Notice to Counties and Municipalities. Under Minnesota Statutes Section 216B.16. Subdivision 1 Re: Minnesota Energy Resources Corporation Request for Increase in Natural Gas Rates, MPUC Docket No. 22-504 On November 1, 2022, Minnesota Energy Resources Corporation (MERC") filed an application with the Minnesota Public Usites Commission (MPUC) for a general increase rate increase for natural gas services provided to customers in the State of Minnesota The requested increase is for 9.91 percent or about $40.322.302 State law allows MERC to collect an intent (temporary) rate while the MPUC considers the rate increase request. The interim rate increase is approximately 9.08 percent including the cost of gas, or about $36.973,887. The interim rate increase is effective January 1, 2023 A MERC gas customer bills will reflect the 9.08 percent increase during the interim period and this rate will remain in effect until a final decision is made In accordance with Minn Stat $2168.16, sube 2. the MPUC has referred the matter to the Office of Administrative Hearings and delayed a decision on proposed final rates in order to evaluate the application, and has referred the matter to the Office of Administrative Hearings. In addition to the review by the Commission, the M Minnesota Department o of Commerce, D Division of Energy Resources will conduct an investigation of MERC's books and records as part of the rate review. The Minnesota Office of the Atomey General-Residential Utilities Division may investigate this proposal, as well as other parties such as consumer or public interest groups The interme increase will be colected through a 32.82 percent interim rate increase on distribution margins Distribution margins include the customer charge, the distribution charge, and if applicable, the daily firm capacity charge for fiinterruptible service customers The chart below shows an example of the interim and proposed rate changes on monthly bills for customers with average gas usage This calculation will not necessarily result in an interim bill that is uniformly 9.08 percent higher than present blbecause gas costs are not included in the calculation of the interim rate increase MERC Customer Class GS-NNG Residental Sales GS-NNG Resident Farm Sales GS-NNG CAI FIRM Class 1 GS-NNG C&I Fam-Tap Class 1 GS-NNG CAI FIRM Class 2 GS-NNO C&I FIRM 3 GS-NNG CAI Fam-Tap Class 2 GS-NNG C&I Fa-Tap Class 3 NNG CAI INT Class 2 NNO CAI INT C3 NNG Agriculture Grain Dryer-Class 1 NNG Agriculture Grain Deyer-Class 2 NNG Electric Generation Class 1 NNG C&I Fptible Class 2 PROPOSED CHANGE IN AVERAGE MONTHLY BILLS Average Monthly Usage Present (Theme) Monthly Bil NNG SALES 71 Transport NNG CA FIRM Class 2 Transport-NNG C&I FIRM Transport-NNG C&I FIRM Clas 3 Transport NNG C&I FIRM Class 5-CIP Exempt Transport NNG Electric Generation FIRM C2-CP Ex Transport NNG C&I INTC 2 Transport-NNG CAINTC3 Transport NNG C&INT C Transport-NNG C&INT Class 5 Transport-NNG CAI INT Class 5-CIP Examp Transport-NNG Electric Generation INT Class 2 Transport-NNGctric Generation INT Class 2-CP Exempt Transport-NNG C& Fimtemptible Class 2 Transport-NNG CAI Fimineuptble Class 3 Transport-NNO C&Fine Class Transport-NNG C&I Fineptible Class 5 Transport NNG C& Fintemptible Class 5-CP Exempt Transport for Real LYANNG F Transport (CA) LVJ-NNG Fes Transport (C LVJ-NING F Transport (0) The Commission will make a decision on the rate increase in the fall of 2023 Finale changes, if approved, will be effective after that date. If final rates are less than interim rates the difference in the amount collected during the interim period will be refunded to customers with interest. If the final rate is greater than the inter increase, customers will not be charged for the difference The public may review the proposed rate schedules and a comparison of present and proposed ratt Minnesota Energy Resources 2605 145th Street West Rosemount, MN 55068 Phone: 1-800-88-6508 Web: www.miesnergyesources.com/companyat Minnesota Department of Commerce 85 7th Place East, Suite 500 St Paul, MN 55101 Telephone: 651-539-1534 72 112 624 12.340 955 31,164 3,750 20,442 787 7,133 NNG TRANSPORT 3.832 951 Web: www.edockets.state.musEFing Select 22 in the year field, enter 504 in the number feld, select Search, and the lat of documents will appear on the next page 4,541 20.023 106,604 574.963 5.159.320 