Loading...
HomeMy WebLinkAboutIntertie Budget Committee Meeting Agenda & Notes 2007-PresentAL .James Strandberg From:May Clark - Sent:Tuesday,April 12,2011 9:29 AM To:James Strandberg;Gary Kuhn (grkuhn@matanuska.com) Ce:Brenda Applegate;Christel Petty;Dale,Henri;Doug Hall (halldw@muni.org);Wick, Burke;Mark Peery (MPeery@HomerElectric.com) Subject:IOC Budget Subcommittee Teleconference Importance:High TELECONFERENCE CALL IS SCHEDULED: SUBJECT:IOC Budget Subcommittee WHEN:Weds,April 13,2011 @ 9:00 am -10:00 am CALL IN NUMBER:1-800-315-6338 CODE:3069# Jim,as the originator,you will dial the 800 number above,then Code 3069 1 #to open the line. From:James Strandberg Sent:Monday,April 11,2011 5:11 PM To:Gary Kuhn (grkuhn@matanuska.com) Cc:Brenda Applegate;Christel Petty;Dale,Henri;Doug Hall (halldw@muni.org);Wick,Burke;Mark Peery (MPeery@HomerElectric.com);May Clark Subject:budget subcommittee meeting Gary and Henri, |wonder if we could have a budget subcommittee meeting on Wednesday April 13",via teleconference,at 10 am?| have the Alaska Intertie Meeting in the afternoon that day,and will be gone for the rest of the week.Brenda Applegate and Christel Petty have done a good job getting the draft budget together,preparatory to the IOC meeting next week in Fairbanks.|know there will be one or two issues.They promise to send out the draft budget by tomorrow. If so,|will ask May to set up a phone bridge.(Bridge for 2 hours,10 people max) Best Regards,Jim "ALASKA INTERTIE QUARTERLY REPORT THROUGH MARCH 31,20114 Approved FY11 ACTUALS OVER Budget [A]|@ 03/34/11 {UNDER}NOTES REVENUES GVEA 3,044,760 4,914,166.00 1,869,406 |FY86 Capacity&Usage Thru Gait inchides $253,400 MITCR ML&P 71,061 71,060.60 -F¥41 Capacity&Usage Thru 0391H1 lnchides $74,080.60 LUTCR CEA 96,147 110,211.36 14,064 |Fvt1 Capecity&Usage Thru ovraiit Inchides $08,147.20 ANTCR AEG&T 90,218 91,560.20 1,342 |FY11 Capacty &Usage Thiv 0391114 Includes $46,192.20 KATCR INTEREST -722.50 723 |thu os2011 TOTAL REVENUES]3,302,186 5,187,720.66 1,885,535 EXPENSESFERC582 -Station Operation Expenses GVEA-Substation Electricity Usage 4,000 6,336.82 2,337 |thruoxstzai4 4,000 6,336.82 2,337 FERC 566 -Miscellaneous Transmission Expense _SCADA &Voice Circuits (SOA)234,000 234,209.32 209 [Frm SCADA -Healy Maintenance -739.60 740 |thn caeto SCADA -Cantwell Maintenance . -992.00 992 F thru 162010 . Cell Phone Comm.Sve for Weather Monitoring 20,000] -«-26,494.95 6,495 |thev o22014 $ SLMS -Support Contract -(08-007-EPSI)50,000.30,707.07 (49,293)|wuarzors [2),&60 - SLMS -Baltery Changeout -- _ Intertie Ground Safety Patrol -(08-007-HDR)35,000 18,745.62 (18,254}]tins oz [7,I 5RailbeltLoadShedStudy-8,922.69 8,923 |thew ou2011 , Misc Studies as needed 30,000 :{30,000} 369,000 318,811.06 (60,189) FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad 400 400.00 --|eu 142010 MEA -Talkeatna Storage 7,200 4,800.00 (2,400)ira o2reos17,600 6,200.00 (2,400) FERC 570 -Maintenance of Station Equipment GVEA -Healy Cantwell,Goldhill 64,972 76,773.16 21,804 |thru 022011L>GVEA -Healy SVC Maintenance (570270):2,429.00 2,429 |uu o2r011 GVEA «Gold Hill SVC Maintenance (570240)-370.60 371 |usru 1072010 GVEA -Cantwell Batleries -New Charger 10,000 .(10,000) GVEA -Cantwell Substation Fence 300,000 11,486.06 (288,514){teu 1272010 GVEA-Dissolved Gas Monitoring Gold Hilt &Healy -16,641.44 16,541 |throou2e11 Replace Protective Rela emes Healy &Douglas cFTALSeae,yeh aeane '1 ty &Doug 300,000 233,463.89 (66,536)}tie 118122010 McdpayeCEA-Teeland Substation .52,000 120,688.62 68,689 |nu en2011MEA-Douglas Substation 5,000 94.77 (4,905)|wnu onott Lut ;721,972 461,847.43 (260,125) FERC 571 -Maintenance of Overhead Lines : GVEA -Northem Maintenance 147,454 40,613.00 (106,841)]thw cenaie GVEA -Landihg Pads .§0,000 .(50,000) GVEA -Adjust Guys 26,000 -(26,000) GVEA-Northern ROW Clearing 200,000 62,926.31 (147,074)]ura oaiz010 GVEA -Repair Tower 692 20,000 146.00 (19,854)|wu tez0t0 MEA-Special Patrols [Inc!Foundation Inspections]22,476 (22,476) MEA -Southern Maint (Incl Ground Inspect)109,402 4,402.68 (104,999)]thru 022011 MEA -Southern ROW Clearing Talkeetna North 1,029,842 6,880.00 (1,023,962)]th 07/2010MEA-Contingency 46,640 {46,640} MEA -TWR 195 Repair Monitoring 45,000 (15,000) 14,656,814 103,967.99 {1,662,646} FERC 920 -AEA Administrative Costs Personal Services,Travel and Other Costs 40,000 46,060.27 6,060 J nmoz2att40,000 46,060.27 6,060 "- FERC 920 -106 Administrative Costs ly 000 lOC Administrative Costs -- FERC 924 -Property Insurance AF Intertie -Insurance 210,000 112,627.21 (97,473)]incl aviaton Insurence O8/01/10to O8I/E Insurance Risk Assessment 50,000 -(50,000) 260,000 112,627.21 (147,473) TOTAL EXPENSE}_3,069,386 1,054,750.77 (2,014,636) SURPLUS (SHORTAGE)232,800 4,132,969.89 3,900,170 H:\all\CPetty\AEA\AK Intertie\Qrtly AFI Status Report PJ220501\FY2011\FY14AKE.XLS Page 1 ALASKA INTERTIE REVENUE VARIANCE REPORT Apr-11 May-11 Jun-11 TOTAL MWH MWH MWHMWHACTUALUSAGEJul-10 Aug-10 Sep-10 -Oct-10 Nov-10 Dec-10 MWH MWH MWH MWH MWH MWH44,536 ee B65 43.4498 40,260 25,04343,009nian my DINRENNaa apeitlels i bt CEA mae 26,37838,721 |alyee ;12,989 martcanaSan AEGT [oanancen a 195HOE)-- chem eecoeeusa et OWELevate antSoo aes ACTUAL REVENUE Jul-10 Aug-0 Sep-10 Oct-10 .saga Dec-10 Jan-14 "Feb-11 Mar-11-APaa =May-11 Jun-11 TOTALRVCSISAUAMSTILEIGELuneraiekkanPAsANGEPaCePAenCeYAWSCVAR2SUESSASHodesMcerenCsAS GVEA Energy Charges $577,181 $597,873 $575,262 $583,743 $540,289 $336,077 $519,636 $353,993 $576,912 $-$-$bd $4,660,766 GVEA Capacity Charges $253,400 $253,400 YTD Actuals «$830,581 $1,428,254$2,003,516 _§2,587,259 $3,127,548 $3,463,625 $3,983,261 $4,337,254 $4,914,166 $4,914,166 $4,914,166 $4,914,166 $4,974 166WEOCRDLManiacSRPUCOEESRDSOUROOOBATS790OURSDUSAOSUTHEOBONSOSLUiSOOALITSIASOAMAOWORISLOSORTSETUNSOOO,Ni APES MOBENI MLP Energy Charges $-§.$-$.-$-§$-§-§.$-$-$-§-§- MLP Capacity Charges $71,061 $71,061 YTD Actuals $_71,0671,061 $71,061 $71,061 $71,061 $71,061 $71,061 $71,061 $74,064 S$71,061 §$71,06061 $71,061 $74,a $71,064SEUarbapeearetetalNOSEAO)ORICON SO EE EE LU ONLI SHO LASSALA ONS i ES USNR ENO Sana CEA Energy Charges $-§-§$-§-$14,064 $-$-§$-§-§-§-§-$14,064CEACapacityCharges$96,147 $96,147 YTD Actuals $96,147 _$96,147 $96,147 $96,147 $110,214 $110,211 $110,211 $110,211 $110,211 $110,211 $§110,211 $110,211 §110,214HIDEOariancessiiiStnOSAhOLSgtiOSaayORSINNaO64SLMOBSSin44,064 s/c cit OB4l NS ling,068 1S MMA OSM NSLAMAOES 9 i AEG&T Energy Charges $27 $40 §$215 $.$832 $2617 $4,837 $-$-$-$bd AEG&T Capacity Charges $86,192 $86,192 YTD Actuals $_86,219 $86,259 $86,474 $86,474 $87,306 $89,923 §91,560 $91,560 $91,560 $91,560 $91,560 $91,560 §91,560_SEDIMENTSLIER ENOLa0 USa ONS a2)SCAT AS ULASAe OPMUOME Sig OSA OSE SASLNGOAe ySiSOMMEUO TOTAL ENERGY CHARGES $577,208 $597,713 $575,476 $583,743 $555,185 §$338,694 $521,273 $353,993 $576 912 $-$-$-$4,680,198TOTALCAPACITYCHARGES$506,800 $-§$-_§-_§+§:$-.$-=$-_$-_§-_$506,800 __.- YTO TOTAL REVENUES $1,084,008 $1,681,721 $2,257,197 $2,840,941 $3,396,126 $3,734820 $4,256,093 $4,610,086 $5,186,998 "$5,186,998 $5,186,998 _S 5,A186,-$=:186,aaFBUDETOTALVARIANGED12,au -SSRZETROBIINIT(AO SODNIS HULIOOMT 7 Hi\alf\CPetty\AEA\AK Intertie\Qrtty AFI Status Report PJ220501\FY2011\FYLLAKI XLS Page lof 2 ALASKA INTERTIE REVENUE VARIANCE REPORT Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-14 Mar-11 Apr-11 May-11 Jun-11 TOTAL MWH MWH MWH MWH MWH MWAH MWH MWH MWH MWH wo MWH MWH25,000 26,000 25,000 25,000 25,000 26,000 10,000 40,000 11,000 7,000 10,000 aro 000PieOTITISA0OTEIITNI7(DOO MTRE Os COON 26 OnORIN 2 Con ENiHs2 Coo SATs COONS,to TVS gO Se OORT Oa SlateEro a A Poe MO ea Een ERA REec ER dedaniel pelleEcoEEESG EA BR ER toe (ero ET CACHE REED PUREEESN 200 ES 00 ERTS TR HEELS?PASCO LasScoREERERISE 26,000 25,100 26,100 10,100 10,000 11,000 7,000 8,000 10,000 208,300.00000ASEEROTISooONENESNOONOOUEERUNSUMNOGZSocNeSOUTERHSaoNesesoEONSORTIEE BUDGETED REVENUES ul-10 "10 Sep-10 Oct-10 Nov-4 a Dec-10 -Jan-11 Feb-11 Mar-11 jay-11 Jun-11 TOTALBuagekedRateeeMsRTEASOSESOERSENSPtCOATSoUFYCGECWCORSE)resi Roam aaaPA SS Ra GVEA Energy Charges $335,500 $348,920 $335,500 $335,500 $335,500 $348,920 $134,200 $134,200 $147,620 §93,940 $107,360 $134,200 $2,791,360GVEACapacityCharges$253,400 $253,400TROPASeASSecsRSESOOSCOTSOSTia7a20)NS jeMs000 6c 0S,048)520S08aC ner RAO TS ase L ONO Sin em0o 2001nrAOS ON,SNe CSHOT SM SOM RO Sus OeN 760,Nt MLP Energy Charges $-§>§-§-§$-$-§»§$-§-§$-§$-§.:. MLP Capacity CCharges $71,061 pean,a seprpsie ceceeewmcp aa np ass _-Bree]ES CHa ua maT HLA MOR IRE BICIE ai CAM cE MOR CANCLoZtn STR OCIS Td Oe Si tmmOe un Sun aOed (7d DCMS 00s SunsAst CEA Energy Charges $-§$-$-§-$-§:$-§-$-$-§$-$-s . CEA Capacity Charges $96,147 -_.lp one gS CHT AI TICLE Da VOC TANSE A LeNUC OASHCTAMER OMCCAM AEGA&T Energy Charges $-$.$-$.$1342 $1,342 §1,342 $:$:$.$-$-:evaAEG&T Capacity Charges $86,ERNAOTEES ET g EDS ns S02 ESTO STNG OTSISAS LSU S SASK BS 876 U8]680288SOOAISLeSOerLOCAoe OO ete Iss:TOTS TSOTOTALENERGYCHARGES$335,500 $348,920 $335,500 :335,500 §336,842 H 350,262 :135,542 :134,200 :147,620 ;Male CAPACITY CHARGES $506,800 §$:$" AS 2Hr21RiseEUranuevineteatIOMeeZee 93,940 :107,360 $134,200 $2,795,386corrtarsana5._-$-_$506,800 .Se a eae nee ercS EAU UTE OTSGIRSUSOT SONY Hi\ali\CPatty\AEA\AK Inzerie\Ortly AFI Status Report PIZ20SOL\FY2OLI\FY12AKILXLS Page 2of 2 ITF ALASKA INTERTIE TRUST FUND Key Bank Trust Acct No.0698481 Status Report as of March 31,2011 BEGINNING BALANCE AS OF 07/01/10 $36,889.71 INTEREST $14.01 DISBURSEMENTS $: $'36,903.72ENDINGBALANCEASOF03/31/11 History: The ITF Alaska Intertie Svcs Fund was setup to account fora trust account that AIDEA is custodian of for the benefit of the Utilities involved in the Alaska Intertie Project.This Trust Account is for the purpose of paying for expenses related to the Static Var System.The account is held at Key Bank.Any disbursements will be requested by the operating committee or the Utilities.No trust fee is charged to the account as AIDEA/AEA has a blanket trust fee agreement with Key Bank for alt accounts held by Key Bank.This trust fund will last as long as the operating committee requires it. H:\all\CPetty\AEA\AK Intertle\Qrtly AFI Status Report PJ220S01\FY2011\|TF-AK Intertie SVC Fund.xls 03-31-11 ©S James Strandberg From:James Strandberg Sent:Saturday,January 12,2008 1:33 PM To:dlarue@drydenlarue.com Ce:'Henri F.Dale';Karl Reiche;James Hemsath Subject:Budgetary Estimate for SVC controls upgrade Attachments:IOC Budget Subcomm Minutes &Budget Revision Del, Attached please find a copy of the last Budget Subcommittee meeting minutes.During that meeting |was asked by the committee to approach you to establish an updated budgetary estimate for the Alaska Intertie SVC project.Throughout its lifetime,this project has considered three upgrade options to upgrade or replace the SVC controls on the Alaska Intertie,at Gold Hill,Healy,and Teeland substations. The last communication we have from you is dated August 1*,2006,anda copy of that estimate is attached in the email attachment.We also have a recent cost estimate update from ABB dated August 29",2007,again copy attached in the email. Your scope of work should consist of a complete construction cost estimate to include all normal services including options evaluation,discussion with the IOC on options and assistance in selecting option to proceed,design, construction,commissioning and operational training.Assume we are still preliminarily considering the three different options.Do not include AEA or operating utility costs,as has been the practice in the past estimates you have done for us. |look forward to receiving your proposal for these cost estimating services. Best Regards,Jim Strandberg 8 James Strandberg From:Gerry and Maryann DePriest [depriest@mtaontine.net]Sent:Wednesday,January 16,2008 8:50 PM To:James Strandberg;.Doug Hall;'Ken Langford' Cc:Candy Aragon.;.Charlie Kimmel;.R.J.Piech;'TA Babcock';'D.Zoerb' Subject:Jan.16th 2008 Intertie Safety Patrol Daily Report Hello, My personal contacts at Montana Ck are good sources for verifying the weather and new snow fall depth to compare with Snotel.The residents there received about 6 inches of snow from this last storm and Snotel posted a gain of 5 inches (new snow base depth is 24 inches previously 19). Snotel's high temperature was 17F and the low was -2.6F.Montana Ck Rd area is about 5 miles SE from Su.Valley High as the crow flies. Talkeetna is under high overcast skies and the winds are calm.This most recent snow storm ceased early this AM and Talkeetna's site posted 0.20 inches of accumulation (melted equivalent).Our patrol today measured about 5 inches of new snow at the Talkeetna River near tower 191 and the patrol even encountered some rainfall and warm temperatures at that point.The current temperature at 6:00 PM was 21F and the humidity is 88%. The deepest new snow fall encountered today was at Willow (Douglas Station),and measured about 14 inches giving an overall snow depth of about 30 inches.Line loading was monitored up to about tower 160.The heaviest line loading was again in the southern end.The snow is unstable and unloading from the lines.The patrol did not continue past the Talkeetna River.A patrol will not be sent tomorrow,Thursday the 17". Happy Trails,Gerry. 4 James Strandberg From:Shellie M.Helton Sent:Wednesday,January 16,2008 6:07 PM To:'Burke Wick';'dwzoerb@matanuska.com'';'Peery,Mark';'hfdale@gvea.COM''; 'HallDW @ci.anchorage.ak.us';'OriEA@ci.anchorage.ak.us';James Strandberg;Brenda Applegate Subject:12/31/07 AEA Alaskan Intertie FY08 Budget Reports Attachments:Alaskan Intertie FYO8 Budget Amendment.pdf;Alaskan Intertie 12-31-08 Budget Rpt.pdf Attached is the Alaskan Intertie FYO8 Budget Amendment and the Alaskan Intertie Budget Report as of 12/31/07. The Budget Amendment Request includes a $250K SLMS Communications Upgrade &a $180K MEA Extraordinary Bird Nest line item additions.These additions will require the collection of a supplemental capacity fee.Usage projections have been revised down retroactively to July 07.Per the Budget Subcommittee motion,the new energy usage rate is effective with the December 07 usage forward only. The Budget &Revenue Variance Reports has been revised to include the above adjustments.Revenues and expenditures are for services thru 12/31/07,unless noted otherwise. CEA is still behind in its billings,so costs for October to date are an unknown. No FY08 MEA Southern Maintenance (including ground inspection)billings have been received.Per MEA,costs to date have been for the extraordinary bird nest incident line item. The State of AK has not yet billed any FY08 communication services,however they have obligated the full budgeted amount of $234,000 for FY08 services. Shellie Helton,A\ccountant Alaska Energy Authority 814 West Northern Lights Blvd Anchorage,AKC 99503 207-771-3023 Fax 907-771-3044 shelton@aidea.org ALASKAN INTERTIE FY 2008 BUDGET AMENDMENT REVENUES GVEA ML&P CEA AEG&T INTEREST TOTAL REVENUES EXPENSES FERC 562 -Station Operation Expenses GVEA-substation electricity usage FERC 566 -Miscellaneous transmission expense SCADA &voice circuits (SOA) Cell phone comm.svc for weather monitoring SLMS -Support Contract (03-107#1) SLMS -Battery Changeout(03-107#2) Intertie Ground Safety Patrol(03-108#4) Upgrade SLMS Communications Railbelt Load Shed Study FERC 567 -Transmission Expenses -Rents Rents -Alaska Raitroad MEA-Talkeetna Storage FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhill GVEA Cantwell Secondary Oil Containment gvea caniwall batteries GVEA -Cantwell Substation Fence CEA Teeland Substation MEA -Douglas substation FERC 5714 -Maintenance of overhead [ines GVEA Northern Maintenance MEA Southern Maint (inc!ground inspect) MEA Emtraordinary (bird nest removal) MEA-Landing Pads . GVEA-Landing Pads GVEA-Adjust Guys GVEA-Northern ROW clearing MEA-Nest Removal GVEA -Repair tower 692 MEA-Southern ROW clearing Talkeetna North FERC 920 -AEA Administrative Costs Personal Services,travel and other costs FERC 920 -IOC Administrative Costs lOC Administrative Costs FERC 924 -Property Insurance AF Intertie -Insurance Risk Management Fee Insurance Risk assessment TOTAL EXPENSE SURPLUS (SHORTAGE) 2008 ALASKAN INTERTIE BUDGET amendmentxis -AFf 2008 BUDGET APPROVED Proposed Amended Budget FY 2008 Budget FY 2008 1,777,300 1,925,200 40,301 50,042 58,025 72,050 50,247 62,609 0 0 1,925,873 2,109,904 4,000 4,000 4,000 4,000 234,000 234,000 40,000 40,000 60,000 60,000 30,000 30,000 30,000 30,000 0 250,000 |New 60,000 60,000 424,000 674,000 400 400 7,200 7,200 7,600 7,600 75,250 75,250 90,000 $0,000 25,000 25,000 65,000 65,000 52,000 52,000 5,000 5,000 312,250 312,250 100,000 100,000 100,000 100,000 :180,000 INEW 10,000 10,000 30,000 30,000 24,000:24,000 24,000 24,000 25,000 25,000 345,000 345,000 50,000 50,000 708,000 888,000 75,000 75,000 75,000 75,000 0 0 0 0 210,000 210,000 0 ie] 50,000 50,000 260,000 260,000 1,790,850 2,220,850 135,023 (110,949) 1/16/20085:21 PM Annual System Demand MINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS AMENDED (MITCR)DETERMINATION 04 05 05 06 06 07 3 YR AVG. SOUTHERN UTILITY PARTICIPANTS (MW) AML&P 159 177 181 172.3 MW CEA 240 254 251.7 248.6 MW AEG&T 199.6 208 227 211.5 MW HEA 77.93 79.8 88.9 MEA 121.7 128.2 138.1 TOTAL 632.4 MW NORTHERN UTILITY PARTICIPANTS(MW) FMUS GVEA 191.6 207.1 212.5 203.7 MW TOTAL 203.7 MW MITCR DETERMINATION AEG&T 33.44% AML&P 27.25% CEA 39.31% GVEA 100.00% 29.0 MW of GVEA 06 07 peak are non-firm FY 08eS 23.4 MW 19.1 MW 27.5 MW 70.0 MW 140.00 MW {A)See Section 8.25 AK Intertie Agreement {B)See Saction 8.26 AK Intertie Agreement 2008 ALASKAN INTERTIE BUDGET amendment.xis -AFMITR 2008 FOR FISCAL YEAR 2008 PROPOSED AMENDMENT APPROVED Approved Approved 12/13/2007 7/26/2007 7/20/2006 7/45/2005 UNITS FY08 FY08 FY07 FY06 USAGE KWH 366,942,000 513,608,000 499,996,000 486,292,000 BUDGET $2,220,850 1,790,850 2,260,696 2,176,210 MITCR KW 140,000 140,000 140,000 140,000 ENERGY $.000/KWH $0.00505 $0.00291 $0.00378 $0.00374 Dec07-Jun08 rate Jul07-Nov07 rate CAPACITY S$/KW (a )$2.11 $2.66 $2.56 KWH CAP RATE CAP CHARGES 23,400 $2.62 61,308 19,100 $2.62 50,042 27,500 $2.62 72,050 70,000 $2.62 183,400 140,000 366,800 1/16/20085:21 PM ALASKA INTERTIE FISCAL YEAR 2008 AMENDED ENERGY PROJECTION j {} FMUS GVEA AEG&T |CEA }ML&P |TOTAL ENERGY CAPACITY CASH FLOW MONTH MWH MWH MWH |MWH}MWH |}MWH FMUS GVEA AEG&T FMUS GVEA AEG&T ML&P CEA TOTALS (IN GVEA} Ju-O7 0}30,000 0 6}30,000 $0 $87,300 $0 $0 $183,400 $61,308 $50,042 $72,050 $454,100 Aug-07 0]20,000 0 0}20,000 $0 $58,200 $0 $58,200 Sep-07 O|>20,000 0 0}20,000 $0 $58,200 $0 :$58,200 Oct-07 0]30,000 0 0}30,000 $0 $87,300 $0 $87,300 Nov-07 0]30,000 100 0 6}30,100 $0 $87,300 $291 $87,591 Dec-07 Oo}30,000 100 0 0}30,100 $0 $151,500 $505 $152,005 Jan-08 0}30,000 100 0 0}30,100 $0 $151,500 $505 $152,005 Feb-08 0}30,000 0 0}30,000 $0 $151,500 $0 $151,500 Mar-08 0|50,000 0 0}50,000 $0 $252,500 $0 $252,500 Apr-08 O|45,000 0 0}45,000 $0 $227,250 $0 $227,250 May-08 0;40,000 0 QO}40,000 $0 $202,000 $0 $202,000 Jun-08 0}45,000 (9)'Of}45,000 $0 $227,250 $0 $227,250 FY 07 TOTAL o|400,000 300 0 0|400,300'$0 |$1,741,800 $1,301 $0 $183,400 $61,308 |$50,042 $72,050 |$2,109,901 T.Energy:|$1,743,101 T.Cap:$366,800 $2,109,901 1 TOTAL INTERTIE PROJECTED ENERGY USAGE FOR FY 2008 400,300:MWH TOTAL MWH REVENUE $2,109,901 |Usage estimate reduced by 1/12 of Total for rate calculations 366,942/MWH 3 i O&M BUDGET FY 08 $2,220,850 Section 8.2.2 MINIMUM USEAGE CONTRACT VALUE 183,960|MWH 'DIFFERENCE - $110,949 UTILITY Fy 08]FY 08 JAEG&T 33.44%|23.4/MW :mwh ratefmwh ML&P 27.25%!19.1|/MW test::July -Nov Projected usage 130,100]$2.91 378,597.00 CEA 39.31%!27.5|MW Dec -June Projected usgage 270,200|$§.05 1,364,510.00 FMUS 0.00%0.0}MW 400,300 1,743,107.00 GVEA :100.00%|70.0;MW 140.0 Revised Budget:Dec 07 -June 08 FY08 Usage Rate per KWH |$0.00505 FY08 Capacity Rate $2.62 Original Budget:July 07 -Nov 07 FY08 Usage Rate per KWH |$0.00291 | FY08 Capacity Rate $2.11 i 2008 ALASKAN INTERTIE BUDGET amendmentxls -FY08 Usage Projection 1/16/20085:22 PM , ALASKA INTERTIE FY08 APPROVED Amended BUDGET STATUS REPORT BUDGET BUDGET ACTUALS OVER FY2008 FY2008 12/31/2007 (UNDER) REVENUES GVEA 1,777,300.00 1,925,200.00 740,741.48 |(1,184,458.52)}capacily plus use ML&P 40,301.00 50,042.00 40,301.00 (9,741.00)Icapacity plus use CEA §8,025.00 72,050.00 58,860.17 (13,189.83)|capacity plus use AEG&T 50,247.00 62,609.00 49,374.00 (13,235.00)[capacity plus use INTEREST --44,103.12 11,103.12 TOTAL REVENUES 1,925,873.00 2,109,901.00 900,379.77 |(1,209,521.23) EXPENSES FERC 562 -Station Operation Expenses GVEA-substation electricity usage 4,000.00 4,000.00 3,850.65 (149.35) 4,000.00 4,000.00 3,850.65 (149.35) FERC 566 -Miscellaneous transmission expense SCADA &voice circuits (SOA)234,000.00 234,000.00 -(234,000.00) Cell phone comm.svc for weather monitoring 10,000.00 10,000.00 2,219.52 {7,780.48} SLMS CELL COMM CHANGEOUT .