Your PUD
News Release
PUD commissioners hear cautious financial outlook
Chelan County PUD
News Release
2/2/2009
On the heels of 2008, when water runoff at Rocky Reach Dam wound up at only 91 percent of average and wholesale power revenues were more than $16 million below budget, Chelan County PUD commissioners heard Monday that this year isn’t looking much better.
“We still have a relatively healthy financial base,” said Chief Financial Officer/Chief Risk Officer John Janney, “but we still need to stay focused. There’s a lot of uncertainty out there.”
Energy Planning and Trading Manager Janet Jaspers told commissioners the latest snow survey done last week in the mountains around the Lake Chelan Basin shows a snowpack that’s just above 70 percent of normal. She said snowpack in the upper Columbia River Basin looks to be between 80-90 percent at this time, with a runoff forecast at 93 percent of average at Grand Coulee.
Jaspers said the market price for surplus power is also lower than hoped, with the estimates at this time indicating PUD revenues could be about $12 million below budget if conditions don’t improve.
Yet the board heard that it’s still too early to determine whether an electric bill surcharge could be required. Contingency plans are still being developed that look at further reductions in PUD operations and maintenance costs and delaying the start of some projects. Another public meeting to brief customer-owners about the PUD’s financial situation is contemplated after the next snow forecast set for March 6.
Said Commissioner Norm Gutzwiler, “We need some time, and we need to let the weather have some time.”
In other business:
- Commissioners heard from Wenatchee Mayor Dennis Johnson, who explained city plans for riverfront development in coming years and provided an update on building Riverside Drive, due to start this year. PUD staff also reported on the status of PUD work to move utility lines in the area of Riverside Drive, Walla Walla Avenue and Piere Street.
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The next regular meeting of the PUD commission is at 11 a.m. on Monday, Feb. 9, 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.
Steve Lachowicz
Director, Communications
Chelan County PUD
(509) 661.4639 office
(509) 679-0148 cell
(509) 661.8117 fax
steve.lachowicz@chelanpud.org