On Wednesday the Public Utilities Commission of Ohio unanimously ruled that Akron, Ohio-based energy supplier FirstEnergy Corp. must credit its Ohio customers $43.3 million for overcharging for renewable energy credits (RECs) from 2009-2011 that it purchased from its affiliate, FirstEnergy Solutions.
RECs are tradable, non-tangible energy credits that represent proof that one megawatt-hour (MWh) of electricity has been sourced from an eligible renewable energy resource. First Energy Solutions is an energy generator and supplier, while First Energy Corp. is an electricity distributor, which means that it sources its electricity from elsewhere, which requires them to issue bids seeking the most competitively priced energy from a supplier such as First Energy Solutions.
According to the First Energy Corp. website, First Energy Solutions is the competitive subsidiary of FirstEnergy Corp. Both suppliers are based in Akron. An audit conducted by Exeter Associates Inc. revealed that FirstEnergy Corp. paid 15 times more than any other company in the country to purchase the RECs from FirstEnergy Solutions, and FirstEnergy Corp. passed that overcharge onto consumers.
In a copy of the order issued yesterday by the PUC obtained by CityBeat, it states that, "The Companies contend that, given the nascent market, lack of market information available to the Companies, and uncertainty regarding future supply and prices, the Companies' decisions to purchase in-state RECs were reasonable and prudent."
In summary, FirstEnergy contends that because it was scrambling to find a way to meet the state's Clean Energy Law requirements, it had to buy these RECs no matter the cost, and that there are no legal specifications within the Clean Energy Law that requires RECs be purchased or sold at market price; and that the costs issued to them, and subsequently, customers, weren't unreasonable.
The Ohio Consumers Counsel, however, says that there were cheaper alternatives available and that FirstEnergy should have checked with the PUC prior to paying 15 times more for RECs than any other country had in the past. If they'd rejected the exorbitant bids, says OCC, and instead consulted with PUC and OCC, they could have come up with a solution to prevent from charging customers excessively high rates.
In June 2012, FirstEnergy Solutions was the winning bidder in Cincinnati's energy aggregation program, which is supposed to allow us to receive lower "aggregate" rates for buying in bulk. At the time, FirstEnergy touted the merits of its "100 percent green" energy supply, sourced from wind, solar, biomass and other renewable resources. The bid was expected to save homeowners around $133 annually.
What enabled FirstEnergy to provide the "clean" energy was its use of a system with non-tangible renewable energy credit (RECs) that each represent proof that one megawatt-hour (MWh) of electricity has been sources from a renewable energy resource.
Purchasing the credits from its subsidiary allows FirstEnergy Corp. to meet the state's renewable energy standard, which requires that by 2025 all Ohio utility companies provide at least 25 percent of their energy from renewable resources.
Because the lawsuit issued by the PUC examines only the amount paid for RECs during compliance periods between 2009 and 2011, Cincinnati customers who switched to FirstEnergy Solutions last June should not be affected, although the FirstEnergy arms' ambiguous behavior, says Dan Sawmiller, a Sierra Club member who manages Ohio's Beyond Coal campaign, is a likely indicator that the company may be engaging in other unethical practices related to consumer transparency.
The company has not been devoid of controversy in the past. In March, CityBeat reported on state environmental groups' concerns with the movement to lower requirements for defining renewable energy and energy efficiency; FirstEnergy was part of the bloc working to weaken Ohio's Clean Energy Law in hopes of keeping corporation costs low. FirstEnergy was also chastised by the Public Utilities Commission of Ohio in 2009 for distributing and charging customers for energy-efficient light bulbs without receiving customers' authorization.
Sawmiller commended the PUC for fining First Energy, although he suggests the fine is likely modest for the actual damages. He still expresses concern about the need for corporate separation between the two FirstEnergy arms. "The commission left much to be desired in terms of transparency, leaving customers in the dark about what types of renewables are being provided, where are they coming from and at what cost," says Sawmiller in Sierra Club's press release.
A unanimous City Council vote on Wednesday to pass a resolution officially representing Cincinnati's opposition to the proposed H.B. 203, Ohio's own version of controversial "Stand Your Ground" laws, is part of a statewide advocacy effort to oppose loosening restrictions on the use of deadly force.
