Howard Stops Future Electric Rate Hike
HARTFORD- In the Judiciary Committee last week, State Rep. Greg Howard (R-43) helped defeat a bill that could have led to higher electric rates for electric ratepayers. This, after state regulators, the Public Utilities Regulatory Authority (PURA), approved a 19% electric rate increase for Eversource starting July 1st
On Monday April 29th, Rep. Howard talked on the bill extensively and forced the committee to adjourn without a vote before the House of Representatives gaveled into session, effectively killing the bill for the year.
The bill, SB-137, An Act Concerning Gas, Electric, Sewer and Water Delivery Work would require contractors on certain public utility projects to pay their employees on the project the same prevailing wages and benefits that would be required on public works projects. The bill requires a public utility that must pay the prevailing wage to recover its costs for doing so through either its base rates or a PURA approved rate recovery mechanism, as long as, PURA finds that the costs were prudent and reasonably incurred and recoverable under state utility ratemaking laws.
Under current law, Connecticut’s prevailing wage cap hurts small towns by limiting the ability of small businesses in these towns to compete for government contracts, as they might struggle to meet the higher wage requirements.
“Paying prevailing wage for these municipal projects ultimately leads to less economic activity and fewer opportunities for local workers,” said Rep. Howard. “And on top of that they now want electric ratepayers to potentially pay more for their electricity by expanding prevailing wage laws to public utility projects. That is adding salt into the wound of every working family struggling to keep up with high inflation and senior living on a fixed income. When is enough, enough?”
Additionally, this legislation could have led in fewer infrastructure projects being undertaken in some towns, which could have hindered future development and growth.