Public commenters, councilmembers press for more electric-utility transparency after rate and reserve moves

Members of the public and councilmembers at the budget workshop urged clearer, more frequent reporting on the electric utility’s finances and use of the power-cost adjustment (PCA). Public commenter Mr. Delatorre told the council that quarterly reporting on three items — cost of power, revenue, and capital improvement projects — would give policymakers and residents a clearer picture of the utility’s status. "I think all you need are three things: cost of power, how much revenue you're getting, and CIP," he said.

Another commenter, Mr. Grossich, urged stronger oversight by the city’s utility commission, saying the PCA has been used in recent years both to pass through power costs and to support larger utility spending. "The city needs to basically, the bottom line is we need more oversight over this utility," Grossich said, adding that the utility commission should be more engaged and that the PCA should be reviewed periodically by council.

The issue follows a council action referenced in the workshop: the council adopted a revised electric-reserve policy the night before the workshop that sets a net reserve target of 25% by 2029 and requires a minimum cash working capital split between operating reserve and rate stabilization. Finance Director Stacy Dabbs said the proposed 2025-26 budget "meets those obligations and is moving toward the target reserve."

Councilmembers asked staff to provide clearer dashboards and reports so policymakers can monitor key metrics such as power costs, core utility sales, pooled interest income and the rate stabilization fund. Staff and public commenters also discussed the PCA's role in recent utility spending and whether rebates or clearer rules should be considered if revenues fall below projections. No new policy on PCA reporting or use of the reserve funds was adopted at the workshop; staff said they would return with materials the council requested.