Glendale Electricity Rates to Increase Over Three Years

By Julie BUTCHER

On Tuesday night, the Glendale City Council voted to spread out the last pending increase in electricity rates over the upcoming three years. The 11.3% increase was set to go into effect on Nov. 1, 2025. The spread-out rate increases will now be 5% effective Nov. 1, 2025; 2.95% effective Nov. 1, 2026; and 2.95% effective Nov. 1, 2027.

Councilmember Vartan Gharpetian voted no. Bad decisions were made in 2023, he said, “and I opposed it.” He noted that his most recent utility bill went from $1600 to $2259. 

“I think it’s irresponsible to let this thing move forward,” Gharpetian commented.

Glendale Water and Power (GWP) general manager Scott Mellon was prepared to answer questions from the Council: If the increase was frozen, the city would be in breach of the bond covenant and would be unable to complete projects already in progress including rebuilding the Grayson power plant, generating power from the Scholl Canyon landfill or adding to the city solar projects. As for selling back electricity to the grid to generate revenue, Mellon indicated that this is part of the plan for the future but the utility needs to work within existing regulations and processes.

Councilmember Ardy Kassakhian asked the city attorney to review the legality of the transfer of funds from GWP to the city’s general fund. The question was litigated between 2014 and 2019, city attorney Mike Garcia explained, and the transfer is permissible under the city charter as long as the amount is below the level it was when voters approved Proposition 26 (which prohibits governmental entities from collecting more than the cost of providing public services).

“So, nothing nefarious; we are not robbing Peter to pay Paul,” Councilmember Kassakhian clarified, noting that the amount of the transfer has been reduced over time from 14% to the current rate of approximately 10% and that without this infusion of funds the city’s budget hole would be even deeper.

“The train has left the station,” Councilmember Elen Asatryan observed adding, “If we don’t take action today, residents and business owners are going to get roughly 11%. I didn’t support Grayson – I called it fiscally irresponsible – staff was recommending five engines, but the Council decided on three – why three when the numbers showed we needed five? And I didn’t support Scholl,” Asatryan continued, adding the “state requirement for our city to go 100% clean air.”

Additionally on Tuesday night, the Council voted to release a request for proposal for the potential leasing and management of the Glendale Municipal Auditorium at 1401 N. Verdugo Road. Currently the facility is operated by the city utilizing six hourly employees and a supervisor from the city’s parks department. 

According to Bradley Calvert, director of Community Development, for the past five years it has operated slightly in the red or just breaking even. 

“They are not event planners and they are not marketers,” Calvert explained as the basis of the suggestion to seek an operator for the auditorium that could help make it more successful and possibly generate revenue for the city at the same time. He reported that the historic facility currently needs approximately $5.7 million in improvements and deferred maintenance and that the city received an unsolicited proposal to utilize the facility as a corporate event center.

Councilmember Asatryan wanted to make sure it does not become a banquet facility; Councilmember Gharpetian is opposed to leasing the facility; and Councilmember Kassakhian wanted to ensure no added traffic will impact the adjoining residential neighborhoods.

Councilmember Asatryan reported a victory in Sacramento with the passage of Assembly Bill 91 (AB 91), known as the Middle Eastern and North African (MENA) Inclusion Act, signed by Gov. Gavin Newsom on Oct. 7. The bill ensures that state and local agencies collecting demographic data will include a separate category for MENA communities, including Armenian Americans. 

City Clerk Suzie Abajian reported on the upcoming statewide special election. Ballots are in the mail and voting centers will be open this week. Glendale has eight drop off voting boxes as well. Detailed information on the election and voting can be found at https://www.glendalevotes.org/.

City Treasurer Rafi Manoukian shared an annual update on the city’s investments and the city’s investment policies. According to the staff report, “the city’s portfolio totaled $1.20 billion, up $5 million from last year. The rate of return ended at 3.35%, up 1 basis point from 3.34% the previous year. Interest earnings totaled $35.98 million, up $6.53 million from $29.45 million last year.”

Three proclamations were issued at the beginning of Council meeting. First, the Council recognized Public Power Week, “celebrating Glendale Water and Power’s long-standing commitment to delivering safe and reliable electricity. As a community-owned utility, GWP puts service and accountability first, continuing to support residents, businesses, and the local economy since 1909.” 

Eleven workers received the recognition on behalf of the utility with a combined total of 224 years of service among them.

“We did not violate any child labor laws when we hired them,” Councilmember Kassakhian joked. “These are the folks who keep the lights on.”

The Council also recognized California’s Water Professionals Appreciation Week honoring the “dedicated individuals who work around the clock to provide safe, reliable water and wastewater services – from treatment to testing, to system maintenance and emergency responses – these professionals support the health and daily life of every Glendale resident.”

The Council also declared October as Filipino American History Month. The honor was received by Edith Fuentes, president of the Filipino American Business Association of Glendale, flanked by board members and volunteers, as she announced a community celebration event on Saturday, Oct. 18 from 1 – 5 p.m. at the Glendale Adult Recreation Center at 201 E. Colorado St. The free event will include a parol-making workshop to create traditional Philippine lanterns, traditional folk dancing and light refreshments. Co-sponsors of the event are the Mother Movement and the United Architects of the Philippines. For more information about the community event, visit https://www.fabagglac.com/upcoming-events.

Councilmember Asatryan reminded the public about this year’s eighth annual GiniFest, an Armenian wine and spirits festival on Sunday, Oct. 12 from 3 – 9 p.m. at 250 N. Orange St. Details can be found at https://www.ginifest.com/.

Councilmember Kassakhian invited everyone to the grand re-opening of Fremont Park on Saturday, Oct. 11 starting at 10:30 a.m. at 600 Hahn Ave. https://www.glendaleca.gov/Home/Components/News/News/9385/16

The 34th annual Love Ride is scheduled for Sunday, Nov. 9 starting at the Harley-Davidson of Glendale dealership at 3717 San Fernando Road, ending at Castaic Lake. This year’s event will raise funds for the Wounded Warrior Project and Adopt the Arts. Tickets and more information at https://loveride.org/.

Finally, next week’s Council meeting will be held out in the community, this time at the Sparr Heights Community Center at 1613 Glencoe Way. Folks can sign up here for updates and announcements from the Glendale City Council at https://www.glendaleca.gov/residents/how-do-i/sign-up-for/newsletters-and-email-updates.