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                                UNITED STATES
                     SECURITIES AND EXCHANGE COMMISSION
                            WASHINGTON, DC  20549

                                  FORM 10-Q

            [X]		QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                      OF THE SECURITIES EXCHANGE ACT OF 1934
                     For the quarterly period ended March 31, 1999
                                   
                       Commission File Number 33-83618

                        SELKIRK COGEN PARTNERS, L.P.
     (Exact name of Registrant (Guarantor) as specified in its charter)

                     Delaware			             51-0324332
       (State or other jurisdiction of             (IRS Employer
      incorporation or organization)             Identification No.)
      
          
                      SELKIRK COGEN FUNDING CORPORATION
           (Exact name of Registrant as specified in its charter)

                     Delaware			             51-0354675
       (State or other jurisdiction of             (IRS Employer
      incorporation or organization)             Identification No.)

               One Bowdoin Square, Boston, Massachusetts 02114
        (Address of principal executive offices, including zip code)

                               (617) 788-3000
            (Registrant's telephone number, including area code)

     SECURITIES REGISTERED PURSUANT TO SECTION 12(b)OR 12(g)OF THE ACT:
                                    None


	Indicate by check mark whether  the  Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for  such  shorter  period  that  the
Registrant  was  required  to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.  Yes X No 
												   ---	 ---
	As of May 14, 1999, there were 10 shares of common stock of Selkirk Cogen
Funding Corporation, $1 par value outstanding.

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<PAGE>






                                                  








                              TABLE OF CONTENTS




										                                Page
																		----
                       PART I.  FINANCIAL INFORMATION


Item 1.	Financial Statements (unaudited)

		Condensed Consolidated Balance Sheets as of March 31, 1999 
		and December 31, 1998.........................................	   3

		Condensed Consolidated Statements of Operations for the three 
		months ended March 31, 1999 and March 31, 1998................	   4

		Condensed Consolidated Statements of Cash Flows for the three 
		months ended March 31, 1999 and March 31, 1998................	   5

		Notes to Condensed Consolidated Financial Statements..........	   6

Item 2.	Management's Discussion and Analysis of Financial Condition 
		and Results of Operations

		Results of Operations.........................................	   7


		Liquidity and Capital Resources...............................	   9

Item 3. Quanitative and Qualitative Disclosures About Market Risk.....    13

                         PART II.  OTHER INFORMATION


Item 6.		Exhibits and Reports on Form 8-K..........................	  15

SIGNATURES............................................................	  16





                                     2
<PAGE>


                        
<TABLE>
                        SELKIRK COGEN PARTNERS, L.P.
                    CONDENSED CONSOLIDATED BALANCE SHEETS
                               (in thousands)
                                
<CAPTION>							
                                                   (unaudited)
				   					     			March 31,   December 31, 
						                        	  1999		    1998
												   ----------	------------
<S>													  <C>			<C>
ASSETS		
------

Current assets:									
  Cash............................................ $    1,401     $    1,839 
  Restricted funds................................	   21,718          4,185 
  Accounts receivable.............................     14,859         14,281 
  Due from affiliates.............................        721            743 
  Fuel inventory and supplies.....................	    5,039          5,033
  Other current assets............................	      371	         333 
  													---------	   ---------
    	Total current assets......................	   44,109         26,414 
										
  Plant and equipment, net........................    305,914        308,999 
  Long-term restricted funds......................     28,737         28,188 
  Deferred financing charges, net.................     10,493         10,782 
							  						---------	   ---------

				Total Assets		 	 	       $  389,253      $ 374,383
   													---------	   ---------
													---------	   ---------
LIABILITIES AND PARTNERS' CAPITAL									
---------------------------------

Current liabilities:									
  Accounts payable................................ $      245 	  $      617 
  Accrued bond interest payable...................	    8,913 	         379 
  Accrued expenses................................     10,101         12,235 
  Due to affiliates...............................        322 	         639 
  Current portion of long-term bonds..............      4,822 	       4,822 
	  												---------	   ---------
	    Total current liabilities.................	   24,403         18,692 
  
