ML20032E427

Forwards Legible Copy of Document 68,originally Appended to Fl Cities 810527 Motion to Establish Procedures

ML20032E427
Person / Time
Site:	Saint Lucie
Issue date:	10/26/1981
From:	Manildi M FLORIDA CITIES (FLORIDA MUNICIPAL UTILITIES ASSOCIATE, SPIEGEL & MCDIARMID
To:	Bloch P Atomic Safety and Licensing Board Panel
References
ISSUANCES-A, NUDOCS 8111200547
Download: ML20032E427 (6)

Text

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LAW OFPICES GECOGC SPtEGEL PC' 00CKETED SPAEGEL & 31cDIAR311D RON M. LANDSM AN 8toCERT C McDIARM60 U$NRC 2600 VIRGINIA AVENUE. N.W.

80 NIE S. SWR

$ ANDR 4 J. STREBEL ROBERT MARLEY BE AR fio:ERT A. JABLON WASHINGTON. D.C. 20037 THOMAS C. TRAUGER JAMES N MORWOOD JOHN MdCHAEL ADRAGNA 81 E

P 2 :53" "' '" "' ".'2974 c '*'^ 5 * * "^o ALAN J ROTH FRt NCES E. FR ANCIS

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TELECOPiFR (202) 333 DANIEL L. D AvlOSON Mt.RC R. POIRIE R THOMAS N. MCMUGH, JR.

MARTA A. MANILDI OmEt J. GUTT *^ A 0FFIC OF SECRETAP JOSEPM L VAN EATON

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00CK TING & SERVICE STEPHEN C. NICHOLS DAvtO R. STR AUS BRANCH October 26,. 1981 PATRICIA E. STACK or COUNSEL CUZAN T. SHCPHERD O

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BY EAI.D R

O Honorable Peter B.

Bloch Administrative Judge g

Atomic Safety and Licensing E-gOVE O jQg Board C

Nuclear Regulatory Commission Washington, D.C.

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Re:

In Re Florida Power &

(St. Lucie Plant, Unit No. 2),

Docket No. 50-389A

Dear Judge Bloch:

As you requested today, I am enclosing a more

- legible copy of Document No. 68, which was originally appended to Cities' May 27, 1981 Motion to Establish Procedures (Appendix pages E30-E33).

Sincerely, ep.

JR h 0.fuh8%

Marta A.

Manildi cc (w/ encl.):

Attached Service List

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OFFiti 0F SECRETA 9Y it BRuCH Mr Fischer S. DiscP G. :/

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Mr. Robert H. Mte v

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f Mr Clyde A. Lilly, Jr. ' '

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Iknow each of you is familiar with de activitics of George Spelgel, Washington attorney,. and,R. W. Beck and Associates, engineers, in &c furtherance of public poweccfforts in Florida. Perhaps you have already.

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received copies of the enclosed map, "Potenticl}1erids. Municipal. Power

,Pcol", which. Bob Dathcaof Ecch and Associates has been advocating among._

' the municipal utilitics of the state and about which he has. made several~

speeches out of the state Mac'Cunninghanthas been, of course,. advocating this. scheme and in that connectiert has sent to allde municipal utilities tiIe attached. "IaterconnecTon Questicanaire" n

c Bathen's.most recent appearance in our territory was before a.

c'oinmitrea appointeri by the: Citf Commission.of Hain'es City to investigate the pros ni ceas of their est:blishing c. municipaIelectric utility system...

- irersus thc: renewaI of our fr:nchise which. expires i:r April of 1966, The report of this Face-Finding Committee < is attachedfor your information.

E'atbaris making every ciforrto getthe jch of mnking tha feasibility study 2'; ~ ~')

for the City. ht this same comtection,. Eart attaching a: fcvc comments that our ow= people have made od 6c. Enines City Fact-Finding Committee. Report 3 a

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Allof this ishc2:g senc n you.so dar you cam be aIc~rted.to the.

fac:dat concerted efforeisbeing made by SpeigcFcniEa6en in thefurder-

' ance of public porter and, no do6bt, they are going to make every effort to

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contact 211 communitics.whose franchise might be expiring widin the ccxt few years.

l If any additicnaI2cvelopmen s the place, I shall kcep you informed

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and I would apprecista your sending me an7 info zio:you.might gader in this connection

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Smccrcly yours, T.

