EPHRATA — After all expenses are paid the Grant County Public Utility District is projected to end 2025 at about $192.25 million in the black. The proposed 2025 budget was presented at two public hearings Tuesday. 

Expenses for 2025 are projected at $367.8 million; projected expenses for 2024 were about $347.2 million.  

Bryndon Ecklund, PUD lead financial analyst, said operations and maintenance expenses – the cost of doing business every day – are projected to increase about 12.6% when compared to the updated budget forecast for 2024. 

The demand for PUD services is projected to increase, but not as fast as anticipated earlier.  

“That’s the result of delayed construction as it relates to industrials,” Ecklund said. “The load we were expecting to see there is being delayed a little bit. Once we get out to 2026, 2027, that load forecast then increases over our prior load forecast.” 

Demand for PUD power is projected to grow by about 11.2% in 2025. 

The PUD is expected to make more money from its power sales, as the price it receives at auction increased in summer 2023 and has remained at higher levels in subsequent auctions, Ecklund said.  

Terrah Bicondova, manager of budget and reporting, said costs have gone up in most categories of operation. The utility hired additional people, raised salaries and benefits; labor costs are projected to increase by about 11%.  

Purchased services include consultants and other specialists and costs are budgeted to increase by about 25%. Operating materials and equipment costs are projected to increase by about 16%. General and administrative costs should increase by about 11.7%. 

“Costs that are in that category can be regulatory expenses, travel, training, miscellaneous operating expenses, things like that, Bicondova said.  

Insurance, technology and risk management costs also are budgeted to increase, she said. 

The PUD also has construction projects planned; Ecklund said spending on those, called capital projects, is projected to increase by about 47%, about $81 million. 

“We’re seeing a shift from our spending for capital being down at the dams to the electric system being a large driver of the capital spending,” he said.  

Spending on capital projects was projected at about $239.87 million. Utility district managers have identified 10 projects as priorities.  

“That’s essentially the projects that, if selected to fund them, that’s the total amount our project managers have said we could look to spend on (them) next year,” he said. “We have an all-day workshop (planned) to sit down with our portfolio working group, identify projects for funding and prioritize where we’re going apply that budget,” he said.  

Priority projects include the continuation of a multi-decade project to upgrade turbines and generators at Priest Rapids Dam, the start of planning and construction for a new maintenance facility, called a service center, in Ephrata and the planning for a new service center in Moses Lake. The list also includes work on a new transmission line between Wanapum Dam and the Quincy area, new transmission lines around Quincy and Royal City, and upgrades to the substation near Ruff. 

“We look at every single project that’s in the queue,” Ecklund said. “We work to prioritize projects in relation to continuing to meet our plan and goals.”