February - NMPP Energy

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Our Product is Energy
Our Mission is Service
Our Power is People
Essential news for NMPP Energy members
February 2016 Vol. 41 Issue 2
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Nebraska Municipal Power Pool
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Municipal Energy Agency of Nebraska
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INSIDE
Annual Conference: The NMPP
Energy Annual Conference is fast
approaching ..............................Page 2
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National Public Gas Agency
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Public Alliance for Community Energy
MEAN Board, management
committee approve revenue
requirement for 2016
Targeted revenue requirement decreases 1 percent from 2015
At its January 21 joint meeting,
the Municipal Energy Agency of
Nebraska (MEAN) Board of Directors and Management Committee
approved a 1 percent decrease in
targeted revenue required from its 57
long-term Participants for fiscal year
2016 compared to its current year
targeted revenue requirement.
The targeted revenue requirement for 2016 is part of a multi-year
phase-in of a rate restructure process
the MEAN Board and Management
Committee approved and implemented in 2015.
Each Participants’ specific adjustment may be more or less than the 1
percent decrease in MEAN’s overall
total targeted revenue requirement
due to the rate restructure being
phased in over multiple years.
The MEAN Board and Management Committee annually review
and establish rates and charges to ensure operating revenues are sufficient
to pay operating expenses, including
aggregate debt service/obligations,
capital costs, as well as to have an
adequate rate stabilization fund and
sufficient cash reserves in accordance
with policies approved by the MEAN
Board. MEAN’s fiscal year runs April
1-March 31.
Embedded into MEAN’s wholesale electric rate structure is a flat
energy rate (usage) and a fixed cost
recovery charge to allow MEAN to
recover certain known costs and better handle energy usage volatility due
to weather and other unpredictable
factors.
MEAN’S primary revenue sources
MEAN’s two largest sources of
revenue come from the Fixed Cost
Recovery Charge and sales from electric energy.
• Fixed Cost Recovery Charge:
The Fixed Cost Recovery Charge is
nearly 40 percent of MEAN’s revenue requirement. It covers certain
known costs related to MEAN’s
ownership of power resources in the
region and power contracts. This
charge is allocated to all long-term
(Schedule M) and 10-year (Schedule
K) Participants based on each Participants’ three-year historical average
peak electric demand.
• Electric Energy Sales: This
source of revenue makes up approximately 58 percent of MEAN’s revenue requirement. Unlike the Fixed
Cost Recovery Charge, energy sales
are highly variable as usage depends
on consumer need, which varies due
to weather, time of day, conservation,
etc.
See ‘REVENUE’ on page 3
2015 Typical Bills
Survey completed
The 2015 NMPP Energy
Annual Typical Electric, Water
& Wastewater Bills Survey was
recently completed. This is the
32nd year NMPP Energy has conducted the survey, which has always
included the electric bill survey.
This is the fifth year for the separate
water and wastewater bill surveys.
The survey includes 152
electric utility participants, 139
water utility participants and 134
wastewater utility participants from
NMPP member and non-member
utilities from the region.
Participating utilities provided
billing information through December 2015. The report is prepared
annually by NMPP engineering and
services staff.
Electronic copies of the survey
were sent to survey participants.
Hard copies are $16 each for survey
participants. Contact Phil Euler at
NMPP at peuler@nmppenergy.org
or (800) 234-2595.
2016 NMPP Energy Annual Meeting & Conference
March 29-31 Midtown Holiday Inn - Grand Island, Neb.
Keynote Speakers
Sue Kelly
President/CEO, American Public Power Association
APPA President Sue Kelly will provide an overview of the current issues within
the public power industry and its possible impacts on utilities and their customers.
Charles Marshall
Nationally-acclaimed Motivational Speaker
Charles Marshall is the solution to dull speakers. He will focus on how
character impacts business and community.
Breakout Sessions
• Clean Power Plan panel discussion
A panel of industry experts and regulators will discuss the Environmental Protection
Agency’s Clean Power Plan.
