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Idaho Falls council approves long‑term 'slice' power contract with Bonneville Power Administration
Summary
The Idaho Falls City Council on Nov. 13 authorized a power sales agreement (contract No. 26PS-25043) with the Bonneville Power Administration to deliver a slice block product; staff said the deal secures mostly carbon‑free power and long‑term savings, and the motion passed by roll call.
The Idaho Falls City Council voted Nov. 13 to authorize the mayor and city clerk to execute a power sales agreement with the Bonneville Power Administration to buy a "slice" block product under contract No. 26PS-25043. The council approved the motion after a staff presentation describing the terms and years of negotiation.
Interim Director Beth of Idaho Falls Power, who presented the agreement, said the contract represents the municipal utility’s next long‑term supply relationship with Bonneville and follows several years of staff modeling. "This is the next 20 year contract," she said, adding that the contract is structured so the city moves under the new terms after three remaining years on the existing agreement. Beth described the contract’s financial scale as "about probably net present value about 3 quarter of $1,000,000,000 over the next 20 years." She told the council the slice product aligns with the utility’s hydro resources and offers upside benefits tied to river operations while exposing the utility to some variability in low‑water years.
Council members questioned staff on the decision process and the utility’s modeling. One council member said the contract relies on high staff skill: "Is my understanding… that the slice system… helps to keep the rates low?" Beth replied, "You're exactly correct," and staff noted the city’s long history of municipal generation and transmission arrangements with Bonneville and other providers.
City staff and several council members characterized the agreement as a way to provide reliable, low‑cost and largely carbon‑free power to Idaho Falls customers. The motion to approve, moved and seconded during the meeting, passed by roll call; the council recorded a motion carry and granted authority to the mayor and city clerk to sign the necessary documents.
The agreement was presented as effective for the next contract period after three years remaining on the current contract; staff said it will support the utility’s portfolio while the city continues to operate its hydro projects and a forthcoming peaking plant intended to balance demand spikes. The council did not set additional conditions during the Nov. 13 vote.
What happens next: city staff will finalize the signature and implementation steps required under the contract and transition to the slice product per the contract timeline.
