>>> GOOD MORNING, EVERYONE, THE
AUGUST 10th, 2022 MEETING OF
THE ECONOMIC DEVELOPMENT
TECHNOLOGY AND CITY LIGHT
COMMITTEE WILL COME TO ORDER.
IT IS 9:31, I'M SARA NELSON,
CHAIR OF COMMITTEE, AND STEVEN
ELLIS IS OUR NEW PERMANENT
COMMITTEE CLERK.
COUNCILMEMBER STRAUSS IS
EXCUSED.
WILL THE CLERK PLEASE CALL THE
ROLL.
>> COUNCIL PRESIDENT JUAREZ?
>> HERE.
>> COUNCILMEMBER SAWANT.
>> PRESENT.
>> COUNCILMEMBER HERBOLD.
CHAIR NELSON.
>> PRESENT.
>> THREE PRESENT.
>> EXCELLENT, I LOVE QUORUM.
ALL RIGHT, THERE ARE FOUR ITEMS
ON TODAY'S AGENDA.
A BRIEFING AND DISCUSSION ON
DRAFT ORDINANCE ESTABLISHING
THE SEATTLE FILM COMMISSION AND
INTERGOVERNMENTAL BRIEFING AND
STRATEGIES TO SUPPORT SEATTLE'S
FILM INDUSTRY.
A DISCUSSION AND POSSIBLE VOTE
ON SEATTLE CITY LIGHT'S 2022
INTEGRATED RESOURCE PLAN, AND A
BRIEFING AND DISCUSSION ON
SEATTLE CITY LIGHT'S 2022-2023,
AND 2024 RATE ORDINANCE.
SO NOW WE WILL GO ON TO
APPROVING THE AGENDA.
IF THERE ARE NO OBJECTIONS, THE
AGENDA IS APPROVED.
ALL RIGHT.
SO I RECOGNIZE COUNCILMEMBER
HERBOLD, THANK YOU.
SO BEFORE PUBLIC COMMENT, I
WANT TO RECOGNIZE THE PEOPLE
WHO HAVE COME TO YOU TO, IN
RESPONSE TO THE LETTER I SIGNED
ONTO REGARDING THE LOWER SNAKE
RIVER DAM'S DRAFT REPORT
REQUESTED BY SENATOR MURRAY AND
GOVERNOR INSLEE, HOWEVER PUBLIC
COMMENT IS RESTRICTED TO ITEMS
ON THE AGENDA, AND THIS ISSUE
IS NOT.
I HAVE TO BE CONSISTENT IN THIS
APPLICATION FOR ALL MEETINGS.
SO IF YOU'RE HERE TO TALK ABOUT
THAT, I ASK THAT YOU REFRAIN
FROM COMMENT TODAY.
I DO HAVE A STAFF MEMBER IN THE
ROOM THAT CAN TAKE YOUR NAME
AND EMAIL AND I WOULD LIKE TO
HEAR FROM YOU DIRECTLY IN A
ZOOM MEETING VERY SOON.
SO THANK YOU VERY MUCH FOR THAT
OPPORTUNITY.
I WANT YOU TO KNOW THAT I'VE
READ THE LETTER SENT BY A
COALITION OF 12 MEMBERS, AND I
TAKE YOUR LETTER TO HEART.
PERSONALLY, I BELIEVE SALMON
RESTORATION SHOULD BE
PRIORITIZED, AND I SIGN ON WITH
GOOD FAITH THAT THE UTILITY
SHARED THAT COMMIT.
I'M LOOKING FORWARD TO SEEING
THE MURRAY/INSLEE PLAN, WHICH
WILL BE OUT LATER THIS MONTH,
AND I INTEND TO BE APPROVAL OF
THE PLAN ONCE I SEE IT.
THEY HAVE TRIED TO STRIKE THE
RIGHT BALANCE BETWEEN TREATY
RIGHTS, SALMON RECOVERY, AND
STRENGTHENING THE POWER SYSTEM.
WITH THAT, WE'LL MOVE INTO
PUBLIC COMMENTS WITH ITEMS ON
THE AGENDA, AND LET'S ROLL THE
VIDEO, PLEASE.
>> HELLO SEATTLE.
WE ARE THE EMERALD CITY.
THE CITY OF FLOWERS AND THE
CITY OF GOODWILL BUILT ON
INDIGENOUS LAND, THE
TRADITIONAL PEOPE OF THE CO-
SAILORS TOURS.
SEATTLE IS EAGER TO HEAR FROM
RESIDENTS OF OUR CITY.
IF YOU WOULD LIKE TO BE A
SPEAKER AND PROVIDE A VERBAL
PUBLIC COMMENT, YOU MAY
REGISTER TWO HOURS PRIOR TO THE
MEETING VIA THE SEATTLE CITY
COUNCIL WEBSITE.
HERE IS SOME INFORMATION ABOUT
THE PUBLIC COMMENT PROCEEDINGS.
SPEAKERS ARE CALLED UPON IN THE
ORDER IN WHICH THEY REGISTERED
ON THE COUNCIL'S WEBSITE.
EACH SPEAKER MUST CALL IN FROM
THE PHONE NUMBER PROVIDED WHEN
THEY REGISTERED ONLINE, AND USE
THE MEETING ID AND PASS CODE
THAT WAS EMAILED UPON CONFIR
MIGS.
IF YOU DID NOT RECEIVE A AN
EMAIL CONFIRMATION, PLEASE
CHECK YOUR SPAM OR JUNK MAIL
FOLDERS.
MEETING ID IS DIFFERENT FROM
THE GENERAL LISTEN LINE MEETING
ID PROVIDED ON THE AGENDA.
ONCE A SPEAKER'S NAME IS
CALLED, THE SPEAKER'S
MICROPHONE WOULD BE UNMUTED,
AND ON AUTOMATIC PROMPT WILL
SAY THE HOST WOULD LIKE YOU TO
UNMUTE YOUR MICROPHONE.
THAT IS YOUR CUE, THAT IT'S
YOUR TURN TO SPEAK.
THAT THE TIME, MUST PRESS STAR
6. YOU WILL THEN HEAR A PROMPT
OF YOU ARE UNMUTED.
BE SURE YOUR PHONE IS UNMUTED
ON YOUR END SO YOU MAY BE
HEARD.
AS A SPEAKER, YOU SHOULD AGAIN
BY STATING YOUR NAME AND THE
ITEM YOU ARE ADDRESSING.
A CHIME WILL SOUND WHEN THERE
ARE 10 SECONDS LEFT IN YOUR
ALLOTTED TIME AS A GENTLE
REMINDER TO WRAP UP YOUR PUBLIC
COMMENTS.
AT THE END OF THE ALLOTTED TIME
YOUR MICROPHONE WILL BE MUTED,
AND THE NEXT SPEAKER REGISTERED
WILL BE CALLED.
ONCE SPEAKERS HAVE COMPLETED
PROVIDED COMMENT, PLEASE
DISCONNECT FROM THE PUBLIC
COMMENT LINE AND JOIN US BY
FOLLOWING THE MEETING VIA
SEATTLE BROADCAST OR ON THE
AGENDA.
THE COUNCIL RESERVES THE RIGHT
IF THE LINE IS BEING ABUSED.
ANY OFFENSIVE LANGUAGE THAT IS
DISRUPTIVE TO THESE PROCEEDINGS
OR IS NOT FOCUSED ON AN
APPROPRIATE TOPIC SPECIFIED IN
COUNCIL RULES MAY LEAD TO THE
SPEAKER BEING MUTED BY THE
PROSIDING OFFICER.
OUR EFFORT IS TO CONSIST OF AN
ORDERLY INVESTIGATION IN ISSUES
BEFORE THE COUNCIL.
THE PUBLIC COMMENT PERIOD IS
NOW OPEN, AND WE WILL BEGIN
WITH THE FIRST SPEAKER ON THE
LIST.
PLEASE REMEMBER TO PRESS STAR 6
AFTER YOU HEAR THE PROMPT OF,
YOU HAVE BEEN UNMUTED.
THANK YOU, SEATTLE.
>> OKAY BEFORE CONTINUING --
>> POINT OF ORDER QUESTION.
>> SURE.
>> TOTALLY UNDERSTAND THAT
EVERY COMMITTEE CHAIR HAS THE
AUTHORITY TO USE THE RULES OF
THE CITY COUNCIL TO LIMIT
PUBLIC COMMENT TO ITEMS THAT
ARE ON THE AGENDA.
MY RECOLLECTION IS WHEN SEATTLE
LIGHT CEO DEBRA SMITH PRESENTED
THIS PLAN, SHE ADDRESSED THIS
ISSUE.
SO IT DOES SEEM, IN HER
PRESENTATION, SHE ADDRESSED THE
ISSUE OF THE PLAN AND HOW IT
RELATES TO THE STATEWIDE
EFFORTS ON DAM BREACHING.
SO GIVEN THAT IT SEEMS LIKE
THERE'S A TRACK RECORD OF THERE
BEING SOME SOMEWHAT OF A LINK
BETWEEN THE ISSUES, AND WE'VE
HAD THAT CONVERSATION IN THIS
COMMITTEE, IT SEEMS LIKE
THERE'S DEFINITELY A LINK AND
COUNCIL RULE 11.
C.3 SAYS PUBLIC COMMENT MUST BE
DIRECTED TO MATTERS WITHIN
LEVELS OF PER VIEW OF THE
COMMITTEE, AND WE HAVE
DISCUSSION ON HOW WE DEFINE THE
BREADTH OF THOSE COMMENTS.
THIS YET A LOT IS RELATED TO
OUR INTEGRATED RESOURCE PLAN,
BECAUSE IT IS ALL ABOUT THE
CUSTOMER'S ENERGY NEEDS AND THE
RESOURCES THAT ARE AT SEATTLE
CITY LIGHT'S DISPOSAL TO MEET
THEM.
HOWEVER, THE PARTICULAR ISSUE
THAT I BELIEVE IS AT HAND IS A
LITTLE BIT REMOVED FROM THAT.
SO I THANK YOU VERY MUCH.
OKAY.
LET'S SEE.
ON THE PUBLIC COMMENT SHEET
WE'VE GOT TWO SPEAKERS, SO
WE'LL START WITH THE REMOTE
SPEAKERS, AND THEN WE WILL GO
TO IN-PERSON.
EVERYONE WILL HAVE TWO MINUTES
TO SPEAK.
AND WE'LL START WITH ANDREW.
PLEASE GO AHEAD.
ANDREW?
STAR 6.
>> YES.
CAN YOU HEAR ME CHAIRMAN
NELSON.?
>> YES.
>> THANK YOU VERY MUCH.
MY NAME IS ANDREW, SEATTLE AREA
RESIDENT FOR 45 YEARS.
RATE PAYER FOR 34 YEARS.
I DID COME TO SPEAK ABOUT THE
LOWER SNAKE RIVER DAM ISSUE,
AND I ALSO HAD NOTED THE
COUNCIL RULES THAT ALLOWED FOR
CONSIDERATION OF PUBLIC COMMENT
THAT IS WITHIN THE PER VIEW OF
PURVIEW OF THE COMMITTEE.
IN LIGHT OF THE COMMENTS,
UNLESS SOMEONE TELLS ME
OTHERWISE, I WILL HONOR HER
REQUEST NOT TO COMMENT ON THE
INSLEE/MURRAY REPORT, OR MORE
SPECIFICALLY ON THE LETTER THAT
SEATTLE CITY LIGHT SENT IN
RESPONSE TO THE INSLEE/MURRAY
REPORT.
HOWEVER, IF YOU WANT ME TO
SPEAK TO THIS, IN LIGHT OF THE
OTHER COUNCILMEMBER'S COMMENT
ABOUT THIS BEING WITHIN THE
PURVIEW OF THE COMMITTEE, I
WILL CONTINUE.
BUT IF THAT'S NOT APPROPRIATE
FOR THIS COUNCIL MEETING, I
WILL DEFER MY COMMENTS UNTIL A
LATER TIME.
>> I REALLY APPRECIATE YOUR
UNDERSTANDING, AND I PREFER
THAT WE MOVE ONTO THE NEXT
SPEAKER BUT MY EMAIL IS
SARA.NELSON@SEATTLE.GOV AND
YOUR EMAIL IS NOT ON THIS LIST,
SO IF YOU'D LIKE TO SPEAK WITH
ME PERSONALLY, THEN WE WILL
CONTACT YOU.
SO I APPRECIATE IT.
THANK YOU.
>> OKAY, THANK YOU.
>> OKAY OUR NEXT SPEAKER IS
MYRON PARTMAN.
PLEASE GO AHEAD.
STAR 6.
>> HELLO.
HELLO.
GOOD MORNING.
I'M ASSUMING YOU GUYS CAN HEAR
ME?
>> YES.
>> OKAY, EXCELLENT.
MY NAME IS MYRON PARTMAN.
I'M HERE TO TALK ABOUT THE
SEATTLE FILM COMMISSION.
I WANT TO THANK YOU MEMBER
NELSON FOR THIS ISSUE AND THE
OPPORTUNITY TO COMMENT TODAY.
I'M AN EQUITY COMMITTEE CO-HAIR
AND COCHAIR FOR THE CAP FORCE.
I'M A LOCAL FILM COMMUNITY
MEMBER, BORN AND RAISED IN
SEATTLE, I'VE BEEN IN THE FILM
INDUSTRY FOR ABOUT 34 YEARS.
I JUST WANT TO SAY ON BEHALF OF
THE CAT FORCE, THANK YOU FOR
BRINGING ABOUT LEGISLATION.
IT'S BEEN ABOUT 30 YEARS IN THE
MAKING.
SINCE 2019, THERE'S BEEN A
DIVERSE GROUP OF SEATTLE
FILMMAKERS AND STAKEHOLDERS WHO
HAVE VOLUNTEERED HOURS OF THEIR
TIME TO CREATE A ROAD MAP FOR
THIS COMMISSION.
SO I JUST WANT TO SAY THANK YOU
SO MUCH.
SEATTLE IS THE BIGGEST CITY IN
WASHINGTON AND IF YOU SAY YOUR
FROM WASHINGTON, THE NEXT
QUESTION IS WHERE?
SEATTLE.
SO WHEN PEOPLE COME TO
WASHINGTON TO DO FILM HERE,
THEY'RE LIKELY TO LOOK AT
SEATTLE FIRST.
SO SEATTLE BEING ALIGNED WITH
WASHINGTON AND KING COUNTY, AND
THEIR EFFORTS TO SUPPORT THIS
CORNERSTONE OF THE ECONOMY IS
REALLY, REALLY IMPORTANT.
IT'S AN IMPORTANT PIECE OF THE
PUZZLE.
SO THANK YOU SO MUCH.
AND THAT'S ALL I HAVE TO SAY.
>> THANK YOU VERY MUCH.
AND THERE'S NO ONE ELSE SIGNED
UP REMOTELY.
SO MAY I PLEASE HAVE THE LIST
OF FOLKS THAT WANT TO SPEAK IN
PERSON, AND FOR THE VIEWING
PUBLIC, I WANT TO ACKNOWLEDGE
THERE ARE ABOUT 12 PEOPLE.
SOME HAVE LEFT IN THE ROOM THAT
ARE INTERESTED IN THE ISSUE
THAT WE'VE ALREADY TOUCHED ON.
OKAY, OUR FIRST IN-PERSON
SPEAKER IS JAMES.
>> HELLO.
>> IS THE MIC ON AT THE TABLE?
>> HELLO, MY NAME IS JAMES.
I'M THE GENERAL MANAGER OF A
FILM STUDIO HERE IN SEATTLE
CALLED ALL IS WELL.
WE EMPLOY 9 FULL TIME PEOPLE.
WE HAVE A HANDFUL OF
FREELANCERS.
WE PAY LIVING WAGES.
WE HAVE HEALTHCARE BENEFITS,
WE'RE DIVERSE.
I'M TELLING Y'ALL THIS, BECAUSE
I WANT TO SAY THANK YOU AND
APPRECIATE THE COUNCILMEMBERS
WHO ARE PUTTING FORWARD THE
FILM COMMISSION LEGISLATION TO
MAKE THAT HAPPEN.
WE'RE IN SEATTLE, WE WANT TO
STAY IN SEATTLE.
WE WANT TO GROW IN SEATTLE, AND
THIS EFFORT IS ABSOLUTELY GOING
TO HELP US.
NOT ONLY WILL IT HELP OUR
COMPANY DO WHAT WE DO, IT WILL
HELP THE EFFORT TO GROW THE
CREATIVE ECONOMY IN GENERAL.
I THINK IT'S BEEN VERY POSITIVE
AND GOOD.
INVESTING IN FILM IS ONE OF THE
ABSOLUTE BEST ECONOMIC
DEVELOPMENT BETS YOU CAN MAKE
TO MAKE THAT HAPPEN.
FILM EMPLOYS THE MOST AMOUNT OF
PEOPLE AT THE HIGHEST WAGES.
IT'S GOT A UNION THAT YOU WILL
HEAR ABOUT.
IT DOESN'T NEED A COLLEGE
EDUCATION TO GET IN.
IT'S AN ABSOLUTELY FANTASTIC
WAY TO GO, AND I THINK THIS IS
A VERY GOOD ECONOMIC STEP FOR
THE ECONOMIC ENVIRONMENT
COMMITTEE.
THANK YOU VERY MUCH FOR YOUR
SUPPORT OF THIS LEGISLATION.
>> THANK YOU, JAMES.
NEXT UP IS MELISSA PURCELL.
>> DIFFICULT FOR ME TO LOOK UP
AND MY READING GLASSESES, SO
FORGIVE ME, I'M JUST GOING TO
READ.
THANK YOU.
MY NAME IS MELISSA PURCELL.
I'M A BUSINESS AGENT FOR IAT
LOCAL 438.
WE REPRESENT THE FILMMAKERS
THAT WORK IN THE CORPORATE AND
CONTENT INDUSTRY.
WE'RE THRILLED WITH WHAT
COUNCILMEMBER AND OED McINTYRE
ARE PRESENTING TODAY.
MANY OF US HAVE WORKED BEFORE
ON EFFORTS INCLUDING A FILM
MUSIC COALITION AS WELL AS A
SEATTLE TASK FORCE TO GET US TO
THIS MOMENT.
I'M PROUD OF THE WORK IN 2020
DEVELOPING A LIST OF PRIORITIES
THAT WOULD HELP INCREASE FAMILY
WAGED JOBS.
AT THE SAME TIME, WE SPENT
REALTIME DISCUSSING AND
IDENTIFYING WHAT ACCESS TO
DIVERSITY INCLUSION NEEDS TO BE
FOR OUR INDUSTRY.
AS THE CITY THREES ITS SUPPORT
BEHIND THE INDUSTRY, I THANK
YOU ALL AND ASK FOR YOUR
SUPPORT.
NEXT UP WE'VE GOT DEANA, AFTER
THAT, WE'VE GOT NANCY.
>> HI, I'M DANA.
I'M A TEACHER, A MOTHER AND I
WANT TO ADDRESS, I WANT TO
SPEAK TO THE INTEGRATED
RESOURCE PLAN.
WHEN I TEACH ABOUT ENERGY AND
RESOURCE MANAGEMENT TO
STUDENTS, I OFTEN INCLUDE THE
APPROACHES THAT INDIGENOUS
CULTURES ALL OVER THE WORLD,
AND SPECIFICALLY THE PACIFIC
NORTHWEST HAVE TAKEN IN
RESOURCE MANAGEMENT, AND I KNOW
THAT THOSE PRACTICES ARE BASED
ON A PHILOSOPHY OF SEVEN
GENERATIONS.
HOW WILL OUR DECISIONS THAT WE
MAKE ABOUT RESOURCE MANAGEMENT
IMPACT GENERATIONS, OUR
GRANDCHILDREN'S GRANDCHILDREN'S
GRANDCHILDREN.
AND SO THE INTEGRATED RESOURCE
PLAN IS JUST LOOKING AT 20
YEARS, I REALIZE.
WE'RE A LITTLE MORE
SHORTSIGHTED.
BUT STILL, THAT'S SOMETHING.
