Senate Bill 2020c1

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    Florida Senate - 2000                           CS for SB 2020

    By the Committee on Regulated Industries and Senator Lee





    315-2095-00

  1                      A bill to be entitled

  2         An act relating to electric utilities;

  3         establishing a study commission; providing for

  4         its membership and responsibilities; providing

  5         an appropriation; providing an effective date.

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  7         WHEREAS, it is the intent of the Legislature to ensure

  8  for all Floridians an adequate, reliable, and affordable

  9  supply of electricity, and

10         WHEREAS, the location, construction, operation, and

11  decommissioning of electrical power plants may have a

12  significant impact on the welfare of the state's residents, on

13  the natural resources of the state, and on the location and

14  growth of industry, and

15         WHEREAS, Florida's population is expected to double

16  over the next three decades, with commensurate increases in

17  demand for electricity, and

18         WHEREAS, it is the intent of the Legislature to promote

19  energy conservation measures and the development of alternate

20  and reasonable supplies of electricity, NOW, THEREFORE,

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22  Be It Enacted by the Legislature of the State of Florida:

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24         Section 1.  (1)  The Energy 2020 Study Commission is

25  created. The commission shall be composed of 27 members, 13 of

26  whom are to be appointed by the Governor, 6 of whom are to be

27  appointed by the President of the Senate, and 6 of whom are to

28  be appointed by the Speaker of the House of Representatives.

29  In addition, the Chairman of the Florida Public Service

30  Commission and the Public Counsel shall serve as members. The

31  Governor's appointments shall include a representative from

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    Florida Senate - 2000                           CS for SB 2020
    315-2095-00




  1  the Department of Environmental Protection, a representative

  2  from the Department of Community Affairs, a representative

  3  from an environmental group, a representative from the

  4  International Brotherhood of Electrical Workers, a

  5  representative of a natural gas pipeline industry, a

  6  representative of a natural gas distribution system, a

  7  representative from the Florida Solar Energy Research and

  8  Education Foundation, and two appointments from each of the

  9  following categories of interests:

10         (a)  Florida Power and Light, Florida Power

11  Corporation, Tampa Electric Company, and Gulf Power.

12         (b)  A municipal utility, a cooperative utility, an

13  electric co-generator, and a merchant plant developer.

14         (c)  An industrial-class electric consumer, a

15  commercial-class electric consumer, and a small-business

16  electric consumer and 3 residential electric consumers,

17  including one senior citizen from the American Association of

18  Retired Persons.

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20  The President of the Senate and the Speaker of the House of

21  Representatives shall each select one member under paragraph

22  (a), one member under paragraph (b), and two members under

23  paragraph (c), and shall also appoint two members from their

24  respective houses of the Legislature to serve on the

25  commission. There shall be at least one representative

26  appointed from each of the interests specified in paragraphs

27  (a), (b), and (c). The appointments must be made by July 1,

28  2000, and the first meeting of the commission shall be held by

29  August 1, 2000. The chairman of the commission shall be

30  elected by the majority of the membership at its first

31  meeting. Any vacancy occurring in the membership of the

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    Florida Senate - 2000                           CS for SB 2020
    315-2095-00




  1  commission is to be filled in the same manner as the original

  2  appointment.

  3         (2)  Each member of the commission is entitled to one

  4  vote, and action of the commission is not binding unless taken

  5  by a majority vote of the entire membership of the commission.

