SENATE BILL REPORT

                                    SB 6064

       AS REPORTED BY COMMITTEE ON ENERGY & UTILITIES, JANUARY 23, 1992

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

SPONSORS: Senators Thorsness and Williams

SENATE COMMITTEE ON ENERGY & UTILITIES

Majority Report:  That Substitute Senate Bill No. 6064 be substituted therefor, and the substitute bill do pass. 

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

Staff:  Phil Moeller (786‑7445)

Hearing Dates: January 21, 1992; January 23, 1992

BACKGROUND:

In 1989 the Legislature clarified the authority of cities of the first class that operate electric generating facilities and electric distribution systems.  The clarification was made to allow these cities to join as partners in ownership of regional high voltage transmission facilities.

There is concern that the present law may need additional clarification to allow these cities to participate in regional transmission facilities if the only option is to participate without ownership.

SUMMARY:

Cities of the first class operating electric generating facilities and electric distribution systems may use and obtain capacity rights to jointly owned electric generating and transmission facilities.  These cities may issue revenue bonds or other obligations to finance a city's share of the use or ownership of the common facilities.

EFFECT OF PROPOSED SUBSTITUTE:

The authority of a city of the first class to use jointly owned electric generating and transmission facilities is further clarified.

Appropriation:  none

Revenue:  none

Fiscal Note:  requested January 20, 1992

TESTIMONY FOR:

The Legislature has already made the policy decision to allow qualifying cities of the first class to enter these agreements.  This bill makes small clarifications to that authority.

TESTIMONY AGAINST:  None

TESTIFIED:  Henry Yates, Seattle City Light (pro); Charles Black, Tacoma Public Utilities (pro); Ray Nelson, Seattle City Light (pro); Virginia Wilhelmi, CAIPL