1996 ADJ MIN OCT 15 - Laserfiche WebLink

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service, which is over the amount of what is in that report, that will be required and those were disclosed when we went through the last rate increase and PCA adjustments so that when the debt service comes into effect in April of next year we will be prepared to pay that amount. This is the transition from when the rates went into effect and the full effect of our debt service. Councilmember Bennett asked if the City is still participating in the refrigerator rebate program. Director Clarke responded yes. Councilmember Bennett asked to include in the report the cost to the City to provide that service and what it would cost to raise the baseline and give us 3 different scenarios on the 350, 400 and 500. Director Clarke responded this would take some time to do those studies as you are basically looking at each customers sale per month and aggregating them to see how they change at each one of those levels and this is approximately 1/2 million pieces of data. He said staff would make every effort to look at as many scenarios as we can. Mayor Fulp made the motion that to instruct the City Attorney and Electric Department to return in two weeks with documentation for Council to approve to increase the threshold for residential from 200 to 400 kilowatts. Councilmember Bennett commented as to the cost-effectiveness of the Refrigerator Rebate Program. Director Clarke responded that when you take an old, dilapidated, inefficient refrigerator off the system it saves us money in power cost. The program was based on a cost benefit analysis of taking a refrigerator off the system what those savings would create and how we could best pass those back to the customer who create those savings. Director Clarke presented a history of the Electric Utility's fiscal condition. Councilmember Sanders discouraged Council to take action that would destablize the electric utility, by shifting policy in one direction and then finding because the mechanism is going to trigger something and in 6 months Council will have to adjust it back. He supported the need for a report as Councilmember Bennett has recommended. City Manager Freeman stated Mr. Clarke had the ability to bring Council the figures and look at the facts and bring back a full report. We don't have a choice we are driven by competition right now, not tomorrow, we are already there, which means that Mr. Clarke is driven to reduce his overhead and provide better service overall. We as a City are driven to provide better service which includes not just electrical people but our finance department and the other services that support that and we are going to be marketing to the rest of the world eventually and in order to do that we are going to have to ask for a little assistance and forbearance. Councilmember Beltran commented on the possibility of Colton selling their excess power to Norton Air Force Base; and supported the need for a report as Councilmember Bennett recommended. Councilmember Bennett second the motion made by Mayor Fulp. 0 nr.T 1 5 iGc 3