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SMU News Archives

SMU and iN DEMAND Announce 2006 Season of 
"NASCAR IN CAR" On SMU Digital Cable

   (January 23, 2006) — NASCAR, America’s premier motorsport, Spencer Municipal Utilities and iN DEMAND announce the addition of NASCAR IN CAR on SMU Digital cable. 
   The 2006 NASCAR IN CAR subscription package is available to digital cable customers nationwide, and will include all 36 NASCAR NEXTEL Cup Series points races. 
   SMU Digital cable customers can check out NASCAR IN CAR for free with a Free Preview during the 2006 Daytona 500 on Sunday, February 19th. The Free Preview is available on channels 303-308 of SMU Digital Cable. 
   Subscribers who order the package by Feb. 26, 2006, will save $20 off the package with a special Early Bird price of $79. You can order NASCAR IN CAR by calling SMU at 580-5800.
   This digital cable package offers fans six in-car camera channels featuring live team audio communications and real-time in-car data displayed on virtual dashboards. NASCAR IN CAR uses technology that allows viewers switch from car to car with their remote and feel the rush, adrenaline and power of NASCAR. With NASCAR IN CAR on digital cable, viewers experience NASCAR NEXTEL Cup Series racing from the driver’s seat. 
   “We are thrilled to be providing more value to digital cable by offering ‘NASCAR IN CAR’ to our digital subscribers,” said Curtis Dean, SMU Information Director. “We are proud to provide our consumers with quality and valuable programming with the Emmy award-winning NASCAR IN CAR package.” 
   Log on to www.goincar.com for package information, a demonstration of NASCAR IN CAR, frequently asked questions, and much more. 
   iN DEMAND, the world's leading PPV and VOD provider, delivers television premieres of the best movies, championship boxing, mega-event wrestling, professional and college sports, plus original entertainment. The company's shareholders are Comcast iN DEMAND Holdings, Inc., Cox Communications, Inc. Time Warner Entertainment - Advance/Newhouse Partnership. Further information about the company can be found on the Internet at www.indemand.com. 
   

SMU Board of Trustees Approves Water Rate Increase

   (January 11, 2006) -- Domestic water rates will be rising for the first time in seven years this winter.
   At their January meeting, the SMU Board of Trustees approved an increase in water rates for both domestic (indoor) use and outside usage.  For most residential customers, the increase will amount to $2.00 and $4.00 a month.
   The rate for outdoor water usage, typically used for lawn sprinklers, will also go up by 25 cents per thousand gallons.
   The new rate schedule is as follows:

   The new rates will go into effect with water consumption beginning on February 28, 2006.

2006 Energy Efficiency Rebate Program

   (January 11, 2006) -- The SMU Board of Trustees has approved the 2006 Energy Efficiency Rebate Program that gives customers rebates for the purchase of energy-efficient devices for their homes or businesses.
   The program includes rebates of up to $300 for highly efficient central air conditioners, up to $600 for air source heat pumps, $200 per ton for ground source or geothermal heat pumps, and $10.00 per kilowatt for electric heat.
   "With higher natural gas prices the past couple of years, we've seen a large number of customers convert their homes to electric heat," says Curtis Dean, SMU Information Director.  "A combination system utilizing a heat pump and electric heat can save customers significantly compared to older furnaces."
   Efficient water heaters, dishwashers, refrigerators, and clothes washers are also eligible for rebates ranging from $25.00 to $150.00.
   Businesses can receive rebates on the items listed above, and are also eligible for sizeable rebates for energy efficient lighting and electric motors.  
   A complete copy of SMU's 2006 Rebate Program is available at our office, or can be viewed on the SMU website by following this link.

TV Station Update

   (January 3, 2006) -- For the past several weeks, SMU has been negotiating with the TV stations that we currently carry for permission to continue carrying those stations for another three years.  Under Federal Communications Commission rules, cable companies must receive permission to carry TV stations every few years.  In the case of SMU, all of the agreements ran out on December 31, 2005.
   Fortunately, SMU was able to negotiate new agreements or extensions before the deadline, and all of our TV stations remain the same as the new year arrived.  However, some of those extensions expire at the end of January or the end of February.  So depending on the outcome of these negotiations, some of the channels may change.  If any changes take place, SMU will try to provide as much notice as possible to customers.

