AlB—Lancaster Farming, Saturday, August 29,1981 Energy Day promotes new power sources DILLSBURG Energy Saving and efficient sources of power were the highlight of the energy field day sponsored by J&J Agn products on Saturday. Displays of all sorts energy saving equipment was on display at the Agrispon building; Solar Panels and wood stoves were in cluded among the more unique displays of electric cars and wind generators. The mam feature of the energy day was the demonstration of the windmill that will be used to preheat the water for heating the building. A generator at the top of the windmill’s tower produces electricity for batteries, where it is stored until needed. “It takes a wind of 7 mph to generate electricity,” according to James McHale, general manager ‘Vote Yes HARRISBURG A statewide campaign seeking voter approval of a $3OO million water projects bond issue (House Bill 1484) on the November 3 ballot was kicked off here on Monday. ' Rocky Bleier, honorary chair man of the Vote Yes For Water Committee, said, “Water is a resource we can no longer take for granted. Most Pennsylvanians think of water problems as something that exist only in other parts of the nation. We now know that is not true.” The state’s credit would be used to borrow money at a lower in terest rate than otherwise possible. There are not state subsidies in volved. The loans would be paid back by the water companies, authorities or local governments which borrowed the irioney. According to George Wolff, chairman of the newly-formed Committee, a wide variety of organizations are already behind this effort, including providing financial support Don Payne, executive vice president of the Pennsylvania Builders Association, presented the first check to Wolff, a $lOOO contribution., Officers of the Committee are Chairman Wolff, president of the Pennsylvania Association of Conservation District Directors; Vice Chairwoman Carol Eshleman, of the League of Women Voters; Secretary Charles Wismer, of the Pennsylvania State Grange; Treasurer Wilson Lewis, of the Dauphin Deposit Bank in Harrisburg; Finance Chairman John Ware, former Umted States Congressman; Enabling Legislation Committee Chairman Paul Hess, of the Pennsylvania Chamber of Commerce; and Public Relations Chairman David Kirkpatrick, of the Association of Pennsylvania State Colleges and Umversity Faculties. The following are some frequently asked questions about this $3OO million capital investment program. WHY A REFERENDUM? The Pennsylvania Constitution specifies that debt can be incurred on behalf of the Commonwealth for projects not of an emergency nature, such as disasters, or not specifically itemized in a capital budget, only with the approval of the voters. There are con stitutional limitations on projects specifically itemized in a capital budget. Because this program has extensive public unpact, the Governor and the General Assembly feel that the voters should determine pubhc policy on this issue. of J&J Agri-products. McHale added that the average winds around his building were 10 mph. McHale had no figures on cost installation nor how much it would actually save his company. “But it will save us money an the tax credit alone,” he stated. Another highlight of the energy fair was the Bussure Electric Cay. This Dodge colt pickup truck will travel 80 miles on fully charged batteries. A windmill similar to the one previously mentioned is used to power the batteries. When the trips are longer than 80 miles, a 20 HP air cooled, gasoline motor which gives over 70 miles to the gallon powers the car. Also featured as an added at traction to the energy day, was the earth sheltered home. This home combmes solar, wood and other for Water’ campaign makes first splash HOW MUCH WILL THESE LOANS COST PENNSYLVANIA TAXPAYERS? No taxpayer dollars will be used tor these loans. The loan money will be raised through the sale of bonds paid back by the companies, authorities or local governments borrowing the money. Some ad ministrative costs will be in the Commonwealth’s General Budget in future years (taxpayer dollars). WHY IS THE COMMONWEALTH PROPOSING THIS PROGRAM AT THIS TIME? Pennsylvania is facing serious public health and safety, en vironmental and economic problems because of deteriorating water supply systems. Many of these facilities are small and lack the necessary capital base, revenue and management and technical skill to develop and maintain adequate water systems. The vitality of the Commonwealth depends on restoring the systems that provide this most precious resource for our domestic, agricultural and industrial ac tivities. WHY IS THE COMMONWEALTH ASSISTING PRIVATE COMPANIES AS WELL AS MUNICIPALITIES? The intent behind the proposed loan program is to make needed funds available so that as many Pennsylvanians as possible can benefit. Sound water supply systems, safe dams, flood control projects and adequte port facilities benefit the general public by providing for health and safety and the basis for economic develop ment in the Commonwealth. WHO WILL BE ELIGIBLE TO RECEIVE THESE LOANS? Generally, any owner of a community water supply system, water supply dam or port facility would be eligible to receive a loan under this program In addition, municipalities would be eligible to receive loans for flood control projects. WHAT CRITERIA WILL BE USED TO DETERMINE WHICH FACILITIES RECEIVE LOANS? The most important factors which will be considered in choosing which facilities receive loans will be those which demonstrate existing or potential health, safety or inadequacy problems. Another important consideration will be financial need and the ability to maintain the facilities and to repay the loans. In addition, facilities which would further economic development efforts in the state also would be considei ed. techniques that will hopefully reduce the amount of energy needed to heat the home. The final exhibit featured at the Energy Day was a demonstration on Alcohol fuels by J.E. Stabley, York. Stabley explamed the distillation process behind alcohol fuels