Michael McElroy – RI Future

October 29, 2016

Burrillville residents refuse to drink tax treaty Kool-Aid

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2016-10-27 Burrillville Town Council 07 — Michael McElroy

Wednesday night’s Burrillville Town Council meeting hearkened back to the early days of public opposition against Invenergy’s $700 million fracked gas and diesel oil burning power plant planned for the town. Back then, we saw a public that was distrustful of the town council, and a town council that was not receptive to the idea of opposing the power plant, early on claiming to be powerless against the combined might of Invenergy, Governor Gina Raimondo’s office and regulators.

The town council then took the position, contrary to the Open Meetings Act, that people in the town were only allowed to talk about issues and subjects that were specifically listed on the town council’s agenda, cutting off discussion about the Algonquin pipeline if the power plant was on the agenda, or vice versa. In December of last year, calls from the town council to trust them elicited groans of dismay from the audience.

Then, in April of this year, it was learned that the town council had been in secret negotiations for a tax treaty with Invenergy for months. The town council was still forcing residents to only speak about “agenda items” and working hard to curtail public discussion, contrary to the Open Meetings Act. The growing resistance in Burrillville to the power plant felt disempowered. Not only were they fighting a multi-billion dollar power plant company funded by a Russian oligarch, they were fighting both the state and local governments. The fight seemed impossible and trust between the town council and residents couldn’t be worse. Or so they thought.

At an April 14 town council meeting Council President John Pacheco said that the town council learned about Invenergy’s plans when everyone else did, during a press conference held by Governor Raimondo announcing the plant, saying, “As a town council, we did not know this plant was actually going to happen until the Governor announced it.”

This turned out to be inaccurate. Videos of town council meetings from February and March of 2015, on the town council’s own website, showed the town council and state legislators paving the way for the controversial Invenergy power plant months before the governor officially announced the project. Over time some of the details about how Invenergy approached the town came to light, but the complete story, and who opened what doors to the power plant, has yet to be revealed.

The town council eventually came to a public position regarding the power plant: The town council would put on a public display of strict neutrality, taking no position for or against the power plant, until after all the advisory opinions from various town boards had been completed. This was so as to appear to not influence the outcomes of the various advisory opinions and give the Energy Facilities Siting Board (EFSB) a reason to suspect that the opinions might be slanted in some way.

State legislators Cale Keable and Paul Fogarty went a different route. They entered legislation at the state level that if passed, would give voters in Burrillville the ability to approve or reject any tax treaty negotiated between the town council and Invenergy.

The bill passed the House and was due for consideration and a vote in the Senate when the town council passed a resolution in opposition to the Keable Bill at the 11th hour, giving the Senate Judiciary Committee enough of a reason to vote down the bill. The relationship between the town council and residents was now overtly acrimonious. There were tears from Town Councilor Kimberly Brissette Brown and anger and accusations from Town Councilor Donald Fox. Residents spoke of feeling “humiliated” at the State House as the press release announcing the resolution was sprung on them by Senators Frank Lombardi and Steven Archambeault, who treated the residents with risible condescension.

2016-10-27 Burrillville Town Council 06 — Lawyers and Town Councillors strategize during break

Since that low point, the town council and residents worked to rebuild trust. Residents by this time were long past being held to arbitrary and incorrect readings of the Open Meetings Act. They spoke their minds, expressed their concerns and the town council, to their credit, finally seemed to be listening. They seemed to come together as a town when Governor Gina Raimondo visited to hear resident concerns about the power plant.

After the lengthy process of creating the advisory opinions concluded, the town council passed an extremely robust resolution opposing the power plant and asked other city and town councils in and around Rhode Island to join them in opposition. Many already have and many more are considering joining Burrillville in opposition to the plant. But the Burrillville Town Council’s opposition came with a caveat: They still planned to sign a tax treaty with Invenergy, a tax treaty that the town residents want to hold off on signing.

At issue is the timing. The town council maintains that they have negotiated a solid tax treaty that will protect the town in the event the power plant is built, and guarantee a steady stream of income to the town. The residents want to wait until after the EFSB decides on Invenergy’s application before signing any treaty. Right now, the power plant’s application is suspended, pending Invenergy’s search for a new source of water. Signing the tax treaty, say residents, gives Invenergy extra leverage in negotiating a deal with another municipality, like, let’s say, Woonsocket, to purchase water. The town’s opposition to the power plant must be unified and consistent. Opposing the power plant with a resolution sends one message, signing a tax treaty with Invenergy sends another.

At Wednesday night’s hearing, Attorney Michael McElroy, who negotiated the tax treaty, said that the opposing the power plant and signing a tax treaty were not inconsistent actions and would not be seen that way. “I want to make it… clear that I see no inconsistency between entering into these agreements and dead set opposition to the plant,” said McElroy.

But McElroy is a lawyer. He is not a business man trying to buy water to cool a power plant. What businessman wouldn’t mention the tax treaty as proof that the town council is actually okay with having the power plant sited in their town? The resolution in opposition will be described behind closed doors as merely political theater, something to satisfy the rubes while the real business of government is imposed by the movers and shakers in secret meetings paid for with political contributions.

McElroy did his best to sell the tax treaty to the residents. He spent 45 minutes outlining the deal, expressing the need for a treaty. One reason McElroy gave, that didn’t sit well with residents, was that, “I want to get paid.” The money generated by this tax treaty will give the Town of Burrillville the money it needs to fight the siting of the power plant all the way to the Supreme Court, if need be. The lawyers and experts needed to fight such a case cost money, said McElroy, who included himself in those expenses.

McElroy suggested that if the town council did not pass the tax treaty, Invenergy might pull it off the table. He assured the audience that contrary to what Conservation Law Foundation senior attorney Jerry Elmer says, the plant will be built without a tax treaty in place.

Residents weren’t buying it. Towards the end of what turned out to be a five hours plus meeting, it was obvious that the town’s people were not willing to drink the tax treaty Kool-Aid. Forty people spoke against passing the tax treaty. Two spoke in favor of trusting the town council and McElroy’s advice.

Ultimately the town council recessed without doing anything on the tax treaty. There is a plan to take up the issue again next week.

2016-10-27 Burrillville Town Council 03 — Midnight, during a short break

October 13, 2016October 14, 2016

EFSB sentences Burrillville to 90 days of existential uncertainty

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20161013_114807 — Pre-hearing lawyer chat

Amid audience shouts of “Shame on you!” and “Merry Christmas, Invenergy!” the Energy Facilities Siting Board (EFSB) voted unanimously to grant Invenergy a 90 day suspension on their application to build a $700 million fracked gas and diesel oil burning power plant in Burrillville, effectively quadrupling Invenergy’s previous 30 day extension.

