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working well on other systems. Other pilot programs such as 

 issuing RFPs for preference customer conservation proposals, 

 direct allocation of conservation monies to the utility customers, 

 could also hold promise. 



c. Bonneville should avoid redesigning conservation programs 

 during the transition, unless done in the above experimental 

 mode. However, new conservation contracts with customers 

 should allow for reasonable retroactive changes that enhance the 

 equitable sharing of program costs. 



d. Place more emphasis on the direct involvement of the boards, 

 management and staff as local decision makers who can provide 

 on the ground credibility for worthwhile conservation programs. 



We believe the new Bonneville's resource activities will be more 

 responsive to what its requirements customers ask it to do. The charter that 

 the Regional Act gave Bonneville was to acquire resources to meet loads that 

 its customers asked that it meet . In the future, with or without tiered rates, 

 the means of meeting those loads will require the active agreement of those 

 utilities. 



13. Please provide any other suggestions regarding actions that would 

 make Bonneville more competitive or cost-effective. 



Bonneville needs Northwest congressional support in getting rid of the 

 red tape that the DOE and 0MB have inflicted on Bonneville. The current 

 effort in using BPA as a laboratory to "reinvent government" should be used 

 to allow BPA to make timely and more cost-effective decisions. Additionally, 

 members of Congress should recognize that asking BPA act as a "deep 

 pocket" to pay for non-power system expenses of regional agencies has 

 become an unfair burden to Bonneville customers and is contributing to 

 BPA's lack of competitiveness. Bonneville has served the region well in the 

 past 50 years, it deserves the chance to regroup and continue to be a major 

 regional asset. 



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