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Mediator Alvarez felt it would be beneficial to have more analysis on the issue, so all <br /> parties could base their decision on the best data possible. He suggested having a six-month <br /> cooling off period to analyze the situation and review the options. <br /> Mediator Alvarez reviewed some potential solutions: <br /> • The settlement terms in the Town's Proposal <br /> • One or more of the following actions: <br /> a. Some type of independent/representative electric authority <br /> b. Reduction of general fund contribution from electric utility revenues <br /> c. Amendments of OUC and/or FMPA obligations <br /> d. Other rate reduction initiatives through the rate reduction study <br /> e. Outside determination of reasonable rates <br /> f. FPL purchase <br /> g. Expert on the issue retained by all parties <br /> Mediator Alvarez said it would be to the benefit of all parties, that further efforts be done <br /> over the next six months, and recommended continuing talks with OUC and FMPA with the <br /> Town and County parties to such talks to understand the difficulties and legal ramifications of <br /> the negotiations. <br /> Attorney May clarified the Town envisioned that during the six month cooling off period, <br /> they would be able to conduct evaluations, which may include a potential RFP from providers of <br /> electricity. <br /> The mediator announced a recess for discussions at 1:57 p.m. and resumed at 2:02 p.m., <br /> with all parties present. <br /> Attorney Wright stated the City agreed to the six-month cooling off period, but would not <br /> agree to the document proposed by the Town. He added the Town could do anything they want <br /> in terms of conducting a RFP to evaluate its position and alternatives going forward. He <br /> indicated the City would continue negotiations with OUC, proceed with the rate study and the <br /> system optimization/efficiency study. The City supported having the Town and the County <br /> representatives at the OUC, FMPA and FPL meetings as long as those entities agreed. <br /> Attorney May said what was missing from Attorney Wright's comments was the core <br /> issue for the Town to exercise its right to provide electricity to its citizens, whether it was <br /> provided by the Town, or by another provider. <br /> Attorney May referred to Florida Statutes Section 180.02, Powers of Municipalities - <br /> Any municipality may extend and execute all of its corporate powers applicable for the <br /> accomplishment of the purposes of this chapter outside of its corporate limits...provided, <br /> however, that said corporate powers shall not extend or apply within the corporate limits of <br /> another municipality. He indicated that the Town needed to be in a position that when the <br /> franchise agreement expires, there was an agreement with the City that there would be no <br /> Town of Indian River Shores - City of Vero Beach - Indian River County <br /> Electric Utilities Mediation Page 9 <br /> December 17, 2014 <br />