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November 9, 2009
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P.O. SOX 5569 • PORT GRAHAM, ALASKA 99603-5569 • (907) 284-2212 i FAX (907) 284-2219
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Chief Patrick Norman
Port Graham Village Council
P.O. Box 5510
Port Graham, Alaska 99603
Dear Chief Norman,
On behalf of the Port Graham Corporation, please accept this letter of support for the Port
Graham Village Council's application to the State of Alaska to seek funding from the Alaska
Energy Authority for the Renewable Energy Grant Program, Round III to provide funding to
further the development of alternate energy sources for Port Graham.
We recognize that the energy needs of the communities in our region are prohibitively expensive
for community facilities and for individual residents alike and that this rural area needs more
options for inexpensive alternative electricity and its by-products. Because Port Graham
desperately needs less expensive energy alternatives, affordable to the residents and other users,
we fully support Port Graham's efforts for undertaking this important aspect of improving the
quality of life in our community.
The Port Graham Corporation is poised to commit land for the biomass wood sorting and
chipping yard, if needed, as well as space at our cannery facility, centrally located within the
community. The corporation will also commit to entering negotiations for a fuel source
agreement with the entity created to own and operate the project. Once the final design has been
completed and the space requirements have been determined, Port Graham Corporation will
enter into an Agreement with the Port Graham Village Council to make the land available to
this very important project.
We will continue to support and work with the Port Graham Village Council in whatever
capacity we can to ensure the success of this much -needed program. Please let me know if there
is anything more I can provide to show the support of this community in this effort.
Sincerely,
Walter Meganack
Board Chair
Homer Electric Association, Inc.
Corporate Office
Central Peninsula Service Center
3977 Lake Street
280 Airport Way
Homer, Alaska 99603-7680
Kenai, Alaska 99611-5280
Phone (907) 235-8551
Phone (907) 283-583 1
FAX (907) 235-3313
FAX (907) 283-7122
October 28, 2009
Patrick Norman
Port Graham Village Council
P. O. Box 5510
Port Graham, Alaska 99603
Dear Mr. Norman:
Homer Electric Association (HEA) lends our support to Port Graham Village Council (Council) Port
Graham Village Council Biomass Combined Heat and Power (CHP) Project (Project) proposed to Alaska
Energy Authority Renewable Energy Fund Round 3 Grant Application. HEA understands that an upgrade
of the current power supply to Nanwalek and Port Graham, Alaska from single-phase to three-phase
would be required in order for the Project to be commercially viable. If Port Graham Village Council
develops a 1.5 megawatt, biomass CHP system, HEA would be very interested in entering into a Power
Purchase Agreement with such Tribal entity formed that would own and operate the independent power
supply system. Furthermore, Port Graham Village Council and HEA understand this intent is for the
purchase of wholesale power negotiated under such a power purchase agreement and approved by the
State of Alaska Regulatory Commission.
HEA in consultation with Port Graham Village Council, Nanwalek IRA Council, North Pacific Rim
Housing Authority (NPRHA), and Chugachmiut has recognized significant benefits that might result from
the successful completion of the CHP Project and the associated upgrade to the power line system
infrastructure for these two communities. NPRHA has requested installation of new power lines that
could service a proposed subdivision that if tied into the current system may not have sufficient power
and resources to supply that system. HEA is also aware of Port Graham Corporation's cannery needs for
three-phase electrical power to make that facility more feasible to operate. Moreover, HEA recognizes
other economic efforts of these two remote communities need for reliable three-phase power that could be
generated locally. If the three-phase power is generated locally, then supplying the increasing power
needs along with an upgraded power system would help the support and service of these two
communities.
Furthermore, the above named entities have asked for HEA support for installation of a three-phase line
and switch upgrades from Seldovia, Alaska to Port Graham and then on to Nanwalek, which HEA is
willing to support should funding for these modifications be made available. HEA recognizes that the
State of Alaska Department of Transportation and U. S. Federal Aviation Administration plans to build a
new airport between Port Graham and Nanwalek around 2012-2014. An upgrade to the power line
between Port Graham and Nanwalek would likely be needed to supply power to the new airport. HEA
recognizes that adding a three-phase line instead of a single-phase line may make a better upgrade
decision based on the planned growth for the area, depending upon the financial feasibility of the
construction.
Sincerely
P�
Rick Eckert
Homer Electric Association, Inc.
A Touchstone Energy° Cooperative 0
11/10/2009 11:31 FAX 9072714015 BIA Credit & Finance QD002/002
UMTED STATES
DEPARTMENT OF THE INTERIOR
Assistant secretary- Indian Affairs
Office of Iodise Eames & Ec000mie Development
Division of Capitol Investment
Lean Guaranty Program
1011 East Tudor, Suite 153
Anchorage, AK "303
October 29, 2009
Patrick Norman
Port Graham Village Council
P. O. Box 5510
Port Graham, Alaska 99603
Dear Mr. Norman:
The Alaska Regional Office of Indian Energy and Economic Development (IEED) are pleased to
tend this letter of support to Port Graham Village Council Biomass Combined Heat and Power
(CHP) Project (Project). Port Graham Village Council (Council) and Chugachmiut have asked
us to review the project and IEED has found that the project does qualify for loan guaranty
program that was previously known as the U. S. Bureau of Indian Affairs Loan Guaranty
Program that OJEED now administers.
