Living with the power surcharge

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Living with the power surcharge CUTTING CORNERS: Low-income families, seniors try to pay bills, stay warm after 43% rate increase

Cecilia Nguyen; The News Tribune

Glowing lights are missing from Evelyn Undziakiewicz's Christmas tree.

Her thermostat reads 55 degrees. And long, hot baths have been reduced to short showers.

Undziakiewicz and her family are doing what they can to conserve energy and keep the electricity bill as low as possible.

Tuesday, the Tacoma City Council authorized a 43 percent surcharge on electricity for residential customers, effective immediately.

The rate increase, which will last until the end of March, was in response to a shortage of power and high electricity costs along the West Coast.

Many Tacoma utility customers, such as Undziakiewicz, expect to be affected by the higher electricity cost and are doing what they can to lessen the effect.

"It's going to be tough," said the single mom who works at a community center. "But we don't have much of a choice here."

Residents have begun preparing for the rate increase since hearing of the surcharge proposal last week. And even though Undziakiewicz conserves electricity, she said she'd become even more vigilant.

But those on fixed incomes are taking more drastic measures, according to social services officials.

"The seniors are hit hardest when rates go up," said Jan McLellan, administrator for the Low Income Home Energy Assistance Program, which helps households with heating costs and weatherization.

Food and medication are usually the first necessities to go when seniors have trouble paying for their utilities, because they are afraid of having their utilities cut off, McLellan said.

At the Senior Outreach Center, the phones haven't stopped ringing.

"People are very anxious," said program director Beth Frick. "You can hear the panic in their voices."

The Outreach Center is among four local agencies providing energy assistance for low-income residents. More than 7,000 seniors and families with disabilities have 25 percent taken off their utility bills through the program offered at the center.

And Frick is hoping seniors and families in need will come to her before cutting back on groceries or prescriptions.

"If you're eligible, you should be taking advantage of the discount rate plan," Frick said.

At the Lighthouse Senior Activity Center, 5016 A St., groups of seniors talked Wednesday, the day after the surcharge was approved. They're wondering what they're going to do when next month's bill comes.

Among the worried seniors was Betty Olson.

Olson makes too much to qualify for the low-income energy assistance programs, but she knows she'll suffer financially.

She has decided to leave only the living room heater on and wear a light jacket indoors. Olson also will spend less money on groceries. She gets her lunch free, in exchange for volunteering at the senior center. But she'll likely visit a nearby food bank.

And next month, she'll ask her doctor if she can take fewer pills to reduce her medication cost.

Hattie Crisp considers herself one of the luckier few. Cuddled up at home with her husband in blankets and sweaters, they've decided to turn the thermostat as low as they can.

While the energy crunch will be costly for the retiree and her husband, she said they'll be able to pay for all of their bills with the $900 Social Security check they receive each month - if they watch their budget.

"We're going to try to learn to live with it," Crisp said.

Meanwhile, Undziakiewicz hopes to make the best of the situation. In the end, Undziakiewicz said she'll be OK. She'll have to do without her morning vanilla lattes and impromptu shopping trips, but she thinks there is a lesson to be learned.

She hopes people will realize the importance of conservation and not take energy for granted.

"This is an awakening of how we use our resources," she said.

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* Reach staff writer Cecilia Nguyen at 253-597-8692 or cecilia.nguyen@mail.tribnet.com.

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SIDEBAR: Some answers about the power surcharge

Questions and answers about Tacoma Power's surcharge, approved Tuesday by the City Council:

Q: How long will the surcharge last?

A: Tacoma Power's temporary surcharge took effect Wednesday and will last through late March. However, if weather conditions and energy markets do not improve, officials may recommend additional surcharges by Feb. 1 to avoid depleting the utility's financial reserves.

Q: How much more will I have to pay?

A: The temporary surcharge varies by rate classification among Tacoma Power's 146,000 customers.

Residential customers will pay an additional 43 percent for electricity.

Small commercial customers, such as a small real estate company, will pay 40 percent more for electricity. Large commercial customers will pay 58 percent to 74 percent more.

Industrial customers, such Pioneer Chlor-Alkali or the Simpson Tacoma Kraft pulp mill, will pay an additional 75 percent for power.

The surcharge does not apply to water use, solid waste, sewer or storm water.

Q: How will the surcharge be calculated into my bill?

A: The surcharge will be applied only to electricity used after Dec. 20 and on a pro-rated basis. For example, if you use 600 kilowatt-hours in a two-month period, that averages out to 10 kilowatt-hours per day. The surcharge will be applied to the number of days in the billing period from Dec. 20 forward.

Tacoma Power has 133,000 residential customers and doesn't have the resources to read meters on a daily basis. Meters are read every two months for most residential customers, so the surcharge will be calculated on an average daily basis for each customer.

Q: What if I can't afford my utility bill?

A: You can qualify for a discount rate from Tacoma Power if your monthly household income does not exceed: $1,044 for one person, $1,406 for two, $1,769 for three or $2,131 for four.

There's additional help available for Tacoma residents who may have difficulty paying their electricity bills.

The Metropolitan Development Council provides energy assistance for low-income households. Call 253-572-5557. For home weatherization, call 253-593-2336.

Tacoma Power's Project Need is another source of help, 253-593-3403.

Low-income or disabled persons and customers 62 years or older in Tacoma Power's discount rate are exempt from the surcharge. To see if you qualify, call Senior Outreach Services, 253-593-3499.

Q: Does conserving energy really make a difference?

A: Power officials are looking for three things to help stabilize what they call a crisis situation: more water in power-producing dams, capped prices in volatile energy markets and "a lot" of conservation by consumers.

That said, for every 1 percent of energy that customers conserve, Tacoma Power can save $100,000 a day in power costs. Reducing the amount of expensive power the utility needs to buy in turn could reduce the surcharge or shorten the time period for which it is needed.

In other words, every little bit helps.

Q: What if I have additional questions?

A: Call Tacoma Power's energy information center at 253-502-8363.

http://www.tribnet.com/

-- Martin Thompson (mthom1927@aol.com), December 21, 2000


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