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RESOLUTION N0. 963
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST MEMPHIS,
ARKANSAS, CONDEMNING THE ACTIONS OF A FEDERAL ENERGY
REGULATORY COMMISSION (FERC) ADMINISTRATIVE LAW JUDGE AND
FERC'S STAFF REGARDING THEIR DECISION AND POSITION ON THE
QUESTION OF THE ALLOCATION OF COSTS OF NUCLEAR FIRED ELECTRIC
GENERATING STATIONS IN THE STATES OF LOUISIANA AND MISSISSIPPI,
MAKING STATEMENTS AND RECOMMENDATIONS RELATIVE THERETO AND
AUTHORIZING AND DIRECTING OPPOSITION TO SUCH DECISIONS.
WHEREAS, a FERC Administrative Law Judge (ALJ), on the 3rd day
of February, 1984, in FERC Docket No. 82-616, issued an Order
requiring the Arkansas Power and Light Company to purchase 36% of
the capacity and energy of the Grand Gulf Nuclear Generating
Station in the State of Mississippi; and,
WHEREAS, in FERC Docket No. 82-483, the staff of the FERC,
Louisiana Public Service Commission, and others are advocating
that the Arkansas Power and Light Company and its rate-payers
assume the payment of portions of the costs of not only the Grand
Gulf Nuclear Station, but also the Waterford III Nuclear Generating
Station in Louisiana; and,
WHEREAS, the decision of the Administrative Law Judge in
FERC Docket No. 82-616, the Grand Gulf case, could ultimately
cost the rate-payers of the State of Arkansas, an additional
Two Hundred Eighty Million Dollars ($280,000,000) per annum; and,
WHEREAS, the decision of the FERC, not yet made in Docket
No. 82-483, the Middle South System Agreement cast, could cost the
rate-payers of the State of Arkansas, an additional Seventy Million
Dollars ($70,000,000) per annum;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF WEST MEMPHIS, ARKANSAS:
SECTION 1. The City Council of the City of West Memphis,
Arkansas, condemns the actions of the FERC Administrative Law
Judge, in Docket No. 82-616. The 82-616 decision is without any
precedent or other legal authority and would impose the costs of
an expensive, unneeded Nuclear Generating Station, in the State of
Mississippi, on the rate-payers of the State of Arkansas, whose
citizens had no input or other decision making authority with respect
to the location of or .need for such Nuclear Generating Station and
whose electrical power and energy demand requirements make such
plant unnecessary.
SECTION 2. The City Council of the City of West Memphis,
Arkansas, makes the following statements and recommendations:
A. It is grossly unfair to the rate-payers of Arkansas to
pay for nuclear fired electric generating stations in Mississippi
and Louisiana which were never authorized or approved by officials
of the State of Arkansas.
B. The two (2) nuclear plants in question have a combined cost
of approximately 5.2 Billion Dollars, with the Arkansas share for
Grand Gulf alone, approximately 1 Billion Dollars.
C. Arkansas Power and Light Company, in apparent good faith,
planned, sought approval from the Arkansas Public Service Commission
for, constructed and financed, with the assitance of Arkansas
' rate-payers, Arkansas Nuclear One Units 1 and 2 in the late 1960's
and 1970's. The Arkansas nuclear generators, had a total cost of
approximately One Billion Dollars ($1,000,000,000) and have a
combined electrical output of 1694 megawatts. The Arkansas share
of the Grand Gulf unit alone,(under the decision of the FERC ALJ),
also, has a cost of approximately One Billion Dollars ($1,000,000,000)
yet, the capacity assigned to Arkansas is only 405 MW, less than 25%
of the electrical output of Arkansas Nuclear One, 1 and 2.
D. The radical and arbitrary findings of the FERC Administrative
Law Judge in Docket No. 82-616, to the effect that the Arkansas Power
and Light Company is not an autonomous entity, subject to regulation
in Arkansas, violates all legal precedent, and the Arkansas
Congressional delegation should be encouraged to introduce federal
legislation amending the Public Utility Holding Company Act of 1935
and the Federal Power Act to overrule this decision if it is upheld
on appeal.
2.
SECTION 3. This Resolution shall be in full force
and effect from and after its passage and approval and a copy
shall be provided to members of the Arkansas Congressional
` Delegation and to the Arkansas Public Service Commission.
Honorable David Pryor
United States Senator
248 Russell Office. Building
Washington, D. C. 20510
Arkansas Public Service Commission
412 Union Trans Station
Little Rock, Arkansas 72201
Honorable Bill Alexander
United States Representative
233 Cannon House Building
Washington, D. C. 20515
PASSED AND APPROVED
1984.
MAYUh
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CERTIFICATE
STATE OF ARKANSAS )
(SS
COUNTY OF CRITTENDEN)
The undersigned, City Clerk of the City of West Memphis,
Arkansas, hereby certifies that the above and foregoing is
a true and complete and correct copy of Resolution No. 963
Condemning the Actions of A Federal Enerav Reaulatorv Commission
(FERC) Administrative Law Judge and FERC'S Staff Regarding their
_Cecision and Position on the Question of he Allocation of Costs
of Nuclear Fired Electric Generating Stations in the States of
Louisiana and Mississi~bi making StatPment~ and Recommend~a_t_icns
Relative thereto -
as the same appears in the official records of said City.
IN WITNESS WHEREOF, I have hereunto set my hand as City
Clerk of the City of West D~emphis, Arkansas, and the Official
Seal of said City, on this lst day of March , 19 84 .
CITY CLERK, CI Y 0 ti"BEST bIEti7PHIS
CRITTENDEN COUNTY, ARKANSAS
(SEAL)
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205 South Redding - West Memphis, Arkansas 72301 - (501) 735-2720
March 13, 1984
TO REPLACE COPY OF RESOLUTION NO. 963 MAILED TO YOU ON
MARCH 7, 1984. PAGE THREE (3) WAS ATTACHED IN ERROR,
AND CORRECTED IN THIS ATTACHED COPY OF RESOLUTION NO.
963.
Mailed to the following on complete Resolution: 3-13-84
Honorable David Pryor Honorable Dale Bumpers
United States Sentaor United States Senator
248 Russell Office Bldg. 248 Russell Office Bldg.
Washington, D. C. 20510 Washington, D. C. 20510
Mr. Don Zimmerman
Arkansas Municipal League
P. O. Box 38
N. Little Rock, Ar. 72115
Arkansas Public Service Comm.
412 Union Train Station
Little Rock, Ar. 72201
Honorable Bill Alexander
United States Representative
233 Cannon House Bldg.
Washington, D. C. 20515
Bill Johnson
Gen. Mgr.
W. M. Ut. Comm.
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CITY OF' ~T~~'T M~MPI~IO~
205 South Redding West Memphis, Arkansas 72301 - (501) 735-`L720
March 7, 1984
Honorable David Pryor
United States Senator
248 Russell Office Building
Washington, D. C. 20510
Dear Senator Pryor:
Enclosed is a copy of the City of West Memphis Resolution
No. 963 passed at a regular Council meeting on March 1,
1984.
Yours truly,
Bernice Holland
City Clerk's Office
cc - Arkansas Public Service Commission
412 Union Train Station
Little Rock, Ar. 72201
Mr. Don Zimmerman
Arkansas Municipal League
P. O. Box 38
North Little Rock, Arkansas 72115
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205 South Redding - West Memphis, Arkansas 72301 - (501) 735-2720
March 7, 1984
Arkansas Public Service Commission
412 Union Train Station
Little Rock, Arkansas 72201
Gentlemen:
Enclosed is a copy of the City of West Memphis Resolution
No. 963 passed at a regular Council meeting on March 1,
1984.
