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About The independent. (Vernonia, Or.) 1986-current | View Entire Issue (April 25, 1990)
Page 4 The INDEPENDENT, A p ril 25, 1990 WOEC board considers merger and rate increases By Jim Buxton A meeting last week of the boards of directors and gen eral managers of West Ore gon Electric Cooperative and the Clatskanie, Tillamook and Columbia River Peoples' Util ity D istricts was term ed "strictly informational" con cerning the future of WOEC Whether tho Cooperative will continue on its own, be bought out, or merge with one or more of the adjoining utilities will evontually be de termined but not until an ob lective feasibility study has been undertaken a spokes man said In the m eantim e, there was some good news as the Coop continues to deal with its burgeoning financial prob lems After severe damage caused by back to back storms this winter, the utility applied for a $300,000 disas ter gran, from the Federal Emergency Management Ad ministration , hough i, won', receive that amount, word has been received that a sum estimated to be in the $75- $95,000 range has been ap proved Consulting Engineer Rex Brown submitted his latest cos, of service study and re ta il rate analysis to the WOEC board a, their Apnl 17 meeting He presented two rate in crease proposals, one of which will likely be imple mented July 1, 1990, and be operative until September 30, 1991, when it is anticipated the Bonneville Power Admin is,ration will increase whole sale power rates One proposal would be an increase in the fa c ilitie s (basic) charge to $25 a month, which would include the firs, 200 kilowatt hours o, electricity used each month The rate for the next 1300 KWH would be 6 8 cents per uni, with all usage above 1500 KWH billed a, 6c per KWH This proposal would include a 1 5% discount for prompt payment The second proposal also calls tor a $25 monthly ser vice charge, with the firs, 1,500 hours billed a, 5 3c per KWH. and a 5c KWH rate for all power used above 1500 hours Under this proposal, WOEC RATE COMPARISON CHART* KWH C urrant Fate , 500 75Q 1,000 1,250 1 500 2,000 3,000 5,000 41 SQ., Proposal $ Inc Proposal No V 45 40 rease No 2 52 50 62 40 68 70 82 25 95 80 120 30 169 30 267 30 79 40 96 40 113 40 143 40 203 40 323 40 3 80 7 25 10 70 1415 17 60 23 10 34 10 56 10 66 25 80 00 93 75 107 50 132 50 182 50 282 50 $ Inc rease 10 90 11 10 11 30 11 50 11 70 12 20 13 20 15 20 * Monthly residential rates “ Does no, include discount of 1 5% for prompt payment no power is included in the basic rate and there is no dis count for prompt payment The residential facilities charge is now $14 50 per month Power costs 5 42c per KWH for the firs, 1500 hours beyond that amount, the charge is 4 9c KWH A hypothetical ratepayer using an average of 1200 KWH per month would find little difference in the costs of the two proposals Under the firs, proposal he would pay the $25 basic charge, which includes the first 200 kilowatt hours, the remaining kilowatts would be charged a, 6 8c per unit, or $68 00, for a com bined $93 00 If he then paid the bill promptly, he would re ceive a 1 5% discount of $1 40 for a total o, $91 60 Under proposal two, he would pay the $25 basic Charge and 5 5c per KWH for 1200 kilowatt hours, or $66, for a com bined tota l of $91 00 The current combined res idential rate totals $79 54 tor 1200 KWH Overall, the firs, proposal would be better for low end users, the second would ben efit those who use larger amounts of electrical power Changes are also under consideration for irrigation, large and small commercial users, and public street light ing Copies of the report are available a, WOEC during of fice hours The Coop's rate commit tee will review the proposals tonight. 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