Good morning -
Yesterday, Michelle, Allison, and I met with the new Florida Division of Emergency Management (FDEM) Director, Kevin Guthrie.  Also in attendance were the Director's Executive Assistant, Carly Miller, and State Public Assistance Officer for the Bureau of Recovery, Buck Dickinson.  It was an incredibly positive meeting, and it seems like Director Guthrie is willing to consider various changes that have the potential to benefit electric co-ops.
Director Guthrie requested the meeting to outline specific visions and plans he has for FDEM.  First, the Director proposes that the co-ops, Munis, and FDEM, work with FEMA to develop guidance for replacing wood poles with concrete/steel poles after a disaster, versus the current practice of replacing facilities with like materials.  This would allow electric utilities to replace wood poles with more durable poles as Cat B emergency protective measures and receive 100% reimbursement.  The Director argues that stronger poles will enhance the resiliency and hardening of utility systems and is necessary to mitigate damages from future hurricanes and disasters.   This idea seems excellent on its surface, but we need feedback on the practicality of erecting concrete/steel poles during the restoration effort.  Please let me know if this request is worth pursuing.
Additionally, the Director has ideas that, if realized, would streamline and expedite the disbursement of FEMA funds once they are obligated to the state and assist in the restoration of power/debris removal after a storm.  Director Guthrie's first suggestion is to develop a standardized form(s) specific to electric utilities, which would hopefully simplify the reimbursement process and provide FDEM with uniform information from all electric utilities that will reduce the need for additional requests for information.
In order to pay the full amounts due to sub-recipients as soon as practicable after FEMA has obligated the funds to the state, Director Guthrie envisions evaluating each sub-recipient's risk of noncompliance. The following risk factors may be considered in FDEM's evaluation:  1) a sub-recipient's history of noncompliance with past awards; 2) training and education of the FEMA/FDEM recovery process; 3) whether or not the sub-recipient used a FEMA consultant before, during and after a disaster; and 4) credit ratings and other financial reports.  Sub-recipients who receive a low-risk factor could get up to 85% of FEMA funds as soon as the funds are obligated to the state.  The timetable for rolling out this program is not finalized, but we are encouraging the Director to expedite this proposal, and Statewide has offered to help in any way possible to get new payment standards in place.
Lastly, Director Guthrie wants to roll out a debris removal program called "Look Before We Push," which would provide guidance to debris removal companies on how to evaluate a particular roadway before starting the debris removal process to assess where the debris should be pushed.  This would hopefully alleviate the obvious debris removal problems we have had in the past and give us better access to our facilities.
For our part, we emphasized the need for FDEM to get FEMA funds from Hurricanes Michael and Irma to co-ops as fast as possible.  In addition, we mentioned: 1) there is not a streamlined approach for the state-contracted auditing firms to use as they audit FEMA claims; 2) there are problems with in-field FEMA personnel; 3) Congressional action for FEMA reimbursement for interest on loans; 4) FEMA's proposal to increase the threshold on costs of assistance estimates; and 5) ensure that if any mandatory deadlines to restore power to all customers that can receive it after a hurricane hits are ordered, that they are made in writing to the electric utilities by FDEM, the Governor or others.
It is exciting to hear leadership at FDEM parrot many of the ideas we have suggested to them over the years and identifying them as agency priorities. Of course, there will be much work to be done to make sure FDEM accomplishes these objectives, but we are willing to help push these priorities as long they will provide assistance to the electric co-ops.
Please let me know if you have any questions.
Sincerely,
Mike

Mike Bjorklund
Executive V.P. & General Manager
Florida Electric Cooperatives Assoc.
2916 Apalachee Parkway
Tallahassee, FL 32301
850-877-6166

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