AND I DON'T THINK WE CAN
ADDRESS AN INTEGRATED RESOURCE
PLAN WITHOUT CONSIDERING THE
NEED TO MODERNIZE
INFRASTRUCTURE THAT'S ARCHAIC.
SOME OF THAT ARCHAIC
INFRASTRUCTURE IS ON THE LOWER
SNAKE RIVER.
THE DAMS THERE.
SO I THINK THAT WE NEED BOLD
ACTION.
THE INTEGRATED RESOURCE PLAN
SHOULD CONSIDER STRONGLY THAT
BREACHING THOSE DAMS WILL
ENABLE US TO MODERNIZE AND TO
REALLY CREATE A PLAN THAT
PROVIDES RELIABLE, AFFORDABLE
POWER WITH ENERGY THAT IS NOT
NEGATIVELY AS NEGATIVELY
IMPACTING ALL OF THE
STAKEHOLDERS.
THE HUMAN, THE TRIBAL, THE NON-
TRIBAL.
THE MORE THAN HUMAN
STAKEHOLDERS AS WELL.
THAT I THINK THAT I WANT US TO
BE ASKING WILL OUR
GRANDCHILDREN NOT ONLY HAVE
RELIABLE ENERGY, BUT WILL THEY
HAVE ORCAS THAT THEY LIVE SIDE
BY SIDE IN THE PACIFIC
NORTHWEST?
THIS ICONIC SPECIES, AND THOSE
ORCAS NEED SALMON, AND THE
SALMON NEED A FREE FLOWING
SNAKE.
THANK YOU.
>> THANK YOU VERY MUCH.
NANCY HERSH.
>> GOOD MORNING CHAIR NELSON,
MEMBER OF THE COMMITTEE.
MY NAME IS NANCY HER.
WE'RE A NONPROFIT ALLIANCE OF
MORE THAN 100 ENVIRONMENTAL
CIVIC, CONSUMER, CLEAN ENERGY
BUSINESSES AND UTILITIES IN THE
NORTHWEST.
SEATTLE CITY LIGHT AND THE
OFFICE OF SUSTAINABILITY AND
THE ENVIRONMENT ARE BOTH
ORGANIZATIONAL MEMBERS.
WE SUPPORT BOTH THE CITY LIGHT
RATE ORDINANCE AND THE
INTEGRATED RESOURCE PLAN.
UTILITY RATES AND RATE DESIGN
EFFECT NOT JUST HOW MUCH
ELECTRICITY WE USE, BUT WHEN WE
USE IT, AND HOW THE COST BURDEN
IS SHARED AMONG CUSTOMERS.
THE PROPOSED FIXED BASIC CHARGE
FOR ALL CUSTOMERS IS WITHIN THE
APPROPRIATE RANGE FOR A MONTHLY
CHARGE.
HOWEVER, IT IS IMPORTANT TO
NOTE THAT AN ASSESSMENT OF
UTILITY FIXED COST DOES NOT
EQUAL WHAT THE MONTHLY BASIC
SERVICE CHARGE SHOULD BE.
THERE ARE MANY FIXED COSTS THAT
SHOULD NOT BE INCLUDED IN THE
BASIC SERVICE CHARGE.
MANAGING CUSTOMER LOAD IS KEY
TO HELPING ADDRESS RELIABILITY
AND PEAK USAGE IN THE SUMMER
AND WINTER.
THE PROPOSED OPTIONAL TIME OF
DAY RATES ARE AN IMPORTANT
COMPLEMENT TO OTHER UTILITY
PROGRAMS TO MANAGE CUSTOMER
USAGE.
AND AS YOU'RE AWARE, THE IRP
REFLECTS A SIGNIFICANT
ACQUISITION PLAN, AND ONE THAT
ECHOS THE CITY'S COMMITMENT TO
ENERGY EFFICIENCY, AND CUSTOMER
RESOURCES, AS WELL AS BUILDING
OUT THE NEXT GENERATION OF
RENEWABLE ENERGY RESOURCES.
AS INVESTMENTS IN ELECTRICITY
EFFICIENCY INCREASE, THERE
SHOULD BE A PROPORTIONAL
INCREASE IN DELIVERING LOW
INCOME RESIDENTIAL, AND
MULTIFAMILY WEATHERIZATION
PROGRAMS.
AND WE'RE VERY PLEASED TO SEE
THE FOCUS ON MANAGING CUSTOMER
LOAD USING DEMAND RESPONSE.
HOWEVER THESE PROGRAMS NEED TO
BE EXPANDED AS THEY SHOULD GO
HAND IN HAND WITH
ELECTRIFICATION.
IN THE NEXT IRP, WE WANT TO SEE
WIND AND SOLAR PROJECTS.
THERE ARE NO INVESTMENTS IN
THIS PROPOSAL.
WE APPRECIATE WORKING WITH CITY
LIGHT STAFF, AND CONTINUE TO BE
DEEPLY ENGAGED IN
IMPLEMENTATION, AND ADAPTIVE
MANAGEMENT AS TECHNOLOGIES
EVOLVE, CREATING NEW
OPPORTUNITIES.
THANK YOU.
>> THANK YOU VERY MUCH.
IN ATHAT WAS OUR LAST SPEAKER,
SO WE'LL MOVE ONTO ITEM ONE.
WILL THE CLERK PLEASE READ ITEM
ONE INTO THE RECORD?
>> AGENDA ITEM ONE.
ESTABLISHMENT OF THE SEATTLE
FILM COMMISSION, BRIEFING AND
DISCUSSION.
>> ALL RIGHT.
SEATTLE'S GOT A REPUTATION AS A
CREATIVE CITY.
AND SEATTLE'S ALSO BEEN ON THE
CUTTING EDGE OF FILM MAKING.
HOWEVER, OUR CREATIVES ARE
BEING PRICED OUT OF TOWN, AND
WE'RE NO LONGER ON THE CUTTING
EDGE.
IT'S BAD ENOUGH TO SEE
VANCOUVER IN MOVIES AND FILMS
THAT ARE SUPPOSED TO BE ABOUT
SEATTLE, AND IT'S EVEN WORSE TO
SEE OUR CREATIVES AND SMALL
BUSINESSES MOVE INTO OTHER
CITIES WITH MORE FILM
OPPORTUNITIES LIKE PORTLAND,
FOR EXAMPLE, OR NASHVILLE, OR
ATLANTA.
SO IF WE WANT TO GROW OUR
CREATIVE ECONOMY FOCUSING ON
FILM IS THE BEST INVESTMENT WE
CAN MAKE.
ARTISTS CAN MAKE A LIVING
MAKING THEIR ART IN THE MOST
DIVERSE AND GREATEST NUMBER OF
CREATIVE EXPLAINS.
AND I WANT TO PAUSE HERE.
OKAY, SO WE'VE GOT AN
INFOGRAPHIC UP THERE TO MAKE
THIS POINT.
IT IS REALLY HARD TO READ, BUT
IT SHOWS ALMOST 200 CREATIVE
JOBS THAT ARE ACTIVATED ON A
SINGLE FILM PRODUCTION.
THESE ARE TYPICALLY UNION
LIVING WAGE JOBS AND MANY DON'T
NEED A COLLEGE DEGREE.
SO FOCUSING ON FILM STARTS WITH
THE ESTABLISHMENT OF A FILM
COMMISSION.
WHY?
BECAUSE AN INDUSTRY OF
PROFESSIONALLALS WILL ENGAGE
WITH THEIR NETWORKS TO HELP THE
CITY PRIORITIZE NEEDS.
COMMISSIONERS WILL ADVISE THE
CITY OF DEVELOPMENT OF
INITIATIVES THAT STRENGTHEN OUR
INITIAL ECONOMY AND ATTRACT OUT
OF STATE PRODUCTIONS THAT
GENERATE LIVING WAGE JOBS AND
POUR MONEY INTO COMMUNITIES AND
ALSO SHOWCASE SEATTLE TO THE
REST OF THE WORLD.
FINALLY, THEY'LL COLLABORATE
ARE REGIONAL STAKEHOLDERS AND
PARTNERS TO FOSTER ALIGNMENT
WITH KING COUNTY, AND
WASHINGTON STATE ON POLICIES
AND INITIATIVES RELATED TO THE
REGIONAL FILM ECONOMY.
SO OBVIOUSLY THIS IS NOT MY
IDEA.
FILM INDUSTRY STAKEHOLDERS HAVE
BEEN ADVOCATING FOR A FILM
COMMISSION FOR YEARS.
SPANNING MANY ORGANIZATIONS,
AND THE SEATTLE MUSIC
COMMISSION WAS STARTED IN 2010.
JUST TO GIVE YOU A BIT OF
RECENT HISTORY, IN 2019, THE
MUSIC AND FILM COMMITTEES CAME
TOGETHER, AND ANNOUNCED THE
SEATTLE AND FILM COMMISSION TO
GROW MUSIC AND I FILM
PRODUCTION.
IN 2020, THEY MOBILIZED THE
OFFICE OF FILM AND MUSIC TO
CREATE A FILM TASK FORCE WHOSE
PRIMARY GOAL WAS THE
ESTABLISHMENT OF A FILM
COMMISSION.
AND COUNSEL COUNCILMEMBERS
SAWANT AND HERBOLD WERE BEHIND
THAT.
THEY WERE NEVER ABLE TO ADVANCE
THEIR AGENDA.
MY CAMPAIGN FOCUSED ON ECONOMIC
RECOVERY.
I LISTENED TO FILM
STAKEHOLDERS, AND COMMITTED TO
A FILM COMMISSION IF I GOT
ELECTED.
ONCE IN OFFICE, I STAKED UP
FILM AS A CENTRAL COMPONENT OF
MY WORK PLAN AND HAD MY FIRST
MEETING WITH FILM STAKEHOLDERS
ON JANUARY 28th.
SINCE THEN, OUR OFFICE, AND
THANK YOU, JEREMY, HAS BEEN
WORKING WITH THEM AND OED TO
BRING FORWARD THIS ORDINANCE
TODAY.
AND IT'S A DRAFT ORDINANCE, AND
WE WILL BE DISCUSSING THE
FORMALLY INTRODUCED LEGISLATION
AT OUR NEXT MEETING ON
SEPTEMBER 14th.
MORE ON THAT LATER.
SO WITH THAT I'LL STOP TALKING
AND LET BRIAN GOODNIGHT OF
SEATTLE CENTRAL STAFF PRESENT
THE SPECIFICS IN THE
LEGISLATION.
GO AHEAD, BRIAN.
>> THANK YOU, CHAIR NELSON.
GOOD MORNING, COUNCILMEMBERS.
BRIAN GOODNIGHT, COUNCIL
CENTRAL STAFF.
I WILL BRING UP THE
PRESENTATION RIGHT NOW.
RIGHT OFF THE TOP THIS MORNING,
I WOULD JUST WANT TO LET
EVERYONE KNOW, I'M PINCH
HITTING FOR MY COLLEAGUE,
YOLANDA TODAY.
THAT IS WORKING ON THE BILL
THAT THE COMMITTEE IS
DISCUSSING.
WITH THAT, I WILL DO MY BEST,
AND GET STARTED TO TRY TO
ACCURATELY SUMMARIZE THE WORK
THAT'S HAPPENED SO FAR.
FIRST OFF, THE THINGS THAT I'LL
WALK THROUGH TODAY ARE JUST A
SOME BRIEF BACKGROUND NOTES,
AND THEN WE'LL FINISH WITH NEXT
STEPS.
BEGINNING IN 2019, AS THE CITY
BEGAN TO REEVALUATE THE ROLE OF
THE OFFICE OF FILM AND MUSIC,
OR OFM, WHICH WAS LOCATED IN
THE OFFICE OF ECONOMIC
DEVELOPMENT, IT CONVENED FILM
INDUSTRY STAKEHOLDERS TO
PROVIDE RECOMMENDATIONS FOR HOW
THE CITY COULD BEST SUPPORT AND
GROW THE LOCAL ORGANIZATION AND
COMMITTEE.
ONE OF THE RECOMMENDATIONS WAS
TO PROVIDE A FILM COMMISSION TO
PROVIDE STRATEGIC ADVICE TO THE
CITY MAYOR ON INITIATIVES
RELATED TO THE FILM INDUSTRY.
AS PART OF THE 2020 BUDGET
PROCESS, THE EXECUTIVE PROPOSED
TO REPURPOSE LFN RESOURCES TO
ADVANCE THE CREATIVE STRATEGY.
ADDITIONALLY, COUNCILMEMBER
HERBOLD SPONSORED AND THE
COUNCIL ADOPTED 10A2 THAT
REQUESTED OED TO PROVIDE
RECOMMENDATIONS REGARDING A
FILM COMMISSION.
THE FOLLOWING YEAR, IN NOVEMBER
OF 2020, OED SUBMITTED A
RESPONSE THAT PROVIDED GUIDANCE
FOR THE PURPOSE MEMBERSHIP OF
THE COMMISSION.
AS CHAIR NELSON SAID, IN EARLY
2020, SHE BEGAN ENGAGING FILM
INDUSTRY STAKEHOLDERS AND A
SENSE ADVANCED THE COMMISSION.
SO MOVING ONTO THE DRAFT
LEGISLATION, THE DRAFT WAS TO
COLLABORATE WITH OED AND FILM
REPRESENTATIVES.
SO IT WOULD ESTABLISH A NEW
FILM COMMISSION.
THE COMMISSION'S CHARGE WOULD
BE TO ADVISE AND MAKE
RECOMMENDATIONS TO THE CITY ON
THE DEVELOPMENT OF POLICIES AND
PROGRAMS THAT ENHANCE THE
ECONOMIC DEVELOPMENT OF
SEATTLE'S FILM INDUSTRY.
THIS INCLUDES PROMOTING THE
SUSTAINED GROWTH, AND FAMILY
WAGE JOBS FOR WORKER WHO IS
HAVE BEEN UNDER REPRESENTED IN
THE INDUSTRY.
THE GOALS ARE TO ADDRESS
DISPARITIES IN THE INDUSTRY,
DRIVING EQUITY, INCLUSION, AND
ECONOMIC PROSPERITY, AND TO
SERVE AS A CONDUIT BETWEEN THE
CITY, AND THE COMMUNITY TO
EQUITY GROW THE INDUSTRY AS
PART OF THE CITY'S ECONOMIC
DEVELOPMENT PRIORITIES IN THE
CREATIVE ECONOMY.
THE COMMISSION WILL HAVE 11
MEMBERS, FIVE APPOINTED BY THE
MAYOR, FIVE APPOINTED BY THE
SILL, WITH CONSILL, WITH THE
11th APPOINTED BY THE
COMMISSION.
THIS LIST SHOWS THE STAKEHOLDER
GROUPS THAT MUST BE
REPRESENTED.
AND I'LL PAUSE JUST FOR A
MOMENT ON THIS SLIDE, SO YOU
CAN LOOK THROUGH THE LIST, BUT
I WILL NOT BORE YOU BY READING
IT.
THE DRAFT LEGISLATION ALSO
ASSIGNS THE FOLLOWING PURPOSES
TO THE COMMISSION TO ENGAGE
WITH INDUSTRY PROFESSIONALS TO
INFORM THE DEVELOPMENT OF CITY
EFFORTS.
TO ADVISE THE CITY AND THE
DEVELOPMENT OF EFFORTS TO
SUPPORT THE FILM INDUSTRY, AND
SUCH AS STRATEGIES FOR EQUITY,
AND INCLUSION, EDUCATION, AND
TRAINING, AND BUSINESS
ATTRACTION INCENTIVES.
AND TO COLLABORATE WITH
REGIONAL STAKEHOLDERS TO ENSURE
THAT SEATTLE'S FILM PRIORITIES
ARE IN ALIGNMENT WITH THOSE IN
KING COUNTY AND WASHINGTON
STATE.
FINALLY, IN TERMS OF PROCESS,
THE DRAFT LEGISLATION REQUIRES
THE COMMISSION TO MEET AT LEAST
MONTHLY, AND TO MEET ANNUALLY
WITH THE SEATTLE MUSIC
COMMISSION.
THE COMMISSION MUST ALSO ELECT
A CHAIR AND VICE CHAIR
ANNUALLY, AND ADOPT BYLAWS FOR
ITS OWN PROCEDURES.
THE TERMS OF COMMISSION MEMBERS
ARE SET AT THREE YEARS EACH,
WITH A MAXIMUM OF TWO
CONSECUTIVE TERMS.
LASTLY, THEY PROVIDE
COMPENSATION, IF SERVING
PROVIDES A FINANCIAL HARDSHIP.
IN TERMS OF NEXT STEPS, OED
STAFF AND CHAIR NELSON'S
OFFICE, CONTINUE TO ENGAUGE.
AT CHAIR NELSON SAID, THE PLAN
IS FOR THE COMMITTEE TO
DISCUSSION DISCUSS AND POSSIBLY
VOTE ON IT ON SEPTEMBER 14th.
THEY WOULD BE ABLE TO CONSIDER
THE BILL ON SEPTEMBER 20th.
WITH THAT, I'LL DO MY BEST TO
ANSWER QUESTIONS IF I CAN.
IF I CAN'T, I'LL TAKE THEM DOWN
FOR YOLANDA TO PROVIDE THE
ANSWERS ONCE SHE RETURNS TO THE
OFFICE.
THANKS.
>> HOLD PLEASE.
THANK YOU VERY MUCH, RYAN.
I APPRECIATE THAT.
JUST A SECOND.
I SEE YOUR HAND, COUNCILMEMBER,
I AM SIMPLY PULLING UP MY
SCRIPT.
SO BEFORE I GET TO YOUR
QUESTION, I WANT TO THANK OED
DIRECTOR MARKHAM McINTYRE FOR
THIS EFFORT, OBVIOUSLY, AND
CHRIS SWENSON OF OED WHO HAS
BEEN SEATTLE'S LEAD ON ALL
THINGS FILM FOR ABOUT A MILLION
YEARS.
HE HELPED WRITE THIS
LEGISLATION, ALONG WITH MELISSA
PURCELL.
KATE BECKER, AND AMY LILLARD OF
WASHINGTON FILMWORKS.
WITH THAT, I WILL TURN TO
COUNCILMEMBER HERBOLD FOR
QUESTIONS, OR COMMENTS.
>> THANKS SO MUCH.
AND MY SINCERE THANKS
COUNCILMEMBER NELSON FOR
BRINGING THIS FORWARD.
THE PREVIOUS ADMINISTRATION,
THE DIFFICULTY OF ESTABLISHING
A FILM COMMISSION WAS LINKED TO
THE MISSION OF THE NEW
ADMINISTRATION AS IMPLEMENTED
BY THE OFFICE OF ECONOMIC
DEVELOPMENT TO REALLY LOOK AT
THE CREATIVE INDUSTRIES, AS
SORT OF UNDER A SINGLE
UMBRELLA, RATHER THAN
RECOGNIZING THAT SOME OF OUR
CREATIVE INDUSTRIES MERIT A
SPECIFIC FOCUS.
AND SO I HAVE TWO QUESTIONS
SORT OF RELATED TO HOW THINGS
HAVE PIVOTED TO THE CURRENT
ADMINISTRATION.
ONE, I DIDN'T SEE ANYTHING IN
THE PRESENTATION THOUGH, I'M
SURE IT'S COVERED IN THE DRAFT
BILL.
I JUST HAVEN'T FOUND IT YET.
WHAT ARE THE APPOINTING
AUTHORITIES, AND HOW MANY OF
THE APPOINTIVE AUTHORITIES, HOW
MANY COMMISSIONERS ARE
APPOINTED BY EACH?
>> IT'S FIVE AND FIVE, AND ONE.
SO FIVE BY THE MAYOR, FIVE BY
THE COUNCIL.
ONE BY THE COMMISSION AS A
WHOLE, AND ALL CONFIRMED
CONSILL, AND THE BY THE COUNCIL
AND POSITION AND TERMS.
>> THE MAYOR HAS AUTHORITY TO
APPOINT FIVE.
THAT'S A PRETTY GOOD SIGNIFIER
THAT WE HAVE BUY IN WITH THIS
ADMINISTRATION.
>> YES, ABSOLUTELY.
RIGHT ALONG HERE, AND WITH
DIRECTOR McINTYRE.
