By Sara StrongThe city of Luverne is still considering a contract for Missouri River Energy Services to take over management of city electric employees.The city would have to pay Missouri River a management fee, and three employees would no longer be with the city.They would report to Missouri River and still do their work, or most of it, in Luverne. Missouri River could have employees do some electric work for other Missouri River projects out of the city, if there wasn’t enough local work to keep them busy. The city wouldn’t necessarily save money as the result of farming out current employees. The savings would come from not hiring a new Utility Director to replace Red Arndt.The city could rent out extra equipment for specific projects in other Missouri River towns (Ortonville or Benson) and the city could use their specialized equipment instead of renting from another contractor.Employees are meeting with Missouri River, which appears to pay as well, or better, than the city does.Last year, lineman wages, including overtime and on-call pay, averaged $43,635. The city wage range is from $14.87 to $19.32 per hour for linemen.Along with earnings, benefits are a big concern to employees.In comparing benefits: oLuverne’s PERA employer contribution is 5.23 percent of earnings, and employee contribution is 5.23 percent of earnings.oMRES contributes 10 percent of earnings and employees can contribute up to 15 percent of earnings.oFor health insurance, Luverne pays 75 percent of the premium cost, and MRES pays 100 percent of the employee premium cost plus 80 percent of the cost for spouse and dependents.oBoth have flexible spending plans.oFor dental plans, Luverne has no provision, but MRES pays 100 percent of employee premium cost, plus 80 percent of the premium cost for spouse and dependents.Missouri River Energy Services also has better short and long-term disability policies, where employees don’t pay as much for the coverage. Sick leave policies are similar, as are vacation day accumulations and holidays.
