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HomeMy WebLinkAboutBradley Lake PMC Meeting Wednesday 04-24-2002BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING MINUTES Via Electronic Media@ AIDEA 813 W. Northern Lights Boulevard Anchorage, Alaska Wednesday, April 24, 2002 — 10:00 a.m. 1. CALL TO ORDER Chairman Steve Haagenson called the meeting of the Bradley Lake Hydroelectric Project Management Committee to order at 10:00 a.m. on Wednesday, April 24, 2002, from the Alaska Industrial Development and Export Authority's Board Room, Anchorage, Alaska, to conduct the business of the Committee per the agenda and public notice. 2. ROLL CALL Roll was called by Shauna Dean. The following members were present: Dave Calvert City of Seward (teleconference) Wayne Carmony Matanuska Electric Association (teleconference) Gene Bjornstad Chugach Electric Association (teleconference) Norm Story Homer Electric Association (teleconference) Steve Haagenson Golden Valley Electric Association (teleconference) Bob Day Anchorage Municipal Light & Power (teleconference) Art Copoulos Alaska Energy Authority 3. PUBLIC ROLL CALL Shauna Dean, Alaska Energy Authority Keith Laufer, Foster Pepper Rubini & Reeves, Counsel to AEA Bob Zaharsky, Bradley Lake (teleconference) Brian Hickey, Chugach Electric Association (teleconference) Lee Thibert, Chugach Electric Association (teleconference) John Cooley, Chugach Electric Association (teleconference) Mike Cunningham, Chugach Electric Association (teleconference) Don Stead, Homer Electric Association (teleconference) Don Zoerb, Matanuska Electric Association (teleconference) Larry Hittle, AterWynne, LLP (teleconference) Bradley Lake PMC Meeting Wednesday, April 24, 2002 Page 2 of 3 4, PUBLIC COMMENT There were no public comments. 5. AGENDA COMMENTS Chair Haagenson added discussion of Larry Hittle’s contracting issues report, a second item of the recommendation relating to the governor repair project and third, Chair Haagenson requested that everyone receive a copy of the current by-laws. 6. APPROVAL OF MEETING MINUTES — March 5, 2002 and April 11, 2002 MOTION: Mr. Story moved to approve the meeting minutes of March 5, 2002, seconded by Mr. Bjornstad. A voice vote was taken, and the minutes were unanimously approved. MOTION: Mr. Story moved to approve the meeting minutes of April 11, 2002, seconded by Mr. Day. Mr. Bjornstad noted that on item 7A., the third sentence wasn’t clear regarding was there more than one response. Brian Hickey stated that the initial RFQ received one response from GE Global Services. He contacted all the vendors asking them why then hadn’t responded, and at that point VA Hydro responded noting that the Request had been sent to the wrong location. The corrected sentence will read: We have contacted a number of vendors and had one response from GE Global Services. Mr. Bjornstad also noted that the third sentence in the last paragraph ...they aren’t qualified... he thought that was just the opinion of Brian Hickey. Mr. Hickey noted that that was their opinion to him. Minutes would reflect that ‘they’ being L&S Electric, would be changed. This change would include a name insertion of L&S Electric. On page 3 of 3, item 7D, the last sentence didn’t read correctly. The corrected sentence would read: The Master Agreement and the O&M Agreement along with copies of insurance policies were sent to the consultants for review. A voice vote was taken, and the minutes were unanimously approved as amended. 7. RECOMMENDATION ON INSURANCE __Larry Hittle Mr. Hittle noted that he had sent out two memorandums - one that talked about contracting procedures, and the other which was an examination of various terms and conditions regarding insurance and liability that existed in the current contracts. Mr. Hittle discussed the memorandum relating to contracting procedures and the relationship of the PMC to contracting. Mr. Hittle noted that the Settlement Agreement lays out the financial responsibilities pretty clearly. Mr. Hittle recommends to continue to use AEA as the contracting body for project repairs or project O&M and not have the PMC get involved in the chain of command. In the end it would Bradley Lake PMC Meeting Wednesday, April 24, 2002 Page 3 of 3 just confuse the issue and create an additional insurance wrinkle. His recommendation states that if you do contract, you contract in a way that would be binding on each of the utilities as PMC acting as agents for them. He suggested continuing the practice of using AEA as the primary contracting agency for the project and if you feel it might be more convenient to use HEA or CEA, take action to allow that to happen. After discussion, it was decided to table the item and give the utilities time to meet and come back to the PMC with their suggestion and move forward. MOTION: Charge the finance committee to look at the insurance coverage levels, both internal and external, and compare the various policies to see how well it fits together and see if it’s consistent. Mr. Laufer stated that AEA will undertake a similar review using the Division of Risk Management. The State has an independent interest in making sure there is adequate insurance and has a duty to do that, and under the FERC licenses as well. Mr. Laufer noted that Mr. Copoulos would coordinate with the finance committee so there wasn’t duplicate effort. MOTION to table action on this item by Mr. Bjornstad seconded by Mr. Story until the Tuesday, April 30, 2002 teleconference at 10:00 a.m. Cc. BY-LAWS Steve Haagenson Chair Haagenson restated that he wanted everyone to receive a copy of the updated by-laws. 8. COMMITTEE COMMENTS A. Next Meeting Date —- Haagenson Chair Haagenson recommended that the next regularly scheduled meeting of the committee be held at 10:00 a.m. on Tuesday, April 30, 2002, via teleconference, at the Alaska Industrial Development and Export Authority's Board Room. 9. ADJOURNMENT There being no objection and no further business of the Committee, the meeting was recessed at 10:50 a.m. BY: ATTEST: Ad yu Alaska Energy Authority, Secretary BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING MINUTES Via Electronic Media @ AIDEA 813 W. Northern Lights Boulevard Anchorage, Alaska Wednesday, April 24, 2002 — 10:00 a.m. 1. CALL TO ORDER Chairman Steve Haagenson called the meeting of the Bradley Lake Hydroelectric Project Management Committee to order at 10:00 a.m. on Wednesday, April 24, 2002, from the Alaska Industrial Development and Export Authority's Board Room, Anchorage, Alaska, to conduct the business of the Committee per the agenda and public notice. 2. ROLL CALL Roll was called by Shauna Dean. The following members were present: Dave Calvert City of Seward (teleconference) Wayne Carmony Matanuska Electric Association (teleconference) Gene Bjornstad Chugach Electric Association (teleconference) Norm Story Homer Electric Association (teleconference) Steve Haagenson Golden Valley Electric Association (teleconference) Bob Day Anchorage Municipal Light & Power (teleconference) Art Copoulos Alaska Energy Authority 3. PUBLIC ROLL CALL Shauna Dean, Alaska Energy Authority Keith Laufer, Foster Pepper Rubini & Reeves, Counsel to AEA Bob Zaharsky, Bradley Lake (teleconference) Brian Hickey, Chugach Electric Association (teleconference) Lee Thibert, Chugach Electric Association (teleconference) John Cooley, Chugach Electric Association (teleconference) Mike Cunningham, Chugach Electric Association (teleconference) Don Stead, Homer Electric Association (teleconference) Don Zoerb, Matanuska Electric Association (teleconference) Larry Hittle, AterWynne, LLP (teleconference) Bradley Lake PMC Meeting Wednesday, April 24, 2002 Page 2 of 3 4. PUBLIC COMMENT There were no public comments. 