[Federal Register Volume 70, Number 166 (Monday, August 29, 2005)]
[Notices]
[Pages 51033-51034]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-17104]


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DEPARTMENT OF ENERGY

Southwestern Power Administration


Robert D. Willis Power Rate

AGENCY: Southwestern Power Administration, DOE.

ACTION: Notice of public review and comment.

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SUMMARY: The Administrator, Southwestern Power Administration 
(Southwestern), has prepared Current and Revised 2005 Power Repayment 
Studies that show the need for an increase in annual revenues to meet 
cost recovery criteria. Such increased revenues are required primarily 
due to significant increases in expected U.S. Army Corps of Engineers' 
generation investment and increases in operations and maintenance 
expenses at the project. The Administrator has developed a proposed 
Robert D. Willis rate schedule, which is supported by a power repayment 
study, to recover the required revenues. Beginning January 1, 2006, the 
proposed rates would increase annual revenues approximately 43.1 
percent from $452,952 to $648,096.

DATES: The consultation and comment period will begin on the date of 
publication of this Federal Register notice and will end October 28, 
2005.
    1. Public Information Forum--September 13, 2005, 1 p.m. central 
time, Tulsa, OK.
    2. Public Comment Forum--October 13, 2005, 1 p.m. central time, 
Tulsa, OK.

ADDRESSES: If forums are requested, they will be held in Southwestern's 
offices, Room 1402, Williams Center Tower I, One West Third Street, 
Tulsa, Oklahoma 74103.

FOR FURTHER INFORMATION CONTACT: Mr. Forrest E. Reeves, Assistant 
Administrator, Office of Corporate Operations, Southwestern Power 
Administration, U.S. Department of Energy, One West Third Street, 
Tulsa, Oklahoma 74103, (918) 595-6696, [email protected].

SUPPLEMENTARY INFORMATION: The U.S. Department of Energy was created by 
an Act of the U.S. Congress, Department of Energy Organization Act, 
Pub. L. 95-91, dated August 4, 1977. Southwestern's power marketing 
activities were transferred from the Department of the Interior to the 
Department of Energy, effective October 1, 1977. Guidelines for 
preparation of power repayment studies are included in DOE Order No. RA 
6120.2 entitled Power Marketing Administration Financial Reporting. 
Procedures for Public Participation in Power and Transmission Rate 
Adjustments of the Power Marketing Administrations are found at Title 
10, part 903, Subpart A of the Code of Federal Regulations (10 CFR part 
903). Procedures for the confirmation and approval of rates for the 
Federal Power Marketing Administrations are found at title 18, part 
300, Subpart L of the Code of Federal Regulations (18 CFR part 300).
    Southwestern markets power from 24 multi-purpose reservoir 
projects, with hydroelectric power facilities constructed and operated 
by the U.S. Army Corps of Engineers. These projects are located in the 
states of Arkansas, Missouri, Oklahoma, and Texas. Southwestern's 
marketing area includes these States plus Kansas and Louisiana. The 
costs associated with the hydropower facilities of 22 of the 24 
projects are repaid via revenues received under the Integrated System 
rates, as are Southwestern's transmission facilities that consist of 
1,380 miles of high-voltage transmission lines, 24 substations, and 46 
microwave and VHF radio sites. Costs associated with the Robert D. 
Willis and Sam Rayburn Dams, two projects that are isolated 
hydraulically, electrically, and financially from the Integrated System 
are repaid by separate rate schedules.
    Following Department of Energy guidelines, the Administrator, 
Southwestern, prepared a Current Power Repayment study using the 
existing Robert D. Willis rate. The Study indicates that Southwestern's 
legal requirement to repay the investment in the power generating 
facility for power and energy marketed by Southwestern will not be met 
without an increase in revenues. The need for increased revenues is due 
to expected increases in generation investment and operations and 
maintenance power-related expenses. The Revised Power Repayment Study 
shows that an increase in annual revenue of $195,144

[[Page 51034]]

(a 43.1 percent increase), beginning January 1, 2006, is needed to 
satisfy repayment criteria.
    Opportunity is presented for Southwestern customers and other 
interested parties to receive copies of the Robert D. Willis Power 
Repayment Studies and the proposed rate schedule. If you desire a copy 
of the Robert D. Willis Power Repayment Data Package with the proposed 
Rate Schedule, submit your request to Mr. Forrest E. Reeves, Assistant 
Administrator, Office of Corporate Operations, Southwestern Power 
Administration, One West Third Street, Tulsa, OK 74103, (918) 595-6696 
or via e-mail to [email protected].
    A Public Information Forum is scheduled to be held on September 13, 
2005, to explain to customers and interested parties the proposed rate 
and supporting studies. The proceeding will be transcribed, if held. A 
chairman, who will be responsible for orderly procedure, will conduct 
the Forum. Questions concerning the rate, studies, and information 
presented at the Forum will be answered, to the extent possible, at the 
Forum. Questions not answered at the Forum will be answered in writing. 
However, questions involving voluminous data contained in 
Southwestern's records may best be answered by consultation and review 
of pertinent records at Southwestern's offices.
    Persons interested in attending the Public Information Forum should 
indicate in writing by letter, e-mail, or facsimile transmission (918-
595-6656) by September 6, 2005, their intent to appear at such Forum. 
Should no one indicate an intent to attend by the above-cited deadline, 
no such Forum will be held.
    A Public Comment Forum is scheduled to be held on October 13, 2005, 
at which interested persons may submit written comments or make oral 
presentations of their views and comments related to the rate proposal. 
The proceeding will be transcribed, if held. A chairman, who will be 
responsible for orderly procedure, will conduct the Forum. 
Southwestern's representatives will be present, and they and the 
chairman may ask questions of the speakers.
    Persons interested in attending the Public Comment Forum should 
indicate in writing by letter, email, or facsimile transmission (918-
595-6656) by October 3, 2005, their intent to appear at such Forum. 
Should no one indicate their intent to attend by the above-cited 
deadline, no such Forum will be held. Persons interested in speaking at 
the Forum should submit requests in writing by October 3, 2005, to the 
Administrator, Southwestern, indicating their intent to appear at such 
Forum, so that a list of speakers can be developed. The chairman may 
allow others to speak if time permits.
    A transcript of each Forum will be made. Copies of the transcripts 
may be obtained directly from the transcribing service for a fee. 
Copies of the transcripts may be obtained directly from the 
transcribing service for a fee. Copies of all documents introduced will 
also be available from the transcribing service for a fee.
    Written comments on the proposed Robert D. Willis Rate are due on 
or before October 28, 2005. Five copies of the written comments, 
together with a diskette in MS Word or Corel Word Perfect, should be 
submitted to Forrest E. Reeves, Assistant Administrator, Southwestern 
Power Administration, U.S. Department of Energy, One West Third Street, 
Tulsa, Oklahoma 74103.
    Following review of the oral and written comments and the 
information gathered during the course of the proceedings, the 
Administrator will submit the final Robert D. Willis Rate Proposal, and 
Power Repayment Studies in support of the proposed rate to the Deputy 
Secretary of Energy for confirmation and approval on an interim basis, 
and subsequently to the Federal Energy Regulatory Commission (FERC) for 
confirmation and approval on a final basis. The FERC will allow the 
public an opportunity to provide written comments on the proposed rate 
increase before making a final decision.

    Dated: August 15, 2005.
Michael A. Deihl,
Administrator.
[FR Doc. 05-17104 Filed 8-26-05; 8:45 am]
BILLING CODE 6450-01-P