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TOP STORIESOctober 1, 1997
Reduction in rates has catchBy GREG HARMAN Staff Writer PECOS, October 1, 1997 - Captive ratepayers may bear the burden of Texas-New Mexico Power Company's "stranded costs" in the move to electric power competition. Recently, the city council voted, despite contrary advice issued by the City Attorney Scott W. Johnson, to support a plan by Texas-New Mexico Power Company to make preparatory moves in anticipation of the deregulation of the power utility industry. Johnson advised the council at the Sept. 11 meeting that, according to his sources, the "city would benefit more if it did nothing." However, in a motion led by Councilman Randy Graham and seconded by Councilman Danny Rodriguez, the city adopted an ordinance in support of the transition plan that stated the "concepts set forth by the Texas-New Mexico Power Company are fair and reasonable and in the best interest of the City and its citizens." "There wasn't anything binding about (the ordinance)," said City Manager Kenneth Neal, "We're merely supporting their efforts." According to TNMP Senior Vice President and Chief Customer Officer Jack Chambers these efforts by the power company are being made because TNMP wants their customers "to realize price reductions immediately, as opposed to waiting on them being part of a legislative mandate in a few years." Attorney Geoffrey Gay, of the Austin law firm Butler, Porter, Gay and Day, said that the position of his firm is that they "needed to see some strong indications" that TNMP would be sharing the bill of the stranded costs. As the plan stands, Gay said, the ratepayers are responsible for recovery of 100 percent of the costs. "There is only a contribution (to recovery of the stranded costs) from TNMP to the extent that you believe they are entitled to a rate increase," Gay said. "There would be natural rate reductions if nothing were done," he said. According to Gay, establishing a fixed rate at its current high level and offering small reductions (the proposed six percent decrease) would not benefit the consumers, but would costitute a rate increase. The Transition-To-Competition plan, filed with the Public Utility Commission of Texas on July 31, 1997, promises a series of rate reductions for customers over a five year transition period that would total about six percent off the base rate by Jan. 1, of 2002. They also propose to offer individual customers the choice of their power providers (TNMP will remain the deliverer) at the end of the transition period. This plan differs from TNMP's Community Choice plan (which was filed in 1996 and later abandoned) mainly in who is asked to pick up the bill for TNMP's significant economic import, or: stranded costs. In the Community Choice proposal shareholders were to pay for the stranded costs. Under the current plan, that burden has fallen on the captive ratepayers. According to TNMP, they need to recover these stranded costs in order to compete in a de-regulated environment. The Transition-to-Competition plan provides the company with time for that opportunity. But ratepayers won't be alone in this burden. According to Valerie Smith, TNMP Media Contact, the recovery of stranded costs is "shared responsibility" between the company, the shareholders and the ratepayers. Stranded cost is the difference between the cost of producing electricity at TNMP and what purchasers of electricity in a competitive marketplace will be willing to pay for power, according to TNMP officials. "Obviously we don't want the customers to pay for the whole thing," said Smith. Smith said the proposed earnings cap on company earnings would affect the shareholders. "But most shareholders are worried about the uncertain situation (in the power industry) and prefer to know the downside up front. Texas-New Mexico Power, which according to Smith generates 40 percent of the energy it provides, is in a good position owning a coal plant. The Office of Public Utility Counsel projects that for the period of 1996-2003 the price of delivered coal will decrease by 0.4 percent. All other fuel prices are projected to rise: fuel oil by 3.4 percent; natural gas by 1.4 percent; and uranium by 1.6 percent. Recent legal changes have also encouraged the growth of Independent Power Production (non-utility power stations). According to Leslie Kjell Strand of the Public Utility Commission of Texas, once competition becomes reality in Texas companies that supply power, but don't generate, may be your power provider. IPP's may buy from the wholesale market and sell at retail prices. If TNMP were to sell off their only existing power plant, they would be in a profitable position should the power industry be deregulated. In New Mexico, they have already adopted a similar version of Community Choice. There is a three year transition period in which rates will be frozen. The transition period began on May 1, 1997. According to the Public Utility Counsel, "Whether such market structure changes benefit or harm the average ratepayer will depend upon the consumer protections enacted by law or regulation that accompany any transition to a more competitive structure."
