Landowners in Jefferson County have been receiving this letter. It's from a company called "Ardent360".  This same group has also been calling themselves "Ten Stone LLC".  The three names of individuals that we have are Rob Dickinson, Mark Krom and Bob Weatherwax.

UPDATE:  A quick investigation by a few astute citizens has clearly revealed this to be a scam.  Read further in the comments section and at The Power Line here, here and here.

We urge you to contact your Attorney General's office (or equivalent) and file a consumer complaint.  Don't sit around and wait for "someone" else to do it.  You are "someone" and only through the collective action of many citizens will quick results happen.  In fact, why isn't PATH filing a complaint of their own?  Not only do the Brobbsey Twins seem to be on the wrong side of state law, they have also inserted themselves into a Federal process by trying to skim off profits for themselves through PATH's Formula Rate cost recovery system.  Ut-oh, Bob & Rob!  Looks like you failed to do your homework and could receive detention!

The Brobbsey Twins probably won't be the last opportunists that smell a tasty morsel to be had by scamming landowners and the power companies.  Only if we make an example of them can we hope to discourage future opportunists.

Signing a deal with these guys is NOT in your best interest.  Put quite simply, they want to steal a portion of your piece of the pie and make money for themselves by inserting themselves into your deal with the power companies.  Ardent360 has invited themselves to a free lunch at your expense.  We urge you to check with an attorney before even speaking with these guys.

They cannot "increase the price you receive".  You can do that yourself by refusing to sign a deal with the power companies and forcing them to take your property via the eminent domain process in the courts.

Just say no to Ardent360.

Now that the important business has been taken care of...

Dear Bob,

Thank you for reminding me of why I continue to do what I do.  It's to protect my friends and neighbors from reprehensible parasites like you.

It is with great restraint that I refrain from detailing my opinion of you personally.  However, I will sum up what I think of your "PATH is going to happen" rhetoric in your letter -- PATH IS NOT GOING TO HAPPEN!  I know that saying it is furthers your goals, but quit lying to people.  We all know that the PATH project is on shakier ground than ever and is not needed.

You really shouldn't have called attention to yourself, Bob.  Just ask your friends at the power companies what happens to liars who try to take advantage of people they feel are weaker than they are.  Go away, Bob.

Sincerely,

Keryn

This report comes from WV intervenor Tim Higgins from Upshur County.  It seems that Tim showed up at our beloved Senator Manchin's "Call for Common Sense" tour this morning and laid in wait for his turn to address the Senator.  Allegheny Energy staff lobbyist Charlie Friddle tried to interrupt and take over, and our pal Joe pretended like he didn't know anything about PATH.  Really, Joe?  Do I have to post that ridiculous picture I received from you after we educated you at a hotel room in Charles Town last year, just to prove you're full of crap?  Anyhow, Tim challenges the rest of you WV citizens to pick up where he left off and attend one of Joe's tour events.  His groupie, Charlie, will be there, won't you?  Tim tells me that today's event was the first, the ones earlier this week were postponed due to snow, so there's lots more tour dates coming up.  Keep track of Joe's tour schedule here.  And now I turn it over to Tim:

Hi everyone,

Since I proposed this thought early enough today so I could get to Elkins by 10:30am, off I went! A google search directed me to the Wood tech center in Elkins, the only give away that Manchin was around
were the 2 state police cars. The one end of the building with the same address did not even know that Senator Manchin was in the other end of the building. No security but the 2 police officers. I bring this up for one reason. At least in Senator Manchin tours he will use low profile sites to do these town hall meetings. This one was in the Elkins industrial park. Total capacity for the room was less the 80 people and it was well attended. The link above will give you a starting place to find out where he will be next.

Now for the meat of the meeting:

After an intro from someone connected to the center, the senator gave a brief take on INSIDE Washington, telling us that he is renting a small apartment and plans to be in WV whenever possible to listen to what we are concerned about. Saying "Expect many more meetings like this one, I'm here to listen to what you have to say this is a common sense tour and West Virginans have common sense". He then went on to blast the FEDERAL EPA for pulling the clean water permit for spruce.

