Electric Cities Connected, June

Volume XIII, Issue 6
June 2013
Join ECA for the 13th Annual Meeting & Governmental
Affairs Conference!
Have you registered for
Electric Cities of Alabama’s
(ECA) 13th Annual Meeting and
Governmental Affairs Conference?
If not, it’s not too late! Join us as
ECA returns to Perdido Beach
Resort for what promises to be an
excellent event! This year’s meeting
offers something for everyone.
Whether it’s listening to one of
New Orleans’ finest jazz musicians
at ECA’s White Linen Jazz Party,
IN THIS ISSUE
Join ECA for its 13th Annual
Meeting & Governmental Affairs
Conference....................................1
New Director Named at Opelika
Power Services..............................2
Three ECA Member Cities
Selected For Alabama
Communities of Excellence Class
of 2013............................................3
Praise, Scorn for Alabama Power
Co. During Second PSC Informal
Hearing......................................4-5
ECA Trivia Grid...........................5
Calendar of Events........................6
code “8562” when making your
reservation. Don’t miss out on the
fun, register today!
TOP 10 REASONS WHY
YOU SHOULD ATTEND!
watching Mentalist, Speaker and
Comedian Jon Stetson perform
at the Chairman’s Breakfast, or
networking with colleagues at one
of ECA’s outings, this meeting is
one you will not want to miss.
To register with ECA, visit www.
electriccities.org and submit the
online registration form. ECA
has reserved a block of rooms
at a discounted rate of $229.00 a
night. Although the deadline to
reserve a room in this block has
passed, Perdido Beach Resort has
continued to honor this special
rate. This extension on the room
block will not last long, so reserve
your room as soon as possible to
ensure you receive the discounted
rate. Call (800) 634-8001 or book
online at www.perdidobeachresort.
com. You must make your hotel
reservations directly with Perdido
Beach Resort and use booking
10. Connect with fellow ECA
members while enjoying being
at the beach.
9. Enjoy NEW events such as
the White Linen Jazz Party and
Chairman’s Breakfast.
8. Listen to famous New
Orleans’ jazz musician, Doreen
Ketchen’s.
7. Be entertained by Mentalist,
Speaker and Comedian Jon
Stetson.
6. Network with colleagues at
one of ECA’s outings.
5. Visit with Alabama’s elected
officials.
4. Stop by over 20 exhibitor
booths specializing in new
technology for your utility.
3. Win great door prizes just
for attending ECA’s Annual
Meeting.
2. It’s worth the investment –
come and see.
1. Because if you’re not there,
you may be David Thornton’s
next joke!
Members on the Move
New Director Named at Opelika Power Services
Picture from Opelika Daily News
David Horton named New Director
of Opelika Power Services.
After an intense search process
and a formal vote of the Opelika
City Council to approve a new
contract for the Opelika Power
Services Director position at their
called meeting on Tuesday, June
11th, it’s official: Mayor Gary
Fuller has announced that Mr.
David Horton is Opelika’s new
Director of the Opelika Power
Services.
David Horton has been with
Riviera Utilities in Foley, Alabama
for the past thirteen years and is
currently managing their Cable
TV system, while serving as
Manager of Public Affairs. He
started his career with TVA in
their electrical apprenticeship
program in 1972.
June 2013
According to an enthusiastic
Mayor Gary Fuller, Horton’s
experience, education and
qualifications make him an
outstanding choice to lead OPS.
“I’m excited about David Horton
taking Opelika Power Services to
the next level,” Fuller said, “He
certainly understands our core
mission is to keep the lights on,
and he shares our enthusiasm for
completing our fiber to the user
project. Soon we’ll be offering
citizens and businesses of Opelika
world class cable TV, ultra-highspeed internet and telephone
service. And we’ll improve
the reliability of our electrical
distribution system as we fully
deploy smart grid technology.
David is highly qualified to lead
this effort.” (Source: Opelika New
Release)
City Council President Eddie
Smith shared those sentiments.
