HomeMy WebLinkAboutRes 1994-05 Terror Lake MOAALASKA ENERGY AUTHORITY
RESOLUTION NO. 1994-05
A RESOLUTION OF THE ALASKA ENERGY AUTHORITY RELATING TO
THE MEMORANDUM OF AGREEMENT FOR FUNDING THE TERROR
LAKE TRAP REMEDIATION PROJECT.
WHEREAS, the Alaska Energy Authority ("Authority") is a public corporation of the
State of Alaska duly created, organized, and existing pursuant to AS 44.83; and
WHEREAS, the Authority is the owner of the Terror Lake Hydroelectric Project
("Project"); and
WHEREAS, the Authority is authorized under AS 44.83.080 to improve power
projects; and
WHEREAS, the Authority sells energy from the Project to various utilities
("Purchasing Utilities") pursuant to the terms of the Long-Term Power Sales Agreement-
-Four Dam Pool dated October 28, 1989 ("Power Sales Agreement"); and
WHEREAS, the Project Management Committee ("PMC"), as established under the
Power Sales Agreement, is authorized to implement the provisions of the Power Sales
Agreement and determine certain matters relative to budgeting and administration of
funds; and
WHEREAS, the Project would be capable of producing energy in excess of the
historical recorded energy if certain remediation work were to be made to the power
tunnel ("Project Work"); and
WHEREAS, there are existing opportunities to sell additional power from the Terror
Project if such power Is made available; and
WHEREAS, additional sales from the Project would increase overall revenues which
would benefit the Authority by increasing the amount of Debt Service paid to the Authority
under Section 5(b)(ii) of the Power Sales Agreement; and
WHEREAS, the parties to the Power Sales Agreement did not anticipate the type,
magnitude of costs, or benefit of such project work at the time of execution of the Power
Sales Agreement; and
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WHEREAS, the parties to the Power Sales Agreement unanimously desire to
approve the procedure for completion and funding of the Project Work and the Authority
has completed negotiations with PMC; and
WHEREAS, there has been presented to this meeting the form of a contract
between the Authority and the PMC entitled Memorandum Of Agreement For Funding
Terror Lake Trap Remediation Project ("MOA"); and
WHEREAS, it appears that the MOA referenced above, which Is now before the
members of the Authority, is in appropriate form and is an appropriate instrument for the
purposes intended; and
WHEREAS, the Authority hereby finds and determines that it is in the public interest
and will best carry out the purposes of the Authority to enter into the MOA;
WHEREAS, by their agreement to this procedure, the parties do not intend to
amend the Power Sales Agreement nor to alter or otherwise affect the parties'
interpretation of the Power Sales Agreement or any relationship or agreement made by
the parties prior to or after the term of the MOA.
NOW, THEREFORE, BE IT RESOLVED BY THE ALASKA ENERGY AUTHORITY
as follows:
Section 1. That the form and content of the MOA Is in all respects authorized and
approved, and the Executive Director of the Authority, or his designees, is authorized,
empowered, and directed to execute and deliver to PMC the MOA for and on behalf of
the Authority, including necessary counterparts, in substantially the form and content now
before this meeting but with such changes, modifications, additions, or deletions therein
as shall to him seem necessary, desirable, or appropriate, his execution thereof to
constitute conclusive evidence of his approval of any and all changes, modifications,
additions, or deletions therein from the form and content of the MOA now before this
meeting.
Section 2. After the execution and delivery of the MOA, the Executive Director of
the Authority, or his designees, are hereby authorized, empowered, and directed to do
all such acts and to execute all such documents as may be necessary to carry out and
comply with the provisions of the MOA as executed.
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Section 3. That this Resolution shall become effective immediately upon its
passage and approval.
DATED at Anchorage, Alaska this 16th day of March 1994 .
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