Sponsor
Aldermen McCarthy, Anderson, Coe, DeHahn, Hart, Helding, Kaplan, Shakoor, Shields, Spangenberg, Stein, Weidner, Wisneski and Mayor Dickert
Title
For the Common Council of the City of Racine, Wisconsin to register its objection regarding proposed rate increases to the Public Service Commission
Whereas, energy usage is a necessity for modern life, being required for the heating and lighting of houses, heating of water, and cooking of food; and
Whereas, the costs for energy usage are a significant expense for individuals, corporations and municipalities; and
Whereas, due to its position as a provider of a necessary service that charges costs that can significantly impact local economies, the State government allows limited, regional energy monopolies, subject to regulation by the Public Service Commission (PSC); and
Whereas, WE Energies has requested of the PSC a rate increase of 7.4% to cover decreased revenue due to decreased consumer usage of WE Energy services; and
Whereas, decreased usage of WE Energy services is directly related to the depressed state of the national economy, as indicated in part by the State of Wisconsin’s unemployment rate being its highest level in the last 25 years; and
Whereas, responsible citizens who have lost their jobs and others such as Racine unions who have realized no cost of living increases to cover any increases in the cost of energy, have tried to contain their costs by reducing energy usage; and
Whereas, the requested rate increase will impact these citizens directly in their monthly bills and indirectly through increased City annual operational costs of over $100,000 at a time of decreased State shared revenue; and
Whereas, WE Energies posted a 7% profit in 2008 of $359.1 Million, while during the pendency of the depressed state of the national economy; and
Whereas, in a July 6, 2009 article in an Internet version of the Milwaukee Journal Newspaper, an Analyst surveyed by Bloomberg predicted Wisconsin Energy Corporation will post a 1% growth in profit; and
Whereas, the Public Service Commission will be taking public comments as it considers the rate increase proposal.
Now, therefore, be it resolved, that the Common Council of the City of Racine, Wisconsin, objects to any increase in energy rates for 2010 as long as the state of the national economy is such that responsible citizens are managing their energy costs by decreasing their usage, and should not be penalized therefore by an increase in their rates.
Further resolved, that the City Clerk/Treasurer send a copy of this Resolution to the Public Service Commission.
Fiscal Note: N/A