Plan hinges on vote

March 4, 2007

By Russell Stigall

Frontiersman

MAT-SU - After more than 60 years as a cooperative wholesale power purchaser, Matanuska Electric Association has proposed a new course as a power producer.

This new course, approved by the current MEA board of directors, is tentative, pending the outcome of the ongoing MEA board of directors elections in March.

The elections come on the heels of Matanuska Electric's public announcement to build its own coal and gas generators to supply electricity to the Mat-Su Valley and Chugiak-Eagle River areas.

Several board candidates believe this new role for MEA, one of self-sufficient power production, to be misguided and counter to ratepayers' best interests. A balloting outcome that results in the election of at least two candidates of this mindset could change the course of MEA's future power scheme.

&#8220The board can always change the course of MEA,” said Tuckerman Babcock, MEA's director or human resources and corporate affairs. &#8220The board sets the policy of MEA.” But the board would have to weigh the costs of making such a change, he said.

Once elected, new board members do not take their seats for nearly six months, a possible roadblock to putting the brakes on MEA's coal and gas projects.

Peter Burchell is a minority voice on the MEA board. In the months before new members could take their seats, the current board could sign contracts.

&#8220They are very good at controlling things,” Burchell said, of management and the board majority.

Current MEA board members are officers Lee Jordan, president, Larry DeVilbiss, vice president, and Dallas W. Massie, and members David Dahms, Lois Lester, Linda Shattuck and Burchell.

Candidates for the Eagle River district seat are Will Alteneder, David Glines, Alfred J. Romaszewski and Tom Staudenmaier. Running to represent the Palmer district are incumbent DeVilbiss and Dan Tucker. Wasilla's district seat candidates are Katie Hurley and incumbent Massie.

Candidates DeVilbiss, Massie, Romaszewski and Glines did not return several phone calls seeking comment for this story.

Palmer district candidate Dan Tucker said MEA's power production plan is one of the key reasons he is running for the board. He said he doesn't like the fact that many decisions about the plan have already been made, without member input.

&#8220MEA has an attitude that, by God, they are going to do whatever the hell they want to do,” Tucker said. &#8220Time to get rid of the attitude.”

The co-op has to figure out a new way to come up with power when it turns on the switch come 2015, when MEA's contract runs out with Chugach Electric, Tucker said.

&#8220MEA can get coal in by 2015, but the co-op should have asked its ratepayers, ‘Do we want to do it,'” Tucker said.

Tucker contrasted MEA's current go-it-alone attitude with that of the Railbelt's fire services.

&#8220I worked 29 years in the Anchorage Fire Department. If anything catches fire between Seward and Fairbanks, the fire departments work together,”

he said.

In the same cooperative nature, Tucker said he believes there should be a coalition of the Railbelt cooperatives.

&#8220If we could get past this attitude, I'll bet we could work something out,” he said.

Tucker said ratepayers would have to look no further than the questions MEA asked the candidates to uncover the co-op's contentious attitude.

&#8220Have you had any contact with representatives or employees of the International Brotherhood of Electrical Workers in the last six months? Have you had any contact with representatives or employees of MEA's wholesale power supplier, Chugach Electric, in the last six months?” the candidates were asked.

These questions, Tucker said, are antagonistic toward IBEW and Chugach Electric. He said he felt board members could not properly do their jobs unless they have a close working relationship with both IBEW and Chugach.

Katie Hurley has come out of retirement to run as a Wasilla district candidate.

In regard to MEA's future electrical needs, Hurley said she thinks it is most important to get members the best price.

&#8220So either by working with Chugach or someone else, the best rate is what is important,” Hurley said.

However, when it comes

to MEA's own coal and gas

generators, Hurley said she doesn't think the co-op's members have been given enough information.

&#8220[MEA] needs to present more of the plan to the public. We are the stockholders. This is a co-op, and [members] need to know everything so that they can say this is the best thing,” she said. &#8220And we didn't get all that information.”

The information referred to by Hurley is the 76-page executive paper describing MEA's future power production, of which only a 10-page summary was released to ratepayers.

She said she would insist that MEA conduct open meetings and that executive sessions be used only for the reasons that the law says.

Hurley said her candidate statement in MEA's election brochure was truncated, mid-sentence. The full statement reads &#8220I stand on my reputation of being fair and ethical. I understand and believe in the cooperative concept. I take pride in being one who listens to all sides of an issue. You can trust me to fight for what is best for MEA members,” Hurley said.

As co-founder of Staudenmaier Electric Merger Committee, Eagle River candidate Tom Staudenmaier has plans for MEA's future that are a bit more radical. He said he doesn't agree with MEA's power production plans.

&#8220There needs to be some changes in the utility business, and it doesn't call for building new power generation,” he said. &#8220My recommendation is kill those power plants.”

Members may vote by returning mail-in ballots or in person at MEA's annual membership meeting March 17.

The meeting will be held at Colony High School.

Registration starts at 12:30 p.m., and the meeting begins at 2 p.m.

Contact Russell Stigall at

352-2267 or russell.stigall@ frontiersman.com.