Moose Lake Star Gazette - Serving Carlton and Pine Counties Since 1895

By Lois E. Johnson
Moose Lake Star-Gazette 

Proposed power rate increase to be extended over years

 

Lois E. Johnson

The generator was moved into the power plant on Friday, May 11.

The Moose Lake Power Commissioners discussed stretching out the proposed power rate increase over several years at the monthly meeting on Tuesday, May 15.

Instead of increasing the power rates by 15 percent in 2019, several proposals of increasing the rates by lower amounts each year were proposed.

Option one was to increase the rate once by 10 percent the first year and no increase the next two years.

Option two proposed that the rate be increased by eight percent the first year and two percent each of the next two years.

Option three proposed that the rates be increased by five percent the first year, four percent the second year and two percent the third year.

Option four proposed that the rate be increased by six percent the first year, three percent the second year and two percent the third year.

Option three was favored but no decision was made. The decision was tabled until the June meeting.

"These proposals are very positive compared to a rate increase of 15 percent," Commissioner Curt Yort commented.

The 15 percent rate increase for large accounts will go into effect July 1, 2018, it was decided by a motion at a special meeting on April 26.

The new gas generator was moved into the power plant on Friday, May 11. It was said that the electricians and pipefitters are measuring for completing the installation of the new engine.

A radiator was also installed behind the building for the new engine.

The new gas engine was added to the other two diesel engines in the power plant. They will be used for standby electricity generation in the Moose Lake service area if the power fails.

Lois E. Johnson

This gas-fueled engine joins two diesel-fueled engines to generate electricity for the city if the power fails.

The cost of the used engine just installed was $1 million, and the cost of the entire project is $2.5 million, which includes moving the engine to Moose Lake and all installation costs.

Bids have been received for the new windows on the power plant building but were rejected by the commissioners because they were too high. It was said that the cost of removing the old windows and asbestos around the windows had not been included in previous cost estimates.

Requests for proposals will be sent, listing that costs be included for the removal of the asbestos. It was said that the project could wait until next year, if necessary.

In other business, the commissioners agreed to donate $200 to the Circuit Breakers, the Moose Lake robotics team. The funds will be given to the city to be donated to the robotics club.

The next meeting of the commission was set for Tuesday, June 19, at 3 p.m. in the power plant conference room.

 

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