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PUD seeks broadband grant

Tuesday - March 1, 2022 12:00pm

The Okanogan PUD continues its attempts to secure grant funding for broadband expansion, most recently approving an application for $14.4 million from the USDA ReConnect Program.

The PUD board of commissioners discussed the application at their Feb. 14 meeting, also approving documents that will give the PUD a better chance of being awarded the grant. The proposed funding area includes a variety of rural areas in the northcentral and northeast portions of the county, which could connect approximately 1,400 residences and 750 business to direct fiber.

The board approved updated wholesale broadband rates to comply with the grant, adding a 1-gigabyte connection rate, even though service providers don’t yet offer that to residences. Other adjustments reflect the changes in service that have been requested by customers or anticipate additional service categories.

The board also approved a commitment to net neutrality. The PUD has always functioned in such a way to treat all lawful traffic fairly, but needed a written policy to comply with the USDA grant request.

In 2022, the PUD added 105 new fiber connections, the highest in a single year. Director of Power Resources and Broadband Services Ron Gadeberg said some jobs have been slowed now since certain types of fiber are unavailable with supply chain restraints. Total fiber connections are now at 656, with an additional 3,100 wireless connections on the PUD system.

In other business, the board:

  • Heard a report from Energy Services Coordinator Kim Johnson about the Bonneville Power Administration energy efficiency incentives program. She shared that in the 2019-2021 rate period, the PUD had just over $1.2 million available for incentive programs, which were used for a variety of standard efficiency incentives, commercial and industrial custom projects, LED light kits, and PUD infrastructure projects. For 2021-2023, the PUD has about $920,000 available for these programs. The PUD is working with several fruit warehouses, schools and others for large projects. More information on incentive programs is available on the PUD website.
  • Heard from Gadeberg that the final power sales numbers for 2021 show total wholesale and retail amounting to about $1.8 million more than budgeted. Wholesale power sales ended up $200,000 below budget, due partly to December’s cold snap requiring the PUD to purchase more power during high demand. Retail was about $2 million over budget, with a huge month in December alone, where for the first time, the PUD sold more than $6 million in power in a single month. The record power usage in late December has resulted in high bills for many customers, which staff members are trying to help customers understand and manage.