At Clallam PUD, everything we do comes back to our central mission: to provide reliable, efficient, safe and low-cost utility services in a financially and environmentally responsible manner for the people of Clallam County. For decades, dedicated field crews and staff have worked tirelessly to keep the lights on and the water flowing, even in the most challenging conditions. But today we face a reality we can no longer ignore: our operations center in Port Angeles, built in the 1960s and located on leased land, has reached the end of its useful life.
This isn’t just about a building. It’s about ensuring that your PUD has the tools, facilities, and resiliency to serve you well, today and for the next 50 plus years.
A Building That Can’t Keep Up
Our current warehouse is outdated, undersized, and ill-suited for the modern demands of operating an electric and water utility. Every dollar we spend on repairs and improvements are sunk costs into buildings and land we don’t own. Independent third-party experts have performed a Needs Assessment, and they have confirmed what our staff has known for some time: the building has reached the end of its useful life.
Continuing to operate in an inadequate and dilapidated facility is inefficient, slows down response times, complicates workflows, creates safety risks, and affects employee morale. Our team members, who work around the clock to restore power during storms and emergencies, require a safe, functional space that supports and improves customer service.
Resiliency: Preparing for What We Know Will Come
When we talk about resiliency, we’re talking about preparing for the future. If a Cascadia Subduction Zone earthquake were to occur, our current facility does not meet current seismic standards and is projected to suffer catastrophic failure. A new operations center, built to current codes and standards, gives the PUD a reliable hub for emergency response and system restoration, a place where our crews can mobilize quickly to get the community power and water services back up.
Exploring Local Power Generation: A New Chapter for Clallam County
One of the most exciting opportunities tied to this project is the potential to explore new forms of localized electric generation here on the Olympic Peninsula. For decades, Clallam PUD has relied on energy from regional resources like the Bonneville Power Administration (BPA) to meet the needs of our customers. While that has served us well, the future of energy is shifting, and we want to be ready.
Imagine a future where more of the power that lights our homes, schools, and businesses is generated locally. Local generation could mean cleaner, more sustainable energy, and greater independence from the uncertainties of outside markets. It could reduce our vulnerability to transmission interruptions, keep more energy dollars circulating in our local economy, and create new opportunities for economic development in Clallam County.
Equally important, local generation strengthens resiliency. In the event of a major regional disruption – whether from natural disaster, wildfire, or grid instability – having the ability to generate and sustain power locally will make the difference between prolonged outages and a quicker recovery.
While we are still in the early stages of exploring what local generation will look like, a new operations center is the critical first step and a catalyst to exploring local generation. It gives us the space, technology, and infrastructure needed to support future innovation in how we produce, manage, and deliver electricity to our customers. This is not about keeping pace with change; it’s about leading it, with our community’s best interests at heart.
An Investment in People
We believe and often say our employees are our greatest asset. Taking action to provide them with a facility designed for today’s needs, safe, efficient, and equipped with the right tools, we are investing in their ability and capacity to serve you, our customer shareholders, more effectively and efficiently. This investment translates into faster response times, more reliable service, and a utility workforce with pride of ownership in its workplace. Customer satisfaction begins with employee satisfaction.
The new operations center also invests in the community. Every improvement we make is about one thing: being there when you need us most, whether during an outage, a storm, or the steady everyday delivery of reliable power.
Balancing Costs with Responsibility
We know no one likes to hear the words “rate increase.” As we announce a 3.75% increase for both 2026 and 2027, we want to be honest and clear. The proposed increase is primarily driven by inflationary pressures, rising costs for materials, insurance, wages, and everyday operations and maintenance. But a small portion of the increase will go toward the debt service for the new Port Angeles facility, approximately 1% as illustrated in the table below.
We want you to know the decision to replace the aging operations center was not made lightly, hastily or without regard to the ratepayers. For the past two years, we have been planning carefully, reviewing options, listening to community input, and discussing the project in open board meetings. Every step has been deliberate, thoughtful, and focused on being good stewards of ratepayer dollars. Our approach has been guided by sound business practices and a commitment to developing the project with thorough, systematic and thoughtful analysis to ensure the PUD builds the right project for the right price on behalf of our customers.
Our Commitment to You
In the years ahead, as we make the investments we must, Clallam PUD will continue to provide some of the lowest electric rates in the nation. That is something we are proud of and remain committed to protecting in the future.
We also understand that rates are more than just numbers, they represent real impacts on households, families, and businesses. This is why we appreciate your continued support and understanding. Your trust allows us to make the kinds of forward-thinking investments to keep your utility strong for decades to come.
Within the rising costs of services, we recognize that rate increases impact our most vulnerable customers in different ways. As a result, we will continue to explore ways to mitigate these impacts including possible revisions to our current low-income program and welcome your continued input.
Looking Ahead Together
This new operations center is more than just a building project. It is a symbol of our shared future, a future where Clallam PUD is resilient, efficient, and ready to meet the challenges of tomorrow. It’s about ensuring that when the lights go out, we can restore them faster and more efficiently. When disaster strikes, we have a safe and reliable hub to coordinate response. And every day in between, we can provide the high-quality service you expect and deserve.
We value the partnerships we have built across Clallam County, and we never forget that we are here to serve you. By supporting this project, you are not only investing in a new facility, you are investing in your community’s resiliency, in local jobs, and in a stronger future for all of us.
Together, we will build a facility that reflects our values: financial responsibility, environmental awareness, community partnership, and above all, service to the people of Clallam County.
Thank you for your trust, your support, and your confidence in your PUD. We look forward to building the future, together.
Ken Hays, Commissioner, District 1
John Purvis, Commissioner, District 2
Phyllis Bernard, Commissioner, District 3
Sean Worthington, General Manager