“On behalf of the Opelika City
Council, I would like to first thank
Mayor Fuller for his leadership
in bringing a person of David
Horton’s qualifications and
character to our City. Further,
the City Council would like to
welcome David and his wife
Joanne to our community, and
pledge our support to them as
they get moved and instilled into
Electric Cities Connected
our City. We are confident that
they will love living here, and that
David will provide outstanding
leadership to Opelika Power
Services.”
“I am extremely proud and
honored to be given a vote of
confidence by Opelika Mayor
Gary Fuller, City Council
President Eddie Smith and
the members of the Opelika
council for the position of OPS
Director.” Mr. Horton stated after
his acceptance was announced,
“With that vote comes great
responsibility to continue to
provide excellent service to the
people and businesses in the
community, take fiber to the
home and businesses, and become
a part of the great team at OPS. I
look forward to being a part of the
Opelika community.”
The “official start date” for
Horton will be announced within
the next couple of days, pending
the completion of his obligations
with Riviera Utilities. Once that
has been decided, though, he and
his wife Joanne, who is the retired
Superintendent of Talladega City
Schools, will be making their
home here in Opelika.
Source - Opelika Daily News.
Page 2
Member News
Three ECA Member Cities Selected for Alabama
Communities of Excellence (ACE) Class of 2013
Source: The Elba Clipper
Congratulations to the
newest ACE (Alabama
Communities of
Excellence) Class of 2013.
The new class includes
three of Alabama’s Electric
Cities; Alexander City, Elba
and Fairhope. These three ECA
member cities along with Helena,
Rainsville and Saraland will begin
the process of becoming ACE
Communities this summer.
These six communities
join 26 other Alabama towns
in a program that provides a
comprehensive three-phase
approach to economic and
community development
for cities with populations
between 2,000 and 18,000. ACE
provides communities that
have a concerted, long-term
commitment to making their
towns better places with the
tools to do just that: becoming
real Alabama Communities of
Excellence. The ACE three-phase
process provides the backbone of
a systematic method for growth
and improvement in Alabama’s
towns and cities.
During Phase I, the assessment
phase, a comprehensive report
card detailing community assets
and weaknesses is prepared and
presented to the community along
with recommended strategies and
June 2013
Picture from ACE
actions.
Phase II, the leadership
development and strategic
planning component, requires
each community to establish a
leadership development program,
prepare an up-to-date strategic
plan, and identify a local ACE
coordinator.
Phase III, the implementation
and comprehensive
planning segment, addresses
comprehensive planning,
commercial business
development, education
enhancement, infrastructure,
health and human services, retiree
attraction, tourism, economic
development, and quality of life.
To maintain the Alabama
Community of Excellence
designation, a community must
be recertified every three years.
Throughout each of these
phases, ACE Partners work with
each community to successfully
achieve their goals. The ACE
program would not be possible
without the funding, hard
work and participation of the
Electric Cities Connected
ACE Partner organizations,
including: Alabama Association
of Regional Councils,
Alabama Department of
Economic and Community
Affairs (ADECA), Alabama
Department of Commerce
(ADC), Alabama Historical
Commission, Alabama League
of Municipalities, Alabama
Municipal Electric Authority,
Alabama Power Company,
Alabama Department of Public
Health, Auburn University
Economic & Community
Development Institute, Economic
Development Association of
Alabama (EDAA), Goodwyn,
Mills & Cawood, Regions
Financial Corporation, the
University of Alabama Center for
Economic Development and the
University of West Alabama.
The 26 communities
previously certified as Alabama
Communities of Excellence
are: Arab, Atmore, Brewton,
Childersburg, Demopolis,
Eufaula, Evergreen, Fayette, Foley,
Graysville, Guin, Gulf Shores,
Guntersville, Haleyville, Hartselle,
Headland, Heflin, Jackson,
Jacksonville, Leeds, Livingston,
Millbrook, Monroeville,
Montevallo, Thomasville and
Valley.
