FMPA Weekly | Aug. 22, 2011 | Member Edition

FMPA Weekly


A weekly e-newsletter for FMPA members


Aug. 22, 2011





Credit Ratings Questions and Answers
FMPA issued additional information last week about the decision by Moody’s Investors Service on Aug. 9 to change the credit ratings of FMPA’s All-Requirements and Tri-City projects. FMPA’s Public Relations Department published answers to frequently asked questions. The document is written with the intent that project participants can share this information with leaders in their city. The file is posted on the Member Portal in the Public Relations Section under the category called Information Briefings and Frequently Asked Questions. Contact: Mark McCain


St. Lucie Power Plant Owners’ Meeting

Steve Ruppel, Susan Schumann, Liyuan Woeer and Jason Wolfe attended the St. Lucie Nuclear Power Plant annual owners’ meeting held Aug. 12. Florida Power & Light announced that the up-rate project for St. Lucie Unit 2 completed in this spring resulted in an additional 34 MW of generating capacity. FMPA’s 8.8% share is approximately 3 MW. St. Lucie Project participants interested in receiving a copy of the meeting presentation can contact Jason Wolfe.


Lineman Safety Program

The city of Quincy joined the Lineman’s Safety Training Program offered by FMPA through Electric Cities of Georgia. Quincy is the fifteenth FMPA member to join the safety training program. Mike McCleary, the safety trainer, will be in Quincy this September to begin the monthly training. Quincy participated in safety training when FMPA and MEAG were providing quarterly training for members. The program has evolved from the quarterly meetings into the monthly program of today. Contact: Mike Siefert


Mock Audit

Greg Welker traveled to Winter Park earlier this month to assist the city’s electric utility in preparing for an upcoming Florida Reliability Coordinating Council (FRCC) audit regarding North American Electric Reliability Corporation standards. Greg conducted a mock audit, provided feedback and advised the city on questions the FRCC may ask. He will also be in Winter Park for the audit, which is scheduled for Oct. 17 through Oct. 19. FMPA has conducted mock audits for many of its members in the past and continues to offer this service for those who are interested. Contact: Frank Gaffney





Audit and Risk Oversight Committee
FMPA’s Audit and Risk Oversight Committee meets Monday at 10 a.m. via conference call with FMPA’s exteal auditing firm, Purvis Gray and Company. The Committee will conduct an entrance interview in preparation for the year-end audit, which is scheduled to begin Oct. 31. The agenda is available on the Member Portal. Contact: Rich Popp


Member City Visit

Bud Boudreaux visits Fort Pierce Utilities Authority (FPUA) on Monday to meet with City Commissioner Tom Perona, FPUA Board Member Mike Perri, Director of Utilities Bill Theiss and Director of Electric and Gas Systems Tom Richards.


Cane Island Unit 4 Dedication

The dedication of Cane Island Unit 4 is Wednesday at 10 a.m. at the plant site. The ceremony celebrates the start of commercial operation for FMPA’s newest power generating resource. Unit 4 is wholly owned by FMPA and is operated under contract by Kissimmee Utility Authority (KUA). Speakers at the ceremony will include: KUA Chairman Fred Cumbie, KUA President and General Manager Jim Welsh, Kissimmee City Commissioner Jerry Gemskie, FMPA All-Requirements Project Executive Committee Chairman Howard McKinnon and FMPA General Manager and CEO Nicholas Guarriello. The unit’s combustion turbine is named in honor of former KUA Chairwoman Nancy Gemskie, who passed away on July 1. In honor of Nancy, a special tribute will be unveiled during the ceremony. The dedication will be followed by lunch and tours of the plant. Contact: Diane Nelson


Board of Directors

FMPA’s Board of Directors meets Thursday at 8:30 a.m. in the Board room to discuss the use of project development funds for a due diligence review of purchase opportunities of new and existing nuclear units. The Board will also be briefed on Moody’s Investors Service Aug. 9 reports on the Stanton, Stanton II and Tri-City projects. The full agenda package is located on the Member Portal. Contact: Nick Guarriello


ARP Executive Committee

The ARP Executive Committee meets Thursday in the Board room at 9 a.m. or immediately following the Board of Directors meeting to discuss the following action items: 1) extending the JPMorgan Chase line of credit, 2) refinancing two ARP bond series through direct placement of variable rate bonds with SunTrust and PNC, 3) selling FMPA emission allowances, and 4) allocating additional funds for the Duke-Progress Energy merger outside legal counsel and consultant efforts. The Committee will also be briefed on Moody’s Investors Service Aug. 9 report on the All-Requirements Project. The full agenda package is available on the Member Portal. Contact: Nick Guarriello


All-Requirements Project Weekly Load Statistics

The weekly update of the All-Requirements Project historical load graph has been posted on the Member Portal. The graph is updated through Aug. 21. Contact: Jim Atz





CR3 Participants’ Annual Meeting
The Crystal River Unit 3 participants’ annual meeting will be held Aug. 29 at 10:30 a.m. in the plant’s cafeteria/conference building. Lunch and a tour of the plant will be provided.


Joint Purchase Project

FMPA’s Joint Purchase Project meets Sept. 8 at 9 a.m. in the Board room. Contact: Sharon Samuels


Lineman’s Roundtable

FMPA will hold its semi-annual Lineman’s Roundtable Oct. 20 at Ocala Utility Services’ Operations Center. The roundtable provides a forum for line crews to exchange ideas on operating practices, safety, training, tools and equipment. Contact: Sharon Samuels





EPA Rules May Threaten Summer Reliability, New York Times Reports
Although U.S. electric utilities had enough power to cope with this summer’s hot temperatures, The New York Times reported that may not be the case in the future because of new rules proposed by the Environmental Protection Agency (EPA). The Aug. 11 article says the Southe Company, an Atlanta-based utility, expects to retire 4,000 MW of coal-fired generation due to the EPA’s rules, which relate to air toxins and mercury. The investor-owned utility also waed that the closings will significantly impact customers and the overall economy as a result of higher costs for electricity. American Electric Power, a utility based in Columbus, Ohio, has announced plans to retire 6,000 MW. According to the article, the EPA itself has estimated its rules will cause a loss of 10,000 MW, or 1% of U.S. generating capacity. However, industry experts have said the rules, combined with other rules on coal ash and cooling water, will result in a loss of as much as 80,000 MW, or 7% of U.S. capacity. PJM Interconnection, a regional grid operator, said that the new rules could affect reliability, as well. In a statement filed with the EPA, the company said the EPA is understating the level of expected plant retirements, and the rules do not provide enough flexibility or time to address potential reliability conces. The EPA’s rules are expected to be finalized in November.


Former OUC GM Curtis Stanton Passes Away

Former Orlando Utilities Commission (OUC) General Manager Curtis Stanton passed away Aug. 15 at the age of 93. Stanton joined OUC in 1947 as Assistant General Manager and became General Manager shortly thereafter at age 29. He served as General Manager for 35 years during a time when the local utility grew into a powerful players in the electric and water utility industry. He helped form the Florida Electric Power Coordinating Group, upgraded OUC’s water system from surface water to well water, and added coal and nuclear power to OUC’s generation portfolio. Stanton was also active in national water and electric trade associations. He served as president of the American Water Works Association and in 1959 served as president of the Florida Municipal Electric Association. Stanton is the namesake of OUC’s power plant, the Curtis H. Stanton Energy Center, in east Orange County.



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 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


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