Once Pascoag voted to terminate their letter of intent with Invenergy to provide water to cool Invenergy’s proposed power plant, and Harrisville also declined to provide water, the company asked for 30 days to find an alternative source. They were granted a 30 day extension 30 days ago and despite negotiating with Woonsocket for the water needed to oil the power plant, nothing concrete was presented at today’s hearing.

Instead we heard Invenergy lawyer Alan Shoer claim that Pascog’s termination of their letter of intent came “very late in the process, after almost a year of working with Invenergy.” This made it impossible for Invenergy to come up with an alternative plan, complained Shoer. Attorney Jerry Elmer with the Conservation Law Foundation (CLF) later countered that “Invenergy made a careful, conscious, deliberate decision to file an application with the EFSB that had very tight, strict, statutory deadlines for things happening, before they had a secure water source… That was Invenergy’s sole election.”

In other words, continued Elmer, Invenergy knew that their non-binding letter of intent “may not result in a water source.”

The 90 day suspension comes with the minor caveat that Invenergy provide a status update in 60 days. The update must show concrete progress in securing a water source, though it is unclear what penalty Invenergy may face if they do not deliver an update that is satisfactory to the board. Criteria for the update seemed sketchy.

In 90 days, Invenergy must be able to present a water source to the board, along with a plan to transport the water to the location of the power plant. Burrillville recently provided a list of criteria that board member Janet Coit suggested would need to be satisfied for the suspension to be lifted. The criteria includes the source of the water, the means of transmission of the water, and the disposal of waste water, among other concerns.

In the event that Invenergy is unable to come up with a water supply, Coit suggested that the EFSB might be open to further suspensions at that time, effectively suggesting unlimited time for Invenergy to get their application in order, unless the board decides to dismiss the application per the motions from the Conservation Law Foundation and the Town of Burrillville.

Lawyer Michael McElroy gave a stellar speech to the board in support of dismissing Invenergy’s application, even going so far as to quote Marvel Comics’ Stan Lee. McElroy also directly confronted Chair Margaret Curran and board members Parag Agrawal and Janet Coit about concerns that the EFSB’s process “may be dictated by” Governor Gina Raimondo.

“The Town of Burrillville does not want this plant,” said McElroy, “I think that’s been made clear to this board. This plant would be a polluting monster that violates the town’s comprehensive plan and zoning ordinances and would negatively impact impact the quality of life for all Burrillville residents.

The EFSB, continued McElroy, “has been given extraordinary legal powers to grant permits that would otherwise be granted by my client, the Town of Burrillville. You have in essence become, among other things, the town’s planning board, its zoning board and its building inspector. But with such great power comes great responsibility. Your most important power and responsibility is to fully, fairly and impartially evaluate all of the issues that come before you after hearing from all of the parties on those issues.”

“The residents of the town and my clients have become concerned that throughout this process that the board’s votes on this process may be dictated by the governor, who has repeatedly and publicly expressed her support for this project despite the town’s overwhelming opposition. This board’s ill-advised and illegal previous attempts to silence the town and prevent it from being heard today only reinforces that concern.

McElroy urged the board to dismiss the docket, not suspend it. “Suspending the docket instead of dismissing it would give Invenergy what amounts to a gift of an indefinite suspension,” said McElroy. “The town has been fighting this battle now for almost a year at great monetary and emotional expense.”

McElroy’s fiery comments stand in sharp contrast to those of Jerry Elmer, who added that though the lack of water was a major issue that precipitated the motion to suspend, there was also the issue of a lack of information from Invenergy that caused six of the twelve advisory opinions to the board to be submitted incomplete.

After the board rendered its decision those watching the proceedings left the room singing “We shall overcome.”

Those from Burrillville I talked to were angry and disappointed by the ruling. They feel the process is corrupt and stacked against them. They feel that they are being forced to attend yet more town and city council meetings throughout the state in an effort to garner support and prevent the sale of water to Invenergy. Their holidays will now be filled with research, activism, environmental reports and endless meetings in towns and cities throughout the state and beyond to garner support for their cause and to prevent Invenergy from securing a source of water.

Yet though the process seems corrupt and Invenergy seems intent on grinding away their resolve, the people I talked to were adamant that they would not give up or stop fighting.

September 13, 2016September 13, 2016

Burrillville files motion to dismiss Invenergy application

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Because Invenergy “has either refused or is unable to provide timely information regarding its proposed water supply… its Application should… be dismissed” writes Attorney Michael McElroy, representing the Town of Burrillville, in a motion filed with the Energy Facilities Siting Board (EFSB) today.

Invenergy is proposing to build a $700 million fracked gas and diesel oil burning power plant in Burrillville, a project that has the support of both Governor Gina Raimondo and the Providence Journal. The residents of Burrillville and every environmental group in Rhode Island oppose the plan.

Invenergy’s original plan was to pump water from a well contaminated with MTBE, but on Aug 19 the Pascoag Utility District voted unanimously to deny Invenergy access to that water. Under EFSB rules and the Act that established the EFSB, “Applications must include information regarding all required support facilities, including water resources.” Without such information, writes McElroy, “The Application cannot be evaluated in a meaningful way.”

McElroy’s motion to dismiss also notes that the Town of Burrillville, the Burrillville Planning Board and the Burrillville Zoning Board of Review “have formally requested information regarding Invenergy’s water source on multiple occasions” and that “Invenergy repeatedly promised to provide such information, but to date has failed to do so.”

“In fact,” writes McElroy, “in a Motion for Extension filed by Invenergy last Friday, Invenergy stated that its ‘expects’ to have a water source ‘within the coming weeks.’ This is uselessly vague.

Jerry Elmer, Senior Attorney for the Conservation Law Foundation (CLF), “supports the Town of Burrillville’s Motion to Dismiss the Invenergy case, which was filed today. In fact, CLF has been preparing its own Motion to Dismiss on the same grounds as the Town’s Motion: The Energy Facility Siting Board (EFSB) process cannot go forward without the required Advisory Opinions from the Town; and the Town cannot prepare the required Advisory Opinions because Invenergy has failed to provide legally required information.

“Invenergy’s application to build a new fossil fuel power plant in Burrillville is incomplete, and the EFSB must dismiss the application. CLF argued its first Motion to Dismiss last January because Invenergy’s application was incomplete then; and CLF will continue to argue the same point now: Invenergy’s application remains incomplete. It is past time for the EFSB to dismiss this case.”

