Established as The Skamokawa Eagle in 1891
Discussions about the budget and the water adjustment policy continued at the Tuesday meeting of the Wahkiakum PUD Board of Commissioners.
After discussion, commissioners agreed to amend the district's water adjustment policy.
The policy was put in place to compensate a customer for an abnormal loss of water. The policy currently allows a 25 percent adjustment for the excess amount of water lost and is only available to each customer one time during the life of their account.
Commissioner Dennis Reid was in favor of raising the adjustment of the excess amount of water to 50 percent one time over the life the account.
Commissioner Eugene Healy took it a little further.
“I request that we go to 50 percent rebate once each five year period as opposed to once per lifetime,” Healy said.
He suggested using the previous three month period to ascertain what was considered to be a normal level of usage for the customer, but Auditor Erin Wilson pointed out that the PUD uses the previous year’s history to determine the amount.
Commissioner Robert Jungers was mostly indifferent.
“I feel it is a gifting of public funds,” Jungers said, “but I don’t feel strongly enough about this to make it an issue between us.”
The commissioners agreed with Healy’s suggestion and they will take action at the next meeting when a resolution has been written.
The matter of retroactivity for customers who have taken an adjustment remains.
Wilson went over a few changes in the 2016 preliminary budget for all three systems. Counsel Tim Hanigan had suggested adding a line item for pole replacement to the electric system after learning about litigation regarding the matter in Clark County.
The matter concerned what Hanigan referred to as “danger poles.” A pole, struck more than once in vehicle accidents, was considered to be placed in a dangerous location, and thus needed to be moved. Adding a line item to a budget indicated that the aforementioned utility was serious about safety, and Hanigan suggested that Wahkiakum do the same.
Another change also reflects the PUD's desire to improve the water system by adding a line item to pay off a loan if the PUD finds and acquires a water source.
“It shows that you are serious,” Reid said.
“I like to look at the big picture,” General Manager David Tramblie said. “With the water availability on this end of the county, we need to conserve, because there are times of the year we are borderline on adequate supply. That is the issue we are trying to resolve.”
Healy stated his desire to determine an acceptable level of reserves for each system.
“For instance the current preliminary electrical budget calls for taking $189,060 out of reserves, with a five percent rate increase,” Healy said. “If we don’t have a rate increase, it would about double that, and sitting at about $1.2 million currently, that would mean about a $350,000 reduction. Though that fits in our current cap that we would be willing to have for a reserve level, I don’t think the administration around here is comfortable with going that low.”
“The reason I’m concerned is because what happens the following year?” Tramblie said. “If we do the same thing, now we’re down to less than half of what we have now.”
Reid wondered if the PUD would need to replace any more expensive vehicles in the next few years, citing their recent purchase of a $250,000 vehicle.
Tramblie said that bucket trucks had nearly doubled in price, and that the analysis he did 10 years ago asking for a $100,000 budget per year for vehicle replacements probably was no longer enough.
Tramblie added that he also wants to move forward with AMR, an automated meter reading system that would allow the PUD to do radio drive by readings of meters and which would cost around $400,000.
Then there is the Grays River substation project, which Tramblie estimates could cost $1 million.
“We need to work hard to keep rates affordable and right behind that is the proposition that we keep this utility sound, Healy said.
“Actually, I think our mission statement puts those in reverse order,” Jungers said.
“It just seemed to me that we need to be positive toward this 5 percent increase budget or we need to have some alternatives,” Healy said. “I tried to look at some alternatives and they are painful. We have to not do some things that we told ourselves were important.”
The budget and rate hearing is scheduled for October 6 at 8:30 a.m. during the regular meeting. The public is welcome to attend to provide input or submit ideas.
Because of low turnout in years past, the PUD opted not to schedule a hearing for the Westend.
During his report, Tramblie said that the nitrogen loss had been reduced at the Grays River substation, though he referred to it as a patch and not a complete fix. He also said that the LED lights are being installed, mostly on Puget Island and that an application for a drought relief grant to locate an alternate water source for Puget Island had been sent to the Department of Ecology and they were waiting for a decision.
“That’s great that you did that,” Reid said. “That was forward thinking and the kind of thing we need to be doing.”
Wilson gave an update on their Residential Energy Assistance Program which helps customers who find themselves in financial difficulty once per year. There was $1,917 available in the fund at the start of the year, $2,132 had been received in contributions and $2,565 had been pledged. A balance of $1,484 remains.
“Good, we’re going into winter with a positive amount,” Reid said.
Wilson also reported that there will soon be a new online customer portal on their website. She also said that the utility will soon be able to take e-check and e-saving payments in addition to credit and debit cards. There will be more information in a future mailing from the PUD.
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