The Gardner Electric Utility Board voted April 5 to spend $188,056 to purchase several electric customers from KCPL.
The 10 properties consist of KCPL customers who were annexed into Gardner city limits in recent years.
The properties will generate a net annual revenue of $33,079, making the payoff about five years.
“Our goal is to serve every electric customer eventually within the city limits,” said Bill Krawczyk, electric utility director.
There are 27 customers within city limits currently served by KCPL.
Most are commercial properties located on the north and south ends of Center Street.
The Electric Utility’s 2012 budget includes $150,000 for the purchase, which is overseen by the Kansas Corporation Commission.
Krawczyk said the balance will come from “other line items or multiple line items” in the budget.
The KCC requires utilities that purchase customers from other utilities to pay twice the annual revenue generated by those customers plus reimbursement for or purchase of existing equipment or removal.
The board will consider purchasing the remaining 17 customers at a later date.
Utility board purchases KCPL customers