September 1, 2016September 1, 2016

Whitehouse not the climate champion Burrillville needs

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2016-02-01 FANG Whitehouse PVD City Hall 09 — Senator Sheldon Whitehouse

United States Senator Sheldon Whitehouse has a national, and even international, reputation as a climate champion, noted Rhode Island Senate President M Teresa Paiva-Weed as she introduced him to to the nearly 150 people gathered in Newport for a community dinner and Q&A. Paiva-Weed talked up Whitehouse’s concern for his constituents, saying, “Someone like Sheldon makes it a point to be home and to have a focus on the issues at home.”

But to the residents of Burrillville who drove for over an hour through rush hour traffic to attend the dinner, Whitehouse hardly seems focused on “the issues at home” and in fact, his own words belie that. His international reputation as an environmental champion is of small comfort to the townspeople fighting Invenergy’s $700 million fracked gas and diesel oil burning power plant.

Whitehouse touted his environmental concerns in his opening remarks, saying, “The good news is that… the [climate] denial operation really is collapsing. You can feel it visibly. We’re at the stage where the CEO of Exxon has had to admit, ‘Okay, climate change is real, and we’re doing it and we want to get something done.’”

Climate change, says Whitehouse, “is going to hit home for Rhode Island in a really big way and I want to make sure that I’ve done everything that I possibly can to make sure that we are as prepared for it as we can be in the Ocean State.”

Richard Dionne, vice president of the Burrillville Conservation Commission was called on by Whitehouse to ask the first question.

“When discussing the most influential senators from Rhode Island on environmental quality issues, your name is often brought up in the same sentence as our former Senator John H Chafee,” said Dione, “Not bad company to be in if I do say so myself.”

“Really good company,” agreed Whitehouse.

Dione continued, “However, our Senator Chafee would be rolling over in his grave if he knew that a 900 megawatt fracked gas power plant being proposed by Governor Raimondo was to be sited smack dab in the middle of the John H Chafee Heritage Corridor in the northwest corner of Rhode Island, on the shared border with neighboring states Connecticut and Massachusetts.

“This area has been recently designated as part of the National Park Service. The approximately 13,000 acres of protected forests, recreational areas, wetlands and conservation areas is absolutely the most inappropriate area for this type of project.

“Every environmental organization in the state of Rhode Island has come out against the project,” continued Dione, “including the Environmental Council of Rhode Island, the Audubon Society, the Nature Conservancy, Blackstone Heritage Corridor, the list goes on and on, I have a list right here…”

“I know the list,” said Whitehouse.

“At many of the public hearings I attend, invariably the question gets posed to me, ‘Where is our environmental Senator on this issue and what is he doing for his constituents in Burrillville?’ A town which, by the way, has supported your election in 2006 and 2012.

“So my question is Senator Whitehouse,” said Dione, winding up, “What answer can I bring back to the people of Burrillville, and can you commit this evening to opposing this power plant?”

“The short answer is,” said Whitehouse after a short pause, “There is a process…”

“Here we go,” said a woman at my table with open disdain.

If there was a wrong answer to give, this was it. Everyone who attended Governor Gina Raimondo’s appearance at the Burrillville High School has heard this answer before. No one takes “trust the process” seriously. It’s political dodge ball.

Conservation Law Foundation (CLF) attorney Jerry Elmer has spoken eloquently about the process. “Remember that the reason – the raison d’etre – that the General Assembly created the EFSB (Energy Facility Siting Board) was precisely to take these energy siting decisions away from the Town Councils and town planning boards,” wrote Elmer.

RI Senator Victoria Lederberg, who got the EFSB legislation through the General Assembly 30 years ago, called the siting board concept “one-stop shopping” for power plant developers. Climate change, environmental concerns and the health and safety of residents didn’t seem to be high on the General Assembly’s priorities when the EFSB was formed.

The process renders the opinion of ordinary townsfolk essentially meaningless, said Burrillville Planning Board attorney Michael McElroy. “The EFSB can take [our opinion], they can take it in part, or they can reject it.”

“There is a process,” said Whitehouse, “taking place for [the power plant] through the state Energy Facility Siting Board. They take sworn testimony, as I think you know. There are a whole bunch of local environmental groups that are intervened into that proceeding. The Conservation Law Foundation has come down from Boston to intervene in that proceeding. They have witnesses.”

Senator Whitehouse is incorrect here. The only environmental group certified as an intervenor in the EFSB proceedings is the CLF. The Burrillville Land Trust, Fighting Against Natural Gas (FANG), Burrillville Against Spectra Expansion (BASE) and Fossil Free Rhode Island were denied intervenor status, as it was felt that their interests would be seen to by the CLF.

“It’s essentially an administrative trial that is taking place,” continued Whitehouse, “I have confidence in that process. I have confidence in Janet Coit at DEM (Department of Environmental Management) who by virtue of being the DEM director is on the Energy Facility Siting Board. I have confidence in Meg Curran, chairman of the Public Utilities Commission (PUC) who by virtue of being chairman chairs that Siting Board, and there’s going to be somebody from the Department of Administration…”

Associate Director of the Division of Planning, Parag Agrawal, is the third member of the EFSB.

“It’s a process I’ve worked with from my earliest days,” said Whitehouse, “when I first came as a young lawyer to Rhode Island I worked in the Attorney General’s office and I practiced representing the people before the Public Utilities Commission.

“So I have confidence in the process.

“Congratulations,” added Whithouse, “The opposition to Invenergy, I think, has won every round. Burrillville said ’No’ on planning, Burrillville said ‘No’ on zoning, the water board said ‘No’ on water, so I think you’re, yeah, it’s a process and I know it would be easier to just yell about it but it’s a process that I think is honorable and will come to the right result.

“So I want to focus my efforts on where it will make the biggest difference. I know we’ve had some conversation, repeatedly, but I still am of the view that, with the force and strength that I have available to me, I want to apply every bit of that force and strength to the battle in Washington, which if we win it, will be immensely significant, not just to Burrillville but to all of Rhode Island and to the country and the world.

“So, sorry that I don’t have more to give than that, but I do think that I give pretty well at the office with what I do on this issue. Thank you for bringing it up though, I appreciate it.”

Burrillville resident Lynn Clark was called on to ask the next question. This seemed like a coincidence, but in fact, half the questions asked concerned the power plant in Burrillville, in one way or another.

Clark rose and with only the slightest hint of nervousness in her voice, said, “My name is Lynn and I come from the northwest corner of the state of Rhode Island. It has been my home all my life. I applaud you and I love the work you’re doing on the environmental front.

“In Burrillville, our little town has come together and we have come out strong against this giant plan. We have a lot of environmental groups [on our side], 23 currently, and we are working hard.

“I wish I could say that I am as confident in this process as you are, sir. It has been a scary process. We have been consumed by this process. I have been at every meeting, for hours, two or three meetings per week. Sir, this is a scary, scary process.

