PUD dangles $194,000 deal for mayor

By Jennifer Langston

Herald Writer

The Snohomish County PUD’s board of commissioners took a first step Tuesday in luring away Everett’s mayor.

They introduced a resolution to appoint Mayor Ed Hansen as the utility’s general manager, starting on July 1 with a salary of $194,600 a year.

Because of the rules governing PUDs, the board cannot vote on the appointment until its next meeting on May 29.

A few customers on Tuesday questioned whether the PUD overlooked other qualified candidates in rushing to appoint Hansen to the utility’s top job.

One week after firing general manager Paul Elias, the board announced it was negotiating to bring Hansen to the PUD, which is the nation’s 12th-largest publicly-owned utility.

Everett resident David Mascarenas said there have to be other qualified applicants who would be good for the job. It bothered him to think that they were shut out of the running because the board made up its mind to hire Hansen right away.

He told the board it would have to get used to a different management style. But he said if the board did choose Hansen, he thought Hansen would do a good job.

"He’s a good man. He’s a fair man," Mascarenas said. "But his idea of loyalty and support is total control."

PUD commissioners said they were interested in moving quickly in part because of criticisms from employees and union representatives that a long replacement search would leave the utility in limbo.

The PUD has proposed to pay Hansen $194,600 a year, with an option to raise his salary to $214,000 at the end of next year. The starting figure is about $7,000 more than the previous general manager made and $78,000 more than what Hansen is paid annually as mayor.

The board has cited Hansen’s knowledge of the utility industry, as well as his experience in managing large organizations, like the city of Everett, as major pluses.

As a private practice lawyer, Hansen worked for the PUD in the 1980s during the Washington Public Power Supply System’s $7 billion default on bonds to pay for nuclear plant construction.

The board has also expressed interest in hiring a general manager who understands the local community and its values. Customers, whose bills have soared by nearly 50 percent in the last year, have been unhappy with high rates and the PUD’s use of a consultant considered by some to be outrageously expensive and unnecessary.

John Benedetto, an Everett resident, applauded the decision to hire the mayor, who is in the first year of his third term. He said Hansen was able to help the city out of a troubled time, and perhaps he could do the same for the PUD.

"I’ve known Eddie a long time, and I can recall when he became mayor the city was in financial straits and he was able to turn that around," he said. "That’s one good decision that you guys made."

Marlys Patmore, who opposed the events center and hockey arena being built in downtown Everett, disagreed. She thinks the public should have been allowed to vote on building the arena — something the city under Hansen’s watch did not support, she said.

"If that’s the kind of representation your company chooses, that’s your prerogative," she said.

But Clair Olivers, the PUD’s assistant general manager for water resources, who used to be the city of Everett’s public works director, said Hansen is one of the smartest people he has ever worked for.

Olivers said Hansen is good at asking questions that get people thinking in new ways, and he’s good at getting people to do the very best analysis of different options.

"I think he could help us out. I think it would also hurt the city, so I have mixed emotions because I live in Everett," Olivers said.

You can call Herald Writer Jennifer Langston at 425-339-3452

or send e-mail to langston@heraldnet.com.

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