YES.
IS THAT IT?
>> THAT'S MY QUESTION.
>> THANK YOU VERY MUCH FOR THAT
HISTORICAL BACKGROUND.
I THINK THAT THERE'S A A LOT OF
ENERGY BEHIND SEEING NEW THINGS
COME FORWARD.
ARE THERE ANY QUESTIONS FROM MY
COLLEAGUES?
ALL RIGHT.
THIS IS JUST THE BEGINNING.
I JUST WANT TO THANK EVERYONE
FOR YOUR WORK ON THIS TODAY,
AND JUST LEAVE YOU WITH SOME
IMPORTANT POINTS.
THIS IS ABOUT EQUITY.
AND IT'S ABOUT ECONOMIC GROWTH,
AND WORKFORCE DEVELOPMENT.
IT'S ABOUT CREATING JOBS AND
OPPORTUNITIES TO BUILD WEALTH
AND LIVELIHOODS.
IT'S ABOUT ART, AND INNOVATION,
AND COMMERCIAL SUCCESS, AND
TOURISM, AND PRIDE OF PLACE.
SO WE'VE GOT ALL THE ASSETS
HERE IN SEATTLE.
WE REALLY DO.
AND SO, NOT ONLY DO WE HAVE THE
TALENT, AND THE PASSION FOR
FILM.
WE'VE GOT SIF AND OTHER RICH
NONPROFITS.
WE'VE GOT ETHNIC DIVERSITY, AND
VERY, VERY STRONG PARTNERS, AND
PARTNERSHIPS WITH LABOR, AND
WE'VE GOT STUNNING PHYSICAL
BEAUTY, AND SO WE'VE GOT ALL OF
THAT, AND IT'S GOVERNMENT'S JOB
TO SAY YES.
IT REALLY IS.
IT'S GOVERNMENT'S JOB TO SAY
YES, AND PUT SOME INTENTION
BEHIND, GETTING SEATTLE'S EDGE
BACK AS THE BEST CITY IN THE
COUNTRY FOR FILM MAKING.
SO THAT'S WHAT THE FILM
COMMISSION IS ABOUT.
THAT'S THE ROAD WE'RE ON RIGHT
NOW, AND I'M EXCITED THAT WE'RE
TAKING OUR FIRST STEPS.
SO THANK YOU VERY MUCH,
EVERYONE.
ALL RIGHT, REMINDER, SEPTEMBER
14th IS OUR NEXT DISCUSSION AND
HOPEFULLY A VOTE OUT OF
COMMITTEE WITH A VOTE IN FULL
COUNCIL, I BELIEVE, ON THE
20th.
I COULD HAVE MY DATES WRONG.
THE FOLLOWING TUESDAY.
ALL RIGHT.
WITH THAT, WILL THE CLERK
PLEASE READ ITEM TWO INTO THE
RECORD?
>> AGENDA ITEM 2.
INTERGOVERNMENTAL BRIEFING ON
FILM INDUSTRY STRATEGIES.
BRIEFING AND DISCUSSION.
>> OKAY.
SO WHILE THE MOMENTUM ON FILM
AND THE CITY OF SEATTLE HAS
SLOWED A BIT, KING COUNTY IS
CHARGING AHEAD.
AND IN OLYMPIA, WASHINGTON
FILMWORKS WAS A DRIVING FORCE
BEHIND GETTING THE LEGISLATURE
TO ALLOCATE $12 MILLION
ANNUALLY TO FILM INCENTIVES
STATEWIDE, AND THAT'S UP FROM 3
MILLION.
SO WE'VE GOT TO ALIGN OUR
EFFORTS INTO WHAT'S GOING ON AT
THE COUNTY AND STATE.
AND SO DIRECTOR McINTYRE WILL
PRESENT THE CITY STRATEGIES ON
FILM, AND MS. BECKER WILL, WITH
THE OFFICE OF THE KING COUNTY
EXECUTIVE, WILL TAKE ABOUT
EXCITING NEW DEVELOPMENTS THAT
WILL BOOST FILM IN THE REGION,
AND IN SEATTLE.
MOSTLY THANKS TO HER.
MUCH THANKS TO HER.
AND JULIE DAMAN OF WASHINGTON
FILMWORKS WILL TALK ABOUT THE
NEW INSENTIVES AND WHAT SEATTLE
CAN DO TO HELP PEOPLE IN FILM,
AND SEATTLE GET THEIR HANDS ON
THAT.
AFTER THAT, I WILL ASK FOR
QUESTIONS.
BUT FOR RIGHT NOW, TAKE IT
AWAY.
>> THANKS, COUNCILMEMBER.
MY NAME IS MARKHAM McINTYRE.
THANKS FOR HAVING US HERE.
I'M GOING TO SET THROUGH A
THROUGH SLIDES, I'LL BE BRIEF
AND THEN HAND IT OVER TO KATE
AND JULIE TO TAKE IT FROM
THERE.
SO NEXT SLIDE, PLEASE.
WE'RE JUST GOING TO GIVE KIND
OF AN OVERVIEW OF CURRENT FILM
SUPPORT.
TALK ABOUT SOME OF THESE NEW
ECONOMIC OPPORTUNITIES WHICH IS
REALLY KIND OF ONE OF THE
DRIVING FORCES BEHIND
ESTABLISHING THE FILM
COMMISSION, AS WELL AS O WERE
DIFFERENT'S WORK WITH OUR
PARTNERS TO KIND OF LEAN IN ON
FILM RIGHT NOW, BECAUSE THERE'S
A CLEAR ECONOMIC OPPORTUNITY
HERE.
CONTINUE TO DISCUSS GOVERNMENT
ALIGNMENT OPPORTUNITIES, AND
THEN CLOSE WITH AN OVERVIEW OF
SOME OF THE NEAR AND LONG TERM
PRIORITIES FOR OED, THE FILM
TRI.
INDUSTRY.
SO NEXT SLIDE PLEASE.
JUST TO RECAP OF OED.
OUR MISSION IS TO BUILD AN
INCLUES INCLUSIVE COMMITTEE.
WE FIND THIS INCLUSIVE ECONOMY
AS A COMBINATION OF BUSINESS
WEALTH AND COMMUNITY WEALTH.
OUR GOAL IS TO OPEN DOORS AND
REMOVE BARE AREAS, ESPECIALLY
FOR COMMUNITIES THAT HAVE BEEN
SYSTEMICALLY INCLUDED FROM SUCH
OPPORTUNITIES.
WHAT DOES THAT MEAN?
THAT MEANS LISTENING TO, AND
COLLABORATING WITH OUR BUSINESS
PROVIDERS, PARTNERING WITH
BUSINESS DEVELOPMENTS, AND
MAKING SURE THERE IS ALIGNMENT
THERE.
PRIORITIZING INNOVATIVE
APPROACHES TO WEALTH BUILDING
OPPORTUNITIES FOR ALL
RESIDENTS.
SO ONCE AGAIN, THAT'S AN
ENCAPPS LAGS INCAPPS LAGS.
IN THE 2019 STUDY THAT OED, AND
ARTS AND CULTURE OFFICE PUT
TOGETHER, THE DEFINITION WAS
JOBS AND CREATIVE SKILLS THAT
USE CREATIVE SKILLS ACROSS ALL
INDUSTRIES.
THIS WAS BROUGHT UP A LITTLE
EARLIER IN THE FILM COMMISSION
INTRODUCTION.
BUT THAT'S REALLY BROAD.
IT INCLUDES 61 DIFFERENT
OCCUPATIONS.
CAMERA OPERATORS FOR TV, AND
FILM.
PR COMMUNICATIONS
PROFESSIONALS.
AN ACTOR, MUSICIAN, AUDIO
ENGINEER, SOCIAL MEDIA CONTENT
CREATOR, SO IT'S BROAD.
YET TO BE REALLY AFFECTIVE, WE
ALSO NEED TO PICK AND CHOOSE
WHERE WE FIND DEVELOPERS THAT
CAN HAVE THAT MAXIMUM IMPACT.
THAT'S WHY WE'RE TALKING ABOUT
FILM TODAY.
THAT'S WHY WE'RE ESTABLISHING
THIS COMMISSION.
AS COUNCILMEMBER NELSON
MENTIONED, THE STATE AND THE
COUNTY ARE ALREADY MOVING
FORWARD WITH DIFFERENT ASSETS.
SO THE WASHINGTON STATE'S
INCREASED THE FILM INCENTIVE,
KING COUNTY HAS THE NEW HARBOR
ISLAND STUDIOS.
THESE ARE ALL NEW OPPORTUNITIES
THAT WE CAN TAKE ADVANTAGE OF
TO GROW OUR CREATIVE ECONOMY AS
A WHOLE AND THE FILM INDUSTRY.
WE HAVE A LONG STANDING
RELATIONSHIP WITH THE COUNTY
AND THE STATE, SO THIS ISN'T
LIKE SOMETHING THAT IS BRAND
NEW.
WHAT WE'RE TRYING TO DO IS TO
FIGURE OUT HOW WE CAN HAVE OUR
ACTIONS AND DOLLARS IN AN
EFFECTIVE WAY.
THIS IS KIND OF LIKE A KEY
MOMENT IN TIME.
IF WE DON'T LEAN OUR SHOULDER
INTO IT, WE'RE GOING TO MISS
OUT.
THIS IS A NATIONAL COMPETITION
FOR THESE FILM PRODUCTIONS AND
THE OPPORTUNITY IS RIGHT NOW,
SO WE'VE GOT TO SEIZE IT, GRASP
IT, WORK WITH OUR BUSINESS
OWNERS AND WORKERS TO FIGURE
OUT HOW TO TAKE ADVANTAGE OF
IT.
WITH THAT, I'M REALLY EXCITED
TO TURN IT OVER TO MY TWO
CODIRECTOR IT'S, JULIE DAMAN IS
GOING TO GO NEXT, THEN WE'LL
HEAR FROM KATE BECKER, WHO IS
THE DIRECTOR OF KING COUNTY
CREATIVE ECONOMY.
>> CREATIVE ECONOMY RECOVERED.
>> THANK YOU.
SO FIRST, JULIE, TAKE IT AWAY.
>> HELLO, THANK YOU
COUNCILMEMBER NELSON.
CAN YOU GUYS HEAR ME?
I'M ON ZOOM.
>> YES, HELLO.
>> EXCELLENT.
THANK YOU FOR THIS TIME.
THANK YOU COMMITTEE MEMBERS AND
DIRECTOR McINTYRE.
I'M THE DIRECTOR OF FINANCE
WITH WASHINGTON FILMWORKS,
WHICH IS ACTUALLY, WE CAN GO TO
THE NEXT SLIDE.
WE ARE THE LEGISLATIVELY
COMMISSIONED NONPROFIT.
THAT IS WHAT IS FORMALLY OUR
INCENTIVE PROGRAM.
WE ALSO PROVIDE THE FUNCTIONS
OF THE STATE FILM OFFICE.
SO WE'RE THE FIRST POINT OF
CONTACT FOR ALL TIMES OF FILM
PROJECTS OF ALL TYPES AND
SIZES.
REALLY, THE INCENTIVE IS THE
BEST TOOL WE HAVE TO ATTRACT
AND WIN THOSE LARGER PROJECTS
THAT MEAN REAL ECONOMIC
DEVELOPMENT FOR THE STATE.
NEXT SLIDE, PLEASE.
SO THE MISSION AT WASHINGTON
FILMWORKS IS TO BUILD A
SUSTAINABLE, AND COMPETITIVE
FILM INDUSTRY IN WASHINGTON
STATE.
WE KNOW THAT KEY TO THAT IS
GOING TO BE A FILM ECOSYSTEM.
SO WE'RE THRILLED WITH THIS NEW
LEGISLATION THAT WE ARE ABLE TO
INVEST IN THAT TALENT PIPELINE
THROUGH CAREER CONNECTED
LEARNING, AND BUSINESS
DEVELOPMENT.
SO THAT MEANS THAT WE HAVE THE
CAST, CREW, AND SUPPORT SYSTEMS
WITH THE SKILLS AND CAPACITIES
NEEDED TO, SO THEY HAVE THE
SKILLS AND CAPACITIES NEEDED TO
MEET THAT NEW LEVEL OF FILM
MAKING THAT THE INCENTIVE WILL
BRING.
NEXT SLIDE, PLEASE.
SO WHAT DOES THIS NEW INCENTIVE
LOOK LIKE?
FOR THE PAST 15 YEARS, AS YOU
MENTIONED, IT LOOKED A LOT LIKE
$3.5 MILLION.
IT IS ACTUALLY NOW INCREASED TO
$15 MILLION, NOT 12.
SO WE'RE THRILLED ABOUT THAT.
THE GOVERNOR SIGNED THAT INTO
LAW IN APRIL.
IN THIS LEGISLATION, THERE WAS
ALSO AN ALLOWANCE FOR A 10%
INHANSMENT, AND 20% GOAL TO
ENCOURAGE FILMING IN RURAL
COMMUNITIES AND HELPED TELL THE
STORIES OF THOSE FROM
HISTORICALLY UNDERREPRESENTED
GROUPS.
I THINK PART OF IT THAT IS
OFTEN OVERLOOKED IS THAT IT
ALSO EXTENDED OUR SUNSET DATE
TO 2030.
WITH THE INCREASED CAP MEANS
MORE MONEY FOR LONGER TO HELP
BRING IN THOSE PROJECTS.
NEXT SLIDE, PLEASE.
SO ANOTHER PROGRAM THAT IS NEW
TO THIS LEGISLATION IS FOR
SMALL BUDGET PRODUCTIONS.
THIS PROGRAM IS NEAR AND DEAR
TO MY HEART, BECAUSE IT IS
ABOUT INVESTING IN THE NEXT
GENERATION.
IT'S FINDING OUR NEXT LYNN
SHELTONS, AND OUR NEXT MEGAN
GRIEF GRIFFITH IT'S.
IT'S ABOUT HELPING MAKE THAT
FIRST PICTURE OR LEVELING UP.
WE CAN ALLOCATE UP TO $3
MILLION ANNUALLY FOR BUDGETS
WITH LESS THAN $1 MILLION THAT
ARE CREATIVELY DRIVEN BY
WASHINGTON RESIDENTS.
THAT MEANS KEEPING THE TALENT
POOL LOCAL AND INCENTIVIZING
THE FILMMAKERS TO STAY IN
WASHINGTON TATE.
THE COOL PART IS WE GET TO BE
FIRST MONEY IN.
IN THE STANDARD PROGRAM, WHEN
PROJECTS APPLY FOR FINDING
ASSISTANCE, THEY HAVE TO BE
FULLY FUNDED AND READY TO GO.
IN THIS PROGRAM, THEY DON'T.
SO WE CAN HELP SUPPORT THESE
PROJECTS AS THEY'RE DEVELOPING,
AND MAKE SURE THAT THEY'RE THE
BEST THAT THEY CAN POSSIBLY BE.
NEXT SLIDE, PLEASE.
WORKFORCE DEVELOPMENT.
IT'S BEEN MENTIONED A LOT
TODAY.
AND WE ARE VERY EXCITED ABOUT
THIS NEW PROVISION.
SO LAST YEAR IN 2021, WE
PILOTED A PROGRAM CALLED THE
MEDIA MENTORSHIP PROGRAM, WHICH
WAS AIMED AT MAKING STATEWIDE
SETS MORE DIVERSE AND
EQUITABLE.
WHO WANTED TO PARTNERSHIP IN A
PA PROGRAM.
WE MATCHED THEM WITH UNION
MENTORS, AND EVENTUALLY THEY
WERE HIRED ONTO INCENTIVE SETS.
WE'RE THRILLED THAT IN THIS
LEGISLATION, WE WERE GIVEN THE
AUTHORITY TO EXPAND OUR
PROGRAM.
NOT ONLY THAT, WE ARE MANDATED
TO PUT REAL DOLLARS BEHIND IT.
$500,000 EACH YEAR, AND OVER
THE NEXT FEW YEARS.
AND $750,000 EVERY YEAR UNTIL
THE PROGRAM SUN SETS 0 MAKE
SURE THAT WE'RE DOING WORKFORCE
DEVELOPMENT AND FOCUSING ON
THOSE FROM UNDER REPRESENTED
COMMUNITIES.
NEXT SLIDE, PLEASE.
SO WHAT IS POSSIBLE?
I'VE OUTLINED WHAT THE
INCREASED $50 MILLION, AND WHAT
SOME OF THESE PROGRAMS ARE.
NUMBERS ARE KIND OF MY JAM.
SO I DID SOME PROJECTIONS.
THIS WAS REALLY JUST MEANT TO
GIVE YOU AN IDEA OF THE SHIFT
IN SCOPE.
THIS IS NOTHING I'M GOING TO
SAY IS DEFINITELY GOING TO
HAPPEN, BUT IT'S A POSSIBILITY.
UNDER THE OLD PROGRAM WITH $3.5
MILLION, WE WERE ABLE TO COMMIT
FUNDS TO PROBABLY 3 TO 4 FILMS.
WE'RE LOOKING AT AN INCREASE OF
10 PROJECTS.
WE MIGHT BE ABLE TO ATTRACT
THREE EPISODIC SERIES, THOSE
ARE THOSE LONGER TERM PROJECTS
THAT HAVE MULTIPLE EPISODES,
HOPEFULLY MULTIPLE SEASONS.
WE'LL STILL BE ABLE TO SUPPORT
THOSE FOUR FEATURE FILMS AND
ALSO INVEST IN THOSE THREE
SMALL BUDGET PRODUCTIONS, WHICH
IS REALLY ABOUT INVESTING IN
THE NEXT GENERATION.
NEXT SLIDE, PLEASE.
SO IT'S ALL VERY EXCITING.
AND WE ARE ABSOLUTELY THRILLED
THAT WE GET TO DO ALL OF THIS
FUN STUFF, BUT WE CAN'T DO IT
ALONE.
WE'RE GOING TO NEED THE
PARTNERSHIP OF ALL OF OUR
STATEWIDE PARTNERS AND THE CITY
OF SEATTLE IS THE LARGEST, MOST
RECOGNIZABLE PRODUCTION CENTER
IN THE STATE.
IT WAS ALREADY MENTIONED, WHEN
PEOPLE THINK OF WASHINGTON,
THEY THINK OF SEATTLE FIRST.
WE ARE SO EXCITED THAT, YOU
KNOW, WE'VE HAD THIS GREAT
RELATIONSHIP WITH THE CITY IN
THE PAST, WHETHER THAT HAS BEEN
WORKING ON THE COMMERCIALIZED
SEATTLE CAMPAIGN, TAKING TRIPS
TO L.A.
FOR MARKETING PURPOSES, TOURING
AROUND PERSPECTIVE FILMMAKERS,
SO WE ARE REALLY LOOKING
FORWARD TO GROWING OUR LONG
STANDING RELATIONSHIP, AND I'M
OUTLINING THE PATHWAY FOR THE
CITY TO CONTINUE THEIR ECONOMIC
DEVELOPMENT THROUGH FILMWORKS.
FIRST IS TO PARTNER WITH US ON
THE STRATEGIES AS THEY UNRULE.
SECONDLY, HAVING A WELL STAFFED
AND RESOURCED FILM OFFICE THAT
CAN NOT ONLY CONTINUE TO MEET
CURRENT NEEDS, BUT ALSO AS THE
INCENTIVE BRINGS MORE PROJECTS,
MEET THAT INCREASED DEMAND AS
WELL.
THE FILM INDUSTRY IS
NOTORIOUSLY FAST PACED, AND
SEEMINGLY LAST MINUTE.
SO MAKING SURE THERE IS A
STREAMLINED PERMITTING PROCESS,
SO THAT THERE IS SOMEONE WHO
UNDERSTANDS THE LANGUAGE OF
FILM, AND CAN TRANSLATE THAT
INTO CITY SPEAK IS GOING TO BE
EXCEEDINGLY IMPORTANT.
