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Anderson officials propose 12.6% electric revenue increase; residents question timing, transparency and affordability
Summary
City officials told the council a roughly 12.58% revenue increase is needed for the electric utility to cover operating shortfalls and fund multi‑year capital upgrades; residents raised affordability, streetlight outages, FEMA reimbursements and meter/billing accuracy concerns.
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City officials presented a proposed electric revenue increase totaling 12.58% at a special Anderson Common Council hearing, saying the rise is driven by higher purchase‑power costs, operation and maintenance increases and planned capital investments in substations, breakers, distribution equipment and redundancy.
Mayor Bardrick explained the electric shortfall and said residential customers would see an estimated 13.5% increase in their electric line item, equal to roughly $12–$18 per month depending on usage levels. He described Anderson as a public‑power utility that buys wholesale power through the Indiana Municipal Power Agency (IMPA) and noted that the city also uses a quarterly tracker factor to pass through changes in purchase power costs.
Paul Cyverson, director of Anderson Light & Power, outlined a multi‑year capital improvement plan totaling roughly $19.6 million over five years, with major 2026 needs including substation renovations, replacement of aged breakers, a second transmission line, meter replacements and fleet and cyber upgrades. The city controller, Doug Whidham, said the electric operations drew $2.3 million from a $7 million line of credit and that cash reserves are low after storm damage and slower FEMA reimbursement.
Consultants explained that not all customers will see the same percentage change: cost‑of‑service allocations produce different class impacts so large industrial and commercial customers may absorb different shares of the total 12.58% revenue increase. Officials said the Office of Utility Consumer Counselor (OUCC) and the Indiana Utility Regulatory Commission (IURC) will review any final electric filing after local approval and may adjust proposals during that process.
During public comment, residents pressed for accountability on maintenance: several speakers noted prolonged streetlight outages months after storm damage, asked why poles remained unrepaired and complained about long lead times for replacement equipment. Officials acknowledged procurement and supply‑chain delays, said some orders had been misfilled and promised to follow up on specific locations and provide time estimates.
Advocates and social‑service providers warned that combined sewer, water and electric increases risk pushing low‑income households over the edge and asked for mitigation such as expanded budget billing, targeted assistance, phased increases, and closer coordination with housing subsidy programs. Staff said some assistance programs and budget‑billing options exist, primarily for electric customers, and that eligibility and enrollment details are handled in utility customer service.
The council did not vote on electric changes at the hearing; officials said the proposal would be considered in an upcoming council session and then submitted to the IURC where review, depositions and potential adjustments typically occur.

