SIOUX FALLS, SD -
When the new Denny Sanford PREMIER Center is finally up and running, it's going to cost a lot of money to operate, especially when it comes to electricity. But on Monday, the city of Sioux Falls reached an agreement with Heartland Consumer Power District to keep the lights on at a lower cost.
With a stroke of a pen, Sioux Falls Mayor Mike Huether signed an agreement with Heartland Consumer Power District that extends an existing contract to provide the city's supplemental electric power and energy.
"When you turn every stone, you look at things like electrical supply and how you are billed for that and is there a potential to negotiate a better deal," Huether said.
Heartland provides electricity to larger facilities including the new Events Center with its new Energy One Incentive plan at a lower cost. This new deal will save the city $2.5 million over five years.
"That's a really big deal, it's been something we've stated from the very beginning and taken us a long ways down the road to allow us to operate this facility in the black," Sioux Falls Public Works Director Mark Cotter said.
The contract with the city is for five years.
"The longer we can extend out our contractual obligations to our customers to secure longer contracts, it helps us out for planning our resources for the future," Heartland Consumer Power District CEO Russell Olson said.
The city plans to use LED lights in the new Events Center, which is another bright spot when it comes to saving energy and money.
"Even though, we're likely going to use six times the power of the current arena, we are taking steps from a lead standpoint to make it as efficient as possible," Cotter said.
Heartland adopted the Energy One Incentive program back in April. The new Denny Sanford PREMIER Center is the first customer to take advantage of the lower rates.
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