In 2011 voters in the city of Boulder narrowly approved 2C to pursue a municipal electric utility. Measure 310 was placed on the ballot this year via the petition process, and it would modify the process to create the utility. This referred measure, 2E, is in direct conflict with 310. If both measures pass, then whichever measure receives more votes will take effect.
Measure 2E limits debt related to acquisition costs to $214 million, while allowing stranded costs to be paid for either in the $214 million or through utility rates. It allows customers living outside of the city to serve on the utility advisory board which recommends rates to City Council who then makes the final determination on utility rates. It ensures that brokerage fees are competitive without specifying any numerical limits. It also specifically allows elections on utility issues to be held at any general municipal or special election.
Recommendation: for
The city attorney cautioned against putting this measure on the ballot saying that the ballot language about an additional debt limit could open the door to a lawsuit. Perhaps the best thing is for both this measure and 310 to fail so there is no change to the current situation. The proposed section about the utility advisory board is worthwhile though, in my opinion. The other issues are primarily in direct response to 310 and would otherwise be mostly unnecessary.
Please note that the proposed amendment to Charter section 185 has language that is different from the language in measure 2G.
Website for the For side (Empower Our Future)
http://empowerourfuture.org/
Website for the Against side (Voter Approval of Debt Limits)
http://voterapprovalofdebtlimits.com/
City of Boulder Ballot Question 2E (Approved Ballot Language)
Electric Utility Amendments, $214 million acquisition debt limit and superseding other initiatives
Shall the Boulder Home Rule Charter be amended pursuant to Ordinance No. 7920, to limit the portion of bonds or other obligations issued for the purpose of purchasing or otherwise acquiring the existing assets of the electric system and for paying stranded costs in one complete payment to an amount not-to-exceed $214 million, which amount may be increased annually by the Denver-Boulder-Greeley Consumer Price Index, and without limiting the authority of the utility to issue bonds or other obligations in any amount for all other lawful purposes in compliance with the Charter and other applicable laws, and without limiting the authority of the utility to pay stranded costs as a part of rates rather than as one complete payment; and limiting the underlying fees and other costs of issuance of the bonds to amounts paid by other similarly situated utilities; limiting the utility’s service area to an area supporting safe and reliable service to its customers; providing for elections at special or general elections; requiring the utility advisory board to advise the council on rate making; providing for customer choice for out of city customers; for out of city customers to be represented on the utility advisory board; and to provide that, if this ballot question receives more votes than all other initiatives which pertain to debt limitations or the adoption of a new Section 188 of the city Charter, then this measure shall become law and such other initiatives shall not be implemented?
- For the measure
- Against the measure
See Ordinance 7920 to refer 2E to the voters.
https://www-static.bouldercolorado.gov/docs/Ordinance_7920_Alternative_Ballot_Measure-1-201308271452.pdf
Measure 2E limits debt related to acquisition costs to $214 million, while allowing stranded costs to be paid for either in the $214 million or through utility rates. It allows customers living outside of the city to serve on the utility advisory board which recommends rates to City Council who then makes the final determination on utility rates. It ensures that brokerage fees are competitive without specifying any numerical limits. It also specifically allows elections on utility issues to be held at any general municipal or special election.
Recommendation: for
The city attorney cautioned against putting this measure on the ballot saying that the ballot language about an additional debt limit could open the door to a lawsuit. Perhaps the best thing is for both this measure and 310 to fail so there is no change to the current situation. The proposed section about the utility advisory board is worthwhile though, in my opinion. The other issues are primarily in direct response to 310 and would otherwise be mostly unnecessary.
Please note that the proposed amendment to Charter section 185 has language that is different from the language in measure 2G.
Website for the For side (Empower Our Future)
http://empowerourfuture.org/
Website for the Against side (Voter Approval of Debt Limits)
http://voterapprovalofdebtlimits.com/
City of Boulder Ballot Question 2E (Approved Ballot Language)
Electric Utility Amendments, $214 million acquisition debt limit and superseding other initiatives
Shall the Boulder Home Rule Charter be amended pursuant to Ordinance No. 7920, to limit the portion of bonds or other obligations issued for the purpose of purchasing or otherwise acquiring the existing assets of the electric system and for paying stranded costs in one complete payment to an amount not-to-exceed $214 million, which amount may be increased annually by the Denver-Boulder-Greeley Consumer Price Index, and without limiting the authority of the utility to issue bonds or other obligations in any amount for all other lawful purposes in compliance with the Charter and other applicable laws, and without limiting the authority of the utility to pay stranded costs as a part of rates rather than as one complete payment; and limiting the underlying fees and other costs of issuance of the bonds to amounts paid by other similarly situated utilities; limiting the utility’s service area to an area supporting safe and reliable service to its customers; providing for elections at special or general elections; requiring the utility advisory board to advise the council on rate making; providing for customer choice for out of city customers; for out of city customers to be represented on the utility advisory board; and to provide that, if this ballot question receives more votes than all other initiatives which pertain to debt limitations or the adoption of a new Section 188 of the city Charter, then this measure shall become law and such other initiatives shall not be implemented?
- For the measure
- Against the measure
See Ordinance 7920 to refer 2E to the voters.
https://www-static.bouldercolorado.gov/docs/Ordinance_7920_Alternative_Ballot_Measure-1-201308271452.pdf
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