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HomeMy WebLinkAboutBradley Lake PMC Meeting Tuesday 02 -11-2003 2If you are unable to attend the meeting in person, please use the following phone instructions: Tuesday, February 11, 2003 — 10:00 a.m. To join the meeting, please do the following: Dial 1-800-315-6338 Enter 813# yi3! ae eo A) Cop" Alaska Industrial Development and Export A AlD = Ay AEA Alaska Energy Authority BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE REGULAR MEETING AGENDA Tuesday, February 11, 2003 — 10:00 a.m. (Via electronic media at AIDEA/AEA — 813 W. Northern Lights Boulevard) (Corner of Arctic and Northern Lights Boulevard) 1. CALL TO ORDER 2: ROLL CALL (for Committee members) 3. PUBLIC ROLL CALL (for all others present) 4. PUBLIC COMMENT 5. AGENDA COMMENTS 6. APPROVAL OF MEETING MINUTES April 24, 2002 April 30, 2002 May 8, 2002 1. NEW BUSINESS Update on Insurance Update on Control System Upgrade FY02 Audited Financial Statements FY04 Budget O&D Committee 2004 Budget Requests MOOD>Y 8. COMMITTEE COMMENTS A. Next Meeting Date 9. ADJOURNMENT Haagenson Cunningham Stead Cunningham Cunningham Copoulos Haagenson 813 West Northern Lights Boulevard * Anchorage, Alaska 99503 QN7 / 9EQ_INNN « FAY ANT /960 ANAA «@ Tall Eran (AL ACIZA ANITV) 282 1 ANN AEA wrananars idan are BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING MINUTES Mi (”, Via Electronic Media @ AIDEA iy 813 W. Northern Lights Boulevard Anchorage, Alaska Wednesday, April 24, 2002 — 10:00 a.m. ts 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. i 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. !n 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. C. 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 BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING MINUTES TELECONFERENCE Via Electronic Media @ AIDEA 813 W. Northern Lights Boulevard Anchorage, Alaska Tuesday, April 30, 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 Tuesday, April 30, 2002, via teleconference, 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) Joe Griffith, Chugach Electric Association (teleconference) Don Stead, Homer Electric Association (teleconference) Don Zoerb, Matanuska Electric Association (teleconference) Larry Hittle, AterWynne, LLP (teleconference) 4. PUBLIC COMMENT There were no public comments. Bradley Lake PMC Meeting Tuesday, April 30, 2002 Page 2 of 2 5. AGENDA COMMENTS The only item to be discussed during today’s meeting is the insurance issue that was tabled from April 24, 2002. 6. APPROVAL OF MEETING MINUTES There were no meeting minutes available for approval. 7. RECOMMENDATION ON INSURANCE __Larry Hittle Discussion ensued regarding Brian Hickey’s memorandum dated April 28, 2002, on the recommended contracting relationship and management team for the Bradley Lake governor digital control system replacement. Mr. Laufer stated that he wanted to make clear on the part of AEA whatever direction is provided to HEA, is being directed by the PMC. That AEA is being directed by the PMC to enter into these relationships, and that any cost resulting from HEA’s activities, or whoever the ultimate vendor is, is agreed to be a project cost. AEA here is acting as a facilitator, it's more of a conduit relationship at this point. We have no liability for this repair any longer, it's been settled as a result of the settlement that we entered into back in 1997/98. What we don’t want is that there be any doubt that the activities by HEA and the ultimate vendors and the design that is accepted by whoever ultimately you decide get that authority, that none of that rests with the State. Mr. Bjornstad moved to recess the meeting until Wednesday, May 8" at 10:00 a.m., and table the motion once again and get it all revised and bring back the new information to the PMC. Seconded by Mr. Story. A voice vote was taken, and the motion unanimously passed. 8. COMMITTEE COMMENTS A. Next Meeting Date — Haagenson Chair Haagenson recommended that the next meeting reconvene at 10:00 a.m. on Wednesday, May 8, 2002, via teleconference, at the Alaska Industrial Development and Export Authority's Board Room, and at Chugach Electric Association’s Board Room. 9. RECESS There being no objection and no further business of the Committee, the meeting was recessed at 10:40 a.m. BY: Steve Haagenson, Chairman ATTEST: Alaska Energy Authority, Secretary BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING MINUTES TELECONFERENCE Via Electronic Media @ AIDEA 813 W. Northern Lights Boulevard Anchorage, Alaska Wednesday, May 8, 2002 — 10:00 a.m. 1. CALL TO ORDER Chairman Steve Haagenson reconvened the meeting of the Bradley Lake Hydroelectric Project Management Committee to order at 10:00 a.m. on Wednesday, May 8, 2002, via teleconference, from the Alaska Industrial Development and Export Authority's Board Room, and Chugach Electric Association’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) Joe Griffith Chugach Electric Association Don Stead 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 Brian Hickey, Chugach Electric Association (teleconference) Lee Thibert, Chugach Electric Association John Cooley, Chugach Electric Association Don Zoerb, Matanuska Electric Association (teleconference) Larry Hittle, AterWynne, LLP (teleconference) Bradley Lake PMC Meeting Wednesday, May 8, 2002 Page 2 of 2 4. BRADLEY LAKE HYDROELECTRIC PROJECT GOVERNOR REPLACEMENT Discussion ensued on the Homer Electric Association memorandum dated May 3, 2002 regarding Bradley Lake Hydroelectric Project Governor Replacement. Several deletions and changes were made and the memo was approved as amended (attached). Mr. Laufer also brought a Resolution to the committee for approval (attached). A roll call vote was taken on approval for the Resolution and was unanimously approved. 5. COMMITTEE COMMENTS A. Next Meeting Date Haagenson The next meeting is at the call of the Chair. 