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HomeMy WebLinkAbout~Master - Payment for costs to accelerate Line Upgrade Project RESOLUTION NO.03-148 RESOLUTION APPROVING PAYMENT TO MIDAMERICAN ENERGY COMPANY FOR COSTS TO ACCELERATE THE SYCAMORE-JOHN DEERE 69-KV LINE UPGRADE PROJECT FOR THE CITY OF AMES WHEREAS,at its meeting on August 27, 2002, City Council approved an agreement with Omaha Public Power District(OPPD)to purchase 6 MW of capacity for the Summers of 2003 and 2004;and, WHEREAS,this purchase is needed to meet the projected system(customer)peak demand and maintain a required 15%reserve margin for each of those years;and, WHEREAS,the agreement with OPPD places the responsibility for transmission service with Ames;and, WHEREAS,transmission service has been reserved with Midcontinent Area Power Pool(MAPP)from OPPD to MidAmerican Energy Co. (MEC)Sycamore Substation in Des Moines;and, WHEREAS,a system impact study was performed by MEC after receiving our request for 6 MW of capacity from the Sycamore Substation to the Ames Plant Substation; WHEREAS,the case that directly impacts Ames is the loss of Unit 8(70 MW)during summer peak load conditions, and this contingency will overload the Sycamore-John Deere 69 KV lines;and, WHEREAS, during that time,Ames would be required to increase its generation on Unit 7 and the Combustion Turbine to reduce the loading on the Sycamore-John Deere 69 KV line,and if loading relief cannot be accomplished,Ames would be told to shed load(drop customers);and, WHEREAS,MidAmerican Energy Co.does have plans to upgrade the Sycamore-John Deere 69 KV line in 2007, and they have offered to accelerate the upgrade and complete the work in May 2003 if Ames would pay for the extra costs; and, WHEREAS,the costs are estimated to be$125,000,which is approximately 50%of the total cost;and, WHEREAS,the Electric Distribution Work Center Restoration work was completed under budget and the Diesel Building Demolition will be delayed for several years,so the unused funds from these two projects will cover the cost of the 69 KV line upgrade. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that the payment to MidAmerican Energy Co.,for costs to accelerate the Sycamore-John Deere 69 KV line upgrade project in an amount not to exceed$125,000 is hereby approved. ADOPTED THIS 22"d day of April,2003. c�?- Ly-d&— _1�x _� Diane R.Voss,City Clerk Tcd Tc csco, Mayor Introduced by: Goodhue Seconded by: Wirth Voting aye: Goodhue,Hoffman,Mahayni,Vegge,Wirth Voting nay: None Absent: Cross Resolution declared adopted and signed by the Mayor this 22'of April,2003.