5.000 42,392 149.532 186137 3,493.785 108.960 200.000 5,708 42.240 190.833 355,304 977.301 28.366 392,144 108,965 104.163 $60 $100 $101 $147 $729 $13.040 $1,002 $3.524 $18.712 $793 $3.506 3921 $6.900 $1,002 $2.909 56.217 $4,782 $800 $4,535 $8290 $7.304 $17.395 $4.445 $1,554 $956 $4,750 $10.933 $13.350 $7.290 $2.554 $18.293 $5,406 $5.232 Inter $100 $170 $112 $100 $770 $13.536 $1,147 $33.852 $3617 $19.296 5831 Minnesota Public 121 7th Place East, Suite 350 St Paul MN 55101 $3.570 $954 $7.223 $1,276 $3.730 S$7.547 $3.742 $28.177 $1.077 $5,741 $10.024 $9,176 $16.330 $5.600 $1,413 $1.167 $6.076 $13.229 $16.746 $5.414 Commission Proposed Monthly B $100 $175 $109 $150 $773 $13,476 $1.159 $33.781 Phone: 651-296-0406 or 1-800-657-3782 Email consumer puo@status $3,642 $19.110 $834 $3.595 3048 $7,300 $3,314 $18.265 $5,447 $5.123 "The present monthly bir amounts reflect the rates authorized in Docket No. G011/GR-17-563, the cost of gas, and applicable Natural Gas Extension Project Rider and Gas Utility Infrastructure Cost Rider surcharge rates $1,340 $3.616 $6,463 $5,167 142,300 $1.075 $5.301 $9.674 $7.009 $20.356 54.321 $1,696 $1,188 $5.749 $11.390 $12.975 $7.082 An Administrative Law Judge will schedule public hearings Customers will be notified by mail or bill insert of the date of those hearings Public notice of hearing dates and locations will be published in local newspapers in MERC's service area $2.697 $20.297 $5.944 $5.564 Persons who wish to formally intervene or testity in this case should contact the Administrative Law Judge, Minnesota Office of Administrative Hearings, P.O. Box 64820, St. Paul, MN 55101, Telephone: (651) 361-7900 Questions about the Minnesota Public Utilities Commission's review process? The MPUC is asking customers to comment on MERC's request for csapancrease Send comments to the MPUC's Consumer Affairs Office (CAO) or contact the CAD for assistance with subting comments Persons with hearing or speech disabilities may call through their preferred Telecommunications Relay Service MINNESOTA ENERGY RESOURCES Notice to Counties and Municipalities . Under Minnesota Statutes Section 216B.16 . Subdivision 1 Re : Minnesota Energy Resources Corporation Request for Increase in Natural Gas Rates , MPUC Docket No. 22-504 On November 1 , 2022 , Minnesota Energy Resources Corporation ( MERC " ) filed an application with the Minnesota Public Usites Commission ( MPUC ) for a general increase rate increase for natural gas services provided to customers in the State of Minnesota The requested increase is for 9.91 percent or about $ 40.322.302 State law allows MERC to collect an intent ( temporary ) rate while the MPUC considers the rate increase request . The interim rate increase is approximately 9.08 percent including the cost of gas , or about $ 36.973,887 . The interim rate increase is effective January 1 , 2023 A MERC gas customer bills will reflect the 9.08 percent increase during the interim period and this rate will remain in effect until a final decision is made In accordance with Minn Stat $ 2168.16 , sube 2. the MPUC has referred the matter to the Office of Administrative Hearings and delayed a decision on proposed final rates in order to evaluate the application , and has referred the matter to the Office of Administrative Hearings . In addition to the review by the Commission , the M Minnesota Department o of Commerce , D Division of Energy Resources will conduct an investigation of MERC's books and records as part of the rate review . The Minnesota Office of the Atomey General - Residential Utilities Division may investigate this proposal , as well as other parties such as consumer or public interest groups The interme increase will be colected through a 32.82 percent interim rate increase on distribution margins Distribution margins include the customer charge , the distribution charge , and if applicable , the daily firm capacity charge for fiinterruptible service customers The chart below shows an example of the interim and proposed rate changes on monthly bills for customers with average gas usage This calculation will not necessarily result in an interim bill that is uniformly 9.08 percent higher than present blbecause gas costs are not included in the calculation of the interim rate increase MERC Customer Class GS - NNG Residental Sales GS - NNG Resident Farm Sales GS - NNG CAI