Cowlitz PUD is continuing its commitment to providing safe, reliable electric service while being responsible to customers.
Despite a projected budget deficit in 2027, Cowlitz PUD will not increase rates and plans to cover the shortfall through existing financial reserves.
The 2027 budget reflects ongoing efforts to maintain reliable service, invest in critical
infrastructure, and prepare for significant changes in the regional power landscape, the Washington State PUD said.
"Reliable service remains our top priority," said Chief Financial Officer Trent Martin. "While utilities
across the region face rising costs and changing market conditions, we are committed to
managing those challenges responsibly for the benefit of our community."
Several factors are influencing the District's long-term financial outlook, including increasing
operational costs, inflation, evolving wholesale power markets, and preparations for a new power
supply contract with the Bonneville Power Administration (BPA) beginning in October 2028.
While the District projects a deficit in 2027 that can be absorbed through reserves, budget
forecasts show financial pressures increasing in 2028 and beyond.
The District continues to closely monitor these trends and evaluate strategies that support long-term financial health.
Budget highlights include:
· No electric rate increase planned for 2027.
· Deficit covered through existing reserves.
· No new debt anticipated in 2027.
· Continued investment in electric system infrastructure.
"As we prepare for future challenges, including BPA contract changes and evolving energy
markets, we remain committed to proactive and responsible financial management and the
long-term reliability of the utility," said Board President Dave Quinn.
"This budget and rate recommendation reflect Cowlitz PUD’s dedication to balancing financial
responsibility with the ongoing investments necessary to maintain reliable service and meet
customer needs, ensuring that our community continues to benefit from clean, renewable
hydropower delivered through a resilient and well-maintained grid," the PUD said.
