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Home My WebLink AboutBPMC May 17, 2019BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING REGULAR MEETING May 17,2019 1.CALL TO ORDER ;gee er tOViceChairIzzocalledtheregularmeetingoftheBradleyLakeHydroelectricProject Management Committee to order at 10:09 a.m.A quorum was established. 2.ROLL CALL FOR COMMITTEE MEMBERS Cory Borgeson (phone)(Golden Valley Electric Association [GVEA]);Tony Izzo (Matanuska Electric Association [MEA]);Bryan Carey (Alaska Energy Authority [AEA]);Lee Thibert (Chugach Electric Association [CEA]);Anna Henderson (Anchorage Municipal Light & Power [ML&P]);John Foutz (City of Seward);and Bob Day (Homer Electric Association [HEA]). 3.PUBLIC ROLL CALL Ashton Compton,Jocelyn Garner,Curtis Thayer,Kirk Warren,Brandi White (AEA);Brian Hickey,Russell Thornton (CEA);Stefan Saldanha (Department of Law);Ron Rebenitsch (Energy Engineering);Peter Sarauer,Leo Quiachon (phone)(GVEA),Emily Hutchinson (phone),Larry Jorgenson,Alan Owens (HEA);Kirk Gibson (phone)(McDowell Rackner Gibson,PC);David Pease,Tony Zellers (MEA);Jeff Warner,Molly Morrison (phone) (ML&P);Bernie Smith (Public);and Sunny Morrison (Accu-Type Depositions). 4.PUBLIC COMMENTS None. 5.AGENDA APPROVAL MOTION:Mr.Thibert made a motion to approve the agenda,including the friendly amendment to move Item 8 after Item 11.Motion to approve the agenda including the friendly amendment seconded by Mr.Foutz. Motion passed unanimously to approve the agenda,including the friendly amendment to move Item 8 after Item 11. 6.PRIOR MINUTES -March 15,2019 and March 22,2019 MOTION:Mr.Thibert made a motion to approve the Minutes of March 15,2019 and March 22,2019.Motion seconded by Mr.Foutz. The motion passed with no objection. BPMC Minutes 5/17/19 Page 1 of 5 7.NEW BUSINESS A.Battle Creek Project Update Mr.Carey provided the Battle Creek project update.There is approximately three to four feet of snow by the diversion dam at Wall 2.The snow will be moved before the blasting occurs.The contractor should be at the diversion site in about two weeks.The stream flows at that elevation are still low water.There have been four budget change-orders to- date.The net effect is close to $15,000.Orion updated the schedule this spring through requests for change and indicated the new completion timeframe is late 2020.The project will be substantially complete this year.Orion asserts the extended completion timeframe is due to AEA delays.AEA has compiled a response letter and additional information can be discussed during executive session.The requests for change are not currently claims. Mr.Carey described pictures of the project and discussed the contractor's efficient process of drilling,blasting,and rock removal.Mr.Carey noted Orion has been in discussion with the supplier of the pipe for about three weeks regarding commercial terms.Once the commercial terms are finalized and production begins at the factory,the lead time could be approximately three months before the pipe is delivered to the project site. There were no questions. Vice Chair Izzo inserted congratulations to Ms.Henderson and welcomed her as the new BPMC representative for ML&P.Jeff Warner will remain the alternative representative. Members were provided a copy of the ML&P designation letter. 9.OPERATORS REPORT Mr.Day reviewed the provided Operator Report.The unit statistics generated through May 14th,2019,are almost equal to the unit statistics generated in April.This is due to both units being down during the first part of April,and Unit 2 returning to service during late April.The plant is running well. Mr.Day discussed the issue regarding the cracks in the mechanical dividers.A temporary repair has been implemented and both units are back in service.The plan is to inspect each unit within approximately six months to ensure the repairs are stable.Issues were also discovered with pole connections and replacements and repairs were made.The pieces will be examined during the unit inspection.ABB has provided a proposal to repair the pole pieces,but the pieces cannot be repaired onsite and will have to be shipped outside at a hefty expense. Mr.Day noted the average lake levels have been substantially higher than the historical average for this time of year by about 25 feet.He complimented the utilities on their efforts to reduce the lake levels and their anticipation of the needed storage room.Snow is in the high country and inflows are expected soon. Mr.Day advised Emerson will replace the DCS system and upgrade the computers in the beginning of June.The fish water automation will be finalized thereafter.Mr.Day informed bridge repairs are still needed.He noted Orion has to build a temporary bridge at the BPMC Minutes 5/17/19 Page 2 of 5 diversion for construction.The plan is to discuss with Orion the possibility of repurposing/reusing their bridge materials to complete the project's bridge repairs. Mr.Day highlighted an error on page two under Operations,Maintenance,and Inspections. The second sentence in Item 2)should read,"Capacity factor for the partial month of May for Unit 1 was 47.6%and for Unit 2 was 20.1%.” Mr.Day reported issues with a nuisance bear.Precautions have been implemented. Attempts to scare the bear off have been unsuccessful.Alaska Department of Fish and Game has been notified.Mr.Day showed the listing of repair items and descriptions for the Unit 2 repair.Approximately $100,000 worth of repair items are not listed because of the lag in accounting.The Committee authorized $950,000 for generator and turbine repair, including a possible wedging system replacement.After inspection of the unit,the wedging system was deemed stable,but additional substantial problems were uncovered with regards to pole pieces,exciter connections,and divider plates.The original budgeted amount seems to be adequate for the necessary repairs.With the approval of the Committee,the work will continue under the original budget. Mr.Foutz expressed appreciation to Mr.Day and the crews for identifying the issues and taking a proactive solution. 10.COMMITTEE REPORTS A.Budget to Actual Report Jocelyn Garner of AEA reviewed the provided Budget to Actual Expense Report dated July 1,2018 through February 28,2019.The second page shows the capital purchases.The bridge repair budgeted amount is available for use this year and next year.The operations and maintenance report is shown on pages three through six,and includes the approved budget amendment line item of indirect costs.The budget is approximately $700,000 under budget to-date.The crews quarters upgrade will not occur this year.The FERC admin fee will not be received and expensed until July. Ms.Garner discussed the R&C fund disbursement and repayments Schedule D.The fire alarm system replacement will undergo partial completion during this budget cycle.There were no Battle Creek capital purchases during the fiscal year.The administrative actual costs are inline with the budgeted amounts. B.Bradley O&D Report Pete Sarauer,GVEA,presented the O&D Report and noted Mr.Day reviewed many of the listed items during the operators report.Discussions are ongoing regarding KPI's and creating a presentation for the BPMC.HEA is scheduled to hire a trainee.The Bradley Lake flight manifests are supplied in the operators report.The operator is to provide a list of any individuals not associated with the Bradley project. Mr.Sarauer noted the lake levels are unusually high for this time of the year.The O&D Committee is scheduled to meet later today to develop a plan to expedite lake level reduction before the inflows.There were no questions. BPMC Minutes 5/17/19 Page 3 of 5 11.COMMITTEE ASSIGNMENTS Mr.Borgeson previously gave an assignment to Kirk Gibson,McDowell Rackner Gibson,PC, to review the transfer in reference to the ML&P acquisition by CEA and analyze the Bradley agreements to determine the process the BPMC should undergo.Mr.Gibson is scheduled to present his report at the next BPMC meeting. MOTION:Mr.Foutz made a motion to go into Executive Session to discuss confidential matters related to Battle Creek.Motion seconded by Mr.Carey. The motion passed with no objection. 8.EXECUTIVE SESSION:10:51 a.m. A.Battle Creek The Committee reconvened its regular meeting at 12:03 p.m. 12.MEMBERS COMMENTS Mr.Day expressed appreciation to the BPMC for their support addressing the repairs. Mr.Thibert welcomed Ms.Henderson to the Committee.He complimented Mr.Day and the crew for their outstanding job.He expressed appreciation to Vice Chair Izzo for chairing the meeting. Mr.Carey welcomed Ms.Henderson to the Committee and encouraged her to complete a Bradley Lake site visit. Mr.Foutz expressed appreciation to Mr.Carey and Ron Rebenitsch,Energy Engineering,for their proactive efforts in addressing the issues.He welcomed Ms.Henderson to the Committee. Mr.Borgeson thanked Vice Chair Izzo for chairing the meeting and expressed appreciation for the diligent work and efforts shown. Ms.Henderson commented she looks forward to working with the Committee and appreciates the work thus far. Vice Chair Izzo echoed the previous comments of appreciation. Curtis Thayer,AEA Executive Director,expressed appreciation to Mr.Carey and Mr. Rebenitsch.He informed the AEA Board is scheduled to visit Bradley Lake in July. 13.NEXT MEETING DATE-July 26,2019 Vice Chair Izzo informed a work session meeting will likely be scheduled before the next regular meeting.The next regular meeting is scheduled for July 26,2019. 14.ADJOURNMENT BPMC Minutes 5/17/19 Page 4 of 5 There being nofurth business for the committee,the meeting adjourned at 12:08 p.m."IBY:lo :Tony Izzo,Vice Ch in VU vAttest:LL vu ZH Alaska Energy Authority,shoaary BPMC Minutes 5/17/19 Page 5 of 5 BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING REGULAR MEETING May 17,2019 os1.CALL TO ORDER Vice Chair Izzo called the regular meeting of the Bradley Lake Hydroelectric Project Management Committee to order at 10:09 a.m.A quorum was established. 2.ROLL CALL FOR COMMITTEE MEMBERS Cory Borgeson (phone)(Golden Valley Electric Association [GVEA]);Tony Izzo (Matanuska Electric Association [MEA]);Bryan Carey (Alaska Energy Authority [AEA]);Lee Thibert (Chugach Electric Association [CEA]);Anna Henderson (Anchorage Municipal Light & Power {ML&P]);John Foutz (City of Seward);and Bob Day (Homer Electric Association [HEA]). 3.PUBLIC ROLL CALL Ashton Compton,Jocelyn Garner,Curtis Thayer,Kirk Warren,Brandi White (AEA);Brian Hickey,Russell Thornton (CEA);Stefan Saldanha (Department of Law);Ron Rebenitsch (Energy Engineering);Peter Sarauer,Leo Quiachon (phone)(GVEA),Emily Hutchinson (phone),Larry Jorgenson,Alan Owens (HEA);Kirk Gibson (phone)(McDowell Rackner Gibson,PC);David Pease,Tony Zellers (MEA);Jeff Warner,Molly Morrison (phone) (ML&P);Bernie Smith (Public);and Sunny Morrison (Accu-Type Depositions). 4.PUBLIC COMMENTS None. 5.AGENDA APPROVAL MOTION:Mr.Thibert made a motion to approve the agenda,including the friendly amendment to move Item 8 after Item 11.Motion to approve the agenda including the friendly amendment seconded by Mr.Foutz. Motion passed unanimously to approve the agenda,including the friendly amendment to move Item 8 after Item 11. 6.PRIOR MINUTES -March 15,2019 and March 22,2019 MOTION:Mr.Thibert made a motion to approve the Minutes of March 15,2019 and March 22,2019.Motion seconded by Mr.Foutz. The motion passed with no objection. BPMC Minutes 5/17/19 Page 1 of 5 7.NEW BUSINESS A.Battle Creek Project Update Mr.Carey provided the Battle Creek project update.There is approximately three to four feet of snow by the diversion dam at Wall 2.The snow will be moved before the blasting occurs.The contractor should be at the diversion site in about two weeks.The stream flows at that elevation are still low water.There have been four budget change-orders to- date.The net effect is close to $15,000.Orion updated the schedule this spring through requests for change and indicated the new completion timeframe is late 2020.The project will be substantially complete this year.Orion asserts the extended completion timeframe is due to AEA delays.AEA has compiled a response letter and additional information can be discussed during executive session.The requests for change are not currently claims. Mr.Carey described pictures of the project and discussed the contractor's efficient process of drilling,blasting,and rock removal.Mr.Carey noted Orion has been in discussion with the supplier of the pipe for about three weeks regarding commercial terms.Once the commercial terms are finalized and production begins at the factory,the lead time could be approximately three months before the pipe is delivered to the project site. There were no questions. Vice Chair Izzo inserted congratulations to Ms.Henderson and welcomed her as the new BPMC representative for ML&P.Jeff Warner will remain the alternative representative. Members were provided a copy of the ML&P designation letter. 