Juneau -- In a broad display of support, the House approved House Concurrent Resolution (HCR) 10 on Tuesday May 11, 1999. Representative Alan Austerman (R-Kodiak) introduced this resolution to bring all parties back to the table for divestiture talks.

The State of Alaska acquired land and constructed four hydroelectric facilities in the mid 1980's. These projects are commonly referred to as the Four Dam Pool. The Alaska Energy Authority owns these projects and is party to a 45-year power sales agreement (PSA) with local utilities or cooperatives serving the communities of Kodiak, Port Lions, Wrangell, Petersburg, Ketchikan, Glennallen, and Valdez.

The State of Alaska retains significant liabilities relating to the PSA. By selling these power projects the state will not only be released from this legal obligation, but the sale to local ownership should alleviate concerns about long-term operations. "It is my hope that local ownership of the projects will result in rate reductions, cost control and protection of the quality of service," said Austerman.

Representative Austerman went on to say, "The State has divested maintenance of roads and the ownership of boat harbors to the local communities. It makes perfect sense to divest the Four Dam Pool to the local communities."

In Kodiak, local ownership has been supported by the City of Kodiak, the City of Port Lions, the Kodiak Island Borough, the Kodiak Chamber of Commerce, and by the Kodiak Electric Association.

HCR 10 next goes to the Senate for their consideration.

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