Underground Facilities Conversion Agreement - Governmental Adjustment Factor Waiverdo22c/
Exhibit A
Eighth Revised Sheet No. 9.725
FLORIDA POWER & LIGHT COMPANY Cancels Seventh Revised Sheet No. 9.725
1.1111 11 .IItIl4L
UNDERGROUND FACILITIES CONVERSION AGREEMENT
GOVERNIVIENTAL ADKSTIVTI FACTO WAIVER
This Agreement is made and entered into this 2 2 day of c..rti1,20 I i , by and between
CITY OF WADE BEACH ("Local Government Applicant"), a Florida municipal corporation or county with an address of
1700 Convention Center Drive, Miami Beach, FL 33139 and FLORIDA POWER & LIGHT COMPANY ("FPL"), a
Florida corporation with an address of P.O. Pox 14000, 700 Universe Boulevard, Juno Beach, FL 334080429.
WHEREAS, the Local Government Applicant has requested that FPL convert certain overhead electric distribution facilities
located within the following boundaries (the "Conversion"):
Sunset #3 & #4 Islands located in Miarni,Beach, FL (collectively, the "Existing Overhead Facilities") to underground facilities,
including transformers, switch cabinets and other apptutenant facilities installed above ground as set forth in Attachment A hereof
(collectively, the "Underground Facilities", WR # 3085435 & 3085439).
NOW THEREFORE, in consideration of the foregoing premises and the covenants and agreements set forth herein, and other
consideration the sufficiency of which is hereby acknowledged, the parties intending to be legally bound, hereby covenant and
agree as follows:
1. Governmental Adjustment Factor Waiver ("GAF Waiver") Eligibility Criteria. The Local Government Applicant
represents and warrants that it meets the following eligibility criteria for the Conversion:
a. In order for the Conversion to incorporate a sufficient amount of overhead facilities to provide electrical
continuity, the Conversion must include a minimum of approximately 3 pole line miles or approximately 200
detached dwelling units within contiguous or closely proximate geographic areas (the "Conversion Area"). The
Conversion may be completed in mutually agreed upon phases, withthe project size minimums applying to the
aggregate project — provided that any necessary subsequent phase begins within a 1 year period from
completion of the prior phase and the minimums are met within, at most, 3 phases; and
b. The Local Government Applicant must require all customers within the Conversion Area who currently have
overhead service directly from the Existing Overhead Facilities to convert their service entrances to
underground within 6 months of completion of the Underground Facilities installation or each phase thereof;
and
o. The Local Government Applicant must be willing and able to execute a right of way ("ROW") agreement with
FPL if the Local Government Applicant requests that facilities be placed in the ROW; and
d. For any affected laterals, the complete lateral crust be converted, including all stages of any multi -stage lateral;
and
e. The Local Government Applicant must demonstrate to the reasonable satisfaction of FPL that the sum of the
GAF Waiver credit plus any federal or state funds that the Local Government Applicant is able to use to support
the Conversion does not exceed the otherwise applicable CIRC as calculated before application of the GAF
Waiver.
Special Circumstances. Conversions which do not meet the project size mirurntuns described in section 1.a are
eligible for the GAF Waiver in the following special circumstances:
i. 100% of the Existing Overhead Facilities within the Local Government Applicant's corporate lhnits
are to be converted, but are Less than the pole line mileage or dwelling unit minimums; or
ii A single lateral that serves at least one Critical Infrastructure Facility as determined by the
appropriate local agency with the mutual agreement of FPL; or
iii An island or peninsula where 100% of the Existing Overhead Facilities are to be converted; or
(Continued on Sheet No. 9.726)
Issued by: S. E. Romig, Director, Rates and Tariffs
Effective: April 6, 2010
Fifth Revised Sheet No, 9.726
FLORIDA POWER & LIGHT COMPANY Cancels Fourth Revised Sheet No. 9.726
11 ,11,1 . 1, III 1111.11 1,I II,111 Id 11111,1 III11 1 1 II 11111 11,11 1111111111. ,11111 11 1 11111.NI1IJII 1111„ 11,1 II 1 .IM11 IIS 111111 I1 II I L 1111 111 Ill
(Continued from Sheet No. 9.725)
1111131111111.A 1 111111111. 11.1
When the aggregate size of the first 3 phases of a project would satisfy the minimum size criteria but,
for mutually -agreed engineering or logistical reasons, those phases are non-contiguous; provided that
(a) the next (4) phase must be adjacent to one or more of the first 3 phases such that the combined
contiguous area meets the ininimum size criteria, and (b) this 46' phase begins within 1 year from
completion of the 3`I phase.
