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Energy consultant contract killed
The Orange County Register ^ | November 17, 2001 | JOHN HOWARD

Posted on 11/17/2001 12:03:36 PM PST by Ernest_at_the_Beach

Edited on 04/14/2004 10:04:50 PM PDT by Jim Robinson. [history]

SACRAMENTO -- The California Power Authority abruptly terminated a $1 million contract with the state's top energy consulting firm following questions of a potential conflict and concern that the contract was not competitively bid.

The agency halted the contract Friday evening with Navigant Consulting Co., said Laura Doll, the Power Authority's executive director. The decision was contained in a letter to Navigant's contract manager.


(Excerpt) Read more at ocregister.com ...


TOPICS: Extended News; Government; News/Current Events
KEYWORDS: calpowercrisis; calpowergate
Now I wonder why Davis did this? Hehehe!!!!!
1 posted on 11/17/2001 12:03:36 PM PST by Ernest_at_the_Beach
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To: *calpowercrisis; *calpowergate; randita; SierraWasp; Carry_Okie; okie01; socal_parrot; snopercod...
To find all articles tagged or indexed using CALPOWERCRISIS

Go here: OFFICIAL BUMP(TOPIC) LIST

and then click the CALPOWERCRISIS topic to initiate the search! !
Or the Calpowergate topic.

2 posted on 11/17/2001 12:05:59 PM PST by Ernest_at_the_Beach
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To: Ernest_at_the_Beach
The Power Authority wants to sell its energy to the DWR and is negotiating with DWR. But the issue is not resolved, in part because the DWR and another state agency, the Public Utilities Commission, have not agreed on how much money DWR needs to cover its costs.
One result of this prolonged debate is that the Power Authority's expenses must be trimmed, Doll said.

The Power Authority dream, is not likely to come about until a clear plan and associated projected revenue streams are to be developed. Davis vision of the future and his rescue power bond issue have never had solid numbers behind them nor have they had solid contractual planning. This whole thing (i.e. energy house of cards) is headed for a hard, harsh collapse.

I am beginning to believe that Davis plan is to actively make this such a hopeless mess that the federal government (either an agency or a court) will have to come in and solve the problem.

3 posted on 11/17/2001 12:16:14 PM PST by Robert357
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To: Ernest_at_the_Beach; Robert357; Carry_Okie
"The Power Authority wants to sell its energy to the DWR and is negotiating with DWR."

Does this mean that the Power Authority is buying power on its own...and attempting to re-sell it to the DWR? One question: "Why?"

Or does it mean that the Power Authority is trying to negotiate a speculative contract for energy-producing facilities it hasn't yet built (nor has been funded to build)? Yet one more reason to ask: "Why?"

And they are sharing a consultant with their putative customer, which is yet another state agency? Who, for heaven's sake is doing what to who? And, of course, "Why?"

Gray Davis couldn't run a neighborhood lemonade stand. So, why in hell is he allowed to "run" California?

4 posted on 11/17/2001 12:20:44 PM PST by okie01
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To: Ernest_at_the_Beach
Ernest posted, "Now I wonder why Davis did this? Hehehe!!!!!"

They probably didn't kick back the normal 10% to the re elect Facist Davis fund! That is the one thing that Facist Davis will not condone!

The arrogance and blatant violations of insider situations, the law and simple morlity of this whole group is like the petty facists in Italy and Germany in the late 1930's up to WWII!. No law or ethical code stands in the way of a committed Facist!

5 posted on 11/17/2001 12:22:52 PM PST by Grampa Dave
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To: okie01
My understanding was that the Power Authority was to be the grand purchaser and seller of power within California. It was to replace the bankrupt/failed ISO. If you remember DWR jumped in and tried to fill the ISO's shoes, because it was an agency of the California State Government and theoretically was financially solvent.

DWR needs to buy some power in the spot market, that is why if theoretically had the skill to step into the ISO's shoes. In reality, DWR was way out of its league in terms of skill and scope.

The Power Authority was suppose to be set up with consultants and skilled folks so that it would be able to play in the big leagues with the big boys in the buying and selling of power. It is now an expensive toy, waiting to be activated. It likely will never be fully activated as this thing is looking more and more like it will collapse pretty soon.

6 posted on 11/17/2001 12:26:58 PM PST by Robert357
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To: All
The action came two days after The Orange County Register reported that Navigant had advised another state agency, the Department of Water Resources, on about $35 billion in power contracts while at the same time representing the energy companies that received the contracts.

I don't think this article got posted.
I'll find it.

7 posted on 11/17/2001 12:40:53 PM PST by Ernest_at_the_Beach
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To: All
here is the article:

Power deals raise conflict concerns :
Energy Navigant advised state on $35 billion in contracts with electricity-producing clients.

8 posted on 11/17/2001 1:01:06 PM PST by Ernest_at_the_Beach
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To: Ernest_at_the_Beach
As CEO of the seventh largest finantial firm in the world (the State of California), it seems incredible to me that CEO Gray-Davis is still in office!

What does it take before the shareholders (California Taxpayers) throw the bum in jail?

9 posted on 11/17/2001 1:37:13 PM PST by Graewoulf
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To: Robert357
With 50 employees in Sacramento and 1,200 worldwide, it has provided the DWR guidance on contracts, market trends, energy prices, fuel costs and billions of dollars in revenue bonds.

That's so funny I almost can't stand it.

Guidance on contracts??? You mean the ones that locked in historically- high prices for up to twenty years?

