Timeline of events in PUD’s fight with Enron

The David vs. Goliath matchup between Snohomish County PUD and Enron Corp. started in 2003. Here’s a timeline of how it all began:

* January 1999: The first evidence appears of Enron using an energy marketing schemes dubbed “Silver Peak.”

* January 2000: Enron begins using its schemes on Western energy markets on a large scale. The energy crisis is officially launched.

* January 2001: The PUD negotiates with Enron to buy 25 megawatts of electricity at record prices.

* January 2001: The PUD raises its rates 33 percent. The rate hike is linked to the Enron contract.

* April 2001: The Federal Energy Regulatory Commission puts price caps in place in California.

* June 2001: FERC extends the price caps to the entire West, finally sending electricity prices back toward normal.

* October 2001: The PUD raises its rates 18 percent, also linked to the Enron contract.

* November 2001: Enron demands in a letter that the PUD send it $100 million if it wants to “lock in its contract.”

* Nov. 28, 2001: The PUD ends its contract with Enron.

* Dec. 2, 2001: Enron files for bankruptcy.

* February 2002: The U.S. Department of Justice seizes 190 digital tapes detailing some 24,000 hours of Enron trader conversations. FERC doesn’t provide the tapes to the PUD, saying it can’t get them from the Justice Department.

* April 2002: The PUD lowers its rates 5.1 percent. Rates remain 50 percent higher than in 2000, and haven’t come down since 2002.

* January 2003: Enron sues the PUD, charging that the utility illegally canceled the contract and claiming that the PUD owes it $117 million plus interest.

* March 2003: FERC issues a report that says Enron illegally manipulated the electricity market and that all profits from June 26, 2003, on are to be refunded. The ruling doesn’t cancel the contract the PUD signed with Enron in 2001.

* January 2004: The PUD receives 10 percent of the tapes, amounting to 2,966 hours of Enron conversations, the ones most likely to show that traders engaged in illegal activity.

* March 2004: The PUD sets up a listening room and hires temporary employees to review the tapes. The PUD spends more than $2 million preparing its case against Enron, much of it for transcribing the tapes.

* May 2004: The PUD releases its first wave of telephone transcripts, bringing the utility national attention, including a story in the Los Angeles Times.

* May 2004: CBS News broadcasts excerpts from the tapes. It takes only minutes for bedlam to ensue. Interest in the tapes is so overwhelming that the PUD has to create an emergency Web site so people can download the conversations. The Web site takes so many hits that the Internet provider for all of Santa Cruz, Calif., crashes.

* August 2005: FERC’s Enron trial is scheduled to start.

* January 2006: Administrative Law Judge Carmen Cintron is expected to decide whether the PUD has to pay Enron more than $122 million.

Source: Snohomish County PUD

Talk to us

More in Local News

This photo provided by OceanGate Expeditions shows a submersible vessel named Titan used to visit the wreckage site of the Titanic. In a race against the clock on the high seas, an expanding international armada of ships and airplanes searched Tuesday, June 20, 2023, for the submersible that vanished in the North Atlantic while taking five people down to the wreck of the Titanic. (OceanGate Expeditions via AP)
A new movie based on OceanGate’s Titan submersible tragedy is in the works: ‘Salvaged’

MindRiot announced the film, a fictional project titled “Salvaged,” on Friday.

Craig Hess (Snohomish County Sheriff’s Office)
Sultan’s new police chief has 22 years in law enforcement

Craig Hess was sworn in Sep. 14. The Long Island-born cop was a first-responder on 9/11. He also served as Gold Bar police chief.

Cars move across Edgewater Bridge toward Everett on Tuesday, Sept. 26, 2023, in Washington. (Olivia Vanni / The Herald)
Edgewater Bridge redo linking Everett, Mukilteo delayed until mid-2024

The project, now with an estimated cost of $27 million, will detour West Mukilteo Boulevard foot and car traffic for a year.

Lynn Deeken, the Dean of Arts, Learning Resources & Pathways at EvCC, addresses a large gathering during the ribbon cutting ceremony of the new Cascade Learning Center on Thursday, Sept. 28, 2023, at Everett Community College in Everett, Washington. (Ryan Berry / The Herald)
New EvCC learning resource center opens to students, public

Planners of the Everett Community College building hope it will encourage students to use on-campus tutoring resources.

Everett Police Chief Dan Templeman announces his retirement after 31 years of service at the Everett City Council meeting on Wednesday, Sept. 27, 2023 in Everett, Washington. (Olivia Vanni / The Herald)
Everett police chief to retire at the end of October

Chief Dan Templeman announced his retirement at Wednesday’s City Council meeting. He has been chief for nine years.

Boeing employees watch the KC-46 Pegasus delivery event  from the air stairs at Boeing on Thursday, Jan. 24, 2019 in Everett, Wa. (Andy Bronson / The Herald)
Boeing’s iconic Everett factory tour to resume in October

After a three-year hiatus, tours of the Boeing Company’s enormous jet assembly plant are back at Paine Field.

A memorial for a 15-year-old shot and killed last week is set up at a bus stop along Harrison Road on Wednesday, Sept. 13, 2023, in Everett, Washington. (Ryan Berry / The Herald)
Teen boy identified in fatal shooting at Everett bus stop

Bryan Tamayo-Franco, 15, was shot at a Hardeson Road bus stop earlier this month. Police arrested two suspects.

Lynnwood
Woman killed in crash on Highway 99 in Lynnwood

Police closed off Highway 99 between 188th Street SW and 196th Street SW while they investigated.

Mike Bredstrand, who is trying to get back his job with Lake Stevens Public Works, stands in front of the department’s building on Wednesday, Sept. 27, 2023, in Lake Stevens, Washington. Bredstrand believes his firing in July was an unwarranted act of revenge by the city. (Ryan Berry / The Herald)
Lake Stevens worker was fired after getting court order against boss

The city has reportedly spent nearly $60,000 on attorney and arbitration fees related to Mike Bredstrand, who wants his job back.

Chap Grubb, founder and CEO of second-hand outdoor gear store Rerouted, stands inside his new storefront on Thursday, Sept. 21, 2023, in Gold Bar, Washington. Rerouted began as an entirely online shop that connected buyers and sellers of used gear.  (Ryan Berry / The Herald)
Used outdoor gear shop Rerouted finds a niche in Gold Bar

Seeking to keep good outdoor gear out of landfills, an online reselling business has put down roots in Gold Bar.

Naval Station Everett. (Chuck Taylor / Herald file)
Everett man sentenced to 6 years for cyberstalking ex-wife

Christopher Crawford, 42, was found guilty of sending intimate photos of his ex-wife to adult websites and to colleagues in the Navy.

Snohomish County Executive Dave Somers speaks to the crowd during an opening ceremony at the new PAE2 Amazon Fulfillment Center on Thursday, Sept. 14, 2023, in Arlington, Washington. (Ryan Berry / The Herald)
Snohomish County executive pitches $1.66B budget

Snohomish County Executive Dave Somers announced his proposed budget Tuesday afternoon. Public comment is slated to begin Oct. 10.