Proposition 1 Fact Sheet Electric Bond Issue Fact Sheet

Proposition 1 Fact Sheet
Electric Bond Issue Fact Sheet

Election: On April 7, 2015, voters will decide if the projects outlined below on
the next page be paid for with bond funds. A simple majority is needed to pass
this initiative.
Purpose: Columbia Water & Light is requesting $63.1 million to be borrowed to
pay for projects throughout the electric service territory. See the next page for more details.
Use of Bond Funds: Columbia Water & Light pays for large capital projects with a combination of cash and
borrowed money. Historically voters are asked to approve bond financing every 5 years. The last election when
bond funding was requested for electric system upgrades was in 2006 for $60 million. Borrowing money to pay
for large scale capital improvement projects spreads the cost of the projects over time so current and future
users of the system pay for the improvements.
Rate Impact: If the bond issue passes, electric customers will see a total 6% increase over a five year period:
3% in 2015, 2% in 2017 and 1% in 2018. Taxes will not be impacted by this bond initiative. If the bond issue
does not pass, more dramatic rate increases will be needed to cover the costs of the project. It is estimated that
the increases will need to be 3 to 4 times higher (20 to 25%) with some reductions possible in five years.
Use of Cash: The amount of money set aside in Columbia Water & Light cash reserves has been dipping below
the policys target level. Cash or reserves will be used to fund some projects on the $87.5 million Capital
Improvement Plan list for the next five years. These projects include items like street lights and new
connections. The City Council will review the cash funded projects each year through the budget process.
Ballot Language: Shall the City of Columbia, Missouri issue its Waterworks and Electric System Revenue
Bonds in the amount of $63,100,000 for the purpose of extending, expanding, improving, repairing, replacing
and equipping the City owned electric system? YES ( ) NO ( )
The authorization of the bonds will authorize the City to fix, establish, maintain and collect rates and charges for
the use and service provided by the City through its Waterworks and Electric Systems, including all extensions
and improvements thereto hereafter constructed or acquired by the City, in addition to the other rates and
charges for such services provided by law, as will produce income and revenues sufficient to provide funds to
pay the costs of operation and maintenance of the Waterworks and Electric Systems and the principal of and
interest on the bonds as they become due and to retire the same within thirty-five (35) years from the date
thereof, and to provide for the establishment of reasonable reserves therefor.
Electric System Basics
After electricity is produced, the voltage
is stepped up so transmission lines can
carry a large amount of power over a
distance. Transmission lines go into a
substation where the voltage can be
lowered. The power is then ready to be
shipped to homes and businesses
through the electric distribution system.
Electric transmission and distribution systems are interconnected.

This design enables utility staff members to isolate a problem on one
line and bring in power from another line to limit service interruptions.
Proposition 1 Fact Sheet

Electric Bond Project List
Replacement & Upgrade Infrastructure Total
$10,350,000
Distribution transformers & capacitors
$3,800,000
Replace existing transmission
$500,000
Replace existing underground
$1,250,000
Replace existing overhead
$2,750,000
Replace circuit breakers
$500,000
Replace substation switchgear
$350,000
Substation transformer replacement
$1,200,000
Transmission & Substation Project Total
$36,150,000
Millcreek 161/69 kV substation
$5,000,000
Millcreek, Grindstone & Perche interconnection
$18,000,000
Substation upgrades Grindstone & Perche
$1,000,000
Underground distribution lines in transmission corridor
$5,000,000
Substation feeder reconfiguration
$7,150,000
System Modernization Total
$4,900,000
Power plant substation upgrades
$1,500,000
Natural gas boiler #8 upgrades
$1,900,000
Columbia Energy Center controls upgrade
$1,500,000
System Expansion Total
$6,600,000
Landfill gas generator unit 4
$1,600,000
Extend Hinkson Creek substation feeder
$5,000,000
Total for projects: $58,000,000

Contingency fund: $2,000,000
Bond issuance plus reserve requirement (for 1st issuance, 2nd issuance funded by cash):
$3,100,000
TOTAL BOND ISSUE: $63,100,000

Proposition 1 Fact Sheet Electric Bond Issue Fact Sheet

Uploaded by

Copyright:

Available Formats

Proposition 1 Fact Sheet Electric Bond Issue Fact Sheet

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Proposition 1 Fact Sheet Electric Bond Issue Fact Sheet

Uploaded by

Copyright:

Available Formats

Proposition 1 Fact Sheet

Electric Bond Issue Fact Sheet

Electric transmission and distribution systems are interconnected.

Proposition 1 Fact Sheet

Distribution transformers & capacitors

Replace existing transmission

Replace existing underground

Replace existing overhead

Replace circuit breakers

Replace substation switchgear

Substation transformer replacement

Transmission & Substation Project Total

Millcreek 161/69 kV substation

Millcreek, Grindstone & Perche interconnection

Substation upgrades Grindstone & Perche

Underground distribution lines in transmission corridor

Substation feeder reconfiguration

System Modernization Total

Power plant substation upgrades

Natural gas boiler #8 upgrades

Columbia Energy Center controls upgrade

System Expansion Total

Landfill gas generator unit 4

Extend Hinkson Creek substation feeder

Total for projects: $58,000,000

You might also like

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.