FINALLY, HAVING PARTNERSHIP ON
THIS WORKFORCE DEVELOPMENT TO
BETTER SERVE THE INDIVIDUALS
FROM HISTORICALLY UNDERRESTED
GROUPS IS GOING TO BE
IMPORTANT, BECAUSE BUILDING A
FILM INDUSTRY THAT IS
REFLECTIVE OF NOT ONLY, YOU
KNOW REFLECTING OF OUR
COMMUNITY IS NOT ONLY GOOD
ECONOMIC DEVELOPMENT, BUT
ALLOWS THOSE INDIVIDUALS TO
TELL STORIES ABOUT OUR
COMMUNITIES, AND SHARE THOSE
STORIES NATIONALLY AND
INTERNATIONALLY, AND BUILD ON
THIS REPUTATION THAT THE CITY
OF SEATTLE, AND WASHINGTON
STATE HAS FOR AUTHENTICITY, AND
CREATIVITY.
THANK YOU VERY MUCH.
I WILL STICK AROUND FOR
QUESTIONS AT THE END.
BUT I BELIEVE I'M GOING TO HAND
IT BACK TO DIRECTOR McINTYRE,
RIGHT NOW.
>> THANKS, GREAT PRESENTATION.
REALLY APPRECIATE THE CLARITY
OF WHAT THE FILM INCENTIVE CAN
DO IN TERMS OF PROJECTS THAT IT
BRINGS TO THE STATE, AND
HOPEFULLY TO SEATTLE, AS WELL
AS THESE, THE SUPPORT THAT
YOU'RE LOOKING FOR FROM THE
CITY AND HOW THAT ALIGNS.
WITH THAT, I'M VERY PLEASED TO
TURN IT OVER TO KATE BECKER
FROM THE TIME PERSPECTIVE.
>> THANK YOU VERY MUCH, I'M
DELIGHTED TO BE BACK AT THIS
TABLE IN COUNCIL CHAMBERS, IT'S
BEEN A WHILE.
FIRST, BEFORE WE GET STARTED,
CAN WE SWITCH TO THE NEXT
SLIDE?
THANK YOU FOR CHAMPIONING THIS,
IT'S REALLY AN INCLEANSABLE
STAND INCREASE.
WE ARE MOVING FILM IN THE
POSITIVE DIRECTION WE SEEM TO
BE MOVING NOW.
SO THIS IS VERY TREMENDOUS.
THANK YOU FOR THIS.
I HAD THE HONOR OF SERVING AS
THE DIRECTOR OF THE MUSIC
CAREER HERE FROM 2014 TO 2019,
AND MOVED TO DIRECTOR
KONSTANTIN, WHO REALLY WANTED
TO SEE US EXPAND THIS WORK AT
THE REGIONAL LEVEL.
THAT'S WHAT WE'VE BEEN WORKING
ON SINCE THEN.
IN 2019, SEPTEMBER, THE
EXECUTIVE ISSUED AN EXECUTIVE
ORDER, PRIORITIZING FILM
THROUGHOUT KING COUNTY.
EXPEDITING THE FILM PROCESS.
AND PRIORITIZING FOR FILM
PRODUCTION.
WE ESTABLISHED AN EXECUTIVE
FILM ADVISORY BOARD THAT
CONSISTS OF 15 PEOPLE,
INCLUDING MELISSA PURRSELL, WHO
IS WITH US HERE TODAY, AND THEY
ADVISE US REGULARLY ON THE KING
COUNTY FILM INITIALTIVE, AND ON
ONE OF OUR BIGGEST INVESTMENTS,
WHICH IS HARBOR ISLAND STUDIOS.
WE DID INVEST $3 MILLION IN
ACTIVATING A 117,000 SQUARE
FOOTWEAR HOUSE ON HARBOR ISLAND
IN THE CITY OF SEATTLE.
WE HAVE HAD TWO BIG PILOT
PROJECTS IN THERE SINCE WE HAVE
OPENED THE PILOT PROJECT DOORS.
AND PUT SEVERAL HUNDRED PEOPLE
BACK TO WORK DURING THE
PANDEMIC WITH THREE BUSY SEASON
TWO, AND LOVELINE SEASON FOUR.
WE'RE NOW MAKING FURTHER
RESERVATIONS TO GET TO A
FURTHER GRAND OPENING MOMENT.
I ALSO WANT TO MENTION THAT
SEATTLE AND KING COUNTY HAVE
WORKED TOGETHER ON A FILM.
ECOSYSTEMS STUDY.
THAT, WHILE WE HAVE NOT
RELEASED IT YET, BECAUSE THE
PANDEMIC HIT, AND ALTERED THE
STATE OF THE FILM INDUSTRY
DRAMATICALLY, WE HAVE MOST OF
THE WORK DONE, AND JUST NEED A
BASELINE REFRESH TO GET THAT
SYSTEM STUDY OUT THE DOOR.
NEXT SLIDE, PLEASE.
I DID MENTION THIS, WE HAVE
EASED THE PROCESS AND MADE IT
MUCH EASIER FOR FILM
PROFESSIONALS TO GET FILMS
QUICKLY AND AFFORDABLY.
WE HEARD FROM LOCATION SCOUTS
AND MANAGERS THAT THIS WAS AN
ONGOING ISSUE, SO IT WAS
SOMETHING THAT WE ADDRESSED
RIGHT AWAY.
NEXT SLIDE, PLEASE.
THANK YOU.
AS WE MOVE FORWARD IN THIS
TRANSFORMATIONAL TIME, WHAT WE
REALLY WANT FROM OED AND THE
CITY OF SEATTLE IS CONTINUED
COLLABORATION.
WE'VE LONG HAD STRONG
PARTNERSHIPS AND HOPE TO
CONTINUE THAT, OF COURSE,
UPDATE THE FILM SYSTEM STUDY
FOR THE REGION, AND CONTINUED
ACCESS TO CITY OWNED PARKING
LOT, WHICH IS NEAR HARBOR OWNED
STUDIOS, WHICH IS REALLY KEY TO
BIG PROJECTIONS WORKING.
SO NEXT SLIDE, PLEASE.
BEFORE WE CLOSE, I JUST WANT TO
SAY THAT THIS IS AN INCREDITY
EXCITING MOMENT, I WANT TO
THANK ALL THE ADVOCATES, AND
ACTIVISTS AND POLITICAL LEADERS
WHO HAVE STEPPED FORWARD TO
MAKE THIS HAPPEN.
THERE IS SO MUCH OPPORTUNITY AT
HAND NOW TO REALLY GROW A
COMPETITIVE AND EQUITABLE FILM
INDUSTRY HERE IN THIS REGION,
AND KING COUNTY, THE
ECONOMICTIVE, THE TEAM AND I,
WE ALL STAND AT THE READY TO
PARTNER WITH THE CITY AS WE
MOVE FORWARD ON THIS WORK.
SO I SURE LOOK FORWARD TO IT.
THANK YOU.
>> FIRST OF ALL, LOVE THE
ENERGY.
I KNOW YOU'VE BEEN DOING THIS A
LONG TIME, SO WE SHOULDN'T LOSE
SIGHT OF THIS IS A VERY
EXCITING MOMENT.
I WANT TO TALK MORE TACTUALLY
ABOUT WHAT IT MEANS, HOW
MEANINGFUL THE DEPARTMENT WAS
WITH THE CITY, AND I WANT TO
TALK A LITTLE MORE ABOUT WHAT
THAT MEANS IN PRACTICE.
BOTH KATE AND JULIE TALKED
ABOUT PERMITTING.
I'M SOMEONE WHO BELIEVES THAT
PERMITTING COULD ALWAYS BE
IMPROVED.
WE'RE CERTAINLY GOING TO WORK
ON THAT, OVER WITH OUR FILM
TEAM, AND WORK WITH THE OTHER
DEPARTMENTS.
WE WANT TO MAKE SURE THAT
PERMITTING IS AS EASY, AND
STRAIGHT FORWARD AS POSSIBLE.
SECONDLY, WE WANT TO CONTINUE
ALIGN WITH THE STATE.
I THINK HAVING THIS FILM
COMMISSION, THE COUNTY HAS
THEIR BODY AND MAKING SURE THAT
WE'RE WORKING VERY CLOSE
TOGETHER, IN TERMS OF WHO ARE
THE PEOPLE BEING REPRESENTED,
THE DIFFERENCE VOICES BEING
REPRESENTED, BUT ALSO TRYING TO
SYNTHESIZE TO AN ACTIONABLE SET
OF PRIORITIES, SO WE CAN MAKE
PROGRESS, AND NOT JUST CREATE
LAUNDRY LISTS.
I THINK IS GOING TO BE A KEY
THING ABOUT THAT ALIGNMENTMENT
WE WANT TO LAUNCH A FILM
SEATTLE BRAND, AS BOTH KATE AND
JULIE MENTIONED, WHEN YOU THINK
OF WASHINGTON STATE FILM,
SEATTLE IS KIND OF THE TOP OF
THE LIST IN TERMS OF THE ICONIC
BRAND FOR WHERE TO FILM.
WE'VE GOT ICONIC LAND ESCAPE.
MOUNTAINS, WATER, ALL KINDS OF
LOCATIONS WITHIN AN HOUR OR A
HALF HOUR AWAY.
SO WE WANT TO MAKE SURE WHEN
LOOKING FOR WHERE TO SHOOT,
IT'S REALLY EASY TO FIND US,
AND MAKES THEM WANT TO COME TO
BE HERE.
WE'RE GOING TO LAUNCH THIS FILM
SEATTLE BRAND THAT'S GOING TO
INCLUDE WORK WITH OUR BUSINESS
DISTRICTS.
CONNECTING WITH THE STATE
STORIES FROM UNDERSERVED
COMMUNITIES THAT JULIA
MENTIONED, HOW WE BRING IN, AND
ATTRACT FILM PRODUCTIONS TO
SEATTLE.
FINALLY, IT'S ESTABLISHING THIS
FILM COMMISSION AND MAKING SURE
THAT OED AND OUR STAFF DO AN
EXCELLENT JOB OF STAFFING IT,
AND AGAIN TRYING TO DO THOSE
THINGS, WHICH IS ADVISING US ON
THE PROGRAMS, ENGAGING WITH THE
INDUSTRY, AND THE STAKEHOLDERS
TO FIGURE OUT WHAT ARE THOSE
ECONOMIC OPPORTUNITIES THAT WE
CAN TAKE ADVANTAGE OF.
WE'VE GOT OUR WORK PLAN, I
THINK IS PRETTY WELL STATED
KIND OF OUT OF THE GATE.
BUT OVER TIME, SYNTHESIZING
THEM, AND MAKING SURE THEY'RE
IN LOCK STEP WITH THE COUNTY
WILL BE PLENTY IMPORTANT.
WE'VE GOT PLENTY OF WORK AHEAD
OF US, BUT I THINK IT'S PRETTY
CLEAR WHAT WE NEED TO DO TO
TAKE ADVANTAGE OF THE
OPPORTUNITY, AND WE'RE REALLY
EXCITED TO GO TO WORK.
WITH THAT, NOW YOU CAN GET TO
THE LAST SLIDE FOR QUESTIONS.
>> EXCELLENT.
I JUST HAVE TO SAY, I AM, I
FEEL REALLY LUCKY TO BE
STEPPING IN AT A TIME, WHERE
THE STARS SEEM TO BE ALIGNING,
AND I'M PRETTY MUCH CONVENING
HERE.
THANK YOU VERY MUCH FOR
EVERYTHING YOU ALL ARE DOING.
JULIE, ARE WE TALKING ABOUT 15
MILLION TOTAL?
SO IT IS NEW MONEY ON TOP OF
3.5?
>> SURE, SO IT'S 11.5 MORE ON
TOP OF THE 3.5, TOTALING $15
MILLION ANNUALLY THAT WE CAN
COMMIT.
>> GOT IT.
I HAD THE TOTAL RIGHT, BUT THE
PARTS WRONG.
OKAY, COUNCILMEMBER HERBOLD.
>> THANK YOU SO MUCH.
HARKENING BACK TO A STUDY THAT
THE OFFICE OF ECONOMIC
DEVELOPMENT, OFFICE OF FILM,
AND MUSIC AND THE OFFICE OF
ARTS AND CULTURE DID IN 2019,
RECOGNIZING, OF COURSE, THE
LEADERSHIP OF THE FORMER
DIRECTOR, KATE BECKER HERE WITH
US TODAY, THAT REPORT NOTED
THAT SEATTLE'S CREATIVE ECONOMY
IS STRONG WITH ABOUT 75,000
CREATIVE JOBS HERE IN SEATTLE
AND ABOVE AVERAGE GROWTH
COMPARED TO OTHER ECONOMIC
SECTORS.
THAT'S ONE OF THE REASONS WHY
I'VE BEEN SUCH AN ADVOCATE WITH
YOU, DIRECTOR MAKING SURE THAT
THE CREATIVE SECTOR IS
IDENTIFIED AS A SECTOR THAT IS
A PRIME SECTOR FOR THE CITY TO
INVEST IN.
THE REPORT, IN ADDITION, NOTED
THAT A MEDIAN HOURLY WAGE FOR
CREATIVE OCCUPATIONS WAS ALMOST
$31 AN HOUR.
AND CREATIVE INDUSTRIES
CONTRIBUTED TO 18% OF OUR GROSS
REGIONAL PRODUCT.
COMPARE THAT TO 4% IN OTHER
JURISDICTIONS ACROSS THE
COUNTRY.
BUT THE REPORT SHOWED THERE
WERE DISPARITIES ALONG RACE AND
GENDER LINES.
SPECIFICALLY COMPUTER-RELATED
OCCUPATIONS HAD THE HIGHEST
EARNING.
ARTS, DESIGN, ENTERTAINMENT,
AND MEDIA OCCUPATIONS HAD THE
LOWEST EARNINGS.
OF COURSE THIS SPEAKS TO THE
NEED TO INVEST IN SKILLS,
WORKFORCE DEVELOPMENT PROGRAMS
TO PREPARE YOUNG PEOPLE AND
UNDERSTAND THE BARRIERS TO
ENTRY.
I REALLY APPRECIATE THAT THE
NEW FILM COMMISSION HAS RIGHT
IN ITS CHARTER THE FACT THAT
IT'S GOING TO BE CENTERING ITS
EFFORTS ANDRESING RACIAL
DISPARITIES WITHIN THE LOCAL
FILM INDUSTRY.
I FURTHER APPRECIATE HEARING
HOW THE FILM INCENTIVE BILL
MAKES A MODEST INVESTMENT IN
ADDRESSING THESE GOALS AND THAT
FILMWORKS IS IDENTIFIED AS A
PARTNER IN ADDRESSING THESE
GOALS, BUT I'M WONDERING IF
YOU, DIRECTOR MARKHAM CAN SPEAK
TO A LITTLE MORE ABOUT WHAT
YOUR VISION IS, TO HOW WE CAN
PARTNER TO ADDRESS THESE GOALS.
>> BEFORE YOU START, YOU
MENTIONED
>> APPRECIATE THE QUESTION.
THAT REALLY IS THE HEART OF
WHAT WE'RE TRYING TO DO WITH
ECONOMIC DEVELOPMENT.
AS WE MENTIONED, THE NEW FOCUS
ON OED IS HOW DO WE BREAK DOWN
BARRIERS FOR PEOPLE WHO HAVEN'T
BEEN INCLUDED IN THE ECONOMY.
OR ONLY BEEN INCLUDED AT THE
LOWER
RUNGS.
I THINK AS ALL THREE OF US TALK
THE ABOUT, WORKFORCE IS GOING
TO BE HUGE.
WE'RE HERE IN THIS WHERE WE
HAVE BEEN GENERATING LOTS OF
JOBS.
UNFORTUNATELY, WE HAVE BEENIM
PORTING A LOT OF TALENT.
TRYING TO GET LOCAL PEOPLE INTO
THE JOBS.
AND A BIG PART OF THAT IS OUR
REGIONAL WORKFORCE DEVELOPMENT
SYSTEM HAS BEEN FRAGMENTED OVER
DECADES.
SO WE REALLY NEED TO MAKE SURE,
JUST LIKE WE'RE DOING ALIGNMENT
ON THIS SPECIFIC FILM PROJECT,
ON ALL SORTS OF INDUSTRIES, WE
NEED TO HAVE STRONG REGIONAL
ALIGNMENT.
IT IS A TEAM SPORT.
AND SEATTLE TRYING TO DO IT
ALONE AND BUILD ITS PROGRAMS,
JUST ISN'T GOING TO WORK.
WE HAVE TO FIGURE OUT HOW TO
PARTNER TO HAVE A REAL
SYSTEMATIC APPROACH AND TRY TO
BRING IN THE STATE AND FOLLOW
DOLLARS.
THAT'S REALLY HOW WE'RE GOING
TO BUILD A SYSTEM THAT GIVES
PEOPLE ACCESS TO THOSE
OPPORTUNITIES BUT ALSO TRAINS
THEM FOR THOSE OPPORTUNITIES.
WE'RE HEARING FROM A LOT OF
DIFFERENT DIRECTORS, NOT JUST
FILM, THAT THEY'RE REALLY
LOOKING FOR NEW TALENT.
AND SO AGAIN, THERE'S A CLEAR
OPPORTUNITY THERE.
IT'S REALLY ABOUT HOW DO WE GET
ORGANIZED TO TAKE ADVANTAGE OF
IT?
SECOND IS MORE ON THE BUSINESS
SIDE.
SO WE NEED TO DO A BETTER JOB
WITHIN THE CREATIVE INDUSTRIES.
SO FILM, NIGHTLIFE, MUSIC AND
SPECIAL EVENTS.
HOW ARE WE HELPING BUSINESSES
OWNED BY WOMEN, BY PEOPLE OF
COLOR?
HOW ARE WE HELPING THEM GROW AS
BUSINESSES?
WHAT KIND OF TECHNICAL SERVICES
ARE WE GIVING THEM?
HOW WE ARE WE CONNECTING THEM
TO ACCESS TO CAPITAL.
THERE ARE A VARIETY OF THINGS
WE CAN DO.
HOPEFULLY CREATIN MORE JOBS TO
THANK INTO OUR DEVELOPMENT WORK
FORCE SYSTEM.
IT'S REL KIND OF, I SEE IT AS
BOTH SUPPORTING THE DEVELOPMENT
OF WORKERS THAT EXIST WITHIN
THOSE FOUR CREATIVE INDUSTRIES,
BUT ACROSS A MUCH BROADER
CONSTRUCT OF CREATIVE SKILL
JOBS.
AND ALSO SUPPORTING THOSE
BUSINESSES WITHIN THOSE
SPECIFIC CREATIVE INDUSTRIES TO
STRENGTHEN AND GROW, TACKILY
FOR WOMEN AND PEOPLE OF
MATERIAL.
DOES THAT HELP ANSWER YOUR
QUESTION?
>> IT DOES.
LOOK FORWARD TO LEARNING MORE
AS I THINK THAT FIRST COMB
PONENT, WHICH IS REALLY ABOUT
PARTNERSHIPS.
EXCITED TO LEARN WHAT IS GOING
TO COME OUT OF THOSE
CONVERSATIONS.
>> WE WILL BE BACK.
WE HAVE A LOT COOKING AND
WORKING FOR US.
I THINK IT'S GOING TO BE PRETTY
EXCITING.
TRIS KRIS SWENSON.
YOU HAVE SUCH A WEALTH OF
KNOWLEDGE.
I SEE YOU ON SCREEN.
AND I WOULD LIKE TO KNOW IF YOU
HAVE ANYTHING TO ADD OR SAY.
FOLLOWING SOME OF THESE
QUESTIONS?
OR JUST OFF THE TOP OF YOUR
HEAD.
>> THANK YOU, COUNCILMEMBER
NELSON.
HOPEFULLY YOU CAN HEAR ME.
IE BASICALLY JUST WANT TO ECHO
A LOT OF THE COMMENTS THAT HAVE
BEEN SHARED HERE BY THE STATE,
THE COUNTY AND CITY LEADERSHIP.
IT IS REALLY A GREAT MOMENT IN
TIME, FINALLY THE STARS FEEL
LIKE THEY'RE CONTINUING TO
DEVELOP THIS WORK.
