SHELBY – The typically quiet public comment portion of Shelby’s bi-weekly city council meetings was filled by something rarely seen in the setting: concern and discontent.
Aaron Billheimer, a Shelby resident and owner of The Fan Cave Shop at 111 W. Main St., wants council to be aware of citizens’ concerns about electricity rate hikes.
“I believe a lot of good things have been accomplished in our community, and I appreciate the work that goes into making those things happen,” Billheimer said. “But tonight, I’d like to address some concerns I have regarding the proposed electric rate increase.
“I understand our electric department faces financial challenges, and I understand that we have infrastructure expenses coming up that need to be addressed. But I believe we need to take a serious look at how we’re managing the money we’re already collecting before asking residents to pay more.”
The current distribution charge for electricity in Shelby is $17.20 per 1,000 kilowatt-hours with a $4.33 customer charge. The proposed change would raise that to $21.00 per 1,000 kilowatt-hours with a $6.00 customer charge, bringing the difference to approximately $5.47 more per month.
For seniors, rates are lower, but still come out to an approximate $2.76 per month hike.
“Have we truly explored every reasonable alternative to increasing the electric rates?” Billheimer asked. “(Approximately) $395,000 being transferred from our electric department into our city’s general fund through administrative charges, and I believe it’s time we take a little closer look at exactly where the money is going, how those charges are being calculated and whether they’re justified.”
For a household that uses 1,000 kilowatt-hours per month, the estimated $5.47 hike would amount to approximately $65.64 more in electricity utilities per year, for a total expense of $324, compared to the current annual rate of $258.36.
Legislation to put the rate hikes into effect is pending, and council said they will discuss it further at a future meeting.
“It begins to feel a little like an indirect tax that people paying those bills never had a chance to vote on,” Billheimer said. “I’m not suggesting anyone’s doing anything wrong, but I’m suggesting that people paying those bills deserve a clearer explanation.
“I was recently reminded of something Congressman Jim Jordan said when he made his visit here to Shelby … ‘Energy is king.’ And the more I think about that statement, the more I believe there’s a tremendous amount of truth in it.”
Council also weighed a number of legislative issues. The primary topic was liquor permits, with the proposed revitalization district in full swing.
Shelby City Council will meet next Nov. 16 at 7 p.m. at 29 Mack Ave.