2. Contribution -in -Md -of -Construction (CIAC). The Local Government Applicant shall pay FPL a CIAC as
required by FPL's Electric Tariff and Section 25-6.115 of the Florida Administrative Code with the Otherwise
Applicable CIAC amount reduced by the GAF Waiver,
I. Otherwise Applicable CIAC $ 939,915
ii, GAF Waiver $ 320,085
10. CIAC Due $—fZl9. &30 — (Cust. performs some work – C&C)
In the event the actual cost of the Conversion exceeds the estimate, the Otherwise Applicable CIAC shall be
adjusted by the lesser of (a) the difference between the actual cost of the Conversion and the estimate, or (b) 10%
of the Otherwise Applicable CIAC identified above, The GAF Waiver shall also be adjusted accordingly and the
Local Government Applicant shall pay FPL the resulting difference in the amount of the CIAC Due.
3. Applicant -Installed Facilities. The Local Government Applicant may, upon entering into an applicant-
installed facilities ageement satisfactory to FPL, construct and install all or a portion of the Underground
Facilities. Such work must meet FPL's construction standards and FPL will own and maintain the completed
facilities. The Local Government Applicant agrees to rectify any deficiencies, found by FPL, prior to the
connection of any customers to the Underground Facilities and the removal of the Existing Overhead Facilities.
4. Compliance with Tariff. The Local Government Applicant agrees to comply with and abide by the requirements,
terns, and conditions of FPL's Electric Tariff.
Timing of Conversion. Upon compliance by the Local Government Applicant with the requirements, terms, and
conditions of FPL's Electric Tariff, this Agreement and any other applicable agreements, FPL will proceed in a
timely manner with the Conversion in accordance with the construction drawings and specifications set forth in
Attachment A hereof.
6. Relocation. In the event that the Underground Facilities are part of, or are for the purposes of, relocation, then this
Agreement shall be an addendum to the relocation agreement between FPL and the Local Government Applicant.
In the event of any conflict between the relocation agreement and this Agreement or the Electric Tariff, this
Agreement and the Electric Tariff shall control.
7. Term. This Agreement shall remain in effect for as long as FPL or any successor or assign owns or operates the
Underground Facilities,
8. GAF Waiver Repayment. lithe Local Government Applicant does not satisfy the relevant eligibility criteria, the
Local Government Applicant shall repay the GAF Waiver within 30 days of written notice from FPL of such
failure, Additionally, if at any point within 30 years of completion of the Underground Facilities installation, the
Local Government Applicant elects to have electric service within the Conversion Area supplied by a provider
other than FPL, the Local Government Applicant shall repay FPL a pro -rata share of the GAF Waiver. The pro -
rata share (which shall reflect partial years) shall be determined as follows:
GAF Waiver * [(30 – years since the Underground Facilities completion date) / 30]
(Continued on Sheet No. 9.727)
11.1111111,1,111 1 111
Issued by: S. E. Rorntg, Director, Rates and Tariffs
Effeetive: April 4, 2006
FLORIDA POWER & 'Amyx' COMPANY Original Sheet No. 9.727
.i 1I11,,„l16 d„„IlLlpllp1, Ill , ..1 „„IIL.d 11.1 ,III l d01 111 1.,1. I 111,,, , IIIJJI. d.ld, I,IJ I 6,
11,11,1,111. I I..Y Illllllllllll I IIIIO I U .I .,, ,I I,I IOd ,iOWli I. II ill 1 1 I
(Continued from Sheet No. 9.726)
9. Termination Prior to the Conversion Completion. Failure by the Local Government Applicant to comply with
any of the requirements, terms, or conditions of this Agreement or FPL's Electric Tariff shall result in termination of
this Agreement. The Local Govenunent Applicant may terminate this Agreement at any time prior to the start of the
Conversion and the CIAC paid by the Local Government Applicant will be refunded to the Local Government
Applicant; provided however, that the refundof the CIAC shall be offset by any costs incurred by FPL in performing
under the Agreement up to the date of termination.
