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4.1. ERMUSR 11-15-2016
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4.1. ERMUSR 11-15-2016
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11/10/2016 4:18:08 PM
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City Government
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ERMUSR
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11/15/2016
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Section 3 <br /> Table 3-2 <br /> Electric Cost of Service Results <br /> Comparison of Cost and Revenues <br /> 2015 Test Year <br /> Customer Allocated Revenues <br /> Classification Cost to Serve <br /> Residential $10,644,237 $11,249,153 <br /> Commercial Non-demand 3,166,586 3,350,843 <br /> Demand 10,271,205 9,957,797 <br /> Large Demand 7,547,103 7,071,338 <br /> Total $31,629,131 $31,629,131 <br /> The revenue requirements and revenues as allocated to each class and <br /> summarized above are shown on a total dollars basis. Table 3-3 below makes the <br /> comparison based on percentages of total cost to serve and total revenues. The <br /> charts following Table 3-3 show a graphical comparison between allocated cost to <br /> serve and revenues as a percentage of the totals. The percentage <br /> increase/(decrease) in each class' revenue shown in Table 3-3 is the adjustment <br /> necessary to produce revenues from each class in accordance with the allocated <br /> cost to serve. The percentage adjustments do not represent the recommended <br /> change in each class' rates. The cost-of-service results are one item for <br /> consideration in rate design. It is important to note also that the adjustments shown <br /> in the table below would not change the total revenue received by the utility and <br /> are not indicative of overall revenue needs of the utility going forward. <br /> Recommendations regarding rate design are included in Section 4 of this report. <br /> - 6 - <br /> 7n <br />
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