourgeois moved that staff give the public notice of RPU's intent to consider adding a new lamp size to Rate Schedule HL at its April meeting, seconded by Mr. Utz. All voting "AYE"
8.b. A proposed revision to Rate Schedule LMC (Load Management Credits – Partners program) was discussed with the Board. Staff is proposing reductions to some of the credits in the program. The Partners program was implemented in 1990. There are 158 commercial customers and approximately 8,000 residential customers in the program. Mr. Toulouse moved that staff give the public notice of RPU's intent to revise its LMC Rate Schedule at its April meeting, seconded by Mr. Utz. All voting "AYE"
9. Mr. Bourgeois moved to approve revisions to the Board Policy Statement "Acquisition and Disposal of Interest in Real Property" which raise Board approval of real property from $5,500 to $25,000 and revise Council approval to $100,000 per the Home Rule Charter, seconded by Mr. Utz. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, to approve revisions to the Board Policy Statement entitled
Acquisition and Disposal of Interest in Real Property
10. The projection of electric utility cash reserves and various revenue adjustment scenarios were discussed with the Board. The Board asked staff to prepare additional revenue adjustment and bonding scenarios for consideration at the April meeting. The utility is also conducting a cost of service study which should be completed in May.
11. Mr. Toulouse moved to approve the selling of 20 MW of firm electric capacity to the Central Minnesota Municipal Power Agency (CMMPA) for the summer 2002 season, seconded by Mr. Bourgeois. All voting "AYE"
BE IT RESOLVED by the Public Utility Board of the City of Rochester, Minnesota, that the Common Council of the said City is requested to approve a contract agreement with Central Minnesota Municipal Power Agency and that the Common Council authorize the Mayor and the City Clerk to execute the agreement for
The sale of 20 megawatts of plant participation electrical capacity
For the summer 2002 season (May 1 through October 31)
The amount of the contract agreement to be TWO HUNDRED AND FIFTY THOUSAND AND NO/100 DOLLARS ($250,000.00).
12. The management/financial reports were discussed.
13. Mr. Utz moved to adjourn the meeting, seconded by Mr. Bourgeois. All voting "AYE" The meeting was adjourned at
Approved by the Board: