The Grays Harbor PUD Board of Commissioners have approved the utility’s 2024 budget that invests in the utility system, continues to provide clean and reliable energy, and for the fourth time in five years, does not increase customer rates.
“When we speak to our customers, keeping rates as low as we can is always something that we hear about,” said Commission President Arie Callaghan. “To pass a budget that allows us to do that, while so many other costs are rising, is a testament to the great work, sound planning, and smart decision making of our staff.”
“Not all utilities have been this fortunate,” said Commission Secretary Dave Timmons. “A lot of factors had to line up correctly for this to happen.”
Finance Director Kathryn Skolrood and General Manager Schuyler Burkhart credited conservative budget planning, favorable weather predictions, the expiration of long-term energy contracts, and the adoption of a new energy contract with Bonneville Power Administration as the reasons the utility will avoid an increase.
In addition to not raising rates, the $115.8-million spending plan will allow the PUD to continue its tradition of providing clean and reliable energy, with $58.3-million being spent on energy purchases from the Bonneville Power Administration, Sierra Pacific Industries biomass combustion system, the Coastal Community Action Program wind project, and the Nine Canyons wind farm.
“It’s a good mix of reliable and emission free energy,” said Burkhart. “The reliability of the Federal Columbia River Power System and the Columbia Generating Station, combined with the wind and biomass turbines, allows the PUD to keep the lights on for over 45-thousand customers, and helps to meet the emission free standards being demanded by Washington’s energy policies.”
The budget also invests strongly in the maintenance and replacement of the equipment that makes up the PUD transmission, distribution and telecommunications system. The $12-million in capital spending represents an increase of $500-thousand from 2023 totals and will be allocated amongst five areas: $1.5-million for transmission projects, $2.37-million for substation projects, $5.8-million for distribution projects, $1.45-million for general plant projects, and $835-thousand for fleet projects.
Some of the significant projects included in the 2024 budget are the transmission line rebuild from the Promised Land substation to Neilton, the relocation of transmission poles along the SR-105 Wetland Mitigation Project, continued work at the new Central Park substation, continuing fiber optic and colocation facility work for PUD telecommunication services, design work for the replacement of the Ocean Shores service building, new IT hardware, and the replacement of five utility vehicles and equipment.
“This budget really sets us up to do some amazing things,” said Commission Vice President Jon Martin. “Not increasing rates is great and doing that while putting resources into the utility infrastructure and providing the flexibility that will allow us to make strategic decisions on the future of our facilities and long-term contracts, is really something that I am proud to be a part of.”