Aaron Billheimer challenges proposed Shelby electric rate hikes

Aaron Billheimer, owner of The Fan Cave Shop at 111 W. Main St., addressed the Shelby City Council during a recent public comment session to challenge proposed hikes to the city’s electric rates.

Proposed Rate Increases and Financial Impact on Shelby Residents

The current distribution charge for electricity in Shelby sits at $17.20 per 1,000 kilowatt-hours alongside a $4.33 customer charge. Under the proposed legislation pending before the council, those figures would rise to $21.00 per 1,000 kilowatt-hours and a $6.00 customer charge. The adjustment results in an increase of approximately $5.47 more per month for standard utility customers. Senior citizens face a reduced adjustment, though their bills would still climb by roughly $2.76 per month.

For a typical household consuming 1,000 kilowatt-hours monthly, the $5.47 adjustment equates to an additional $65.64 on annual electricity utilities. That brings the yearly utility expense to $324, up from the current baseline of $258.36.

“I understand our electric department faces financial challenges, and I understand that we have infrastructure expenses coming up that need to be addressed. But I believe we need to take a serious look at how we’re managing the money we’re already collecting before asking residents to pay more,” Billheimer told the council.

Questions Over Administrative Fund Transfers

Billheimer pressed elected officials to examine internal fund management before passing higher costs onto the public. He pointed to approximately $395,000 being transferred out of the electric department and into the city’s general fund through administrative charges. According to his comments at the meeting, ratepayers deserve a clearer breakdown of how those internal charges are calculated and whether such transfers remain justified.

Describing the utility adjustments as an indirect tax, Billheimer noted that local utility customers never received an opportunity to vote on the policy. He invoked a remark from Congressman Jim Jordan during a previous visit to the area, reminding officials that energy underpins the local economy.

Pending legislation regarding the rate hikes will return to the council for further debate at a future session. Aside from the utility discussions, the council evaluated several liquor permit applications tied to the city’s active revitalization district.

Shelby City Council will hold its next meeting on Nov. 16, 2026, at 7 p.m. at 29 Mack Ave.