Letter from Supervisor Rick Morrissey dated 4.8.16

OFFICE OF THE SUPERVISOR
Telephone
(914) 277-3637
Fax
(914) 276-0082
SOMERS TOWN HOUSE
335 ROUTE 202
SOMERS, NY 10589
RICK MORRISSEY
SUPERVISOR
April 8, 2016
Dear Somers Residents:
The Community Choice Aggregation (CCA) program notification letters have been
mailed. Most of you should have received a letter or will shortly be receiving a letter
from Constellation containing details of the agreement and advising that there is nothing
for you to do to enroll in the program and receive a fixed a 3-year rate. You will still
receive one bill from NYSEG reflecting the new energy provider. Please note that you do
retain the right to opt-out of the program and stay with NYSEG or sign up with another
Electric Service Company (ESCo). To opt-out, you can call 866-691-6417 or visit
http://www.constellation.com/ny-Somers. Please note that you can opt-out at any time
and there is no penalty fee.
Somers is one of 20 municipalities across Westchester to participate in the program. With
over 110,000 households involved, the CCA program was able to leverage the necessary
market clout to secure the lowest possible energy supply rates. For over a year, Somers
and the 20 other municipalities have worked together to ensure the efficiency and
viability of the program. The bidding process concluded last week. Automatically optingin the residents of the participating municipalities was essential to guarantee the most
competitive rates. As such, data provided by a third party agency has indicated that
Constellation’s fixed rate of 6.95 cents / kWh is more than 10% lower than the average
cost of a Somers household or small business over the past year (7.76). You may see that
your energy supply bill for NYSEG fluctuates throughout the year, thus there are some
months where your current NYSEG supply charge has been lower. However, the fixed
rate provided by Constellation will protect you against rising energy prices in the future
and during months when energy uses are at their highest (winter and summer). It is
important to keep in mind that Constellation’s fixed rate is still lower than NYSEG’s
average rate during a 12 month period that has seen some of lowest energy prices in
recent history.
Just to be clear, your energy bill is broken up into two charges: 1) The delivery of
energy to your home (i.e. infrastructure, maintenance, administrative costs), and 2)
The purchasing of electricity, also known as the supply charge. The supply charge
typically accounts for approximately 50 percent of your total energy bill with the
delivery charge making up the balance. If you choose to move forward with the
Constellation option, NYSEG will continue to deliver energy to your home, which
includes the maintenance of power lines and responding to service outages as they
are legally obligated to do. So, while the delivery charge through NYSEG will
remain the same, Constellation Energy will now be supplying the energy to your
household. Again, you can also opt-out of this option if you so choose.
The Town Board of Somers has positioned Somers to benefit from the CCA program by
providing residents with the lowest possible electric rates. We are not looking to take
away your rights, but are seeking to provide real savings for our residents whenever
possible. We continue to keep your best interests at the forefront of everything we do.
Residents of Somers, and Westchester County in general, pay some of the highest energy
rates in the United States. To that end, the Town Board and I continue to be committed to
evaluating any and all initiatives that save residents of Somers money. We understand
that the cost of living in this area is increasingly expensive, and every dollar of savings is
significant.
For more information, please visit the Somers Town website, www.somersny.com, and
click on Community Choice Aggregation on the right side of the page (click here). You
can email me at [email protected] or call me at (914) 277-3637 with any
questions.
Sincerely,
Rick Morrissey
Somers Town Supervisor