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2012-28044 Reso RESOLUTION NO.j 2012 -28044 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, STRONGLY OPPOSING THE PROPOSED 16% BASE RATE INCREASE BY FLORIDA POWER AND LIGHT COMPANY ( "FPL "). WHEREAS, FPL provides electricity within the City of Miami Beach ( "City ") and the City and its residents have no alternative but to purchase services from FPL; and WHEREAS, the businesses in the City of Miami Beach must also purchase electric service from FPL; and WHEREAS, the City of Miami Beach and its residents and businesses continue to face a depressed economy with limited resources wherein jobs are being lost, incomes and revenues are static or declining, and home mortgages are being foreclosed, requiring the City, its residents, and businesses to budget accordingly; and WHEREAS, in March of 2012, FPL proposed a 16% base rate increase in order to, among other things, ensure up to a 12.5% return on equity for its shareholders; and WHEREAS, FPL benefits from more pass - through cost recovery mechanisms than any other regulated utility in the United States, including the Storm Cost Recovery Surcharge, the Fuel Cost Recovery Clause pass- through, the Environmental Cost Recovery Clause pass- through, the Capacity .Cost Recovery Clause pass- through, the Conservation Cost Recovery pass- through, and the Nuclear Cost Recovery Clause pass- through, which mechanisms increase FPL's current cash flow without the scrutiny employed in a traditional rate case; and WHEREAS, a significant percentage of the rates paid by FPL customers are currently paid pursuant to these cost recovery mechanisms, instead of through base rates; and WHEREAS, during these difficult economic times, a 16% increase in electricity rates will present significant challenges for individuals, small businesses, schools, and local governments, and will further exacerbate the current economic downturn and necessitate greater budget cuts; and WHEREAS, the Mayor and City Commission of the City of Miami Beach strongly oppose the proposed 16% base rate increase by FPL. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that: Section 1. The foregoing facts and recitations contained in the preamble of this Resolution are hereby adopted and incorporated by reference as if fully set forth herein. Section 2. The Mayor and the City Commission of the City of Miami beach, Florida strongly oppose the proposed 16% base rate increase by Florida Power and Light Company. PASSED AND ADOPTED this � day of October, 2012. ATTEST: 4 Jorge R. Exposito Vice -Mayor y Rafael Granado City Clerk INCORP ORATED* ........ r�-�g APPROVED AS TO FORM & LANGUAGE W FOR CCT1 A � ate FAATTDTURN \REsos \Opposing FPL Base Rate Increase 2012.docx MIAMIBEACH OFFICE OF THE CITY ATTORNEY JOSE SMITH, CITY ATTORNEY COMMISSION MEMORANDUM TO: MAYOR MATTI HERRERA BOWER, MEMBERS OF THE CITY COMMISSION KATHIE BROOKS, INTERIM CITY AGER FROM: JOSE SMITH CITY ATTORNFt DATE: October 24, 20 SUBJECT: A RESOLUTION STRONGLY OPPOSING THE PROPOSED 16% BASE RATE INCREASE BY FLORIDA POWER AND LIGHT COMPANY ( "FPL ") Pursuant to the request of Commissioner Jonah Wolfson, the attached Resolution strongly opposing the proposed 16% base rate increase by FPL has been drafted and is submitted for consideration by the Mayor and City Commission at the October 24, 2012 City Commission meeting. F:WTTO \TURN \COMMMEMO \Fpl.doc I Agenda Item S I Date City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov Office of the City Clerk Rafael E. Granado Tel: 305 - 673 -7411 Fax: 786- 394 -4127 Email CityClerk@miomibeachfl.gov October 30, 2012 Eric Silagy Florida Power & Light Company 700 Universe Boulevard Juno Beach, FL 33408 Dear Eric Silagy, Attached please find Resolution R -2012- 28044, a resolution of the Mayor and City Commission of the City of Miami Beach, Florida, strongly opposing the proposed 16% base rate increase by Florida Power and Light Company ( "FPL "). This Resolution was passed and adopted by the Mayor and City Commission of the City of Miami Beach on October.24, 2012. If you need additional information, please do not hesitate to call. Respectfully, /afael E. nado City Clerk REG /kf We are committed to providing excellent public service and safety to all who live, work and play in our vibrant. tropical, historic community. C:\ Users \CLERFigK \Documents \Letters of Transmittal \Transmittal Resolution 2012 -28044 FPL.doc City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, vwvw.miamibeachfi.gov Office of the City Clerk Rafael E. Granado Tel: 305- 573 -7411 Fax: 786- 394 -4127 Email: CityClerk @miamibeachfl.aov October 30, 2012 Commissioner Eduardo E. Balbis Florida Public Service Commission 2540 Shumard Oak Blvd Tallahassee, FL 32399 Dear Commissioner Eduardo E. Balbis, Attached please find Resolution R -2012- 28044, a