I JUST WANT TO GIVE A BIG SHOUT
OUT TO THE FILM TASK FORCE,
WHICH IS A GROUP OF INDUSTRY
STAKEHOLDERS WHO SPENT THE
PANDEMIC YEAR, DEVELOPING A SET
OF RECOMMENDATIONS THAT THE
CITY COULD FOLLOW.
SO ALL OF THEIR WORK REALLY IS
COMING TOGETHER WITH THE
ESTABLISHMENT OF THE FILM
COMMISSION.
REALLY EXCITED AND LOOKING
FORWARD TO THE CITY SUPPORT OF
THE FILM INDUSTRY.
AND REALLY EXCITED FOR OUR
CONTINUED INTEGRATION OF GROWTH
WITH OUR PARTNERS AT THE COUNTY
AND STATE LEVEL.
AND THANK YOU, COUNCILMEMBER
NELSON, FOR HELPING DRIVE AND
LEAD ALL OF THIS.
>> THANK YOU VERY MUCH.
>> WELL, I DON'T SEE ANY OTHER
HANDS.
BUT I ALSO -- I WANT TO
ACKNOWLEDGE THAT DIRECTOR
McINTYRE CAME ON BOARD.
I BELIEVE YOUR FIRST DAY WAS
FEBRUARY 28th.
AND YOU HAD A LOT TO DO.
AND REALLY, YOU KNOW, YOU HAVE
PUT YOUR FOCUS ON THE NEW OED.
AND IN THE RIGHT PRIORITIES
THAT YOU PRESENTED TO THIS
COMMITTEE AND ALONG COMES THIS
COUNCILMEMBER, WHO HAS GOT AN
AGENDA ON FILM.
SO YOU HAVE REALLY, REALLY SEEN
THE OPPORTUNITY AND STEPPED UP.
AND I REALLY APPRECIATE YOUR
LEADERSHIP.
>> THANK YOU VERY MUCH.
>> ALL RIGHT.
WITH THAT, WE'LL MOVE ON TO
ITEM THREE.
THANK YOU ALL VERY MUCH.
STAY TUNED FOR THE 14th ON FILM
COMMISSION.
AND WILL THE CLERK PLEASE READ
ITEM 3 INTO THE RECORD?
>> AGENDA ITEM 3. A
REDSKINSLUTION RELATING TO THE
CITY LIGHT DEPARTMENT,
ACKNOWLEDGING AND APPROVING THE
2022 INTEGRATED RESOURCE PLAN
AS CONFIRMING WITH THE PUBLIC
POLICY OBJECTIVES OF THE CITY
OF SEATTLE, AND THE
REQUIREMENTS OF THE STATE OF
WASHINGTON AND APPROVING THE
INTEGRATED RESOURCE PLAN FOR
THE BIENIUM SEPTEMBER 2022,
THROUGH AUGUST 2024.
DISCUSSION AND POSSIBLE VOTE.
>> THANK YOU VERY MUCH.
SO BEFORE BEGINNING, I --
BEFORE BEGINNING THIS ITEM, I
WANT TO SAY IN THE BACKGROUND A
LITTLE BIT, I'VE BEEN
COMMUNICATING WITH COUNCIL
PRESIDENT JUAREZ, REGARDING THE
FOLKS THAT CAME HERE TO GIVE
COMMENT AND TO LISTEN TO THAT
DISCUSSION.
I'LL BE WORKING WITH COUNCIL
PRESIDENT JUAREZ, MY OTHER
COLLEAGUES AND SEATTLE CITY
LIGHT TO TALK ABOUT THE
POSSIBILITY OF ANOTHER MEETING
OR SOMETHING LIKE THAT TO
REALLY GIVE THIS THE TIME.
SO I WANT TO SAY, BACK TO THIS
ITEM.
SEATTLE CITY LIGHTS, 2022,
INTEGRATED RESOURCE PLAN IS A
LONG-TERM STRATEGY TO MEET
ANTICIPATED ENERGY, CUSTOMER
ENERGY NEEDS OVER THE NEXT 20
YEARS.
AS MANDATED IN THE REVISED
CODES OF WASHINGTON CHAPTER
19.280.
UTILITIES WITHIN WASHINGTON
STATE MUST DEVELOP AN
INTEGRATED RESOURCE PLAN AND
DEMAND UTILITIES TO MEET THEIR
CUSTOMERS' UTILITY NEEDS IN THE
SHORT AND LONG TERM.
REQUIRED TO FILE A FULL IRP,
WITH A PROGRESS REPORT DUE
EVERY TWO YEARS IN THE INTERIM.
SO THAT'S WHAT THIS IS ABOUT
HERE.
AND WE HAD A LONG PRESENTATION
LAST MEETING.
AND WE LEARNED THAT THIS PLAN
WAS GENERALLY SIMILAR TO PAST
IRPs.
BUT WITH SOME IMPORTANT NEW
ADDITIONS AM PARTICULARLY, AN
INCREASED ATTENTION TO
ELECTRIFICATION.
MAINTAIN EQUITABLE ACCESS TO
CLEAN AND AFFORDABLE ENERGY AND
MAKE PROGRESS TOWARD BEING
GREENHOUSE GAS-FREE BY 2045.
IT ALSO OUTLINES A 10-YEAR,
CLEAN-ENERGY PLAN THAT LETS
CITY LIGHTS MEET ITS ABILITY
AROUND RESPONSIVENESS, WHILE
ALSO COMPLYING WITH REGULATORY
COMPLIANCE AND ENSURING EQUITY.
THE NEW PORTFOLIO INCLUDES MORE
WIND AND SOLAR ENERGY, SERVING
CUSTOMER LOAD, AS WELL AS NEW
CUSTOMER PARTICIPATION IN
DEMAND RESPONSE AND ENERGY
EFFICIENCY.
IT PAVES THE WAY FOR
TRANSPORTATION AND BUILDING
ELECTRICIFICATION EFFORTS.
GOING FORWARD, THE PLAN COMMITS
CITYLIGHT TO DISTRIBUTED
RESOURCES, STORAGE AND CUSTOMER
SOLAR POTENTIAL UNDER CLIMATE
CHANGE AND ELECTRICIFICATION
LOADS AND COMMIT CITY LIGHT TO
CONTINUE TO DEVELOP SOCIAL
EEQUITY, AND INCLUDE THEM IN
FUTURE ANALYSES.
FINALLY ADDITIONAL CLIMATE
CHANGE, AND FUTURE ANALYSIS TO
HELP CREATE A MORE THOROUGH
EFFORT OF CLIMATE CHANGE TO
REDUCE RESOURCE NEED.
SO NOT TEMP ASPECT IS REQUIRED
BY STATE LAW.
AND I COMMEND YOUR STAFF FOR
STEPPING UP AND REALLY, IT WAS
ON YOU TO INCLUDE THIS, SEEING
THE FUTURE, AND THE FUTURE IS
NOW.
SO I REALLY APPRECIATE YOUR
WORK ON THIS TO FURTHER ENGAGE
IN THESE ISSUES AND YOUR
FORWARD THINKINGNESS, TO
ADDRESS THE CHALLENGES THAT
CLIMATE CHANGE, THAT WE'RE
FACING WITH CLIMATE CHANGE.
GOING FORWARD.
SO WE HAVE -- WE HAVE DEBRA
SMITH, GENERAL MANAGER AND CEO,
SAUL VILLAREAL, AND CITY LIGHT
AT THE TABLE.
AND ERIC McCONAGHY AT THE
CENTRAL STAFF.
JOINING ME REMOTELY.
THEY'RE HERE TO ANSWER
QUESTIONS.
THEY'RE NOT MAKING A FORMAL
PRESENTATION TODAY.
SO I NOW OPEN IT UP FOR
QUESTIONS.
>> ALL RIGHT.
SEEING NO QUESTIONS.
IZ THANK YOU VERY MUCH FOR
COMING FOR ALL OF THE WORK
YOU'VE DONE.
JUST MENTION ONE MORE TIME.
THE TIME LINE THAT THIS HAS TO
GET DONE.
>> FULL COUNCIL.
>> SEPTEMBER 1st.
>> SO THAT IS, WE ARE WORKING
UNDER STATE DEADLINE.
>> CORRECT.
>> AND THAT IS AROUND FILING
WITH COMMERCE.
>> YEP.
>> SO NOW I MOVE THAT THE
COMMITTEE RECOMMENDS PASSAGE OF
RESOLUTION 32061.
IS THERE A SECOND.
>> SECOND.
>> ALL RIGHT.
IT'S BEEN MOVED AND SECONDED.
>> ANY FURTHER COMNTDS?
>> COUNCILMEMBER SAWANT?
>> THANK YOU.
I HAVE A QUESTION ABOUT THE
PLANS FOR A NEW UTILITY SCALE
RESOURCES.
I UNDERSTAND THE INTEGRATED
RESOURCE PLAN INCLUDES CUSTOMER
RESOURCES LIKE EFFICIENCY,
RESPONSE TECHNOLOGY AND ROOFTOP
SOLAR PANELS AM BUT THIS
QUESTION IS SPECIFICALLY ABOUT
THE PLAN FOR NEW UTILITY SCALE
RESOURCES.
THE CITY LIGHT LIGHT PLAN TO
BUILD OUR OWN NEW SOLAR
GENERATORS?
OR CONTRACT WITH PRIVATE FOR
POWER COMPANIES.
FOR THE LAST CENTURY, PEOPLE
HAVE BENEFITED FROM INEXPENSIVE
AND CLIMATE PRECISELY.
BECAUSE WE HAVE A PUBLIC
UTILITY THAT OWNS AND OPERATES.
ITS OWN URESOURCES.
WORKING CLASS PEOPLE CAN
ORGANIZE TO MAKE DEMANDS.
UTILITY DISCOUNT PROGRAM WHICH
MY OFFICE WHEN IT WAS HEADING
THE ENROLLMENT.
IT MAKES A DIFFERENCE FOR THE
PUBLIC TO HAVE THE SAME, THE NO
GUARANTEE.
BUT NO SPACE FOR DEMOCRATIC
OVERSIGHT AT ALL, AS THERE IS
WITH PUBLIC UTILITIES.
PARTS OF THE COUNTRY THAT HAVE
RELIED ON PRIVATE ENERGY HAVE
SEEN PRICE GOUGING.
BECAUSE THEY ARE PRIMARILY
INTERESTED IN MAKING PROFIT,
NOT PROVIDING POWER.
AND WILL GO TO RUTHLESS LENGTHS
TO DO THAT.
WE'VE SEEN THAT HAPPEN.
THIS IS THE FOURTH YEAR OF NEW
POWER GENERATION.
IT WOULD MEAN THAT CITY LIGHT
WAS THEN STARTING TO
INCREMENTALLY DEPEND ON THE
PRIVATE MARKET.
THESE MANY TIMES OVER THE YEARS
I HAVE BEEN ON CITY COUNCIL.
ESPECIALLY ENERGY COMMITTEE.
BUT YOU KNOW, THIS IS THE MOST
CONCRETELY-POSED THAT I'VE SEEN
THIS QUESTION OF ALL THAT TIME.
AND I KNOW THAT IT WON'T HAPPEN
ALL AT ONCE.
BUT IT WILL BE A STEP TOWARDS
PRIVATIZATION THAT I WOULD NOT
SUPPORT.
JUST TO BE CLEAR, I DO NOT
OBJECT TO CONTRACTS WITH OTHER
PUBLICLY-OWN THE UTILITIES.
THE CONTRACT WITH BONNEVILLE, A
PUBLIC ELECTRICO HYDROPLANT IS
PART OF THE NEW DEAL.
AND IT'S A GOOD REMINDER WE
NEED A NEW DEAL.
MY SUGGESTION WOULD BE TO
CONTRACT WITH PRIVATE, FOR-
PROFIT FOR POWER.
CAN YOU SHED SOME LIGHT ON
THAT.
>> I CAN HELP WITH THAT.
THE PLAN, AND AS WE DISCUSSED
LAST TIME, WE DO EXPECT OR
INTEND TO REQUIRE NEW RESOURCES
AS NEW AS 2026.
AND DRIVEN BY A NEW LOAD.
IT'S EXCITING.
BUT ALSO DOES PUT PRESSURE ON
OUR RESOURCES.
AND AT THAT POINT, OUR PLAN
WOULD BE TO ENTER A PURCHASE
POWER AGREEMENT.
I DON'T THINK WE HAVE A
SPECIFIC TALK SPECIFICALLY
ABOUT WHETHER WE WOULD CONTRACT
WITH FOR-PROFIT ENTILITIES OR
NOT.
BUT LIKELY THEY WOULD BE WHAT
IS CALLED EMERGENT PLANTS.
AND LOOKING FOR PURCHASE POWER
AGREEMENTS TO HELP FIRM UP WHAT
THEY'LL DO WITH THE RESOURCE.
IN RESPONSE TO YOUR QUESTION.
LET ME JUST ADD ONE MORE THING.
I'D LOVE NOTHING MORE THAN TO
BE THE GENERAL MANAGER THAT WAS
PART OF SEATTLE ACQUIRING SO A
NEW RESOURCE.
IN ORDER TO DELIVER THE LOWEST
POSSIBLE WAGE TO OUR CUSTOMER
BASE AS WE HAVE BEEN GROWING.
IN TERMS OF CONNECTION.
BUT WE HAVE BEEN BETTER THAN
THAT.
IN NO SMALL PART BY LEANING
INTO LONG-TERM DEBT FINANCING
AND HAVE SET RATES.
LOOKING AT DEBT SERVICE
COVERAGE AS THE OVERRIDING
METRIC TO DETERMINE WHETHER HOW
WE MOVE OUR STRATEGIC PLAN AND
FINANCIAL PLAN FORWARD AS A
RESULT OF THAT.
WE DON'T HAVE SIGNIFICANT
BORROWING CAPACITY AVAILABLE TO
US.
IN ORDER TO ENTER INTO A
PURCHASE FOR OUR OWN RESOURCE
OR TO DEVELOP OUR OWN RESOURCE.
AND THAT IS PARTICULARLY TRUE
RIGHT NOW, AS WE LOOK AHEAD TO
THE POTENTIAL FOR VERY -- FOR
SOME VERY EXPENSIVE INVESTMENT
IN OUR SCAD ROW HYDROELECTRIC
PROJECTS.
ONE OF THE THINGS WE'RE DOING
IS TRYING TO MOVE THAT SERVICE
UP, WHICH MEANS BORROWING LESS
AND RATE FUNDING MORE IN OUR
ONGOING APITAL, SO WE CAN MAKE
ROOM.
BUT WHERE WE COULD LOOK AT
PURCHASING OUR OWN RESOURCE.
WE CERTAINLY WOULD LOVE TO
PARTNER WITH OTHER PUBLICS.
AND IN FACT, WE TALKED
REGULARLY WITH SNOHOMISH, WITH
TACOMA.
AND WE THINK ABOUT WHETHER
THERE ARE OPPORTUNITIES TO
PARTNER OR COME TOGETHER.
SO THAT IS CERTAINLY NOT OFF
THE TABLE.
AND IS SOMETHING WE WILL
CONTINUE TO TALK ABOUT.
>> THANK YOU.
FOLLOW-UP QUESTION?
OR SHALL I GO TO COUNCILMEMBER
HERBOLD?
>> I DON'T HAVE FOLLOW-UP
QUESTIONS.
I APPRECIATE THAT INFORMATION.
BUT YEAH.
I JUST WANT TO LET YOU KNOW,
I'LL BE ABSTAINING ON THIS FOR
NOW.
>> OKAY.
THANK YOU.
COUNCILMEMBER HERBOLD?
>> I'M NOT SURE IF I'M ASKING
THE SAME QUESTION AS
COUNCILMEMBER SAWANT ASKED OR
IF I'M ASKING A DIFFERENT
QUESTION.
I THINK IT'S A SLIGHTLY
DIFFERENT QUESTION.
IT CAME UP IN PUBLIC COMMENT,
WHICH RELATES TO THE LACK OF
STORAGE INVESTMENTS IN THIS
PLAN FOR WIND AND SOLAR.
COULD YOU SPEAK TO THAT?
>> YEAH.
NOTHING CURRENTLY IS IN THE
MIX.
IT WASN'T COST EFFECTIVE.
WE DID LOOK AT IT TO SUPPLEMENT
THE WIND AND SOLAR.
BUT AT THE CURRENT STATE, IT
WAS A BIG COST TO THE CITY, BUT
WE WILL DEFINITELY LOOK AT IT
IN THE NEXT AS COSTS CONTINUE
TO COME DOWN AND NEW
TECHNOLOGIES EMERGE.
>> AND COUNCILMEMBER, I JUST
CAME FROM A MEETING FOR THE
ELECTRIC POWER RESEARCH
INSTITUTE, WHICH WE'VE TALKED
WITH YOU ABOUT BEFORE.
AND WE'VE TALKED ABOUT THE
EPIRY STUDY, THE
ELECTRICIFICATION STUDY THERE.
THE LEADING ARM OF ENERGY IN
THE COUNTRY.
I WOULD SAY LONG-DURATION
ENERGY STORAGE, WHICH WE'RE
TALKING ABOUT.
EVERY MEETING I GO TO, IT'S
WHAT WE'RE TALKING ABOUT.
SO I THINK IT'S VERY CLOSE.
SOME FOLKS ARE STARTING, ARE
DOING PILOT PROJECTS,
PARTICULARLY IN CALIFORNIA,
WHERE IT WAS THE FASTEST WAY TO
DEAL WITH A RESOURCE SHORTAGE,
INADEQUACY, ROLLING OUT.
I ALSO WANT TO SEE IN OUR NEXT
RENDITION, SO THE NEXT UPDATE
THAT WE DO IN TWO YEARS, I
WOULD LIKE TO SEE MORE DEMAND
RESPONSE.
THE NOTION OF CONNECTED LOADS.
AND THE NOTION OF HOT WATER
HEATERS AND ET CETERA.
SO ALL OF THAT IS ON THE TABLE.
AND IT'S JUST NOT ENOUGH TO
FOLD INTO THE CURRENT SUBMITTED
IRP.
>> AND THIS IS A TWO-YEAR PLAN.
IS THAT RIGHT?
>> EXCUSE ME?
>> WHAT WE'RE VOTING ON TODAY
IS A TWO-YEAR PLAN?
>> YES.
AND WE EXPECT THERE WILL BE A
LOT OF SHIFT AND A LOT OF
MOVEMENT FORWARD, AND SENDING
THESE EMERGING TECHNOLOGIES IN
THE TWO-YEAR PERIOD.
>> THANK YOU.
>> OKAY.
IF THERE ARE NO FURTHER
QUESTIONS, I THINK THAT WE ARE
READY TO GO FOR A VOTE.
THE LEGISLATION HAS BEEN MOVED
AND SECONDED.
WOULD THE CLERK PLEASE CALL ON
THE COMMUNITY RECOMMENDATION
THAT RESLUCKS, THAT THIS
RESOLUTION PASS?
>> COUNCIL PRESIDENT JUAREZ?
>> AYE.
>> COUNCILMEMBER SAWANT.
>> ABSTAIN.
>> COUNCILMEMBER HERBOLD?
>> YES.
>> CHAIR NELSON?
>> AYE.
>> THREE IN FAVOR, ONE
ABSTAINED.
>> ALL RIGHT.
THE MOTION CARRIES AND THE
COMMITTEE RECOMMENDATION THAT
THE RESOLUTION PASS WILL BE
FORWARDED TO THE CITY COUNCIL
ON AUGUST 15th, FOR FINAL
CONSIDERATION.
THANK YOU VERY, VERY MUCH,
EVERYONE.
I APPRECIATE YOU BEING HERE.
>>> OKAY.
MOVING ON TO ITEM 4, OUR LAST
ITEM.
WILL THE CLERK PLEASE READ ITEM
4 INTO THE RECORD?
>> AGENDA ITEM 4.
SEATTLE CITY LIGHT 2023 TO 24
RATE ORDINANCE, BRIEFING AND
DISCUSSION.
>> OKAY.
THIS ORDINANCE IMPLEMENTS THE
RATE PATH IN CITY LIGHTS 2022
AND 2026 STATEGGIC PLAN.
AND COUNCIL APPROVED THAT ON
AUGUST 23rd.
