Services

Financial Services Department

The Financial Services Department directs all FGU’s accounting and financial management activities. Responsibilities include budgeting, accounting, treasury and debt management, credit/risk management, and contract administration. The Department is also responsible for ensuring FGU’s assets, including all funds, are effectively managed and that accounting systems are properly maintained and compliant with GAAP and other regulatory authorities. Financial Services also provides other Member-specific services such as rate studies, financial analyses, and various financial consulting services.

FGU has in-house expertise to assist in structuring custom purchase options suited to meet the District’s objectives. We are engaged in the latest market developments and can assist with recommendations for purchasing decisions. FGU has direct access to a clearinghouse for the benefit of its Members, as well as a line of credit available for any margin calls.

Certain Federal Energy Regulatory Commission (FERC) proceedings deal with filings that affect pipeline rates and services provided by FGU and its Members. FGU provides substantial cost savings and other value to Members by monitoring and intervening in joint regulatory representation on their behalf. And because FGU is one of the largest shippers on the FGT pipeline, shipping most of its gas via this system, FGU holds a much stronger negotiating position than any of its individual Members would independently.

FGU, through its various partners (i.e. Gunster Firm’s Lobbyists, Florida Natural Gas Association, American Public Gas Association), monitors Federal and State legislative activities that may have an impact on FGU and/or its Members.

FGU performs rate studies for its Members so that their natural gas system is financially stable and generates an appropriate return on the Member’s investment in the distribution system. FGU utilizes a model, developed by the Florida Public Service Commission, modified to be more useful for municipal natural gas systems. Utilizing the model allows for appropriate recovery of costs from those customers that caused the costs to be incurred, thus generating sufficient revenues for the overall system. FGU and the Member work together to determine if any new rate classifications are needed or if any large customers require special rates. Ultimately, the Member is in control of, and approves, the final rate changes.

FGU provides its Members with various Financial Analyses’ for expansion opportunities, project feasibility and other requested analyses’. With years of industry experience, FGU can also perform invoicing and billing reviews to help identify inconsistencies and provide methods to resolve even the most complex issues. FGU also reviews the cost of gas and calculates an appropriate gas recovery rate to ensure that Members recover all of their gas supply costs. These services ensure that the natural gas utility remains healthy and valuable.