Oakdale City Council approves $75K feasibility study for potential electric utility transition

The Oakdale City Council has taken a significant step towards potentially lowering electric utility rates for residents by approving a $75,000 feasibility study with Bell Burnette and Associates. This decision, made during the regular council meeting on June 2, 2025, aims to explore the possibility of transitioning the city’s electric service from Pacific Gas and Electric (PG&E) to the Modesto Irrigation District (MID).

Currently, Oakdale residents are served by two electric utility companies, leading to disparities in rates for both residential and commercial properties. The council discussed the potential for substantial savings, estimating that if the transition to MID is successful, approximately 7,000 PG&E households could save around $21.5 million over time. This comes as PG&E rates have surged by 104% over the past decade, with a 43% increase from January 2022 to April 2025.

Council members expressed cautious optimism about the feasibility study, emphasizing that while the potential for savings exists, the process will not yield immediate results. The feasibility study will assess both the logistical and financial aspects of the transition, with the understanding that it could take years to implement any changes. Council members highlighted the importance of managing community expectations, noting that the transition could take a decade or more and that residents should not anticipate immediate reductions in their utility bills.

The council also discussed the need for future developments in Oakdale to consider MID as the electric service provider. This could streamline the transition process and ensure that new constructions contribute to the city’s goal of reducing utility costs for residents.

In conclusion, the council's decision to fund the feasibility study marks a proactive approach to addressing the rising costs of electricity in Oakdale. While the journey ahead may be long and complex, the potential benefits for the community could be significant, particularly for vulnerable residents facing high utility bills. The council will continue to keep the public informed as the study progresses and further discussions with MID unfold.