TRANSMITTAL LETTER FOR BOARD MEETING OF FEBRUARY 21, 2008
COMMITTEE ON MAINTENANCE AND OPERATIONS
Mr. Richard Lanyon, General Superintendent
Title
Report on formation of a coalition, REACT, to represent electrical users interests before the Illinois Commerce Commission in ComEd delivery rate proceeding, ICC Docket No. 07-0566.
Body
Dear Sir:
The Chief of Maintenance and Operations recently learned that ComEd has filed a rate case with the Illinois Commerce Commission (ICC) proposing an increase in distribution charges. The case is filed under ICC Docket #07-0566. The initial round of testimony was presented February 11, 2008, and the final order by the ICC is due by September 2008. If ComEd’s request for an increase is approved, the District’s electricity expenditures may increase by an estimated amount of approximately $1,200,000.00 annually.
It is recommended that the District oppose the proposed increase pending before the ICC. A coalition called REACT (Request Equitable Allocation of Costs Together) was formed by ten members of NEU (Northern Illinois Energy Users), an ad hoc association of some of the largest industrial, commercial and institutional energy users in the Chicago area, who will all be adversely affected by the proposed increase. Some of the joining NEU members include the City of Chicago, United Airlines, PDV Midwest Refining LLC and Integrys Energy Services, Inc.
The coalition has retained the law firm of DLA Piper US LLP (DLA Piper) to represent it in the ICC proceedings. DLA Piper is an international law firm with over 3,600 lawyers in 25 countries. Christopher Townsend will take the lead in the case. Mr. Townsend has extensive experience in representing large commercial users before the ICC. Mr. Townsend will be assisted by one or more lawyers in the firm that also have an expertise in energy law.
In view of the foregoing, it may be prudent for the District to join the REACT coalition. As this matter progresses, we may request Board authorization and funding to join REACT. Please advise the undersigned if additional information is required.
Respectfully submitted, Osoth Jamjun, Chief of Maintenance and Operations, MPS/SO’C/MAG