After an hour or so I finally got his attention. I asked that given the fact that HIS APPOINTED PSC commissioners had approved the Mt Storm to Doubs 500kv rebuild that would all but eliminate the need for PATH and the the WVPSC only need approved the
Pruntytown to Mt. Storm section to satisfy almost all of PJM's load forcasts would he be in favor of that?
His reply:
I thought PATH was dead.
That's when Charlie Friddle jumped from his seat saying that the rebuild was not to replace PATH but to add to reliability.  I came back with Charlie, you need to read the PSC docket for the last 10 days or so and see the Dominon is calling this rebuild Alternate 1 for a reason, Manchin broke in and started to talk about the deal he had brokered with TraIL. In the end Manchin made sure I got together with his staff members so my concerns would be "noted".  Was it worth the trip from Buckhannon to Elkins? I think so, now it up to all of us to follow anyone running for Govenor to
do the same thing.

What to do:

Do a google search on anyone running for governor, find out where they will be speaking and get there to make it clear WV citizens support Alternative 1 --- do you? keep after them till they agree it's a better solution.
Alternative 1 is the way to go. Don't take no for an answer.

Tim

I have a feeling PATH is wishing they'd just shut up and given Ali what she asked for in the first place.  When are they going to learn?

Today, WV intervenor Ali Haverty filed her second motion to compel discovery.  Her first motion, filed in September, was granted in December and brought us all the list of PATH's "donations" and "certain civic and political activities.  As a follow-up, Ali asked to see invoices for certain of PATH's vendors.  PATH counsel Phil Melick and Randy Palmer tipped their collective hand by going a little nutty-cuckoo in their response.  Hey, fellas, next time you poke a stick in the lion's cage, make sure the door is securely latched first... just sayin'  ;-)

Ali's motion of today not only thoroughly trounces their legal "arguments" (someone was really reaching there, weren't they?), but questions PATH counsel's vicious, unfounded, libelous attacks on her character.

Ali has been more than patient with these incredibly caustic, nasty little children and their juvenile character assassinations.  Now it's time for them to get reprimanded and sent to their rooms without supper, as only the mother of 4 children under the age of 12 can do so well.  Ali has remained cheerful and pleasant throughout, she's even polite when she rakes them over the coals.  However, it's about time the PSC assert a little authority here and give PATH the slap upside the head they so well deserve.  Wasn't the PSC worried about the citizen intervenors turning the case into an unprofessional, name-calling cesspool?  Funny that the ones actually responsible for that are PATH themselves.  Grow up, PATH!!  And now that I'm done giving the "Mom Lecture", please turn your attention to Ali's reasons for compelling this information.

It seems that some of the PATH lobbyists that were on the list of "Certain civic and political activity" payments are up to no good on PATH's behalf.  Ali included a copy of a State of Maryland Lobbyist Registration form for one of these paid lobbyists.  On the registration, this lobbyist has listed the matters upon which he will be acting during the registration period in the State of Maryland.  First on his list is "Certificate of Need".  You know, that approval PATH needs from the impartial Maryland Public Service Commission?  Why would PATH need a lobbyist acting on that?  I thought PATH was "needed" to prevent brownouts and blackouts in Maryland?  If it was truly needed, I don't think a lobbyist would need to persuade the PSC to approve it.  Are you paying attention, citizens of Maryland?  Ali just handed you a big, gift-wrapped present.

Nice work, PATH counsel.  I can always count on you to screw things up when push comes to shove.  :-)

If there's anyone left in the world who reads this blog that doesn't also read The Power Line, check out Bill's latest post about PATH's front group "reliable power" guys.  Bill questions why these fake grassroots "groups" aren't out there promoting Dominion's Alternative 1, since they're all about:  "A coalition of business and labor groups recently reaffirmed their support for a "reliable" energy transmission grid for the nation -- a position that puts them in favor of two controversial high-voltage line projects in the state." 

So, what's up with that Power to Energy name switch anyhow?  I know Bill chuckles every time he types Power... err Energy.

Back last spring, when these "reliable power" guys were first exposed as the scam they are, it was discovered that none of these "coalitions" were legal entities.  In fact, according to "state coordinator" of West Virginians for Reliable Power (at that time), Bryan Brown, they were "just using that name".  Well, at least that statement was the truth (Bryan is a terrible liar, btw) because while Bryan was uttering it, sitting in my pocket was a WV Secretary of State's Office Business Registration Certificate for the name West Virginians for Reliable Power with my name on it.  Best $15 bucks I ever spent!

When Bryan continued to "just use" my business name and attempted to get media coverage for his "events", it turned out that the news outlets weren't very happy to oblige him when he was illegally using a corporate name that legally belonged to someone else.  That's when Bryan changed his "coalition's" name and began "just using" West Virginians for Reliable Energy. 

