24.2.6.010 Findings

(a) In early 2012, the Pueblo and Jemez Mountains Electric Cooperative, Inc. (JMEC) negotiated a settlement for three expired rights-of-way across the Pueblo's lands and the renewal for the substation properties in a global settlement that included both the past due amounts and future payments for all of the JMEC rights-of-way and substation lease under a new rights-of-way agreement for a 25 year term.

(b) The "Rights of Way, Lease and Trespass Settlement Agreement" dated February 11, 2012 provided for payment of $5,998,695 over 25 years for 74.73 acres based on a value of $3211.09 per acre.

(c) JMEC filed a Rate Rider with the New Mexico Public Regulation Commission ("PRC") to recover the cost of the right-of-way based on revised acreage amounts for JMEC Facilities on San Ildefonso lands of 78.43 acres.

(d) Rate Rider No. 4 as initially filed could have raised the electri bills for JMEC customers residing within the Pueblo's boundaries by as much as 50% and such an increase would have caused an economic hardship to both tribal and non-tribal residents.

(e) The Council in SI-R14-001 has determined it is in the best interest of the Pueblo and its residents, both tribal and non-tribal, to amend the right of way agreement in order to reduce the economic impact for JMEC customers within its boundaries as a result of PRC rate recovery actions.

(f) The Governor has negotiated Amendment No. 1 to Rights of Way, Lease and Trespass Settlements Agreements, attached hereto, which reduces the overall acreage amount to 58.19 acres and will result in a total payment of $4,671,333.18.

(g) The Council has reviewed the attached Amendment No. 1 and has determined it is consistent with the directive of SI-R14-001 and that it is in the best interest of the Pueblo to approve the amendment to the JMEC Right of Way Agreement.