Mark Your Calendars For The SMU HiDef Big Game Bash

   (December 30, 2006) -- Football fans will have a feast for the eyes during this year's Super Bowl.
   For the first time, the Super Bowl will be available in High Definition in Spencer on KSFY-DT, the ABC affiliate from Sioux Falls (Channel 211 for SMU HiDef customers).  And SMU is proud to host the first ever HiDef Big Game Bash during the game on Sunday, February 5th at 4:30pm at the Clay County Regional Events Center.
   You're invited to join us for football, food, and fun.  Admission to the game will be one non-perishable food item per person to benefit the food pantry at Upper Des Moines Opportunity.  Beverages and food will be available for purchase.
   Several of Spencer's electronics retailers will be on hand with big-screen High Definition televisions to watch the game on.  There will be prize drawings at the end of each quarter, along with other contests and games.  
   Plus, if you're in the market for a high definition television, this will be a great place to talk to the local dealers, find out more about which models are available, and maybe even take one home!  SMU representatives will also be on hand to tell you more about SMU HiDef Cable and DVR...Digital Video Recorder.
   We hope you'll mark your calendar and join us for the SMU HiDef Super Bowl Party on Sunday, February 5th at the Clay County Regional Event Center.

Early Departure For SMU Hawkeye Road Trip

   (November 10, 2005) --The SMU Hawkeye Road Trip is getting ready to make the annual pilgrimage to Kinnick Stadium in Iowa City.  This year's trip will begin well before dawn.
   Due to an early (11am) kickoff, the bus will leave SMU at 4:00am on Saturday, November 19th for the Iowa-Minnesota game.  People who are already signed up for the trip will receive information in the mail in the next couple of days.
   There are still a couple of tickets available.  The cost is $105, which includes round-trip motor coach transporation, a game ticket, and a train ticket for the "Hawkeye Express" train.  If interested, contact Curtis Dean at 580-5800.

Spencer Responds To Allegations Made By Anti-Municipal Groups

   (November 4, 2005) --TV viewers, radio listeners, and newspaper readers in central and eastern Iowa have been bombarded with negative ads urging a no vote in upcoming communications utility elections.  The groups running these ads, such as the Project Taxpayer Protection Campaign, Citizens for Common Sense Solutions, and others are essentially front groups for companies like Mediacom, Qwest, and Iowa Telecom that want to preserve their monopoly in these towns.  In addition to the barrage of TV and radio ads, people in these towns have also received several color glossy brochures filled with false claims, and have been subjected to frequent phone calls.
   Some of these ads falsely claim that the Spencer Municipal Utilities (SMU) communications utility is a failure.  They use misleading statistics, made-up numbers, and ridiculous conclusions to bash SMU and the community of Spencer.  This isn’t the first time that these companies have said untrue things about SMU’s communications utility.  However we are concerned that Spencer as a community is becoming a casualty.  These ads are saying untrue things about our community in an attempt to scare people into voting no. 
   Over the past several days, SMU has fielded several calls from citizens in towns like Hampton , Carlisle , Vinton, Charles City , Maquoketa, and Iowa Falls .  These people heard the ads, and decided that the claims sounded suspicious.  Rather than simply believe what they were seeing or hearing, they decided to seek the truth for themselves.  We appreciate their individual efforts to find out the real story in Spencer.  Unfortunately, most people that hear the ads will simply accept them as fact.
   While SMU does not take a stand on how people in these towns should vote, we DO take a stand on the slanderous claims that are being made about our community by these ads.  Spencer, and the SMU communications utility, are by no means the financial disaster that these ads portray.  Our municipal communications utility is paying its bills, and is saving our citizens millions of dollars in lower rates in the process.  Our electric and water rates are not going up because of the presence of a communications utility, and neither are taxes.
   If people would like to know more details about the SMU communications utility’s financial health, we encourage them to visit a new website, www.iowamunicipals.com, and click the “Truth About Spencer” link on the left side of the screen.  We invite you to examine SMU’s 2004 audit report at www.smunet.net/04audit.pdf.  Or better yet, stop by our office or call us and we’ll answer all your questions.  
   Spencer is a wonderful town filled with community-minded people with a can-do spirit.  We’ve shown that can-do spirit over and over again.  We’ve expanded our hospital and added new services to improve health care in our community.  We’ve rebuilt our downtown district with a new streetscape.  We’ve enhanced our parks and recreation infrastructure with new trails, a skate park, new playgrounds, and a family aquatic center.  We’re building a new fire station and a new middle school.  We’ve seen growth in housing, in retail, and in industry where some other communities have seen stagnation.  We’re proud of what Spencer is today and what it will be in the future.
   Part of what Spencer is lies in our community-ownership of our electric, water, and communications utilities.  Each of these utilities has a record of service and financial stability that have added value to the quality of our lives.  We pay some of the lowest rates for electricity, water, cable TV, Internet, and telephone in the state of Iowa .  The money we save gives our families and businesses more money to spend on things like food, clothing, housing, and recreation.  And because our utilities-all of our utilities-have strong financial health, they have been able to reinvest in the community for projects that citizens support.  Although just celebrating our 5^th birthday, our communications utility has already provided over $200,000 in direct support for economic development and community projects.  What have the private providers done in this regard?
   Contrary to what you may have seen or heard, Spencer , Iowa is a great place to live, work, and raise a family.   And we are very lucky to be able to choose a locally-owned, not-for-profit company for our vital utility services.  

