NO Utility Committee Meeting - Reports Attached

MEMORANDUM CLERKS Date: September 10, 2026 To: Mayor, Common Council and City Administrator From: Gina Kozlik, Clerk Re: Utility Committee MEMORANDUM There are no items for review by the Utility Committee at this time that need to move forward. The usual department reports have been prepared and are attached for your information and review. 1 kWh Sold kWh Sold kWh Sold kWh Sold Aug-26 Aug-25 Aug-26 Aug-25 Residential 10,456,517 9,866,917 589,600 6.0% 59,234,677 57,490,343 1,744,334 3.0% Commercial 2,530,038 2,545,529 (15,491) -0.6% 18,088,166 17,518,732 569,435 3.3% Large Power 11,640,132 10,981,808 658,324 6.0% 78,722,629 78,513,984 208,645 0.3% Public Street/Hwy Ltg. 51,594 51,013 581 1.1% 440,580 428,269 12,311 2.9% Private Yard Lighting 2,027 2,125 (98) -4.6% 18,715 18,998 (283) -1.5% Total Electric Sales 24,680,308 23,447,392 1,232,916 5.3% 156,504,767 153,970,325 2,534,442 1.6% Gallons Sold (Thousands) Gallons Sold (Thousands) Gallons Sold (Thousands) Gallons Sold (Thousands) Aug-26 Aug-25 Aug-26 Aug-25 Residential 51,335 36,321 15,014 41.3% 250,137 220,197 29,940 13.6% Multi Family 7,396 6,863 533 7.8% 52,367 48,140 4,227 8.8% Commercial 21,586 17,153 4,433 25.8% 119,790 103,363 16,427 15.9% Industrial 3,573 3,087 486 15.7% 21,316 18,001 3,315 18.4% Public Auth/Muni 2,833 2,348 485 20.7% 11,787 10,567 1,220 11.5% Total Water Sales 86,723 65,772 20,951 31.9% 455,397 400,268 55,129 13.8% Gallons Sold (Thousands) Gallons Sold (Thousands) Gallons Sold (Thousands) Gallons Sold (Thousands) Aug-26 Aug-25 Aug-26 Aug-25 Residential 22,319 21,607 712 3.3% 181,670 178,125 3,545 2.0% Commercial A 10,845 9,634 1,211 12.6% 71,209 94,316 (23,107) -24.5% Commercial B 9,279 7,654 1,625 21.2% 74,853 38,678 36,175 93.5% Industrial A 2,359 1,718 641 37.3% 13,625 10,991 2,634 24.0% Industrial B 238 528 (290) -54.9% 3,796 3,358 438 13.0% Total Gallons Treated 45,040 41,141 3,899 9.5% 345,153 325,468 19,685 6.0% Note: Quantities sold are amounts invoiced during the month. Due to the timing of billing cycles, the amounts may not match consumption during the calendar month. Y:\Utility Billing\Committee\[Sales Table for Committee 2026.xlsx]Aug 2026 WATER Volume Increase (Decrease) Percent Increase (Decrease) Volume Increase (Decrease) Percent Increase (Decrease) WASTEWATER Volume Increase (Decrease) Percent Increase (Decrease) Volume Increase (Decrease) Percent Increase (Decrease) OCONOMOWOC UTILITIES - VOLUME STATISTICS Current Month Year To Date ELECTRIC Volume Increase (Decrease) Percent Increase (Decrease) Volume Increase (Decrease) Percent Increase (Decrease) 2 Oconomowoc Utilities: Monthly Volume & Revenue Summary Note: Charts exclude non-metered revenue (pole attachments, etc.) Note: Quantities represent amounts invoiced. Due to timing of mid-month billing cycles, line-loss, etc., amounts will differ from volume purchased from WPPI. Note: Charts exclude non-metered revenue (fire protection, etc.) Note: Quantities represent amounts invoiced. Due to timing of mid-month billing cycles, main-breaks, etc., amounts will differ from volume pumped at well sites. Note: Charts exclude adjoining sanitary districts and non-metered revenue (septic disposal, etc.) Note: Quantities represent amounts invoiced. Due to timing of mid-month billing cycles, external sanitary districts, rain-seepage, etc., amounts will differ from volume received at treatment facility Y:\Utility Billing\Committee\[Sales Summary Charts 2026.xlsx]UC Report 2026 WaterWastewater Metered Volume Units Metered Revenue Dollars Electric 0 5 10 15 20 25 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million kWh 2024 Total 2024 Lg Pwr 2024 Res 2024 Com 2025 Total 2025 Lg Pwr 2025 Res 2025 Com 2026 Total 2026 Lg Pwr 2026 Res 2026 Com 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million $ 2024 Total 2024 Lg Pwr 2024 Res 2024 Com 2025 Total 2025 Lg Pwr 2025 Res 2025 Com 2026 Total 2026 Lg Pwr 2026 Res 2026 Com 0 10 20 30 40 50 60 70 80 90 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million Gallons 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 0 100 200 300 400 500 600 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Thousand $ 