FMPA Weekly | May 23, 2011 | Member Edition

FMPA Weekly

A weekly e-newsletter for FMPA members


May 23, 2011





Fort Pierce CROD Analysis
Nick Guarriello, Tom Reedy and Jason Wolfe presented FMPA’s analysis of Fort Pierce’s Contract Rate of Delivery options to the Fort Pierce Utilities Authority (FPUA) Board last Tuesday. FPUA commissioned an independent engineering firm to conduct an analysis of its option for limiting the amount of capacity and energy purchases from FMPA’s All-Requirements Project and asked FMPA to comment on the report. In addition, FMPA conducted its own analysis of the options available to FPUA and presented those results as well. FPUA has hired a second consultant to conduct an analysis of its options and will then decide what action to take.


Member City Visits
Bud Boudreaux traveled to Fort Pierce last Friday for a member city visit with Director of Utilities Bill Thiess, FPUA Board member Mike Perri and City Commissioner Tom Perona. Bud also traveled to Vero Beach to meet with Customer Service Manager John Lee.

Finance Meetings
Members of FMPA’s Treasury and Finance Department met with representatives from JP Morgan last Wednesday to discuss a line of credit for the All-Requirements Project, which FMPA expects to finalize by the end of May. Treasury also met with PNC Bank last Thursday to discuss financing for the purchase of St. Lucie auction-rate securities tendered by Citi. Contact: Janet Davis





Business Planning and Budget Committee
FMPA’s Business Planning and Budget Committee meets Wednesday at 9 a.m. in the Board room to finalize the proposed fiscal 2012 budgets. The Committee’s action items include: a) approving and recommending to the Executive Committee the Agency and All-Requirements budgets, and b) approving and recommending to the Board of Directors the Agency allocation and the budgets for FMPA’s other power supply projects. The full agenda package is available on the Member Portal. Contact: Mark Larson


Audit and Risk Oversight Committee
The Audit and Risk Oversight Committee (AROC) meets Wednesday at 1 p.m. in the Board room to discuss action items including: 1) approval of the risk inventory update, and 2) an annual review and assessment of the AROC Charter. The full agenda package is available on the Member Portal. Contact: Rich Popp


Board of Directors
A special meeting of FMPA’s Board of Directors has been called for Thursday at 9 a.m. in the Board room to approve financing plans for the purchase of St. Lucie and Stanton II project auction-rate securities tendered by Citi. The full agenda package is available on the Member Portal. Contact: Nick Guarriello


ARP Executive Committee
The All-Requirements Project (ARP) Executive Committee meets Thursday in the Board room at 9:30 a.m. or immediately following the Board of Directors meeting. The Committee will discuss action items including, 1) fiscal 2012 funding level for the Conservation Program , 2) policy on running generation units out of economics, 3) amending the Florida Gas Utility interlocal agreement, 4) increasing the import limit into the Florida Keys, 5) ARP property insurance, 6) R.W. Beck, an SAIC Company, additional service request regarding FPL transmission rate compliance filing, and 7) initial budget for Duke-Progress Energy merger outside legal counsel and consultant efforts. The full agenda package is available on the Member Portal. Contact: Nick Guarriello


Nominating Committee
The Nominating Committee meets Thursday in the Board room at 1 p.m. or immediately following the ARP Executive Committee to recommend a slate of Board officers for 2011-2012. Contact: Nick Guarriello


Cane Island Unit 4
Cane Island Unit 4 will be taken off-line this week for seven days after successfully completing operating tests last week. Inspections and maintenance are planned this week before the unit undergoes additional operating tests in preparation for commercial operation in June. Contact: David Schumann


All-Requirements Project Weekly Load Statistics
The weekly update of the All-Requirements Project historical load graph is posted on the Member Portal. The graph is updated through May 22. Contact: Jim Atz




Memorial Day Holiday
FMPA’s offices will be closed next Monday in observance of Memorial Day. Have a safe and happy holiday weekend!


