16 U.S.C. § 832f — Elements in determining rates

Page 1482 TITLE 16—CONSERVATION § 832e contain such terms and conditions, including among other things stipulations concerning re- sale and resale rates by any such utility, as the administrator may deem necessary, desirable or appropriate to effectuate the purposes of this chapter and to insure that resale by such utility to the ultimate consumer shall be at rates which are reasonable and nondiscriminatory. Such contracts shall also require such utility to keep on file in the office of the administrator a schedule of all its rates and charges to the pub- lic for electric energy and such alterations and changes therein as may be put into effect by such utility. (b) Exchange of excess power The administrator is authorized to enter into contracts with public or private power systems for the mutual exchange of unused excess power upon suitable exchange terms for the purpose of economical operation or of providing emergency or break-down relief. (Aug. 20, 1937, ch. 720, § 5, 50 Stat. 734; Oct. 23, 1945, ch. 433, § 2, 59 Stat. 546; Pub. L. 95–91, title III, § 301(b), Aug. 4, 1977, 91 Stat. 578.) Editorial Notes AMENDMENTS 1945—Subsec. (a). Act Oct. 23, 1945, inserted ‘‘and for the disposition of electric energy to Federal agencies’’ in first sentence. Statutory Notes and Related Subsidiaries TRANSFER OF FUNCTIONS ‘‘Secretary of Energy’’ substituted for ‘‘Federal Power Commission’’ in subsec. (a) pursuant to Pub. L. 95–91, § 301(b), which is classified to section 7151(b) of Title 42, The Public Health and Welfare. Functions of Secretary of the Interior with respect to Bonneville Power Administration transferred to Sec- retary of Energy by section 7152(a)(1)(D), (2) of Title 42, with Bonneville Power Administration to be preserved as a distinct organizational entity within Department of Energy and headed by an Administrator. The Federal Power Commission was terminated, and its functions, personnel, property, funds, etc., were transferred to the Secretary of Energy (except for cer- tain functions which were transferred to the Federal Energy Regulatory Commission) by sections 7151(b), 7171(a), 7172(a), 7291, and 7293 of Title 42. Executive Documents TRANSFER OF FUNCTIONS Executive and administrative functions of Federal Power Commission, with certain reservations, trans- ferred to Chairman of such Commission, with authority vested in him to authorize their performance by any of- ficer, employee, or administrative unit under his juris- diction, by Reorg. Plan No. 9 of 1950, §§ 1, 2, eff. May 24, 1950, 15 F.R. 3175, 64 Stat. 1265, set out as a note under section 792 of this title. For transfer of functions of other officers, employees, and agencies of Department of the Interior, with cer- tain exceptions, to Secretary of the Interior, with power to delegate, see Reorg. Plan No. 3 of 1950, §§ 1, 2, eff. May 24, 1950, 15 F.R. 3174, 64 Stat. 1262, set out in the Appendix to Title 5, Government Organization and Employees. § 832e. Rate schedules Schedules of rates and charges for electric en- ergy produced at the Bonneville project and sold to purchasers as in this chapter provided shall be prepared by the administrator and become ef- fective upon confirmation and approval thereof by the Secretary of Energy; and such rates and charges shall also be applicable to dispositions of electric energy to Federal agencies. Subject to confirmation and approval by the Secretary of Energy, such rate schedules may be modified from time to time by the administrator, and shall be fixed and established with a view to en- couraging the widest possible diversified use of electric energy. The said rate schedules may provide for uniform rates or rates uniform throughout prescribed transmission areas in order to extend the benefits of an integrated transmission system and encourage the equi- table distribution of the electric energy devel- oped at the Bonneville project. (Aug. 20, 1937, ch. 720, § 6, 50 Stat. 735; Oct. 23, 1945, ch. 433, § 3, 59 Stat. 546; Pub. L. 95–91, title III, § 301(b), Aug. 4, 1977, 91 Stat. 578.) Editorial Notes AMENDMENTS 1945—Act Oct. 23, 1945, inserted ‘‘and such rates