Note: Commission audio links should be active by end of business Friday, 8/29.

Grant PUD commissioners unanimously approved Resolution No. 9100 on Tuesday, Aug. 26 to begin formal easement condemnation proceedings for 10 parcels of private property along the path of the Wanapum to Mountain View 230 kilovolt transmission line.  

The line will convey electricity from the Wanapum switchyard near Wanapum Dam along a 32-mile route north to the Mountain View Switchyard near Quincy. The project, expected to be energized in 2029, is needed to address customer applications for new and expanding service in the Quincy area and provide greater reliability to the whole community.   

The commission tabled a condemnation vote in April to provide more time for the utility to negotiate easement solutions with property owners on the route. In the proceeding months, staff and commissioners met with most of the property owners and worked to resolve their individual concerns. The utility needs to secure easements on 130 parcels of land for the project, as of Tuesday 28 easements were outstanding.   

With the resolution passed, Grant PUD’s attorneys will now work to bring the condemnation proceedings to Grant County Superior Court, asking the court to provide for acquisition of the easements for the transmission lines by condemnation. Along with providing for access to the 10 parcels, the court may resolve disputes over the value of the property easements.  

Several property owners and other interested parties spoke to the commissioners asking that they take more time to examine alternative routes, address their concerns over easement valuations, address the impacts to their property, and evaluate project costs before voting on the resolution.  

Commissioner Larry Schaapman explained that the cost of the project has increased from a preliminary project estimate of $34 million to $86 million because the commission agreed to combine a rebuild of the distribution power lines running along the route with the transmission line. That decision and the impact of inflation on the cost of materials and labor have contributed to the increase in costs. The cost of building the project will be recovered through increased power sales.  

Commissioner Nelson Cox said he appreciated all the work that Schaapman did to listen to the property owners and meet with each of them and members of the Grant PUD staff to help resolve their concerns.  

“I’d like to thank Larry,” Cox said addressing Schaapman. “He has put hundreds of hours in this trying to help in any way possible. … He gave it his all.” 

The decision to move forward with condemnation was something the commission wasn’t taking lightly said commissioner Tom Flint.  

Commissioner Judy Wilson agreed.   

“This is difficult for all of us,” Wilson said. “It’s not something that we want to do, but it’s a project we have to proceed with. I think it’s necessary action we have to take to move the project forward.” 

Terry Pyle, president of the commission, said that approval of the condemnation resolution does not change Grant PUD’s desire to continue working toward easement agreements with the parcel owners.  

“We’re trying to work with you to find resolutions,” he said. Adding that If resolutions could be found with the property owners, their parcel would drop out of the condemnation process.  

For more information see pages 159 to 183 of the commission packet. Hear the full discussion during the public comment period at 2:00:14 on the commission audio, and the condemnation vote and concluding discussion at 2:29:45 on the commission audio.


Forecasts show costs and rates on the rise

Current forecasts show that electric rates for “core customers” – residential, ag and small and medium-sized businesses will need to increase annually through 2034 to cover forecasted increases in power production and delivery costs, Grant PUD commissioners learned Tuesday. The size of the increase is still under assessment.

The increases take into account that these customer groups will receive the lowest rates possible based on Grant PUD’s lowest-cost electricity, which currently is the power generated at Priest Rapids and Wanapum dams.

Over the same period, non-core customers, including large industrials, will face even larger increases through 2034 to cover the cost of new power resources.  

Increases for all customers could be reduced by creating a “bridge rate reserve” fund during strong financial years, staff experts told commissioners.

The need to depend more on rate revenue to cover expenses comes as expected revenue from wholesale power sales declines, staff experts said. Power-production costs will increase as Grant PUD acquires or develops new, costlier energy resources to cover the county’s growing demand.  

“Well, our world is changing, isn’t it,” Commissioner Tom Flint said of wholesale revenues that, over time, may no longer be enough to help keep rates lower.

Staffers will continue refining their estimates over the coming months toward creating a formal rate proposal by year end.

See the full report on pages 1-35 of the presentation materials. Here the full discussion at 20:18:06 on the commission audio.


Commissioners also:

-- Heard that retail energy sales through June were nearly 6% below budget, a decline of about 45 megawatts of electricity. Staff experts pointed to energy-use forecasts from the utility’s largest customers, which also came in below those company’s expectations and are expected to, again, from July-September. Grant PUD staff are exploring what incentives they can create to entice large customers to forecast their energy use more precisely.  See the full report on pages 36-56 of the presentation materials. Here the full discussion at 51:56 on the commission audio.

-- Heard that despite the decline in retail revenue from lower retail loads ($23 million reduction in revenue compared to budget for 2025) that the District is in a strong financial position resulting from other areas of the budget outperforming initial expectations. The forecasted Change in Net Position is projected at $366 million for fiscal year 2025.   Wholesale energy prices were noted as being 18% higher than budgeted combined with reduced new energy resource costs in 2025.  Interest income is projected to outperform  the budget by $10.4 million and operating costs are projected to be 4% below budget providing for a $10.6 million favorable underspend.  The largest favorable to budget variance  was the non-budgeted line item of the Climate Commitment Act auction proceeds totaling $82.4 million.  These funds by state statue are restricted in nature for specific qualified purposes. This was one of a host of brief presentations on the proposed 2026 budgets, per department. That discussion begins at 2:38:41 on the commission audio and on pages 81-150 of the presentation materials. 

--Included in the financial forecast is a plan to pay down $96.5 million in debt as part of Grant PUD's debt-management strategy.  The reduction in debt service costs are reflected in the future financial projections. See the full report on pages 67-79 of the presentation materials. Hear the discussion at 1:41:11 on the commission audio.

-- Unanimously approved Resolution 9097 amending updates to the fee schedule to align Grant PUD’s Request for Public Records Policy to state rates. See detailed changes on pages 1-32 of the commission packet.

-- Unanimously approved Resolution 9098 amending Grant PUD’s Customer Service Policy, updating a new fee schedule for large power applications, retail waiving authority limits and back billing policy. See detailed changes on pages 33-154 of the commission packet (large load application fee schedule is on page 143).

-- Unanimously approved Resolution 9099 providing for filing a proposed 2026 budget and setting public budget hearing date of Oct. 14, 2025, coinciding with the regular commission meeting. See pages 155-158 of the commission packet for more details.

 -- Unanimously approved a motion to increase the not-to-exceed amount by $307,978 for a new contract with NC Power System for a total of $1.011 million for necessary switchgear and controls for a new emergency diesel generator at Wanapum Dam. See pages 185 to 188 of the commission packet for more information.