9.OPERATORS REPORT Mr.Day reviewed the provided Operator Report.The unit statistics generated through May 14th,2019,are almost equal to the unit statistics generated in April.This is due to both units being down during the first part of April,and Unit 2 returning to service during late April.The plant is running well. Mr.Day discussed the issue regarding the cracks in the mechanical dividers.A temporary repair has been implemented and both units are back in service.The plan is to inspect each unit within approximately six months to ensure the repairs are stable.Issues were also discovered with pole connections and replacements and repairs were made.The pieces will be examined during the unit inspection.ABB has provided a proposal to repair the pole pieces,but the pieces cannot be repaired onsite and will have to be shipped outside at a hefty expense. Mr.Day noted the average lake levels have been substantially higher than the historical average for this time of year by about 25 feet.He complimented the utilities on their efforts to reduce the lake levels and their anticipation of the needed storage room.Snow is in the high country and inflows are expected soon. Mr.Day advised Emerson will replace the DCS system and upgrade the computers in the beginning of June.The fish water automation will be finalized thereafter.Mr.Day informed bridge repairs are still needed.He noted Orion has to build a temporary bridge at the BPMC Minutes 5/17/19 Page 2 of 5 diversion for construction.The plan is to discuss with Orion the possibility of repurposing/reusing their bridge materials to complete the project's bridge repairs. Mr.Day highlighted an error on page two under Operations,Maintenance,and Inspections. The second sentence in Item 2)should read,"Capacity factor for the partial month of May for Unit 1 was 47.6%and for Unit 2 was 20.1%.” Mr.Day reported issues with a nuisance bear.Precautions have been implemented. Attempts to scare the bear off have been unsuccessful.Alaska Department of Fish and Game has been notified.Mr.Day showed the listing of repair items and descriptions for the Unit 2 repair.Approximately $100,000 worth of repair items are not listed because of the lag in accounting.The Committee authorized $950,000 for generator and turbine repair, including a possible wedging system replacement.After inspection of the unit,the wedging system was deemed stable,but additional substantial problems were uncovered with regards to pole pieces,exciter connections,and divider plates.The original budgeted amount seems to be adequate for the necessary repairs.With the approval of the Committee,the work will continue under the original budget. Mr.Foutz expressed appreciation to Mr.Day and the crews for identifying the issues and taking a proactive solution. 10.COMMITTEE REPORTS A.Budget to Actual Report Jocelyn Garner of AEA reviewed the provided Budget to Actual Expense Report dated July 1,2018 through February 28,2019.The second page shows the capital purchases.The bridge repair budgeted amount is available for use this year and next year.The operations and maintenance report is shown on pages three through six,and includes the approved budget amendment line item of indirect costs.The budget is approximately $700,000 under budget to-date.The crews quarters upgrade will not occur this year.The FERC admin fee will not be received and expensed until July. Ms.Garner discussed the R&C fund disbursement and repayments Schedule D.The fire alarm system replacement will undergo partial completion during this budget cycle.There were no Battle Creek capital purchases during the fiscal year.The administrative actual costs are inline with the budgeted amounts. B.Bradley O&D Report Pete Sarauer,GVEA,presented the O&D Report and noted Mr.Day reviewed many of the listed items during the operators report.Discussions are ongoing regarding KPI's and creating a presentation for the BPMC.HEA is scheduled to hire a trainee.The Bradley Lake flight manifests are supplied in the operators report.The operator is to provide a list of any individuals not associated with the Bradley project. Mr.Sarauer noted the lake levels are unusually high for this time of the year.The O&D Committee is scheduled to meet later today to develop a plan to expedite lake level reduction before the inflows.There were no questions. BPMC Minutes 5/17/19 Page 3 of 5 11.COMMITTEE ASSIGNMENTS Mr.Borgeson previously gave an assignment to Kirk Gibson,McDowell Rackner Gibson,PC, to review the transfer in reference to the ML&P acquisition by CEA and analyze the Bradley agreements to determine the process the BPMC should undergo.Mr.Gibson is scheduled to present his report at the next BPMC meeting. MOTION:Mr.Foutz made a motion to go into Executive Session to discuss confidential matters related to Battle Creek.Motion seconded by Mr.Carey. The motion passed with no objection. 8.EXECUTIVE SESSION:10:51 a.m. A.Battle Creek The Committee reconvened its regular meeting at 12:03 p.m. 12.MEMBERS COMMENTS Mr.Day expressed appreciation to the BPMC for their support addressing the repairs. Mr.Thibert welcomed Ms.Henderson to the Committee.He complimented Mr.Day and the crew for their outstanding job.He expressed appreciation to Vice Chair Izzo for chairing the meeting. Mr.Carey welcomed Ms.Henderson to the Committee and encouraged her to complete a Bradley Lake site visit. Mr.Foutz expressed appreciation to Mr.Carey and Ron Rebenitsch,Energy Engineering,for their proactive efforts in addressing the issues.He welcomed Ms.Henderson to the Committee. Mr.Borgeson thanked Vice Chair Izzo for chairing the meeting and expressed appreciation for the diligent work and efforts shown. Ms.Henderson commented she looks forward to working with the Committee and appreciates the work thus far. Vice Chair Izzo echoed the previous comments of appreciation. Curtis Thayer,AEA Executive Director,expressed appreciation to Mr.Carey and Mr. Rebenitsch.He informed the AEA Board is scheduled to visit Bradley Lake in July. 13.NEXT MEETING DATE -July 26,2019 Vice Chair Izzo informed a work session meeting will likely be scheduled before the next regular meeting.The next regular meeting is scheduled for July 26,2019. 14.ADJOURNMENT BPMC Minutes 5/17/19 Page 4 of 5 There "en,business for the committee,the meeting adjourned at 12:08 p.m.BY:oATonyIzzo,Vice Chi in W adAttest:ZL vc Gn, Alaska Energy Authority,Secretary BPMC Minutes 5/17/19 Page 5 of 5 10. 11. 12. 13. 14. BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE (BPMC) REGULAR MEETING AGENDA Friday,May 17,2019 10:00 a.m. Alaska Energy Authority Board room 813 W Northern Lights Blvd,Anchorage 1-888-585-9008 -Conference room code 134-503-899# CALL TO ORDER ROLL CALL FOR COMMITTEE MEMBERS PUBLIC ROLL CALL PUBLIC COMMENTS AGENDA APPROVAL PRIOR MINUTES -March 15,2019 &March 22,2019 NEW BUSINESS A.Battle Creek Project Update EXECUTIVE SESSION -Discuss confidential matters related to: A.Battle Creek OPERATORS REPORT COMMITTEE REPORTS A.Budget to Actual Report B.Bradley O&D Report COMMITTEE ASSIGNMENTS MEMBER COMMENTS NEXT MEETING DATE =July 26,2019 ADJOURNMENT BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE TELECONFERENCE MEETING MINUTES Friday,March 15,2019 Anchorage,Alaska 1.CALL TO ORDER Chair Cory Borgeson called the special teleconference meeting of the Bradley Lake Project Management Committee to order at 3:21 pm on March 15,2019.A full quorum was established. 2.ROLL CALL FOR COMMITTEE MEMBERS Members participating telephonically:Cory Borgeson (Golden Valley Electric Association); Burke Wick (Chugach Electric Association);John Foutz (City of Seward);Mark Johnston (Municipal Light &Power);Bob Day [for Bradley Janorschke]-(Homer Electric Association); Bryan Carey (Alaska Energy Authority);and Tony Zellers (Matanuska Electric Association). 3.PUBLIC ROLL CALL Alaska Energy Authority staff members participating telephonically:Curtis Thayer,Kirk Warren,Brandi White,and Ashton Compton. Public Members:Kirk Gibson (McDowell Rackner &Gibson PC);Brian Hickey (Chugach Electric Association);Larry Jorgensen (Homer Electric Association);Matt Clarkson (CEA); Krin Kemppainen (AIDEA Administrative Assistant);Bernie Smith (Phone);Stephan Saldanha (Department of Law)and Sunny Morrison (Accu-Type Depositions). 4.PUBLIC COMMENTS There were no public comments. 5.AGENDA APPROVAL MOTION:Mr.Johnston made a motion to approve the agenda.Motion seconded by Mr.Wick. The motion was approved unanimously by voice vote. 6.NEW BUSINESS 6A.Bradley Lake Project Operations &Maintenance Agreement Approval Chair Borgeson introduced the O&M Agreement for Bradley Lake Hydroelectric Project between Homer Electric Association,Inc.and Alaska Energy Authority. BPMC Meeting Minutes March 15,2019 Page 1 of2 MOTION:Mr.Johnston made a motion to approve the Bradley Lake Project Operations &Maintenance Agreement.Motion seconded by Mr.Foutz. Chair Borgeson noted prior discussions and communications from BPMC legal counsel Kirk Gibson.After numerous telephonic challenges,Kirk Gibson was connected at 3:28 pm and Tony Izzo at 3:30 pm. Kirk Gibson (McDowell Rackner &Gibson PC),counsel for BMPC,had briefed legal counsel or representatives of the utility on the current status of the final agreement including AEA contract number 19049.There were no questions or comments regarding approval of this contract. Before a roll call vote for approval of the motion was taken,Chair Borgeson read themotionintotherecord. MOTION:The Bradley Lake Project Management Committee approve the Operations &Maintenance Agreement for the Bradley Lake Hydroelectric Project betweenHomerElectricAssociation,Inc.and Alaska Energy Authority,AEA Contract Number19049intheformpresentedatthisspecialmeeting.Matt Clarkson clarified contract number with Mr.Gibson. MOTION:The motion was approved by roll call vote unanimously with MEA,CEA, City of Seward,ML&P,HEA,GVEA and AEA voting affirmatively. 7.COMMITTEE ASSIGNMENTS Chair Borgeson delayed any committee assignments regarding the contract to the meeting of March 22,2019. 8.MEMBERS COMMENTS , Chair Borgeson delayed member's comments to the meeting of March 22,2019. 9.NEXT MEETING DATE -March 22,2019 10.ADJOURNMENT There being no further business of the Bradley Lake Management Committee,the meeting adjourned. Cory Borgeson,Chairman Secretary BPMC Meeting Minutes -March 15,2019 Page 2 of2 BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE REGULAR MEETING March 22,2019 1.CALL TO ORDER Chair Cory Borgeson called the regular meeting of the Bradley Lake Project Management Committee to order at 10:00 a.m.on March 22,2019.A quorum was established. 2.ROLL CALL FOR COMMITTEE MEMBERS Cory Borgeson (Golden Valley Electric Association);Bryan Carey (Alaska Energy Authority);Bradley Janorschke (Homer Electric Association);Lee Thibert (Chugach Electric Association);Tony Izzo (Matanuska Electric Association);Mark Johnston (Municipal Light&Power);and John Foutz (City of Seward). 3.PUBLIC ROLL CALL Telephonic participants:Emily Hutchinson (Homer Electric Association (HEA);Crystal Enkvist (Alaska Power Association and Areca Insurance Exchange)and a representative ofGoldenValleyElectricAssociation(GVEA).Jeff Warner (Municipal Light &Power (ML&P);Bob Day (Homer Electric Association (HEA)and Bradley Lake);Stefan Saldanha (Department of Law);Ron Woolf (Golden ValleyElectricAssociation(GVEA);Jocelyn Garner (Alaska Energy Authority (AEA);Ashton Compton (AEA);Brandi White (AEA);Kirk Warren (AEA):Larry Jorgenson (Homer Electric Association (HEA);Ron Rebenitsch (Energy Engineering,Inc.);Kirk Gibson (McDowell Rackner &Gibson PC (MRG);Tony Zellers (Matanuska Electric Association (MEA);David Pease (MEA);Russ Thornton (Chugach Electric Association (CEA);Burke Wick (CEA);Brian Hickey .(CEA);Mollie Morrison (Municipal Light &Power (ML&P); Emma Henderson (Municipal Light &Power (ML&P)and Bernie Smith (Public). 4.PUBLICCOMMENTS © There were no public comments. 5.AGENDA APPROVAL MOTION:Mr.Johnston made a motion to approve the agenda.Motion was seconded by Mr.Foutz. Hearing and seeing no objection,the agenda was approved. 