Latest Consumers Energy Rate Increase Local Government Coalition Intervention
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- Kathryn Murphy
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1 Sharon Vreeland From: Sent: To: Subject: Wayne Kladder Monday, April 05, :00 AM Sharon Vreeland; Linda Wikle; Dorothy Dunville Fwd: Latest Consumers Energy Rate Increase - Municipal Coalition Intervention Hi, Is this something we want to lend our financial support to. Regards Wayne J. Kladder wjktcm@gmail.com Forwarded message From: Debbie Shue <debbie@michigantownships.org> Date: Fri, Apr 2, 2010 at 3:51 PM Subject: Latest Consumers Energy Rate Increase - Municipal Coalition Intervention To: valpac@charter.net, vcbarry@ejourney.com, vesmith@frontiernet.net, waldo1@kaltelnet.net, warbirdp47tbolt@yahoo.com, watsontownship@btc-bci.com, wbtogemaw@sbcglobal.net, wbvince@dmcibb.net, wcftpd@yahoo.com, wdrake_1@netzero.com, wfbrowne@yahoo.com, wfrey@erietownship.com, wfroncek@manistee.org, wheatlandtownship@mail1.cmsinter.net, wilbertownship@netzero.com, wjktcm@gmail.com, wtwpsupervisor@bex.net, wwilburn@bedfordmi.org, wwtsuper@charterinternet.com, yogirita@fli-online.net, zippy2@frontiernet.net Latest Consumers Energy Rate Increase Local Government Coalition Intervention Consumers Energy has filed for yet another rate increase that will impact the local government cost of electricity for their operations. The case number is U and it is currently before the Michigan Public Service Commission. Increases would range between 5% and 13%. Click here to read a memo from Rick Coy for details. In response to the amount of increases and the extent to which they unfairly fall on local government t users, a coalition of 80+ local governments and the Municipal League and Townships Association have challenged the two previous CE rate cases and have achieved significant savings. The coalition has also appealed one decision of the MPSC to the Court of Appeals, with the decision expected late this year. On March 24th, representatives of Grand Rapids, Wyoming, Muskegon, Plainfield Charter Township, Ludington, Kalamazoo, the Townships Association and the Municipal League met to discuss the most recent CE rate request with our counsel, Rick Coy of Clark Hill. It was agreed that an intervention was needed. The three basic goals would be to reduce potential increases now; reinstate the pumping 1
2 credit; and lower future rates, in part by establishing a municipal class of service that would more accurately reflect our actual cost of service. The cost for the intervention will again be substantial. To proceed with the case, commitments are needed by April 15th for at least one-half of the not-to exceed budgeted amount. For the previous case, the 80+ contributors provided sufficient funding with a greater number of participants the individual amounts would be less. The group that met on the 24th agreed that the amount of participation should be the same as the last case. The calculation is times your CE electric costs for 2009.or $37 for each $10,000 of CE electric costs. For those participants that contributed based on the calculation last time, the amount would be the same (there were not sufficient changes to warrant doing the calculation based on more recent data). If you have any questions, please let me know. If you would like contact information for the group that met on the 24th, I can provide that to you. I know that commitments given budget constraints will be difficult, and that council and board meetings schedules make quick responses problematic. I can only say that from the discussion on the 24th, there was clearly a belief that an intervention is warranted and that it would be funds well spent by the estimate of one participant, their savings were 10 times the contribution made for the last intervention. I hope to hear from you soon. Larry Merrill MTA Executive Director larry@michigantownships.org 512 WESTSHIRE DRIVE PO BOX LANSING, MI P F MICHIGANTOWNSHIPS.ORG 2
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