How Lake Crystal is turning high energy bills into local action

Like many small municipal utilities, Lake Crystal has a long-term energy contract with its power supplier. Community members and the Council have often wondered if there was any way to exit the contract which has exceptionally high rates. 

Additionally, the city was contracted to maintain diesel generators for their power supplier. Cooper wanted to know if the income was worth the cost of operations and maintenance.

When Cooper joined the Lake Crystal City Council, she brought a background of working with local governments nationwide and a firm belief that thoughtful, sustainable practices could address major community challenges, but she needed expert advice on legal contracts and power plant engineering. 

Jennifer Lindahl, the Southeast Coordinator for Clean Energy Resource Teams (CERTs), met with Cooper and the former City Administrator when she heard about these needs.

“We work with a lot of city administrators, and we can lighten the load by providing resources and connections,” says Lindahl, who connected the city with funding and new partners. Through the Empowering Small Minnesota Communities program, Lake Crystal was able to get assistance from UMN researchers and lawyers. 

Part of their research looked into whether the City could leave the 40-year power contract that locked in the high rates. The hard answer was no. 

“These are the constraints we have to work with, and the Local Energy Action Plan is going to help us do that work,” says Cooper.

The council is exploring new power supply options before their contract expires in about 20 years. In the meantime, the city is focusing on reducing demand by improving energy efficiency in both public buildings and private homes.

Lake Crystal received energy audits of municipal buildings. They are also encouraging residential energy conservation during peak times. In addition, the city created an online maintenance plan, a recordkeeping system, and a community timeline to track progress. By addressing factors under their control, the PUC can work to lower energy costs for all residents, even before the contract expires.

“You can get new ideas into action in this town. And that's what I like about it. They're willing to try new things if it's for the good of the community, and so it is a great place to live and raise kids,” says Cooper.

Photo: Partners gather to discuss Lake Crystal.

The city’s generator plant and facility were deemed too costly to operate and maintain. In 2024, the plant expenses exceeded income by over $60,000.
Armed with clear data, the PUC is moving toward decommissioning the facility.

“Our PUC didn’t have the data to move forward with decommissioning until we worked with CERTs and UMN on our State of the Utility Report and the Local Energy Action Plan, which are now allowing us to make more informed decisions,” says Cooper.

Shutting down the costly municipal power plant cuts unnecessary operating expenses, an action that local survey respondents strongly supported. 

"It was nice to know that once we had the information presented to us in a clear and informative way, we could all agree that it was not feasible to continue operating that way," Cooper says.

“Small communities don’t always have the staff, time, or resources to figure all of this out on their own.” Lindahl says, “Connecting them with the right people, resources, and opportunities can make a real difference. Lake Crystal is a great example of what can happen when a community has the support it needs to take action.” 

Driven by a desire to deepen her understanding of local utilities and better serve her community, Cooper joined the CERTs Community Energy Ambassador program to build on what she had learned about public energy over the past two years.

No one can be an expert in all things, which is why CERTs created the Community Energy Ambassador program to provide a free and accessible way to learn about clean energy technology and efficiency. As a CERTs Community Energy Ambassador, Cooper is working to keep the lights on — and affordable — in her town and the broader community.

Today, she shares Lake Crystal's lessons with neighboring towns like St. James, Madelia, and Comfrey. The communities are in conversations about regional grant efforts, exploring options like the Minnesota Department of Natural Resources’ new Community Grants Program, funded by Minnesota’s Environment and Natural Resource Trust Fund. They’re also supporting other sustainability efforts, like Climate Smart St. James, as they work to launch a municipal composting initiative similar to what Lake Crystal started several years ago with Mankato Zero Waste.

"When you're a small community and you have very limited resources, anytime you can work together it helps us all do better," Cooper says. "Part of my mission in life is to help leave things better than I found them."

Photo: Mural painting of Lake Crystal on a map of Minnesota.

Thank you to Angela Grafstrom, Gina Cooper, Madison Allen, Dennis McCoy, Brad Ahrenstorff, and Dave Richards at the City of Lake Crystal, as well as to Gabe Chan, BJ Allen, Andi Sutton, and Jennifer Lindahl at the University of Minnesota for their work on this project.