6.PRIOR MINUTES -January 25,2019 Bradley Lake Project Management Committee Minutes 3/22/19 Page 1 of 5 MOTION:Mr.Thibert made a motion to approve the minutes of January 25,2019. The motion was seconded by Mr.Janorschke. The motion to approve the minutes of January 25,2019 passed unanimously by voice vote. 7.NEW BUSINESS A.Bradley FY2020 Budget Approval MOTION:Mr.Janorschke made a motion to approve the budget.The motion wassecondedbyMr.Foutz. Ron Woolf,CFO at Golden Valley Electric Association and Chair of the Budget Subcommittee for Bradley Lake,noted that the total proposed budget for Bradley FY2020 is $21.4 million which is an increase of $475,000 over the previous year.He said the budget was driven on the revenue side by an increase of $577,000 in utility contributions and a decrease of a little less than $102,000 of interest income.He added that the R&C fund is down $624,000.He explained the increase in the budget is being driven by Operations and Maintenance whichis up $563,574 as well as a $412,500increase in the non-R&C fundcapitalpurchases. Mr.Woolf said that he had been looking for ways to reduce the budget,but during a jointmeetingwithO&D and budget committee,the budget was actually increased about $100,000 because the O&D contract required two operators at all time at the Bradley LakePlant.. In response to Mr.Janorschke's request for clarification on the postponement of the Battle Creek Bridge repair,Mr.Day explained that there are more critical issues to address right now and the repair could be deferred.The worry,he pointed out,is that the bridge might eventually fall into the salmon stream which would then have some environmental impact, but,he added,that it is in no immediate danger of doing so. After discussion whether to take out the $220,000 for the Battle Creek Bridge Repair Refurbishment,it was decided to leave the project in.Mr.Day said he would have an update at the next meeting after discussions with the new project manager on site whether it might do the work ona fill-in basis at a much reduced rate. The motion to approve the Bradley FY2020 Budget as submitted passed unanimously by roll call vote. B.Battle Creek Project Update While the project update would be heard in Open Session,Chair Borgeson's suggestion to move the Executive Session regarding legal and financial matters about the Battle Creek Project to a later time in the agenda was approved without objection. Bradley Lake Project Management Committee Minutes 3/22/19 Page 2 of 5 Mr.Carey provided the Battle Creek Project Update.Mechanical problems had delayed a March 19 mobilization to April 5 when the contractor anticipates getting a barge with the equipment on site.He said the access roads should be cleared of snow in two weeks so work can start on blasting and laying the pipe. Mr.Carey said under current resources,the contractor believes it will not be able to complete the project until late 2020 which is past the contract time period.The contractor provided AEA with two draft schedules,one of which includes double shifting the blasting and double shifting the laying of pipe.If the double shifting is approved,it is possible the project could be completed at the end of 2019 but would incur additional costs.The contractor has wrapped those additional costs into what it considers change orders which AEA disagrees with.AEA has requested specific information to back up the contractor's claims for change orders.Unit cost-wise,Mr.Carey noted that the lower access road was completed under what was estimated while the upper access road will involve greater rock excavation and less wall construction than estimated.He added there are still other unknowns. 8.COMMITTEE ASSIGNMENTS A.Budget Subcommittee -Budget to Actual Jocelyn Garner of AEA reviewed the Budget Report through December 2018.The Balance Sheet and Income Statement for the Bradley Lake Project as a whole showed a surplus of only $500,000 since only half of the revenues have been collected and only half of the expenses have been spent.The document showed the revenues collected from the Battle Creek Participating Utilities,noting that expenses are under because of the IRS subsidy which is not budgeted for.She continued to identify the details in her report including capital purchases not funded by the R&C Fund and O&M Detail for Bradley Lake.Currently $1.7 million of the $4.7 budget has been spent.Ms.Garner noted the bills will be increased January through June due to the budget amendment passed in February 2019 with billing at the new O&M contract rates.She pointed out R&C Funded Projects which include Equipment Storage Shed,Emerson Operating System Upgrade,and the Generator #2 Replacement.She concluded her report with what has been spent on Battle Creek administrative costs. B.Operators Report Mr.Day reviewed the Operator Report,correcting an error on page 2 of the report by noting that Unit 2 was basically unavailable during February. His Power Point presentation illustrated the details of critical generator and turbine issues which,he said,could have resulted in unmitigated disasters had they not been corrected. One problem was the exciter bus which,he said,was not in good shape.There was not much left of the insulator after it had basically been "cooking”since day one.It was repaired and replaced.He noted that an inspection of Generator 2 revealed cracks in five outer pole field connections requiring replacement.A third problem was cracking in the Bradley Lake Project Management Committee Minutes 3/22/19 Page 3 of 5 divider plates which was thought to have resulted from improper welding procedures.Mr. Day said it is suspected that Unit 1 may have similar issues with the field pole connections and the dividers as Unit 2.His report included many technical details describing how the system works. Mr.Izzo asked whether the failure of the dividers is related to fatigue or stress or at a certain life cycle of the components.Mr.Day said he was convinced that the problem was created by improper weld procedures in the field. Mr.Wick clarified that the modification will be a single monolithic piece. Responding to Mr.Thibert's concern with introducing bolts,Mr.Day said a keeper plate will be placed on the back end to keep them from rotating and then they will be tackweldedtothatkeeperplate. Chair Borgeson wanted to clarify the scope of the project in terms of finances and time.He asked if units could be back on in eight to ten days,but Mr.Day thought 20 or 21 days would be a more valid expectation.Regarding the cost of fixing the three problems,Mr. Day pointed out that he had been authorized $950,000 for the generator repair and he is well under budget,although all the bills have not yet come in.All the work is being doneunderthegeneratorrepair. C.O&D Report With Pete Saraurer unavailable telephonically,Bob Day filled in to provide the Bradley O&D Report.Mr.Day said work on Unit 2 is almost complete.He noted that the start-up run through is still pending.Canyon and Hydro will have to be brought back to finish that. If there are no major alignment issues,he expects that could be a two or three-day process but the dividers have to be repaired before that can be started.When he is able to determine the status of the poles on Unit 1,he said he would have a clearer path forward. Mr.Day advised that Chugach had completed its work on the line the southern tie was backinservicebyWednesdayafternoon. Chair Borgeson assigned the O&D to develop key performance metrics and indicators for the Bradley Lake project and report its findings to the BPMC as part of the Operators Report. The O&D Committee was also assigned to review and reevaluate the contractual requirement of staffing at the project and report its findings to BPMC. 9.EXECUTIVE SESSION MOVED TO ITEM 11 ON AGENDA;MEMBERS COMMENTS MOTION:Mr.Johnston moved to change the order of the agenda and move number 9 after number 11 so that the group can address member comments,the next meeting date, Bradley Lake Project Management Committee Minutes 3/22/19 Page 4 of 5 adding that the board could adjourn when it comes out of Executive Session.Without objection,his motion was approved. Mr.Foutz welcomed Curtis Thayer as AEA executive director and Ashton Compton as his new executive assistant. Mr.Janorschke and Mr.Thibert expressed appreciation to the budget committee and to the O&D Committee. Mr.Carey said that AEA had notified that the alternate for BPMC is AEA's new executive director Curtis Thayer.He added that calls from Mexico would not be accepted for future BPMC meetings since a recent meeting had been considerably delayed due to the call-in code being compromised. Mr.Johnston joked that he was in his office,not in Mexico. Chair Borgeson thanked everyone for all the work on the O&M Agreement.He also recognized Teri Webster for her great work as former AEA administrative assistant. Mr.Foutz wished everyone to have a great Seward's Day. 10.NEXT MEETING DATE Committee members concurred with the recommendation to move the next regular meeting of the Bradley Lake Project Management Committee to May 17,2019. 11.|EXECUTIVE SESSION -BATTLE CREEK MOTION:A motion was made by Mr.Johnston to go into Executive Session to discuss legal and financial matters related to Battle Creek contract project.Mr.Foutz seconded the motion. The motion was approved unanimously by voice vote. Chair Borgeson said that it was at the utilities'discretion to have representatives stay for the Executive Session. The Board went into executive session at 11:02 a.m.and reconvened its regular meeting at approximately 11:54 a.m. At the conclusion of the Executive Session,Chair Borgeson said there was no action taken during Executive Session. 12.ADJOURNMENT There being no further business for the committee,the meeting adjourned at 11:57 p.m. Bradley Lake Project Management Committee Minutes 3/22/19 Page 5 of 5 BY: Cory Borgeson,Chair Attest: Alaska Energy Authority,Secretary Bradley Lake Project Management Committee Minutes 3/22/19 Page 6 of 5 West Fork Upper Battle Creek Update May 17,2019 Events: Contractor started working on site early April. To increase efficiency contractor now going to day &night drilling. Contractor in commercial terms discussion with HDPE manufacture.Once final signed pipe can be manufactured in 30-40 days.AEA waiting on firm delivery date to Seattle.Will take substantial time to ship to Bradley,off load,&transport up mountain. Pioneer road about 1200 feet from diversion site.Expect they will be at diversion site in next two weeks.Bridging and initial temporary diversion work will start in later May. Contractor provided AEA with a 2018 Request for Change of why they believe they are entitled to additional funds. Schedule: Contractor provided end of April schedule (data date April 18,2019)schedule. Substantial completion would be December 2019.Contract substantial completion July 2020. Schedule is achievable if good weather in the fall and they do some amount of double shifting. Budget: Little change in budget.AEA doing several Change Orders from 2018 &2019 that reduce contract amount by minor amount.AEA is awaiting information from the contractor for several Change Orders. There will be discussion in the fall about changes in unit prices for several items. This can change contract amount by several million dollars. Photo 1:Wall2 &3 Photo 2:Wall 3 drilling Photo 3:Wall 2 work ee *-ga, 3 aaa ie§ate ge th oy aie Tyres;oe ae :AN eg oe om 7 ee %.et Mxe x RN a " Unit Statistics: Bradley Lake Operator Report BPMC May 17,2019 *as of May 14,2019 Generation Unit 1 (MWhrs)Unit 2 (MWhrs)Total (MWhrs) April 2019 21,374 9,121 30,495 Hydraulics Avg.Lake Level (ft.)Usage (ac ft.)Fish water (CFS) April 2019 1157.5 30,298 64.5 AVG Generation Unit 1 (MWhrs)Unit 2 (MWhrs)Total (MWhrs) May 2019*12,305 10,800 23,105 Hydraulics Avg.Lake Level (ft.)Usage (ac ft.)Fish water (CFS) May 2019*1150.2 23,105 167.0 AVG Lake Level -1148.7'as of May 14,2019 Capital Projects: 1}Generator 2 electrical Inspection -Unit 2 was restored to service April 18. 2)Mechanical Divider issue -both turbine 1 and turbine 2 had a majority of the dividers exhibiting cracks.In each case at least 4 of the dividers were in a state that |would call alarming or concerning.Two on each machine were what | termed worrisome.We have completed a temporary bolting fix on the existing dividers and need to have new monolithic divider manufactured.We are working with some vendors to determine pricing.Pricing has been indicated to be between $9,700 13,000 and 23,000 each.We need to purchase 12 each. Lead time is on the order of 24 weeks. 3)Concerns on Unit 1 and Unit 2-We plan to take the units down in about 6 months and conduct a quick inspection of the dividers. 4)Unit 2 -We plan on inspecting the pole connection in about 6 months to make sure the repairs are holding. 