M E M O R A N D U M
To: Honorable Mayor and Town Council
From: Rafael G. Casals, ICMA-CM, CFM, Town Manager
Date: October 17, 2018
Re: Granting Florida Power & Light (FPL) a Non-Exclusive Electric Franchise Fee Agreement for the Town.
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REQUEST
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AN ORDINANCE OF THE TOWN OF CUTLER BAY, FLORIDA GRANTING TO FLORIDA POWER & LIGHT COMPANY, ITS SUCCESSORS AND ASSIGNS, A NON-EXCLUSIVE ELECTRIC FRANCHISE, IMPOSING PROVISIONS AND CONDITIONS RELATING THERETO; PROVIDING FOR MONTHLY PAYMENT OF A FRANCHISE FEE TO THE TOWN; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE.
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BACKGROUND AND ANALYSIS
Florida Power and Light (FPL) is a public utility that provides electric service to the Town of Cutler Bay and its citizens. Currently, there is a franchise agreement in effect between Miami-Dade County ("County") and FPL, the terms of which are set forth in County Ordinance 89-81, passed and adopted on July 25, 1989, which grants a thirty (30) year non-exclusive electric franchise to FPL to utilize public rights of way throughout the unincorporated and incorporated areas of the County, in return for FPL paying the County certain franchise fees, among other things as expressly provided in that franchise agreement. On November 15, 2007, pursuant to Resolution No. 07-34, the Town entered into an Interlocal Agreement with the County for payment to the Town of that portion of the franchise fees remitted by FPL to the County for rights to utilize public rights of way located within the Town.
FPL and the Town desire to enter into a new franchise agreement providing for the payment of fees to the Town in exchange for the nonexclusive right and privilege of supplying electricity and other services within the Town free of competition from the Town, pursuant
to certain terms and conditions. Section 4.3 of the Town Charter provides that where the Town Council grants, renews or extends a franchis...
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