80% Construction completed effects

The Goldendale Energy Center (GEC) has completed 80% of the construction of a 248 megawatts (MW) power plant to produce electricity.

• The construction of the GEC is expected to generate $10.7 million in sales and use taxes. Of this sum, $1.31 million will go to the City of Goldendale and $.23 million to Klickitat County. Much of the revenues have been received and have been used or are planned to be used for road improvements, capital outlay for fire equipment and fire station expansion and service improvements to the residents of Goldendale and the surrounding areas.

• Even though the plant has not started operating, the assessor can and has assessed the plant for 2002 at 80% of its projected value. This assessment will immediately benefit local taxpayers in 2003. If your property is within the School, Hospital and Park & Recreation District your tax savings is estimated at $1.33 per $1000 worth of valuation. (Tax savings on a $100,000 house is estimated at $133.00 in 2003).

• In 2003, it is estimated by the County Assessor, that GEC will contribute more than $2,000,000, in property taxes. This tax paid will be distributed to the State Schools, Klickitat County, Library, Hospital, Goldendale School District, Central Klickitat Park & Recreation District and the City of Goldendale.

• Based on the above estimates, the contribution to Klickitat County is more than $300,000 and over $500,000 to the City of Goldendale. The property taxes paid by GEC will amount to better than 25% of the City's General Fund budget.

• The operation of the GEC will require 24 permanent employees with an estimated annual payroll and related expenses of $1.4 million per year.

• Upon completion, the assessed value will rise again, thus providing additional property tax savings.

• GEC was required to provide an additional source of water for the City of Goldendale. GEC spent over $5 million to acquire and transfer water rights, to construct a transmission line, drill two wells, build two well houses and equip them with automation controls.

• The water system improvements were dedicated to the City for its use and operation. Depending on GEC's usage, GEC will pay the City between $100,000 to $150,000 per year in water/sewer fees.

• The inclusion of the Basse well field to the City has created a more stable and reliable water supply system. The improved system will be especially helpful during the dry summer months. The wells are operational now and were the reason no water rationing occurred in 2002. The first time in many years.

• GEC contributed $50,000 to help connect the sewer system at the Industrial Park to the collection system on Horseshoe Bend Road.

• GEC constructed a portion of the water line loop within the Industrial Park

• GEC contracted with the Klickitat County Public Utility District (PUD) to build a 230 KV electrical transmission line from Bonneville Power Administration's (BPA's) Harvalum Substation to the City of Goldendale and provide a substation to integrate the GEC project into the Klickitat County PUD System. The cost of these improvements were more than $9 million.

• The completion of this construction project increases the reliability of power supply to the City of Goldendale and the surrounding areas, by providing an alternate source of energy from the BPA grid.

• The substation built next to the power plant provides increased capacity in the industrial park area, as well as the terminus for future transmission system work. This will decrease costs for future PUD construction and make investment in generation in Klickitat County more attractive.

• The construction of the plant allowed the City to apply for and receive a grant/low interest loan from the Community Economic Redevelopment Board for over $800,000 worth of improvements to the infrastructure at the Goldendale Industrial Park.

• These improvements will move the City one step closer to attracting additional Industrial Park tenants.

• The City has added an exciting corporate neighbor that is committed to contributing to the community it serves. One such contribution is a pledge of a $200,000 match for the improvements to its Parks and Recreation activities in the City of Goldendale.