By Gretchen Wehmhoff
The Borough Assembly special meeting on Jan.3 addressed a proposed rate increase by Goat Lake Hydro and AP&T included in a notice from the Regulatory Commission of Alaska (RCA)
Citizens at the meeting expressed frustration over a 70% increase, citing “mismanagement and corporate greed.”
During his testimony, resident Tim Bourcy spoke to the dependency on Skagway and the burden placed on the community. He believes that AP&T, in requesting the increase, doesn’t consider needs of the community.
“Do you think this company gives a rat’s a** about year-round businesses in this community, no, they don’t. It’s about their profits, and it’s about them, you know, staying whole. The reality is, we aren’t going to be whole. Skagway has been used as the as the cash cow for everyone, for fuel, for freight, for everyone for a long time,” Bourcy said.
During the meeting, borough attorneys highlighted that the increase is driven by costs from a subsea cable repair project. Assembly attorney Robin Brena suggested that after initial review of the filing, the subsea cable that was damaged and needed repair was underinsured, and that part of the hike in rates could be to recoup losses. He also suggested there was a change in capital structure.
They, Brenna and attorney Jake Stacy, recommended hiring a rate expert and submitting a protest to investigate the filing. The motion passed the assembly unanimously, directing staff to submit a protest and petition to intervene, ensuring thorough review and public comment before the extended January 24 deadline.
The Alaska Regulatory Commission (RCA) sent public notices regarding the rate increase request on Dec. 20 to at least three newspapers in the area to advertise the Jan. 6 comment period deadline.
Becki Alvey, Advisory Section Manager for RCA said neither Upper Lynn Canal papers could publish in time for the original January 6 comment deadline. The Juneau Empire who was able to publish the notice two days prior to the deadline date, but the state office decided that wasn’t enough time.
Missing publication deadlines for public notices in local papers has happened before.
During the last rate increase, RCA didn’t advertise in The Skagway News or the Chilkat Valley News. Reporting from both papers discovered that the public notices were published in the Juneau Empire and the Peninsula Clarion on the Kenai Peninsula. Both Juneau and Kenai (approximately 1000 road miles from Skagway) do not receive AP&T services. Skagway challenged that rate increase as well.
This time, The RCA received requests from the Municipality of Skagway and Skagway Traditional Council to extend the public comment period. The RCA reviewed the requests and extended the public comment period to January 24. A new public notice was issued January 2 and mailed out. Alvey did not say where they were mailed. The Skagway News did not receive the new notice.
The timeline for decision on the filing by Goat Lake Hydro is due Feb.3.
Alvey says the RCA currently has a rule-making docket open (R-24-002) to consider possible changes to our public notice practices and regulations.
