The Missouri Public Service Commission (PSC) has scheduled a hearing for today and Thursday in Jefferson City for St. James Municipal Utilities and Rolla Municipal Utilities.
The cities seek approval of the commission to allow AmerenUE authority to sell and transfer portions of its electric distribution system.
Both St. James and Rolla plan to purchase the Phelps County substation and connecting transmission lines. After Rolla vacates the station, St. James would be the sole owner of the substation and its transmission lines.
The commission has received an opposition to the case from the intervention of Donna D. Hawley, filed on April 26.
St. James Mayor Dennis Wilson explained the City of St. James had received documents last week which stated the Public Service Commission had dismissed the opposition's cause.
However, the Office of Public Council requested the Public Service Commission reconsider the opposition.
Wilson explained Ameren must state its case to the commission concerning the following question “Is the sale of this property detrimental to the public customers of Ameren?”
Ameren is a Public Service Commission regulated business, Wilson noted. Since St. James and Rolla are not regulated by the commission and are wholesale distribution customers of Ameren; Ameren must provide evidence to prove the transaction un-detrimental.
Wilson said if the PSC sides with Ameren it would be beneficial to the city immediately.
“This would be a good thing for the city's standpoint,” Wilson said. “What we pay for in monthly user fees to Ameren goes away.”
Wilson said the city pays Ameren approximately $7,000 a month in user fees for the substation and transmission line usage.
If PSC sides with Ameren, the monthly savings would go toward the substation purchase, Wilson said.
“It's been a really lengthy process,” Wilson noted. “It could be another month before it's all resolved.”