FMPA Weekly
A weekly e-newsletter for FMPA members
June 17, 2019
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LAST WEEK
Finance Committee
FMPA’s Finance Committee met last Monday to review results from a request for proposal process for external audit services. The committee approved and recommended to the Board of Directors the selection of Purvis Gray & Company to continue as FMPA’s external auditor subject to the condition that the lead partner be shifted to someone who has not previously led or worked on a previous FMPA audit. This recommendation will be an action item at the Board of Directors meeting this Thursday. Contact: Linda Howard
Electric Deregulation Ballot Initiative
Gov. Ron DeSantis signed a bill (HB5) June 7 that adds provisions for petition gatherers and citizens seeking to amend the Florida Constitution. The prohibition on paid petition-gatherers takes effect immediately, while other petition-related changes in the bill take effect in 30 days. The changes apply to amendments proposed for the 2020 ballot, though they do not affect signatures already gathered. The legislation impacts the process of the electric deregulation ballot initiative that would allow customers of investor-owned utilities to choose their electricity provider. The law requires 766,200 signatures to make it to the ballot and needs 60% of the vote to pass. FMPA, Florida Municipal Electric Association (FMEA) and Orlando Utilities Commission filed a joint reply brief at the Florida Supreme Court in opposition to the initiative. FMEA will participate in oral arguments before the court in August. The Supreme Court is expected to rule later this year. Contact: Dan O’Hagan
St. Lucie Audit
FMPA’s contract compliance auditors traveled to Juno Beach last Monday to begin the biennial St. Lucie Project audit. Contact: Liyuan Woerner
APPA National Awards
Public power leaders from Lakeland Electric, Bushnell and Kissimmee Utility Authority (KUA) received national awards last Tuesday at the American Public Power Association’s (APPA) National Conference in Austin, Texas. Joel Ivy, General Manager of Lakeland Electric, received the James D. Donovan Individual Achievement Award for his contributions to electric utility industry. Jody Young, City Manager of Bushnell, was presented with the Larry Hobart Seven Hats Award recognizing utility managers who go above and beyond in serving smaller communities. Jim Welsh, Retired President and General Manager of KUA, received the Harold Kramer-John Preston Personal Service Award for his exceptional service to APPA. Congratulations to all the winners for their commitment to public power and community service.
Solar Project Committees
The ARP Solar Participants Advisory Committee and the Solar Project committee met last Thursday to hear progress reports on the Florida Municipal Solar Project. Both committees agreed to use Project Development funds to cover legal costs associated with the transmission interconnection filing at the Federal Energy Regulatory Commission. The recommendation to use the funds will be presented to the Board of Directors for final approval. Contact: Susan Schumann
Overhead Transformers Bid
The Overhead Transformers bid has been awarded. The process followed FEMA-reimbursement requirements, and the bid is good through June 2024. Contact: Sharon Samuels
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THIS WEEK
Hurricane Preparedness Forum
Jacob Williams and Mike McCleary attend Sen. Rick Scott’s Hurricane Preparedness Forum on Monday at 8:30 a.m. at Valencia College.
Nominating Committee Meeting
The Board of Directors’ Nominating Committee meets Monday at 2 p.m. via conference call. The committee will nominate officers for 2019-2020. Contact: Jacob Williams
Executive Committee Workshop
FMPA’s Executive Committee holds a workshop Wednesday at 2 p.m. in FMPA’s Orlando office. The workshop will provide information to evaluate natural gas price volatility to ensure budget alignment, possibly at the member level for short-term and small percentages. This is a topic raised at FMPA’s strategic planning session. Contact: Jacob Williams
Board of Directors
FMPA’s Board of Directors meets Thursday at 8:30 a.m. in the Board room. The Board will consider five action items: 1) FMPA-ECG Alliance agreement and service confirmation for fiscal 2020, 2) external audit firm, 3) fiscal 2020 budgets for the Stanton, Tri-City, Stanton II, St. Lucie, Solar and Pooled Loan projects, 4) fiscal 2020 Agency allocations, and 5) bank for the Pooled Loan Project. The full agenda package is available on the Portal. Contact: Jacob Williams
ARP Executive Committee
The ARP Executive Committee meets Thursday at 8:45 in the Board room or immediately after the Board of Directors meeting. The committee will consider four action items: 1) conservation program policy, 2) external audit firm, 3) fiscal 2020 budgets for the Agency and the All-Requirements Project, and 4) extension of line of credit with JP Morgan. The full agenda package is available on the Portal. Contact: Jacob Williams
Member City Visit
Mark McCain travels to Bushnell on Friday for a member city visit.