SO BEFORE GOING INTO
DISCUSSION, I AM GOING TO TOUCH
ON SOME OF THE ISSUES THAT WERE
RAISED DURING THAT PROCESS.
BY SAYING THAT CITY LIGHT HAS
HELD CUSTOMER BUILDS STEADY BY
ELIMINATING AN APPROVED RATE
INCREASE IN 2021 AND REDUCING
IT IN 2022.
AT THE SAME TIME, COSTS OF
GENERATING AND DISTRIBUTING
ELECTRICITY WENT UP A LOT IN
THE PAST THREE YEARS.
THE PRICE OF STEEL, ALUMINUM
AND COPPER ROSE BY 70 TO 80%.
THE PROPOSED RESIDENTIAL RATE
INCREASES 5.7, OR ABOUT $4 A
MONTH.
THAT INCREASE IS LESS THAN
OVERALL INFLATION AND IS STILL
NOT THE ENOUGH TO COVER THE
RISING COST OF RISING
ELECTRICITY.
IN MANY CASES, RAISING RATES BY
DOUBLE THAT.
JUST TO MAINTAIN BASIC SERVICE
LEVELS.
AND AS A PUBLIC UTILITY, WE
HAVE ALREADY NOTICEABLY LOW
RATES.
SO TO HOLD THESE RATES DOWN AS
MUCH AS POSSIBLE, CITY LIGHT IS
CUTTING SPENDING IN OTHER AREAS
AND AS MENTIONED ALREADY, FOR
CUSTOMERS HAVING TROUBLE PAYING
THEIR BILLS, WHETHER
RESIDENTIAL, HEAVY OR LIGHT
USERS, WE DO HAVE PROGRAMS
TOTAILOR TO FIT THOSE NEEDS.
WE HAVE TEAM MEMBERS HERE.
PLEASE INTRODUCE YOURSELF, AND
I LOOK FORWARD
TOWERIOPRESENTATION.
>> AGAIN, MY NAME IS DEBRA
SMITH, AND I'M THE GENERAL
MANAGER AND CEO OF SEATTLE CITY
LIGHT.
AND I HAVE MY AMAZING PEOPLE
HERE WITH ME.
WE'LL START WITH KIRSTY
GRAINGER.
>> GOOD MORNING.
KIRSTY GRANGER, CITY LIGHT
CHIEF FINANCIAL OFFICER.
>> GOOD MORNING, CRAIG SMITH,
CITY LIGHT CHIEF CUSTOMER
OFFICE.
>> CHRIS GREEN.
>> CARSTEN CROFF.
>> BEFORE YOU CONDITION, I
SHOULD SAY, WE ARE NOT VOTING
ON THIS TODAY.
WEVILLE ANOTHER DISCUSSION AND
POSSIBLE VOTE ON SEPTEMBER
14th.
GO AHEAD, PLEASE.
>> GREAT.
ALL RIGHT.
SO CAN WE GO TO THE NEXT SLIDE
PLEASE?
>> THIS IS CITY LIGHTS BIENIAL
ORDINANCES.
AUTHORIZED LAST MONTH BY CITY
COUNCIL, VIA CITY LIGHTS
STRATEGIC PLAN.
THESE RATE INCREASES ARE
DESIGNED TO PRODUCE THE AMOUNT
OF REVENUE THAT CITY LIGHT
NEEDS TO DELIVER RELIABLE,
CLEAN AND SOCIALLY RESPONSIBLE
ELECTRIC SERVICE FOR THE NEXT
BIENNIUM.
AND THAT THE TIMING OF THIS
ORDINANCE.
SO IT COMES AFTER THE STRATEGIC
PLAN.
AND THEN IT WILL ALIGN WITH THE
BUDGET, OF COURSE, WHERE THE
CITY COUNCIL WILL TURN THEIR
ATTENTION TO LATER THIS YEAR.
SO THAT IS THE TIMING OF THIS
ORDINANCE.
SO THE RATE INCREASES, WHICH
ARE 4.5% FOR 2023 AND 2024,
REFLECT THE IMPACTS OF
SIGNIFICANTLY HIGHER INVASION,
AS WELL AS LOWER INCREASES IN
Ö021.
AND IN 2022, THAT WERE A PART
OF SEATTLE'S COVID RESPONSE.
AND IN 2022, OUR RATE INCREASE
WAS 2.1%, WHICH WAS LESS THAN
THE INCREASE APPROVED BY THE
PREVIOUS PLAN.
THIS ORDINANCE ALSO IMELEMENTS
IMPLEMENTS SOME FARYBL
SIGNIFICANT POLICY CHANGES AND
DESIGN THAT ARE MANY YEARS IN
THE MAKING.
AND SOME MIGHT REMEMBER THE
WORK THAT WE DID WITH THE CITY
LIGHT COUNCIL AND PANDEMIC ON A
RATE STUDY.
SO THIS ORDINANCE IMPLEMENTS
SOME OF THE POLICY
RECOMMENDATIONS THAT CAME OUT
OF THAT WORK AS WELL AS
IMPLEMENTS THE COST OF SERVICE
STUDY
WHICH TAKES ACTUAL COSTS AND
USES THEM TO ASSIGN INCREASES
ACROSS OUR CUSTOMER CLASSES.
>> SO NEXT SLIDE PLEASE.
WE'RE GOING IT START TALKING
RATE CHANGES.
AND THEN WE'LL MOVE INTO
TALKING A LITTLE BIT MORE ABOUT
THE INCREASES AND A LITTLE MORE
ABOUT AFFORD ABLGHTD IMPACTS.
BACK IN 2019, CITY LIGHT
COMPLETED A RATE POLICY STUDY.
AND THIS WAS IN CONJUNCTION
WITH OUR CITIZENS CITY LIGHT
REVIEW PANEL.
IT WAS IN RESPONSE TO A REQUEST
FROM CITY COUNCIL
CITY COUNCIL IN RESOLUTION.
THE CITY DESCRIBED GOALS, WHICH
YOU CAN SUMMARIZE THERE AND
ALSO IDENTIFIED STRATEGIES FOR
MEETING THESE GOALS SO THIS
FEATURES A COUPLE OF
STRATEGIES.
WHICH INCLUDE INCORPORATE A
FIXED BASE RATE CHARGE FOR ALL
CUSTOMERS.
WE'RE GOING TO BE INCORPORATING
A TIME OF DAY RATE FOR ALL
CUSTOMERS.
ALSO ADJUSTING OUR LEGACY BLOCK
STRUCTURE TO FACILITATE THIS.
NEXT SLIDE PLEASE.
SO THE TIME OF DAY RATE OPTION.
THIS ISN'T COMING UNTIL 2024.
BUT IN MANY WAYS, THIS IS THE
BIGGEST POLICY CHANGE THAT
WE'RE MAKING AND ONE THAT IS
THE LONGEST COMING.
THIS DATES BACK TO CITY LIGHT
ROLLING OUT ADVANCED METERS
THROUGHOUT OUR TERRITORY.
AND AGAIN, WE COMPLETED THE
POLICY FRAMEWORK IN 2019 THAT
WE IDENTIFIED, WHERE WE WANT TO
USE THE NEW ADVANCED METER
TECHNOLOGY IN OUR RATES.
WE HAVE BEEN WORKING OVER THE
LAST SEVERAL YEARS, PUTTING
METERS TO OUR SYSTEM.
TO MAKE BILLING TIME OF DAY
POSSIBLE.
THEN HERE WE ARE TODAY, WITH
THE RATE ORDINANCE, SETTING
RATES FOR THE NEXT TWO YEARS.
AND IN 2024, THIS NEW TIME OF
DAY RATE OPTION WILL BECOME
AVAILABLE FOR ALL OF OUR
RESIDENTIAL AND SMALLER
BUSINESS CUSTOMERS.
>> R WE'LL BE DOING A LOT OF
OUTREACH WORK IN PREPARATION
FOR THIS ROLLOUT IN 2024.
NEXT SLIDE PLEASE.
>> A LITTLE MORE ON THE TIME OF
RATE DISIEFNLT DESIGNED TO HAVE
THESE THREE PERIODS.
THE MIDPEAK PERIOD.
THE TIME TO ENCOURAGE CUSTOMERS
TO MOVE AWAY FROM USE DURING
THE HIGH-PEAK PERIOD OF 5:00
P.M.
TO 9:00 P.M.
SO YOU CAN SEE THAT ELECTRICITY
THERE IS PRICED HIGHER DURING
THE PEAK PERIOD.
AND CONVERSELY, IN THE EARLY
MORNING HOURS, BETWEEN MIDNIGHT
AND 6:00 A.M., WHEN THE SYSTEM
HAS THE MOST CAPACITY, WHEN
ENERGY IS PRICED VERY LOW WE
WOULD OFFER A LOW, PER-
KILOWATT.
AND OFFER CUSTOMERS WHO WOULD
LIKE TO OPT IN A NEW WAY TO
MANAGE THEIR ELECTRICITY BILLS.
WE DID A LITTLE EXAMPLE HERE
FOR AN EV OWNER, SHOWING THAT
IF THEY WERE TO CHOOSE TO
CHARGE THEIR VEHICLE IN THE
EVENING DURING THE MOST
EXPENSIVE PERIOD, THAT THE
PRICE WOULD BE ALMOST TWICE AS
MUCH FOR THEM AS IT WOULD BE IF
THEY WERE TO SET THEIR CHARGER
TO CHARGE BETWEEN MIDNIGHT AND
6:00 A.M.
SO THEY WOULD HAVE THE
OPPORTUNITY TO SAVE, BY
SHIFTING THE WAY THEY CHARGE
THEIR VEHICLE.
IF THEY CHOSE TO.
SO LOOKING AHEAD, THERE WILL BE
WAYS.
WE ARE LOOKING TO OFFER THE
CUSTOMER.
AND IN MANY WAYS, WE'RE
BUILDING FOR TECHNOLOGY THAT
SNOT EVEN HERE YET.
>> AND JUST TO NOTE.
PEOPLE WONDER ABOUT THE EQUITY.
YOU CAN BUY SMART PLUGS AND
SWITCHES THAT ALLOW YOU TO
CONTROL YOUR APPLIANCES
REMOTELY.
AND THEY'RE INEXPENSIVE.
AND YOU CAN BUY THEM AT BEST
BUY.
WE ABSOLUTELY BELIEVE IN THE
NEW APPLIANCES WILL BE SMART
APPLIANCES THAT GIVE FOLKS THE
OPPORTUNITY.
BUT THERE ARE ALSO WORKAROUNDS
THAT ARE RELATIVELY INEXPENSIVE
AND VERY ACCESSIBLE TO PEOPLE.
>> WE'RE ALSO INTRODUCING A
WEIGHT RATE SPECIFICALLY FOR
COMMERCIAL CHARGING.
SO THIS WOULD BE FOR COMPANIES
THAT OFFER EV CHARGING OR MAYBE
FLEETS.
SO THIS IS BASED ON A PILOT
PROGRAM THAT WE HAVE NOW.
THAT WOULD EXPAND THAT
COMMERCIAL CHARGING RATE TO BE
A PERMANENT FEATURE.
SO MOVING ON, ANOTHER RATE
DESIGN CHANGE IS INTRODUCING A
BASIC SERVICE CHARGE FOR ALL OF
OUR CUSTOMERS.
SO THIS WOULD BE A FEE THAT ALL
CUSTOMERS WOULD PAY THAT COVERS
A PORTION OF THE COST OF
CUSTOMER EVERYBODY'S SERVICE,
METER READING, BILLING.
THESE WOULD ALL BE THINGS A
CUSTOMER WOULD USE, EVEN IF
THEY DIDN'T USE ELECTRICITY.
AND YOU CAN SEE THERE, IN THE
TABLE, AT THE TOP.
CURRENTLY FOR RESIDENTIAL
CUSTOMERS, THE FEE IS $6 PER
MONTH.
AND WE WOULD BE PROPOSING THAT
INCREMENTALLY.
AND THEN $7 TO $8 FOR 2024.
FOR GENERAL SERVICE, COMMERCIAL
AND INDUSTRIAL RATES, THERE
CURRENTLY ISN'T A BASE SERVICE
CHARGE.
SO WE WOULD PROPOSE TO
INTRODUCE ONE FOR ALL OF THESE
CUSTOMERS.
AND YOU CAN SEE THAT DEPENDING
ON THE SIZE OF THE CUSTOMER, IT
RANGES FROM $7 ALL THE WAY UP
TO A FEW THOUSAND.
AND JUST FOR CONTEXT.
HIGH DEMAND.
I THINK WE ONLY HAVE ABOUT 14
HIGH-DEMAND CUSTOMERS.
SO THESE WOULD BE VERY, VERY
LARGE CUSTOMERS, JUST TO PUT
THAT INTO CONTEXT.
AND THE WHY BEHIND THIS?
IT'S A FAIR WAY TO ALLOCATE
THIS COST.
AND ASSIGNS COST IN A WAY THAT
IS BOTH FAIR AND EFFECTIVE.
THIS IS REALLY AN INDUSTRY BEST
PRACTICE, THAT WE'RE SEEING
MOST UTILITIES WOULD SEE THAT
OUR NEIGHBORS HAVE A FEE LIKE
THIS ON THEIR BILLS.
SO YOU KNOW, WE REALLY FEEL
LIKE WE'RE MOVING IN THE RIGHT
DIRECTION AND TOWARDS INDUSTRY
BEST PRACTICE.
ONE QUICK MISCONCEPTION THAT WE
JUST WANTED TO CLEAR UP, JUST
IN CASE, THAT FOLKS DON'T
UNDERSTAND THIS.
JUST AS A REMINDER, YOU KNOW,
CITY LIGHT, WE ARE A PUBLIC
UTILITY.
THE PURPOSE OF THIS FEE IS NOT
TO GENERATE MORE REVENUE.
IT'S SIMPLY TO CHANGE THE WAY
THAT WE COLLECT REVENUE FROM
OUR CUSTOMERS.
IT DOESN'T RESULT IN HIGHER
RATES OVERALL.
IT'S JUST ADDING A DIFFERENT
COMPONENT.
YOU CAN SEE IN THE BAR CHARTS
THAT THE REVENUE COLLECTION IS
THE SAME UNDER THE NO CUSTOMER
CHARGE WITH IT.
SO FROM THE UTILITY'S
PERSPECTIVE, THE REVENUE
DOESN'T CHANGE, IT'S JUST
CHANGING HOW WE COLLECT IT FROM
OUR CUSTOMERS.
>> AND I'M NOT ASKING TO YOU
MOVE.
BUT GOING BACK TO ONE OF THE
EARLIESTSLIDES WHEN WE TALKED
ABOUT THE RATES AND GOALS.
THIS IS IN DIRECT RESPONSE TO
RATE STABILIZATION, REVENUE
STABILIZATION.
AS WE HAVE INCREASINGLY STABLE
REVENUE SOURCES, IT ALLOWS US
TO BE FLEXIBLE AND MORE
ADAPTIVE.
>> AND THIS POLICY CHANGE IN
PARTICULAR IS ONE THAT WE WORK
CLOSELY WITH THE REVENUE PANEL.
AND WITH THE NORTHWEST ENERGY
COALITION ON THIS DESIGN.
SO WE'RE GRATEFUL TO NANCY FOR
COMING TODAY, AND EXPRESSING
HER SUPPORT FOR THIS.
AND WE THANK HER FOR HER
PARTNERSHIP IN THE WORK THAT WE
DID TO GET TO THIS
RECOMMENDATION.
SO THE NEXT SLIDE IS JUST A
SUMMARY OF THESE RATE DESIGN
CHANGES.
SO FOR THESE CUSTOMERS, WE'RE
GOING TO SEE THIS SMALL
INCREASE IN THE PER METER
SERVICE CHARGE.
AND THE NEW RATE OF DAY CHARGE.
I SHOULD ADD, TOO, AS I
MENTIONED EARLIER, THERE WERE
ALSO MODIFICATIONS WE'RE MAKING
TO OUR STRUCT TOWER FACILITATE
THIS TRANSITION TO OFFER
CUSTOMERS THE OPTION TO DO THE
STANDARD OR THE TIME OF DAY
RATE.
FOR BUSINESS CUSTOMERS OR THE
GENERAL SERVICE CUSTOMERS,
WE'RE INTRODUCING A NEW BASIC
SERVICE CHARGE FOR ALL CUSTOMER
CLASSES.
THE NEW TIME OF DAY RATE OPTION
IS COMING IN 2024, FOR SMALL
AND MEDIUM GENERAL SERVICE.
FOR THE LARGE AND HIGH DEMAND,
THEY ALREADY HAVE A MANDATORY
TIME OF DAY RATE.
AND HAVE FOR MANY YEARS.
AND FINALLY, THE NEW OPT-IN
COMMERCIAL CHARGING RATE AS
WELL.
THAT'S A VARIATION ON THE TIME
OF DAY RATE FOR COMMERCIAL
CHARGING.
THIS IS ALSO, THIS IS A BIG
ORDINANCE.
SO THERE ARE MANY OTHER
TECHNICAL CHANGES THAT ARE
HAPPENING.
WE'RE WORKING WITH ERIC
McCONAGHY, WITH ALL OF THOSE.
WE'RE MAKING UPDATES TO THE
LARGE SOLARPROGRAM AND A LOT OF
OTHER THINGS THIS.
IS ALL WRAPPED INTO THIS 60-
PAGE ORDINANCE.
SO A LITTLE BIT MORE ON THE
RATE INCREASES, IF WE COULD
MOVE FORWARD A COUPLE OF
SLIDES.
THERE WE GO. A
LITTLE MORE ON THE 4.5%.
WHAT IS DRIVING UP CITY LIGHTS
RATES?
THE SHORT ANSWER IS, IT'S
INFLATION.
AND WE ARE SEEING RISING COSTS
IN RAW MATERIALS.
THE PRICE OF STEEL, ALUMINUM,
COPPER.
GONE UP 70 TO 80% IN 2020.
SIMILARLY, UNDERGROUND TABLE,
CONDUIT POLLS.
WE'RE SEEING ALL OF THESE
MATERIALS THAT CITY LIGHT USES
TO DELIVER ELECTRIC SERVICES.
AND AS WELL, YOU CAN SEE HERE
THAT THE CITY'S OFFICE OF
ECONOMIC AND REVENUE FORECASTS,
THIS IS THE CPI FORECAST.
AND YOU CAN SEE HOW MUCH IT'S
CHANGED JUST IN ONE YEAR.
IN 2021, 2022 AND 2023, WE'RE
SEEING INCREASES IN THE 5%
RANGE.
AND I BELIEVE, CORRECT ME IF
I'M WRONG, THAT SINCE THIS
FORECAST, THE OFFICE HAS
INTRODUCED A NEW UPDATE THAT IS
EVEN HIGHER.
AND SO JUST TO EMPHASIZE THAT
THE RATE INCREASES THAT ARE IN
THIS ORDINANCE, REFLECT
INFLATION THAT WE ARE SEEING
TODAY, AND THAT WE HAVE BEEN
SEEING IN 2021 AS WELL.
AND IN SOME WAYS, WE'RE
CATCHING UP FOR PRICE INCREASES
THAT ARE HAPPENING AS WE SPEAK.
>> AND IF I COULD JUST ADD TO
THIS, I MEAN, I -- SINCE I GOT
HERE ALMOST FOUR YEARS AGO, ONE
OF MY MAIN FOCUSES HAS BEEN ON
CHANGING THE RATE TRAJECTORY
FOR CITY LIGHT.
WE HAD, HISTORICALLY HAD RATE
ACTIONS THAT WERE IN THE 5 TO
6% FOR RANGE.
THEY WERE DOUBLE, AT LEAST WHAT
WE WERE EXPERIENCING FROM AN
INFLATIONARY PERSPECTIVE.
AND IT WAS CLEAR TO EVERYONE
THAT THAT WAS NOT A SUSTAINABLE
PATH.
AND SO WE WORKED VERY HARD TO
CHANGE THAT.
AND WE WERE REALLY, AND I
THINK, FEELING PRETTY GOOD
ABOUT WHERE WE WERE HEADED AND
HOW QUICKLY WE WERE HEADING
THERE, WHEN WE SUBMITTED LAST
YEAR'S STRATEGIC PLAN.
