Tariffs and Service Regulations
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In October of 2012, KPUB’s customer rates were increased after an in-depth rate review by the outside consulting firm, Utility Financial Solutions. Upon receipt of their study, approval was given by the City Council and the KPUB Board of Director’s for a 1.8% increase (approximately $2.08/monthly) for the residential customer and a commercial rate increase of approximately 4% to 7% depending on customer class, consumption and demand. Fees for new accounts, new services, reconnections, collections and others were also increased to bring the services more in line with actual costs. The consultants provided a five year financial projection of revenues, expenses, operating income, cash balance and debt service coverage.
See the attached documents provided by Utility Financial Solutions:
The Cost of Service and Rate Report is based on a study conducted by Utility Financial Solutions (UFS). UFS projections demonstrate the need for an increase in rates. Each customer class will be adjusted differently to align the rates for each class with the cost to serve that class.
The FY2019 Rate Design as presented by Utility Financial Solutions (UFS).
Based on the Utility Financial Solutions (UFS) study, fees for new accounts, new services, reconnections, collections and others will be adjusted to bring the costs more in line with actual cost for each type of service.
UFS 2012 Cost of Service Study: