FMPA Weekly
A weekly e-newsletter for FMPA members
June 23, 2014
LAST WEEK
ARP Executive Committee
The ARP Executive Committee met last Thursday and approved action items, including: 1) the fiscal 2015 All-Requirements Project and Agency budgets, 2) Amendment Two to the Oleander Unit 5 Power Purchase Agreement, 3) adoption of the ARP Executive Committee Public Comments Policy, and 4) the Crystal River Unit 3 settlement agreement. The full agenda package is available on the Member Portal. Contact: Nick Guarriello
Board of Directors Officer Nominees for 2014-2015
FMPA’s Nominating Committee announced its recommendations for Board of Directors officers for 2014-2015. The Committee unanimously nominated Bill Conrad, Newberry, as Chairman, Barbara Quiñones, Homestead, as Vice Chairman, Bill Thiess, Fort Pierce, as Treasurer and Lynne Tejeda, Key West, as Secretary. Each officer is willing to serve if elected. The vote will take place July 18 at the annual meeting in Naples, Fla. Nominations for Board officers also can be accepted from the floor during this meeting. Contact: Nick Guarriello
THIS WEEK
Member City Visits
Fred Bryant and Bud Boudreaux travel to Bushnell on Monday for a member city visit with City Manager Bruce Hickle. On Tuesday, Fred and Bud travel to Leesburg to meet with Policy Makers Liaisons Committee Chairman Bill Polk, City Manager Al Minner and Electric Director Patrick Foster.
FGU Annual Meeting
Nick Guarriello is attending the Florida Gas Utility’s (FGU) Annual Meeting on Wednesday and Thursday in Clearwater Beach, Fla. Discussion topics will include: 1) methane hydrates, 2) Federal Energy Regulatory Commission updates, 3) natural gas pipeline updates, and more.
FMPA Compliance Workshop
FMPA hosts a two-day compliance workshop on Thursday and Friday in the Board room. Discussion topics include: 1) revised and new North American Electric Reliability Corporation standards, 2) the Reliability Assurance Initiative, and 3) recent compliance enforcement activities. Contact: Carol Chinn
Personal All-Requirements Project Budget Reviews
All-Requirements Project (ARP) members have a new opportunity to gain a deeper understanding of the financial drivers of the project. Members of FMPA’s Finance Division are available to meet one-on-one or in small groups at ARP member cities to review the financial details of the project’s nine budget cost centers. The workshop is free to all ARP member cities. It is highly interactive and can be customized to meet members’ interests and time constraints. Contact: Mark Larson
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 June 22. Contact: Jim Atz
COMING UP
FMEA-FMPA Annual Conference
Electric Power Research Institute Director David Porter will provide a presentation on the future of the electric industry at the FMEA-FMPA Annual Conference scheduled for July 15 through July 18 at the Ritz Carlton in Naples. Porter will share strategies to adapt to changes in the electric utility industry, including investing in new technologies, modeizing the local grid and focusing on quality operations and sound financing. The conference also will include sessions on: 1) energy legislation and politics in the 113th Congress, 2) connecting with employees from different generations, 3) strategic planning, and more. Visit FMEA’s http://publicpower.com/fmea-fmpa-annual-conference/>website; for conference and hotel registration information.
OSHA Update for Electric Utilities
FMPA will host an Occupational Safety and Health Administration (OSHA) update for electric utilities on July 30 at 9 a.m. at FMPA’s Orlando office to discuss recent changes and updates to OSHA’s electric power standards for general industry and construction. Pam Tompkins with SET Solutions, LLC will discuss major rule changes and review the “Big Four topics, including: 1) information sharing/host employers and contractors, 2) fall protection, 3) minimum approach distances, and 4) protection from flames and electric arc hazards. The cost is $225, and http://www.fmpa.com/index.php/component/registrationpro/?view=event&did=60>registration; is required. Contact: Sharon Smeenk
INDUSTRY NEWS
APPA Announces Individual and Utility Awards
Florida utilities were recognized with national awards last Tuesday at the American Public Power Association’s national conference. Beaches Energy Services received the Community Service Award while Nona Jones from Gainesville Regional Utilities received the Robert E. Roundtree Rising Star Award and Kissimmee Utility Authority Board Secretary Dr. George Gant received the Spence Vanderlinden Public Official Award.
FERC Adopts New Rate of Retu on Equity Methodology for Electric Utilities
The Federal Energy Regulatory Commission (FERC) adopted a new methodology for determining the rate of retu on equity (ROE) for electric utilities that fall under its jurisdiction and also reversed its policy of adjusting ROEs to reflect changes in capital markets. FERC’s new discounted cash flow methodology for determining just and reasonable retus for investor-owned utilities is the same methodology used for natural gas and oil pipeline ROEs, and it incorporates both short- and long-term measures of growth in dividends, rather than only short-term measures. However, FERC instituted a paper hearing on the appropriate long-term growth rate to use, noting that in natural gas and oil pipeline proceedings it uses growth in gross domestic product (GDP) as a measure of long-term growth. Subject to the outcome of the paper hearing, the base ROE assuming a long-term growth rate based on GDP would be 10.57%, the point halfway between the 9.39% midpoint of the zone of reasonableness and the 11.74% top of that zone.
PSC Vacancies Draw Familiar Names
Thirty-three people applied for the two upcoming vacancies on the Florida Public Service Commission (PSC), including Commissioner Julie Brown, who is seeking appointment to another four-year term. Other applicants include Rep. Jimmy Patronis, PSC General Counsel and former long-time lawmaker Curt Kiser, and former Rep. Dave Murzin. The terms of Brown and Commissioner Eduardo Balbis will expire in January. Balbis announced last month he would not seek another term. A nominating panel will narrow the list down and recommend a list of finalists to Gov. Rick Scott, who will make appointments to the seats.
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 Christin Senior 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 Christin Senior
Florida Municipal Power Agency
8553 Commodity Circle
Orlando, FL 32819-9002
Tel 407 355-7767
Fax 407 355-5794
http://www.fmpa.com
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