SENATE DOCKET, NO. 2163         FILED ON: 1/12/2012

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 2229

The Commonwealth of Massachusetts

_________________

PRESENTED BY:

Gale D. Candaras

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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
              Court assembled:

              The undersigned legislators and/or citizens respectfully petition for the passage of the accompanying:

An Act relative to municipal wholesale electric companies .

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PETITION OF:

SENATE DOCKET, NO. 2163        FILED ON: 1/12/2012

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 2229

The Commonwealth of Massachusetts
 

An Act relative to municipal wholesale electric companies .
 

              Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

              Chapter 775 of the Acts of 1975 is hereby further amended by striking out section 6(a), as appearing in the 2008 Official Edition, and inserting in place thereof the following section:-

              Section 6(a). The corporation, and member and non-member cities and towns having municipal electric departments established under chapter one hundred and sixty-four of the General Laws or by a special act and other utilities, public or private, may enter into energy contracts including, without limiting the generality of the foregoing, contracts providing for the sale or purchase of energy or energy facilities, borrowing by members under a pooled loan program, planning, engineering, design, acquiring sites or options for sites and expenses preliminary or incidental to such facilities.  Any such contract (i) may be for the life of a facility or other term or for an indefinite period, (ii) may provide for the payment of unconditional obligations imposed without regard to whether a facility is undertaken, completed, operable or operating and notwithstanding the suspension, interruption, interference, reduction or curtailment of the output of a facility and (iii) may contain provisions for prepayment, non-unanimous amendment, arbitration, delegation and other matters deemed necessary or desirable to carry out its purposes.  Any such contract may also provide, in the event of default by any party thereto in the performance of its obligations thereunder, for other parties to assume the obligations and succeed to the rights and interests of the defaulting party, pro rata or otherwise as may be agreed upon in the contract.