Manager’s Message – January 2023

Progress on Projects and Improving Transmission Line Rights-of-Way

(Lassen Municipal Utility District) LMUD has applied for and obtained approval for a portion of a hazard reduction grant from the state of California and Federal Emergency Management Agency (FEMA). The funds will be used to reduce the potential fire damage to critical infrastructure and minimize the need for public safety power shutoffs. This will be done by clearing an additional 20 to 40 feet of vegetation under two transmission lines, spanning a combined 48 miles on either side of Highway 36 between Susanville and Westwood. Some of the utility poles may also be changed out where appropriate with steel, ignition-resistant poles.

To cover the $13.5 million cost, the FEMA portion would be $12.1 million, and the State (Office of Emergency Services) OES California Match Program portion would be $1.4 million. The project has been approved subject to final FEMA review and approval of the entire hazard mitigation project.

There are a number of steps in this process, and the OES Division Chief advises that it will take between 6 and 18 months to complete this evaluation and award to LMUD, if approved.

It is also important to note that this is a reimbursement funding approach, which means LMUD prepares, plans and expends funds, then must submit requests for reimbursement to FEMA/OES for approval. We look forward to working with state and federal agencies to complete this process and begin the planning for this important wildfire risk and system improvement project.

We have started construction on the new underground portion of the Shaffer Mountain line. This line provides power to our key communications sites. We bid the project last month and received a bid that reduced the expected cost by $400,000. This project will provide more reliable power for communications and critical infrastructure in our service territory.

We are on track with our Skedaddle Substation and NV Interconnection project construction. Costs of large, high -voltage circuit breakers are within earlier estimates as indicated by bids received in October.

The next major electrical equipment purchase is the high-voltage transformers. Bids on these have come in at higher than budgeted estimates. Delivery times by all the major factories are much longer than hoped. This means our earlier target completion date of December 2024 will extend to mid- to-late 2025. This will create challenges in scheduling, but all of our partners—NV Energy, Power Engineers and vendors—are working diligently to keep construction plans on track. We are taking every measure to control costs in an inflationary environment.

As energy costs increase this winter, we want to make sure our income-eligible customers are aware of LMUD’s assistance programs. Our Winter Energy Assistance Rate offers customers a discount of up to 50% on electricity used, up to 1,500 kilowatt hours. Our customer service representatives can also assist with information on the LiHEAP, a federally funded assistance program that can provide a one-time payment to your utility bill.

For complete program details, visit our Customer Services page at the top of the page.

The staff, management, LMUD board and I wish you all a safe, happy and healthy New Year.

Pat Holley
General Manager