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52 <br />1985 Northern States Power General Rate Case. The SRA "pioneered" an issue as to fossil <br />fuel inventory. The SRA also helped maintain the municipal pumping rate, and defended prior <br />SRA accomplishments as to accounting practices. Very substantial savings were realized through <br />SRA intervention. This case was appealed to the Court of Appeals and the State Supreme Court <br />and the SRA (alone) participated with MPUC in successfully defending MPUC's action. <br />ESTIMATED COST SAVINGS FROM SRA EFFORTS <br />Tangible dollar savings from SRA efforts since 1977 to the taxpayer (through municipal <br />customer rates) and ratepayer in Twin City suburbs and beyond easily total in the millions of <br />dollars. The incremental reductions are often unnoticeable and small in amount to individual <br />ratepayers, but collectively over the years they are very significant. <br />Moreover, the above successes are unique to SRA and would not have occurred except <br />for SRA involvement. That is because there are a limited number of parties that have the <br />expertise or funding to participate in these PUC proceedings. Of those parties (state agencies, <br />industrial groups, environmental groups), only the SRA represents municipal interests and <br />suburban interests. Most of the issues noted above would not have been addressed if the SRA <br />had not been involved. A significant example of this is the elimination of the then US West <br />Tiered telephone rates in 1992. Without the SRA opposition to telephone rates that increased as <br />you moved away from the downtown areas of Minneapolis and St.Paul, one can assume such <br />tiered rates would have continued for many years beyond 1992, at greater expense to suburban <br />ratepayers. <br />The SRA has secured other intangible savings to its members through access to up-to- <br />date on right-of-way utility management, franchise agreements, wireless tower siting and other <br />issues vital to municipal regulatory powers. These are benefits all SRA members should take <br />advantage of at quarterly meetings and by request to general counsel, Jim Strommen at Kennedy <br />and Graven, 612-337-9233. <br />MEMBER ASSESSMENTS <br />The SRA members are assessed on the basis of population and voting power. Each 5,000 <br />in population or fraction thereof, is equal to one vote. For instance, a city of 23,000 would have <br />five votes. For fifteen years, the SRA's assessment per vote has not increased. Each vote equals a <br />$400 per year annual assessment. The SRA has been very fiscally responsible and benefits <br />greatly from the continued membership of its members. <br />355483v1 1MS SU160-3 6 <br />