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Council advances gas utility tracker and base‑fee options to second reading
Summary
Krona presented gas utility findings and proposed increasing the gas cost tracker to about $7.69 per MCF plus either raising the base rate or adding a monthly fixed fee; council moved the ordinance to second reading for more study and a public hearing.
Krona & Associates presented a review of the town’s gas utility and recommended updating the gas-cost tracker to recoup under‑collected purchase costs and shore up cash flow. Nathan Fox said the current tracker under‑collected about $2 per thousand cubic feet and recommended updating the factor to approximately "$7" (about $7.69 per MCF) to reflect current purchase and transportation costs.
Fox described two structural alternatives: raise the base rate from about $4 per MCF toward $8, or keep the existing base and add a fixed monthly fee (suggestions ranged $20–$25) to stabilize summer cash flow. Fox explained either approach would reduce cash‑flow deficits experienced in 2024–25 and allow for modest capital allowances. After discussion about comparisons and the council’s appetite for phased changes, the council voted to move the gas ordinance to second reading to allow more time for review and public notice.
