The Columbia Water and Light Board will meet Wednesday to discuss a utility rate increase for customers.
The city's electric fund is projected to fall nearly $15 million under its target cash reserves in fiscal year 2027, according to a city memo.
Columbia needs a $9.4 million increase in revenue to cover electric operating expenses and capital funding next fiscal year. To achieve this, it's recommending at least a 6% increase in all base and consumption charges, according to a Columbia Utilities news release.
This fiscal year, electric rates are already going up by 2%.
The city's water fund is also predicted to fall below the target reserves next fiscal year by about $25,000. Without a rate increase, that could cause a deficit of over $10 million in fiscal year 2031, according to the release.
Columbia Utilities said it needs $2.8 million to satisfy operating expenses and capital funding.
The Water and Light Board will meet at 8 a.m. on Wednesday in conference room 1A/1B at the Daniel Boone City Building, located at 701 East Broadway.
