Budget Plan is shown on the top right hand section of your bill.
TOTAL DUE: The Budget Plan payment amount that was determined when you signed up. This amount is recalculated every year on your Budget Plan anniversary.
CURRENT BUDGET VARIANCE: Actual charges for the month minus the budget payment amount.
TOTAL BUDGET VARIANCE: Accumulated variance of all actual charges minus the budget payment amount.
- If this amount is a credit, or negative amount, it means that the budget payment amounts have exceeded the charges based on actual usage.
- If this amount is a positive balance, it means that the charges based on actual usage have exceeded the budget payment amounts.
- If your positive balance is more than three times your budget payment amount, please contact us to evaluate if your budget payment amount should be increased. Or consider paying extra towards your budget variance. If you are paying extra to be applied to your budget variance, please indicate this with your payment.
How is your Budget Plan payment amount calculated?
Your monthly budget payment is the total of the last 12 monthly actual bills, adjusted for normal weather and anticipated rate changes, plus or minus your total budget variance balance divided by 12.
- Current Budget Plan payment amount = $125
- At the end of the budget billing year customer budget payments = $1,500 ($125 payment each month for 12 months)
- At the end of the budget bill year customer’s actual charges = $1,700
- Total Budget Variance = $200 ($1,700 actual charges minus $1,500 payments)
- New Budget Plan payment amount = $158 ($1,700 last 12 months actual bills + $200 total variance divided by 12 months)
Budget plan increases:
We review the last 12 months of history, project out for weather (degree days and precipitation) and also any known or anticipated rate increases for gas, water and sewer. We are a billing agent for several different cities and take into account their sewer rates for the budget plan. Currently, budget plan increases are primarily due to accumulated gas balances due to the extremely cold winter of 2013-14 and sewer rate increases.