Duncannon is targeting a 16.1% increase in electricity for next year. The jump is largely driven by capacity constraints within the regional transportation organization, PJM Interconnection.

Diane Bosak, executive director of the Pennsylvania Municipal Electric Association (PMEA), provided an in-depth update on the PJM capacity issue at the Oct. 15 city council meeting. Bosak explained that PJM has not held capacity auctions for a considerable period of time, and the recent retirement of coal-fired plants without adequate replacement capacity has made the situation worse. As a result, states and utilities across the region are bracing for significant rate increases. PMEA plans to assist municipalities like Duncannon in communicating complex issues to residents. To help local officials break down technical information, PMEA prepares infographics, talking points and videos. Bosak pointed out that many stakeholders are actively working to explore ways to mitigate rate increases, but the process is complicated and will require careful planning.

The district’s energy provider, NextEra, has proposed a contract extension that could provide some short-term relief. The proposal includes a mixed rate structure that would have reduced rates in the first two years, giving municipalities the opportunity to accumulate savings, followed by higher rates in subsequent years. However, due to Duncannon’s unique Public Utility Commission (PUC) rate structure, the option may not be feasible for the neighborhood. As a result, the board is weighing alternatives while budgeting conservatively for the 2025 rate hike.

In other news, CFO Robert Kroboth reported that the police pension plan remains fully funded, while the minimum municipal obligation for the non-uniform pension plan in 2025 will be $14,001. Kroboth also outlined proposed budget reallocations for 2024, recommending adjustments to align the budget within each fund. He noted that the district is on track to complete its 2023 audit by the end of the year and that the district’s insurance renewals reflect a 19.3 percent reduction in drug and prescription drug premiums due to favorable demographic changes employees.

The Duncannon Fire Company recently purchased a new utility truck, which is a narrower diesel model, replacing an older gas vehicle. The old truck was sold to the Elysburg Fire Company for $37,000, which was used for improvements such as new paint, emergency lighting and radio installation.

The fire company is working with local representatives and agencies to obtain grants and loans for the construction of the new station. The total cost is estimated at $4 million to $5 million, and financing options are being pursued, including a 2 percent loan from PEMA and an agricultural grant. The new station will house all apparatus and provide facilities for volunteer recruitment and retention, while also preparing for a potential transition to career firefighters. The facility is designed to meet the community’s fire protection needs for the next 50 to 100 years.

An old mini charger needs to be replaced by the neighborhood. An estimate for a new car was about $22,000. The board approved exploring financing options for the acquisition.

Two requests for disabled parking spaces were approved. The board also recognized the induction of Mayor Rick Knepp into the Susquenita Hall of Fame as a coach and teacher.