FIRM Class 1 GS - NNG C & I Fam - Tap Class 1 GS - NNG CAI FIRM Class 2 GS - NNO C & I FIRM 3 GS - NNG CAI Fam - Tap Class 2 GS - NNG C & I Fa - Tap Class 3 NNG CAI INT Class 2 NNO CAI INT C3 NNG Agriculture Grain Dryer - Class 1 NNG Agriculture Grain Deyer - Class 2 NNG Electric Generation Class 1 NNG C & I Fptible Class 2 PROPOSED CHANGE IN AVERAGE MONTHLY BILLS Average Monthly Usage Present ( Theme ) Monthly Bil NNG SALES 71 Transport NNG CA FIRM Class 2 Transport - NNG C & I FIRM Transport - NNG C & I FIRM Clas 3 Transport NNG C & I FIRM Class 5 - CIP Exempt Transport NNG Electric Generation FIRM C2 - CP Ex Transport NNG C & I INTC 2 Transport - NNG CAINTC3 Transport NNG C & INT C Transport - NNG C & INT Class 5 Transport - NNG CAI INT Class 5 - CIP Examp Transport - NNG Electric Generation INT Class 2 Transport - NNGctric Generation INT Class 2 - CP Exempt Transport - NNG C & Fimtemptible Class 2 Transport - NNG CAI Fimineuptble Class 3 Transport - NNO C & Fine Class Transport - NNG C & I Fineptible Class 5 Transport NNG C & Fintemptible Class 5 - CP Exempt Transport for Real LYANNG F Transport ( CA ) LVJ - NNG Fes Transport ( C LVJ - NING F Transport ( 0 ) The Commission will make a decision on the rate increase in the fall of 2023 Finale changes , if approved , will be effective after that date . If final rates are less than interim rates the difference in the amount collected during the interim period will be refunded to customers with interest . If the final rate is greater than the inter increase , customers will not be charged for the difference The public may review the proposed rate schedules and a comparison of present and proposed ratt Minnesota Energy Resources 2605 145th Street West Rosemount , MN 55068 Phone : 1-800-88-6508 Web : www.miesnergyesources.com/companyat Minnesota Department of Commerce 85 7th Place East , Suite 500 St Paul , MN 55101 Telephone : 651-539-1534 72 112 624 12.340 955 31,164 3,750 20,442 787 7,133 NNG TRANSPORT 3.832 951 Web : www.edockets.state.musEFing Select 22 in the year field , enter 504 in the number feld , select Search , and the lat of documents will appear on the next page 4,541 20.023 106,604 574.963 5.159.320 5.000 42,392 149.532 186137 3,493.785 108.960 200.000 5,708 42.240 190.833 355,304 977.301 28.366 392,144 108,965 104.163 $ 60 $ 100 $ 101 $ 147 $ 729 $ 13.040 $ 1,002 $ 3.524 $ 18.712 $ 793 $ 3.506 3921 $ 6.900 $ 1,002 $ 2.909 56.217 $ 4,782 $ 800 $ 4,535 $ 8290 $ 7.304 $ 17.395 $ 4.445 $ 1,554 $ 956 $ 4,750 $ 10.933 $ 13.350 $ 7.290 $ 2.554 $ 18.293 $ 5,406 $ 5.232 Inter $ 100 $ 170 $ 112 $ 100 $ 770 $ 13.536 $ 1,147 $ 33.852 $ 3617 $ 19.296 5831 Minnesota Public 121 7th Place East , Suite 350 St Paul MN 55101 $ 3.570 $ 954 $ 7.223 $ 1,276 $ 3.730 S $ 7.547 $ 3.742 $ 28.177 $ 1.077 $ 5,741 $ 10.024 $ 9,176 $ 16.330 $ 5.600 $ 1,413 $ 1.167 $ 6.076 $ 13.229 $ 16.746 $ 5.414 Commission Proposed Monthly B $ 100 $ 175 $ 109 $ 150 $ 773 $ 13,476 $ 1.159 $ 33.781 Phone : 651-296-0406 or 1-800-657-3782 Email consumer puo @ status $ 3,642 $ 19.110 $ 834 $ 3.595 3048 $ 7,300 $ 3,314 $ 18.265 $ 5,447 $ 5.123 " The present monthly bir amounts reflect the rates authorized in Docket No. G011 / GR - 17-563 , the cost of gas , and applicable Natural Gas Extension Project Rider and Gas Utility Infrastructure Cost Rider surcharge rates $ 1,340 $ 3.616 $ 6,463 $ 5,167 142,300 $ 1.075 $ 5.301 $ 9.674 $ 7.009 $ 20.356 54.321 $ 1,696 $ 1,188 $ 5.749 $ 11.390 $ 12.975 $ 7.082 An Administrative Law Judge will schedule public hearings Customers will be notified by mail or bill insert of the date of those hearings Public notice of hearing dates and locations will be published in local newspapers in MERC's service area $ 2.697 $ 20.297 $ 5.944 $ 5.564 Persons who wish to formally intervene or testity in this case should contact the Administrative Law Judge , Minnesota Office of Administrative Hearings , P.O. Box 64820 , St. Paul , MN 55101 , Telephone : ( 651 ) 361-7900 Questions about the Minnesota Public Utilities Commission's review process ? The MPUC is asking customers to comment on MERC's request for csapancrease Send comments to the MPUC's Consumer Affairs Office ( CAO ) or contact the CAD for assistance with subting comments Persons with hearing or speech disabilities may call through their preferred Telecommunications Relay Service MINNESOTA ENERGY RESOURCES