1169RESOLUTION NO.
1169
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF WEST MEMPHIS, ARKANSAS
APPROVING A PREAMBLE TO 1988 RATE
FORMULA AGREEMENT AND 1988 RATE
FORMULA AGREEMENT IN FEDERAL ENERGY
REGULATORY DOCKET NUMBER ER82-705-
002, ET.AL., PROVIDING FOR
AMENDMENTS TO THE POWER
COORDINATION INTERCHANGE AND
`T'RANSMISSION AGREEMENT BETWEEN THE
CITY OF WEST MEMPHIS AND THE
ARKANSAS POWER AND LIGHT COMPANY
SUBJECT THERETO; AND FOR OTHER
PURPOSES
WHEREAS, the Formula Rates of Arkansas Power and
Light Company (AP&L), chargable to the City of West
Memphis, Arkansas and other co-owners of the White
Bluff and Independence Steam Electric Stations were the
subject of administrative litigation in Federal Energy
Regulatory Commission (FERC) Docket No. ER82-705-002,
et. al. and Docket No. ER88-94-000 for rates payable
during the 1987 and 1988 and following contract years;
and
WHEREAS, all parties to the referenced FERC
proceedings including the FERC staff agreed upon a
methodolgy to settle the two (2) pending Dockets for
R I the years 1987 and 1988 and to provide a vehicle for
resolution of future disputes; and
r WHEREAS, the attached Preamble to 1988 Rate
Formula Agreement and 1988 Rate Formula Agreement
provides substantial benefits to the West Memphis
Utility System by continuing a moritorium on rate
changes for a three (3) year period, separating the
various formula rate customers of AP&L into more
appropriate rate classifications, and otherwise
forstalling the need for further expensive and
protracted administrative litigation in Washington,
D.C., by maintaining the formula rate methodology;
..
NOW THEREFORE BE IT RESOLVED, by the City Council
of the City of West Memphis, Arkansas:
SECTION 1. The Preamble to 1988 Rate Formula
Agreement and 1988 Rate Formula Agreement attached
hereto is approved for adoption by the City Council of
the City of West Memphis, Arkansas and the Mayor and
City Clerk are hereby authorized and directed to
execute same on behalf of the City of West Memhis,
Arkansas.
SECTION 2. This Resolution shall be in full force
and effect from and after its passage and approval.
PASSED:
November 17, 1988
APPROVED:
~_
M yor
ATTEST:
City Clerk
This Resolution was prepared by
Zachary David Wilson, P.A.
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