Senate Resolution 7 - Reprinted SENATE RESOLUTION NO. 7 BY BARTZ , JOHNSON , KETTERING , HAHN , SODDERS , BEHN , RAGAN , HAMERLINCK , BACON , KIBBIE , GRONSTAL , SCHOENJAHN , RIELLY , KAPUCIAN , BOETTGER , FEENSTRA , BEALL , CHELGREN , HANCOCK , WILHELM , SEYMOUR , DANDEKAR , McKINLEY , ERNST , FRAISE , and SORENSON (As Amended and Passed by the Senate April 7, 2011 ) A Resolution urging the nullification of rules adopted 1 by the United States Environmental Protection 2 Agency relating to national emissions standards for 3 hazardous air pollutants for reciprocating internal 4 combustion engines. 5 WHEREAS, the United States Environmental 6 Protection Agency in March 2000 finalized national 7 emissions standards for hazardous air pollutants for 8 reciprocating internal combustion engines which took 9 effect in May 2010; and 10 WHEREAS, the rules would have a devastating impact 11 on Iowa’s municipal utilities due to the fact that the 12 municipal utilities collectively operate 287 diesel 13 electric generators with a combined nameplate capacity 14 of 548 megawatts; and 15 WHEREAS, these rules impact 67 utilities that serve 16 a total of 106,000 customers with an average of 1,560 17 customer meters per utility; and 18 WHEREAS, Iowa’s municipal electric utilities 19 operate diesel generators both to be able to keep the 20 lights on when transmissions lines are downed by ice, 21 wind, floods, or other natural disasters or man-made 22 -1- SR 7 (7) 84 tm/nh 1/ 3
S.R. 7 emergencies, and to meet the obligation to own or buy 23 reserve capacity; and 24 WHEREAS, the rules allow a municipal electric 1 utility to run diesel generators in an emergency, but 2 effectively take away the ability of a small community 3 to afford them by prohibiting the receipt of payment or 4 credit for reserve capacity; and 5 WHEREAS, the diesel generators run only a few hours 6 a year, with averages ranging from 14 to 46 hours 7 depending on power supply arrangements; and 8 WHEREAS, the application of the rules requires that 9 each of these engines either be retrofit, replaced, 10 or removed, resulting in huge cost increases to the 11 citizen owners of these utilities in the form of rate 12 increases and lost capacity; and 13 WHEREAS, the cost estimate if all 287 diesel 14 generators were to be retrofit for compliance over a 15 10-year period is $36 million, which is an average cost 16 of $34.14 per year per customer with costs as high 17 as $203 per year per customer or more, and such cost 18 estimates would increase beyond this amount if diesel 19 generators are replaced or taken out of service; NOW 20 THEREFORE, 21 BE IT RESOLVED BY THE SENATE, That the United States 22 Environmental Protection Agency is urged to rescind 23 the national emissions standards for hazardous air 24 pollutants for reciprocating internal combustion 25 engines; and 26 BE IT FURTHER RESOLVED, That Iowa’s Congressional 27 delegation is urged to take action to nullify the 28 -2- SR 7 (7) 84 tm/nh 2/ 3
S.R. 7 rules; and 29 BE IT FURTHER RESOLVED, That the Secretary of the 30 Senate shall forward a copy of this resolution to 1 the Administrator of the United States Environmental 2 Protection Agency and all members of Iowa’s 3 Congressional delegation. 4 -3- SR 7 (7) 84 tm/nh 3/ 3