At their April 22nd meeting, the Tallahassee City Commission voted to provide financial relief for City of Tallahassee utility customers. The vote approved a one-time rate reduction that will keep $6.3 million in the hands of local residents and businesses at a time when the COVID-19 outbreak has put the brakes on the local economy.
The Commission also moved to delay the scheduled implementation of new fire services fees. No rate change for this fee is anticipated in Fiscal Year 2021, which runs from October 1, 2020, through September 30, 2021.
After the vote Tallahassee Mayor John Dailey said, “I am very proud of the City Commission tonight who took the extraordinary step to identify $6.3 million in savings in our utility department that we are passing back to you, the utility customers of the City of Tallahassee.”
The latest move by the Tallahassee City Commission follows two votes by the Blueprint Intergovernmental Agency (IA) which provided a $1 million in grants to for-profit companies and $1 million in grants for non-profits.
The Blueprint IA includes all the members of the Leon County Commission and the Tallahassee City Commission.
These relief efforts come as the economic impacts of the business shutdown implemented to mitigate the impact of COVID-19 continue to be felt across Leon county.
The moves, along with federal and state initiatives, are intended to help struggling families and individuals while leaders decide how and when to open up the Tallahassee local economy.
The vote by the City Commission means that City Electric Utility customers will see a 27 percent discount on their May bill. The savings for each customer will vary based on their usage. On average, a typical household may see a reduction of $30, while a medium-sized business may see a reduction of $1,800.
To finance the program, the City is passing along projected fuel cost savings that the Electric Utility anticipates receiving in the coming months. Previously, the City of Tallahassee implemented the Utility Relief Program, which allows customers facing financial hardships to defer the payment of a bill until this fall.