-oe 250,000.00 .135,785.84 (144,214.16)NEW SLMS -Support Contract (03-107#1)60,000.00 60,000.00 1,759,50 (58,240.50}fthru 8/07 SLMS -Battery Changeout(03-107#2)30,000.00 30,000.00 -(30,000.00) Intertle Ground Safety Patrol{03-108#4)30,000.00 30,000.00 -(30,000.00) Railbelt Load Shed Study , 60,000.00 60,000.00 -(60,000.00} 424,000.00 674,000.00 139,764.86 (534,235.14) FERC 567 -Transmission Expenses «Rents Rents -Alaska Railroad 400.00 400.00 66.68 (333.32) MEA -Talkeetna Storage 7,200.00 7,200.00 3,000.00 (4,200.00)}thru 14/07 7,600.00 7,600.00 3,066.68 (4,533.32) FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhill 75,250.00 75,250.00 35,536.35 (39,713.65) GVEA Cantwell Secondary Oil Containment 90,000.00 90,000.00 -(90,000.00) gvea cantwell batteries 25,000.00 25,000.00 21,828.16 (3,171.84) GVEA -Cantwell Substation Fence 65,000.00 65,000.00 8,731.78 (58,268.22) CEA Teeland Substation 2,000.00 §2,000.00 36,300.33 (15,699.67)Hhru 9/07 MEA -Douglas substation 5,000.00 5,000.00 17,98 (4,982.02)ilhru 11407 312,250.00 312,250.00 102,414.60 (209,835.40) FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance 100,000.00 100,000.00 23,202.08 (76,797.92) MEA Southem Maint (ine!ground inspect)100,000.00 100,000.00 -{100,000.00)}thrr 11N7MEAEXTRODINARY(BIRD |.-;Be,180,000.00}>177,248.15 |.(2,751.85)|new .MEA-Landing Pads 10,000.00 10,000.00 -(10,000.00) GVEA-Landing Pads 30,000.00 30,000.00 -(30,000.00) GVEA-Adjust Guys 24,000.00 24,000.00 -(24,000.00) GVEA-Northern ROW clearing 24,000.00 24,000.00 6535.00 (23,465.00) MEA-Nest Removal 25,000.00 25,000.00 -(25,000.00) GVEA -Repair tower 692 345,000.00 345,000.00 1,609.24 (343,390.76) MEA-Southern ROW clearing Talkeetna North 50,000.00 50,000.00 (50,000,00) 708,000.00 888,000.00 202,594.47 (685,405.53) FERC 920 -AEA Administrative Costs Personal Services,travel and other costs 75,000.00 75,000.00 16,619.55 (58,380.45) 75,000.00 75,000.00 16,619.55 (58,380.45) FERC 920 -1OC Administrative Costs lOC Administrative Costs ---- FERC 924 -Property Insurance AF Intertie -Insurance 210,000.00 210,000.00 94,586.51 (115,413.49) Insurance Risk assessment 50,000.00 50,000.00 -(50,000.00) 260,000.00 260,000.00 94,586.51 (165,413.49) TOTAL EXPENSE 1,790,850.00 2,220,850.00 562,897.32 (1,657,952.68) SURPLUS (SHORTAGE)435,023.00 (110,949.00)337,482.45 448,431.45 FYO8AKLXLS -Budget 12-31-07 1/16/2008 5:16 PM ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT MWHACTUALUSAGE =Jul-07_-Aug-07_Sep-07 Oct-07 Nov-07 --iDec-07_Jan-08-Feb-08 MWH MWH MWH MWH MWH MWH MWH MWH 32,014 20,108 20,456 |34,04204%23(30;C00018;7602s (14240 May-08 Jun-08 TOTAL .33,01004 20,305 40,868 34,042 -a -20,456|30,372Oreoe,E55,004 iene 305s 22oraoodSeesaatTenet: segsJul-07 Aug-07 Sep-07 "Oct-07 Nov-07,Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TOTALSa£5.05 85S 56.05.ectsSaver RA eR Say EeeeerA Sey OP BOOSTS LHe OLOS,EME SLE GVEA Energy Charges $95,780 $58,514 $59,527 $88383 $118,926 $171,912 §$-$-$-$-$-$-$593,041 GVEA Capacity Charges $147,700 '§147,700 YTD Actuals $243,480 $301,994 $361,521 $449,904 $568,829 $740,741 $740,741 $740,741 $740,741 $740,744 $740,741 $740,741 $740,741IIDVariancesKrauseSSERMUnSMUOLOESROICISeT2Oe,EAD DDD NDT SALES SUB 9)58 2 215 ASD)SOL DEO)S NTS LOSS CST 20S 105 M09)SEE EEA MLP Energy Charges $§$-$- $G$+$-$+=§$-§-§-§-§-§-$-§$> MLP Capacity Charges $40,301 $40,301 YTD Actuals $40,301 $40,301 $40,301 $40,301 $40,301 $40,301 $40,301 $40,304 $40,301 $40,301 $40,301 §40,301 $40,304PREAHETedSeReeeeENEWSSNE:oaFay.Variance fens PACHADei (9,C41)2S one (9,741)FF(93741$369,741)8S £4 (957408 CEA Energy Charges $262 $573 $$-$-$-$-§$-§$-§$-§$-§-§835 CEA Capacity Charges $58,025 $58,025 YTD Actuals $58,287 $58,860 $58,860 $58,860 $58,860 $58,860 $58,860 $58,860 $68,860 $68,860 $658,860 $58,860 $ §8,860EY]D.Variances a:SESE 262GBSSS $BIS EG AO IS.N-9 fh BOSELO213,190)594 13)190)590(43,190)291 19,190)SS (13,190)28:13,190)39 25(139;190)Kssan AEG&T Energy Charges $-$:$-$-$-$-$-§$-$-$-$-$-$. AEGS&T Capacity Charges $49,374 .$49,374 YTD Actuals $49,374 $49,374 $49,374 $49,374 $49,374 $49,374 $49,374 $49,3746 $49,374 §$49,374 $49,374 $49,374 §$43,374seTDWVariancens:teat ceS poe eSaesySSa,Ree$(294 .F$8(12,730)-29.(13,235)S92(13:235).8 924(13,235)$4(13,295)£8 213,235)$4 (13,235)ene a TOTAL ENERGY CHARGES $96,042 $59,088 $59,527 $88,383 $118,926 $171,912 §$-§-§-§$-$-$-$693,877 TOTAL CAPACITY CHARGES $296,400 §$$-§- §-_-§$:$- §.$-_§$- §$-$-_$295,400TOTALCAPACITYCHARGES$295,400 $S$SSS SSF SFYTDTOTALREVENUES$391,442 $450,528 $610,006 $508,439 $717,368 §889,277 $889,277 $889,277 _$889,277 §889,277 =889,277 $889,277 $889,277_TAYID TOTAL VARIANCE GES TALESpe 9 O29.GE aul 0,990.49.55 12,089 SMOTAII STATES rch O419)1 Se(100,124)..8 EA Q93;37AVE$(1,220,624)58 eeeyon _Hiall\sheton\PJ220501-AF IF YOBIFYOSAK!_XLS -Rev Var 12-31-07 4/2008 ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT MWH PROJECTIONS Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TOTALMWHMWHMWHMWHMWHMWHMWHMWHMWHMWHMWHMWHMWH GVEA 30,000 20,000 20,000 30,000 30,00 30,000 30,000 30,000 50,000 _-45,000 40,000 AS,000 00 000Be"7 30,000,"=:'50,000.70,0002¢e:100,000:7130,00 K 70,0002 31 y"400,0 TOTAL 30,000 20,000 20,000 30,000 30,100 30,100 30,100 30,000 §0,000 45,000 -40,goo 45,000 400 300.00 aHeSes;50,000.10;HOORETIO 000:7430,7190;220;3002F270;300 2-2315,300:+3-.355;400<+7400,300s reepEAcaitn Oct-07 Nov-07 Dec-07 Jan-08©aeOh 91015 602-910 2 $3 5.0505ooSOae Mar-08 |Apr-08_-EE SO50SS875.0502S:May-085080 GVEA Energy Charges $87,300 $58200 $58,200 $87,300 $87,300 $151,500 $151,500 $151,500 $252,500 $227,250 $202,000 $227,250 $1,741,800 GVEA sapeey Charges $1147,700 _$35,700 . $183,400 Ly.'$e:235,0(77903,200=$201 40d $1430;700 39.506,713,200$28 804-200'5 §24,016,200.§21,208,7008°$.21,405,950«$=4,697,950;2 9 31,025,200 $44 925)200%ove seteeki MLP Energy Charges $-$§$-§-§$-§--§-§$-§-§$-§-§-§- MLP Capacity (cere $40,301 7 9,741 _- $50,042 YTD Sa an $40,301,=${403018$2 40/30 1s 2S 40,301.8:92:40,301.°850,042.$150 0425.91 50,0425 9.5 50,042219560,042$2,50,0421-9250,042:$<5-50,0423 CEA Energy Charges $-§-§$-§-§-§-§-§$- CEA Capacity erence [a 58,025 Bb 14,025 _.RYTD22e45::$25802552 $258/025e"$558,02659158,025 $:7.58,025«$12,050 $aa050se91 2,05085 AEG&T Energy Charges $-$-§$§$-$291 §$505 $505 $- AEGATsaeeeee Charges $49,374 _.eet ee rats ee tein pts 11,9:$61,308 ENTD "$249,374 $49,374 $249,374529°49,074.949,62,1047.$262,6095-$'6 62,609..:$6 2,609139,.62,009.$<62,0098$62,0099 62,6003 151,500 $252,500 $227,250 $202,000 $227,250 $1,743,101TOTALENERGYCHARGES$87,300 $58,200 $58,200 $87,300 87,591 $152,005 $152,005 $:$:$-weer :ee -rompore $ TOTAL CAPAGITY CHARGES $295,400 $"$-$71,400 $- FG 25 982-700:$e 4 ee 500 4005Se nO1 3 001:"SETI"4°049.404mamepee H:\all\shelton\PJ220501-AFINFYO08\FYO8AKI.XLS -Rev Var 12-31-07 46/2008 James Strandberg v From:Shellie M.Helton Sent:Monday,January 14,2008 3:34 PM To:James Strandberg;Henri F.Dale Ce:Brenda Applegate Subject:FY2008 Alaskan Intertie Budget Amendment Attachments:2008 AK Tie Budget Amend.pdf Attached is a revised FY20@8 Alaskan Intertie Budget Amendment.Henri noted that the original amendment model applied the new energy rate retroactively to prior usage.I've modified the module so it applies the new rate from December forward only,as per the motion. The last budget revision was in FY97.It went straight off the agreement 8.2.5 &8.2.6.The additional capacity revenues were collected and the revised energy rate was applied forward only from point of adoption,same as this motion. Shellie Helton,Accountant Alaska Industrial Development and Export Authority Alaska Energy Authority 813 West Northern Lights Blvd Anchorage,AK 99593 907-771-3023 fax 907-771-3044 shelton@aidea.org ALASKAN INTERTIE FY 2008 BUDGET AMENDMENT REVENUES GVEA ML&P CEA AEG&T INTEREST TOTAL REVENUES EXPENSES ; FERC 562 -Station Operation Expenses GVEA -substation electricity usage FERC 566 -Miscellaneous transmission expense SCADA&voice circuits (SOA) Cell phone comm.svc for weather monitoring SLMS -Support Contract (03-107#1) SLMS -Battery Changeout(03-107#2) Intertie Ground Safety Patrol(03-108#4) Upgrade SLMS Communications Railbelt Load Shed Study FERC 567 -Transmission Expenses -Rents Rents Alaska Railroad MEA-Talkeetna Storage FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhilt GVEA Cantwell Secondary Oil Containment gvea cantwell batieries GVEA -Cantwell Substation Fence CEA Teeland Substation MEA -Douglas substation FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance MEA Southern Maint (incl ground inspect) MEA Extraordinary (bird nest removal} MEA-Landing Pads GVEA-Landing Pads GVEA-Adjust Guys GVEA-Northern ROW clearing MEA-Nest Removal GVEA -Repair tower 692 MEA-Southern ROW clearing Talkeetna North FERC 920 -AEA Administrative Costs Personal Services,travel and other costs FERC 920 -1OC Administrative Costs lOC Administrative Costs FERC 924 -Property tnsurance AF Intertie -Insurance Risk Management Fee Insurance Risk assessment TOTAL EXPENSE SURPLUS (SHORTAGE) 2008 ALASKAN INTERTIE BUDGET amendmentxts -AF!2008 BUDGET APPROVED Proposed Amended Budget FY 2008 Budgat FY 2008 1,777,300 1,925,200 40,301 50,042 58,025 72,050 50,247 62,609 0 0 1,925,873 2,109,901 4,000 4,000 4,000 4,000 234,000 234,000 10,000 10,000 60,000 60,000 30,000 30,000 30,000 30,000 0 250,000 |New 60,000 60,000 424,000 674,000 400 400 7,200 7,200 7,600 7,600 75,250 75,250 90,000 90,000 25,000 25,000 65,000 65,000 52,000 §2,000 5,000 5,000 312,250 312,250 100,000 100,000 100,000 100,000 180,000 |NEW 10,000 10,000 30,000 30,000 24,000 24,000 24,000 24,000 25,000 25,000 345,000 345,000 50,000 50,000 708,000 888,000 75,000 75,000 75,000 75,000 0 0 0 0 210,000 210,000 0 0 50,000 50,000 260,000 260,000 1,790,850 2,220,850 135,023 (110,949) 1/14/20083:04 PM MINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS AMENDED (MITCR)DETERMINATION FOR FISCAL YEAR 2008 Annual System Demand ; 04 05 05 06 06 07 3 YR AVG.PROPOSED SOUTHERN UTILITY PARTICIPANTS (MW);AMENDMENT APPROVED :Approved Approved AML&P 159 177 181 172.3 MW 12/13/2007 7126/2007 7/20/2006 7/15/2005 CEA 240 254 251.7 248.6 MW UNITS FYO8 FY08 FY07 FY06 AEG&T 199.6 208 227 211.5 MW HEA 77.9 79.8 88.9 USAGE KWH 366,942,000 513,608,000 499,996,000 486,292,000 MEA 421.7 128.2 138.1 BUDGET $2,220,850 1,790,850 2,260,696 2,176,210 .MITCR KW 140,000 140,000 140,000 440,000 TOTAL 632.4 MW ENERGY $.000/KWH $0.00505 $0.00291 $0.00378 $0.00374 NORTHERN UTILITY PARTICIPANTS (MW)Dec07-Jun08 rate Jul07-Nov07 rate FMUS CAPACITY S/KW $2.62 $2.11 $2.66 $2.56 GVEA 191.6 207.1 212.5 203.7 MW . . TOTAL 203.7 MW 29.0 MW of GVEA 06 07 peak are non-firm MITCR DETERMINATION FY 08 KWH CAP RATE CAP CHARGES AEG&T 33.44%23.4 MW 23,400 $2.62 61,308 AML&P 27.25%=,19.1 MW 19,100 $2.62 50,042 CEA 39.31%27.5 MW 27,500 $2.62 72,050 GVEA 100.00%70.0 MW 70,000 $2.62 183,400 140.00 MW 140,000 366,800 (A)See Section 8.25 AK Intertie Agreement (B)See Section &.26 AK Intertie Agreement 2008 ALASKAN INTERTIE BUDGET amendment.xls -AFMITR 2008 1/14/20083:04 PM __ ALASKA INTERTIE FISCAL YEAR 2008 AMENDED ENERGY PROJECTION '|j FMUS GVEA AEG&T |CEA |ML&P }TOTAL ENERGY CAPACITY CASH FLOW MONTH MWH MWH MWH |MWH|MWHi MWH FMUS GVEA AEG&T FMUS GVEA AEG&T ML&P CEA TOTALS (IN GVEA) Jul-07 0}30,000 0 0}30,000 $0 $87,300 $0 $0 $183,400 $61,308 $50,042 $72,050 $454,100 Aug-07 "O|20,000 0 O|20,000 $0 $58,200 $0 $58,200 Sep-07 0}20,000 0 0}20,000 $0 $58,200 $0 $58,200 Oct-07 0}30,000 0 0}30,000 $0 $87,300 :$0 $87,300 Nov-07 0;30,000 100 0 0}30,100 $0 $87,300 $291 $87,591 Dec-07 O}30,000 100 0 0}30,100 $0 $151,500 $505 :$152,005 Jan-08 Of 30,000 100 0 0}30,100 $0 $151,500 $605 $152,005 Feb-08 0}30,000 0 O}30,000 $0 $151,500 $0 $151,500 Mar-08 Q}60,000 i Q}§0,000 $0 $252,500 $6 $252,500 Apr-08 Og}45,000 (9)O|45,000 $0 $227,250 $0 $227,250 May-08 0}40,000 0 0}40,000 $0!$202,000 |$0 $202,000 Jun-08 O|45,000 0 0}45,000 $0 $227,250 $0 :$227,250 FY 07 TOTAL 0 400,000 300 0]0|400,300 $0 |$1,741,800 $1,301 $0 $183,400 $61,308 $50,042 $72,050 $2,109,901 j T.Energy:|$1,743,101 T.Cap:$366,800 $2,109,901 TOTAL INTERTIE PROJECTED ENERGY USAGE FOR FY 2008 400,300 |MWH :TOTAL MWH REVENUE $2,109,904 Usage estimate reduced by 1/12 of Total for rate calculations 366,942 |MWH O&M BUDGET FY 08 $2,220,850 Section 8.2.2 MINIMUM USEAGE CONTRACT VALUE 183,960;MWH DIFFERENCE -$110,949 UTILITY Fy 08]FY 08 AEG&T 33.44%}23.4;MW mwh rate/mwh ML&P 27.25%!19.1/MW test:July -Nov Projected usage 130,100|$2.91 378,591.00 CEA 39.31%|27.5|MW !Dec-June Projected usgage 270,200]$§.05 |_1,364,510.00 FMUS 0.00%0.0|MW 400,300 1,743,101.00 GVEA 100.00%|70.0;/MW 140.0 '' Revised Budget:Dec 07 -June 08 |FY08 Usage Rate per KWH |$0.00505 ; FY08 Capacity Rate $2.62 } Original Budget:July 07 -Nov 07FY08UsageRateperKWH|$0.00291 FY08 Capacity Rate $2.11 e 2008 ALASKAN INTERTIE BUDGET amendment.xis -FY08 Usage Projection 1/14/20083:04 PM Aj James Strandberg From:Shellie M.Helton Sent:Monday,January 14,2008 3:34 PM To:James Strandberg;Henri F.Dale Ce:Brenda Applegate Subject:FY2008 Alaskan Intertie Budget Amendment Attachments:2008 AK Tie Budget Amend.pdf Attached is a revised FY2008 Alaskan Intertie Budget Amendment.Henri noted that the original anendment model applied the new energy rate retroactively to prior usage.I've modified the module so it applies the new rate from December forward only,as per the motion. The last budget revision was in FY97.It went straight off the agreement 8.2.5 &8.2.6.The additional capacity revenues were collected and the revised energy rate was applied forward only from point of adoption,same as this motion. Shellie Helton,Accountant Alaska [Industrial Development and Export Authority Alaska Energy Authority 814 West Northern Lights Blvd Anchorage,AK 99504 907-771-3023 fax 907-771-3044 shelton@aidea.org ALASKAN_INTERTIE FY 2008 BUDGET AMENDMENT REVENUES GVEA ML&P CEA AEG&T INTEREST TOTAL REVENUES EXPENSES FERC 562 -Station Operation Expenses GVEA -substation electricity usage FERC 566 -Miscellaneous transmission expense SCADA&voice circuits (SOA) Cell phone comm.svc for weather monitoring SLMS -Support Contract (03-107#1) SLMS -Battery Changeout(03-107#2) Intertie Ground Safety Patrol(03-108#4) Upgrade SLMS Communications Railbelt Load Shed Study FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad MEA -Talkeetna Storage FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhill GVEA Cantwell Secondary Oil Containment gvea cantwell batteries GVEA-Cantwell Substation Fence CEA Teeland Substation MEA-Douglas substation FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance MEA Southern Maint (incl ground inspect) MEA Extraordinary (bird nest removal) MEA-Landing Pads GVEA-Landing Pads GVEA-Adjust Guys GVEA-Northern ROW clearing MEA-Nest Removal GVEA -Repair tower 692 MEA-Southern ROW clearing Talkeetna North FERC 920 -AEA Administrative Costs Personal Services,travel and other costs FERC 920 -IOC Administrative Costs 1OC Administrative Costs FERC 924 -Property Insurance AF Intertie -Insurance Risk Management Fee Insurance Risk assessment TOTAL EXPENSE SURPLUS (SHORTAGE) 2008 ALASKAN INTERTIE BUDGET amendments -AF]2008 BUDGET APPROVED Proposed Amended Budget FY 2008 Budget FY 2008 1,777,300 1,925,200 40,301 50,042 58,025 72,050 50,247 62,609 0 0 1,925,873 2,109,904 4,000 4,000 4,000 4,000 234,000 234,000 10,000 10,000 60,000 60,000 30,000 30,000 30,000 30,000 0 250,000 |New 60,000 60,000 424,000 674,000 400 400 7,200 7,200 7,600 7,600 75,250 75,250 90,000 90,000 25,000 25,000 65,000 65,000 52,000 52,000 5,000 5,000 312,250 312,250 100,000 100,000 100,000 100,000 180,000 JNEW 10,000 40,000 30,000 30,000 24,000 24,000 24,000 24,000 25,000 25,000 345,000 345,000 50,000 50,000 708,000 888,000 75,000 75,000 75,000 75,000 0 0 0 0 210,000 210,000 0 0 50,000 50,000 260,000 260,000 1,790,850 2,220,850 135,023 (110,949) 1/14/20083:04 PM MINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS AMENDED (MITCR)DETERMINATION (A)See Section 8.25 AK Intertie Agreement (B)See Section 8.26 AK Intertie Agreement 2008 ALASKAN INTERTIE BUDGET amendment.xis -AFMITR 2008 Annual System Demand . 