HomeMy WebLinkAbout15700RESOLUTION NO. 15700
A RESOLUTION IN OPPOSITION TO BLACK HILLS
COLORADO ELECTRIC, LTHE
COLORADO PUBLIC UTILITIES COMMISSION TO RAISE
ELECTRICAL RATES WITHIN THE CITY OF PUEBLO
WHEREAS, on June 14, 2024, Black Hills filed a rate review with the Colorado Public
ost of operating,
maintaining, and upgrading its southern Colorado electric system which serves over 100,000
customers in Pueblo, Cañon City, Rocky Ford and surrounding communities; and
WHEREAS, the City intends to intervene and fully participate in the rate increase before
the PUC; and
WHEREAS, Black Hills claims this rate increase will increase revenues by $36 million
annually; and
WHEREAS, Black Hills claims the rate increase would increase the average monthly
residential bill of a customer using 600 kilowatt-hours of energy from $109.67 to $129.81; and
WHEREAS, the Colorado Association of Municipal Utilities (CAMU) reports that the
typical Black Hills Energy customer already pays higher residential rates than those paid by a
typical customer of any other utility in Colorado; and
tomers, on average, spent
over $145 to use 700 kilowatt-hours in January 2024; and
WHEREAS, during January 2024, Xcel Energy ratepayers spent less than $100,
Colorado Springs ratepayers spent less than $99, and Fort Collins ratepayers spent less than
$84 for the same 700 kilowatt-hours of energy; and
WHEREAS, Pueblo ratepayers have consistently been charged significantly higher utility
rates than every other community along the Colorado Front Range; and
WHEREAS, allowing Black
ady exists; NOW,
THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that
SECTION 1.
The City Council for the City of Pueblo does hereby oppose the requested rate increase
for delivery of electricity for which Black Hills Electric of Colorado, LLC has applied;
SECTION 2.
A copy of this Resolution be transmitted to all members of the Colorado Public Utilities
Commission.
SECTION 3.
The officers and staff of the City are authorized to perform any and all acts consistent
with this Resolution to effectuate the policies and procedures described herein.
SECTION 4.
This Resolution shall become effective immediately upon final passage and approval.
INTRODUCED: July 22, 2024
BY: Brett Boston
MEMBER OF CITY COUNCIL
APPROVED: __________________________
PRESIDENT OF CITY COUNCIL
ATTESTED BY: ________________________
CITY CLERK
City Clerk's Office Item # M13
Background Paper for Proposed
Resolution
COUNCIL MEETING DATE: July 22, 2024
TO: President Mark Aliff and Members of City Council
CC: Mayor Heather Graham
VIA: Marisa Stoller, City Clerk
FROM: Harley Gifford, Deputy City Attorney
SUBJECT: A RESOLUTION IN OPPOSITION TO BLACK HILLS COLORADO
EST BEFORE THE COLORADO PUBLIC
UTILITIES COMMISSION TO RAISE ELECTRICAL RATES WITHIN THE
CITY OF PUEBLO
SUMMARY:
Attached is a Resolution in opposition to
14, 2024.
PREVIOUS COUNCIL ACTION:
City Council has previously opposed rate increases requested by Black Hills.
BACKGROUND:
On June 14, 2024, Black Hills filed a rate review with the Colorado Public Utilities
Commission (PUC) to update its electric rates for its southern Colorado electric system
which serves over 100,000 customers in Pueblo, Cañon City, Rocky Ford and
surrounding communities. Black Hills claims the purpose of this increase is to recover
necessary infrastructure investment and operating costs, including pay and benefits for
local employees.
Black Hills claims the increased rates will generate at least $36 million in additional
revenue per year. If approved by the PUC, the new rates are anticipated to go into
effect in or before March 2025.
FINANCIAL IMPLICATIONS:
hin
the City will be forced to pay higher rates for energy than any other community along
the Colorado Front Range.
BOARD/COMMISSION RECOMMENDATION:
None.
STAKEHOLDER PROCESS:
None.
ALTERNATIVES:
City Council could choose not to adopt the proposed Resolution.
RECOMMENDATION:
This Resolution is at the request of City Council.
ATTACHMENTS:
None