LAMAR—Progress at the Lamar repowering project continues to inch closer to completion said Lamar Light and Power Superintendent Rick Rigel Tuesday. The superintendent informed the utility board that a lube oil flush of the project is tentatively scheduled for August 25 and would be followed by a chemical clean boil out and steam blows in September as the project prepares to come online.

Rigel said E-Squared, a Denver based engineering firm, has been hired to serve as the electrical engineer during the commissioning of the plant. Representatives from the firm have been on hand at different points throughout the project and are well versed in the issues surrounding the commissioning said Rigel.

The board heard a report regarding funding options for the construction of the Willow Creek transmission line. During a recent Arkansas River Power Authority board meeting, an agreement with the city of La Junta to fund the construction of the line was approved. Under the terms of the agreement, the city agreed to fund up to $1.5 million for the project. The city would be paid back through a monthly credit to the La Junta power bill with interest being calculated based on what the city would have received had the money been invested in a CD.

Rigel suggested ARPA had considered “unbundling” transmission rate charges to its member cities. If this happens, the superintendent said it would raise the possibility Lamar Light and Power could enter into an economically advantageous agreement to help fund a portion of the transmission line in lieu of paying a wheeling fee for use of the line.

Currently transmission rates are added to ARPA power rates and divided evenly amongst member cities based on a per kilowatt hour rate. An unbundled rate would mean each municipality would pay the transmission cost for their power.

Rigel said if Lamar paid for the portion of the transmission line that would be used by the city based on historical transmission numbers, it may prove to be economically beneficial when considering the potential long-term cost savings.

The utility board requested further information concerning the financial viability of undertaking the venture.

The board approved a contract with Trinity Consulting, a Dallas, Texas firm, for the creation of a compliance manual system. The contract was tentatively approved pending legal review by the board’s counsel. The compliance manual system is intended to serve as a monitoring and compliance system for plant operation moving forward. Cost for the creation of the system is $45,000-60,000.

Other items approved during Tuesday’s LUB meeting included the purchase of a utility vehicle from Colorado Equipment for $7,580 provided the vehicle’s warranty is adequate, a routine line extension for Ron Peterson to property currently not being served, $761,673 in purchase orders and payment of bills totaling $817,962. $720,845 of the total bills was to ARPA for the purchase of power.

The Lamar Utility Board meets on the second and fourth Tuesday of each month. The meetings are held at noon in the Lamar Light and Power administration building on North Second Street.