• Distributed Generation
This session will discuss the growing trend of distributed generation such as rooftop solar,
what it means for municipal utilities and how to prepare for the evolving energy landscape.
Complimentary Registrations
Up to two complimentary registrations provided to elected officials with every paid member
registration.
Early Bird Registration
Early Bird registration: $110 until March 1. After March 1: $160.
Registration forms have been mailed!
NMPP Energy Annual Meeting & Conference
Lodging Information
(Room blocks)
Midtown Holiday Inn, Grand Island, Neb.
2503 S. Locust Street – (308) 384-1330
$89.95+tax
(Block discount rate ends Feb. 29)
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February ‘16
Please call Laurie at (800) 234-2595 for more information
Revenue
Staffing Notes
David Beard was promoted
to manager of electric operations
for MEAN in
January. He
previously
served as lead
asset optimizer
in the MEAN
dispatch center. As manager of electric
operations,
Beard is responsible for leading
the dispatch center and forward
market team and managing
the optimization of resources,
identifying risk and developing
trading and hedging strategies
and strategic planning. Beard
joined NMPP in 2011 as an
energy dispatcher.
***
Armin Sehic joined the
NMPP staff
in January as
a regulatory
data analyst
assigned to
MEAN. He
earned a bachelor’s degree in
electrical engineering from UNL. He previously worked as a senior quality
assurance analyst at Fiserv in
Lincoln.
Continued from page 1
***
Carla Larson joined the staff
of NMPP in December serving
as a paralegal
as part of
the NMPP
Energy legal
team. She
most recently
served as a
paralegal for
Remboldt
Ludtke, LLP and Cline Williams
Wright Johnson & Oldfather,
LLP. She earned a bachelor’s
degree from the University of
Minnesota-Morris and is a certified paralegal.
***
Gen Li began his duties in
January as a load forecast and
planning
specialist
assigned to
MEAN. He
graduated
from Xiamen
University in
China with
a bachelor’s
degree in statistics and earned
a master’s degree in statistics at
the University of Nebraska-Lincoln (UNL). He most recently
worked at the UNL Bureau of
Business Research as a research
analyst.
The rate restructure also
includes transitioning from a
break-even, cash-based budget
to a traditional utility-based
budget that takes into account
the requirements of electric
generation asset ownership.
This transition was based
on the recommendation by an
independent cost of service
study and the direction of an
Ad Hoc Committee of MEAN
Participants.
Addressing increased
regulation and reducing
exposure to revenue volatility
The wholesale market environment that MEAN operates
in has changed significantly in
recent years with increased regulation due to the transition into
Regional Transmission Organization (RTO) markets.
By accounting for certain
known costs, MEAN’s rate
structure better protects MEAN
Participants from revenue volatility from energy sales caused
by unpredictable factors such as
weather-related usage fluctuations, unplanned resource outages, fuel costs and transmission
congestion/outages.
Follow NMPP on Facebook
Through its Facebook page, NMPP shares information about services,
events, employment opportunities, industry news and member community
successes. Go to www.nmppenergy.org and click on the Facebook logo to
make NMPP part of your Facebook experience!
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February ‘16
Ribbon-cutting ceremony held
for Sidney Regional Medical Center
A ribbon-cutting ceremony
attended by local, state and
national dignitaries was held in
December for the new Sidney
(Neb.) Regional Medical Center. The $53 million facility sits
on 20 acres of land. The new
hospital will serve approximately 12,000 residents.
The facility was funded in
part by $32
million in
USDA Rural Development direct
loan funds
and $10
million from
Lancaster
Pollard,
Member News
which underwrote the commercial financing. The hospital contributed
the remaining funds.
The facility is 120,000
square-feet and is located close
to the current Regional Medical
Center, which was built in 1954.
The medical center includes a
hospital, clinic and administrative building. The old hospital
will continue to serve long-term
care and assisted living patients.
