HomeMy WebLinkAbout12-72
...-..,
.
.
RESOLUTION / J,.,. 7:;'
A RESOLUTION authorizing the execution of a
net billing agreement relating to Washington
Public Power Supply System Nuclear project
No.1 with the United States of America, De-
partment of the Interior, acting by and
through the Bonneville Power Administrator,
and the Washington Public Power Supply Sys-
tem, and delivery of said agreement to
those parties.
The City of Port Angeles, Washington (hereinafter
called the "City", is authorized by law to purchase electric power
to provide for the distribution of electric power to its customers
and to enter into contracts to provide for sources of additional
power supply to meet the prospective power needs of the City and
its electric customers.
The' United States' of America, Department of the Interior,
acting by and through the Bonneville Power Administrator (herein-
after called "Bonneville"), and the utilities of the Pacific
Northwest have developed the Ten Year Hydro Thermal Power Program
pursuant to which BonneviTIe will acquire by net billing from
statutory preference customers in the Northwest generating
capability from non-federally financed thermal generating plants
to meet the power requirements of Bonneville's preference and
other customers in the region.
Pursuant to said program, the City proposes to execute
with the Washington Public Power Supply System (hereinafter called
the "System") and with Bonneville a contract designated "WPPSS
Nuclear Project No. 1 Net Billing Agreement" in the form and conten
as set forth in the draft thereof on file with the City, Contract
No. 14-03~39289, dated November 16,1972, under which the System
sells to the City (called the "Participant" in said agreement)
a specified share of capability of the nuclear generating plant
II
...~ ~
.
.
.-
and associated facilities identified therein and Bonneville
acquires such capability from the City.
The System proposes to finance, construct, own and
operate said, generating plant and facilities associated there-
with, such plants and facilities being referred to in the Net
Billing Agreement as the "Washington Public Power Supply System
Nuclear Project No.1" (hereinafter called the "project").
In accordance with the Net Billing Agreement, the System
proposes to adopt a "Bond Resolution" at a later date which
provides, among other things, for the issuance of Bonds in series
or otherwise, and is entitled:
A RESOLUTION providing a plan and system for
the acquisition and construction by Washing-
ton Public Power Supply System of a utility
system consisting of a nuclear generating
plant and associated facilities to be known
as the Washington public Power Supply Sys-
tem Nuclear Project No.1, and providing
for the issuance of revenue bonds for said
purpose.
A draft of such resolution dated November 21, 1972, is on file
with the City. Prior to the adoption of the above Bond Resolution
the System expects to adopt a Bond Resolution providing for the
sale of short-term notes to finance the System's preliminary costs
of acquiring and constructing the project, which Bond Resolution
will be similar to the note resolutions adopted by the System for
preliminary financing of Washington Public Power Supply System
Nuclear Project No. 2 and will be consistent with the above Bond
Resolution and the Net Billing Agreement.
The Council of the City has reviewed the Net Billing
Agreement and the Resolution above referred to and now finds that
entering into the said Net Billing Agreement with the System and
Bonneville is in the best interests of the City, that performance
of the Net Billing Agreement, among other things, will make
- 2 -
."-
.
.
..'
additional amounts of low-cost power and energy available from
Bonneville to meet the prospectiVe power needs of the City,
to serve residents and customers of the City and the future.
The City, the System and BEnnevilleare parties to an
Exchange Agreement)hereinafter called Hanford Exchange Agree-
ment and designated as Contract No. 14-03"":19190), which provides
for the sale by the System of a portion of Project Output from
the System's Hanford Project to the City and the exchange of
such project Output with Bonneville for firm electric power and
energy to be made available from resources available to
Bonneville.
THEREFORE, IT IS RESOLVED:
Section 1. The Mayor and Clerk of the City are hereby
authorized and directed, on behalf of the City, to execute with
Bonneville and the Washington Public Power Supply System the Net
Billing Agreement above referred to, substantially as set out in
the draft thereof on file with the City, No. 14-03-39289,
dated -M J/E'A'l i?~R It. , 19...1cL-, and to deliver copies thereof
to the other parties to the agreement.
section- 2.
La) The City agrees to_ the uSe and employment of the
existing power facilities, as defined in the Bond Resolution, by
the System for the purposes and in the manner set forth in the
Bond Resolution.
Ubl The City agrees that the electric power and energy
to be produced by the Project, including the electric power and
energy to be produced by the existing power facilities, shall be
disposed of to the parties in the quantities for the period and
under the terms and conditions prescribed in the Net Billing
Agreement and the Project Exchange Agreements, bothas defined in
- 3 -
"~-... .
'.
.
.
the Net Billing Agreement.
(c) The execution and delivery of said Agreement No.
14-03~39289 does not affect, limit, modify, alter, release or
discharge the City's rights and obligations under the Hanford
Exchange Agreement and the City's rights and obligations under
such Exchange Agreement are hereby reaffirmed.
ADOPTED by the City Council of the City of Port
Angeles this ~~day of
De. e. e. J'n iJ.~ l' , 1912- .
~
.. .~..~;3.~_
Mayor
- -
. ...., ...~."""".'" ~-.'....'; or c'
".~. ....~
~..,t., ..~.. ~
...:- ,-- ----.... . ~ ,,#
- ... ,..--
~~ '-.-- '" =-
~... -- ~
;:;.....
........-: ....'
~A :~. ~ ~..~::,~
At te s t ,:^'~-.. ~__~__.~"'.,
~~
7Ylv nil L~
City Clerk
APP~2~
- 4 -