MEA to manage Seward’s electric utility

The Seward City Council approved a contract with Matanuska Electric Association on Monday night to manage the city’s electric utility after residentsThe contract provides for a part-time utility manager and a full-time operations supervisor hired by MEA. The employees will oversee the day-to-day operations and provide guidance on effectively running the utility that serves nearly 3,000 people.

Brian Hickey will be the new utility manager for the city. He said the city is not alone in trying to fill those positions. “What we saw this month with our first billing cycle with the new rates was kind of a perfect storm of a rate increase which is already hard to handle coupled with a high kilowatt usage hour due to the cold,” she said.

However, city council members and city staff clarified the contract’s details in order to address people’s concerns. The city will pay for the cost of service from MEA with an additional 3% administrative fee. As a nonprofit cooperative, MEA’s service costs are regulated by the Regulatory Commission of Alaska .

“It’s our goal to get our utility up to where it needs to be, and that includes being able to hire a long term utility manager to fill this role,” she said, “so while Brian and the MEA crew are working with us to get to that point from the utility, we’ll also be working on the back end to do the things that we need to do to figure out how we can get there with the salary.”

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