The new medical center features 25 acute care rooms, three
high-tech surgical suites, eight
post surgery/outpatient recovery
rooms, emergency department
and many other services.
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February ‘16
New café, general store
open in Spencer
The Country Café and 63
Co. General Store recently
opened in Spencer, Neb., in a
shared building. Owners Ken
Sidney Regional Medical Center photo
The Sidney (Neb.) Regional Medical Center is a $53 million
facility that will serve approximately 12,000 residents. The
medical center is located near the old Regional Medical Center,
which will continue to serve long-term care and assisted living
patients.
and Trudy Boettcher are Spencer-area natives who saw a need
for new businesses in the community.
The building was constructed with energy efficient windows, doors and kitchen equipment and coolers and heat pump
systems. The café, which seats
142, is decorated in a patriotic
theme, honoring servicemen of
all branches as well as fire and
rescue personnel and police.
Spencer is celebrating it’s
125th anniversary in 2016.
Stuart adds welcome signs
The Village of Stuart, Neb.,
received a $750 grant from the
Stuart Community Club for the
purchase of two “Welcome to
Stuart” signs on the east and
west end of town.
Scottsbluff earns
recertification designation
The City of Scottsbluff,
Neb., earned its recertifica-
tion in the Nebraska Economic
Development Certified Community Program. The City was
originally certified in 2007 and
recertified in 2010. The recertification continues through
2020. The program is sponsored
by the Nebraska Diplomats and
administered by the Nebraska
Department of Economic Development.
Broken Bow Library
awarded grant
The City of Broken Bow,
Neb., Public Library received
a challenge grant for $250,000
from the Peter Kiewitt Foundation for its expansion and
renovation project. In a letter announcing the grant, Jeff
Kutash, executive director of
the Peter Kiewitt Foundation,
cited the city’s “commitment
to improving the library as a
community resource accessible
Distributed generation resources available
The NMPP Energy website has links to
distributed generation resources for municipal
electric utilities to use with customers. The
resources include links to:
• Iowa Utilities’ Board On-Site Electric
Generation Guide;
• National Renewable Energy Laboratory
Consumer Guide on Solar;
• American Public Power Association
Solar Resources.
• A list of considerations for utilities to
share with customers that are thinking of installing rooftop solar systems.
The links can be found on the Municipal
Energy Agency of Nebraska’s (MEAN) home
page (www.nmppenergy.org/mean).
Member News
Continued from page 4
to all.” To complete the challenge grant, the Broken Bow
Library Foundation is working to
raise the remainder of the funds
needed to complete the building project. Including the grant,
nearly $975,000 has been raised
for the $2.1 million project
New hotel opening
in Scottsbluff
A new Fairfield Inn &
Suites was scheduled to open in
Scottsbluff at the end of January, according to a story in the
Scottsbluff Star-Herald. Eventually, a restaurant may be built
near the hotel, but plans have
not been finalized.
Morrill adds media
center to library
The Morrill, Neb., Public
Library in December completed
its new media center expansion. The center includes a wi-fi
capable high-definition television which allows the library to
use educational programming for
adults and youth from Internet
sources, according to the Scottsbluff Star-Herald. The Morrill
Rotary Club assisted with fundraising, which included securing
a matching grant for the project.
The club chooses one project
each year to support.
Broken Bow’s Doug Staab
honored by Lions Club
Broken Bow, Neb., Electric
Utility Superintendent Doug
Staab was presented a plaque
for “Lion of the Year” for his
community service efforts by the
Broken Bow Lions Club at their
annual banquet in December.
Neligh ED director
earns nomination
Neligh, Neb., Economic Development Director Greg Ptacek
was highlighted in the Norfolk
Daily News in December as one
of three finalists for 2015 Norfolk Area Person of the Year.
According to the Daily News,
Ptacek had a love for small-town
America growing up and fell in
love with Neligh after attending
the town’s Fourth of July Festival. He has been on the job for
nearly three years.