Turns out I "just wasn't able to get my corporate registration papers together before the expiration date" and I let the registration expire at the end of August.

Oh, but wait... Bryan came along a month later and bought up a very similar name, the very melodious-sounding West Virginians for Reliable Power, VA.  Just to hedge his bets (because Bryan is such a smart and careful guy) in case someone would come along and buy the very catchy West Virginians for Reliable Energy, VA. out from under him, he reserved that one too.  Seems like Bryan is also having a difficult time getting his corporate registration papers together just like I did.  Uh-huh, Bryan ;-)  Looks like Bryan is about to have his registration expire in February.  Gee, I wonder if someone is going to swoop in and buy it out from under him and rename it something incredibly lyrical like West Virginians for Reliable Power, XYZPDQ.? 

You know, if I couldn't have fun like this, life would really be boring!  Thanks, PATH, for filling my days with non-stop entertainment!  What would I ever do without you?  Group hug?

After complaining that no one invited them to the party, PATH has now decided that they don't want to party with Frederick County afterall.  The previously scheduled PATH transmission line Planning Commission hearing on January 19 has been canceled.

Today's news is that PATH has requested their placement on the Planning Commission's Agenda be "postponed" until some unknown future date.

I suspected that they weren't really looking forward to being questioned, laughed at and disparaged by the citizens of Frederick County again, but you'd think they could at least be man enough to admit that they don't really want a "do-over" afterall.  Leave it to PATH to run away screaming like a little girl with a bee in her knickers.  Eerie!

Today, the Virginia SCC's hearing examiner denied PATH's motion to hold the application in abeyance.  What that means is.... no toll in Virginia!  PATH's current application will continue to proceed under the original schedule.  This means public hearings in early February and evidentiary hearings beginning at the end of April, 2011.  A status hearing will be held on January 18 to sort out how PATH is going to present its new evidence by current deadlines.

Whoops!  That didn't go the way PATH wanted it to, did it?  In fact, it's a rather deja vu situation!  The last time this happened, PATH ended up begging to have its application withdrawn rather than proceed.  This is the second application PATH has filed in Virginia which they cannot back up.  PATH needs to take its ball and go home, as WV intervenor Steve Smith has been urging them to do.  This dragging out of process by a corporation who is using funds from electric ratepayers in 13 states to pay their costs of this nonsense also costs the same folks more money trying to fight back.  It also holds thousands of landowners in three states in a state of suspended animation as they wait to see how or if this will affect their properties.  This is an unconscionable  situation that needs to end.

Anyhow, let's get to the ruling.  The main reason the hearing examiner wants to continue with the current application/schedule is to maintain control of their jurisdiction and not lose it to FERC.  Despite PATH's desperate promises, no one trusts them.  The ruling states, "The respondents pointed out that the Commission would have only PATH-VA's word or promise, and that prior promises  to the Commission by affiliates of PATH-VA have not been kept."  You know what they say.... once a liar, always a liar!  The hearing examiner opines that, "there remains the risk that PATH-VA could choose not to abide by its agreement."

Here's the deal with the FERC jurisdiction thing...  If PATH can get their applications delayed in all three states at least one year past their filing date and those states issue denials, PATH could run crying to FERC that the denials are not valid because the state did not act within one year.  Piedmont Environmental Council did all of us a huge favor when they litigated FERC siting authority a couple of years ago.  The 4th Circuit ruled that FERC backstop authority would not be triggered if a state issued a denial of an application.  However, if a state failed to act within one year, backstop authority could be asked for.  If PATH's delays run the clock out for more than a year, they can ask FERC to step in, even if the state had issued a denial after the one-year period had expired.  PATH's promises mean nothing, as we all know very well.  Too bad the WV-PSC isn't as smart at the VA-SCC.

Now we wait to see what Maryland will do with PATH's motion to toll, afterall, we've got all the time in the world here in West Virginia...

Just in case having their motion to toll accepted in West Virginia on Friday swelled some heads at PATH, here's a list of all the problems PATH still faces.  These problems add up into one HUGE mountain that PATH is still trying to climb.  Every time they inch forward a bit, they slide back toward the bottom a little more by the appearance of new problems.  Kind of reminds me of a kid's board game.

1.  Maryland and Virginia still have not acted on PATH's motion to toll.  Anything can happen.  If anything less than having their wishes granted in both states occurs, this will have an effect on the process in the other two states. If this happens, PATH may have to return to Start.

2.  Their project has no end point.  Frederick County has turned down their applications for approval of their gigantic substation.  Next step is for PATH to fight this through the courts.  That could take a long, long time.  Miss at least two turns.