WHEN FOLKS FIRST CAME OUT, I
SAID, LOOK.
WE CAN'T DO THIS AND THEY
QUICKLY SAID, WE CAN'T BALANCE
THE BUDGET AND PROVIDE THE
LEVEL OF SERVICE THAT
CUSTOMERS, I THINK, NOT -- NOT
THAT THEY NEED, BUT THAT THEY
SHOULD EXPECT FROM US.
WITHOUT FUNDING SOME OF THESE
INFLATIONARY PRESSURES.
YOU KNOW, AS IT IS, WE ARE
STILL STRUGGLING IN MANY WAYS,
PARTICULARLY BECAUSE OF OUR
VACANCY RATE RIGHT NOW, TO
PROVIDE THE LEVEL OF SERVICE
THAT WE WANT.
BUT WE KNOW THAT ESPECIALLY
WITH NEW CONNECTIONS,
CONTINUING TO GROW, AND WE'RE
SEEING THEM GO UP RIGHT NOW.
WE ARE WORKING HARD.
AND IN SOME CASES, WE ARE
ACTUALLY, IN ORDER TO GET
CUSTOMERS CONNECTED, WE ARE
ACTUALLY DOING WORK-AROUNDS
FROM A SUPPLY SIDE THAT ALLOW
US TO CONNECT, BUT THAT
ULTIMATELY WILL MEAN HIGHER
COSTS.
SO THERE SIMPLY WASN'T ANY WAY
TO ABSORB ALL OF IT.
AND WE ABSORBED A LOT OF IT.
>> SO IN THE NEXT SLIDE, WE'LL
TALK A LITTLE BIT --
>> PAUSE.
COULD YOU PAUSE A MOMENT
PLEASE?
COUNCILMEMBER HERBOLD.
>> I APPRECIATE IT.
THANK YOU VERY MUCH.
I DID HAVE A QUESTION ABOUT
THAT SLIDE.
I'M WONDERING, IT'S VERY CLEAR
THAT RATE CHANGES ARE BEING
DRINK BY ONE THAT IS AFFECTING
THE ONGOING OPERATING COSTS BUT
ALSO THE CAPITAL PROJECTS THAT
ARE WITHIN SEATTLE LIGHT, CLC.
IS THERE ANY WAY TO BREAK OUT
SORT OF THE EXPLANATION FOR THE
INCREASES, SO WE CAN SEE HOW
MUCH IS DRIVEN BY CAPITAL
PROJECTS, VERSUS ONGOING
OPERATING COSTS?
AND SECONDLY.
AND I FEEL LIKE I'VE ASKED THIS
QUESTION BEFORE.
AND I APOLOGIZE.
WHAT IS YOUR CAPITAL PROJECT
COMPLETION RATE ASSUMPTION?
>> WE DID A LOT OF WORK --
>> WE STRUGGLE TO HEAR YOU,
COUNCILMEMBER.
ON THE FIRST PART OF YOUR
QUESTION, THAT'S NOT A PROBLEM
AT ALL.
IN FACT, ON THE FIRST PART, WE
HAD A SLIDE SHOWING OUR CHP WAS
GOING DOWN.
THAT IS A TOOL WE USED.
THAT SERVICE COVERAGE I SPOKE
TO EARLIER AND TO MAINTAIN THE
RATE STRATEGY.
WHAT WAS THE SECOND PART OF
YOUR QUESTION?
>> YOUR CAPITAL RATE PROJECT
COMPLETION ASSUMPTION.
THAT WAS A TOOL WE USED IN THE
DELIBERATIONS AROUND SEATTLE
PUBLIC UTILITY RATES.
THEY HAD PROPOSED A RATE PATH
THAT ASSUMES ALL PROJECTS ARE
COMPLETED 100% ON TIME.
WE LOOKED HISTORICALLY TO SEE
WHAT WAS ACTUALLY THE HISTORY,
AND WE APPLIED THAT RATE TO THE
RATE STRUCTURE AND WERE ABLE TO
BRING DOWN SOME OF THE RATES.
>> RIGHT.
GREAT QUESTION.
AND I'LL TURN IT OVER TO CAR
STEN, WHO IS OUR TECHNICAL
EXPERT ON THIS.
BUT YOU'RE ABSOLUTELY RIGHT.
THE NUMBER YOU WOULD SEE IN OUR
CAPITOL PROGRAM COMING IN THE
BUDGET IS GOING TO BE DIFFERENT
THAN THE NUMBER WE USED.
BUT I'LL LET CARSTEN TALK A
LITTLE ABOUT THE TECHNICALITY
TO THAT.
>> QUICK ANSWER IS 90%
COMPLETION RATE.
AND WE ALSO, FOR MANY YEARS,
HAVE BEEN MAKING CASH
ADJUSTMENTS, RIGHT?
TO THE CIP BUDGET, IN TERMS OF
WHEN THAT SPENDING IS ACTUALLY
GOING TO OCCUR.
SO WE ALREADY HAVE THAT TAKEN
INTO CONSIDERATION.
>> THANK YOU.
>> AND I DO THINK I ASKED THIS
QUESTION OBSERVE.
BUT THANK YOU FOR ANSWERING.
>> AND WE ARE CONTINUING TO
WATCH IT.
JUST LIKE WE ARE CONTINUING TO
WATCH AND MAKE REASONABLE
SAWMPLEDZS HOW LONG IT TAKES
BACK TO OUR TYPICAL STAFFING.
TYPICALLY, WE HAVE A 6% VACANCY
RATE.
WE'RE NOT ASSUMING THAT WE GET
THERE IN THIS PLAN.
BECAUSE WE'RE CURRENTLY AT 17%
VACANCY RATE.
>> WE DON'T WANT TO
ARTIFICIALLY SLOW DOWN PROJECTS
IN ORDER TO REDUCE RATES.
BUT WE DO WANT TO MAKE
ASSUMPTIONS THAT ARE BASED ON
SORT OF THE HISTORICAL
PRACTICES AND EXPERIENCES OF
THE DEPARTMENT.
SO REALLY APPRECIATE THAT.
THANK YOU.
>> ABSOLUTELY.
AND THOSE SAME ASSUMPTIONS ARE
DRIVING HOW THE SIZE AND TIMING
OF OUR SALES AS WELL.
ON THE ONE HAND, WE WANT TO
MAKE SURE WE HAVE SUFFICIENT
CASH TO THE WORK WE'RE DOING.
BUT ON THE OTHER HAND, THERE'S
A COST TO THAT CASH AND WE
DON'T WANT TO HAVE MORE THAN WE
REALLY NEED.
GREAT QUESTION.
THANK YOU.
>>> RATE INCREASES BY CUSTOMER
CLASS.
AGAIN, THIS IS THE RESULT OF A
COST OF SERVICE STUDY, WHICH
TAKES ACTUAL COSTS.
AND THEN USES IT TO ALLOCATE
THE COSTS ACROSS RATE CLASSES,
BASED ON WHAT WE'RE SEEING, AS
FAR AS WHERE WE'RE ACTUALLY
SPENDING.
AND TYPICALLY, WE WOULD DO A
COST OF SERVICE STUDY EVERY TWO
YEARS.
HOWEVER, YOU KNOW, INTO THE
PANDEMIC, THERE WAS A BREAK
THERE.
IT'S ACTUALLY BEEN FOUR YEARS
SINCE CITY LIGHT HAS COMPLETED
A FULL COST OF SERVICE STUDY.
THESE INCREASES THAT YOU SEE
HERE, REFLECT FOUR YEARS OF
EVOLUTION OF SPENDING.
JUST TO TALK THROUGH A FEW OF
THE CHANGES HERE.
SO AGAIN, THE AVERAGE SYSTEM
WIDE FOR ALL CUSTOMERS IS 4.5%.
FOR RESIDENTIAL, AND SMALL
GENERAL SERVICE, THE SMALL
BUSINESS CUSTOMERS, THIS
INCREASE IS A LITTLE BIT
HIGHER.
AND THIS IS OWING TO, WHEN, FOR
LOWERUSERS, A LARGER PORTION OF
THEIR BILL COMES FROM FIXED
COSTS LIKE CUSTOMER SERVICE, AS
WELL AS THE DELIVERY COSTS.
SO THAT'S THE POLLS AND THE
WIRES AND INFRASTRUCTURE IT
TAKES TO DELIVER THE
ELECTRICITY.
AND WHAT WE'RE SEEING IS THAT
MORE OF OUR SPENDING IS GOING
THERE TO INFRASTRUCTURE
MAINTENANCE THAN IT IS ON THE
COST OF THE BULK POWER.
LIKE THE GENERATION OF THE
PURCHASING OF THE ELECTRICITY.
SO THAT'S WHY, FOR THE LOWER
USE CUSTOMERS, RESIDENTIAL AND
SMALL, THE INCREASES ARE A
LITTLE BIT HIGHER.
AND FOR THE LARGER CUSTOMERS.
WHO USE MORE ELECTRICITY AND
FOR WHOM MORE OF THEIR BILLS IS
COMING FROM, THE COST OF BULK
POWER, THE INCREASES ARE A BIT
LOWER.
IN THE NETWORK.
AGAIN, WE'RE SEEING, AND I
SHOULD EXPLAIN THAT, THE
NETWORK IS A SMALL NUMBER OF
CUSTOMERS IN THE DOWNTOWN CORE,
WHO OTHER THAN SERVED ON A
PREMIUM NETWORK SERVICE, WHICH
MEANS THAT IT IS REDUNDANT AND
VERY RELIABLE.
THEIR RATES ARE HIGHER THAN FOR
OTHER CUSTOMERS, OVERALL.
BUT THEIR INCREASES FOR THE
NEXT TWO YEARS ARE LOWER.
AND THIS IS PARTLY, AGAIN,
BECAUSE WE'RE SPENDING A LITTLE
BIT LESS THAN WE HAVE BEEN
HISTORICALLY ON THE NETWORK.
AND AND ALSO, I SHOULD SAY,
THIS THESE, THIS IS NORMAL TO
SEE A LITTLE VARIATION FROM
AVERAGE, ACROSS THE CUST MORE
CLASSES AND LAT THE LAST TIME
WE DID ONE OF THESE, THE
NETWORK WAS HIGHER.
SO THIS WILL CORRECT OVER TIME,
IF THAT MAKES SENSE.
SO BOTTOM LINE, THESE INCREASE
-- THIS IS THE WAY THE
INCREASES ARE GETTING ALLOCATED
TO THE CUSTOMER CLASSES.
AND THESE LITTLE VARIATIONS ARE
NORMAL.
AND WE'LL ADJUST THEM IN TWO
YEARS, WHEN WE DO THE NEXT COST
OF SERVICE.
>> AND I WANT TO JUST THROW OUT
ONE THING, JUST AS A REMINDER,
AND PARTIALLY BECAUSE
COUNCILMEMBER NELSON.
I KNOW THIS IS A NEW GIG FOR
YOU, ET CETERA.
BUT COUNCILMEMBER, MANY YEARS
AGO, WE HAVE, WE PASSED THROUGH
BONNEVILLE RATES.
SO IN ADDITION TO HAVING A RATE
STABILIZATION ACCOUNT, WHICH
HELPSMANAGE THE FLUCTUATIONS,
ASSOCIATED WITH SECONDARY
REVENUE.
AND I THINK WE'RE ALL FAMILIAR
WITH THAT.
THERE IS ALSO A -- IS IT AN
ORDINANCE THAT REQUIRES OR
ALLOWS US TO PASS THROUGH
ADJUSTMENTS OR CHANGES IN
BONNEVILLE'S RATES FROM THE
ASSUMPTION WE MAKE IN THESE
PLANS.
SO THESE, BOTH THE RATES THAT
YOU'RE LOOKING AT FOR 2023 AND
2024, MAKE AN ASSUMPTION AROUND
WHAT THE POWER RATES WILL BE
FROM BONNEVILLE.
BONNEVILLE DOES RATE CASES
EVERY TWO YEARS.
AND THEY HAVE A FUNKY FEDERAL
-- THEY DO THE FEDERAL YEAR.
SO IT STARTS OCTOBER 1.
SO WE HAD A RATE ACTION FROM
BONNEVILLE LAST OCTOBER 1.
AND WE WILL HAVE A RATE ACTION
ON OCTOBER 1 OF 2023.
VERY PRELIMINARILY.
SO I'M JUST DOING THIS SO THAT
FOLKS UNDERSTAND.
DEPENDING ON WHAT BONNEVILLE
CAME THROUGH, YOU COULD SEE AN
INCREASE OR DECREASE, THAT WE
WOULD NET OR ADD TO THE NUMBERS
THAT YOU SEE HERE.
PRELIMINARILY, IT LOOKS LIKE
THE 2024 NUMBERS COULD SEE A
NET DECREASE.
SO THAT WOULD MEAN WHAT
CUSTOMERS MIGHT SEE IS
SOMETHING LESS THAN WHAT YOU'RE
SEEING UP THERE FOR THE 2024
CASE.
IN 2023, IT WOULD ONLY BE FOR
THREE MONTHS WILL SO IT WOULD
HAVE MINIMAL IMPACT.
BUT FOR 2024, IT COULD
CERTAINLY HAVE AN IMPACT OF UP
TO A 1% REDUCTION.
AND THAT'S BASED ON WHAT WE'RE
HEARING TODAY.
>> GOOD NEWS.
>> ALL RIGHT.
SO MOVING ON.
TO TALK A LITTLE BIT ABOUT
IMPACTS AND AFFORDABILITY.
>> I'M SORRY.
I'M --
>> YEAH.
>> EXCUSE ME.
FOLLOW-UP QUESTION?
>> THANK YOU.
JUST A QUESTION ON THAT LAST
SLIDE, AGAIN.
COULD WE GO BACK TO IT?
I'M SORRY.
>> SO THE -- I'LL TRY TO
FILIBUSTER HERE.
THE RATE INCREASES FOR 2023, AS
YOU MENTIONED, SHOWED SOME
DISPARITY BETWEEN THE
RESIDENTIAL AND SMALL
BUSINESSCUSTOMERS FROM THE
SMALL, MEDIUM AND LARGE
CUSTOMERS, AND YOU EXPLAINED
THAT, WHAT THAT WAS.
AND I'M WONDERING, WHAT HAPPENS
IN 2024, THAT THAT DISPARITY
SHRINKS SO MUCH?
THE INDIVIDUAL RATE INCREASES
ARE MUCH MORE ALIGNED IN 2024.
AND IT SOUNDED TO ME LIKE THE
REASON THAT YOU GAVE FOR THE
DISPARITY IN 2024, BASICALLY,
IT COSTS MORE TO PROVIDE THE
ENERGY TO THOSE CUSTOMERS.
IT SEEMED LIKE THAT WOULD BE
STILL THE CASE IN 2024.
>> GREAT QUESTION.
YEAH.
SO THE 2023 RATES ARE CAPTURING
FOUR YEARS OF EVOLVING COST OF
SERVICE.
SO IT'S MAKING THAT CORRECTION.
AND THEN IN 2024, IT'S SORT OF
STAYING ON THAT SAME COURSE.
SO SINCE THESE ARE CHANGES FROM
THE PREVIOUS YEAR, YOU'RE
SEEING THE CORRECTION IN 2023,
REFLECTING THE FOUR YEARS OF
COST OF SERVICE.
BUT THEN IN 2024, IT'S THE
SAME.
>> PERFECT.
THANK YOU.
>> GREAT.
GOOD QUESTION.
>> OKAY.
SO A LITTLE BIT ABOUT
AFFORDABILITY.
SO LOOKING AT OTHER MAJOR U.S.
CITIES, LOOKING AT OUR OTHER
UTILITY COUNTERPARTS, JUST TAKE
A MOMENT TO NOTE THAT WE
BELIEVE THAT SEATTLE LEADS THE
NATION IN AFFORDABLE AND
PROGRESSIVE RATE OFFERINGS.
WE DO, AS A PUBLIC UTILITY, WE
OFFER COMPETITIVE RATES,
COMPARED TO OTHER MAJOR U.S.
CITIES.
AND THESE RATE DESIGN CHANGES,
WE BELIEVE ARE MOVING US IN A
MORE PROGRESSIVE DIRECTION.
AT THE SAME TIME, OUR
PROGRESSIVE RATE DESIGN IS
COMPLEMENTED BY AFFORDABILITY
PROGRAMS, ONE OF WHICH IS
SEATTLE'S UTILITY DISCOUNT
PROGRAM, WHICH WE'RE VERY PROUD
OF.
IT'S NOT TO SAY, WE CAN ALWAYS
MAKE IT BETTER.
BUT IT OFFERS 65% DISCOUNT FOR
QUALIFIED CUSTOMERS, ON TOP OF
OUR COMPETITIVE RATES.
AND OUR U DP IS FUNDED BY ALL
OF OUR CUSTOMERS THROUGH THEIR
RATES.
SO EVERYONE CONTRIBUTES TO THE
UDP THROUGH THEIR RATES.
AND JUST AS A NOTE, BECAUSE
COMMERCIAL AND HIGH-DEMAND
CUSTOMERS, SO HIGHER USERS HAVE
BIGGER BILLS THAN SMALLER
USERS.
AND THEY COMPRISE 60% OF THE
FUNDING FOR UTILITY DISCOUNT
PROGRAM.
BECAUSE THEY HAVE HIGHER USAGE
AND HIGHER BILLS.
SO THIS IS A PROGRAM THAT IS
FUNDED BY ALL OF OUR CUSTOMERS.
AND IT'S AVAILABLE TO CUSTOMERS
WHO NEED HELP ON THEIR BILLS.
AND SO YOU CAN SEE THAT
SEATTLE'S AVERAGE RATE IS 11
SENDS PE KILOWATT HOUR.
THAT'S NOT TO SAY, THERE IS AN
OPPORTUNITY TO DO MORE AND
IMPROVE.
SO WE'RE LOOKING FORWARD TO
THAT AND LOOKING FORWARD TO
BRINGING MORE INFORMATION ON
THAT NEXT YEAR.
BUT ON THE NEXT SLIDE, GO TO --
A LITTLE BIT MORE AT RATE
DESIGN AND AFFORDABILITY.
AS I SAID, RATE DESIGN IS ONE
TOOL FOR MEETING AFFORDABILITY
NEEDS AND IT'S TARGETED
PROGRAMS.
AND ONE OF THE REASONS FOR
THIS, WE KNOW THROUGH OUR
RESEARCH, THAT HOUSEHOLDS IN
SEATTLE, HAVE A REALLY DIVERSE
ENERGY USE PROFILE.
AND THAT WE KNOW THAT HIGH-
INCOME HOUSEHOLDS CAN BE HIGH
USERS.
BUT THEY CAN ALSO BE VERY LOW
USERS.
AND CONVERSELY, JUST BECAUSE A
HOUSEHOLD IS LOW INCOME, DOES
NOT NECESSARILY MEAN THEY ARE
LOW USE.
A LOCAL INCOME HOUSEHOLD COULD
BE A SINGLE PERSON LIVING IN A
VERY SMALL APARTMENT.
BUT IT COULD ALSO BE A
MULTIGENERATIONAL FAMILY,
RENTING A HOME, WITH ELECTRIC
BASEBOARD HEAT.
SO YOU CAN SEE IN THE HISTO
GRAM THAT WE HAVE HERE, THAT
WHEN WE ANALYZE THE UDP AND
NONUDP.
THE PROFILES LOOK THE SAME.
SO WE SEE THAT SAME DIVERSITY,
AMONGST THE UDP AND NON-UDP
CUSTOMERS.
WHAT THIS MEANS IS THAT RATE
DESIGN IS A TOOL FOR
AFFORDABILITY.
BUT IT ISN'T THE ONLY ONE.
SO WE HAVE PROGRAMS LIKE UDP,
BUDGET BILLING, ENERGY
EFFICIENCY PROGRAMS.
TO COMPLEMENT RATE DESIGN.
