Your PUD
PUD News Line
3/27/2009
PUD commissioners host April 13 meeting on surcharge
Commissioners will disuss the possible need for a temporary electric rate surcharge at the third in a series of evening meetings thisyear on PUD financial issues in light of below-average runoff forecasts, lower-than-expected revenues from surplus power sales and declining investment revenue. An electric rate surcharge has been metioned as a last resort if additional revenue becomes necessary. The meeting is at 5:30 p.m. on Monday, April 13, at the Confluence Technology Center, 285 Technology Way, in Wenatchee.
Board delays new electric rates
Commissioners decided earlier this month to to delay putting new electric rates into effect by up to 60 days. New rates for water and sewer customers approved last October will begin April 1 as planned.
The new rate structure was designed to encourage power and water conservation and more closely align rates among different types of customers. The cost per kilowatt hour (kWh) would be slightly lower for residential customers using moderate amounts of power, and rates will be higher for power use that tops 3,000 kWh a month.
The new residential electric rate would be about 3.2 cents per kilowatt hour (up from 3.1 cents).
General Manager Rich Riazzi said more time is needed to consider how a possible recommendation for an electric rate surcharge would affect customers under the new rate design.
More cost-cutting as financial outlook worsens
Senior managers outlined more cost-saving steps last week, including a mandatory five days off without pay for most employees.
Three programs to trim payroll costs were discussed: the mandatory five-day furlough and two voluntary plans. Randy Stedman, Human Resources executive manager, said the programs came from employee suggestions.
The PUD expects to save about $940,000 by requiring all full- and part-time employees, union and salaried, to take five days off without pay sometime before Dec. 20, 2009. Commissioners approved a new “Double Yes” program which allows full- and part-time employees, bargaining unit and non-bargaining unit, to propose that their job be eliminated by explaining how the work can be done without them. If senior managers agree, employees will receive a year’s pay when they leave the District.
A third program allows full-time employees to propose working part-time.
The PUD has also told the local bargaining unit representative (International Brotherhood of Electrical Workers) that the PUD is withdrawing its intent to convert rotating crews at its hydro projects to shifts that would have fewer employees.
The PUD will focus on other cost-saving ideas, including the mandatory furlough and the “Double Yes” program announced March 16.
Rocky Reach Dam license accepted; rehearing sought on some terms
Commissioners have accepted the new 43-year federal license for Rocky Reach Dam received on Feb. 19. They also asked the Federal Energy Regulatory Commission to reconsider several terms including the length of the license.
The PUD asked for a 50-year license, a request supported by the agencies, tribes and communities involved in the relicensing effort. The other issues involve wildlife habitat and endangered plants and a request to lease or sell land just north of the project boundary to the city of Entiat.