6. ADJOURNMENT There being no objection and no further business of the Committee, the meeting was adjourned at 10:30 a.m. BY: Steve Haagenson, Chairman ATTEST: Alaska Energy Authority, Secretary (Attachments) RESOLUTION #2002-01 BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE Replacement of the Bradley Lake Governor Resolved that the Bradley Lake Project Management Committee (“BPMC”) requests that AEA direct HEA, under the existing O&M contract between AEA and HEA, to perform the engineering, design, and scoping work related to the proposed governor repair project (the “Work”) in accordance with the attached memorandum dated May 3, 2002, as amended May 8, 2002, from HEA to the BPMC. Resolved further, that such Work is deemed to be Required Project Work pursuant to the PSA and that all costs and liabilities of AEA with respect to such Work are hereby determined to be Annual Project Costs in accordance with Section 8(a)(iv) of the PSA. Resolved further, that the Work shall be submitted to the BPMC and that the implementation of any governor repairs determined necessary and the award of any vendor contracts related to such repairs will require subsequent action by the BPMC. DATED at Anchorage, Alaska, this 8" day of May, 2002. ee Chair (SEAL) ATTEST kt Oke Secretary Attachment: Memorandum dated May 3, 2002 16. 2002 8:33AM AIDEA/AEA NO-USIY Fe HOMER ELECTRIC ASSOCIATION, INC. MEMORANDUM 1c (2 |C y \ff | DATE: May 8, 2002 Die IG e | Y E } TO: Bradley Lake Project Management Committee MAY 15 2002 Art Copoulos, AEA AIDEA/AEA Dave Calvert, Seward Wayne Carmony, MEA Gene Bjornstad, CEA Steve Haagenson, GVEA _Michael Scott, AML&P FROM: Norm Story YU wdfor SUBJECT: REVISED BRADLEY LAKE HYDROELECTRIC PROJECT GOVERNOR REPLACEMENT The following details the revised proposed contractual and administrative relationships involved in the replacement of the Bradley Lake Governor as discussed in today’s meeting. Contracmal All work will be performed under the existing HEA - AEA O&M contract. This will maintain the project in its originally developed risk posture. The RFP and vendor selection will be run through HEA purchasing and procurement. Vendor sclection will be reviewed by the project subcommittee prior to notification and award. Additional personnel added to facilitate the project will be hired through contract with HEA. The need for additional personnel will be reviewed by the project subcommittee prior to selection going forward. These additional positions are currently envisioned to be an on-site project supervisor and a documentation and scheduling specialist. Administrative ; : Normal administrative functions will be retained. A project subcommittee wil] be formed to provide additional support to the project and provide control for the BPMC. The project subcommittee will have the following members: - A representative of Homer Electric Association, Inc. - A representative of Chugach Electric Association, Inc. - A representative of Anchorage Municipal Light and Power, chairman. - A project technical lead. The project subcommittee will provide weekly review of the project status, monitor compliance that the functional specification is being met, the schedule is being met, the budget is kept, and a monthly report to the BPMC is provided. The attached organizational chart graphically represents the relationships detailed above. P:\GM\NLS\MEMOS\2002\bradIcy.governor. rev. wpd ce: Larry Hittle, Aler Wynne May.16. 2002 8:93AM — ATDEA/AEA No-USIY Fe Bradley Lake Hydroelectric Project Governor Replacament Organizational Chart project subcommittee May-03-02 11:20am = From-HOME! 1c 9072353323 T-893-P.02/03--F-055 HOMER ELECTRIC ASSOCIATION, INC, MEMORANDUM DATE: May 3, 2002 TO: Bradley Lake Project Management Commi Art Copoulos, Brejeerifanager,/ AEA Dave Calvert, Seward Wayne Carmony, MEA Gene Bjornstad, CEA Steve Haagenson, GVEA Michael Seg, AML&P FROM: Norm Story 4 LA fee SUBJECT: Bradley Lake Hydroelectric Project Gg¥ernor Replacement The following details the proposed contractual and administrative relationships involved in the replacement of the Bradley Lake Governor. . \ - 1A |, “Contractual a 4c All work will be performed under the existing HEA - AEA O&M contract. This-wittreievethe— o + i This will mainiain the project in its originally developed risk posture. The RFP and vendor selection will be run through HEA purchasing and procurement. Vendor selection will be reviewed by the project subcommittee prior to notification and award. Additional personnel added to facilitate the project will be hired through contract with HEA. The need for additional personnel will be reviewed by the project subcommittee prior to selection going forward. These additional positions are currently envisioned to be an on-site project supervisor and a documentation and scheduling specialist. __Administrative _ 7 - Normal administrative functions will be retained. A project subcommittee will be formed to provide additional support to the project and provide control for the BPMC. The project subcommittee will have the following members: > A representative of Homer Electric Association, Inc. - A representative of Chugach Electric Association, Inc. - A representative of Anchorage Municipal Light and Power, chairman. - A project technical lead. - a ™ Mourtor compliance that thee The project subcommittee will provide weekly review of the project stamus, ensure-the-fiunctional specificanon is being met, ensure the schedule is being met, ensure the budget is kept, and previde~~ a monthly report to the BPMC. The attached organizational chart graphically represents the relationships detailed above. \ s> raviced F \GM\NLS\MEMOS\2002\nradley governor.wpd cc: Larry Hite, Ater Wynne — Moz Changs to be mock - May-03-02 11:20am From-HOME Uc $072353323 T-893 P.03/03 = F-055 Bradley Lake Hydroelectric Praject Governor Replacement Organizational Chart project subcommittee Alaska Industrial Development and Export 4 ~AlD = Av/AEIN Alaska Energy Authority fs c iW iF i \ YUL 12 2002 1) AIDEAAEA JU July 1, 2002 °5 zope Mr. Steve Haagenson. Chairman Golden Valley Electric Association P.O. Box 71249 (758 Illinois) Fairbanks, Alaska 99707 Dear Mr. Haagenson: Enclosed is the biannual insurance review performed by the State of Alaska, Division of Risk Management, for the Bradley Lake Hydroelectric Project. This review is required by the Alaska Energy Authority Power Revenue Bond Resolution. Art Copouios asked that a copy be provided to you for your information. Please call me at 269-3021 if you have any questions. Sincerely, Brenda Applegate Accountant BA:ew H:\al!