The City of Cabool’s electric bill for the month of January was nearly double its usual amount, the board of aldermen learned Monday.
Winter Storm Fern blanketed the city with more than eight inches of powdery snow, reported Ron Scheets, administrator. While the snow proved difficult for the street department, the extremely cold temperatures Jan. 25 to 27 were costly, he said.
Scheets reported that the city’s usual January electric bill is around $300,000, but was $597,722.03. Local high-use industries were asked to curb use, and several were closed Monday, Jan. 26, he said.
He explained the city would pay $361,432.02 this week when due, but the balance of $236,290.01 will be paid over the next nine months at 5 percent interest.
“And we only had about four to five months (of payments) left on the one five years ago,” Scheets said, referring to Winter Storm Uri in 2021. He said at that time, the state intervened and utilities were allowed to repay funds at zero percent interest. That’s not the case for this storm, he said, with the balance essentially on a line of credit from the Missouri Public Utilities Alliance.
“It’s gonna hurt for a few months,” said Scheets.
He reported city supervisors have been told the city needs to “pinch pennies” due to the unexpected expense. “This hurts, no doubt about that, [as] we were really making strides in getting our fund balance going in the right direction.”
Alderman Brad Roberts expressed concerns about the market volatility and how it impacted the city, especially compared to cooperatives.
In extreme weather, Scheets said, natural gas doesn’t flow as well, plus supply is split between power generation facilities and other consumer use. Scheets explained the power pool of which the city is a member is striving to own more power generation capabilities, which is the best way to insulate against future price swings.
“We’ve got no control over what they do to us,” said Roberts.
“We’ve got to own more generation to get stability,” answered Scheets.
SOUTHERN MISSOURI ADVOCATES
The aldermen heard a presentation from Southern Missouri Advocates, which hopes to build domestic violence shelters within Texas, Wright, Douglas and Ozark counties. The group will host its first fundraiser event on Feb. 27 at The Candler in Mountain Grove.
OTHER MATTERS
- Aldermen voted to ban burning of construction waste by adding it to the existing burning ordinance.
- The board also approved an ordinance to deem marijuana smoke a nuisance, giving citizens a complaint process to follow if needed.
The next council meeting will be at 5:30 p.m. Monday, March 23.