PACKET 2026 6 8 Work Session website

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Power Division Summary 
 
 
The power division capital budget for FY 2027 has some items being carried over from the 
prior fiscal year due to timing of Grid Resilience and Innovations Partnerships (GRIP) 
Program funding. Three, of the original seven capital budget line items associated with GRIP 
funding are included for this year’s budget: (1) automated metering infrastructure (AMI); (2) 
Englewood substation phase I; and (3) Replacement of Copper Primary.   In order to preserve 
our cash position, we will issue debt to fund these projects.   For this year, we would need to 
anticipate up to $4 million in bonds to be issued for the power division.   
Other notable items in the budget include equipment purchases for Truck 55 and Truck 7, 
ordering Truck 2, and work scope including the upgrade of the adding an equipment building 
and continuing the fiber buildout. 
 
From an operational budget standpoint, FY 2027 net revenues before extraordinary are 
anticipated to be $1,182,662 which is more than FY 2026 revenue projections.  
 
Currently, we see no need for an AUB rate increase for the power division in FY 2027.  
However, we recommend passing through any TVA rate actions that could create a revenue 
shortfall for AUB.