“We need a champion in Burrillville and we are asking you to please come see us. Please, come talk to us. If this Invenergy [power plant] gets built, the detriments to our little state will be just horrifying.”

Clark’s appeal to Whitehouse was raw and emotional. It’s the kind of speech people give in movies to roust tired champions into battle one final time.

But this wasn’t a movie and Whitehouse wasn’t willing to be the hero.

“I hear you,” said Whitehouse, once again echoing words Governor Raimondo used in Burrillville when she visited, “I can’t add much to what I’ve said to Richard. Thank you for taking the trouble to come down and share your passion.

Eagle Scout James Lawless with Whitehouse

“It is the National Heritage Corridor,” said Clark, not giving up, “We also have a boy scout camp up there, camp grounds… Have you been up to Burrillville?”

“Oh yeah,” said Whitehouse.

“Okay,” said Clark, “I hope you come visit us soon, sir. Thank you.”

Other questions came and went. Whitehouse was asked about the Supreme Court vacancy, grid security and the opioid epidemic. When Newport resident Claudia Gorman asked Whitehouse about the Federal Energy Regulatory Commission (FERC), he admitted that on the federal level, at least, he isn’t as certain about the integrity of the process.

“There have been several problems, at the federal level, with the approvals,” said Whitehouse, “They haven’t baked into their decision making what is called the social cost of carbon.” Whitehouse added that we don’t take seriously the problem of methane gas leaks, and that he held the first hearings on the issue of gas leaks and that we still don’t know the full extent of that particular problem…

The last question of the evening came from Cranston resident Rhoda Northrup. She rose as Whitehouse tried to bring the discussion to an end, and would not allow the dinner to end without asking her question.

“I do not live in Burrillville I live in Cranston,” said Northrup, “and what’s going on in Burrillville should not be completely on their backs. This is a global issue for all of us and if that power plant comes to our state of Rhode Island, it will set us back forty years. We will be committed for another forty years to a fossil fuel.

“That’s wrong.

“We need to move forward with wind and solar. And with all of that said, I would like to ask the senator if he has an opinion. With everything that’s been said tonight, ‘Do you have an opinion?’

“I know it’s a process,” said Northrup, “but that’s not an answer. Everybody’s telling us it’s a process. We know that. We’re walking the process. But we’re asking our leaders if they have an opinion. You must have an opinion.”

There was a short pause before Whitehouse answered.

“My opinion is that we must get off fossil fuels,” said Whitehouse.

“Thank you for that,” said Northrup.

But Whitehouse was’t finished. Lest anyone believe that by that statement Whitehouse was taking a stance against the power plant in Burrillville and matching action to his words, Whitehouse switched to his familiar political talking points.

“My opinion is that the best way to do that,” continued Whitehouse, “is to balance the pricing of fossil fuels, so that they are treated fairly in the marketplace. Right now they have a huge, unfair advantage because they don’t have to pay for the cost of the harm that they cause…”

August 24, 2016August 26, 2016

‘Essentially our advisory opinion means nothing’

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The Burrillville Planning Board meeting, held on Monday evening, was a confusing muddle that revealed the structural weaknesses of the “process” that Governor Gina Raimondo implored the people of Burrillville to trust in.

The board was meeting to vote to approve the final version of its required advisory opinion to the EFSB (Energy Facilities Siting Board) concerning Invenergy’s $700 million fracked gas and diesel oil burning power plant, a scheme that is wildly unpopular with Burrillville residents.

The powerlessness of a small, town appointed board in the face of a multi-billion dollar company with state government support was aptly demonstrated when board chair Jeffrey Partington lamented that “one of the weaknesses of this entire [process] is that we haven’t seen plans” from Invenergy.

The “process” is designed so that a town planning board has to decide to endorse or oppose a plan that will have enormous impact on the town, without seeing the actual plans.

This is by intent.

Conservation Law Foundation attorney Jerry Elmer has pointed out that the process “was designed to take the power to stop a proposal like Invenergy’s out of the hands of the local people… and put it into the hands of the EFSB.”

Hours of meetings and endless discussions have consumed the board’s time and the energy and efforts of local townsfolk. Yet the board’s own attorney, Michael McElroy, succinctly summed it up when he said, “Essentially our advisory opinion means nothing. It’s simply an advisory opinion. The EFSB can take it, they can take it in part, or they can reject it.”

At this meeting we learned that though Invenergy is confident that they can design the power plant to meet the noise ordinances set by the town, they have no intention of posting a bond to insure that this goal is met. An expert hired by the town has said that though he has never seen a power plant meet noise requirements so low and that such a thing has never been done, he believes it might be possible.

“It may be difficult and it may be expensive,” noise expert David Hessler cautioned, adding, “I think it can be done.”

Later in the same meeting Hessler admitted that he had “never seen a power plant meet the noise levels” but reiterated that he thinks this plant can be designed to do so.

Maybe this is why Invenergy won’t post a bond: What bonding company wants to insure a project that may well prove to be impossible? Not agreeing to post a bond may also be a legal strategy. The EFSB, when they decide on the final terms of the deal, might include a bonding that Invenergy agreed to, but more likely the EFSB will simply give Invenergy a waiver on the noise level, allowing the company to disregard Burrillville’s ordinance, without bringing up the bonding issue at all.

Why post a bond to meet a requirement you intend to have waived?

So all the sturm und drang over low octave vs. decibel limits on noise may well be for naught. “Essentially our advisory opinion means nothing,” said McElroy.

Here in Rhode Island we call that, “the process.”

Here’s the full video of the Burrillville Planning Board meeting.

July 26, 2016July 26, 2016

Invenergy’s John Niland under oath at PUC hearing for Burrillville power plant

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2016-07-25 PUC Burrillville 3011 — John Niland

There were two big reveals at the first day of the PUC evidentiary hearing in Warwick on Monday. First, John Niland, director of development for Invenergy, admitted under oath that he knowingly gave false information to the EFSB at the March 31, 2016 EFSB hearing held at the Burrillville High School. Second, Invenergy’s proposed plant will not be clean: It’s emissions will be higher than the the current New England average of all power plants.

Everyone seemed surprised that the evidentiary hearing at the Public Utilities Commission (PUC) regarding Invenergy’s proposed $700 million fracked gas and diesel oil burning power plant for the Town of Burrillville wasn’t packed with Burrillville residents. The Warwick police officer seated at the back of the room looked almost bored. Michael McElroy rescinded his motion to hold the hearing in a larger venue because, as his co-counsel Oleg Nikolyszyn said, “there are plenty of seats.” Of course, holding the meeting 40 minutes outside Burrillville during a work day was a surefire way to limit attendance.

