- 44 -
management and energy conservation programs designed to meet the
FPSC mandated goals.”47 The study recommended, inter alia, that
FPL procure and install a bidirectional communication system to
implement load control. In addition to the study, FPL published
a technical report that detailed the project expenditures by
year.
In November 1983, FPL prepared a technical specification
that detailed how the LMS was supposed to work, its properties,
and its requirements.48 FPL used the technical specification to
secure bids from vendors to build the LMS.
On October 4, 1985, FPL entered into an agreement (the LMS
contract) with A.B. Chance Load Management Systems (A.B.
Chance).49 An FPL purchase order incorporated into the LMS
contract acted as A.B. Chance’s authority to “furnish the Phase I
47 For example, the FPSC’s Sept. 17, 1980, order proposing
rules included goals to “reduce the average annual growth of
kilowatt demand * * *. The specific goals for the 1980-85 period
are to reduce growth rates so that the total KW demand in 1985
does not exceed that of 1984 by more than 2.212%”.
48 The technical specifications included a “tentative
delivery schedule” for the years 1985 through and including 1992.
Mr. Garcia testified:
we knew that we were going to go long term with the
system and that, because of the nature of it, you had
to go with one vendor. This is what the vendor was
told and he was given the scope of the project and the
values that we were talking about in order to submit an
accurate bid.
49 Mr. Garcia testified that FPL’s technical specifications
were incorporated into the LMS contract.
Page: Previous 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 NextLast modified: May 25, 2011