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Goodland considers aligning low-income utility rates with federal poverty guidelines
Summary
City staff proposed Ordinance 17-83 to set low-income electric and water rate eligibility to federal HHS poverty guidelines; commissioners debated whether the threshold should vary by household size, verification challenges and potential impacts on utility funds. Staff will draft revised ordinance language for further review.
City staff presented a draft ordinance (no final vote) proposing to change the qualifying income level for the city's low-income utility rates to match the federal poverty guidelines published by the U.S. Department of Health and Human Services.
"Basically changing the amount to qualify for the low income household rate to match the federal poverty guidelines as stated by Health and Human Services," staff said, noting the example change from about $18,000 to $20,440 for a two-person household in 2024. Commissioners discussed whether the eligibility threshold should scale by household size rather than using a single flat number; the chair said he preferred a household-size approach and asked staff to draft language reflecting per-person adjustments. Staff warned verification could be difficult (ensuring claimed household members reside in the residence) and flagged potential impacts on utility funds if substantially more customers qualified for discounted rates. Staff estimated the utility system serves roughly 2,600 customers (about 400 commercial and 2,200 residential), saying increases in eligible customers would likely be small but that staff would report back if revenue impact became significant.
Commissioners signaled they are willing to consider a variable household-size approach and asked staff to return with finalized ordinance language and data to assess fiscal effects before formal adoption.