The Public Utilities Commission hearing is being held to help the one PUC commissioner that did not recuse himself craft an opinion on whether or not the plant is needed and what effects the plant will have on ratepayers. The one commissioner is lawyer Herbert F. DeSimone, Jr.. Of his co-commissioners, Margaret Curran is on the Energy Facilities Siting Board (EFSB), the body ultimately deciding on Invenergy’s application. Obviously she cannot write an advisory opinion to herself. Marion Gold is on record for having supported the plant during her stint as the executive director of the RI Office of Energy Resources. This leaves only Herbert DeSimone on the board. He will author the advisory opinion to the EFSB.

For what it’s worth DeSimone ruled early on that having only one person on the board does not violate any rules, as he will not be making any decisions, but will simply be crafting an advisory opinion.

Lawyers Alan Shoer, representing Invenergy and Jerry Elmer, representing the Conservation Law Foundation (CLF), delivered opening statements. Shoer argued that the plant is needed, that it will reduce air emissions and save ratepayers money. Elmer explained that Invenergy’s promises were unlikely.

The first witness was Building Trades president Michael Sabitoni. He testified on the “socio-economic impacts of project” i.e., the jobs. Elmer objected, because jobs are not within the scope of this hearing. DeSimone overruled Elmer, saying, “I’ll allow the statement to stand but I’ll give it the weight that is appropriate.”

Under grilling from Burrilville’s lawyer Michael McElroy, Sabitoni estimated that 80 percent of the jobs created by this project will be from Rhode Island. He had no estimates on the number of jobs that will be created for Burrillville. He said that the members of his unions will be well placed to get the more permanent jobs on offer at the plant as well.

Next up was John Niland, director of development at Invenergy. His testimony stretched out for over 80 minutes, and there were some interesting exchanges along the way.

Under oath and under the examination of Jerry Elmer, Niland admitted that when he said, to the EFSB on March 31 in Burrillville, that Rhode Islanders would save $280 million on electricity after the new plant was built, he knew the number was wrong. He said that he didn’t have a better number to give, so he went with the older, wrong number. The true savings cannot be over $30 million, and could be closer to zero, maintains the CLF.

Under examination, Jerry Elmer also forced Niland to concede that Invenergy’s claim that coal and oil together account for 28 percent of New England’s energy footprint is incorrect. The true number is closer to six percent.

Niland claimed that since Invenergy sold half it’s output in the most recent energy auction, the plant is needed, by definition. Burrillville’s lawyer Michael McElroy pointed out that if only half the proposed plant’s energy is sold, then by Niland’s own logic only half the plant is needed. And if half the plant is all that’s needed, savings to ratepayers can be expected to be “substantially less.”

Niland ageed.

The growth of renewable energy sources will reduce the need for the power plant over time, said Niland. The plant has a life expectancy of 40 years. Niland knows of LNG plants still operating after 60 years. Niland admitted that Rhode Island’s dependency on fossil fuels will increase once the plant is built. If the plant is built, Rhode Island’s carbon footprint will go up, admitted Niland. Though technically, said Niland, given that RI is a net energy importer our emissions, “could be reduced.”

McElroy was not happy with Niland’s caveat. Within Rhode Island’s borders, asked McElroy, “Emissions will go up, correct?”

“I believe so,” said Niland.

McElroy asked about why Burrillville was chosen as a location for the plant. Niland said that the location was chosen due to its proximity to the Algonquin gas pipeline and electrical transmission wires. (Both of which were updated recently, I should note.) Niland’s job is to locate and develop projects like the one planned for Burrillville. He was initially lured here because of the state’s high energy prices, near $17 a killowatt hour. The new lower prices at the recent energy auction, closer to $7, will probably reduce interest in bringing large projects like this to the region, said Niland. If an energy plant doesn’t clear the energy auction, said Niland, it isn’t needed.

2016-07-25 PUC Burrillville 3021 — Ryan Hardy

The next and last witness for Invenergy was Ryan Hardy. Hardy is the person who prepared Invenergy’s report that calculated the rate savings should the plant be built. Jerry Elmer began his cross examination by handing Hardy a calculator and asking him to run the numbers, based on Invenergy’s own specs. After a long pause, Hardy came up with the plant producing 817 pounds of CO2 per megawatt hour. Hardy’s written testimony was 760 pounds. Ryan countered that he was basing his number on estimates of actual plant use, which he estimated to be about 70 percent of capacity. The numbers Elmer had him calculate were maximum possible output.

Also, said Hardy, the plant will be “primarily run on LNG, never on fuel oil, unless gas is not available.”

However, both of Hardy’s estimates are over the New England average, meaning that the plant can’t reduce emissions, because the plant’s emissions are higher than the average plant emissions in New England.

Elmer asked Hardy about ratepayer savings next. “Was your analysis of FCA-10 [the electricity auction] based on selling both turbines?”

“Yes,” said Hardy.

“Were you wrong about that?”

“Yes.”

“Was it reasonable for Niland to estimate savings of $280 million when he knew otherwise?”

“Yes,” said Ryan.

You can read Jerry Elmer’s thoughts about day one of the hearing here.

2016-07-25 PUC Burrillville 3009 — Michael Sabitoni

June 27, 2016June 27, 2016

Why should Burrillville care about Invenergy’s bad financial decisions?

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At the most recent Burrillville Town Council meeting, Town Councillor Kimberly Briquette Brown made some curious remarks about Invenergy’s obligations to ISO-NE, the organization responsible for managing the supply of electricity to Rhode Island and neighboring states. Invenergy is planning to build a $700 million fracked gas and diesel oil burning power plant in the town and residents of Burrillville strongly oppose the plant.

“It’s my understanding,” said Brissette Brown, “from speaking to Mike McElroy and learning about this just as much as everybody else has been over the last few months, that once the ISO had granted the power capacity in February to Invenergy, that regardless of whether not they enter into a tax agreement with the town, if they do not go forward with building the power plant they’re going to be fined, substantially, it’s my understanding, and I could be wrong, millions of dollars. At the time… there was a concern about the financial ramifications of leaving the bill to people that thought that by voting no to a tax agreement that they’d be basically sending the power company packing.”

The gist of her remarks seems to be that Burrillville town attorney Michael McElroy convinced her that the town might be on the hook financially for the fines that Invenergy might suffer for not delivering on its obligations to ISO-NE. I couldn’t see how this was possible, so I asked Jerry Elmer, senior attorney at the Conservation Law Foundation (CLF), for his insight. The added emphasis is all mine:

By way of background, I explain in general that the results of FCA-10 show that the Invenergy plant is not needed, here.

