Rates

Utility Rates

BRAINERD PUBLIC UTILITIES SERVICE RATES

Rates for electric, water, and wastewater treatment services provided by Brainerd Public Utilities (BPU). BPU’s rates are set by the Brainerd Public Utilities Commission. All rates are subject to change if deemed appropriate by BPU.

CITY OF BRAINERD RATES

The Brainerd Public Utilities Bill also represents wastewater collection and stormwater rates that BPU bills on behalf of the City of Brainerd. The City of Brainerd’s rates are set by the Brainerd City Council. If you have any questions in regards to these two rates, please call the City Engineer’s Office at 218-828-2309

ELECTRIC RATES – COMMERCIAL – Effective September 1st, 2023

Each customer will pay a power cost adjustment (PCA) each month based on the kWh that is used. The PCA is based on BPU’s cost of power purchased wholesale from American Energy Partners, Inc. The monthly service charge applies for all rate classifications, regardless of usage on meter. To qualify as a small, medium, or large general service customer, the rate is based on the three highest monthly demands (kW) in a 12 month period. The customer will remain at this rate for the next 12 months. The customer’s demand (kW) will be reviewed on a yearly basis.

Commercial Service – Single Phase – < 15 kW

Service Charge	$24.50 Monthly
Energy Charge	$0.10437 All kWh

Commercial Service – Three Phase – < 15kW

Service Charge	$30.00 Monthly
Energy Charge	$0.10437 All kWh

The Commercial Service Rate applies to commercial customers, for a single or three phase electric service supplied through one meter at the secondary voltage available at the customer’s location. Customers whose demand (kW) is less than 15 kW will be charged this rate.

Small General Service – Single Phase – 15kW to <100kW

Service Charge	$48.70 Monthly
Energy Charge	$0.08872 0 – 2,500 kWh
	$0.07876 Excess kWh
Demand Charge	$3.25- 8 kW
	$8.40 Excess kWh

Small General Service – Three Phase – 15kW to <100kW

Service Charge	$59.55 Monthly
Energy Charge	$0.08872 0 – 2,500 kWh
	$0.07876 Excess kWh
Demand Charge	$3.25- 8 kW
	$8.40 Excess kWh

The Small General Service Rate applies to commercial customers whose demand (kW) is 15 to <100 for a single or three-phase electric service supplied through one meter at the secondary voltage available at the customer’s location.

Medium General Service – Three Phase – 100kW to <1,000 kW

Service Charge	$81.50 Monthly
Energy Charge	$0.05518 All kWh
Demand Charge	$15.75 All kW

The Medium General Service Rate applies to commercial customers whose demand (kW) is 100 to <1,000 for a three-phase electric service supplied through one meter at the secondary voltage available at the customer’s location. If the service is primary metered a 3% discount will be applied to the energy and demand rates.

Large General Service – 1,000kW – to <2,500 kW

Service Charge	$125.00 Monthly
Energy Charge	$0.05523 All kWh
Demand Charge	$14.00 All kW

Large Power – >2,500kW

Service Charge	$150.00 Monthly
Energy Charge	$0.08609 All kWh
Demand Charge	$13.00 All kW

Type of Service

Service will be alternating current; 60 hertz; under one of the following classifications • Secondary Voltage – Single or three phase, 600 volts or less • Primary Voltage – Three phase, 4,160 volts to 34,500 volts, suppled from BPU Service voltage available in any given case is dependent upon voltage and capacity of existing lines in vicinity of customer’s premises. Service is in accordance with BPU Electric Service Regulations and any applicable riders.

Billing Demand

Billing Demand is the kW measured during the 15-minute period of customer’s greatest use during the month, as adjusted for the power factor. When customer’s average monthly power factor is less than 85 percent lagging, the maximum measured demand will be adjusted by multiplying 85 percent and dividing by the average monthly power factor in percent. The average monthly power factor will be computed by the formula, average monthly power factor equal (100*kWh)/Sqrt (kWh^2 + kVarh^2). If the service is primary metered a 3% discount will be applied to the energy and demand rates.

Dual Fuel

Monthly Service Charge	$7.30 Monthly
Energy Charge	$0.05990 All kWh

A dual fuel system uses two independent heating systems to heat your business. BPU dual fuel customers use electricity as the primary source of heat. Propane, fuel oil, or natural gas can be used as the back-up heat source. The back-up heat source must be automatic and of adequate size to heat your business during peak interruptions. For example, an electric heat source, such as a plenum heater, with fuel oil, propane, natural gas or electric storage heat as the back-up heating system would qualify.

This program is available to customers who already have an electric service. This rate is interruptible up to 400 hours per season and will be remotely controlled by BPU to prevent excessive peak usage. The space heating load will be separately metered and may be interruptible at any time. This type of service is single phase or three phase, 60 hertz, at available secondary voltage.