5)ABB has offered a fix on the pole connection -More information to follow.|will share their engineering proposal but recognize that this is proprietary information. Bradley Lake Operator Report Page 1 6)Emerson Ovation Upgrade -FAT was completed last week.The equipment has been shipped and we intend on installation the week of June 3"with a one-day(full plant)outage scheduled for June 4". 7)Fish Water Control Automation -Scheduled for June 10". 8)Status of Repairs and Budget -See separate document on YTD expenditures for the emergency overhauls and inspections. Operations,Maintenance,and Inspections: 1)Operations-Unit 1 was operational as of April 10 and Unit 2 returned to service April 18.Operation with both units has been normal since then. 2)April Unit availability -Unit 1 68.4%,Unit 2 40.8%.Capacity factor for April for Unit 1 was 47.6%and for Unit 2 20.1% 3)Safety meeting -Meeting was held on May 6th. 4)Nuisance Bear -we have been having issues with a problem bear.We are attempting to scare him off with rubber bullets and bean bag shells.He seems to not care about noise rounds. Bradley Lake Operator Report Page 2 listltem Date ItemiD =Account_Amount Description Vendor #Vendor Name 02/07/19 MSEL 00 333.11 2.02 BL METRIC SCKT HD CAP SCREWS 50 =4654 FASTENAL COMPANY 03/06/19 MSEL 00 333.11 14.98 BL CONDUIT (GEN#2 REPAIRS)6665 O'REILLY AUTO ENTERPRISES 03/01/19 MSEL 00 333.11 28.40 DAY 1902 6906 US BANK CORPORATE 01/24/19 MSEL 00 333.11 35.90 BL GEN 2 OVERHAUL PARTS&SUPPLIES 4833 KACHEMAK AUTO PARTS 03/19/19 MSEL 00 333.11 39.99 BL HAMMER TACKER 1 6849 ULMER'S DRUG &HARDWARE 01/22/19 MSEL 00 333.11 42.61 BL GEN 2 OVERHAUL TOOLS 4833 KACHEMAK AUTO PARTS 03/05/19 MSAD 15 333.11 44.50 IRIS POWER PO 60110 1400 FEDERAL EXPRESS CORP 03/19/19 MSEL 00 333.11 47.60 BL STAPLER&STAPLES (TAX TBR)640 SPENARD BUILDERS SUPPLY 01/24/19 MSEL 00 333.11 61.50 BL GEN 2 REPAIR TOOLS 4833 KACHEMAK AUTO PARTS 01/31/19 MSEL 00 333.11 62.55 BL CHANNEL PIPE CLAMPS 3 3122 GRAINGER DEPT 829529056 03/01/19 EMEX 33 333.11 66.36 DAY 1902-MEAL 6906 U S BANK CORPORATE 03/01/19 MSEL 00 333.11 70.80 DAY 1902 6906 U S BANK CORPORATE 01/18/19 MSEL 00 333.11 79.20 BLELECTRICAL TAPE FOR GEN20TG _1097 BROWN'S ELECTRICAL SUPPLY CO 12/26/18 MSEL 00 333.11 124.76 BL ROTOR STAND BOLTS 32 4654 FASTENAL COMPANY 02/21/19 MSEL 00 333.11 131.04 BL GEN #2 REPAIR SUPPLIES 4654 FASTENAL COMPANY 01/18/19 MSEL 00 333.11 147.98 BL FUEL CYLINDERS FOR GEN REPAIR 24 ALASKA INDUSTRIAL HARDWARE 01/17/19 MSEL 00 333.11 162.84 BL DUCT TAPE 24 4654 FASTENAL COMPANY 02/13/19 MSEL 00 333.11 166.20 BL PROPANE CYLINDERS 4 6818 LFSINC 02/18/19 MSEL 00 333.11 192.45 BL PROPANE TORCHES 3 6818 LFSINC 02/18/19 MSEL 00 333.11 241.85 BL GEN #2 REPAIR SUPPLIES 3122 GRAINGER DEPT 829529056 02/01/19 MSEL 00 333.11 286.01 BL SUPPLIES FOR GEN #2 REPAIRS 640 SPENARD BUILDERS SUPPLY 03/14/19 MSAD 00 333.11 300.00 BL WELDING CONSULTANT SERVICE 1816 FRITZ CREEK WELDING 01/31/19 MSEL 00 333.11 314.90 BL GEN 2 ORANGE SOL CLNR 24 4654 FASTENAL COMPANY 02/14/19 MSEL 00 333.11 343.26 BL GEN #2 REPAIR SUPPLIES 4654 FASTENAL COMPANY 01/28/19 MSEL 00 333.11 354.00 BL SFTY EQUIP FOR GEN#2 OVERHAUL 5514 ALASKA SAFETY INC 01/24/19 MSEL 00 333.11 401.18 BL GEN 2 CLEAN UP MATERIALS 4833 KACHEMAK AUTO PARTS 03/20/19 MSAD 42 333.11 485.00 BL B-H (FRT)6933 MAKO'S WATER TAXI LLC 01/24/19 MSEL 00 333.11 621.14 BLGEN 2 PAPER TWLS FOR CLEANING 4654 FASTENAL COMPANY 02/18/19 MSEL 00 333.11 695.40 BL GEN #2 REPAIR SUPPLIES 3122 GRAINGER DEPT 829529056 03/22/19 MSAD 15 333.11 873.52 BL-LEGACY INDUSTRIAL 1400 FEDERAL EXPRESS CORP 03/18/19 MSAD 00 333.11 1,636.73 BL FRT CHG AIR GAP SENSORS 6527 IRIS POWER LP 03/03/19 MSAD 15 333.11 1,675.00 BLFRT TO BL FOR GEN #2 REPAIRS 6519 R&R FISHERIES 01/15/19 MSEL 00 333.11 2,594.71 BL GEN 2 REPAIR SCAFFOLDING 640 SPENARD BUILDERS SUPPLY 03/25/19 MSAD 00 333.11 2,810.00 BL-LEGACY INDUSTRIAL 6860 RICH,STEVEN J 01/29/19 MSED 06 333.11 3,000.00 BL GEN BARRIERS 01/22-28/19 6860 RICH,STEVENJ 03/01/19 MSAD 00 333.11 3,006.21 BL FOOD CONTRACTR 02/25-03/03/19 6686 FIVE STAR OILFIELD 02/22/19 MSAD 15 333.11 3,196.34 BL LMC-PLASTICSOURCE 1400 FEDERAL EXPRESS CORP 02/22/19 MSEL 00 333.11 3,208.83 TFP PROBE KIT FOR SALIENT PROBE 6527 IRIS POWER LP 01/29/19 MSAD 00 333.11 3,233.00 BL FOOD CONTRACTOR 01/28-2/03/19 6686 FIVE STAR OILFIELD 02/14/19 MSAD 00 333.11 3,242.00 BL FOOD CONTRACTOR 02/11-17/19 6686 FIVE STAR OILFIELD 01/28/19 MSAD 00 333.11 3,436.80 BL FOOD CONTRACTOR 01/21-27/19 6686 FIVE STAR OILFIELD 02/25/19 MSAD 00 333.11 4,391.59 BL FOOD CONTRACTOR 02/18-24/19 6686 FIVE STAR OILFIELD 02/11/19 MSAD 00 333.11 §,330.77 BL FOOD CONTRACTOR 02/04-10/19 6686 FIVE STAR OILFIELD 02/22/19 MSEL 00 333.11 11,709.96 2 AIR GAP SENSORS 6527 IRIS POWER LP 02/25/19 MSEL 00 333.11 16,968.60 MOBIL DTE OIL VG 46,LUBRICANT,7003 PETRO STAR INC 12/19/18 MSEL 00 333.11 41,487.50 BL RE-WEDGE KIT (50%DOWN PYMNT)6995 LMC PLASTICSOURCE 02/05/19 MSEL 00 333.11 41,487.50 BL RE WEDGE KIT (50%)6995 LMC PLASTICSOURCE 02/11/19 MSED 06 333.11 92,760.92 BL GEN #2 OVERHAUL 01/28-2/04/19 4884 CANYON INDUSTRIES INC 03/25/19 MSED 06 333.11 104,106.00 BL GEN #2 ELECTRICAL TEST 5667 ABBINC $355,720.40 Total to date Page 1 [oA Bradley Lake Budget to Actual Expense Report 07/01/2018 to 02/28/2019 Page 1 of 9 ALASKA ENERGY AUTHORITY BUDGET TO ACTUAL EXPENSES BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 FY 19 FY 18 BUDGET % FY19 Approved 07/01/2018 -(Over}Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual Budget to Date Budget FY18 Actual Summary by expense type Default --:------ Labor &Benefits 1,872,497 1,048,332 951,238 36,706 -987,944 60,388 1,889,814 1,578,236 Travel 33,950 22,634 19,493 --19,493 3,141 76,950 16,114 Training 49,300 32,867 17,911 :-17,911 14,956 49,300 14,046 Contractual 1,033,216 688,809 245,841 153,867 399,708 289,101 841,062 659,773 Supplies &Materials 204,345 136,229 101,983 670 =102,653 33,576 183,345 152,799 Other Costs 69,818 46,546 23,797 19,783 (35,289)8,291 38,255 387,818 276,370 Equipment,Furniture and Machinery 7,000 4,667 3,891 :-3,891 776 7,000 25,562 Maintenance Projects ----.---3,381 Administrative Costs 1,233,537 822,357 11,898 :751,615 763,513 58,844 1,158,098 1,259,441 Indirect Costs $83,803 389,203 184,940 --184,940 204,263 :: 4,787,466 3,191,644 1,560,993 $7,159 870,192 2,488,344 703,300 4,593,387 3,985,722 FERC 535 -Operation Supervision &Engineering Operations Sup/Eng Bradley Lake Operating Labor &Benefits 189,074 126,049 146,682 -:146,682 (20,633)265,587 262,431 Travel 10,450 6,967 8,120 ig :8,120 (1,153)10,450 2,271 Training 9,300 6,200 1,536 ::1,536 4,664 9,300 3,452 Contractual 1,000 667 257 :-257 410 1,000 121 Supplies &Materials 4,000 2,667 1,654 -:1,654 1,013 4,000 3,210 Indirect Costs 77,849 51,899 25,222 -:25,222 26,677 +- Bradley Lake Operating Total 291,673 194,449 183,471 -:183,471 10,978 290,337 271,485 FERC 535 -Operation Supervision &Engineering Total 291,673 194,449 183,471 .-183,471 10,978 290,337 271,485 FERC 537 -Hydraulic Expenses Hydraulic Expenses Bradley Lake Operating Labor &Benefits 88,714 $9,143 50,431 -:50,431 8,712 94,453 69,032 Contractual!2,000 1,333 1,896 ::1,896 {563)2,000 : Supplies &Materials 2,000 1,333 1,747 --1,747 {414)2,000 976 Indirect Costs 41,515 27,677 13,316 -:13,316 14,361 :: Bradley Lake Operating Total 134,229 89,486 67,391 --67,391 22,095 98,453 70,008 FERC 537 -Hydraulic Expenses Total 134,229 89,486 67,391 ::67,391 22,095 98,453 70,008 FERC 538 -Electric Expenses Electric Expenses Bradley Lake Operating Labor &Benefits 224,811 149,874 144,816 :-144,816 5,058 232,294 202,969 Travel 7,000 4,667 3,193 --3,193 1,474 7,000 6,877 Training 25,000 16,667 12,129 :-12,129 4,538 25,000 231 Contractual 2,000 1,333 ----1,333 2,000 1,400 Supplies &Materials 9,732 6,488 4,316 -4,316 2,172 9,732 5,513 Indirect Costs 102,222 68,148 34,955 ::34,955 33,193 :. Bradley Lake Operating Total 370,765 247,177 199,410 -:199,410 47,767 276,026 216,990 FERC 538 -Electric Expenses Total 370,765 247,177 199,410 °.199,410 47,767 276,026 216,990 FERC 539 -Misc.Hydraulic Power Generation Expenses Misc Hydro Power Exp Bradley Lake Operating Labor &Benefits 168,044 112,029 94,323 :-94,323 17,706 179,530 172,689 Training 15,000 10,000 4,245 -a 4,245 5,755 15,000 10,363 Contractual 287,525 191,683 90,302 --$0,302 101,381 287,525 212,841 Supplies &Materials 17,900 11,933 16,612 :a 16,612 (4,679)17,900 18,271 Indirect Costs 41,515 27,677 13,316 =:13,316 14,361 :- Bradley Lake Operating Total 529,984 353,322 218,798 :218,798 134,524 499,955 414,164 BRADLEY CIRCUITS/RADIO TO BERNICE LK Other Costs 35,695 23,797 23,797 :-23,797 {0}35,695 35,696 BRADLEY CIRCUITS/RADIO TO BERNICE LK Total 35,695 23,797 23,797 -:23,797 {0}35,695 35,696 BRADLEY CIRCUITS BERNICE LK TO ANCH Other Costs 29,773 19,849 :19,683 :19,683 166 29,773 29,728 BRADLEY CIRCUITS BERNICE LK TO ANCH Total 29,773 19,849 -19,683 -19,683 166 29,773 29,728 FERC 539 -Misc.Hydraulic Power Generation Expenses Total 595,452 396,968 242,596 19,683 -262,279 134,689 565,423 479,587 FERC 540 -Rents FERC Land Use Fee Bradley Lake Operating Other Costs =::-(35,289)(35,289)35,289 318,000 202,079 Bradley Lake Operating Total >*--(35,289)(35,289)35,289 318,000 202,079 FERC 540 -Rents Total id .:.{35,289)(35,289)35,289 318,000 202,079 FERC 541 -Maintenance Supervision &Engineering Maint Supervision/Eng Bradley Lake Operating Labor &Benefits 195,817 130,545 144,810 --144,810 (14,265)272,586 263,101 indirect Costs 77,849 $1,899 25,222 --25,222 26,677 -: Bradley Lake Operating Total 273,666 182,444 170,032 :-170,032 12,412 272,586 263,101 FERC 541 -Maintenance Supervision &Engineering Total 273,666 182,444 170,032 --170,032 12,412 272,586 263,101 3 of9 ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Schedule A-1 Expenses for the period 07/01/18 through 02/28/19 FY18 FY18 FY19 FY19CAPITALPURCHASESNOTFUNDEDBYR&C FUND BUDGET|ACTUALS |BUDGET ACTUALS Replace/Automate Fish Water Valve Actuators 225,000 361,430 -364 Equipment storage shed (unheated bus barn)100,000 67,539 -- 1 ton Flatbed with Plow 65,000 57,016 -- Battle Creek Bridge Repair Refurbishment (2)182,000 -|200,000 - Mobil Crane 40 to 50 tons (used)100,000 88,875 -- Replace Michigan Loader 350,000 263,306 -- Upgrade Crews Quarters and Residents Kitchen 165,000 1,850 -- Replace 1988 Suburban Ambulance 65,000 59,430 -5,350 1/2 ton Pick up truck 35,000 34,693 -- Replace High Bay Lighting in Power Plant 20,000 19,920 -- Turbine Nozzle Repair --60,000 - Tire Machine --12,500 15,246 Total Non R&C Capital Purchases -_1,307,000 954,059 272,500 20,960 Page 2 of 9 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 FY 19 FY 18 BUDGET % FY19 Approved 07/01/2018 -(Over)Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual Budget to Date Budget FY18 Actual FERC 542 -Maintenance of Structures Maintenance of Structures Bradley Lake Operating Labor &Benefits 85,438 56,959 49,096 ::49,096 7,863 94,453 70,197 Contractual 10,000 6,667 ::--6,667 10,000 - Supplies &Materials $3,713 35,809 28,550 :-28,550 7,259 53,713 57,919 Equipment,Furniture and Machinery 7,000 4,667 3,891 --3,891 776 7,000 8,513 Maintenance Projects -:------2,581 indirect Costs 37,066 24,711 11,889 .-11,889 12,822 -: Bradley Lake Operating Total 193,217 128,813 93,426 :-93,426 35,387 165,166 139,209 BRADLEY UPGRADE CREWS QTRS/RESIDENCE KITCHEN Contractual 165,000 110,000 ::::110,000 :: BRADLEY UPGRADE CREWS QTRS/RESIDENCE KITCHEN Tota 165,000 110,000 ----110,000 +: FERC 542 -Maintenance of Structures Total 358,217 238,813 93,426 °-93,426 145,387 165,166 139,209 FERC 543 -Maintenance of Reservoirs,Dams &Waterways Maint Res,Dams,WWays Bradley Lake Operating Labor &Benefits 45,552 30,368 4,666 --4,666 25,702 $0,610 9,314 Contractual 6,500 4,333 7,600 -:7,600 {3,267}6,500 - tndirect Costs 19,932 13,288 :---13,288 -- Bradiey Lake Operating Total 71,984 47,989 12,266 --12,266 35,723 57,110 9,314 BRADLEY NUKA REPAIR Contractual 15,000 10,000 ----10,000 15,000 > BRADLEY NUKA REPAIR Total 15,000 10,000 .