FMPA Weekly | Oct. 24, 2011 | Member Edition

FMPA Weekly


A weekly e-newsletter for FMPA members


Oct. 24, 2011





FPL Transmission Rate Case

FMPA, Florida Power & Light (FPL) and other settling parties submitted a response last week to comments filed by Federal Energy Regulatory Commission (FERC) Trial Staff in response to a settlement agreement regarding FPL’s cost-of-service formula rate for wholesale transmission service. While FERC Trial Staff do not oppose the settlement and recognize that it resolves all issues set for hearing, they did raise policy conces with some provisions. FMPA responded that the settlement agreement does not need to be modified as FERC Trial Staff suggested. The settlement agreement was filed Sept. 23 and included a reduction of 10 cents per kW/month from the current formula rate of $1.69 per kW/month to $1.59 per kW/month, a savings to the All-Requirements Project (ARP) of approximately $600,000 a year. The new rate is a stated rate effective until Dec. 31, 2013. The agreement also includes a reduction in the power loss factor from 2.19% to 1.85%, a savings of approximately $500,000 per year to ARP. When the settlement is approved by FERC, ARP will receive a refund for transmission services retroactive to July 1, 2010, an estimated $1.3 million if approved by the end October. Contact: Michele Jackson


3 Phase Times

FMPA’s Power Resources Division published the September 2011 edition of 3 Phase Times last week. This monthly report provides information about the All-Requirements Project’s (ARP) system peak, hourly loads, resource fuel mix, natural gas usage, natural gas pricing and more performance information. The September report shows that ARP’s purchases and sales in the Florida Municipal Power Pool resulted in net sales of 76,741 MWh, which is significantly higher than estimated. The increase was due to low natural gas prices and high megawatt output from FMPA’s owned gas-fired generation. For more information, download 3 Phase Times from the Member Portal. Contact: Tom Reedy


Content Management System Update

Mark Larson and FMPA’s Information Technology (IT) Department met last Tuesday with representatives from HCONN, a consulting firm that specializes in Microsoft SharePoint, to discuss the transition from FMPA’s current document management systems to SharePoint. FMPA selected SharePoint for document management, records retention and compliance. The IT Department is conducting a series of hardware and software upgrades so that all FMPA employees will have Windows 7, Microsoft Office 2010 and the compatible hardware. After these upgrades are complete, FMPA will install SharePoint on test computers. Next, training will be conducted with all employees. Finally, after training is complete, SharePoint will be deployed to all users.


FRCC Audit

Greg Welker traveled to Winter Park last Tuesday to attend the city electric utility’s exit presentation for a recent Florida Reliability Coordinating Council (FRCC) audit regarding North American Electric Reliability Corporation standards. The city was not cited with any violations. Greg conducted a mock audit in August to help the electric utility prepare. Contact: Frank Gaffney


Year-End Audit

Rich Popp and Liyuan Woeer met last Friday via conference call with Purvis, Gray & Company, FMPA’s exteal auditors, to discuss the scope of work involved with FMPA’s annual financial audit. Auditors will be at FMPA on Nov. 1 to begin the fiscal 2011 audit.





Policy Makers Liaisons Committee

FMPA’s Policy Makers Liaisons Committee meets Wednesday at 2 p.m. in the first-floor conference room to discuss potential state legislative issues related to electric utilities and to hold a round table discussion by policy makers on the most important electric issues in their communities. The full agenda package is available on the Member Portal. Contact: Mark McCain  


Audit and Risk Oversight Committee

FMPA’s Audit and Risk Oversight Committee meets Thursday at 8 a.m. in the Board room to discuss approval of a risk inventory. The full agenda package is available on the Member Portal. Contact: Rich Popp


FMPA Board of Directors and ARP Executive Committee

FMPA’s Board of Directors and the ARP Executive Committee meet concurrently Thursday in the Board room at 9 a.m. to discuss the busbar and market analysis for the exiting nuclear opportunity. The Board of Directors will also discuss: 1) approval of the St. Lucie audit report for calendar years 2009 and 2010, and 2) approval of the Board officers’ recommendations and evaluations of General Manager and CEO and General Counsel. The ARP Executive Committee will also discuss approval of extending a line of credit with Wells Fargo. The full agenda packages are 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 Oct. 23. Contact: Jim Atz


Special Dates

Congratulations to Terry Bus, who celebrates three years with FMPA on Saturday, Oct. 29.


Congratulations to Ed Nunez, who celebrates four years with FMPA on Saturday, Oct. 29.





Lineman’s Roundtable
FMPA’s semi-annual Lineman’s Roundtable is scheduled for Nov. 9 at Ocala Utility Services’ Operations Center.>Registration; is requested and lunch will be provided. Contact: Sharon Samuels


Underground Distribution Certification
The Underground Distribution Certification program is scheduled for Nov. 8 through Nov. 10 in Adele, Ga. Program information is available on the
Member Portal. Contact: Mike Siefert


APPA Smart Grid, Safety and NERC Compliance Symposium
The American Public Power Association’s (APPA) Smart Grid Summit is Nov. 14 and Nov. 15 at the Orlando Hyatt Regency Grand Cypress. Monday is the last day for early bird registrations. Featured speakers will include cyber security expert Annabelle Lee and Smart Grid Interoperability Panel representative Stephen Muchlinski. The two will discuss the status of Federal Energy Regulatory Commission regulations, interoperability standards and other proposed cyber security regulations. In conjunction with the Smart Grid Summit, APPA will hold a National Electrical Safety Code Training on Nov. 14 and Nov. 15 and a NERC Compliance Plan Development Workshop on Nov. 16 and Nov. 17. Information on all three events is available on registration>registration; is requested. Contact: Sharon Samuels





PSC to Consider Nuclear Cost Recovery for FPL, PEF

The Florida Public Service Commission (PSC) will hold a special commission conference on Monday to consider a staff recommendation addressing requests for nuclear cost recovery from Florida Power & Light (FPL) and Progress Energy Florida (PEF). FPL has requested cost recovery for two nuclear projects: 1) power uprates at its existing Turkey Point Units 3 and 4, as well as uprates at St. Lucie Units 1 and 2, and 2) the construction of two new nuclear units known as Turkey Point Units 6 and 7. PEF has requested cost recovery for two nuclear projects: 1) a multi-phase uprate at its existing Crystal River Unit 3, and 2) the construction of two new nuclear units known as Levy Units 1 and 2.


Van Meter Confirmed to KUA Board

The Kissimmee City Commission on Tuesday confirmed the appointment of Jeanne Van Meter to complete an unfinished term on the Kissimmee Utility Authority Board of Directors left open by the resignation and subsequent death of vice chairman James R. “Jim Kasper. Van Meter will be swo in at the Board’s Nov. 2 meeting and serve until Sept. 30, 2014.


Utility MACT Delayed a Month

The U.S. Environmental Protection Agency (EPA) will delay by one month the release of new emission limits for mercury and acid gases from power plants, the agency said last Friday. The original deadline of Nov. 16 will be pushed back until Dec. 16, according an EPA filing with the U.S. District Court for the District of Columbia. Known as “Utility MACT, the rule will set emissions limits that reflect the Maximum Achievable Control Technology (MACT) for emissions from coal- and oil-fired boilers at power plants. Boilers that release more than the new limits will need to be upgraded with new pollution control equipment, use cleaner fuels or shut down. The coal industry, a coalition of power companies and the attoeys general of 24 states petitioned the court earlier this month to delay the final rules by a year saying the measure is too costly.



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 Henderscheid This e-mail address is being protected from spambots. You need JavaScript enabled to view it 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 Henderscheid




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