[Federal Register Volume 62, Number 156 (Wednesday, August 13, 1997)]
[Notices]
[Pages 43354-43355]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-21392]


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DEPARTMENT OF LABOR

Employment and Training Administration
[NAFTA-01571]


Washington Public Power Supply System, Richland, Washington; 
Notice of Negative Determination Regarding Application for 
Reconsideration

    By application dated April 23, 1997, Local Union No. 77 of the 
International Brotherhood of Electrical Workers requested 
administrative reconsideration of the Department's negative 
determination regarding worker eligibility to apply for NAFTA-
Transitional Adjustment Assistance (NAFTA-TAA). The denial notice 
applicable to workers of the subject firm located in Richland, 
Washington, was signed on March 21, 1997 and published in the Federal 
Register on April 15, 1997 (62 FR 18361).
    Pursuant to 29 CFR 90.18(c) reconsideration may be granted under 
the following circumstances:
    (1) If it appears on the basis of facts not previously considered 
that the determination complained of was erroneous;
    (2) if it appears that the determination complained of was based on 
a mistake in the determination of facts not previously considered; or
    (3) if in the opinion of the Certifying Officer, a 
misinterpretation of facts or of the law justified reconsideration of 
the decision.
    Findings of the initial investigation showed that workers of 
Washington Public Power Supply System, Richland, Washington were 
engaged in employment related to the production of electricity. The 
Department's denial of NAFTA-TAA for workers of the subject firm was 
based on the determination that criterion (3) and (4) of the Group 
Eligibility requirements of paragraph (a)(1) of Section 250 of the 
Trade Act of 1974, as amended, were not met.
    There was no shift in the production of electricity from Washington 
Public Power Supply System to Mexico or Canada, nor did the subject 
firm import electricity from Mexico or Canada. The Department's survey 
of Washington Public Power Supply System's sole customer revealed that 
the customer switched its purchases from the subject firm to other 
domestic sources of electricity.
    The petitioner asserts that the sale of electricity from the 
nuclear production of energy is in fact being shifted to less expensive 
suppliers like gas, hydro and coal, along with solar and wind. The 
petitioner adds that severe price competition from producers of these 
alternate sources of power, such as combustion turbines fired by 
natural gas imported from Canada, has led to severe cost cutting 
measures at the Supply System. The petitioner claims that any energy 
source that replaces electricity is a direct replacement of the 
product.
    In determining worker group eligibility for NAFTA-TAA, the 
Department must examine import impact of the articles produced at the 
worker's firm. In this case, workers at Washington Public Power Supply 
System produced electricity. The expenditures that would be required to 
switch from an electricity production facility to another source of 
power generation such as gas, would be prohibitive because of the 
machinery, equipment and technology that would be necessary to effect 
such a conversion. Therefore, gas and other power generating sources 
cannot be considered

[[Page 43355]]

like or directly competitive with electricity.
    The petitioner also claims that generators and other parts and 
equipment for the production of electricity are being imported from 
Mexico by competitors. This is not a basis for certification of the 
Washington Power Supply System workers.

Conclusion

    After review of the application and investigative findings, I 
conclude that there has been no error or misintepretation of the law or 
of the facts which would justify reconsideration of the Department of 
Labor's prior decision. Accordingly, the application is denied.

    Signed at Washington, D.C. this 1st day of August 1997.
Grant D. Beale,
Acting Director, Office of Trade Adjustment Assistance.
[FR Doc. 97-21392 Filed 8-12-97; 8:45 am]
BILLING CODE 4510-30-M