REDSTONE ARSENAL, Ala. — In an era of tight budgets and rising costs, the U.S. Army is finding smart ways to stretch every dollar. Thanks to the collaboration between two programs at the U.S. Army Engineering and Support Center in Huntsville, Fort Johnson, Louisiana, just scored a massive win—recouping nearly $974,000 in utility overpayments and unlocking projected savings of more than $2.3 million annually.
Home to the Joint Readiness Training Center (JRTC)—where warfighters prepare for global missions—Fort Johnson had for years been billed under a utility rate plan meant for small businesses. This unfortunate situation resulted in significantly higher electricity costs. But now, that’s all changing.
Huntsville Center’s Commercial Utility Program (CUP) teamed up with Fort Johnson to perform a utility bill audit to identify electric cost savings. Years earlier, a prior audit identified the problematic electric rate, but a better rate was not available, and the Army could not pursue the issue until the power provider filed a rate case requesting an increase in rates – something not done since 2013.
However, days after the utility bill audit contract was awarded, Christina Spang, CUP project manager, discovered local power provider Entergy Louisiana had filed a rate case before the Louisiana Public Service Commission (LPSC) requesting permission to increase electric rates for the first time in 10 years.
This was the moment the Army had been waiting for.
CUP immediately notified Army Legal Services Agency’s Environmental Law Division (USALSA-ELD) and an Army Regulatory attorney immediately filed a rate intervention before the LPSC on behalf of Fort Johnson, just in time to meet the tight filing deadline.
What was subsequently found by the Army Legal team was eye-opening: Fort Johnson had been overcharged millions of dollars over the course of 10 years due to being misclassified under a “Small General Service Rate Schedule” by Entergy Louisiana.
To navigate the complex world of utility regulations and Time-of-Use rate modeling, CUP brought in Ph.D.-level expert witnesses to support Army Legal during the rate intervention. But even the most qualified experts needed help gathering key data.
That’s where Jeffrey Rodgers, Fort Johnson’s Energy Manager, and Scott Pogue, a Resource Efficiency Manager (REM) contracted through Huntsville Center’s REM program, came in.
Pogue served as a vital link between the Fort Johnson team and CUP, supplying the detailed technical data needed to justify the rate change. His on-site expertise in energy planning and efficiency made him a driving force in the success of the initiative.
“REM’s like Pogue are our boots-on-the-ground experts,” said John Trudell, Huntsville Center REM program manager.
“They bring immediate, practical insight to energy infrastructure and help installations unlock real savings.”
Thanks to this collaboration, Fort Johnson not only received a $973,948.72 rebate for three months of overbilling—but is also expected to save an estimated $1.9 million per year going forward, primarily due to switching to a Large General Service Rate Schedule.
That’s not all. Over the next 35 years, Fort Johnson is estimated to save an additional $420,000 annually through reductions in the Additional Facilities Charges tied to its utility privatization contract – a total of $9.2 million in net present value savings.
In total, Fort Johnson will save an estimated $11.5 million from the success of this rate case.
“These savings are permanent,” Spang said. “By switching from a rate schedule designed for small businesses to one suitable for a large Army installation, Fort Johnson is now being billed equitably—and that means millions of dollars back into the Army’s budget.”
This case marks one of CUP’s most successful utility rate interventions to date. It also highlights the power of cross-functional teamwork—bringing together legal experts, utility rate expert witnesses, energy managers, and on-site REMs to drive results.
“This wasn’t just a win for Fort Johnson,” Spang said.
“It’s a win for the American taxpayer, and a demonstration of how cross-functional Army teams from different Commands and Programs can work together seamlessly on behalf of Army installations to accomplish major cost savings.”