Kyle Roadman, EPUD General Manager
Hello Emerald Customer-Owners,
This fall is a busy one as we’re finishing up construction season while planning out our 40th anniversary events. I hope you have a chance to see us out in the community working hard on your behalf.
Fall also marks the time we carry out our annual budget process. A hallmark of public power is the transparent way we develop our spending and rate levels each year. This time is no exception, and we recently released our 2024 budget proposal for public review. You can find a copy by clicking here.
Customers are welcome to provide feedback by reaching out directly to your Board Director or myself. The current budget schedule also includes the following opportunities for in-person engagement:
- Tuesday, October 3, 3:00-5:00 PM
Board Workshop to discuss 2024 Budget Proposal - Tuesday, October 10, 5:30-7:30 PM
Citizen Advisory Committee meeting to discuss 2024 Budget Proposal - Tuesday, October 17, 5:30-8:30 PM
Public Hearing on the 2024 Budget Proposal - Tuesday, November 14, 3:00-5:00 PM
Board Meeting to vote on 2024 Budget Proposal, including rate proposal
As we work through each milestone, we’ll be updating this page with the most recent information about our 2024 budget. Check back often over the next two months.
Budget Highlights
This year’s budget proposal has several noteworthy features, including:
- Continued progress on the initiatives outlined in our 2020 Strategic Plan.
- Near-record levels of capital investment to improve reliability on our system.
- Continued investment in our workforce to ensure quality service.
- Our first proposed rate increase in five years. More on this below.
Rate Increase Proposal
After five years of absorbing cost pressures, 2024 includes a 5% rate increase proposal. Although it’s never fun to raise rates, this proposal comes only after a thorough review of our operations. Prior to considering a rate increase, our staff implemented spending reductions of more than $3.7 million from our original proposal. As a public power utility, we serve our customers at cost and raise rates only when necessary. I can say with full confidence this proposal reflects that approach.
In fact, I’m quite proud of our track record on this front. Since our last rate increase in 2019, we’ve seen higher prices on nearly everything we buy. As one example, transformers have doubled or tripled in price due to supply chain issues. More recently, we’ve also seen the cost of wholesale power supply jump significantly, resulting in new budget volatility.
For another perspective, here’s a look at how inflation has affected the broader economy since 2019. In recent years, we’ve truly “zigged” where everything else has “zagged”:
Although we’ve been able to absorb cost increases up to now, the time has come for us to pass along a portion of this impact. If implemented, the 5% rate increase would add approximately $6.70 to an average monthly bill for residential customers. As a point of comparison, even with this increase Emerald would remain the second lowest provider in the local area. The chart below shows an average monthly residential bill, with no increases assumed for the other utilities (although these are likely):
While I realize that any cost increase is meaningful to a household budget, my sincere hope is that you recognize the value we bring as your local, not-for-profit electric utility. We want to earn your business and not take it for granted.
I encourage every customer to let us know how we’re doing and provide feedback on our 2024 budget proposal. We welcome you to engage at one of the meetings mentioned above, or send direct feedback any time you like.
Please stay safe,
