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HomeMy WebLinkAbout8 Electric Rates Agenda Item # 4 i ! ' PublicDistrict Memorandum To: Board of Directors From: Peter Holzmeister Date: December 12, 2002 Subject: Ordinance adopting electric rates for 2003 1. WHY THIS ITEM IS BEFORE THE BOARD We have adopted a budget that requires the District to raise additional revenues through our electric rates. Increasing our electric rates must be enacted by ordinance and only the board of directors can adopt an ordinance. 2. HISTORY I have worked with the management staff of the District to prepare a budget for 2003. The draft budget was presented to the board on December 4, 2002. That budget is bare bones. We are waiting for completion of the Finance Master Plan before committing funds to projects beyond just system maintenance. We are also waiting for final determination of the power supply contract for the last three quarters of 2003. On an interim basis I am recommending that we increase our electric rates by 9.1%. That is what the proposed ordinance does. 3. NEW INFORMATION Attached for your review is a draft ordinance increasing our electric rates by 9.1%. By the time this matter comes before the board you will have conducted a public hearing and adopted the budget for 2003. You will also have conducted a public hearing on this proposed increase in electric rates. 4. RECOMMENDATION I recommend that the board adopt the attached ordinance increasing the District's electric rates by 9.1%. Ordinance No . 2002 - XX Adopting retail electric rates WHEREAS the District distributes electricity to its customers; and WHEREAS the District has entered into an interim power sales agreement for the purchase of wholesale electric power from Idacorp Energy Inc; and WHEREAS the Board of directors has adopted a budget for 2003 that requires that the District raise $15,466,495 through its retail electric rates; NOW, THEREFORE, BE IT ENACTED by the Board of Directors of the Truckee Donner Public Utility District as follows: 1. Effective 30 days from the date this ordinance is adopted, the rate provisions of all other ordinances and/or resolutions which are inconsistent with the provisions of this ordinance are hereby repealed. 2. The District's electric retail rate schedule shall be as follows: Domestic Electric Rates: Permanent Residents Rate P10 Customer Charge: per month $4.50 Energy Charge per kilowatt-hour $0.10869 Domestic Electric Rates: Non-Permanent Residents Rate S10 Customer Charge: per month $4.50 Energy Charge per kilowatt-hour $0.12381 Small Commercial Rates Rate 15 Customer Charge: per month $8.73 Energy Charge per kilowatt-hour $0.13062 Medium Commercial Rates Rate 20 Customer Charge: per month $87.25 Energy Charge per kilowatt-hour $0.07729 Demand Charge per kilowatt of demand $10.58 Large Commercial Rates Rate 25 Customer Charge: per month $382.00 Energy Charge per kilowatt-hour $0.07954 Demand Charge per kilowatt of demand $10.11 ._.............._.... 3. The provisions of other Ordinances shall remain if effect to the extent that they do not conflict with this ordinance. 4. The Clerk of the Board is hereby directed to post and publish this ordinance in accordance with state law. PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility District at a regular meeting thereof duly called and held within said District on the 18`"day of December, 2002, by the following roll call vote: AYES: NOES: ABSENT: TRUCKEE DONNER PUBLIC UTILITY DISTRICT By J. Ronald Hemig, President of the Board ATTEST: Peter L. Holzmeister, Clerk of the Board Electric Rate Comparison —2002 and 2003 750 KWh Customer KWh Charge Charge Total 2002 rate 4.00 74.71 78.72 2003 rate 4.50 81.52 86.18 Difference 7.46 1,000 KWh Customer KWh Charge Charge Total 2002 rate 4.00 99.63 103.63 2003 rate 4.50 108.69 113.19 Difference 9.56