\ewertz\8radieyLake InsuranceReview.doc Enclosure ce: Mike Cunningham Art Copouios 813 West Northern Lights Boulevard * Anchorage, Alaska 99503 907 / 269-3000 * FAX 907 / 269-3044 * www.aidea.org SSP Seie An ACM fi § (AYE i WE ALE AS ih [A\ TONY KNOWLES, TTT DEPARTMENT OF ADMINISTRATION Sea JUNEAU, ALASKA 99811-0218 F ¢ F ll V E } DIVISION OF RISK MANAGEMENT PHONE: (907) 465-2180 FAX: (907) 465-3690 JUN 2 4 2062 ii May 14, 2002 AIDEA/AkE+ Be Brenda Applegate Alaska Industrial Development and Export Authority 480 West Tudor Road Anchorage AK 99503 Dear Brenda: Re: Bradley Lake Hydroelectric Project - Insurance Review | have reviewed the property and casualty insurance programs protecting Bradley Lake Hydroelectric Project facilities and AIDEA/AEA for their related activities per bonding covenant sections 714(b), (c), & (d). For FY2002. Willis of Seattle, Inc. has placed an all risk (including perils of flood and earthquake) property policy providing $40 million per occurrence excess the $20 million underlying policy placed by ARECA which is excess the applicable $2 million self insured retention level. AIDEA/AEA project related activities also continue to be covered by the State of Alaska’s comprehensive casualty insurance program provided through this office with limits of $75 million. The reasonably available and affordable coverage limit in the current insurance market. AIDEA/AEA’s present property insurance program for the Bradley Lake Hydroelectric Project combined with the state’s comprehensive casualty program in the optimum combination and comply with the applicable bond resolutions. Please call if you have any questions. i a ie iy RECENEY a Pe NOS 3 4 #692 py Ree J. Scott Jordan ra ON. OF RSH BAN. GENES Risk Manager 02-B17LH 03 printed on recycled paper ALASKA ENERGY AUTHORITY BRADLEY LAKE FINAL CONSTRUCTION LIST REPORT OF ACTIVITY (A) (B) (c) (D) (C) - (D) SETTLEMENT (A) + (B) 12/31/02 AGREEMENT Adjustment/ Revised Payments thru Estimate ITEM PUNCHLIST Reallocation Estimate 12/31/02 to Complete Fish Study/Mitigation-COMPLETE 220,000.00 (17,217) 202,782.90 202,782.90 : Fish Water SCADA - Construction 100,000.00 15,639 115,639.15 115,639.15 - COMPLETE Moose Mitigation Fund - COMPLETE 185,215.00 575 185,790 185,790.16 - Diversion Tunnel - COMPLETE 5,000.00 (693) 4,307 4,307.45 - Powerhouse Floor/Paint - COMPLETE 5,000.00 (1,583) 3,417 3,417.07 - SVC Spares 145,000.00 (145,000) - - - Equipment - COMPLETE 15,000.00 (6,879) 8,121 8,121.48 - Misc Engineering 40,000.00 - 40,000 - 40,000.00 Fishwater Bypass Cleanup - COMPLETE 325,000.00 (12,931) 312,069 312,069.23 - ADIT Access Modification - COMPLETE 18,000.00 (4,761) 13,239 13,238.77 - Building Roof Modification - COMPLETE 45,000.00 22,038 67,038 67,038.14 - Airfield Road Access - COMPLETE 35,000.00 (5,416) 29,584 29,584.46 - Cold Weather Modification 5,000.00 - 5,000 294.53 4,705.47 Rip Rap Upstream Face of Left Dam - CON 175,000.00 (91,010) 83,990 83,989.85 - Approved Workorders unfinished at 3/9¢ 155,244.00 13,823 169,067 158,983.83 10,083.17 B018 Roof-Wood Storage ($2,925) B019 Parapit Wall/Gate ($9,990) B021 Fishwater SCADA ($0) Penstock Condensation - - - - - Governor Instability Study 145,000.00 1,021,400 1,166,400 823,906.70 342,493.30 System Analysis Equip at SVCs 150,000.00 (150,000) - - Contingency 290,844.00 352,771 - 643,615.34 Transfer trip schemes - Old Invoices 170,500.00 - 155,225.36 15,274.64 AEA Operating Costs 70,000.00 - 55,535.82 14,464.18 Brown & Root Retainage 102,958.00 (102,958) - - Interest on Retainage 100,000.00 (100,000) - : Previously approved punchlist 2,502,761 787,800 2,219,924.90 1,070,636.10 Control System Modifications 970,480.00 (787,800) : 182,680.00 3,473,241 - 2,219,924.90 1,253,316.10 h:all\elaine\bradley\BLCONSTO3.xls_- Punchlist 12-31-02 ALASKA ENERGY AUTHORITY BRADLEY LAKE CONSTRUCTION REPORT OF ACTIVITY ONGOING ACTIVITY BCO10 AEA Operating Costs BCO11 Misc Credits/Int on Retainage BCO12 AEA Misc Contracts BCO13. AEA Services AEA Costs C020 Engineering BCO030 Bechtel C050 Camp Catering & Support 6CO60 Turbines/Generators BCO70 Communications BCO81 Equipment 8C082 Spares 8C080 Stability Protection BC100 Powerhouse Floor/Paint BC110 Utility Support & Modifications BC120 Diversion Tunnel 8C130 Fish Study/Mitigation BC140 Fishwater Bypass Cleanup BC150 Construction Deficiencies BC160 SCADA Other costs COMPLETED BEFORE 9/30/93 Other Construction Boundary Survey Contaminated Soil Tasks complete by 9/93 Section 31 Costs Costs As of Activity As of Activity Activity Activity Activity Activity Activity Activity Activity Activity Incurred as of 11/30/93 12193-6194 6/30/94 FY95 FY96 FY97 FY98 FY99 FY2000 FY2001 FY2002 FY2003 12/31/02 12,216,272.00 97,841.47 = 12,314,113.47 34,656.30 61,741.36 3,894.85 856.60 34.79 65.16 220.27 12,415,582.80 - (67,629.15) (67,629.15) (67,629.15) 3,341,053.41 - 3,341,053.41 3,341,053.41 2,186,787.00__22,167.61__2,208,954.61 2,208,954.61 17,744,112.41 52,379.93 17,796,492.34 34,656.30 61,741.36 3,894.85 856.60 34.79 65.16 : 220.27 : 17,897,961.67 39,477,794.47 103,408.64 39,581,203.11 70,658.91 39,651 ,862.02 19,907,922.00 7,773.00 — 19,915,695.00 19,915,695.00 15,984,653.00 38,326.34 — 16,022,979.34 16,022,979.34 14,161,242.00 14,161,242.00 14,161,242.00 1,385,093.00 251,274.00 1,636,367.00 6,388.99 56.63 1,642,812.6 1,131,645.00 14,284.55 1,145,929.55 28,059.12 1,599.19 2,382.18 5,739.30 1,183,709.3 17,250.00 3,286.20 20,536.20 278,669.98 1,729.18 300,935.30 15,270,991.98 157,520.34 —15,428,512.32 5,691.05 5,539.35 15,439,742.72 - 3,417.07 3,417.07 1,192,832.00 119,754.18 ——1,312,586.18 378.15| 22,414.39] 10,961.37 1,346,340.09 240,896.00 240,896.00 1,794.23 56.63 2,456.59 245,203.45 32,148.00 30,399.35 62,547.35 116,696.32 74,196.45, 262,830.61 80,082.70 35,480.00 631,833.43 340,000.00 340,000.00 + 3,027.33 14,676.10 299,559.51 (90.28) 12,600.00 669,772.66 : 21,095.65 21,095.65 41,308.25 55,413.34 165,448.67 329,490.71 194,413.73 41,705.56 156,331.90 215,195.62 58,627.46 1,279,030.89 605,717.00 605,717.00 15,452.64 15,738.43 102,910.49 31,125.07 2,831.58 773,775.21 109,748,184.45 747,122.25 110,495,306.70 538,798.06 178,211.87 756,748.24 442,525.57 338,343.57 85,430.63 159,163.48 215,195.62 58,627.46 | 113,268,351.20 180, 700,129.00 180,700,129.00 180,700,129.00 240,454.00 240,454.00 240,454.00 720,236.00 720,236.00 720,236.00 181,660,819.00 - 181, 660,819.00 - - - - : - 181 660,819.00 309,153,115.86 _ 799,502.18 _309,952,618.04 573,454.36 239,953.23 760,643.09 443,382.17 338,378.36 85,495.79 159,163.48 215,415.89 58,627.46 | 312,827,131.87 |__2,255,000.00_ (3is.on2,131.67- H.\AINelaine\bradieyiBLCONSTO3. xis Page 1 of 1 Rpt of Activity 1/29/03, 12:28 PM ALASKA ENERGY AUTHORITY BRADLEY LAKE CONSTRUCTION REPORT OF ACTIVITY by “BC™ Code Estimate Workorder/ Payments Adjustment & Payments Payments Payments: Payments Payments Payments Payments Contract # Reallocation: /20/96-6/30/96 TH196-6/30/97 Free FY2000 FY2001 Fy2002 FY2003 BCO10 =~ AEA Operating Costs 50,464.15 3,804.85, . 34.79 65.16 220.27 (55,535.82) 60,464.15 3,804.85 34.70 65.16 = 220.27 a BCO11 Interest on Retainage = = . 