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Council hears decade‑ahead pitch to extend Catawba power agreement to 2085
Summary
City staff and PMPA presented a proposal to renew the Catawba Project Power Sales Agreement so Westminster could participate in longer supplemental contracts; the proposed renewal would begin 08/01/2035 and extend term language to 07/31/2085. Council did not vote on the resolution at this meeting.
City staff and a representative of the Piedmont Municipal Power Agency told the Westminster City Council on Aug. 12 that the town must decide whether to join a renewal of the Catawba Project Power Sales Agreement to preserve long‑term supplemental power options.
Kevin (city staff) introduced the presentation and said the proposed renewal would begin Aug. 1, 2035, and carry contract language through July 31, 2085, effectively preserving an additional 50 years of contractual term. Joel Ledbetter, general manager at PMPA (on the phone), said the change is intended to “unwind” interdependencies between the primary Catawba agreement and the supplemental power sales agreement so participants have greater flexibility in marketing excess capacity.
The presenters framed the renewal as a precaution in a capacity‑constrained market. “In a capacity‑short market, availability surpasses affordability in your decision making,” Kevin said, arguing pausing on the matter could reduce Westminster’s ability to secure favorable long‑term contracts. The presentation noted PMPA owns 25% of Catawba Unit 2 and that the unit’s typical output was discussed as context for Westminster’s share.
Council members asked technical questions about timing, tax consequences and how unclaimed participant shares would be handled under the new exhibit language. Joel Ledbetter said the renewal removes fixed participant percentages from the public exhibit because not all participants will sign and PMPA will market any unclaimed shares, with proceeds credited back to participants’ bills.
No final council vote on the resolution was taken at the Aug. 12 meeting; staff said a resolution is in the council packet for later consideration. The council recessed for a five‑minute break after the presentation.
Next steps: staff and PMPA told council that a resolution to adopt the renewal appears in the meeting packet for future action; council members did not move to adopt the renewal at this session.
