Title
Approval of 2026 Electric Coordination Agreement between the Incorporated County of Los Alamos and the United States Department of Energy National Nuclear Security Administration
Recommended Action
I move that the Board of Public Utilities recommend Council approve the Electric Coordination Agreement between the Incorporated County of Los Alamos and the Department of Energy National Nuclear Security Administration, and forward to Council for approval.
Utilities Manager's Recommendation
The Utilities Manager recommends that Board approve the motion as presented once the final contract terms and conditions are presented at the board meeting or sooner.
Body
THESE ATTACHED DOCUMENTS ARE THE SAME AS THE ONES PRESENTED TO BPU ON JULY 22ND. ONCE REVISED TERMS AND CONDITIONS ARE IN HAND, BPU WILL RECEIVE THE UPDATED VERSION.
The Power Pool was established through the Electric Coordination Agreement (ECA) between Los Alamos County and The Department of Energy in 1985. In 2002 the National Nuclear Security Administration (NNSA) was established as a branch of the Department of Energy and took over responsibility for the ECA. The acronyms DOE, NNSA, and LANL (Los Alamos National Laboratory) may be used interchangeably throughout this discussion. Through the contract, both parties contribute the power from, and costs of, each of the respective "Pool Approved Resources" into the pool, and those costs are then allocated back to the parties pro rata according to each party's usage. The contract has been renewed continuously since 1985 and has met the needs of both NNSA and the County as it has permitted the County to make long-term investments in new projects with NNSA support.
It is now necessary to establish a new ECA to accommodate changes in electricity markets, federal procurement rules and the cost risks of long-term resource commitments such as Foxtail Flats. This new ECA builds on the framework of the current agreement by refining existing Power Pool man...
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