1984-42 Supporting Congressional Senate Bill 1300 Which Would Amend The Rural Electrification Act.KODIAK ISLAND BOROUGH
RESOLUTION NO. 84 -42 -R
A RESOLUTION OF THE KODIAK ISLAND BOROUGH ASSEMBLY SUPPORTING
CONGRESSIONAL SENATE BILL 1300 WHICH WOULD AMEND THE RURAL ELECTRIFICATION ACT.
WHEREAS, the House of Representatives overwhelmingly passed H.R. 3050
by a vote of 283 to 111, and the Senate will act on the same measure under
5. 1300, and
WHEREAS, the Rural Electrification Administration approves loans to
rural electric systems of approximately $850,000,000 a year and this bill
would keep the REA from running out of money around the year 2,000, and
WHEREAS, the bill, known as the Rural Electrification and Telephone
Revolving Fund Sufficiency Act of 1983, would allow increases in the interest
'rates on Revolving Fund loans, to about six or eight percent, in order to
'balance interest income with interest expense which is a sound compromise that
'will help prevent further consumer rate increases, and
WHEREAS, the Administration opposes Senate Bill 1300 and seeks
legislation to more than double interest rates by raising them to a level equal
to Treasury borrowing, impose user fees to cover the REA administrative costs,
sharply reduce rural electric loan levels, and adjusting loan ratios to require
increased outside financing, and
WHEREAS, this would place an even greater burden on rural electric
systems and their consumer, whose rates are already 14.5 percent higher, on the
'average, than those of their urban neighbors.
NOW, THEREFORE, BE IT RESOLVED by the Kodiak Island Borough Assembly
that the Senate pass S. 1300 in the form passed by the House of Representatives
as a
ATTEST:
sound compromise that will help prevent further consumer rate increases.
BE IT FURTHER RESOLVED that copies of this resolution be forwarded to:
The President of the United States
The Honorable Ted Stevens, United States Senate
The Honorable Frank R. Murkowski, United States Senate
The Honorable Donald E. Young, United States House of Representatives
PASSED AND APPROVED this 3rd day of May , 1984.
borough Clerk (Acting)
KODIAK ISLAND BOROUGH
By/ (172e �c�fcf
Acting B ough Mayor