5 (100,000.00) : = = pao eer = | : BCOSO —_ Brown & Root Retainage - - ° :. (102,958.00)| - = = : - . BCO70 Communications - Ground Relays. B023 6,388.69 6,445.32 6445.32) Buz] 6,388.69) 5 = = 6,445.32 C081 —_ Equipment - welding exhaust fan, B040 5,739.30 8,121.48 ‘Scaffold, snow plow 12148 (878.52) = 3 7830} : = 8,121.48 BC0B2 SVC Spares 8039 - : 1 - BCOB0 System Analysis Equip at SVCs 8047 : 5,691.05 11,230.40 (17,230.40) (138,77000)| = = kK p TE = 11,230.40 BC100 — Powerhouse Floor/Paint B038 :. 3,417.07, 17.07 BAT. (1,583.00) 5 = 3417.07 = = 17.07 BC110 — Misc Engineering . ° ” BCI10 Construct Crickets - Close w/o 022 16,250.69 301.37 17,342.05 BCI10 Work Platform Additions 025 10,660.00 16,412.16 (33,754.21) (22,645 79)| 16,250.69 10,961.37 = = = 33,754.21 BC120 Diversion Tunnel HEA -Design & Install 1,704.23 56.63 1,850.66 HEA -Design & Construct (Close v 2,456.50 (4,307-45)| (602.55) T7423 56.63 2,456.59 = : 4307.45 BC130 Fish Study Northern Ecological Contract 96-003, 3,120.00 42,900.00 30,454.45 35,480.00 120,954.45, US Dept of interlor - Streamguage 9602900AK027 20,550.00 20,550.00 R. Williams: 94-006 6.85 6.85 Mise, 843.50 1437. 40,628.25 42,908.99 190,000 (104420.28)| 11,637.60 3970.35 Sara — onsen ret 80,082.70 35,480.00 | : 704,420.28 BC131 Moose Mitigation Fund 575.10 185,215.06 185,790.16 185,215 (185,790. 16)| 575.16 575.10 185,215.06. =. = ay. = 185,790.16 BC132 Waterfowl Monitoring Locher Interests 94-007 5,634.30 12,728.31, 18,36: 30,000 (18,362.61)| (11,637.00) 5,634.30 | 42,726.31 :. : : 18,362.61 BC140 —_Fishwater Bypass Cleanup BO41 299,559.51 (90. 12,600.00 312,069.23 325,000 (312,068. 12,931. - .! 90. = 42, {600.00 | 312,069.23 BC150 ADIT Access Modification 8032 4,842.91 722.17, 7,873.69 13,238.77 18,000 (13,238.77) (4,761.23)| 4,842.91 T2247 7,873.69 = : 13,238.77 BC151 Building Roof Modification O42 87,038.14 038.14 5000 (67,038.14) 22,038.14 = 67,038.14 = 5 I 038.14 BC152 Airfield Road Access (Complete) HEA. Airfield Road Access 8033 20,551.78 R. Williarns: 94-006 2,625.15 ‘ " ser aa] ica lca 35,000 y 415. - = : 29,584.46 BC153 Cold Weather Modification HEA - Design & Implement 8030 237.90 56.63 294.53 HEA.- Construction (Close) 8043 A 5,000 (23453) T7054 = 237.90 36.65 = = C = 2453 BC154 Rip Rap Upstream Face of Let Dam BO44 18,341.85 85,648.00 83,989.85 175000 (63,98085) (87,070.00) ois : : : 18,341.85 65,648.00 = 83,989.05 BC1S5 Construction Deficiencies - Approved Workorders unfinishe} Air/Oil Fikers (w/o Closed) 001 12,000 438.93 12,292.04 12,730.97 Service Water System B006 2,800 1,064.11 336.24 2,300.35 Control Circuits (wio closed) 8008 - = Powerhouse Lockers (closed) 8015 3,560 3,560.74 3,560.74 Repair Roof-Wood Storage 8018 3,000 75.01 Repair Parapit WalvGate Bote 4,200 290.26 : 308,24 10,009.66 Modify Diesel Controls (closed) 8020 2,825 2,824.58 2,824.58 Governor Improvement (closed) 8026 16,059 16,058.94 16,058.04 FuelDispenser (wio Closed) 8029 8,000 1,044.73 56.63 . 1,101.36 H.Wilelaine\bradieyBLCONSTO3.xis Pana tof? ake em and: 1729103, 12:20 PM ALASKA ENERGY AUTHORITY BRADLEY LAKE CONSTRUCTION REPORT OF ACTIVITY by “BC* Code HEA Estimate W.O. Activity Adjustment & Prior to Payments Payments Total Reallocation 320/96 Fy2003 Payments 0,133.00, 217345 48,661.81 BC156 — Penstock Condensation : BC1S7 Governor Speed Instabilty Study HEA - 5,476.47 Chugach 212,704.51 122,798.56 807,197.83 222,310.00 = : = 212,784.51 | 128,031.25 41,705.56. 156,331.90 812,676.30 BC158 Transfer trip schemes - Old Invoices 155,225.36 155,225.36 (155,225.36) = = 155,225.36 = a = = 155,225.36 BC159 Governor Replacement BC160 Fish Water SCADA - Program Devel 14,106.95 3,506.48 11,042.17 2,975.50 24,531.57 6422.68 2,831.58 ‘Willams, 7205.00 Locher 2,198.03, Maritime 2,212.44 Fish Water SCADA - Construction = 702.39 40327.00 14,108; 31,125.07 2a se : = |_ 193,156.00 : = = . 5 : (0 CEREAL 714,996.17 Z H3,302.17 338,378.36 W679 158,163.48 276,416.80 Giz 210,924,00 ‘3,473,241 1,253,315.78 2,219,924.90 H.\AlNelaine\bradieyBLCONSTO3.xis Page 2 of 2 PunchiList BC Code (c) orkorders/ | Payments ‘contracts Prior to Payments Payments | Payments | Payments | Payments | Payments | Payments | Payments | Payments 2196 & after | 3/20/96 | 3/20/96-6/30/96 FyY97 Fy98 Fy99 FY2000 FY2001 FY2002 FY2003 To Date 117,000.00 3,120.00 | 42,900.00} 39,454.45] 35,480.00 120,954.45 20,550.00 20,550.00 20,560.00 6.85 6.85 6.85 42,908.99 843.50 1,437.24 | 40,628.25 42,908.99 18,362.61 §,634.30| 12,728.31 18,362.61 198,828.45 9,604.65 | 77,615.55 | 80,082.70 | 35,480.00 : 202,782.90 200,000.00 : 12,762.84 | 78,173.92] 24,702.39 115,639.15 200,000.00 : =| 12,762.84 [78,173.92 | 24,702.39 Ei 115,639.15. 185,790.16 575.10 | 185,215.06 185,790.16 485,790.16 575.10 | 185,215.06 : - - 185,790.16 1,794.23 1,794.23 1,794.23 48,205.77 56.63 | 2,456.59 2,513.22 ‘50,000.00 1,794.23 $6.63 | 2,456.59 5 = 4,307.45 60,000.00 - 3,417.07 3,417.07 60,000.00 = - 3,417.07 = = 3,417.07 175,000.00 : : : zi . 175,000.00 = = = = = T = 30,000.00 2,382.18 5,739.30 8,121.48 30,000.00 = 2,382.18 [6,739.30 5 = 8,121.48 500,000.00 299,063.27 (90.28) 12,600.00 311,872.99 496.24 496.24 496.24 500,496.24 = - 299,559.51 (90.28) = 42,600.00 312,069.23 25,000.00 4,842.91 722.17, 7,673.69 13,238.77 25,000.00 4,842.91 722.17 | 7,673.69 = = 13,238.77 100,000.00 67,038.14 67,038.14 100,000.00 : =| 67,038.14 : : i (67,038.14 20,551.78 12,172.65 8,379.13 20,551.78 2,626.15 1,885.20 739.95 2,625.15 6,407.53 6,138.73 268.80 6,407.53 29,584.46 20,196.58 |" 9,387.88 = : : 29,584.46 20,000.00 237.90 56.63 294.53 20,000.00 237.90, 56.63 : : : 294.53 82,500.00 18,341.85 | 65,648.00 83,989.85 82,500.00 : = a. 18,341.85 | 65,648.00 = 83,989.85, 12,000.00 438.93 12,292.04 12,730.97 2,800.00 1,964.11 336.24 2,300.35 3,660.74 | 3,560.74 3,560.74 3,000.00 75.01 75.01 2,000.00 290.26 9,321.36 398.24 10,009.86 2,824.68 | 2,824.58 2,824.58 50,000.00 | 14,106.95 3,596.48 | 11,042.17 2,975.59 | 24,531.57 6,422.68 2,831.58 65,507.02 2,198.03 2,198.03, 2,198.03, 2,212.44 2,212.44 2,212.44 205.00 205.00 Page 1 of 2 H:MAiNelaine\bradley\BLCONSTO3 xis Punchlist-Item# (c) ‘orkorders/ | Payments Contracts Prior to Payments Payments | Payments | Payments | Payments Payments | Payments | P: Paym: ayments: ents 0/96 & after | 3/20/96 | 3/20/96-6/30/96] FY97 Fy98 FY99 Fy2000 | Fy2001 | Fy200z | Fy2003 | To Date 17,342.05] 789.99 16,260.69] 301.37 17,342.05 12,000.00 6,388.69 56.63 6,445.32 39,000.00] 5,752.16 10,660.00 16,412.16 16,058.94 | 16,058.94 16,088.94 8,000.00 1,044.73, 56.63 1,101.36 172,996.78 | 43,822.55 27,280.69 | 26,527.27 | 26,628.11 | 25,471.05 158,983.83 27,000.00 : 27,000.00 