HomeMy WebLinkAboutAgenda Packet 09/08/2009
UtIlity AdVIsory CommIttee
Public Works Conference Room
Port Angeles, W A 98362
September 8, 2009
130pm
AGENDA
I Call To Order
II Roll Call
III Approval OfMmutes For August 11,2009
Approval OfMmutes For August 25, 2009
IV Late Items
V DIscussIOn Items
A Post-Closure Landfill Consultant Agreement Amendment No 1
B BonnevIlle Power AdmmlstratlOn Energy ConservatIon Agreement
C BonnevIlle Power AdmmlstratlOn Wholesale Power Rate
Adjustments
D UtIlity Retail Rate and Fee Adjustments
E Northwest Energy EffiCIency Alliance ContrIbutIon
F Western Public AgencIes Group Consultmg Agreement
Amendment No 1
G BonnevIlle Power AdmmlstratlOn Power Sales Agreement
AmendmentNo 1
H TransmIssIOn Agreement for the Morse Creek HydroelectrIc
Project
I BonneVIlle Power AdmInIstratIOn TIer 2 Power Supply Update
VI
Next Meetmg Date
October 13, 2009
VI Adjournment
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UTILITY ADVISORY COMMITTEE
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Uhhty AdvIsory Committee
Pubhc Works Conference Room
Port Angeles, W A 98362
August 11, 2009
3 00 P m
c~~
.,.
I. Call To Order
Chairman Reed called the meetmg to order at 3 00 P m
II. Roll Call
Members Present
Chairman Reed, Mayor Braun, Dan DI GUlho, Orville Campbell, Karen
Rogers (3 09)
Members Absent
Betsy Wharton
Staff Present
Kent Myers, DefUlls Dickson, Glenn Cutler, Nathan West, Steve Sperr,
Phil Lusk, Cate Rmehart
Others Present
Ross Tayler - Clallam County
Carol Brown - Lower Elwha Klallam Tnbe
Happy Longfellow - Parametnx
Diane C Nelson - League Of Women Voters
III. Approval Of Mill utes
Chairman Reed asked If there were any correctIOns to the mmutes of July 14, 2009 Councilman
DI GUlho moved to approve the mmutes Orville Campbell seconded the mohon, which carrIed
unanimously Mayor Braun abstamed due to absence
IV. Late Items: None
V. Discussioll Items:
A. Lower Elwha Klallam Tribe Valley Access Road - Temporary Easemellt
Steve Sperr, Deputy Director of Engmeenng Services, reviewed the memo notmg some concerns
m the draft agreement There was a lengthy diSCUSSion
Information only. No action taken.
B. BOlllleville Power AdmllllstratlOll Wholesale Power Rate Adju!tmellt
Phil Lusk, Power resources Manager, adVised that BP A hdd released Its final record of deCISion
on wholesale power rates and that the City had been prOVided With a new "stepped-rate" opllon
A dIScussIon followed More InformatJon wIll be brought to the UAC at a further date shoWIng
altematJves
Information only. No action taken.
VL Meeting was continued until August 15,1009 at 10:00 a.m.
Vll. Adjournment:
The meetIng was adjourned at 4 14 p m
ChaIrman Reed
Cate RInehart, AdmIn Spec 11
b~-4J:-,.
Utlhty AdvIsory Committee - Continuation From August 11, 2009
Pubhc Works Conference Room
Port Angeles, W A 98362
August 25, 2009
1000 am
I. Call To Order
Chairman Reed call the meeting to order at 10 05 a m
II. Roll Call
Members Present
Chairman Reed, Mayor Braun, Dan 01 Gmho, Karen Rogers
Members Absent
Betsy Wharton, OrvIlle Campbell
Other Council
Members Present
Chene Kldd
Staff Present
Kent Myers, Btll Bloor, Glenn Cutler, Cate Rinehart
Others Present
Carol Brown - Lower Elwha Klallam Tnbe
Happy Longfellow - Paramtnx
Steve Shager - General Counsel, Lower Elwha (10 19)
It was noted that Mayor Braun would take the place of Betsy Wharton and Chene Kldd would be
an observer only
Ill. Late Items: September 8, 2009 Agenda
IV. D,scussion Item:
A. Lower Elwha Klallam TrIbe Valley Access Road - Temporary Easement
Glenn Cutler, DIrector of Pub he Works and Utlhtles drstnbuted several handouts reviewing the
contents WIth the Committee These Included a Memo of Understanding e-maIl from the
County, ReservatIOn of Rights to the CIty, and a draft Easement Agreement Carol Brown,
Lower Elwha Klallam Tnbe, dlstnbuted a map and legal descnptlOns of the areas Involved
There was a lengthy dISCUSSIOn Staff was requested to try to obtain a formal Memo of
Understanding from the County CommissIOners
Information only. No action taken.
B. September 8, 2009 Agenda
Glenn Cutler, Director ofPubhc Works, advised that due to the number of Items hsted the
meetmg the tIme should probably be changed to accommodate them all A special meet1l1g will
beg1l1 at 1 30 P m wIth the regular meet1l1g start1l1g at 3 00 P m
V. Next Meeting Date:
September 8, 2009
VI. AdJoumment:
The meet1l1g was adjourned at 11 56 am
ChaIrman Reed
Cate R1l1ehart, Adm1l1 Spec IT
N IPWKSILlGHTlCONSICA TElauguslll meet wpd
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~ORTANGELES
WAS H I N G TON, USA
Utility Advisory Committee Memo
September 8, 2009
Utility Advisory Committee
Kathryn Neal, P E, Engmeenng Manager
Post-Closure Landfill Consultant Agreement Amendment No I
Summary: In October 2008 the City entered mto an agreement with Aspect Consultmg to provide
engmeenng services m support ofthe Port Angeles Landfill Post-Closure Permit reqUirements It
IS necessary to amend the agreement to cover unforeseen costs for 2009, add tasks and extend the
agreement through 20 I O.
Recommendation: Forward a favorable recommendation to City Council to authorize the
Mayor to sign Amendment No.1 to the Consultant Agreement with Aspect Consulting for
Landfill Engineering in an amount not to exceed $12,000 in 2009 and $115,100 in 2010, which
increases the maximum compensation under the agreement from $58,000 to $185,100, and
authorize the City Manager to make minor modifications to the agreement, if necessary.
