Grant PUD opts out of WPUDA project

Local utility wants contract before signing on

EPHRATA — A group representing all 28 public utility districts in the state plans to build a $4.2 million office building in Olympia, ensuring both closer proximity to state lawmakers and hopefully more influence.

That group, the Washington PUD Association, represents the utilities in legislative and policy processes from the state to the federal level.

The association's board, made up of representatives from each utility, decided about five years ago they wanted to have more of a presence in Olympia, association spokesman Brad Chatfield said.

"Hopefully, the idea of having a building in Olympia would put them closer to legislators and bring the legislators closer to them," he said.

The association currently rents office space in both Seattle and Olympia to house its staff.

The new building would become the association's headquarters. It would be nestled between historic homes and lie a few city blocks from the capitol campus.

Building plans for the new two-story office have varied in size. Current plans call for about 11,500 square feet of workspace. The association will occupy the second-floor suite while renters fill much of the first floor.

Except for Grant County PUD, every member utility opted to pay their financial proportion of the building costs. Proportions are

assessed based on the percentage of dues paid to the association by each utility. Grant County PUD is one of five utilities that would pay the maximum amount, or 9 percent of the building costs.

Grant County PUD Commissioner Bill Bjork, the district's representative to the association, said assessments for the new building may be more than $400,000. Potentially, he said, the district's bill could reach a half million dollars.

So far, Bjork said Grant County PUD have not paid special assessments for the new building.

The commission was advised by its attorney, Bjork said, to obtain a contract with the association before paying.

"We want to know, legally speaking, what we're going to get stuck with or what we're going to have to pay for," Bjork said. "We've left the ball in their court as to what's going to happen next."

Association officials, though, decided against contracts.

Additionally, Bjork said it remains unclear how Grant County PUD would benefit if the association moved into the new building. The size and importance of the Priest Rapids Hydroelectric Project, he said, already ensures the utility will be have an influence on decisions made in Olympia.

"I think we're a major player right now … I don't think there is anybody any bigger than us as far as hydroelectric production," Bjork said. "There's people with more customers, but I don't think there's anybody who has the hydro that we do."

His primary concern remains how the utility spends money belonging to the ratepayers of Grant County.

The association, meanwhile, signed contracts earlier this month with a construction and design team to move forward on the project. Mountain Construction is the contractor and Helix Design is the architect.

Steve Johnson, the association's executive director, said they plan to begin construction this summer. They may have to assess the other association members to make up for Grant County PUD's proportion of the project costs, he said.

"We continue to hope Grant will participate because they are an important and valuable member of the association," he said. "I believe the project will go forward."