THE TRUTH About Spencer’s Municipal Communications Utility

  Groups who are opposed to municipal communications elections on November 8^th-and the large private communications companies that bankroll their VOTE NO efforts-have spent several weeks bashing municipal communications utilities in Iowa , including Spencer. 
   Spencer Municipal Utilities has prepared this document to spread THE TRUTH about SMU’s communications utility.

Click here to view THE TRUTH About Spencer's Municipal Communications Utility (PDF).

SMU Response To 
“ Iowa Municipal Communications Systems:  The Financial Track Record” by Dr. Ronald Rizzuto on behalf of The Heartland Institute

 Recently, the Heartland Institute issued a report that was critical of Spencer’s municipal communications utility.  Spencer Municipal Utilities (SMU), one of the targets of this report, believes the report’s source, methodology, and motives are all suspect.  The report also ignores the very reason why Spencer has a municipal communications system in the first place.

The Source

The source of the report, the Heartland Institute, is an organization that consistently advocates privatization of government services and does not disclose its funding sources.  The author, Dr. Ronald Rizzuto is a long-time critic of municipal utilities who has previously served as a paid consultant for large private telecommunications companies.   

The Methodology

The methods used in the report lead to conclusions that are at best misleading, and at worst just plain deceitful.  The indexes and methods used in the “analysis” of our communications utility’s financial health are not applicable to SMU’s situation.  Indeed, if you applied those same methods to many other successful businesses, you would find similar negative results.  Taken as a whole, the report appears to be the result of starting with a conclusion (that municipal communications utilities are bad), and then finding whatever material the author could to support that conclusion while ignoring all facts that dispute it. 

Those facts, which directly contradict the reports conclusions, include many tremendous positives that a communications utility has brought to Spencer.  Citizens have saved almost seven million dollars in cable TV and broadband internet rates in the last five years compared to neighboring towns.  That’s approximately $1,400 for every household in Spencer.  That’s money that our citizens used to purchase groceries, clothing, health care, and housing.  The SMU communications utility has provided over $200,000 in funding for local economic development and community improvement projects in the past three years.  We’ve partnered with over a dozen small rural communications providers to share resources and empower those companies to bring enhanced service to their customers.  And we’ve done it all with absolutely no tax dollars being spent.  Additionally, the statements about electric rates being raised to subsidize the communications utility are not true.  

The Motives

Finally, we would like to address the motive behind the report and its timing.  In the last sentence of the report’s introduction, the author writes, “ Iowa ’s experience with municipal communications services should serve as a warning to other states and municipalities considering similar enterprises.”  That sentence would seem to indicate that the report’s true target is not Spencer, Cedar Falls , and Muscatine , but rather the 26 Iowa cities that will vote November 8^th on municipal communications referendums.  During the next six weeks, the giant telecommunications companies are expected to spend hundreds of thousands of dollars and use any method they can think of to scare citizens of those communities into voting no.  The report may also be timed to continue pressure on the Iowa Legislature to place restrictions on municipal communications providers in advance of the 2006 session.   

