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| About Us - History |
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About Us Purpose Mission Organization Challenges Why an Alliance History Benefits Results Key Strategies Current Initiatives Future Initiatives |
In August of 1994, while on a marketing trip to the Wolf Creek Nuclear Generating Station and a visit with then CEO Neil (Buzz) Carns, Keith Hollingsworth and John Polsin of Fluor Daniel discussed the idea of single site nuclear stations working closer together in an attempt to gain some of the synergies enjoyed by the larger, multi-site companies. Carl Parry, Wolf Creek's Director of Corporate Development was given the assignment to work with Fluor Daniel management to prepare a conceptual proposal. The team spent two weeks developing the three basic strategies that continue to be the corner stones of the Alliance. These are; (1) the sharing of existing resources, both personnel and tools/equipment; (2) the consolidation of selected support functions; and, (3) pooled purchasing of goods and services. On September 20, 1994 at the Marriott Hotel at the Kansas City International Airport, when the concept presentation was gie to and accepted by the Chief Nuclear Officers of all of the single site companies in the Midwest, the Utilities Service Alliance (USA) was born. That same afternoon, office space was sub-let from Fluor Daniel in their Kansas City office complex. Over the course of the next several months, general operating guidelines were established and on January 1, 1995 the Chief Nuclear Officers of Wolf Creek, Fermi 2, Cooper, WNP-2 (now Columbia), Fort Calhoun, Clinton and Palisades signed an operating Memorandum of Understanding. In the spring of 1995 Bob Stafford, Fermi 2's USA Manager conducted a "circuit ride" to the member stations to borrow tools, equipment and personnel to help with the Fermi 2 outage. This was the first implementation of the loaned resource programs of USA, which saved Fermi 2 in excess of $500,000 during that outage. Progress on various programs continued throughout the year. In December of 1995, at the request of legal counsel from the member utilities, a Business Review Request was submitted to the United States Department of Justice to determine if any anti-trust issues existed. A favorable review was received on July 3, 1996 with two "safe harbors" identified:
On August 23, 1996 the Utilities Service Alliance was incorporated as a Kansas company as a Not-for-Profit, Non-Stock, membership corporation. Thus, "USA, Incorporated," was finalized. The charter members of the corporation included:
Raymond Jones, a retired United States Navy Rear Admiral was elected as the first President of the Corporation. Carl Parry was elected Secretary/Treasurer and Bob Stafford was elected Vice President – Operations. Additional staff included Steve Willrett (from Omaha Public Power District) as Manager of Alliance Supply Chain and Marline Heathman (from Wolf Creek Nuclear Operating Corporation) as Administrative Manager. The Alliance progress continued reaping larger savings for the member utilities each year of operation. In December of 1998, Admiral Jones departed the Alliance. Carl Parry was elected as President and CEO and Bob Stafford was elected to serve as Secretary / Treasurer of the Corporation, while maintaining his position as Vice President - Operations. In June of 1999, inquiries were received from several additional utilities regarding membership in the Alliance. On September 1, 1999, Pacific Gas & Electric (Diablo Canyon), STP Nuclear Operating Company (South Texas Project), TXU Electric (Comanche Peak), and Ameren UE (Callaway) joined the Alliance, bringing the total number of members to 11 with 14 reactors and over 12,600 megawatts of generating capability. This new group, along with Wolf Creek worked on a series of initiatives focused on their common design as Westinghouse 4-Loop Pressurized Water Reactors as well as joining the other members with on-going USA projects. This new "sub-group" called themselves "STARS" for "Strategic Teaming And Resource Sharing." In 1999, operation of the Clinton Nuclear Power Station was transferred to a nuclear operating company and subsequently discontinued their membership in USA. In the summer of 2001, Bob Stafford retired from Detroit Edison and USA. Mr. Clay Warren joined the USA team as the Chief Operating Officer of the USA fleet, which replaced the Vice President - Operations position. In 2000, a nuclear operating company acquired the license to operate the Palisades Nuclear Plant and they discontinued their membership in the Alliance in 2001. In 2002, Pennsylvania Power & Light (Susquehanna, Units 1 & 2) and American Electric Company (DC Cook, Units 1 & 2) joined the Alliance. In 2004 Southern California Edison (San Onofre, Units 2 & 3) and in 2005 Ontario Power Generation (Darlington, Units 1, 2, 3 & 4 and Pickering, Units 1, 4, 5, 6, 7 & 8) joined the Alliance to take advantage of savings, improve performance, and provide another source of technical expertise and sharing options to the fleet. As of January, 2002, the members of the Alliance include:
The Alliance now consists of 14 utilities operating 31 reactors capable of producing in excess of 30,850 megawatts of electrical power. This makes USA the largest operating entity in the United States nuclear industry today. The Alliance remains open to new utility members and vendor-partners. The Alliance continues to add value to its members with an average Return on Investment ratio (ROI) of 9.39 in 2005 (return is >$9.39 for every $1 invested). For more information on Alliance opportunities, contact the USA Office at 913-451-5641 in Overland Park, Kansas or via any other method identified in the "Contact USA" option on this web site. |
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