Agenda 11/14/2006 - Laserfiche WebLink

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RESOLUTION AUTHORIZING THE EXECUTION OF A HYDRO DEVELOPMENTAL COST SHARING AGREEMENT BY THE CITY OF MARTINSVILLE WITH AMERICAN MUNICIPAL POWER-OHIO, INC. AND REPEALING RESOLUTION ADOPTED MAY 9th OF 2006 WHEREAS, the City of Martinsville (herein after "Municipality") owns and operates an electric utility system for the benefit of the Municipality, its citizens and taxpayers; and WHEREAS, by working jointly with American Municipal Power-Ohio, Inc. (hereinafter "AMP- Ohio") and the other municipalities which are members of AMP-OhIO, the Municipality can supply its electric utility consumers with reliable service at reasonable rates; and WHEREAS, a need has been identified for an environmentally sound, reasonably priced and reliable long term power source for the Municipality's electric utility consumers; and WHEREAS, a number of licenses for the construction and operation of several regional hydroelectric facilities at existing dams may be available to AMP-Ohio or its members via purchase, application to the FERC or other cooperative arrangements; and WHEREAS, AMP-Ohio desires to provide Municipality with the opportunity to participate in the development of new regional hydroelectric facilities, primarily located on the Ohio River, utilizing conventional as well as newer technologies, in order to provide the Municipality's electric utility consumers this reasonably priced, environmentally sound and reliable source of long term power; and WHEREAS, AMP-Ohio antICipates that no less than 30,000 kilowatts (kW), and potentially 250,000 kW of hydroelectric capacity may be available; and WHEREAS, it is necessary for the Municipality to enter into a contract (Agreement) with AMP- Ohio to provide for preconstruction development funding to allow for analyzing the technical, permitting, and economic aspects of the potential new hydroelectric projects (hereinafter the "Hydro Projects") and determine if the Municipality, in conjuriction with AMP-Ohio and other participating municipalities, should proceed to construct, own and operate one or more new Hydro Projects; 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 proceed with construction of one or more Hydro Projects if and only if in the Municipality's sole discretion it determines to do so; and WHEREAS, Municipality desires to obtain, pursuant to the Agreement, rights to an amount of up to a nominal 4,300 kW of capacity of the Hydro Projects on the same terms and conditions as the other participating municipalities; and 1