04 05 05 06 06 07 3 YR AVG. SOUTHERN UTILITY PARTICIPANTS (MW): AML&P 159 177 181 172.3 MW CEA 240 254 251.7 248.6 MW AEG&T 199.6 208 227 211.5 MW HEA 779 79.8 88.9 MEA 121.7 128.2 138.1 TOTAL 632.4 MW NORTHERN UTILITY PARTICIPANTS (MW) FMUS GVEA 191.6 207.1 212.5 203.7 MW TOTAL 203.7 MW 29.0 MW of GVEA 06 07 peak are non-firm MITCR DETERMINATION FY 038 AEG&T 33.44%23.4 MW AML&P 27.25%19.1 MW CEA 39.31%27.5 MW GVEA 100.00%70.0 MW 140.00 MW FOR FISCAL YEAR 2008 PROPOSED AMENDMENT APPROVED Approved Approved 42/13/2007 7/26/2007 7/20/2006 71182005 UNITS FYO8 FY08 FY07 FY06 USAGE KWH 366,942,000 513,608,000 499,996,000 486,292,000 BUDGET $2,220,850 1,790,850 2,260,696 2,176,210 MITCR KW 140,000 140,000 140,000 140,000 ENERGY $.000/KWH $0.00505 $0.00291 $0.00378 $0.00374 Dec07-Jun08 rate Jul07-Nov07 rate CAPACITY $/KW $2.62 $2.11 $2.66 $2.56 KWH CAP RATE CAP CHARGES 23,400 $2.62 61,308 19,100 $2.62 §0,042 27,500 $2.62 72,050 70,000 $2.62 183,400 140,000 366,800 1/14/20083:04 PM ALASKA INTERTIE FISCAL YEAR 2008 AMENDED ENERGY PROJECTION FMUS GVEA |AEG&T TOTAL ENERGY CAPACITY CASH FLOW MONTH MWH MWH MWH MWH FMUS GVEA AEG&T GVEA AEG&T CEA TOTALS (IN GVEA) Jul-07 0}30,000 0 0}30,000 $0 $87,300 $0 $183,400 $61,308 $72,050 $454,100 Aug-07 "O}20,000 0 0}20,000 $0 $58,200 $0 $58,200 Sep-07 0|20,000 0 0}20,000 $0 $58,200 $0 $58,200 Oct-07 0|30,000 0 0}30,000 $0 $87,300 $0 $87,300 Nov-07 0}30,000 100 0 G|30,100 $0 |$87,300 $291 $87,591 Dec-07 0}30,000 100 0 0}30,100 $0 $151,500 $505 $152,005 Jan-08 0|30,000 100 0 Of 30,100 $0 $151,500 $505 $152,005 Feb-08 0}30,000 0 0}30,000 $0 $151,500 $0 $151,500 Mar-08 Oo}50,000 0 0}50,000 $0 |$252,500 $0 $252,500 Apr-08 0]45,000 0 0]45,000 $0 $227,250 $0 $227,250 May-08 0}40,000 0 0}40,000 $0 $202,000 $0 $202,000 Jun-08 O|45,000 0 oO}45,000 $0 $227,250 $0 $227,250 FY 07 TOTAL 0 400,000 300 400,360 $0 |$1,741,800 $1,301 $183,400 $61,308 $72,050 $2,109,901 'T.Energy:|$1,743,101 $366,800 $2,103,901 TOTAL INTERTIE PROJECTED ENERGY USAGE FOR FY 2008 400,300)MWH TOTAL MWH REVENUE $2,109,901 Usage estimate reduced by 1/12 of Totalfor rate calculations 366,942 |MWH O&M BUDGET FY 08 $2,220,850 Section 8.2.2 MINIMUM USEAGE CONTRACT VALUE 183,960;MWH DIFFERENCE -$110,949 UTILITY FY 08 AEG&T 33.44%mwh ML&P 27.25%test:July -Nav Projected usage 130,100 378,591.00 CEA 39.31%'Dec -June Projected usgage 270,200 1,364,510.00 FMUS 0.00%400,300 1,743,101.00 GVEA 100.00% Revised Budget:Dec 07 -June 08 FY08 Usage Rate per KWH {|$0.00505 FY08 Capacity Rate $2.62 Original Budget:July 07 -Nov 07 FY08 Usage Rate per KWH |$0.00291 FY08 Capacity Rate $2.11 2008 ALASKAN INTERTIE BUDGET amendmentxts -FY08 Usage Projection 1/14/20083:04 PM ALASKA ENERGY AUTHORITY*ake Alaska Industrial DevelopmentandExportAuthority ALASKA INTERTIE OPERATING COMMITTEE Budget Subcommittee Meeting Notice and Agenda The lOC budget subcommittee is scheduled to meet on Thursday,April 12,2007 at AIDEA/AEA offices in Anchorage Alaska at 813 West Northern Lights Blvd.The meeting is scheduled for 10:00 AM and is expected to last several hours,lunch will be provided. Agenda Introduction of members 2.Approval of agenda and prior minutes 3.Old Business a.General discussion of maintenance activities since last meeting,and review of budget status for FY07 b.Finalize draft FY08 budget 4.New Business a.Initiate scope of operations &budget for FY09 b.Other new business Other matters Date &time for next meeting 7.Adjournment C:\Documents and Settings\jstrandberg\Local Settings\Temporary Internet Files\OLK1C\Agenda04-12-07.doc 813 West Northern Lights Boulevard *Anchorage,Alaska 99503-2495www.aidea.org ¢907/269-3000 *FAX 907/269-3044 ®Toll Free (Alaska Only)888/300-8534 ©www.akenergyauthority.org ALASKAN_IN 1E_FY 2007 vs.FY 2008 BUDGET delete line item per group delete line item per group per hd delete line item per group delete line item per group per mutual agreement per jc completed fy07 jis to ask d&l is to ask d&l per mutual agreement per mutual agreement per mutual agreement per mutual agreement BS} FINAL ACTUALS APPROVED DRAFT udget FY 2006 |Sudget FY 2007 |BudgetFY2008.|REVENUES GVEA 2.301.201 2.246.300 1.429.400 ML&P 46,592 49.742 32.300 CEA 72.730 74,746 46,750 AEG&T 61.750 63.413 40.482 INTEREST 40,103 0 (¢] TOTAL REVENUES 2.522.377 2.434.204 1.548.932 EXPENSES FERC 561 -Load Dispatching GVEA Northem Controller -0 0 ML&P Southem Controller :0 is] :.] FERC 562 -Station Operation Expenses GVEA -substation electricity usage 7522 0 4,000 7,522 :4.000 FERC 563 -Overhead Line Expenses GVEA -Weather monitorina equipment 204.744 189.155 ie} 204,744 189.155 0 FERC 565 -Transmission of electricity by others MEA's Wheeling -Holly Rd to Dougias 260 998 Q fe] 260.998 .0 FERC 566 -Miscellaneous transmission expense SCADA&voice circuits (SOA)234.209 234,000 234.000 Cell phone comm.svc for weather monitoring 3.762 10,000 10.000 SLMS -PV Panel Installation (06-020)-125,000 it) SLMS -Support Contract (03-107#1)49,747 60,000 60,000 SLMS -Battery Chanaeout(03-107#2)48.670 30.000 30,000 Intertie Ground Safety Patrol(03-108#4)22.952 40.000 30.000 MEA -Snow Deoth Monitoring Equip -25,000 0 SLMS Uoarades -0 0 Intertie Mitiaation (3rd Party Review)42,854 50,000 ie} 372.194 574,000 364.000 FERC 567 -Transmission Exnenses -Rents Rents -Alaska Railroad 400 600 400 MEA-Talkeetna Storaae 7,200 7,200 7.200 7,600 7.800 7.600 FERC §70 -Maintenance of station equioment GVEA -Healy Cantwell.Goldhill 17.095 125.250 75.250 avea cantwell batteries 25.000 GVEA -Cantwell Substation Fence 35.469 30.000 65.000 CEA Teeland Substation -32.000 32.000 CEA Doualass -Teeland Relay -(¢]0 CEA-Teeland SVC Thyrister Repairs -8.175 0 SVC Study -25,000 (°) One-time savinas account SVC Trust Fund -(25.000)0 MEA -Douglas substation 96 ie}5,000 52.660 195.425 202.250 FERC §71 -Maintenance of overhead lines GVEA Northem Maintenance 9.084 99.316 100.000 MEA Southem Maint (incl around inspect)10.932 100,000 150.000 MEA-Landina Pads -25.000 25.000 GVEA-Landina Pads :30.000 30,000 GVEA-Adiust Guvs -24,000 24.000 GVEA-Northem ROW clearing -24.000 24.000 MEA-Nest Removal -25,000 25.000 GVEA -Repair tower 692 32.191 345,000 0 MEA-Annual Foundation Inspect/274&297 Desian -25,000 0 Repair tower 274 &297 -0 0 MEA-Southem ROW clearina Talkeetna North :260,000 200,000 52.207 957.316 578.000 FERC 920 -AEA Administrative Costs | Personal Services.travel and other costs 403.205 77,000 75.000 103,205 77,000 75.000 FERC 920 -IOC Administrative Costs lOC Administrative Costs :fe)(e) :[']0 FERC 924 -Property Insurance AF Intertie -Insurance 198.731 210.000 210.000 Risk Manaaement Fee -0 Q Insurance Risk assessment :50,000 ie) 198,731 260.000 210,000 TOTAL EXPENSE 1,259 860 2,260,696 1.440.850 SURPLUS (SHORTAGE)1,262,516 173,505 108,082 2008 ALASKAN INTERTIE BUDGET-drattde -AFI 2007 BUDGET VS 2008 BUOGET actuais per fb per hd per hd per hd per ic delete line item per qroup per ic per jc per fb per hd per fb per fb per hd per hd per hd per fb per hd per fb per fb, per fb per js delete leqal expense line item title same as last year per is MINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS (MITCR)DETERMINATION FOR FISCAL YEAR 2008 Annual System Demand 04 05 05 06 06 07 3 YR AVG. SOUTHERN UTILITY PARTICIPANTS(MW)Approved Approved Approved AML&P 159 177 172.3 MW DRAFT 7/20/2006 7/18/2005 7/15/2004 CEA 240 254 248.6 MW UNITS FY08 FY07 FY06 FY05 AEG&T 199.6 208 211.5 MW HEA 77.9 79.8 USAGE KWH 513,608,000 499,996,000 486,292,000 299,200,000 MEA 121.7 128.2 BUDGET $1,440,850 2,260,696 2,176,210 2,011,975 MITCR KW 140,000 140,000 140,000 140,000 TOIAL 632.4 MW ENERGY $.000/KWH $0.00234 $0.00378 $0.00374 $0.00561 NORTHERN UTILITY PARTICIPANTS (MW) FMUS CAPACITY $/KW $1.70 $2.66 $2.56 $2.37 GVEA 191.6 207.1 212.5 203.7 MW TOTAL 203.7 MW MITCR DETERMINATION AEG&T 33.4% AML&P 27.2% CEA 39.3% "YEA 100.0% 29.0 MW of GVEA 06 07 peak are non-firm FY 07 23.4 MW 19.0 MW 27.55 MW 70.0 MW 139.90 MW "2008 ALASKAN INTERTIE BUDGET-draftxls -AFMITR 2008 ALASKA INTERTIE FISCAL YEAR 2008 ENERGY PROJECTION |||| FMUS |GVEA |AEG&I |CEA |ML&P |TOTAL ENERGY CHPROMY™CASH FLOW MONTH MWH MWH MWH |MWH]MWH |MWH FMUS GVEA [AEG&T |FMUS|GVEA AEG&T |ML&P [CEA TOTALS (IN GVEA) Jul-06 O}45,000 0 0}45,000 $0 $105,300 $0 $0 $119,000 |$39,780 |$32,300 |$46,750 $343,130 Aug-06 0}45,000 0 QO}45,000 $0 $105,300 $0 $105,300 Sep-06 0}45,000 0 0}45,000 $0 $105,300 $0 $105,300 Oct-06 QO}45,000 0 0}45,000 $0 $105,300 $0 $105,300 Nov-06 O]50,000 100 0 QO}50,100 $0;$117,000 $234 $117,234 Dec-06 0}50,000 100 0 0}50,100 $0 $117,000 $234 $117,234 7 n-07 0}50,000 100 0 0}50,100 $0 $117,000 $234 $117,234 7eo-07 0;50,000 0 0}50,000 $0 $117,000 $0 $117,000 Mar-07 0}50,000 0 0}50,000 $0 $117,000 $0 $117,000 Apr-07 QO}45,000 0 0}45,000 $0 $105,300 $0 $105,300 May-07 0}40,000 0 0}40,000 $0 $93,600 $0 $93,600 Jun-07 0}45,000 0 QO}45,000 $0 $105,300 $0 $105,300 FY 07 TOTAL 0 560,000 300 0 0|560,300 $0 |$1,310,400 $702 $0 $119,000 |$39,780 |$32,300 |$46,750 $1,548,932 TOTAL INTERTIE PROJECTED ENERGY USAGE FOR FY 2007 560,300 MWH TOTAL MWH REVENUE $1,548,932 Useage estimate reduced by 1/12 of Total for rate calculations 513,608 |MWH O&M BUDGET FY 07 $1,440,850 Section 8.2.2 MINIMUM USEAGE CONTRACT VALUE 183,960)MWH DIFFERENCE $108,082 UTILITY FY 08|FY08 AEG&T 33.4%|23.4|MW a ML&P 27.2%|19.0|MW CEA 39.3%)27.5:MW FMUS 0.0%0.0;MW GVEA 100.0%}70.0;\MW 139.9 FY07 Usage Rate per KWH |$0.00234 FY07 Capacity Rate $1.70 »2008 ALASKAN INTERTIE BUDGET-draftxls -FY08 Usage Projection ALASKAN INTERTIE FY 2010 BUDGET Approved FY08 Approved «Frag Proposed FY08 Rev ACTUALS FY09 ACTUALS FY10 Budget FINAL Budget @ 09/31/09 Budget REVENUES GVEA 1,925,200 2,052,496 |2,508,100 1,384,009 9 929 330 ML&P 50,042 50,042 57,961}.s=57,961 46,778 CEA 72,050 72,885 80,371 101,596 64,154 AEG&T 62,609 61,308 71,5827 70,268 59,475 INTEREST -14,781 -3,944 oo. |TOTAL REVENUES]2.109.901 22515124 2,718,014 |=1897.78 =2,499,737 EXPENSES g FERC 562 -Station Operation Expenses . GVEA-substation electricity usage 4,000 8,355 4,000 5,119 4,000 [per 10/30/08 budget subcomm 4,000 8,355 4,000 5,119 4,000 FERC 566 -Miscellaneous transmission expense : SCADA &voice circuits (SOA)234,000 234,209]234,000 234,209 234,000 |per 10/80/08 budget subcomm Cell phone comm.svc for weather monitoring 10,000 12,026 20,000 10,738 20,000 Jper 10/30/08 budget subcomm SLMS -Support Contract 60,000 49,242 60,000 3,449 60,000 |per 10/30/08 budget subcomm SLMS -Battery Changeout 30,000}20,974 30,000}30,000 Jer 10/30/08 budget subcomm Intertie Ground Safety Patrol 30,000 34,143 30,000}...6811 35,000 Jper 10/30/08 budget subcomm Upgrade SLMS Communications 250,000 260,918 : -[one time project Railbelt Load Shed Study 60,000 14,607 60,000}71,108 lone time project Misc Studies as needed :30,000 Jper 10/30/08 budget subcomm 674,000].596,119]434,000]...326,316 409,000 FERC 567 -Transmission Expenses -Rents on . Rents -Alaska Railroad ; 400 800 400]400 400 |per 10/30/08 budget subcomm MEA -Talkeetna Storage 7,200 7,200 7,200 4,800 7,200 [per10/30/08 budget subcomm 7,600 8,000 7,600 5,200 7,600 FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhill 75,250 |80.455 79,000]51419 83,082 [perHD budget rec'd 10/13/08 GVEA Cantwell Secondary Oil Containment 90,000 |:90,000}-__fonhold perHD 4/7/09 GVEA Cantwell batteries -25,000 23,069 -.603 -__Jone time project GVEA -Cantwell Substation Fence 65,0007 19.231 =300,000f 150,000 Jredux to 150K perHD 4/7/09 GVEA -Dissolved Gas monitoring Equip -a -a 142,000 [perHD budget rec'd 10/13/08 Replace protective Relay Schemes Healy &Douglas -a -400,000 Jper 10/30/08 budget subcomm 2010 ALASKAN INTERTIE BUDGET-draft2.xls -BUDGET 4/15/2009 Approved FY08 Approved FY09 Proposed FY08 Rev ACTUALS FY09 ACTUALS FY10 Budget FINAL Budget @ 03/31/09 Budget CEA Teeland Substation 52,000 83,307 52,000 31,878 52,000 [per 10/30/08 budget subcomm MEA -Douglas substation 5,000 ot 5,000}os 5,000 per Dz 6/27/08 312,250 186,152}=526,000 84,07 832,082 FERC 571 -Maintenance of overhead lines : GVEA Northern Maintenance 100,000 25,343 112,117 20,136 122,016 ]per HD budget rec'd 10/13/08 MEA Southern Maint (incl ground inspect)100,000 862037 100,000 22%)100,000 Jper Oz 6/27/08 GVEA-Landing Pads 30,000 :30,000 30,000 perHD budget rec'd 10/13/08 GVEA-Adjust Guys 24,000 : >24,000 24,000 [perHD budget rec'd 10/13/08 GVEA-Northern ROW clearing 24,000 168,853 95,100 :7,708 95,100 per HD budget rec'd 10/13/08 GVEA -Repair tower 692 345,000 3,003 345,000 29,022 -complete in FY09 per HD 4/7/09 MEA Extraordinary (osprey nest removal)180,000 206,952 -te =__fone time projectMEA-Landing Pads 10,000 -14,000 ; :14,000 per DZ 6/27/08 MEA-Nest Removal 25,000 os -__[per 10/30/08 budget subcomm MEA-Special Patrols (incl foundation inspections),a 22,000f 22,000 jperDz 6/27/08 MEA -Contingency ::45,000 45,000 jper 02 6/27/08 MEA-Southern ROW clearing Talkeetna North 50,000 _433,000 21,763 -per 10/30/08 budget subcomm TWR 195 Repair monitoring -12,693 -9,072 5,000 per 10/30/08 budget subcomm 888,000]452048]1,220,217 99,997 457,116 FERC 920 -AEA Administrative Costs ; Personal Services,travel and other costs 75,000 73,308 75,000 17,975 75,000 per 10/30/08 budget subcomm 75,000 73,309 75,000]«17,978 75,000 FERC 920 -1OC Administrative Costs :x 1OC Administrative Costs -Bost - - FERC 924 -Property Insurance AF Intertie -Insurance 210,000 210,160 210,000 68,800 210,000 per 10/30/08 budget subcomm Insurance Risk assessment 50,000 :50,000 ]50,000 per 10/30/08 budget subcomm 260,000 210,160 260,000 |68,800 260,000 TOTAL EXPENSE}2,220,850 1,534,143]2,526,817 607,483 2,044,798 SURPLUS (SHORTAGE)](110,949)717,368 191,197 990,295 154,939 2010 ALASKAN INTERTIE BUDGET-draft2.xis -BUDGET 4/15/2009 Draft IOC Budget Subcommittee Meeting 10:50 a.m.October 30,2008 at AIDEA/AEA offices in Anchorage Members Present:Henri Dale (GVEA),Doug Hall (ML&P),James Strandberg (AEA),Shellie Helton (AEA)[Burke Wick (CEA)and Don Zoerb (MEA)were unable to attend.] The Agenda and prior 04/10/08 Budget Subcommittee meeting minutes were adopted. FY08 Budget and Actuals,and FY09 Budget and Year to Date Actuals were both reviewed.It was noted that limited FY09 activity billings have been received as of this date. Currently there are no major M&O issues to be addressed. Per GVEA,Golder is working on Tower 692 and should be done by late FY09.This fall grout was placed under the pad and in the spring a drill will be brought in to put in thermal siphons.There has been no . movement noted on Tower 274 &297.Tower 195 and the SVC's will be capital project items.PDC Engineers are working on alternatives for the Cantwell fence. Action:Doug &Jim to fly upto check on MEA ROW,Cantwell Sub fence and verify nest removal. Action:Jim to initiate FO9 SLMS Support contract,and Intertie Ground Safety Patrol contract. Action:Insurance Risk Assessment is to be rolled forward and tasked to Burke and Jim. Per Henri,the under-frequency (load shed)study is awaiting various utilities'info to be consolidated. There is to be a meeting Wednesday November 5".Information is required for use with Susitna project and other upcoming projects. Group reviewed assembled FY10 Preliminary Budget.Amounts are per Henri Dale's FY2010 Substation and Transmission Line Maintenance and Work Plan,Don Zoerb's request to roll forward FY09 estimates, and current budget subcommittee discussion.Group requested increase in Ground Safety Patrols (FERC 566)from $30K to $35K,amount may be amended [Action:]subject to Jim's discussions with Del LaRue.Group requested addition of $30K Misc.Studies line item also under FERC 566.Protected Relays Replacement (FERC 570)was amended to include both Healy &Douglas Subs at an estimated cost of $400K total ($200K each).Added $5K for Tower 195 Repair Monitoring (FERC 571);actual repair will be capital project.There is currently no FY10 MEA ROW budget (FERC 571);however this is subject to change as needed. The proposed draft FY2010 Budget is $2,564,798 The date and time of next meeting will be determined at a later date. Meeting adjourned at 12:40 P.M. H:\AEA Projects\Alaska Intertie Project\Meeting Minutes\Budget Subcomm minutes 10-30-08-draft.doc ALASKAN_INTERTIE FY 2009 BUDGET REVENUES GVEA ML&P CEA AEG&T INTEREST TOTAL REVENUES FERC 562 -Station Operation Expenses GVEA -substation electricity usage FERC 566 -Miscellaneous transmission expense SCADA &voice circuits (SOA) Cell phone comm.svc for weather monitoring SLMS -Support Contract (old:03-107#1 new:08-007-EPSI#2) SLMS -Battery Change out (newcontract:TBA) Intertie Ground Safety Patrol(os-007-HoR#s) Upgrade SLMS Communications Railbelt Load Shed Study FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad MEA -Talkeetna Storage FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhill GVEA Cantwell Secondary Oil Containment GVEA Cantwell batteries GVEA -Cantwell Substation Fence CEA Teeland Substation MEA -Douglas substation FYO9AKI.XLS -Budget 03-31-09 Approved 04/17/08 ACTUALS OVER FY09 Budget @ 03/31/09 (UNDER) 2,508,100 1,364,009 (1,144,091) 57,961 57,961 - 80,371 101,596 21,225 71,582 70,268 (1,314) -3,944 3,944 2,718,014 1,597,778 (1,120,236) 4,000 5,119 1,119 4,000 5,119 1,119 234,000 234,209 209 20,000 10,738 (9,262) 60,000 3,449 (56,551) 30,000 -(30,000) 30,000 6,811 (23,189) 60,000 71,108 11,108 434,000 326,316 (107,684) 400 400 - 7,200 4,800 (2,400) 7,600 5,200 (2,400) 79,000 51,519 (27,481) 90,000 -(90,000) -603 603 300,000 -(300,000) 52,000 31,878 (20,122) 5,000 77 (4,923) 526,000 84,077 (441,923) CAP Fee plus usage thru 02/28/09 CAP Fee plus usage thru 02/28/09 CAP Fee plus usage thru 02/28/09 CAP Fee plus usage thru 02/28/09 thru 02/28/09 thru 06/30/09 thru 2/25/09 thru 08/31/08 thru 02/28/09 thru 02/28/09 thru 06/30/09 thru 02/28/09 thru 02/28/09 thru 02/28/09 thru 01/31/09 thru 02/28/09 4/15/2009 Approved thru 02/28/09 thru 02/28/09 thru 02/28/09 thru 02/28/09 thru 02/28/09 thru 02/28/09 thru 03/15/09 04/17/08 ACTUALS OVER FY09 Budget @ 03/31/09 (UNDER) FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance 112,117 20,136 (91,981) MEA Southern Maint (incl ground inspect)100,000 12,294 (87,706) GVEA-Landing Pads 30,000 -(30,000) GVEA-Adjust Guys 24,000 -(24,000) GVEA-Northern ROW clearing 95,100 7,709 (87,391) GVEA -Repair tower 692 345,000 29,022 (315,978) MEA Extraordinary (osprey nest removal)--- MEA-Landing Pads 14,000 -(14,000) MEA-Nest Removal (annual maint)--- MEA-Special Patrols (incl foundation inspections)22,000 -(22,000) MEA -Contingency 45,000 -(45,000) MEA-Southern ROW clearing Talkeetna North 433,000 21,763 (411,237) TWR 195 Repair (funding:$64K from Twr 692 in FYO -9,072 9,072 1,220,217 99,997 (1,120,220) FERC 920 -AEA Administrative Costs Personal Services,travel and other costs 75,000 17,975 (57,025) 75,000 17,975 (57,025) FERC 920 -|OC Administrative Costs lIOC Administrative Costs --- FERC 924 -Property Insurance AF Intertie -Insurance 210,000 68,800 (141,201) Insurance Risk assessment 50,000 -(50,000) 260,000 68,800 (191,201) TOTAL EXPENSE 2,526,817 607,483 (1,919,334) SURPLUS (SHORTAGE)191,197 990,295 N/A thru 06/30/09 FYO9AKI.XLS -Budget 03-31-09 A)ae Matanuska Electric Association,Inc. P.O.Box 2929 E 6 ib |IFPalmer,Alaska 99645-2929 Telephone:(907)745-3231 ae anFax:(907)745-9328 APR 23 1899 Alaska !ndustrial DevelopmentApril22,1999 end Export Authority Mr.Stan Sieczkowski Alaska Energy Authority 480 West Tudor Anchorage,AK 99503 Dear Mr.Sieczkowski: Subject:1999-2000 IOC Budget I regret not being able to attend the IOC Budget Subcommittee Meeting last week.I understand there were questions on the re-clearing contract on which work is on-going.I talked with the contractor yesterday and found he expects to be completed next week with the first pass over the entire project,to the south side of the Talkeetna River.He will then return and take care of the cleanup work identified by our inspector.I have asked the contractor to give me a proposal to cut out landing pads at each structure on the way back through.We found during the climbing inspection this week that even with the 100 foot wide clearing,it is not always possible to land the helicopter at each structure.Victor Willis indicated we need another 20 to 30 feet cleared on one side of each structure to safely land.This would be within the right-of-way limits.I will let you know what this proposal is as soon as I get it. Another matter that I hope was discussed at the budget meeting is the need to continue the re-clearing work north of the Talkeetna River.In the current climbing inspection we identified the need for additional circuit miles to be cleared.I would suggest the IOC budget for an additional 20 miles to be re-cleared north of the Talkeetna River at an estimated cost of around $120,000,including landing pads. Sincerely, Robert C.Drake Operations Manager /3°°[oc Intertie Operating Committee Budget Subcommittee Meeting Notice and Agenda The IOC budget subcommittee is scheduled to meet on Thursday,October 29th, 2008 at AIDEA/AEA offices in Anchorage,Alaska at 813 West Northern Lights Blvd.The meeting is scheduled for 10:00 AM and is expected to last up to 3 hours.Lunch will be provided. Agenda 1.Introduction of members 2.Approval of agenda and minutes 3.Old Business a.General discussion of maintenance activities since last meeting, and review of budget status for FY08. b.Status of earlier budget issues oti.SVC Upgrades (Static VAR Compensators)|Kothed fiom ii.Tower 195 project ° iii.Structure 692 Foundation Adequacy Ger ALMAiv.Structure 274 and 297 -ef avreving;mtdtele Latirv.Cantwell Fence -Gv;averlerieg wf POC j move Crnezltycarbeerbee/i.Vi.Insurance Risk Review-ATU ponding;anreve Le rept cyearvii.Under-frequency study- viii.SLMS upgrade 4.New business a.FYO9 budget assembly b.Review of AIDEA/AEA provided funding documents 5.Action on the FYO09 budget 6.Other matters ef Aprk7.Date and time for next meeting net v ud 8.Adjournment AIDEA -AEA FY08 Budget -oo _Fyos '|FY09 Budget "FYOS DRAFT aApproved;_Budget _Approved Actuals FY10 oeani01/17/08 Actuals 04/17/08 '@ 9/30/08.BUDGET REVENUES _a ooGVEA_1,925,200 2,052,496 2,508,100]768,163 tba a"ML&P 50,042 50,042 57,961 57,961 tba ee"CEA -ssE 72,050,-s-72,885 80,371 371 tba oo""AEG&T ee 62,609}-_-«-6 1,308 71,582 |70,268 tba -"INTEREST -14,781 -2,381 : : Co TOTAL REVENUES 2,109,901 2,251,512 2,718,014 |_979,143 - EXPENSES _oo a aFERC562-'Station Operation Expenses ___-a ."T "GVEA-substation electricityusage 4,000 8,355 4,000 990 4,000 :7 ee 7 4,000 8,355 4,000 990 4,000 "FERC 566-Miscellaneous transmission expense __-PaSCADA&voice circuits(SOA)_ 234,000 234,000 -234,000.ve phone comm.svc for weather monitoring-10,000 20,000 a 20,000 [copiedSLMS-Support Contract(03-107#1)60,000 60,000 ”--60,000.