ESCANABA — Escanaba residents can expect to see an increase on their electric bill beginning next year — but the increase could be offset by energy optimization savings.

In March the city approved joining the Michigan Public Power Agency (MPPA) as an associate member with the hopes that membership in the organization would allow the city to join projects or gain access to professional services at a reduced cost. The city had previously used MPPA services, but changes encouraged by the agency’s legal council meant that those seeking to join in on MPPA projects must now be full or associate members.

The primary reason the city pursued MPPA membership was to join in a municipal energy waste reduction program that would be administered for participating MPPA members. Starting next year, these programs will be required by law, and the city was hopeful that joining in on the project would be beneficial for the city.

That decision appears to have been fruitful for the city. While associate membership in the MPPA costs the city $1,180 per year, the energy waste reduction program from the MPPA — which will be managed by Franklin Energy — will be roughly $120,000 cheaper than participating in the program managed by the state.

The new energy waste reduction programs function by charging a fee on electric customers’ bills specifically to fund rebate programs and other programs that help reduce energy waste. Those programs must result in a 1.5% reduction of energy annually over an eight year period.

For Escanaba residents, the fee that would begin in January of next year is expected to be about 2.3% of the electric usage charge. Had the city council voted Thursday to enter into the state-run program instead, the fee would have been an estimated 3.4%.

Council Member Tyler DuBord raised concerns about the accessibility of the program. He has previously argued that similar programs were underutilized because the application process for rebates was not obviously available to residents.

“We have to meet this 1.5% so it’s in our best interest to put this out to the public,” said Gerald Pirkola, electric department supervisor, noting a number of channels that can be used to notify residents including the city’s website, social media, and the city’s mobile app.

In other business Thursday the council:

— Accepted the city’s planning commission annual report and heard a brief presentation on the state of the planning commission and the progress being made on the city’s new master plan.

— Awarded a three-year banking contract to First Bank.

— Approved an Excess Worker’s Compensation insurance quote, which was necessary for the city to remain self-insured.

— Approved the special event application for the city’s Labor Day Celebration Parade and beer tent. The parade will go from the Marketplace to the Municipal Dock on Ludington Street on Sept. 1.

— Approved a special event application for the RRN Block Party, which will close the 100 block of South 11th Street on July 25. The street may remain closed until teardown is complete — which must be completed by noon on July 26.

— Approved social district applications for Leigh’s Garden Winery and LMCC Brew Pub, LLC, commonly known as Hereford & Hops.

— Approved the purchase of 34 new Glock 9 mm pistols for the public safety department. The new pistols will have end sights, which cannot be added to the city’s existing pistols. The purchase was approved with a trade in of the existing pistols for a total cost of $15,908, all of which will be paid for using forfeiture funds.

— Approved entering into a 36-month contract for use of the Tip411 anonymous tip app. According the Escanaba Public Safety, it is impossible for police to access who submitted a tip anonymously through the app — even with a warrant — which the department hopes will increase the public’s willingness to submit tips. The contract will be paid for using $10,692 in opioid grant funds.