HomeMy Public PortalAbout039-1982 - Reinstating Rates and Charges and a dismissal of a petition for rate increases for RP&LORDINANCE NO. 39-1982
AN ORDINANCE REPEALING ORDINANCE NO. 24-1982,
REINSTATING RATES AND CHARGES IN EFFECT PRIOR
THERETO, AND AUTHORIZING THE DISMISSAL OF A
PETITION FOR INCREASE OF RATES AND CHARGES BY
THE CITY OF RICHMOND D/B/A RICHMOND POWER &
LIGHT AND MATTERS RELATED THERETO.
WHEREAS, the City of Richmond is the owner of and operates a
municipal electric utility system supplying said City and the
inhabitants thereof with electricity for public, domestic and
industrial uses under the style of Richmond Power & Light (RP&L)
which municipal electric utility is subject to the control of
the Common Council of the City of Richmond acting as the governing
body thereof; and
WHEREAS, the General Manager of RP&L had advised the Common
Council of the City of Richmond that it is not in the public
interest because of general economic conditions for RP&L to carry
out the provisions of Ordinance No. 24-1982 heretofore adopted by
this Council on July 6, 1982, wherein the rates and charges for
electric service of RP&L are increased and provisions to carry
out the terms of said ordinance including the filing of a petition
with the Public Service Commission of Indiana were authorized; and
WHEREAS, this Council now finds that it is not in the public
interest to increase the rates and charges of RP&L at the present
time and appropriate action by this Council should therefore be
taken including repealing Ordinance No. 24-1982.
NOW THEREFORE BE IT ORDAINED by the Common Council of the
City of Richmond as follows:
SECTION 1. That Ordianance No. 24-1982 heretofore enacted by
this Council on July 6, 1982, is hereby repealed. The rates and
charges that were in effect for electric service rendered by Richmond
Power & Light prior to the adoption of Ordinance No. 24-1982 are
hereby reinstated and made effective for the use for electric ser-
vice rendered by Richmond Power & Light and said rates and charges
shall continue in effect until further action by this Council.
SECTION 2. That the General Manager of RP&L, its employees and
agents, are hereby authorized to dismiss any petitions now pending
before the Public Service Commission of Indiana pursuant to the
provisions of Ordinance No. 24-1982 and to take such further action
as may be required to carry out the provisions of this ordinance.
SECTION 3. That all ordinances and parts of ordinances in
conflict herewith are hereby repealed including Ordinance No.
24-1982 in its entirety.
SECTION 4. This ordinance shall be in full force and effect
from and after its passage.
PASSED AND ADOPTED by the Common Council of the City of
Richmond on the ` day of1982.
Pret,ident of Common Council
ATTEST:
City'C1erk
PRESENTED by me to the Mayor of the City of Richmond on the
dayyl -
of ��CF-ul-,�,�,% 1982 at the hour ofJl1_/s o'clock
M. (EST).
Cit Clerk
APPROVED by me, Clifford J. Dickman, Mayor of the City of
Richmond, Indiana, on the day of ��-,� . eti: 1982,
at the hour of LL ,` .S' o'clock 4-.M. (EST) .
AfT-ZST :
Ck�vy'Clerk
-2-
ORDINANCE NO. -1982
AN ORDINANCE REPEALING ORDINANCE NO. 24-1982,
REINSTATING RATES AND CHARGES IN EFFECT PRIOR
THERETO, AND AUTHORIZING THE DISMISSAL OF A
PETITION FOR INCREASE OF RATES AND CHARGES BY
THE CITY OF RICHMOND D/B/A RICHMOND POWER &
LIGHT AND MATTERS RELATED THERETO.
