AUSTIN -- Austin Energy tried again Thursday to unveil a new rate hike proposal.
General Manager Larry Weis says the modified rate proposal is a fair compromise after the concerns raised at previous public hearings. However, some residents and church representatives say the new proposal is lot like the old one.
Weis presented a modified rate proposal before City Council Thursday. However, there was nothing modified about the amount the company is targeting.
"We came into this knowing the full $126 million increase that we needed," said Weis.
Weis said Austin Energy has listened to public concerns and come up with a two-step proposal. The company would implement an 8.7 percent increase this year and a 3.8 percent increase in 2015. Overall, rates would increase 12.5 percent.
"I do not know who is driving this train," said president of the Allandale Neighborhood Association Donna Beth McCormick.
McCormick says just like a speeding train, the best course for Austin Energy may be to simply slow down.
"Economic times are not good," she said. "We need to do it a little bit slower and take care of the citizens of Austin."
"We are facing tough times like everyone else," said Justin Keener, a spokesman for Austin area churches. "We are willing to pay our fair share, but this just is not a fair way. Going into today, we were real concerned, because our church was facing a 50 to 80 percent increase in its electric rates. After today, I am pretty disappointed, because it does not appear that there is much change at all."
Keener is a member of First United Methodist Church in Austin.
"Our church serves thousands of homeless," said Keener. "How we are going to do that to the level we are today and absorb a 50 to 80 percent rate increase? It is a decision I really do not want to face."
Austin Energy says its new proposal helps places of worship by taking the demand charges off of weekend use for sanctuaries.
The next chance for public input on this issue comes Thursday, Feb. 9 at 6 p.m.
