Ill.: electric rates in negotiations

Ill.: electric rates in negotiations

	Published : Thu, 31 May 2007 21:55 By : Agencies Print this Story

SPRINGFIELD, Ill. (AP) - State lawmakers put rate freeze proposals on hold Thursday, turning to negotiations among top leaders to provide a long-sought breakthrough on electric rate relief for consumers.

Top Democrats and Republicans huddled with utility officials off and on since Wednesday night in negotiations over hundreds of millions of dollars of rate reductions and credits.

The utilities have so far offered $500 million, but many lawmakers say that's not enough when consumers are paying Ameren and ComEd $2.5 billion more through rate increases that kicked in earlier this year.

Rate-freeze proposals were poised to move ahead soon in the House and Senate. Legislators pushing hard for a resolution were hopeful a compromise would make those ideas unnecessary.

'It's still all about negotiations,' said Sen. Gary Forby, D-Benton. 'They have got to come up with more money some way or another.'

Legislators have struggled for months to help consumers deal with electric bills that for some have doubled or tripled after a 10-year rate freeze ended.

Heading into Thursday's scheduled final day of the legislative session, there was still no consensus -- and no clear sign that an agreement on rate relief or another rate freeze could be reached.

House Democrats have repeatedly supported rolling back rates to last year's levels and freezing them for another year or even three, while Senate Democrats have pushed for negotiated relief.

Lawmakers said Thursday negotiations had intensified under the rate freeze threat but still couldn't guarantee that it would produce a solution.

Downstate Democrats, fearing backlash from angry voters if no rate solution is found, have vowed repeatedly to not support a new state budget until an electric rate deal is reached.

Rep. Tom Holbrook, D-Belleville, took that approach to a new level by using a parliamentary move to block the Senate from considering the small-growth budget that the House voted on late Wednesday.

'We will not leave this chamber until rate relief is available to our constituents,' Holbrook said. 'The best way to facilitate that is to make sure that no budget passes until rate relief is resolved.'

Another complication is that a constitutional requirement likely prevented the Senate from sending a three-year rate freeze plan Thursday to Gov. Rod Blagojevich's desk.

Even a fast-approaching deadline might not matter. Lawmakers haven't been able to agree on a new state budget and the possibility of wrapping up their work Thursday was slim.

Some legislators predicted Thursday wasn't the end for an electric-rate solution.

'I think we'll be back tomorrow,' said Rep. Bob Flider, D-Mt. Zion.

ComEd is owned by Exelon Corp.