Monthly utility bill could go up $29
Story By: Jeannette Hynes
Source: KOAA
Published Wed Nov 19, 2008, 09:06 PM MST
Updated Wed Nov 19, 2008, 10:55 PM MST
Colorado Springs Utilities is proposing an 18.9% increase in utilities for 2009. That number is for residential users. Businesses and the industrial sector are facing an even higher rate increase.
If approved, people at home could see their bills go up $29 a month.
It's a proposal Mazie Baalman says she doesn't want to hear, but it is part of doing business.
"it's going to be hard to manage. It always is," said Baalman.
Baalman says she's seen hard times before, but it is the unexpected ones that really hurt. She says when tourism dropped after the September 11th attacks in 2001, and during the Hayman Fire in 2002, it was harder to manage than an expense increase she knows is coming.
"You're better prepared," explained Baalman.
Colorado Springs Utilities says the reasons for the rate hike are the increased cost of natural gas for the upcoming winter months, and the fact that housing starts have slowed, decreasing the amount of fees CSU collects from developers.
"I live in the community. I pay the utility bill. I don't like to pay any more either, but I think if people truly understood what was going on with our revenues and what we've done to manage our expenses, I think they understand," said Edward Easterlin, Chief Planning and Finance Officer for CSU.
One of the expenses CSU has cut is salaries. So far, CSU has trimmed 152 positions, through attrition. The goal is 200.
CSU is also scaling back on its tree trimming program, not replacing old trucks and equipment, and fixing cable as it breaks, rather than doing preventative maintenance.
Colorado Springs Utilities has posted their rate projections online with a schedule of public hearings and approval dates. The next meeting is November 25 at City Council.
