§2204 — Title 42 The Public Health and Welfare | U.S. Code

Summary

The Commission can sign new or change existing electric service contracts for the Oak Ridge, Paducah, and Portsmouth sites for up to 25 years, even if some federal payment rules would normally apply. The Commission may end those contracts by paying the cancellation costs written into them, and its funding can be used to pay those costs. If the Commission or another federal agency later buys power from the same contractor during the original contract term, those cancellation payments must be counted when setting the new rate. The Commission may also hire someone to supply the Tennessee Valley Authority if TVA was supposed to provide the service. Every contract must be sent to the Energy Committees and wait 30 days while Congress is in session (excluding days when either House is adjourned for more than 3 days) before it takes effect. The Energy Committees can waive all or part of that 30-day wait by written resolution after getting the contract.

Title 42, §2204

The Public Health and Welfare — Source: USLM XML via OLRC

The Commission is authorized in connection with the construction or operation of the Oak Ridge, Paducah, and Portsmouth installations of the Commission, without regard to section 1341, 1342, and 1349–1351 and subchapter II of chapter 15 of title 31, to enter into new contracts or modify or confirm existing contracts to provide for electric utility services for periods not exceeding twenty-five years, and such contracts shall be subject to termination by the Commission upon payment of cancellation costs as provided in such contracts, and any appropriation presently or hereafter made available to the Commission shall be available for the payment of such cancellation costs. Any such cancellation payments shall be taken into consideration in determination of the rate to be charged in the event the Commission or any other agency of the Federal Government shall purchase electric utility services from the contractor subsequent to the cancellation and during the life of the original contract. The authority of the Commission under this section to enter into new contracts or modify or confirm existing contracts to provide for electric utility services includes, in case such electric utility services are to be furnished to the Commission by the Tennessee Valley Authority, authority to contract with any person to furnish electric utility services to the Tennessee Valley Authority in replacement thereof. Any contract hereafter entered into by the Commission pursuant to this section shall be submitted to the Energy Committees and a period of thirty days shall elapse while Congress is in session (in computing such thirty days, there shall be excluded the days on which either House is not in session because of adjournment for more than three days) before the contract of the Commission shall become effective: Provided, however, That the Energy Committees, after having received the proposed contract, may by resolution in writing, waive the conditions of or all or any portion of such thirty-day period.

Notes & Related Subsidiaries

Editorial Notes

Codification “section 1341, 1342, and 1349–1351 and subchapter II of chapter 15 of title 31” substituted in text for “section 3679 of the Revised Statutes, as amended [31 U.S.C. 665]” on authority of Pub. L. 97–258, § 4(b), Sept. 13, 1982, 96 Stat. 1067, the first section of which enacted Title 31, Money and Finance.

Amendments

1994—Pub. L. 103–437 substituted “Energy Committees” for “Joint Committee” in two places.

§2204 Electric Utility Contracts; Authority to Enter Into; Cancellation; Submission to Energy Committees

Summary

Title 42, §2204

Notes & Related Subsidiaries

Editorial Notes

Amendments

Citations & Metadata