Yours truly,
Bernice Holland
City Clerk's Office
Enclosure
cc - Honorable David Pryor
United States Senator
248 Russell Office Building
Washington, D. C. 20510
Mr. Don Zimmerman
Arkansas Municipal League
P. 0. Box 38
North Little Rock, Arkansas 72115
An Equal Opportunity Employer
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205 South Redding - West Memphis, Arkansas 72301 • (501) 73Fi-2720
March 7, 1984
Mr. Don A. Zimmerman
Arkansas Municipal League
P. O. Box 38
North Little Rock, Arkansas 72115
Dear Mr. Zimmerman:
Enclosed is a copy of the City of West Memphis Resolution
No. 963 passed at a regular Council meeting on March 1,
1984.
Yours truly,
`1 ~..ss~~.....~;=
Bernice Holland
City Clerk's Office
~; Enclosure
cc - Arkansas Public Service Commission
412 Union Train Station
Little Rock, Ar. 72201
Honorable David Pryor
United States Senator
248 Russell Office Building
Washington, D. C. 20510
An Equal Opportunity Employer
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From the ARKANSAS MUNICIPAL LEAGUE 29tH 8 wiiow•P.o. Box 38•North Little Rock, AR 72115•(501) 75&1610
February 23, 1984
T0: DIAYORS, CITY ADMINISTRATORS AND MANAGERS
FROM: DON A. ZIMMERMA
RCGF(4_ P..
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SUBJECT: RESOLUTION OPPOSING AP&L FINANCING OF NUCLEAR
PLANTS IN LOUISIANA. AND MISSISSIPPI c~
Enclosed is a copy of the Resolution prepared at the direc-
tion of the Executive Committee of the Arkansas Municipal League
condemning the actions of a Federal Energy Regulatory Commission
Administrative Law Judge regarding the question of allocation of
cost of nuclear fired electric generating stations in Louisiana
and Mississippi.
Mayor Reed Thompson of North Little Rock has recently met
with members of the Arkansas Congressional Delegation and other
federal officials on this matter. Mayor Thompson feels that the
enactment of resolutions on this matter by individual cities
would be helpful. He suggests that copies of the resolutions be
forwarded to the Arkansas Public Service Commission and Senator,
David Pryor at the following addresses: //
Arkansas Public Service Commission
412 Union Train Station
Little Rock, AR 72201
Honorable David Pryor
United States Senator
248 Russell Office Building
Washington, D.C. 20510
We would also like to receive a copy of your resolution at
League headquarters in order that we can keep a tally of the
number of cities who have opposed the FERC Administrative Law
Judge's action.
Thank you for your cooperation.
Encl/hw
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RESOLUTION. ~ V
A RESOLUTION OF THE EXECUTIVE COMMITTEE OF THE ARKANSAS MUNICIPAL LEAGUE, CON-
DEMNING THE ACTIONS OF A FEDERAL ENERGY REGULATORY COMMISSION (FERC)
ADMINISTRATIVE LAW JUDGE AND FERC'S STAFF REGARDING THEIR DECISION AND POSITION
O?~ THF. QUESTION OF THE ALLOCATION OF COSTS OF NUCLEAR FIRED ELECTRIC GENEfiATI?dG
STATIONS IN THE STATES OF LOUISIANA AND MISSISSIPPI, MAKING STATEMENTS AND
RECOMMENDATIONS RELATIVE THERETO AND AUTHORIZING AND DIRECTING OPPOSITION T,0
SUCH DECISIONS.