Market trends? Yeah, right. They predicted the groundswell of energy conservation that saved the state this summer. Sure. They predicted the dot-com bust, too.

Fuel costs? I'm sure they were telling Davis that natural gas prices were sure to go up, when in fact they have gone the other way.

And the bond deal?? That's really rich. WHAT bond deal?

Only in government can you "advise" the exact opposite of what you should have and still stay in business...for a while.

No, these clowns were fired because their advice has made Davis look like the fool that he is.

10 posted on 11/17/2001 1:44:28 PM PST by snopercod
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To: snopercod
Now, now, you have to understand that some consultants are good folks. I am a consultant to lots of publicily (county, city, and cooperatively owned) electric utilities and to a noumber of state agencies. Your points are well taken.

Having said that. These guys violated a critical rule and that is you can't play both sides. Most consultants have to choose which side of an issue they work on. That potential for conflicts of interest is a pretty hard rule. I have seen on rare ocasion with some firms have implemented what are called Chinese firewalls, which forbid any internal communication and which preclude even casual contract and are approved by both sides. In this case, both DWR and the Power Authority would have had to approve in writing the consulting firm from working for both and the firm would have had to present in writing the steps being taken so that no information from one group of consultants could be seen or shared with the other completely separate group of consultants. Now a good idea and not usually done.

11 posted on 11/17/2001 3:37:12 PM PST by Robert357
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To: okie01; snopercod; Dog Gone; Ernest_at_the_Beach; Carry_Okie; Angelique; Phil V.
"So, why in hell is he allowed to "run" California?"

I'll tell you "why in hell!" CA's taxpaying/voting Citizens need ritalin more than any little kids in school!!!

There is a virtual epidemic of Attention Deficit Disorder to matters of good government in this state. Especially, since Repellicans have totally splintered and self-destructed.

If each and every Californian, (American, for that matter) were to dedicate at least as much time and attention as it costs them to earn the money to pay the plethora of hidden and non-hidden taxes, to simply going to public meetings and looking into specific subjects like we do here... or finding ways to figure out simple things like voting for bonds is paying more taxes with the added burden of interest... Dummies like Davis and most of his corrupt Demonicrat cronies would be out on their collective asses in a New York minute!!!

Plus, if we actually had an objective media, these phoney phools could never get away with this crapola in the Crapitol! I mean Geeze... Jerry Brown had the conflict of interest laws toughened severly, then a Demonicrat Superintendent of Public Instruction gets nailed by it and does State prison time, but do any of these Gray Davis staffers and consultants with conflicts far surpassing Mr. Honig's face any threat of prison? NOT!!!

The poor people that are paying attention are becoming so desensitized by the blatant, arrogant corrupt bastards exercising audacity in their abuse of emergency powers to circumvent the "Sunshine Laws" that they just hunker in the bunker and quit even trying to think about it.

Disgusting!!!

12 posted on 11/17/2001 6:16:22 PM PST by SierraWasp
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To: SierraWasp
Man, now that is a really good RANT!!!

I love it!!!

13 posted on 11/17/2001 7:03:31 PM PST by Ernest_at_the_Beach
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To: Ernest_at_the_Beach
Yeah, yeah, I know! Nothins gonna happen till righteous folks git just as riled up as that Commonist Agitator group called "ACORN," who busted into Gingrich's speech in '95, yellin "We's far'd up... ain't gonna take it no mo... We's far'd up... ain'ta gonna takit no mo...
14 posted on 11/17/2001 7:41:43 PM PST by SierraWasp
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To: SierraWasp
I second Ernest's motion: Good rant.

But keep in mind that it is always less than 5% of the people who do all the work at changing things. The other 95% just want to be led. Hang in there.

15 posted on 11/18/2001 3:27:38 AM PST by snopercod
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To: snopercod
"it is always less than 5% of the people who do all the work at changing things"

Since 1998 in CA it's been the wrong 5%! The Liberal/Labor/Litigator bunch have been doing all the work and winning, while the rest are divided and intimidated into giving up and working for a living, instead.

I know, when things get so screwed up that it gets personal, they'll pay attention long enough to elect a champion, then go right back to ignoring and leaving it up to "the leadership." That is, until that "leadership" actually tries to DO SOMETHING, then they will criticize and grumble like the Children of Isreal who spurned Moses in the desert!!!

It's cyclical!!!

Or should I say... a spiral, either upward or downward.

16 posted on 11/18/2001 8:28:32 AM PST by SierraWasp
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To: SierraWasp; okie01; snopercod; Dog Gone; Ernest_at_the_Beach; Carry_Okie; Phil V.; Grampa Dave...
There is a virtual epidemic of Attention Deficit Disorder to matters of good government in this state. Especially, since Repellicans have totally splintered and self-destructed.

The entire rant is close to perfection! ADD has more to do with the fourth estate, and how we do not call them on the carpet for not reporting--and I am talking major rug burns!

I have worked extensively in the public sector as a financial officer and contract specialist, and there is more waste than is possibly conceivable. Keep in mind that is only at the local level.

Although statistics can always be manipulated, the bottom line dollars, and collusion, cannot. This Apathetic Draining of Dollars should be the the latest game show on the tele!.Let's tell Gray Gross we want answers! One more time! This guy was our Controller!!!!!! Let's go there!

And AMEN Monisieur Waspman! DISGUSTING!

17 posted on 11/18/2001 10:17:07 AM PST by Angelique
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