Changes in the way water is billed are being mandated by a new state law to promote conservation. But what the rate changes will look like for Rochester (Minnesota) Public Utilities customers is up for discussion. The utilities company hired a consultant to study possible conservation rate alternatives, which could be discussed possibly as early as the next meeting of the RPU board Sept. 29. The board would then seek public input and discussion on the proposed conservation rates.
"The idea is to be revenue neutral," said General Manager Larry Koshire, explaining that rate changes should not increase or decrease the water utility income. "If it works right, it would not sink the water utility." And while the goal is also to have a zero rate increase overall for electric and water customers, that doesn't mean some customers won't pay more. "Some rates will go up and some will go down," said Board President Jerry Williams.
A preliminary plan for the conservation rate targets irrigation, in hopes that higher rates would lead people to conserve water, Koshire said. A draft of the electric and water operating budgets, along with any proposed rate adjustments, is expected to be presented at the Oct. 27 board meeting.
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