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twitterBoulder City weighs first electricity rate hike in 20 years
Saturday, Nov. 7, 2009 | 2:05 a.m.
Boulder City
Sun coverage
Boulder City residents and businesses might see an increase in electricity rates starting Jan. 1, if the City Council passes a proposed resolution.
City officials are proposing the rate hike to help pay for increased contract prices with NV Energy estimated to cost the city about $4 million over the next year. Boulder City doesn't generate its own electricity and buys power from several sources to redistribute.
City Finance Director Timothy Inch said the rate increase might come as a shock to residents because Boulder City hasn’t had an electricity rate change in 20 years.
“Nobody wants to raise electric or utility rates, but we’re caught in an environment where we don’t have any choice,” Inch said. “The flip side of it is we’ve enjoyed real favorable electricity prices in Boulder City for a long time.”
The City Council is scheduled to conduct a public hearing and vote on the rate change Dec. 8.
The proposed increase in rates will vary based on how many kilowatt hours a household or business uses, Inch said.
Residential customers using up to 2,000 kilowatt hours would pay 7.43 cents per kilowatt hour, a 1.93 cent increase. Households using 2,001 to 4,000 kilowatt hours would see an increase of 2.54 cents.
Large businesses would pay 11.14 cents per kilowatt hour, up from the current rate of 8.25 cents.
The proposal also suggested raising electricity rates for the Boulder City Hospital, but after speaking with hospital Chief Executive Officer Tom Maher at the Oct. 27 City Council meeting, council members decided to leave the hospital rate at 5.55 cents per kilowatt hour.
Maher said the council passed a resolution in 2003 that allows the hospital a lower rate than residential and commercial customers.
Inch said if residents want to lower their electric bills they should consider gas-powered hot water heaters, dryers and stoves. Hot water heaters account for about half of the electric bill for most homes, he said.
“If they cut back then we get to cut back because we’re not buying as much electricity to provide them with,” he said.
For businesses and residents concerned about the proposed rates, Inch said, he will be holding a workshop at 6 p.m. on Nov. 23 at City Hall, 401 California Ave., to explain the proposal and answer questions.
“I would encourage anyone who has any questions to come to workshops or contact us,” Inch said. “I’m not in the business of trying to keep anything from the public. I want them to know as much about what we’re doing as they possibly can.”
Discussion: 10 comments so far…
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7.43 cents per kilowatt hour in Boulder
12.1 cents per kilowatt hour residential NV Energy rate in Vegas.
This is just a back door attempt to squeeze more money out of the Boulder City residences. According to the City, I am off base as they pay there own electric rate including the raised amount, and the rate changes are only on the amount of electric you use. You should cut back on your power . Really . The only reason we have to buy power that I can see is to pay for the power of all the new infrastructure, golf courses, lighted roads, city buildings and more.Boulders population has not increased much in the last 10 years, but the electric consumption has, How about a study on what the rate increase would be if we rolled back usage to the amount of power consumed 10 years ago. Then compare that to the proposed power buy, how much extra power would the city really need ?? I Think you will find that the rate hike is really the Citizens paying for the cities out of control spending over the last 10 years.
The hospital should have a rate increase also.
Boulder City has had 4 solar plants and 1 gas fired plant built in the last 5 years why wasn't low cost energy negotiated when these leases were finalized. Plus the city has been stealing from the utility fund to pay for the new golf course and now it's close to broke.
I agree with sbbcnv! We've got all the solar power and we don't get a dime's worth of power from them? Maybe it's time BC built it's own solar plant and distributed that power to residents and businesses. Or would that betray the lie that solar produces even a dime's worth of power without government subsidies?
This 2002 Sun story points out this isn't the first electric rate increase in BC in 20 years
http://www.lasvegassun.com/news/2002/may...
The power from Hoover Dam that Boulder City receives has not gone up in 20 years but the city has had numerous increases in electric charges over the 20 years I have lived here. Tim Inch is distorting the true or you could say just plan old lying.
this is absolute poppycock. Tim Inch is an at will employee, and not an elected official. He should be let go and someone better qualified should be found. I have personally worked with Inch and know that he worries more about some of the teenagers cars than he does our city's finances.
Inch said if residents want to lower their electric bills they should consider gas-powered hot water heaters, dryers and stoves.
The above would be nice if we had gas on our street. There are a lot of residents who aren't offered gas, so this does us no good.
Let me see here. I just spent the week in Boulder City and yes I did use the electric dryer once, but it is now the 2nd week in November and I had my AC on during the daytime all the time I was there. Other electric appliances may use electricity but they are not on continually like your AC is for approx 6 months of the year. Wait until next summer when it gets hot again and see how cool you can remain when the electric bills come then.