NextEra pledges $3.3M in county aid
Lazaro Aleman
ECB Publishing, Inc.
A negotiated settlement between Gulf Power Company – the subsidiary of NextEra that is behind the proposed 161kV transmission line – and the attorney representing the Jefferson County Commission is in the works, with local officials expected to take action on the matter sometime soon.
In fact, Attorney David Collins, who negotiated the agreement on behalf of the county with a NextEra representative, was supposed to present the proposed deal to commissioners earlier this week at an executive session, which are closed to the public and press. Collins, however, emailed a copy of the proposal to the Monticello News, saying that it had resulted from two days of negotiations with a NextEra representative.
“I am going to recommend that the county accept it,” Collins said in the email. “To litigate further would not be in the best interest of all the people in these uncertain economic times.”
He added that the agreement also did not reflect an upfront payment of $900,000 that the transmission line would bring into the county in property taxes in the first year of operation.
In broad strokes, the agreement shows Gulf Power and Florida Power and Light (FPL), which is another subsidiary of NextEra, committing an estimated $3,335,000 in contributions or services to Jefferson County over a specified period of time, contingent on construction of the power line.
A general breakdown of the estimated $3.3 million shows about $500,000 going to parks and recreation; another $500,000 going for public works; some $120,000 going to education and training; $215,000 going to energy and conservation; and $2,000,000 going for emergency management services grants.
Per the agreement, two caveats apply.
The first is that the total grant value of $2,000,000 – which is a targeted amount for an 800 MHz digital communications radio system for the Sheriff's Office, Emergency Operations Center (EOC) and Fire Rescue – “may differ depending on the actual grants received.”
The second is that the actual financial commitments are the individual line items alone and “the total is provided as an estimate only, as it does not include the cost of the grant consultant and includes the maximum amount that could be spent for the education commitment.”
In more detail, per the draft agreement, Gulf Power Company, in conjunction with FPL at times, will:
• Hire a firm to design and complete a proposal for significant improvements to the Jefferson County High School and the recreation park, including improvements to the gymnasium, ballfields, basketball and tennis courts and bathrooms. The hiring will occur no later than 90 days after both parties have executed the settlement agreement. Any unused portion of this commitment will be added to the parks and recreation funding commitment. Total amount of this contribution is $50,000.
• Make a one-time contribution of $450,000 to the Police Athletic League no later than 180 days after the initiation of construction on the North Florida Resiliency Connection (NFRC) – the formal name for the 176-mile long transmission line that is to run across Jefferson County from Columbia County to Jackson County. This one-time contribution is to be used to repair and refurbish the Jefferson County High School and recreation park, including repairs to the roof and indoor facilities of the old gymnasium. A more specific breakdown of the allotments going to the individuals projects from the $450,000 is contained within the proposal.
• Provide $500,000 for additional renovation and improvement of the historic high school structure known as the A-Building within 60 days following the commercial operation date of the NFRC. Gulf Power has the option to select the contractor for the work and to provide such supervision as it deems appropriate. Or it may elect to contract directly for the performance of the work.
• Provide representatives to train fourth, fifth and sixth grade teachers at Jefferson Somerset on FPL's renewable energy curriculum, as well as provide course material and make upgrades to the onsite computer and robotics labs. Gulf Power will make an assessment and design the program accordingly. The value of this commitment is up to $100,000.
• Make available in July to children ages six to nine years old in Jefferson County a total of 100 seats at a free virtual summer camp called “Wild About Wildlife.” The offer, which will be provided by FPL, is contingent on both parties executing the agreement prior to this June 30. Total value of this commitment is $20,000.
• Provide, again through affiliate FPL Energies Services (FPLES), a free energy audit of the major county facilities, including the jail, county annex and courthouse with zero dollar upfront cost to the county. This commitment is good following execution of the contract. Value: $25,000.
• Provide, again via FPLES, a free audit of all county-owned streetlights and offer a variety of performance contracts with zero dollar upfront cost to county. This commitment is also good upon execution of the agreement. Value: $15,000.
• Donate a bucket truck to the county for use in replacing lightbulbs on streetlights. This commitment is good within 90 days following execution of the agreement. Value: $25,000.
• Install, via FPLES, a rooftop solar system on a suitable county-owned building to be selected by both Gulf Power and the county. This commitment is good within the first year following the agreement, subject to the requisite permit. Value: $150,000.
• Retain and pay the cost of an expert consultant in federal grant programs upon execution of the agreement. This commitment rests on the belief that the county qualifies as a potential recipient under existing federal grants and that grant programs associated with COVID-19 relief will likely be approved in the future. The commitment is that Gulf Power's grant consultant and affiliate NextCity Networks “will work diligently with the county” to obtain grants for a new 800Mz radio system for the Sheriff's Office, EOC and Fire Rescue digital communications and other “feasible projects,” provided that the county provides sufficient detail and scope to support the grant application. This commitment is good within 90 days after execution of the agreement. Gulf Power's commitment for the grant consultant and related administrative cost for submission of grant applications is limited to $100,000. Costs incurred above this amount are the county's responsibility.
Collins added in a postscript that although the agreement did not get the route of the transmission line completely relocated, as county officials had wanted, it would at least spare the community of Wacissa.
“As a result of the settlement, the county is in much better financial shape in these tumultuous economic times if the commission approves such,” Collins emailed. “It's a first for NextEra to settle on such terms with a county the size of ours. My only regret is I could not relocate the line.”
The circumstances, however, dictated a settlement, he said.
“The risks of litigation versus the economic gain for the whole county, in a recession that threatens the lifeblood of local government, mandated that we accept this proposal,” he said, reiterating that he would urge the commission to approve the agreement.
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