Marketing campaigns, to
external and internal audiences,
garnered additional exposure
for the community and led to
new businesses opening. The
community also took advantage
of Legislative Bill 840, which
authorizes incorporated cities and
villages to collect and appropriate local tax dollars (sales and/or
property tax) for economic development purposes. The bill helped
open multiple new businesses in
the community.
West Point, Cable ONE
partner for faster fiber network
The City of West Point and
Cable ONE announced a partnership to provide GigaONE, the
company’s new Gigabit service to
residents.
The service is 40 times faster
than the average speed currently
offered across the U.S. and will be
available to the majority of Cable
ONE customers by the end of
2016, according to a Cable ONE
press release.
“Gigabit service is extremely
important to the economic growth
and development of the City of
West Point,” West Point Mayor
Marlene Johnson told the West
Point News. “It is exciting to
be able to announce that Cable
ONE is bringing GigaONE to our
community. This added bonus will
also allow our residents to connect
multiple devices in their homes.
This is a fantastic advantage for
West Point.”
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February ‘16
NEBRASKA MUNICIPAL POWER POOL
Services Showcase
Air Emissions Reporting Assistance
Let NMPP’s staff lighten your work load…
The Nebraska Municipal Power Pool (NMPP) assists member utilities with their reporting requirements
to regulatory agencies at both the state and federal level. Annually, the Air Emission Inventory Report
(AEI) and the Certificate of Compliance (COC) Report requires electric utilities to complete various
reports on their municipal power plants.
The reporting process can be sometimes complex and time-consuming – especially for small utilities with
minimal staff. NMPP’s staff is equipped to help with these needs.
NMPP staff performs this work at non-profit, cost-based pricing for its member municipalities and
utilities. NMPP also provides ongoing assistance – any follow up from state agencies is also filtered
through NMPP to further assist its members.
Reports We Do
Air Emission Inventory Report (AEI)
This report is used to assist state agencies such as the Nebraska
Department of Environmental Quality compile air emission
data from various electric generating sources.
Certificate of Compliance Report (COC)
Facilities with Nebraska air quality operating permits and those
covered by a permit-by-rule are required to submit an annual
COC Report under Nebraska air quality regulations.
Price for both reports completed annually: $475 for first site and $275 for each additional site
Contact Mandy Hansen, NMPP member services coordinator, (800) 234-2595 or ahansen@nmppenergy.org
NMPP Energy – 8377 Glynoaks Dr., Lincoln, NE 68516 – 402.474.4759 – 800.234-2595 – www.nmppenergy.org
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February ‘16
Champions are businesses and organizations
that support NMPP Energy’s effort to provide
products and services to members. Consider
these businesses when your utility or municipality
has a business need. If your business is interested
in becoming an NMPP Energy Champion, call
Andrew Ross at (800) 234-2595.
Champions Business Directory
Financial Services
Ameritas Investment Corp............................................................................................................... Omaha, Neb.
D.A. Davidson & Co. ......................................................................................................................... Omaha, Neb.
UNICO Group, Inc. and Midlands Financial Benefits ...................................................................Lincoln, Neb.
Nebraska Energy Federal Credit Union ................................................................................... Columbus, Neb.
RBC Capital Markets ..........................................................................................................................Denver, Colo.
Smith Hayes Financial Corp. .............................................................................................................Lincoln, Neb.
Utility Services & Supplies
EnergySolutions, Inc. ....................................................................................................................... Omaha, Neb.
Hometown Connections, LLC ....................................................................................................Lakewood, Colo.
JK Energy Consulting, LLC ................................................................................................................Lincoln, Neb.
Kriz-Davis Co...............................................................................................................................Grand Island, Neb.
NovaTech...............................................................................................................................................Lenexa, Kan.
PDS, Inc. .............................................................................................................................................. Omaha, Neb.
Protective Equipment Testing Laboratory............................................................................. Great Bend, Kan.
REM Electric, Inc. ..................................................................................................................... Nebraska City, Neb.