and charges shall also be applicable to dispositions of elec- tric energy to Federal agencies’’ in first sentence. Statutory Notes and Related Subsidiaries TRANSFER OF FUNCTIONS ‘‘Secretary of Energy’’ substituted in text for ‘‘Fed- eral Power Commission’’ pursuant to Pub. L. 95–91, § 301(b), which is classified to section 7151(b) of Title 42, The Public Health and Welfare. Functions of Secretary of the Interior with respect to Bonneville Power Administration transferred to Sec- retary of Energy by section 7152(a)(1)(D), (2) of Title 42, The Public Health and Welfare, with Bonneville Power Administration to be preserved as a distinct organiza- tional entity within Department of Energy and headed by an Administrator. The Federal Power Commission was terminated, and its functions, personnel, property, funds, etc., were transferred to the Secretary of Energy (except for cer- tain functions which were transferred to the Federal Energy Regulatory Commission) by sections 7151(b), 7171(a), 7172(a), 7291, and 7293 of Title 42. Executive Documents TRANSFER OF FUNCTIONS Executive and administrative functions of Federal Power Commission, with certain reservations, trans- ferred to Chairman of such Commission, with authority vested in him to authorize their performance by any of- ficer, employee, or administrative unit under his juris- diction, by Reorg. Plan No. 9 of 1950, §§ 1, 2, eff. May 24, 1950, 15 F.R. 3175, 64 Stat. 1265, set out as a note under section 792 of this title. § 832f. Elements in determining rates It is the intent of Congress that rate schedules for the sale of electric energy which is or may be generated at the Bonneville project in excess of the amount required for operating the dam, locks, and appurtenant works at said project shall be determined with due regard to and predicated upon the fact that such electric en- ergy is developed from water power created as an incident to the construction of the dam in the Columbia River at the Bonneville project for Page 1483 TITLE 16—CONSERVATION § 832h the purposes set forth in section 832 of this title. Rate schedules shall be drawn having regard to the recovery (upon the basis of the application of such rate schedules to the capacity of the electric facilities of Bonneville project) of the cost of producing and transmitting such electric energy, including the amortization of the cap- ital investment over a reasonable period of years. Rate schedules shall be based upon an al- location of costs made by the Secretary of En- ergy. In computing the cost of electric energy developed from water power created as an inci- dent to and a byproduct of the construction of the Bonneville project, the Secretary of Energy may allocate to the costs of electric facilities such a share of the cost of facilities having joint value for the production of electric energy and other purposes as the power development may fairly bear as compared with such other pur- poses. (Aug. 20, 1937, ch. 720, § 7, 50 Stat. 735; Pub. L. 95–91, title III, § 301(b), Aug. 4, 1977, 91 Stat. 578.) Statutory Notes and Related Subsidiaries TRANSFER OF FUNCTIONS ‘‘Secretary of Energy’’ substituted in text for ‘‘Fed- eral Power Commission’’ pursuant to Pub. L. 95–91, § 301(b), which is classified to section 7151(b) of Title 42, The Public Health and Welfare. The Federal Power Commission was terminated, and its functions, personnel, property, funds, etc., were transferred to the Secretary of Energy (except for cer- tain functions which were transferred to the Federal Energy Regulatory Commission) by sections 7151(b), 7171(a), 7172(a), 7291, and 7293 of Title 42. § 832g. Purchase of supplies and services Notwithstanding any other provision of law, all purchases and contracts made by the admin- istrator or the Secretary of the Army for sup- plies or for services except for personal services, shall be made after advertising, in such manner and at such times, sufficiently in advance of opening bids, as the administrator or Secretary of the Army, as the case may be, shall deter- mine to be adequate to insure notice and oppor- tunity for competition. Such advertisement shall not be required, however, when (1) an