5. AGENDA COMMENTS Chair Haagenson added discussion of Larry Hittle’s contracting issues report, a second item of the recommendation relating to the governor repair project and third, Chair Haagenson requested that everyone receive a copy of the current by-laws. 6. APPROVAL OF MEETING MINUTES - March 5, 2002 and April 11, 2002 MOTION: Mr. Story moved to approve the meeting minutes of March 5, 2002, seconded by Mr. Bjornstad. A voice vote was taken, and the minutes were unanimously approved. MOTION: Mr. Story moved to approve the meeting minutes of April 11, 2002, seconded by Mr. Day. Mr. Bjornstad noted that on item 7A., the third sentence wasn’t clear regarding was there more than one response. Brian Hickey stated that the initial RFQ received one response from GE Global Services. He contacted all the vendors asking them why then hadn't responded, and at that point VA Hydro responded noting that the Request had been sent to the wrong location. The corrected sentence will read: We have contacted a number of vendors and had one response from GE Global Services. Mr. Bjornstad also noted that the third sentence in the last paragraph ...they aren’t qualified... he thought that was just the opinion of Brian Hickey. Mr. Hickey noted that that was their opinion to him. Minutes would reflect that ‘they’ being L&S Electric, would be changed. This change would include a name insertion of L&S Electric. On page 3 of 3, item 7D, the last sentence didn’t read correctly. The corrected sentence would read: The Master Agreement and the O&M Agreement along with copies of insurance policies were sent to the consultants for review. A voice vote was taken, and the minutes were unanimously approved as amended. 7. RECOMMENDATION ON INSURANCE __Larry Hittle Mr. Hittle noted that he had sent out two memorandums — one that talked about contracting procedures, and the other which was an examination of various terms and conditions regarding insurance and liability that existed in the current contracts. Mr. Hittle discussed the memorandum relating to contracting procedures and the relationship of the PMC to contracting. Mr. Hittle noted that the Settlement Agreement lays out the financial responsibilities pretty clearly. Mr. Hittle recommends to continue to use AEA as the contracting body for project repairs or project O&M and not have the PMC get involved in the chain of command. In the end it would Bradley Lake PMC Meeting Wednesday, April 24, 2002 Page 3 of 3 just confuse the issue and create an additional insurance wrinkle. His recommendation states that if you do contract, you contract in a way that would be binding on each of the utilities as PMC acting as agents for them. He suggested continuing the practice of using AEA as the primary contracting agency for the project and if you feel it might be more convenient to use HEA or CEA, take action to allow that to happen. After discussion, it was decided to table the item and give the utilities time to meet and come back to the PMC with their suggestion and move forward. MOTION: Charge the finance committee to look at the insurance coverage levels, both internal and external, and compare the various policies to see how well it fits together and see if it’s consistent. Mr. Laufer stated that AEA will undertake a similar review using the Division of Risk Management. The State has an independent interest in making sure there is adequate insurance and has a duty to do that, and under the FERC licenses as well. Mr. Laufer noted that Mr. Copoulos would coordinate with the finance committee so there wasn’t duplicate effort. MOTION to table action on this item by Mr. Bjornstad seconded by Mr. Story until the Tuesday, April 30, 2002 teleconference at 10:00 a.m. Cc. BY-LAWS Steve Haagenson Chair Haagenson restated that he wanted everyone to receive a copy of the updated by-laws. 8. COMMITTEE COMMENTS A. Next Meeting Date — Haagenson Chair Haagenson recommended that the next regularly scheduled meeting of the committee be held at 10:00 a.m. on Tuesday, April 30, 2002, via teleconference, at the Alaska Industrial Development and Export Authority’s Board Room. 9: ADJOURNMENT There being no objection and no further business of the Committee, the meeting was recessed at 10:50 a.m. BY: Steve Haagenson, Chairman ATTEST: Alaska Energy Authority, Secretary ) e ALASKA INDUSTRIAL DEVELOPMENT * AND EXPORT AUTHORITY «> ALASKA @@™™ =ENERGY AUTHORITY 813 WEST NORTHERN LIGHTS BLVD. © ANCHORAGE, ALASKA 99503 © 907/269-3000 ¢ FAX 907/269-3044 TOLL FREE (ALASKA ONLY) 888 / 300-8534 BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE REGULAR MEETING VIA TELECONFERENCE eal AGENDA Aye Wednesday, April 24, 2002 — 10:00 a.m. (Via electronic media at AIDEA/AEA — 813 W. Northern Lights Boulevard) (Corner of Arctic and Northern Lights Boulevard) 1. CALLTOORDER ~~ Haagenson 2. ROLL CALL (for Committee members) ~~ 3 PUBLIC ROLL CALL (for all others present) ve 4. PUBLIC COMMENT . ~~ 5. AGENDACOMMENTS 6. | APPROVAL OF MEETING MINUTES March 5, 2002 vo April 11, 2002 1 Avene te NEW BUSINESS , ; a eel Relating to the Governor Repair Project |“ Hickey i A horvy ale) |= (Rec-oney AZ dations i 8. | MMIT a COMMENTS h ei biy-Laws Next Meeting Date Haagenson OF ADJOURNMENT ions 6 — Commence a 7 4) 4 ‘he de a Dusient => Hickey 1 roa { te: Grover Cpa rea) X dati Kelaty o B\ ecomme Lv | WU Na etait 04/22/02) 18:09 FAX 503 226 0079 ATER WYNNE ATERWYNNE ur ATTORNEYS AT LAW FACSIMILE TRANSMITTAL {001/010 Suite 1800 222 S.W. Columbia Portland, OR 97201-6618 503-226-1191 Trax 503-226-0079 NOTICE: This facsimile contains confidential information that is beg transmitted to and is intended only for the use of the recipient named below. Reading, disclosure, discussion, dissemination, distribution, or copying of this information by anyone other than the named recipient or his or her cmployees or agents is strictly prohibited. 1f you have received this facsimile in error, please immediatcly destroy it and notify us by telephone, 503-226-1191. DATE: April 22, 2002 TO; Bradley Lake Project Management Committee FROM: Larry Hittle and Inara Scott DOCUMENT: Bradley Lake Project Management Committee Memos PAGES (INCL. COVER) 10 Gene Bjornstad, CEA, Anchorage, AK Dave Calvert, City of Seward, Seward, AK Wayne Carmony, MEA, Palmer, AK Nomn Story, HEA, Homer, AK Steve Haagenson, GVEA, Fairbanks, AK Michael Scott, ML&P, Anchorage, AK Art Copoulos, AEA, Anchorage AK. Brian Bjorkquist, AK Attomey General’s Office, Anchorage, AK PORTLAND SEATTLE Fax No. Office No. 907/562-6994 907/224-4085 907/761-9368 907/235-3323 907/458-5951 907/263-5204 907/269-3044 907/269-5150 907/563-7494 907/224-4049 907/745-3231 907/235-8551 907/458-5866 907/279-7671 907/260-3000 907/258-4978 04/22/02” 18:09 FAX 503 226 079 ATER WYNNE {002/010 Suite 1800 222 SW. Columbia ATERWYNNE nm CONFIDENTIAL - ATTORNE Y/CLIENT PRIVILEGE Ponaton G7aoitene ATTORNEYS AT LAW 503-226-119) Fax 503-226-0079 MEMORANDUM VIA FACSIMILE TO: Bradley Lake Project Management Committee FROM: Larry Hittle and Inara Scott DATE: April 22, 2002 RE: Overview of Bradley Lake Project Contracting Procedures OVERVIEW At the request of the Bradley Lake Project Management Committee (“BPMC’”), we have reviewed the past contracting actions and policies of the BPMC and Alaska Energy Authority (AEA) with respect to the Bradley Lake Project (“Project”). We have provided an analysis of the scope of BPMC’s contractual authority, and the liability of individual Committee members for obligations incurred by the BPMC. Finally, we have provided recommendations for future BPMC activities. SUMMARY BPMC generally has the authority to bind the Committee members. The Committec members are likely to be jointly and severally liable for all obligations of the BPMC incurred with respect to operation and maintenance of the Project. ANALYSIS A. Background Project contracting procedures have generally relied upon AEA as the primary contracting entity. Three primary contracts are in place relating to the Operation and Maintenance of Project facilities. First, in 1994 Homer Electric Association (HEA) and AEA signed the Operation and Maintenance Agreement that detailed each party’s responsibilities. Later that year the BPMC and AEA entered into a Master Maintenance and Operating Agreement that set up contract standards for AEA Project contracting. Finally, AEA entered into an Operation and Maintenance Agreement with Chugach Electric Association (CEA) conforming to the terms of the Master M&O Agreement for the Soldotna Static VAR roti AND 173992/1/1,.GI1/0$3844-0000 SBATTLE 04/22/02° 18:09 FAX 503 226 1n79 ATER WYNNE {003/010 ATERWYNNE ur CONFIDENTIAL — ATTORNEY/CLIENT PRIVILEGE Compensation System. Both the HEA and the CEA contracts anticipate the possibility of sub- contracts and provide for mandatory insurance to be obtained by the utilities. The BPMC, as required undcr the terms of the Bradley Lake Power Sales Agreement, has approved the HEA and CEA contracts. B. Questions Regarding BPMC Authority and Member Liability Several basic questions have been raised in BPMC discussions of related issues: What authority does the BPMC have to enter into contracts, either on its own or on behalf of Committee members? What is the potential liability of the BPMC and its members under existing contracts or under future BPMC and AEA contracts for the Project? Should the BPMC enter into contracts with an individual Purchasing Utility for services related to the Project? 