Off-Peak

Monthly Service Charge	$7.30 Monthly
Energy Charge	$0.06024 All kWh

This program is available to customers who already have an electric service. This rate is for interruptible service to energy loads, which are remotely controlled by BPU. This space heating load will be separately metered. Service under this schedule will be available for approximately eight (8) hours per day, normally 11:00 p.m. to 7:00 a.m. or as established by BPU. This type of service is single phase or three phase, 60 hertz, at available secondary voltage.

Off-Peak Heating

An off-peak heating customer uses electricity as their primary source of heat. An off-peak heating system utilizes a thermal (heat) storage system that heats up during off-peak times, typically 11:00 p.m. to 7:00 a.m. In-floor electric mats, electric boilers for in floor hot water heat, and brick storage units are all examples of storage heat system. The heat is then released into your business the following day to provide 100% of your heating as needed.

Off-Peak Electric Hot Water Storage

An off-peak water heating customer is required to have a 120 gallon or larger, UL approved, water heater installed. The water heater storage system heats water during off-peak times, typically 11:00 p.m. to 7:00 a.m. The heated water can then be used anytime during the day.

Security Lights

BPU offers a security lighting program. The security lighting is available to both residential and commercial customers. BPU maintains the security light. This service is offered for a monthly fee of $12.50 (+tax) per security light. For further information please contact the BPU Repair Office at 829-2193.

Distributed Generation

Please go to BPU’s website, www.bpu.org/services/renewable, for further information on distributed generation.

Demand Charges
Depending on how a customer uses electricity, electric utility customers are charged for different
electric services. Along with a basic monthly customer charge, most customers pay for the
energy they use (measured in kilowatt-hours-kWh). Larger users of electricity are also charged
for demand (measured in kilowatts, abbreviated kW).

The reason there are both consumption and demand charges is because utility companies must
invest in generation and distribution equipment to meet the maximum demand that all
customers may require at one time. Utilities use peak demand to properly size electric service
for their customers and to ensure that there is sufficient capacity available. Separate charges
for energy consumption and demand more fairly distribute the costs of providing service to
customers who use large amounts of energy. Your energy charges are based only on the total
amount of energy you consume. The demand charge is based on the highest 1S-minute interval
of electric usage during the billing period.

Principal Behind Demand Charges

Demand is measured io determine the amount of the utility’s equipment that is dedicated to
serving a specific customer’s peak needs. lmagine a trucking company who has contracted to
deliver 30 loads of dirt to a construction site. lf he can deliver one load a day, he can meet the
contract with one truck. lf he must deliver all 30 loads within the same 15 minutes, he will need
30 trucks. The trucker will have to set his charges depending on the demand on his resources.
It would be difficult for the trucker to justify making his customer who buys one load of dirt a
month pay the cost of the 30 trucks he bought to meet the contraci with the high peak demand
for deliveries. lt would be fairer for the customer with the high peak requirement to bear the
burden for his demand needs.

Managing Your Demand Charges

Demand customers may be able to reduce the size of their bill by reducing peak demand. The
key to reducing peak demand is optimal scheduling or shifting the times of electrical equipment
usage within the facility. The goal is to reduce the load at any single given time.

Here are a few tips to reduce demand.

What energy-efficient improvements can be made?
When you start up your operations in the morning, do not flip all switches on at one time,
consider a staged start-up; turn on one piece of equipment at a time, create a schedule
where the heaviest intensity equipment doesn’t all operate at full tilt simultaneously, and
think about what equipment can be run at a lower intensity without adverse effect.
If the equipment requires heaters, start one machine at a time allowing the first machine
to come up to the temperature before starting the second.
Often there is equipment that is operated infrequently. If this is the case, can some
other equipment be tuned off while this equipment is running?

Often, timers can be utilized to give you the control needed to achieve these demand
reductions. However, if your electrical use is high and you have a large number of electrical
loads, it may be feasible to install a computerized load-control system to coordinate and
optimize the operation of your equipment.

ELECTRIC RATES – RESIDENTIAL – Effective September 1st, 2023

Each customer wilt pay a power cost adjustment [PCA] each month based on the kWh that are used
The PCA is based on BPU’s cost of power purchased wholesale from American Energy Partners, Inc.

The monthly service charge applies to all rate classifications, regardless of usage on meter

Residential Service

Monthly Service Charge	$16.90 Monthly
Energy Charge	$0.08598 All kWh

The Residential Electric Rate is available to single phase residential customers that are served through one meter at a voltage of 120/21+0wlts. Each apartment or dwelling unit shall be considered a single private residence.

Dual Fuel

Monthly Service Charge	$7.30 Monthly
Energy Charge	$0.05990 All kWh

A dual fuel system uses two independent heating systems to heat your home. BPU dual fuel customers use electricity as the primary source of heat. Propane, fuel or, or natural gas can be used as the back-up heat source. The back-up heat source must be automatic and of adequate size to heat your home during peak interruptions. For example, an electric heat source, such as a plenum heater, with fuel oil, propane, naturel gas or electric storage heat as the back-up heating system would qualify.