Cooks lined up for annual barbecueBy ROSIE FLORES
"Some people usually wait until the last minute to sign up, but they
Pecos High School Homecoming ActivitiesPECOS, October 1, 1997 - Today: Crazy Hair Day. Spook their spirits day. Thursday: '70s/Disco Day. Freak 'em out day (Le Freak). Homecoming Parade. Lineup at 4 p.m. at Pecos High School. Parade begins at 4:30 p.m. Homecoming Bonfire. 8:30 p.m., at the old landfill. Friday: Tradition Day. Wear your purple and gold day. Pecos Eagles vs Kermit Yellowjackets. Home game begins at 7:30 p.m. at Eagle Stadium.
Most rigs operating in Reeves Co. since 1980By CARA ALLIGOOD Staff Writer PECOS, October 1, 1997 - There are currently five oil wells being recompleted or redrilled in Reeves County, which is the most since 1980, according to Susan Wimberly of Cravey Brothers Inc. She said that there are 7,000 wells in Reeves County at last count, but most are re-entries on old wells. Some are gas wells, and some are oil wells with pump jacks on them. John Dorr, a specialist in petroleum land management, said, "It's a lot of wells for Reeves County." Dorr credits recent seismographic testing with the increased oil field activity in the area. He said that Burlington Northern and other companies have been doing a lot of seismographic work, and positive prospects from the testing have brought business here. "With the new technology in 3-D seismic and horizontal drilling, it's going to do the industry a lot of good," Dorr said. Dorr also said that four horizontal rigs have been drilled in Reeves County. The rigs are in the process of being completed and production tested. "I imagine there's going to be several more real soon," Dorr said. Rattlesnake bites are serious businessBy GREG HARMAN Staff Writer PECOS, October 1, 1997 - A four-year-old child's recent run-in with a rattler in Monahans has caused concern over a possible increase in rattlesnake activity. However, hospitals in Iraan (Hospital of Pecos County) and Ft. Stockton (Pecos County Memorial Hospital) report no rattlesnake bites recently. Here in Pecos at the Reeves County Hospital, they report a couple of bites within the last couple weeks. But, according to Infection Control Nurse Iris Rives, there has been no unusual increase. She did say that changes in the weather do affect the snakes. Rives offered tips on what to do if someone is bitten by a rattlesnake. Get the bitten person to the hospital as quickly as you can. If possible, collect the snake for positive identification - remember, the head of a decapitated rattler has a reaction time of up to an hour and may bite again, she said. Immobilize the bitten part as if it were a fractured bone, and hold it below the level of the bitten person's heart. Remove rings or any other constrictive items and do not use a tourniquet. Also, Rives said, "Do not apply ice. If the distance to the hospital is greater than two hours you may use suction on the wound, but do not incise." If you are unable to reach a hospital within two hours, wrapping a bandage over the wound may help, but do not wrap it too tightly. Remember, a rattlesnake bite is serious business. The four-year-old child biten by a rattler in Monahans recovered but had to undergo three surgeries to remove swelling caused by the bite. Bids come in too high for PHA renovation projectBy ROSIE FLORES Staff Writer PECOS, October 1, 1997 - Bids from contractors for a major project planned for the Pecos Housing Authority apartments were opened Tuesday afternoon. PHA was awarded a grant from Comprehensive Improvement Assistance Program (CIAP), to do major renovations to apartments located on the south side of town and the elderly apartments located on Second Street. "All of them were overbid," said Edward Vaughn, of Vaughn Architects Plus. Vaughn is the architect currently working on this CIAP project and has worked with others in the past. "What I'm going to do now, is talk to HUD, to see if they'll permit me to negotiate with Master's Builders and get them to do the work," said Vaughn. "We're only eight percent over the budget," he said. Master's Builders Construction Co., of Midland, was the closest bidder to the amount assigned for the contracting part of the project. The amount set aside for contractors was $1.1 million. Vaughn stated that he would have more information for the group at the next regular meeting. The meeting following the opening of the bids was cancelled due to the fact that a decision would not be rendered, until Vaughn can talk to HUD about the problem.
