The Pueblo Chamber Board of Directors at their April 8 meeting voted to support a community owned utility rather than an investor owned utility as envisioned by ballot question 2A.
The Board of Directors noted that while immediate reduction in rates are not likely that over a 20-year period significant savings will be received by the rate payers. Rates would be set by the independently elected water board rather than the investors of the utility and the PUC. No taxpayer funds would be used to acquire or operate the system.
It was also noted that the Municipal Electric Utility Feasibility Study (“Phase 2”) showed that estimated costs to too acquire all distribution system statewide and separation of stranded costs, other costs for legal, start-up and working capital would be 868 million dollars.
At the current rates the Phase 2 study estimates that the level of net revenues provides enough capacity to cover revenue bonds of 900 million to 1 billion dollars. This indicates that a transition to a community owned electric works is financially feasible with significant rate savings over a 20-year period.
Additionally, local control would allow quick decisions in economic development cases rather than the cumbersome process of the Public Utilities Commission.
For questions or more information contact Rod Slyhoff at email@example.com.