07/29/2010
From Mason PUD News, July 29, 2010
No Net Rate Impact – Will Provide for Increased Efficiency
Mason County PUD No. 3 today (July 29) entered into a contract with Rushforth Construction of Tacoma for construction of the new Johns Prairie operations center. Wyla Wood, PUD 3 manager, joined Kim Nakamura, Rushforth’s president, in signing the contract to build the new Shelton area complex.
The PUD commission awarded a bid of nearly $24.2 million to Rushforth to build the facility. It will be the site for the PUD 3 warehouse; field operations such as Shelton line workers; vehicle maintenance, repair and fueling; engineering, telecommunications, the meter shop, transformer and substation maintenance; and various administrative functions.
The total cost of construction and design for the operations center at Johns Prairie is estimated at $34.5 million. The bid for overall construction was 17 percent lower than estimates. The bid for site preparation ($243,000 plus tax, went to Zephyr’s, Inc of Allyn) came in at approximately 45 percent of the estimated cost.
Of the total project cost, up to 80 percent will pay for relocation of the warehouse, including offices for operations personnel who currently work at the warehouse on Olympic Highway North. The remainder will pay for relocation of administrative offices and the development of public spaces.
The PUD will retain a customer service office in downtown Shelton, along with a payment drop. Customers will also be able to make payments, set up accounts and conduct general business at the Johns Prairie facility. Operations at PUD 3’s Belfair office will not be affected by the proposed changes.
PUD 3 has been working on relocation plans for over 15 years, finalizing the acquisition of the Johns Prairie Road property in early 2002.
Because of the timing of the issue and the maturing of current bonds issued by the PUD, it isn’t expected that the sale of bonds for the operations center will change debt service in the long term, and therefore will not have a net impact on utility rates.
