The INDsider -> Nathan Stubbs TUE, NOV 17 11:00AM by Nathan Stubbs

LUS to make case for rate increase

Lafayette Utilities System Director Terry Huval will make the case this afternoon for a utilities rate increase. Huval is scheduled to give a presentation to the council on the issue at 3:30 p.m., two hours before the regular council meeting. The council will not be voting on the issue. An ordinance for a rate increase was introduced in September, then pulled by the Durel administration before it came up for final adoption. Durel and Huval have sensed a lack of support on the council for the proposal, and wanted more time to win over recalcitrant councilmen. "Clearly we needed to spend more time with the council so that they understand why we really need to do this," Huval told The Independent. "We feel this briefing is going make the case for why this is the right business decision."

With rate costs tied to the price of natural gas and coal, LUS argues this is an auspicious time to implement the increase. Huval says fuel costs are expected to drop next year, meaning that even with an approved rate hike, the average utility bill in Lafayette will fall in 2010 and rise as little as .50 and no more than $14 per month, per household, in 2011, when the economy is expected to be in better condition. LUS also wants to take advantage of low interest rates. Not acting, Huval says, could likely result in drastic cutbacks to tree-trimming around utility lines and possible federal fines for Lafayette not bringing its the wastewater system in full regulatory compliance. Also adding to the argument, LUS is one of a select 100 companies to receive a federal grant (totaling $11.6 million) for new smart grid technology that could help the utility become more efficient. However, the grant requires a local match, and without a rate increase, Huval says will have to be delayed.

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written by Plumpy , November 17, 2009 - 02:19 pm

Hmmmm...Huval said "fuel costs are expected to drop next year". Does Terry know something that we don't ? Will the stock market take another crash next year ? Will the recession go deeper next year ?..Tell us what you know Terry ?

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written by NORTHSIDIAN SHOTGUN , November 17, 2009 - 02:48 pm

"DEJA VU", Jesus dey must think people have too many problems ta recall
this was placed on the back burner by JODU'NT cause he could'nt cajole da Councilman into ah "GIMMMMME", then and now isn't a lick oh difference!!!!!!!
Jesus, JODU'NT has his BRUTUS like W had CHENEY!!!!!!!!
JODU'NT, TRIED TA PASS THIS INCREASE AT A TIME THAT employers are laying off employees !!!!!!!! Now this ruse by TERRY HOVERIN, he is da CARTOON BUZZARD circlin da bodies, just not funny atall!!!!!

TERRY take ya quaranteed SAlARY and buy sum one ah FAN, or sum MEDS!!
Quit circlin mah PEEPS, YA camoflage calhoun !!!!

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written by Morrow , November 17, 2009 - 07:16 pm

I already pay very dearly for my LUS water because I'm not in the city limits. Over $35 bucks a month. If I don't use LUS electricity, will my water fee increase? It shouldn't, but I'm afraid it will. I have no choice. Its not like I can dig my own water well or use another water service. I wish, one day in the future, we can choose our electricity company, our trash pick up, our sewerage, our gas company like we do our telephone company! THEN YOU'D SEE PRICES DROP !! I'D LEAVE SLEMCO FOR LUS so fast there might be wind warnings !!! One day we might have a real competitive market.

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written by Solutions? , November 18, 2009 - 02:34 pm

To the above three posters: DO A LITTLE RESEARCH. Why is it that our power systems during hurricanes holds up so much better than Opelousas'? Because LUS is a not-for-profit power company as opposed to SLEMCO that has to return money to share holders. During the last couple hurricanes, I didn't lose power. Not even for a minute. If the rates go up, it is for preventative maintenance.

I guess some people will coomplain about everything.

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written by Bob B. , November 18, 2009 - 03:40 pm

I don't mind paying a little more if it means better service with less outages, but saying that they are doing this because "fuel prices are EXPECTED to fall" is silly. Just call it what it is and don't try to sugar coat it. I would love to attend the 3:30 meeting, but most folks work day doesn't end until 5...

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written by NORTHSIDIAN SHOTGUN , November 21, 2009 - 12:32 am

The CATRI , will attend ,the national CATRI ANALYSIS TEAM WILL BE ON HAND WITH QUESTIONS FOR THE LUS ADMINSTRA> $ DIRECTORS 1

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