HomeMy Public PortalAbout002-2022 - Recommending RP&L Proceed with steps to Opt out of IURC V,_ • .
RESOLUTION 2-2022
A RESOLUTION OF THE UTILITY SERVICE BOARD OF THE CITY OF RICHMOND,
INDIANA RECOMMENDING RICHMOND POWER&LIGHT PROCEED WITH STEPS
TO OPT OUT OF THE JURISDICTION OF THE
INDIANA UTILITY REGULATORY COMMISSION(IURC)
WHEREAS,the City of Richmond, Indiana owns and operates its own electric Utility,
Richmond Power&Light(RPL) under the supervision and control of the Richmond Utility Service
Board of Directors(Board)pursuant to IC § 8-1.5-3-4;and
WHEREAS,the IURC requires burdensome and costly reporting that RPL must currently
follow on a quarterly and yearly basis_without known value to RPL or its customers;and
WHEREAS,at one time most Indiana Municipal Power Agency(IMPA)members were
subject to the IURC jurisdiction,and now only seven (7)of sixty(60)current Indiana IMPA members
continue to operate under IURC jurisdiction (and one of the remaining is also currently in the process
of opting out);and
WHEREAS,the IURC provides many benefits and protections to consumers purchasing utility
services from investor-owned(for profit) utilities;and
WHEREAS,the Board and RPL operate a municipally owned, not-for-profit utility in a
responsible and prudent manner,resulting in rates that are lower than all other Indiana for-profit
electric companies; and
WHEREAS,while there are no present plans to do so,the Board and RPL may desire in the
future to adjust electrical rates and avoid the costs of a formal IURC proceeding, including,but not
limited to, expert witness testimonies,third-party fees from consultants,accountants,engineers and
attorneys, as required by IURC and are costs which are ultimately passed on to RPL customers;and
WHEREAS,any future proposed rate adjustments for RPL require adherence to Indiana State
Law processes and procedures, including customer protection via the requirement for
nondiscriminatory,reasonable and just charges pursuant to IC § 8-1.5-3-8,customer input at public
hearings, and rate adjustments approved by elected public officials;and
WHEREAS,IC §8-1.5-3-9(b)provides that when a second-class city with a
municipally-owned electric utility wants to be taken out of the jurisdiction of the IURC for approval
of rates and charges and of the issuance of stocks, bonds,notes,or other evidence of indebtedness,the
common council may submit the following public question to the registered voters of the municipality
at the next election in the form prescribed by IC§ 3-10-9-4; and
WHEREAS,if a majority of those voting in favor of taking the municipally owned utility
out of the jurisdiction of the Commission,the utility is removed from the jurisdiction of the
IURC for approval of rates and charges and of the issuance of stocks,bonds,notes, or other
evidence of indebtedness
Ron Oler, Chair
ATTEST:
Karen Chasteen,IAMC,MMC
City Clerk