|copied Fv09_MS-Battery Changeout_So?He.30,000 30,000 30,000 copied Fvo9ntertieGroundSafetyPatrol(03--108#4)- 30,000 4,143 30,000 _|4Gee030,000 copied FYOSUpgradeSLMSCommunications_ 250,000}=260,918 -_1 £6,008Phonetimeoxp_Railbelt Load Shed Study _ 60,000 14,607 60,000 y Pea (77 . 674,000 $96,119 434,000 374,000"FERC 567 -Transmission Expenses-Rents|oeRents-Alaska Railroad oo _ 400 400 -400 [copied Frog"T""MEA-Talkeetna Storage 7,200 7,200 7,200 |copied FYO9 __ 7,600 7,600 7,600f "_FERC570-Maintenance of stationequipment -__GVEA-Healy Cantwell,Goldhill -75,250 79,000 83,082 foeHD10/1308"GVEA Cantwell Secondary Oil Containment,-90,000}90,000 75,000 |perHO10/13/08 i__GVEA Cantwell Batteries -|25,000]_-s233,069 --- _GVEA-Cantwell Substation Fence _Sf.Pw hit in 65,000,19,231 300,000F 250,000 Joer H010/13/08_"GVEA-Dissolved Gasmonitoring Equipment \3 _:ce -ot 142,000 per HD10/1308 ”GMEK-Replace Protective Relay Schemes me ---=G,°F &880-Iner HD 10/1308CEATeelandSubstation">eee _52,000 __83,307 52,000]2,868 |OK-62;000-FeopiedFvo9""MEA-Douglas substation a 5,000 91 5,000 29 +5,000 |oer 02 6/2708har312,250|186,152 526,000 17,793 792,082|FERC'571-1 -Maintenance overhead lines 5 rr a _"GVEA Northern Maintenance 100,000]-s__-s25,343 112,117]«6,205 122,016 [perHD10/1308_ -MEA Southern Maint (ined ground inspect)_100,000 36,203 100,000]==-s_-3,992 ¥100,000 [per 02 6/27/08_ "GVEA-Landing Pads_30,000 -30,000}-30,000 °"GVEA-Adjust Guys oo 24,000 a 24,000 -"24,000 [per Ho10/13/08'GVEA-Northem ROW clearing _.__24,000 _168,853 95,100 "95,100 joerHD10/1308"GVEA --Repair tower 692 345,000,3,003 345,000 Y 345,000 |oer HD10/13/08_"MEA EExtraordinary (osprey nest temoval)_180,000 ;205,952 ---fonetimeexp MEA-Landing Pads ee 10,000 _ 14,000 14,000 |per Dz 6/27/08_"7”MEA-Nest Removal (annualmaint)- 25,000 ; --oe"""MEA;Special Patrols (inclfoundation inspections)_-22,000 -22,000 |per 02 6/27/08___MEA-Contingency :Cy]45,0004 -TP 45,000 [per Dz 627/08_MEA-Southem ROW 'clearing °Talkeetna North -50,000 oe (433,000.ft 222WR195Repair(funding:$64K from Twr 692 in FYO8,-12,693 - ;5,000 \277 en 888,000 452,048 1,220,217 797,116,"FERC 920-AEA Administrative Costs.a /-'Personal Services,travel and other costs_75,000 73,309 75,000 4,596 75,000 |copiea Fog Se 75,000 73,309 75,000 4,596 75,000 7"FERC 924 -Property Insurance -oe oo.._AF Intertie-Insurance 210,000 210,160 210,000 60,723 210,000 [copied Fro9"Insurance Risk assessment 50,000 -50,000 :50,000 |copiea Frog _CS 260,000 210,160 260,000 60,723 260,000 - TOTAL EXPENSE 2,220,850 1,534,143 2,526,817 169,047 2.309.798 |: SURPLUS (SHORTAGE)(110,949)717,368 191,197 810,097 NIA 2010 ALASKAN INTERTIE BUDGET-draft.xis -10-27-08 draft °de ve Aber ort,OU NSS tnvetoreteAirtuserameunt@106meting 10/28/2008 8:53 AM ALASKAN_INTERTIE FY 2009 BUDGET Approved 04/17/08 ACTUALS OVER FY09 Budget |@ 9/30/08 (UNDER) REVENUES GVEA 2,508,100 768,163 (1 1739,937)CAP Fee plus usage ML&P 57,961 57,96t -CAP Fee plus usage CEA 80,371 80,371 -CAP Fee plus usage AEG&T 71,582 70,268 (1,3144}ICAP Fee pius usage INTEREST :2,384 2,381 |TOTAL REVENUES 2,718,014 979,143 (1,738,871): I |_|FERC 562 -Station Operation Expenses GVEA -substation electricity usage 4,000 990 (3,040) ;4,000 990 (3,010}. FERC 566 -Miscellaneous transmission expense : SCADA &voice circuits (SOA)234,000 -(234,000) Cell phone comm.svc for weather monitoring 20,000 *3,144 (16,859) SLMS -Support Contract (03-107#1)60,000 3,449 (56,551))thru vos SLMS -Battery Changeout 30,000 -(30,000) Intertie Ground Safety Patrol(03-108#4)30,000 :(30,000) Upgrade SLMS Communications -|-- Railbelt Load Shed Study 60,000 62,614 (7,389) ee, 434,000 59,204 (374,799)-_ FERC 567 -Transmission Expenses -Rent Rents -Alaska Railroad 400°-(400) MEA -Talkeetna Storage 7,200 1,800 (5,400) 7,600 1,800 (5,800)- FERC 570 -Maintenance of station equipment ; GVEA -Healy Cantwell,Goldhill 79,000 14,896 (64,104) GVEA Cantwell Secondary Oil Containment 90,000 -(90,000) _{gvea cantwell batteries --: ||GVEA -Cantwell Substation Fence 300,000 -(300,000) CEA Teeland Substation 52,000 2,868 {49,132)[thn 7408 __|MEA -Douglas substation 5,000 29 (4,971)"TE 526,000 17,793 (508,207): FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance 112,117 6,205 (105,912) MEA Southem Maint {incl ground inspect)100,000 3,992 (96,008) GVEA-Landing Pads 30,000 -(30,000) GVEA-Adjust Guys 24,000 :(24,000) GVEA-Northern ROW clearing 95,100 7,709 (87,391) GVEA -Repair tower 692 345,000 -(345,000) MEA Extraordinary (osprey nest removal)--- MEA-Landing Pads 14,000 -(14,000) MEA-Nest Removal (annual maint)--- MEA-Special Patrols (incl foundation inspections)22,000 -(22,000) MEA -Contingency 46,000 -(45,000) MEA-Southem ROW clearing Talkeetna North 433,000 :(433,000) TWR 195 Repair (funding:$64K from Twr 692 in FYO . -6,038 6,038 [thru sos 4,220,217 23,944 (1,196,273)- FERC 920 -AEA Administrative Costs Personal Services,travel and other costs 75,000 4,596 (70,404) 75,000 4,596 (70,404)- FERC 920 -IOC Administrative Costs 1OC Administrative Costs --- FERC 924 -Property Insurance AF Intertie -Insurance 210,000 60,723](449,277) Insurance Risk assessment 50,000 -(50,000)__ 260,000 60,723 -(199,277) TOTAL EXPENSE 2,526,817 169,047 (2,357,770)- SURPLUS (SHORTAGE)491,197 810,097 N/A FYOSAKILXLS -Budget 09-30-08 40/27/2008 4:38 PM ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT * 8 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 TOTAL ° MWH ACTUAL USAGE Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-0 1MWHMWHMWHMWHMWHMWHMWHMWHMWH MWH MWH MWH GVEA 41,363 rare At,280 TOTAL 41,363 45,111 41,280IRRENVARIANcEREeaegEAR EAA ORO RELYTDVeae36368TetsaesS(SU-2A6)ce ST SAS ay Juf-08 Aug-08 -08 Oct-08 Nov-08 Dec-08 Jan-09 a Feb-09 Mar-09 Apes cit Jun-09 TOTALSCREeetMehVoeesiOeverrePEEROeoe438Son4oeodeLeeNAYBeheee<i :2 GVEA Energy Charges $181,170 $197,586 $180,806 $-$-$-$-§$-$-$-§-$-$559,563 GVEA Capacity Charges $208,600 $208,600 YTD Actuals $389,770 $587,356 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163EVIDVariancebantersevertety!$5055970$ain 28,00 ah 34 003 $s (105137)Gel 382,197)<9 eAOUMSTsBisa(108 237):9$nae (QU SAB)Ribas (Le (0,537)28.22 (1,367/632).Sez (SGA TATIOS E (hla,03)oraeua MLP Energy Charges $-§-§-$-§$-$-§-§$-$- $-§$$§-§- MLP Capacity Charges $57,964 $57,961 YTD Actuals §57,961 $§7,9 5 57,961 §$$687,961 $57,961 $57,961 $57,961 $57,961 $57,961SAVID.Vatiancepaca gs can gineaan Gee Swat Strnad pen a hereeet Sea ESP ACHAT CEA Energy Charges $-$-§-$-$-$-$-$-$-$-$-$-S - CEA Capacity Charges $80,371 $80,371 YTD Actuals $80,371 $80,371 §>=80,371 -80,371 $80,371 $80 3”_§.80,371 $80,371 $80,371ENTD:Vaclance:s765e eer es SOSSR Oe:ts ESS :7 bap Pape ft Sse eke Mg cae Li yea AEG&T Energy Charges $-§-§-§$-$-§-$-§-$-$-§-§$-$- AEG&T Capacity Charges $70,268 $70,268 YTD Actuals $70,268 $_70.268 $70,268 $70,268 >70,268 §J 70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $706,268meerSESSaesSprottSeo(438)Soe (BZA Sas (18 4 RSL B14)9 SEN OAs ES AHS 14)Or eh atae San(13t4)eee ate TOTAL ENERGY CHARGES $181,170 $197,586 $180,806 §$-$:$.$°$:$-$-$-$:$559,563TOTALCAPACITYCHARGES$417,200 $-$-__§$-$-$¢_-$-_$- §- §$- $-_$417,200YTDTOTALREVENUES$598,370 $795,956 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763.$976,763 S2YFDATOTAL-VARIANCE*S SS §,Cet5 Q70-2$S9E28;956 58 9G 39,963 22 85 (163,137 )95 (982575)T 9.s(602,013)RE TARTT99,S15S.ias:(O14,151)SeeHidAtB51)4 ul 1,308,951)8 =(1,006,050) HAalishetton\PJ220501-AF NFYOS\F YOSAKI.XLS -Rev Var 09-30-08 10/27/2008 ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT MWH PROJECTIONS Jul-08 Aug-08 Sep-08 Oct-08 Nov-03 Dec-08 |Jan-09 Feb-09 Mar-09 Apr-03 May-09 Jun-09 TOTAL MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWHGVEA40,o00 40,000 40,000 45,000 50,000 _-_--50,000 45,000 40,000 45,000 45,000 45,000 -40,000 §25,000 350000s7395,000;=50/000 120/000E165DOO A215;5,000;e266;00310,000: Searseee TOTAL 40,000 40,000 _40,000 45,000 50,100 __,80,100 45,100 40,000 45,000__45,000 45,000 40,0005 SEBO OOSASO 000SEAS000 10;300:350,300 5395300s440,S00res 485,300esehen aereyas Nov-08 -Dec-08 cuneeiSed:BORG 4:380.OS:SEE RIB OS hee:Atesanwe4380:38 GVEA Energy Charges $175,200 $175,200 $175,200 $197,100 $219,000 $219,000 $197,100 $175,200 $197,100 $197,100 $197,100 $175,200 $2,299,500 GVEA apacity sees $208,600 :coe 2435,800.$22,342900-8§o0-509;100%2G 72'508,1003 Jul-08 'Budgeted:Rate-per MWHeant$43005$csPb Mar-09 Apr-04:380229a4380S a O80, ShTIT ae neta595OUAEGSIe73420SBEOSTOO1150,300s Sit S60GUUSoa 566 MOOSEESATSTAT 60056 $so 1 998,200 89 MLP Energy Charges $-§$-§-§$-§-§-§-§-§-§-§-§-§$- MLP Capacity Charges _Exhi ._....$57,961RSPSTOCIOHOTGO1raG57,961orbnOb1a CEA Energy Charges $-$-$-$-$- CEA Capacity Charges $80,371EVDeeSENBOTTA tA' #'tA'$- CETORTAEACERTALECRTAB AEG&T Energy Charges $-$-$-$-$438 $438 $438 $: i Charges $70,268ABEND6552032685 9570,2685.9:70,268 9-770,268 9 070 100.SirtdddgseSimeMb o Set1Bbe TOTAL ENERGY CHARGES $175,200 $175,200 $175,200 $197,100 $219,438 $219,438 :197,538 $175,200 $197,100 $197,100 $197,100 $175,200 $2,300,814TOTALCAPACITYCHARGES$417,200 $-§- §$-$$$-§-_§-__$- _$417,200:Nes ag oo 592 M00 ss Gk 76 7 000m G57 O40,BOO INO Ae 30SOURS$/RERRSTSI TER RRRTETEFRCL SEPALSRedoIdrc2bd2 814Ss oI 014 Scone Olds H:\allshelton\PJ220501-AF NFYOS\FYOSAKI.XLS -Rev Var 09-30-08 :10/27/2008 ITF ALASKA INTERTIE TRUST FUND Key Bank Trust Acct #0698481 STATUS REPORT AS OF 09/30/08 BEGINNING BALANCE AS OF 06/30/08 $36,621.68 INTEREST $s 156.66 DISBURSEMENTS $- ENDING BALANCE AS OF 09/30/08 S$36,778.34 History: The ITF Alaska Intertie Svcs Fund was setup to account for a trust account that AIDEA is custodian of for the benefit of the Utilities involved in the Alaska Intertie Project.This Trust Account is for the purpose of paying for expenses related to the Static Var System.The account is held at Key Bank.Any disbursements will be requested from the operating committee or the Utilities.No trust fee is charge to the account because AIDEA has a blanket trust fee agreement with Key Bank for all accounts held by Key Bank.This trust fund will last as long as the operating committee requires it. ITF-AkIntertieSvcFund.xls 09-30-08 Intertie Operating Committee Budget Subcommittee Meeting Notice and Agenda The IOC budget subcommittee is scheduled to meet on Thursday,October 30th, 2008 at AIDEA/AEA offices in Anchorage,Alaska at 813 West Northern Lights Blvd.The meeting is scheduled for 10:00 AM and is expected to last up to 3 hours.Lunch will be provided. Agenda 1.Introduction of members 2.Approval of agenda and minutes 3.Old Business a.General discussion of maintenance activities since last meeting, and review of budget status for FY09. b.Status of earlier budget issues i.SVC Upgrades (Static VAR Compensators) ii.Tower 195 project ili.Structure 692 Foundation Adequacy iv.Structure 274 and 297 v.Cantwell Fence vi.Insurance Risk Review vii.Under-frequency study vili.SLMS upgrade 4.New business a.FY10 budget assembly b.Review of AIDEA/AEA provided funding documents 5.Action on the FY10 budget 6.Other matters 7.Date and time for next meeting 8.Adjournment AIDEA -AEA Draft 1OC Budget Subcommittee Meeting 1:30 p.m.April 10,2008 at AIDEA/AEA offices in Anchorage Members Present:Henri Dale (GVEA),Doug Hall (ML&P),James Strandberg (AEA),Burke Wick (CEA), Don Zoerb (AEG&T/MEA).Visitors Present:Martina Dabo (AEA),Shellie Helton (AEA) Dabo requested SVC location information for inclusion in her rail belt wind generation presentation. Adopted Agenda and prior 12/13/07 Budget Subcommittee meeting minutes without material changes. Per GVEA,there has been no activity on the Cantwell Fences beyond receipt of a draft study.Current cost estimate range from $300K to $700K depending on the amount of ground work and modifications authorized -refer to study distributed via e-mail. Structure 692 permafrost mitigation work will be postponed to FYO9 since no one bid on the job. No work has been performed on the SVC Upgrades (Static VAR Compensators). A contract has not yet been issued to EPS for the Under Frequency Study,although it is anticipated that work will begin in FYO8 and be completed in FYO9.The cost estimate is $90K;S60K is currently budgeted in FYO8 and an addition $60K should be budgeted in FYO9 to fund the balance of the work. The final SLMS Communication Upgrade billing has been submitted to GVEA and paid.The new system requires more power,so upgrades to batteries and solar panels may be required (work to be done via current AEA contract).ACTION:Henri will forward scope of work to Doug so he can follow up with Dryden to verify system is working and all work is completed. GVEA is performing spring climbing inspections,replacing batteries on SVS UPS units.Option to install inverters under general maintenance instead of replacing batteries is being considered. MEA staff made several visits to Tower 195 to review the situation and mark the guys with warning signs.Guys are now in the water (river moved). An aerial patrol in March looked for trees requiring immediate removal.MEA plans on starting scheduled ROW clearing in July and will solicit bids once the FYO9 budget is approved. ACTION:Jim will share prior Insurance Risk Review information with Burke.Don would like the proposed Alaskan Intertie Insurance Risk Review to also include a review of the strength of the insurer. Dryden &Larue has submitted a $64K proposal to come up with options and develop design and construction specs for Tower 195 repairs.Action:Jim to initiate work.(Don reminded members that he isn't in position to speak for AEG&T on this matter.) Structures 274 &297 are being monitored and no work is scheduled for FY08 Reviewed FY09 Budget line item by line item Action:Don to check on status of Snow Depth monitoring equipment purchased in FYO7. Don pointed out that the budgeted FY09 landing pad work will be at an MEA owned tower and will be comprised of hand clearing a site to provide a mobilization point.Henri raised concerns since the tower is an MEA tower contracted out for intertie.However all parties agreed having a mobilization point will benefit the Intertie as a whole. SVC work is under review.A legislative request in excess of $8,000,000 has been submitted. Future item -replace relays,but not in FYO9 Henri noted FYO9 projections are based on not having gas restriction curtailments The final proposed budget of $2,526,817 with MITCR rates of $0.00438/kwh Energy and $2.98/kwh Capacity is to be forwarded to IOC for review and approval at the April 17"meeting in Fairbanks. Date time next meeting to be determined later this fall Adjournment at 3:32 pm H:\AEA Projects\Alaska Intertie Project\Meeting Minutes\Budget Subcomm minutes 04-10-08.doc * ALASKAN_INTERTIE FY 2009 BUDGET' Approved 04/17/08 ACTUALS OVER FY09 Budget @ 9/30/08 (UNDER) REVENUES GVEA 2,508,100 768,163 (1,739,937)}cap Fee pius usage ML&P 57,961 57,961 -[CAP Fee plus usage CEA 80,371 80,371 -CAP Fee plus usage AEG&T 71,582 70,268 (1,314)|CAP Fee plus usage INTEREST -2,381 2,381 |TOTAL REVENUES 2,718,014 979,143 (1,738,871)- I FERC 562 -Station Operation Expenses GVEA-substation electricity usage 4,000 990 (3,010) 4,000 990 (3,010) FERC 566 -Miscellaneous transmission expense SCADA&voice circuits (SOA)234,000 :(234,000) Cell phone comm.svc for weather monitoring 20,000 3,141 (16,859) SLMS -Support Contract (03-107#1)60,000 3,449 (56,551)|thru e/08 SLMS -Battery Changeout 30,000 -(30,000) Intertie Ground Safety Patrol(03-108#4)30,000 :(30,000) Upgrade SLMS Communications --- Railbelt Load Shed Study 60,000 52,611 (7,389) 434,000 59,201 (374,799) FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad 400 -(400)MEA-Talkeetna Storage 7,200 1,800 (5,400) 7,600 1,800 (5,800). FERC 570 -Maintenance of station equipment . GVEA -Healy Cantwell,Goldhill 79,000 14,896 (64,104) GVEA Cantwell Secondary Oil Containment 90,000 :(90,000) gvea cantwell batteries --- GVEA -Cantwell Substation Fence 300,000 :(300,000) CEA Teeland Substation 52,000 2,868 (49,132)thru 7/08 MEA -Douglas substation 5,000 29 (4,971) 526,000 17,793 (508,207)- FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance 112,117 6,205 (105,912) MEA Southern Maint (incl ground inspect)100,000 3,992 (96,008) GVEA-Landing Pads 30,000 :(30,000) GVEA-Adjust Guys 24,000 -(24,000) GVEA-Northern ROW clearing 95,100 7,709 (87,391) GVEA -Repair tower 692 345,000 -(345,000) MEA Extraordinary (osprey nest removal)--- MEA-Landing Pads 14,000 :(14,000) MEA-Nest Removal (annual maint)--- MEA-Special Patrols (incl foundation inspections)22,000 -(22,000) MEA -Contingency 45,000 -(45,000) MEA-Southern ROW clearing Talkeetna North 433,000 -(433,000) TWR 195 Repair (funding:$64K from Twr 692 in FYO -6,038 6,038 thru g/08 1,220,217 23,944 (1,196,273) FERC 920 -AEA Administrative Costs Personal Services,travel and other costs 75,000 4,596 (70,404) 75,000 4,596 (70,404)- FERC 920 -1OC Administrative Costs IOC Administrative Costs --: FERC 924 -Property Insurance AF Intertie -Insurance 210,000 60,723 (149,277) Insurance Risk assessment 50,000 -(50,000) 260,000 60,723 (199,277)- TOTAL EXPENSE 2,526,817 169,047 (2,357,770)- SURPLUS (SHORTAGE)191,197 810,097 N/A FYOSAKI.XLS -Budget 09-30-08 10/30/2008 9:09 AM a) ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT * MWH ACTUAL USAGE Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 TOTAL MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH 45,111 41,280 127,7541,280."(45,000)".(50,000)"*(50,000)°°”(45,000)©”(40,000)(45,000)(45,000)* (45,000)°"¢O97,246)27,754|...(37,246)(87,246)»,(137,246);.(182,246)...(222,246),(267,246)-|(312,246)|.(357,246)__(397,246). GVEA -:CURRENT VARIANCE 7”*YTD VARIANCE-,: MLP :CURRENT VARIANCE”oo 33..YTD VARIANCE ,.x F CEA ---......_ e CURRENT VARIANCE *ae epee pnt tere AL ENTERS MANE NS SEEDS EET tao meson og erent Sern ce 5 iow YTD VARIANCE.oo sect aes merge Ms oo Peon bhasan Ta Law Sibia 5 a a Te one BAA eaten at nee Sita ;CURRENT VARIANCE.-:""."(300):«.,YTD VARIANCE ,*(100)"aevo(100)2,(200)...re tee eer TOTAL #1363 45,411 44,2800 se -127,754"CURRENT VARIANCE ©"°°4,363 °°""4,280°°"(45,000)(50,100)(50,100)(45,400)"40,000)" (45,000)”(45,000)(48,000)”"(40,000)”"G97,546);'_YTD VARIANCE...©,(37,246)...(87,346)|(137,446).(182,546)(222,546)=(267,546)8(312,546)...(357,546)2 (397,546)|.wieas ACTUAL REVENUES ec ky ca Jul-08 Aug-08 _Sep-08 .Oct-08 _Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Aprs May-09 Jun-09 TOTALRateperMWH.,,.$25,4.38.