And I am well aware of the fact that the mechanics of these FCAs can be complicated and difficult to understand; I provide some general background, here.

“In FCA-10, Invenergy bid both of its turbines, or 997 MW, into the ISO’s auction. However, in the actual auction, Invenergy cleared only one turbine, or 485 MW. Thus, Invenergy acquired a CSO of 485 MW. Invenergy agreed to provide electricity to the regional grid operator, ISO-NE, for a one-year period of time running from June 1, 2019 through May 31, 2020. This period of time is called Capacity Commitment Period 10 (CCP-10), and it corresponds to FCA-10. In return for agreeing to be available to the regional grid operator during that specified, future period, Invenergy will receive a stream of payments called capacity payments.

“In effect, Invenergy is selling a commodity, capacity, in return for a stream of money, called capacity payments. (And those links above provide some needed background that may help readers understand this.)

“In order to be allowed to participate in the ISO’s Forward Capacity Auction (FCA), Invenergy (or any other entity) had to first “qualify.” In order to qualify to participate in an auction, Invenergy (or any other entity) had to show that it had a realistic chance to actually build its proposed plant. (The ISO requires this, because the ISO is responsible for keeping our electricity grid reliable. ISO cannot keep the grid reliable if entities that acquire CSOs cannot actually build and operate power plants.) Invenergy (or any other entity) also has to put up a huge amount of “Financial Assurance” to even be allowed to participate in an FCA. FA is a kind of bond, a way of securing (guaranteeing) that Invenergy will be able to perform its obligation. FA would be forfeited if Invenergy (or any other entity) acquired a CSO (in an auction) but then did not actually have a plant built by the beginning of the CCP.

“So, now that Invenergy did acquire a CSO in FCA-10, is Invenergy irrevocably committed to building the proposed plant in Burrilville? The answer is unequivocally not.

“Could Invenergy abandon its proposed plant in Burrillville completely, and not lose the FA (bond) posted with ISO? The answer is unequivocally yes.

“To be sure, Invenergy could not just walk away from the plant. However, between today and June 1, 2019 (the beginning of CCP-10, when Invenergy’s CSO kicks in) the ISO will hold three separate Reconfiguration Auctions. One will occur about 2 years before June 1, 2019; one will occur about a year before June 1, 2019; and the last one will occur just before the start of CCP-10. At each of these Reconfiguration Auctions, buyers and sellers buy and sell CSOs to each other.

“Invenergy could – if it wanted to – sell out of its CSO in any one of those Reconfiguration Auctions. Of course, because the ISO is still responsible for keeping the New England electricity grid reliable, any entity that wanted to buy Invenergy’s 485-MW CSO would have to be qualified by the ISO to participate in the Reconfiguration Auction. The qualification process would be very similar to the qualification process for participating in an FCA – show that you either have a power plant already or could realistically build one in the remaining time allowed, and post FA.

“Invenergy could elect to sell out of its CSO in any of the next 3 ISO-run Reconfiguration Auctions for any one of a variety of reasons. For example, Invenergy could decide that the political climate in Rhode Island has turned against it, and that the plant might not be permitted by the Energy Facility Siting Board. (This could happen, say, if Governor Raimondo were persuaded to oppose the proposed plant as a result of overwhelming constituent pressure.) Or Invenergy could decide that the New England energy market is less lucrative than it thought it would be, and it is not worth building the plant. (In fact, the auction clearing price crashed from over $17 per kilowatt-month in FCA-9 to $7.03 per kilowatt month in FCA-10.) Or, Invenergy could sell out of its CSO for no other reason than that it thought it was profitable to do so. (Remember that whatever entity buys the CSO from Invenergy would be buying the right to a future stream of income. This is a valuable commodity, and it is entirely possible that Invenergy simply flips the CSO for a quick profit. Note that in that last sentence I mean “possible” as being completely within the ISO Market Rules; I am not suggesting that this is a likely course for Invenergy – only that it can be done.)

“In fact, Invenergy could sell out of its CSO in any one of the next three Reconfiguration Auctions for any reason it wanted to do so. The fact is that, having acquired a CSO on February 8 does not mean that the plant must inevitably be built, and does not mean that Invenergy is powerless to walk away without forfeiting the huge bond it posted with the ISO.

“In this scenario, the Town of Burrillville would not be on the hook for any of Invenergy’s CSO. In fact, the Town of Burrillville could almost certainly not be qualified by the ISO to buy Invenergy’s CSO. But, in any event, if Invenergy sold out of its CSO, the Town of Burrillville would have no liability for the CSO.”

So, in summary, the Town of Burrillville is in no way responsible for Invenergy’s bad decision to buy into a forward capacity energy market before being sure that they would be able to supply the energy required.

Invenergy made the promise, not Burrillville.

So I ask again, “Why should anyone in Burrillville care about bad decisions made by a Chicago based energy company? How is it possible that Burrillville should be liable for Invenergy’s bad business decisions?”

June 22, 2016June 24, 2016

Experts testify on how power plant will impact Burrillville

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Setting up my camera at Monday night’s Burrillville Planning Board meeting, I saw one of the town’s two lawyers, Michael McElroy, turn suddenly from his place on stage and wave enthusiastically and with a smile at some friends who had just arrived. Turning, I noticed that the arriving friends were the lawyers and expert witnesses from Invenergy. The small cadre of Invenergy lawyers waved back collegially and I thought, “Who represents the people of Burrillville here?”

The meeting was held at the Burrillville High School, and was four hours long. The meeting did not end. Invenergy still had expert witness testimony to present, and 30 Burrillville residents had signed up to testify, only to never get their chance to speak. In the end, a decision was made by planning board chairman Jeffry Partington to continue the meeting on July 11.

This meeting was held to discuss Invenergy’s proposed fracked gas and diesel oil burning power plant. The Town of Burrillville and Invenergy had both hired experts to delve into the power plant’s plans and provide opinions as to whether or not the power plant would be able to control for such issues as air quality, water use and quality, noise levels, traffic and wetlands impact. The sometimes technical details were presented in a way that could be generally understood by a layman, and both the planning board and Invenergy’s lawyers were able to ask questions.

Before the meeting got started though, the planning board dealt with correspondence from Barry Craig, a retired lawyer recently returned to Burrillville. Craig had filed a motion to have the town’s lawyer, Oleg Nikolyszyn, recuse himself because of allegations that he and the town council had violated the open meetings act when issuing a resolution last week, a resolution that many feel gave the Senate Judiciary Committee in the RI General Assembly the excuse it needed to vote down legislation that would have vastly improved the town’s position regarding the power plant.

Before Craig could rise to speak, it was learned that Nikolyszyn had in fact recused himself from the proceedings, hence Michael McElroy’s appearance at the hearing, waving to his buddies from Invenergy.