Thermal/Infrared Imaging Services Bid
FMPA is issuing a new Thermal/Infrared Imaging Services bid. The bid has been extended to include drone inspection and will follow FEMA-procurement requirements. Interested members should return an interest form to Sharon Samuels by Thursday.
Three-Phase Padmount Transformers Bid
A Three-Phase Padmount Transformers bid has been created. The bid meets FEMA requirements, and interest forms are due to Sharon Samuels by Friday.
All-Requirements Project Weekly Load Statistics
The weekly update of the All-Requirements Project historical load graph has been posted on the Portal. The graph is updated through June 17. Contact: Jason Wolfe
Special Dates
Happy anniversary to Richard Montgomery, who celebrates 12 years with FMPA on Tuesday, June 18.
Happy anniversary to Paige Arnett, who celebrates three years with FMPA on Thursday, June 20.
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COMING UP
Finance Committee
FMPA’s Finance Committee meets June 25 at 9 a.m. via conference call. Topics for discussion include: 1) CAB’s update, 2) 2019 internal audit calendar, 3) risk policy review, and 4) two operation audit reports. Contact: Linda Howard
Cybersecurity Summit in Orlando
Today is the last day to reserve a discounted hotel room at the Hilton Orlando Buena Vista Palace for the Cyber Security Submit on July 10-11. The summit hosted by the American Public Power Association (APPA) will provide information on cybersecurity tools, technologies and resources to help municipal utilities of all sizes. The agenda and list of speakers are available on APPA’s website. Contact: Carter Manucy
FMEA Annual Conference and FMPA Meetings
The Florida Municipal Electric Association (FMEA) hosts its Annual Conference on July 16-18 at Hyatt Coconut Point in Bonita Springs. The room block has been extended to June 24. As part of the conference, FMPA’s Board of Directors will meet July 17 at 8 a.m. followed by the Executive Committee. FMPA’s Policy Makers Liaisons Committee meets July 18 at 3 p.m. The conference also will include FMPA’s annual Board of Directors luncheon.
FMPA Substation Training Series
FMPA’s Substation Inspection & Testing Training will take place Aug. 20-21 in Orlando. Session topics include: 1) substation inspections, 2) electrical equipment testing, 3) battery testing, maintenance and troubleshooting, 4) SF6 gas testing, and 5) mobile substation. Registration is $900 per person. Contact: Sharon Samuels
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INDUSTRY NEWS
The Supreme Court Turns Down a Challenge to FPL’s Solar Projects
The Florida Supreme Court last Thursday rejected a business group’s challenge to a decision that allowed Florida Power & Light (FPL) to recoup money from customers for a series of solar projects. The court unanimously ruled in favor of the Florida Public Service Commission, which in 2017 approved FPL’s plan to recover solar project costs through base electric rates. In a 16-page opinion, Chief Justice Charles Canady pointed to a 2016 settlement agreement that set base rates for FPL. That agreement allowed FPL to seek rate increases for solar projects. The Florida Industrial Power Users Group said the commission’s 2017 decision did not use a proper standard when it evaluated the solar projects. It said the commission should have looked at whether the projects are “prudent,” a standard used in other types of utility regulatory cases. The Supreme Court ruled the commission was not required to use that standard for projects contemplated in the 2016 settlement agreement.
Regulators Approve Duke Energy’s Use 0f Tax Savings for Hurricane Costs
The Florida Public Service Commission (PSC) approved an agreement last Tuesday allowing Duke Energy Florida to use $223.5 million in tax savings from a 2017 federal tax overhaul to pay for Hurricane Michael power-restoration costs and replenish its storm reserve. Applying the tax savings avoids adding a storm charge to monthly electric bills of Duke customers but also means the tax saving will not be passed along to customers. Duke reached a settlement agreement in this case with the state Office of Public Counsel, which represents consumers, and other parties.
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FMPA Weekly is published by FMPA for employees and governing boards of FMPA member utilities. Questions or comments about this newsletter may be directed to Melisa Inanc or Kenasia Lealie 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 learn more.
Have a question, comment or story idea for the newsletter? FMPA welcomes your feedback at any time. Contact: Melisa Inanc or Kenasia Lealie
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Florida Municipal Power Agency
8553 Commodity Circle
Orlando, FL 32819-9002
Tel 407 355-7767
Fax 407 355-5794
www.fmpa.com
Community Power. Statewide Strength. ®
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