-:>10,000 15,000 ° BRADLEY POWER TUNNEL MAINT (Dam) Contractual 15,000 10,000 -:-+10,000 15,000 : BRADLEY POWER TUNNEL MAINT (Dam)Total 15,000 10,000 ---:10,000 15,000 - FERC $43 -Maintenance of Reservoirs,Dams &Waterways Tot 101,984 67,989 12,266 --12,266 55,723 87,110 9,314 FERC 544 -Maintenance of Electric Plant Maintenance of Elec Plant Bradley Lake Operating Labor &Benefits 342,265 228,177 203,869 -:203,869 24,308 379,102 291,662 Travel 4,500 3,000 ----3,000 4,500 : Contractual 70,000 46,667 69,475 :-69,475 {22,808)70,000 59,793 Supplies &Materials 20,000 13,333 15,612 :-15,612 {2,279}20,000 12,743 Indirect Costs 148,789 99,193 48,606 :-48,606 50,587 -: Bradley Lake Operating Total 585,554 390,370 337,562 --337,562 52,808 473,602 364,198 BRADLEY REPLACE LIGHTING IN POWER PLANT Supplies &Materials 30,000 20,000 --:-20,000 =: BRADLEY REPLACE LIGHTING IN POWER PLANT Total 30,000 20,000 :-:-20,000 -: FERC 544 -Maintenance of Electric Plant Total 615,554 410,370 337,562 ::337,562 72,808 473,602 364,198 FERC 545 -of Misc.Hydraulic Plant Maint of Misc Hydr Plant Bradley Lake Operating Labor &Benefits 85,438 56,959 50,392 ::$0,392 6,567 94,453 86,833 Contractual 3,900 2,600 :-::2,600 3,900 2,009 Supplies &Materials 35,000 23,333 21,861 :=21,861 1,472 35,000 49,502 Indirect Costs 37,066 24,711 12,414 °-12,414 12,297 =: Bradley Lake Operating Total 161,404 107,603 84,666 -:84,666 22,937 133,353 138,344 BRADLEY FISH WATER DSGN/MIDDLE FORK SHACK IMPR Supplies &Materials --:-:---1,345 BRADLEY FISH WATER DSGN/MIODLE FORK SHACK IMPR Tq -------i 1,345 FERC 545 -Maintenance of Misc.Hydraulic Plant Total 161,404 107,603 84,666 --84,666 22,937 133,353 139,689 FERC 556 -System Control &Load Dispatching System Cnt!&Load Disp Bradley Lake Operating Labor &Benefits 21,506 14,337 16,970 ::16,970 (2,633)20,618 34,363 Contractual 53,000 35,333 44,149 --44,149 {8,816}53,000 35,618 Supplies &Materials 6,000 4,000 613 --613 3,387 6,000 642 Equipment,Furniture and Machinery -::-::--16,254 Bradley Lake Operating Total 80,506 53,670 61,732 :-61,732 (8,062)79,618 86,878 BRADLEY EMERSON ANTIVIRUS UPGRADE Contractual 40,000 26,667 -::-26,667 -: BRADLEY EMERSON ANTIVIRUS UPGRADE Total 40,000 26,667 ---+26,667 -: Snow Measurement Bradley Lake Operating Contractual 12,000 8,000 -:10,000 10,000 (2,000)10,000 10,000 Bradley Lake Operating Total 12,000 8,000 ::10,000 10,000 (2,000)10,000 10,000 Seismic Service Bradley Lake Operating Contractual 62,000 41,333 --40,721 40,721 612 62,000 61,285 Bradley Lake Operating Total 62,000 41,333 :-40,721 40,721 612 62,000 61,285 4of9 ALASKA ENERGY AUTHORITY BUDGET TO ACTUAL EXPENSES BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 FY 19 Fy 18 BUDGET % FY19 Approved 07/01/2018 -(Over)Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual Budget to Date Budget FY18 Actual Streamguaging Serv Bradley Lake Operating Contractual 206,291 137,527 -.103,146 103,146 34,382 213,137 213,137 Bradley Lake Operating Total 206,291 137,527 :-103,146 103,146 34,382 213,137 213,137 Permits Bradley Lake Operating Other Costs 350 233 :-:-233 350 250 Bradley Lake Operating Total 350 233 :+--233 350 250 FERC 556 -System Control &Load Dispatching Total 401,147 267,430 61,732 -153,867 215,599 51,831 365,105 371,550 FERC 562 -Station Expenses Station Expenses Bradley Lake Operating Labor &Benefits 94,718 63,145 40,295 36,706 :77,001 (13,856)123,726 112,738 Travel 2,000 1,333 ----1,333 6,000 1,701 Contractual 32,000 21,333 21,315 ->21,315 18 4,000 7,440 Supplies &Materials 21,000 14,000 11,019 670 -11,689 2,311 16,000 2,678 Other Costs 4,000 2,667 :100 :100 2,567 4,000 8,618 Equipment,Furniture and Machinery ----->:-795 Maintenance Projects -----2 --800 Bradley Lake Operating Total 153,718 102,478 72,628 37,476 :110,104 {7,626)}153,726 134,770 FERC 562 -Station Expenses Total 153,718 102,478 72,628 37,476 :110,104 (7,626)153,726 134,770 FERC 571 -Maintenance of Overhead Lines Maint of OH Lines Bradley Lake Operating Labor &Benefits 31,120 20,747 4,889 -:4,889 15,858 82,402 2,907 Travel 10,000 6,667 8,180 --8,180 {1,513}49,000 5,265 Contractual 50,000 33,333 10,846 i .10,846 22,487 86,000 56,046 Supplies &Materials 5,000 3,333 ---:3,333 19,000 - Bradley Lake Operating Total 96,120 64,080 23,915 +-23,915 40,165 236,402 64,218 BRADLEY MARKER BALL REPLACEMENT Contractual <:::::--83 BRADLEY MARKER BALL REPLACEMENT Total --------83 FERC 571 -Maintenance of Overhead Lines Total 96,120 64,080 23,915 2 :23,915 40,165 236,402 64,301 FERC 920 &930 -Administrative Expense AEA Bradley Fixed Admin Fees Bradley Lake Operating Administrative Costs 200,000 133,333 --133,333 133,333 {0)200,000 200,000 Bradley Lake Operating Total 200,000 133,333 *:133,333 133,333 (0}200,000 200,000 Operating Committee Exp-Audit Bradley Lake Operating Administrative Costs 16,500 11,000 2 :19,900 19,900 {8,900}16,800 16,800 Bradley Lake Operating Total 16,500 11,000 .:19,900 19,900 {8,900}16,800 16,800 Operating Committee Exp-Legal Bradley Lake Operating Administrative Costs 25,000 16,667 :-104,316 104,316 (87,649)25,000 115,610 Bradley Lake Operating Total 25,000 16,667 :-104,316 104,316 (87,649)25,000 115,610 Operat Committee Exp-Arbitrage Bradley Lake Operating Administrative Costs 2,935 1,957 a ©..1,957 3,380 2,535 Bradley Lake Operating Total 2,935 1,957 :--*1,957 3,380 2,535 Trust &Account Fees Bradley Lake Operating Administrative Costs 11,918 7,945 --11,918 11,918 (3,973)11,918 11,918 Bradley Lake Operating Total 11,918 7,945 --11,918 11,918 (3,973)11,918 11,918 Misc Admin Bradley Lake Operating Administrative Costs 10,350 6,900 -.11,646 11,646 (4,746)10,000 10,350 Bradley Lake Operating Total 10,350 6,900 ::11,646 11,646 (4,746)10,000 10,350 FERC 920 &930 -Administrative Expense Total 266,703 177,802 .-281,114 281,114 (103,312)267,098 357,213 FERC 924 &925 -Insurance Premiums Insurance Premiums Bradley Lake Operating Administrative Costs 656,834 437,889 11,898 -405,521 417,420 20,469 $81,000 624,705 Bradley Lake Operating Total 656,834 437,889 11,898 -405,521 417,420 20,469 $81,000 624,705 FERC 924 &925 -Insurance Premiums Total 656,834 437,889 11,898 :405,521 417,420 20,469 581,000 624,705 Sof9 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 FY 19 FY 18 BUDGET % FY19 Approved 07/01/2018 -(Over)Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual Budget to Date Budget FY18 Actual FERC 928 -U ¥C FERC Admin Fees Bradley Lake Operating Administrative Costs 185,000 123,333 --:-123,333 185,000 176,523 Bradley Lake Operating Total 185,000 123,333 -i -123,333 185,000 176,523 FERC Related Prof Services BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES Administrative Costs 125,000 83,333 :.64,980 64,980 18,353 125,000 100,999 BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES T¢125,000 83,333 --64,980 64,980 18,353 125,000 100,999 FERC 928 -{AS 1 Exp Totat 310,000 206,666 -:64,980 64,980 141,686 310,000 277,522 Total Bradley Lake Budget 4,787,466 3,191,644 1,560,993 57,159 870,192 2,488,344 703,300 4,593,387 3,985,722 6 of9 BRADLEY LAKE R&C FUND DISBURSEMENTS AND REPAYMENTS SCHEDULE D Expenses for the Period 07/1/18 through 02/28/19 Actual Actual Actual Actual Budget @ 6/30/18 TO REPAY @02/28/19 TO REPAY FY19 Description Expense 6/30/2018 Expense @6/30/19 R&C FUND PROJECTS Governor 0.00 4,052,070.14 0.00 4,052,070.14 0.00 Replace RFLS 0.00 251,092.69 0.00 251,092.69 0.00 Replace Runners 0.00 1,946,732.79 0.00 1,946,732.79 0.00 Replace cable from dam to power house 0.00 2,321,922.94 0.00 2,321,922.94 0.00 Replace power system stabilizer 0.00 619,205.10 0.00 619,205.10 0.00 Replace two RTUs 0.00 86,905.27 0.00 86,905.27 0.00 Culvert Repairs 0.00 675,966.79 0.00 675,966.79 0.00 Tower Repair for Jack Frost Heaves 0.00 887,596.62 0.00 887,596.62 0.00 Replace Plant and SCADA Controls 0.00 1,344,683.05 0.00 1,344,683.05 0.00 Vibration Monitoring System 0.00 490.00 0.00 490.00 0.00 Fire Alarm System Replacement 0.00 0.00 0.00 0.00 250,000.00 Battle Creek Diversion 0.00 1,170,000.00 0.00 1,170,000.00 0.00 Bradley Replace Electro-Mechanical Relays 0.00 1,277,197.06 0.00 1,277,197.06 0.00 Fishwater Screen Debris Removal 0.00 312,236.43 0.00 312,236.43 0.00 Turbine Nozzel Repair 0.00 1,428,861.07 0.00 1,428,861.07 0.00 SVC replacement Daves Creek |Soldotna 1,341,405.96 8,517,991.11 0.00 8,517,991.11 0,00 Equipment Storage Shed 0.00 0.00 457,085.59 457,085.59 500,000.00 Emerson Operating System Upgrade 0.00 0.00 311,332.50 311,332.50 700,000.00 Generator #2 Replacement 0.00 0.00 263,057.77 263,057.77 0.00 1,341,405,96 |24 892,951.06 1,031,475.86 ]25,924,426.92 1,450,000.00 Current Year R&C Repayment (2,793,306.00)(1,830,712.00) Adjust to balance to $5million 0.00 0.00 Interest in Fund Applied to Repayment (226,781.00)(117,045.31) Net Transfer from Revenue Fund (3,020,087.00)(1,947,757.31) Cumulative Prior Years R&C Repayments (17,886,155.09)(20,465,255.55) Due Back to Utilities 440,986.54 (656,055.92) Adjust Due to R&C Actual 0.00 0.00 (17,445,168.55)(21,121,311.47) NET DUE TO R&C FUND 4,427,695.51 2,855,358.15 R&C FUND CASH FLOW PROJECTION Beginning Investment Balance 3,219,624.39 1,013,291.03 Disbursements-current year -Accrual (1,341,405,96)(778,162.94) Disbursements-prior year accrued (2,737,351.03)0.00 Utilities'R&C Refund (1,147 ,663.37)(440,986.54) Net other cash inflow(outfiow)0.00 0.00 Current year interest earnings 226,781.00 117,045.31 Participants Contributions to R&C Fund 2,793,306.00 1,830,712.00 Ending Investment Balance 1,013,291.03 1,741 ,898.86 Accrued Due to Utilities (440,986.54)656,055.92 R&C payable back to the revenue fund 0.00 0.00 Accrued R&C vendor Payable at Year End 0.00 (253,312.92) PROJECTED NET DUE +ENDING INVESTMENT BALANCE 5,000,000.00 §,000,000.00 $3,330,802.80 x 25%yr 1 |32%yr 2 [|25%yr 3 [18%yr4 3rd yr 832,700.70 |[4th 599,544.50 599,544.50 $5,644,193.08 x 25%all 4 years 2nd yr 1,411,048.27 3rd 1,411,048.27 1,411,048.27 $1,341,405.96 x 25%all 4 years 1st yr 335,351.49 |[2nd 335,351.49 372,974.87 $1,031,475.86 x 25%all 4 years 1st 257,868.97 362,500.00 2,579,100.46 2,603,813.23 2,746 ,067.64 Page 7 of 9 ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Battle Creek Capital Purchases Schedule E Expenses for the period 07/01/18 through 02/28/19 FY18 FY19 Battle Creek Capital Purchases Amended FY18 Appoved FY19 Budget Actuals Budget Actuals Used 2007 Chevrolet Silverado ___8,800 8,800 _ Used 2006 Chevrolet Silverado 7,700 7,700 Total capital revenue fund purchases 16,500 16,500 - Page 8 of 9 ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Battle Creek Administrative Costs Schedule F Expenses for the period 07/01/18 through 02/28/19 FY 19 FY 18 FY1i9 Budget %FY18 Approved 07/01/18 -(Over)Under Aprroved Budget 02/28/19 HEA Actual AEA Actual Total Actual |Budget to Date Budget Total Actual Summary By Expense Type Administrative Costs 453,988 302,659 185,948 120,229 306,177 (3,518)43,800 137,456 453,988 302,659 185,948 120,229 306,177 (3,518)43,800 137,456 FERC 920 &930 -Administrative Expense AEA Bradley Fixed Admin Fees Administrative Costs 176,193 117,462 7,421 112,000 119,421 (1,959)22,000 25,525 AEA Bradley Fixed Admin Fees Total 176,193 117,462 7,421 112,000 119,421 (1,959)22,000 25,525 Operating Committee Exp-Legal Administrative Costs 15,000 10,000 -4,084 4,084 5,916 15,000 17,082 Operating Committee Exp-Legal Total 15,000 10,000 -4,084 4,084 5,916 15,000 17,082 Operat Committee Exp-Arbitrage Administrative Costs 2,000 1,333 ::-1,333 2,000 2,180 Operat Committee Exp-Arbitrage Total 2,000 1,333 ---1,333 2,000 2,180 Trust &Account Fees Administrative Costs 6,550 4,367 -4,083 4,083 284 4,300 1,197 Trust &Account Fees Total 6,550 4,367 :4,083 4,083 284 4,300 1,197 Operat Committee Exp-Other Administrative Costs ---62 62 (62)500 2,276 Operat Committee Exp-Other Total --:62 62 (62)500 2,276 Professional consultants Administrative Costs 254,245 169,497 178,527 -178,527 (9,030)-89,196 Professional consultants Total 254,245 169,497 178,527 -178,527 (9,030)-89,196 FERC 920 &930 -Administrative Expense Tota 453,988 302,659 185,948 120,229 306,177 (3,518)43,800 137,456 90f9 Bradley O&D Report to the BPMC Friday May 17,2019 1.Bradley Unit 2 work is complete a.The original reason for taking the unit out of service was due to concerns over high Potential Discharge readings from IRIS that had been increasing. b.An initial inspection was pointing toward loose wedging on the rotor. c.During the outage a hole in the insulation on the rotor was located and determined to be the cause of the high PD readings.The hole was repaired. d.Wedging on the generator was checked and found to be in good condition so re-wedging was not done. e.Additional problems were discovered during the outage: i.Rotor Pole connections were broken -these were replaced or repaired -Replacement Rotor Pole Connectors will need to be ordered to replace those repaired and the spares that were used. ii.Exciter connections were cracked -these were replaced or repaired - Replacement Exciter Connectors will need to be ordered to replace those repaired and the spares that were used. iii.Needle Dividers were cracked along a field weld -these were repaired with a temporary fix.They will need to be replaced in the near future -24 week delivery time. 2.Bradley Unit 1 work is complete a.Needle Dividers cracked along a field weld similar to unit 2 -these were repaired with a temporary fix.They will need to be replaced in the near future. b.Rotor pole connections were inspected and found to be in good condition c.Exciter connections were inspected and found to be in good condition 3.Discussed Bradley Lake KPI's -discussion will continue next meeting 4,Discussed Bradley Lake Staffing requirements -HEA is hiring a trainee. 