Rochester Public Utilities Board Moves Forward on Rate Increase
Rochester, MN (KROC-AM News)- The Rochester Public Utilities Board has moved forward on potential rate increases for its customers.
Board members discussed the rates during their meeting on Tuesday. Agenda items to publish the proposed electricity utility rate and water utility rate won unanimous approval.
The proposed rate hikes were not published as of Wednesday morning, however board members signed off on a 3.2% general rate increase as well as an Advanced Metering Infrastructure related customer charge of $1.94 for 2024.
The board also approved publishing a proposed general rate increase of 4% in 2025 for electricity utility rates. The agenda item indicates the proposed rate hike would increase the average RPU customer’s monthly bill by $4.12 next year and $4.30 in 2025.
Board members also greenlighted the publishing of a proposed water utility rate increase. The meeting agenda item says the impact of the recommended general rate increase on the average residential customer is approximately $1.65 per month in 2024 and $1.67 per month in 2025.
The rate increases were approved after staff presented board members with the results from a cost of services study that found the utility needed to increase revenue to keep up with costs associated with a growing customer base and replacing aging utility infrastructure.
The board also set an October 24 public hearing date which will be followed by a vote on setting the rate increases.
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