HomeMy WebLinkAboutMINUTES Light and Power Committee 1991-11-07RECORD OF PROCEEDINGS
/Liqht and Power Committee
November 7,1991
Committee:Chairman Aldrich,Trustees Dickinson and Hix
Attending:All
Also Attending:Trustees Garrett and Habecker,Ass’t.
Administrator Widmer,Light &Power Director
Matzke,Finance Officer Vavra,Clerk O’Connor
Absent:None
Chairman Aldrich called the Committee meeting to order at 2:00 P.M.
RATE STUDY -REVIEW.
Electric Rates.Max Kiburz,Rate Consultant,briefed the Committee
on additional proposed changes to the Town’s electric rates:
Residential Service.Increase the monthly customer charge to
$3.00.Establish a two-year deadline for electric heat
customers using above 15,000 kwh annually,to transfer to the
Residential Demand Rate.
General Service Small.Eliminate the availability to new
residential customers.Establish a one—year deadline for
existing residential customers using above 15,000 kWh
annually,to transfer to the Residential Demand Rate,and for
existing residential customers using under 15,000 kWh
annually,to transfer to the Residential Rate.
Residential Service Demand Metered.Increase the monthly
customer charge to $3.00.Eliminate the 60%minimum demand
ratchet.Establish a seasonal demand charge of $5.00/kW for
summer months and $7.00/kW for winter months.Lower the
energy charge to $0.03/kwh.
Residential Heat Storage.Eliminate this rate and replace it
with a Residential Service,Time of Day rate.
General Service Large Time of Day.This is a new rate class
which would be available to commercial customers with maximum
demands exceeding 35 kW.
The purchase power rider calculation would result in an
estimated $0.00235/kwh charge which would apply to allelectricrateclasses.
The Committee reviewed a rate change impact comparison chart andtheimpacttoanactualaccountbasedonthenewratesandpurchaserider.The purpose of the proposed rate change is two—fold:
internal rate adjustments and account for the increased purchase
power costs effective January 1,1992.Director Matzke reviewed
the procedure being followed leading to the public hearing
scheduled December 10,1991.An additional ordinance pertaining toSection13.08.080,was reviewed.Certain items relating to thewaterheaterconstruction,and the like,were removed and will beincludedintheDepartment’s Rules and Regulations.
The Committee reiterated the necessity to provide communication andeducationforelectricconsumers.Perhaps the use of graphicscouldbeincorporatedtoassistinwhatcanbeaccomplishedwithademandcontrollerandhowitrelatestosavingsonelectricbills.
Loan Program.With adoption of new rate schedules,someresidentialcustomerswithelectricheatwillberequiredto
RECORD OF PROCEEDINGS
Light and Power Committee -November 7,1991.-Page 2
transfer to the Residential Service Demand Metered Rate.As
recommended by the Committee October 3,1991,staff has researched
a low—interest loan program.This program would be available to
existing residential customers that were connected prior to January
1,1992 and who are being required to transfer to the aforestated
rate class.The Program would provide financing for installation
of demand controllers or conversion from electric space heat to an
alternate source.Program specifics include:
1.The loan amount will not exceed 90%of the total
installed cost of the approved project,up to a maximum
loan amount of $1,000.No loan will be made for less
than $250.00.
2.The interest rate will be determined at the time the loan
is approved according to the Town’s cost of money,and
will be fixed for the duration of the loan period.
3.The maximum payment period will be determined by the
following schedule.There will be no prepayment penalty.
Loan Amount Monthly Payments
Under $500 18
$500—$700 24
$700—$1,000 36
4.Monthly payments will be billed on the customer’s
electric bill.
5.Customer must make application and receive approval from
the Department prior to start of any work on the proposed
project.Loan approval will be subject to an appropriate
credit investigation.
6.All work must be performed by a licensed contractor and
required permits and inspections must be obtained.If
the installation is to be performed by the customer,all
necessary permits and inspections will still be required.
7.All work financed by the loan must be performed on the
customer’s property.
8.The completed project must be inspected by the
Department’s representative to guarantee the Town’s
requirements have been met prior to release of any loan
funds.
9.Customer must present an original invoice to the
Department for processing of the loan.Loan amount will
not be increased above the pre—approved level.Loan
funds will be issued in the name of the customer.
10.If the applicant sells the residence during the loan
payback period,the outstanding amount shall be
immediately due and payable.
11.If the applicant is not the owner,the owner must co—sign
the loan application.
Additional requirement for heat conversions:
1.After completion of the project,no more than 1,500 watts
of permanently installed electric heat may remain in the
residence.
Discussion followed,with the Committee recommending the rate
RECORD OF PROCEEDINGS
light and Power Committee -November 7,1991 -Page 3
changes,as presented,and loan program be adopted,with the
stipulation that the conversion contained in the loan program be
limited to natural gas or propane.A public hearing will be held
December 10,1991 where the proposed ordinances will be presented.
As Mayor Dannels and Trustee Barker were not in attendance at this
meeting,the Committee suggested they receive a briefing on the
rate changes prior to the public hearing.
The Committee commended Mr.Kiburz for a job well done.
REPORTS.
Project Updates.The new Giant Track circuit has been energized
which should result in increased reliability and higher level of
service.Christmas decorations are being placed.Employees from
other departments are also participating in this effort.The “Old
Lady in the Shoe”and “Bugville”have been refurbished.W.A.P.A.
has begun work on the Marys Lake Substation to alleviate the
“nuisance trips.”Cable System was successful in providing a tape
delay airing of the CU/Kansaso&ball game.Staff reported that
Channel 4 sold their rights to Denver Channel 20.The Committee
suggested staff convey their appreciation to Cable Systems for
their cooperation,and determine whether such games can be aired if
Cable Systems receives additional lead time,and if Channel 20 can
be added to our system.
Financial Reports.Finance Officer Vavra presented an Income
Statement from the nine months ended September 30,1991.Capital
expenditures were included,and as these expenditures distort the
report,the Committee requested said expenditures be reported below
the expenses subtotal.
Platte River Power Authority.Ass’t.Administrator Widmer reported
on PRPA activities (rate increase,Colorado Ute,Thornton water
case,and Budget),commenting that the Rawhide Plant is on-line
following a 46—day scheduled maintenance program.
There being no further business,Chairman Aldrich adjourned the
meeting at 3:45 P.M.
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Vickie O’Connor,CMC,Town Clerk
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