Approval of Municipal Deficits
Municipally owned public utilities are expected to operate on a breakeven basis; however, if an operating deficit exceeding $10,000 or 5% of the utility’s operating budget is anticipated or occurs, the Municipal Act requires municipalities to apply to the PUB for approval of the deficit and recovery methodology. Typically, municipalities will address deficits either through the use of accumulated surplus, reserves, rate increases, rate rider surcharges, tax levies or grant monies. Detailed information about the reporting requirements for operating deficits can be found in Board Order No. 151/08.
To apply for recovery of a Municipally Owned Utility Operating Deficit click on this form and download
To apply for recovery of a Non-Municipally Owned Utility Operating Deficit click on this form and download