Safe clean natural gas from MMU

What to do if you smell GAS!

In a gas emergency act quickly and take the following safety steps:

Notify everyone in the building to leave immediately
DO NOT light matches
DO NOT turn light switches ON or OFF
DO NOT use the telephone
CALL MMU at 712-655-3905 from a neighbor’s phone
DO NOT re-enter your home until MMU has told you it is safe to do so

Natural Gas Service

Pricing Information

PGA Pricing

The PGA Pricing that Manning Natural Gas uses allows the customer to pay the actual cost of natural gas for the time period that their meter is read on a monthly basis. The natural gas interstate pipeline that delivers natural gas to Manning operates and invoices on a calendar month basis. Since Manning reads meters during the month, this process matches the customers actual usage to actual pricing. The PGA breaks out the fixed and variable costs to deliver natural gas for each billing cycle.

There are 4 parts to a customer’s natural gas pricing each month. The first part is the WACOG (Weighted Average Cost of Gas), which is the average wholesale cost of natural gas based on the city’s customized portfolio to manage and control the cost of natural gas purchased out in the free marketplace. Manning Natural Gas uses every option available to manage the cost of natural gas. The second is the “Reservation Cost”, which is the cost of Manning Natural Gas to contract with the interstate pipeline for firm transportation capacity to meet the daily needs of the city. The third is the “Variable Cost”, which is the cost of moving the purchased natural gas through the “Reservation Cost” capacity monthly. The fourth and final component is the “Utility Charge”. This is the local utility charge to build, maintain and ensure the safe reliable daily delivery of natural gas to your location.

PEFA Partnership

The City of Manning is a member of the Public Energy Facilities Authority (PEFA). PEFA is a 28E, an Iowa joint powers agency, organized under Chapter 28E of the Iowa Code. PEFA is a non-profit corporation duly organized and existing under the laws of the State of Iowa and, in particular, Iowa Code Chapter 504. PEFA has planned and developed a project to acquire long-term gas supplies from J. Aron & Company LLC, a New York limited liability company and an affiliate of The Goldman Sachs Group, Inc., pursuant to a Prepaid Natural Gas Sales Agreement, to meet a portion of the requirements of the City and other public gas distribution systems that elect to participate through the program.
PEFA issued Gas Project Revenue Bonds to finance the acquisition of gas supplies under the Project. Manning Natural Gas has determined that it is in the best interest of its customers to be a Project Participant and thereby purchase a portion of Manning’s natural gas requirements from PEFA pursuant to a natural gas supply contract entered into by PEFA and Manning Natural Gas.

Manning Natural Gas shall have no financial liability with respect to the PEFA Bonds, and Manning’s only obligation relating to the Project shall be to pay for the natural gas that is delivered to the city. The Project is a 30-year term with multiple 5-7 year “Put Bonds” within the term. The initial “Put Bond” term of the Project is 7 years, starting in August 2019 and allows the city to obtain about a 10% discount on it’s wholesale purchases of natural gas committed to the Project. Currently, Manning purchases approximately 60% of its daily needs through the program.

The PEFA Bonds are not obligations of Manning but are special limited obligations of PEFA payable solely from the revenues and receipts pledged by PEFA including the revenues and receipts arising from the sale of gas to Project Participants. By consenting to the pledge of the Gas Supply Agreement, Manning Natural Gas is not incurring any financial liability with respect to the PEFA Bonds. PEFA shall not constitute a special or general obligation of the City, or a charge against the general credit or other funds of the City. The payment of the principal, redemption price or purchase price of, or interest on, the PEFA Bonds shall not constitute a debt, liability or obligation of the State, the City, or any other public agency. Ahlers & Cooney, P.C, represents PEFA.

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History of MMU's Natural Gas Service

