LES proposes not to increase rates in 2020
Lincoln City Council members heard from officials with the Lincoln Electric System on Monday. They do not plan on increasing rates for the year 2020.
"A big reason why there is not a rate increase proposed is that our net power costs are unchanged from 2019 to 2020," Chief Financial Officer at LES, Laura Kapustka said.
The proposed budget is $347.5 million which is half a million less than the one for 2019.
LES is proposing small adjustments in return. One is a new service fee, if a customer receives a disconnect reminder it would be $10. That's if a representative goes out to your house and nothing is solved.
"It's actually more of an incentive to get people to sign up because we will waive that fee the first time if they sign up for both the email or texting type of messaging so that they get that extra extra reminder to do that," Chief Executive Officer at LES, Kevin G. Wailes said.
Another proposed fee is called After Hours Reconnect. That's if two representatives have to come after work hours and disconnect for someone who hasn't payed, that fee would be $100.
"We want to make sure that the customers causing us to concur the costs are also paying for the costs," Kapustka said.
LES spent several years restructuring it's rates so customers pay more in fixed costs and less in energy use costs.
"We had a number of planned and unplanned outages this year, we don't intend to have as much as last year so we should be producing more next year, since we are producing more we are selling more into the market and we will receive more revenue from the whole sale revenue," Kapustka said.
If you would like to learn more or see some visuals of the proposed budget, click here.