$4.38.0 $65 =$54.38$2)4.38.$:£4.38 $5 4.38$2)4.38; GVEA Energy Charges $181,170 $197,586 $180,806 $-$-$-§-§-§-§-§$-$-§$559,563 GVEA Capacity Charges $208,600 $208,600 YTD Actuals $389,770 $587,356 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 $768,163 4 YTD Variance3:5,970,$528,3563 $.2.93,963,2$;(163,137)..9..(382,137)$..(601,137).$(798,237),$ee(973,437)_$2 (1,170,537).$(1,367,637)$(1,564,737)$(1,739,937),jae ccsotend a MLP Energy Charges $-$-$-$-$-$-$-$-$-$-$-$-$- MLP Capacity Charges $57,961 $57,961 YTD Actuals $57,961 $57,961 $57,961 $57,961 $57,961 $57,961 $57,9614 $57,961 $57,961 $57,961 $57,961 $57,961 $57,961basYTDVariance.2;,i Sooo $Cle "adv $Bad Palen ae bite $.Ha Ses,ES a:Salas BES Se i Peareas a.$oe ernie tine te $eR ert See $ies Aci cour ied ee| CEA Energy Charges $-$-$-$-$-$-$-$-$-$-$- CEA Capacity Charges $80,371 YTD Actuals $80,371 $80,371 $80,3741 $80,371 $80,371 $80,371 $80,371 $80,371 $80,371 $80,371 $80,371 ec YTD Variance go.3 co Sy the,§ost iS ac te Dea tented at Sica tl D nlc Milt.ditsncee DadicsDohiadiell ob D anda oe Mal anw D decemtindDVacne AEG&TEnergyCharges $-$-$-$-$-$=-§-§-§-§-§-$-§. AEG&T Capacity Charges $70,268 $70,268 YTD Actuals $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 $70,268 g YTD Variance 335 Sone te Se SES i ecinD nssietina Bx (438)$e (876)$2.(1,314).$oo.(4,314).$55 (1,394)$2.(1,314)Soc.(1,914)$50(1814)occ ek TOTAL ENERGY CHARGES $181,170 $197,586 $180,806 $-$-$-$-$-$-$-$-$:$559,563 TOTAL CAPACITY CHARGES $417,200 $-$-$-$:$:$:$:$-$:$-$417,200 YTD TOTAL REVENUES $598,370 $795,956 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 $976,763 eee TOTAL VARIANCE 2°...$v.5,970.$28,356,oS33,963.§,(163,137)§.(382,575)$.(602,013).$ZAP,551)$cx,(974,751),$--(4,171,851)$..(1,368,951)§$;(4,566,051)$.(4,741,251)on ad H:\all\ishelton\PJ220501-AF NF YOS\F YOSAKI_XLS -Rev Var 09-30-08 10/30/2008 ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT MWH PROJECTIONS Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 TOTAL MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWHGVEAerence,40,000 40,000 40,000=45,000 -50,000 50,000 45,000 40,000 45,000 45,000 45,000 40,000 525,000EYT_....40,000 "80,000,"120,000 "165,000 "215,000 265,000©”310,000”"350,000 395,000””440,000."485,000.”525,000° MLP -------. LTD L OO CEA ee reset 7 :. .7 .7 ELYTD cn. - AEGT 100 Hn A ee enc 2,200 TOTAL _..,.40,000 40,000_-_40,000 45,000 50,100 50,100 40,000 -s 45,000 45,000 45,000 YTD "..-,40,000 "”80,000120,000.165,000*215,100|265,200 *.,.350,300”395,300 440,300”485,300°. Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 _Apr-09 ==-May-09 =Jun-09 TOTAL Budgeted Rate per MWH $-4.380.$4.380"$4.380 "$|4.380-$°4.380 $4.380°"$."4.380"$".°4.380.$°°4.380"$°.4.380°°$4.380 -"$4.380) GVEA Energy Charges $175,200 $175,200 $175,200 $197,100 $219,000 $219,000 $197,100 $175,200 $197,100 $197,100 $197,100 $175,200 $2,299,500 OEM Capacity enaraes .$208,600 $208,600EYTO$383,800 |$559,000.$°734,200 $”931,300.$1,150,300 $1,369,300 $”1,566,400 $1,741,600$.1,938,700 $2,135,800 $”2,332,900 $2,508,100.$ ”2,508,100; MLP Energy Charges $-§-§$-$-§$-§$-$-$-§-§-§-§$-§$- MLP Capacity Charges $57,961 -.. $57,961 E YTD.”C$,57,961 $"57,961.$57,961.$°57,961.$57,961 $57,961$ 57,961°$.57,961_$57,961 _$57,961.$.57,961$57,961.$57,961; CEA Energy Charges $-$-$-$-$-$-$-$-$-$-$-$-$- CEA Capacity Charges S$.«80,371 ._3,80,371E.VTD|=7$80,371."$80,371.$80,371.$80,371.$80,371$80,371.$.80,371$80,371.$.80,371.$80,371.$80,371 $80,371$|80,371; ncS&T Energy Charges $-§-§-$-$438 $438 $438 $-$-§$-§$-$§-$1,314 AEG8T Capacity Charges _$70,268 ae oo . $70,268 E YTD |""""$70,268 $70,268”$°70,268$°70,268.$70,706 $°71,144 °$71,582°$"71,582'$."71,582 $"71,582$|71,582$°"71,582.$71,582; TOTAL ENERGY CHARGES $175,200 $175,200 $175,200 $197,100 $219,438 $219,438 $197,538 $175,200 $197,100 $197,100 $197,100 $175,200 $2,300,814 TOTAL CAPACITY CHARGES $417,200 $-§-$-$+$=$-$-§$-$=$=$=_§$417,200-""$"592,400$767,600.$942,800.$1,139,900 $1,359,338 $1,578,776$.1,776,314 $1,951,514 $2,148,614 $|2,345,714 $2,542,814$"2,718,014"$2,718,014|RR ae H:\all\shelton\PJ220501-AFINFYOQ\FYO9AKI.XLS -Rev Var 09-30-08 40/30/2008 ITF ALASKA INTERTIE TRUST FUND Key Bank Trust Acct #0698481 STATUS REPORT AS OF 09/30/08 BEGINNING BALANCE AS OF 06/30/08 -$36,621.68 INTEREST §156.66 DISBURSEMENTS §- ENDING BALANCE AS OF 09/30/08 §36,778.34 History: The ITF Alaska Intertie Svcs Fund was setup to account for a trust account that AIDEA is custodian of for the benefit of the Utilities involved in the Alaska Intertie Project.This Trust Account is for the purpose of paying for expenses related to the Static Var System.The account ig held at Key Bank,Any disbursementa will be requested from the operating committee or the Utilities.No trust fee is charge to the account because AIDEA has a blanket trust fee agreement with Key Bank for all accounts held by Key Bank.This trust fund will last as long as the operating committee requires it. ITF-AkIntertieSvcFund.xls 09-30-08 ALASKAN_INTERTIE FY 2010 BUDGET | ae _FY08 Budget FY0s FY09 Budget Fyos |DRAFTApprovedBudget|Approved Actuals FY10 01H7/08 Actuals 0447/08 @ 9/30/08 BUDGET REVENUES a iGVEA 1.925.200 2,052,496 2,508,100 768,163 tba 'ML&P §0,042 50,042 57,961 57,961 tha _|CEA 72,050 72,885 80,371]80,371 ta AEG&T 62,609 61,308 71,582 70,268 tba INTEREST -14,781 -2,381 « TOTAL REVENUES 2,109,904 2,251,512 2.718.014 979,143 = EXPENSES FERC 562 -Station Operation Expenses : GVEA-substation electricity usage 4.000 8.355 4,060 9380 4,000 FYo9 4,000 8,355 4,000 990 4,000 FERC 568 -Miscellaneous transmission expense .reSCADA&voice circuits (SOA)234,000 234,209 234,000 --254,000 Icopied Free{Celt phone comm.sve for weather monitoring 10,000 12,026 20,000 3,144 20,006 |ccoled FYO9 SLMS -Support Contract (03-107#1)60,000 19,242 60,000 3,449 60,000 [copied FYO9 SLMS -Battery Changecut 30,000 20,974 30,000 -30,000 {copied FYOS Antertie Ground Safety Patroi(03-1087#4).90,000 34,143 "30,000 :30,000 fecpied FYC9 (Upgrade SLMS Communications 250,000 260,918 .-:+fone tne exp 'Railbeit Load Shed Study 60,000 14,607 80,000 52.611 -Im |674,000 §96,119 434,000 59,201 374,000 FERC 567 -Transmission Expenses -Rents . : :ie Rents -Alaska Railroad ©7400 goo 400 :400 [copied FrosMEA-Talkeetna Storage 7,200 7,200 7,200 1,800 7,200 jcopied Frog ee ;amen eesa F §OQ 8,000 f ==7,600 1,800 } -+-- -7,6004 =<- FERC 570 -Maintenance of station equipment .ae .a 'GVEA -Healy Cantwell,Goldhill 75,250 60,455 79,000 14,896 |*83,082 |oer Ho10/1308"T”GVEA Cantwell Secondary Oil Containment .$0,000 :90,000 -75,000 |per not1ana08'GVEA Cantwell Batteries 25,000 23,069 see -. 'GVEA -Cantwell Substation Fence 65,000 19,231 |300,0C0 -250,000 [oer HO1013081GVEA-Dissolved Gas monitoring Equipment --©:142,000 [per HO10/1308 i GVEA -Replace Protective Relay Schemes "-aa -485,000 [per HOTer 208 'CEA Teeland Substation &2,0C0 83,307 §2,000 2,868 52,000 copied FYt9 |iMEA -Douglas substation §,0C0 91 5,000 29 "5.000 [per oz 027008 1 |312,250 186,152 §26,000 17,793 -792,082 FERC 571 «Maintenance of overhead lines ___oo :GVEA Norther Maintenance 100,000 25,343 112,117 6,205 122,016 [per Ho10/1308 "MEA Southem Maint (inc!ground inspect)160,000 36,203 100,000 3,992 100,000 Iper 02 6/2708iGVEA-Landing Pads |aw.30,000 woe vs oe 30,060 F -ence 30,000 [per HO1at-vOS -GVEA-Adjust Guys 24,000 "24,000 -"24,000 [per HO10/1308GVEA-Northern ROW clearing 24,000 168,853 95,100 7,709 95,100 [oer Ho1a308GVEA-Repair tower 692 345,000 3,003 345,000 :345,000 oer Ho1en308 MEA Extraordinary (osprey nest removal)180,000 205,952 -->8 Jone te exp 'MEA-Landing Pads 10,000 ee 440007 ee 14,000 [per oz 42708'MEA-Nest Removal (annual maint)25000,me _-Se 'MEA-Special Patrols (incl foundation inspections)ae ne 22,060 -+22,000 [rer nz 62708iMEA-Contingency -45,000 -45,000 [oer 02 427,08 'MEA-Southern ROW clearing Talkeetna North 60,000 -433,000 -722 i TWR 195 Repair (funding:$64K from Twr 692 in FY08}oo 12.693 "os 6,038 a iea0 i 883,000 452,048 1,220,217 23,944 797,116 "FERC 920 -AEA Administrative Costs 1 ___Personal Services,travel and other costs 75.0CO 73,309 75,000 4,596 75,000 fcooied FY09ii75,000 ___73,309 |75,000 4.596 75,000 'FERC 924 -Property Insurance .a ; i AF Intertie -Insurance 210,000 210,160 210,000 60,723 210,000 |cooied Fye9 insurance Risk assessment §0.0C0 :§0,000 -§0.000 [coped Fro9 : .260,000 210,160 260,000 60,723 260,000 ow { :TOTAL EXPENSE 2,220,850 1,534,143 2,826,817 169,047 2,309,798 {.. rs SURPLUS (SHORTAGE){110,949)717,368 491,197 810,097 N/A 4 2010 ALASKAN INTERTIE BUOGET-draft.as -10-27-08 draft 10/28/2008 8:53 AM James Strandberg From:Shellie M.Helton Sent:Tuesday,October 28,2008 5:00 PM To:James Strandberg Subject:4-10-08 IOC Budget Subcomm Meeting Minutes --need help!!Attachments:04-10-08 meeting minutes.doc From:Shellie M.Helton Sent:Friday,Apri!18,2008 3:49 PM To:James Strandberg Subject: Jim,attached is the draft 04-10-08 IOC Budget Subcomm Meeting Minutes. See 6"paragraph from end.|kind of missed it when you'll were talking about the FYO9 funding request for the SVC Repair.Please amend "scope”,"funding amount”and "funding type”request as needed.Thx! Shellie Helton,Axccountant Alaska |ndustrial Development and Export Authority Alaska Energy Authority 813 West Northern Lights Blvd Anchorage,AK 99504 907-771-3025 fax 907-771-3044 shelton@aidea.org Draft 1OC Budget Subcommittee Meeting 1:30 p.m.April 10,2008 at AIDEA/AEA offices in Anchorage Members Present:Henri Dale (GVEA),Doug Hall (ML&P),James Strandberg (AEA),Burke Wick (CEA), Donald Zoerb (AEG&T/MEA).Visitors Present:Martina Dabo (AEA),Shellie Helton (AEA Dabo requested SVC location information for inclusion in her rail belt wind generation presentation. Adopted Agenda and prior 12/13/07 Budget Subcommittee meeting minutes without material changes. Per GVEA,there has been no activity on the Cantwell Fences beyond receipt of a draft study.Current cost estimate range from $300K to $700K depending on the amount of ground work and modifications authorized -refer to study distributed via e-mail. Structure 692 permafrost mitigation work will be postponed to FYO9 since no one bid on the job. No work has been performed on the SVC Upgrades (Static VAR Compensators). A contract has not yet been issued to EPS for the Under Frequency Study,although it is anticipated that work will begin in FYO8 and be completed in FYO9.The cost estimate is S90K;S60K is currently budgeted in FYO8 and an addition $60K should be budgeted in FY09 to fund the balance of the work. The final SLMS Communication Upgrade billing has been submitted to GVEA and paid.The new system requires more power,so upgrades to batteries and solar panels may be required (work to be done via current AEA contract).ACTION:Henri will forward scope of work to Doug so he can follow up with Dryden to verify system is working and all work is completed. GVEA is performing spring climbing inspections,replacing batteries on SVS UPS units.Option to install inverters under general maintenance instead of replacing batteries is being considered. Zoerb reported that MEA staff made several visits to Tower 195 to review the situation and mark the guys with warning signs.Guys are now in water. An aerial patrol in March looked for trees requiring immediate removal.MEA plans on starting scheduled ROW clearing in July and will solicit bids once the FYO9 budget is approved. ACTION:Jim will share prior Insurance Risk Review information with Burke.Zoerb would like the proposed Alaskan Intertie Insurance Risk Review to also include a review of the strength of the insurer. Dryden &Larue has submitted a $64K proposal to come up with options and develop design and construction specs for Tower 195 repairs.Action:Jim to initiate work.(Zoerb noted that he isn't in position to speak for AEG&T on this matter.) Structures 274 &297 are being monitored and no work is scheduled for FY08 Reviewed FYO9 Budget line item by line item Action:Zoerb to check on status of Snow Depth monitoring equipment purchased in FYO7. Zoerb noted that the budgeted FY09 landing pad work will be at an MEA owned tower and will be comprised of hand clearing a site to provide a mobilization point.Henri raised concerns since the tower is an MEA tower contracted out for intertie.However all parties agreed having a mobilization point will benefit the Intertie as a whole. SVC work is under review.A legislative request in excess of $8,000,000 has been submitted. Future item -replace relays,but not in FYO9 Henri noted FYO9 projections are based on not having gas restriction curtailments The final proposed budget of $2,526,817 with MITCR rates of $0.00438/kwh Energy and $2.98/kwh Capacity is to be forwarded to IOC for review and approval at the April 17"meeting in Fairbanks. Date time next meeting to be determined later this fall Adjournment at 3:32 pm t In-house work paper Intertie Operating Committee Budget Subcommittee Meeting Notice and Agenda The IOC budget subcommittee is scheduled to meet on Thursday,December 13%,2007 at AIDEA/AEA offices in Anchorage,Alaska at 813 West Northern Lights Blvd.The meeting is scheduled for 10:00 AM and is expected to last up to 3 hours. Agenda 1.Introduction of members 2.Approval of agenda and minutes 3.Old Business a.General discussion of maintenance activities since last meeting, and review of budget status for FY08. b.Status of earlier budget issues i.SVC Upgrades (Static VAR Compensators ii.Structure 692 Foundation Adequacy iii.Structure 274and 297 iv.Insurance Risk Review 4.New business a.FYO9 budget assembly b.Update of SVC budget estimate c.Review of financing for R and R funds -four dam pool project (Mr. Dave Carlson and Mr.Ed Williams) d.Review of AIDEA/AEA provided funding documents 5.Action on the FYO9 budget 6.Other matters 7.Date and time for next meeting 8.Adjournment AIDEA -AEA ALASKA INTERTIE OPERATING COMMITTEE (IOC) Thursday July 26,2007 The IOC met this date at the AIDEA/AEA complex on Arctic Blvd,Anchorage,AK. Present: Henri Dale Golden Valley Electric Association Mark Peery Homer Electric Associations (AEG&T/HEA) James Strandberg Alaska Energy Authority Donald Zoerb Matanuska Electric Association (AEGSTIMEA)[]Chugach Electric Association []Municipal Light and Power Visitors: Del Larue Dryden &Larue Shelly Schmitt Chugach Electric om ae Shellie Helton Alaska Energy Authority .<-3 Terence Cato Alaska Industrial Peveropment &Export Authory,The meeting was called to order at 10:045 a.m. |.Prior meeting minutes were adopted as submitted with MEA/AEG&T abstainingA.January 18,2007 Meeting Minutes (AMLP)©B.April 19,2007 Meeting Minutes (GVEA)*..=,Il.Agenda was modified to include the Snow Load Monitoring System (SLMS)Communications and Static Var (SVC)issues.Introduced Mr.Donald W.Zoerb whoreplacedFrankBettineontheIOCfor.MENA GST)} Ill.Committee reports and correspondence 5 A.Dispatch SubcommitteeB.Reliability/Protection Subcommittee has not met,however,the IOC Quarterly_feliability report (disturbance report for Jan-Mar)was distributed for reviewedandeventswerediscussed.Henri Dale will write a report to coordinate the input*°from all three utilities regarding the Jan 3 outage.Cc.Machine Ratings Subcommittee has not met and needs a new chairman SBD,_SCADA/Metering/Communications Subcommittee needs to meet and include"AEA staffin resolving communications and contracting issues.ES-Maintenance Subcommittee met about a month ago.Per Charlie (via phone) items discussed included converting the SLMS communications from analog todigital;the need for substation fence specs prior to contracting;movement on tower 690;two towers listing on Curry Ridge;and the SVC's issues. F.Budget Subcommittee met and adopted the draft FYO9 budget.The secondary oil containment project may not need to be performed since the new regulation requiring this action were not adopted.Henri Dale to review this issue. G.Intertie Status Report,Doug mentioned problems with Teeland SVC to be discussed during the work session. H.No communications were received IV.No visitor's comments related to items on agenda V.No Recess Vi.Work Session A.Dispatch Subcommittee to be discussed next meeting. B.Reliability/Protection Subcommittee Sy, 1.Discussed tie relaying out "A”phase to ground at same locations with approximately same fault current.MEA has replaced 76 &78 strings and has a helicopter crew out to looking at part of the line and may need climbing inspections to locate problem.Discussion ensued regarding algorithms used to locate the fault.CEA will research issue to help with fault locating.Henri wants to patrol the whole line via helicopter prior to initiating climbing inspections which might require the line to be taken down. 2.CEA wants to know how PSS/E model is being updated since Alice Mullins quit and is no longer maintaining it.CEA wants a new IOC subcommittee to deal with the issue railbelt wide;however,MEA wants to limit IOC involvement to the operating agreement language.Henri suggested that the FY09 budget contain a line item to set aside funds to pay for the lOC'sshareofthePSS/E annual costs.=.C.Machine Ratings Subcommittee-Kestrel completed testing at North Pole andwillproduceareportwithinthenextmonthortwo.Chairman requests utilities to update their machine data on the data book webpage,_D.SCADA/Metering/Communications Subcommittee -ee,1.SLMS analog communications service terminates October 2007 due toaFederalMandate.Dryden &LaRue submitteda proposal to investigate thealternativecommunicationdigital,radio,and land line options available tocontinuedatagatheringandmonitoringfromtheexistingSLMS.IOC voted unanimously to authorize AEA to issue an NTP to Dryden &LaRue to research options.This will be an authorized unbudgeted expense in FY08. Terence Cato,AIDEA/AEA Telecom,will assist and provide test samples. 2.Jim Strandberg requests that the committee look into terminating use of thestate's communication services and procuring alternate services included SLMS communication services,via one consolidated and secure package.Security issues,power issues (batteries etc)and circuit reliability were __discussed.The Chairman will request the subcommittee to meet and proposearesolution..