Piedmont Utility Customers Facing A 30 Percent Rate Hike

During the City Council meeting Tuesday, Councilman Jubal Feazell introduced a resolution of budgetary changes and guide lines. This plan consisted of a 6 point financial plan as a form of checks and balances and a tool of oversight to be used by the Council and the City Administration going forward.

The resolution was discussed at length and passed unanimously. Feazell, said he wanted these guidelines in place to help identify places to cut spending and help manage revenues.

The City Administration and Utility Superintendents are increasing rates for the City’s Utilities. According to Councilman Greg South, the increase is in the neighborhood of 30 percent for which he voiced strong opposition to during the meeting.

According to City Clerk, Carl Hinton, the last rate increase was in 2013. He and Mayor Baker said there had been several electrical rate increases to the City but the increased cost of services was not passed along to the customers.

It was stated the City’s electrical rate per kilowatt hour, after the rate increase, will still be less than Alabama Power and Cherokee Electric Co-op, which are two utilities servicing adjacent areas to Piedmont.

The Mayor stated they are looking at places to cut in the budget in order to help offset some of the deficits.

Mayor Baker said Three Corners Land Fill is going up to $50 per ton on tipping fees for garbage disposal which started out at $21 per ton. He said all this together has put the City in a tough financial situation.

Baker said the rate increase to customers would be effective November 1st.

Listen to the Financial and Rate Increase Discussion During the City Council Meeting.

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