Borough of Madison, NJ
Morris County
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Table of Contents
Table of Contents
[HISTORY: Adopted by the Mayor and Council of the Borough of Madison as indicated in article histories. Amendments noted where applicable.]
Attachment 1 - Appendix A Attachment 2 - Appendix B Attachment 3 - Appendix C
[Adopted 12-27-1993 by Ord. No. 37-93[1]]
[1]
Editor's Note: This ordinance also superseded former Ch. 94, Electric Utility, Art. I, Rates, adopted 11-7-1979 by Ord. No. 28-79, as amended.
A. 
The rates for the electric utility service provided by the Borough of Madison shall be as set forth in Appendix A annexed hereto and entitled "Borough of Madison — Schedule of Rates for Electric Utility — December 1993" and as revised from time to time by ordinance of the Borough Council.
B. 
The schedule of rates (Appendix A) consists of the electric utility rates for the following service classifications:
[Amended 7-10-2000 by Ord. No. 30-2000; 9-27-2004 by Ord. No. 45-2004]
RS
Residential Service
GSS
General Service (nondemand)
GS
General Service (demand)
GS-ML
Mid Level General Service - Demand
GSL-D
Large General Service - Demand
OL
Outdoor Area Light Service
OPW
Off-Peak Water Heating Service Rider
—-
Standby Facilities Service Rider
C. 
The schedule of rates for customers who generate and feed electricity into Madison’s electrical system, which is applicable to all service classifications, is set forth in Appendix A.[2]
[Added 10-11-2006 by Ord. No. 48-2006]
[2]
Editor's Note: Appendix A is included as an attachment to this chapter.
D. 
A one-hundred-fifty-dollar per applicant targeted annual electric utility rebate credit program is hereby established for income-eligible Madison residents, subject to annual appropriations therefor in the municipal budget. The program guidelines, eligibility criteria and application process, attached hereto, shall be set forth in Appendix A.[3]
[Added 2-23-2015 by Ord. No. 6-2015; amended 4-11-2016 by Ord. No. 16-2016]
[3]
Editor’s Note: Said program guidelines, eligibility criteria and application process are on file in the Borough offices.
E. 
An annual electric customer cost adjustment program is hereby established as follows: The Chief Financial Officer (CFO) will provide a written report to the governing body in January of the financial results of the electric utility for the preceding calendar year. The report will include a detailed accounting of all monetary inflows and outflows. Costs will include utility operational costs, employee compensation and benefits, transmission costs, capacity/demand charges, commodity costs, physical plant and equipment charges, appropriations for the Electric Utility Capital Improvement Fund, operating reserves, contingency, transfers of electric surplus to the municipal budget for tax relief, debt service, municipal operating support and general capital improvements, a minimum free balance of at least $1,000,000, line loss and such other financial factors as deemed appropriate and prudent by the CFO and governing body. To the extent there are funds remaining after all items cited above have been subtracted from the total electric utility revenue, the CFO, with the Council's approval, may annually recommend a prospective cost adjustment credit be applied to each kilowatt-hour (KWH) supplied under all rate schedules and tariffs. This adjustment, if any, will be set to the nearest $0.0001 via resolution and applied to all kilowatt-hours supplied during subsequent billing periods until the next annual financial analysis in January of the following year by the CFO and governing body of the operating results and performance of the Electric Utility. The cost adjustment credit factor may be revised during the course of any calendar year period by the governing body via resolution upon a showing of good cause.
[Added 11-28-2016 by Ord. No. 65-2016[4]]
[4]
Editor's Note: This ordinance also indicated that it would take effect 1-1-2017.
[1]
Editor's Note: The schedule of rates is included at the end of this chapter.
[Amended 10-11-2006 by Ord. No. 48-2006]
A. 
The procedures and practices of the Madison Electric Utility and customer requirements shall be carried out in accordance with the terms and conditions of the rules and regulations of the electric utility of the Borough of Madison currently in effect and as amended from time to time by ordinance or resolution of the Madison Council.
B. 
The rules and regulations of the electric utility shall be as set forth in Appendix C annexed hereto and entitled “Borough of Madison - Rules and Regulations of the Electric Utility.”[1]
[1]
Editor's Note: Appendix C is included at the end of this chapter.
[Added 10-11-2006 by Ord. No. 48-2006]
An electric utility customer who plans to install a generator to produce electricity on the customer side of the meter must comply with Section 6 of the Rules and Regulations of the Electric Utility Department of the Borough of Madison (see Appendix C) and:
A. 
Apply for service under the self-generation rules, pay the plan review fee of $500 at the time of application and obtain the proper construction permits.
B. 
Acknowledge and accept the terms of this schedule and the rules and regulations regarding the interconnection and operation of a self-generation system.
C. 
Pay for the purchase and installation of a special meter that measures both the amount of energy provided by the Borough and the amount of energy provided by the customer.
D. 
Enter into an agreement with the Borough of Madison as provided in Section 6 of the Rules and Regulations of the Electric Utility Department of the Borough of Madison (see Appendix C).
[Amended 10-11-2006 by Ord. No. 48-2006]
All ordinances and amendments to ordinances establishing rates for the electric utility contrary to the provisions of this article are hereby repealed and/or amended as required.
[Amended 10-11-2006 by Ord. No. 48-2006]
Each section of this article and every part of each section is an independent section or part of a section, and the holding of any section or a part thereof to be unconstitutional, void or ineffective for any cause shall not be deemed to affect the validity or constitutionality of any other section or part thereof.
[Added 3-28-2011 by Ord. No. 11-2011]
A. 
The Borough of Madison Electric Utility System or its authorized designee is the sole entity permitted to bid demand response on behalf of retail customers served by the Borough of Madison Electric Utility System directly into any Federal Energy Regulatory Commission-approved independent system operator’s or regional transmission organization’s organized electric markets.
B. 
Retail customers served by the Borough of Madison Electric Utility wishing to bid their demand response into a Federal Energy Regulatory Commission-approved independent system operator’s or regional transmission organization’s organized electric markets may do so by participating in the program established by the Borough of Madison Electric Utility or its authorized designee. Retail customers are not permitted to participate in the demand response program of any other entity without the express prior authorization of the Borough of Madison Electric Utility.
[Added 3-28-2011 by Ord. No. 11-2011]
A. 
The Borough of Madison Electric Utility or its authorized designee is the sole entity permitted to bid demand response on behalf of retail customers served by the Borough of Madison Electric Utility directly into any Commission-approved independent system operator’s or regional transmission organization’s organized markets for energy imbalance, spinning reserves, supplemental reserves, reactive power and voltage control, or regulation and frequency response ancillary services (or its functional equivalent in the Commission-approved independent system operator’s or regional transmission organization’s tariff).
B. 
Retail customers served by the Borough of Madison Electric Utility wishing to bid their demand response into a Commission-approved independent system operator’s or regional transmission organization’s organized markets for energy imbalance, spinning reserves, supplemental reserves, reactive power and voltage control, or regulation and frequency response ancillary services (or its functional equivalent in the Commission-approved independent system operator’s or regional transmission organization’s tariff) may do so only by participating in the program established by the Borough of Madison Electric Utility or its authorized designee. Retail customers are not permitted to participate in the demand response program of any other entity without the express prior authorization of the Borough of Madison Electric Utility.