Background/Analysis: The thirty-year post-closure phase ofthe Port Angeles Landfill (Landfill)
began m 2008, after the last two cells of the landfill were covered and the seawall at the beach was
constructed m 2007 Management of the Landfill IS regulated through the Solid Waste Post-
Closure Permit (SLW08-0001) Issued by Clallam County Environmental Health Services
(CCEHS), workmg m close cooperatIOn With Washmgton Department of Ecology (DOE) The
Permit covers the enure Landfill, and addresses the different regulatIOns that pertamed at the time
to the particular parts of the landfill that were m operatIOn The Permit was Issued on August 29,
2008 and was amended on Apnl 15, 2009
With thiS new post-closure phase, additIOnal groundwater wells were added along the beach, and
new reqUirements were established for momtonng the seawall and beach morphology
Groundwater and leachate momtonng was required by CCEHS and DOE at the Landfill m the
past, and associated sampling, analYSIS, and documentatIOn contmues under the new permit In
addluon, there are vanous annual reqUirements for surface water quality, air quality, mmlmlzmg
explOSive gases, bird control, and documentatIOn of mspectlOn and mamtenance actlvlues
In October 2008 the City entered mto an agreement With Aspect Consultmg to prOVide engmeenng
services m support of Post-Closure Permit reqUirements Costs mcurred thiS first year of the
permit have exceeded the esumated amounts, m part because CCEHS and DOE permit
reqUirements were mcreased when the Post-Closure Permit was amended m Apnl 2009, and thiS
was the first year of complymg With all annual permit reqUirements
Post-Closure Landfill Consultant Agreement Amendment No
September 8, 2009
Page 2
Amendment No I IS mtended to cover additional costs, and extend the consultant agreement
through 2010 The tasks to be accomphshed m 20 I 0 are similar to the 2009 reqUirements, except
that a macro-algae survey IS reqUired m 20 I 0 Budgets for the 20 I 0 groundwater momtonng
reports have been adjusted consistent with the 2009 expenence
A summary of the ongmal and proposed tasks and budgets under the agreement and amendment
No lis attached for more mformatlOn A descnptlOn of the proposed tasks IS also mcluded m the
attachment
Fundmg for the proposed amendment IS available from the Sohd Waste Landfill Post-Closure
Fund The notice to proceed for 2010 work Will not be Issued unttl after approval ofthe City'S
2010 budget
It IS requested that the UtIhty AdVisory Committee forward a favorable recommendatIOn to City
Council to authonze the Mayor to Sign Amendment No. I to the Consultant Agreement with
Aspect Consultmg for Landfill Engmeenng m an amount not to exceed $12,000 m 2009 and
$115,100 m 2010, which mcreases the maximum compensatIOn under the agreement from $58,000
to $185,100
Attachment Summary of ongmal and proposed tasks and budgets and a descnptlOn of the
proposed tasks
Summary of Tasks and Budgets for Amendment No.1
Task Original Amended Proposed Total
No Description Amount 2009 2010 Amended
Budget Budget Amount
11 Groundwater MomtorlnQ Reports
111 Biannual Reports $6,500 $17,100 $9,000 $26,100
112 Annual Groundwater Report $13,500 $23,800 $19,600 $43,400
113 2008 Seawall FlUid Report $8,000 $8,000 $7,500 $15,500
Seawall Momtorlng Report and
12 Beach MomtorlnQ
121 AnalysIs of data $9,000 $9,800 $5,000 $14,800
123 Annual Beach Morphology Report $8,000 $10,300 $8,000 $18,300
2 Maintenance Support $13,000 $1,000 $5,000 $6,000
3 Macro-Algae Survey - - $61,000 $61,000
Totals $58,000 $70,000 $115,100 $185,100
Description of Proposed Tasks for Amendment No.1
Task 1 1 Groundwater Momtonng Reports
Biannual Reports are due 60 days after samples are taken m the Spnng and Fall A second
biannual report IS a new reqUirement from the County that was not ongmally mcluded m the Post-
Closure Permit The Annual Report IS due m Apnl of each year, and documents all samples,
analyzes results, and makes recommendatIOns to preserve environmental quality and responsibly
manage the landfill The cost over-runs for these reports were due to a new analytical lab for the
second report and lengthy QNQC of the lab data, additIOnal analyses mvolvmg the tlmmg of
sampling at the new beach wells to mlmmlze the tidal seawater mfluence, and time reqUired to
respond to DOE comments
The 2008 Seawall FlUid Report analyzed the flUid that collects behmd the wall above the beach
Based on the sample results another round of sampling was done m 2009 and a 2009 Seawall FlUid
Report Will be produced m 2010
Task 1 2 Seawall Momtonng Reports and Beach Momtonng
Two technical memos analyzed beach transect data taken m November 2008 and May 2009
Comments from DOE have not yet been received on the Annual Beach Morphology report Site
mspectlOns and survey work were not a part of the ongmal scope of the agreement, but are needed
to complete the reqUired Report
Task 2 Mamtenance Support
No charges to thiS category yet Beach Nounshment m front ofthe seawall IS reqUired m 2009, and
staff IS completmg the deSign and permlttmg With mlmmal assistance from the consultant to
compensate for the extra consultant effort reqUired to complete the Groundwater Reports
Task 3 Macro-Algae Survey
A macro-algae survey IS reqUired m 20 lOA baseline macro-algae survey was done m 2006 and
the permit reqUires post-closure surveys to be completed m 2010 and 2012
FORTANGELES
WAS H J N G TON, USA
Utility Advisory Committee Memo
Date:
September 8, 2009
To:
Utility Advisory Committee
From:
Phil Lusk, Power Resources Manager
Subject:
Bonneville Power AdmmlstratlOn Energy ConservatIOn Agreement
Summary: The Bonneville Power AdmmlstratlOn offered an Energy Conservation Agreement to
the City The proposed agreement covers a five-year penod, allows a smooth transitIOn between
Bonneville Power AdmmlstratlOn rate pen ods, and would provide additional fundmg to the City
for local conservatIOn efforts
Recommendation: Forward a favorable recommendation to City Council to authorize the
Mayor to accept the Energy Conservation Agreement with the Bonneville Power
Administration.