Page 3
Praise, Scorn for Alabama Power Co. During Second
PSC Informal Hearing
There was a standing-room-only crowd at
the University of Alabama School of Law for
today’s Public Service Commission hearings
for Alabama Power Co. (Dawn Kent/dkent@
al.com)
By Dawn Kent, al.com
TUSCALOOSA, Alabama –
Alabama Power Co. was lauded
and blasted during more than
six hours of standing-room-only
public meetings earlier this month
before the state’s Public Service
Commission.
It was the second of three
informal hearings for Alabama’s
largest electric company, a process
that could affect its rates. For most
of the day, it felt more like a tribute
than a regulatory agency review,
until critics turned out in the
evening.
PSC President Twinkle
Cavanaugh said she couldn’t
speculate on the outcome of the
process, but she feels certain there
will be some changes.
“We wouldn’t be doing this if we
didn’t think it was time to make
adjustments,” Cavanaugh said at
the close of the hearing, which was
held in the Moot Court Room of
the University of Alabama School
of Law.
Supporters included mayors
from across the state, as well as
business owners and residents, who
heaped praise on the company for
its dependable power delivery and
quick response following disasters,
such as the April 27, 2011, tornado
outbreak.
The company also has been
a key player in state economic
development wins, said Brian
Hilson, president and chief
executive of the Birmingham
Business Alliance, citing MercedesBenz, Honda, Airbus and a host of
other businesses that have brought
new jobs to the state.
“Many would not be in Alabama
today, were it not for the assistance
of Alabama Power Co.,” Hilson
said. “They are essential to our
teamwork and our collective
successes in the state.”
Charles Steele Jr., a Tuscaloosa
native and former Alabama state
senator who is now president and
chief executive of the Southern
Christian Leadership Conference,
said Alabama Power’s commitment
to the community goes beyond
keeping the lights on.
“Alabama Power Co. wrote the
book on cultural diversity, on being
sensitive to poor people,” he said.
But others questioned why
Alabama Power ratepayers pay
more for electricity than those in
neighboring Georgia, for example.
Alabama Power is always on, said
Mark Johnston, an Episcopal priest
from Winston County and board
president for the air quality group
GASP, making a play on words with
the company’s familiar motto.
He said it’s always on the list of
companies that have their names
on the scoreboards in college
football stadiums; it’s always on
the list of companies that have sky
boxes in those stadiums; it’s always
on the list of companies that spend
a lot on lobbying; and it’s always
on the list of companies that make
large campaign donations.
“Why are we paying more?”
Johnston asked. “What is Alabama
Power trying to hide? How are they
spending our money?”
Others asked commissioners to
consider utility costs for seniors
and low-income residents who
have to decide between paying
their power bill and buying food or
medicine.
“We want fair rates,” said Jack
Bradford, president of AARP
Alabama. “We’ve got people who
are counting on a good decision
from this group.”
Environmental concerns also
were a part of the debate, as some
took issue with Alabama Power’s
coal-fired plants and air pollution.
Those critics, others said, have a
hidden agenda to shut down coal
mines and put people out of work.
In its presentation, Alabama
Power showed how its energy mix
has changed over the past dozen
years. Last year, coal accounted for
53 percent of the company’s sources
to generate power, down from
73 percent in 2000. Meanwhile,
nuclear, hydro and gas sources have
grown.
The company also said it is
committed to exploring noncontinued on next page...
June 2013
Electric Cities Connected
Page 4
Second PSC Informal Hearing (Continued)
traditional energy sources, such as
wind, solar and biomass.
Alabama Power’s role in the
meetings was mostly informational,
with executives outlining the
company’s generation, transmission
and distribution operations in an
afternoon session and then following
with one on customer service in the
evening.
They covered broad strokes, like
those changes in the company’s
energy sources over the past 12 years
and the rural conditions in Alabama
that can make electricity delivery
challenging. They also delved into
minutia, such as the process by
which steel poles are painted and
how workers wash buzzard poop off
equipment in the field.
A third hearing, which will cover
the company’s allowed return on
equity and other financial variables,
will be held July 17 in Montgomery.
The first hearing covered the
company’s history and background
on the current regulatory
environment.
