HomeMy WebLinkAboutMinutes 10/30/1990UTILITY ADVISORY COMMITTEE
Port Angeles, Washington
October 30, 1990
Call to Order
Chairman Hallett called the meeting to order at 4:35 p.m.
II.
Roll Call
Members Present: Jim Hallett, Jerry Cornell for Mike
Lemon, Dick Wight, Jeff Rosbach, Thomas Hunt
Staff Present: J. Pomeranz, B. Titus, G. Leaf, Y.
Ziomkowski, J. Pittis, C. Knutson, K. Ridout
III.
Approval of Minutes of August 28, 1990, Meeting
The minutes were approved as written.
IV.
Discussion Items
1. Discussion on 6% Utility Tax vs. 5% In-lieu-of Tax
Staff discussed the need for additional revenues found in
the 1991-92 proposed budget and how a utility tax would
be one way of raising additional revenues for the general
fund. It was pointed out that the current in-lieu-of tax
rate was one of the lowest in the State compared to
comparably sized cities. It was also pointed out that the
various utilities doing business in the city were not all
paying taxes based on the same rate.
A new utility tax was being proposed because the BPA
power sales contract prohibits in-lieu-of taxes greater
than 5%. If the City wishes to increase taxes on
operating revenues derived by utilities it would need to
rescind the in-lieu-of tax and adopt a utility tax. It
was pointed out that the majority of cities have done
just that.
The UAC voted to go on record as supporting the taxing
change if the budget adopted by the City Council shows a
need for the additional general fund revenues. This
change would apply to the three City utilities as well as
PUD customers inside the City. Telephone and cable tv
rates would remain at their current levels for now but
would be looked at in the future to standardize at 6%.
2. Discussion of Concerns Expressed by Churches
Staff discussed concerns expressed by several churches in
town with regard to the impact of demand charges in the
new electrical rates. The UAC was briefed on how demand
worked and were provided with an example of how the old
rates fell short of recovering the cost of service to the
majority of churches. Special time-of-day meters were
suggested as a possible way to more accurately measure
the billing demand that should be applied to the
churches.
The UAC agreed that every effort should be made to ensure
that the churches were being treated fairly but felt that
they should not be given special consideration. The
general feeling was that City Light staff should work
with the churches to insure that they were using power as
efficiently as possible so as to keep their costs down.
The City Light Director was directed to contact all
customers on the General Service Demand rate schedule. An
offer to provide a special time-of-day meter to any
customer whose demand was highest on Sundays or from
10:00 pm to 7:00 am for $5 per month was to be made. If
an interest was expressed by any customers to install a
time-of-day meter, the rate schedule would need to go
back to the City Council.
Late Items/Member Discussion
There were no late items.
VI.
Adjournment
The meeting was adjourned at 5:56 p.m.