-Maintenance Subcommittee meeting minutes were passed out.:1.Henri to send e-mail about specs for MEA's marker balls.Some high wireeSworkwillneedtobecontractedoutduetotechnicalhelicopterworkissues."2.Tower 692 and the Cantwell fence are in process.Tower 692 will probably »,need to be contracted out. 3..CEA wants someone to look at the wire stored up in the yard. 4.CEA to distribute SVC study and related maintenance,repair and testing histories.CEA feels there are immanent problems with the Teeland SVC technology since it is difficult to maintain and repair due to lack of qualified staff,out of date specs,and lack of replacement parts.The thyristers are hard to repair and replace and parts are not interchangeable between substations. CEA suggested shutting down Teeland SVC until problem is located and fixed.Jim wants AEA and utilities to come to agreement regarding situation and required actions.CEA wants to initiate executive review.Zoerb is concerned about IOC's limited authority to make capital commitments.CEA will draft IOC notice regarding technical problem,options and estimated costs to fix which Jim will bump upstairs at AEA. 5.The Frequency (load shedding)Study is budgeted in FY08 for $60,000; project oversight needs to be assigned.The new Bradley Hydro governor, GVEA additions,and CEA control replacements have affected the model so it F. G. needs to be updated as a whole.Henri will talk to Doug about setting up a new modeling committee and requests utilities designate participants and/or information contacts. Budget Subcommittee -FY09 template was distributed and the chair will request that the subcommittee flesh out the budget by late fall.It was noted that GVEA will not have usage numbers until spring 2008. Upgrade/Extension of Intertie to Teeland -Anchorage Assembly voted to accept MOA agreement between AEA and ML&P to complete project.Dryden &LaRue prepared the preliminary route selection study;however,they want to step back and do a public process for sight selection and would like a group from the lOC/affected utilities to help with the process.Jim will review the IOC charter to see what the IOC's responsibility is to set up a committee,if at all Intertie Insurance Review-CEA will contract for the review with input from JimStrandberg,similar to review work performed for"Bradley Hydro.General Discussion -none : Vil.Formal Operating Committee Actions/Recommendation -motion for Dryden &LaRue tostudyandprovidereplacementoptionsforSLMScommunications:Carried unanimously.VIN.Subcommittee Assignments -.esDispatchSubcommittee*SeReliability/Protection Subcommittee to meet and elect chair.aMachineRatingsSubcommitteetomeet,elect chair and update unit book withnewunits.SCADA/Metering/Communications Subcommittee to meet and discusscommunicationneeds._Maintenance Subcommittee to draft executive SVC.summary.(Henry will forwardinformationtoMEAregardingmarkerballreplacements.)Budget Subcommittee to flesh out FYO9 budget.©Other:"=be1._Requested utilities assign representatives to new committee to review studies."2.Henri to review need for secondary containment._»3."Routing of Teeland extension will be revisited via public process."4.Once executive SVC Thyrister study is distributed member are to discuss implications with individual utility managements.IX,Next Meeting to be at CEA Headquarters complex on October 18,2007 at 10:00.X.Adjournmentat 1:35 p.m. 1(3) Copy to Urban Strandberg,ABB Huntley &Associates Attn:Chuck Huntley Anchorage,AK Dealt with by Date Our reference Daniel Martinez,ABB Raleigh,NC OC 7383 US 08/29/2007 Price indication for the upgrade of the GE supplied SVCs in Alaska ABB proposes a replacement of the following equipment for the upgrade of these SVCs;the price estimate is made for 3 different alternatives. Scope: Alternative 1:Control upgrade only in one SVC Q Control system -MACH2 -including: o HMI o Integrated Transient Fault Recorder (TFR) o Interface to existing and remaining GE thyristor valve Alternative 2:Control,thyristor valve and cooling system uperade in one SVC Q Control system -MACH2-including: o HMI o Integrated Transient Fault Recorder (TFR) Q TCR valve Q Cooling system (pump unit and cooling towers) Alternative 3:Control upgrade only,in three SVC Q Control system -MACH2-including: o HMI o Integrated Transient Fault Recorder (TFR) o Interface to existing and remaining GE thyristor valves ABB and international standards (IEC)apply to the equipment above. ABB Inc. Postal &Visiting Address ABB Inc. Telephone E-mail +1919 807 8289 daniel.martinez@us.abb.com 940 Main Campus Dr,Suite 300 ='Telefax http Raleigh,NC 27606 +1919 807 5771 www.abb.com/FACTS 2(3) Our ref:OC 7383 US The scope for the alternatives also includes:OoooOAll engineering for the equipment included in the scope of supply Routine tests according to international standards Supervision of installation of new equipment Commissioning of installed equipment 3 days of on site training during commissioning ABB also assumes the following: Q The equipment listed above will substitute the existing equipment with equal functionality as today's equipment. Q Noresponsibility is taken by ABB regarding the functionality of the existing equipment. Q Re-commissioning of original (old)equipment is not included in the scope. O ABB assumes that the existing auxiliary services are sufficient and can be re-used. Q Noresponsibility is taken by ABB for dismantled equipment. Transportation to warehouse,or other place outside the substation area,is not included. Q Operation and/or indication of circuit breakers and disconnectors on the transformer high voltage side remain the same after the modernization as prior. Q Cables in the SVC area are included in the scope,cables outside the SVC area (to circuit breakers/disconnectors etc)are however not included. OQ ABB submits new documentation for the equipment included in the scope of supply.Alteration in existing documentation is not included. Warranty: One year of warranty is included Price indication: Price indication for the alternatives,equipment delivered CIF to site. Alternative 1:$1,000,000.00 USD Alternative 2:$1,500,000.00 USD Alternative 3:$2,600,000.00 USD 3(3) Our ref:OC 7383 US Payment conditions: 20 %Down payment 20 %Against delivery of preliminary documents 50 %CIF port of import 10 %PAC Commercial conditions: "ABB Inc.General Terms and Conditions of Sale -PSG After Sales”shall apply. Delivery time: Approximately 12 months (definite time schedule will be submitted in the tender) Validity: This proposal is not valid for sales.All prices are indicative and subject of change due to the extent of the scope. Confidentiality: The contents of ABB's Proposal (including prices and all commercial and technical information)are proprietary to ABB Inc.and its affiliates in the ABB Group.These contents should not be disclosed to any third part or otherwise used by the Customer for any purpose other than evaluation of this Proposal or in Contract negotiations with ABB. If you have any doubts or questions regarding this budgetary proposal,please do not hesitate to contact us. Yours sincerely, Daniel Martinez ABB Inc. Grid Systems NAM /After Sales Power Systems Division Copy to Urban Strandberg,ABB Huntley &Associates Attn:Chuck Huntley Anchorage,AK Dealt with by Date Our reference Daniel Martinez,ABB Raleigh,NC OC 7383 US 08/29/2007 Price indication for the upgrade of the GE supplied SVCs in Alaska ABB proposes a replacement of the following equipment for the upgrade of these SVCs;the price estimate ts made for 3 different alternatives. Scope: Alternative 1:Control uperade only in one SVC Q Control system -MACH2 -including: o HMI o Integrated Transient Fault Recorder (TFR) o Interface to existing and remaining GE thyristor valve Alternative 2:Control,thyristor valve and cooling system upgrade in one SVC Q Control system -MACH2 -including: o HMI o Integrated Transient Fault Recorder (TFR) Qa TCR valve Q Cooling system (pump unit and cooling towers) Alternative 3:Control upgrade only,in three SVC Q Control system -MACH?-including: o HMI o Integrated Transient Fault Recorder (TFR) o Interface to existing and remaining GE thyristor valves ABB and international standards (IEC)apply to the equipment above. ABB Inc. Postal &Visiting Address Telephone E-mail ABB Inc.+1919 807 8289 daniel.martinez@us.abb.com 940 Main Campus Dr,Suite 300 =Telefax http Raleigh,NC 27606 +1919 807 5771 www.abb.com/FACTS 2(3) Our ref:OC 7383 US The scope for the alternatives also includes: Q oooO0All engineering for the equipment included in the scope of supply Routine tests according to international standards Supervision of installation of new equipment Commissioning of installed equipment 3 days of on site training during commissioning ABB also assumes the following: Q =The equipment listed above will substitute the existing equipment with equal functionality as today's equipment. Q No responsibility is taken by ABB regarding the functionality of the existing equipment. Q Re-commissioning of original (old)equipment is not included in the scope. Q_ABB assumes that the existing auxiliary services are sufficient and can be re-used. Q No responsibility is taken by ABB for dismantled equipment. Transportation to warehouse,or other place outside the substation area,is not included, Q Operation and/or indication of circuit breakers and disconnectors on the transformer high voltage side remain the same after the modernization as prior. Q Cables in the SVC area are included in the scope,cables outside the SVC area (to circuit breakers/disconnectors etc)are however not included. Q ABB submits new documentation for the equipment included in the scope of supply.Alteration in existing documentation is not included. Warranty: One year of warranty is included Price indication: Price indication for the alternatives,equipment delivered CIF to site. Alternative 1:$1,000,000.00 USD Alternative 2:$1,500,000.00 USD Alternative 3:$2,600,000.00 USD 3(3) Our ref:OC 7383 US Payment conditions: 20 %Down payment 20 %Against delivery of preliminary documents 50 %CIF port of import 10 %PAC Commercial conditions: "ABB Inc.General Terms and Conditions of Sale -PSG After Sales”shall apply. Delivery time: Approximately 12 months (definite time schedule will be submitted in the tender) Validity: This proposal is not valid for sales.All prices are indicative and subject of change due to the extent of the scope. Confidentiality: The contents of ABB's Proposal (including prices and all commercial and technical information)are proprietary to ABB Inc.and its affiliates in the ABB Group.These contents should not be disclosed to any third part or otherwise used by the Customer for any purpose other than evaluation of this Proposal or in Contract negotiations with ABB. If you have any doubts or questions regarding this budgetary proposal,please do not hesitate to contact us. Daniel Martinez t ABB Inc., Grid Systems NAM /After Sales Power Systems Division James Strandberg From:James Strandberg Sent:Saturday,January 12,2008 1:40 PM To:'Henri F.Dale" Ce:Karl Reiche;James Hemsath Subject:FW:lIOC Budget Subcomm Minutes &Budget Revision Attachments:12-13-07 meeting minutes.doc;12-13-07 Meeting minute Attachments.pdf;2008 ALASKAN INTERTIE BUDGET amendment.xls Henri, Attached is the package from the Budget Subcommittee meeting that we held on December 13".For your use and distribution to the IOC prior to our meeting this week.The minutes look fine to me. Per the action item in the IOC budget meeting minutes,|have sent an email to Del LaRue requesting cost estimating services for the SVC project.It might be good to have him at the lOC meeting if there are any questions on the matter. lam also understanding the Teeland SVC is currently out of service.May |suggest we have a discussion on the Teeland SVC situation,and how all of the SVCs are presently operating during the meeting? Best regards,Jim Strandberg From:Shellie M.Helton Sent:Tuesday,December 18,2007 2:52 PM To:James Strandberg Subject:IOC Budget Subcomm Minutes &Budget Revision Attached are the draft 12-13-07 IOC Budget Subcommittee meeting minutes plus requested attachments noted in minutes for your review. Also attached is the revised FY08 Intertie Budget Amendment Documents (revised O&M Budget,revised usage projection,revised MITCR). Shellie Helton,Accountant,AIDE A/AEA 907-771-3023 fax:907-771-3044 (<<<<<new numbers effective 12/6/07) shelton@aidea.org |3'- Art Copoulos From:Art Copoulos Sent:Wednesday,June 30,2004 10:45 AM To:hfdale@gvea.com ; Ce:'Chris Rutz';Valorie Walker;Brenda Applegate\on ofSubject:RE:|OC budget Henri, In response to your email below,if the AEA is contracting for communications services,we need follow the state procurement codes and state policy relating to communications and network services (i.e.the current contracts with state telecommunications providers).In other words its not going to be as easy as just hiring a new contractor based on the workdonebytheSCADAsubcommitteeifcontractingunderAEA. Chris Rutz,AIDEA/AEA procurement manager will be at the July 13th IOC Maintenance meeting to discuss contracting for the SVC's under AFA.He could at that time also discuss this issue and if you'd like he can come to the IOC meeting as well. Art aetna Original Message----- From:Henri F.Dale [mailto:hfdale@gvea.COM] Sent:Friday,May 28,2004 3:55 PM To:Art Copoulos Subject:IOC budget Art,I received the minutes from the SCADA subcommittee,in which they looked at communications charges.For budgeting puposes we may want to use the State's fees,but expect to go to something cheaper when the IOC has a chance to review and when physical arangements can be coordinated. Henri Henri F.Dale,P.E. Power Systems Manager Golden Valley Electric Assn. (907)451-5624 907)451-5657 fax wv Art Copoulos From:Henri F.Dale [hfdale@gvea.COM]Sent:Friday,May 28,2004 3:55 PM To:Art Copoulos Subject:JOC budget emerPena Meeting Minutes.Final Telecom April 26,IOC...Xeview-IOC SCADA..; ; ;Art,I received the minutes from the SCADA subcommittee,in which they looked at communications charges.For budgeting puposes we may want to use the State's fees,but expect to go to something cheaper when the IOC has a chance to review and when physical arangements can be coordinated. Henri Henri F.Dale,P.E. Power Systems Manager Golden Valley Electric Assn. (907)451-5624 (907)451-5657 fax .. -. Art Copoulos From:Art Copoulos Sent:Tuesday,June 29,2004 2:34 PM To:'Chris Rutz' Cc:Brian Bjorkquist;Valorie Walker Subject:FW:IOC budget Meeting Minutes Final Telecom April 26,IOC...teview-IOC SCADA..Chris, Brian has asked if we change communications contractors on the Intertie don't we have to go through a public procurement process? Also,if you need technical info call: Paul Johnson Mgr,Telecom/EMS . Chugach Electric Assoc.Inc. (907)762-4447 (907)762-4694 FAX Art catia Original Message----- From:Henri F.Dale [mailto:hfdale@gvea.COM] Sent:Friday,May 28,2004 3:55 PM To:Art Copoulos Subject:IOC budget Art,I received the minutes from the SCADA subcommittee,in which they looked at communications charges.For budgeting puposes we may want to use the State's fees,but expect to go to something cheaper when the IOC has a chance to review and when physical arangements can be coordinated. Henri Henri F.Dale,P.E. Power Systems Manager Golden Valley Electric Assn. (907)451-5624 (907)451-5657 fax sO J 3-3 IOC Budget Subcommittee Meeting 10:25 a.m.December 13,2007 at AEA Board Room Members Present:Henri Dale (GVEA),Doug Hall (ML&P),Bob Day (AEG&T/HEA),James Strandberg (AEA),Burke Wick (CEA),Donald Zoerb (AEG&T/MEA)Visitors Present:Bryan Carey (AEA), Martina Dabo (AEA),Kevin Harper (Black &Veatch),Shellie Helton (AEA) Adopted Agenda (attached)and prior Budget Subcommittee meeting minutes dated 4/12/07 (attached) without material changes.The IOC minutes dated 07/26/07 were also reviewed. Per GVEA,PDC is performing engineering design services for Cantwell Fence project to define fencing requirements and mitigating snow accumulation.Requests for construction bids are to be sent to both Fairbanks and Anchorage. As per the October 25,2007 meeting between the General Managers,AEA and the State AG,the IOC is to update its R&R budget estimates and review capital expenditure financing options.Therefore the Budget Subcommittee is tasked with preparing said cost estimates. Reviewed and discussed the August 29,2007 ABB proposal (attached)and August 1,2006 EPS proposal (attached).A vendor has been located who indicated they could rebuild thyristors.Cooling system options were also discussed. Jim reviewed Motion 2006-8 (attached)to repair the foundations of towers 274 and 297,and replace and or upgrade the SVC system controls,relays and thyristors.Jim wants to identify practical scope of all work required so group can determine amount of required funding.Zoerb notes AEG&T/MEA's previous objection to Motion 2006-8 Martina Dabo informed the committee that a proposed alternate energy wind project in the railbelt area may connect to the intertie,impact its thyristors,and create bi-directional flow. Work on tower foundations is estimated at $650,000 each.The cost would be reduced if both towers are repaired at the same time.Jim would like current estimates to repair tower foundations.Discussion identified numbers,although the numbers may be old Dale believes they are still relevant. A question was raised as to what costs the budget subcommittee can consider.Jim Strandberg read aloud from the Alaska Intertie Agreement Section 8.1.1 which defines costs.The group concluded that per that section it was within their scope to discuss the costs and required capital expenditure work scopes,and provide estimates to the general managers for consideration. ACTION:Jim will contact EPS &Dryden to get current estimates. Dave Carlson,Four Dam Pool Power Agency,joined the meeting at Jim &committee's request to discuss FDPPA's approach to funding R&R and capital issues.FDPPA forecasts future requirements to capitalize an R&R fund,which is currently a 10 million reserve.Future funding R&R requirements levelizes annual costs to rate base. C:\Documents and Settings\jstrandberg\Local Settings\Temporary Internet Files\Content.Outlook\BEGO0QF24\12-13-07 meeting minutes.doc ACTION:Zoerb to check on status of Snow load Depth monitoring project. Motion passed to add $250,000 FY08 budget line item to upgrade SLMS communications from analog to digital.Work to be performed by Dryden &LaRue via GVEA contract and billed back to AEA.Contract is for time and materials and includes helicopter services. Motion passed to delete Budget to Date column from Budget Status Report.The column is not useful since costs are variable throughout the year. Discussed FERC 571 MEA Southern Maintenance has a $100,000 budget and has incurred costs totaling $145,000 during the period of July,August,and September.Zoerb indicated that expenditures to date related to flash over and difficulty identifying and remedying the problem that was traced to an osprey nest a Susitna river crossing.Fish &Wildlife would not let nest be removed until nest was naturally vacated in October.The nest was removed and it was determined that the nest was anchored to the installed bird deterrents.The nest was on an MEA owned site,however MEA feels it was an extraordinary maintenance expense to maintain the intertie as a whole in a fully functional state.Group would like to see extraordinary line item for this event.Motion passed to add $180,000 FY08 budget line item for extraordinary maintenance(bird event). Due to the afore mentioned event,GVEA requests its FY08 usage projections be reduced to 400,000 MWH in total (July -Oct projection rounded down to actuals and Nov -Feb projections reduced to 30,000 MWH each). Motionpassed to revise Budget,Usage Projects,and MITCR for Budget Subcommittee review prior to submittal to IOC for adoption.The new rates are to be effective with December billings. Motion passed to forward capital expenditure cost estimate of $10,000,000 to Valorie Walker to rework finance numbers for General Managers with a recommended useful life of 15 years. Adjourn 2:05pm C:\Documents and Settings\jstrandberg\Local Settings\Temporary Internet Files\Content.Outlook\BE60QF24\12-13-07 meeting minutes.doc x '4 James Strandberg _ From:Sara Fisher-Goad Sent:Tuesday,April 08,2008 5:34 PM To:James Hemsath;James Strandberg Subject:FW:Canada's portion of the AK-BC Intertie and some insights Attachments:pat1637945452 From:Andrews,Brian C (DOR)[mailto:brian.andrews@alaska.gov] Sent:Wed 4/2/2008 1:12 PM To:Sara Fisher-Goad Cc:Patrick Galvin Subject:FW:Canada's portion of the AK-BC Intertie and some insights Ata minimum we need to respond to Mr.Mitchell's comments below,but we may want to make this an AEA/AIDEA board matter.Your thoughts and comments,as always,are welcome. Best Regards, Brian C Andrews,CIMA Deputy Commissioner of Revenue/Treasury From:Duff Mitchell [mailto:duff.mitchell@thomasbayhydro.com] Sent:Wednesday,April 02,2008 12:43 PM To:Haagenson,Steven H (AIDEA) Cc:Balash,Joseph R (GOV);Hanrahan,Jo Ellen (GOV);Percy Frisby; Andrews,Brian C (DOR);Menzies,Malcolm A (DOT);Notti,Emil R (CED); Commissioner,DOT (DOT sponsored);John Winther;John Jensen Subject:Canada's portion of the AK-BC Intertie and some insights Mr.Haagenson, Attached is an article today from the Terrace Standard http://www.bclocalnews.com/bc_north/terracestandard/news/17150006.html Northern Trust press release http://www.nditrust.ca/docs/releases/20080328 Northwest_Powerline.pdf The Canadians have hired an international financial firm,Macquarie Bank,to conduct their NTL study so the study is conducted from a feasibility analysis based on economic criterion,taking a holistic view and not just an engineering viewpoint. This holistic perspective incorporates economic considerations that are useful to justify taxpayer's money and to enable private investment,if .the study warrants.I would suggest a similar approach considered for Alaska projects so that our studied projects can stand on their own financial feet. Therefore future study results would warrant and be worthy of taxpayer involvement and also allows potential private financing that considers economic and social considerations that are in addition to the political 1 v »9 ..