Background/Analysis: The Bonneville Power AdmmlstratlOn (BPA) offered the City a new
Energy ConservatIOn Agreement that covers a five-year penod that comcldes with the Northwest
Power and Conservation COunCIl'S 6th Power Plan The proposed Agreement would provide a
smooth transItion for conservatIOn activIties between BP A rate penods by provldmg fundmg m the
event the conservatIOn rate credit Isn't available The proposed agreement replaces the
ConservatIOn AcqUiSItion Agreement
The proposed Energy ConservatIOn Agreement IS optIOnal and If the City wants to participate It
must be accepted by September 30, 2009 If the City accepts the agreement BP A would prOVide
an additional $60,000 for local conservatIOn efforts ThiS amount IS m addition to the BP A
fundmg prOVided through the conservatIOn rate credit
Staff recommends that the Utility AdVISOry Committee forwards a favorable recommendatIOn to
City CounCil to authonze the Mayor to accept the Energy ConservatIOn Agreement With the
Bonneville Power AdminIstratIOn
N \UAC\Fmal\BP A Energy ConservatIOn Agreement doc
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FORTANGELES
WAS H I N G TON, U. S. A.
Utility Advisory Committee Memo
September 8, 2009
Utility Advisory Committee
Phil Lusk, Power Resources Manager
Bonneville Power AdministratIOn Wholesale Power Rate Adjustments
Summary: The Bonneville Power AdministratIOn released Its final record of decIsIOn on
wholesale power rates The City was offered a new "stepped-rate" optIOn to Implement half of the
rate Increase thiS October and the remainder next October
Recommendation: Forward a favorable recommendation to City Council to accept the
Bonneville Power Administration's posted wholesale power rates.
Background/Analysis: On July 21,2009, the Bonneville Power AdministratIOn (BPA)
released ItS final record of deCISIOn on wholesale power rates, which Included a regIOnal "average"
rate Increase of around 7%. Staff estimates the posted wholesale power rate will Increase the
City'S total cost ofBPA purchases by roughly $1,884,000/year
The BPA will Implement ItS posted wholesale power rate Increase on October 1,2009, which will
remain In effect through September 2011 BPA IS providing the city a new wholesale power
"stepped-rate" optIOn, where the City could Implement half of the rate Increase thiS October and
the remainder next October ThiS optIOn Includes the BP A's time value of money and should
result In similar total revenues to the BPA Staff consulted with the City's lndustnal TransmissIOn
rate class customer on thiS matter, which represents about 60% of City wholesale power purchases
The BP A used a 4 7% discount rate In calculating the time value of money for the stepped-rate
option The stepped-rate optIOn may be preferable If I) the City had an alternative short-term
Investment opportumty With a Yield greater than 4 7%, 2) the City did not have adequate cash
reserves, or 3) It was preferred by the City'S lndustnal TransmiSSIon rate class customer The
Electnc Utility cost of service study, which Included the estimated retail rate Impacts of the
wholesale power rate Increase, confirmed that the City would Incur higher wholesale power costs
under the stepped-rate optIOn. If the City selects the stepped-rate optIOn, a commitment to the
BP A must be made no later than September 18, 2009 and an amendment to the Power Sales
Agreement would be reqUired
Staff requests that the Utility AdVisory Committee forward a favorable recommendatIOn to City
CounCil to accept the Bonneville Power AdministratIOn's posted wholesale power rates
N \UAC\Fmal\BP A Wholesale Power Rate Adjustments doc
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~ORTANGELES
WAS H I N G TON, USA
Utility Advisory Committee Memo
September 8, 2009
Utility Advisory Committee
Larry Dunbar, Deputy Director of Power Systems
Ulihty Retail Rate and Fee Adjustments
Summary: Dunng the last year FCS Group completed comprehensive rate studies for the
Electnc, Water, Wastewater, Sohd Waste CollectIOn and Transfer Stalion ulihlies A presentalion
Will be made at today's meetmg on the recommended retail rate and fee adjustments
Recommendation: Forward a favorable recommendatiou to City Council to proceed with a
public hearing on utility rate and fee adjustments for the Electric, Water, Wastewater, Solid
Waste Collection, and Transfer Station Utilities.
Background/Analysis: Dunng the last year, FCS Group completed comprehenSive rate
studies for the Electnc, Water, Wastewater, Sohd Waste CollectIOns, and Sohd Waste Transfer
StatIOn ulihlies The studies for Water, Wastewater, Sohd Waste CollectIOns and Transfer StatIOn
ulihlies were completed a year ago and staff will present thiS year's rate study update The
comprehenSive rate study for the Electnc Ulihty was recently completed by FCS Group and staff
Will present ItS findmgs and recommendatIOns
Followmg a presentatIOn, staff will seek the recommendalion ofthe Ulihty AdVISOry Committee to
City Council to proceed with a pubhc heanng on the ulihty rate and fee adjustments for the
Electnc, Water, Wastewater, Sohd Waste CollectIOn and Transfer StatIOn Ulihlies The proposed
City Council pubhc heanng IS October 6, 2009 for a presentatIOn of the rate studies and to allow
pubhc mput to the process after the presentatIOn The pubhc heanng would be contmued to
October 20, 2009 at which lime the pubhc heanng Will be closed
Staff will return to the Ulihty AdVISOry Committee on October 13,2009 requestmg a
recommendatIOn to City CounCil to adopt rate and fee ordmance amendments The proposed rate
and fee adjustments for each ulihty would be effeclive January 4,2010
N IUACIFmallUtthty Retail Rale and Fee AdJustmenls doc
i
September 8, 2009
City of Port Angeles
Rate Studies for:
Electric, Solid Waste Collection,
Water, Wastewater, Transfer Station
Proposed Agenda
1. Historical Rate Increases
2. Proposed 2010 Rate Increases
3. Proposed 2010 Fee Increases
4. Electric Utility Summary
5 Collection Utility Summary
6. Water Utility Summary
7. Wastewater Utility Summary
8. Transfer Station Summary
1
Historical Rate Adjustments
Ubhty 2005 2006 2007 2008 2009
Electnc - Base
Electnc - Consum ptJon 65% 59%
Storm water 1000%
Collections - Weekly Pickup 50% 248% -18% 15%
Collections - EOW Pickup -109% 15%
Water - Base 40% 30% 190% 190% 70%
Water - Consumption 40% 30% 190% 190% 70%
Wastewater 43% 48% 53% 21%
Wastewater - CSO 1080% 540% 370% 290%
Transfer Stanon 50% 50% 145% 75% 105%
Blue Mountam 75% 35%
2
Historical Rate Adjustments
2008
1
2007
1
2006
1
2005
1
2004
1
2003
1
2002
1
2001
1
2000
"'8
'22
$217 $72
I SIl,
$296 $36
."
"" '"
."
