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Thursday, March 27, 2008

Hundreds Show Up to PRC Meeting

By Laura Nesbitt
Mountain View Telegraph
    The majority of Central New Mexico Electric Cooperative customers pay nearly double what the average residential Public Service Company of New Mexico customer in Albuquerque pays, and that has many in the Estancia Valley looking for answers from the co-op.
    Many angry customers took the opportunity to confront the co-op's general manager during a public hearing that was supposed to focus on three matters under investigation involving CNME by the state's Public Regulation Commission.
    The public comment hearing was attended by more than 200 people and lasted almost four hours.
    "We've had so many calls. So many people who want to say something to the commission.
    "We have one petition for withdrawal of the rate hikes," said PRC District 2 Commissioner David King at the beginning of the March 19 hearing to applause from those attending.
    "We're not just here for a fight or a debate tonight. If that happens, we'll adjourn," King said.
    The PRC issued two orders regarding CNME. One order suspends a new rate structure that would have allowed fewer hours of off-peak rates. The second order calls for two investigations into the way CNME has set its rates.
    The first PRC order is a suspension of Advice Notice 55 concerning Rate 25 a planned reduction in off-peak hours.
    According to state laws, rates proposed by a cooperative must be filed with the PRC in the form of an advice notice.
    The second order begins one investigation into Advice Notice 54, a proposal by CNME to cancel Rate 29, a commercial time-of-use rate. The second investigation is into Rate 25, a residential time-of-use rate.
    Six CNME board members attended the meeting: President J.T. Turner, Duane Frost, Kenneth Shaw, Leandro Abeyta, Jerry Britton and Mike Valdez.
    So many people attending expressed interest in hearing John Wheeler, CEO and general manager of the co-op, speak that PRC Chairman Jason Marks told the stenographer to stop recording the hearing and "go off the record" because the hearing had been advertised differently.
    Marks, King, PRC District 5 Vice Chairman Sandy Jones, and several other PRC employees left the hearing and stood outside while Wheeler spoke with the crowd answering questions for about 45 minutes.
    "No. 1, there is a flier going around with misinformation" Wheeler said referring to a petition for signatures protesting a "48 percent" rate increase and left at several stores in the Moriarty area. Wheeler denied there was such a rate increase several times.
    "I assure you there are no plans for a 48 percent rate increase," Wheeler said.
    So many people wanted to ask Wheeler questions that the PRC Director of Utility Division Roy Stephenson jumped in to mediate and "summarize what I'm hearing."
    "How many people are here whose rates have gone up?" Stephenson asked the crowd which appeared to uniformly raise their hands in an affirmative reply. Stephenson then attempted to find out when their bills had gone up.
    "During the past few months, no matter what we did, our bill went up," one member of the crowd said.
    Crowd comments directed toward Wheeler ranged from better communication with members, asking CNME board members to take a pay cut (they earn $75 and mileage to attend meetings), to changing the agreement CNME has with Tri-State Generation and Transmission Association of Colorado, its power supplier. CNME has a contract with Tri-State until 2050 and is required to buy its power from Tri-State, Wheeler said.
    In order to borrow money from the federal government electric cooperatives must have a "locked in" source of power, Wheeler said.
    The average residential PNM customer using 600 kilowatt hours per month pays a total of $48.26 before franchise fees and taxes, said Susan Sponar, PNM resources and corporate communications.
    The majority of CNME residential customers who are on Rate 1 general service and who use 600 kilowatt hours per month pay a total of $94.95 without franchise fees and taxes, said Dolores Jones, manager of administrative services.
    CNME customer Denny Snyder asked commissioners for an oversight commission and an independent audit of CNME.
    "We don't have a clue what they're proposing, but we're pretty sure the rate is going to go up," Snyder said.
    King ended the meeting saying another hearing could possibly be organized by the commission if it is requested by the public.
    CNME has a monthly board meeting scheduled in Mountainair today at 9 a.m. The co-op's annual meeting is scheduled for April 26 in the Estancia High School gymnasium.