HydroElectric plant still needs operating license
By Jo Ann Hustis
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jhustis@morrisdailyherald.com
MARSEILLES - Finance Commissioner Bob Davis is urging residents to a letter or e-mail campaign aimed at licensing and restarting the Marseilles HydroElectric generating plant.
"Asking the Federal Electric Regulatory Commission to grant the operating license to North American Hydro," Davis said Wednesday during the bi-monthly meeting of the Marseilles City Council.
The deadline for the communications is Saturday, Aug. 15.
The campaign is in response to the city's having applied to FERC for the license the first day of filing on May 20, but hearing nothing in return. The historic plant has not operated since 1988. With the plant back in operation, the city stands to gain an estimated $35,000 annually in royalties under partnership with NAH, of Neosha, Wis.
During the meeting, Davis made available to the public copies he created from a posting on the Internet by Marseilles Land & Water Power Company, one-time owner of the vintage generating station. Davis told the council the information in the posting was "an insult to the intelligence of Marseilles residents."
"Read this and get some idea of why we don't want them here," he said of the posting.
Marseilles Land & Water Company was founded in 1867 and purchased in 1903 by Boy Scouts of America founder W. D. Boyce of Ottawa and Marseilles.
The ML&WC posting indicates North American Hydro created the "Marseilles myth" about a 200-foot section of concrete retaining wall which weakened and collapsed into one of two raceways, or canals, on April 20, 2000. The raceways channel water from the Illinois River to the plant to turn the generators and produce electricity.
"NAH's owners and agents have successfully demonstrated the axion that 'the bigger the lie and the more often it is repeated, the more likely it is to be believed and confused with the truth,'" the posting reads.
"For its own self-serving business purposes, NAH has asserted, and curiously, individuals who have absolutely no factual knowledge of the business records of the Marseilles Land & Water Company, have blindly embraced and parroted the following NAH distortions of truth and history."
The posting lists what it alleges to be four NAH distortions, including that ML&WC was "obligated to make repairs to certain civil structures that it owned and had refused to spend the money to make repairs to its own property."
Also, that ML&WC owned "certain civil structures that eventually collapsed," but "undertook no actions to repair certain civil structures after they collapsed in April 2000."
Additionally, that ML&WC was "responsible for preventing NAH from pursuing its business opportunities because ML&WC initiated protracted litigation that thwarted NAH from conducting its business for several years."
The posting adds that the "following narrative is presented to educate those individuals who are interested in the real story and want to separate fact from fiction."
"It is a recitation of historical facts and events that are supported by evidence and proof," the posting concludes. "The narrative discloses the truth about certain aspects of the history of the ML&WC which refutes NAH generated propaganda."
Davis reminded the council of court litigations involving the collapsed raceway and previous judicial rulings in favor of NAH and against ML&WC.
"A camelion tends to change it colors, but when done, it's still a camelion," said Davis.
Marseilles voters in the November 2008 election agreed 3-1 to the repair and restart of the historic hydroelectric power plant by NAH in a partnership with the city of Marseilles.
The vote was 1,625 in favor and 594 opposed. The ML&WC had campaigned long and hard for voters to reject the proposed partnership.
The approval meant the city is to own the facility and land associated with it. NAH is to lease the plant from the city, repair and maintain the raceway wall, install the most efficient turbines, and rebuild and operate the power plant.
The city is not financially involved in the restart, but will be the licensee if FERC grants the operating facility. In return, the city is to receive 1 percent of the annual gross revenues produced by NAH - about $30,000 to $35,000.
ML&WC also filed a similar application with FERC. This is although the company no longer owns the land, either raceway, or the generating station, as per court order.
Historically, NAH dewatered the raceway in 2000 when the company was licensed by the FERC to operate the plant with part of the water from the North Raceway, then owned by ML&WC. Part of the wall collapsed. ML&WC refused to cooperate with NAH to restore the raceway.
NAH next filed for eminent domain against ML&WC to obtain the property and do the restoration. ML&WC fought the condemnation for years. The court eventually awarded NAH title to the raceway.
ML&WC then applied to FERC for a license to operate a power plant with the other half of the water flow in the North Raceway.
Following the April election, Davis noted the amount of publicity the referendum generated in the previous month or so.
"There were a lot of half-truths spread around, and these made NAH look pretty bad," he said then. "Upon examination of the full truths, they made the half-truths look pretty bad."
Indications are that FERC usually takes up to six years before deciding an application. An expedited license, such as the NAH filing, can take as little as about 18 months. Other private individuals and companies can also seek the license.
Streets Commissioner Cheryl O'Brien told the council Wednesday the city needs the Marseilles Hydro to be up and operating "more than ever."
"It's been one legal battle after another," she said of the court proceedings involving the generating station. "Apparently it's not over. Marseilles Land and Water Company is being the bullies on the block."
Letters are to be addressed to Miss Kimberly B. Bose, secretary; Federal Energy Regulatory Commission, 888 First St. N.E.; Washington, D.C., 20426. All correspondence must include the following: REGARDING FERC Project No. 13230 Marseilles HydroElectric Project, Marseilles, La Salle County, Illinois, 61341.
Residents may file their request by going on line at http://www.ferc.gov/for-citizens/get-involved.asp
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