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CITY OF SEWARD, ALASKA
RESOLUTION 2018-037
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, SUPPORTING THE TRANSCO CONCEPT AND AUTHORIZING
THE CITY MANAGER TO ENTER INTO NEGOTIATIONS WITH OTHER
RAILBELT UTILITIES AND AMERICAN TRANSMISSION COMPANY IN
THE FORMATION OF SUCH AN ORGANIZATION
WHEREAS, the City of Seward Electric Utility, along with all the other Railbelt utilities,
has conducted extensive analysis and study concerning the costs and benefits to Railbelt members of
forming a Transco to operate, maintain and, as necessary, improve the Railbelt's transmission
infrastructure; and
WHEREAS, the City of Seward, Matanuska Electric Association (MEA), Homer Electric
Association (HEA), Chugach Electric Association (Chugach), City of Anchorage Municipal Light
and Power (ML&P), Golden Valley Electric Association (GVEA) and American Transmission
Company Development Incorporated (ATC) are developing cooperative approaches for sharing the
costs, capital, and operational responsibilities of the Transco; and
WHEREAS, final resolution of the Transco business model will require negotiations among
the parties to resolve operational roles and responsibilities, the equitable short-term and long-term
allocation of transmission revenue requirements, and capital obligations; and
WHEREAS, incorporation of the Transco will require a Certificate of Public Convenience
and Necessity (CPCN) and will be regulated by the Regulatory Commission of Alaska (RCA).
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City Manager is authorized to negotiate with the Railbelt Utilities and
American Transmission Company Development Incorporated (ATC) the initial and long-term
allocation of transmission costs, operational responsibilities and capital obligations in a manner
equitable and favorable to the interests of City of Seward and its members; and
Section 2. An additional resolution shall be brought to council for final approval prior to any
transfer of utility assets, and
Section 3. The Seward City Council authorizes filing by the City Manager, in partnership
with ATC and interested Railbelt Utilities, an application for a Transco Certificate of Public
Convenience and Necessity (CPCN) with the Regulatory Commission of Alaska (RCA); and
Section 4. This resolution shall take effect immediately upon its adoption.
CITY OF SEWARD, ALASKA
RESOLUTION 2018-037
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 9`" day
of April, 2018.
THE CITY OF SEWARD, ALASKA
arianna Kell, Vi a Mayor
AYES:
Casagranda, McClure, Slater, Horn, Towsley, Keil
NOES:
None
ABSENT:
Squires
ABSTAIN:
None
ATTEST:
Brenda J. Balloit, MMC
City Clerk
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SEAL
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