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QJ l4-cceri.les W-I ClaPP Ercsident 4 cacts.

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cc:::r:.is c rc: nu:::: CITY rACT-T ?D !O C0!::IIITI: ray 0KT

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\\ iy /'dA. '.!*.:nicipal ownax:5ip of distribu: ice and/or genera:Lon and distribuzica PL-1197 7g!,

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oi electric pese: is fescibic; hevcVer, whether the operation uould be v

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U profi::bic, and if so, how profi:abic, is another =ctcer.

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f. Financial reports of ei:tes:

There is up indication given on the in-

• g debtedacss of :ha various municipalities.

T.n< =illage. is based on wha: evaluation? What is the coun:y-tax =ill:ge? I; e county receives no tax revenue frc= a =unicipal utility operation.

There is no stand-ard accounting procedure used by all =unicipali:ies - so=e of the re-sponsibilities of depar:=ents overlap and e=ployees are used between depart =ca:s. Accurate breakdcuns and costs of various depart =an s are vague and in se=e =unicipalitics are non-c cistent.

Consequently, it is al=ost i=possible to ec= para revenue and expencitures for one city to another with any degree of accuracy.

C. 'Of all the incorporated =unicipalities in the State of Florida, Iess then 10 percent own and' operate : heir electrie distribution syste=s.

The nt=..ber of =unicipally o* ned electric cperations in :he United *.

States has beca declining at a steady pace since World War II.

During the last 10-yecr.pe-icd, for which cccurate records are available-(195o

.1965), 77 =enicipalities went oct of the electric utility busi.

ness and. sold their operations. During this sa=e period, 22 cu=icipal-ities vent inte :he electric utili:7 business.

tiearly cll of these 21 =unicipaliries vera able to purchase power from Cover==ent spcasored, tax free, subsidized power pools such as

• .7.A., Bonnsville, e:c.

Of these 22,, only 3 entered inte the generatic= of electrici:7 e

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The report stater char 7the advent of' anelear generation and the estab-lish=ent of Ia ger generating. plants will quite probably change :ha entire concept of electric power," etc.

We agree 11 Teneral with this 7g observation, but it should. be poioted out that the 71ccida. M.inicipal Fewer Tool propoces a= initial genera:ing plant in the 100 cc 200 =ega-

vate range and increasing co-the 300 to 500 =cgavste range well before 1980, while existing uni:s new in service in the Floride ?mer Pool are of the 300 to 500 =csana:: range with unit.t in the f 00 :n 850 =ega-watt, range now under construction and to be in serviet econ.

Incident-ally, these 1:::er units are costing in encess of $100,000,000 each.

How could such expensive duplication of inves==ent in facili:ics con-

. sisting of ou: distanced si:cs of sencrating plants as prcpesed by the Floride Municipcl ?:rcr Foci pcssibly benefit tha.cie:.: ens of Heines City? The f rs: Florid.1 Municipcl Feuer Pool generating plant is in-dicated near Occia, end with the tre=cadcus :csts of financing and constructin; the ple: ; and : a". =issica lines to bring :he power in:o the. ares, coupled wi:5 :he higher cost of ;;encentica by the se ll4:

size unit (i00 to 200 regcws:: r:nge) would result in power costing

= ore than power suppiad frc= the presently enisting :nd rapidly groteing Florida Power Pool.

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.-r G neering fir = referred

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The internaticnal :nalytical and consulting 2 i

to in the report is one that limits its p~ractice to Govern =ent and

'Goverr. ental spinuo ed agencias - they could hardly be classified as

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. unblased. Their li.valiheed and very exittence is based on the ex-pansiors of v:unicipal en:i other Gove..n= ental utility operatiens.

They are also the advocates of the Florida. Municipal ?over Pool. We have yet ce review a report made by this fir = that did not suggest expansion of facilities or tha creatica of new Govern = ental. operations y.

The-Attarican Public Power Association is a trade organizatica ecmposed entirely of Covern=ent owned and Govern =ent sponsored utility groups.

Mr. Alex Radin, General Manager, and Mr. Mark R. Anso:1, Public. Relations Director, are the association's spokes =en.

