Logansport City Council voted in favor of a power purchase agreement with a power plant developer on second reading Monday while the development agreement initially expected to be on the agenda will be considered at a later time.
Total Concept Solutions Logansport Energy Group LLC, headed up by a France-based firm and often referred to as TCS, is proposing to develop the plant. The privately funded facility is estimated to cost about $803 million and would set an initial electric rate of 5.3 cents per kilowatt-hour until 2021, when rates would rise in accordance with the Consumer Price Index — All Urban Consumers.
Logansport Municipal Utilities, or LMU, currently receives about 70 percent of its power from Duke Energy and generates the remaining 30 percent from its coal plant on Race Street in Logansport. For the first three months of 2014, LMU paid an all-in cost of 7.55 cents per kilowatt-hour from Duke Energy.
Monday’s vote count matched that of the first vote held on the matter earlier this month, with council members Bob Bishop, Joe Buck, Gary Fox, Charlie Hastings and Teresa Popejoy voting in favor and Jeremy Ashcraft and Chuck LaDow voting against.
The development agreement, which will set terms between the city and TCS as to how big the plant will ultimately be and set milestones for construction, has yet to be completed. Citizens, representatives of businesses and officials have expressed at past public meetings that the development agreement should be released with enough time for review.
At the beginning of the meeting, Logansport City Council President Joe Buck read a letter addressed to Logansport Mayor Ted Franklin signed by city council members dated June 5. The letter requested the ordinance that would conditionally authorize the development agreement be temporarily withdrawn from consideration by the council.
The letter goes on to request that when the development agreement is completed, that council members be allowed 30 days to review the document.