10. Assignment. The Local Government Applicant shall not assign this Agreement without the written consent of FPL.
11. Adoption and Recording. This Agreement shall be adopted by the Local Goverrunent Applicant and maintained in
the official records of the Local Government Applicant for the duration of the term of this Agreement. This
Agreement also shall be recorded in the Official Records of the County in which the Underground Facilities are
located, in the place and in the manner in which deeds are typically recorded.
12. Conflict between Terms of Franchise Agreement. In the event of a conflict between the terms of this Agreement
and any permit or franchise agreement entered into by Local Government Applicant and FPL, the terms of this
Agreement shall control.
IN WITNESS WHEREOF, FPL and the :Local Government Applicant have executed this Agreement on the date first set
forth above.
CITY OF MAI
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Signe
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Signed 1,
NameAl
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CTitle C' t trio, i Za.i f'
Approved as to Terms and Conditions
Signed
Nance
Title
Approve to Form an egalciency
cLffi.
Signed
oiyor
Name
Title
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FLORIDA POWER & LIGHT COMPANY
Signed ()-e)11,.
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Name Gm n a.( i1 ac
Title
armommiliu j11 i, I I IIII III
Issued by: S. E. Romig, Director, Rates and 'Tariffs
Effective: April 4, 2006
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Overhead to Underground Conversion - Customer Cost Sheet
Project: City of Miami Beach - Sunset Isl. #3 & #4 Date Estimate Provided to Customer: August 28, 2016
Customer performs some UG work
Underground Cost
New UG installation (+)
Equivalent OH Installation (-)
Existing Overhead Cost
OH Removal Cost & Make ready (+
Existing OH Value (+)
Operational Costs Differential (+)
Salvage Value (-)
Subtotal*
GAF
CIAC
Engineering Deposit (-)
Net Due FAL
- Conduit & concrete products installation
81,095,586 Cost for FPL to install new underground facilities
($472,534) Cost to instal( an overhead system at current hardening standards
$181,170 Cost for FPL to remove existing overhead facilities
$123,244 Net Book Value of existing OH facilities to be removed
$12,449 30 -year Net present value of the est. operational OH / UG Diff, cost
$0 Credit for re -usable items
$939,916 Total customer contribution as specified in Tariff 12,2.3
($320,085)
$618,830
($9,020) Engineering deposit previously collected
$610,810 Total customer contribution owed
Cost Breakdowns for Customer Contributions
New UG Facilities (+)
Credit for equivalent OH (-)
OH Removal Cost & Make ready (+
Total
Net Book Value (+)
Operational Costs Differential (+)
Salvage Value (-)
Subtotal*
GAF
C IAC
Engineering Deposit (-)
Net Due FPL
Install
Remove
Total
$1,095,586
($472,534)
$181,170
1804,2
$123,244
$12,449 (1.4 miles)
$0
$09,015
($320,086)
$610,836
M020)
$640,810
Labor/Vehicle
$193,130
($183,860)
$145,747
$156,017
Major Material Breakdown
Quantity
31,936
4
43
1
13,840
38
38
0
Material
$628,712
($192,183)
$2,748
$439,277
iters
Primary UG Cable (feet)
UG Switch Cabinet (Vista)
UG Transformer (each)
Splice box for UG feeder (each)
OH Primary Conductor (feet)
Poles (each)
OH Transformer (each)
Primary UG Cable (feet)
Direct Engineering,
Supervision, and Support
$273,744
($96,491)
832,675
$209,928
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