Paris, Tenn. – At its May meeting, the Public Utility Authority Board in Paris approved a 2.5% electric rate increase that will go into effect August 1, 2024. TVA, as regulator, has reviewed the request and given their approval for the increase. Inflation has taken a toll on electric financials since the last increase five years ago. PUA is also looking to use a portion of the revenues to support the construction of a new transmission line, rehab two substations, and address growing staffing and facilities needs. The bill impact to the average residential user will be less than $3 per month.
A proposed rate increase for both the water and wastewater departments was presented to the Board, but no action was taken at this time. The water department is planning for $10M in water system rehab projects. The wastewater department is preparing for $10M of improvements at the WWTP that are being driven by increased regulatory requirements. $5M in collections system rehab is also part of future plans. PUA will seek low interest State Revolving Fund loans to fund these projects. Increased revenues in both departments will be needed to meet the SRF rate sufficiency review that will allow the loans to be awarded. The Board will be asked to vote on these increases at the June meeting.
In other action, Virginia Transformer was awarded the bid for a new transformer at the India Road substation. The transformer is part of a large-scale renovation of the substation. The Board also approved a resolution to request the balance of unclaimed property from the State of Tennessee and reappointed Jill Coker to the PUA Board for a new four-year term starting July 1, 2024. The reappointment will be sent to the City Commission for approval at the June meeting.
In his President’s report, CEO Terry Wimberley gave a report on the damage from recent flooding and storms. PUA is still recovering from the most recent storms this past Sunday.