PenLight Facilities Evaluation: What Members Should Know

PENINSULA LIGHT COMPANY (PENLIGHT) FACILITIES EVALUATION OVERVIEW

Peninsula Light Company (PenLight) is currently evaluating the future of its headquarters facility as part of its long-term commitment to reliability, safety, and responsible stewardship of member resources. This effort reflects careful planning to ensure the utility can continue to meet the needs of more than 35,000 members now and into the future. Information can also be found in our FAQs, published June 2025, here.

WHY PENLIGHT IS EVALUATING ITS FACILITIES

PenLight’s headquarters has served as the organization’s operational hub since 1986, supporting critical functions including dispatch, line crews, engineering, IT, accounting, warehouse operations, fleet services, administration, and member support.

A formal facilities assessment, initiated as part of long-range planning efforts beginning in 2021 and building on earlier evaluations dating back to 2015, identified several concerns with the aging infrastructure, including:

  • Seismic and structural vulnerabilities
  • Failing septic system
  • Outdated fuel tanks
  • Roof condition issues
  • Limited and inefficient workspace

These limitations have created operational inefficiencies. Staff have adapted by using warehouse bays for maintenance, converting closets into offices, storing equipment in hallways, and repurposing fleet space for materials. While functional in the short term, these workarounds are not sustainable.

As an electric utility and emergency-response organization, PenLight must maintain a resilient, fully operational hub. The headquarters plays a central role in outage response, system monitoring, and emergency coordination. If the facility were to become inoperable during a disaster, it could significantly disrupt service and extend outage durations.

PLANNING BACKGROUND

Facility planning efforts date back to 2015, when the Board of Directors approved the purchase of 16 acres on Bujacich Drive in Gig Harbor to preserve a future option if expansion at the current site proved infeasible. Between 2015 and 2020, both the existing campus and the Bujacich property were evaluated, including traffic studies, development requirements, and seismic assessments. These efforts also led to establishing a co-location agreement with Fire District 5 as part of emergency preparedness planning.

In 2021, the Board of Directors unanimously initiated a formal long-range facilities planning process. A Request for Qualifications (RFQ) was issued in 2023, and TCF Architecture of Tacoma was selected to conduct a comprehensive, data-driven evaluation.

OPTIONS CONSIDERED

Through this process, three primary options were analyzed:

  1. Renovate the existing facility
  2. Construct a new facility at the Bujacich site
  3. Continue maintaining the current facility without major upgrades

At a preliminary level, cost outlooks for the major facility options (renovation and new construction) were found to be relatively similar when evaluated against long-term operational needs and lifecycle considerations. This made it especially important to weigh additional factors such as operational disruption, site constraints, efficiency, and overall impact to members.

Following this broader evaluation, renovation of the current campus was identified as the most cost-effective and least disruptive option. The Board unanimously approved moving forward with preliminary design. No final project approval has been made.

CURRENT STATUS

PenLight is currently in the schematic design phase of the Design-Build process, a structured approach commonly used by public agencies. This process includes five phases: Pre-Design, Schematic Design, Design Development, Construction Documents, and Construction.

  • Pre-Design (completed): Facility needs were evaluated and initial options developed.
  • Schematic Design Phase 1 (SD1, completed): Over 625 hours of staff engagement helped define operational and space requirements for the next 35 years. A draft plan was presented and accepted unanimously by the Board in March 2025.
  • Next Step – Schematic Design Phase 2 (SD2): Will finalize remaining design elements and include onboarding a general contractor through an RFQ process to validate design feasibility and develop preliminary cost estimates.

At this time:

  • No final design has been approved
  • Project costs have not been finalized
  • The process has experienced delays but remains ongoing

Further Board review and approval will be required before advancing to later design phases or construction.

COST AND MEMBER IMPACT

Minimizing financial impact to members remains a top priority. It is too early to determine final project costs or any potential rate impacts. PenLight remains committed to maintaining some of the lowest electric rates in the region while making prudent, necessary infrastructure investments.

GOVERNANCE AND MEMBER INPUT

PenLight is governed by a member-elected Board of Directors responsible for making decisions in the best interest of the membership. While a member-wide vote is not required for facilities decisions, member input is encouraged and considered throughout the process.

Members may provide feedback directly to the Board at: boardofdirectors@penlight.org

COMMITMENT TO TRANSPARENCY

PenLight is committed to providing clear and timely communication as this process continues. While some information became public before the evaluation process was complete – leading to questions and speculation – the organization remains focused on thoughtful, data-driven decision-making.

Updates will be shared as new information becomes available through official PenLight communication channels, including the website.

LOOKING AHEAD

The Board faces the responsibility of balancing fiscal stewardship with the need to ensure long-term system reliability, safety, and operational efficiency. Any future decisions will be made with a focus on maintaining dependable electric service and meeting the evolving needs of the community.

For more than 100 years, PenLight has operated with a commitment to reliability, transparency, and sound financial management. This facilities evaluation reflects those same principles and a continued focus on serving members today and into the future.