They could not be classi-fied as unbiased authorities en cunicipal operations. Their interest in, the greuth of the A=erican ?chlic Pcuer Association, from which. -

they derive their livelihood, is synonymous with the spreading of Govern-cent in the power business.-

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Th Federal Power Cc::=tissiert has-jurisdiction over wholesale power rates but has. no authority to establish the rates -

Tha se called "7Eiffips Report'E is not a comprehensive report but is 'the R.

text of cn address designed to extoll the benefits of a city utility depart c.ent,. withcun cny documentation,. given. by Mr. Phillips to the

, takeland Rotary Club i.t May,1966 Mr. Phillips is no longer e=picyed by-the-City of Lakeland-and. : the ti=e of the address had only beett in the e= ploy of the City for two years. It is dcubtful that he could have obtained c:t exper knowledge of the City's utility operation,in

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this short ti==

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It shculd be peinted out that no new municipt.lly owned electric opera-tions have been started irr the State of Florida in the pase 30 years.

.The existing =unicipal syste=s were started in the early part of the' century when no other source of electricity was available. Most of the re asinin3 =unicipal '.iectric sys c=s in Florida are experiencing continuing fin ::Ist and operating proble=s. The rapid growth and expansion = dc nerestery by the " Florida 3cc=" are creating proble=s of such agnitude that the se:11 systems are un:ble to cope with the advanced :.cchniquas recuired by a =adern electric systen.

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4

SERVICE LIST Thomas S.

h7 ore Donald A. Kaplan, Esq.

Atomic Safewy and Licensing Robert Fabrikant, Esq.

Appeal Board Antitrust Division Nuclear Regulatory Commission Department of Justice Washington, D.

C.

20555 Washington, D.

C.

20530 Michael A.

Duggan, Esq.

J. A.

Bouknight, J r., Esq.

Administrative Judge Lowenstein, Newman, Reis &

College of Business Axelrad Administration 1025 Connecticut Avenue, N. W.

University of Texas Washington, D.

C.

20036 Austin, Texas 78712 John E. Mathews, Jr.,

Esq.

Robert M. Lazo, Esq.

Mathews, Osborne, Ehrlich, Administrative Judge McNatt, Gobelman & Cobb Atomic Safety and Licensing Board 1500 American Heritage Life Nuclear Regulatory Commission Building Washington, D.

C.

20555 Jacksonville, Florida 32202 Alan S.

Rosenthal, Chairman Reubin O.

D. Askew Atomic Safety and Licensing Board Greenberg, Traurig, Askew, Nuclear Regulatory Commission Hoffman, Lipoff, Quentel Washington, D,

C.

'20555

& Wolff, P.A.

1401 Srickell Avenue Christine N. Kohl Miami, Florida 33131 Atomic Safety and Licensing Appeal Board Robert R.

Nordhaus Nuclear Regulatory Commission Van Ness, Feldman, Sutcliffe, Washington, D.

C.

20555 Curtis & Levenberg 1050 Thomas Jefferson St.,

N.W.

William C.

Wise, Esq.

7th Floor 1200 18th Street, N.

W.

Washington, D.

C.

20007 Suite 500 Washington, D.

C.

20036 Janet Urban, Esquire Department of Justice William H.

Chandler, Esq.

P.

O.

Box 14141 Chandler, O'Neal, Avera, G ray,

Washington, D.

C.

20044 Lang & Stripling P.

O.

Drawer 0 Chase Stephens, Chief Gainesville, Florida 32602 Docketing & Service Section Nuclear Regulatory Commission Daniel H.

Gribbons, Esq.

Washington, D.

C.

20555 Herbert Dym, Esq.

Covington & Burling George R. Kucik, Esq.

888 16th Street, N.

W.

Ellen E.

Sward, Esq.

Washington, D.

C.

20036 Arent, Fox, Kintner, Plotkin & Kahn Florida Power & Light Company Suite 900 ATTN:

Dr. Robert E.

Uhrig 1815 H Street, N.W.

Vice President Washington, D.C.

20006 Vice President Advanced Systems & Technology Benjamin H. Vogler, Esq.

P.

O.

Box 529100 Ann P. Hodgdon, Esq.

Miami, Florida 33152 Counsel for NRC Staff Nuclear Regulatory Commission Washington, D.

C.

20555

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