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HomeMy WebLinkAbout059 - 05/04/1999 - AMENDING CITY CODE REGARDING SALE OF ENERGY GENERATED FROM A RENEWABLE RESOURCE ORDINANCE NO. 59, 1999 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING CHAPTER 26, ARTICL1, V1, DIVISION 4 OF THE CODE OF THE CITY REGARDING SALE OF ENERGY GENERATED FROM A RENEWABLE RESOURCE WHEREAS, the City initiated the Wind Power Pilot Program in 1996; and WHEREAS,at that time,the cost of the wind energy was estimated at two cents per kilowatt- hour; and WHEREAS,those customers who subscribed to the pilot program entered into a three-year special services agreement with the Utility to pay a premium of two cents a kilowatt-hour for the wind energy; and WHEREAS, additional customers are interested in purchasing wind energy and more wind turbines will be purchased; and WHEREAS,the cost of providing the service from the original two wind turbines and future turbines is now estimated at 2.5 cents per kilowatt-hour; and WHEREAS,the utility will continue to honor the two cent premium specified in the existing special services agreements during the three-year pilot; and WHEREAS, the future wind power customers will also be required to enter into a special services agreement with the Utility for purchasing wind energy; and WHEREAS, these future special service agreements for wind energy will specify the premium charge at the full estimated cost of the wind energy; and WHEREAS,the terms and conditions of such special services agreement shall be established by the General Manager of the Utility Services subj ect to the cost-of-service criteria that are required by Section 6 of Article XII of the City Charter to be followed in setting the rates, fees and charges to be paid by customers for electric services. NOW, THEREFORE, BE IT ORDAINED BY "THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That paragraphs (d) of Section 26-464, (d)of Section 26-465, (d) of Section 26-466, (d) of Section 26-467, (d) of Section 26-468, (e) of Section 26-469, and(d) of Section 26- 472 of the Code of the City of Fort Collins are hereby amended to read as follows: Renewable resource. Energy generated by the power of wind may be available at a premium price in accordance with the provisions of a special services agreement between the utility and the customer, as such agreements are authorized in this Section. Section 2. That paragraphs(i)of Section 26-464,0)of Section 26-465,0)of Section 26- 466,(k)of Section 26-467,(m)of Section 26-468, (n) of Section 26-469, and(n) of Section 26-472 of the Code of the City of Fort Collins are hereby amended to read as follows: Special services. The electric utility is authorized to provide special services and capabilities which are beyond those required for basic service, provided that such special services and capabilities are described in a written agreement between the utility and the customer, which agreement shall also set forth the utility charges associated with the provision of such special services and capabilities. The Director shall establish the rates, fees, charges and payment terms for the provision of such special services and capabilities. In setting the rates, fees and charges to be paid by the customer under a special services agreement, the Director shall set them in an amount that satisfies the applicable cost-of-sery ice criteria contained in Section 6 of Article XII of the City Charter. Introduced and considered favorably on first reading and ordered published this 20th day of April, A.D. 1999, and to be presented for final passage on the 4th day of May, A.D. 1999. Mayor s-- ATTEST: 0 City Clerk Passed and adopted on final reading this 4th day of May, A.D. 1999. Mayor ATTEST: 444L City Clerk