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 0 5 10 15 20 25 30 35 40 45 50 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million Gallons 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 0 50 100 150 200 250 300 350 400 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Thousand $ 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 3 Oconomowoc Utilities: YTD Volume & Revenue Summary Note: Charts exclude non-metered revenue (pole attachments, etc.) Note: Quantities represent amounts invoiced. Due to timing of mid-month billing cycles, line-loss, etc., amounts will differ from volume purchased from WPPI. Note: Charts exclude non-metered revenue (fire protection, etc.) Note: Quantities represent amounts invoiced. Due to timing of mid-month billing cycles, main-breaks, etc., amounts will differ from volume pumped at well sites. Note: Charts exclude adjoining sanitary districts and non-metered revenue (septic disposal, etc.) Note: Quantities represent amounts invoiced. Due to timing of mid-month billing cycles, external sanitary districts, rain-seepage, etc., amounts will differ from volume received at treatment facility. Y:\Utility Billing\Committee\[Sales Summary Charts 2026.xlsx]UC Report 2026 WaterWastewater Metered Volume Units Metered Revenue Dollars Electric 0 50 100 150 200 250 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million kWh 2024 Total 2024 Lg Pwr 2024 Res 2024 Com 2025 Total 2025 Lg Pwr 2025 Res 2025 Com 2026 Total 2026 Lg Pwr 2026 Res 2026 Com 0.0 5.0 10.0 15.0 20.0 25.0 30.0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million $ 2024 Total 2024 Lg Pwr 2024 Res 2024 Com 2025 Total 2025 Lg Pwr 2025 Res 2025 Com 2026 Total 2026 Lg Pwr 2026 Res 2026 Com 0 100 200 300 400 500 600 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million Gallons 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Thousand $ 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 0 50 100 150 200 250 300 350 400 450 500 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Million Gallons 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Thousand $ 2024 Total 2024 Ind 2024 Res 2024 Com 2025 Total 2025 Ind 2025 Res 2025 Com 2026 Total 2026 Ind 2026 Res 2026 Com 4 COMMITTEE REPORT – September 2026 Utility Billing High Utility Consumption – In the month of August, both the electric and water utilities recorded their second ever highest volume of monthly sales. The electric utility had sales of 24.68 million kWh and the water utility sold 86.72 million gallons These were both only exceeded by sales in July 2012 (24.75 million kWh and 97.19 million gallons). The two tables shown below list the monthly sales volume, with the highest monthly total shown in red and lowest in green with shading for the months between. The electric utility had higher overall energy sales in the early years (2009-2015) relative to more recent years. This is due to the loss of some larger industrial customers that have outpaced the growth in the number of residential customers. Currently 88% of our customers are residential, but represent only 37% of total electric consumption. The water utility has experienced large improvements in efficiency from residential customers. Most years this was enough to offset the growing number of customers. The water utility had lower recent years of total consumption in 2015-2019. Unlike electric, residential customers represent 89% of total water gallons sold. With continued growth, the most recent three years show the highest monthly totals. 5 In total, annual electric consumption continues to be relatively flat. The below chart uses the prior three years to project sales for the rest of 2026. This anticipates annual sales of about 229 million kWh. Total annual water sales are projected to be about 662 million gallons (blue, below). The wastewater utility doesn’t benefit from increased summer usage for lawn watering (green, below). However wastewater sales to city customers is projected to surpass 500 million gallons for the first time. Accompanying the increase in electric sales, the electric utility received the highest ever invoice from WPPI for purchased power. This was the first time the total exceeded $2.5 million. Some of the increase was due to