The Battalion. (College Station, Tex.) 1893-current, June 24, 1987, Image 4

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Page 4/The Battalion/Wednesday, June 24, 1987
State and Local
New rate structure to increase
electric costs for CS residents
fTAMU
meet
Items
2161
fore <
Plan intends to make all utility departments self-suffid&imo-i
f' <xl
bit
By Yvonne DeGraw
Staff Writer
Changes in College Station’s util
ity rate structure that raise resi
dential rates are intended to make
all departments — water, sewer and
electric — self-sufficient and attract
new business to the area.
Linda Piwonka, utilities office
manager, says the 10-percent in
crease in water revenue and 16-per
cent increase in sewer revenue are
the first step in a plan that should
culminate in five years.
College Station City Council ap
proved an option that lowers electric
revenues by 50 percent of the in
crease in water and sewer revenues.
However, because electricity gen
erates almost 86 percent of all utility
revenues, electric rates won’t go
down 5 to 8 percent.
Instead, electric rates will decline
1.3 percent this year and will actually
increase for residential users.
The increase in residential rates
comes because of three goals the
council had, Piwonka says.
First, they wanted to make the wa
ter and sewer departments pay for
themselves.
“The water and sewer depart
ments have been subsidized and are
being subsidized by electric rates,”
she says.
In the late 1970s, the city decided
to build a water system and a sewer
treatment system, she says. To do
this, the city borrowed money for at
least 20 years.
An average profit of $5.13 million
ELECTRICAL:
Average residential use:
921 Kilowatt hours
Average commercial use:
Small commercial - 914 kwh
Medium commercial - 14,300 kwh (53 KW)
Large commercial - 264,350 kwh (710 KW)
OLD RATE:
NEW RATE:
COST TCI
$74
$75
$109
$1192
$18,517
$104
$1147
$16,764
m
WATER:
Average residential use:
10,000 gallons
Average commercial use:
Small commercial - 15,000 gallons
Medium commercial - 49,000 gallons
Large commercial - 450,000 gallons
$18
$20
tos
$25
$73
$634
$29
$80
$681
SEWER:
Average residential use:
Flat rate
Average commercial use:
Small commercial - 15,000 gallons
Medium commercial - 49,000 gallons
Large commercial - 450,000 gallons
$10
$11
$131
$15
$25
$170
$18
$51
$436
in the electric department from
1985 to 1987 has been offset by an
average loss of $2.42 million by the
water department and $1.78 million
by the sewer department.
Second, the council wanted to
make customers pay rates that re
flect the cost of providing the serv
ice, Piwonka says.
She says it costs more per unit to
provide service to a residential cus
tomer than a commercial customer.
It will take about five years to
reach this goal, she says.
The third reason is the impetus
for all the changes. The council
wanted to encourge businesses to lo
cate in College Station.
“The council was very interested
in being able to be competitive,” she
said. “(They wanted to) keep the
commercial business that they have
and encourage other commercial
businesses to locate here.
“The businesses look at it as an
economic incentive.”
A recent study comparing utility
rates in 13 Texas cities with similar
populations and growth patterns
shows that College Station is least
competitive in electric rates and
most competitive in sewer rates.
The same study shows the first
year’s rate changes will make the city
slightly more competitive in electric
rates and less so in the other areas.
Piwonka says electric rates are the
most important component of the
A two-y
Hexican-A
went tr
11 exanii
four years
Issor at I (
[Dr. Dwa
lie Behavr
ifcM, sav?
