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UTILITY BOARD REVIEWS KEYS’ 2007-2008 BUISNESS PRIORITIES

08/11/2006 ~ The Utility Board reviewed Keys Energy Services (KEYS) business priorities for the 2007 – 2008 Fiscal Year at their regular meeting on Wednesday, August 9, 2006.

Board members and KEYS Staff met on April 5th and 6th during the Utility’s annual Strategic Planning session to identify business priorities for the upcoming year. The priorities that were identified and which will be developed during the upcoming

Fiscal Year are:

- Develop a methodology to operate with flat or declining sales

- Create a stable, capable, committed work force

- Maintain reasonable long-term reliability levels compared to industry benchmarks and improve customer perceived reliability

- Maximize benefits to KEYS from the Florida Municipal Power Agency (FMPA)

- Maintain a high level of customer service and satisfaction

“As a public entity, it is crucial we identify the goals for our utility and steps we will have to take to accomplish them,” said Lynne Tejeda, KEYS General Manager & CEO. “It is not just a sound business practice,” she added, “but also the result of being accountable to our owners - KEYS ratepayers.”

In other business, the Board approved the renewal of Pollution Liability Insurance coverage, for the period of August 12, 2006, through August 12, 2007, with AIG through Key West Insurance, Inc. at a premium of $48,373. FMPA is responsible for 71.1 percent of the premium, or $34,393, since they own all fuel and one of four fuel tanks at KEYS’ Stock Island Generating Facility. There was no increase in the premium from last year.

The regular meeting of the Utility Board took place at 5:00 p.m., Wednesday, August 9th, in the Louis Carbonell Board Room of the William Arnold Service Building, 1001 James Street, Key West.

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