(Cushing, OK) – Beginning in November, Cushing utility customers will see an increase of a few dollars on their monthly electric bill that is repayment of the wholesale power purchased during the February, 2021 winter storm crisis.
The Cushing Municipal Authority (CMA) has paid the full balance of $1,442,177 owed to the Grand River Dam Authority (GRDA) with moneys from CMA reserves. 100% of the amount will be recouped from customers over 48 months.
Customers will notice a new line item on their monthly bill, labeled “PCA URI.” The average residential increase will be $3.05 per month and the average commercial bill will be just over $6.25 per month. Due to the variability in energy usage and customer count over a 48-month term, staff will closely monitor and adjust the recovery rate to between $0.00189 and $0.00205 per kWh per customer per month. The recovery rate could be adjusted up if monthly recovery goals are not met. The “PCA URI” line item will be removed from customer bills once the funds have been recovered.
“This situation is exactly why we have a very solid financial policy in place, which allows us to use reserve funds to repay the costs associated with Winter Storm Uri. This repayment will not impact proposed capital projects slated for this fiscal year, which include street overlays, replacement of two WPA style bridges, and upgrades at our Water Production and Wastewater Plants, etc.,” said City Manager Terry Brannon.
For more information, contact City Manager Terry Brannon at (918) 225-0277 or [email protected]