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Flint proposes drop in electric rates

by David Cole<br>Herald Staff Writer
| March 15, 2006 8:00 PM

EPHRATA — In a speech Monday, Tom Flint silenced and surprised his fellow PUD commissioners by proposing an across-the-board rate reduction of up to 4 percent starting July 1.

Since adopting a new industrial rate schedule in October 2005, Grant County Public Utility District officials have not discussed electrical rates.

A large audience filled the commission meeting room to hear Flint's speech during Mondays regular meeting. His fellow commissioners listened but did not comment.

On Tuesday, Commission President Randy Allred said Flint's proposal came as a "very big surprise." He called it "premature." The commission, he said, had not planned on new rate discussions.

"(But) we will have a discussion about it," Allred said.

He acknowledged support existed for Flint's proposal, but said there are others who would be against a rate reduction.

"There's support both ways," Allred said. "But can we really afford it?"

Overall, Flint requested both a sweeping electric rate reduction of up to 4 percent by July and the elimination of a projected 6 percent rate increase for 2011. The projected rate increase was revealed last year during budget negotiations and was the product of financial forecasting.

A 4 percent rate spike in 2003, triggered in large part to a massive energy crisis in 2001, should now be rolled back, Flint said.

"In 2001 we worked through the west coast power crisis and the worst drought on record, causing a 4 percent rate increase in 2003," Flint said. "This would put all of the 2003 rate increase, or $4 million a year, back into our ratepayers' pockets."

The district, Flint said, should also move ahead on a countywide build out of its fiber optic communication system, called the Zipp Fiber Network. Last year the commission majority voted to halt build out of the system.

"We propose that we move ahead with the countywide fiber build out," Flint said. "With the recent interest by Microsoft, Yahoo and others, the future of fiber has been verified and justified by them as well as others.

"It is time for us to move on," Flint said. "As we need to get back on the right track with this countywide infrastructure project for everyone."

Allred was critical of Flint's overall proposal.

"You can't try to do everything for everyone," Allred said.

PUD General Manager Tim Culbertson did not return a phone message seeking comment.

Flint said Commissioner Vera Claussen shares his goals. Claussen confirmed her support Tuesday.

"Given the excellent financial condition of the district," Flint said. "We can do all these things while still maintaining a very, very conservative financial position."