Each time we publish an edition of The Nodak Neighbor, I take that opportunity to utilize some of the space to share information with our member-owners. Those topics vary from some sort of safety-related topic like “Call Before You Dig,” or what to do if your vehicle hits a power pole, to subjects like regulation, voting or getting involved. With this edition, I’m happy to say I get to share some long-awaited good news. On July 1, 2018, Nodak was awarded a 50-year contract to take over the maintenance, repair and replacement of the electric infrastructure at Grand Forks Air Force Base and Cavalier Air Force Station.
The takeover, or privatization, of the Air Base distribution systems should be fairly transparent to the government and to the families that live on the installations. Nodak has been serving the electric needs of both facilities on a bulk basis for quite a long time, and the government or their contractors have been responsible for their systems from the substations to the end users. With this new arrangement, Nodak will be responsible to maintain an adequate distribution system so we can deliver the power all the way to the end user.
We began this process approximately six years ago when we received notice that Grand Forks Air Force Base and Cavalier Air Force Station would be accepting bids for a 50-year contract to privatize their electric, water, and wastewater systems. With the assistance of a consultant that specializes in helping small businesses procure federal contracts, we submitted our proposal and were ultimately awarded the contract.
Over the next five months, we will go through a transition process where we finalize contracts and pricing and prepare personnel and equipment for working on the Bases. Dec. 1, 2018, will be the official start date of the new agreement. From that point on, Nodak will receive a monthly payment for keeping the Base distribution systems working properly. In essence, that means we will go from serving bulk electricity to the installations to doing essentially what we do for all our other members. We will not only provide the power needed, but we will also care for the systems that bring the power to the end user.
Overall, we believe this will provide a safer and more reliable electric service to the government and the families who live and work on the Bases. For our membership, what this means is additional revenue to help take pressure off electric rates and lessen the effect of rising costs. This is a significant event for our member-owners, and we are excited to share this news with you.
Have a safe and enjoyable summer.
President & CEO