Why Municipal Communications?

It is important to understand why Spencer Municipal Utilities got into the communications business in the first place.  It was because the people of Spencer, through 91% voter approval on a referendum, asked for a better way..  They asked why they had to continue paying big companies for inadequate services.  They asked why their rates were going up but the product wasn’t getting any better.  Businesses asked why they couldn’t get service at all in some cases. 

The answer to Spencer’s question was indicative of the can-do attitude our community has always possessed.  The people of Spencer decided to do it for themselves.  They have done it for themselves, making their community a better place to live, work, and thrive.  These successful results can’t be negatively spun by a hired gun from the corporate world. 

Conclusion

While Spencer’s answer was to build our own communications utility, every community is different.  Each community should evaluate all their options, including working with existing providers, to determine which path will best help them obtain their goals. 

This isn’t the first time SMU has been attacked by large communications companies, and it won’t be the last.  We will not allow their unfair charges to distract us from our mission:  to provide the people of Spencer with the best possible service at the lowest possible cost.

SMU Board Adopts Energy Cost Adjustment

   ( July 26, 2005 ) – The SMU Board of Trustees has unanimously approved the implementation of an “Energy Cost Adjustment” for electric consumption beginning September 7, 2005 .
   The Energy Cost Adjustment, or ECA, is designed to help SMU recover increased power supply costs that are caused by fluctuations in the price of purchased energy.  Earlier this year, SMU adopted an increase in the base electric rate that was designed to allow SMU to earn enough revenue to meet operating expenses and maintain a strong debt coverage ratio.  However, some unexpected bumps in power supply costs have increased expenses faster than expected.  To maintain the overall financial health of the electric utility, and to keep a good bond rating, SMU needs to raise revenue.  Rather than adopt another base rate increase, the SMU Board opted for the ECA as a more flexible approach to fluctuating energy costs.
   The ECA will be calculated each month based on the rolling 12-month average of energy costs for the previous year, using 2004 energy costs as a baseline.  For example, average energy costs for the 12 month period ending in May of 2005 were approximately 0.44¢ higher than the 2004 base energy cost.  An ECA of 0.44¢ (less than half a cent) would be multiplied by total kilowatt-hours usage and added to the bill.  The average energy usage for all SMU residential accounts is approximately 1,000 kilowatt-hours per month, so the ECA charge for this example would be approximately $4.40.  The actual ECA that will be charged in September and following months will vary from this example because the months included in the 12-month average will be different.
   SMU will include a detailed explanation about the energy cost adjustment in its monthly statements beginning later this week.  Customers with questions about the ECA can call SMU at 580-5800, or email them at customerservice@smunet.net.  
   For more details about the Energy Cost Adjustment, click here to view and print a PDF copy of the customer letter that will be included with August bills. 

SMU Distributes 2005 Consumer Confidence Report

   (July 1, 2005) – Spencer Municipal Utilities has completed distribution of its annual report on water quality to customers.
   The 2005 Consumer Confidence Report was included with regular monthly utility billing statements in June.  Customers in the final billing cycle received their copy of the report this week.
   As in past years, SMU reports a clean bill of health from the EPA, with no violations of EPA rules for water contaminants.  
   In addition to information about what contaminants were detected and at what levels, the report also includes important health information, and general information about SMU's water source and treatment proceedures.
   Customers who did not receive a copy of the 2005 Consumer Confidence Report can click here to view and print a PDF version.  Additional paper copies are also available at SMU's office, Spencer City Hall, Spencer Public Library, and the Spencer Area Senior Center.