1. What authority does the Bradley Project Management Committee (“Committee”) have to - enter into contracts and bind Committee members to performance and liability under those contracts? a. Summary The precise nature and role of the Committee is treated ambiguously in the relevant agreements implementing and addressing the Committee. It is possible to interpret the various agreements in such a manner that the Committee can be seen as an independent entity that enters into contracts on its own behalf. The Committee may also be seen as an agent of Committee members that has the authority to enter into contracts on behalf of Committee members. Under either scenario, however, individual Committee members will mostly likely be jointly and severally liable for any contracts signed by the Committee. b. Analysis The first document to discuss the Committee is the Agreement for the Sale and Purchase of Electric Power (“PSA”), the comprehensive sales agreement for power generated by the Bradley Lake Hydroelectric Project. The Parties to this Agreement are Chugach Electric Association (“Chugach”), Golden Valley Electric Association (“GVEA”), Municipality of Anchorage d/b/a Municipal Light and Power (“ML&P”), the City of Seward d/b/a Seward Electric System (“SES”), and the Alaska Electric Generation & Transmission Cooperative, Inc. (“AEG&T”), collectively “Purchasers.””! The Homer Electric Association (“HEA”) and the Matanuska Electric Association (“MEA”) are additional parties to the Power Sales Agrcement. Page 2 173992/1/LGH/053844-0000 04/22/02" 18:10 FAX 503 226 N79 ATER WYNNE 004/010 ATERWYNNEu? CONFIDENTIAL — ATTORNEY/CLIENT PRIVILEGE The analysis of the Committee must be drawn primarily from the agreements that created and formed it. The PSA states, “The Committee shall consist of the Authority and the Purchasers . . . . Each Committee member entitled to vote shall designate one representative and one alternative representative to the Committee.” PSA § 13 (a). The PSA does not designate the contractual authority of the BPMC or make any statements with regard to liability of the BPMC. The Committee Bylaws, drawn directly from the PSA, use this same language. BPMC Bylaws provide for indemnification of Committee representatives or agents.” Several agreements also refer to the BPMC as a third-party beneficiary. See Operation & Maintenance Agreement for Bradley Lake Project, § 20 (signed February 11, 1994, between HEA and AEA); Master Maintenance & Operating Agreement § 5 (signed May 24, 1994 between BPMC and AEA). These contractual provisions, taken together, imply that the Committee is an independent entity, and that the member representatives make up a decision-making body of that entity. The limited language in the PSA suggests that the Committee is not simply a representative body, but is independently organized and made up of the state and the Purchasers. The BPMC can only be a third-party beneficiary and indemnify Committee representatives if it is an independent organization. If indeed the BPMC is determined to be an independent organization, a partnership is the only entity the Committce members could have formed by implication or default. All members of a partnership are jointly and severally liable for partnership obligations.* If the BPMC cannot be considered a partnership,’ it will most likely be determined to be an affiliation of organizations without entity status. In this case, the BPMC would be designated the agent of the Committee members, with the authority to bind Committee members to contractual obligations. An agency rclationship can be formed by implication, as where the Committee ? article 8 (Indemnification) provides: To the extent legally permitted and financially able to do so from Committec controlled assets, the Committee shall indemmify and hold its Committee members and officers harmless against all claims and liabilities which they or any of them incur as a party defendant to any proceeding (other than a proceeding filed by or in the right of the Committee), based on any authorized action of any such person as a Committee member or as an officer of the Committee within the scope of the Committee member’s office. For the purposes of this provision, “Committee member” means a Committee representative, au alternate Committee representative, an authorized agent of the Committee who is otherwise employed by the Committce, the Purchasers or any authorized employee of the Committee, 3 Innes v. Beauchene, 370 P.2d 174 (Alaska 1962) (partnership may be determincd by conduct, transactions and declarations). * Alaska Stal. § 32.06.306 (2001). * A partncrship is an association of persons “to carry on as co-owners a business for profit.” Alaska Stat, § 32.05.010 (2001). The BPMC may not qualify under this definition because of the non-profit and cooperative status of its membcrs. Page 3 173992/1/LGH/053844-0000 04/22/02° 18:10 FAX 503 226 979 ATER WYNNE 005/010 ATERWYNNE ur CONFIDENTIAL — ATTORNE Y/CLIENT PRIVILEGE members hold the BPMC out to have authority to enter into contracts on their behalf, or by express agreement.® If the BPMC is the agent of the Committee members, the Committee members are joint and severally liable for BPMC obligations just as they would be in the partnership context.” Whether by intent or default, it is most likely that the BPMC will be considcred an agent of the Commitiee members. Thus it is probable that Committee members are jointly and severally Jiable for all obligations of the BPMC. as Should the BPMC enter into contracts with an individual Purchasing Utility for services related to the Project? Section 13(c) of the PSA establishes the BPMC’s responsibilitics for management of the Project. That section requires the BPMC to: “Arrange for the operation and maintenance of the Project, and the scheduling, production, and dispatch of Project power . . . subject to the provisions of the Bond Resolution, federa) and state law, the requirements of licensing and tegulatory agencies, and the rights of the Authority and the Purchasers under other provisions of this Agreement.” The AEA as owner of the Project is the FERC Project licensee and therefore the party ultimately responsible for the operation of the Project. As a result, the Bylaws of the BPMC and the Master Operation and Maintenance Agreement between the BPMC and AEA teflect the assumption that AEA is the contracting party for most Project work. Hence, AEA contracted with HEA to operate and maintain the Project and CEA contracted with AEA for O&M of the Soldotna Static VAR Compensation System. All AEA O&M contracts for the Project must be approved by the BPMC under the Master Maintenance and Operation Agreement (see Item 3 below). We recommend that the BPMC continue to use the AEA as the contracting entity for Project-related services. Given that the BPMC members may be jointly and severally liable for BPMC actions, BPMC’s participation in Project contracting raises insurance and liability questions for both the BPMC and each of its members. While the existing AEA contracts need some revision, the AEA, as Project owner, is the logical contractor for Project services. The BPMC can contract for services related to its functions under the Power Sales Agreement (audit, budget, legal, financial, engineering review), however Committee members should be aware that they may be liable for these obligations. °City of Delta Junction v. Mack Trucks, Inc., 670 P.2d 1128 (Alaska 1983). The Master Maintenance & Operating Agreement § 5 