MANNING MUNICIPAL NATURAL GAS
The Manning City Council, on September 7, 1954, engaged Henningson, Durham and Richardson, Inc., consulting engineers of Omaha, to prepare a feasibility study concerning a municipal natural gas system for the town of Manning. Later that month City Attorney Erwin Hansen discussed with the Manning City Council procedures necessary to secure a natural gas system. Estimated cost was $250,000. An election was held December 20, 1954 to determine proceeding with the project. The results were 671 yes ballots versus 22 no ballots. It was not until December of 1959, however, that a special election allowed a 20 year contract with Northern Natural Gas to purchase natural gas and resell it to residents of Manning. In October of 1961 revenue bonds were issued for $250,000. Bids were let resulting in L.R. Young Construction Co. of Salem, Illinois being awarded the contract for $151,666.77. Laying of the pipeline began in the fall of 1961 with the first gas usage in the spring of 1962. Gas usage was estimated to be 97,500 MCF’s (1000 cubic feet) per year. Pacific Adhesives and Manning Creamery Co. were the two large natural gas users. City officials responsible for bringing natural gas to the community were Mayor Leo Bruck, City Clerk E.F. Dau and council members Henry Grelck, E.B. Zerwas, Willis Puck, Glen Jensen and Eddie Fischer. In 1964, the council turned the operation over to a designated board naming Albert Musfeldt, Kenny Dethlefs and Dr. Richard Drennan as the first directors. In April, 1969, a $45,000 revenue bond was issued to secure the services of Thompson Construction of Bellevue, Nebraska. They were hired to run a pipeline to the M & I Dehy plant north of town. At the same time, 1,700 feet of three-inch pipe was run to the Bunz addition to the south of town. During the 1970’s and early 1980’s Consoy, today known as Ag Processing, and American Pacific, later known as American Protein, were the large volume consumers of natural gas. This period saw continuous prosperity for Manning Municipal Natural Gas. Board members instrumental in this growth and development include Board President LaVerne Olsen, Al Rix, Doug Fischer, and Larry Hansen. Mandatory deregulation took place in the mid-1980’s. This influenced the purchasing and distribution of natural gas and had an adverse effect on natural gas revenue. Deregulation continues today. Expansion of Manning Municipal Natural Gas took place October 5, 1992. A 28E Agreement was entered into between Manning Municipal Natural Gas and the City of Templeton to provide natural gas service to the Templeton community. Service was also provided to farm places along the main line to Templeton. The system was completed in May of 1993. Further expansion took place July 1, 1996. At that time Manning Municipal Natural Gas entered into a 28E agreement with the City of Aspinwall to bring natural gas service to that town and farm places along the main. Completion of the system took place in November of 1997. The budget of the gas department was $288,500 in 1976 and in 1980 it was $1,400,050. For the 2005-2006 year, the budget estimate is $1,202,700. The gas department began paying the City of Manning a monthly assessment in June of 1978 in lieu of taxes. In 1964 there were 492 customers, and in 1980, 628 customers. Manning Municipal Natural Gas will serve its’ 900th customer in 2005. The economical purchase of natural gas for resale has become an increasing challenge. In 1993 Manning Municipal Natural Gas was instrumental in forming a consortium for the purchase of natural gas at the most cost efficient level. Membership has grown to 30 members encompassing four states. Present manager is Ken Spies. Servicemen are Tom Bruch and Dick Mundt. Jean Behrens is the Office Manager. Members of the board of directors include Ron Soll, chairman, Bob Ehlers, secretary, Ron Colling, Al Rix and Keith Kelderman.

MANNING MUNICIPAL NATURAL GAS (ASPINWALL-MANNING JOINT GAS UTILITY)

On July 1, 1996 Manning Municipal Natural Gas entered into a 28E agreement with the City of Aspinwall to bring natural gas service to that town and farm places along the main. Completion of the system took place in November of 1997. Very instrumental in the expansion to the Aspinwall area was Alvin Janssen, who was the mayor of Aspinwall at that time.
In 1964 Manning Municipal Natural Gas serviced 492 customers, and in 1980, 628 customers. Currently the gas department is looking to serve its 900th customer.
The economical purchase of natural gas for resale has become an increasing challenge. In 1993 Manning Municipal Natural Gas was instrumental in forming a consortium for the purchase of natural gas at the most cost efficient level. Membership has grown to 30 members encompassing four states.
Present manager is Ken Spies. Servicemen are Tom Bruch and Dick Mundt. Jean Behrens is the Office Manager and Carla Hacker is the part-time office assistant. Members of the Aspinwall-Manning Joint Gas Utility Board include Tom Irlbeck, Tom Walters, Al Rix, and Bob Ehlers.

MANNING MUNICIPAL NATURAL GAS (TEMPLETON-MANNING JOINT GAS UTILITY)
On October 5, 1992, a 28E Agreement was entered into between Manning Municipal Natural Gas and the City of Templeton to provide natural gas service to the Templeton community. Service was also provided to farm places along the main line to Templeton. The system was completed in May of 1993. Very instrumental in the expansion to the Templeton area was Gene Meiners, who was the mayor of Templeton at that time.
In 1964 Manning Municipal Natural Gas serviced 492 customers, and in 1980, 628 customers. Currently the gas department is looking to serve its 900th customer.
The economical purchase of natural gas for resale has become an increasing challenge. In 1993 Manning Municipal Natural Gas was instrumental in forming a consortium for the purchase of natural gas at the most cost efficient level. Membership has grown to 30 members encompassing four states.
Present manager is Ken Spies. Servicemen are Tom Bruch and Dick Mundt. Jean Behrens is the Office Manager and Carla Hacker is the part-time office assistant. Members of the Templeton-Manning Joint Gas Utility Board include Don Irlbeck, Dale Prebeck, Al Rix, and Bob Ehlers.