SMU Welcomes New Members of SMU Cable Programming Committee

   (June 13, 2005) – The SMU Board of Trustees has appointed three new members of the SMU Cable Programming Committee.
   Joining the ranks of the committee are Rachel Gardner, Kate Morales, and Vern Pepper.  Gardner will fill an unexpired term vacated by Emily Haisman-Gross this spring.  She will serve until June 30, 2007 at which time she would be eligible for a full, three-year term.  Receiving full three-year terms were Morales and Pepper, who replace long-time Committee members Sara Van Buren and Lane Kunath.  Committee Vice-Chair Steve Trojahn, whose first full term expires at the end of June, was reappointed to a second term.
   The SMU Cable Programming Committee consists of seven Spencer citizens who decide what cable TV channels are available on the SMU system.  They hold public meetings at least every quarter.  Citizen input is always welcome.

SMU Lieu Of Tax Contribution Helps Fund City Operations

   (March 10, 2005) – The SMU Board of Trustees has authorized a transfer of funds to the City of Spencer as part of its annual "Lieu Of Tax" resolution.
   The Board approved the measure at their March meeting.  For 2005, SMU's payment to the city in lieu of taxes will amount to $418,373.  That amount equals five percent of SMU's electric revenue after county taxes ($374,081) olus five percent of water revenues ($44,292).
   As a municipal utility, SMU's electric and water systems are not required to pay property taxes on electric and water utility property within the city limits.  SMU does pay approximately $9,400 in property taxes to Clay County for electric transmission lines owned by SMU that are not in the city limits.  SMU also pays some property taxes to other counties where transmission lines are located, and is centrally assessed property taxes for telephone property used by the communication utility.
   Since 1943, SMU has transferred over $9.6 million to the City of Spencer in lieu of taxes.  In addition, SMU has contributed over $3 million to the City over the years for other projects, including the Spencer Family Aquatic Center, the Abben Cancer Center, street projects, and the airport.

SMU Board Approves Rate Increase For
Outside Water Usage

   (March 10, 2005) – Customers who have a separate water meter for outside water usage will see a slight increase in their bills this summer due to a rate increase approved this month.
   The SMU Board approved an increase of 25 cents per thousand gallons of outside water usage at their March meeting.  The increase will be effective for outside water usage beginning April 18th.  The new rate will be $2.25 per thousand gallons of water.
   There are approximately 800 outside water meters in SMU's service area.  The meters are primarily used for lawn sprinklers.  By hooking up to a separate meter for outside usage rather than to their domestic (home) system, customers can avoid paying sewer fees on the water that is used outside.
   Outside water usage has accounted for much of the growth in Spencer's water consumption over the past several years.  In 2004, outside usage accounted for approximately 11% of SMU's total water sales.
   SMU encourages customers to use outside water wisely and conserve whenever possible. 

SMU Board Approves Electric Rate Increase

   (January 12, 2005) – The SMU Board of Trustees has approved an increase in electric rates for all customers, effective with consumption beginning March 1, 2005.  The increase was approved by the Board at their regular monthly meeting this morning.
   Overall, SMU's electric rates will increase by approximately 10% in 2005, with additional increases possible in 2006 and perhaps in 2007.  SMU has also restructured rate classes so that rates more fairly reflect the actual cost to serve particular classes of customers.
   The increase is necessitated by several factors beyond SMU's control, particularly rising costs for power supplies and the need for SMU to invest in new power generation sources.  For example, during the decade of the 1990's, SMU's power costs increased a total of 47%, or about 4.7% per year.  Since the turn of the century, power costs have risen at almost double that rate, or a total of 44% in just 4 years.  The rate increase is designed to help offset those added power costs, plus provide financial stability to support SMU's investment in the new Council Bluffs 4 coal power plant that is under construction.  SMU has issued approximately $9 million in electric revenue bonds to finance a portion of that plant, and the increased revenue will help SMU maintain a strong bond coverage ratio.
   "No one likes a rate increase," says Curtis Dean, SMU Information Director, "but Spencer citizens can take some comfort that even with this increase, they still enjoy some of the lowest rates in the state of Iowa." 
   One of the primary differences that customers will notice will be the implementation of a "meter charge".  The meter charge will be $9.75 for residential customers, $14.00 for general service commercial customers, $25.00 for small commercial/industrial customers, and $29.00 for large commercial/industrial users.  All customers will pay the meter charge regardless of the amount of electricity they use.  The meter charge is designed to recover the cost to maintain the meter and the customer's electrical connection, plus the costs to provide billing and customer service.
   The net bottom line will vary by customer, but a typical residential customer that uses 750 kilowatt-hours of electricity a month will see an increase of $6.50 a month.
   A letter with a detailed explanation of the rate changes will be included in customer bills in January and February.
   For a detailed chart of the new RESIDENTIAL RATES, click here.
   For a detailed chart of the new GENERAL SERVICE COMMERCIAL rates, click here.

