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<br /> Roll call vote; motion carried 4:3 with Councilors Delay, <br /> Lieuallen, and Hamel voting no. <br /> Mayor Keller instructed staff to bring back a report to the council on . <br /> City participation in inter-agency funding arrangements. Mr. Haws noted a <br /> show of appreciation for Mr. Farah and Mr. Hamel because their work on <br /> this committee is needed. <br /> VIII. NORTHWEST REGIONAL ENERGY BILL--STAFF REPORT (memo distributed) <br /> Mr. Henry introduced Greg Page, Technology Coordinator, City Manager's <br /> Office, to make the presentation.' <br /> The report which was presented to the council was prepared with the help <br /> of proponents and opponents of the bill--proponents helping were Roy <br /> Hemmingway of the State Public Utility Council, and Robert Greening, the <br /> chairperson of the Public Power Committee; opponents helping were Con- <br /> gressman Weaver's Office; Keith Parks, EWEB; and Chris Attnase. Mr. Page <br /> stated that he feels the council should be interested in this bill <br /> since energy was set as one of the high priority items for staff to work <br /> on in November and the legislation would have a strong effect on the <br /> incentives and how they are developed regarding local control. The key <br /> issues are local control, methods of financing new generation, allocation <br /> of hydroelectric power, and energy conservation programs. Eugene receives <br /> 60 to 75 percent of its power from Bonneville Power Authority. Eugene is <br /> a preference customer of BPA, but they no longer have enough power. <br /> , Some power deficits are expected to occur beginning in 1990. So, the . <br /> first question is how hydroelectric power will be allocated to investor- <br /> owned utilities, direct service industries, and public utilities. Direct ~ <br /> service industries such as the aluminum industries are important. They <br /> receive about 25 percent of the Bonneville Power Authority output. The <br /> bill would provide for a contract with the Alumex Corporation, although it <br /> is not yet constructed and will receive approximately 320 megawatts, a <br /> figure comparable to that which the City of Eugene receives. Proponents <br /> believe that the bill will reduce energy costs to customers of investor- <br /> owned utilities, aid in implementing regional planning of conservation and <br /> in generating facilities which they feel is necessary, and lower the cost <br /> of financing investor-owned generating facilities used in the regional <br /> energy network. Opponents disagree, feeling that the wholesale cost of <br /> electricity from BPA will soon be close to investor-owned utility prices, <br /> as BPA must fold in the cost of new thermal plants and that there will be <br /> no rate disparity, which they feel is unfair. Opponents also feel that <br /> the Federal government in the past has not been helpful to long-term <br /> planning efforts and giving BPA the authority for regional planning for <br /> conservation and new generating facilities will destroy local control and <br /> the inevitable time delays and lawsuits will delay construction of new <br /> generating facilities. Also, opponents question the precedent established <br /> by the bill for use of the Federal government to help private utilities <br /> lessen their costs for new generation by guaranteeing the purchase of a <br /> . <br /> 7/9/80--10 <br />