Mason PUD News

The Mason County PUD No. 3 Commission has authorized the design development phase for a proposed new operations center on Johns Prairie Road near Shelton.

If constructed, the center would be the site for the PUD 3 warehouse; field operations such as Shelton line workers; vehicle maintenance, repair and fueling; engineering, telecommunications, the meter shop, transformer and substation maintenance; and various administrative functions.

The PUD will keep its customer service office and payment drop in downtown Shelton. On average, about 4,100 PUD customers make their payments each month at the Shelton office.

Operations at PUD 3’s Belfair office will not be affected by the proposed changes.

The nearly 15 year process leading to this point has been focused on building a new facility with no net impact on customer rates.

Design development is the second phase in the proposal, the construction of which is still some time away.

What Is Design Development?

The design development phase of the project involves the creation of drawings and other documents to show how the new facility will look. In addition this phase will refine the structure in terms of architectural, electrical, mechanical, and structural systems.

The architect has completed schematic design, which laid out the footprint on the property, soil evaluation and storm water plans, rough drawings and general room arrangement, drives, parking, landscaping and the overall look of the facility. This phase also gives a better idea of costs associated with all proposals under consideration.

Nearly all public works endeavors go through at least some form of this process in order to determine the next steps of development.

The plans will include among other things: Developing the most efficient land use plan; Determining the best possible transportation scheme, parking layout and driveway connections; Completing site planning, grading and erosion control; Developing the most efficient drainage and storm water system; Developing sanitary sewer, septic system, and drain field designs; Designing the locations of utilities, water and sewer.

Long Term Planning Leads to Current Activities

PUD 3 Commissioners and staff have considered the condition of utility buildings and associated operations for over 15 years, focusing on the warehouse on K Street, the 51-year-old administration building on Cota Street, and the 60-year-old engineering offices on South Third Street (remodeled in 1984).

As the PUD has been required to provide more services, adequate space for existing personnel is at a premium. In addition, at the Mountain View warehouse the lack of appropriate storage for material and equipment, and high traffic volumes impact operations and safety.

As early as 1994 the PUD was searching for appropriate sites for to meet the need for adequate office, materials and equipment storage, vehicle storage, and operations space.

In 1999 PUD 3 began negotiations to acquire property on Johns Prairie Road, with the purchase finalized in early 2002.

No-Net Rate Increase

During the search for facility options, Mason County PUD No. 3 staff developed and implemented a financial strategy for managing construction and development costs that will not raise the PUD’s debt service payments. The plan covered property acquisition, design, and construction of a facility on a new site.

PUD 3 received an upgraded bond rating in December 2008 from Moody’s Investor Service. The higher rating allows the PUD to obtain more favorable financing for capital projects and other activities as needed. Commissioners had discussed the sale of bank-qualified bonds to fund capital projects, including construction of a new warehouse and operations facility.

Commissioners voted unanimously to sell nearly $10 million in bonds in the fall of 2008 in part to pay for the first phase of the project. A second bond sale is anticipated to complete the funding package. Staff is confident that the availability of low borrowing rates and an excellent construction bidding climate will result in a cost-effective development package.

Full Build-Out of Site is the Most Cost-Effective Option

PUD 3 staff is constantly traveling from one operating location to another to work with customers and carry out their duties.

As any governmental entity or private business in Mason County which has gone through space needs analysis finds that having employees with similar or related tasks near each other can greatly enhance efficiency: engineers who need to work with linemen on projects; telecommunications staff who coordinate projects with PUD electricians and technicians; meter readers and certain customer service staff who work with meter technicians; and employees who coordinate outage responses with linemen, administrators and financial staff.

Based on travel, fuel, time, and employee efficiency studies, the consolidation of most PUD functions at a Johns Prairie site would result in between $20 and $100 million in cost savings over a 25 year period compared to having operations spread out over four locations.

Potential Buyers of Current PUD Facilities Have Expressed Interest

As Mason County PUD No. 3 has been investigating relocation of some of its operations, potential buyers of some of the downtown office buildings and the Mountain View operations center made their interest known to the PUD.

It is encouraging that the locations in downtown Shelton that are of such importance to the area would continue to be occupied by other functions.

Local Economic Stimulus

Construction of the estimated $41 million facility in the Shelton area will be a shot in the arm for qualified local contractors and businesses. Local governments will benefit also. Engineering estimates place the permitting fees to fall between $70,000 and $100,000. Other revenues would come from sales taxes. Businesses such as motels, gas stations, restaurants and others would also profit during the construction of a new operations center.

PUD 3 has proposed constructing a line from City of Shelton’s water system to the Johns Prairie site. This will aid in job creation and retention by opening up industrially-zoned land for development. (See Energy & Environmental Footprint below for more information.)

Multiple Uses for the Community

Similar to the current PUD 3 administration building on Shelton’s Cota Street, the new center would have accommodations for public meeting space and use. When PUDs were first being formed, all the main buildings had public spaces for commission meetings, educational presentations on the safe use of electricity, and general public gatherings.

The new facility would include such accommodations, at little or no charge to qualifying groups.

The PUD is also investigating cooperative use of the Johns Prairie property with other public agencies.

Energy and Environmental Footprint

Mason County PUD No. 3 will use energy efficient HVAC, lighting, passive and active solar, and other environmentally friendly site management techniques to minimize the impact of the facility.

PUD 3 will also seek to obtain a level of “Leadership in Energy and Environmental Design” (LEED) certification that shows a commitment to sustainable building practices and high energy efficiency. This would include the use of sustainable and/or recycled building materials.

The PUD will establish a baseline for water and energy use which will as closely as possible result in a net zero effect on the water resources in the project area.

To reduce the impact on the Johns Creek aquifer, PUD 3 has proposed constructing a line from City of Shelton’s water system to the Johns Prairie site. The PUD would recoup its costs through reimbursement from other developers who would connect to the water main. This will aid in job creation and retention by opening up industrially-zoned land for development.