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Commissioners vote to bid on Grant PUD power slice

Chelan County PUD
News Release
7/18/2005

After a spirited debate, a majority of Chelan County PUD commissioners authorized staff Monday to bid on a 14-month-long, 6.52-percent portion of the power generated from Grant County PUD’s Priest Rapids Dam.

Commissioners Ann Congdon and Werner Janssen voted against the proposal, saying they thought there was too much risk to justify it.

Commissioners Bob Boyd, Norm Gutzwiler and Gary Montague voted in favor, saying the potential additional revenue from power sales would improve the PUD’s financial position and help avoid future rate increases.

Of three customer-owners who spoke at the meeting, two were opposed and one was in favor.

Bids are due to Grant County PUD on Thursday with award of the contract the next day.

Grant County PUD’s federal license for Priest Rapids Dam dictates the sale, an estimated average of 29 MW of energy, starting Nov.1, 2005.

A winning bid would also provide Chelan County PUD additional water storage besides the revenue that can be generated from the energy and capacity.

In other business, commissioners:

• Heard from Power Management staff that revenues from surplus power sales have turned around and now are exceeding the 2005 budget, with revenues estimated for year-end from $40.5 million to $43.6 million. That is $1 million to $4 million more than originally budgeted.
• Authorized a transmission agreement with Avista Corporation to allow the PUD to move Avista energy along PUD transmission lines and charge them for the service. Avista purchases 2.9 percent of the energy from Rocky Reach Dam under a long-term power sales contract.
• Accepted Pipkin Construction’s $594,340 bid on a new septic system for Rocky Reach Dam and Visitor Center. Construction of the system will begin in August, and portions of the facility’s grounds will be closed starting in September.
• Discussed the Washington PUDs Association’s vote on the purchase of a 16,800-square-foot building that would house the association’s offices and would lease remaining portions of the building to other businesses. While Chelan County PUD voted against the purchase, a 19-to-10 majority of member PUDs voted for it. The approximate cost of the $6.1 million building will be divided between member PUDs. Chelan County PUD will pay approximately 6 percent of the building’s cost. 

***

A special commission meeting will start at 9 a.m., Friday, July 22, at the Lakeside Best Western Lodge, 2312 W. Woodin Ave., Chelan, to conduct a strategic retreat. Lunch is available for $9 if requested in advance. Please call Lisa James, clerk of the Board, at 661-4212, to RSVP for the meal. As recording facilities are not available, this meeting will not be recorded.

The next regular meeting of the PUD commission will start with an executive session at 10 a.m., with the public meeting starting at 1 p.m. on Monday, July 25, in the boardroom of the Headquarters Building, 327 N. Wenatchee Ave.

Most PUD commission meetings are recorded and a link to the audio is available on the PUD’s Web site, www.chelanpud.org.

Christy Shearer
Communications Specialist
509.661.4258
509.421.4258, cell
christin@chelanpud.org