The Board of Public Utilities on Thursday passed the next budget for City Utilities of Springfield.
The fiscal 2024 operating budget, which must be approved by Springfield City Council, seeks roughly $698 million in disbursement authority. The figure comprises planned expenditures and a contingency for business volatility and fuels.
The disbursement authority is up from a revised fiscal 2023 figure of $696.2 million, according to the budget document.
The fiscal 2024 operating budget projects revenue/receipts at $633 million, down from a revised figure in the current year budget of $646 million. The fiscal year starts Oct. 1.
Council is scheduled to hold a first reading on the budget during its Sept. 5 meeting and follow up with a second reading on Sept. 18, according to a news release.
Council also is slated to receive a Board of Public Utilities request to approve a three-year adjustment in electric rates "to cover rising capital, operational and material costs of the electric system." The series of increases would start with a 4.8% rate adjustment on April 1, 2024, followed by 4% and 3.9% at the same times in 2025 and 2026, respectively.
"The reliability and integrity of each business unit is funded separately and over the past few years several factors delayed this series of electric rate adjustments,” said Gary Gibson, CU president and CEO, in the release. “Inflation and supply chain issues have contributed to the increased cost of materials and operation of the electric system and now requires that we ask for these adjustments to continue providing exceptional services to our community.”
Adrianna Norris became a first-time business owner with the opening of Finley River Chiropractic; PaPPo’s Pizzeria & Pub launched its newest location; and Huey Magoo’s opened its second store in the Ozarks.