The town called its expert witnesses to give their reports and answer questions from both the planning board and Invenergy’s lawyer, Elizabeth Noonan.

David Hessler discussed the noise the plant would emit during operations. The noise ordinance in Burrillville establishes a very low goal of 43 decibels, a goal Invenergy says it will be able to reach. Though Hessler says he is “leery of [Invenergy’s assumptions in their model” regarding operating noise levels, he is confident that “Invenergy will do whatever they have to, to meet the limits].

“It may be difficult and it may be expensive,” Hessler cautioned, adding, “I think it can be done.”

Later Hessler admitted that he had “never seen a power plant meet the noise levels” but reiterated that he thinks this plant can be designed to do so.

As loud as the power plant might be under normal operating conditions, it will be louder during start up and shutdown. When asked about Invenergy’s estimates about how long start ups and shutdowns take, Hessler said that Invenergy’s estimate of 10-30 minutes is “too short. There’s no way,” and said “I would not trust [Invenergy’s] numbers.”

Eric Epiner was up next, talking about air quality. Power plants like the one proposed for Burrillville are designed to fire pollutants through extremely tall stacks and released high into the atmosphere. Spinner expects that the impact on local air quality will be insignificant. However, the power plant plans Invenergy has submitted so far contain numerous errors and inconsistencies, as well as missing documentation. “We can’t say with certainty what the health risks are,” said Epiner.

The pollution from this plant, says Epiner, will not fall on Burrillville, but on people fifty kilometers away.

Tom Hevner was then questioned about the 40,000 gallons of ammonia to be stored on site. Invenergy’s plans call for 19 percent concentrations of ammonia, because 20 percent requires federal oversight. Ammonia, when released into the air, is extremely deadly, whether the concentration is 20 or 19 percent.

Hefner recommended that the Pascoag Fire Department be consulted on how to deal with such chemicals should they be stored on site, and also suggested that there may be other, less hazardous chemicals that Invenergy might use instead.

James Jackson was called upon to discuss the impact the new power plant will have on traffic in Burrillville, especially during the plant’s construction. He seemed to think that the impact would be minimal.

Jackson also spoke on the impact the plant might have on nearby wetlands. Right now water run-off from the plant is designed to be put in a pool that will directly abut the wetlands. Jackson said that the storm water run-off issues were not clearly resolved in the plans. The plan seems to call for storing toxic waste water next to a protected ecosystem. “I just don’t feel comfortable with this,” said Jackson.

Tom Hevner was brought back to talk about water use and the re-opening of well 3A, the well shut down 15 years ago by court order, due to MTBE contamination. MTBE is highly carcinogenic and Burrillville has paid a heavy cost because of this. Invenergy wants to use this water to cool their plant, promising to purify the water before it’s sent to a waste water treatment facility.

The “treatment scheme” says Hevner, is to draw water out of the well that will be contaminated at a rate of 55 parts per billion with MTBE. Due to condensation, that number will be 200 parts per billion by the time it reaches the power plant. There the water will be run through two Granulated Activated Carbon (GAC) filters (though Hevner recommends three GACs) at which point the MTBE should be at “non-detect” levels.

The danger is not in Invenrgy’s water purification system, which Hevner seems to think will work, the danger is back at the well, where pulling water out of the well “might draw back contaminants” that have leeched into the surrounding area underground.

Since the MTBE disaster in Pacoag, Burrillville has been buying its water from Harrisville, across the Clear River. The river acts as a barrier between the two water sources, but, says Hevner, it “needs to be demonstrated that there’s no hydraulic connection” between Harrisville and Pascoag’s water sources. Other wise, there’s a danger that reopening well 3A might contaminate Harrisville’s water with MTBE.

Hefner also thought that the well won’t provide sufficient water for the energy plant, which will need to draw millions of gallons a day. Hefner suggested that the plant might need to draw water from other nearby municipalities, like Harrisville, or even start drawing water from Wallum Lake. This suggestion certainly agitated the crowd.

After a break, Invenergy called their witnesses. Invenergy’s lawyer, Elizabeth Noonan, could not get all her testimony done before 10pm, so after much deliberation it was decided to continue the meeting on Monday, July 11 at 6pm at the Burrillville High School.

To be continued…

May 3, 2016May 4, 2016

Burrillville Town Council has absolute authority to set Invenergy tax rates

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On January 14, 2016, the Rhode Island Supreme Court ruled that wind turbines are manufacturing equipment and therefore exempt from local property taxes under state statute. The decision in DePasquale v. Cwiek developed the legal view that wind turbines are, “used exclusively for the purpose of transforming raw material—wind—into a finished product—electricity—and as a result the taxpayer meets the definition of a manufacturer, making the turbine eligible for tax-exempt status.”

If turning wind into electricity is a tax free proposition, it logically follows that turning “natural” gas into electricity would be as well. For instance, Invenergy‘s proposed $750 million fracked gas and oil burning plant in Burrillville, may well have been a tax free proposition for the company under this ruling.

Fortunately, there is a specific statute to the contrary, R. I. Gen. Laws § 44-3-30:

44-3-30 Burrillville – Property taxation of electricity generating facilities located in the town. – Notwithstanding any other provisions of the general laws to the contrary, the town council of the town of Burrillville is authorized to determine, by ordinance or resolution, an amount of taxes to be paid each year on account of real or personal property used in connection with any facility for the generation of electricity located in the town, notwithstanding the valuation of the property or the rate of tax.

All well and good then. The Town Council of Burrillville has the absolute right to set the taxes for the proposed Invenergy plant at any level they wish “notwithstanding any other provisions of the general laws”. They could set the tax rate at $1 a year or a $100 million a year. In fact, if the Town Council were truly interested in stopping the proposed power plant, they could simply set the tax rate at $100 billion per year. It would stop the development cold.

Let me repeat: Despite the RI Supreme Court ruling, the Burrillville Town Council has absolute authority to set the tax rate for the new power plant at whatever level they wish.

Yet that is not how Town Manager Michael Wood and Burrillville Town Council solicitors Oleg Nikolyszyn and Michael McElroy seem to have reacted to the court’s ruling. Instead, the Burrillville Town Council, at a special meeting on February 23, asked Reps Cale Keable and Brian Newberry, as well as Senator Paul Fogarty, to “make sure that the existing [state level] legislation [cited above] we have will allow for the siting and construction of the new power plant in the town.”