3.  The EIS process.  Because PATH crosses federal land, an Environmental Impact Statement must be prepared and approvals granted to PATH to cross this federal land.  This process takes years.  The original target date for this process to conclude was fall of 2012.  However, the process is currently stalled with the Park Service having to replace the contractor helping with the process.  Add months to the approval process.  Miss three turns.

4.  PATH's 14.3% ROE is being questioned at FERC.  A re-hearing is currently in process and a new ROE will be set for the project.  It won't be 14.3%.  And they're probably going to have to refund part of the profit they have already collected since the initial approval was only conditional.  Pay a penalty.

5.  PATH's public image is in the trashcan.  There's nothing they can do about it either!  The opposition's PR machine is much more ROBUST than PATH's because it relies on FACTS and the TRUTH.  Once a person knows the truth, there's nothing PATH can do to change their mind.  Everyone hates you, PATH!  Lose 10 turns.

6.  PATH has become politically unpopular.  Because of the huge public opposition to this project, politicians are no longer in favor of it.  They want votes, not bribes from PATH.  Go back 50 spaces.

The original WV-PSC decision date in West Virginia was to have been June 21, 2010.  If not for all the citizen opposition, PATH would have quietly been approved and would be under construction right now.  This is the reason we fight and will continue to do so.  PATH's opposition continues to grow every day, while its supporters dwindle.

Have I forgotten anything?  If I've omitted something that belongs on this list, let me know.

PATH can't win this game.

I've seen this done way too many times now -- multiplying PATH's $2.1 billion price tag by 14.3% and calling the result the amount of profit PATH will walk away with.  This is not accurate.

The truth is much more expensive than that and no clear total profit number can be calculated right now.  Their profit is endless.

So, how do they calculate that 14.3%?  Stick with me here... it's not going to be hard and I promise not to go off on more complicated concepts.

There are two main components of PATH's Formula Rate.  One is the Revenue Requirement.  The other is the Ratebase.  There are also two different categories of costs for PATH. Depending on the nature of the cost, each dollar spent ends up in either the Revenue Requirement or the Ratebase.  These two different components are further explained below.

One set of costs, that I will call Operation & Maintenance (O&M) for simplification puposes, is reimbursed by ratepayers at dollar-for-dollar as it occurs.  No interest or inflating of expenses here (at least that's the way it's supposed to work when PATH isn't creating "errors" in its formula rate filings that work in their favor).  O&M, in its largest part, includes their advertising, public relations and marketing expenses and many other "general" day-to-day expenses of dragging this thing out day after day, month after month, year after year.  O&M becomes a large part of what is known as the Revenue Requirement. 

The other set of costs are composed in large part by what are known as Construction Work in Progress (CWIP) costs.  This is the cost of land and land rights (easements), the actual physical components of the line, the engineering of the line and their regulatory expenses (there's more to it, but we'll stop there).  These costs are capitalized (that is, they become an asset) and are placed in what is known as the Ratebase.  In the Ratebase, these costs are subject to depreciation.  Depreciation calculates the useful life of the asset.  Everything wears out and needs to be replaced eventually, right?  So these costs slowly disappear over time, just like the value of your new car once you drive it off the lot.  However, the cost of land and land rights NEVER depreciates.  Keep that in mind as we work through to the end.  The amount in the ratebase does not zero out each year because the capitalized items have not fully depreciated.  Instead, new CWIP is added to the ratebase every year, creating an even bigger number for PATH to earn a return on. 

The ratebase earns PATH a yearly return.  This is where the 14.3% comes in.  PATH's Formula Rate was approved to consider the financing of PATH at 50% debt and 50% equity.  So, in order to calculate the actual profit percentage PATH earns each year, you basically find the average of that 14.3% return on equity and whatever percentage at which the debt is currently being calculated.  Right now, it's at something like 6%.  So that makes about 10% profit for PATH every year on the amount in the ratebase.  This is PATH's "return", or profit.  Return is calculated by multiplying the total amount in the ratebase by that 10%.  The amount in the ratebase keeps increasing every year, right up until the date the project is put in service and construction is complete.

The calculated return is added to PATH's  other set of costs, the O&M, to come up with the total Revenue Requirement every year.  The yearly Revenue Requirement is the amount the PJM ratepayers pay in any particular year.

