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Mason PUD News

PUD 3 Commission Report for June 15, 2010

Meeting Highlights

Authorization of a call for bids for construction of Johns Prairie watermain to operations center location
Authorization of a call for bids for reconstruction of underground electrical distribution system in Hartstene Pointe community
Radar Ridge wind farm scoping meetings scheduled by US Fish & Wildlife Service
Commission cancels its June 22 meeting

Consent Agenda

Mason County PUD No. 3 Commissioners approved vouchers in the amount of $608,089.

Comments from the Public

John Komen of Mason Lake spoke in opposition to the extension of a municipal watermain to the site of the PUD 3 Johns Prairie Operations center. Komen stated his concern that a wood-burning power plant (proposed by ADAGE) may connect to the extended water main, resulting in adverse environmental impacts. He questioned the need for the pipeline and its anticipated costs.

Shelton-area resident Theresa Jacobson, a candidate for PUD Commissioner added her concerns to those stated by John Komen. She also reiterated her opposition to the construction of the PUD’s new operations center.

Shelton resident Janice Vocke asked commissioners to delay decisions on the Johns Prairie watermain extension and operations center.

Shelton resident Louis Cofoni cited news articles about bird and bat kills at wind power turbines in eastern Washington. He expressed his desire that a high state official, such as the Governor, come out in favor of building wind farms for renewable electricity. Cofoni also offered praise for Commissioner Linda Gott for taking a position on the watermain and operations center projects, regardless of the political consequences.

Shelton Resident Shawnie Vedder asked commissioners to stop the Johns Prairie watermain, citing her concerns for the health of her family if the project resulted in construction of a wood-fired (biomass) power plant.

Staff Reports

Commissioners moved to issue a call for bids for the rebuild of underground electricity distribution lines in the Hartstene Pointe community. The work includes conduit for fiber optic network deployment, when practicable. The engineer’s estimate for the project is $494,113.

Commissioners discussed a call for bids for construction of an 8,400 foot watermain extension along Johns Prairie Road from the Shelton city limits to the site of the Mason County PUD No. 3 operations center. The engineer’s estimate for the project is between $1.3 million and $1.6 million.

During discussion, Commissioner Tom Farmer said that PUD 3 was neutral on the proposed Shelton area biomass power plant. He noted that there are up to 200 properties along the watermain route that could benefit from the project. The Port of Shelton property proposed for the power plant is only one of many parcels along the route.

Some members of the public asked the commission to delay a decision on the watermain project. A general discussion took place on whether or not the biomass developer had made a firm commitment to constructing the Shelton area power plant.

Commissioner Bruce Jorgenson moved to table the matter until an advisory vote could take place. The motion failed on a 2-1 vote.

On a 2-1 vote, commissioners approved the recommendation to call for bids on the Johns Prairie watermain project. Bid opening is scheduled for July 14.

The PUD will recover the costs of construction through proportionate latecomer payments as others connect to the new pipeline. This financing method is a common practice of the PUD in connecting new electricity customers who require construction of longer than usual distribution lines. In these cases a customer pays the total cost of a line extension, and then recoups a portion of their expenditure from customers who connect to the new line. This is also a common practice in Washington State to finance the extension of infrastructure.

Commissioners approved a recommendation to use the services of Hayre McElroy & Associates of Redmond for construction testing and inspection services for the Johns Prairie operations center. The agreement has a not-to-exceed amount of $177,000. The motion passed on a 2-1 vote.

Staff Reports

Jay Himlie, power supply manager, reported on a recent meeting of the Nine Canyon Wind Farm participants. Himlie said that 60 percent of the wind turbines in the project have experienced problems with rotor bearings. A settlement between Energy Northwest (ENW) and Siemens will help remedy the situation. The settlement resulted in a $2 million payment to ENW. The funds will be used to repair or replace bearings on other wind turbines at the site. The Nine Canyon project is located near the Tri-Cities, and operated by ENW.

Matt Samuelson, assistant power supply manager, reported that scoping meetings have been scheduled by the US Fish and Wildlife Service regarding the Radar Ridge wind project. Participating utilities have been working to reassure environmental groups and governmental agencies that the project will have negligible impact on nearby marbled murrelets, a small, seagoing bird.

The Radar Ridge wind project would be located near Naselle in SW Washington. Approximately 32 turbines there could generate up to 82 megawatts of electricity; enough energy to power approximately 18,000 homes. In addition to Mason County PUD No. 3, other Radar Ridge partners are Clallam County PUD, Grays Harbor County PUD and Pacific County PUD. PUD 3 has committed to just over 11% of the project.

Next Meeting

The commission canceled its June 22, 2010 meeting.

The next PUD 3 commission meeting takes place June 29, 2010 at 10:00 AM in the PUD auditorium at 307 West Cota Street in Shelton.