mela : >| : : : 148,000.00 212,784.51 | 122,798.56] 41,459.78 | 156,331.90 | 216,195.62] 68,627.46] 807,197.83 5,232.69 246.78 5,478.47 43,600.00 - 40,000.00 : 228,600.00 |= =| = T2764 st | 128,031.25 | 47,706.66 | 166,331.90 | 216,196.62 | 68,627.46 | 612,676.30 250,000.00 : 5,691.05 | _ 5,539.35 |___11,230.40__ "250,000.00 Sai : 5,691.05 | 5,539.35 : 14,230.40 = Soa prs e a = | az 5 | - 173,853.00 155,225.36 155,225.36 173,853.00 = =| 155,225.36 | - : — = [155,225.36 70,000.00 50,464.15] 3,894.85 | __856.60 34.79 65.16 220.27 | _ 55,535.82 70,000.00 | 50,464.15 | 3,894.86 856.60, 34,79 65.16 : 220.27 [56,535.82 102,958.00 : : - : Alea : 102,958.00 : : : : =~ : 100,000.00 : : : : | = 100,000.00 =| = : -_ | _ Ele S 2,219,924.90 H:\AlNelaine\bradiey\BLCONSTO3 xis Punchiist-ttern# Page 2 of 2 BRADLEY LAKE HYDROELECTRIC PROJECT ANALYSIS OF COSTS AND CONTRIBUTIONS 12/31/02 Total i Bonds Si State Total Construction Costs 312,827,132 156,413,566 156,413,566 Section 31 Costs 2,255,000 2,255,000 Costs incurred to date 315,082,132 158,668,566 156,413,566 Estimate to Complete 1,253,316 626,658 626,658 Estimated Total Construction Costs 316,335,448 159,295,224 157,040,224 Financing Costs . Per 9/30/93 Calculation 12,921,538 6,460,769 6,460,769 Interest received 10/1/93 -6/30/94 (less 9/30/93 Accru: (454,058) (227,029) (227,029) Interest received 7/1/94 - 6/30/95 (238,100) (119,050) (119,050) Interest received 7/1/95 -6/30/96 (185,210) (92,605) (92,605) Interest Received 7/1/96-6/30/97 (153,567) (76,784) (76,784) Interest Received 7/1/97 - 6/30/98 (121,213) (60,607) (60,607) Interest Received 7/1/98-6/30/99 (116,226) (68,113) (58,113) Interest Received 7/1/99-6/30/2000 (33,249) (16,625) (16,625) Interest Received 7/1/00-6/30/2001 (155,453) (77,726) (77,726) Interest Received 7/1/01-06/30/02 (91,119) (45,559) (45,559) Interest Received 7/1/02-12/31/02 (11,375) (5,688) __(5,688) Total Financing Costs 11,361,967 5,680,984 5,680,984 Total Project Costs 327,697,415 164,976,208 162,721,208 Contributions 328,235,202 165,260,157 162,975,045 Excess Contributions 537,787 283,949 253,837 h\all\elaine\aea\reports\BLCONSTO3.xIs, Cost Analysis 12-31-02 Bradley Lake Hydroelectric Project Martin River Airstrip Access Road Maintenance versus Removal Background The Martin River road was restored in 1996 in order to provide access to the Martin River Airstrip and thus provide aircraft carrying project staff with an alternative landing site, to be used in cases when weather conditions precluded safe landing and takeoff from the primary airstrip. See Aerial Photos of the facilities in question at the end of this document. The Martin River Airstrip is located along the East side of the Martin River delta down stream from the gravel borrow area used during the construction of the Bradley Lake Hydroelectric Project (Bradley Lake HEP). The gravel borrow area was temporarily diked-off from the river but the temporary dikes were left in place after Project construction was completed to function as fish rearing ponds in cooperation with ADF&G. This was an event of opportunity for ADF&G and the department agreed at the time that there would be no liability for dike maintenance or pond operation accruing to AEA and that when the dike finally is breached by the river, it would not be reconstructed. Water from the Martin River percolates through the dike into the ponds, flows through the ponds and exits to the North across the access road at the East end of the airstrip. The Martin River Airstrip Access Road has two bridges and two low-water crossings and traverses the tidal flat/ Battle Creek flood plain to the East of the Airstrip. At times the road is impassable due to flooding and/or high tide. Existing Conditions It is reported that since restoration of the Martin River road, the Airstrip has never been used for the intended purpose. In the winter, the road is not maintained open due to a lack of need for the airstrip in winter and due ice from tidal flooding. Maintenance of the road has been a problem because of changing stream flow conditions related to aggradation of the Martin River stream channel in the river delta/tidal flat adjacent to the Martin River dike, which, when combined with the effects of high tides and ice movement on the tidal flats along the course of this restored road results in flooding and erosion of the roadway. Specifically, the low water crossings, approved by the Federal Energy Regulatory Commission (FERC) and the Alaska Department of Fish and Game (ADF&G), have continually deteriorated since construction and granular material from the roadbed has been eroded and carried onto the adjacent Kachemak Bay tidal flats. In addition, it appears probable that continued aggradation of the streambed along the Martin River dike, if left un-checked, will eventually result in breaching of the dike. This will allow the Rev 01/17/03 Page | of 6 AEA Martin River / _ rip Access Road, Maintenance ve.__s Removal river to reclaim the flood plain in the delta that was isolated by constructing the temporary dikes during construction of the Bradley Lake HEP. Restoration of the Martin River Airstrip access road after Bradley Lake HEP construction required submittal of an application for a non-capacity amendment to the project license from the Federal Energy Regulatory Commission (FERC) as well as permits from the U.S. Army Corps of Engineers (USACE) and the Alaska Department of Fish and Game (ADF&G). Concerns There are several concerns related to the Martin River Airstrip Access Road and Airstrip. The concerns include project license compliance, project facilities security, liability related to unknown third parties for a variety of reasons, and project operation and maintenance costs,. The license-related concern is that since both the Martin River Road and Airstrip are permitted and licensed components of the Bradley Lake HEP. It is AEA’s responsibility to maintain both these features in good condition. Failure to do so could result in citations from the FERC, USACE or ADF&G. The security concern is related to the difficulty in monitoring the Martin River airstrip, which is relatively remote and not visible from the power plant area. Small fixed wing or rotary wing aircraft landing there are difficult to see unless a staff person is actually at the airstrip or is driving by the area at the time the intruding aircraft is landing or taking off. This clearly represents an un-controlled entry point to the project and a potential security risk to the Bradley Lake HEP as a whole. The security