gives the clearest evidence of this, where it states, “The Parties mtend that the BPMC is the representative of the Purchasers . . . .” Td. Page 4 173992/1/LGH/053844-0000 04/22/02" 18:11 FAX 503 226 9979 ATER WYNNE {006/010 ATERWYNNEu> CONFIDENTIAL ~ ATTORNEY/CLIENT PRIVILEGE RECOMMENDATIONS A. Continue the practice of using AEA as the primary contracting agency for the Project. If it is more convenient, use the existing AEA contractors to sub-contract for Project related services. Avoid BPMC acting as the primary contractor for Project-related services. B. Investigate the possibility of re-creating BPMC as a limited liability company to avoid limitless liability for individual Committee members if the BPMC determines that the BPMC should become the contractor for Bradley Lake issues. C. Amend the existing AEA contracts with HEA and CEA to provide consistent insurance and liability terms as suggested by Warren, McVeigh & Griffin. Clarify the relationship of AEA and its contractors with respect to primary and secondary liability insurance. D. Proceed with the overall review of Project insurance (AEA and contractor) for adequacy and consistency of teums. Bradley Lake Project Management Committee Dave Calvert, Seward Wayne Carmony, MEA Gene Bjornstad, CEA Norm Story, HEA Steve Haagenson, GVEA Michael Scott, ML&P Cc: Brian Bjorkquist, Assistant Attorney General Art Copoulos, AEA. Page 5 173992/1/1.GH/053844-0000 04/22/02 18:11 FAX 503 226 0079 ATER WYNNE {007/010 Suite 1800 222 S.W. Columbia ATERWYN NEur CONFIDENTIAL — ATTORNE Y/CLIENT PRIVILEGE Portland, OR 97201-6618 ATTORNEYS AT LAW 503-226-1191 Fax 503-226-0079 MEMORANDUM VIA FACSIMILE TO: Bradley Lake Project Management Committee FROM: Larry G. Hittle and Inara Scott DATE: April 22, 2002 RE: Insurance Obligations Related to Bradley Lake Project Contracts, AEA, PMC, and Contractors OVERVIEW The Bradley Lake Project Management Committee (“BPMC”) asked that we provide the BPMC with a summary of the insurance obligations of the Alaska Energy Authority (AEA), the BPMC, and the contractors providing services for the Bradley Lake Project (‘Project’). SUMMARY 1) Insurance Requirements e Each Purchaser must pay its Participant’s share of insurance costs and any other Project-related expenses that are not the responsibility of any other party. Any losses that are not covered by existing parties will ultimately be the responsibility of the Purchasers. e AEA must maintain adequate insurance for Project facilities, general public lability, auto liability and worker’s compensation. © In Project-related contracts, independent contractors must maintain adequate insurance in amounts acceptable to AEA, and each party must indemnify the other for its negligence. e Under the HEA-AEA O&M Agreement, HEA is required to provide insurance satisfactory to AEA and BPMC, and this insurance is primary coverage for p PRL LAND 173725/2/1.GH/053844-0000 SEATTLE 04/22/02° 18:11 FAX 503 226 nn79 ATER WYNNE {008/010 ATERWYNNE up CONFIDENTIAL — ATTORNE Y/CLIENT PRIVILEGE any AEA exposure. However, the same agreement states that each party is liable for its own negligence, and the project insurance will not cover gross negligence. ANALYSIS The Bradley Lake Power Sales Agreement (dated 12/8/87), the Bond Resolutions supporting the Bonds sold to finance the Project, and the Master Maintenance and Operating Agreement between AEA and the BPMC (dated 3/24/94) each contain provisions that provide the overall insurance and liability obligations of AEA, the BPMC, and AEA contractors. In addition, the existing O&M agreements between AEA and HEA and between AEA and CEA, and the insurance policies and self-insurance obligations of AEA, each provide insight regarding the risks assumed by AEA, thc BPMC and AEA’s contractors. 1. Bradley Lake Power Sales Agreement (“PSA”) Insurance and BPMC Contract Obligations. Section 7 of the PSA obligates each Purchaser to pay its Participants Share of Annual Project Costs for each Fiscal Year. Section 8 defines Annual Project Costs as “all of the costs resulting from the ownership, operation, maintenance of and renewals and replacements to the Project, properly incurred or paid during each Fiscal Year... .” Those costs include “Costs of Project-related insurance, . . * (Section 8(a)(vii)(A).) As a result, the Purchasers, operating under an approved Annual Budget, are responsible to pay for Project insurance and all Project Costs that are not insured by AEA or are not the responsibility of another party under a contract with AEA. AEA’s obligations to provide insurance are provided in the Bradley Lake Project Bond Resolution. N Bradley Lake Power Revenue and Bond Resolution. Section 714 requires AEA to “keep and maintain the Project insured agaist such risks and in such amounts, with such deductible provision, as are customary in connection with the operation of facilities of a type and size comparable to the Project. The determination of what is customary within the meaning of the pnor sentence shall be made by an independent insurance consultant employed by the Authority.” There is a specific requirement that AEA carry insurance to cover “buildings, works, plants and facilities comprising the Project for all risks of direct physical loss, at all times in an amount not less than the amount necessary giving regard to co-insurance provisions to pay and retire and redeem all the Outstanding Bonds.” In addition, the section requires AEA to obtain coverage for “general public liability in minimum amounts per occurrence,” in amounts Page 2 173725/2/LGH/053844-0000 . 04/22/02% 18:12 FAX 503 226 0079 ATER WYNNE {009/010 ATERWYNNEw: CONFIDENTIAL — ATTORNEY/CLIENT PRIVILEGE comparable to amounts for comparable facilities. Comprehensive auto liability and workers’ compensation are also required. 33 Bradley Lake BPMC Bylaws Article 11 (Project Insurance) parallels the Bond Resolution provisions. 4. Master Maintenance and Operating Agreement (dated 5/24/94). Section 3 obligates AEA to “enter into Contracts necessary to perform services for, or operation and maintenance of the Project or Project Related Facilities (i-e., Project transmission and substation facilities). All Contracts shall be subject to the Master Contract Provisions set forth hercin.” The Contracts are subject to the procedures detailed in the PSA (BPMC review and approval and inclusion in an Annual Project Budget). Exhibit A to the Master Agreement is a required attachment to any AEA- contractor contract. Subsection (a) of Exhibit A provides that “Unless otherwise agreed to by the Parties, each Contractor entering into a Contract shall perform solely as an independent contractor. Subsection (g) requires the contractor to maintain “adequate” insurance in amounts acceptable to AEA and consistent with the PSA. Subscction (h) provides that each Party to the contract (i.e, AEA and contracting Party) indemnifies the other for its negligence. Concurrent negligence responsibility is to be determined “by the trier of fact.” By HEA-AEA Operation and Maintenance Agreement (dated 2/11/94). Section 13 (Insurance) provides that “(a)(1) Each Party shall be liable for the negligent, willful and grossly negligent acts of its officers, employees, agents and contractors with respect to the ownership, construction, operation, maintenance or repair of the Project. It is recognized that the project insurance does not cover the willful and grossly negligent acts of a party. Each Party shall be solely liable for the willful and grossly negligent acts of its officers, employees, agents and contractors.” Subsection (a)(2) requires HEA to maintain insurance satisfactory to AEA and the BPMC unless the BPMC or the AEA elects to obtain such coverage. Subsection (a)(3) provides that insurance obtained under Subsection (a)(2) is the “primary coverage” for exposures of the AEA and any insurance obtained by AEA or the BPMC “shall be in excess” of that insurance. We have requested that the Alaska Department of Risk Management forward copies of their policies with ARECA and Willis (Seattle) to determine the level of Page 3 S 173725/2/LGH/053844-0000 04/22/02¢ 18:12 FAX 503 226 0079 ATER WYNNE {010/010 ATERWYNNE ur CONFIDENTIAL — ATTORNEY/CLIENT PRIVILEGE additional coverage that may apply to HEA acts. We will update this memo afler a review of the policy is completed. 