I understand from today's paper that CAPP was approved by the city council.

I understand that CAPP would in theory lower the rate for electricity for the city.

I understand that the only council member who has career experience in power provisioning, rates and contracts was also the sole dissenting vote.

This tells me that there is something missing, some sort of loophole or gotcha that we are not aware of, or perhaps the council is not aware of.

I am wondering why this vote went they way it did with the majority disagreeing with the expert on the council.  Can anyone share some insight?

I was at 3 meetings where this was discussed. I can tell you that from what I saw from the audience I felt it should not have been passed.   There was not much conversation about it from the Council - in my opinion - mostly the City Manager talking about it.  It would have been nice to hear more of the councilmen's opinions of the plan - on both sides.

Money.  Someone benefits from it, usually not us.  There's often no other explanation required.

I can't speak for anyone else's reasoning; I can only share what I garnered from the meetings.  From what I heard we are committed to a 24 year contract.  We are committed to purchase a preset amount from CAPP even if we don't use it.  In all likelihood we will use more than that amount.  We only receive the locked in pricing for the guaranteed amount - NOT for any usage that exceeds that amount.   It is a 24 year contract that will lock in prices within the next month or so and has a built in yearly inflation rate of .5% (I think..... something along those lines at least).  Now if prices GO UP every year this is a win for the city.  But as we have seen recently, the prices have been fluctuating and recently have been on the decline pretty consistently. 

It might be a win for us as we might lock in a great rate.  The scary part, to me, is that we are committed to purchasing all of our additional electricity from them as well.  We cannot shop around for the best deal.

It is a complicated deal.  This information is what I pulled from listening at the WorkShop Sessions.   I would love to be able to read the entire notebook that the City Manager shared with all the councilmen.

I can't speak for anyone else's reasoning; I can only share what I garnered from the meetings.  From what I heard we are committed to a 24 year contract.  We are committed to purchase a preset amount from CAPP even if we don't use it.  In all likelihood we will use more than that amount.  We only receive the locked in pricing for the guaranteed amount - NOT for any usage that exceeds that amount.   It is a 24 year contract that will lock in prices within the next month or so and has a built in yearly inflation rate of .5% (I think..... something along those lines at least).  Now if prices GO UP every year this is a win for the city.  But as we have seen recently, the prices have been fluctuating and recently have been on the decline pretty consistently. 

It might be a win for us as we might lock in a great rate.  The scary part, to me, is that we are committed to purchasing all of our additional electricity from them as well.  We cannot shop around for the best deal.

It is a complicated deal.  This information is what I pulled from listening at the WorkShop Sessions.   I would love to be able to read the entire notebook that the City Manager shared with all the councilmen.

Thanks Glow, there may be a chance to see it soon, but then again it's too late isn't it...  I find the overwhelming in favor vote a bit perplexing..  I am sure we had a few apathetic (what he said) votes from our council as always but I know we have a few that do the proper research and try and do what's in the best interest of the City on most every matter.. 

I just hope good research was done by those councilmen or a bad decision could have been made. 

And a 24 year price lock is pretty typical for this stuff, and yes you always have the opportunity to shoot yourself in the foot if you don't negotiate the contract correctly. 

Now, one thing to clarify, was this vote to allow the City employees to begin CAPP negotiations or to approve the already negotiated terms?  If it was in fact an approval of the CAPP contract/terms and conditions shouldn't that be made public record at this point?

[youtube]http://www.youtube.com/watch?v=CuTi9UZtPbw[/youtube]

Ahhhhh Public Enemy I still just love those guys. I remember hitting up the skating rink as a kid with the PE jamming. Nothing beats it.

oh, so your a Black Panther, not a hippy?  wait, what?

Naw just wanna stickit to "Da Man" and protect the environment at the same time.