KAYSVILLE -- Kaysville City Power plans to clarify the way its customers are billed for power services and the resulting taxes.
Currently, the city bills customers with an all-inclusive rate, which includes the state energy sales and use tax.
"We are the only city that has an all-inclusive rate; meaning these (other) cities publish their power rate and add the 6 percent energy sales tax," said Mayor Steve Hiatt.
"We want to separate the energy sales tax out of our rate. Our rate would decrease by 6 percent, and the tax would then be part of the utility bill," he said.
According to city officials, Kaysville's power rates are 9 cents for the first 1,000 kilowatt hours, in comparison with Rocky Mountain Power's rate of 8.7 cents during off-peak hours.Rocky Mountain Power's rates are higher during peak hours.
If the city separates the 6 percent sales and use tax out of their rate, the resulting rate would be 8.846 cents per kilowatt hour.
Officials emphasized that it is still not an exact way to compare rates, as other entities charge flat fees of $3.25 to $4.20 per month just to have service. Kaysville does not.
Councilman Gil Miller mentioned that Kaysville residents also contribute to the power charges for city-owned buildings as part of their rate.
The change will make customer's bills more clear by showing what the base rate is, said Hiatt.
"So when you get your bill, the total will still be the same," said Councilman Ron Stephens. "(The difference) will just be the way that it is broken down."
Councilman Brett Garlick said he anticipates that the change will occur as soon as a pamphlet can be put together explaining the change to residents.
The pamphlet will be mailed with the monthly power bills.
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