FMPA Weekly
A weekly e-newsletter for FMPA members
Jan. 25, 2010
LAST WEEK
Regulatory Victory
FMPA successfully challenged last week the interpretation of North American Electric Reliability Corporation (NERC) Standard EOP-005-1 regarding system restoration plan requirements. The existing interpretation was unclear about a requirement for small transmission operators to perform power flow and stability studies as part of system restoration plans. In a resounding defeat, only 17.7% voted to approve the existing interpretation. This was a clear victory for FMPA and its members. Contact: Frank Gaffney
Pooled Loan Program
Janet Davis, Ed Nunez and Mark Larson met last Tuesday with representatives from BMO Capital Markets, a subsidiary of Bank of Montreal, to discuss a possible letter of credit for FMPA’s Pooled Loan Program.
Cane Island Unit 4 Warranty Kick Off
Steve Carroll, Jay Butters and representatives from Zachry Holdings, Inc. held a Cane Island Unit 4 warranty kick off meeting last Thursday. The group discussed how to administer the warranty and proactive steps that will be taken to reduce warranty claims on the new unit.
Wachovia Meeting
Mark Larson, Janet Davis and Ed Nunez met last Friday with representatives from Wachovia to discuss the institution’s banking relationship with FMPA.
Controller Candidate Interviews
Interviews for FMPA’s open controller position resumed last Friday.
Condolences
William J. DeRoze, father of Sharon Smeenk, passed away on Jan. 13. Our thoughts and prayers are with Sharon and her family thoughout this difficult time.
THIS WEEK
Meeting with Rep. Troutman
Representatives from FMPA, Florida Municipal Electric Association and the city of Fort Meade will meet Monday with state Rep. Baxter Troutman to discuss a draft bill in the Florida House of Representatives that would place FMPA under regulation by the Public Service Commission. The meeting presents an opportunity for participants to discuss conces on both sides and explore alteatives to filing the proposed legislation. Contact: Nick Guarriello or Mark McCain
Audit and Risk Oversight Committee
FMPA’s Audit and Risk Oversight Committee meets Wednesday at 10 a.m. in the Board room. The Committee will hear information items, including: 1) an update on the FPL Unreserved Transmission Use Self-Report, 2) an update on the Protiviti IT Assessment, 3) an insurance update, 4) an FGU storage update, 5) a regulatory update, and 6) an update on the fuels market. Contact: Rich Popp
ARP Business Model Working Group and PMLC
FMPA’s ARP Business Model Working Group and Policy Makers Liaisons Committee (PMLC) will hold a concurrent meeting Wednesday at 1 p.m. in the Board room. Participants will discuss FMPA’s rate-setting process. The meeting agenda package will be available Monday on FMPA’s Member Portal. Contact: Nick Guarriello or Mark McCain
Board of Directors
FMPA’s Board of Directors meets Thursday at 9 a.m. in the Board room. The Board will consider action items, including: 1) approval of the Financial Audit Report for Fiscal Year 2009, 2) approval of the Annual Risk Assessment, and 3) approval of a revision to FMPA’s Debt Risk Management Policy. Contact: Sue Utley
ARP Executive Committee
FMPA’s ARP Executive Committee meets Thursday at 9:30 a.m. in the Board room. The Committee will consider action items including: 1) approval of the Financial Audit Report for Fiscal Year 2009, 2) reconsideration of payments for Lake Worth gas transportation, 3) approval of the FGU Audit, 4) approval of the Annual Risk Assessment, 5) approval of a revision to the Debt Risk Management Policy, and 6) approval of Taylor County Swap Terminations recommendations. Contact: Michelle Pisarri
Member Portal Spotlight: HedgeSite
FMPA’s Marketing and Fuels Department published the January issue of “HedgeSite on the Member Portal last Tuesday. This issue reports that, although frequent prolonged cold spells in the upcoming months could lead to below average gas storage levels, since most of the gas storage was filled up at very low prices, bleak economic conditions across the nation are expected to continue to weaken demand for commodities including natural gas. “HedgeSite is published on a bi-monthly basis in the Energy Supply and Fuels section of the Portal. The newsletter provides overviews of FMPA’s current hedge position, storage inventory and physical gas in addition to relevant market news. It is a great resource for members and employees to find updated information on the Agency’s projected weighted average cost of gas (WACOG), the WACOGs reported by Florida’s investor-owned utilities, the fuel generation mix of the All-Requirements Project and FMPA’s historical load trends.
