Historically, Co-Mo Connect Powered by Co-Mo Electric Cooperative has subsidized development by absorbing the cost of extending lines to new subdivisions and growth areas. While Co-Mo has made tweaks to the policy as time has progressed, one fact remained unfairly true: The membership in total was charged higher rates because of new development in areas that often were very remote to them. In addition, Co-Mo took on a disproportionate share of the risk for growth that sometimes failed to materialize in a manner timely enough to make for a solid investment of our equipment.
After many conversations and much deliberation, Co-Mo’s Board of Directors has chosen to change the philosophy of how the co-op handles line extensions. The new policy does not add any cost for development that does, indeed, occur as expected. Rather, it shifts some of the risk to developers to create an actual housing development.
The new policy states that developers and sub-dividers will incur 100% of the cost associated with the line extension. That means that total cost of material and labor will be collected in advance for any multi-resident installation. Developers are able to recoup all of this cost if lots in the development are sold within five years
Refunds will be assessed and issued once per year up to the maximum of five years. If all lots are not filled by the end of five years, the refund process for that development is terminated.
Co-Mo’s engineering staff will let you know how much, if any, charge there will be to extend lines to your property. If you have questions, call (800) 781-0157.