5.Discussed Bradley Lake Flight manifests and reporting -Operator will provide a list of all people not associated with the Bradley Project that are utilizing flights to the BPMC.Per the contract anyone associated with the Bradley Project is authorized to utilize flights on an as available basis and these people are listed in the flight manifests already provided by the Operator. 6.Discussion of options for scheduling increased water usage due to high lake levels.- Meeting Scheduled for Friday May 17 at 1:30 pm. MUNICIPAL LIGHT &POWER May 15,2019 Cory Borgeson,BPMC Chairman Golden Valley Electric Association PO Box 71249 Fairbanks,Alaska 99707 RE:Municipal Light &Power's Representative Designation Dear Mr.Borgeson, Municipal Light &Power ("ML&P”)designates Anna Henderson as ML&P's Representative for the BPMC.Jeff Warner will remain the alternate representative.Please send all notices necessary to be given under the terms of the BPMC as follows: Anna Henderson,General Manager Jeff Warner,Strategic Initiatives Coordinator Municipal Light &Power Municipal Light &Power 1200 East 15*Ave 1200 East 1**Ave Anchorage,AK 99501 Anchorage,AK 99501 907-263-5202 907-263-5282 Email:anna.henderson@anchorageak.gov Email:Jeff.warner@anchorageak.gov If you have any questions,please contact me (907-263-5416). Sincerely, Brie A.Xavier Administrative Officer Municipal Light &Power 907-263-5416 Brie.xavier@anchorageak.gov 1200 Last First Avenue *Anchorage,Alaska *99501-1685 Phone 907.279.7671 *Fax 907.263.5862 www.mlandp.com Bradley Lake Project Management Committee ALASKA ENERGY AUTHORITY (AEA) Regular Meeting -Teleconference Public Notice Bradley Lake Project Management Committee Notice is hereby given that the Bradley Lake Project Management Committee will hold a regular meeting on Friday,May 17,2019 at 10:00 a.m. This meeting will be conducted by electronic media pursuant to AS 44.62.310 at the following location: Alaska Energy Authority Board Conference Room, 813 West Northern Lights Boulevard Anchorage,Alaska A teleconference line has been setup for those unable to attend in person.Dial 1-888-585-9008 and when prompted,enter code 134-503-899#4 For additional information,please contact the AEA executive assistant at (907)771-3074. The public is invited to attend.The State of Alaska (AEA)complies with Title {l of the Americans with Disabilities Act of 1990.Disabled persons requiring special modifications to participate should contact AEA staff at (907)771-3000 to make arrangements. Attachments,History,Details Attachments Details BPMC 5-17-19 Agenda.pdf Commerce,Community andDepartment:Economic Development Revision History Category:Public Notices Created 5/10/2019 9:25:14 AM by e6f9d8b3-e991-Sub-Category: 4579-aade-ab3 9b6b33f10 Location(s):Anchorage Modified 5/14/2019 3:58:40 PM by e6f9d8b3-e991-Project/Regulation #: 4579-aade-ab3 9b6b33f10 Publish Date:5/10/2019 Archive Date:5/18/2019 Events/Deadlines: 10. 11. 12. 13. 14. BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE (BPMC) REGULAR MEETING QD AGENDA §Friday,May 17,2019N10:00 a.m. Alaska Energy Authority Board room 813 W Northern Lights Blvd,Anchorage 1-888-585-9008 -Conference room code 134-503-899# CALL TO ORDER ROLL CALL FOR COMMITTEE MEMBERS PUBLIC ROLL CALL PUBLIC COMMENTS AGENDA APPROVAL PRIOR MINUTES -March 15,2019 &March 22,2019 NEW BUSINESS A.Battle Creek Project Update EXECUTIVE SESSION -Discuss confidential matters related to:.uh A.Battle Creek OPERATORS REPORT COMMITTEE REPORTS A.Budget to Actual Report B.Bradley O&D Report et tik Mlwer -»hooking at PBrodkyCOMMITTEEASSIGNMENTS777aa,aMEMBERCOMMENTSNEXTMEETINGDATE-July 26,2019 Auwil (lectigg (2)fealteADJOURNMENTAmellmittofom Bradley Lake Project Management Committee Friday,May 17,2019 Regular Meeting **PLEASE WRITE LEGIBLY** NAME ORGANIZATION AN Betwyé Sap7W/Pa Alife M Kec Ae t/fen v|Larry Tog erist HEA b+YE TH BET CHUGAG H+ M Br Con AEA sf Noun”Gainer AEAIPodUL\arhe PehodSkeaSedantehet oflaw4-<--ELLE CA7,(Lynd fee AGLWC.Ln Mehewns XrcK LES W (eT Sactt-VATYGebDey,|ee A V Pussece -Theutow CEK W bine dey WegSOM ULXP4CawhtThayAEV i"ALalVv)w7;FRAS IAL LZDv=e kk”thu Mp) ATTENDANCE -BPMC MEETING,May 17COMMITTEEMEMBERS|SCory Borgeson,ChairAW.Lee Thibert'Brad Janorschke _ BryanCarey,Secretary/TrreasurerSfTonyIzzo,Vice Chair -.Aarkctohnstor Anna Hendlecson _SEWVvJohnFoutzPublicMembers-CEA /Brian Hickey (CEA) :Mark Johnson (CEA)Sherri Higher (CEA) Paul Risse (CEA)Matt Clarkson (CEA)-vanResnick (CEA)|Rusakl %HEA |Alan Owens (HEA)i A:Emily Hutchinson1 (HEA)-|Larry Jorgensen (HEA)- 'Steve Canon (HEA) 'MLP =Anna Henderson (MLP)oe wv Molly Morrison (MLP)|GVEA _Ron Woolf (GVEA)|aa[Pete Sarauer (GVEA)©.MEA "Jim Brooks (MEA)|a:David Pease (MEA)-Matt Reisterer (MEA) |Ed Jenkins (MEA) GVEACEA HEA AEA M EA MLP "ALTERNATE _Vv Leo Quiachon SO :|Burke Wick oe-Bob DayACurtisThayer -AntTony Zellers -Jeff Warner COUNSEL |4 Kirk Gibson,McDowell Rackner &Gibson AeA y PCWAStefan Saldanha,Dept of Law Brenda Applegate.KatieConway --_Amy Adler -VA Jocelyn|Gardner OeBrandiWhiteOO:Carmen Noble -David Lockard -;Jessica1 Houston :|Ashton1 Compton 7ob.SY Kirk Warren a Rick Baldwin (Baldwin &Butler)_>an v fon Ruberibes EETYeert, BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE First Second First Second First Second First SecondBPMC5/17/19 y Gul Sealy D oo.; Roll Call T reer Minutes Bradiey Lake Budget 3 psRollcallfromtoptobottomendingwithChair Yes No Yes 'd{i 'No .Yes No Yes No Yes No ,had we de ! Matanuska Electric Association Lt =g l// Chugach Electric Association +fubert (7)Fa .PAV Vv 'a /Pa City of Seward Gouly 'vq 7 Municipal Light &Power Qewm qu Homer Electric Association Golden Valley Electric Association : Alaska Energy Authority [psyv First Second First Second First Second First Second First Second Roll call from top to bottom ending with Chair Yes No Yes No Yes No Yes No Yes No Matanuska Electric Association Chugach Electric Association City of Seward Municipal Light &Power Homer Electric Association Golden Valley Electric Association Alaska Energy Authority Next Meeting:June 26 CHECKLIST FOR BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETINGS Meeting Date/Time:May 17,2019 Task CONFIRMED !DATE 1.|Identify possible dates -Call HEA first to get available dates of the Chairman,Brad x Janorschke (call his Exec Assistant,Heather 907-283-2334).Meeting is usually 2 hours long. 2.|Check dates for Bryan Carey and the board room before calling other utilities for dates.Kirk Xx Gibson is not available the 4"Thursday of each month.Ideally the last two weeks of the month.Make sure it's not a state holiday.Need five for quorum. 3.|Once date/time is set send calendar meeting request to all members,in Outlook Contacts"BPMC MEMBERS”with meeting date/time/location (ask for documents to be emailed for packet inclusion -including action items. 4.|Secure meeting room for use (block out 60 minutes prior to meeting to allow for set-up time)X 5.|One week prior to the meeting draft the agenda.Ask Homer Electric and Bryan for items. Draft Agenda and send to Bryan first then the final to Brad J to approve. 6.|After agenda is approved post it on the AEA website under Events. 7.|Post to the State of Alaska's Online Notice System 5 business days prior to the meeting. Attach agenda. 8.|Gather documents from members.Due date is two days prior to the meeting. 9.|Email packet to members including all attachments (teleconference information/agenda/draft of previous meeting minutes/motions/general handouts)(Send docs in PDF format) 10.|Print 12 full packet of information and bring to the meeting for the committee members, attorneys (3),Janet,and your copy.Set out tent cards. 11.|For handouts print out 20 agendas and 20 copies of other items.Easiest is to make 20 packets bound by a clip.No need to copy the prior minutes for the public. 12.|MEETING DAY-Put sign in sheet on end of the board room table and lay out the handouts next to it. 13.|ALSO BRING TO THE MEETING:List of Reps and Minutes in final form from the last meeting for Chair's signature if they are approved. 14.|Sign in on the phone 5 minutes prior. 15.|Accutype will be present but also record from our system.Jocelyn most like will have you display some documents up on the screen. 16.|Following the meeting:Make sure you disconnect the phone.Stop recording.Have Chair and Bryan sign approved minutes. 17.|Take the disc from the recording out of the system and download recording and place in O:drive and also in BPMC meeting folder 18.|Send a pdf of the signed minutes to the committee members.|will do this upon my return. West Fork Upper Battle Creek Update May 17,2019 Events: Contractor started working on site early April. To increase efficiency contractor now going to day &night drilling. Contractor in commercial terms discussion with HDPE manufacture.Once final signed pipe can be manufactured in 30-40 days.AEA waiting on firm delivery date to Seattle.Will take substantial time to ship to Bradley,offload,&transport up mountain. Pioneer road about 1200 feet from diversion site.Expect they will be at diversion site in next two weeks.Bridging and initial temporary diversion work will start in later May. Contractor provided AEA with a 2018 Request for Change of why they believetheyareentitledtoadditionalfunds.(7a¢bairna,regulel for ckenge) Schedule: Contractor provided end of April schedule (data date April 18,2019)schedule. Substantial completion would be December 2019.Contract substantial completion July 2020. Schedule is achievable if good weather in the fall and they do some amount of double shifting. Budget: Little change in budget.AEA doing several Change Orders from 2018 &2019 that reduce contract amount by minor amount.AEA is awaiting information from the contractor for several Change Orders. There will be discussion in the fall about changes in unit prices for several items. This can change contract amount by several million dollars. Photo 1:Wall 2 &3 Photo 2:Wall 3 drilling Photo 3:Wall 2 work ealare Bradley Lake Budget to Actual Expense Report 07/01/2018 to 02/28/2019 Page 1 of 9 ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Schedule A-1 Expenses for the period 07/01/18 through 02/28/19 FY18 FY18 FY19 FY19CAPITALPURCHASESNOTFUNDEDBYR&C FUND BupGET |ACTUALS |BUDGET!ACTUALS Replace/Automate Fish Water Valve Actuators 225,000 |361,430 -364 Equipment storage shed (unheated bus barn)100,000 67,539 -- 1 ton Flatbed with Plow 65,000 57,016 -- Battle Creek Bridge Repair Refurbishment (2)182,000 -|200,000 - Mobil Crane 40 to 50 tons (used)100,000 88,875 -- Replace Michigan Loader 350,000 263,306 -- Upgrade Crews Quarters and Residents Kitchen 165,000 1,850 -- Replace 1988 Suburban Ambulance 65,000 59,430 -5,350 1/2 ton Pick up truck 35,000 34,693 -- Replace High Bay Lighting in Power Plant 20,000 19,920 -- Turbine Nozzle Repair --60,000 - Tire Machine --12,500 15,246 Total Non R&C Capital Purchases 1,307,000 954,059 272,500 20,960 Page 2 of 9 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 FY 19 FY 18 BUDGET % FY19 Approved 07/01/2018 -(Over)Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual |Budget to Date Budget FY18 Actual Summary by expense type Default >::::->a = Labor &Benefits 1,872,497 1,048,332 951,238 36,706 -987,944 60,388 1,889,814 1,578,236 Travel 33,950 22,634 19,493 --19,493 3,141 76,950 16,114 Training 49,300 32,867 17,911 ..17,911 14,956 49,300 14,046 Contractual 1,033,216 688,809 245,841 :153,867 399,708 289,101 841,062 659,773 Supplies &Materials 204,345 136,229 101,983 670 :102,653 33,576 183,345 152,799 Other Costs 69,818 46,546 23,797 19,783 (35,289)8,291 38,255 387,818 276,370 Equipment,Furniture and Machinery 7,000 4,667 3,891 --3,891 776 7,000 25,562 Maintenance Projects ----.-.