The Commonwealth Utilities Corp. filed Monday in the U.S. District Court its preliminary response to U.S Department of Justice\u2019s filings, disputing several points that it said were inaccurate statements, according to CUC executive director Alan Fletcher.<\/p>\n
Fletcher told Saipan Tribune yesterday that DOJ\u2019s 97-page filing contained numerous inaccuracies, \u201cmost of which CUC has addressed.\u201d<\/p>\n
Fletcher assured that CUC continues to make steady progress on projects that are required under stipulated orders 1 and 2.<\/p>\n
Stipulated order 1 focuses on CUC\u2019s quarterly progress that includes staff updates, organizational structure, management structure, procurement procedures and training programs, and water and wastewater operations.<\/p>\n
Stipulated order 2 focuses on replacing an eight-inch pipeline in Lower Base, replacing the dilapidated Tank 102, and oil remediation actions at Power Plants 1 and 2, among others.<\/p>\n
CUC\u2019s chief legal counsel James Sirok said that DOJ submits its filings late and just before scheduled hearings, giving CUC little chance to respond before appearing in court.<\/p>\n
\u201cThe effect of these filings has been to prejudice the utility, and throw it off balance with competing demands on its time as it attempts to address the actual issues requested by the court as well as the ongoing critical construction projects,\u201d Sirok said.<\/p>\n
He noted that CUC has asked DOJ to coordinate their response to give CUC a chance to adequately respond before hearing dates. <\/p>\n
In the latest instance, Sirok said that CUC had only two business days to respond after the court brought to CUC\u2019s attention that DOJ had filed a three-page letter with the court.<\/p>\n
Inaccuracies<\/p>\n
Although he appreciates the U.S. Environmental Protection Agency\u2019s support in recruiting staff, Fletcher said that naming CUC\u2019s chief accountant as their acting chief financial operator is \u201creasonable until it can fill the position.\u201d<\/p>\n
\u201cThe chief accountant is a certified public accountant, licensed by the Guam Board of Accountancy, and has approximately 10 years of management level utility experience,\u201d Fletcher said.<\/p>\n
He also said that EPA failed to mention that it also has obligations to ensure that all aspects of the master plan is properly included, such as the groundwater plan.<\/p>\n
\u201cEPA approved the scope of work for the master plan and in that scope, the consultant was supposed to only make recommendations about the groundwater plan. Now, EPA is requiring that CUC have the consultant actually draft the plan,\u201d Fletcher said.<\/p>\n
CUC\u2019s petroleum and compliance manager Andrew Longworth belied EPA\u2019s concern that CUC \u201ccontinues to fail to address the ongoing [oil] contamination\u201d at the power plants in Lower Base, saying that it is incorrect.<\/p>\n
\u201cBoth the number and size of spills have reduced significantly over the years. To characterize a spill within secondary containment as a reportable discharge is another instance of overreach,\u201d Longworth said.<\/p>\n
Longworth also responded to a claim by EPA\u2019s on-scene coordinator for Region IX, Michelle Rogow, who said that the oil\/water separator system discharges are a source of subsurface oil contamination and migration into the ocean at power plants 1,2, and 4 and the Rota power plant.<\/p>\n
\u201cThere is no evidence that treated water from the current oil\/water separator system is causing an ongoing reportable release into the waters of the U.S,\u201d Longworth said.<\/p>\n
Fletcher assured that CUC continues to make steady progress on both stipulated orders and projects. <\/p>\n
\u201cThis progress is in spite of the many hardships we experience,\u201d he said. <\/p>\n
\u201cWhile we agree with the EPA\u2019s desire to complete more projects and complete stalled projects, such as Tank 102 and oil pipeline, any assertions that CUC has ignored its responsibility is simply not true,\u201d he added.<\/p>\n
Fletcher said that CUC has complied with the stipulated orders and routinely coordinates and communicate with all involved parties.<\/p>\n
He noted that government arrears jeopardize the operational stability of CUC and its ability to fund more projects.<\/p>\n
\u201cFuture successes are highly dependent on maintaining a financially stable utility. Today we do not recover our costs of service and run deficits in water and sewer utilities; the electric utility is not in as bad a shape operationally, but there is no money for additional stipulated order no. 2 projects,\u201d Fletcher said.<\/p>\n","protected":false},"excerpt":{"rendered":"
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