scheduled summer increases in the Demand Charge rate, which will start decreasing next month. The Energy Cost Adjustment rate also added to the total, due to overall supply & demand adjustments in the market price of energy that WPPI wasn’t able to purchase in advance. John Schuh, CPA Utility Accounting Manager 6 COMMITTEE REPORT – September 2026 Oconomowoc Electric Utility Did you know? In last month’s utility billing report, John Schuh, gave a good explanation of why Oconomowoc Utilities is looking to join other WPPI members by adopting a new electric tariff adjustment for parallel generation customers (rooftop solar) with generation facilities rated 20 kW or less. On September 15, 2026, I will be presenting the new Pgs-1 rate topic to the Committee of the Whole, looking for formal approval on October 6, 2026, to proceed with officially joining the WPPI group rate filing. We currently have 99 customers on the Pgs-1 rate. This rate structure costs the utility over $57,000 annually. Project Updates: As of September 8, 2026.  The following projects have been completed: o Pabst Farms Metro Market: transformer replacement  Existing transformer had severe corrosion issues. o Completed repairing the “hot spots” found to date by our annual infrared testing program o Lisbon Rd switchgear replacement: We upsized a switchgear that had 40-amp max fuses to another switchgear where we could install our standard 125E sized fuses. Earlier in the summer, the smaller switchgear caused a larger outage than necessary when a transformer failed on Roland St. o 1620 Pabst 59 Apartments – new service energized o Earling Ct #6 – we upsized a transformer that was overloaded. o Prairie Creek subdivision Phase 11 – new electrical distribution and transformers installed Services:  New Services/Meters: o 7 new residential services and 19 new electric meters were installed in August. o PSC required periodic testing of three phase electric meters is taking place for 2026. o 17 meters have been changed out for the PSC required testing/replacement of single- phase meters in August.  Customer calls/issues: o 8/12/26: 1299 Wild Rye – transformer failure - replaced. o 8/13/26: Lisbon and Pine St. – Street contractor hit secondary cable causing outage to 3 customers - repaired o 8/18/26: Morgan Rd. – tree branch removed from OH wires – 2 customers out o 8/29/26: 1530 Allen Rd: homeowner dig-in – no locate – 4 customers out o 9/1/26: Streetlight pole damaged by a hit-and-run vehicle on N Lake Rd/Greenland Ave. 7 Traffic Control Lights:  Timed crosswalks have been installed at the intersection of Main St and Wisconsin Ave. Substations:  Nothing new to report. Training:  In August the following training occurred: o Week of 8/10/26: Apprentice Nathan James attended Year 2, Week 1 apprentice school o Week of 8/17/26: Apprentice David Arnott attended Year 4, Week 1 apprentice school o 8/25/26: MEUW annual training on confined space entry by all line crew personnel. Major projects that have been started and/or are in the works:  Olde Highlander #4 switch relocation  Burtonwood subdivision: replace distribution cable in area due to age and condition  Lake Bluff Dr extension: install new streetlights – waiting for binder asphalt  The Social – new electrical service to building renovation project (waiting for customer to pour the transformer pad)  Prairie Creek #11 – install new streetlights after new sidewalk is installed         Annual Infrared testing of electrical equipment is nearing completion Sincerely, Kevin Kaari Utility Manager City of Oconomowoc kkaari@oconomowoc-wi.gov 8 COMMITTEE REPORT- September - 2026 Water Utility The following are updates for ongoing projects:  Annual Street Program project o Lisbon Rd watermain work – crews completing final testing, sampling and connections to the system, bringing the new watermain, valves, hydrants and service online from N. Lake Rd to Pine St o W. Wisconsin Ave – 12-inch water main installation to begin 9/14/26  Well 8 Pumping Station o Permanent A/C unit for the SCADA room – 50% complete o Reviewing final Pay Application (#13) o Submit final SDWLP reimbursement request following final Pay App Specialty Work:  Clean/inspect Ground Storage Reservoir at Well 7 and