and had finished products available on display. “This process is especially good for farmers,” Stabley said. The alcohol produced will make farm machines-run better, the carbon dioxide can be used to make plants grow better in green houses, and the com that remains in a very concentrated source of protein. “The Distiilard Grams contain three tunes, the protein in, the same amount of com,” Stabley stressed. HOW WILL THE AMOUNT OF MONEY LOANED FOR IN DIVIDUAL FACILITIES BE DETERMINED? The procedures for ad ministering the program and the criteria for setting priorities will be established in the enabling legislation, which will be acted upon after the referendum is ap proved. The enabling legislation will be considered in the com mittee structure in the General Assembly This will provide an opportunity for input from the public and private sectors con cerning the use ot the funds. WHO WILL ADMINSITER THE PROGRAM? The Department ot En vironmental Resources would administer the portions ot the program related to water supply systems, dams and Rood control projects. The Department of General Services would ad minister the portions ot the program relating to restoring port facilities. ; WHY IS THE STATE ASSISTING PRIVATE, PROFIT-MAKING COMPANIES? The intent of this loan program is to make needed funds available to all community water systems so that as many Pennsylvanians as possible can benefit from the initiative. WHY IS A REFERENDUM NECESSARY? The Pennsylvania Constitution specifies that debt can be incurred on behalf of the Commonwealth tor projects not included m a capital budget or of an emergency nature only with the approval of the voters. WHY ISSUE BONOS FOR THIS PROGRAM? The capital needs of pubhc water suppliers are more than the available current revenues. The funds will be mvested in physical improvements which will benefit water users for many years. The use of borrowed funds with annual repayments is an appropriate method ot distributing costs to the system users over the useful life ot the improvements. WHY SHOULD THE STATE RAISE THE MONEY RATHER THAN THE MUNICIPALITIES OR PRIVATE COMPANIES? Many water supply systems have difficulty raising money because they are small businesses or authorities with limited revenues, and cannot get credit tor Idige i. >'>s This windmill was one of the featured exhibits at the J&J Agri-Spon Products Energy Day held last week. The windmill is used to preheat the water that heats the Agri-Spon building, site of the field day. WHY HAVEN’T PRIVATE COMPANIES INCRESED THEIR RATES TO FINANCE RESTORATION PROJECTS? Private utilities are regulated, in the public interest, by the Public Utility Commission. Unlike municipal water suppliers, which may raise their rates to reflect increased costs as long as the rates are reasonable, private companies must apply to the PUC for rate increases. PUC regulations do not allow private utilities to increase their rates to pay tor new facilities or improvements until alter those facilities are m service. This means that the private company cannot finance improvements by mcreasmg revenues. Many of the small, private utilities do not have the financial ability to raise credit tor such projects. WHICH WATER SUPPLIERS ARE REGULATED BY THE PUC? All privately owned water supply systems and those pubhc ones which provide service outside their municipal boundaries are regulated by the PUC. ISN’T THIS PROGRAM RISKY? WILL THE COMMONWEALTH BE STUCK IF A WATER SUPPLY SYSTEMS DEFAULTS ON A LOAN? One part ot the loan process will NCFC appoints Howell WASHINGTON, D.C. - The National Council ot Farmer Cooperatives announces the ap pointment ot James P. Howell as director, federal energy affairs. In this post, he will report to the NCFC 'vice president of energy resources. He will work on all aspects ot various energy proposals before Congress, as well as energy regulations proposed by government agencies that pertain to agriculture. Howell initially will participate in the NCFC’s priority effort to move energy emergency preparedness legislation to enactment. He will also acf as liaison between the NCFC and the Agricultural Energy Users Con ference, a Washington ad hoc committee ot farm and food trade associations concerned with be to review the financial and organizational structure of these systems. Before granting loans, the Commonwealth will seek to assure that water systems become properly organized and arrange their finances to be able to repay the loans. In the event of a default, the enabling legislation for the loans can establish procedures for collection of revenue, including liens and receiverships to secure loans. The primary assurance the Commonwealth has is the provision of technical organizational and financial assistance to these systems atjhe time they accept loans, to assure that they will become viable over the long term. THESE WHAT IS DER’S POSITION ON THE BOND ISSUE? DER enthusiastically supported the House Bill to place the question of the bond issue on the ballot. Now that the bill has been enacted into law, the question is strictly one for the voters. DER supports the bond issue as presented to the voters. There role is to now provide tac tual information based on its ex pertise in the areas ol water supply, dams and flood control when asked by the citizens and their groups. Should the voters approve the bond issue, DER will work with the General Assembly in preparing- suitable enabling legislation. energy supply issues. A native ot Urbana, Indiana, Howell is a 1971 political science graduate of DePauw University. He has also studied at the University ot Copenhagen, Den mark. Prior to joining the NCFC, Howell served eight years as a committee staffer on Capitol Hill. Since 1976, he has served as a protessional stall member ot the Senate Committee on Energy and Natural Resources His duties included tracking legislation and briefing committee members on legislative developments, amendments, and future action. The National Council ot Farmer Cooperatives is the national legislative arm for U.S. farmer cooperatives.