BRENHAM CITY COUNCIL APPROVES HIKE IN ELECTRIC RATES

  

Brenham residents will soon see an increase in their electric bills.

The Brenham City Council moved this (Thursday) afternoon to raise the city’s electric rates. The city proposed increases to the monthly customer charge and consumption-based wire charge in order to cover a projected deficit in the electric department, as well as rising infrastructure and distribution costs.

Under the new rate, a residential customer using 1,000 kilowatt-hours a month will pay $91.38, an increase of $2.58, or 2.9 percent.

Assistant City Manager of Public Utilities Lowell Ogle said, even after the increase, Brenham’s rates will still be “very competitive”.

 

Comparing the city’s rate to other cities, based on 1,000 kilowatt-hours per month, customers in Bastrop currently pay around $105 a month. Consumers in Fredericksburg pay about $82 per 1,000 kilowatt-hours a month, while customers in Lockhart pay roughly $118 a month.  Meanwhile, 1,000 kilowatts of electricity from Bluebonnet Electric Cooperative costs $112.12.

The City of Brenham last changed the electricity rate in 2013 for small and large industrial customers, and in 2003 for all other customer classes. The new rates are effective with utility billing occurring on or after January 1, 2020.

Also in session, the council held the second public hearing on the city’s proposed tax rate of 51.4 cents per $100 valuation. The rate is made up of 32 cents for maintenance and operations, and an interest and sinking rate of 19.4 cents, down from 19.7 cents a year ago.

Finance Director Carolyn Miller said certified taxable values have increased ten percent over the past year, generating just under $650,000 in new revenue for the city. The portion related to new property is $82,000.

Miller said the city is allocating over $382,000 of the increased revenue to the general fund, namely for public safety, equipment replacement, and infrastructure maintenance and improvements. In addition, $43,000 of the new revenue will go to the Tax Increment Fund created at the end of last year, and $223,000 will be used for annual debt payments.

Only one comment was raised at the hearing, and it was a question pertaining to the pension fund for city employees, and how it is being funded. Miller said the city’s pension account is currently funded at 80 percent funding-level, which she said is “very good as far as governments go”.

The first reading of the new tax rate will be on Monday, September 16^th at 8:30 a.m., with the second reading and official adoption on Thursday, September 19^th at 1 p.m.  Both meetings will be at City Hall.

The council also:

• Approved an ordinance on its first reading adopting Brenham’s 2019 Comprehensive Plan, entitled “Historic Past, Bold Future: Plan 2040”.  It also approved an ordinance amending the Parks and Recreation and Vehicles for Hire sections of city ordinance.
• Awarded a $492,136 contract to Aggieland Construction of Wellborn for the second and third phases of improvements at Henderson Park.  Planned improvements include lighting, baseball field upgrades, accessibility upgrades and restroom improvements.
• Appointed Mayor Milton Tate and Councilmembers Susan Cantey and Clint Kolby to serve on the Brenham Community Projects Fund Board of Directors.  The fund, created in 2015 by the city council, is designed to provide funding for quality of life enrichment for recreation, literacy, and community philanthropy and development.  The fund had been dormant since its creation.
• Approved the repealing of city ordinance that established non-metal façade requirements on residential uses in select zoning districts.
• Approved amending city ordinance to adopt the 2015 version of the International Building Codes with local amendments.
• Approved the Routine Airport Maintenance Program (RAMP) grant agreement with TxDOT for Fiscal Year 2020.
• Approved extension of a contract between the city and Ron Stegemoller dba RS Aircraft Service for mechanic services at the Brenham Municipal Airport.

The council then adjourned into executive session to discuss Brenham Municipal Court matters and a matter involving the Texas Municipal League Multistate Employee Benefits Pool and the Internal Revenue Service (IRS).