-3,381 Administrative Costs 1,233,537 822,357 11,898 :751,615 763,513 58,844 1,158,098 1,259,441 Indirect Costs $83,803 389,203 184,940 ::184,940 204,263 :- 4,787,466 3,191,644 1,560,993 57,159 870,192 2,488,344 703,300 4,593,387 3,985,722 FERC 535 -Operation Supervision &Engineering Operations Sup/Eng Bradley Lake Operating Labor &Benefits 189,074 126,049 146,682 ..146,682 (20,633)265,587 262,431 Travel 10,450 6,967 8,120 ©:8,120 {1,153}10,450 2,271 Training 9,300 6,200 1,536 :.1,836 4,664 9,300 3,452 Contractual 4,000 667 257 :-257 410 1,000 121 Supplies &Materials 4,000 2,667 1,654 °-1,654 1,013 4,000 3,210 Indirect Costs 77,849 51,899 25,222 .:25,222 26,677 -2 Bradley Lake Operating Total 291,673 194,449 183,471 ::183,471 10,978 290,337 271,485 FERC 535 -Operation Supervision &Engineering Total 291,673 194,449 183,471 --183,471 10,978 290,337 271,485 FERC 537 -Hydraulic Expenses Hydraulic Expenses Bradley Lake Operating Labor &Benefits 88,714 59,143 50,431 :-$0,431 8,712 94,453 69,032 Contractual 2,000 1,333 1,896 +°1,896 (563)2,000 + Supplies &Materials 2,000 1,333 1,747 .:1,747 (414)2,000 976 Indirect Costs 41,515 27,677 13,316 *-13,316 14,361 :. Bradley Lake Operating Total 134,229 89,486 67,391 --67,391 22,095 98,453 70,008 FERC 537 -Hydraulic Expenses Totat 134,229 89,486 67,391 ::67,391 22,095 98,453 70,008 FERC 538 -Electric Expenses Electric Expenses Bradley Lake Operating Labor &Benefits 224,811 149,874 144,816 -:144,816 5,058 232,294 202,969 Travel 7,000 4,667 3,193 ::3,193 1,474 7,000 6,877 Training 25,000 16,667 12,129 >a 12,129 4,538 25,000 231 Contractual 2,000 1,333 :.--1,333 2,000 1,400 Supplies &Materials 9,732 6,488 4,316 -4,316 2,172 9,732 5,513 Indirect Costs 102,222 68,148 34,955 ::34,955 33,193 -: Bradley Lake Operating Total 370,765 247,177 199,410 ++199,410 47,767 276,026 216,990 FERC 538 -Electric Expenses Total 370,765 247,177 199,410 :-199,410 47,767 276,026 216,990 FERC 539 -Misc.Hydraulic Power Generation Expenses Misc Hydro Power Exp Bradley Lake Operating Labor &Benefits 168,044 112,029 94,323 -94,323 17,706 179,530 172,689 Training 15,000 10,000 4,245 -4,245 5,755 15,000 10,363 Contractual 287,525 191,683 90,302 -90,302 101,381 287,525 212,841 Supplies &Materials 17,900 11,933 16,612 --16,612 (4,679)17,900 18,271 Indirect Costs 41,515 27,677 13,316 *:13,316 14,361 :: Bradley Lake Operating Total 529,984 353,322 218,798 :-218,798 134,524 499,955 414,164 BRADLEY CIRCUITS/RADIO TO BERNICE LK Other Costs 35,695 23,797 23,797 --23,797 (0)35,695 35,696 BRADLEY CIRCUITS/RADIO TO BERNICE LK Total 35,695 23,797 23,797 --23,797 (0)35,695 35,696 BRADLEY CIRCUITS BERNICE LK TO ANCH Other Costs 29,773 19,849 :19,683 :19,683 166 29,773 29,728 BRADLEY CIRCUITS BERNICE LK TO ANCH Total 29,773 19,849 -19,683 2 19,683 166 29,773 29,728 FERC 539 -Misc.Hydraulic Power P Total 595,452 396,968 242,596 19,683 -262,279 134,689 565,423 479,587 FERC 540 -Rents FERC Land Use Fee Bradley Lake Operating Other Costs ---:(35,289)(35,289)35,289 318,000 202,079 Bradley Lake Operating Total .-+.(35,289)(35,289)35,289 318,000 202,079 FERC 540 -Rents Total -:::(35,289){35,289)35,289 318,000 202,079 FERC $41 -Maintenance Supervision &Engineering Maint Supervision/Eng Bradley Lake Operating Labor &Benefits 195,817 130,545 144,810 :-144,810 {14,265)272,586 263,101 Indirect Costs 77,849 $1,899 25,222 a -25,222 26,677 -- Bradley Lake Operating Total 273,666 182,444 170,032 ::170,032 12,412 272,586 263,101 FERC 541 -Maintenance Supervision &Engineering Total 273,666 182,444 170,032 --170,032 12,412 272,586 263,101 3of9 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 -_- FY 19 Fy 18 BUDGET % FY19 Approved 07/01/2018 -(Over)Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual |Budget to Date Budget FY18 Actual FERC 542 -Maintenance of Structures Maintenance of Structures Bradley Lake Operating Labor &Benefits 85,438 $6,959 49,096 =49,096 7,863 94,453 70,197 Contractual 10,000 6,667 :-.6,667 10,000 - Supplies &Materials 53,713 35,809 28,550 :28,550 7,259 $3,713 57,919 Equipment,Furniture and Machinery 7,000 4,667 3,891 -3,891 776 7,000 8,513 Maintenance Projects :-::-::2,581 Indirect Costs 37,066 24,711 11,889 -11,889 12,822 =: Bradley Lake Operating Total 193,217 128,813 93,426 >93,426 35,387 165,166 139,209 BRADLEY UPGRADE CREWS QTRS/RESIDENCE KITCHEN Contractual 165,000 110,000 -::110,000 :: RADLEY UPGRADE CREWS QTRS/RESIDENCE KITCHEN Tota 165,000 110,000 -:-110,000 -: FERC 542 -Maintenance of Structures Total 358,217 238,813 93,426 -93,426 145,387 165,166 139,209 FERC 543 -Maintenance of Reservoirs,Dams &Waterways Maint Res,Dams,WWays Bradley Lake Operating Labor &Benefits 45,552 30,368 4,666 :4,666 25,702 50,610 9,314 Contractual 6,500 4,333 7,600 <7,600 (3,267)6,500 < Indirect Costs 19,932 13,288 :-:13,288 =: Bradley Lake Operating Total 71,984 47,989 12,266 =12,266 35,723 $7,110 9,314 BRADLEY NUKA REPAIR Contractual 15,000 10,000 --.10,000 15,000 . BRADLEY NUKA REPAIR Total 15,000 10,000 a -a 10,000 15,000 - BRADLEY POWER TUNNEL MAINT (Dam) Contractual 15,000 10,000 +:a 10,000 15,000 a BRADLEY POWER TUNNEL MAINT (Dam)Total 15,000 10,000 :-.10,000 15,000 a FERC 543 -Maintenance of Reservoirs,Dams &Waterways Tot 101,984 67,989 12,266 -12,266 55,723 87,110 9,314 FERC 544 -Maintenance of Electric Plant Maintenance of Elec Plant Bradley Lake Operating Labor &Benefits 342,265 228,177 203,869 -203,869 24,308 379,102 291,662 Travel 4,500 3,000 -:-3,000 4,500 : Contractual 70,000 46,667 69,475 -69,475 (22,808)70,000 59,793 Supplies &Materials 20,000 13,333 15,612 -15,612 (2,279)20,000 12,743 Indirect Costs 148,789 99,193 48,606 48,606 50,587 a ° Bradley Lake Operating Total 585,554 390,370 337,562 .337,562 $2,808 473,602 364,198 BRADLEY REPLACE LIGHTING IN POWER PLANT Supplies &Materials 30,000 20,000 °.°20,000 -- BRADLEY REPLACE LIGHTING IN POWER PLANT Total 30,000 20,000 -::20,000 :- FERC 544 -Maintenance of Electric Plant Total 615,554 410,370 337,562 .337,562 72,808 473,602 364,198 FERC 545 -fN of Misc.Hydraulic Plant Maint of Misc Hydr Plant Bradley Lake Operating Labor &Benefits 85,438 56,959 50,392 -50,392 6,567 94,453 86,833 Contractual 3,900 2,600 ---2,600 3,900 2,009 Supplies &Materials 35,000 23,333 21,861 :21,861 1,472 35,000 49,502 Indirect Costs 37,066 24,711 12,414 :12,414 12,297 :+ Bradley Lake Operating Total 161,404 107,603 84,666 :84,666 22,937 133,353 138,344 BRADLEY FISH WATER DSGN/MIDDLE FORK SHACK IMPR Supplies &Materials --°.:*:1,345 BRADLEY FISH WATER OSGN/MIDDLE FORK SHACK IMPR Tq °-7 -:::1,345 FERC 545 -of Mise.Hydraulic Plant Total 161,404 107,603 84,666 :84,666 22,937 133,353 139,689 FERC 556 -System Control &Load Dispatching System Cntl &Load Disp Bradley Lake Operating Labor &Benefits 21,506 14,337 16,970 =16,970 (2,633)20,618 34,363 Contractual 53,000 35,333 44,149 :44,149 (8,816)53,000 35,618 Supplies &Materials 6,000 4,000 613 -613 3,387 6,000 642 Equipment,Furniture and Machinery a --*..a 16,254 Bradley Lake Operating Total 80,506 $3,670 61,732 :61,732 (8,062)79,618 86,878 BRADLEY EMERSON ANTIVIRUS UPGRADE Contractual 40,000 26,667 *>26,667 :: BRADLEY EMERSON ANTIVIRUS UPGRADE Total 40,000 26,667 ::-26,667 :: Snow Measurement Bradley Lake Operating Contractual 12,000 8,000 ::10,000 10,000 (2,000)10,000 10,000 Bradley Lake Operating Total 12,000 8,000 a -10,000 10,000 (2,000)10,000 10,000 Seismic Service Bradley Lake Operating Contractual 62,000 41,333 .-40,721 40,721 612 62,000 61,285 Bradley Lake Operating Total 62,000 41,333 .:40,721 40,721 612 62,000 61,285 4o0f9 ALASKA ENERGY AUTHORITY BUDGET TO ACTUAL EXPENSES BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 FY 19 FY 18 BUDGET % FY19 Approved 07/01/2018 -(Over)Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual |Budget to Date Budget FY18 Actual Streamguaging Serv Bradley Lake Operating Contractual 206,291 137,527 :.103,146 103,146 34,382 213,137 213,137 Bradley Lake Operating Total 206,291 137,527 :-103,146 103,146 34,382 213,137 213,137 Permits Bradley Lake Operating Other Costs 350 233 ::--233 350 250 Bradley Lake Operating Total 350 233 +::233 350 250 FERC 556 -System Control &Load Dispatching Total 401,147 267,430 61,732 .153,867 215,599 51,831 365,105 371,550 FERC S62 -Station Expenses Station Expenses Bradley Lake Operating Labor &Benefits 94,718 63,145 40,295 36,706 :77,001 {13,856)123,726 112,738 Travel 2,000 1,333 -a :-1,333 6,000 1,701 Contractual 32,000 21,333 21,315 ::21,315 18 4,000 7,440 Supplies &Materials 21,000 14,000 11,019 670 -11,689 2,311 16,000 2,678 Other Costs 4,000 2,667 -100 -100 2,567 4,000 8,618 Equipment,Furniture and Machinery ----::::795 Maintenance Projects :.:::--:800 Bradley Lake Operating Total 153,718 102,478 72,628 37,476 :110,104 (7,626)153,726 134,770 FERC 562 -Station Expenses Total 153,718 102,478 72,628 37,476 -110,104 (7,626)153,726 134,770 FERC 571 -Maintenance of Overhead Lines Maint of OH Lines Bradley Lake Operating Labor &Benefits 31,120 20,747 4,889 :*4,889 15,858 82,402 2,907 Travel 10,000 6,667 8,180 .-8,180 (1,513)49,000 5,265 Contractual 50,000 33,333 10,846 --10,846 22,487 86,000 56,046 Supplies &Materials 5,000 3,333 ----3,333 19,000 : Bradley Lake Operating Total 96,120 64,080 23,915 -:23,915 40,165 236,402 64,218 BRADLEY MARKER BALL REPLACEMENT Contractual a ::::-.83 BRADLEY MARKER BALL REPLACEMENT Total -----:a <83 FERC $71 -Maintenance of Overhead Lines Total 96,120 64,080 23,915 --23,915 40,165 236,402 64,301 FERC 920 &930 -Administrative Expense AEA Bradley Fixed Admin Fees Bradley Lake Operating Administrative Costs 200,000 133,333 ::133,333 133,333 {0)200,000 200,000 Bradiey Lake Operating Total 200,000 133,333 -:133,333 133,333 {0)200,000 200,000 Operating Committee Exp-Audit Bradley Lake Operating Administrative Costs 16,500 11,000 --19,900 19,900 {8,900}16,800 16,800 Bradley Lake Operating Total 16,500 11,000 ::19,900 19,900 {8,900}16,800 16,800 Operating Committee Exp-Legal Bradley Lake Operating Administrative Costs 25,000 16,667 ::104,316 104,316 (87,649)25,000 115,610 Sradley Lake Operating Total 25,000 16,667 -104,316 104,316 (87,649)25,000 115,610 Operat Committee Exp-Arbitrage Bradley Lake Operating Administrative Costs 2,935 1,957 ----1,957 3,380 2,535 Bradley Lake Operating Total 2,935 1,957 a a 7 -1,957 3,380 2,535 Trust &Account Fees Bradley Lake Operating Administrative Costs 11,918 7,945 --11,918 11,918 (3,973)11,918 11,918 Bradley Lake Operating Total 11,918 7,945 --11,918 11,918 {3,973}114,918 11,918 Misc Admin Bradley Lake Operating Administrative Costs 10,350 6,900 --11,646 11,646 (4,746)10,000 10,350 Bradley Lake Operating Total 10,350 6,900 --11,646 11,646 (4,746)10,000 10,350 FERC 920 &930 -Administrative Expense Total 266,703 177,802 --281,114 281,114 (103,312)!267,098 357,213 FERC 924 &925 -Insurance Premiums Insurance Premiums Bradley Lake Operating Administrative Costs 656,834 437,889 11,898 -405,521 417,420 20,469 $81,000 624,705 Bradley Lake Operating Total 656,834 437,889 11,898 :405,521 417,420 20,469 581,000 624,705 FERC 924 &925 -Insurance Premiums Total 656,834 437,889 11,898 -405,521 417,420 20,469 581,000 624,705 Sof9 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS &MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2018 THROUGH 02/28/2019 FY 19 FY 18 BUDGET % FY19 Approved 07/01/2018 -(Over)Under FY18 Approved Budget 02/28/2019 HEA Actual CEA Actual AEA Actual Total Actual |Budget to Date Budget FY18 Actual FERC 928 -UY yc FERC Admin Fees Bradley Lake Operating Administrative Costs 185,000 123,333 ----123,333 185,000 176,523 Bradley Lake Operating Total 185,000 123,333 °-::123,333 185,000 176,523 FERC Related Prof Services BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES Administrative Costs 125,000 83,333 --64,980 64,980 18,353 125,000 100,999 BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES Ti 125,000 83,333 ::64,980 64,980 18,353 125,000 100,999 FERC 928 -it ¥C E:Total 310,000 206,666 °ba 64,980 64,980 141,686 310,000 277,522 Total Bradley Lake Budget 4,787,466 3,191,644 1,560,993 57,159 870,192 2,488,344 703,300 4,593,387 3,985,722 6of9 BRADLEY LAKE R&C FUND DISBURSEMENTS AND REPAYMENTS SCHEDULE D Expenses for the Period 07/1/18 through 02/28/19 Actual Actual Actual Actual Budget @ 6/30/18 TO REPAY @02/28/19 TO REPAY FY19 Description Expense 6/30/2018 Expense @6/30/19 R&C FUND PROJECTS Governor 0.00 4,052,070.14 0.00 4,052,070.14 0.00 Replace RFLS 0.00 251,092.69 0.00 251,092.69 0.00 Replace Runners 0.00 1,946,732.79 0.00 1,946,732.79 0.00 Replace cable from dam to power house 0.00 2,321,922.94 0.00 2,321 ,922.94 0.00 Replace power system stabilizer 0.00 619,205.10 0.00 619,205.10 0.00 Replace two RTUs 0.00 86,905.27 0.00 86,905.27 0,00 Culvert Repairs 0.00 675,966.79 0.00 675,966.79 0.00 ower Repair for Jack Frost Heaves 0.00 887,596.62 0.00 887,596.62 0.00 eplace Plant and SCADA Controls 0.00 1,344,683.05 0.00 1,344,683,05 0.00 Vibration Monitoring System 0.00 490.00 0.00 490.00 0.00 ire Alarm System Replacement 0.00 0.00 0.00 0.00 250,000.00 Battle Creek Diversion 0.00 1,170,000.00 0.00 1,170,000.00 0.00 Bradley Replace Electro-Mechanical Relays 0.00 1,277,197.06 0.00 1,277,197.06 0.00 Fishwater Screen Debris Removal 0.00 312,236.43 0.00 312,236.43 0.00 Turbine Nozzel Repair 0,00 