The Thomaston City Council approved a change of language in the Municipal Electric Authority of Georgia (MEAG) contract dealing with debt financing for the Plant Vogtle nuclear power project. The action came at their June 9 meeting.
City Manager Patrick Comiskey advised the council that MEAG is in the process of negotiating debt finance support from the federal Department of Energy.
“As part of that negotiation, they are requesting all the cities that are participating in the Vogtle nuclear power plant project to amend some language in the agreement to comply with requests the Department of Energy wants,” Comiskey said. “I’ve asked Paul Warfel, the MEAG representative for our city and several others, to attend the meeting in case anybody had any questions about it. But we are already committed to the nuclear power project. This is hopefully a mechanism that is going to allow the Municipal Electric Authority to negotiate a better bond financing package with the Department of Energy on our behalf. I recommend we adopt it.”
Mayor Hays Arnold, who also represents Thomaston on MEAG, said it is his understanding that the savings will be significant.
“There is still last minute negotiations going on currently, but expectations are that there will be several hundred million dollars over the 40-year period the bonds will be issued,” he said. “Back in 2008, Thomaston, as well as 40 other MEAG cities, passed a contract entering into the Vogtle expansion project. This is substantially the same document, with the changes only to accommodate this revised, lower cost financing option.”
Council member Patsy Perdue made a motion to approve the change of language in the contract. Council member Gary Atwater seconded the motion and it was approved 5-0.
Larry Stanford may be reached at 706-647-5414 or on Twitter @LarryStanford7.