Though it is apparent that Keable, Newberry and Fogarty didn’t make any changes to RI State Law 44-3-30 concerning power plant taxation and that no changes were necessary, that isn’t the only change the Town Council asked their state representatives to make regarding the state law around power plants. About a month earlier, at a January 27 Town Council meeting and two week after the RI Supreme Court ruling, a resolution was unanimously passed by the Burrillville Town Council to “respectfully request that our legislative delegation introduce legislation” to amend R. I. Gen. Laws § 44-3-9.3, which governs “exemption or stabilizing of taxes on qualifying property used for manufacturing or commercial purposes.”

According to the minutes of the meeting, the motion to vote on the request to change the law was made by Councillor David Place, who has announced his run for State Representative against Cale Keable.

What is the major change in the law requested by the Town Council? The addition of the word “manufacturing” over and over again within the statute, expanding the range of the statute to make sure that power plants (which could be classified as manufacturers now) are covered. Now again, changing this law is not necessary in order for Burrillville to have full control over the taxation of the proposed Invenergy plant, and the Town Council never mentions Invenergy or manufacturing when discussing this resolution prior to passage. But the timing of this requested change is suggestive.

If this request was in response to the RI Supreme Court decision, it demonstrates that the Town Council was aware of Invenergy’s plans in January, not February, as previously demonstrated. Like the February request for changes in the General Laws, this request was also ignored by Keable, Newberry and Fogarty.

Whether or not the Burrillville Town Council, Town Manager and legal counsel worried about the DePasquale v. Cwiek decision, it is apparent that they have been keen to make sure that the RI General Laws are in their favor and that the court’s decision will not apply to their town or to the Invenergy plant.

But it’s also hard to believe that the Town Council is interested in stopping the power plant’s construction. If they wanted the plant stopped, they simply have to propose a prohibitively high tax rate, one Invenergy could not afford. Cale Keable, as reported by several Burrillville residents, is correct when he says that the power to stop this plant rests with the Town Council. Sure, the Energy Facilities Siting Board has the power to approve the plant, but the Town Council has the power to make the plant so unprofitable that Invenergy will never bother building it.

April 28, 2016April 28, 2016

Burrillville Town Council lets their lawyer not answer questions about power plant tax negotiations

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A somber yet unyielding Town Council faced the displeasure of Burrillville residents Wednesday night. At issue is whether or not the residents of Burrillville can trust their elected officials to negotiate in their best interests with Invenergy, a multi-billion dollar company intent on bringing a fracked gas and diesel oil burning power plant to their pristine town. The Town Council appeared to do themselves no favors allowing their lawyer, Oleg Nikolyszyn, to speak for them.

The tone for the evening was set when Jan Luby took the council to task for apparently deceiving the public at a previous town council meeting about when exactly they learned that Invenergy was planning to build a power plant in their town. Council President John Pacheco had said that the Council had learned about it in August of least year, but video has surfaced showing that they knew as early as February.

“So now that we know that there’s no question you knew in February, not August, of last year… we’d like to know how you stand now, as individuals. We are your constituents and we deserve to know,” said Luby, even as she understood that under the Open Meetings Act, the council members could not answer questions but only listen. Luby then went on to suggest that Town Manager Michael Wood be fired, to much applause.

Terri Lacey took issue with comments she has seen and heard on social media regarding citizens opposed to the power plant. “The comments that have gotten back to us, about us… are intentionally demeaning,” said Lacey, “It gives the perception to the community that we are troublemakers… and we are not to be taken seriously.”

Jason Olkowski spoke for a long time about his love for his adopted city and the quality of life he enjoys with his wife and daughter in Burrillville. “I’m concerned by a Governor that marginalizes the people of Burrillville as protesters,” said Olkowski, referencing a comment by Governor Gina Raimondo about opposition to the power plant.

The most interesting part of the evening was when the Council finally got around to Agenda Item 16-119, filed by residents Terri Lacey, Andrew Vanable, Jason Olkowski, Jeremy Bailey and Deborah Yablonski. During the last Town Council meeting it was revealed that Town Manager Michael Wood, with Town solicitors Oleg Nikolyszyn and Special Assistant Council Michael McElroy have been negotiating tax breaks for Invenergy’s power plant, without the awareness of the residents of Burrillville. Nikolyszyn and Pacheco said then that since the subject was not properly on the agenda, it could not be discussed.

But now that the item is properly on the agenda, the subject is still off limits, said Nikolyszyn. As the item came up for discussion, Nikolyszyn rose and told the crowd that such negotiations are secret and discussing details would be a violation of the law. This seemed to infuriate the crowd.

Nikolyszyn said that the Town Council was going to be briefed on the details of the negotiations after the public portion of the Town Council meeting ended, in executive (private) session. Right now, Nikolyszyn maintained, the Town Council was unaware of the details of negotiations. Despite Nikolyszyn’s preamble, residents stormed ahead and asked their questions anyway, fully aware that the Council was shielding themselves from answering behind their lawyers.

At 10:15 in the video above, Jason Olkowski and Jeremy Bailey ask their questions. The question as to when the negotiations began, why the negotiations were undertaken and who approved them could not be answered, said Nikolyszyn. The details of McElroy’s involvement with the negotiations, and how much he is paid, said Nikolyszyn, is not a public record.

The details of all negotiations will not be publicly known until negotiations are complete, said Nikolyszyn.

“That is certainly unfortunate,” replied Olkowski.

Olkowski then asked what are the advantages of negotiating a tax break for Invenrgy, rather than just leaving the $750 million plant on the tax rolls. Nikolyszyn replied that he is prepared to answer that question tonight, but in closed executive session, not with the residents in an open meeting. You don’t discuss the pros and cons of a business deal publicly, Nikolyszyn maintained.

The subject of the Town Council’s “neutrality” towards the plant came up. After the last Town Council meeting, many residents have wondered why the Town Council needs to be neutral about the power plant when Governor Raimondo has been a strong proponent. “It was I who advised the Council remain neutral” with respect to the power plant, said Nikolyszyn. “We don’t want to give [our appointed boards] marching orders, like the Governor did with the [Energy Facilities] Siting Board.”

It what could be seen as a direct attack on Raimondo’s credibility, Nikolyszyn said that not maintaining neutrality until the boards’ decisions are finalized weakens your credibility. We wants the reports of our boards to be respected, and not seen as just “following marching orders,” said Nikolyszyn.

One of the most frustrating parts of the discussion occurred at the 34 minute mark above. Tracey Keegan asked, “Could a council member make a motion to end all negotiations with Invenergy right now?”

After minutes of legalese and hemming and hawing on the part of Nikolyszyn, and after Keegan repeated the question multiple times, an exasperated Town Councillor David Place finally answered, “Yes.”

No one did, though. Instead, in a statement released today, Council President John Pacheco said, “…our team was directed to continue discussions… I’m satisfied that negotiations are headed in the right direction.”