6. CEA-AEA Operation and Maintenance Agreement-Static VAR Compensation System (dated 8/20/96). Section 3 incorporates Exhibit A of the Master Operating Agreement into the O&M Agreement. Exhibit A (described above) provides that CEA will maintain “adequate” insurance in amounts acceptable to AEA, but nothing in the Agreement specifically describes the insurance to be maintained by CEA. There is no discussion of any AEA insurance coverage as excess to the amounts covered by CEA’s insurance. Exhibit A (Subsection (a) and Subsection (b)) state that CEA is an “independent contractor” and that CEA indemmifies AEA from any CEA negligence. Bradley Lake Project Management Committee Dave Calvert, Seward Wayne Carmony, MEA Gene Bjornstad, CEA Nomn Story, HEA Steve Haagenson, GVEA Michael Scott, ML&P Ce: Brian Bjorkquist, Assistant Attorney General Art Copoulos, AEA Page 4 173725/2/LG11/053844-0000 24 OL Stat I0.0D am. Ae Lo% 50 owe Drie Hie Make Cunnirg hom v i ley ree MEA emdrecting ‘ fe fgal eAty Lee Eo te ae gp Boel en oft ai houcbin ot body is aegis — OVD Cm milan foe ae a a ee 2 er ee ae eae Agnd . [4FY ee re Steve - bed ong +e HL hoara.— ete Facade ron csrbicd . bone - Clare fy AB ph, Onveiediinsttes. 2. Steve. Naima = vhsewer Critaell thi rede to adm Cota -. 4} AseLansg inn be Hye Und. , ere Dp Oy 5 ak ti 1 fei proewverneh vate eb pe = would + be pesible fg ge tHe ctl wy? Not = Qorewb_ ten. Ontrack & Ach — ds wi bre te Oder ep te suede. Hae Steel — The 0+ +ollks abu 'HEA wa, tolls pede, 6+ /t © pu ryvad % eee Afr - aw teal pil ee aN Sige "Nab ee Coocletstiy wh, Sugrest CEA + HEA ..- wadk to fall obo © _ outline Procedurte F hey fo DpyreceD aes the = gi ee a ee ee —— Ms Fira “taeg [bie hee Metin CEA FE All ie tha. olanwy — nw as unten dy bed ©. Bead wk Hae [A + opie Cid as, te Coven yor tke Stee + “Lin Oecd anensttte ty look. jurhe 41d pie yes - lok @ yecomnehetina oR licjes i Vette - waking Supe Urdettete, TT Ramon And= be poole: te share Dolicies with AEA * | Lary = yes “theses omer war. liste — Metiow Cppreved Bradley Lake PROJECT MANAGEMENT COMMITTEE MEETING Y-2 f-OL (Date) Conftreree. ALDEA (Location) PLEASE SIGN IN No. NAME REPRESENTING ay C Wiaunsee far Ta Abs 10 ll 12 13 14 15 16 17 18 19 20 21 22 92Q2\IT9884 Agenda Item No. CITY OF SEWARD MATANUSKA ELEC ASSOC CHUGACH ELEC ASSOC HOMER ELEC ASSOC GOLDEN VAL ELEC ASSOC MUNI LIGHT & POWER ALASKA ENERGY AUTHORITY A=4+ OVER 51% DATE BRADLEY PMC VOTING #2 2. lL Call YES NO ABS YES NO ABS YES NO ABS 01% [AT 14% [AT 30% [eT 12% PRE 17% AE 26% [iT ae B = AEA CONCUR With A C = UNANIMOUS D= MAJORITY VOTING METHOD A: Requiring four yeas with 51% of utilities, with no AEA vote: 1) Procedures for scheduling, production and dispatch of project power. 2) Establishment of procedures for use of each purchaser's water allocation (AEA assent required for license requirements). 3) Selection among alternative methods that do not involve AEA for funding required project work. VOTING METHOD B: Requiring 4 yeas with 51% of utilities and AEA concurrence: 1) Arranging operation and maintenance of project. 2) Adoption of budget of annual project costs. VOTE(93Q3/BC5272) 3) 4) 5) 6) 1) 8) 9) Establishment of FY estimated annual payment obligation and schedule of each purchaser. Determination of annual project costs after each FY. Evaluation of necessity for and scheduling of required project work. Determination of appropriate amount of insurance. Adoption of additional minimum funding amounts for renewal and contingency reserve fund above that required by bond resolution. Selection among alternate methods that involve AEA for funding required project work. Adoption or amendment of procedural committee rules (except dispute resolution). 10) Adoption of project maintenance schedules. 11) 12) 13) 14) 15) Determination of rules, procedures and accounts necessary to manage project when no bonds outstanding. Evaluation and approval of optional project work and compensation for such work. Application of insurance claims proceeds not governed by bond resolution. Approval of procedures and any individual utility agreements relating to electric power reserves for project. Approval of consultants. VOTING METHOD C: Unanimous vote by all (including AEA) VOTING METHOD D: Majority vote (including AEA) Election of Officers RECOMMENDATION The Bradley Lake Operations and Dispatch Subcommittee recommends to the Bradley Lake Project Management Committee (BPMC) that it authorize Chugach Electric Association Inc. (Chugach) to provide the functional specification for the Unit Governor Digital Control System to GE Global Services and to VA TECH VOEST MCE Corp. Additionally, authorize Chugach to request that both vendors complete the table of compliance for the specification. Furthermore, authorize Chugach to pursue the possibility of ABB Hydro, now Alsthom Power, also completing the table of Compliance. Finally, authorize Chugach to make a recommendation to the O&D based on its review of the tables of compliance regarding the most qualified vendor. BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE List of Representatives Representative Steve Haagenson Chairman Dave Calvert Vice Chairman Eugene N. Bjornstad Norman L. Story Stan Sieczkowski Secretary/Treasurer Michael Scott Wayne D. Carmony Ronald L. Saxton Legal Counsel Effective Date: 09/22/97 Revised Date: 02/27/02 Alternate Don Stead Bob Day Don Zoerb h/all/sdean/bradley lake pme meeting/members listing.doc Utility Golden Valley Electric Association P.O. Box 71249 (758 Illinois) Fairbanks, Alaska 99707 Phone: 452-1151 Fax: 458-5951 City of Seward P.O. Box 167 234 Fourth Avenue Seward, Alaska 99664 Phone: 224-4071 Fax: 224-4085 Chugach Electric Association 5601 Minnesota Drive Anchorage, Alaska 99518 Phone: 563-7494 Fax: 562-6994 Homer Electric Association 3977 Lake Street Homer, Alaska 99603 Phone: 235-8167 Fax: 235-3323 AIDEA/AEA 813 W. Northern Lights Boulevard Anchorage, Alaska 99503-2495 Phone: 269-3000 Fax: 269-3044 Municipal Light & Power 1200 E. First Avenue Anchorage, Alaska 99501 Phone: 279-7671 Fax: 263-5204 Matanuska Electric Association P.O. Box 2929 (163 Industrial Way) Palmer, Alaska 99645-2929 Phone: 689-9211 Fax: 689-9368 AterWynne 222 S.W. Columbia, Suite 1800 Portland, Oregon 97201-6618 Ph: (503) 226-1191 Fax: 226-0079 BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE List of Representatives Representative Alternate Steve Haagenson Chairman Dave Calvert a Vice Chairman Eugene N. Bjornstad al Norman L. Story 4 Don Stead 4A rt Coporle S _-Stan-Sieczkowski Secretary/Treasurer Michael Scott wal Bob Day Wayne D. Carmony wi Zoerb — ° Ronald L. Saxton Lary mill Legal Counsel Effective Date: 09/22/97 Revised Date: 02/27/02 h/all/sdean/bradley lake pme meeting/members listing.doc — Utility Golden Valley Electric Association P.O. Box 71249 (758 Illinois) Fairbanks, Alaska 99707 Phone: 452-1151 Fax: 458-5951 City of Seward P.O. Box 167 Carty } 234 Fourth Avenue Seward, Alaska 99664 Phone: 224-4071 Fax: 224-4085 Chugach Electric Association /,~ » / 5601 Minnesota Drive YD jaune Anchorage, Alaska 99518 / Phone: 563-7494 Fax: 562-6994 D ieweTGd-470 Homer Electric Association 3977 Lake Street Homer, Alaska 99603 Phone: 235-8167 Fax: 235-3323 AIDEA/AEA 813 W. Northern Lights Boulevard Anchorage, Alaska 99503-2495 Phone: 269-3000 Fax: 269-3044 Municipal Light & Power 1200 E. First Avenue Anchorage, Alaska 99501 Phone: 279-7671 Fax: 263-5204 Matanuska Electric Association | pactty P.O. Box 2929 (163 Industrial Way) Palmer, Alaska 99645-2929 Phone: 689-9211 Fax: 689-9368 AterWynne 222 S.W. Columbia, Suite 1800 Portland, Oregon 97201-6618 Ph: (503) 226-1191 Fax: 226-0079 ALASKA INDUSTRIAL DEVELOPMENT * AND EXPORT AUTHORITY / = ALASKA @@E™ = ENERGY AUTHORITY 813 WEST NORTHERN LIGHTS BLVD. #¢ ANCHORAGE, ALASKA 99503 © 907/269-3000 ¢ FAX 907/269-3044 TOLL FREE (ALASKA ONLY) 888 / 300-8534 April 18, 2002 FAXED: 04/18/02 2 PAGES Anchorage Daily News 1001 Northway Drive Anchorage, Alaska 99508 ATTENTION: Ms. Lorene Solivan Legal Classified Subject: Public Notice Account # ALAS0709 Enclosed is an advertisement for the Alaska Energy Authority, which is to be published