emergency requires immediate delivery of the supplies or performance of the services; or (2) re- pair parts, accessories, supplemental equipment, or services are required for supplies or services previously furnished or contracted for; or (3) the aggregate amount involved in any purchase of supplies or procurement of services does not ex- ceed $500; in which cases such purchases of sup- plies or procurement of services may be made in the open market in the manner common among businessmen. In comparing bids and in making awards, the administrator or the Secretary of the Army, as the case may be, may consider such factors as relative quality and adaptability of supplies or services, the bidder’s financial re- sponsibility, skill, experience, record of integ- rity in dealing, and ability to furnish repairs and maintenance services, the time of delivery or performance offered, and whether the bidder has complied with the specifications. (Aug. 20, 1937, ch. 720, § 8, 50 Stat. 735; July 26, 1947, ch. 343, title II, § 205(a), 61 Stat. 501.) Statutory Notes and Related Subsidiaries CHANGE OF NAME Department of War designated Department of the Army and title of Secretary of War changed to Sec- retary of the Army by section 205(a) of act July 26, 1947, ch. 343, title II, 61 Stat. 501. Section 205(a) of act July 26, 1947, was repealed by section 53 of act Aug. 10, 1956, ch. 1041, 70A Stat. 641. Section 1 of act Aug. 10, 1956, en- acted ‘‘Title 10, Armed Forces’’ which in sections 3010 to 3013 continued military Department of the Army under administrative supervision of Secretary of the Army. TRANSFER OF FUNCTIONS Functions of Secretary of the Interior with respect to Bonneville Power Administration transferred to Sec- retary of Energy by section 7152(a)(1)(D), (2) of Title 42, The Public Health and Welfare, with Bonneville Power Administration to be preserved as a distinct organiza- tional entity within Department of Energy and headed by an Administrator. § 832h. Miscellaneous administrative provisions (a) Accounts; audit; procedures, etc., prescribed The administrator, subject to the require- ments of the Federal Power Act [16 U.S.C. 791a et seq.], shall keep complete and accurate ac- counts of operations, including all funds ex- pended and received in connection with trans- mission and sale of electric energy generated at the Bonneville project, and in the maintenance of such accounts, appropriate obligations shall be established for annual and sick leave of ab- sence as earned. The Administrator shall, after the close of each fiscal year, obtain an inde- pendent commercial-type audit of such ac- counts. The forms, systems, and procedures pre- scribed by the Comptroller General for the Ad- ministrator’s appropriation and fund accounting shall be in accordance with the requirements of the Federal Power Act with respect to accounts of electric operations of public utilities and the regulations of the Federal Energy Regulatory Commission pursuant thereto. (b) Current expenses The administrator may make such expendi- tures for offices, vehicles, furnishings, equip- ment, supplies, and books; for attendance at meetings; and for such other facilities and serv- ices as he may find necessary for the proper ad- ministration of this chapter. (Aug. 20, 1937, ch. 720, § 9, 50 Stat. 736; Oct. 23, 1945, ch. 433, § 4, 59 Stat. 547; Pub. L. 89–448, § 2(a), formerly § 2, June 14, 1966, 80 Stat. 200, as renum- bered Pub. L. 89–561, § 6(1), Sept. 7, 1966, 80 Stat. 714; Pub. L. 95–91, title IV, § 402(a)(1)(B), Aug. 4, 1977, 91 Stat. 583.) Editorial Notes REFERENCES IN TEXT Federal Power Act, referred to in subsec. (a), was in the original the ‘‘Federal Water Power Act’’, and was redesignated the Federal Power Act by section 791a of this title. The Federal Power Act is act June 10, 1920, ch. 285, 41 Stat. 1063, and is classified generally to chap- ter 12 (§ 791a et seq.) of this title. For complete classi- fication of this Act to the Code, see section 791a of this title and Tables. AMENDMENTS 1966—Subsec. (c). Pub. L. 89–448 repealed subsec. (c) which provided for annual financial statement to Con- gress. See section 835j of this title.