  Deferred revenues ..............................		6,392		   6,565
  Other long-term liabilities.....................	   15,939         14,803 
  Long-term bonds, less current portion...........	  381,133        381,133
										
  General partners' capital.......................	     (375) 		    (457) 
  Limited partners' capital.......................    (38,239)       (46,353)
	   												---------	   ---------
	    Total partners' capital...................    (38,614)       (46,810) 
													---------	   ---------

				Total Liabilities and
					 Partners' Capital             $  389,253     $  374,383 
													---------	   ---------
													---------	   ---------
<FN>
The accompanying notes are an  integral  part of these condensed consolidated
financial statements.									
</TABLE>
                                     3
<PAGE>
				 																							
<TABLE>
                        SELKIRK COGEN PARTNERS, L.P.
               CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                               (in thousands)
                                 (unaudited)
											
											
											
<CAPTION>																						
							  					  For the Three Months Ended			
												  --------------------------

					 			    			   	March 31,	   March 31,	
													  1999	      	 1998	
												   ----------	  ----------
<S>                                                    <C>            <C>
Operating revenues:								   

    Electric and steam............................ $   41,236     $   39,418 	
	Gas resale....................................	    1,087 	       1,991
													---------	   ---------
	    Total operating revenues..................	   42,323         41,409 	
Cost of revenues..................................     25,105         28,108
													---------	   ---------
Gross Profit......................................	   17,218         13,301 	
						 	 	   			
Other operating expenses:										
	Administrative services - affiliates..........	      238 		     587 	
	Other general and administrative expenses.....	      459 		     544 	
	Amortization of deferred financing charges....	      289 		     291 	
						     						---------	   ---------
		Total other operating expenses............	     986          1,422 	
													---------	   ---------

Operating income..................................	   16,232         11,879 	
											
Interest (income)expense:
    Interest income............................... 	     (498) 		    (448)
	Interest expense..............................      8,534          8,605
	                                                ---------	   ---------
	     Net interest expense.....................      8,036          8,157
													---------	   ---------
Net income........................................ $    8,196     $    3,722 	
												    ---------	   ---------
													---------	   ---------

Allocated to:										
	General partners.............................. $       82 	  $       37 	
	Limited partners..............................	    8,114 	       3,685 	
                                                    ---------	   ---------
		Total..................................... $    8,196 	  $    3,722 	
												    ---------	   ---------
													---------	   ---------
<FN>
The accompanying notes are an  integral  part of these condensed consolidated
financial statements.											
</TABLE>
																						
                                     4
<PAGE>




<TABLE>
                        SELKIRK COGEN PARTNERS, L.P.
               CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                               (in thousands)
                                 (unaudited)
												
<CAPTION>												
												  For the Three Months Ended			
												  --------------------------

					 			    			   	March 31,	   March 31,	
													  1999	      	 1998	
							                       ----------	  ----------												
														
<S>                                                    <C>			  <C>									
Net cash provided by operating activities......... $   16,552     $   17,438	
												
Cash flows provided by (used in)
 investing activities:											
	Plant and equipment additions.................        (45)          ---
													 ---------     ---------

		Net cash used in investing activities.....	      (45)         	---
												
Cash flows used in financing activities:											
	Restricted funds..............................    (16,945)   	 (13,994)             	
								  					---------	    --------

		Net cash used in financing activities.....	  (16,945)	     (13,994)
																		 
Net increase (decrease) in cash...................       (438)         3,444		  	
Cash at beginning of period.......................      1,839          1,337 	
													---------	   ---------
Cash at end of period.............................  $   1,401 	  $    4,781
									 				---------	   ---------
													---------	   ---------

Supplemental disclosures of cash flow information:										

	Cash paid for interest........................  $   ---       $    ---       
													---------	   ---------
													---------	   ---------

<FN>
The accompanying notes are an  integral  part of these condensed consolidated
financial statements.											
</TABLE>											
											
																				
                                     5
<PAGE>







                        SELKIRK COGEN PARTNERS, L.P.

            NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                                 (unaudited)



Note 1. Basis of Presentation

The  accompanying  unaudited   condensed  consolidated  financial  statements
consolidate Selkirk Cogen Partners, L.P.  and  its  wholly-owned  subsidiary,
Selkirk  Cogen  Funding  Corporation,  (collectively the "Partnership").  All
significant intercompany accounts and transactions have been eliminated.

The condensed  consolidated  financial  statements  for  the  interim periods
presented are unaudited and have been prepared  pursuant  to  the  rules  and
regulations  of  the  Securities  and  Exchange  Commission.  The information
furnished in the  condensed  consolidated  financial  statements reflects all
normal recurring  adjustments  which,  in  the  opinion  of  management,  are
necessary  for  a  fair  presentation  of such financial statements.  Certain
information  and  footnote   disclosures   normally   included  in  financial
statements  prepared  in  accordance  with  generally   accepted   accounting
principles  have  been condensed or omitted pursuant to rules and regulations
applicable to interim  financial  statements.  Certain reclassifications have
been made to the Condensed Consolidated  Statements  of  Operations  for  the
three  months ended March 31, 1998 to conform with the current period's basis
of presentation.

These  condensed  consolidated  financial   statements   should  be  read  in
conjunction with the audited consolidated financial  statements  included  in
the Partnership's December 31, 1998 Annual Report on Form 10-K.

Note 2.  New Accounting Pronouncements

In  June  1998,  the  FASB  issued  SFAS  No.  133, Accounting for Derivative
Instruments and Hedging Activities.  SFAS  No. 133 establishes accounting and
reporting standards requiring that every derivative instrument be recorded in
the balance sheet as either an asset or liability measured at its fair value.
Changes in the derivatives fair value must be recognized in the statement  of
operations  as  a  gain or loss unless specific hedge accounting criteria are
met.  SFAS No. 133 is  effective  for  fiscal  years beginning after June 15,
1999.  SFAS No. 133 must be applied to (a)  derivative  instruments  and  (b)
certain  derivative instruments embedded in hybrid contracts.  Management has
not yet quantified the impact of  adopting  SFAS No. 133 on the Partnership's
financial statements.

                                     6
<PAGE>


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
----------------------------------------------------------
         CONDITION AND RESULTS OF OPERATIONS
		 -----------------------------------

Results of Operations													   

Three Months Ended March 31, 1999 Compared to the Three Months Ended 	
      March 31, 1998

Net  income  for  the  quarter  ended  March  31, 1999 was approximately $8.2
million as compared to $3.7 million for the corresponding period in the prior
year.  The $4.5  million  increase  in  net  income  is  primarily  due to an
increase in Unit 1 revenues and decreases in fuel costs and  other  operating
expenses.

Total  revenues for the quarter ended March 31, 1999 were approximately $42.3
million as compared to  $41.4  million  for  the  corresponding period in the
prior year.

Electric Revenues (dollars and kWh's in millions):
--------------------------------------------------

                          For the Three Months Ended
          March 31, 1999                               March 31, 1998	
	   ----------------------------------   --------------------------------
	   Dollars   kWh's  Capacity  Dispatch  Dollars  kWh's Capacity Dispatch
	   -------   -----  --------  --------  -------  ----- -------- --------
Unit 1    11.4   152.6    90.65%    99.03%      8.3  102.6   59.43%   64.44%
Unit 2    29.5   465.8    81.37%    88.80%     31.1  519.4   90.75%   93.94%

