Murray power staff weigh joining UAMPS "all‑requirements" option as regional markets shift

Murray City power staff briefed the municipal council on Sept. 2 about a new Utah Associated Municipal Power Systems option that would have UAMPS procure all wholesale power for participating members and about changes in western electricity markets driven by CAISO and an extended day‑ahead market (EDAM). Greg Malone, a member of the city's power department team, said the city is only exploring the option and has not committed to any change.

The discussion focused on two items: an "all‑requirements" procurement model UAMPS is proposing to offer members, and the extended day‑ahead market and balancing arrangements that PacifiCorp and others are joining. "All requirements...means they provide everything for us," Malone said, describing the option as one that would have UAMPS manage short‑, mid‑ and long‑term procurement on behalf of participating municipal utilities. Matt Young, who also spoke for the power department, explained CAISO as "a California independent system operator" and described EDAM as an "extended day‑ahead market" that aims to improve resource adequacy and scheduling across the West.

Why it matters: an all‑requirements contract would shift procurement and many associated decisions from individual municipalities to UAMPS. Malone and Young said the model could reduce procurement complexity and leverage economies of scale, but it also would reduce local control over the makeup of wholesale resources. Malone said the city is chairing an ad hoc committee to study the proposal and will solicit member feedback; he emphasized the city remains in its current project‑based arrangements and is not committed to a switch.

Council members asked practical questions about cost, governance and existing assets. Malone said an all‑requirements arrangement would likely carry a small administrative premium but could be offset by lower wholesale prices from larger purchases. Council members also asked whether locally owned generation — such as the city’s hydro and natural‑gas turbines — would be included under an all‑requirements pool; Malone said he had not yet asked UAMPS how existing project arrangements and power‑purchase agreements would be unwound, and he did not know whether grandfathering would keep some local units outside centralized dispatch.

On market changes, Young said resource adequacy rules that accompany EDAM require more precise day‑ahead scheduling and can impose penalties for shortfalls; he said the city’s landfill gas power agreements are being placed into network models and their owners must register assets to participate. Young said EDAM is scheduled to expand in the coming year and that PacifiCorp’s participation means many local utilities will be affected even if they do not directly choose EDAM.

Staff did not ask the council to act. Malone said staff will continue to evaluate the all‑requirements option and related market issues and will bring recommendations back to the council when more details — including contract language and transition mechanics — are available.

The presentation included questions about timing; Malone said UAMPS intends to solicit member feedback and review contract terms and that some member sign‑up target dates were being discussed internally (he referenced a January 26 target mentioned at UAMPS meetings). Malone and Young also flagged operational risks including transformer and transmission constraints, wildfire‑related public safety outages initiated by transmission owners, and the need to coordinate registrations for new markets. The department estimated the topic required follow‑up work before any policy decision.

Councilmembers and staff agreed the city needs more information before any commitment. The power department said it will provide further briefings and additional analysis of costs, approval mechanisms, and the treatment of the city’s local generation and power‑purchase agreements.