SMU Utility Bills To Receive New Look

   (December 1, 2004) – Major changes in the SMU electric and water billing system will mean a totally new bill beginning this month.
   Over the past six months, SMU has been in the process of upgrading its existing utility billing software with new, state-of-the-art equipment.  After months of preparation and training, the new system is now online, with the first "new look" bills ready to be printed this month.
   SMU's old billing software was installed 20 years ago.  Although some of the hardware was replaced over the years and software was updated, it was still based on an antiquated system.  The new billing software is PC-based, allowing for many increased functions and ease of use.
   For customers, the biggest change will be in the format of the bill.  After 20 years of postcard-sized bills, customers will now receive a full-page bill in an envelope.  The new bill will have more detail about your energy and water use and will be easier to read.  As always, you'll be able to pay your bill at our office, our drive-up window or drop box, by mail, by credit card, or by an automatic bank withdrawal.
   In addition to charges for SMU electric and water, the bill also includes sanitary sewer and solid waste charges on behalf of the City of Spencer.
   For a look at SMU's new bill and an explanation of its features, click here.

Weather Channel Receives Upgrade

   (November 4, 2004) – SMU Cable TV customers will notice a pleasant change the next time they tune to The Weather Channel, SMU Cable Channel 23.
   On November 3rd, SMU completed a major upgrade to the equipment used on The Weather Channel.  The new IntelliStar equipment is the next generation weather localization technology from The Weather Channel.  IntelliStar provides enhancements to the local weather content viewers see during the Local on the 8's segments.
   New features during Local on the 8's include zoomed-in local radar, graphical regional conditions, and "Vocal Local", where a voice reads the actual forecast.  This feature is designed to allow persons with sight impairments to receive current conditions and local forecast information.
   During the entire hour, viewers will also be able to see the current temperature and conditions on the bottom of the screen constantly. 
   The Weather Channel is part of SMU's Basic cable service, available throughout Spencer.

Committee Finalizes New Channels, Recommends High Definition Cable Channels

   (October 13, 2004) – The SMU Cable Programming Committee has taken final action to approve the addition of two new channels to the SMU Cable lineup, effective in December.
   ESPN Classic will be joining the Expanded Basic lineup at Channel 34.  ESPN Classic features historic sporting events as well as profiles of great sports legends.  As a result of the ESPN Classic's placement (next to sister networks ESPN and ESPN2), Speed Channel will move to Channel 38 and Outdoor Channel will move to Channel 48.
   SMU now has a total of 69 channels in its Expanded Basic channel group.  The analog cable lineup is now basically full as there are no more channels available for future channel additions, unless another channel is dropped to make way for it.
   The Committee also has added Lifetime Movie Network to the Digital Basic lineup at Channel 113 in December.  LMN features movies designed to appeal to women.  With the changes, the Digital Basic channel group now has 22 channels.
   The Programming Committee has also recommended channel placement for SMU's new High Definition, or HiDef Cable services, which will be offered beginning this winter.  Customers will receive any available broadcast TV stations via a "HiDef Gateway" tier of service.  At present, only KSFY's digital signal is available in Spencer, and the Committee recommended placing it at Channel 210.  A "HiDef Plus" channel group will include several satellite-delivered HD networks:  iNHD1 at Ch. 214; iNHD2 at Ch. 215; HDNet at Ch. 216; HDNet Movies at Ch. 217; ESPN-HD at Ch. 235; Discovery HD Theater at Ch. 242; and Bravo HD+ at Ch. 261.  The recommendations will be reviewed by the SMU Board of Trustees at their November meeting.
   Prices for HiDef Gateway and HiDef Plus have not yet been established.