risk ranges from personal injury to persons attempting to access project facilities for various “innocent” reasons to persons performing acts of vandalism with the intent to render the project inoperable. The third party liability concern is related to potential liability in the case of persons injured or killed in unauthorized use of the airstrip. The airstrip is commonly used by local hunters and guides even though the use is not authorized. This represents a potential liability to AEA and HEA that could run to several million dollars in a legal action should an unauthorized user of the airstrip be injured or killed when using the airstrip. Maintenance of the road and structures and airstrip in serviceable condition will be a sustained annual cost if license compliance is maintained. Some years, major maintenance or replacement will increase the cost and the question is “is it worth the maintenance costs to keep this project feature when it has never been used by the project’? There are practical alternatives available, such as using helicopter or boat transport or simply delaying the departure and arrival of personnel undergoing shift change. Rev 01/17/03 Page 2 of 6 AEA Martin River 4 rip Access Road, Maintenance vei __; Removal Given the above concerns it is recommended that AEA evaluate the current status of this project feature and make a decision as to whether it is in the Bradley Lake HEP’s best interest to: 1.) Increase the maintenance and monitoring effort expended on this feature to ensure it does not represent an environmental, safety or security liability for the project, or, 2.) Abandon the feature and remove the roadway, bridges and airstrip. This would require obtaining a license amendment prior to removing the road and airstrip. Evaluation Factors The listing presented below indicates the readily apparent pros and cons of retaining or removing the Martin River access road and airstrip from the Bradley Lake HEP based on subjective and qualitative factors presently known. Retain the Martin River Road and Airstrip - Cons- Pros- Un-maintained or poorly maintained road/airstrip are potential environmental and safety liabilities. Cost of a single litigated loss in a small aircraft crash on the airstrip could run to over one million dollars. Un-monitored airstrip is a potential security risk. A determined vandal could take the project out of service for several days to weeks. Annual maintenance costs to maintain facility in environmentally compliant and safe condition could be substantial. Eventual loss of these features is highly probable in the near future, with associated costs (unknown) to clean up area following flooding of the Martin River. Airstrip remains available if case of an actual need for a secondary landing site ever occurs. No need to file a second license amendment. Removal of the Martin River Road and Airstrip - Cons- Will require non-capacity amendment of project with associated (minimum) risk of opening up project to regulatory scrutiny. Rev 01/17/03 Page 3 of 6 AEA Martin River A tip Access Road, Maintenance vel | Removal e One time cost for removal and restoration will be large. Pros- e Following removal no additional burden on project staff to monitor and maintain features. e Environmental, safety and security liabilities eliminated. Discussion of Alternatives Restoring the Martin River Airstrip Access Road and Airstrip to fully serviceable condition compliant with the FERC license for the Bradley Lake HEP requires remedial work on bridges, low water crossings and the roadbed. The developing subsidence and sinkholes in the roadbed of the Battle Creek Bridge approaches needs to be corrected and the approaches regarded. In addition, the Battle Creek Bridge waterway approach channel requires reconstruction of the guide dike on the left bank upstream side. The remnant dike has lost nearly all of its material and the creek is eroding the road embankment along the bridge approach. The low water crossing in the Battle Creek flood plain and the low water crossing at the east end of the airstrip need regarding and reconstruction to allow vehicle and maintenance equipment access to the airstrip and to restore the eroded roadbed. Battle Creek Slough Bridge is apparently in serviceable condition but the approaches need sub-grade repairs and re-grading. The Martin River Airstrip Access Road requires re-grading and some reconstruction in the area where it traverses the tidal flat between Battle Creek and Battle Creek Slough. This area has been damage by ice and the creek high flows resulting from the November 2002 storms. The Martin River Airstrip needs re-grading and brush and trees that encroach into the aircraft operations safety area and safety surface along, and at each end of, the runway need to be trimmed or removed to below the safety surface. Signage indicating the airstrip is a restricted-use private airstrip needs to be installed at the airstrip. A security plan for the Martin River Airstrip and Access Road needs to be formalized consistent with the recently mandated National Dam Safety Act. Rev 01/17/03 Page 4 of 6 AEA Martin River A ‘ip Access Road, Maintenance vert Removal Cost Considerations A definitive cost comparison of a one-time effort to remove the road and airstrip versus long term, annual maintenance costs (plus some cost for rehabilitation of the site following failure of the dike) is of value in determining the best course of action. Costs stated in the following paragraphs have not been definitively estimated but are based on order-of-magnitude cost parameters. The estimated cost to remove all the Martin River Access Road roadway embankment and bridges is around $200,000 to $300,000 depending on the level of restoration required along the road and at the bridges. Removal of the Airstrip would not be necessary as the runway is literally a graded gravel surface at the general elevation of the surrounding flood plain. Rendering the runway “unusable” and formally closing it with appropriate “Closed Runway” signage would cost in the range of $10,000 to $30,000. Remedial work required to restore the Martin River road, low water crossings and bridges to fully serviceable condition using construction materials available at the project storage yard would cost in the range of $100,000 to $200,000 and an additional $80,000 to $100,000 to replace decks and abutment timber walls at the two bridges. Experience the past decade would indicate awards from injury and death settlements related to aircraft crashes range form $250,000 to