OPENING STATEMENT OF THE HONORABLE PETER DEFAZIO 



AT THE FINAL HEARING OF 



THE BONNEVILLE POWER ADMINISTRATION TASK FORCE 



OF THE COMMITTEE ON NATURAL RESOURCES 



October 28, 1993 



Today the Bonneville Power Administration Task Force 

 completes its schedule of hearings on the past, present and 

 future of the Bonneville Power Administration. Bonneville's 

 importance as the economic engine of the Northwest probably 

 cannot be overstated. The challenges and opportunities facing 

 the agency today are more daunting than at any time in its recent 

 history. 



During this hearing, we will consider two issues: the 

 Clinton Administration's proposal to allow Bonneville to buy-out 

 its appropriated debt to the U.S. Treasury, and the possibility 

 of restructuring Bonneville into a government corporation in 

 order to achieve greater administrative efficiencies. 



I'd like to take credit for incredible foresight in planning 

 this hearing on Bonneville's Treasury debt nearly six months ago. 

 But none of us could have predicted last April that we would have 

 received a debt buy-out proposal from the administration just one 

 day before this hearing. We owe a great deal to Speaker Foley, 

 whose efforts on behalf of ratepayers in the Northwest for many 

 long years have yielded what may be a long term resolution of 

 this issue that is fair to both Northwest ratepayers and the 

 federal government. We'll hear more about this proposal from 

 Administrator Hardy later in the hearing. 



It is my understanding that witnesses at today's hearing 

 have received a draft copy of a report on Bonneville 

 restructuring that was prepared by the National Academy of Public 

 Administrators. Unfortunately, the authors of the report were 

 not able to attend this hearing, but their work should at least 

 serve to acquaint us with the potential benefits of government 

 corporation status for Bonneville. 



There is probably general agreement on the potential 

 pitfalls. Certainly my greatest concern is to maintain 

 Bonneville's accountability to Congress, the Northwest Power 

 Planning Council, the public and its customers. Many have 

 complained during this Task Force's review that Bonneville is 

 already insufficiently accountable. Any restructuring of the BPA 

 that this Committee undertakes will seek to keep Bonneville fully 

 accountable for all of its responsibilities under the Northwest 

 Power Act. 



With that, I'd like to ask our first two witnesses to be 

 seated . 