Revenues from Unit 1 increased approximately $3.1  million  for  the  quarter
ended  March  31,  1999  as compared to the corresponding period in the prior
year.  During the quarter ended  March  31, 1999 revenues from Niagara Mohawk
Power Corporation ("Niagara Mohawk") and PG&E Energy Trading  -  Power,  L.P.
("PG&E  Energy  Trading")  were approximately $10.6 million and $0.8 million,
respectively.  During the quarter ended March 31, 1998 all revenues from Unit
1 were from Niagara Mohawk.   The  increase  in  revenues from Unit 1 for the
quarter ended March 31, 1999 was primarily due to an  increase  in  delivered
energy  as  evidenced  by  the  increase  in  capacity factors from 59.43% to
90.65%, and improved contract  pricing  resulting  from  the execution of the
Amended and Restated Niagara Mohawk Power Purchase Agreement  on  August  31,
1998.   In conjunction with the execution of the Amended and Restated Niagara
Mohawk Power Purchase Agreement, Niagara  Mohawk  no  longer has the right to
direct the dispatch of Unit 1.  During the quarter ended March 31,  1999  the
Partnership received Monthly Contract Payments and delivered energy up to the
monthly  contract  quantity  to  Niagara Mohawk.  During the month of January
1999 the Partnership sold all of  the  Excess Energy generated from Unit 1 to
Niagara Mohawk.  During the months of February and March 1999 the Partnership
sold all of the Excess Energy generated from Unit 1 to PG&E  Energy  Trading.
Excess Energy delivered to Niagara Mohawk and PG&E Energy Trading was sold at
negotiated  market  prices.   Deferred revenues of approximately $0.2 million
are also included in revenues  from  Niagara  Mohawk during the quarter ended
March 31, 1999.  During the quarter ended  March  31,  1998,  Niagara  Mohawk
dispatched  Unit  1  on-line  during January and February and off-line during
March.  Energy delivered during the majority  of January and the entire month
of February was sold at full contract rates.   Energy  delivered  during  the
first four days in January was sold under special dispatch arrangements which
called  for  the pricing of delivered energy at variable rates less than full
contract rates.  Had the  Partnership  not  entered into the special dispatch
arrangements, the Unit would have otherwise been dispatched  off-line  during
the relevant periods.

                                     7
<PAGE>


Revenues  from  Unit  2  decreased approximately $1.6 million for the quarter
ended March 31, 1999 as  compared  to  the  corresponding period in the prior
year.  During the quarter ended March 31, 1999,  revenues  from  Consolidated
Edison  Company of New York, Inc. ("Con Edison") and PG&E Energy Trading were
approximately $29.2 million  and  $0.3  million  as compared to approximately
$31.1 million and $41.3 thousand, respectively for the  corresponding  period
in  the  prior  year.   The  decrease in revenues from Unit 2 for the quarter
ended March 31, 1999 was  primarily  due  to  the  decrease in the Con Edison
contract price for delivered energy resulting from lower  index  fuel  prices
and  a  decrease in delivered energy as evidenced by the decrease in capacity
factors from 90.75% to  81.37%.   During  the  quarter  ended March 31, 1999,
revenues  from  PG&E  Energy  Trading  resulted  from  the  sale   of   other
energy-related  products.   During the quarter ended March 31, 1998, revenues
from PG&E Energy Trading resulted  from  the  sale  of generated  capacity in
excess of the contract  amount  due  under  the  Con  Edison  Power  Purchase
Agreement.

Steam  revenues  for the quarter ended March 31, 1999 were approximately $0.3
million.   Steam  revenues  for   the   quarter   ended  March  31,  1998  of
approximately $0.2 million were reduced by a reserve of the  same  amount  to
reflect  the  estimated  annual  true-up  so  that  General Electric would be
charged a nominal amount which  is  the  annual equivalent of 160,000 lbs/hr.
Delivered steam for the quarter ended March 31, 1999 was approximately  409.8
million  pounds  as  compared  to  approximately 385.9 million pounds for the
corresponding period in the prior  year.   The increase in steam revenues for
the quarter ended March 31,  1999  was  primarily  due  to  the  increase  in
delivered steam.

Gas resale revenues for the  quarter  ended March 31, 1999 were approximately
$1.1 million on sales of approximately 0.6 million  MMBtu's  as  compared  to
approximately  $2.0 million on sales of approximately 0.9 million MMBtu's for
the corresponding period in the prior year.  The $0.9 million decrease in gas
resale revenues during the quarter ended  March  31, 1999 is primarily due to
higher dispatch of Unit 1 and lower natural gas resale prices, which resulted
in lower volumes of natural  gas  becoming  available  for  resale  at  lower
prices.   The  decrease in natural gas resale prices during the quarter ended
March 31, 1999  generally  resulted  from  more  moderate temperatures in the
Northeast region as compared to colder temperatures, which resulted in higher
demand for natural gas, during the corresponding period in  the  prior  year.
The  Partnership  entered  into gas resales during periods when Units 1 and 2
were not operating at full capacity.

