The questions come up almost every year when the City of Bowie starts debating its budget.

Why are electric rates so high?

Why can’t they be lower?

It was April 1991 when the City of Bowie decided to build its own substation. It was completed in 1992. The consensus of the city council was electricity use can be controlled by residents to some extent, while property taxes cannot.

So instead of raising taxes to take care of increased city operational costs, the council opted to adjust electric rates.

Through the ensuing years tax rates have rising slightly each year, but they have never caught up to electric revenue, which is the primary revenue generator for the city.

Utility revenue contributes $9.3 million to the city budget, while general fund revenue has $6.8 million revenue with $8.5 million in expenses.

Of that, $1.83 million is budgeted for transfer into the general fund to fund its operation.

General fund revenue includes ad valorem taxes, sales tax, franchise taxes, rents and royalties, fines and assorted other fees.

Ad valorem taxes are budgeted at $1,244,706 in the 2015-16 budget, while sales tax is budgeted at $1,459,299.

The Bowie News posed this question to City Manager Ricky Tow: What tax rate would be needed to make up for the utility fund transfer that goes to the general fund?

Read the full story and examine some hypothetical rates in your weekend News.