Middle Fork Project

In 1962 Placer County voters overwhelmingly supported a bond measure to borrow $140 million to build a series of reservoirs, tunnels, and power stations called the Middle Fork Project.  In addition to water storage, this project generates electricity.  Currently PG&E is realizing all of the profit from electrical sales in exchange for operating the project and paying off our debt.  This will change in 2013 when the contract with PG&E expires.  If you’ve been hunting or camping by Hell Hole, or French Meadows you’ve seen part of the project.  If you’ve rafted the Middle Fork of the American River you’ve probably seen the Oxbow power station. 

In 1962 voters were promised that if they would borrow the money to build the project, when the debt was paid off, they would be entitled to the Millions of Dollars of revenue from power sales! The bond passed with 96% of the vote, that’s a ratio of 25:1!

Do you suppose voters would have supported the bond measure in such an overwhelming fashion if at all, if they were promised that county administrators could have bigger salaries, new taj-majal administrative buildings, glorious welfare programs, and pet projects for politicians.  Of course not; what voters were promised was an infrastructure project that would reduce our out-of pocket cost of government.

Even though PCWA owns the MFP, state law dictates that none of the power sale revenues can be spent without “APPROVAL” from the county board of supervisors.  The interpretation of this word “Approval” is what concerns me. The County and this board have cut a deal to divide the money in half, each one spending it however they want.  If we allow this to happen, revenues are going to be wasted on administrative salaries, administrative buildings, welfare programs, and the pet projects of politicians.

I’ve heard a couple of bureaucrats hiding behind the disingenuous claim that this deal cut between this agency and the county is, “the law” which is poppycock.  The law is very clear, I quote it here, “No contract for the sale of electrical energy shall be executed, nor shall any revenues received pursuant to any contract for the sale of electrical energy into after January 1, 1975, be spent, unless previously approved by the board of supervisors of the county.”   The law clearly and simply says that the county and PCWA must agree on how to spend MFP revenues.

We all understand that expecting this agency and the county to find consensus on the priority of specific projects is a recipe for disaster. But dividing the money in half with no restrictions on its use casts a shadow of suspicion on the intentions of the politicians and bureaucrats involved in this deal.  We can do better than this.  The slogan that appears under the PCWA logo on our strategic plan says, Water – Energy – Stewardship.  PCWA is a steward of the Middle Fork Project and its revenues, and the agency needs to exercise that stewardship on behalf of those it represents.

There is only one way to protect these revenues from being squandered by government, that is to secure the revenues to only be used on infrastructure projects to benefit Placer County.   All of us know enough about the nature of government that we insist specific fees and taxes be restricted to their intended use.  If we don’t want the revenues from the MFP wasted we should insist on the same for them. 

I can give example after example about why I am so concerned about these revenues being wasted and abused.  We all know the story of the gas tax.  We were promised new roads if we would agree to tax ourselves, it makes sense.  But where did the taxes go?  Not to roads, they went to the general fund of the state where the taxes were spent on everything but roads.

The only way to restrict the use of the Middle Fork Revenues is for the voters to decide.  Otherwise, future boards will be free to squander, waste, and give away the benefits of this county treasure.   Please join me in the fight to keep Middle Fork Project revenues out of the general fund!  Call me at (530)878-2038

I’ve posted some background information about the Middle Fork Project for those who would like to learn more.  Here is the link: http://benmavy.wordpress.com/middle-fork-project-background-information/