In January of 1914, Denison voted to create a municipally owned electric utility. It has been successfully operated by the community ever since. The electric system enjoys a high level of reliability while it offers its customers some of the lowest cost electricity in the nation. How do we do it? Read on, we'll tell you. Service CharacteristicsSome of the service rules of the Denison Municipal Electric Utility are regulated by the Iowa Utility Board, (IUB). A full set of the service rules are available at the DMU office for review by any interested party.GenerationDenison purchases its electric requirements from generation sources outside the City. An 1825 KW fuel oil internal combustion engine is maintained at the West Receiving Substation for emergency backup operation dedicated to the Water and Sewer treatment facilities and the Service Center.WAPADenison's base load generation is provided by the United States Department of Energy, Western Area Power Administration (WAPA). The power is generated by hydroelectric dams on the Missouri River that were constructed and are operated as part of the Pick Sloan Missouri Basin eastern division program. The date of the original contract was August 13, 1962, and currently has been extended until midnight, December 31, 2020.MRESSupplemental power requirements, the electricity needed over and above the base load hydroelectric power, is furnished by Missouri River Energy Services (MRES).MRES is comprised of 60 municipalities in Iowa, Minnesota, North Dakota and South Dakota. It was organized to assist its members in meeting their present and future energy needs. This power comes mainly from the 1650 megawatt, coal-fired Laramie River Station located in Eastern Wyoming near Wheatland, known as the Missouri Basin Power Project (MBPP).MRES is affiliated with Western Minnesota Municipal Power Agency (Western Minnesota) through a Power Supply Contract and a Management Services Agreement. Western Minnesota consists of 21 municipalities, 20 of which are members of MRES.MRES has developed a bulk power supply program for its membership by entering into a Power Supply Contract with Western Minnesota. Under the Contract, MRES is responsible for meeting all of Western Minnesota's debt service requirements as well as other costs. Western Minnesota's ownership interests of 16.47% and 100% in the Missouri Basin Power Project (MBPP) and the Watertown Power Plant, respectively, have been committed to MRES under the Contract. Western Minnesota's share of the projects is as follows:Maximum Capability In-Service Estimated/Actual (megawatts) Date Construction CostsMissouri Basin Power Project Unit No. 1 __90 1980 Unit No. 2 __90 1981 $224,750,000 Unit No. 3 __ 90 1982 Watertown Power Plant___60 1979 $14,171,000 The Watertown Power Plant is operated by MRES pursuant to a Project Agreement with Western Minnesota. The plant is expected to be utilized for peaking generation.Western Minnesota has issued bonds as a part of MRES's power supply program. Such bonds are secured, in part, by a pledge and assignment of, and security interest in, all operating revenues received by MRES under the Missouri Basin Power Sale Agreements and payable to Western Minnesota under the Contract.Denison entered into an S-1 Power Sale Agreement with MRES on October 1, 1976. Denison is an original member of MRES and has been represented on its Board of Directors since its inceptionTransmissionDenison's electricity is wheeled from the power plants and dams over the Federal Transmission System. Four miles southwest of Denison, WAPA maintains a substation. DMU receives its power at 69 KV at this substation.The WAPA substation at Denison receives power from a WAPA substation near Sioux City at 230 KV a.c. It transforms the voltage down to 69 KV.The Denison Municipal Utility takes power from the 69 KV bus at two taps. Two separate 69 KV transmission lines owned by Denison, deliver the power via two different routes. In case of an outage on either 69 KV line, the other line will pick up the load automatically.DistributionThe City receives power at 69 KV at the West Receiving and South Main substations.The Utility owns and operates a 13.2 KV and 4.16 KV four wire grounded wye primary distribution system. This primary is served from 2 main distribution substations at strategic points on the primary distribution system, and is served from 4 additional substations, which feed from one of the 2 main substations.MAIN DISTRIBUTION SUBSTATIONSWest Receiving SubstationThe community receives power at 69 KV at the West Receiving substation from either the #2, 69 KV line or the 69 KV tie line. This is Denison Municipal Utilities largest substation with two 20 MVA, power transformers and two associated switchgear buildings. There are 12 - 13.2 KV circuits leaving the substation. The original substation was built in 1974-75 and the second power transformer was added in 1991-92, doubling the substation capacity.South Main Street SubstationThis substation was built in 1970 and was used as a 69 KV switching station only until 1991-92 when the 69 KV/13.2 KV 7500 KVA power transformer was relocated from the Power Plant Substation to the South Main Substation. In 2000, a 20 MVA transformer was added. Nine 13.2 KV circuits leave this substation.OTHER DISTRIBUTION SUBSTATIONSNorth Central (Waite) (fed from West Receiving Feeder #8)This transformer rated at 3750 KVA transforms 13.2 KV to 4.16 KV. Two circuits, 8 East and 8 West, leave this station, serving mostly residential and commercial loads.Industrial Sub (7th St. & Ave. C) (fed from West Receiving Feeder #18)This