FMPA Weekly | Aug. 24,2009 | Member Edition

FMPA Weekly

 

A weekly e-newsletter for FMPA members

 

Aug. 24, 2009

 


 

LAST WEEK

 

PGP Member Meeting

Mark Larson traveled to Atlanta last Tuesday for a meeting of Public Gas Partners to discuss an administrative services contract extension and fee increase proposed by Municipal Gas Authority of Georgia, the service provider. No decisions were made, and more discussion is likely.

 

Remarketing Fees

FMPA is talking with financial institutions about re-negotiating the remarketing fees that the Agency pays for its auction-rate securities. The industry-standard for remarketing fees has been 25 basis points. Since the U.S. financial crisis has frozen remarketing of these type securities, FMPA would like to see a reduction in fees. FMPA’s Treasury staff met with a potential service provider last week who expressed interest. The potential savings is not significant compared to FMPA’s total budget, but it is another way FMPA is looking to save costs. Contact: Janet Davis, Ed Nunez or Mark Larson

 

Board Evaluation Committee

FMPA’s Board Evaluation Committee met last Thursday via conference call to gather comments and input for the general counsel’s upcoming performance evaluation. The next step is to schedule an Evaluation Committee meeting in September. Contact: Sue Utley

 

I.T. Horizon Plan

FMPA is negotiating an engagement letter with KPMG to provide assistance in developing an Information Technology Horizon Plan. The plan’s objective is to offer advice on how to address I.T. options today and to prepare for I.T. challenges tomorrow. KPMG is well-suited to serve this role because of its consulting experience in both the electric utility industry and I.T. The schedule calls for developing the plan this fall with input from FMPA’s staff and preparing suggestions that would be proposed as part of the fiscal 2011 budget process. Contact: Mark Larson or Carter Manucy

 

Correction: Crystal River Unit 3

The Crystal River Unit 3 nuclear plant will begin a planned outage on Sept. 27. During the outage, Progress Energy will insert 76 new bundles of fuel and replace the steam generator. Once the uprate project is completed in 2011, the plant’s new output will increase 21% from 838 megawatts to 1,018 megawatts. The timeline for completion was incorrectly reported in last week’s FMPA Weekly.

 


 

THIS WEEK

 

Preparing for NERC Reliability Audit

Doug Smith will be in Key West this week helping Keys Energy Services prepare for an audit of reliability standards established by the North American Electric Reliability Corporation (NERC). As FMPA has done for other members, the Agency’s regulatory compliance staff assists with gathering documents and evidence to help members prepare for audits. Cities that FMPA has helped have expressed appreciation for this specialized assistance. The mandatory national standards give NERC broad authority to issue significant monetary sanctions for confirmed violations. Contact: Frank Gaffney

 

Member Visit

Bud Boudreaux travels to Leesburg on Tuesday for a member city visit. Next week, he will visit Moore Haven on Sept. 1.

 

Cane Island Unit 4 Budget

Representative from FMPA’s Treasury, Accounting and Project Development departments meet Tuesday to review Treasury-related assumptions in the Cane Island Unit 4 budget. The purpose of this mid-term review is to determine whether assumptions made when the budget was created — such as interest rates, interest income and interest expense — are still appropriate. Contact: Mark Larson

 

Board Room Conferencing

FMPA hosts several meetings this week that are available via Web cast and teleconference. When dialing into FMPA’s teleconference system, note it has a built-in mute option. Press *1 to tu the mute on and off. Please do not put the conference on hold if your phone system has a hold message or music because it becomes an interruption and distraction to others in the room and on the phone. Contact Information Systems at [email protected] for more information. For immediate assistance with any conferencing conces, call the help line at 321-239-1102.

 

Audit & Risk Oversight Committee

FMPA’s Audit and Risk Oversight Committee meets Thursday at 8:30 a.m. The location of the meeting has changed to the Library/Closing room on the second floor. The Committee will conduct an entrance interview with the exteal auditing firm. To view the agenda package, visit the 2009 agenda package section on the Member Portal. The meeting will be completed by 9:30 a.m. in time for the ARP Executive Committee meeting.

 

ARP Executive Committee

The ARP Executive Committee meets Thursday in the Board room at 9:30 a.m. The Committee will consider action items, including: 1) obtaining firm natural gas transportation capacity from Transco Station 85 South, 2) an application to terminate the Florida Gas Utility Gas Supply Acquisition Project #2, 3) two items requested by the city of Green Cove Springs, and 4) three items related to the construction of Cane Island Unit 4. To view the agenda package, visit the 2009 agenda package section on the Member Portal.

 

Cane Island Vendor Fair

The Cane Island Unit 4 engineering, procurement and construction contractor, Zachry Industrial Incorporated, is hosting a vendor fair for Florida businesses on Thursday from 9:30 a.m. to 3 p.m. at Holiday Inn Express located at 4050 Hotel Drive, Davenport, Fla., 33897 (at the intersection of I-4 and Highway 27).  Working to recruit qualified local vendors is part of the project’s commitment to maximizing the positive impacts the plant’s expansion can have on the community and the region. Contact: Steve Carroll

 

All-Requirements Project Load

The weekly update of the All-Requirements Project historical load graph has been posted on the Member Portal. The graph is updated through Aug. 23. Contact: Jim Atz

 


 

COMING UP

 

New FMPA.com Coming

FMPA’s Information Systems and Public Relations departments are making progress on the redesign of FMPA’s Web site, fmpa.com. The new design features improvements in content and functionality. Contact: Bree Balchunas

 

All-Requirements Project Conservation Program Roundtable

The All-Requirements Project participants are invited to a conservation program roundtable on Sept. 3 in the Board room at 10 a.m. Participants will discuss the ARP Conservation Program and exchange information on individual utility programs. For more information and to register, visit FMPA” rel=”nofollow”>http://www.fmpa.com/catalog/logo_apparel.html>FMPA Logo Apparel Catalog. Contact: Sara Barron

 

FGT Rate Case

TECO Peoples Gas will host a meeting Sept. 15 to discuss an upcoming Florida Gas Transmission (FGT) rate case that will go before the Federal Energy Regulatory Commission. All FGT shippers, including FMPA, were invited to participate. FMPA plans to take an active role in these discussions. Contact: Richard Montgomery

 

RCRA/DOT Annual Training

FMPA hosts an Resource Conservation and Recovery Act (RCRA) and Department of Transportation (DOT) annual and refresher training on Wednesday, Sept. 30. This one-day training course covers a variety of topics, including: 1) general provisions of the Department of Transportation training requirements, 2) hazardous materials, 3) specific requirements for electric utility hazmat employees, 4) emergency response information, and 5) accident prevention methods and procedures. To register, visit FMPA’s Web site at http://fmpa.com/html/member_services/reg_dot.html>http://fmpa.com/html/member_services/reg_dot.html;. The deadline to register is Friday, Sept. 18. Tuition is $200. Contact: Mike Siefert

 


 

INDUSTRY NEWS

 

Ten-Year Site Plan Workshop

The Florida Public Service Commission held a workshop last Wednesday to discuss the 10-year site plans of Florida’s 11 largest electric generating utilities. Each plan estimates the utility’s power generating needs and the general location of proposed power plant sites during the 10-year planning horizon. In addition, the Florida Reliability Coordinating Council (FRCC) presented an overall assessment of the region’s load and resource plan, fuel reliability and transmission planning. The individual plans from the utilities are available on the