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CITY OF SEWARD, ALASKA
RESOLUTION NO. 87-066 (substitute)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, APPROVING THE EXECUTION OF AN AGREEMENT
FOR THE SALE AND PURCHASE OF ELECTRIC POWER (POWER
SALES AGREEMENT) RELATING TO THE BRADLEY LAKE
HYDROELECTRIC PROJECT
WHEREAS, the Bradley Lake Hydroelectric Project will
provide needed electrical generation capacity; and
WHEREAS, the city of Seward, as the owner and operator
of the Seward Electric Utility, a city-owned electric
utility not subject to regulation by the Alaska Public
Utilities Commission. is a wholesale purchaser of electric
power and, as such, has need for reliable stable and cost
effective sources of electric power; and
WHEREAS, all the potential suppliers of wholesale power
for the city of Seward are parties to the agreement and have
negotiated for the most economical project construction and
electrical generation terms for all the purchasers of energy
for the project; and
WHEREAS, participation of the city of Seward in the
Bradley Lake Hydroelectric Project by execution of the Power
Sales Agreement referenced above will provide the city of
Seward with a stable and needed source of electrical energy
at the wholesale level; and
WHEREAS, the risks to the city of Seward under the
"Take or Pay" provisions of the agreement are outweighed by
the advantages to the city in obtaining an assured and
stable source of electrical energy;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF SEWARD, ALASKA, that:
Section 1. The Agreement for the Sale and Purchase of
Electric Power ("Power Sales Agreement") between the Alaska
Power Authority; Chugach Electric Association, Inc.; the
Golden Valley Electric Association, Inc.; the Municipality
of Anchorage, dba Municipal Light and Power; the Homer
Electric Association, Inc.; the Matanuska Electric Asso-
ciation, Inc.; and the city of Seward in the form of that
agreement attached hereto as Exhibit "A" and incorporated
herein by reference is in the public interest.
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CITY OF SEWARD, ALASKA
RESOLUTION NO. 87-066 (substitute)
Section 2. It is in the public interest not to follow
the full procedures of Section 10-8 of the Seward City Code
in that the parties to the Agreement have negotiated and
arranged for the lowest possible project cost for the
project and the lowest cost for electrical energy to the
purchasers from the project, including the city of Seward.
Section 3. The City Manager is authorized to execute
the Power Sales Agreement and such other and further docu-
ments as may be necessary to consummate the Power Sales
Agreement between the parties referenced above.
Section 4. This resolution shall take effect immedi-
ately upon its adoption.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA, this -1.L day of November , 19 87.
THE CITY OF SEWARD, ALASKA
AYES:
NOES:
ABSENT:
ABSTAIN:
DUNHAM, HILTON, O'BRIEN, NOLL, SIMUTIS, GIESELER
NONE
MEEHAN
NONE
(City Seal)
APPROVED AS TO FORM:
HUGHES, THORSNESS, GANTZ,
POWELL & BRUNDIN, Attorneys
for the City of Seward, AK
7Adlfll~
Fred B. Arvidson
City Attorney
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