The Lincoln City Council on Monday approved a $293.9 million Lincoln Electric System budget and a rate schedule that could result in some minor changes to residential rates.
Councilman Richard Meginnis said he is pleased that LES was able to lower rates slightly, but he was disappointed customers are still charged a fee for a dividend paid to the city for the benefits of municipal ownership. That fee essentially eliminates any benefit of the rate decrease.
LES’ budget is nearly $18 million less than this year's budget, primarily because of lower power costs and a decrease in depreciation. LES also has fewer capital projects budgeted now that its new operations center at 98th Street and Rokeby Road is complete.
Its operating budget is $247.7 million, $5.7 million less than its 2021 budget, and LES’ capital budget is $46.4 million, $12.2 million less than the 2021 budget.
LES officials said the rate decrease amounts to about 1% systemwide, though many residential customers may only see minor changes to their rates. The utility said some large commercial customers may see decreases based on changes in costs needed to serve those customers.
LES officials said this is the fifth consecutive year customers will see no increase in their electric rates.