2018 rate proposal comments

Comments on the 2018 rate proposal may be submitted by emailing contactus@smud.org or by mailing written comments to:
SMUD
P.O. Box 15830, MS A451
Sacramento, CA 95852-0830.

All personally identifiable information, including last names, addresses, phone numbers and email addresses are removed prior to posting.

If you do not wish for your comments to be publicly available on this page, please indicate that at the time of submission. 

Comments

August 31, 2018 – Amanda B.

LETTER OF SUPPORT:  Economic Development Rate (EDR) and Rule and Regulation 16 (Rule 16)

Dear SMUD Board of Directors:

The Sacramento Metropolitan Chamber of Commerce is pleased to offer our endorsement and support for the Sacramento Municipal Utility District’s (SMUD) proposal to enhance Economic Development Rates by increasing discounts and removing some of the requirements to make it easier for businesses moving or expanding in the region. 

The Metro Chamber has led the charge in advocating for and supporting our regional business community by promoting policies to help the community grow and expand. By cultivating a supportive, risk-taking entrepreneurial culture that generates innovative ideas and successfully brings them into the global marketplace, we can help foster economic growth and the create high-wage jobs in the Capital Region. 

The Sacramento region’s innovative capacity directly affects our ability to develop and deploy commercial applications, start new businesses, and maintain industrial competitiveness in the face of disruptive technological change. This proposal will aid in promoting stakeholder agreement on shared regional economic prosperity that ultimately can drive individual efforts and investments by stimulating the development of new commercial spaces to address low vacancy rates in the local office and industrial real estate markets. We believe these changes will encourage new investments from outside the region and create a dynamic business climate without rate increases. For these reasons, we are in support of the Economic Development Rate proposal.

Amanda B.

August 16, 2018 – Troy G.

Letter of Support:  Economic Development Rate (EDR) and Rule and Regulation 16 (Rule 16)

Dear SMUD Board of Directors:

As the Sacramento Region’s largest municipality and strategic partner with SMUD, the County of Sacramento supports SMUD’s proposed modifications to rates and fees in an effort to advance economic development throughout the region.

The proposed changes will:

  • Grow commercial and industrial customers in support of regional economic development;
  • Encourage new investment in our community from outside the region;
  • Allow fixed costs of providing power to be distributed among a greater number of customers; and
  • Stimulate the development of new commercial spaces to address low vacancy rates in the local office and industrial real estate markets.

The County of Sacramento is proud to support a plan to encourage economic development activity through changes that do not include an increase in rates.

Sincerely,
Troy G.

August 16, 2018 – Darrell D.

LETTER OF SUPPORT:  2018 Economic Development Program Enhancements

Dear SMUD Board of Directors:

As Board Chair of the Economic Development Director’s Taskforce of the Greater Sacramento Economic Council, and on behalf of the City of Elk Grove, I am writing to express our support for changes to Rule 16 fees for medium and large commercial, industrial, and mixed-use projects, and the creation of a development fee offset program.

As the second largest city in the Sacramento Region, the City of Elk Grove continues to grow and still has thousands of acres to develop. The proposed changes to SMUD’s Economic Development Rate will encourage business growth by making it easier for businesses moving into or expanding within our city to qualify. Most importantly, this proposal includes no rate increases, and as structured will only fuel economic development.

Regionally, the challenges and rising costs faced by our development community are very real. One of the key components of SMUD’s proposal includes an offset to the development fees charged to businesses to extend SMUD’s infrastructure to service their business with electricity. These changes will encourage new investment in our communities from within and outside our region to stimulate the construction and retrofit of badly needed new commercial space. We appreciate your consideration of this and other policies that will allow our local and regional economy to grow and thrive.

Sincerely,
Darrell D.

August 15, 2018 – Nathan U.

LETTER OF SUPPORT:  Economic Development Rate (EDR) and Rule and Regulation 16 (Rule 16)

Dear SMUD Board of Directors:

Franklin Blvd Business District is a Property-based Business Improvement District comprised of 600 business and 160 property owners located south of Broadway and north of Florin Rd. While we are certainly on the cusp of great opportunities, it is imperative we continue providing adequate and proper services, economic tools, and financial incentives to help our business community thrive – part of our implementation strategies is continuing our partnership with SMUD.

We believe that true regional vitality can only be achieved through holistic economic development, which must include our disadvantaged communities. By providing flexible EDRs to business owners, this allows some certainty for our businesses in our disadvantaged community while providing additional framework for revitalizing our aging corridor. We are currently undergoing a prominent (strategic) growth period and planning this with our partner agencies, like SMUD. With the proposed extension of the EDR term from 5 to 10 years and increasing the discount, this will help with longer-term growth and sustainability. Moreover, the fee restructure for development will help encourage new investment in our region. Removing some of the requirements will make it easier for businesses that are moving or expanding in the region to qualify for the rate.

We appreciate SMUD as a partner and the initiatives this organization develops to better serve their customers and business communities.

Sincerely,
Nathan U.

August 15, 2018 – Joseph P. G.

LETTER OF SUPPORT:  Economic Development Rate (EDR) and Rule and Regulation 16 (Rule 16)

Dear SMUD Board of Directors: 

As a city with an ambitious economic development plan, Folsom is fortunate to be in a competitive position for both attracting and retaining business clients.

Vacancy rates continue to decline and costs are rising for businesses. The proposed changes to rates and fees will help economic development throughout the Region. By removing the industry, minimum jobs, and full service requirements, we can anticipate a growth in commercial and industrial businesses. The changes will also stimulate the development of new commercial spaces to address low vacancy rates in the local office and industrial markets.