well over $1,000,000. This potential liability should be considered when determining whether the Martin River Airstrip Access Road and Airstrip are taken out of service. The estimated costs above can be refined when a program scope is better defined. Costs of mobilization and demobilization and equipment utilization by a contractor can be spread over a number of the tasks noted above, resulting in a lesser cost for a particular task. Rev 01/17/03 Page 5 of 6 AEA Martin River A ‘ip Access Road, Maintenance ver Removal AERIAL PHOTOS OF MARTIN RIVER AIRSTRIP AND ACCESS ROAD Intersection with Bradley Lake Dam Access Road Kachemak Bay Battle Creek Bridge Low Water Crossing at end of Airstrip Low Roadway Section Battle Creek Slough Bridge Low Water Crossing Martin River Emergency Airstrip Kachemak Bay Old Gravel Borrow Area, Now Unattended Fish Ponds Martin River Dike Rev 01/17/03 Page 6 of 6 AEA To: Bradley Lake BPMC From: O&D Committee Date: 1-22-04 The Bradley Lake O&D Committee requests the following extraordinary maintenance, operating, and capital expense for the 2004 budget: Summary: Budget Item Budget Request | Timing Bradley Lake Dam Left $100,000.00 Spring/Summer 2003 Abutment Area Repairs Nuka Diversion Repairs $50,000.00 Summer 2003 Battle Creek Repairs $10,000.00 Summer 2003 Middle Fork Diversion $20,000.00 Summer 2003 Repairs Kachemak Creek Gauging | $26,000.00 Summer 2003 Station Martin River Road and $100,000.00 Summer 2003 Airstrip Repairs Martin River Road and $10,000.00 Spring 2003 Airstrip Transport Study On-Site Civil Project $48,000.00 Spring 2003 Manager Digitize and Control Project | $50,000.00 Spring 2003 Drawings and Manuals DSM Upgrade $50,000.00 Summer 2003 Slip Rings $50,000.00 Capital | Spring 2003 Total 2004 O&D $464,000.00 Committee O&M Budget requests: Total 2004 O&D $50,000.00 Committee Capital Budget requests: Timing/Justification/Details: Bradley Lake Dam Left Abutment Area Repairs Timing: Spring/summer 2003 Budget request: $100,000.00 Justification: Items a-f - FERC required work Item g - Economic benefit of additional water input to reservoir Item h - Will only be done if prior work indicates the need FEMA Funding: Partial FEMA reimbursement possible items a-d. Scope of Work: a- b- Restore and re-grade the maintenance access bench along the left abutment area. Grade embankment upper slopes in area affected by wave erosion during high reservoir in November 2002. This is to remove dangerous steep embankment section at the top of the slope where the embankment was undercut by wave erosion during the high reservoir condition. Armor the embankment above the maintenance bench with either rip rap or the ENKA-mats from the old construction camp storage area or with riprap to prevent further wave erosion. After grading the upper embankment slope this may be found not to be required. A seismic survey of the area will be done to determine where bedrock surface is relative to the slope surface and stop-log storage pad. It may be practicable to simply re-grade the slope and allow erosion to reach equilibrium rather than rip rapping the slope. Remedial grading of the slopes below the maintenance access bench as required and place small riprap to fill any depressions and holes around large riprap as required to reduce erosion and improve the surface for equipment operation. Continue annual trash removal efforts with modified removal procedures. Remove “floating trash” using existing equipment, bulldozer and loader, but do not run equipment on newly graded embankment. Instead remove material using winch and/or additional summer staff as required. Perform a seismic survey of the area adjacent to the stop-log storage area to determine location of bedrock. Using HEA staff and project equipment, grade the main access road to the dam to create positive drainage collection and control for surface runoff in the area West of the gatehouse. Runoff from the area above the rock cut and from up grade on the road collects along the toe of the rock cut and flows over the bank to the downstream side of the dam. Divert this water to the reservoir for power production. h- Only if needed and based on results of prior work, consider relocating the Stop-Log and Float storage to near the Gatehouse. This is optional and will depend on what is done to grade and stabilize the embankment on the reservoir side of the pad. If the embankment slope is not rip rapped and the stable slope cuts into the safety margin of the pad, then the practicable solution to stop-log storage would be to construct a new pad near the gatehouse and move the stop-logs. Nuka Diversion Timing: Summer 2003 Budget request: $50,000.00 Justification: Based on last available data, if Nuka drainage flows were reduced so that only the required minimum of 5 cfs were released to the Nuka River, an additional 2100 acre feet of additional water with a value of $63,000.00 to $126,000.00 could be diverted to the project for power generation. Nuka repairs will be needed every 3-5 years and this repair is part of normal maintenance activities. FEMA Funding: Partial FEMA reimbursement possible items a-c. Scope of Work: The Nuka Glacier melt water pool moraine is constantly changing. This results in the outlet channel to Bradley Lake having variation in flows from month to month and year to year that is mainly due to how much the morainal deposits have shifted in a given time period. Ice damage to the Nuka Diversion structure that controls flow to the NPS lands to the East of the Nuka Pool has resulted in loss of gabion training walls and structure downstream from the Nuka Diversion Structure. Also the operating handle on one of the bypass valves (shear gate) has been either taken away by ice or dropped to the bottom of the diversion forebay. Both bypass pipes are operating at higher than minimum required flow so it is thought the valves are both full open. The scope consists of the following: a- Repair Diversion Weir gabions and downstream training walls. b- Recover the missing valve operating handle and check condition of shear gates. Perform remedial maintenance if required. c- Restore diversion channel to Bradley Lake from Nuka Pool. This will require either a labor crew with shovels if the amount of material to move is minimal, or a tracked excavator if the amount of material is large. Battle Creek Repairs Timing: Summer 2003 Budget request: $10,000.00 Justification: Economic benefit of additional water input to reservoir. FEMA Funding: No Scope of Work: Battle Creek diverts to Bradley Lake just below the