WHEREAS:

There is political pressure on Congress and the states to restructure and deregulate the electric power industry; and

WHEREAS:

Electric utility regulation has traditionally been the province of the states, which are best situated to assess the effects of changes on local economic and fiscal conditions; and

WHEREAS:

Electricity deregulation could result in unfair rates for residential customers due to profiteering, temporary shortages and cost shifting from large industrial users to small commercial and residential customers; and

WHEREAS:

Electricity deregulation jeopardizes good union jobs at public and investor-owned electric utilities; and

WHEREAS:

Electricity deregulation could have adverse affects on the environment as competition leads electric power companies to end or cut back conservation and other environmental programs; and

WHEREAS:

Electricity deregulation can result in communities losing revenues to support essential public services --

 

• when utilities go from paying higher personal and real property taxes as public utilities to paying lower business taxes;

 

 

• when local generating plants are idled or closed to cut costs;

 

 

• when electricity is generated out-of-state, free from local taxes;

 

 

• when competition forces publicly owned and operated utilities to cut annual payments to their public owners; and

 

WHEREAS:

When natural disasters strike, public workers and electric utility workers are the first on the scene, working side-by-side to restore essential services to the public.

THEREFORE BE IT RESOLVED:

That AFSCME opposes federal efforts to restructure and deregulate the electric utility industry; and

BE IT FURTHER RESOLVED:

That AFSCME demands that states considering deregulation examine the potential effects on state and local revenues and undertake the tax reforms necessary to sustain public services without shifting a higher share of taxes onto working families; and

BE IT FINALLY RESOLVED:

That AFSCME will fight to insure that fair rates for residential customers, protection of the environment, and just treatment of our brothers and sisters in the electric utility industry be central components of any deregulation policies and plans.

SUBMITTED BY: 

Edward Keller, Executive Director and Delegate 
AFSCME Council 13
Pennsylvania