Your PUD News Release
PUD affirms NoaNet financial support
Chelan County PUD
News Release
9/8/2008
PUD commissioners Monday agreed to back a share of a $1.5 million line of credit that will be used by the Northwest Open Access Network (NoaNet) to improve the reliability of Internet and other telecommunications service in Eastern Washington.
NoaNet was created by 15 public utility districts to provide wholesale broadband connections from rural areas to urban hubs. John Smith, who oversees the PUD’s fiber operations and represents the PUD on the NoaNet board, said the line of credit will be used to provide a third route to Eastern Washington. The need arose after an 11-day outage last winter on the back-up route through the Columbia River Gorge when there were problems reaching the remote location of the problem. The third route will provide a path from Seattle to Yakima and increase opportunities for new services and higher revenue.
Chelan County PUD holds about a 12- percent share of NoaNet, which puts its share of the line of credit guarantee at $175,000.
In other business, commissioners:
- Received an update from John Smith on fiber service affected by a Cashmere power outage caused when wind blew down a pole Friday afternoon. The resulting fire damaged PUD fiber on the power pole and in an underground vault. Fiber crews couldn’t start work until Saturday morning after power crews finished replacing two poles. Wholesale telecommunications service was restored to high priority locations by noon Saturday and to all of the Cashmere area by early evening.
- Heard that the PUD is on track with plans to reduce investments in mortgage agencies Freddie Mac and Fannie Mae. Since June, the PUD’s share of Freddie and Fannie holdings has dropped from 71 percent to 57 percent, with the goal of being at about 30 percent by the end of 2008. Treasurer Debbie Litchfield said selling some of the securities before the maturity dates has cost the PUD about $45,000 so far.
- Learned that the PUD is considering selling bonds to refinance Rocky Reach and Rock Island dam debt and pay for modernization at Rock Island Dam. Debbie Litchfield said staff will talk with commissioners in early October about refinancing of approximately $21 million in existing debt and borrowing about $75 million to pay for upgrades at Rock Island Dam.
- Heard from General Counsel Carol Wardell that the land exchange for permanent access to the Lyman Lake SNOTel site will proceed following a clean environmental assessment by the state Department of Ecology.
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PUD commissioners adjourned and will continue their meeting at 1:30 p.m. on Tuesday, Sept. 9, at the Confluence Technology Center, 285 Technology Way, Wenatchee, for quarterly discussions with Chelan County and Port of Chelan County commissioners.
The next regular commission meeting will begin at 11 a.m., Monday, Sept. 15, 2008, in the boardroom at PUD Headquarters, 327 N. Wenatchee Ave.
Most PUD commission meetings are recorded, and a link to the audio is available on the PUD’s home page at www.chelanpud.org.
Kimberlee Craig
Public Information Officer
509-661-4320, direct line
509-679-6858, cell
kimberlee.craig@chelanpud.org