SMU Board Discusses Electric Rate Increase

   (October 13, 2004) – SMU electric customers can expect to pay more for energy in 2005. 
   At the October 13th SMU Board of Trustees meeting, the Board discussed revenue requirements for the electric utility in 2005 and beyond.  Staff presented the Board with a preliminary recommendation that overall electric rates increase approximately 10% in 2005 due to several factors.

• SMU's investment in the new Council Bluffs 4 coal power plant will require the repayment of bonds beginning in 2005.  Revenue will need to go up in order to maintain a favorable bond coverage ratio of 2 times the bond payment

• Increasing costs for power supply.  Since 2004, the price SMU pays for wholesale power has gone up approximately 44%, which is almost as much as the increase during the entire decade of the 1990's.

• Decreasing interest income due to historically low interest rates

   Curtis Dean, SMU Marketing and Community Relations Supervisor, says the rate environment in Spencer today is similar to what it was in the late 1970's and early 1980's.  "During that period of time, SMU was paying for its investment in the Neal 4 power plant, and rates rose several times between 1977 and 1981 to help pay for that investment."  After the initial investment, Dean points out that SMU went without a rate increase for 21 years.  SMU customers have seen two small rate increases since then in 2002 and 2003.
   While the total electric revenue increase will be about 10%, not all customers will be affected the same.  A cost of service study conducted by an outside company found that SMU's electric rates are higher than they should be for large customers, and lower than they should be for smaller ones.  The Board discussed the process of bringing those rates into better balance over the next several years.
   Although the Board has not taken action on a final rate increase amount, the impact will still be rather small for the most customers.  The average Spencer home uses just over 1,000 kilowatt-hours of electricity a month, and is likely to  see an increase of around $5.00.  Even with an increase, SMU is still maintains some of the lowest electric rates in the state of Iowa. 
 

"On The Record" To Feature Live Candidate Forum

   (October 11, 2004) – Voters in Iowa House District 6 will have an opportunity to see the candidates exchange views in a forum later this month sponsored by Spencer Municipal Utilities and area media outlets.
   “On The Record-Live” will feature a debate between incumbent Democrat Greg Stevens and Republican challenger Mike May on Tuesday, October 26^th at 7pm at the Spencer High School Fieldhouse.  The event will be telecast live on The Spencer Channel, SMU Cable Channel 3.
   The forum, which SMU is organizing jointly with the Daily Reporter, KICD/KLLT Radio, and Hot 100 Radio, will last approximately 60 minutes.  Candidates will first field questions from the “On The Record” panel of Randy Cauthron, Managing Editor of the Spencer Daily Reporter; Danielle Hitchings, News Director at Hot 100 Radio; and Brent Palm, News Director at KICD/KLLT Radio.  Following the panel questioning, the audience will be given the opportunity to ask questions.  Curtis Dean of Spencer Municipal Utilities will serve as the moderator of the event.
   Representative Greg Stevens of Milford, who is seeking re-election to a fourth two-year term in the Iowa House of Representatives, is a teacher at Okoboji High School.  His challenger, Mike May of Spirit Lake, is a retired school teacher who is co-owner and manager of Triggs Bay Resort in Arnolds Park.
   House District 6 includes all of Dickinson County, four northeast townships in Clay County, and the city of Spencer.

 New Channels To Be Added to SMU Cable Lineup

   (October 1, 2004) – SMU Cable TV customers will have some new channel choices beginning later this year.
   At their regular meeting last night, the SMU Cable Programming Committee voted unanimously to recommend adding ESPN Classic to Expanded Basic and Lifetime Movie Network to Digital Basic.  Both channels will be added on or around December 1, 2004.
   ESPN Classic will be placed at Channel 34, next to sister networks ESPN and ESPN 2.  ESPN Classic features the greatest games, heroes, and stories in the history of sports while adding a current perspective.  Lifetime Movie Network will be Channel 113 on SMU's Digital Basic tier.  Lifetime Movie Network features movies dedicated to women, including Lifetime original productions, theatrical releases, and made-for-tv movies.
   In order to accomodate ESPN Classic at Channel 34, a placement that is required by contract, the Programming Committee also made a couple of other channel switches.  Outdoor Channel will move from Channel 38 to Channel 48 and Speed Channel will move from Channel 34 to Channel 38.
   The changes will be reviewed by the SMU Board of Trustees on October 13th.  The Programming Committee is scheduled to meet that same evening at 6pm to finalize the changes.