",I
1
"'I
1
I
AnnuaIc:ompoum
oolll,ncr_Qf5Q%
peryear!rQm20001D
2008or23%aboY<t
oo""wn....~
,,"~
$216
$217
I
$212
$214
""
$-
$500
$1,000
$1500
$2,000
$2,500
Average Annual Cost (based on actual charges, customers, and consumption)
eEleclI1c .Water awast-mar OGllrblllgll OCombmed SewerOverllow eStormwalllr
3
2
Proposed 2010 Rate Increases
2010
Proposed FCS
2009 ResIdential Rate Monthly Group
Utility Rates Increase Increase Report
Electnc - Base $11 00 per month 000% $000 000%
Electrrc - Consumption o 0582 per kWh 000% 000 000%
Stormwater 6 00 per month 000% 000 N/A
Collections - Weekly Pickup 2720 per month 000% 000 350%
Collections - EOW Pickup 19 75 per month 000% 000 350%
Water - Base 24 65 per month 850% 210 850%
Water - Consumptron 1 92 per 100 CF 850% 107 850%
Wastewater 38 35 per month 400% 1 50 400%
Wastewater - CSO 10 25 per month 30 08% 310 30 08%
Average Customer Total $19823 per month 392% $777
Without CSO 248% $467
4
Proposed 2010 Rate Increases
2010 FCS
2009 Rates Proposed Increase Group
Transfer Statton (perton) Rate Increase (perton) Report
Transfer Station - Collection Entities $9135 450% $411 1050%
Transfer Station - Self Haulers $11490 450% $517 1050%
Yard Waste - Collection EntitIes $25 75 450% $1 16 1050%
Yard Waste - Self Haulers $43 00 450% $194 1050%
Blosollds - Collection Entitles $45 00 450% $203 1050%
Blue Mountain - Self Haulers $204 65 000% $000 1050%
5
3
Proposed 2010 Rate Increases
2009 2010 FCS
Rates Proposed Increase Group
Transfer Station (per yard) Rate Increase (per yard) Report
Compost 1-3 Yards $20 00 000% $000 1050%
Compost 4-49 Yards $17 00 000% $000 1050%
Compost 50-99 Yards $1500 667% $100 1050%
Compost 100-299 Yards $1400 711% $100 1050%
Compost 300 Yards or More $1300 769% $100 1050%
Compost 4 Yards or More $1500 000% $000 1050%
(Schools, Non-Profit, or
Govemmental Agencies)
6
Proposed 2010 Fee Increases
Add State/City taxes to utility fees
Electric Utility
Connection Fees
Electncal Perrrllts
Pole Attachments
Construction ContnbutJon
Wastewater Utility
Septic Waste Disposal
Commercial Leachate
Sewer Permits
System Development Charge
Water UtIlity
Connection Fees
System Development Charge
7
4
Proposed 2010 Fee Increases
Electric Utility
2010 Total 2010 Proposed 2010 Proposed FCSGroup
Electnc Utili! 2009 Fees ProOOlled Fee Fee Increase Taxes 2010 ProDosed
Electncal WorK Pemllts $9375 $11990 2789% 167% $1566 873% $1049 250% $10941
Pole Attachments $11 50 $1380 2000% 955% $1'0 873% $120 3783% $1585
Construction Contnbutlon Vanes Varies 957% 000% $000 873% Vanes N1A N1A
Connection Fees $713 $771 811% 000% $000 750% $5780 750% $771
une extenSions OH & UG\ $410 $443 810% 000% $000 750% $3320 750% $443
8
Proposed 2010 Fee Increases
Water Utility
2010 Total 2010 Proposed 2010 Proposed FCS Group
Waler Utlhtv. ResldentJal 2009 Fees Pronosed Fee Fee Increase Taxes 2010 Pmnosed
ConnectlonS/Blnch $980 $1163 1864% 500% $4900 1150% $13370 2143% $1190
Connecllon3f41nch $980 $1,163 1864% 500% $4900 1150% $13370 2143% $1190
Connection 1 Inch $1060 $1,258 1864% 500% $5300 11 50% $144 60 2170% $1290
5 tem Develo menl $1510 $11061299% 000% $000 11 50% $19620 N1A N1A
2010 Totat 2010 Proposed 2010 Proposed FCS Group
Water UIJhlv. Commercel 2009 F.., Proposed Fee Feetncrease Taxes 2010 Pronosed
Connection 1 Inch $1515 $1712 1300% 000% $000 1150% $19690 000% $1515
Connection 1-1f21nch $2700 $3203 1864% 500% $13500 1150% $36840 2278% $3315
Connection 2 Inch $2700 $3203 1864% 500% $13500 11 50% $368 40 2278% $3315
9
5
Proposed 2010 Fee Increases
Wastewater Utility
Wastewater UtJhtv 2010 TotaJ 2010 Proposed 2010 Proposed FCSGroup
2009 Fees Prnnosed Fee Fee Increase Taxes 2010 Pro~ed
Sa llc Hauler Fee $70 $80 1429% 120% $084 1150% $916 NfA NfA
Sewer Perrmts $135 $155 1481% 160% $216 1150% $1784 NtA NfA
Stem Develo menl $1510 $1,706 1299% 000% $000 1150% $19620 NtA NfA
10
Proposed 2010 Fee Increases
Service Fees
2010 Total 2010 Proposed 2010 Proposed FCS Group
Sel'Vlce Fees 2009 Foes Pro.........ed Fee Fee Increase Taxes 2010Pro~
ElectncUtJh $25 $30 20 00% 650% $163 1137% $338 NtA NfA
WaterUbll $25 $30 20 00% 630% $158 1150% $343 NtA NfA
Wastewater Ullll 525 S30 20 00% 630% $158 1150% $343 NtA NfA
Collection Utility S25 S30 20 00% 200% $050 1510% $450 NfA NfA
Se!'V1ce Fee IS ed 10 nol a I to Yard Waste contaIners be and the f1l"ilt container
$25 $30 20 00% 430% $1 0811310% $3 93 NtA NfA
Transfer Station Utility SeMce Fee IS propsed to also apply to reader card and transponder card replacement not
due to nannal wear and tear
11
6
Study Summary
Electric Utility
12
Electric Assumptions
.2009 Revenues T$1,219K
.2009 O&M - T 3, 195K
.2010 rate defiCiency 0%
.2010 rate adjustment proposed 0%
.-7% SPA Wholesale Increase (no step)
. Reduction of "Lookback Credit"
