Lenoir City Utilities Board customers may stop shying away from opening the mail when they see a slight decrease in next month's electric bill.

The board announced and approved Monday afternoon over $1 million in cuts in customers' rates over the next five years.

The new rates are effective immediately.

"It is a small amount, but it is something we believe in. It's something that we believe we're going in the right direction. It's certainly better than going up on somebody," Lenoir City Mayor Tony Aikens said.

Aikens attributes the rate decrease to "conservative management" and paying off over $15 million in debt, saving the utility company $3.7 million over 10 years.

"Anytime you can have a reduction in power rates in the economy that we're in is a significant challenge," Aikens said after the special-called meeting and taxpayer check presentation at Lenoir City Hall. "It's certainly the management of Lenoir City Utilities has worked on this several months and anytime that we can reduce the rate, pay off over $15 million in debt and pass those savings onto the customers we're going to do that."

The new rate should remain stable for the next five years, despite Tennessee Valley Authority threatening to raise rates in the near future.

"Obviously we have no control over what TVA does. ... Anytime TVA has an increase it impacts every utility, not just Lenoir City but every utility," Aikens said.

LCUB purchases power from TVA, according to Shannon Littleton, general manager.

"It's something that's out of our control, but tonight we're speaking directly about something we have control of," Littleton said. "The dollars may not be that significant initially, but rates are declining."

Littleton said rates could drop again next year for LCUB's 60,000-plus customers.

"Maybe by next budget season we'll visit this issue again and we'll be able to do some more for the ratepayers," Littleton said.

"We certainly can't read the future, but we want to be able to pass those savings onto the customers," Aikens added. "I know ratepayers will appreciate it. It may be a small margin but anytime we can reduce them that's saying something."

Several council members echoed the mayor's words.

Councilman Eddie Simpson said the reduction comes after water and sewer costs rose a couple of years ago.

"At that time we talked about it and anytime that this came possible that we could lower electric to try to balance, help the balance on that, and that's what we would do. I'm glad to see this day here," Simpson said.

"I think it's great. I'm sure the customers will be very happy to hear their rates will be lowered. This is what we're here for, this is what we need to do: provide the best service that we can at the cheapest price we can," Councilman Jim Shields said.

"I think it sends a signal other than just the monetary part that we are trying to look out for our customers, and I've heard it 10,000 times people say, 'They always go up, but they never come down.' So, this is the day we can remind them," Councilman Mike Henline emphasized.