Economic development is critical to the growth of communities. Even with the difficult economy, there are companies that are looking to expand and with that expansion come jobs. As a community resource, City Utilities shares the responsibility to help our community leaders bring those companies and jobs here.
The Community Economic Development Rider targets major commercial and industrial development, and is tied to the creation of new area jobs. Ultimately it promotes improved utility operating efficiency and helps to facilitate lower rates for our customers.
The Rider offers new commercial and industrial customers an incentive in the form of a five-year declining discount by crediting a portion of the demand charge.
- 25% in year 1 (7 – 10% of bill)
- 5% in year 5 (1 – 2% of bill)
- 0% in year 6
A special contract is required for consideration and there must be a 300kW increase in demand with a minimum load factor of 50 percent.
The Rider offers new and existing electrical customers with planned load increases the same opportunity to participate. Customers not meeting the technical requirements can be eligible in some cases, if the development includes the addition of at least 100 full-time positions that meet or exceed the average wage rates for Greene County.
Springfield City Council will hear this item for a second reading at the January 17 session.