Channel Guide Magazine Will Not Be Available

   (September 30, 2004) – Several weeks ago, SMU informed customers that it would begin to offer subscriptions to Channel Guide Magazine to customers.  The announcement came after reaching an agreement with the publisher of the magazine that would allow SMU to offer the service at an affordable cost. 
   Unfortunately, the publisher has since changed the conditions of receiving the service, significantly increasing the cost of the magazine to the point where it is no longer feasible to proceed.  As a result, SMU will not be offering Channel Guide Magazine.  Customers who signed up for the service have not and will not be billed.
   SMU will continue looking for a paper channel guide publisher that will offer an affordable channel guide to our customers.

SMU Hawkeye Road Trip

   (September 27, 2004) – Despite two straight losses, Iowa football fans continue to look forward to a good season and a potential bowl bid.  And for 50 plus area residents, the big game will be October 16th against Ohio State.
   That's the day of the SMU Hawkeye Road Trip.  SMU is sponsoring its second trip to see an Iowa game.  This time, the motor coach expedition will take passengers to Kinnick Stadium in Iowa City to see the Hawks battle Ohio State in one of the toughest games of the season.
   The SMU Hawkeye Road Trip package includes one game ticket, admission to the Hawkeye Village tailgate party before the game, and round-trip motor coach transportation.  A few seats remain available for the trip.  Call Curtis Dean at 580-5800 to reserve a spot on the trip.
   Departure time for the trip has not been established because game time has not been announced.  If the game is a 2:30pm kickoff as hoped, the bus would pull out of the SMU parking lot at 6:00am.  If the kickoff is at 11:00am, departure time would be at around 3:30am (bring your pillow to catch some extra z's on the way to Iowa City!).

SMU Issues 2003 Consumer Confidence Report

   (June 1, 2004) – Customers of Spencer’s water utility have received their annual report card on drinking water quality.  And once again, Spencer Municipal Utilities earns high grades.
   SMU’s annual Consumer Confidence Report arrived in mailboxes late last week.  The report, which gives detailed information about SMU’s drinking water, is a requirement of state and federal regulatory agencies.
   As in past years, the 2003 report lists the detected level of various substances found in Spencer’s drinking water.  Out of the more than 80 potential substances that Spencer Municipal Utilities is required to test for, only five were actually detected during routing testing:

·   Chlorine, a by-product of the disinfection process, was detected at a maximum level of 1.2 milligrams per liter.  The EPA goal is 4.0 milligrams per liter. 

·   Fluoride, which is added to promote dental health, was detected at a level of 0.83 milligrams per liter.  That’s well below the EPA goal of 4.0 milligrams per liter. 

·   Sodium, a result of the erosion of natural deposits, had a maximum level of 5.4 milligrams per liter.  There is no established EPA goal for sodium.

·   Trihalomethane, a by-product of the chlorination process, had a maximum level of 10.0 micrograms per liter.  The EPA limit is 80.0 micrograms per liter.

·   Copper, which is primarily present due to corrosion of home plumbing, had a highest detected level of 0.1milligrams per liter.  The EPA Action level is 1.3.

   SMU also conducted a required test for lead, but it was not found at detectable levels.
   Although SMU makes every effort each year to mail a copy of the Consumer Confidence Report to every water customer, some customers may not receive one in the mail, especially those persons who have their utilities paid by a third party.  To make the information accessible to everyone, copies of the report are available at the following locations; Spencer City Hall, the Spencer Area Senior Center, the Spencer Public Library, and at the SMU offices at 712 North Grand Avenue.  The report is also available on-line at www.smunet.net/2003CCR.pdf.
   The report will also be published in the new SMU Telephone Directory, which is scheduled for distribution late this summer.

Spencer Municipal Utilities
712 N Grand Avenue  -  Spencer, IA 51301
Phone:(712) 580-5800  -  Fax: (712) 580-5888