. No SPA Transmission Increase
13
7
Electric Assumptions
-Industrial Transmission Pass-Through
-Electric work permit - 2nd of 3rd year
cost recovery proposed
-Pole attachments - 1 st of 4th year
extended cost recovery proposed
-No staff additions (2 of 3 crew unfilled)
aUght operation facIlity contribution
-Additional debt service
14
Electric Assumptions
-Rate stabilization adequate
-No 2010 COLA
-10% Medical/Dental Insurance Increase
-Tier 2 expanded conservation program
-2011 enhanced revenues due to meter
error, shrinkage, meter reading
-Street lighting description & master-
metered street lights clarifications
-2011 economic development State law
sunset
15
8
Electric Study Findings
Capital Facilities Plan
Caoltal Facllltres Plan 2009 2010
Elwha Mitigation 255 -
Downtown Upgrades 60 -
Upgrade College Substatlon 50 -
Laurel Substatron Structure 105 -
Replace Cable @ Crabapple Road 50 -
Replace Cable In Plaza Mall 90 -
Rayonler Transmission Lme Renovation 30
Demand Management Tier 2 GeneratIOn - 30
F Street 1202 Upgrade - 170
WA Substation Transmission llna Renovatr - 200
Cable Restoration Phase II - 100
Morse Creek Hydro Improvements - 75
Advanced Metermg Infrastructure - 2777
SPA Demand Response & Smart Gnd - 500
Total 640 3.852
16
Electric Study Findings
Capital Facilities Plan ($1,000)
CaPital FacIlities Plan Fundrna Sources 2009 2010
CFP Beglnmng Cash 254 -
Other Note Proceeds - 2,777
Department of Energy 500
Cash/Rate Financed ContnbutJon 281 500
Morse Creek Hydro Reserve - 75
Elwha MttlaallOn 105
CFP Endmo Cash - -
17
9
Electric Study Findings
With 0% Rate Increase
Revenue Requirements ($1,000)
Desen tlon 2009 2010
Dlstnbutlon System Sales 17317 17,317
Industnal TransmissIon Sales 11,001 12,375
Permit & Construction Related 338 386
Miscellaneous 247 192
Pole Rental 59 71
Total Revenues 28 962 30,341
Operation & Mamtenance 5,973 6,644
Purchased Generation & TransmissIon 17,235 19,387
Taxes 2,814 2,867
Transfer Payments 352 194
Debt Service 451 565
Matenals - Job Cost 520 520
Total Exoenses 27,345 30177
Revenues Less Expenses 1,617 164
18
Electric Study Findings
With 0% Rate Increase
Ending Fund Balances ($1,000)
T e of Reserve 2009 2010 Target
Ending OperatIng Cash Balance 5,712 5,876 2,000
Ending Rate Stabilization Balance - Tier 2 900 900 900
Ending CFP Balance - - -
Endmg Morse Creek Hydro Balance 105 30 -
Endmg Bond Reserves 173 395 395
Endlna Lloht Ooeratlons Center Balance 536 641 2000
Total Reserves 7425 7842 5,295
19
10
Study Summary
Solid Waste Collection Utility
20
Coliection Assumptions
- 2009 revenues T $88K
-20090&M T$15K
- 201 0 rate deficiency 11.9%
- 201 0 rate adjustment proposed 0%
- No signrflcant growth In 2010
- No 2010 COLA
-10% Medical/Dental Insurance
Increase
-Increased disposal costs
21
11
Collection Study Findings
With 0% Rate Increase
Revenue Requirements ($1,000)
Descnptlon 2009 2010
Residential Weekly 1.199 1.199
Residential Every-Other-Week 770 770
ResIdential Yard Waste 205 205
Commercial 941 941
CommercIal Recyclmg 5 5
Investment Interest 110 77
MIscellaneous Revenues 15 16
Total Revenues 3.245 3.213
O&M 1024 943
Administration & General 452 481
Disposal Charges 954 995
Recyclmg, Yard Waste, ace 588 601
Taxes 366 358
Transfer Payments 150 150
Debt SaMee - -
Total Ex enses 3533 3.528
Revenues Less Expenses (289) (315
22
Collection Study Findings
With 0% Rate Increase
Ending Fund Balances ($1,000)
Type of Reserve
Endma Operatma Cash Balance
Total Reserves
I 2009
I 3.152
3,152
2010 I Target t
2.837 I 750
2.837 I 750
23
12
Study Summary
Water Utility
24
Water Assumptions
-2009 revenues T$61K
-20090&M T$51K
-2010 rate deficiency 8.3%
-2010 rate adjustment proposed 8 5%
-New Water Treatment Plant
-Water Treatment Plant O&M Fund
-PAWTP net cost $273K (6.9% of 8.5%)
-No significant growth in 2010
25
13
Water Assumptions
-Refunded bond debt service savings
-Connection fees - 2nd of 4th year
extended cost recovery program
- No 2010 COLA
-10% Medical/Dentallnsurance
Increase
- No Rate Stabhzatlon Fund
- Additional debt service
- Fire hydrant clarification
- Leak ordinance clarification
26
Water Study Findings
Capital Facilities Plan ($1,000)
CaMal Facllltles Plan 2009 2010
Directed Services 85 55
McDougal Pump 40 500
Dry Creek Water Settlement 150 -
Computer Maintenance Management System 75 -
Design fOf Morse Creek Water Line - 100
Design Phase II TransmISSion Line - 575
Advanced Metenng Infrastructure 1,113
BI-Annual Reolacements 150 150
Total 500 2493
27
14
,r
Water Study Findings
Capital Facilities Plan ($1,000)
Capital Faclhtles Plan Fundma Sources 2009 2010
CFP Beginning Cash 182 .
Other Note Proceeds . 1.113
PWTF Loan Proceeds . 1075
Treatment Plant O&M 75 .
Cash/Rate Financed Contnbutlon 243 305
CFP Endlna Cash . .