falls. The diversion dike has deteriorated near the base of the falls and allows a large amount of water at high flows to flow to the old channel away from Bradley Lake. Either repairing this dike or making a modification in the bedrock channel near the base of the falls will ensure water is diverted to Bradley Lake at all flow levels. The scope consists of the following: a- Perform remedial work on Battle Creek Falls to train water into the diversion channel. This is work that can be done by a crew of laborers in a few days. Middle Fork Diversion Timing: Summer 2003 Budget request: $20,000.00 Justification: FERC required. FEMA Funding: No Scope of Work: The Middle Fork Diversion is experiencing erosion at the right bank of the channel below the downstream (lower) drop structure stilling pool. The stream is confined in a channel constructed through bedrock but the banks of the channel downstream from the lower drop structure are composed of soil materials overlying bedrock. The soil materials are being eroded at high stream stages. The erosion may or may not be a problem depending on where bedrock is relative to the eroded bank surface. There is no immediate danger to the diversion channel at this time but the erosion needs to be monitored. Also, the bedrock surface needs to be located by use of seismic techniques. If the bedrock surface is not close to the present limits of erosion, then erosion protection work will be required in the near future. If the bedrock is hear the erosion limit then it would be practicable to let the erosion advance to the bedrock. The scope consists of the following: a- Continue to monitor the erosion situation by visual inspection on several occasions in Summer 2003. b- Perform seismic survey to locate bedrock in the erosion zone during summer of 2003. c- Evaluate erosion after observations and seismic information is in hand and design erosion control program if needed. Kachemak Creek Gauging Station Timing: Spring/Summer 2003 Budget request: $26,000.00 Justification: Improve inflow forecasting. FEMA Funding: No Scope of Work: A new precipitation gauge monitoring site at Kachemak Creek would allow for more accurate flow predictions of water available for power generation. Kachemak Creek is the largest flow input into the Bradley Lake. Additional upgrades would be made to sites to allow real-time data monitoring. Martin River Road and Airstrip Repairs Timing: Summer 2003 Budget request: $100,000.00 Justification: Minimum FERC required work. Additional work is being deferred in consideration of the possibility that the road will be removed. FEMA Funding: Partial FEMA reimbursement possible for items a and b. Scope of Work: The Martin River road and Airstrip must be maintained, as it is a licensed project feature. If policy changes take away the need for the Airstrip, it can be taken out of service and abandoned contingent on FERC approval. If the decision is made to abandon the airstrip, maintenance of the road and airstrip will be required until the FERC license is amended. a- Perform remedial work to correct subsidence/sinkholes in roadbed at East and West approaches to the Battle Creek Bridge and re-grade the approaches. b- Perform erosion control work at left (West) abutment of Battle Creek bridge; place rip rap and/or armor stone protection along left bank of waterway approach area to prevent further erosion of embankment and to improve the hydraulic conditions at entrance to bridge waterway. c- Remove brush and trees within the aircraft operations safety area and safety clearance surface limits along runway and at ends of runway. d- Install signs indicating private airstrip. e- Review and revise maintenance policy/procedures regarding the emergency airstrip. Airstrip should be inspected regularly as part of the project features inspection such as when project staff drive to the dam for the regular inspection when the road to the dam is open. Aerial inspections of the project should include a swing by the airstrip. f- | Review aeronautical charts and FAA documents to ensure the airstrip is indicated as private, unattended. g- Review and reissue policy for personnel transport by air and use and operation of the Martin River Emergency Airstrip. Martin River Road and Airstrip Transport Study Timing: Spring 2003 Budget request: $10,000.00 Justification: The airstrip has not been used, maintenance costs are high, increasing, and ongoing, it is difficult to maintain and monitor from the project, there is liability associated with continued maintenance of an unmanned airstrip, and other lower cost alternatives may be available for the project. See attached information describing the advantages and disadvantages of removing or maintaining the Martin River Road. If the study identifies suitable transport alternatives, an amendment to the FERC permit requesting approval to remove airstrip and access road from the project will be considered. Scope of Work: Evaluate transport alternatives to the Martin River airstrip. Alternatives include helicopter access, developing a written no-fly policy in certain wind and weather conditions, vehicle/boat, and US Coast Guard in emergency conditions. FEMA Funding: No On-Site Civil Project Manager Timing: Summer 2003 Budget request: $48,000.00 Justification: HEA staff will be focused on Needle repair job and other ongoing maintenance activities. Additional temporary staffing is needed due to the large amount of Civil work and activities. FEMA Funding: No Scope of Work: Manage Civil work and coordinate logistical related project activities. Digitize and Control Project Drawings and Manuals Timing: Ongoing Budget request: $50,000.00 Justification: Drawings can be digitized for approximately $3-5/drawing. This effort will ensure better records can be maintained, utilized, and managed during upcoming major construction project on Governor. Scope of Work: HEA will coordinate digitization effort and will extend existing document control procedures to manuals. Under a separate budget line item, AEA will organize its internal Bradley documents and cross-reference AEA's and HEA's drawing list. Slip Rings Timing: Immediately Budget request: $50,000.00 Capital Justification: These parts have a 6-7 month lead time for replacement necessitating the need for an on-site spare. Scope of Work: HEA will order and stock necessary spare parts. | 0 | WMincte — Moy f 2002 | Moe. i | ae Stiry Herd I i Mike... FY or budge risk assessneR I drdurenets | finde) ll oh pee, Ls. 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