Tag Archives: increase

Seattle City Light’s Strategy is to Jack Your Rates Even More Strategically

City Light Superintendent Jorge Carrasco and Mayor McGinn (Photo: City of Seattle)

Why is it that whenever people want to charge you more for something, they often point out that previously you were getting a good deal? Cheer up! they seem to say. You were getting a good deal, just now you’re going to pay more. You hear this from the University of Washington all the time. We were an extremely good deal! the administration insists, while increasing tuition 82 percent in four years.

How is that an effective rhetorical strategy? It’s more like narcissistic need: “You don’t understand. I really need this.”

Here’s Mayor McGinn announcing a new strategic plan for Seattle City Light: “Seattle City Light’s low-cost, reliable electricity is a significant driver for our economy. It’s one of the biggest reasons businesses choose to locate in Seattle,” quoth Hizzoner. Compare that to the Seattle Times takeaway: “Mayor to propose Seattle City Light rate increase of 31% over 6 years.”

Keep in mind that this would follow the past two years’ increase of 18 percent. I’m not an arithmetician, but it’s as if we’re moving away from that “low-cost” modifier somehow. That’s my gut feeling. (As a side note, because we get so much energy from hydroelectric dams, Seattle’s energy costs don’t compare to utilities nationally. To the extent our costs become “competitive” with with utilities dependent on coal and nuclear, it’s actually a trend toward inefficiency.)

I have to look askance when the Mayor explains that, should the City Council approve the proposal sometime mid-June: “[A] rate proposal covering only the next two years will be submitted later in the year as part of the budget process. After that, rate decisions will be determined after the strategic plan is reviewed every two years.”

If I understand this correctly, that means that rates could increase even more? If it were deemed strategic? History would teach us that mayors and city councils find rate increases terribly strategic.

Seattle City Light paid $140,000 to consultants last year, who found $35 million in potential savings, adds the Times. City Light Superintendent Jorge Carrasco promises to save “$18 million a year through efficiencies by the third year of the plan.” That’s about half of what’s possible; the Mayor and City Council haven’t had much luck getting unions to hop on board the efficiency train.

But increases in electric rates, by contrast, add to the city’s general fund. There’s strategy everywhere you look!

The increase for the “average” home is supposed to be $35 per year, or $210 over the six years. However, that would suggest the average home is paying $64 per month for electricity. I happen to have baseboard heat, an electric stove, and a roommate who has turned our spare room into a small IT center. Our winter bills run $150 per month, even leaving the place unheated during the day. We’re lucky to duck below $100 in the summer.

This is not to disregard Seattle City Light’s infrastructural needs; the utility has been operating too close to the edge for comfort when it comes to maintenance and replacement, let alone expansion of capacity. (The strategic plan calls for a new substation north of downtown, the first built in 30 years.) But why does building for capacity feel like a bribe?

Ferry Fares to Rise May 1 for Peak Season

Motorists awaiting the Bainbridge ferry at the Seattle waterfront (Photo: MvB)

May 1 is the beginning of the 2012 peak season for the Washington State Ferries, and this year the 25-percent peak-season surcharge includes an extra three-percent increase to help the ferry system stay afloat financially. What that means, in dollars and cents, is that a standard vehicle and driver will play $16.40, instead of $12.75, to get from Seattle to Bainbridge or Bremerton. Check the new fares here.

Passenger fares remain the same–the ferry system can almost always handle extra walk-ons. It’s drive-ons, during vacation season, that fill up the boats early and create multi-hour waits.

As of March 25, by the way, the spring schedule has been in effect, so be sure to check on that before you auto-pilot your way to the waterfront and miss your boat by fifteen minutes.

WSF Peak Season Fares 2012

WSF Spring Schedule 2012

Op-Ed: At the University of Washington, the Other Shoe Drops

In other UW news, the corpse flower there is blooming. (Photo: Our Flickr pool's +Russ)

Guest contributor Andrew Tsao is an Associate Professor with the University of Washington’s School of Drama. He has previously written on budget impacts at the UW here and here. His latest editorial arrives as the UW is announcing that it is considering a tuition increase of 20 percent or more for next year.

Andrew Tsao

The long winter has finally given way to a spring of cold reality here at University of Washington.

After an extended session, the Washington State legislature has finally handed down the budget cuts we all have been waiting for that will shape the university not only for the next biennium, but for decades to come.

As Michael Young prepares to become the next president of UW, he will have to strategize, fundraise, and administrate a smaller, weakened university. One word that has been getting a lot of use here over the past few months is “quality.” The UW administration insists that quality will be maintained and even enhanced moving forward. Indeed, many administrators, professors and staff have found new ways to educate our students in the face of dwindling resources. The mainstream press rarely seeks out these stories, but I can tell you that here in the trenches, there are indeed heroics happening.

Odai Johnson

One personal hero of mine is my colleague Professor Odai Johnson, head of the Ph.D. area in the School of Drama. Faced with losing half his teaching faculty, much of his doctoral student teaching support and little sympathy from the university at large, Dr. Johnson choose to innovate instead of disintegrate. The result is The Center for Performance Studies, a new collaborative venture that creates a synergy between the School of Drama and a range of other programs in the Humanities. By sharing teaching resources and combining curriculum, the center is emerging as a shining example of forward thinking in the face of shrinking resources.

However, while endeavors like The Center for Performance Studies point to the entrepreneurship and resilience of our administration and faculty, the hard truth remains that the concept of an affordable, accessible and high quality university education here in Washington  is in a precarious state. Quality in higher education has always centered on a single idea: a valued professoriat in regular contact with students. No amount of crisis driven innovation, political hyperbole, or necessity-based reorganization can change that fact.

Any institute of learning can educate by rote and routine. To produce consumer/workers who fit into a wilderness of cubicles is certainly affordable. Indeed, it has been argued that some see an unthinking workforce in America as a socio-political goal. The 20th century had a few examples of this way of thinking, specifically in Asia and central Europe. Thankfully, the political forces who advocated ignorance and arrogance as a social ideal faded through war and isolation. Time will tell whether these forces now visible and gaining momentum in our economic and political landscape will fade as well.

Therefore, quality in higher education depends on the freedom and security of academics to teach critical thinking to the next generation. For those who like to tout the gospel of “useful skills” in regard to a quality college education and deride a broad-based liberal education, I cite the copious evidence from corporate CEOs that the single most valuable attribute companies seek in new hires is the ability to think critically and creatively.

Only time will tell whether we will be able to maintain this idea of quality here at UW. We go into the summer of 2011 believing we can. People like Dr. Johnson inspire us to do so.