FOR IMMEDIATE RELEASE                                                                   

Contact:           David Owen, County Attorney’s Office, (941) 335-2236

                        Jack Shreve, Florida Public Counsel, (800) 342-0222

                        Robert Wright, Landers & Parsons P.A., (850) 681-0311 

LEE COUNTY/TAXPAYERS TO REALIZE SAVINGS FROM FPL RATE CASE 

FORT MYERS, Fla. (April 9, 2002) – Lee County Government and taxpayers will receive annual energy savings because of the settlement of a recent rate case brought by Florida Power & Light (FPL) to the Florida Public Service Commission (FPSC), the regulatory agency for Florida electric utilities. 

Lee County Government was the only public agency to intervene in the FPSC rate case.  The settlement results in a 7.03 percent “across-the-board” reduction in all of FPL’s rates, except those applicable to street and outdoor lighting.  That means that residents will directly see reductions in their home energy bills, and will indirectly receive the benefit of the reduction in their proportionate share of the taxes that pay for the county’s electric bills. 

The case was settled by the parties, the Florida Public Service Commission staff and the Public Counsel, and centered around FPL’s proposed rate for “return on equity” (ROE).  Florida Power & Light requested a 12.85 percent ROE, but the county’s expert testified that a return on equity of 10-to-10.25 percent would be more appropriate. 

The settlement provides for all FPL customers to share in annual revenues FPL earns in excess of $3.58 billion through 2005.  It also provides that FPL will accelerate a company-wide refund of approximately $200 million that was over-collected because of unanticipated declines in fuel costs. 

Lee County Government spends about $5 million annually on electric power to operate its facilities, including such things as government buildings, water and sewer plants, the Emergency Operations Center, libraries, the Airport facilities, the Sports Complex and many parks. 

Jack Shreve, Esq., the Florida Public Counsel, and Robert “Schef” Wright, Esq., of the Landers & Parsons law firm, the county’s Tallahassee counsel in the case, briefed the Board of County Commissioners this morning on the results and benefits of the settlement and commended the Board for being the only public agency to participate in and vigorously represent the interests of its citizens in the rate case. 

Lee County Government has 2,100 employees, operates 25 departments and divisions, and spends more than $500 million annually on an array of projects, programs and services, including Parks & Recreation, Libraries, Roads, Public Safety, Public Transit, Animal Control, Utilities, Community Development, Human Services, Natural Resources Management, Economic Development and the Visitor & Convention Bureau.