Auburn utility reports rising costs

AUBURN - The Auburn City Council held a public hearing Monday on the Board of Public Works budget and an expected rate increase for electric customers.

Dave Hunter of the Auburn Utilities said low flows on the Missouri River impacted hydro-generation, where Auburn gets about 20 percent of its wholesale power. He said a 15 percent increase from the Western Area Power Administration is expected, as well as a 4 to 6 percent increase in transmission costs.

The Auburn Board of Public Works expects a 7 percent increase in wholesale power costs and Hunter said a 5 percent rate increase is planned.

He said the Board of Public Works is aware of a time when Auburn did not keep pace with expenditures so they had a sudden increase of eight to 10 percent. He said the board wants to avoid a large jump with a smaller increase in response to rising costs.

Hunter also reported on the proposed water department budget.

He said water usage had declined from 262 gallons per day per customer to an average of 173 gallons.  He credits that to reduced leaks. Water sales peaked at 158 million gallons in 2002 and are expected to be close to 96 million gallons this year.

He said the Peru water connection is not expected to impact the city’s well capacity.

Yearly rainfall is down from 31 inches last year to 22 inches so far this year, but there is still 13 to 20 million gallons of infiltration into the wastewater system.

Hunter said the utility will use $8 million from its reserves to balance the water, wastewater and electrical budgets.

In other action, the city approved funds for the airport and $5,000 for the Auburn Eagles and Auburn Fire Department fireworks display.

Leslie Clark presented a year-end Chamber of Commerce report.

The chamber’s 2022 year in review lists six ribbon cuttings and eight community events.

Proposed for the 2023 board of directors are Jan DeBuhr of Region V, Wendy Rowell of UBT Bank, Shae Neumeister of TouSha3 Boutique, Blayne Behrends of State Farm, Tyson Wessels of Auburn Public Schools, Troy Barker of Cooper Nuclear, Kelli Hanley of Village Designs, Angela Seidt of Peru State College and Lauren Vinson of A-1 Cellular.

Council member Jeff Jeanneret’s application for a housing rehabilitation grant for property at 1410 Central Ave. was approved.