The vote puts Cincinnati in the middle of a national dialogue that's been ongoing since the death of unarmed 17-year-old Trayvon Martin in Sanford, Fla., in 2012.
The bill, introduced by House Republicans on June 11, contains several revisions to the state's gun laws, the most controversial of which is the proposal to expand the circumstances in which a person has no duty to retreat from a threatening situation before using force in self-defense. Those in opposition to the bill worry that change will encourage vigilante justice and give gun owners a false sense of entitlement in using their firearms in otherwise non-violent situations.
The bill's language also loosens restrictions on concealed carry permits and would make it easier for individuals subject to protection orders to obtain handguns.
State Rep. Alicia Reece spoke at a Wednesday press conference at City Hall to support Cincinnati's formal opposition to the bill. Reece, also president of the Ohio Legislative Black Caucus, is part of its statewide campaign to garner enough opposition to H.B. 203 to present to Gov. John Kasich and other legislative leaders.
She says OLBC has already collected about 5,000 petitions and hopes to obtain more than 10,000 by the time the Ohio House of Representatives resumes regular sessions on Oct. 2.
Reece and Councilwoman Yvette Simpson, who sponsored the resolution, insist that Ohio's self-defense laws are already strong enough to protect those who face physical threats from others. In 2008, then-Gov. Ted Strickland signed Ohio's "Castle Doctrine" into law, which stripped homeowners of the duty to try to retreat in threatening situations and gives them the "benefit of the doubt" when they injure or kill a person who enters their residence or vehicle.
"While many states around the country which have Stand Your Ground laws are looking at ways in which they can repeal those laws, or change those laws, unfortunately Ohio is moving backwards by trying to implement Stand Your Ground laws, which has become one of the most polarizing issues not only in the state of Ohio, but in the country," said Reece at Wednesday's press conference.
The efficacy of stand-your-ground laws to reduce violence is widely debated; several researches insist that the laws actually cause an increase in homicides. Mark Hoekstra, an economist with Texas A&M University, published a study that found homicides increase 7 to 9 percent in states that pass stand your ground laws, compared to states that didn't pass laws over the same period. His study found no evidence the laws had an effect on deterring crime during the time period. Those statistics are difficult to gauge, however, because some homicides are legitimately considered "justifiable" while others may just be the result of the "escalation of violence in an otherwise non-violent situation," he told NPR in January.
H.B. 203 is currently waiting to be heard in front of the Policy and Legislative Oversight committee. See an analysis of the bill below:
The news was unveiled in a city memo this morning, which detailed the streetcar project’s future following a construction deal with Messer Construction, Prus Construction and Delta Railroad.
The news comes after Messer revealed it will need nearly $500,000 more to do construction work, which will be covered by the project’s $10 million contingency funds.
The memo detailed other upcoming milestones for the streetcar project:
• March 1, 2015: Substantial completion of a 3,000-foot test track and maintenance center.
• June 29, 2015: Substantial completion of Over-the-Rhine loop.
• March 15, 2016: Substantial completion of all work.
City Council recently approved $17.4 million in
additional capital funding for the streetcar project, along with various
accountability measures that will require the city manager to regularly update
council and the public on the project’s progress. The project’s estimated cost now stands at $133 million.
Ever since its inception, the Cincinnati streetcar has been mired in political controversies and misrepresentations, which CityBeat covered in further detail here.
It appears there will be 22 candidates on the ballot in November vying for the nine open seats on Cincinnati City Council.
As of today's 4 p.m. filing deadline at the Board of Elections, that's the number of people who had submitted petitions with enough voter signatures. At least five of those candidates, however, haven't yet had the signatures verified by Elections Board staffers because they only filed their final petitions today.
Congressman Steve Chabot could give Olympic gymnast Nadia Comaneci a few pointers about doing quick backflips.
Less than three days after Chabot prohibited the use of cameras at a supposed “town hall” meeting in North Avondale and used the services of a Cincinnati police officer to stop offenders, the congressman is rescinding the rule for future sessions.
In the letter, the Democrats say they would find voter fraud to be a serious problem if it was happening, but they also note recent studies have found no evidence of widespread voter impersonation fraud. An Oct. 4 Government Accountability Office study could not document a single case of voter impersonation fraud. A similar study by News21, a Carnegie-Knight investigative reporting project, found a total of 10 cases of alleged in-person voter impersonation since 2000. That’s less than one case a year.
