SENATE BILL REPORT

 

                                   EHB 2347

 

       AS REPORTED BY COMMITTEE ON ENERGY & UTILITIES, FEBRUARY 21, 1992

 

 

Brief Description:  Changing municipal electric utility access to high voltage transmission facilities.

 

SPONSORS: Representatives Grant, May, Jacobsen, Hochstatter, H. Myers, Cooper and Silver

 

HOUSE COMMITTEE ON ENERGY & UTILITIES

 

SENATE COMMITTEE ON ENERGY & UTILITIES

 

Majority Report:  Do pass. 

      Signed by Senators Thorsness, Chairman; Jesernig, Nelson, Patterson, Stratton, Sutherland, and Williams.

 

Staff:  Phil Moeller (786‑7445)

 

Hearing Dates: February 20, 1992; February 21, 1992

 

 

BACKGROUND:

 

The Bonneville Power Administration has been spearheading development of added electric transmission capacity between the northwest and the Pacific southwest.  Initially, it appeared that utilities would be offered ownership shares of the new lines.  To this end, in 1989, municipal electric utilities were authorized to raise money to buy ownership shares in the lines.

 

It now appears that access rather than ownership will be marketed by the Bonneville Power Administration, giving rise to the need to allow municipal electric utilities to finance acquisition of capacity rights as well as outright ownership of shares of a line.

 

SUMMARY:

 

Municipal electric utilities may participate and enter into agreements for use of transmission facilities and capacity rights in those facilities.  A city may issue revenue bonds or other obligations to finance the city's share of the use of those facilities.

 

Appropriation:  none

 

Revenue:  none

 

Fiscal Note:  none requested

 

TESTIMONY FOR:

 

This legislation gives cities added flexibility.  Regional electricity exchanges are an efficient way to obtain additional energy resources.

 

TESTIMONY AGAINST:  None

 

TESTIFIED:  Charles Black, City of Tacoma Dept. of Public Utilities (pro); Henry Yates, Seattle City Light (pro)