4dlIl;RF.AS, a FERC Administrative Law Judge (ALJ), on the 3rd Day of February, 1984, in
;'i:R:' Iu~cket No. 82-616, issued an Order requiring the Arkansas Power and Light Company to
irchase 36~ of the capacity and energy of the Grand Gulf Nuclear Generating Station in
i~ State of Mississippi; and
WfiEREAS, in FERC Docket No. 82-483, the staff of the FERC, Louisiana Public Service
mmission, and others are advocating that the Arkansas Power and Light Company and its
rate-payers assume the payment of portions of the costs of not only the Grand Gulf Nuclear
Station, but also the Waterford III Nuclear Generating Station in Louisiana; and
WHEREAS, the decision of the Administrative Law Judge in FERC Docket No. 82-616, the
Grand Gulf case, could ultimately cost the rate-payers of the State of Arkansas, an addi-
tional two hundred eighty million dollars ($280,000,000) per annum; and
WHEREAS, the decision of the FERC, not yet made in Docket No. 82-483, the Middle
South System Agreement case, could cost the rate-payers of the State of Arkansas, an
additional seventy million dollars ($70,000,000) per annum;
NOW THEREFORE BE IT RESOLVED BY THE EXECUTIVE COMMITTEE OF THE ARK.~,NSAS MUNICIPAL
LEAGUE AND;
SECTION 1: The Arkansas Municipal League, condemns the actions of the FERC
Administrative Law Judge, in Docket No. 82-616. The 82-616 decision is without any
precedent or other legal authority and would impose the costs of an expensive, un-
needed Nuclear Generating Station, in the State of Mississippi, on the rate-payers of
the State of Arkansas, whose citizens had no input or other decision making authority
with respect to the location of or need for such Nuclear Generating Station and whose
lectrical power and energy demand requirements make such plant unnecessary.
SECTION 2: The Arkansas Municipal League, makes the following statements and
ecommendations:
~, A. It is grossly unfa' to the ra(e ayers of Arkansas to pay for nuclear fired
electric generating stati in Missi ppi and Louisiana which were never authorized
or approved by officials th State f Arkansas.
B. The two nucl a plan in question have a combined cost of approximately 5.2
billion dollars, w' e A ansas share for Grand Gulf alone approximately 1 billion
dollars.
a Polder an i t Com an in a arent good faith, planned, sought
C. Arkans s ~ P Y. PP
approval from the Arkansas Public Service Commission for, constructed and financed, with
the assistance of Arkansas ra a payers, Arkansas Nuclear One Units 1 and 2 in the late
1960's and 1970's. The Ar as nuclear generators, had a total cost of approximately
one billion dollars ($1,000, 00,000) and have a combined electrical output of 1694 mega-
watts. The Arkansas share of the Grand Gulf unit alone, (under the decision of the FERC
ALJ), also, has a cost of approximately one billion dollars ($1,000,000,000) yet the
capacity assigned to Arkansas is only 405 MW, less than 25~ of the electrical output of
Arkansas Nuclear One, 1 and 2.
SECTION 3: This Resolution shall be in full force and effect
passage and approval and a copy shall be provided to members of the
Delegation and to the Arkansas Public Service Commission.
DATE:
February 8, 1984
APPROVED:
from and after its
Arkansas Congressional
/s/ Thad R. Kelly, Jr.
President
ATTESTED:
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D. The radical and arbitrary findings of the FERC Administrative Law Judge in
Docket No. 82-616, to the effect that Arkansas Power and Light Company is not an auto-
nomous entity, subject to regulation in Arkansas, violates all legal precedent, and the
rkansas Congressional delegation should be encouraged to introduce federal legislation
Wending the Public Utility Holding Company Act of 1935 and the Federal Power Act to
Ferrule this decision if it is upheld on appeal.
/s/ Don A. Zimmerman
Executive Director
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205 South Redding - West Memphis, Arkansas 72301 (501) 735-2720
March 7, 1984
TO: Mayor Leo Chitman
FROM: Ber>~c~e Hol~.and
City Clerk's Office
Copies of the attached Resolution No. 963 will go out in
today's mail to the following:
Honorable David Pryor
United States Senator
248 Russell Office Building
Washington, D. C. 20510
Arkansas Public Service Commission
412 Union Train Station
Little Rock, Ar. 72201
Mr. Don Zimmerman
Arkansas Municipal League
~ P. O. Box 38
No. Little Rock, Ar. 72115.
Attachment
An Equal Opportunity Employer
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