Cost of revenues for  the  quarter  ended  March  31, 1999 were approximately
$25.1 million on gas  purchases  of  approximately  6.9  million  MMBtu's  as
compared  $28.1 million on gas purchases of approximately 6.9 million MMBtu's
for the corresponding period in the prior year.  The largest component of the
decrease for the quarter ended March 31, 1999 was fuel costs, which decreased
approximately $2.6 million from the  corresponding  period in the prior year.
The decrease in the cost of fuel was primarily due  to  lower  contract  firm
fuel   rates   which   resulted  from  lower  index  fuel  prices  and  lower
transportation demand costs and the  write-off  of a reserve of approximately
$0.5 million for amounts no longer in dispute with a  gas  transporter.   The
Partnership  has  foreign  currency  swap  agreements to hedge against future
exchange rate fluctuations  under  fuel  transportation  agreements which are
denominated in Canadian dollars.  During the quarters ended  March  31,  1999
and  1998,  fuel  costs were increased by approximately $0.6 million and $0.5
million, respectively as a result of the currency swap agreements.

                                     8
<PAGE>

Total other operating expenses  for  the  quarter  ended  March 31, 1999 were
approximately $1.0 million as compared to approximately $1.4 million for  the
corresponding  period  in  the  prior  year.  The decrease in other operating
expenses was primarily due to lower affiliate administrative services and the
write-off of a reserve of  approximately  $0.2  million for amounts no longer
claimed by an affiliate.

Net interest expense for the  quarter  ended  March 31, 1999 of approximately
$8.0 million was comparable to the corresponding period in the prior year.


Liquidity and Capital Resources

Net cash flows provided by operating activities for the quarter  ended  March
31,  1999 were approximately $16.6 million as compared to approximately $17.4
million for the  corresponding  period  in  the  prior  year.  Net cash flows
provided by operating activities primarily represents net income plus the net
effect of normally recurring  changes  in  cash  receipts  and  disbursements
within the Partnership's operating assets and liability accounts.

Net  cash  used  in investing activities for the quarter ended March 31, 1999
were approximately $45.0 thousand  as  compared  to  approximately $0 for the
corresponding period in the prior year.  Net cash flows used in  or  provided
by investing activities primarily represent additions or adjustments to plant
and equipment, respectively.

Net  cash  used  in financing activities for the quarter ended March 31, 1999
was approximately $16.9 million  as  compared  to approximately $14.0 million
for the corresponding period in the prior year.  The  increase  in  net  cash
flows  used  in  financing activities for the quarter ended March 31, 1999 is
primarily due to  more  cash  becoming  available  to deposit into Restricted
Funds.  Pursuant to the Partnership's Depositary and Disbursement  Agreement,
administered  by  Bankers Trust Company, as depositary agent, the Partnership
is required to maintain  certain  Restricted  Funds.   Net cash flows used in
financing activities for the quarters ended March 31, 1999 and 1998 primarily
represent deposits of monies into the Interest Fund.

                                     9
<PAGE>

In 1994 and 1995 Con Edison claimed the right to acquire that portion of Unit
2's firm natural gas supply not used in operating Unit  2,  when  Unit  2  is
dispatched  off-line  or  at  less than full capability ("non-plant gas"), or
alternatively  to  be  compensated  for  100%  of  the  margins  derived from
non-plant gas sales.  The Con Edison Power  Purchase  Agreement  contains  no
express  language  granting Con Edison any rights with respect to such excess
natural gas.  Nevertheless, Con Edison  argued that, since payments under the
contract include fixed fuel charges which are payable whether or not  Unit  2
is  dispatched  on-line, Con Edison is entitled to exercise such rights.  The
Partnership vigorously disputes the position adopted by Con Edison, and since
the commencement of Unit  2's  operation  in  1994  has made and continues to
make, from time to time, non-plant  gas  sales  from  Unit  2's  gas  supply.
Although  representatives  of  Con  Edison have expressly reserved all rights
that Con Edison  may  have  to  pursue  its  asserted  claim  with respect to
non-plant  gas  sales,  the  Partnership  has  received  no  further   formal
communication  from  Con Edison on this subject since 1995.  In the event Con
Edison were to pursue  its  asserted  claim,  the Partnership would expect to
pursue all available legal remedies, but there can be no certainty  that  the
outcome  of such remedial action would be favorable to the Partnership or, if
favorable, would provide for the  Partnership's full recovery of its damages.
The Partnership's cash flows from  the  sale  of  electric  output  would  be
materially  and adversely affected if Con Edison were to prevail in its claim
to Unit 2's excess natural gas volumes and the related margins.