Powerhouse – complete  Valve Turning – Continue progress on goal of 500 valves exercised per year  GIS – Water Capital Improvements Planning (CIP) tool to be coordinated with recently completed DPW CIP tool to aid in short long term Annual Street project scheduling. Customer Interactions:  22 new water meters were installed  100 meter exchanges performed (194 remain for 2026 requirement)  0 water quality complaints Special Report: 2026 Lead & Copper Water Sample Results and Next Steps Between June and September 2026, 32 lead and copper compliance water samples were collected as required by the Wisconsin Department of Natural Resources (WDNR) and the drinking water standard established in the Wisconsin Administrative Code NR809 dealing with lead and copper. Four of the 32 samples collected exceeded the Action Level (ALE) for lead of 15 parts per billion (ppb) for lead. This triggered a city-wide Tier 1 Public Notice, which was posted on our City’s website and social media pages and posted at many local public buildings on 9/1/26, within 24 hours of receiving the lab test results. Additional requirements of the ALE for lead include - Collect additional source water samples and test for lead - Collect additional water quality parameter samples at 10 different distribution sites, twice - Make available Public Education information on lead - Complete a Corrosion Control Study - Create or revise a City-wide lead service line (LSL) Replacement Plan The water we pump from our 7 municipal wells does not have lead in it and is safe to consume. Less than 20% of properties have water service lines with lead material. Lead can be present in laterals, older private-side plumbing with lead fixtures or solder. Note: Yellow, cloudy, rusty, and other water quality issues are not being caused by the number or locations of lead water service lines in our system. These are normal characteristics of groundwater wells and one of the reasons we flush hydrants two times each year to try to remove these known sediments from groundwater. Respectfully Submitted: Scott Osborn P.E. Water Superintendent 9 Wastewater Utility Committee Report September 2026 I. Accomplishments: a. The Notice to Proceed has been exercised with Donohue and Associates. A kickoff meeting has been scheduled. We anticipate this work will take 18 to 22 months. b. The second Grit System “tea cup” has been repaired and installed. This was a very quick turnaround from the contractor. II. Upcoming Priorities: a. Work is ongoing on the chloride Source Reduction Measures (SRM) items for 2026. b. Installation of lift station communication devices is ongoing. As of this report 6 units have been installed. Staff are working with the vendor to fine tune the user interface for our needs. c. Staff has elected to move forward with the Fiix Maintenance Software package. Work will begin, in-house, to populate this software and incorporate into our daily workflow. d. Annual industrial sampling in the collection system is being planned for the first part of October. III. Utility Tasks: a. One of the two pumps at Madison St. lift station has failed. Both pumps had been planned to be re-built in 2026. We are expediting repairs and have verified our backup trailer mounted pump can serve an alternative pumping method if needed. This pump is still out of service. We anticipate return in mid- September. b. An influent pump was removed for planned rebuilding service. This was included in the budget for 2026. IV. OWPP: a. The newly released newsletter is available on the city website Oconomowoc Watershed Protection Program - OWPP | City of Oconomowoc, WI - Official Website b. A new website for OWPP will be active in the coming weeks c. OWWP finished its first summer internship program, welcoming a student from UW-Milwaukee. Overall, the program was a great success. V. Safety: a. This past month’s training included: i. First aid/CPR, AED – 3 sessions ii. Confined Space Field Exercise – Electric iii. Safety Refresher Handout – Heart Health, Stinging insects b. Safety inspections/audits included observation of: i. Forklift driver evaluations – (3) Electric Dept. ii. Asphalt nstallation (DPW) iii. Setting transformers (Elec.) iv. Unloading material (DPW) 10