PUD board discusses rate increase, 2019 projects

OKANOGAN – The major agenda item at the regular monthly meeting of the PUD board last month was the base rate increase that will take effect for customers on April 1. By category, the monthly rate increase will include:
• Residential: $36 to $38.81
• Small general service: $41 to $44.20
• Large general service: $21 to $22.64
• Industrial: $82 to $88.40
• Irrigation (7 months/year): $15 to $16.17
• Frost control (annual): $122 to $131.52

Speaking of the increase, commissioner Bob Colyar said: “It’s always cheaper to maintain the system than to repair it in a catastrophic failure.”

In related business Director of Finance Don Coppock issued a request for proposal (RFP) by March 18 to four companies to conduct a cost service study for the district. The study will create a 10-year equity management plan to include the adequacy of the district’s rate structure.
In other business, treasurer Janet Crossland reported that receipt last January of a $280,000-plus FEMA (Federal Emergency Management Agency) grant has the utility off to a better financial position than the previous two years. Still owing from FEMA are funds for recovery efforts for the 2014-15 wildfires.

Energy Services Coordinator Kenny Stanley updated the board on conservation projects including efficiency projects at the Okanogan County courthouse and Mid-Valley Hospital. Stanley said that several industrial projects will result in an annual savings of 650,000 kilowatt hours (kWh). Residential upgrades of windows, insulation, or heat pumps have also qualified for energy rebates.

Ron Gadeberg, Director of Power Resources and Broadband Services reported that the annual assessment from Peak Reliability (www.peakrc.com) came in $12,000 more than the $35,000 line item budgeted amount. Gadeberg added that Northwest utilities will switch from using Peak to California ISO (Independent System Operator) next year. Gadeberg said the PUD had to purchase $880,000 of additional power off the market for last month.