The University Daily
Inventive awards KU employees recognized Inside, p. 3.
KANSAN
WARM
SUNNY
Published since 1889 by students of the University of Kansas
Vol. 94, No. 104 (USPS 650-640)
High, 60. Low, 30.
Details p. 2
Tuesday morning, February 21, 1984
Wolf Creek carries utilities into troubled waters
Editor's Note: This is the first in a four-part series about the Wolf Creek nuclear power plant near Burlington.
BURLINGTON — Cost overruns at the Wolf Creek nuclear plant have stirred financial concerns throughout the state
Larry Funk/KANSAN
By ROB KARWATH Staff Reporter
Yesterday officials from KG&E unveiled their plan to pay for the state's budget.
Within a year, electric bills for Kansas Gas and Electric Co. customers could double because of an attempt by the company to avert financial disaster and save the Wolf Creek nuclear power plant near Burlington.
more than $1.63 billion over budget and more than two years behind schedule
The plan would phase in the plant's cost over five years and would raise the bills of KGGE's customers 95.4 percent by 1990. If the Kansas Corporation Commission approves the rate plan and the increase meets no opposition, the KGGE & K&D would begin charging its customers higher rates starting Feb. 15 next year.
The Wolf Creek plant would serve communities in southeast Kansas and the metropolitan areas of Wichita and Kansas City.
Last week, KG&E officials said that the company, the principal builder and operator of Wolf Creek, would go to the bank to receive rates to pay for the $2.67 billion plant.
Lyle Koeper, a KGGE spokesman,
said he fully expected the KCC and
MNRC to approve his proposal.
sible action" to see that Wolf Creek and KG&E stayed alive.
"We're saying that if we have timely rate relief for Wolf Creek when it begins service, then the company will be able to deliver it later, then the company will have trouble."
Officials of Kansas City Power and Light Co., of Kansas City, Mo., the other principal builder of Wolf Creek, said last week that their company also owns the plant unless it could pass the costs of building the plant on to its customers.
But Joe Kramer, KCP&L nuclear information spokesman, said he saw no
reason to speculate whether KC&P3 would go bankrupt. Company officials, be said, are sure that the KCCT and the KCCB will approve the needed rate increases.
proposal for paying for Wolf Creek to the KCC this summer or fall.
"I can foresee the possibility of
Under the plan KG&E is proposing, customers would be solely responsible for paying for the plant. The company would not cut dividends to its stock
KG&E unveils rate phase-in plan, details on p. 8
bankrupt electrical utilities if the regulators fail to adequately recognize the cost of building a nuclear plant in their rate bases," he said. "But we don't anticipate that they will do that."
KCP&L is expected to present its
holders to pay for any part of the building costs.
An average K&E residential customer pays a monthly electricity bill of about $46, according to figures provided by the company. A 95.4 percent
increase would raise that bill to about $90 by the end of the five-year plan.
Both companies own a 47 percent share in the 1,150-megawatt plant. Kansas Electrical Power Cooperatives Inc., a group of 25 rural electrical cooperatives, owns the remaining 6 percent.
Customers would pay extra to have the huge increase broken down over five years. If the increase were applied to bills all at once next year, customers would not have to pay $6.3 million in carrying costs for the phase-in.
See WOLF CREEK, D. 8, col. 1
waters City banks on plant for future
By ROB KARWATH Staff Reporter
BURLINGTON — Eddie Rich, sitting in a chair at John's Barbershop, squinted and tilted his head to the left, putting a particularly unruly gray wisp of hair directly in the path of John Deitrich's scissors.
In his 62 years, Rich has never seen this small southern Kansas town quite as beautiful.
Men have come to town, lots of bearded, beer-drinking, well-paid workmen. Saturday nights are no longer as quiet as they used to be outside the taverns at Neosho Street. Then again, the cash registers stuffed with big stacks of money in those bars and in many of the town aren'at all the way it used to be.
The Wolf Creek nuclear plant, about five miles north of this town of about 2,700, has brought the workmen and their money here. Each day the team puts together a stringing power lines and building Kansas' first nuclear power plant.
But now with the plant more than two years behind schedule, $1.63 billion over budget and threatening to bankrupt the two utility companies building the plant, the state that the big Wolf, now 90 percent complete, might go belly up.
Mondale wins Iowa vote; Hart is a surprising second
"JOBS WOULD BE deader than hell," said Rich, who owns a 400-acre cattle ranch south of town. "I'll tell you, if I want to go back, you'd better move out of Coffey County."
See BURLINGTON, p. 8, col. 3
By United Press International
The victory was a first-round knockdown in what Mondale hopes will be a short fight in the race for the Democratic nomination - possibly
DES MOINES, Iowa — Former Vice President Walter Mondale overwhelmed seven Democratic rivals in the Iowa precinct caucuses last night — the first vote of the 1984 presidential race.
"I am ready to defeat Mr. Reagan," Mondale told a cheering crowd at a victory party after a lopsided finish in which he grabbed nearly half the popular vote and nearly all 50 Iowa
ending as early as "Super Tuesday" when nine states, vote on March 13.
THE BATTLE FOR second place in Iowa was being waged between Sen. Gary Hart of Colorado and the sentimental favorite, former Gov. Rick Snyder of Dakota, the party's 1972 presidential candidate.
Finishing behind them — and suffering a major setback to their campaigns — were Sen. John Glenn of Ohio, who had been second in most national polls, and Sen. Alan Cranston of California, who said he had to finish a strong third in Iowa to stay alive in the race.
