HomeMy WebLinkAbout2012-074RESOLUTION NOe 20112— n74
A RESOLUTION OF THE BOARD OF COUNTY
COMMISSIONERS OF INDIAN RIVER COUNTY, FLORIDA,
EXPRESSING ITS SUPPORT FOR THE SALE OF THE CITY
OF VERO BEACH ELECTRIC UTILITY TO FLORIDA POWER
& LIGHT
WHEREAS, on November 31 1981, the Florida Public Service Commission approved a
Territorial Agreement between the City of Vero Beach ("City") and Florida Power & Light
("FPL") which established electric service areas for the City and FPL in Indian River County.
Specifically, the electric service area for the City was defined to include the City itself, the Town
of Indian River Shores, the south barrier island, and other unincorporated areas of the County,
and the service area for FPL was defined to include all other areas of the County; and
WHEREAS, on April 4, 2011, the City received a Letter of Intent from FPL expressing
an interest in purchasing the City's electric utility, such that FPL would provide electric service
in the entire County; and
WHEREAS, on April 5, 2011, the Board of County Commissioners adopted Resolution
201 l -026 which urged the City Council to seriously consider the Letter of Intent, and offered the
County's support and assistance to the City and FPL with respect to negotiations for a definitive
agreement; and
WHEREAS, on November 8, 2011, over 65% of City voters approved a referendum to
lease the City power plant in connection with the sale of the City's electric utility to FPL, if the
City Council finds that such sale is beneficial to the citizens of Vero Beach; and
WHEREAS, (1) on August 16, 2012, FPL presented a "Final Term Sheet" among the
City, FPL and the Orlando Utilities Commission ("OUC") confirming each party's interest in
negotiating definitive agreements for a sale transaction consistent with the general terms set forth
therein, and (2) on August 28, 2012, FPL presented a Memorandum of Understanding among the
City, FPL and OUC in which each party agreed to negotiate in good faith to resolve certain
challenges to a sale transaction which exist by reason of pre-existing agreements between the
City and OUC and the City and the Florida Municipal Power Agency; and
WHEREAS, it is evident from the above that the City Council and City staff have
worked and continue to work diligently and prudently in pursuing the sale of the electric utility
to FPL, and deserve recognition for this effort from the Board of County Commissioners and all
residents and businesses of Indian River County; and
WHEREAS, it is also evident that completion of the proposed sale will result in
substantial benefits to the residents and businesses of Indian River County, including, without
limitation, (1) substantial rate savings in excess of $20 million per year, which will boost
economic activity, recovery and development throughout the County, and (2) future reliable
service from FPL, which has consistently been one of the most efficient and well run, and lowest
cost providers of electricity in the state of Florida; and
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RESOLUTION NO* 2012- X74
WHEREAS, as the elected representative of all 33,000 customers of the City's electric
utility, and all 138,000 residents of the County, and consistent with all prior positions of the
Board relating to the issue, the Board of County Commissioners continues to believe that the sale
of the City's electric utility to FPL is in the best interests of the residents and businesses of
Indian River County, and is in furtherance of the Board's policy of limiting the size, scope and
spending profile of government,
NOW, THEREFORE, BE IT RESOLVF,D BY THE BOARD OF COUNTY
COMMISSIONERS OF INDIAN RIVER COUNTY, FLORIDA THAT:
1. Position of the Board. The Board of County Commissioners hereby incorporates
the statements set forth in each of the "Whereas" clauses above as the findings of the Board, and
further adopts and publishes the following position with respect to the sale of the City of Vero
Beach electric utility to FPL:
a. The Board finds that the City Council and City staff have worked
and continue to work diligently and prudently in pursuing the sale of the electric
utility, and, on behalf of all residents of Indian River County, the Board expresses
its appreciation and gratitude to the City Council and City staff for their efforts,
b. The Board further finds that the sale of the City's electric utility to
FPL will benefit all residents and businesses of Indian River County, and will
positively impact economic activity, recovery and development in Indian River
County, all as set forth more fully in the findings above, and
c. Accordingly, the Board supports the sale of the City's electric
utility to FPL in accordance with the general terms set forth in Lite Final Term
Sheet and the Memorandum of Understanding, and continues to offer its support
and assistance to the City and FPL with respect to completion of their
negotiations for a definitive sale agreement.
The foregoing resolution was moved for adoption by Commissioner Davis ,and
motion was seconded by Commissioner Solari _and, upon being put to a vote, the vote
was, as follows:
Chairman Gary C. Wheeler Ave
Vice Chairman Peter D. O'Bryan Aye
Commissioner Wesley S. Davis Aye
Commissioner Joseph E. Flescher Aye
Commissioner Bob Solari Aye
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RESOLUTION NO, 2012- 074
ATTEST: Jeffrey R. Smith, Clerk of
aid Comptroller
Bmy
Deputy Cl
BOARD OF COUNTY COMMISSIONERS
OF INDIAN RIVER COUNTY, FLORIDA
Gary C. heeler, Chairman,.
•b•
BCC adoption date: 09-11-140
Approved as to form and legal sum
By: C�-
Alan S. Pola&10v
County Attorney
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