On July 21, 1998 the NYPSC  approved  a  plan submitted by Con Edison for the
divestiture of certain of its generating assets (the "Con Edison  Divestiture
Plan").   Although  the  Con  Edison  Divestiture  Plan  does not include any
proposal by Con Edison for the  sale  or other disposition of its contractual
obligations for  purchasing  power  from  non-utility  generators,  like  the
Partnership,  the  NYPSC  has ordered Con Edison to submit a report regarding
the feasibility of divesting its non-utility generator entitlements.  At this
time, the Partnership has  insufficient  information to determine whether, in
the course of these proceedings at the NYPSC, Con Edison may seek  to  assign
its rights and obligations under the Con Edison Power Purchase Agreement with
the Partnership to a third party or to take some other action for the purpose
of  divesting  itself  of the power purchase obligations under such contract;
nor can the Partnership  evaluate  the  impact  which  any such assignment or
other  action,  if  proposed,  may  ultimately  have  on the Con Edison Power
Purchase Agreement.

Future  operating  results  and cash flows from operations are also dependent
on, among  other  things,  the  performance  of  equipment  and  processes as
expected, levels of dispatch, the receipt of certain capacity and other fixed
payments, electricity prices, natural gas resale prices, fuel deliveries  and
prices  as  contracted.   A  significant change in any of these factors could
have a material adverse effect on the results for the Partnership.

The Partnership believes that  based  on current conditions and circumstances
it will have sufficient liquidity  available  provided  by  cash  flows  from
operations to fund existing debt obligations and operating costs.

                                    10
<PAGE>

Year 2000

The Year 2000 issue exists because many computer programs use only two digits
to refer to a year, and was developed without considering the impact  of  the
upcoming  change  in  the century.  The Partnership has a program in place to
address its exposure to the  Year  2000  issue.   This program is designed to
minimize the possibility of significant Year 2000 interruptions.

In 1998, the Partnership established the program to address its software  and
hardware  product  and  customer  concerns,  its  internal  business systems,
including technology infrastructure and  embedded technology systems, and the
compliance of its suppliers.  This program  includes  the  following  phases:
inventory   and   assessment,   remediation,   testing,   and  certification.
Certification occurs when mission-critical software and hardware products are
determined to be "Year 2000 Ready."  The "Year 2000 Ready" category indicates
that the Partnership  has  determined  that  the  product,  when  used in its
designated manner, will not terminate abnormally or  give  incorrect  results
with respect to date data before, during or after December 31, 1999.

The  Partnership's Year 2000 certification phase was completed in April 1999.
The Partnership will  continue  to  perform  work associated with contingency
planning implementation and the assessment  and  remediation  of  non-mission
critical  items through the end of 1999.  The Partnership determined that its
only mission-critical software was  vendor  software.  As to mission-critical
vendor software, Year  2000  ready  upgrades  have  been  obtained  from  the
vendors, tested as appropriate and deemed Year 2000 Ready.

