Mason PUD News

The Mason County PUD No. 3 Board of Commissioners approved vouchers in the amount of $1.7 million.

Commissioners authorized staff to issue a request for qualifications for design and engineering for the proposed extension of City of Shelton water to Johns Prairie.

Commissioners concurred with a staff recommendation to select Wilson Recycling of Shelton for scrap metal disposal service.

Commissioner Tom Farmer asked for clarification on a $14,000 rebate to the Squaxin Island Tribe for energy conservation. The project involved replacement of parking lot lights with energy efficient fixtures and the retrofitting of outside lamps with photo cells. The PUD will be reimbursed for its outlay through a Bonneville Power Administration conservation program.

John Komen of Grapeview commented on the number of action items on the commission agenda related to the design and construction of the new Johns Prairie Operations Center. Mr. Komen asked the commission to stop the current process and set the proposal aside for future consideration with a revised scope.

Commissioners adopted Resolution 1491 – Establishing Administrative Filing Fees for State Environment Policy Act (SEPA) Appeals. The public may make comments on the PUD’s determination of no significant environmental impact from the Johns Prairie Operations Center project. However, an appeal of the final determination must be accompanied by a $200 fee to help cover administrative and hearing costs of a review. Surveys of Washington State and local government charges for similar charges show a general fee range of between $100 and $500.

Commissioners authorized (on a 2-1 vote) a contract with TCF Architecture for the development of construction documents through bidding for the Johns Prairie Operations Center project. The estimated cost of the contract is $1.3 million. During discussion, Commissioner Bruce Jorgenson moved to table the motion. The motion to table failed for lack of second. Commissioner Jorgension reiterated his position that he approves of relocating warehouse and operations facilities to Johns Prairie, but not administrative functions. He suggested further public meetings on the issue.

Commissioners authorized an extension to a contract with Olympic Associates for project management services related to the Johns Prairie project. The cost of this third extension to the contract is $32,400.

Commissioners authorized the release of the SEPA determination for the Johns Prairie Operations Center project. The determination of non-significance concludes that there will not be significant environmental impact from the project. The report is now subject to public and governmental agency review.

Commissioners authorized a contract with Olympic Associates for project management services related to the extension of City of Shelton water to Johns Prairie. The value of the contract is a not-to-exceed cost of $35,300.

PUD 3 commissioners decided to choose a short-term option with the Bonneville Power Administration on the rate structure of wholesale electricity purchased for local customers from 2011-2012.

BPA is offering a new tiered rate system in the upcoming long-term power contract. Under the program, utilities are allocated a certain level of electricity in one tier that can be purchased at the lowest available rate provided by the federal generation system. Energy loads above that level would be in the second tier, and purchased at a higher rate provided by market purchases.

The commission agreed to meet energy needs above its initial BPA allocation with the short-term tier two option. In the interim, the PUD will be considering the short and long-term energy requirements of its customers and how the new structure will complement the requirements of Washington State’s renewable energy mandates.

On average, this will not have an immediate impact on the price of electricity purchased from BPA, but because it will result in some price volatility from month to month, it will mean more active management of PUD reserves to minimize local budget impacts.

Commissioners adopted Resolution 1492 – Amendment No. 1 to BPA Power Sales Contract. The amendment reconciles language in the long-term power contract with BPA to make it consistent with the tiered rate structure.

Commissioners adopted Resolution 1493 – Declaring Distribution System Items Surplus. The resolution authorized the sale or disposal of various pieces of equipment.

Commissioners authorized staff to make changes to the way in which PUD 3 addresses the removal, decommissioning, and disposal of a customer’s inefficient refrigerator or freezer. The process will be contracted to JACO, which will ease the work load on conservation staff. Customers will receive a $30 billing credit for up to two units removed from their home. JACO will be reimbursed for its role in the process through BPA conservation programs.

Matt Samuelson, Senior Power Supply Analyst reported that the Discovery Chapter (Pacific County) of the Audubon Society has issued a statement of support for the Radar Ridge wind project in SW Washington. The statement was sent to the Washington State Congressional delegation, US Fish and Wildlife Service and others. After reviewing the scientific studies on the project’s relationship to endangered species and other wildlife, the group concluded that the impact of the wind turbines will be minimal.

The next PUD 3 commission meeting takes place November 3, 2009 in the PUD 3 auditorium at 307 West Cota Street in Shelton at 10:00 a.m.