Minutes 05/09/2006 - Laserfiche WebLink

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May 9, 2006 WHEREAS, a need has been identified for an environmentally sound, economical and reliable long term power resource for the Municipality's electric utility consumers; and WHEREAS, AMP-Ohio desires to provide Municipality with the opportunity to participate in the development of new hydroelectric power plants located on the Ohio River utilizing the "HYDRO MATRIX" technology in order to provide the Municipality's electric utility consumers this economic, environmentally sound and reliable source of long term power; and WHEREAS, AMP-Ohio anticipates that no less than 30,000 kilowatts, and no more than 115,000 kilowatts of hydro capacity may be made available; and WHEREAS, it is necessary for the Municipality to enter into a contract with AMP-Ohio to provide for preconstruction development funding to allow for analyzing the technical, permitting, licensing and economic aspects of the new hydroelectric projects (hereinafter the "HYDROMATRIX Projects") and determine if the Municipality, in conjunction with AMP-Ohio and other participating member municipalities, should proceed to construct, own and operate one or more new HYDROMATRIX Projects facilities; and WHEREAS, under the terms of the Agreement, AMP-Ohio will report the results of the developmental studies to the Municipality prior to the Municipality committing to the purchase of the output of one or more HYDROMATRIX Projects if and only if in the Municipality's sole discretion it determines to do so; and WHEREAS, it is necessary for the Municipality to commit itself to pay, pursuant to the Agreement, a pro rata share of the developmental costs of the HYDROMA TRIX Projects in proportion to the kilowatts (kW) of capacity from the HYDROMATRIX Projects that Municipality chooses to reserve to the total kW reserved by all participating municipalities; and WHEREAS, Municipality desires to obtain, pursuant to the Agreement, rights to an amount of up to a nominal 4,300 kW of the HYDROMATRIX Projects on the same terms and conditions as the other participating AMP-Ohio member municipalities; now, therefore BE IT RESOLVED BY COUNCIL OF THE CITY OF MARTINSVILLE, in regular session assembled May 9, 2006: SECTION 1: That the form of the HYDROMATRIX Projects Developmental Cost Sharing Agreement attached hereto [or on file with the Clerk] as Exhibit 1 is hereby approved, subject to and with any and all changes therein as hereinafter provided. SECTION 2: That the City Manager is hereby authorized and directed to execute a HYDROMATRIX Projects Developmental Cost Sharing Agreement substantially in the form of Exhibit 1 for up to a nominal amount of 4,300 kW.