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Lawmakers to Question Kessel Next Week: Legislators to Raise Issues Tied to Suit
Tuesday, July 21, 2009 11:53 AM


(Source: The Buffalo News)trackingBy Thomas J. Prohaska, The Buffalo News, N.Y.

Jul. 21--LOCKPORT -- New York Power Authority President Richard M. Kessel will appear at next week's Niagara County Legislature meeting to face questions about issues that led the county to sue the Power Authority earlier this year.

Legislature Chairman William L. Ross said Monday that he has received confirmation from Power Authority headquarters that Kessel will attend the July 28 Legislature meeting, which starts at 7 p. m. in the County Courthouse, Park Avenue and Hawley Street.

Ross, C-Wheatfield, said that at a meeting of the Republican-led majority caucus Saturday, members were urged to prepare good questions for Kessel in advance.

"They'll probably talk about the sweep," Ross said, referring to the Power Authority's decision to send $544 million of its surplus funds to the general state treasury to help try to balance the regular state budget.

In May, the County Legislature voted to sue the Power Authority over that. The suit demands that the Power Authority take back the money and use it to pay rebates to residential electric customers in Niagara County.

The county asserts that electric bills here are higher than they should be, with the giant Niagara Power Project located in Lewiston.

The lawsuit has been assigned to State Supreme Court Justice Ralph A. Boniello III, who has scheduled arguments for Aug. 5 in Niagara Falls.

"As long as it's surplus money, it should come back to the people in this area, either by lowering their rates or creating more jobs," Ross said.

Kessel will have something to say himself. Without offering details, Power Authority spokesman Michael Salzman said Kessel will "provide remarks on wide-ranging topics affecting Western New York."

Ross said he also expects questions for Kessel about economic development topics.

The Power Authority's grant of a chunk of discount electricity helped make the $150 million Yahoo! data center deal a reality for the Town of Lockport.

However, State Sen. George D. Maziarz, R-Newfane, the county's most powerful Republican politician, continued to criticize Kessel and the Power Authority even after that.

"We should have an announcement like this every week, with the hydropower we produce in Niagara," Maziarz said June 11, the day Yahoo!'s interest in Lockport was disclosed.

People who were involved with the successful Yahoo! deal are expected to come before the Legislature for kudos after Kessel's session is completed, Ross said.

Among those expected is Buffalo Niagara Enterprise President Thomas A. Kucharski. Ross said Kucharski also is slated to provide a semiannual report to the Legislature, which spends $50,000 a year for a seat on the BNE board.

tprohaska@buffnews.com

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