-oe ..and engineering perspectives.This is a paradigm shift from past whereby pure earmarks and social subsidization of energy projects and infrastructure was moreless the norm in Alaska. For example,our recent AK-BC Intertie study uses the word "feasibility" in its title,but the consultant clearly adds the disclaimer that the report was "not" a feasibility study in their own cover letter.No economic considerations for economic growth,jobs,tax revenue,energy security or any other benefits were considered in the Hatch study.The study has serious economic shortcomings that Hatch should have been well aware of . "2! as a result of their experience and potential conflicts in other °Delutche covrdiliond projects:1.Oil was pegged in the report at $57.12 even though the market price was then and is now substantially higher,2.electricity was pegged that it could only be sold for 6.4 cents although the known and publicly available wholesale price on the market for green renewable energy is 50%higher in BC and the Pacific Northwest;3.at the time of the report the Canadian currency was on par the US dollar,but the report substantially discounted the Canadian currency.All three economic variables,if updated to reality would substantially change the study results in favor of supporting the AK-BC Intertie.weluale ew wheller These and many other shortcomings in the Hatch report were brought a Ald Arienee Catt forward by Mr.Bob Loescher and myself in the Kake meeting as demonstrated by the taped recordings of the meeting.For instance there caw bt anraede. was no credence in the report given to Southeast Alaska economic growth, private renewable energy investment infusion,reduction in State PCE payments,the value premium placed on renewable energy in States and BC _ that have renewable portfolio standard requirements,elimination of °Oreginrad Abruetiredieselgenerationandcostsofdieselbackupinconnectedcommunities, sustainable job generation,tax revenues,and service sector economic AK (Make eum backbene- development that would be generated if hundreds of millions of private anprectrunctireinvestmentwasmadeinhighunemploymentSoutheastcommunities.o prurte 'ove In general,the AK-BC Intertie study is not defendable from an economic ' feasibility point of view as viewed froma financial institution,yet 7 aver qproycksthereportwasusedasabasistomakeeconomicdecisionsonfuture AK-BC funding.ak he purpore thedoltinnne, Clearly,legislators,taxpayers and financial institutions that fmance "f energy projects and infrastructure want to know what the financial tase Abele de contlinct trehtore (bottom line)benefits are and that boils down to simple economics.The AK-BC Intertie if evaluated from a financial and economic benefit analysis would produce substantial and common sense documentation that it would create jobs,economic growth and long term energy security for SE Alaska because it would usher in privately financed renewable power projects and spur economic activity.. I would ask that the AEA board consider analyzing the AK-BC Intertie from an economic growth/benefit perspective with some of the remaining funds to determine the potential economic growth and energy security that it would create.A cost effective study conducted from a financial perspective could potentially be a wise investment that would address these salient issues...that the Hatch Acres AK-BC Intertie study did not consider. Another contentious issue brought out by the Hatch report is that certain parties to help justify further funding of the Swan Tyee Intertie used it. i would like to alert you that there is now public information available that the Tyee Lake surplus electrical generation capacity is being rapidly diminished due to household electrical home heating conversions from diesel to electricity.High oil prices have disrupted the study's conclusions that supported the feasibility of the Swan Tyee Intertie. For example,If the communities of Wrangell and Petersburg convert their municipal buildings to electric heat from diesel (the tipping point is between $3.40 to $3.61 a gallon)...the utilization of Tyee Lake could jump to over 85%leaving little energy for communities outside Wrangell and Petersburg such as Ketchikan or the proposed link to Kake. The surplus power that justified the Swan Tyee Line expenditures and the Kake to Petersburg line is therefore rapidly diminishing by the increased electrical utilization trend from Wrangell and Petersburg. Therefore,action is needed now to increase electrical generation to meet the anticipated gap or Wrangell and Petersburg could also begin burning diesel to supplement power in the not too distant future,let alone provide power to other communities. I am concerned because as a Southeasterner,I would not like to see future Southeast Intertie monies to smaller communities cut or heavily scrutinized by Matsu and Railbelt legislators because of the Swan Tyee leg becoming a potential financial failure. Unless KPU and the FDPPA are willing to cover all shortcomings and operating expenses of the Swan Tyee risk,any economic failure could politically hurt future funding and consideration for Southeast Intertie expansions to Kake,Hoonah,Sitka,and Angoon. By the time our Thomas Bay Energy Development comes on line,Tyee Lake is projected to be tapped out at 100%utilization.I mention this because I do not want the Palin administration to get caught with a multi-million dollar financial problem that could have been avoided if additional proposed power projects could come on line to send power and offset operating costs on the Swan Tyee line.Although the Hatch study missed many economic considerations,it was only known within the industry that high oil and natural gas prices were creating unprecedented electrical conversions across the country and here in Alaska. Therefore,with this new information I would ask that proactive consideration be given to updating and incorporating this conversion phenomenon into current projects such as the Swan Tyee line and the AK-BC Intertie to stave off any negative consequences that the AEA board and the administration run the risk of having to deal with later. Of course,we believe that our development,the Mahoney Lake development,and other renewable projects would be able to offset the upcoming load imbalance and provide an energy security blanket/local power to all connected communities (and reduce financial risk/exposure to the Swan Tyee Line).We also believe that when our Thomas Bay Energy Development comes on line that it should forever eliminate the need to burn diesel in any connected community except for emergency back up. This economic benefit alone would save each connected community hundreds of thousands of dollars annually that they currently spend on diesel that could be more wisely spent. We also would like to discuss and have the AEA board consider the ability to publicly/privately finance and publicly/privately manage/ operate the AK-BC line removing the risk to the State but providing the benefits to the State and local ratepayers that would benefit from increased energy development and security.As we all know,the majority of publicly directed and financed energy projects and infrastructure have been very costly.Each one of the Four Dams of the Four Dam Pool was exorbitantly more expensive than anticipated. The Canadian BC government requires commercial participation because they have learned that when some private funding is at stake there is more cost oversight with public projects.The bottomline is that the pennies are watched like a hawk and therefore costs do not balloon with contracting irregularities and special interest involvements. 'I would ask that consideration be given to consider politically supporting a scenario for public/private and or private development, right of way utilization and regulatory support that would be necessary to bring the AK-BC line to a reality.Potentially,only excess energy that could not be utilized by local utilities would be sold outside Alaska thereby creating a long term energy security blanket for Southeast Alaska.A connection to the North American grid also provides an import mechanism should a community desire to import cheaper non-renewable generated electricity and sell its higher premium renewable energy...something that Hatch and industry insiders completely understand is worth millions of dollars to local community utilities and power projects but was interestingly missing from the AK-BC Intertie study. I look forward to seeing how things progress and how you and the AEA board work to find solutions and energy plans that incorporate the dynamic changes occuring in the electrical energy sector and our regional needs. Best regards, Duff Duff W.Mitchell Business Development Director Cascade Creek,LLC Box 23000 Juneau,AK 99802 Cell Phone 907-723-2481 ph 907-586-3333,fax 907-586-4444 Alaskans First...Renewable Energy is Forever. The information in this email (and any attachments hereto)is confidential.If you are not the intended recipient,you must not use or disseminate the information.If you have received this email in error, please immediately notify me by "Reply"command and permanently delete the original and any copies or printouts thereof. In-house work paper Intertie Operating Committee Budget Subcommittee Meeting Notice and Agenda The IOC budget subcommittee is scheduled to meet on Thursday,April 10%, 2008 at AIDEA/AEA offices in Anchorage,Alaska at 813 West Northern Lights Blvd.The meeting is scheduled for 1:30 PM and is expected to last up to 3 hours. Agenda 1.Introduction of members 2.Approval of agenda and minutes 3.Old Business a.General discussion of maintenance activities since last meeting, and review of budget status for FY08. b.Status of earlier budgetissuesi.SVC Upgrades (Static VAR Compensators)ii.Structure 692 Foundation Adequacy iii.Structure 274and 297 iv.Cantwell Fence v.Insurance Risk Review vi.Under-frequency study vii.SLMS upgrade viii.Tower 195 project 4.New business a.FYO9 budget assembly | b.Update of SVC budget estimate c.Review of AIDEA/AEA provided funding documents 5.Action on the FY09 budget 6.Other matters Dawerneestim ccnamaaney 7.Date and time for next meeting 8.Adjournment AIDEA -AEA IOC Budget Subcommittee Meeting 10:25 a.m.December 13,2007 at AEA Board Room Members Present:Henri Dale (GVEA),Doug Hall (ML&P),Bob Day (AEG&T/HEA),James Strandberg (AEA),Burke Wick (CEA),Donald Zoerb (AEG&T/MEA)Visitors Present:Bryan Carey (AEA), Martina Dabo (AEA),Kevin Harper (Black &Veatch),Shellie Helton (AEA) Adopted Agenda (attached)and prior Budget Subcommittee meeting minutes dated 4/12/07 (attached) without material changes.The IOC minutes dated 07/26/07 were also reviewed. Per GVEA,PDC is performing engineering design services for Cantwell Fence project to define fencing requirements and mitigating snow accumulation.Requests for construction bids are to be sent to both Fairbanks and Anchorage.; As per the October 25,2007 meeting between the General Managers,AEA and the State AG,the IOC is to update its R&R budget estimates and review capital expenditure financing options.Therefore the Budget Subcommittee is tasked with preparing said cost estimates. Reviewed and discussed the August 29,2007 ABB proposal (attached)and August 1,2006 EPS proposal (attached).A vendor has been located who indicated they could rebuild thyristors.Cooling system options were also discussed. Jim reviewed Motion 2006-8 (attached)to repair the foundations of towers 274 and 297,and replace and or upgrade the SVC system controls,relays and thyristors.Jim wants to identify practical scope of all work required so group can determine amount of required funding.Zoerb notes AEG&T/MEA's previous objection to Motion 2006-8 Martina Dabo informed the committee that a proposed alternate energy wind project in the railbelt area may connect to the intertie,impact its thyristors,and create bi-directional flow. Work on tower foundations is estimated at $650,000 each.The cost would be reduced if both towers are repaired at the same time.Jim would like current estimates to repair tower foundations.Discussion identified numbers,although the numbers may be old Dale believes they are still relevant. A question was raised as to what costs the budget subcommittee can consider.Jim Strandberg read aloudfromtheAlaskaIntertieAgreementSection8.1.1 which defines costs.The group concluded that per that section it was within their scope to discuss the costs and required capital expenditure work scopes,and provide estimates to the general managers for consideration. ACTION:Jim will contact EPS &Dryden to get current estimates. Dave Carlson,Four Dam Pool Power Agency,joined the meeting at Jim &committee's request to discuss FDPPA's approach to funding R&R and capital issues.FDPPA forecasts future requirements to capitalize an R&R fund,which is currently a 10 million reserve.Future funding R&R requirements levelizes annual costs to rate base. H:\AEA Projects\Alaska Intertie Project\Meeting Minutes\12-13-07 meeting minutes.doc ACTION:Zoerb to check on status of Snow load Depth monitoring project. Motion passed to add $250,000 FY08 budget line item to upgrade SLMS communications from analog to digital.Work to be performed by Dryden &LaRue via GVEA contract and billed back to AEA.Contract is for time and materials and includes helicopter services. Motion passed to delete Budget to Date column from Budget Status Report.The column is not © useful since costs are variable throughout the year. Discussed FERC 571 MEA Southern Maintenance has a $100,000 budget and has incurred costs totaling $145,000 during the period of July,August,and September.Zoerb indicated that expenditures to date related to flash over and difficulty identifying and remedying the problem that was traced to an osprey nest a Susitna river crossing.Fish &Wildlife would not let nest be removed until nest was naturally vacated in October.The nest was removed and it was determined that the nest was anchored to the installed bird deterrents.The nest was on an MEA owned site,however MEA feels it was an extraordinary maintenance expense to maintain the intertie as a whole in a fully functional state.Group would like to see extraordinary line item for this event.Motion passed to add $180,000 FY08 budget line item for extraordinary maintenance (bird event). Due to the afore mentioned event,GVEA requests its FY08 usage projectionsbe reduced to 400.000 MWH in total July -Oct projection rounded down to actuals and Nov -Feb projections reduced to 30,000 MWH each). Motion passed to revise Budget,Usage Projects,and MITCR for Budget Subcommittee review prior to submittal to IOC for adoption.The new rates are to be effective with December billings.- Motion passed to forward capital expenditure cost estimate of $10,000,000 to Valorie Walker to rework finance numbers for General Managers with a recommended useful life of 15 years. Adjourn 2:05pm H:\AEA Projects\Alaska intertie Project\Meeting Minutes\12-13-07 meeting minutes.doc ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT , 7 .OTALMWHACTUALUSAGEJul-07 Aug-07 Sep-07 .Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TMWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH36,841 35,443 49,585_299,62834,042 |10,868 ; 414,718... GVEA 32,914 20,108 20,456 30,372 40,868 -".¢VARIANCE.”>(45,000):(100,374)CURRENT VARIAI 00374)Sa,«YTD VARIANCE: MLPCURRENT VARIANCE 7="YTD VARIANCE 9°02 CEACURRENT VARIANCE"YTD.VARIANCE©" AEGT ;"CURRENT VARIANCE «"YTD VARIANCE:° 49,585 :TOTAL ;35.4443'CURRENTVARIANCE:_YTD VARIANCE Jan-08 TOTAL "a 50 GVEA Energy Charges $95,780 $58,514 -$59,527 $88,383 $118,926 $171,912 $180,997 $178,987 $250,404 $§-$-$-$1,203,430 GVEA Capacity Charges $147,700 $35,700 $183,400 YTD Actuals $243,480 $301,995 $361,521 $449,904 $568,829 $740,741 $957,439 $1,136,426 $1,386,830 7386,830 $1,386,830 $1,386,830 $1,386 830_EO Variances enoe S18h80 2 $194 $2 139§3,120,226 '$-118,130,:$(109,120).$°2(311,120}$.,(638,370): MLP Energy Charges $-$-$-$+§$=§$-§-§$-§-§-§-§$- MLP Capacity Charges $40,301 $9,744 :$50,042 YTD Actuals $40,301 $40,301 $40,301 $$50,042 $50,042 $60,042 $50,042 YTD Variance,”2.:Sorat SE ny 82 :7 ;: a CEA Energy Charges $262 $573 $-§$-§-§-§-$-§-$-§-§$- CEA Capacity Charges $58,025 $14,025 YTD Actuals 58,287 $68,860 $58,860 $58,860 S 58,860 $58,860 $72,885 $72,885 $72,885 $72,885 $72,885 $72,885_YTD.Variance+.:"B35 -..$a :$8355.94.)-835%6.$0835$e B38:$27 835 AEG&T Energy Charges $- §-§-§-$-§-§-§-§-§-§$-§- AEG&T Capacity Charges $49,374 $11,934 YTD Actuals $49,374 $49,374 $49,374 $48,374 =-49,374 $49,374 $61,308 $61,308 $61,308 $61,308 $61,308 $61,308OYTOVariance.ok Set £ar (291)/$(12,730)$1,304).$(1,301).(1,304)..$524,301).$.(4301)$..(1,301).5 TOTAL ENERGY CHARGES $96,042 $59,088 $59,527 $88,383 $118,926 $171,912 $180,997 $178,987 $250,404 $-$-$:$1,204,265 TOTAL CAPACITY CHARGES $295,400 $-§--§-§-=§-_$71,400 $- $-_$-_$-_$-__$386,800 YTD TOTAL REVENUES $391,442 $450,529 $510,056 $598,439 $717,365 $889,277 $1,141,674 $1,320,661 $4,571,065 $1,571,065 $1,571,065 $1,571,065 $1,571,065 YTD TOTAL VARIANCE 0 $8,742 $2.9,629 .:$'210,9567$.|12,039:$».°43,374°$92,273.$119,760"$117,664...$:»,(108,586):$--(311,586)$<(538,836): H:allishelton\PJ22050 1-AFRFYOS\IFYO8AKIXLS -Rev Var 03-31-08 4710/2008 ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT . MWH PROJECTIONS Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TOTAL.MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH yVEA30,000 20,000 20,000 30,000 30,000 30,000 __30,000 30,000 80,000 45,000.40,000 45,000._400,000_yre CONES TA:,30,0007),60,000 °-2,°70,000.-',100,000°.”130,000"*.160,000 220,000,...-.270,000;:..,:315,000.”,*355,000:400,002YTDS. Le,30,000. Te 30,000) _30,400490,30 BUDGETED REVENUES _,Jun-08 TOTAL 5.050"Jul-07_A g-07<=ee eee Dec-07 Jan-08 Feb-082910":$55 2:910 6.050 $5,050".$5,050"$BudgetedRatepefMWH .. GVEA Energy Charges $87,300 $58,200 $58,200 $87,300 $87,300 $151,500 $151,500 $151,500 $252,500 $227,250 $202,000 $227,250 $1,741,800 pacityCharges,$147,700SATE$2 235,000$°°293,200:-§"357,400.