With 1,685 of the 2,496 precincts or 68 percent reporting, Mondale had 25,574 for 45 percent; Hart had 8,485, 15 percent; McGovern had 7,215, 13 percent; Cranston had 5,314, 9 percent; uncommitted voters had 4,130, 7 percent; Glenn had 3,086, 5 percent; former Florida Gov. Ruben Askew had 1,884, 3 percent; civil rights activist Jesse Jackson had 1,618, 3 percent; South Carolina Sen. Ernest Hollings had 144, less than 1 percent.
That would translate into 46 delegates for Mondale and two each for Hart and McGovern.
MONDALE BUILT HIS victory on one of the most impressive political organizations in Democratic Party history and with the help of an organization from organized labor who endorsed his candidacy.
"I feel just great. Tonight you have launched us toward victory." Monday said. "Tonight the voters of Iowa said we want a president who supports you for Iowa for you Iowa for the mandate you have given me."
Hart, who was in New Hampshire, was elated with his strong finish and said he would be the next coach.
"I think you will see the gap between us narrow in New Hampshire, and more after we get married."
BUT IN BOSTON Glenn told reporters the race was not over just because of his disappointing run.
"Of course I would have liked to do better in Iowa," he said. "But I hope you will resist the temptation to blow those results all out of proportion. We got out-hustled there, but now we're on to New Hampshire. We're going to be doing big things up there next week."
The lopsided vote was likely to narrow the field for the nomination and could concentrate new attention on Hart as the candidate anti-Mondale for the state. The result would be an attempt to stop Monday's drive for the nomination.
Much of Hart's strength came in rural areas of the state where he campaigned extensively while the others concentrated on the populated sections of Iowa.
MCGOVERN HAD ALMOST no organization in the state and did not wage an expensive television ad campaign as the other leading
See IOWA, p. 5, col. 4
DES MOINES, iowa — Former Vice President Walter Mondale; his wife,乔an; and his son Ted, upper left, celebrate Mondale's
victory. Mondale won the Iowa Democratic party caucuses yesterday.
Bill would shift burden of city improvement
By SHARON BODIN Staff Reporter
Staff Reporter
A Lawrence citizens group concerned about financing for downtown redevelopment asked State Rep Betty Jo Charlton, D-Lawrence, to serve as a mediator, which is not expected to survive in committee.
The proposal, introduced in early February, has met stiff opposition from the Lawrence City Commission and a lobbyist for the League of Kansas Municipalities.
The financial burden of city improvement projects would shift from city taxpayers to those directly benefit from the projects under a bill backed by a Lawrence legislator.
Mosher said that he opposed the bill because it would destroy the flexibility cities now have in passing laws about housing.
ERNIE MOSHER, the lobbyist, yesterday attacked the proposal in a meeting of the House Committee.
"If there is a problem that needs to be resolved
in Lawrence, it shouldn't be at the expense of other cities in Kansas." Mosher said.
The bill, which would provide for more public participation in how projects are financed, requires that the city's general fund pay a maximum 20 percent of the cost of improvement projects. The rest would be paid by those directly affected by the improvement.
Charlton said, "It's difficult to get anything through that Mr. Mosher opposes."
UNDER THE PROPOSAL, if projects are financed by general obligation bonds, taxes could be used to pay for only 20 percent of the general obligation bonds are guaranteed by the city.
State law now provides that city taxpayers' money can be used to pay for up to 19 percent of taxes.
Mosher said the bill would not necessarily protect the taxpayers' interests. He said that the bill could hurt taxpayers in the long run by limiting the number of projects that cities could
E. R. Zook, a member of the citizens' tax
committee that asked Charlton to introduce the bill, testified in support of the proposal during the committee.
Zook said the proposed downtown redevelopment project in Lawrence was an example of tax taxpayers' having to pay for a project that benefited a specific area.
"The possibility that 95 percent of the $7.5 million to $10 million cost could be charged to the public at large through general obligation bonds creates grave concern about a statute that permits such a thing to happen," he said. "The public has no way to know this from happening without it being a statute not required by referendum so the taxpayers can register their opinion."
ON FEB. 7, the Lawrence City Commission voted 4-0 in opposition to the bill. Commissioner Nancy Shontz abstained, saying she had not been able to review the bill.
Charlton said that the chairman of the House Committee on Local Government might not
See FINANCE, p. 5, col. 4
Bird leaves his navigation skills in the suburbs of San Francisco
By United Press International
Well, at least one of them does.
FOSTER CITY, Calif. — The swallow has its Capitraano. The smew, it seems, has Foster City.
The smew that comes here apparently appears on the usual migratory year on the usual migratory flight to Japan.
The smear, a black and white Siberian duck that apparently was thousands of miles off course, flew into this San Francisco suburb in November and left about a week ago.
It has returned to Central Lake for the last three years and bird experts expect it back
Burr Heneman, director of the Point Reyes Bird Observatory, said yesterday that the
"In fact, it's the only West Coast sighting outside of Alaska and British Columbia," he said.
"Last year, people came by the hundreds to see it," Heneman said, adding that bird watchers have a telephone hotline that keeps them informed of the latest sightings.
Foster City visit is the "only recorded sightings of the smew in California."
Audubon Society member Donna Kirsacke said that birds navigate by landmarks and it's possible that the smew became confused.
"A landmark will tell them: OK, turn right," she said. "Well, this guy currupted left."
There's also the possibility that the smew fell in with the wrong flock.
Biologist David Aimley, also of the Point Reyes Bird Observatory, said that ducks and other waterfowl are among the species.