Board Meeting held on October 10, 2024, in Kremmling
Cost-of-service study and budget draft presented
Final 2025 budget will be reviewed at November meeting
The MPE Board of Directors heard presentations from Power Systems Engineering (PSE), a rate design consultant, and from CFO/Manager of Finance Emily Meek in preparation for the board’s final review and approval of the 2025 budget at the November board meeting.
PSE, an independent and employee-owned organization serving utilities across North America, recently completed a cost-of-service study and proposed rate design for MPE’s 2025 rates. The objective of rate design is to ensure that rates are fair and equitable and financially adequate while also reflecting cost causation, promoting efficient energy use, and remaining competitive with similar co-ops. Rate design goals for 2025 aim to balance the recovery of revenue to meet MPE’s operational needs as a not-for-profit, member owned cooperative. It will also balance the rate adjustment between the Service Availability Charge and Energy Charge (based on usage).
As a result of the power supply transition that begins Feb. 1, 2025, the Board anticipates temporary declines in certain financial ratios that Meek will continue to monitor closely. These declines are attributed to the contract termination payment owed to Tri-State G&T as MPE exits that agreement. While MPE expected these declines and the related rate increases, the focus has been on the longer-term benefits to MPE membership, including rate stability.
MPE General Manager Virginia Harman shared that a goal in the 2025 rate design was to avoid abrupt changes. Nonetheless, an assistance program is being developed by MPE staff for income-qualified members who may be
disproportionately impacted by any rate changes.
In presenting the first draft of the budget, Meek explained that budgeting best practices were used, such as aligning the budget with MPE’s strategic goals and objectives, involvement of key stakeholders, and detailed line-item budgeting for better tracking and identification of cost-saving
opportunities.
The Board also set the date for next year’s Annual Meeting for Saturday, April 26, 2025. The event will again be held at Middle Park High School (795 N. 2nd Street in Granby), with the breakfast starting at 8 a.m. and the meeting beginning at 9:15 a.m. This will be MPE’s 75th Annual Meeting, so be sure to save the date on your calendars.
Read the complete October 2024 Board Meeting Bulletin...
Archive of Board Meeting Bulletins
October 10, 2024 Board Meeting Bulletin
September 12, 2024 Board Meeting Bulletin
August 8, 2024 Board Meeting Bulletin
July 11, 2024 Board Meeting Bulletin
June 13, 2024 Board Meeting Bulletin
May 9, 2024 Board Meeting Bulletin
April 11, 2024 Board Meeting Bulletin
March 14, 2024 Board Meeting Bulletin
Feb. 8, 2024 Board Meeting Bulletin
Jan. 11, 2024 Board Meeting Bulletin
Dec. 14, 2023 Board Meeting Bulletin
Nov. 9, 2023 Board Meeting Bulletin
Oct. 12, 2023 Board Meeting Bulletin