Florida Municipal Electric Utilities

May 6, 2009

Paul Kalv, DirectorCity of Leesburg Electric DepartmentFlorida Public Service Commission Docket No.

090000-OT

Who We Are

2

City of Leesburg Electric UtilityLake County - 40 miles Northwest of Orlando50 Square mile service territoryServes Leesburg, Fruitland Park and portions of

unincorporated Lake County5 Substations and 25 Distribution FeedersDistribution Miles: 228 OH (58%) & 164 UG (42%)22,000 electric customers

18,500 Residential (83%) 3,500 Commercial (17%)

3

City of Leesburg Electric UtilityEarned the APPA Reliable Public Power Provider

designation 2006 and 2008 (valid for 2 years) Criteria: Reliability, Safety, Workforce Development, System Improvement

History of assisting other utilities:Homestead 1992: Hurricane AndrewMount Dora 1993: The Storm of the CenturyKey West 1998: Hurricane GeorgesNext?: We are prepared and willing to help

4

System Design & Hardening StandardsConstruction meets NESC 100 mph wind contour

Harden all new and replacement Feeder poles

Underground facilities along major arterials

Participate in Public Utility Research Center wind and overhead to underground research through FMEA

5

System Design & Hardening StandardsMinimal exposure to flooding and storm surge

located 60 miles inland

Facilities constructed along front lot lines

Ensure “foreign” utility attachment design standards and inspections

6

System Maintenance & Inspection8 Year inspection cycle for 16,500 poles

10,200 wood (62%) and 6,300 concrete (38%)

6,220 (38%) poles inspected during CY 2007 0.05% Priority reject poles (3 poles) 2.6% Failed minimum strength and replaced (160 poles)

1,300+ (8%) poles in be inspected May-June 2009

7

Pole Inspection BenefitsHistory of wood pole inspection & treatment since

1970s – poles installed during 1940s still in service

Wood pole inspection and treatment is cost effective 18-24” Excavation Plus Sound and Bore and Supplemental Treatment together with Visual

inspection will identify ≈ 98% of reject and priority poles. (Note 1) Recommended to repeat inspection every 6 to 10 years

External and Internal treat as needed to preserve remaining strength and prolong service life

Priority poles reported to utility each day and assigned to crew to replace

Inspector also replaces pole tags and guy markers, repairs pole ground, and reports observed safety hazards

Note 1 : Industry estimate

8

System Maintenance & InspectionVegetation management – 4 year trim cycle for

feeders and laterals (10 foot clearance)CY 2008 Vegetation outages

7 Outages (20%) caused 175,020 CMI (87%) 27 Outages (80%) caused 26,971 CMI (13%)

(CMI = Customer Minutes Interrupted)

Added 4th Tree Crew during 2008

Budget: $400,000 (8% of Distribution budget)

9

Early Preparation ActivitiesReview Lake County and City Storm Plans

Revise Electric Department Storm Plan, Plan Coordination meetings, Assignments, and Dry Run

Confirm local motel, restaurant agreements

Update Mutual Aid contact information

Confirm all employees completed appropriate National Incident Management System training

10

Annual Planning Activities“Prepare for the Worst… Hope for the Best”

Coordination involves the entire community:Verify material storm stock levelsConfirm Contracted ServicesElectric Department Initial Damage Assessment assignmentsAssist Public Works “First Push” to clear arterial roadwaysVerify additional communications equipment availabilityAssist Telecommunications utility repair damaged fiber facilitiesCoordinate and confirm Building Department repair permitConfirm retiree, utility construction and ROW clearing contractor

availability

11

Pre-Storm ActivitiesInitiate activities based on projected storm trackComplete Pre-storm department checklists and create

restoration work ordersPrepare mobile generators for deploymentComplete personal preparations and confirm personnel

assignmentsConfirm appropriate local motel, restaurant needsConfirm Local and FPSC reporting needs & scheduleMaintain restoration activities until wind gusts make work

unsafe (35 mph)“Hunker Down” or other appropriate activity

12

Post Storm Restoration ActivitiesPerform Initial Damage Assessments

Data sheet and picturesRequest additional resources or offer assistance to

others Prioritize initial restoration activities

Public safety and health facilitiesFeeders, portions of feeders, and priority laterals

Dispatch ROW & Distribution CrewsPrepare initial restoration forecastsMaintain accurate periodic reporting statisticsEnsure restoration activities are progressing without

labor, material, or equipment shortages13

Concerns & VulnerabilitiesWe surveyed our members for ideas Over-subscription of resources for restoration:

Workforce – Independent line crews and tree trimming crewsSupplies – PolesHousing – Hotel/motel rooms, with utilities reserving rooms 2-3 days

ahead, before storms approach Suggestion: Create ad hoc committee through ESF-12 at State

Emergency Operations Center with representatives from each investor-owned utility, and the municipal and cooperative associations to share information and needs as they arise during emergency events.

14

Concerns & VulnerabilitiesTransmission system vulnerability

Most municipal electric utilities are transmission dependent – they purchase power from other utilities and receive electricity via the high-voltage transmission system. The most storm-hardened local distribution can still go dark if a transmission line fails.

Keys Energy – Health care after evacuationsKeys are evacuated frequently, along with medical personnelKeys management is reluctant to allow lineworkers to work without an

active emergency room nearbyHave been working with Agency for Health Care Administration to keep

medical personnel in area (storm hardened facility), but to no availResult – restoration in Keys may be slower than expected

15

Concerns & VulnerabilitiesKeys Energy – Storm Hardening – Electric vs. Telecom

About 12,000 poles in Keys Energy service territory 9,000 owned by Keys Energy 3,000 owned by AT&T Poles are intermingled throughout system, and most are joint use

Keys Energy designs distribution system to NESC standard of 150 mph extreme wind load

Local communications company, AT&T, is not required to do soWhen AT&T replaces a pole, Keys Energy has agreed to pay incremental

cost from standard wood pole to storm-hardened concrete pole. AT&T continues to own pole.

Keys Energy asks “Is it fair that only they are required to pay the cost of storm hardening when facilities are so obviously intermingled and jointly used?”

Issue may exist elsewhere across Florida

16

Questions?

Thank you for this opportunity to share our story

I look forward to answering your questions

17