$7M*ctecl wit
Btted to t
rate structure to most business Ram in At
The plan will set the stagefoi^termine
sible rate decreases when tJiciS drug us
contract with Gulf States UtfaHtts of inh
pil es in about five years, bi rienced by
says the city hopes to find a
with lower rates at that time
Kevin Buchman, city cound
son from Texas A&M's
Government, says he supported
rate plan. ■
“It should benefit thestudeiai
Irviews ah
le parents
Little res
y inhal;
ong Hi:
s. But th
the long run,” he says. “Electricao discover
should eventually go down ifr tiex.H tly wh
the way they plan.” Bve on tin
He says he was most concrBes.
about electric rates becausemosfl 'It is imp
dents live in apartments and reliance tin
directly pay water and seweri|ended fam
face w
Group of Aggies accepts invitation
to serve on Texas space commission
By Gina Goetz
Reporter
Twelve appointees, half of which
are former students and former or
present faculty members of Texas
A&M, accepted an invitation from
Lt. Gov. Bill Hobby to serve on the
newly created Space Science Indus
try Commission to explore the exist
ing Texas space industry.
Although the designated chair
man, state Sen. J.E. “Buster” Brown,
isn’t an Aggie, he said the six Aggie
members were not purposely chosen
because of A&M’s involvement in
the Shuttle’s research, but that it is
certainly a compliment to the sci
ence-related programs at A&M.
They will be assets to the commis
sion’s responsibilities, Brown said.
“We will identify issues for fur
ther development of existing indus
try,” he said. “We want to find out
the difficulties to space-related activ
ities and make recommendations on
how to deal with the restraints.”
Furthermore, the commission is
According to a senate resolution,
the commission was established to
evaluate the major factors shaping
the space science industry, to deter
mine the potential of its growth and
to recommend ways of supporting
existing facilities while attracting a
new space science industry in Texas.
ent needed to make space a big thing
in Texas.
Dr. June Scobee, widow of Chal
lenger commander Dick Scobee, was
among the appointees. Scobee also is
chairwoman of the board for the
Challenger Center, a national space
science education program devel-
“I believe strongly the need for national support for
the space program. To meet that end, we must begin
in our own state of Texas. ”
Dr. June Scobee, widow of Challenger commander
Dick Scobee
gram. To meet that end, wemiis
gin in our own state ofTexas"
Brown said that the membe
the commission have not yet
bled.
The first meeting will be $
time this summer.
The senate resolution states
the commission will meet qua
to study the issues related to
and will issue a report on the
ingsonjan. 1 of each year.
■Fifty pet
adult femal
And 20 ]
ally obes
These fa
ion Service
to identify the appropriate resources
for promoting the space industry, he
said.
“We want to make the public
aware of what we have,” Brown said.
“And we hope to attract research
dollars.”
Oran Nicks, director of the Texas
A&M University Space Research
Center, said that state involvment is
a top priority.
“One of our aims is to help our
statewide community become more
involved in a new field that helps
counterbalance the losses that we’ve
sustained,” Nicks said.
Nicks said it pleases him that the
commission has so many Aggies on
it. And he said he thinks this indi
cates that A&M has played a vital
role in the development and on
going success of Texas’ industry and
oped to continue the mission of the
Challenger crew.
“The commission has been cre
ated in a response to a consensus by
Texas’ elected leaders that diversifi
cation of the state economy requires
a strong research, education and
technology base,” Scobee, who is one
of the Aggies on the commission,
said. “One of the commission’s re-
sponsibilties is to recommend ways
to make Texas a space science leader
in vital areas of education and re
search.
“I believe strongly the need for
pn agents
xas A&P
|unt said.
|ns since 1
A survey
an average
it suggests that we will have the tal- national support for the space pro-
son seru
. . . , , — (I exert i
The Aggies appointed tothei ^ ht , oss
mission include Nicks and v ,
Dr. Arthur “Skip” Porter,forwHj]^ ( '
rector of the Texas Engineering •
periment Station; Dr. Richard' 1 ]
nerdi, a former A&M
member and the present dirt!®
the Texas Medical Center;
Griffin, president of the H
Chamber of Commerce; an
Rains, Texas Secretary of State
Other members of the cot
sion are Dr. Hans Mark, chi
of the University of Texas S)i
David Hannah Jr., chain#
Space Services Inc.; Dr. Ton
Stauffer, president of the Uni'
of Houston at Clear Lake;
get, president of Space I
Inc.; and state Sen. OH."Ike'
ris, chairman of the Senate!'
nomic Development Committe<|jj rui
i$S
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