Under Alabama law, the attorney
general is charged with ensuring
utility rates set by the Public Service
Commission are fair to consumers.
The attorney general is permitted
to call for formal hearings for the
regulated utilities at any time.
At those, utility officials must
testify about their operations costs
and charges under oath and are
subjected to cross examination.
Such hearings have not been held
in Alabama since 1995. Instead, for
the last 18 years, the state’s utility
rates have been set under a system
known as Rate Stabilization and
Equalization. Under the system,
utilities are granted automatic rate
increases provided their profits
remain within an allowed range and
the PSC commissioners approve
their operating costs.
PSC Commissioner Terry
Dunn and fellow commissioners
Cavanaugh and Jeremy Oden
have been at odds over the formal
hearing issue. Oden and Cavanaugh
favor this informal process where
utility officials answer questions
from commissioners and the general
public during a series of meetings.
Dunn sought formal hearings of the
type used to set utility rates around
the nation, but Attorney General
Luther Strange rejected the request.
Dunn’s request came in the
wake of reporting by AL.com that
shows residential and commercial
customers of Alabama Power paid
$1.5 billion more for electricity
than their peers in Georgia though
fuel costs were $1.1 billion less in
Alabama between 2006 and 2011.
At today’s hearing, some took
issue with the informal hearing setup, saying it seemed that Alabama
Power had called on people from
around the state to show up and
read the same talking points.
Nelson Brooke of the
environmental watchdog group
Black Warrior Riverkeeper called
the hearings a charade.
“I appreciate great service,” he
said, following a presentation where
executives lauded the dedication
of the company’s customer service
employees. “But that’s not why we’re
here.”
Brooke said he wanted to hear
more about rates, and so far he
hasn’t learned anything in either
hearing.
Oden said the process wasn’t a
charade. Anyone had a chance to
speak, and there are more than 25
political and civic organizations
participating in the hearings.
“We heard from citizens actively
for and against...anyone could hear
both sides,” he said. “I think this
process has been very open, and
now it’s up to us to look at all that
has been submitted.”
ECA Trivia
The power grid serving most of the United States operates at how
many cycles per second (Hz)?
Be the first to e-mail the correct answer to Andrea Salvador at
[email protected] and win a $25.00 gift card. Good Luck!
Last month’s winner was Carol Kirby with Hartselle Utilities. Carol
answered that single phase 120/240 is the most common phasing and voltage
combination found in U.S. homes. Congratulations Carol!
June 2013
Electric Cities Connected
Page 5
THE INFORMATION SOURCE OF THE ELECTRIC CITIES OF ALABAMA
P.O. Box 1550
Montgomery, AL 36102-1550
804 South Perry St., Suite 200
Montgomery, AL 36104
Phone: 334-954-3221
Fax: 334-954-3223
Calendar of Events
July 7-9, 2013
Board of Directors Meeting
Perdido Beach Resort
Orange Beach, AL
July 7-9, 2013
Annual Meeting and
Governmental Affairs
Conference
Perdido Beach Resort
Orange Beach, AL
THE ELECTRIC CITIES OF
ALABAMA IS A COALITION OF THE STATE’S
MUNICIPALLY OWNED AND OPERATED ELECTRIC SYSTEMS.
ALABAMA’S ELECTRIC CITIES SERVE
APPROXIMATELY ONE MILLION CONSUMERS IN 36 CITIES THROUGHOUT
ALABAMA.
EXECUTIVE DIRECTOR: JONATHAN HAND [email protected]
DIRECTOR OF COMMUNICATION & MARKETING:
ANDREA SALVADOR [email protected]
October 14-16, 2013
Engineering and Operations
Conference
Renaissance Ross Bridge
Hoover, AL
October 16, 2013
Board of Directors Meeting
Renaissance Ross Bridge
Hoover, AL
Save The Date!
Electric Cities of Alabama’s Engineering
& Operations Conference
Returns to
Renaissance Ross Bridge,
Hoover, Alabama
October 14-16, 2013
June 2013
Electric Cities Connected
Page 6