1,428,861.07 0.00 1,428,861.07 0.00 SVC replacement Daves Creek |Soldotna 1,341,405.96 8,517,991.11 0.00 8,517,991.11 0.00 Equipment Storage Shed 0.00 0.00 457,085.59 457,085.59 500,000.00 Emerson Operating System Upgrade 0.00 0.00 311,332.50 311,332.50 700,000.00 Generator #2 Replacement 0.00 0.00 263,057.77 263,057.77 0.00 1,341 ,405.96 |24 892,951.06 1,031 475.86 |25,924 ,426.92 1,450,000.00 Current Year R&C Repayment (2,793,306.00)(1,830,712.00) Adjust to balance to $5million 0.00 0.00 Interest in Fund Applied to Repayment (226,781.00)(117,045.31) Net Transfer from Revenue Fund (3,020,087.00)(1,947,757.31) Cumulative Prior Years R&C Repayments (17,886,155.09)(20,465,255.55) Due Back to Utilities 440,986.54 (656,055.92) Adjust Due to R&C Actual 0.00 0.00 (17,445,168.55)(21,121,311.47) NET DUE TO R&C FUND 4,427,695.51 2,855,358.15 R&C FUND CASH FLOW PROJECTION Beginning Investment Balance 3,219,624.39 1,013,291.03 Disbursements-current year -Accrual (1,341,405.96)(778,162.94) Disbursements-prior year accrued (2,737 ,351.03)0.00 Utilities'R&C Refund (1,147,663.37)(440,986.54) Net other cash inflow(outflow)0.00 0.00 Current year interest earnings 226,781.00 117,045.31 Participants Contributions to R&C Fund 2,793,306.00 1,830,712.00 Ending Investment Balance 1,013,291.03 1,741,898.86 Accrued Due to Utilities (440,986.54)656,055.92 R&C payable back to the revenue fund 0.00 0.00 Accrued R&C vendor Payable at Year End 0.00 (253,312.92) PROJECTED NET DUE +ENDING INVESTMENT BALANCE 5,000,000.00 5,000,000.00 $3,330,802.80 x 25%yr 1 |32%yr 2 |25%yr 3 |18%yr4 3rd yr 832,700.70 |[4th 599,544.50 599,544.50 $5,644,193.08 x 25%all 4 years 2nd yr 1,411,048.27 3rd 1,411,048.27 1,411,048.27 $1,341,405.96 x 25%all 4 years 1st yr 335,351.49 |[2nd 335,351.49 372,974.87 $1,031,475.86 x 25%all 4 years Ist 257,868.97 362,500.00 __2.579,100.46 |2,603,813.23 2,746,067.64 Page 7 of 9 ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Battle Creek Capital Purchases Schedule E Expenses for the period 07/01/18 through 02/28/19 FY18 Battle Creek Capital Purchases Amended FY18 FY19 Budget Actuals Actuals Used 2007 Chevrolet Silverado ___8,800 8,800 Used 2006 Chevrolet Silverado 7,700 7,700 Total capital revenue fund purchases 16,500 16,500 Page 8 of 9 ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Battle Creek Administrative Costs Schedule F Expenses for the period 07/01/18 through 02/28/19 FY 19 FY 18 FY19 Budget %FY18 Approved 07/01/18 -(Over)Under Aprroved Budget 02/28/19 HEA Actual AEA Actual Total Actual |Budget to Date Budget Total Actual Summary By Expense Type Administrative Costs 453,988 302,659 185,948 120,229 306,177 (3,518)43,800 137,456 453,988 302,659 185,948 120,229 306,177 (3,518)43,800 137,456 FERC 920 &930 -Administrative Expense AEA Bradley Fixed Admin Fees Administrative Costs 176,193 117,462 7,421 112,000 119,421 (1,959)22,000 25,525 AEA Bradley Fixed Admin Fees Total 176,193 117,462 7,421 112,000 119,421 (1,959)22,000 25,525 Operating Committee Exp-Legal Administrative Costs 15,000 10,000 -4,084 4,084 5,916 15,000 17,082 Operating Committee Exp-Legal Total 15,000 10,000 -4,084 4,084 5,916 15,000 17,082 Operat Committee Exp-Arbitrage Administrative Costs 2,000 1,333 ---1,333 2,000 2,180 Operat Committee Exp-Arbitrage Total 2,000 1,333 --:1,333 2,000 2,180 Trust &Account Fees Administrative Costs 6,550 4,367 -4,083 4,083 284 4,300 1,197 Trust &Account Fees Total 6,550 4,367 -4,083 4,083 284 4,300 1,197 Operat Committee Exp-Other Administrative Costs :::62 62 (62)500 2,276 Operat Committee Exp-Other Total ---62 62 (62)500 2,276 Professional consultants Administrative Costs 254,245 169,497 178,527 -178,527 (9,030)-89,196 Professional consultants Total 254,245 169,497 178,527 -178,527 (9,030)-89,196 FERC 920 &930 -Administrative Expense Tota 453,988 302,659 185,948 120,229 306,177 (3,518)43,800 137,456 9 of9 Bradley O&D Report to the BPMC Friday May 17,2019 1.Bradley Unit 2 work is complete The original reason for taking the unit out of service was due to concerns over high Potential Discharge readings from IRIS that had been increasing. An initial inspection was pointing toward loose wedging on the rotor. During the outage a hole in the insulation on the rotor was located and determined to be the cause of the high PD readings.The hole was repaired. Wedging on the generator was checked and found to be in good condition so re-wedging was not done. Additional problems were discovered during the outage: i.Rotor Pole connections were broken -these were replaced or repaired -Replacement Rotor Pole Connectors will need to be ordered to replace those repaired and the spares that were used. ii.Exciter connections were cracked -these were replaced or repaired - Replacement Exciter Connectors will need to be ordered to replace those repaired and the spares that were used. iii Needle Dividers were cracked along a field weld -these were repaired with a temporary fix.They will need to be replaced in the near future -24 week delivery time. 2.Bradley Unit 1 work is complete a. b. c. Needle Dividers cracked alonga field weld similar to unit 2 -these were repaired with a temporary fix.They will need to be replaced in the near future. Rotor pole connections were inspected and found to be in good condition Exciter connections were inspected and found to be in good condition 3.Discussed Bradley Lake KPI's -discussion will continue next meeting 4.Discussed Bradley Lake Staffing requirements -HEA is hiring a trainee. 5.Discussed Bradley Lake Flight manifests and reporting -Operator will provide a list of all people not associated with the Bradley Project that are utilizing flights to the BPMC.,Per the contract anyone associated with the Bradley Project is authorized to utilize flights on an as available basis and these people are listed in the flight manifests already provided by the Operator. 6.Discussion of options for scheduling increased water usage due to high lake levels.- Meeting Scheduled for Friday May 17 at 1:30 pm. Bradley Lake Operator Report BPMC May 17,2019 Unit Statistics:*as of May 14,2019 Generation Unit 1 (MWhrs)Unit 2 (MWhrs)Total (MWhrs) April 2019 21,374 9,121 30,495 Hydraulics Avg.Lake Level (ft.)Usage (ac ft.)Fish water (CFS) April 2019 1157.5 30,298 64.5 AVG Generation Unit 1 (MWhrs)Unit 2 (MWhrs)Total (MWhrs) May 2019*12,305 10,800 23,105 Hydraulics Avg.Lake Level (ft.)Usage (ac ft.)Fish water (CFS) May 2019*1150.2 23,105 167.0 AVG Lake Level -1148.7'as of May 14,2019 Capital Projects: 1)Generator 2 electrical Inspection -Unit 2 was restored to service April 18. 2)Mechanical Divider issue -both turbine 1 and turbine 2 had a majority of the dividers exhibiting cracks.In each case at least 4 of the dividers were in a state that |would call alarming or concerning.Two on each machine were what | termed worrisome.We have completed a temporary bolting fix on the existing dividers and need to have new monolithic divider manufactured.We are working with some vendors to determine pricing.Pricing has been indicated to be between $9,700 13,000 and 23,000 each.We need to purchase 12 each. Lead time is on the order of 24 weeks. 3)Concerns on Unit 1 and Unit 2-We plan to take the units down in about 6 months and conduct a quick inspection of the dividers. 4)Unit 2 -We plan on inspecting the pole connection in about 6 months to make sure the repairs are holding. 5)ABB has offered a fix on the pole connection -More information to follow.|willsharetheirengineeringproposalbutrecognizethatthisisproprietary information. Bradley Lake Operator Report Page 1 6)Emerson Ovation Upgrade -FAT was completed last week.The equipment has been shipped and we intend on installation the week of June 3 with a one-day (full plant)outage scheduled for June 4". 7)Fish Water Control Automation --Scheduled for June 10", 8)Status of Repairs and Budget -See separate document on YTD expenditures for the emergency overhauls and inspections. Operations,Maintenance,and Inspections: 1)Operations-Unit 1 was operational as of April 10°and Unit 2 returned to service April 18°.Operation with both units has been normal since then. 2)April Unit availability -Unit 1 68.4%,Unit 2 40.8%.Capacity factor for April for Unit 1 was 47.6%and for Unit 2 20.1%qeertia$monty of Tatp 3)Safety meeting -Meeting was held on May 6th. 4)Nuisance Bear -we have been having issues with a problem bear.We are attempting to scare him off with rubber bullets and bean bag shells.He seems to not care about noise rounds. Bradley Lake Operator Report Page 2 listitem Date Item ID Account Amount Description Vendor #Vendor Name 02/07/19 MSEL 00 333.11 2.02 BL METRIC SCKT HD CAP SCREWS 50 4654 FASTENAL COMPANY 03/06/19 MSEL 00 333.11 14.98 BL CONDUIT (GEN#2 REPAIRS)6665 O'REILLY AUTO ENTERPRISES 03/01/19 MSEL 00 333.11 28.40 DAY 1902 6906 U S BANK CORPORATE 01/24/19 MSEL 00 333.11 35.90 BL GEN 2 OVERHAUL PARTS&SUPPLIES 4833 KACHEMAK AUTO PARTS 03/19/19 MSEL 00 333.11 39.99 BL HAMMER TACKER 1 6849 ULMER'S DRUG &HARDWARE 01/22/19 MSEL 00 333.11 42.61 BL GEN 2 OVERHAUL TOOLS 4833 KACHEMAK AUTO PARTS 03/05/19 MSAD 15 333.11 44.50 IRIS POWER PO 60110 1400 FEDERAL EXPRESS CORP 03/19/19 MSEL 00 333.11 47.60 BL STAPLER&STAPLES (TAX TBR)640 SPENARD BUILDERS SUPPLY 01/24/19 MSEL 00 333.11 61.50 BL GEN 2 REPAIR TOOLS 4833 KACHEMAK AUTO PARTS 01/31/19 MSEL 00 333.11 62.55 BL CHANNEL PIPE CLAMPS 3 3122 GRAINGER DEPT 829529056 03/01/19 EMEX 33 333.11 66.36 DAY 1902-MEAL 6906 US BANK CORPORATE 03/01/19 MSEL 00 333.11 70.80 DAY 1902 6906 U S BANK CORPORATE 01/18/19 MSEL 00 333.11 79.20 BL ELECTRICAL TAPE FOR GEN20TG 1097 BROWN'S ELECTRICAL SUPPLY CO 12/26/18 MSEL 00 333.11 124.76 BL ROTOR STAND BOLTS 32 4654 FASTENAL COMPANY 02/21/19 MSEL 00 333.11 131.04 BL GEN #2 REPAIR SUPPLIES 4654 FASTENAL COMPANY 01/18/19 MSEL 00 333.11 147.98 BL FUEL CYLINDERS FOR GEN REPAIR 24 ALASKA INDUSTRIAL HARDWARE 01/17/19 MSEL 00 333.11 162.84 BLDUCT TAPE 24 4654 FASTENAL COMPANY 02/13/19 MSEL 00 333.11 166.20 BL PROPANE CYLINDERS 4 6818 LF SINC 02/18/19 MSEL 00 333.11 192.45 BL PROPANE TORCHES 3 6818 LFSINC 02/18/19 MSEL 00 333.11 241.85 BL GEN #2 REPAIR SUPPLIES 3122 GRAINGER DEPT 829529056 02/01/19 MSEL 00 333.11 286.01 BL SUPPLIES FOR GEN #2 REPAIRS 640 SPENARD BUILDERS SUPPLY 03/14/19 MSAD 00 333.11 300.00 BL WELDING CONSULTANT SERVICE 1816 FRITZ CREEK WELDING 01/31/19 MSEL 00 333.11 314.90 BL GEN 2 ORANGE SOL CLNR 24 4654 FASTENAL COMPANY 02/14/19 MSEL 00 333.11 343.26 BL GEN #2 REPAIR SUPPLIES 4654 FASTENAL COMPANY 01/28/19 MSEL 00 333.11 354.00 BL SFTY EQUIP FOR GEN#2 OVERHAUL 5514 ALASKA SAFETY INC 01/24/19 MSEL 00 333.11 401.18 BL GEN 2 CLEAN UP MATERIALS 4833 KACHEMAK AUTO PARTS 03/20/19 MSAD 42 333.11 485.00 BL B-H (FRT)6933 MAKO'S WATER TAXI LLC 01/24/19 MSEL 00 333.11 621.14 BL GEN 2 PAPER TWLS FOR CLEANING 4654 FASTENAL COMPANY 02/18/19 MSEL 00 333.11 695.40 BL GEN #2 REPAIR SUPPLIES 3122 GRAINGER DEPT 829529056 03/22/19 MSAD 15 333.11 873.52 BL-LEGACY INDUSTRIAL 1400 FEDERAL EXPRESS CORP 03/18/19 MSAD 00 333.11 1,636.73 BL FRT CHG AIR GAP SENSORS 6527 IRIS POWER LP 03/03/19 MSAD 15 333.11 1,675.00 BL FRT TO BL FOR GEN #2 REPAIRS 6519 R &R FISHERIES 01/15/19 MSEL 00 333.11 2,594.71 BL GEN 2 REPAIR SCAFFOLDING 640 SPENARD BUILDERS SUPPLY 03/25/19 MSAD 00 333.11 2,810.00 BL-LEGACY INDUSTRIAL 6860 RICH,STEVEN J 01/29/19 MSED 06 333.11 3,000.00 BL GEN BARRIERS 01/22-28/19 6860 RICH,STEVEN J 03/01/19 MSAD 00 333.11 3,006.21 BL FOOD CONTRACTR 02/25-03/03/19 6686 FIVE STAR OILFIELD 02/22/19 MSAD 15 333.11 3,196.34 BL LMC-PLASTICSOURCE 1400 FEDERAL EXPRESS CORP 02/22/19 MSEL 00 333.11 3,208.83 TFP PROBE KIT FOR SALIENT PROBE 6527 IRIS POWER LP 01/29/19 MSAD 00 333.11 3,233.00 BL FOOD CONTRACTOR 01/28-2/03/19 6686 FIVE STAR OILFIELD 02/14/19 MSAD 00 333.11 3,242.00 BL FOOD CONTRACTOR 02/11-17/19 6686 FIVE STAR OILFIELD 01/28/19 MSAD 00 333.11 3,436.80 BL FOOD CONTRACTOR 01/21-27/19 6686 FIVE STAR OILFIELD 02/2519 MSAD 00 333.11 4,391.59 BL FOOD CONTRACTOR 02/18-24/19 6686 FIVE STAR OILFIELD 02/11/19 MSAD 00 333.11 §,330.77 BL FOOD CONTRACTOR 02/04-10/19 6686 FIVE STAR OILFIELD 02/22/19 MSEL 00 333.11 11,709.96 2 AIR GAP SENSORS 6527 IRIS POWER LP 02/25/19 MSEL 00 333.11 16,968.60 MOBIL DTE OIL VG 46,LUBRICANT,7003 PETRO STAR INC 12/19/18 MSEL 00 333.11 41,487.50 BL RE-WEDGE KIT (50%DOWN PYMNT)6995 LMC PLASTICSOURCE 02/05/19 MSEL 00 333.11 41,487.50 BL RE WEDGE KIT (50%)6995 LMC PLASTICSOURCE 02/11/19 MSED 06 333.11 92,760.92 BL GEN #2 OVERHAUL 01/28-2/04/19 4884 CANYON INDUSTRIES INC 03/25/19 MSED 06 333.11 104,106.00 BL GEN #2 ELECTRICAL TEST 5667 ABB INC $355,720.40 Total to date Page 1 Lee tnibar "thee -burt . 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