under “PUBLIC NOTICE” in the Legal Classified section in column format. This notice needs to be published for one day: Friday, April 19, 2002. After the publication date, please provide an Affidavit of Publication. If you have any questions, please do not hesitate to call me. Thank you, , ara GlA— S77 Shauna Dean Admin. Assistant Attachment n ALASKA INDUSTRIAL DEVELOPMENT AND EXPORT AUTHORITY /= ALASKA @@e™ =EENERGY AUTHORITY 813 WEST NORTHERN LIGHTS BLVD. =*® ANCHORAGE, ALASKA 99503 ¢ 907/269-3000 ¢ FAX 907/269-3044 TOLL FREE (ALASKA ONLY) 888 / 300-8534 ALASKA ENERGY AUTHORITY/ALASKA INDUSTRIAL DEVELOPMENT AND EXPORT AUTHORITY Regular Meeting Public Notice Bradley Lake Project Management Committee Notice is hereby given that the Bradley Lake Project Management Committee will hold a regular meeting on Wednesday, April 24, 2002, at 10:00 a.m., via teleconference. For additional information contact Steve Haagenson, Chairman. This meeting will be conducted by electronic media pursuant to AS 44.88.050(a) and AS 44.62.310 at the following location: Alaska Industrial Development and Export Authority, Third Floor Board Room, 813 West Northern Lights Boulevard, Anchorage, Alaska. The public is invited to attend. The State of Alaska (AIDEA) complies with Title II of the Americans with Disabilities Act of 1990. Disabled persons requiring special modifications to participate should contact AIDEA staff at (907) 269-3000 to make arrangements. /s/ Alaska Energy Authority Project Management Committee Publish: Friday, April 19, 2002 Peel *¥ ¥* * Transmission Result Report (MemoryTX) ( Apr.iy. 2002 1:49PM) * * # 1) AIDEA/ZAEA 2) Date/Time: Apr.18. 2002 1:48PM File Page No. Mode Destination Pg (s) Result Not Sent 0732 Memory TX 92798170 Pete Ok Wa acai Mesto tert TLS TITTLE ls PR E.-1) Hang up or line fail E.2) Busy E.3) No answer E.4) No facsimile connection * sto me w = e as - ALASKA INDUSTRIAL DEVELOPMENT i wwe mronr amon JS ALASKA é SANS ‘513 WEST NORTHERN LIGHTS BLVD. © ANCHORAGE, ALASKA 99503 + 907/2693000 + FAX 907/269-3044 TOLL FREE (ALASKA ONLY) 8888 / 300-8534 April 18, 2002 FAXED: 04/18/02 2 PAGES Anchorage Daily News 1001 Northway Drive Anchorage, Alaska 99508 ATTENTION: Ms. Lorene Solivan Legal Classified Subject Public Notice Account # ALASO709 Enclosed is an advertisement for the Alaska Energy Authority, which is to be published under “PUBLIC NOTICE” in the Legal Classified section in column format. This notice needs to be published for one day: Friday, April 19, 2002. Afier the publication date, please provide an Affidavit of Publication. If you have any questions, please do not hesitate to call me. Thank you, Shauna Dean Admin. Assistant Attachment State of Alaska Public Notice Page | of 1 Online Public Notice State of Alaska Online [ HomePage | GoBack — Submitted by Date Modified Ak Admin Journal Attachments Public (Web edit) Brenda [not printed] No files attached Fuglestad/IDEA/DCED on 04/18/2002 at 01:56 PM Bradley Lake Project Management Committee Meeting Category: Public Notices Department: Community & Economic Development Publish Date: 04/19/2002 Location: Anchorage Region: Central Body of Notice: ALASKA ENERGY AUTHORITY/ALASKA INDUSTRIAL DEVELOPMENT AND EXPORT AUTHORITY Regular Meeting Public Notice Bradley Lake Project Management Committee Notice is hereby given that the Bradley Lake Project Management Committee will hold a regular meeting on Wednesday, April 24, 2002, at 10:00 a.m., via teleconference. For additional information contact Steve Haagenson, Chairman. This meeting will be conducted by electronic media pursuant to AS 44.88.050(a) and AS 44.62.310 at the following location: Alaska Industrial Development and Export Authority, Third Floor Board Room, 813 West Northern Lights Boulevard, Anchorage, Alaska. The public is invited to attend. The State of Alaska (AIDEA) complies with Title II of the Americans with Disabilities Act of 1990. Disabled persons requiring special modifications to participate should contact AIDEA staff at (907) 269-3000 to make arrangements. /s/ Alaska Energy Authority Project Management Committee Revision History: 04/18/2002 01:56:16 PM by Brenda Fuglestad/IDEA/DCED/State/A laska/US Home Page Notices by: Department | Category | Publish Date http://notes3.state.ak.us/pn/pubnotic.nsf/cc52605f7c 1 56e7a8925672a0060a9 | b/f527b6330F... 4/19/2002 Notification of Bradley Lake Project Management Committee Meeting TELECONFERENCE A regular meeting via TELECONFERENCE is scheduled to be held on Wednesday, April 24, 2002, at 10:00 a.m. Directions for connecting to the meeting are on the following page. Please call Shauna at (907) 269-3028 with questions. h:\all\sdean\bradley\mtg notification fax cover.doc TELECONFERENCE INSTRUCTIONS Wednesday, April 24, 2002 — 10:00 a.m. To join the meeting, please do the following: Dial 1-800-315-6338 Enter 5555# PLEASE DELIVER TO THE FOLLOWING: Steve Haagenson Eugene Bjornstad Norm Story Wayne Carmony Michael Scott Dave Calvert Ron Saxton Golden Valley Electric Association Chugach Electric Association Homer Electric Association Matanuska Electric Association Anchorage Municipal Light & Power City of Seward Ater Wynne LLP (907) 458-5951 (907) 562-6994 (907) 235-3323 (907) 689-9368 (907) 263-5204 (907) 224-4085 (503) 226-0079 P. | :41PM) * * Ph * * ¥ Transmission Result Report (MemoryTX) ( Apr.18. 2002 B AIDEA/ZAEA Date/Time: Apr.18. 2002 1:38PM File Page No. Mode Destination Pg (s) Result Not Sent 0730 Memory TX 919074585951 Dian OK 95626994 OK =] [a Reswn forceps =~ it) lt Op | eee Pp ee E.-1) Hang up or line fail —E.2) Busy E.3) No answer E.4):No facsimile connection PLEASE DELIVER TO THE FOLLOWING: Steve Haagenson Golden Valley Electric Association (907) 458-5957 Eugene Bjornstad Chugach Electric Association {907) 562-6994 Norm Story Homer Electric Association (907) 235-3323 Wayne Carmony Matanuska Electric Association (907) 689-9368 Michael Scott Anchorage Municipal Light & Power (907) 263-5204 Dave Calvert City of Seward (907) 224-4085 Ron Saxton Ater Wynne LLP (503) 226-0079 ca * * * Transmission Result Report (MemoryTX) ( Apr-iv. 2002 1:46PM) * * * 1) AIDEA/AEA 2) Date/Time: Apr.18. 2002 1:39PM File Page No. Mode Destination Pg (s) Result Not Sent 0731 Memory TX 919072353323 Polis OK 96899368 Ok 92635204 Ok 919072244085 Ok 915032260079 OK Reason for error —E.1) Hang up or line fail —E.2) Busy —E.3) No answer E—E.4) No facsimile connection PLEASE DELIVER TO THE FOLLOWING: Steve Haagenson Golden Valley Electric Association (907) 458-5951 Eugene Bjornstad Chugach Electric Association (907) 562-6994 Norm Story Homer Electric Association (907) 235-3323 Wayne Carmony Matanuska Electric Association (907) 689-9368 | Michael Scott Anchorage Municipal Light & Power (907) 263-5204 Dave Calvert City of Seward (907) 224-4085 Ron Saxton Ater Wynne LLP (503) 226-0079 PLEASE DELIVER TO THE FOLLOWING: Steve Haagenson Golden Valley Electric Association (907) 458-5951 Eugene Bjornstad Chugach Electric Association (907) 562-6994 Norm Story Homer Electric Association (907) 235-3323 Wayne Carmony Matanuska Electric Association (907) 689-9368 Michael Scott Anchorage Municipal Light & Power (907) 263-5204 Dave Calvert City of Seward (907) 224-4085 Ron Saxton Ater Wynne LLP (503) 226-0079 PeVo 3 Yajes Shauna Dean From: Art Copoulos Sent: Friday, April 26, 2002 8:12 AM To: Shauna Dean Subject: FW: O0&D Committee Recommendation This email is what | was wanting to send to BPMC reps and said below you would fax it to them on Monday. Thanks. Art -----Original Message----- From: Art Copoulos Sent: Thursday, April 25, 2002 4:12 PM To: ‘nstory@homerelectric.com’; 'gene_bjornstad@chugachelectric.com’ Ce: Shauna Dean; Steve Hagenson (E-mail) Subject: O&D Committee Recommendation Norm and Gene, Following-up on yesterday's BPMC meeting, the Bradley Lake O&D Committee has the following recommendation relating to contractual issues on the Bradley Lake Governor repair project: e¢ Contract the Governor Repair Project through HEA under the HEA O&M Contract with AEA subject to terms of existing agreements. e¢ Create a Governor Repair Project Management Team to oversee and manage the Project from now through completion. The team would meet weekly and all members would stay actively engaged in the