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 Jan. 24. Contact: Jim Atz
Service Anniversaries
Congratulations to Frank Gaffney, who celebrates one year with FMPA on Thursday, Jan. 28.
Congratulations to Jim Atz, who celebrates three years with FMPA on Friday, Jan. 29.
COMING UP
Member Relations FAQ: How can you measure a relationship?
The launch of FMPA’s 2010 Member Relations Survey is coming soon. To prepare members to participate in the survey, which is a strategic plan action item, FMPA Weekly is answering some of the most frequently asked questions (FAQ) about the survey. This week’s question is, “How can you measure a relationship? FMPA’s survey measures relationships through a set of six relationship indicators developed and validated through research by Dr. James Grunig and Dr. Linda Hon from the Institute for Public Relations. Grunig and Hon’s relationship survey was developed by drawing from prior academic research in the fields of interpersonal communication, psychology and public relations, and it is widely considered the gold standard in public relations measurement. Using survey questions that have been validated in an academic setting ensures that FMPA’s survey is able to measure what it intends to measure and that the survey can provide accurate and meaningful data to management. Contact: Diane Nelson
Climate Change Workshop
Registration opened last week for FMPA’s Climate Change workshop on March 10 from 10 a.m. to 3 p.m. in the Board room. The workshop will help participants understand the issues surrounding proposed climate change legislation, as well as the operational and financial impacts for utilities. The course will be led by Robert Kappelmann, energy and environmental policy consultant with RLK Associates. Registration is $250 for FMPA members. Contact: Mike Siefert
FMEA Legislative Rally
The Florida Municipal Electric Association (FMEA) has rescheduled its Legislative Rally for March 22 and March 23 to avoid travel conflicts with FMPA events later that week. The Rally is an annual opportunity for Florida’s municipal electric utilities to communicate with state legislators. For more information or to register, visit formal” rel=”nofollow”>http://www.ferc.gov/whats-new/comm-meet/2010/012110/E-3.pdf>formal notice of inquiry that also will seek comments on whether it should consider other refinements to the existing quarterly report filing requirements.
Progress Energy Says It’s Not Scrapping Nuclear Project
Progress Energy is asking the Tampa Tribune to retract a two-paragraph brief that ran Jan. 20 on page 6B of its print editions stating the utility plans to scrap development of its Levy County nuclear project after state regulators rejected its $500 million rate increase request. The article sparked a protest from Sen. Mike Fasano, who sent a letter to PSC Chairwoman Nancy Argenziano asking the Commission to demand that the company refund money it has already collected from customers to pay for the project’s development costs. Progress Energy spokeswoman Suzanne Grant said the brief article “was completely false. The company announced last week that it was considering all its options and had made no decisions about what actions to take in light of the rate case.
FMPA Weekly is published by FMPA for employees and goveing boards of FMPA member utilities. Questions or comments about this newsletter may be directed to Skye Guthrie or Diane Nelson in FMPA’s Public Relations Department.
Want more background on the names and terms used in this newsletter? Check out FMPA’s Glossary, which features some of the most frequently mentioned committees, companies, places and terms, or contact the person named in each FMPA story to lea more. (Click here for the Staff Directory).
Have a question, comment or story idea for the newsletter? FMPA welcomes your feedback at any time. Contact: Skye Guthrie or Diane Nelson