Tim Burke, chairman of both the Hamilton County Board of Elections and the Hamilton County Democratic Party, says the faulty voter registration forms, which groups like TTV typically cite as examples of in-person voter fraud, never amount to real voter fraud.
“Those nonexistent voters never show up to vote,” he says. “(The forms) were put together by people working on voter registration drives. Frankly, the intent wasn’t to defraud the board of elections; the intent was to defraud their employer into making them think they’re doing more work.”
In other words, people aren't submitting faulty voter registration forms to skew elections; registration drive employees are submitting the forms to try to keep their jobs.
To combat the seemingly nonexistent problem of voter impersonation fraud, TTV is planning on recruiting one million poll watchers — people that will stand by polling places to ensure the voting process is legitimate. The Democrats insist some of the tactics promoted by the group are illegal. The letter claims it’s illegal for anyone but election officials to inhibit the voting process in any way. Most notably, Ohio law prohibits “loiter[ing] in or about a registration or polling place during registration or the casting and counting of ballots so as to hinder, delay, or interfere with the conduct of the registration or election,” according to the letter.
Burke says state law allows both Democrats and Republicans
to hire observers at polling booths. However, the observers can only
watch, and they can’t challenge voters. Even if the appointed observers see suspicious
activity, they have to leave the voting area and report the activity
through other means.
The tactics adopted by TTV have an ugly history in the U.S. Utilizing poll watchers was one way Southern officials pushed away minority voters during the segregation era. By asking questions and being as obstructive as possible, the poll watchers of the segregation era intimidated black voters into not voting. In the post-segregation era, the tactics have continued targeting minority and low-income voters.
The Senate Democrats make note of the ugly history in their letter: “It has traditionally focused on the voter registration lists in minority and low-income precincts, utilizing ‘caging’ techniques to question registrations. It has included encouraging poll watchers to ‘raise a challenge’ when certain voters tried to vote by brandishing cameras at polling sites, asking humiliating questions of voters, and slowing down precinct lines with unnecessary challenges and intimidating tactics. These acts of intimidation undermine protection of the right to vote of all citizens.”
TTV has already faced some failures in Hamilton County. Earlier this year, the group teamed up with the Ohio Voter Integrity Project (VIP), another Tea Party group, to file 380 challenges to the Hamilton County Board of Elections. Of the 380 challenges, only 35 remain. The vast majority were thrown out.
“For the most part, they tried to get a bunch of UC students challenged because they didn’t have their dormitory rooms on their voter registration rolls,” Burke says. “All of those were rejected. We did nothing with those.”
But he said the group did bring up one legitimate
challenge. Some voters were still registered in a now-defunct trailer
park in Harrison, Ohio. Since the trailer park no longer exists,
Burke says no one should be voting from there. The board didn’t purge
those voters from the roll, but the board unanimously agreed to ensure those voters are challenged and sent to the correct polling place if they show up to vote.
Still, TTV insists on hunting down all the phantom impersonators and fraudulent voters. In partnership with VIP, TTV is continuing its mission to stop all the voter impersonation that isn't actually happening.
VIP is brandishing the effort with a program of its own. That organization is now hosting special training programs for poll workers. The organization insists its programs are nonpartisan, but Democrats aren’t buying it.
Burke says it’s normal for Democrats and Republicans to hire poll workers, but if the Voter Integrity Project program puts the organization’s anti-fraud politics into the training, it could go too far.
“The job of the poll worker is to assist voters in getting their ballots cast correctly,” Burke says. “It’s to be helpful. It’s not to be belligerent. It’s not to be making voters feel like they’re doing something evil.”
He added, “If poll workers are coming in and deciding that they’re going to be aggressive police officers making everybody feel like they’re engaged in voter fraud and therefore trying to intimidate voters, that’s absolutely wrong.”
Humana announced Wednesday that they'll be adding 700 jobs to their Cincinnati operations by 2010. With the struggling economy, this is welcome news.
Phil Burress' obsession with other people's sex lives is continuing unabated.
Burress, the head of Sharonville-based Citizens for Community Values (CCV), is upset that this year's Cincinnati Equinox Pride Festival is being held downtown on the Fourth of July and could potentially intrude on some Independence Day events. CCV has sent a mass e-mail to its followers, asking them to write letters of protest to companies sponsoring the event.