resolution of the Mayor and City Commission of the City of Miami Beach, Florida, strongly opposing the proposed 16% base rate increase by Florida Power and Light Company ( "FPL "). This Resolution was passed and adopted by.the Mayor and City Commission of the City of Miami Beach on October 24, 2012. If you need additional information, please do not hesitate to call. Respectfully, R ael E. Granado City Clerk REG /kf We are committed to providing excellent public service and safety to all who five, work and play in our vibrant, tropical, historic community. C:\ Users \CLERFigK \Documents \Letters of Transmittal \Transmittal Resolution 2012 -28044 FPL.doc r S: City of Miami Beath, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov Office of the City Clerk Rafael E. Granado Tel: 305- 673 -7d11 Fax: 786-394-4127 Email CityClerk@miamibeachfi.gov October 30, 2012 Commissioner Lisa Polak Edgar Florida Public Service Commission 2540 Shumard Oak Blvd Tallahassee, FL 32399 Dear Commissioner Lisa Polak Edgar, Attached please find Resolution R- 2012 - 28044, a resolution of the Mayor and City Commission of the City of Miami Beach, Florida, strongly opposing the proposed 16% base rate increase by Florida Power and Light Company ( "FPL "). This Resolution was passed and adopted by the Mayor and City Commission of the City of Miami Beach on October 24, 2012. If you need additional information, please do not hesitate to call. Respectfully, R fael E. ranado City.Clerk REG /kf We ore committed to providing excellent public service and safety to all who live, work and play in our vibrant. tropical, historic community. C:\ Users \CLERFigK \Documents \Letters of Transmittal \Transmittal Resolution 2012-28044 FPL.doc City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov Office of the City Clerk Rafael E. Granada Tel: 305-673-7411 Fax: 786 -394 -4127 Email: CityClerk @miamibeachfl.gov October 30, 2012 Chairman Ronald A. Brise Florida Public Service Commission 2540 Shumard Oak Blvd Tallahassee, FL 32399 Dear Chairman Ronald A. Brise, Attached please find Resolution R- 2012 - 28044, a resolution of the Mayor and City Commission of the City of Miami Beach, Florida, strongly opposing the proposed 16% base. rate increase by Florida Power and Light Company ( "FPL "). This Resolution was passed and adopted by the Mayor and City Commission of the City of Miami Beach on October 24, 2012. If you need additional information, please do not hesitate to call. Respectfully, Rafael lEranado City Clerk REG /kf We ore committed to providing excellent public service and safety to all who live, work and play in our vibrant, tropical, historic community. C:\ Users \CLERFigK \Documents \Letters of Transmittal \Transmittal Resolution 2012 -28044 FPL.doc Chi City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov Office of the City Clerk Rafael E. Granado Tel: 305- 673 -7411 Fax: 786- 394 -4127 Email: CityClerk @miomibeachfl.gov October 30, 2012 Commissioner Art Graham Florida Public Service Commission 2 Shumard Oak Blvd Tallahassee, FL 32399 Dear Commissioner Art Graham, Attached please find Resolution R -2012- 28044, a resolution of the Mayor and City Commission of the City of Miami Beach, Florida, strongly opposing the proposed 16% base rate increase by Florida Power and Light Company ( "FPL"). This Resolution was passed and adopted by the Mayor and City Commission of the City of Miami Beach on October 24, 2012. If you need additional information, please do not hesitate to call. Respectfully, Raf el E. Gran do City Clerk REG /kf We are committed to providing excellent public service and safety to all who live, work and play in our vibrant. tropical, historic community. C:\ Users \CLERFigK \Documents \Letters of Transmittal \Transmittal Resolution 2012 -28044 FPL.doc City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfi.gov Office of the City Clerk Rafael E. Granada Tel: 305- 673 -7411 Fax: 786- 394 -4127 Email CityClerk @miamibeachfl.gov October 30, 2012 Commissioner Julie Imanuel Brown . Florida Public Service Commission .. 2540 Shumard Oak Blvd Tallahassee, FL 32399 Dear Commissioner Julie Imanuel Brown, Attached please find Resolution R -2012- 28044, a resolution of the Mayor and City Commission of the City of Miami Beach, Florida, strongly opposing the proposed 16% base rate increase by Florida Power and Light Company ( " FPL "). This Resolution was passed and adopted by the Mayor and City Commission of the City of Miami Beach on October 24, 2012. If you need additional information, please do not hesitate to call. Respectfully, Rbtae! E. Granado City Clerk REG /kf We are committed to providing excellent public service and safety to all who live. work and play in our vibrant, tropical, historic community. C:\ Users \CLERFigK \Documents \Letters of Transmittol \Transmittal Resolution 2012 -28044 FPL.doc i