PORT ANGELES — Electrical power bills for Port Angeles residents are expected to increase next year for all but the city’s low-income disabled customers.
The monthly energy bill for city residents is anticipated to increase by $5.40 per month on average as a result of a 14 percent increase in wholesale electrical rates from the Bonneville Power Administration, the City Council was told during a work session Tuesday.
The City Council during the special meeting voiced support for exempting the approximately 300 participants in the city’s discount program for disabled residents who make less than $21,000 a year.
Doing so would bump the anticipated monthly increase to about $5.70 per month for all other customers, a move the council felt is justified.
“It’s worth another 30 cents per month to me from someone who can afford it to make sure no poor person gets their power turned off,” Mayor Dan Di Guilio said.
No action was taken Tuesday.
The utility rates are expected to be set in October.
The BPA rate bump is expected to cost the city $2.62 million.
Glenn Cutler, city public works and utilities director, has said the city doesn’t have enough reserves to cover the increase because it has been using the utility’s rainy-day fund to lessen the impact of past BPA rate hikes.
The majority of council members also voiced support for using the electrical base rate to cover the increase and not touch the consumption rate.
That flat base rate is now $13 per month, effective in January; it would be between $18.40 and $18.70 per month with the increase.
City Councilwoman Cherie Kidd said the city should apply the increase to the consumption rate, arguing that it would make it easier for residents to lower their bill through conservation.
Kidd said by applying the increase to the base rate, those who use little energy would be subsidizing everyone else.
“And I don’t think that’s what we want to do,” she said.
When the council raised the base rate to $13 per month, intended to cover the cost of the utility’s infrastructure, it was the first time it had been raised since 1993.
The city has not raised the electrical consumption charge since 2007.
On the same utility bill with electricity are charges for water, sewer, garbage collection, emergency medical service and the city’s sewage overflow elimination project.
The approximately $40 million CSO project is expected to cut the number of annual sewage overflows from up to 100 to no more than four by 2016.
The city raises the fee, now at $14.95 per month, by $2 plus inflation each year.
The fee started in 2005.
It will continue increasing at that rate until 2015, when it will reach $26.40 per month. The rate will expire after another 20 years.
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Reporter Tom Callis can be reached at 360-417-3532 or at tom.callis@peninsuladailynews.com.