Frequently Asked Questions

Piqua’s utilities are locally controlled, not-for-profit utilities that invest revenue to support reliable and sustainable service for the community.

The Electric, Water and Wastewater funds are structured as enterprise funds. Each operates independently from one another and the General Fund and are funded by utility usage and service payments. These funds are used to build and maintain infrastructure, cover operating and maintenance expenses and plan for future system needs in service to customers.

Enterprise funds function similarly to business accounts with their own revenues, expenditures, liabilities and assets. Revenues collected are used solely for their intended utility purposes, including both day-to-day operating expenses and long-term capital investments.

Electric rates have not been adjusted since 2015. Over the past decade, inflation and increasing costs of labor and materials have made an adjustment necessary to maintain system reliability and long-term financial sustainability for the community. 

In Piqua Power System’s annual budget, about 80 percent of expenditure is the cost to purchase electricity, while the remaining 20 percent represent operational costs. Both cost centers have seen increases over the previous 10 years.

The cost of equipment and supplies also continues to increase. In the past five years alone, poles, wire, transformers, meters and line equipment vehicles have increased as much as 369 percent. The graphic below highlights the cost pressures facing Piqua Power System.

The Power System has absorbed inflation in equipment and power supply costs for more than a decade by utilizing its cash reserves and being a good steward of its financial resources.

The power system owns and utilizes two gas-fired generation units that directly save customers money on power supply costs — estimated at more than $3 million in savings in 2026.

Piqua’s Water and Wastewater funds have healthy cash reserves based on revenues from the past several years. As cash reserves increase, the City of Piqua team evaluates the appropriate time to lower rates as fund performance allows.

The base customer fee for all users is decreasing while specialized fees (such as tap fees, bulk water and lab testing for services offered on an as-needed basis) are increasing.

The proposed rate adjustment being considered by Piqua City Commission includes changes to both the residential kilowatt-hour (kWh) rate and the fixed customer charge. Based on average usage of 750 kWh per month, the estimated monthly impact to residential customers would be approximately $7 in 2026, $6 in 2027, $2 in 2028 and $1 in 2029.

If approved, the monthly base rate for all water customers would decrease by $1.23 per month and $3.80 per month for sewer customers, for the remainder of 2026. Additionally, sewer rates will decrease by another $1.00 per month in 2027 and again by another $1.00 per month in 2028.

For customers who receive all three City-owned utilities — electric, water and wastewater — the combined adjustments are expected to minimize ratepayers’ overall budgetary impact. 

The City of Piqua team regularly reviews enterprise fund performance, cash reserves and rate structures to determine whether adjustments are necessary.

The City recently engaged Sawvel & Associates to complete a cost of service and rate study for the Power System. The comprehensive process evaluated operational needs, capital investment requirements and financial policies, including City Commission-approved reserve targets. The study also examined existing rates to ensure they are fair and equitable and properly allocate costs to the different categories of customers based on how each category causes costs to be incurred. 

As part of a similar review process, the Utilities Department identified opportunities to reduce water and wastewater rates to keep City utilities affordable.

The Energy & Utility Board — a citizen board that advises the City Commission on how Piqua’s municipal power and utility systems are operated, managed and maintained — reviewed and unanimously recommended approval of the changes.

If approved, the rate adjustments would take effect for bills calculated in June 2026.

Even after the four-year adjustment period, Piqua’s residential electric rate will remain significantly lower than current rates for AES Ohio (formerly Dayton Power & Light) customers and below the Ohio utility average.

Piqua’s water and sewer rates remain competitive with other communities throughout the region. Piqua’s Utilities Department hosts an annual rate survey among neighboring communities, and the 2026 results can be found here on our website: https://piquaoh.gov/549/Water-Sewer-Rate-Surveys.

An additional consideration is that local control allows Piqua’s utility employees to offer community benefits within their daily operations.

The Utilities Department and Power System crews support other City operations throughout the year, including with snow-plowing efforts. The Power System team also maintains the traffic signals and streetlights throughout Piqua, supports neighboring communities through emergency response mutual aid, participates in safety demonstrations at local schools, provides specialty electric needs for festivals and community events, and assists with downtown holiday lighting and veteran banners.

Yes. Both commercial and industrial rates are included in the proposed utility rate ordinances. Those customer classes will see a similar percentage increase to the residential customer class.

The electric rate ordinance also proposes a new rate for transmission access service. This rate applies to customers that take service at transmission voltage of 69 kilovolts.

No. For the Power System adjustment, Sawvel & Associates’ cost-of-service and rate study projections did not include any costs or potential revenues associated with the proposed data center within Piqua Power System’s territory. The Power System intends to serve the data center site with construction power needs only. Operational load will be served by AES Ohio. Any costs incurred to serve the construction power load will be paid for entirely by the data center customer.

Piqua Power System operates as an enterprise fund, funded entirely from utility payments. These funds are used to build and maintain infrastructure, cover operating expenses and plan for future system needs in service to customers.

Piqua Power System does not carry debt and has no interest expense associated with debt. The Electric Fund cash reserve policy is a financial management tool that is codified by ordinance and approved by the Energy & Utility Board and Piqua City Commission.

The proposed electric rate adjustment ensures the Power System can meet power supply cash requirements, is prepared to respond to unforeseen weather and other potential catastrophic events and meets minimum fund balance requirements codified by Piqua City Commission.

Piqua Power System customers will continue to enjoy the same service and reliability they have come to expect. In fact, the power system maintains an average reliability of 99.99% and is a regular recipient of the American Public Power Association’s Diamond Level designation as a Reliable Public Power Provider. Maintaining this level of reliability requires periodic rate adjustments to keep pace with rising costs for materials, services and system improvements.

The City of Piqua closely monitors and evaluates market fluctuations that affect the costs of offering utility services to residents. The cost of equipment, supplies and vehicles have continued to rise and affect the model of delivery. 

City administration considers the cost of offering the service balanced with affordable rates for customers as it makes investments and sets fees for residential and commercial customers. 

The City of Piqua offers ways for customers to track their utility use and adjust their habits to reduce costs.

The SmartHub application offers a convenient way to manage and pay bills. The software also gives customers access to the data from their electric and water meters so they can monitor their usage and make changes in their homes to reduce utility bills.

Customers can even set up alerts, so they receive a text message or email when usage exceeds thresholds set by the customer.

To learn more, visit piquaoh.gov/smarthub. For questions about billing cycles or for help with SmartHub’s features, call the City of Piqua Utility Business Office at 937.778.2000.