City of Oak Creek

Common Council Report

Meeting Date: January 16, 2007

Item No.:        

Recommendation:  That the Council support the State Legislation’s adoption of the provisions formally introduced as AB-818 concerning payments made to municipalities that host electrical generation facilities, and to allocate funds not to exceed $27,000 to lobby the support for this provision in the 2007-2009 biennium State Budget.

Background:  AB 818 was introduced in 2005 but failed to leave the Joint Finance Committee with an affirmative vote.  The provisions of AB 818 are scheduled to be inserted into the 2007-2009 State biennium budget.  The provisions are very favorable to the future shared revenue received by the city of Oak Creek as the host of the WE Energies base load generation facility. 

City of Oak Creek is on record in support of AB 818 in a letter dated January 13, 2006 to the State Assembly Committee on Energy and Utilities.  The provisions of the Bill remain the same, but would be introduced as part of the budget bill rather than introduced independently. 

George Petak and the firm of Whyte, Hirschboeck & Dudek would lobby on behalf of the city of Oak Creek for the adoption of the budget bill that would include the shared revenue provisions.  He estimates the scope of the work between January 2007 and June 2007 is not to exceed $26,875.00. 

Fiscal Impact:  Adoption of this Report would support the adoption of AB 818 provisions in the next State biennium budget and to allocate not to exceed $27,000 from Fund 19 – WE Energies mitigation fund. 

Respectfully prepared and submitted,

Patrick DeGrave

City Administrator

Fiscal review by:

Beverly A. Buretta, CMC

City Clerk

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