Title
Non-Residential Rate Classes (B)
Explanation
Inquiries have been made recently about Non-Residential billing classifications and how they are applied. There are three Non-Residential billing classes, 1) General Service Non-Demand (GSN); 2) General Service Demand (GSD); and 3) Large Power. These classes are defined within the City of Gainesville Code of Ordinances and applied accordingly.
Additionally, customers who would otherwise be categorized in the GSN class may opt into the GSD class by contract. Under the contract, the customer is billed at a minimum demand level in exchange for billing at the GSD rate. Likewise, some customers who fall into the GSD class may opt into a time of demand contract. Under the contract, the customer is billed at the GSN rate as long as their peak demand doesn't exceed a certain threshold during pre-defined peak periods. These contract rates only benefit customers who use their power consistently over the majority of the day or customers whose peak loads only occur during certain times of the week. Customers who enter these agreements are made aware that if their usage habits change they need to contact us or reevaluate the benefit.
Recommendation:
The City Commission receive an informational presentation from staff regarding non-residential rate classes.