Off Peak

Monthly Service Charge	$7.30 Monthly
Energy Charge	$0.06024 All kWh

Off-Peak Heating

An off-peak heating customer uses electricity as their primary source of heat. An off peak heating system utilizes a thermal (heat) storage system that heats up during off-peak times, typically 11:00 p.m. to 7:00 a.m. In-floor electric mats, electric boilers for in floor hot water heat, and brick storage units are all examples of storage heat system. The heat is then released into your house the following day to provide 100% of your heating as needed.

Off-Peak Electric Hot Water Storage

WATER RATES – Effective December 1st, 2023

Commercial water customers will be subject to Minnesota sales tax.

Meter Size	Monthly Rate	Including MDH Charge
3/4 inch	$19.30	$20.11
1 inch	$49.70	$50.51
1 1/2 inch	$73.90	$74.71
2 inch	$127.80	$128.61
3 inch	$230.10	$230.91
4 inch	$345.10	$345.91
6 inch	$551.00	$551.81
8 inch	$968.40	$969.21

Each water customer will be charged a monthly service charge, according to the size of their water meter. The monthly service charge is billed even if there is no water consumption.

In addition to the monthly water service charge, each customer is billed a commodity charge of $4.10 per 1,000 gallons of water used.

If a customer lives outside the city limits, the customer is charged 200% for both the service and commodity charge.

Safe Drinking Water Fee

A $0.81 water service connection fee is included in each monthly service charge. The drinking water service connection fee was established in 1993 by the MN Department of Health to help fund program activities related to compliance with the federal Safe Drinking Water Act.

WASTEWATER TREATMENT RATES – Effective December 1, 2023

Meter Size	Monthly Charge
3/4 inch	$16.30
1 inch	$19.10
1 1/2 inch	$21.80
2 inch	$22.90
3 inch	$30.90
4 inch	$35.60
6 inch	$42.40

Each wastewater customer will be charged a monthly service charge based on the size of the customer’s water meter. The monthly service charge is billed even if there is no water consumption.

In addition to the monthly service charge, each customer is billed a commodity charge of $3.65 per 1,000 gallons of water used.

If a customer lives outside the city limits, the customer is charged 200% for both the service and commodity charge.

WASTEWATER DEBT SERVICE RATES – Effective December 1, 2023

Meter Size	Debt Service
3/4 inch	$5.00
1 inch	$6.50
1 1/2 inch	$9.00
2 inch	$11.00
3 inch	$15.50
4 inch	$19.50
6 inch	$27.50

Each wastewater customer is charged a monthly debt service charge based on the size of their water meter. This charge is to fund a portion of the upgrade and expansion of the wastewater treatment facility.

If a customer lives outside the city limits, the customer is charged 200% of the above wastewater rate.

WASTEWATER COLLECTION RATES – Effective January 1, 2024

This charge is billed on behalf of the City of Brainerd to cover the maintenance costs of the City’s wastewater collection system. Each wastewater customer will be charged a monthly service charge based on the size of the customer’s water meter. The monthly service charge is billed even if there is no water consumption.

Meter Size	Monthly Charge
3/4 inch	$6.55
1 inch	$14.00
1 1/2 inch	$19.85
2 inch	$36.25
3 inch	$56.25
4 inch	$105.00
6 inch	$140.00

In addition to the monthly service charge, each customer is billed a commodity charge of $1.37 per 1,000 gallons of water used.

If a customer lives outside the city limits, the customer is charged 200% for both the service and commodity charge.

SUMMER SPRINKLING RATES

Residential Customers

All residential customers are given a sprinkling credit on their wastewater treatment and collection rate for the billing months of June through September. The customer’s wastewater charges will be based on the customer’s average water consumption during the billing months of December, January, and February.

No residential customer will be allowed to install a separate water meter for a sprinkling system.

Commercial Customers

Commercial customers must purchase a separate water meter for irrigation purposes. The customer is then charged for the water usage on this meter for the months of May through September. No wastewater charges are billed for this meter.

Backflow Preventers

Both residential and commercial underground sprinkling systems shall have a backflow preventer installed in the main service connection to the sprinkling system that is in accordance with the MN Plumbing Code requirement.

STORMWATER

This charge is billed on behalf of the City of Brainerd. The revenue collected for this charge is used to maintain and improve the existing stormwater drainage system for impervious surfaces (where stormwater cannot penetrate into the ground). Residential customers are charged a $4.60 monthly fee and commercial customers are charged according to the amount of impervious surface their property has.

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AERIAL PHOTO OF BPU Service Center and Wastewater Treatment Plant