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Nardini Says the Pella Electric Utility Budget Will Increase

Posted: Thursday, September 9th, 2010 at 6:29 am
Author: KNIA/KRLS News-David Hecht

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The Pella City Council met on Tuesday night and the City’s electric utility budget will increase for the 2011-2012 fiscal year. The Fiscal year will begin on July 1st of 2011 and City Administrator Mike Nardini says that of the $40 million dollar budget for the city, the electric budget makes up roughly $22 million dollars of that. Nardini goes on to say that the retail sales over the last 3 fiscal years have decreased 8-9% and that equates to about $1million dollars in lost revenue for the city. As a result of the lack of retail sales, and the need to provide an adequate capital budget for the electric utility, the city is proposing a 4.63% rate increase that would be effective January 1, 2011. Nardini says that should impact most residential customers by an additional 6-8 dollars per month.