transformer rated at 2500 KVA transforms 13.2 KV to 4.16 KV. Two circuits, 11 East and 11 West, leave this station to serve commercial loads.The Denison Distribution system is relay protected and is interconnected by switches and breakers for reliability and flexibility.A SCADA/Load Management system installed in 1985, enables the utility to monitor system performance instantaneously, and lower peak demands. This prolongs system life, lowers purchase power costs, and enhances system reliability.An inspection plan of the distribution system is on file with the Iowa Utility Board. The plan is carried out under the direction of the manager of electric distribution.Energy conservation plans are on file with Western Area Power Administration (WAPA) and the Iowa Utility Board (IUB) and is reviewed periodically and updated to meet requirements.Territorial boundaries for the Denison Municipal Electric Utility are defined and mapped by the Iowa Utility Board subject to review by all area utilities. Currently, there are no disputed areas.Joint ActionIn today's world, the successful operation of a municipal electric utility depends on cooperative, "Joint Action", with other consumer owned electric utilities. This section of the Denison Municipal Utilities Policy Handbook will explain the many, varied organizations to which the Denison Municipal Utilities belongs. Each organization has its own function and helps the utility attain their goals.These organizations will be listed in alphabetical order.American Public Power Association (APPA)The APPA is the national service organization representing more than 1750 local publicly owned electric utilities.The staff of APPA is experienced specialists in a wide variety of disciplines - engineering, economics, personnel, law, public communications, customer services, management, and community development. These professionals are extensions of local staffs of publicly owned utilities and offer a great deal of assistance.APPA represents public utilities on an array of critical legislative problems before Congress, as well as federal agencies and departments. Their expert witness and representation on the member utilities behalf is crucial to the well being of all public power systems.Denison has been a member of APPA for many years.Basin Electric Power Cooperative (Basin Electric)Basin Electric is a consumer-owned wholesale electric power supplies serving member systems in eight states of the Missouri River Basin region.Although Denison is not directly a member of Basin Electric, they are associated, as Basin is the Project Manager of the Laramie River Station and Missouri Basin Power Project. This is Denison's source of supplemental energy supplied via contract with MRES.Iowa Association of Municipal Utilities (IAMU)The IAMU represents Iowa Municipal Utilities - Water, Gas, Communication and Electric, before the Iowa legislature, as well as state agencies and departments. Their staff contains lobbyists as well as technical advisors, capable of helping member utilities. Denison belongs to IAMU's "mutual aid" plan, whereby area municipal utilities help each other during times of natural disaster.Denison has been an active member of IAMU since October 13, 1958.Mid-Continent Area Power Pool (MAPP)MAPP is a voluntary organization of electric power suppliers located in eight upper Midwestern states in the U.S. and two provinces in Canada. Through MAPP, these power suppliers work to assure an adequate, economical power supply and to maintain the high reliability of electric service we have come to expect in the upper midwestern.Denison is not a member of MAPP directly, but is indirectly through Missouri River Energy Services, of which Denison is a member.Midwest Independent System Operator (MISO)Through MRES, DMU is a member of MISO. They are an organization formed in response to FERC order 2000, to attempt to create an organization that could provide the framework of a competitively neutral transmission organization to facilities a robust wholesale market for electricity. MISO is attempting to organize in a manner acceptable to the participants as well as FERC.Missouri Basin Municipal Electric Cooperative Association (MBMECA)This "joint action" organization is made up of the 18 Iowa members of Missouri River Energy Services.Thirteen of the eighteen MBMECA members have their power wheeled to their communities by Northwest Iowa Power Cooperatives (NIPCO). This transmission service is the common link between the majority of the MBMECA members at this time; and the reason MBMECA was organized.Denison does not use NIPCO to wheel power and therefore, is a non-dues paying member of MBMECA. MBMECA does not maintain an office or staff of employees, but depends on member participation to accomplish their goals.Western Fuels Association, Inc. (Western Fuels)Western Fuels was formed in 1974 as a not-for-profit fuel supply cooperative. Its principal concern in 1974 was coal for the Missouri Basin Power Project's, Laramie River Station, being built near Wheatland, Wyoming. Today, Western Fuels supplies coal to power plants in many states.Denison is not a member directly, but is indirectly, through MRES and their 16.4% ownership in Laramie River Station.Western States Power Corporation, WSPCWSPC was formed in 1995. It is taxable, non-profit corporation. Denison, through MRES is a member of WSPC. The purpose of WSPC is to provide funding and support services for the timely repairs and maintenance of the federally owned electric facilities. They work in harmony with WAPA and the Bureau of Reclamation and the Army Corp of Engineers