28
Water Study Findings
With 8.5% Rate Increase
Revenue Requirements ($1,000)
Descnctlon 2009 2010
Imgatlon Sales 121 131
Resldentlal Sales 3.114 3379
CommerCIal Sales 1.354 1.469
PUD Wholesale Sales 260 282
Elwha & Industnal Sates 16 16
Other Fees 83 94
Investment Interest 50 35
Miscellaneous Revenues 305 343
Total Revenues 5,182 5617
O&M 1.856 2145
Admmlstratlon & General 1175 1.172
UtilitIes 209 227
ChemIcals 115 81
Taxes 717 n8
Transfer Payments 422 360
Debt SelVlC8 848 843
Total Ex enses 5343 5606
Revenues Less EXDGnses ~ -161 11
29
15
Water Study Findings
With 8.5% Rate Increase
Ending Fund Balances ($1,000)
Type of Reserve 2009 2010 Target
Ending Operating Cash Balance 1,628 1,639 1,250
Ending Rate Stabilization Balance - - -
Ending Treatment Plant O&M 7825 7667 7667
Ending Bond Reserves 339 428 428
Endlna CFP Balance -
Total EndlnQ Reserves 9,792 9734 9345
30
Study Summary
Wastewater Utility
31
16
Wastewater Assumptions
02009 revenues A $360K
020090&M A$139K
02010 rate deficiency 19.8%
02010 rate adjustment proposed 4.0%
02010 CSO adjustment proposed 30.0%
oNo significant growth in 2010
oRefunded bond debt service savings
oNo 2010 COLA
010% Medical/Dental Insurance Increase
32
Wastewater Study Findings
Capital Facilities Plan ($1,000)
CaOltal FacIlities Plan 2009 2010
Additional Design for CSO Phase I 1,680 700
Preliminary Septage ReceJVlng StatIon 28 103
Directed SelVlces 60 65
Dry Polymer Feed Replacement 54 0
BI-Annual Line Replacements 275 0
EUGA Cost Settlement 640 0
Plant Headworks Design 25
Carbon Scrubbers for WWTP 53
Waste ActJvated Sludge Thlckenmg 0 105
Sewer Trestle at FranCIS & 8th 0 75
Pump Replacements at PS#3 0 145
Advanced Metenna Infrastructure 0 1.113
Total 2,762 2,359
33
17
Wastewater Study Findings
Capital Facilities Plan ($1,000)
Capital FaCIlities Plan FundmQ Sources 2009 2010
CFP Beginning Cash Balance 3,703 2,773
Construction Contnbutlon 376 .
Other Note Proceeds . 1,113
PWTF Loan Proceeds 1428 595
Cash/Rate Financed Contnbubon . 546
Septic Waste Fund 28 103
CSO Reserve Fund . .
CFP EndmQ Cash Balance 2773 2770
34
Wastewater Study Findings
With 4.0% & 30.1 % eso Rate Increases
Revenue Requirements ($1,000)
Descnotlon 2009 2010
Residential 3,158 3,284
Commercial 1,153 1,199
Septic Disposal 326 368
Leachate 139 163
Combined Sewer Overflow 1128 1467
Investment Interest 240 167
Miscellaneous Revenues 249 141
Total Revenues 6,393 6789
O&M 2316 2,383
AdmmlstralJon & General 906 875
Uttlltles 200 205
Chemicals 65 62
Taxes 725 787
Transfer Payments 1195 2068
Debt Service 1123 1290
Total Exoenses 6,530 7,670
Revenues less Expenses (137 1881)
35
18
Wastewater Study Findings
With 4.0% & 30.1 % CSO Rate Increases
Ending Fund Balances ($1,000)
ITvoe of Reserve 2009 2010 Target
Ending Operating Cash Balance 2,932 2,051 1,250
Ending Rate Stabilization Balance 1,130 1,130 500
Endmg Combined Sewer Overflow Balance 1,668 3,135 -
Septic Waste Cash Balance 298 564 728
Endmg Bond Reserves 583 672
EndlnQ CFP Balance 2773 2,770 -
Total Reserves 9383 10,321 2478
36
Study Summary
Transfer Station Utility
37
19
Transfer Station Assumptions
-2009 revenues T $1, 195K
-20090&M T$1,191K
-Significantly effected by recession
-2010 rate adjustment need 30.0%
-2010 rate adjustment proposed 45%
-Blue Mountain rate adjustment proposed 0%
-No significant growth in 2010
-Planned use of reserves through 2011
-No 2010 COLA
38
Transfer Station Assumptions
-10% Medlcal/Dentallnsurance
Increase
-Reduced long-haul service fees
39
20
Consumer Price Index
300
275
250 --- ----
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-- --
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225 .../ ~
.
. 200
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'25
<0"
" 1t" ,# # ~ ~ ,- " " " ".
f> f> f> f> f>
40
Fuel Price Index
800
700
800
500
.
. 400
~
.E
300
200
'00
/////////////////
-WaslColIstActullis -Wfl$tCoast Precllcbon
41
21
Transfer Station Study Findings
With 4.5% Rate Increase
Revenue Requirements ($1,000)
Descnotlon 2009 2010
Collection Entities 2175 2,272
Self-Haulers 1,269 1,326
Yard Waste & Compost 217 227
Elwha & FEMA 0 0
Intra-Fund Transfers 199 269
MIscellaneous Revenues 623 566
Blue Mountain Drop Box 219 219
Total Revenues 4,483 4,660
O&M 609 601
Administration & General 391 401
Transfer Station Operations 812 849
Long Haul & Disposal 2,015 1,938
Debt SelVlce 753 753
Post-Closure Mamtenance 199 269
Taxes 407 425
Transfer Payments - 337
Blue Mountain Drop 60x. 220 222
Total Expenses 5,406 5794
Revenues Less Expenses (923) (1.135)
42
Transfer Station Study Findings
With 4.5% Rate Increase
Ending Fund Balances ($1,000)
Tvpe of Reserve 2009 2010 Target
Endmg Operating Cash Balance 1987 1121 $1 OSM Target
Endmg Closure Balance - - -
Ending CFP Balance - - -
Endlna Post-Closure Balance 3560 3628 $3 62M Target
Total Reserves 5,547 4,749
43
22
Study Findings
What's Next?
-JS'tJAB rccommcndatlon
-September 8, 2009 Utility Advisory Committee
Meeting
-September 15, 2009 City Council sets public
hearing
-October 6, 2009 City Council public hearing
-October 20, 2009 City Council public hearing
continuation
-Proposed rates effective January 4, 2010
44
23
~ORTANGELES
WAS H I N G TON, USA
Utility Advisory Committee Memo
Date:
September 8, 2009
To:
Utility Advisory Committee
From:
Phil Lusk, Power Resources Manager
Subject:
Northwest Energy Efficiency Alliance Contnbutlon
Summary: The Conservation Rate Credit program ends on September 30, 2009 While the
amount of unspent dollars m the conservatIOn program's budget has decreased slgmficantly dunng
the past SIX months, the City has a chOice on how to deal With the residual balance when the
program termmates 1) Return money to the BonneVille Power AdmmlstratlOn or 2) Provide a
contnbutlOn to the Northwest Energy Efficiency Alhance supportmg regIOnal energy efficiency
programs
Recommendation: Forward a favorable recommendation to City Council to authorize a
contribution to the Northwest Energy Efficiency Alliance in an amount up to $150,000.