The  Partnership has tested remediated software and embedded systems both for
ability  to  handle  Year   2000   dates,  including  appropriate  leap  year
calculations, and to assure that  code  repair  has  not  affected  the  base
functionality  of  the  code.   Software  and  embedded  systems  were tested
individually where necessary and  tested  in  an integrated manner with other
systems, with dates  and  data  advanced  and  aged  to  simulate  Year  2000
operations.   Testing, by its nature, however, cannot comprehensively address
all future  combinations  of  dates  and  events.   Because  some uncertainty
remains after testing as to the ability of code to process future  dates,  as
well  as  the  ability of remediated systems to work in an integrated fashion
with other systems, failure of such  systems, should they occur, could have a
material adverse impact on future results.

In addition to  internal  systems,  the  Partnership  depends  upon  external
parties,  including customers, suppliers, business partners, gas and electric
system operators, government agencies,  and financial institutions to support
the functioning of its business.  To the extent that any of these parties are
considered mission-critical to the Partnership's business and experience Year
2000 problems in their systems, the Partnership's  mission-critical  business
functions  may  be  adversely affected.  To deal with this vulnerability, the
Partnership has another phased approach.  The primary phases for dealing with
external  parties  are:   (1)  inventory,   (2)  action  planning,  (3)  risk
assessment, and (4) contingency planning.

                                     11
<PAGE>

In April 1999, the Partnership completed its inventory, action planning, risk
assessment and contingency  planning  phases  for  mission-critical  external
parties.

Although  the  Partnership  expects  its  efforts  and  those of its external
parties to be largely  successful,  the  Partnership recognizes that with the
complex interaction of today's computing and communication systems, it cannot
be  certain  the  Partnership  will  be  completely  successful.   Therefore,
contingency plans have been  developed  and  tested  through  April  1999  to
address  its external dependencies as well as any significant schedule delays
of mission-critical system work, should  they  occur.  These plans have taken
into account possible  interruptions  of  power,  computing,  financial,  and
communications infrastructures.  Due to the speculative nature of contingency
planning,  however, it is uncertain whether these plans will be sufficient to
remove the risk of material  impacts on the Partnerships operations resulting
from Year 2000 problems.

Through April 1999, the Partnership spent approximately  $273,000  to  assess
and  remediate  Year  2000 problems for both mission critical and non-mission
critical items.  The Partnership's estimate  of  future costs to address Year
2000 issues is approximately $108,000 to implement contingency plans  and  to
address remaining non-mission critical items; all of which will be expensed.

The Partnership has concluded that the most reasonably likely worst case Year
2000  scenarios  that  could  affect its business include localized telephone
problems  due  to  congestion   and   small   isolated  malfunctions  in  the
Partnership's computer systems  that  would  be  immediately  repaired.   The
Partnership has developed contingency plans to address these scenarios.

If  third  parties  with  whom  the  Partnership  has  significant   business
relationships,  fail  to  achieve  Year  2000  readiness  of mission-critical
systems, there  could  be  a  material  adverse  impact  on the Partnership's
financial position, results of operations, and cash flows.


Cautionary Statement Regarding Forward-Looking Statements

Certain statements included herein are forward-looking statements  concerning
the  Partnership's  operations, economic performance and financial condition.
Such statements  are  subject  to  various  risks  and uncertainties.  Actual
results could differ materially from those currently  anticipated  due  to  a
number  of  factors,  including general business and economic conditions, the
performance of equipment and processes  as  expected, levels of dispatch, the
receipt of certain capacity and other  fixed  payments,  electricity  prices,
natural  gas  resale  prices,  fuel  deliveries  and prices as contracted and
issues related to Year 2000 compliance.

                                    12
<PAGE>



ITEM 3.  QUALITATIVE AND QUANTITATIVE DISCLOSURES ABOUT MARKET RISK
-------------------------------------------------------------------

The Partnership is exposed to market risk from changes in interest rates  and
foreign  currency  exchange  rates,  which could affect its future results of
operations and financial condition.  The  Partnership manages its exposure to
these risks through its regular  operating  and  financing  activities.   The
Partnership  does not enter into derivative financial instruments for trading
purposes.


Interest Rates
--------------

The Partnership's  cash  and  restricted  cash  are  sensitive  to changes in
interest rates.  Interest rate changes would result in a change  in  interest
income  due  to the difference between the current interest rates on cash and
restricted cash and the  variable  rate  that these financial instruments may
adjust to in the future.  A 10% decrease in interest rates  for  the  quarter
ended   March   31,  1999  would  have  resulted  in  a  negative  impact  of
approximately $50.0 thousand on the Partnership's net income for that period.