The proposed changes to EDR and Rule 16 will not increase electricity rate and are designed to advance economic development in the Sacramento Region, therefore Folsom is in support of the proposal.  

Best Regards,
Joseph P. G.

August 14, 2018 – Curt H.

LETTER OF SUPPORT:  Economic Development Rate (EDR) and Rule and Regulation 16 (Rule 16)

Dear SMUD Board of Directors:

As the City with the largest master planned office park in the Region, we are fortunate to have many businesses that choose to operate in Rancho Cordova. SMUD is a critical partner to the success of our business attraction and retention strategy by providing cost effective electricity and programs that meet business needs.

Vacancy rates continue to decline and costs are rising for businesses. The proposed changes to rates and fees will help economic development throughout the Region. By removing the industry, minimum jobs, and full service requirements, we can anticipate a growth in commercial and industrial businesses. The changes will also stimulate the development of new commercial spaces to address low vacancy rates in the local office and industrial markets.

The proposed changes to EDR and Rule 16 will not increase electricity rate and are designed to advance economic development in the Sacramento Region, therefore the City of Rancho Cordova is in support of the proposal.

Sincerely,
Curt H.

August 13, 2018 - Nikky M.

Letter of Support:  Development Fee Offset Program

Dear SMUD Board of Directors,

As a local developer focused on urban infill housing for our workforce, I am writing to express my strong support of the proposed development fee offset program.

The proposed changes to Rule 16 will be a tremendous asset to our community and will provide greater opportunity to resolve our housing crisis. Our region is facing severe challenges with producing the housing supply needed to accommodate our workforce population and maintain a viable economy. The development fee offset program will alleviate one of the existing hurdles to development and enable more housing to be built for the benefit of our residents.

SMUD is a critical partner to the success of our region and is a conduit to producing and maintaining the housing and affordable sustainability that our community deserves.

The development fee offset program will provide all-embracing benefits through the increase in residential units and customers that will further lower the rates for all of our residents and produce the affordability that will lead to the sustainable economy that we envision for our city.

I appreciate your vision and leadership to cultivate economic growth that will have long-term benefits for our region.

Sincerely,
Nikky M.

August 13, 2018 - Michael J. H.

LETTER OF SUPPORT:  Development Fee Offset Program (Rule 16)

Dear SMUD Board of Directors:

Over these past several years developing the ICE BLOCKS project along R Street, I have had the opportunity to work closely with SMUD on a variety of issues and projects. I have come to really appreciate the genuine effort that you make to be innovative and to provide excellent customer service to the development community. Honestly it is not what I have come to expect from large public organizations, so this is very refreshing. I would like to commend you as a Board for setting these goals and empowering your Team to make them happen.

Along these lines I am writing to offer support for the proposed changes to the Rule 16 Fee structure. I can assure you that us developers are experiencing severe challenges getting projects out of the ground right now. Costs are rising all around us and financing is getting more and more challenging. The cost of construction, materials, labor and city processing are all inflationary. Yes, rent is rising too but not nearly at the pace of costs. So, to see a program that truly embraces "economic development and reduces costs" is encouraging and a good shot in the arm for us. I think this new program is coming at a very opportune time and I hope you vote to adopt it.

Best regards,
Michael J. H.

August 6, 2018 - Steve U.

Download Rate Change Alternatives PDF

August 1, 2018 - Carl

Download the handwritten comments

August 1, 2018 - Ronald

Dear SMUD Board of Directors, 

I recently received the July 2018 Connections.

The second paragraph states, “The Proposal does not include an increase in rates,” which if true is very welcomed since I am having a difficult time as a retiree living on a fixed income.

The above is misleading unless I am mistaken. It seems as if the paragraph is also saying there will be a change to the System Infrastructure Fixed Charge for residential customers… If this mean I will not see an increase in my SMUD bill rate or fixed charges thanks again.

Again, in the Connections (reverse side) I read about financial assistance SMUD customers can receive. I would suggest instead of SMUD running a charity program, that your efforts go into keeping rates etc., at the lowest amount possible. The State and Federal Governments provide welfare assistance to folks with appropriate verified proven needs. Churches and many private organizations also provide assistance too. I am not a scrooge, but I know people scamming the system of false financial needs. Does SMUD take legal action against these folks and send them to jail?

Sincerely,
Ronald

July 25, 2018 - Michael A.

LETTER OF SUPPORT:  Development Fee Offset Program (Rule 16)

Dear SMUD Board of Directors,

On behalf of Downtown Sacramento Partnership's Board of Directors, I am writing to express our support for changes to Rule 16 fees for medium and large commercial, industrial, and mixed-use projects and the creation of a development fee offset program.

As the state's first Property-Based Improvement District (PBID) comprised of property and business owners that encompass the 66 blocks of downtown Sacramento from 16th Street to Old Sacramento, Downtown Partnership is eager to see new investment and improvements in our downtown core. The proposed development fee offset program will encourage economic development within our downtown core and result in new load, spreading out fixed costs and keeping electric rates lower for new development projects as well as existing customers.

The challenges and rising costs faced by our development community are very real. While several prominent mixed-use projects were recently completed in the Central City, the reality is, demand for housing is far outpacing supply. Expensive barriers to urban development have hindered our ability to create an adequate supply of housing options. SMUD is one of the key public entities that developers engage with and this proposed per kW offset will provide the cost savings that many projects desperately need to pencil. We appreciate your consideration of this and other policies that will allow our local development community to continue building value downtown.

Sincerely,
Michael A.