Background/Analysis: The current Bonneville Power Admmlstratlon (BP A) ConservatIOn
Rate Credit (CRe) program ends on September 30,2009 While the amount ofunobhgated dollars
m the City'S conservatIOn program budget has decreased slgmficantly dunng the past SIX months, a
chOice must be made on how to deal With the residual balance of$125,000-$150,000 before the
CRC program concludes at the end of the month
Staff has Identified two speCific optIOns the City could use. 1) Return the money to the BPA, or 2)
Provide a contnbutlOn to the Northwest Energy Efficiency Alliance (NEEA) that supports regIOnal
energy efficiency programs (please see the attachment for NEEA background mformatlOn)
In the event OptIOn liS exercised, the funds would simply revert back to the BP A With no regIOnal
or local benefits to the City's conservation program In the event that OptIOn 2 IS exercised,
regIOnal benefits Will occur and the City Will be able to claim the contnbutlon amount under the
CRC and 75% of the associated energy savmgs would be credited towards the City's upcommg
Tiered-Rate High Water Mark If the contnbutlOn IS made, NEEA Will be responsible for fundmg
regIOnal energy efficlCncy mltlatlves that result m substantiated energy savmgs NEEA will also be
reqUired to provide a report to the City documentmg how the funds were spent no later than
October 31,2010
While the speCific dollar amount cannot be prOVided at this time, Staff requests that the Utlhty
AdvIsory Committee forward a favorable recommendatIOn to City Council to authonze a
contnbutlon to the NEEA m an amount up to $150,000
N \UAC\Fmal\NEEA ContnbutlOn doc
-{ -.. NORTHWEST
:. ENERGY EFFICIENCY
~~ ALLIANCE
OUR HISTORY
11,e Northwesr Energy Efficlency Alliance (NEEA) was
founded In 1996 rhrough fundIng provided by Norrhwesr
uulmes to encourage the development and adoptIon of
energy-efficient technologIes and busmess practices Local
unlmes deClded rhar by collaborarIng under rhe banner of
NEEA rhey could have a grearer Influence on rhe regIOnal
markerplace, helpIng rhem more qUlckly ach,eve rhelt
energy effiCiency goals The nonprofit organIzation IS
;upporred by eleemc utilines, Bonneville Power Admullsttanon,
Energy Trust of Oregon, state governments, and energy
effiCIency mdustry representatIves In Idaho, Montana,
Oregon and WashIngron
NEEA was founded to complement, not replace, the strong
assers of local unhry energy effiCiency programs Through
the combmed effort of energy consumers, uulmes, BonnevIlle
Power Admmlstratlon and Energy Trust of Oregon, the
Northwest IS vIewed as a nanonalleader In energy effiCIency
WHAT IS ENERGY EFFICIENCY?
Energy effiCIency IS slmply USIng energy more efficlenrly-
gettmg more out of the same kilowatt-hour of electnclty
While OUf own energy use IS somethmg we often take for
granted, the production of energy has sOCietal costs and
environmental Impacts Us10g products and servICes that
employ energy-efficIent technologies IS a way every person
and bus10ess can reduce those Impacts, lower energy bills,
and 10 many cases, Increase the productIVIty, comfort and
hvabIl1ry of rhe home or workplace
WHY SHOULD WE INVEST IN ENERGY EFFICIENCY?
SavIng a kllowarr-hour of electrIcity rhrough energy effiCIency
IS the most cost-effeCtive way to meet the growmg demand for
energy In the regIon The alternatIve IS buddmg new power
plants and chstrIbunon hnes Energy effiaency IS also rhe
most fiscally and eco-responsIble way to save energy Because
of rhls, It should be considered our firsr ptlonty as a regIOn
NEEA'S FUNDERS
NEEA IS currently funded dlrecrly by 12 electnc unlmes,
rhe BonneVille Power Admlfilsttanon and Energy T rusr of
Oregon These Invesrmenrs are pooled and used ro fund
region-Wide energy effiCiency projects
BENEFITS OF ENERGY EFFICIENCY
By rhe end of2007, rhe Northwesr regIon had saved 210
average megawatts through NEEA's market transformatlon
mltlatlves and other related utlllty and state efforts ThIS IS
enough electncIty to power more than 145.000 homes for a
year In addmon to the environmental benefits. the
economIC benefits of energy effiCiency touch all reSidents
and bus10esses In the regIon SaVIng energy and reducmg
cosrs helps boost local economles by freeIng up money
for Northwest consumers and bUSInesses
MARKET TRANSFORMATION
At the hIghest level, NEEA uses a strategIc process called "market ttansfotmatIOn" to help change
behavlOrs and busmess practices wlthm the residential, commercial and mdustnal sectors Market
transformatIon Involves IdentifyIng and removmg market barners, and explomng opportumnes
to accelerate the adoptIon of energy efficIency as standard practIce
HOW NEEA WORKS IN THE MARKETPLACE
LEVERAGE
NEEA leverages the resources and mfluence of ItS partners m order to achieve regiOnal
economies of scale for energy-effiCient products and serVICes By workmg together, we are
able to have a greater Impact on the Northwest marketplace
TECHNOLOGY
New technologIes ready for commerCializatIon are brought to the Northwest where NEEA
works to encourage market adoptIon of the<;e energy-efficient products and servICes
RESOURCES
RegIOnal resources IOl..1udmg market strategIes, relatIonshIps WIth experts m the marketplace,
as well as trammg and marketing platforms prOVIde addmonal opportunItIes for NEEA's
partners to connect wIth thelt cusromers
Northwest Energy EffICiency Alliance . 529 SW Third Avenue, SUite 600 Portland, Oregon 97204
503-827-84t6 . 800-411-0834 . 503-827-8437 (Fax) . wwwnwalllanceorg
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TACOMA 1c POWER
T..~D"" ~UOL'C UT'L'T'"
Date:
To:
From:
Subject:
~ORTANGELES
WAS H I N G TON, USA
Utility Advisory Committee Memo
September 8, 2009
Utility Advisory Committee
Larry Dunbar, Deputy Director of Power Systems
Western PublIc Agencies Group Consultmg Agreement Amendment No 1
Summary: The Western PublIc AgencIes Group represents the mterests of ItS electnc utilIty
members before the BonneVille Power AdmmlstratlOn The City'S current share of the 2009
proposed scope of work IS $10,365 out ofthe total WPAG budget of $230,000 The scope of
services for the remamder of this year Will mcrease the City'S cost by $4,056
Recommendation: Forward a favorable recommendation to City Council to authorize the
City Manager to sign an amendment to the agreement with EES Consulting, Inc., and Marsh
Mundorf Pratt Sullivan & McKenzie in an amount not to exceed $4,056, which increases the
maximum compensation under the agreement from $10,365 to $14,421.