WHEREAS, the City of Richmond is the owner of and operates a
municipal electric utility system supplying said City and the
inhabitants thereof with electricity for public, domestic and
industrial uses under the style of Richmond Power & Light (RP&L)
which municipal electric utility is subject to the control of
the Common Council of the City of Richmond acting as the governing
body thereof; and
WHEREAS, the General Manager of RP&L had advised the Common
Council of the City of Richmond that it is not in the public
interest because of general economic conditions for RP&L to carry
out the provisions of Ordinance No. 24-1982 heretofore adopted by
this Council on July 6, 1982, wherein the rates and charges for
electric service of RP&L are increased and provisions to carry
out the terms of said ordinance including the filing of a petition
with the Public Service Commission of Indiana were authorized; and
WHEREAS, this Council now finds that it is not in the public
interest to increase the rates and charges of RP&L at the present
time and appropriate action by this Council should therefore be
taken including repealing Ordinance No. 24-1982.
NOW THEREFORE BE IT ORDAINED by the Common Council of the
City of Richmond as follows:
SECTION 1. That Ordianance No. 24-1982 heretofore enacted by
this Council on July 6, 1982, is hereby repealed. The rates and
charges that were in effect for electric service rendered by Richmond
Power & Light prior to the adoption of Ordinance No. 24-1982 are
hereby reinstated and made effective for the use for electric ser-
vice rendered by Richmond Power & Light and said rates and charges
shall continue in effect until further action by this Council.
SECTION 2. That the General Manager of RP&L, its employees and
agents, are hereby authorized to dismiss any petitions now pending
before the Public Service Commission of Indiana pursuant to the
provisions of Ordinance No. 24-1982 and to take such further action
as may be required to carry out the provisions of this ordinance.
SECTION 3. That all ordinances and parts of ordinances in
conflict herewith are hereby repealed including ordinance No.
24-1982 in its entirety.
SECTION 4. This ordinance shall be in full force and effect
from and after its passage.
PASSED AND ADOPTED by the Common Council of the City of
Richmond on the day of f; l --` 1982.
President of Common Council
ATTEST:
4
City"Clerk
PRESENTED by me to the Mayor of the City of Richmond on the
day of 1982 at the hour of o'clock
.M. (EST) .
City Clerk
APPROVED by me, Clifford J. Dickman, Mayor of the City of
Richmond, Indiana, on the day of , 1982,
at the hour of o'clock M. (EST).
ATTEST:
City Cler
Mayor
-2-
NOTE: NOT TO BE RELEASED BEFORE 12:00 NOON FRIDAY, OCTOBER 29, 1982
NEWS RELEASE
Issued by: Richmond Power and Light, Irving A. Huffman, General Manager
Acting upon a management report, the Common Council serving as the
Board of Directors for Richmond Power and Light are to vote on delaying
the R.P.& L. rate increase request.
In May rate consultants recommended R.P.& L. should petition the Public
Service Commission for an increase. The consultants also recommended R.P.& L.
perform a cost of service study and adjust rate schedules to comply with
the Public Utilities Regulatory Policy Act of 1978. Following the consultants
recommendations the Council authorized R.P.& L. to petition the P.S.C.
for increases averaging 11.18%. The P.S.C. has set hearings to start November 3.
An increase in rates will have a negative effect on Richmond industries
and residential customers. The City of Richmond is faced with an 18% increase
in street lighting costs. Schools and hospitals are faced with increased
costs. Richmond Power and Light estimates that customers will also reduce
usage when higher rates are approved.
The Board of Directors and the employees of Richmond Power and Light
feel now is the time to try and help our customers through these troubled
economic times. It does mean going against the recommendation of our consultants.
The proposed 1983 operating budget has been cut to a safe minimum
and savings are expected from R.P.& L.'s involvement in the Indiana Municipal
Power Agency. Employee suggestions of methods to increase efficiency and
productivity are being received and implemented. A small profit is now
being projected for 1983 rather than a $100,000 loss. Any losses in 1984
will be absorbed from R.P.& L. reserve funds.
It should be noted any rate increase proposed in the future will probably
have to be far greater than 11.18%. Our customers and the City both need
our help now and hopefully the economy will be stronger down the road.
Richmond Power and Light's last general rate increase was 1980.