HomeMy WebLinkAbout072-07BOARD 4F SUPERVISORS
RESOLUTION OPPOSING ALLEGHENY'S
APPLICATION TO RAISE POWER RATES
WHEREAS, The Potomac Edison Company d/b/a Allegheny Energy, ("Allegheny")
has filed an Application to raise power rates with the State Corporation Commission
("SCC") of Virginia referenced as PUE-2007-00026; and
WHEREAS, Allegheny is the provider of power to our locality; and
WHEREAS, Allegheny's Application seeks to increase the power rates of the
residents, families and businesses throughout our locality by approximately $85 million
dollars. This translates into an increase of some 40% in monthly power bills for the
average home using 1000 kilowatt hours per month; and
WHEREAS, Allegheny's Application seeks to circumvent an agreement Allegheny
voluntarily entered into with the SCC in 2000. Under the agreement, Allegheny sold all
generating units to a sister company in exchange for terminating the ability to increase
power rates based on the price of fuel for those generating units; and
WHEREAS, there is no justification to permit Allegheny to void the agreement in
favor of Wall Street stock holders, at the expense of our citizens, its customers; and
WHEREAS, the strength of our local economy is driven by an affordable cost of
living together with the ability to expand or attract local businesses. The Allegheny
Application will jeopardize our continued economic strength and success. The availability
of adequate power cannot come at the price of financially strapping the workers and
retirees who comprise our area; and
WHEREAS, Allegheny'sApplicationallowed for no compromise to it's proposed rate
increase; and
WHEREAS, Allegheny's Application also would increase the cost of power
purchased to operate our local government and deliver services to our citizens. Our tax
rates have been established to meet the projected budgeted expenditures. Granting ofthe
Allegheny Application would require either cuts in services or increase in revenues in the
form of tax adjustments.
NOW, THEREFORE, BE IT RESOLVED, that the Frederick County Board of
Supervisors through this resolution expresses its profound opposition to the Allegheny
Resolution Opposing Allegheny's Application to Raise Power Rates
June 27, 2007
Page 2
Application, requests the SCC deny the Application and require Allegheny to honor the
Agreement it voluntarily entered in 2000.
ADOPTED this 27`h day of June, 2007.
VOTE:
Richard C. Shickle Aye Bill M. Ewing
Gene E. Fisher Aye Philip A. Lemieux
Gary W. Dove Aye Barbara E. Van Osten
Charles S. DeHaven, Jr. Aye
A COPY TESTE:
l !
J 'hn ~ iley, J .
Board of Supervisors
County of Frederick, Virginia
Aye
Aye
Aye
Resolution #072-07
COUNTY of FREDERICK
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John R. Riley, Jr.
County Administrator
540/665-5666
Fax 540/667-0370
E-mail:
jriley @co.fraderick.va.us
TO: Board of Supervisors
FROM: John R. Riley, Jr., County Administrat
SUBJECT: Resolution Opposing Allegheny Energy's App ication to Raise Power Rates
DATE: June 19, 2007
As you are aware, the Frederick County Industrial Development Authority is facilitating
the effort to oppose Allegheny Energy's application before the State Corporation
Commission to increase power rates. The Authority hired FirstChoice Consulting of
Richmond, VA, to represent the County's industrial users in this matter.
- You will find attached the above referenced resolution for the Board's consideration and
action. FirstChoice recommended this Board and the other governing bodies within the
Allegheny service area adopt this resolution in order that it might be made part of the
State Corporation Commission's record in this matter. The deadline for submitting
letters and other documents to the Commission for consideration as part of this heazing is
July 23, 2007..
Should you have any questions or need additional information, please do not hesitate to
contact me.
JRR/j et
Attachment
107 Narth Kent Street Winchester, Virginia 22601-5000