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<br />TUESDAY
<br />
<br />SEPTEMBER 14, 1982
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<br />Upon recommendation of Mr. Frederick H. Ritts, member of the law firm of Ely, Ritts,
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<br />Pietro1;ski & Brickfield, Washington, D. C., and special counsel to the City on matters
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<br />involving electric rates and hydro-power, Council unanimously adopted the following
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<br />resolution authorizing intervention for and on behalf of the City, along with other
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<br />municipally-owned electric utility systems named therein, in the proceedings recently
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<br />instituted by ElectriCities of North Carolina, et ai, against Southeastern Power
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<br />Administration, in support of this agency's (i.e., SEPA's) proposed policy, recently
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<br />announced, to allocate to Martinsville and the other named cities the capacity and
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<br />energy output of the U. S. Corps of Engineers' Philpott hydropower project, which
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<br />capacity and energy output previously have been allocated to private sector interests:
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<br />WHEREAS, on July 3, 1980, the Southeastern Power Administration proposed
<br />allocations of hydropower from Kerr-Philpott hydroprojects to certain
<br />municipalities and rural electric cooperatives; and
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<br />WHEREAS, the July 3, 1980, proposed allocations excluded the Cities served
<br />by Appalachian Power Company from p~rticipation in the allocation of hydro-
<br />electric power; and
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<br />WHEREAS, the Cities of Bedford, Danvi lle, Mart insville, Radford, Richlands,
<br />and Salem, submitted oral and written comments to SEPA contending that it
<br />was arbitrary and capricious and unlawful to exclude such Cities from
<br />allocation of hydroelectric power; and
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<br />WHEREAS, on June 25, 1982, SEPA issued a notice of revised proposed long-
<br />term marketing policy for the Kerr-Philpott hydroprojects; and
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<br />WHEREAS, the proposed policy would allocate to the Cities of Bedford, Danville,
<br />Martinsville, Radford, Richlands, and Salem the capacity and energy output of
<br />the Philpott project; and
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<br />WHEREAS, on July 28, 1982, a group of municipalities located in North Carolina
<br />and Virginia, known as "ElectriCities" filed a complaint in federal district
<br />court in Raleigh, North Carolina, contending that the proposed allocations
<br />issued by SEPA are unlawful and arbitrary and capricious; and
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<br />WHEREAS, in particular the complaint contended that the "revised proposed long-
<br />term marketing policy for the Kerr-Philpott system projects (should) be declared
<br />unlawful"; and
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<br />WHEREAS, SEPA has requested that the Cities of Bedford, Danville, Martinsville,
<br />Radford, Richlands, and Salem intervene in the court case to protect their
<br />interests and their allocation of Philpott hydropower; and
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