Business Model Working Group
The All-Requirements Project’s Business Model Working Group meets June 1 at 10 a.m. in the Board room. Contact: Nick Guarriello


FEMA Workshop
FMPA will host a workshop on the Federal Emergency Management Agency’s (FEMA) Public Assistance Grant Program on June 3 from 9 a.m. to 11 a.m. at FMPA’s Orlando office. Dan Niederman, training officer with the Florida Division of Emergency Management, will discuss the federal grant program and guide participants through the reimbursement process. FMPA staff and members with responsibility for FEMA reimbursement following a natural disaster are encouraged to attend. There is no cost to attend the workshop, but>registration; is requested. The workshop will be available via webcast for those unable to attend. Contact: Mike Siefert


FMPA Compliance Workshop
FMPA will hold a two-day Compliance Workshop June 14 and June 15 in the Board room. The workshop is intended for subject-matter experts in planning, protection and facility ratings, as well as compliance staff. Participants will discuss topics including cyber security, FMPA’s Inteal Compliance Program and North American Reliability Corporation standards. Contact: Frank Gaffney


ECG Engineering & Operations Conference
Electric Cities of Georgia will hold an Engineering & Operations (E&O) Conference June 15 through June 17 in Savannah, Ga. The conference features a variety of E&O topics, including pole attachments, APPA’s Reliable Public Power Provider Program, GMA’s safety and liability management grant program, electric vehicle charging stations, and more. Visit>; for additional details.


APPA National Conference

The American Public Power Association’s (APPA) National Conference is June 17 through June 22 in Washington, D.C. The conference kicks off with a Public Power Day of Giving on June 17 and follows with two days of pre-conference seminars on June 18 and 19. On June 20, the conference begins three days of programs that feature prominent political, economic, business and public-policy thinkers. The speakers will provide insights on what’s ahead for Congress; forecasts for the economy; and trends in politics, society and our industry. The national conference is an opportunity to lea about important utility issues while networking with more than 1,500 other senior managers and goveing board members. Visit>; for more information.





Lawmakers Seek Longer Comment Period for Utility MACT
Senate Environment and Public Works Ranking Member James Inhofe (R-OK), House Energy and Commerce Chair Fred Upton (R-MI), and House Energy and Power Subcommittee Chair Ed Whitfield (R-KY) sent a letter May 17 to the Environmental Protection Agency (EPA) requesting  a longer comment period for a proposed regulation known as Utility MACT. EPA proposed the rule on mercury and acid gases for coal- and oil-fired generation in mid-March and published the proposed rule May 3 in the Federal Register. EPA has provided the public only 60 days to comment on the proposal. The lawmakers urged the agency to extend the comment period for the 946-page rule to a minimum of 120 days. The Utility MACT is a significant new emission standard that is expected to result in plant shutdowns and increased electricity rates. EPA has estimated the compliance costs at $10.9 billion annually, making it one of the most expensive rules proposed in the Agency’s history. In a related matter, a coalition of power companies have complained about mathematical errors in the mercury proposal, and EPA conceded May 18 that it did err when it calculated what the maximum achievable control technology (MACT) can achieve. The lawmakers have asked for a response from EPA by May 31.


NOAA Hurricane Outlook Predicts Above-Normal Season
The Atlantic basin is expected to see an above-normal hurricane season this year, the National Oceanic and Atmospheric Administration (NOAA) announced Thursday. Forecasters predict 12 to 18 named storms in the Atlantic, with six to 10 hurricanes and three to six major hurricanes, with winds of 111 mph or more. They attribute the busy season to an era of heightened Atlantic hurricane activity, warmer-than-normal sea surface temperatures and La Niña conditions. NOAA’s seasonal hurricane outlook does not predict where and when any of these storms may hit. Landfall is dictated by weather pattes in place at the time the storm approaches.



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 Ryan Dumas or Ashley Tinstman 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: Ryan Dumas or Ashley Tinstman



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