AND WE ALSO KNOW AS WE MOVE TO
2024, AND START OFFERING
CUSTOMERS OPTIONS FOR HOW TO
MANAGE THEIR ELECTRIC BILLS,
NEW AFFORDABILITY TOOLS THAT,
WE RECOGNIZE THAT COMMUNICATION
OUTREACH, LANGUAGE ACCESS,
THESE WOULD BE REALLY IMPORTANT
COMPONENTS TO A SUCCESSFUL
ROLLOUT.
TO COMMUNITIES WHO MIGHT NOT
HEAR.
SO WE CAN ENSURE CUSTOMERS HAVE
THE INFORMATION THEY NEED FOR
THE PROGRAM THAT IS RIGHT FOR
THEM.
>> I THINK IT'S IMPORTANT TO
NOTE THAT THERE ARE GENERALLY
TWO REASONS WHY FOLKS WILL OPT
INTO A TIME OF DAY PRICING FROM
A WHIM.
ONE IS BECAUSE THEY SEE THE
OPPORTUNITY TO REDUCE THEIR
USAGE OR REDUCE THEIR BILL, BY
CHANGING WHEN THEY USE THE
PRODUCT.
TWO IS FOLKS WHO HAVE A VERY
STRONG ENVIRONMENTAL ETHIC.
SO THEY ARE CHOOSING THE TIME
OF DAY RATE.
SO THAT THEY CAN AGAIN
CONTRIBUTE TO -- LET ME SEE IF
I CAN GET THIS RIGHT.
REDUCE THE PLAN FOR THE HIGH
PEAKING AREAS.
WE KNOW THAT STILL AND LIKELY
MANY YEARS TO COME TTHE PEAKING
RESOURCES IN THE NORTHWEST
TENDS TO BE NATURAL GAS.
SO IF I USE LESS OR I CHANGE MY
CONSUMPTION AND USE IT DURING
OFF-PEAK PERIODS.
I'M HOPING TO REDUCE THE AMOUNT
OF NATURAL GAS CARBON THAT GOES
INTO THE ENVIRONMENT.
>> ONE OF THE THINGS THAT WE
KNOW FROM OUR RESEARCH THAT
WHICH WE COMMISSION ON OUR OWN
AND THAT WHICH WE PARTICIPATE
WITH, THAT IS SYNDICATED
RESEARCH THAT REFLECTS THE
INDUSTRY.
THAT CITY LIGHT CUSTOMERS ARE
REALLY AMONG THE MOST
ENVIRONMENTALLY-CONSCIOUS
CONSUMERS IN THE COUNTRY.
AND THEY'RE VERY, VERY
INTERESTED IN GETTING MORE FROM
US, AROUND WAYS TO SAVE ENERGY
AND THEN HAVING MORE CHOICE AND
MORE OPTIONS.
SO THIS PACKAGE REALLY HELPS US
TO ADVANCE THE GOALS AND
INTERESTS OF CUSTOMERS.
>> BEFORE YOU MOVE ON, YOU SAID
SOMETHING.
WHEN I FIRST HEARD IT.
I THOUGHT IT WAS SORT OF
COUNTERINTUITIVE.
SO HIGH-USE CUSTOMERS, DON'T
NECESSARILY HAVE LARGE HOMES.
WHICH ALSO REFLECTS, COULD
REFLECT INCOME.
IT'S OFTEN TIMES OLDER HOMES
THAT ARE LESS EFFICIENT.
SO HIGH-USE CUSTOMERS ARE OFTEN
CAN BE ON THE LOWER END OF THE
INCOME LEVEL.
AND SO I THINK THAT YOU SAID
THAT THAT IS ONE REASON WHY THE
SERVICE CHARGE IS IMPORTANT TO
EQUAL OUT.
>> YEAH.
IT'S VERY LONGSTANDING.
AND REALLY TOUGH NUT TO CRACK.
WHICH IS THAT WHEN YOU'RE
DEALING PARTICULARLY WITH
RENTAL PROPERTIES, THE PROPERTY
OWNER DOESN'T NECESSARILY HAVE
THE INCENTIVE TO INVEST HIS OR
HER DOLLARS INTO MAKING THE
PROPERTY MORE EFFICIENT.
AND OFTEN FOLKS WHO HAVE
LIMITED CHOICES.
EITHER NOT GREAT CREDIT OR
WHATEVER IT MIGHT BE, CAN WIND
UP IN THOSE HOMES.
AT THE SAME TIME, FOLKS WHO
HAVE AFFLUENCE AND ACCESS TO
WEALTH, CAN AFFORD TO PUT
ROOFTOP SOLAR ON THEIR HOMES,
ET CETERA, WHICH THEN DECREASES
THEIR CONSUMPTION.
AND WE SHIFTING SOME OF AT THIS
TIME COSTS, IT ENSURES CUSTOMER
WHOSE HAVE ACCESS INTO THOSE
DOLLARS AND TECHNOLOGIES, ARE
STILL PAYING THEIR SHARE OF THE
FIXED INVESTMENT IN THE SYSTEM.
>> THANKS.
>> GWEN?
>> OKAY.
SO THIS IS THE LAST SIDE.
THIS IS BILL IMPACTS EXAMPLE,
RESIDENTIAL CUSTOMERS.
YOU CAN SEE, THIS SATURDAY
FIRST BLOCK AND SECOND-BLOCK
STRUCTURE WE'VE HAD FOR MANY
YEARS.
WE HAVE BEEN EACH YEAR,
NARROWING THE BLOCK TO MAKE
THAT A LITTLE FLATTER.
SO YOU CAN SEE THERE, THAT THE
13 CENTS IS UNCHANGED.
AND THAT THE INCREASES IN THE
FIRST BLOCK AND THEN THE BASIC
SERVICE CHARGE.
SO YOU CAN SEE THE SMALL
INCREASES TO THE FIXED BASIC
SERVICE CHARGE, FROM $6 TO $7
TO $8.
AND JUST A REMINDER, UDP
CUSTOMERS, THEY WOULD RECEIVE A
60% ON ALL OF THESE RATES.
THE IMPACT OF THE RATE COMBINED
WITH THE RATE INCREASE, COMES
OUT TO BETWEEN $3 AND $5 FOR
CUSTOMERS, DEPENDING ON THEIR
USE PROFILE.
YOU CAN SEE THERE, THAT AS WE
DISCUSSED, DEPENDING ON THE
HEAT SOURCE, OR THAT THE
HOUSING STOCK, THAT A CUSTOMER
LIVES IN, THAT THE INSTALLATION
OR WHATNOT.
THEIR BILL COULD VARY A LOT.
BUT THAT THE INCREASES THAT
THEY WOULD SEE FOR A MONTH
WOULD BE UNDER $5.
AND THEN FOR UDP CUSTOMERS,
WHICH YOU'D SEE ON THE BOTTOM
PART OF THE GRAPH THERE, THAT
THE INCREASE WOULD BE $1 TO $2
PER MONTH AS A RESULT OF THE
INCREASES THAT WE'D BE
PROPOSING AS A RESULT OF THESE
ORDINANCES.
>> THANK YOU.
COUNCILMEMBER HERBOLD?
>> I HAD A QUESTION ABOUT A
PREVIOUS SLIDE.
BUT NOW THAT WE'RE ON THIS ONE.
I DON'T UNDERSTAND THE END
BLOCK, THE SECOND BLOCK RATE
NOT CHANGING.
>> SO THIS IS -- ONE OF OUR
RATE DESIGN STRATEGIES IS TO
FIRST AND THE SECOND BLOCK. E
IN PART BECAUSE AS WE MOVE
TOWARDS OFFERING CUSTOMERS A
CHOICE BETWEEN OUR STANDARD
RATE OFFERING, WHICH IS THIS
HISTORICAL BLOCK RATE AND THE
TIME OF DAY, IT MAKES THINGS A
LITTLE BIT SIMPLER.
AND THEN ALSO AGAIN, CUSTOMERS
BLOCK RATE HARKENS TIME.
AND WHAT WE'RE SEEING IS THAT
WITH CHANGING TECHNOLOGY WITH
HOUSING STOCK, CUSTOMERS'
ENERGY USE PROFILES GROWING
MORE AND MORE DIVERSE.
THE BLOCK RATE STRUCTURE IS
MAYBE NOT AS PROGRESSIVE AS IT
WAS 30 YEARS AGO.
SO WE ARE EVOLVING THE
STRUCTURE TO HAVE THE BLOCKS BE
CLOSER TOGETHER.
SO CUSTOMERS THAT HAVE HIGH USE
AREN'T GETTING AS MUCH OF A
PRICE SHOT.
>> AND THE OTHER THING IS, AND
THIS IS PART OF -- IT'S A GREAT
QUESTION.
AND IT'S TOUGH.
>> FEELS COUNTER INTUITIVE.
>> IT IS.
BUT HERE'S THE THING.
THERE'S TWO THINGS, I WOULD
SAY.
ONE IS THAT, AS KIRSTY SAID,
THIS IS VERY OLD RATE
STRUCTURE.
WHEN I WORKED AT E-WEB, THEY
GOT RID OF IT ALSO.
A FROM THE ENSUING TIME IN THE
'70s WHEN UTILITIES PUT IN
THESE KINDS OF RATE STRUCTURES,
CUSTOMERS NO LONGER NEED THE
FINANCIAL INCENTIVE TO INVEST
IN ENERGY OR BE EFFICIENT USERS
OF OUR PRODUCT.
FOR THE MOST PART, AS CRAIG
MENTIONED, OUR CUSTOMERS ARE
EXTREMELY KNOWLEDGEABLE IN
BECOMING THEIR OWN ENERGY
EXPERTS.
SO WE NO LONGER FIND THE NEED
TO FINANCIALLY INCENT FOLKS TO
USE LESS.
WHAT WE FIND IS DIFFERENT NEEDS
TO POWER OF DAY.
AND AT THE SAME TIME, AS WE
LOOK AT THIS DECARBONIZED
FUTURE, TIERED RATES DON'T
INCENT FOLKS TO ELECTRIFY.
THEY DISCOURAGE
ELECTRICIFICATION.
BECAUSE THE SUBSEQUENT BLOCKS
FOR SOME UTILITIES ARE HIGHER.
WE WANT FOLKS TO ELECTRIFY.
THAT'S HOW WE TURN THE NEEDLE,
MOVE THE NEEDLE ON CLIMATE
CHANGE, ON CARBON.
AND SO WE CERTAINLY DON'T WANT
A RATE STRUCTURE THAT
DISINCENTS THEM, EVEN AS WE'RE
ENCOURAGING THEM TO TAKE ON A
NEW VOTE.
>> MAKES SENSE.
AND I THINK YOU MENTIONED
SOMETHING THAT WAS A SEGUE TO
MY EARLIER QUESTION.
ON THE TIME OF DAY RATES, WHICH
I LOVE THAT IDEA.
AND I LOVE THAT YOU'RE THINKING
ABOUT EQUITY IN MOVING TOWARDS
TIME OF DAY RATINGS.
SCITAKE YOUR WORD FOR IT THAT
THERE ARE A LOT OF SMART
APPLIANCE PRODUCTS OUT THERE.
THAT ARE AFFORDABLE.
BUT WHAT MIGHT BE AFFORDABLE TO
YOU AND I MAY -- I WOULD JUST
LOVE SOME SORT OF A COMPARISON
OF PRODUCTS THAT ARE ON THE
MARKET, APPLIANCES THAT ARE AND
AREN'T.
BECAUSE IT MIGHT BE SOMETHING
THAT WE WANT TO LOOK AT,
PROVIDING SOME SORT OF A REBATE
FOR, LIKE WE DO FOR SOLAR
PANELS.
>> RIGHT.
>> O SO THAT WOULD BE JUST
REALLY INTERESTING BODY OF WORK
IF YOU COULD CONSIDER IT.
>> RIGHT.
AND OUR ENERGY EFFICIENCY TEAM,
AS WE DESIGN PROGRAMS, I MEAN,
WE'RE -- WE ALWAYS LEAD WITH
THE EQUITY LENS.
AND SO, WE'RE LOOKING FOR WAYS
TO PROVIDE MORE TOOLS FOR
CUSTOMERS TO UNDERSTAND MORE
ABOUT THEIR USE IN WAYS THAT
THEY CAN SHIFT WITH OR WITHOUT
THE USE OF TECHNOLOGY.
AND ALSO WAYS TO MAKE
TECHNOLOGY MORE ACCESSIBLE TO
THEM.
>> AND IT'S IMPORTANT TO NOTE,
TOO, THAT PART OF THE TIMING.
THE TIMING ON THIS.
AND I EXPECT TO GET SOME HARD
QUESTIONS FROM COUNCILMEMBER
MOSQUEDA ON THIS.
BUT THE TIMING ON THIS IS
REALLY DRIVEN BY OUR TECHNOLOGY
PROJECTS AND THE NEED TO
COMPLETE.
AND HAVE ACCURATE, HISTORICAL
DATA, WITHIN OUR SYSTEM, ON
HOMEOWNERS AND RENTERS'
CONSUMPTION BEING SO THAT THEY
CAN GO ON TO THE PORTAL, THE
UTILITY PORTAL.
AND THEY CAN PRICE WHAT THEIR
BILL WOULD LOOK LIKE, UNDER
BOTH RATE STRUCTURES.
SO WE'RE COMMITTD TO NOT
MAKING THIS CHANGE UNTIL
CUSTOMERS CAN BE ASSURED THAT
THEY PERSONALLY WILL NOT LOSE.
SO THAT'S WHY 2024, BECAUSE
THAT'S THE SOONEST THAT WE WILL
HAVE ENOUGH HISTORICAL DATA TO
ALLOW CUSTOMERS TO GO THROUGH
THAT PROCESS, USING THE PORTAL.
>> THANK YOU.
>> THE ARE THE THING THAT WE'RE
TRYING TO DO HERE IS MAKE SURE
THAT WE TAKE THE TIME, I MEAN,
NOT JUST TO RUSH AND PUT OUT A
RATE.
BUT THAT WE DESIGN AN
EXPERIENCE FOR CUSTOMERS.
THAT YOU KNOW, PROVIDES THEM
WITH AN ACCESSIBLE JOURNEY.
AND NOT JUST ONE THAT WE DESIGN
AMONG OURSELVES AND THEN SAY,
GREAT UTILITY.
GREAT RATE, GO FOR IT.
WE KNOW THAT'S NOT GOING TO
WORK.
SO WE WANT TO TAKE THE TIME TO
DO -- TO MAP THE JOURNEYS WITH
CUSTOMERS.
AND THEN COMPREHENSIVELY ENGAGE
COMMUNITY.
>> AND LAST THING I'LL MENTION,
AS WE'RE TAG-TEAMING HERE IS
THAT WITHIN THE BUDGET THAT
WE'VE SUBMITTED TO THE MAYOR'S
OFFICE.
AND OF COURSE, THAT PROCESS IS
MOVING THROUGH ITS OWN TIME
LINE.
THERE IS A BUDGET CHANGE
REQUEST THAT HAS A
COMPREHENSIVE EVALUATION OF THE
UDP PROGRAM THAT IS A JOINT
PROJECT BETWEEN SEATTLE PUBLIC
UTILITIES, H SD, AND CITY
LIGHT.
SO WE'RE VERY COMMITTED TO
LOOKING AT, YOU KNOW, HOW WE
CAN CONTINUE TO BE THE MORE
PROGRESSIVE UTILITY IN THE
COUNTRY, WHERE LIMITED INCOME
RATES ARE CONCERNED.
>> THANK YOU.
DON'T YOU HAVE A SLIDE THAT
SAYS, QUESTIONS?
>> NO.
>> I'M JUST KIDDING.
>>> THANK YOU VERY MUCH.
THIS WAS A LOT OF INFORMATION
TO TAKE IN.
AND THE -- CAN YOU PLEASE JUST
ADDRESS WHERE THE ACTUAL
LEGISLATION IS?
AND THEN I JUST HAVE ONE FINAL
QUESTION.
>> HELLO, CUSTOMERS.
SOME LEGISLATION, I BELIEVE
TODAY IS, WELL, I KNOW FOR SURE
TODAY IS WEDNESDAY.
AND I BELIEVE THAT LEGISLATION
WILL BE TRANSMITTED TODAY.
AND THEN WE'LL GO THROUGH THE
REGULAR PROCESS TO GET TO WHAT
IS CALLED INTRODUCTION OF OUR
CALENDAR.
AND THEN IT WILL BE AVAILABLE
AND OFFICIALLY BE FOR THE
COMMITTEE FOR A VOTE AT THE
NEXT MEETING, SHOULD YOU WISH
TO DO SO.
AND SO THAT'S THE STATUS THAT I
KNOW ABOUT THE LEGISLATION.
IT'S, AS YOU MIGHT GUESS, LARGE
AND TECHNICAL.
AND MAKE CHANGES TO THE
MUNICIPAL CODE.
PUT THESE RATES IN THEM.
IT'S 60-SOMETHING PAGES TO TAKE
ALL OF THE GOOD WORK THE FOLKS
AT CITY LIGHT HAVE DONE AND
MAKE THEM INTO CODE.
BUT WE EXPECT TO SEE THAT DONE
TODAY.
AND IF I HAVE THAT WRONG, FOLKS
AT CITY LIGHT, IF I HAVE THAT
WRONG, PLEASE CORRECT ME.
>> AND THE GOOD NEWS IS, WE
HAVE A MONTH.
AND MY COLLEAGUES CAN TAKE --
CAN DIG INTO THIS INFORMATION
AND SEND QUESTIONS TO ERIC, IN
THE MEANTIME, BEFORE WE COME
BACK ON THE 14th.
ONE QUESTION.
YOU MENTIONED THE OVERSIGHT
PANEL, I BELIEVE, KIRSTY?
I AM NOT SURE IF I'VE GOT THE
NOMENCLATURE CORRECT.
BUT THE REVIEW PANEL, I
BELIEVE, FORMALLY WEIGHED IN ON
THE STRATEGIC PLAN.
SO DOES THAT, WHICH INCLUDES
THE RATE PASS?
SO IS IT IMPLIED THEN THAT THEY
ENDORSE THE RANK ORDINANCE AS
WELL?
>> YES.
AND I THINK OWING TO SOME
VACATION SCHEDULING MISHAPS, WE
WEREN'T ABLE TO GET
COORDINATED.
BUT WITH THE REVIEW PANEL, I
BELIEVE 20 SOMETHING.
BUT WE DO KNOW THAT THEY
SUPPORT OUR PROPOSAL.
AND THEY'RE PREPARED TO PROVIDE
COUNCIL WITH A LETTER IN
ADVANCE OF THE VOTE IN
SEPTEMBER.
>> ALL RIGHT.
THANK YOU VERY MUCH.
>>> OKAY.
WELL, IF THERE ARE NO OTHER
QUESTIONS, THANK YOU VERY, VERY
MUCH FOR THIS VERY THOROUGH
PRESENTATION.
AND CONGRATULATIONS ON THESE
INNOVATIONS.
I KNOW THAT THERE WAS A LOT OF
WORK THAT WENT INTO THIS.
A LOT OF PARTNERSHIPS AND
STAKEHOLDER INPUT THAT WENT
INTO THESE INNOVATIONS.
SO THANK YOU VERY, VERY MUCH.
>> YEAH.
WE REALLY THANK YOU FOR YOUR
TIME AND RECOGNIZE THAT THIS IS
A LOT TO PROCESS.
SO JUST KNOW THAT WE'RE HAPPY
TO PROVIDE BRIEFINGS TO ANY OF
YOU INDIVIDUALLY, OR WITH YOUR
STAFF, IF THAT'S HELPFUL, AS
YOU WORK THROUGH THIS.
SO JUST REACH OUT.
AND WE WILL MAKE THAT HAPPEN.
>> THANK YOU VERY MUCH.
>>> ALL RIGHT, FOLKS.
IF THERE'S NOTHING ELSE, THIS
CONCLUDES THE AUGUST 10th
MEETING OF THE ECONOMIC
DEVELOPMENT TECHNOLOGY AND CITY
LIGHT COMMITTEE.
IT IS 11:33.
OUR NEXT MEETING IS SCHEDULED
FOR SEPTEMBER 14th AT 9:30.
SO IF THERE IS NO ADDITIONAL
BUSINESS, THIS MEETING IS NOW
ADJOURNED.
THANK YOU.
>> THANK YOU.