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Grant County PUD considers 3 percent rate increase

by Lynne Lynch<br
| March 12, 2009 9:00 PM

MOSES LAKE — Grant County PUD commissioners and staff discussed a 3 percent across-the-board electrical rate increase during a Wednesday workshop at Big Bend Community College.

The increase could start in 2010 to increase revenue by 3 percent, according to a staff proposal.

Break-downs haven’t been completed by rate class. No decisions were made Wednesday.

A final proposal still needs to come before commissioners as well as holding public hearings.

Grant PUD Commissioner Greg Hansen said the district should look at trimming the budget and cap spending.

The district will be needing rate increases, but he doesn’t think other options are being examined hard enough, Hansen added.

Grant PUD Treasurer/Controller Bunch said there is not any discretion in certain parts of the budget.

Commissioners said they wanted to see the budget presented in a different way in October.

Commissioner Bob Bernd suggested having revenue taken from large industrial customers and placing the money into a fund for new resources.

Three or four industrial customers are not opposed to the idea, said Grant PUD General Manager Tim Culbertson.

Last year, commissioners decided to hold off on rate increases for 2009 and study changes to rate structures for irrigators and large industrial customers.

Meetings with irrigators and industrial customers have been ongoing, but there haven’t been any decisions.

Grant PUD Assistant General Manager Chuck Berrie said staff is getting close to the point where commissioners need to make decisions about rate structure changes.

He suggested putting off rate structure changes until 2011 or 2012 to allow time to implement new software.

“To be quite honest with you, I think we’re playing Russian roulette with rates,” replied Grant PUD Commissioner Tom Flint to Berrie’s suggestion.

In the whole process, the lower usage customers having been paying more, Flint added.

Hansen said the Ag Power Users of Grant County group should have a hand in rate structure talks or the PUD should receive their input about the matter.

Bernd said it’s apparent to him that it will be hard to complete the rate restructure this year.

He added he hoped the irrigators’ seasonal minimum surcharge would include some power.

Grant PUD Commissioner Randy Allred said the irrigation rate schedule is an impossible task. No matter what is done, it doesn’t make him happy, he noted.

For now, Culbertson said the PUD will work with the Ag Power Users group and obtain more direction about involving a third party to work with them.

The PUD is also waiting to hear back from industrial customers, he added.