In an ideal world, once construction is complete, the amount in the ratebase would begin to decrease because of depreciation.  It would eventually disappear -- but, we have those land and land rights in there that will NEVER depreciate.  This means that we're going to pay PATH a return on them forever.

So, that 14.3% is the profit PATH earns every year on 50% of the amount in the ratebase.  Every year from here to eternity.

Any math geniuses who want to work that problem out and come up with the amount of profit PATH (really their parent companies, AEP & Allegheny Energy) stands to earn if they can ram this project through approvals?

This why they continue to hang onto this loser project in the face of all sane reality that it's NOT GOING TO HAPPEN.  It's a gravy train they plan on riding well into the future to provide a steady stream of income.

An amendment recently approved by the New Jersey Assembly has upset the PJM cartel's apple cart and spells more bad news for the hugely unpopular PATH project.  This article and this post on Calhoun Power Line does a great job of explaining what's going on here.  In a nutshell, New Jersey wants to increase subsidies to encourage the building of new generation within its borders.  If New Jersey expanded home-grown generation and produced enough power to meet its own needs, what use is PATH?  New Jersey has said again and again that they don't want or need PATH's dirty coal-fired power.  However, the PJM cartel has consistently backed this project, even to the point of sullying their own reputation with accusations of bias and conflict of interest.  As we've discussed before, PJM is wholly controlled by a few bullies within its ranks, whose corporate profit margins are of the utmost importance, to the detriment of both "reliability" and the wallets of PJM's ratepayers. 

According to the article, PJM is expected to run crying to FERC like a kid whose lollipop has been taken away.  Boo Hoo, boys!  FERC isn't as friendly to your cartel as it once was.  And guess what?  The citizens know your game now!

The article also quotes some whining about rate increases.  These subsidies could cost up to a billion dollars.  What does PATH importing power to New Jersey cost us in rate increases?  More than $2.1 billion!  Continuing to import power instead of generating it within their own borders also has a huge cost that they fail to consider.

Notice also that the whole "jobs" thing gets brought up.  That really doesn't do any favors for the arguments of transmission proponents.    "Opponents said the argument about job creation is a red herring, saying that it will create hundreds of temporary construction jobs, but typically only 20 to 30 people will be needed to run the plants once they are operational."  Precisely!  PATH will create a few temporary jobs (which will be filled in large part by out-of-state technical specialists) and after that, it's over.  It will only take a few people to maintain after its built.

In some of the other articles about what's going on in New Jersey, the word "Enron" gets a mention.  That right there should be enough for pause.  The PJM cartel's focus on energy trading is a dangerous game that has always made little sense.

Way back in 2008, I attended a meeting in Shepherdstown engineered by our now-Senator Joe Manchin.  Joe was annoyed that Patience Wait and I had been dogging him during campaign season for his second term as governor.  In order to shut us up (which failed miserably -- we're still here!) he summoned all his bigwig friends at the power companies to come here and meet with us and a group of citizens we gathered from within the ranks of newly forming citizen opposition groups.  At that meeting, we questioned why the answer to the east coast's electricity shortages were transmission lines from West Virginia.  "We (PJM) can't order new generation, we can only order new transmission."  and "Building of new generation keys off market demand."  Sounded like crap at the time (walked out of there scraping brown, smelly stuff off the bottom of my shoes) and it's still crap.  PJM still "can't order new generation" because, for them, transmission and increasing profits for their most powerful cartel  members is what it's all about.  Enron.  It's the word.

PATH was reluctantly granted their motion to toll the case for the fourth time in West Virginia today.  After PATH agreed to a whole bunch of conditions for submitting new evidence in the case when they fell on their sword yesterday, the Commission made clear that this is PATH's LAST CHANCE.

Does anyone think they won't screw up and blow it?  I have absolutely no doubt that they will continue their pattern of screw-ups and end up requesting more delays, so no big deal.  Bring it on, fellas!

While it would have been nice to have a little vacation while they re-grouped for their next assault if the case had been dismissed, that didn't happen.

No worries -- us citizens are used to picking ourselves up and dusting ourselves off and resolving to continue the fight with renewed vigor.  If they ever thought they were going to "wear us down", I hope they've tossed that into their ever-growing "mistakes" pile a long time ago.

The Power Line has a great message to the PSC that I'm sure we all echo.   Also be sure to read Bill's take on the Order.  It's been a long day of writing and I'm just out of words at this point.

Do not be angry or discouraged.
 
"Victory at all costs, victory in spite of all terror, victory however long and hard the road may be; for without victory there is no survival." -- Winston Churchill