project. The team would report to the O&D Committee. All final recommendations would be made by the O&D Committee and where appropriate elevated to the PMC according to terms of existing agreements. The team would be comprised of staff with experience in a variety of areas so that each team member can provide leadership and input in his area of expertise. Using input from all team members various contractors can be managed consistently and with appropriate input from all parties. The Team would be comprised of the following members with the following roles and responsibilities: CEA Representative - Oversee and Manage Design and Engineering. Installation Specialist - On-site Project Management during construction. HEA Representative - Oversee HEA administration, Procurement, and HEA staff. Technical Design Specialist Representative - Provide technical input to team on complex design issues. Documentation Specialist - Scheduling, Risk Analysis, Issue tracking. O&D Committee Representative - Liaison to the O&D Committee | am paraphrasing our discussion and some additional editing of the language used here may be required. I'm passing this on this recommendation in advance of your planned meeting tomorrow to assist in efforts to resolve the issue. | have also cc'd chairman Haagenson. Shauna Dean will fax this to BPMC Committee members on Monday in advance of the Tuesday meeting. Art Copoulos O&D Committee Chair TELECONFERENCE INSTRUCTIONS Tuesday, April 30, 2002 — 10:00 a.m. To join the meeting, please do the following: Dial 1-800-315-6338 Enter 5555# P. | * * * Transmission Result Report (MemoryTX) ( Apr.29. 2002 11:17AM) * * * 1) AIDEA/AEA 2) Date/Time: Apr.29. 2002 11:11AM File Page No. Mode Destination Peg (s) Result Not Sent 0763 Memory TX 96899349 P. 3 OK Reason for error E.1) Hang up or tine fail Ee. 2) Busy —.3) No answer E—.4) No facsimile connection PLEASE DELIVER TO THE FOLLOWING: Steve Haagenson Golden Valley Electric Association (907) 458-5951 Eugene Bjomstad Chugach Electric Association (907) 562-6994 Norm Story Homer Electric Association (907) 235-3323 Wayne Carmony Matanuska Electric Association (907) 689-9368 Michael Scott Anchorage Municipal Light & Power —_ (907) 263-5204 Dave Calvert City of Seward (907) 224-4085 Ron Saxton Ater Wynne LLP (503) 226-0079 3 Paps * * * Transmission Result Report (MemoryTX) ( Apr.z9. 2002 10:26AM) * * # 1) AIDEA/AEA 2) Date/Time: Apr-29. 2002 9:58AM File Page No. Mode Destination Pg (s) Result Not Sent 0760 Memory TX 919074585951 DES OK 95626994 Ok 919072353323 Ok - 96899368 E-1) 1) 1) 2) 1) P.1-3 92635204 OK 919072244085 OK 915032260079 OK n f error —.1) Hang up or line fail |=) —.3) No answer E.4) PLEASE DELIVER TO THE FOLLOWING: Steve Haagenson Golden Valley Electric Association (907) 458-5951 Eugene Bjornstad Chugach Electric Association (907) 562-6994 Norm Story Homer Electric Association (907) 235-3323 Wayne Carmony - Matanuska Electric Association (907) 689-9368 Michael Scott Anchorage Municipal Light & Power (907) 263-5204 Dave Calvert City of Seward (907) 224-4085 Ron Saxton Alter Wynne LLP (503) 226-0079 Le Yojes ‘85, wan, 9d rives ad, new diator, 4x4, obo 349-5804 relude Sspd, | Upgrades! -3830/646-7882 Prelude 2dr, zering, sunrf. v tires. $2090. 907-357-5763. a Prelude $2500 61-6045 000 Hyundai AT, 26Kmi. 7000. 677-1129 ectra GS-X d, CD, Only Il 277-3336 a Puff y Auto 2uffauto.com cus 300 nroof, Fully ly 40K mi, down financ- ble OAC. ualify #P488 ch 277-3383 a 626 LX ‘W, PL, CC, les, $6950. 1-6045 Protege LX condition! 3 561-6045 ‘uns OK but Its, heater, & Manifold 348-7229 z 420SEL ‘uns great, ‘ds, $6,900. 0596 0316 tury “ro Place Your — Ad 99 SAAB 93 ,12K mi, exc. cond. sunroof, cd, child seats, $19K obo 243-2049 ‘02 Subaru Forester Like new, $24,900 www.budgetsales.net Budget. | em” _ | 9th & Gambell * 274-1002 ‘88 Subaru GL S/W 4x4, nice cond. $2200 RWB 561-6045 ‘91 Subaru Legacy LS, 4x4, sunroof, loaded. $4200 RWB 561-6045 ‘95 Subaru Legacy S/W 4x4, PW, PL, CC, tilt, 5 ‘spd, $5000. RWB 561-6045 *90 Subaru Loyale S/W 4x4, $2900. RWB 561-6045 ‘94 Subaru S/W 4x4, $3950 RWB 561-6045 ‘94 Subaru SVX 2WD, sound system, remote start, $10K obo. 783-2350. ‘00 Suzuki Esteem Only $8,900 www.budgetsales.net Ee REF Tiel) Rare aed ‘90 TOY Celica GTS, Custom paint, CD, rims, alarm starter, tint. $9k obo. 250-5658 /344-0158 90 Toyota Camry Wagon AT, 176k, reliable, great mileage, $3000. 345-3262. ‘89 Toyota Camry, 4 dr, All Trac, auto, Nice! $2700. RWB 561-6045 *99 Toyota Camry LE, Vé AT, 4dr, loaded, 21Kmi, Ex.Cond! $11,500. 727-8087. Toyota Camry ‘99, LE Tan, AT, 4DR, 35K $11,800. Denny 243-3616 / 441-8154 ‘01 Toyota Celica CD, Snrf, 5Spd, 7800 mi, this week only $17,450 or $1500 down at $289/mo. OAC. P0S54AB M B of Anch 277-3383 ‘94 Toyota Corolla 4 door, $4300. RWB 561-6045 701 Toyota Corolla Only $12,900 www.budgetsales.net SE Mer Tiler mayest ‘02 Toyota Highlander V6, 4WD, Leather, Loaded, #4421. $29,863 AGH 349-3343 at ‘94 Toyota Paseo FUN, SPORTY, CLEAN, sunroof. $4,250. 360-2345 701 Toyota Solara Only $18,900 www.budgetsales.net 9th & Gambell + 274-1002 ‘94 Tercel. Runs/iks fine! No pass 1/M. Must sell, == ‘02 Yamaha Big wcas 400 4x4, Plow, winch & cover. 86 miles. $5,000, 696-0630/ 244-9029 Yamaha Big Bear 0, 4x4 w/Plow. User riendly. $2,500 obo, (907) 373-2655. ‘00 Yamaha GP1200R, 5 hrs, $6500 obo. 229-8450 or 357-1950 3 FE RV Rental 862 Motorhome Rentals Lulay Rec Rentals $85 per day, 243-5120 ‘97 Chateau Sport 24' Class C, sleeps 6, no smk/pets, ins. bindr req. $100/day+tax, free milage 248-6685 / 229-8714 Immaculate ‘98, 32’ Class A w/slide-out. For rent now til 9/30. 563-2967 MOTORHOMES ALL SIZES BEST RATES 279-2000 R.V. for rent, immac, 29", Class C. Call 770-6443 Classics 870 Auto Parts Swap Meet Midnight Sun Street Rod Assoc Saturday, May 4th; 9am-5pm. 4600 Debarr Rd. Phone: 349-7228 ‘80 Black Corvette 305 T-top, 200mi on new en- gine, wiwarranty, $9,500 OBO. Must Sell! 333-7555 ‘68 Camero Racecar tubbed, roll bar w/tranny, needs motor, $7,500 OBO. Call 277-3408 or 884-6225 ‘55 Chev Pick-up, all orig, exc cond, $12,500 obo. 338-9200/227-7102. ‘72 Chev 350, Auto, 4X4, Rebuilt Motor, Trans., New Paint, $12,000 In- vested, $9900 OBO 373-1075 Chevy ‘67, C-20 truck, V8, AT, all original, $3,300. Call 344-6421 ‘S7 CHEVY BELAIR 4DR, Mild Custom, Suicide Doors, 454, TH 400. $11,995. 332-0548. ‘88 Corvette, 18,600 orig miles. $18,000. Serious Inquiries Only. 337-3794 Mark. 1990 CORVETTE Black, 40Kmi. All op- tions+. $15K. 345-7847 “74 Corvette: Rebuilt big Port 400 hp 427, rebuilt turbo 400, Eckler 82 body kit w/ground effects, LT hood, all new in boxes, 373-6013 / 357-6049 ‘72 CHEVY SB 4WD, V8, AT, Runs & Looks Good. $7500 OBO. 333-7435 or 244-4327. ‘72 Chevy Stepside Short- bed 350. V8. AT. Runs & Looks Good. Must see to appreciate$6000 OBO 248-0392 ‘84 Chrysler Windsor, 4DR, AT, Flat 6, Clean. $2200 OBO. ‘S59 Rambler Classic, 4DR, écy!, 3spd, Clean. $1550 OBO. 277-3468 Corvette ‘92, ZR1, blue w/bick int, new Borla XR-1 racing exhaust, clutch & tires, kept in htd gar, exc cond, 1 of 502 made, sac $32,900. 868-3362 Arnie mex ABOUT OUR PRIVATE PARTY SPECIALS! ‘75 int'l Durap Truck & Pup. 4300 series, 350 Cummins, 13 spd, 1124.5 rubber, alum rims, $22,500. 376-4847 INT'L 10 YARD ALLISON Dump Truck 1989-F 1954. For Info Call, 907-749-2445. John Deere 5200/4WD, extra bucket, snow- blower, 300 hrs, like new. $28,500 OBO. 696-0917. 1996 Kobelco Backhoe 4WD, 2100hrs, chains, 10ft plow. $30K obo 398-3198. “95 KW Tractor, Ni4 Cumns, 13spd, 48rears $22,900; ‘93 Load King 3axle belly dump $19,900; ‘93 Freightliner Se- ries 60, 18spd, 48rears, dbl locking $16,900; ‘84 3axle Load King $12,500. ‘92 Hawk- Eye belly dump, 3axle $7,900. 144-2792, 208-867-6023 ‘53 Military 6x6, 12’ bed, 15Ton Hydraulic winch $6800. ‘97 JD 3106, back- hoe/loader, 12’ extenda- hoe, 4x4, 2300 hrs, w/wrty, $42K. JD Knuckle Boom Crane $2,200. 283-049) Nodwell 110, A-1 Cond. $13,000 or trade. 907-582-2280 ‘94 PETERBILT 379. Unibilt cab & sleeper. 3406 E. 127”hood. 345-1758 Professional Truck Driver CDL Training & Testing HAZMAT Training Call Center for Employment Education. www.cee-ak.com 279-845) or 1-800-478-4233 ‘98 Snorkel Scissor-Lift 4x4 all-terrain 32ft work ht, dsl. $12,500. 332-1014. 