Levelized Billing
No Surprises
BVU’s levelized billing program prevents drastic changes in your monthly utility statements, even during the coldest and hottest months of the year. Levelized billing utilizes a rolling average of the previous eleven monthly bills, plus a calculation of the current month’s bill to ensure your bills evenly and predictably cover the cost of your actual usage. Say goodbye to big swings in your household budget!
No Reconciliations
Because the levelized billing amount is recalculated every month based on our rolling average formula, the need to settle balances annually is eliminated. Reconciliation payments will only be necessary if service at the location is discontinued or participation in the program is terminated. You can rest easy knowing you’re covered for the long haul.
Join Anytime
If BVU has been providing service to your location for at least one year and your account is current with good pay history, you may be eligible to participate in levelized billing.*
How do we calculate a levelized bill?
Based on the account’s billing history, we find all the numbers needed to calculate the levelized amount (shown in blue)
Example Billing History
| Billing Month | Actual Amount ($) | Levelized Amount ($) | Over (-$), Short (+$) |
|---|---|---|---|
| July | 176.20 | 214.22 | (38.02) |
| August | 199.03 | 213.54 | (14.51) |
| September | 179.92 | 210.68 | (30.76) |
| October | 189.04 | 194.02 | (4.98) |
| November | 147.31 | 190.96 | (43.65) |
| December | 220.56 | 207.12 | 13.44 |
| January | 243.30 | 216.64 | 26.66 |
| February | 269.52 | 235.64 | 33.88 |
| March | 324.84 | 251.33 | 73.51 |
| April | 287.53 | 259.82 | 27.71 |
| May | 315.75 | 268.44 | 47.35 |
| Previous 11 Months | 2,553.04 | 2,462.41 | 90.63 |
| Jun (Current Month) | 140.79 |
Over/Short Factor
| Over (-$), Short (+$) Range | Factor Value |
|---|---|
| 0.00 - 49.99 | 12.0 |
| 50.00 - 99.99 | 11.5 |
| 100.00 - 199.99 | 11.0 |
| 200.00 - 299.99 | 10.5 |
| 300.00 - and up | 10.0 |
We’ll use the usage history and plug those figures into the levelized billing formula:
Levelized Amount = ((Previous 11 Months + Current Month + Over/Short) / 12) + (Over/Short / Factor Value)
For the first month of levelized billing, an existing Over/Short amount isn’t available, so those sections are removed.
$ 224.48 = ((2,553.04 + 140.79 + 0.00) / 12)
Once the first month of levelized billing is complete, the example calculation would look like this going forward:
$ 239.92 = ((2,553.04 + 140.79 + 90.63) / 12) + (90.63 / 11.5)
*Customer eligibility must be approved at BVU’s sole discretion and is subject to BVU Authority’s Payment Arrangements Policy and Rules and Regulations. Program subject to change and may be discontinued at BVUA’s option.
