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May 21, 1981 <br />TED GLASRUD ASSOCIATES, INC. <br />151 EAST COUNTY RQ O S 2 • ST PAUL. MINNESOTA 5.'117• PHONE C6121463 2651 <br />City Council <br />c/o Joe Chlebeck <br />515 Little Canada Road <br />Little Canada, Minnesota 55117 <br />Re: Utility Penalty Assessments <br />Dear Councilmen, <br />We have completed our review of the utility related penalty <br />assessments imposed by the City of Little Canada against Ted <br />Glasrud Associates, Inc. (TGA) A summary of our findings is as <br />follows. <br />* The total penalty paid between February 1979 and February <br />1981 was $6,699.97. Of this amount $2,349.65 related to <br />payments that were less than 30 days delinquent, with a <br />total of $5,044.85 relating to payments less than 60 days <br />delinquent. <br />Our calculation indicate a penalty at 18% to be $1,507.38 <br />resulting in a $5,192.59 difference between what was actually <br />assessed and an 18% charge. <br />* TGA's payment process is directed at the payment of invoices <br />received between the first of the month and approximately the <br />7th to the 10th of the of the month. <br />All invoices in this time frame are coded, reviewed, approved <br />and processed for payment. <br />Checks are normally sent out between the 15th and 20th of the <br />month. Invoices not received by the monthly cut -off are <br />included in the following month for payment. <br />Only original invoices are paid. All second billings or notices <br />received on invoices in process are disregarded to avoid double <br />payment. Our records indicate only one instance where a late <br />notice was paid rather than an original invoice. We do not <br />dispute however, that these notices were indeed sent. <br />1WIE) <br />2 <br />MAY 27 1981 <br />CITY OF <br />LITTLE CANADA <br />