2000 Sterling (Ford) Semi- Tractor. $35K in Dallas or Anchorage? 500hp De- troit. 830-2222 (Anch cell) Trailers, 00 side dump, $33K, 93 & 94 load king belly dumps,$23K 346-7770 Truck & trailer. 01 Ford F350 XL superduty, V-10, auto, quad cab 4x4, flat bed, duals, grill guard, tow pkg. 47Kmi. 01 Gooseneck flatbed trailer, 25‘deck + 5‘ dove tail w/fold-up ramps. Tandem axle, duals. $27K per set/3 sets 907-892-1244 1974 Twamco, 40’ Low Boy, $5,000. 1972 & 1973 GMC, End Dump, $5,000. Make Offer 24 ‘88 Volvo Tractor, 4.25 Cat, 15sp trans, new rub- ber, $12,500. (907) 376-6141. eee Utility 885 Trailers All Types, 8’-30'L, 5’-8.5'W 3500#-20,000 GVW. 1050 W. Dimond, btwn Arctic/Minn. 3 axle G.N., 24’ deck, $3k OBO; 2 horse G.N. w/LQ $5500 obo 252-3194/746-5403 02 Az/Tex 6.5x6x16 dual axle box trir. Fully encl, barn doors in back, white, $5300 obo. Mike, 336-9404 Car Hauler $650. 332-1014. 2001 Cargo Trailer 6ftx14ft, tandem axle, brakes, back & side door. $4,000 obo. 907-262-9973 10’ Eagle w/spare 2002 Haulmark Enclosed Trailer, 5‘X8', New Cond. never on Alcan GOT RESULTS? — CALL OUR RESULTS LINE TO CANCEL YOUR AD! x & 2BS7-AS21 K* SUBARU DAVE Parts * Service * Buy Lowest Rates 884-7275 TIRES-4 All Weather Good cond. Used for émo, BF Gdrich P195/60HR14, $150 obo. 248-4561 TIRES-LT265/16 4 snow, 4 street, $300 for ll. 696-5097, 884-6197 4 Tires: 35x14.5-15 Thornbirds, 5k mi since new, $600, 349-9651. Toyota Tires 4BFG 32x 11.5x 15 on custom wheels! $575. 360-2345 TOYOTA TRUCKS Parts © Service * Buy 884-7275 USED TIRES & WHEELS Buy, Sell AK Tire Service, 344-6288 3000 USED SUMMER TIRES $8.50 Changeover 563-4398 WINDSHIELDS 1/2 off Special! This week only! 222-5466 4 GY Wrangler AT/SLT 265/70R17 w/ Ford Exped. Cast Alum 17” RIMS Like new. $850 OBO. 783-3456 Yokohama AVS Interme- diates, exclt cond, Used V2 tread left, 205/60ZR15, $100 or best offer. 753-0840 after 6 p.m. PL! eubliciNatices:200 ALASKA ENERGY AUTHORITY/ALASKA INDUSTRIAL DEVELOPMENT AND EXPORT AUTHORITY Resular Meeting Bradley Lake Project Management Committee Notice is hereby given that the Bradley Lake Project Management Committee will hold a regular meeting on Tues- day, April 30, 2002, at 10:00 a.m., via telecon- ference. For additional information contact Steve Haagenson, Chairman. This meeting will be con- ducted by electronic me- dia pursuant to AS 44.80.050(a) and AS 44.62.310 at the following location: Alaska Industrial Devel- opment and Expert Au- thority, Third Floor Board Room, 813 West Northern Lights Boule- vard, Anchorage, Alaska. The public is invited to attend. The State of Alaska (AIDEA) com- plies with Title 11 of the Americans with Disabili- ties Act of 1990. Disabled persons requiring special modifications to partici- pate should contact AIDEA staff at (90& 269-3000 to make ar- rangements. /s/ Alaska Energy Authority Project Management Committee [ 'ruBLIC NOTICE OPOSAL TO LEASE ine Alaska Railroad Cor- poration (ARRC) pro- poses to issue a lease to Wrightway Auto Carriers, Inc. of real property lo- cated within the Alaska Railroad Anchorage Re- serve situated in the An- chorage Recording Dis- trict, Third Judicial District, State of Alaska, as described below: An irregular shaped tract of land located on the north side of Ship Creek, east of the old W. Whit- ney Road and North C Street intersection. Said parcel contains approxi- mately 2.46 acres. Teeny aoe 3 101 W. Whitney Road Proposed Term of Lease: 25 years Proposed Option to Extend Term of Lease: N/A Use of the premises is for no other purpose than: Auto transport terminal with shop and office. Maps depicting the exact location are available for review. This file (exclud- ing privileged or propri- etary information) is available for inspection during regular business hours, Monday through Friday, at the office of the Director of Real Es- tate, of the Alaska Rail- road Corporation, 327 West Ship Creek Avenue, Anchorage, Alaska. Comments may be sub- mitted in writing to the Director, Real Estate, P.O. Box 107500, Anchor- age, Alaska 99510-7500 and must be submitted on or before May 12, 2002, af- ter which time the ARRC’s decision to issue a lease may become fi- nal. Questions may be directed to the Real Es- tate Leasing Technician at 265-2466. Pub: 4/ 25, 26 & 27, 2002 The annual report for Brewster Rest Haven, Inc., a non-profit corpora- tion, is available for in- spection at the address noted below during busi- ness hours by any citizen who so requests within 180 days after publica- tion of its availability. Brewster Rest Haven 3825 Mt. View Drive Anchorage, Alaska 99508 The principal Manager Karen L. Meyer President (907) 279-0533 pril 26, 27, 28, 2002 CUS TNR Tyee es) STA Zero yiny SELLING THEIR ITEMS AND VEHICLES. SINGLE ITEM UNDER $500: Cee roa MULTIPLE ITEMS OR ITEM OVER $500: Cee ey ER SINGLE VEHICLE UNDER $1000 4 LINES/3 DAYS MULTIPAL OR VEHICLE OVERS1000: CORT) Wael CALL TODAY TO PLACE Pee Nes MONEY IN YOUR baie eet) i Published: April 27, 2002 $2200. 345-2136 or reg. $2395 ae riveree} Orde! Pleasé delive Re Mail & Anchat Photoyy PO.B | Anchq | 995 14 i jue Fax on 5, 257-45 | ys Phone’ ‘ Call 2214 w/eredigd is copyrig reproducet who will APR-26-2002 FRI 11:28 AM FAX NO, P, 01 | ' { i Me Ad Verificati ial Anchorage Dail Only 12:21 PM ‘NS Acct ALASO709 (Credit Card Name ALASKAENERGY AUTHORITY Type | Phone 9072693000 Num | Address 813 W. NOLTS BLVD Auth | Expir | City ANCHORAGE State/Zip AK Start:04/27/2002 Paytype: BL Rate Code: Stop: 04/27/2002 Amount: $73.98 Rep 025 | } Tax: $0.00 Ad #: gesega Ad shown is not actual print size Amount Paid: $73.98 by: Billed. 137 Words Payment $0.00 Balance: 73.98 Ad Size 1X 4.52 Inches Received by: Date: Y-v6- OA evan Ad Verificatiqn Only nai Anchorage Dail Acct ALASO709 i Credit Ca Name ALASKAENERGY AUTHORITY Type - Phone 9072693000 Num ; Address 813 W. NOLTS BLVD Auth | Expir i City ANCHORAGE State/Zip AK Country Cod Breet 3, Te ardag ts mae ar Amount: $73.98 Rep at Elie — Tax: $0.00 Ad #: 393854 Ad show is not actual print size Amount Paid: $73.98 by: Billed 137 Words Payment $0.00 Ad Size 1X 4.52 Inches Balance: 73.98 Received by: Date: APR-26-2002 FRI 11:28 AM FAX NO. P. 02 Ad #3038540 Time{12:20 PM ALASKA ENER AUTHORIT Y/ALE INDUSTRIA DEVELOPMEN #]AND EXPORT | AUT H@RITY a Notice is herebm# given that the Bradle nS Committee wil \- regular meeting gn T ues- (0- BE So P02, at 10:3041.m., via piecon- ‘ énce. For ad Hitional information contqet Steve Haagenson, Chairnan. ory This meeting wilffbe con- v } Ud ducted by electr@nic me | ea dia pursuantito AS nf Cort 44.80,050(a) @nd AS “ 44.62 ,310 at the flowing loc ation : Alaska Indus trig: Devel- opment and ExBert Au- thority, Thirdg| Floor Board Room, 43 Wesi Northern Ligh Boule- vard; Anchorage | laska. The Rublic is i attend. The Alaska (AIDE plies with Tifle Americans witha ties Act of 1990. persons requiring modifications tq yited to Fate of ) com- II! of the Disa bili- pate;should page| AIDEA staff Mt (90& 269-3000 to hke ar- rahgeme nts /s/ AJaska Energ Av fhority Project Management Comm ittee Pub (ished: April Ad shown, is not . Penny ¥ * ¥ Transmission Result Report (MemoryTX) ( Apr.26. 2002 1:08PM) * * * 1) AIDEA/ZAEA 2) Date/Time: Apr.26. 2002 1:07PM File Page No. Mode Destination Pg (s) Result Not Sent 0755 Memory TX 92798170 Pring OK Reason for error E.1) Hang& up or line fail E.2) Busy —.3) No answer E.4) No facsimile connection APR-26-2002 FRI 11:28 AN FAX NO. P.O i t ; ah Ad Verificatia Anchorage Dai Ast ALASO7OS (Crean Ce Name ALASKAENERGY AUTHORITY Type | Phone 9072693000 wom ‘ Address B13 W. NOLTS BLVD Auth = Expir (City ANCHORAGE fi od ‘Stete/Zip aK 90603 Cgumry Code E 0 are Start:04/27/2002 Paytype: et. » ‘Stop: 04/27/2002 Rete Code: LE Copy: ALASKA ENERGY AUTHO Amount: $73.08 Rep 026 | Tax: $0.00 Ad &: 38% ‘Ad shown Is not actual print «ize Amount Paid: $73.98 by: 157 Words Ad Sime 1X 4.52) Inches Date: fo%e- OD Payment —$0.00_ Balance: 73.08; i Received ins S27. gka fginat : oe Ad ee, in Only om ‘Aget ALASO709 j, Crate Name ALASKAENERGY AUTHORITY Type |: Prone sovsosen ed Agaress 813W.NOLTBBLYD auth | Expir | Clty ANCHORAGE ‘State/Zip aK 9508 Stop: 04/27/2002 Rate Code: LE Copy: ALASKA ENERGY AUTHO Amoant: $73.96 Rep 075): Tax: $0.00 Ad &: Amount Paid: $73.98 by: Payment $0.00 = Balance: 75.96 a