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Carmi City Council gets electric utility cost of service study update at Tuesday meeting

The Carmi City Council met Tuesday night for their second meeting in February with all Aldermen present.

Ordinance 1522, which replaces two other ordinances regulating mobile homes and mobile home parks, was passed unanimously.  Mayor Pollard explained that state laws supersede the City’s ordinance and required the change.

City Electrical Engineer David Coston briefed those present about the work on the lower buss at the Light Plant, and reported that big changes are coming in the next few weeks.  The older gear is out, and the new equipment is expected to arrive in the next two weeks.  New concrete is ready to be poured, and work on the rest of the plant is progressing to make the facility safer and more efficient.  The new transformer is expected in mid-March, and when it is installed and running, the current transformer will be taken off line for maintenance that is currently several years overdue.

Coston and Dan Kerns then updated the Council on the cost of service study the Council commissioned last fall.  Information from the City billing department was used from the past five years to forecast the next five years.

At this time, the forecast is that current revenue will not be sufficient to cover costs, but Coston did not advocate a rate increase.  Instead he asked the Council to consider a 12 month rolling average for the cost adjustment factor to help prevent billing spikes, and introduced a smart meter program so residents could monitor energy use during peak hours.  Both measures will be discussed at a future meeting.

The Council meeting went into closed session at 6:03 pm to discuss personnel issues.