  6         (3)  The commission shall determine what Florida's

  7  electric energy needs will be in 20 years and how best to

  8  supply those needs in an efficient, affordable, and reliable

  9  manner that will ensure adequate electric reserves. Based on

10  its findings, the commission shall recommend appropriate

11  electric energy policies for this state, including statutory

12  changes, if necessary. In making its determinations, the

13  commission shall consider all relevant topics, including, but

14  not limited to:

15         (a)  Forecasts through the year 2020 of Florida's

16  population growth, electricity needs and supply, and the

17  expected diversity of fuels and their sources for use in the

18  state;

19         (b)  Current and future reliability of electric supply

20  within and into the state;

21         (c)  Current and future reliability of the natural gas

22  supply into and within the state;

23         (d)  Emerging and projected electric technologies and

24  electric supplies, including solar energy, renewable energy,

25  and distributed generation technologies, their potential

26  contribution to reliable electric supplies, and their impact

27  upon the state, its environment, and its electric policies;

28         (e)  The experience and impacts upon electricity

29  consumers, generators, and transmitters of all kinds from

30  recent changes in governmental regulation of the electric

31  utility industry in other states;

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    Florida Senate - 2000                           CS for SB 2020
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  1         (f)  Analysis of the impacts of state and local

  2  government taxes on government revenues and the electricity

  3  supply;

  4         (g)  Universal access to electricity and the

  5  responsibility to provide it;

  6         (h)  Stranded investment costs;

  7         (i)  Functional unbundling of electricity production,

  8  transmission, and distribution services;

  9         (j)  Impact of restructuring on service to low-income,

10  elderly, and rural consumers;

11         (k)  Impact of restructuring on renewable energy,

12  energy conservation, and energy efficiency technologies and

13  programs;

14         (l)  Impact of restructuring on economic development

15  and growth in the state, including potential impact on

16  tourism, agriculture, small businesses, and industry in the

17  state;

18         (m)  Impact of restructuring on investor-owned electric

19  utilities, municipal electric utilities, rural electric

20  cooperatives, and independent power producers;

21         (n)  Prevention of anticompetitive or unlawful

22  discriminatory conduct or the unlawful exercise of market

23  power by electricity providers; and

24         (o)  Environmental impact of electricity supply

25  production, generation, and transmission in the state.

26         (p)  Impact of restructuring on the current and future

27  electric utility workforce.

28         (4)  The commission shall, by December 1, 2001, provide

29  to the President of the Senate, the Speaker of the House of

30  Representatives, and the Governor a written report containing

31

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    Florida Senate - 2000                           CS for SB 2020
    315-2095-00




  1  specific recommendations for electric energy policies for this

  2  state, including legislative recommendations.

  3         (5)  The commission may establish and appoint any

  4  necessary technical advisory committees. Commission members,

  5  and the members of any technical advisory committee may not

  6  receive remuneration for their services, but members other

  7  than public officers and employees shall be entitled to be

  8  reimbursed by the Florida Public Service Commission for travel

  9  or per diem expenses in accordance with chapter 112, Florida

10  Statutes. Public officers and employees shall be reimbursed by

11  their respective agencies in accordance with chapter 112,

12  Florida Statutes.

13         (6)  An executive director must be selected by the

14  Governor, subject to the approval of the commission. The

15  executive director serves at the pleasure of and reports to

16  the commission. The Florida Public Service Commission, the

17  Department of Environmental Protection, and the Department of

18  Community Affairs shall provide other staff and consultants,

19  after consultation with the commission. Funding for these

20  expenses will be provided through the Florida Public Service

21  Commission.

22         (7)  All agencies under the control of the Governor are

23  directed, and all other agencies are requested, to render

24  assistance and cooperation to the commission.

25         (8)  The commission shall continue in existence until

26  its objectives are achieved, but not later than December 1,

27  2001.

28         Section 2.  The sum of $250,000 is appropriated from

29  the Public Service Commission Regulatory Trust Fund to the

30  Florida Public Service Commission to implement the provisions

31  of this act.

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    Florida Senate - 2000                           CS for SB 2020
    315-2095-00




  1         Section 3.  This act shall take effect upon becoming a

  2  law.

  3

  4          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
  5                         Senate Bill 2020

  6

  7  The Committee Substitute for Senate Bill 2020 contains
    specific provisions for the membership, responsibilities, and
  8  operation of the study commission.  It also provides a
    $250,000 appropriation.
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