The Partnership's long-term bonds have  fixed interest rates.  Changes in the
current market rates for the bonds would not result in a change  in  interest
expense due to the fixed coupon rate of the bonds.


Foreign Currency Exchange Rates
-------------------------------

The Partnership's currency swap agreements hedge against future exchange rate
fluctuations which could result  in  additional  costs  incurred  under  fuel
transportation  agreements  which are denominated in a Canadian currency.  In
the event a counterparty  fails  to  meet  the  terms  of the agreements, the
Partnership's exposure is limited to the currency exchange rate differential.
During the quarter ended March 31, 1999 the exchange rate differential had  a
negative  impact  of  approximately  $0.6  million  on  the Partnership's net
income.

                                    13
<PAGE>



                        PART II.     OTHER INFORMATION

ITEM 5.  OTHER ITEMS
         -----------

A Consent of Directors in lieu of an annual meeting was held on April 5, 1999
for  both  Selkirk  Cogen  Funding  Corporation  and  JMC Selkirk, Inc. ("The
Managing General Partner").  The  following  tables  set  forth the names and
positions of newly appointed directors.

	Selkirk Cogen Funding Corporation:
	----------------------------------

		Name		 		    Position
		----					--------
	P. Chrisman Iribe			Director
	Sanford L. Hartman*			Director	

	The Managing General Partner:
	-----------------------------

		Name		 	        Position
		----					--------
	P. Chrisman Iribe			Director
	Sanford L. Hartman*			Director	

	*Stephen A. Herman resigned on April 2, 1999.  

     Sanford L. Hartman is  General  Counsel  of  U.S. Generating Company, an
affiliate of the Partnership, and has been with U.S. Generating Company since
1990.  Mr. Hartman assumed the role of General Counsel in April 1999.   Prior
to  joining  U.S.  Generating  Company,  Mr. Hartman was counsel to Long Lake
Energy Corporation, an independent  power  producer  with headquarters in New
York City and was an attorney with the Washington, D.C. law firm  of  Bishop,
Cook, Purcell & Reynolds.


Effective March 5, 1999, the name of Cogen Technologies Selkirk LP, Inc.  was
changed  to  RCM  Selkirk LP, Inc. and the name of Cogen Technologies Selkirk
GP, Inc. was changed to RCM Selkirk GP, Inc.

                                    14
<PAGE>



ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K
		 --------------------------------

(A)	Exhibits

	Exhibit No.		Description					         Page No.
	-----------		-----------							 --------

		27		Financial Data Schedule	
				(For electronic filing purposes only)


(B)	Reports on Form 8-K

    On March 9, 1999, the Registrant filed a report on Form 8-K disclosing  a
    change in its independent accounting firm.

Omitted  from this Part II are items which are not applicable or to which the
answer is negative for the periods covered.

                                    15
<PAGE>








 
                                 SIGNATURES

Pursuant  to  the  requirements  of  Section  13  or  15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized.



                         			    SELKIRK COGEN PARTNERS, L.P. 

Date:  May 17, 1999			            /s/   JMC SELKIRK, INC.
                                        --------------------------
 	                                    Name: General Partner
						                 
Date:  May 17, 1999			            /s/  JOHN R. COOPER
                                        --------------------------
 	                                    Name:	John R. Cooper
                                  		Title:	Senior Vice President and
		                                     	and Chief Financial Officer
			
















                                     16


<PAGE>

                  
                                 SIGNATURES

Pursuant  to  the  requirements  of  Section  13  or  15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed
on its behalf by the undersigned thereunto duly authorized.



                         			    SELKIRK COGEN FUNDING 
						                 CORPORATION

Date:  May 17, 1999			            /s/  JOHN R. COOPER
                                        --------------------------
 	                                    Name:	John R. Cooper
                                  		Title:	Senior Vice President and
		                                     	and Chief Financial Officer
			

						





















                                     17