Title
REVISIONS TO APPENDIX A - SCHEDULE OF FEES, RATES, AND CHARGES FOR UTILITIES; ELECTRICITY (B)
Ordinance No. 170673
An ordinance of the City of Gainesville, Florida, amending the Code of Ordinances, relating to Utilities; amending Appendix A, Schedule of Fees, Rates and Charges, to revise fees, rates and charges for electricity; providing directions to the codifier; providing a severability clause; providing a repealing clause; and providing an effective date.
Explanation
GRU BUDGET AND FINANCE DEPARTMENT MEMORANDUM
On November 7, 2017, the City of Gainesville d/b/a Gainesville Regional Utilities (GRU) acquired the Gainesville Renewable Energy Center biomass power plant (GREC). The purchase of all GREC assets included termination of the Power Purchase Agreement (PPA) between GRU and GREC, LLC. The plant name was subsequently changed to Deerhaven Renewable Generating Station (DHR). With the acquisition of DHR and the termination of the PPA, GRU’s fuel cost was reduced significantly, but there is a lesser offsetting increased revenue requirement associated with debt service and operation of DHR. This ordinance increases base rates necessary to recover these increased revenue requirements.
At the special City Commission meeting held on December 19, 2017 the Commission approved the changes to electric base rates set forth in this ordinance. This ordinance is necessary to implement the changes to the fees, rates and charges which shall be applied to all monthly bills which are for the first time rendered and postmarked after 12:01 AM, February 1, 2018.
CITY ATTORNEY MEMORANDUM
This ordinance requires two readings. The first reading is scheduled for January 4, 2018. The second reading is scheduled for January 18, 2018. The new and amended fees, rates, and charges shall be applied to all monthly bills which are for the first time rendered and postmarked after 12:01 AM, February 1, 2018.
Recommendation:
The City Commission adopt the propose...
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