RESCO (Rural Electric Supply Cooperative) .................................................................................. Ankeny, Iowa
Solomon Corporation .................................................................................................................... Solomon, Kan.
Computer/Technology Services
VentureTech ........................................................................................................................................Lincoln, Neb.
Salt Creek Software, Inc. ....................................................................................................................Lincoln, Neb.
Engineering Services
EPSIM Corporation ...........................................................................................................................Boulder, Colo.
HDR ..................................................................................................................................................... Omaha, Neb.
JEO Consulting Group, Inc. ............................................................................................................. Wahoo, Neb.
Lutz, Daily & Brain, LLC ......................................................................................................... Overland Park, Kan.
Olsson Associates ...............................................................................................................................Lincoln, Neb.
Sega Inc. ................................................................................................................................................Stilwell, Kan.
Stanley Consultants, Inc. ..............................................................................................................Muscatine, Iowa
Legal Services
Chapman and Cutler, LLP .......................................................................................................Salt Lake City, Utah
Gilbert Hamberg Law Office ...............................................................................................................Yardley, Pa.
Spiegel & McDiarmid ...................................................................................................................Washington, D.C.
Telecommunication Services
River Oaks Communications Corp. .......................................................................................... Centennial, Colo.
Upcoming Meetings
Feb. 18 - NPGA Board, Lincoln, Neb.
March 29-31 - NMPP Energy Annual Meeting & Conference, Grand Island, Neb.
May 18-19 - MEAN Committees and MEAN Board/Mgmt. Committee, North Platte, Neb.
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February ‘16
8377 Glynoaks Drive
Lincoln NE 68516
NON PROFIT ORG
U.S. POSTAGE
PAID
PERMIT 402
LINCOLN, NE
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Employment
Line Foreman
The Broken Bow (Neb.) Electric
Department is now accepting applications for a full-time line foreman.
This is a working supervisor position
responsible for but not limited to the
following: training of lineman and
other department workers in safe
operation, maintenance of equipment,
scheduling and reviewing progress
of projects, assuring specifications
are being met, assists other departments as required, and performs
other work related duties as assigned.
This position works under the direct
supervision of the electrical superintendent. Requirements include a
high school diploma or equivalent,
valid Commercial Driver’s License,
must have a minimum of five years
of experience with electrical distribution system, minimum three years
A complete list of current job openings in member communities
is available on NMPP Energy’s website: www.nmppenergy.org
of experience as a supervisor, and
experience with electrical distribution system. Competitive wages with
experience and a better-than-average
benefit package. This position will
remain open until filled. Application,
job description, and further information is available at Broken Bow City
Hall, at www.cityofbrokenbow.org or
call (308) 872-6884. Submit application and related information to: City of
Broken Bow, ATTN: Electrical Superintendent Doug Staab, P.O. Box 567,
Broken Bow, NE 68822 or via email
at dstaab@cityofbrokenbow.org. First
review of applications to begin March
7, 2016. Broken Bow is an EOE.
NMPP Employment
NMPP Energy currently has employment openings for:
• Manager of Resources and
Transmission
• Asset and Generation Contract Specialist
• Forward Market Specialist
• Dispatch Supervisor
For job descriptions and application information, go to www.nmppenergy.org and click on the “NMPP
Energy Job Opportunities” link on the
home page.
To submit an ad: NMPP members can advertise job openings for free in the Essent newsletter and on the
nmppenergy website. E-mail your job opening to: info@nmppenergy.org.
Essent is published as a service to NMPP Energy members. The subscription rate for nonmembers is $50 per year. Copyright 2016, Nebraska Municipal Power Pool.
Send comments to: Essent, Attn: Editor, 8377 Glynoaks Drive, Lincoln, NE 68516 or e-mail: kwickham@nmppenergy.org;
phone: (800) 234-2595 • Fax: (402) 474-0473 • www.nmppenergy.org
Publisher: Robert L. Poehling, Executive Director, NMPP Energy
Editor: Kevin Wickham, Communications Specialist