Dear Editor:

Thank you for accepting an open letter to the Wyoming Congressional Delegation:

Congress is painfully aware of the unprecedented and extreme drought conditions continuing in the Colorado River Basin, evidenced by its most recent support of billions of dollars for water projects and water conservation.  Ample information has been provided by numerous news outlets that explain the millions of beneficiaries of the Colorado River resources.  I want to highlight the impacts of these conditions to the approximately 24,000 Wyomingites that Wyoming Municipal Power Agency serves.

Wyoming Municipal Power Agency was formed in 1976 as a Joint Powers Board under Wyoming State law and is a not-for-profit entity.  We provide wholesale electricity to the communities of Cody, Fort Laramie, Guernsey, Lingle, Lusk, Pine Bluffs, Powell and Wheatland.  

WMPA has a contract with the federal government for power provided from the Colorado River hydrologic generators.  Historically, WMPA and all other not-for-profit entities who receive power from these federal generators have paid for the dam and reservoir projects with interest, electrical transmission, infrastructure, irrigation, flood control, recreation, and fish programs.  This historic partnership has benefitted both customers and federal taxpayers as Congress initially intended and was fair and equitable.

Under this contract, the federal government committed to the provision of minimal levels of power to receiving entities.  Due to the extremely low dam and reservoir levels, the hydroelectric generation cannot now provide even these minimal levels of power.  WMPA has relied on the minimum levels of power from this contract to support its customers needs and continues to pay all the costs associated with this contract and the delivery of that power to its customers.

The federal government, through no fault of its own, cannot now provide the minimum levels of power committed to in the contract.  WMPA is currently receiving about half of the power that it was previously and that was committed to WMPA under the contract.  However, WMPA continues to pay the same costs as if we were receiving its full committed levels of power under the contract. 

Numerous customers with contracts for hydropower on the Colorado River have discussed this issue.  Many of our customers are both taxpayers and ratepayers and we strive to be fair to both.

Senate bill S. 4232 clearly addresses the “beneficiary pays” concept and proposes a pro-rata sharing of costs between ratepayers and taxpayers based on the ability of the hydrologic conditions to provide the minimum level of power outlined in the contract.  We very respectfully request your support for S. 4232 to provide fair pricing of the federal hydropower that is paid for and utilized by Wyoming rate payers.

 Sincerely,

Rosemary Henry

Executive Director

Wyoming Municipal Power Agency