IEED's mission is to "strengthen Indian communities by stimulating their economies." IEED's
loan guaranty programs help to break through convention barriers to get financing for tribes and
individuals. IEED seeks to help tribes to achieve economic self-sufficiency by creating
sustainable economies through environmentally sound development of their energy and mineral
resources.
If you have any questions or need for clarification of our intent to support the Project, please
contact me.
Sincerely yours,
9-
Jennifer Cesar
Supervisory Financial Analyst
Valdez
Tatitlek
Eyak
Chenega Bay Prince Gulf of Alaska
Gutekcak William Sound
Port Graham
NanwaChugachmiut
Nanw
November 9, 2009
Patrick Norman, First Chief
Port Graham Village Council
P.O. Box 5510
Port Graham, Alaska 99603
Re: AEA 10-015, Renewable Energy Fund Grant Program; Round III
Dear Chief Norman:
Chugachmiut, Inc. is pleased to support Port Graham Village Council's application to the Alaska
Energy Authority; Renewable Energy Fund Grant Program; Round III Competition that will
provide the necessary funding to enable Port Graham to bring to fruition its search to provide
relief from burdensome energy costs for your tribal members.
This project builds upon Port Graham's continuing efforts to become a more independent
community, moving solidly toward self-determination.
The Chugachmiut organization strongly supports this initiative and will commit to working with
the Port Graham Village Council in whatever capacity is required to ensure the success of Port
Graham in its effort to provide for their community.
As you are aware, the commitments Chugachmiut brings to this project include receiving
funding in the past to perform a feasibility study for an alternative energy program for our
communities; this project completes the process to make this dream a reality, by bringing
together the remaining pieces so funding may then be sought for construction and
implementation of a tribal bio-mass energy generation system. Our entire region will benefit
from the technologies and groundbreaking activities this project will provide into the future.
With this letter, Chugachmiut solidly supports and commits $66,018 through the following
services, as in -kind match, to ensure the success of this very important and timely project:
1) Personnel (Match) - $58,570 (salary and benefits)
a. Charlie Sink, Director, Chugachmiut Enterprise Division
b. Nathan Lojewski, Chugachmiut Forester
c. Elmer Moonin, Project Manager, Chugachmiut Enterprise Division
TAMAMTA PIG
1840 S. Bragaw Street, Suite 110 / Anchorage, AK 99508 / (907) 562-4155 / Fax (907) 563-2891 'All of Ours"
A Tribal Organization Serving the Chugach Native Peoples of Alaska
2) Travel (Match) - $7,448, On -site meetings with Port Graham Village Council to
provide technical assistance related overall project management.
Chugachmiut will continue and endeavor to support and work with the Port Graham Village
Council and your administrative staff in whatever capacity possible to ensure the success of this
initiative.
Please let me know if there is anything more I can provide to show the support of this effort. This
project is consistent with our shared goal of achieving self-sufficiency and self-determination for
all the tribes in the Chugach region.
Sincerely,
pa& t Tq
Patrick Anderson
Executive Director
aja4_'��'
ousing authority
November 5`h, 2009
Chief Patrick Norman
P.O. Box 5510
Port Graham, Alaska 99603
Dear Chief Norman,
We recognize that the energy costs of the communities in the region are prohibitively expensive
for community facilities and for individual residents alike and that this rural area needs more
options for affordable alternative electricity and its by-products. Because Port Graham
desperately needs more affordable energy alternatives, affordable to the residents and other
users, we fully support and applaud Port Graham's efforts for undertaking this important aspect
of improving the quality of life in your community.
Therefore, on behalf of the North Pacific Rim Housing Authority (NPRHA), please accept this
letter of support for the Port Graham Village Council's application to the State of Alaska to seek
funding from the Alaska Energy Authority for the Renewable Energy Grant Program, Round III
to provide funding to further the development of alternate energy sources for Port Graham.
Once this project has developed to the point of producing an economical alternative source for
electricity and heat for the homes in Port Graham, NPRHA will assist homeowners in Port
Graham to gain access to funding and financing sources for conversion of their homes to the
more economical heating source. NPRHA will also work with the Council and Chugachmiut to
provide assistance with project management as needed.
We will continue to support and work with the Port Graham Village Council in whatever
capacity we can to ensure the success of this much -needed program. Please let me know if there
is anything more I can provide to show the support of this community in this effort.
Sincerely,
Olen Harris
Executive Director
8300 King Street • Anchorage, AK 99518-3066 • Ph. (907) 562-1444 • Fax (907) 562-1445 • Toll Free 1-888-274-1444
11 Providing Housing Services To The People of The Chugach Native Region