Women steal another woman's identityTYLER, Texas (AP) October 1, 1997 - Amanda Snyder was in an automobile accident last May - but that wasn't nearly the end of her troubles that day. The 22-year-old Tyler woman also lost her purse, along with her driver's license, her checkbook, her Social Security card and credit cards. Two other Tyler women were arrested Tuesday on felony theft charges. They're suspected of opening credit accounts and purchasing at least $10,000 in merchandise in recent weeks, using Ms. Snyder's identification. April Renee Holder, 19, and Deborah Ann Casey, 33, virtually stole Ms. Snyder's identity, Tyler police said. The two women were arrested as a result of a tip to the Tyler-Smith County Crimestoppers, but not before Ms. Snyder's credit was virtually destroyed. Credit accounts in Ms. Snyder's name were opened throughout East Texas and in Dallas, police said Tuesday. "This is a real tragedy," Tyler Police Public Information Sgt. Terry Morrow said. "She's got years ahead of her before she can restore her credit, even though none of this is her fault." Copyright 1997 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Lubbock air base closesLUBBOCK, Texas (AP) October 1, 1997 - The military has ended its 56-year presence on the South Plains with the closure of Reese Air Force Base, which will undergo a conversion into a commercial park. "Reese Air Force Base may be closed, but her legacy lives forever," said Col. Kodak Horton, the 33rd and final commander here, during the inactivation ceremony Tuesday. The 3,000-acre facility on the western edge of Lubbock henceforth will be called Reese Center. The Air Force Base Conversion Agency will remain to clean up some environmental contamination left over from the military mission. Once that's done, the Lubbock-Reese Redevelopment Authority will market the facility to businesses. Only about 230 workers remained as of Tuesday instead of the 2,500 military and civilian personnel who worked there when the Base Closure and Realignment Commission doomed Reese in a 1995 vote. The base was estimated to have had a $201.2 million annual economic impact on the city. However, a strong national economy, good recent cotton crops and growth in other sectors have counterbalanced the base's gradual closure. Officials hope to turn the tree-lined base into a viable commercial center west of town. Copyright 1997 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Texas schools spent $80 million on securityDALLAS (AP) October 1, 1997 - The cost of making Texas schools safer reached $80.6 million last year, and the extra spending may be working, figures compiled by the Texas Education Agency show. The spending on police, metal detectors and other security measures breaks down to roughly $21 per student, according to The Dallas Morning News' editions Tuesday. "The public made it clear that they want safe schools in Texas and the message has gotten through to local school boards and the Legislature," said Dallas school administrator Robby Collins, a school finance expert. "That is why we are seeing more money than ever being spent on school security." Houston's $7.5 million on security was the most in the state. San Antonio had the highest rate at $77 per student. Fort Worth was second in both categories at $4.9 million overall and $65 per student. In some urban districts, security spending was about the same as on extracurricular activities. Dallas' per student rates were $36 for security and $41 on student activities. In Houston, the figures were $36 for security and $35 on sports and all nonclassroom activities. A 1996 state summary of criminal offenses in public schools shows a decrease in most categories. During the 1995-96 school year, 547 firearms were seized from students, a drop of 35.7 percent from the previous year. Also, 5,071 other weapons were confiscated, a 40.7 percent decrease. "There is no doubt the number of guns coming on campus has been dropping annually for the past few years," said Bruce Marquis, chief of police in the Houston school district. Assaults against students and teachers were also down. Attacks against students in schools totaled 47,942 (down 5.8 percent) and against teachers totaled 4,112 (down 34 percent). However, acts of vandalism and criminal mischief against school and student property soared, and student arrests for alcohol and drug offenses were up 45 percent. Incidences of school-related gang violence remained unchanged in the 1995-96 school year. State lawmakers are paying attention to the increase in security spending and will scrutinize the subject over the next several months. "We want to look at whether the state should become more of a partner with the schools in protecting students," said Senate Education Committee Chairman Teel Bivins, R-Amarillo. Copyright 1997 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
WEATHERPECOS, October 1, 1997 - High Tuesday, 99, low this morning, 66. It's going to be more like summer than autumn across Texas through the rest of the week, forecasters say. It will be fair to partly cloudy across West Texas. Lows tonight will be in the 50s and 60s. Highs Thursday will be in the 80s and 90s. Do you like our new format?E-Mail us with your commentsWhat type and version browser do you use? How often do you read the Enterprise online? E-Mail to: news@pecos.net San Angelo Standard Times Abilene Reporter News Fort Worth Star-Telegram Dallas Morning News Texas Press Association Weather National News
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