S-4107               _______________________________________________

                                                   SENATE BILL NO. 6283

                        _______________________________________________

State of Washington                              50th Legislature                              1988 Regular Session

By Senators Halsan, Benitz and Williams

Read first time 1/18/88 and referred to Committee on Energy & Utilities.

AN ACT Relating to voter approval of energy project financing; and amending RCW 80.52.030.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

        Sec. 1.  Section 3, chapter 6, Laws of 1981 2nd ex. sess. and RCW 80.52.030 are each amended to read as follows:

          The definitions set forth in this section apply throughout this chapter unless the context clearly requires otherwise.

          (1) "Public agency" means a public utility district, joint operating agency, city, county, or any other state governmental agency, entity, or political subdivision.

          (2) "Major public energy project" means a plant or installation capable, or intended to be capable, of generating electricity in an amount greater than two hundred fifty megawatts or, for bonds issued after January 1, 1988, a plant or installation that is estimated to require more than two thousand five hundred dollars capital investment per customer of the agency, whichever is less.  Where two or more such plants are located within the same geographic site, each plant shall be considered a major public energy project.  An addition to an existing facility is not deemed to be a major energy project unless the addition itself is capable, or intended to be capable, of generating electricity in an amount ((greater than two hundred fifty megawatts)) that would qualify it as a major public energy project.  A project which is under construction on July 1, 1982, shall not be considered a major public energy project unless the official agency budget or estimate for total construction costs for the project as of July 1, 1982, is more than two hundred percent of the first official estimate of total construction costs as specified in the senate energy and utilities committee WPPSS inquiry report, volume one, January 12, 1981, and unless, as of July 1, 1982, the projected remaining cost of construction for that project exceeds two hundred million dollars.

          (3) "Cost of construction" means the total cost of planning and building a major public energy project and placing it into operation, including, but not limited to, planning cost, direct construction cost, licensing cost, cost of fuel inventory for the first year's operation, interest, and all other costs incurred prior to the first day of full operation, whether or not incurred prior to July 1, 1982.

          (4) "Cost of acquisition" means the total cost of acquiring a major public energy project from another party, including, but not limited to, principal and interest costs.

          (5) "Bond" means a revenue bond, a general obligation bond, or any other indebtedness issued by a public agency or its assignee.

          (6) "Applicant" means a public agency, or the assignee of a public agency, requesting the secretary of state to conduct an election pursuant to this chapter.

          (7) "Cost-effective" means that a project or resource is forecast:

          (a) To be reliable and available within the time it is needed; and

          (b) To meet or reduce the electric power demand of the intended consumers at an estimated incremental system cost no greater than that of the least-cost similarly reliable and available alternative project or resource, or any combination thereof.

          (8) "System cost" means an estimate of all direct costs of a project or resource over its effective life, including, if applicable, the costs of distribution to the consumer, and, among other factors, waste disposal costs, end-of-cycle costs, and fuel costs (including projected increases), and such quantifiable environmental costs and benefits as are directly attributable to the project or resource.