Past-due electric bills in San Antonio jumped by about $10 million during the fall federal government shutdown, CPS Energy told its board of trustees this week, a spike that pushed many customers deeper into debt and closer to losing power. The performance update, delivered after a recent City Council B session, adds fresh strain to an already tense debate over rates and affordability in the city.
By the end of October, roughly 190,000 CPS accounts were on payment plans, at risk of disconnection or in collections, and the total past-due balance sat near $116 million, according to the San Antonio Express-News. About 92,000 households, or roughly 9% of customers, were flagged as at risk of losing service, and the utility reported that past-due accounts have grown more than 1,100% compared with the period before the pandemic. CPS officials told trustees that the latest run-up includes the impact of the federal shutdown.
Council Pressure And The Rate Question
At a November B session, council members pressed CPS Energy to show it is running leaner and doing better outreach before asking residents to absorb higher bills. Local coverage has tracked the utility’s recent rate history, including a 3.85% base increase in early 2022 followed by a 4.25% hike that took effect in February 2024, and notes CPS expects to return in 2026 for another rate discussion, per KSAT. Lawmakers and council members signaled they plan to scrutinize how well CPS targets assistance to the most vulnerable customers.
Bond Moves And Credit Ratings
Utility leaders told trustees that strong credit ratings and recent debt-refunding transactions are giving CPS some breathing room as it manages higher arrears and plans capital projects. Rating commentary on the latest refunding highlighted the utility’s AA- credit standing and its use of refundings to capture debt-service savings, which analysts say helps ease short-term rate pressure, according to Reuters.
Household Bills Are Rising Nationwide
San Antonio’s situation is part of a broader national pattern. An analysis by Climate Power found that household electric bills have risen by roughly 13% across the country, putting more families in the position of juggling utility payments with other basic expenses. That wider affordability crunch helps explain why so many CPS customers are slipping behind even as the utility tries to ramp up outreach.
Help For Customers And What's Next
CPS says it is stepping up its efforts to connect people with help. Its bundled-care network now works with more than 200 agencies, and staff have been setting up assistance booths at locations such as Hemisfair and the airport, while pointing customers to an online assistance finder, according to reporting by the San Antonio Express-News. Chief Financial Officer Cory Kuchinsky told the board that refinancing efforts have saved San Antonians nearly $200 million over the last five years, a figure CPS cites to argue it can manage near-term cash flow while planning future generation investments. City leaders say they want clearer metrics on that outreach and proof that aid is reaching those who need it most before any new rate proposal moves forward.
