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Council reviews electric purchase-power adjustment and reports uptick in emergency utility assistance requests
Summary
Council discussed a plan to address peak power costs using a purchase-power adjustment rather than a broad rate increase, agreed that funds should be dedicated to electric system equipment, and heard that donations and city funds are temporarily supplementing emergency utility assistance while federal programs are limited.
City staff and councilors discussed an electric-department proposal to manage peak power costs through a purchase-power adjustment that would keep most rate structures stable while setting aside funds for system equipment.
A councilor summarized the finance approach as spreading extreme peak energy costs across the year rather than raising base rates. Staff said proceeds from the proposed adjustment should be restricted to electric system capital such as wires, transformers and equipment.
A council member noted an estimated revenue figure tied to the proposal: "that money that is gonna be gained by this increase of a dollar 86" (as discussed in the workshop). Staff said billing system changes and any rate adjustments would take effect July 1 if implemented.
Separately, staff reported an uptick in requests to the city's emergency utility assistance program, which is funded by voluntary customer donations; local funds have helped residents while federal assistance programs (HEAP) were disrupted. Councilors expressed appreciation for donor support but noted the local program is a stopgap until federal programs resume full operation.
No final action on rates or adjustments was taken at the workshop; council asked staff to provide additional details on the accounting, restrictions on the funds and the timing of any ordinance or rate-change proposal.