Background/Analysis: The Electnc UtilIty IS a member of the Western PublIc Agencies
Group (WP AG) along with twenty-two other publIcly owned electnc utilIties WP AG members
serve more than one millIon customers and purchase more than 6 billIon kilowatt hours from the
BonneVille Power AdmmlstratlOn (BPA) WPAG represents the mterests of ItS members before
BPA, and has mtervened m every major BPA rate proceedmg smce 1980. EES Consultmg, Inc,
provides WP AG techmcal and finanCial servICes and legal services are provided by Marsh
Mundorf Pratt Sullivan & McKenZIe
Each year WP AG proposes an agreement and scope of services to ItS members, which IS allocated
to each utilIty based on average customers, energy sales, and capital mvestrnents On January 6,
2009, City CounCil approved an agreement With EES Consultmg, Inc, and Marsh Mundorf Pratt
SullIvan & McKenZie m an amount not to exceed $10,365 Due to the complexity of several key
Electnc UtilIty Issues that have reqUired more consultmg time than anticipated, WPAG has
mcreased the City'S cost of membership by $4,056 (from $10,365 to $14,421) The Electnc UtilIty
budget m 2009 for WPAG membership IS $20,000. A copy of the proposed budget addendum
mcludmg a descnptlOn of the additional scope of services IS attached.
It IS recommended that City CouncIl authonze the City Manager to Sign an amendment to the
agreement With EES Consultmg, Inc , and Marsh Mundorf Pratt Sullivan & McKenZie m an
amount not to exceed $4,056, which mcreases the maximum compensatIOn under the agreement
from $10,365 to $14,421
Attachment: 2009 WP AG Budget Addendum
N \UACIFmal\WPAG MembershIp Budget Addendum doc
FORTANGELES
WAS H I N G TON, USA
Utility Advisory Committee Memo
Date:
September 8, 2009
To:
Utility Advisory Committee
From:
Larry Dunbar, Deputy Director of Power Systems
Subject:
Bonneville Power AdmllllstratlOn Power Sales Agreement Amendment No I
Summary: The BonneVille Power AdmllllstratlOn offered the City an optional amendment to the
Power Sales Agreement The proposed amendment IS consistent with the Tiered Rate
Methodology, which was finahzed after the Power Sales Agreement was accepted by the City
Recommendation: Forward a favorable recommendation to City Council to authorize the
Mayor to accept amendment No.1 to the Power Sales Agreement with the Bonneville Power
Administration.
Background/Analysis: On November 18,2008, City Council authonzed the Mayor to
accept the Power Sales Agreement with the BonneVille Power AdmllllstratlOn (BP A) that IS III
effect through September 2028 The pnmary change III the Power Sales Agreement was a shift
from average embedded melded rates to a Tiered Rate Methodology (TRM)
The proposed amendment to the Power Sales Agreement replaces several defimtlOns and sectIOns
to be consistent with the TRM, which was finahzed after the agreement was accepted by the City
The proposed amendment IS optIOnal and If the City plans to proceed must be accepted by October
30, 2009 If the City does not accept the amendment at thiS time It will be reqUired at a later date
Staff recommends that the Utlhty AdVISOry Committee forwards a favorable recommendation to
City Council to authonze the Mayor to accept amendment No I to the Power Sales Agreement
with the BonneVille Power Admllllstratlon
N \UAC\Fmal\BPA Power Sales Agreement Amendment doc
Date:
To:
From:
Subject:
-,
FORTANGELES
WAS H I N G TON, USA
Utility Advisory Committee Memo
September 8, 2009
Utility Advisory Committee
Larry Dunbar, Deputy Duector of Power Systems
TransmissIOn Agreement for the Morse Creek Hydroelectnc Project
Summary: Tbe TransmissIOn Agreement for the Morse Creek Hydroelectnc Project between the
Clallam County Public Utility Dlstnct No I and the City has expired A new agreement has been
prepared that contmues to provide services that are beneficial and of approximately equal value to
both parties
Recommendation: Forward a favorable recommendation to City Council to authonze the Mayor
to accept the TransmissIOn Agreement for the Morse Creek Hydroelectnc Project with the Clallam
County Public Utility Dlstnct No I, and authonze the City Manager to make mmor modificatIOns
to the agreement, If necessary.
Background/Analysis: On February 2, 1988, the Clallam County Public Utility Dlstnct No
I (Dlstnct) and the City executed a TransmissIOn Agreement for the Morse Creek Hydroelectnc
Project As part of the agreement the Dlstnct transmits the Morse Creek Hydroelectnc project's
electncal output across ItS dlstnbutlOn facilities to the Bonneville Power AdmmlstratlOn' sPort
Angeles substatIOn Tbe City m exchange transmits water from the Morse Creek dIversIOn dam
usmg the Dlstnct's water nght to the Dlstnct's water treatment plant The agreement was
mutually beneficial to the Dlstnct and the City There was no Dlstnct charge to the City for
electncal transmisSion, nor was there any City charge to the Dlstnct for water transmiSSIOn The
agreement had a twenty year term and expued m 2008
Replacement of the expired agreement was delayed to mcorporate the Federal Energy Regulatory
CommiSSIOn license and Washmgton State Clean Water Act 401 certificatIOn, which the City
received earlier thiS year A separate transmiSSIOn agreement between the BonneVille Power
AdmmlstratlOn, the Dlstnct and the City IS mcorporated by reference, which will be expmng at the
end of September 20 II The proposed agreement IS an update of the last agreement and mcludes a
twenty-seven year term to coinCide With the term of the wholesale water agreement
Staff recommends that the Utility AdVISOry Committee forwards a favorable recommendatIOn to
City Council to authonze the Mayor to accept the TransmissIOn Agreement for the Morse Creek
Hydroelectnc Project With the Clallam County Public Utility Dlstnct No I
N \UAC\Fmal\Morse Creek TransmIssIOn Agreement doc