°§(016,200.§"1,268,700 ”$4,495,950.$-'1,697,950|$.1,925,200. MLP Energy Charges $-$-$- MLP Capacity Charges $_40,301YTD"4 CEA Energy Charges $-$$-$-$-$-$$-+-$-+ $$-§-$-§$- CEA CapacityCharges =$58,025 7 3 14,025"NTC vr!$58,025"$°$8,025 -$58,025:oo S$:72,050 2,050,"$°72,050 $:°72,050 $72,050".$72.0 AEG&T Energy Charges $-§-§-§-$291 $505 $505 $-§-§$-§$- AEG&T CapacityCharges $49974»YTD:$::49,374_$49,374"$49,374:67609 $62,608" TOTAL ENERGY CHARGES $87,300 $58,200 $58,200 $87,300 $87,591 $152,005 $152,005 $161,500 $252,500 $227,250 $202,000 $-7 $71,400 $-$-$-§- 673,001,$897,396."$:4,049,461.".$1,200,901'$4,453,401.'$1,680,1,882,651-$2,109,901. H:\al\shelton\PJ220501-AFI\FYO8\FYO8AKI.XLS -Rev Var 03-31-08 4/10/2008 ITF ALASKA INTERTIE TRUST FUND Key Bank Trust Acct #0698481 STATUS REPORT AS OF 03/31/08 BEGINNING BALANCE AS OF 12/31/07 $36,206.55 INTEREST $239.11 DISBURSEMENTS $- ENDING BALANCE AS OF 03/31/08 $36,445.66 History:; The ITF Alaska Intertie Svcs Fund was setup to account for a trust account that AIDEA is custodian of for the benefit of the Utilities involved in the Alaska.Intertie Project.This Trust Account is for the purpose of paying for expenses related to the Static Var System.The account is held at Key Bank.Any disbursements will be requested from the operating committee or the Utilities.No trust fee is charge to the account because AIDEA has a blanket trust fee agreement with Key Bank for ail accounts held by Key Bank.This trust fund will last as long as the operating committee requires it. ITF-AkIntertieSvcFund.xls 02-29-08 James Strandberg From:Shellie M.Helton Sent:Thursday,April 10,2008 10:48 AM To:'Burke Wick';'dwzoerb@matanuska.com';'Peery,Mark';'hfdale@gvea.COM'; "'HallDW @ci.anchorage.ak.us';'OriEA@ci.anchorage.ak.us';James Strandberg;Brenda Applegate Subject:03/31/08 AEA Alaskan Intertie FY08 Budget Reports Attachments:AK Intertie Budget Rpts 03-31-08.pdf Attached are the FY08 AK Intertie Revenue Variance and Budget Reports as of 03/31/08.All revenues and expenditures are through 03/31/08,unless noted otherwise.The SVC (Static Var Sys)Trust Fund Report as of 03/31/08 1s also attached. Items of interest: YTD Revenues exceed YTD projections by $118,000 at 3/31/08. YTD Revenues exceed YTD expenses by $589,000 at 3/31/08. Standard FERC 570 Station Equipment Maintenance and FERC 571 Overhead Line Maintenance expenses are currently under budget. FERC 924 Annual Property Insurance,General Liability and MEA Non Owned Aviation Insurance costs came in under budget. No costs have been submitted for the following items.If you know of costs that should have been billed please contact me. FERC 566 SLMS Battery Change out,Railbelt Load Shed Study FERC 570 Cantwell Secondary Oil Containment FERC 571 Southern ROW Clearing FERC 924 Insurance Risk Assessments A line item has been added to FERC 571 for the Tower 195 Repair,funding to be diverted from the delayed Tower 692 repair project. Hard copies to be available at 4/10 meeting. Shellie Helton,/A\ccountant Alaska Industrial Development and Export Authority ANaska Energy Authority 8145 West Northern Lights Blvd Anchorage,AK 22503 907-771-3024 fax 907-771-3044 shelton@aidea.org In-house work paper Intertie Operating Committee Budget Subcommittee Meeting Notice and Agenda The IOC budget subcommittee is scheduled to meet on Thursday,April 10%, 2008 at AIDEA/AEA offices in Anchorage,Alaska at 813 West Northern LightsBlvd.The meeting is scheduled for 1:30 PM and is expected to last up to 3 hours. Agenda 1.Introduction of members 2.Approval of agenda and minutes 3.Old Business a.General discussion of maintenance activities since last meeting, and review of budget status for FY08. b.Status of earlier budget issues i.SVC Upgrades (Static VAR Compensators ii.Structure 692 Foundation Adequacy iii.Structure 274and 297 iv.Cantwell Fence v.Insurance Risk Review vi.Under-frequency study vii.SLMS upgrade viii.Tower 195 project 4.New business a.FYO9 budget assembly b.Update of SVC budget estimate c.Review of AIDEA/AEA provided funding documents 5.Action on the FY09 budget 6.Other matters 7.Date and time for next meeting 8.Adjournment AIDEA -AEA IOC Budget Subcommittee Meeting 10:25 a.m.December 13,2007 at AEA Board Room Members Present:Henri Dale (GVEA),Doug Hall (ML&P),Bob Day (AEG&T/HEA),James Strandberg (AEA),Burke Wick (CEA),Donald Zoerb (AEG&T/MEA)Visitors Present:Bryan Carey (AEA), Martina Dabo (AEA),Kevin Harper (Black &Veatch),Shellie Helton (AEA) Adopted Agenda (attached)and prior Budget Subcommittee meeting minutes dated 4/12/07 (attached) without material changes.The IOC minutes dated 07/26/07 were also reviewed. Per GVEA,PDC is performing engineering design services for Cantwell Fence project to define fencing requirements and mitigating snow accumulation.Requests for construction bids are to be sent to both Fairbanks and Anchorage.; As per the October 25,2007 meeting between the General Managers,AEA and the State AG,the IOC is to update its R&R budget estimates and review capital expenditure financing options.Therefore the Budget Subcommittee is tasked with preparing said cost estimates. Reviewed and discussed the August 29,2007 ABB proposal (attached)and August 1,2006 EPS proposal (attached).A vendor has been located who indicated they could rebuild thyristors.Cooling system options were also discussed. Jim reviewed Motion 2006-8 (attached)to repair the foundations of towers 274 and 297,and replace and or upgrade the SVC system controls,relays and thyristors.Jim wants to identify practical scope of all work required so group can determine amount of required funding.Zoerb notes AEG&T/MEA's previous objection to Motion 2006-8 Martina Dabo informed the committee that a proposed alternate energy wind project in the railbelt area may connect to the intertie,impact its thyristors,and create bi-directional flow. Work on tower foundations is estimated at $650,000 each:The cost would be reduced if both towers aré CO repaired at the same time.Jim would like current estimates to repair tower foundations.Discussion - identified numbers,although the numbers may be old Dale believes they are still relevant. A question was raised as to what costs the budget subcommittee can consider.Jim Strandberg read aloud from the Alaska Intertie Agreement Section 8.1.1 which defines costs.The group concluded that per that section it was within their scope to discuss the costs and required capital expenditure work scopes,and provide estimates to the general managers for consideration. ACTION:Jim will contact EPS &Dryden to get current estimates. Dave Carlson,Four Dam Pool Power Agency,joined the meeting at Jim &committee's request to discuss FDPPA's approach to funding R&R and capital issues.FDPPA forecasts future requirements to capitalize an R&R fund,which is currently a 10 million reserve.Future funding R&R requirements levelizes annual costs to rate base. H:\AEA Projects\Alaska Intertie Project\Meeting Minutes\12-13-07 meeting minutes.doc ACTION:Zoerb to check on status of Snow load Depth monitoring project. Motion passed to add $250,000 FY08 budget line item to upgrade SLMS communications from analog to digital.Work to be performed by Dryden &LaRue via GVEA contract and billed back to AEA.Contract is for time and materials and includes helicopter services. Motion passed to delete Budget to Date column from Budget Status Report.The column is not © useful since costs are variable throughout the year. Discussed FERC 571 MEA Southern Maintenance has a $1 00,000 budget and has incurred costs totaling $145,000 during the period of July,August,and September.Zoerb indicated that expenditures to date related to flash over and difficulty identifying and remedying the problem that was traced to an osprey nest a Susitna river crossing.Fish &Wildlife would not let nest be removed until nest was naturally vacated in October.The nest was removed and it was determined that the nest was anchored to the installed bird deterrents.The nest was on an MEA owned site,however MEA feels it was an extraordinary maintenance expense to maintain the intertie as a whole in a fully functional state.Group would like to see extraordinary line item for this event.Motion passed to add $180,000 FY08 budget line item for extraordinary maintenance (bird event). Due to the afore mentioned event,GVEA requests its FY08 usage projectionsbe reduced to 400,000 MWHin total (July -Oct projection rounded down to actuals and Nov -Feb projections reduced to 30,000 MWH each). Motion passed to revise Budget,Usage Projects,and MITCR for Budget Subcommittee review prior to submittal to IOC for adoption.The new rates are to be effective with December billings. Motion passed to forward capital expenditure cost estimate of $10,000,000 to Valorie Walker to rework finance numbers for General Managers with a recommended useful life of 15 years. Adjourn 2:05pm H:\AEA Projects\Alaska Intertie Project\Meeting Minutes\12-13-07 meeting minutes.doc ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT MWHACTUALUSAGE Jul-07 =Aug-07 -Sep-07 .Oct-07 Nov-07 Dec-O7 Jan-08 Feb-08 =Mar-08 =Apr-08 May-08 Jun-08 TOTALMWHMWHMWHMWHMWHMWHMWHMWHMWHMWHMWHMWHMWH GVEA 32,914 20,108 20,456___-30,372_40,868 34,042 35,841 35,443 49,585CURRENTVARIANCE"2,914Tara "37200 er 4,042 eae aedis)D.VARIANCE iinet : ;i | MLP :--.-----2 --- VID,VARIANCE,5, CEA CURRENT VARIANCE”(D.VARIANCE,«3 AEGT - URRENT VARIANCE”rr T3500D.VARIANCE wie ees,frase TOTAL _ 33,004 20,308 ___20,456___30,372 40,868 ___34,042 _35,841 35,443 49,585 299,916 pias macmeait Diab "eer -v"608700COOy Tasasooo)(100,384) ACTUAL REVENUES Jul-07 Aug-07_Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TOTALBateDelMTecaminveninSoin29Lande9cance9psasine29IanSeen2DNase9a29Io9aan9:089a9-09 ws,ea 9-09 ar 9.55n 5,BOD sg,9 ir 108 ng 9.satan 5-09 cen Dyan 8.05 GVEA Energy Charges $95,780 $58,514 $59,527 $88383 $118,926 $171,912 $180,997 $178,987 $250,404 $-$-$-$1,203,430 GVEA Capacity Charges $147,700 $35,700 $183,400 YTD Actuals $243,480 $301,994 $361,521 $449,904 $568,829 $740,741 $957,439 $1,136,426 $1,386,830 $1,386,830 $1,386,830 $1,386,830 $1,386,830 BNTD.Variance spinsnndaoncnatiiclnS sits 8480 a 9 wins.B 194,oS str O21 ae $assed 19204 nS ein 42,829.28 ind 27,54Lin 9icen 92099.9 se!20,226.:49 sad 18,130 5 $r.109,120).,$(341,120).$3s,(938,370)sirin vaionmmcninacal MLP Energy Charges $-$-$-$-$-$-$-$-$-$-$-$-$: MLP Capacity Charges $40,301 $9,741 $50,042 YTD Actuals $40,301 $40,301 $40,301 $40,301 $40,301 $40,301 $50,042 $50,042 $50,042 $50,042 $50,042 $50,042 $50,042 BesX TDVariance secisanshiceteint®said et sbeiady 9 Busi5 es P.IRS:e Bete,Bailie taal D soaels Riestag,cle (DyTAAYiBach strain 9 dakaetebias.9 sic li ee | CEA Energy Charges $262 $573 $-$-$-$-$-$-$-$-$-$-$835 CEA Capacity Charges $58,025 $14,025 $72,050 YTD Actuals $58,287 $58,860 $58,860 $58,860 $58,860 $58,860 $72,885 $72,885 $72,885 $72,885 $72,885 $72,885 $72,885 ka ¥TD.NMariaNe x.aisisiiicciis si D nite 252 9 stron'835,Sn Disiwis 83 9.ipSavini 835.15,165i B35 as:$s (43,190).«Reais.835,aS:stein 8359 cpa 835..$wit 369 ei 835 3.5 sirniis,835.¢tbtmialedncaiiees AEG&T Energy Charges $-§-§$-§$-§$-§-§-§$-§-$-§-§-§$- AEG&T Capacity Charges $49,374 $11,934 $61,308 YTD Actuals $49,374 $49,374 $49,374 $49,374 $49,374 $49,374 $61,308 $61,308 $61,308 $61,308 $61,308 $61,308 $64,308 BX TD.Variance ji cisisecanin D aatccotetions 9 halebtenale D iia Teak,BP adinsat beweDwe el291ag $12,730)5 $4.(1,301)5 $25 (1,301)2S (1,309)i$se(1,304),.$.sin1901)0 $551,301)cscsicaeioaiusrinsacad TOTAL ENERGY CHARGES $96,042 $59,088 $59,527 $88,383 $118,926 $171,912 $180,997 $178,987 $250,404 $-$-$.$1,204,265 TOTAL CAPACITY CHARGES $295,400 $-$:$:$:$:$71,400 $:$-$:$:$:$366,800 YTD TOTAL REVENUES $391,442 $450,529 $510,056 $598,439 $717,365 $889,277 $1,141,674 $1,320,661 $1,871,065 $1,571,065 $1,571,065 $1,571,065 $1,571,065 B.XTD.TOTAL VARIANCE .pivsittc®ian OTA?5,9 tiie W629 a §circ 0,956.59 ieee 12,039.49 nse 43,374.$rcs (8,419),$5.92273 a $225,119,760,»$soi 17,664,,.8 i,(109,586),$15.(311,586)..$.,(538,836)-secossmerinsiivand 4/10/2008'+\aiNshelton\P J22050 1-AFAFYO8\F YO8AKI.XLS -Rev Var 03-31-08 ALASKA INTERTIE MWH PROJECTIONS ALASKA INTERTIE REVENUE VARIANCE REPORT Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TOTAL MWH MWH MWH MWH MWAH MWH MWH MWH MWH MWH MWH MWH MWH GVEA 30,000 20,000 20,000 30,000 30,000 30,000 30,000 30,000 -50,000 45,000 40,000 45,000 400,000EVIDicecopesspicotoestasBeseeebsc30,000.5,<<,50,¢0007...70,000:.;....100,),000.,,...1330,000s. .160,(,000.,eu 1 90,000.220,,000 att,000...eating 19,000 22...955,000 iccs400,000 ae crarsiadicl MLP ------------- Bo NLD cassie crn eu absooninin edeaciaecacns co ka eowah conchon tatndca ihn sek Pvibckntvveok sacra Paapiwbicssricn cceimlmeasish ote Wicacte anabin”wiied :wn nemen duane ees | CEA ------------- EvID ee ban dake Saat ahi .ne -:"i @ esis Fe eugene ad dan tee =si satiate:3 AEGT 100 100 100 -300ha(RR eee nee MOO 200 00 en 800 800ee 300 nee 00 00,ee FOTAL 30,000 20,000 20,000 30,000 30,100 30,100 30,100 30,000 50,000 45,000 40,000 45,000 400,300.00dosinnnd0000,60,000 5,720,000....100,000.,..130,100....,.160,200...,190,300...220,300...270,300,315,300...385,300,,.400,300,condtinesoa BUDGETED REVENUES Jul-07 Aug--07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 _Jun-08-*TOTALBudgetedRateperMWH,,.....$.;.2.910..9,2,910,$...2.910,,9,,,2.910...$...2.910...$.,.5.050..$...5.050,.$,..5.050,..$....5.050,.$,,,,5.050,.,$..,5.050...$..,.8.050] GVEA Energy Charges $87,300 $58,200 $58,200 $87,300 $87,300 $151,500 $151,500 $151,500 $252,500 $227,250 $202,000 $227,250 $1,741,800 GVEA Capactty Charges _$147,700 $35,700 $183,400F-YTO,...:$.1,295,000.,$.,293,200.$391,400.$,438,700,§.,526,000.$..713,200,$.664,700.,$1,016,200.$1,268,700,$1,495,950.$.,1,697,950,$1,925,200 .$"4.925,200) MLP Energy Charges $-$-$-$-$-$-$-$-$-§$-$-$-$- MLP capac Charges $40,301 _ $9,741 $50,042E-YTD"..nla spuuaan 95,40,301,.9,¢40,301,2,9.--40,301.,9.40,301,,.$,,.40,301,,,$.,50,042,.$50,042..$50,042,.$,,50,042,.$,50,042.$,.50,042,,$..,50,042..$....50,042] CEA Energy Charges $-$-$+$+$-$G$+=$$+¢-§-$-§$-$-$- CEA Capacity Charges _$58,025 pepe eg se sp $14,025 $__72,050EXTDwnmcaeccn0$88,0254,9.,.08,025,,9.;,.58,029 5.9.58,0259 ,58,025.$72,050...$72,050,.$4,7 2,050...$...72,050,.$..72,050...$..,12,050..9..,72,050...9,..,172,050} AEG&T Energy Charges $-$-$-$-$291 $505 $505 $-$-$-$-$-$1,301 AEG&T Capacity Charges $49,374 _.$11,934 .reece gman __.__>__6161,308EVIDcsminsnccscasmatstharr49,374.,$..49,374.,,$.,49,074..5,,49,374...$;,49,665.7 $762,104 $762,609,..§es O26609.$..62,609...$..62,609...62,609»$.,62,609,,$.,62,609] TOTAL ENERGY CHARGES $87,300 $58,200 $58,200 $87,300 $87,591 $152,005 $152,005 $151,500 $252,500 $227,250 $202,000 $227,250 $1,743,101 TOTAL CAPACITY CHARGES $295,400 $-$$-$-$71,400 $-__$$-$-$-$-$366,800 1 eee "nd wid82,100,,,.9.;HAO 9O0T §499.1002a $5.086,400,.$673,991...$..,.897,396,,.9,1,049,401).$F200 9017 ASEM $1,680,651...$1,882,651...SZ TS 80 $3 109,901)rfFetter rite 4:\all\shelton\PJ220501-AFIFYO8\F YO8AKI.XLS -Rev Var 03-31-08 4/10/2008 ALASKA INTERTIE FY08 BUDGET STATUS REPORT REVENUES GVEA ML&P CEA AEG&T INTEREST TOTAL REVENUES EXPENSES FERC 562 -Station Operation Expenses GVEA-substation electricity usage FERC 566 -Miscellaneous transmission expense SCADA &voice circuits (SOA) Cell phone comm.svc for weather monitoring SLMS CELL COMM CHANGEOUT SLMS -Support Contract (03-107#1) SLMS -Battery Changeout(03-107#2) Intertie Ground Safety Patrol(03-108#4) Railbelt Load Shed Study FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad MEA-Talkeetna Storage FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhill GVEA Cantwell Secondary Oil Containment gvea cantwell batteries GVEA -Cantwell Substation Fence CEA Teeland Substation MEA -Douglas substation FERC 571 -Maintenance of overhead lines GVEA Northem Maintenance MEA Southern Maint (incl ground inspect) GVEA-Landing Pads GVEA-Adjust Guys GVEA-Northern ROW clearing GVEA -Repair tower 692 MEA-Landing Pads MEA-Nest Removal (annual maint) MEA Extraordinary Bird Nest event MEA -Repair tower 195 (funding:$64K from Twr 692) MEA-Southern ROW clearing Talkeetna North FERC 920 -AEA Administrative Costs Personal Services,travel and other costs FERC 920 -IOC Administrative Costs IOC Administrative Costs FERC 924 -Property Insurance AF Intertie -Insurance Insurance Risk assessment TOTAL EXPENSE SURPLUS (SHORTAGE) APPROVED 1/17/2008 ACTUALS OVER Budget FY08 Rev 3/31/2008 (UNDER) 4,925,200.00 1,386,829.93 (538,370.07)|capacity plus use §0,042.00 $0,042.00 --[capacity plus use 72,050.00 72,885.17 835.17 [capacity plus use 62,609.00 61,308.00 (1,301.00)capacity plus use -12,884.24 12,884.24 2,109,901.00 1,583,949.34 (525,951.66) 4,000.00 6,916.67 2,916.67 -4,000.00 6,916.67 2,916.67 234,000.00 234,209.32 209.32 [thru 6/08 10,000.00 7,698.71 (2,301.29) 250,000.00 235,917.84 (14,082.16) 60,000.00 18,039.76 (41,960.24){thru 2/08 30,000.00 -(30,000.00) 30,000.00 3,702.71 (26,297.29){thru 1/08 60,000.00 -(60,000.00) 674,000.00 499,568.34 (174,431.66) 400.00 800.02 400.02 thru 6/08 (plus renewal fee) 7,200.00 4,800.00 (2,400.00)fthu 208 7,600.00 5,600.02 (1,999.98) 75,250.00 41,163.88 (34,086.12){thru 2/08 90,000.00 :(90,000.00) 25,000.00 23,068.68 (1,931.32)[thrs 2/08 65,000.00 14,854.28 (80,145.72){thru 2/08 52,000.00 37,516.55 (14,483.45)[thru 10/07 5,000.00 44.66 (4,955.34)[thru 2/08 312,250.00 116,648.05 (195,601.95) 100,000.00 23,202.08 (76,797.92)[thru 2/08 100,000.00 5,089.90 (94,910.10)}thru 2/08 30,000.00 -(30,000.00) 24,000.00 -(24,000.00) 24,000.00 535.00 (23,465.00){thru 2/08 345,000.00 2,465.24 (342,534.76)[thru 2/08 40,000.00 -(10,000.00) 25,000.00 -(25,000.00) 180,000.00 177,248.15 (2,751.85) 12,693.00 12,693.00 [thru 2/08 50,000.00 (50,000.00) 888,000.00 221,233.37 (666,766.63) 75,000.00 42,156.55 (32,843.45) 75,000.00 42,156.55 (32,843.45) 210,000.00 402,619.51 (107,380.49)[thru 6/08 50,000.00 -(50,000.00) 260,000.00 102,619.51 (157,380.49) 2,220,850.00 994,742.51 (1,226,107.49) (110,949.00)§89,206.83 nia FYO8AKI.XLS -Budget 03-31-08 4/10/2008 ITF ALASKA INTERTIE TRUST FUND Key Bank Trust Acct #0698481 STATUS REPORT AS OF 03/31/08 BEGINNING BALANCE AS OF 12/31/07 $36,206.55 INTEREST $239.11 DISBURSEMENTS $- ENDING BALANCE AS OF 03/31/08 S$36,445.66 History: The ITF Alaska Intertie Svcs Fund was setup to account for a trust account that AIDEA is custodian of for the benefit of the Utilities involved in the Alaska Intertie Project.This Trust Account is for the purpose of paying for expenses related to the Static Var System.The account is held at Key Bank.Any disbursements will be requested from the operating committee or the Utilities.No trust fee is charge to the account because AIDEA has a blanket trust fee agreement with Key Bank for all accounts held by Key Bank.This trust fund will last as long as the operating committee requires it. ITF-AkIntertieSvcFund.xls 02-29-08 Dryden éLaRue,IneCONSULTINGENGINEERS March 21,2008 James Strandberg Project Manager Alaska Energy Authority _ 813 W.Northern Lights Blvd. Anchorage,Alaska 99503 Reference:Anchorage/Fairbanks Intertie Proposed Scope of Services -Tower 195 Alternatives Tower 195 on the Anchorage/Fairbanks Intertie is adjacent to the south bank of the Talkeetna River.The river has recently moved to the south and now encompasses the northerly guy anchor of the tower.It is anticipated the river will continue to erode the bank southward and move closer to the tower.The following scope of services is to determine the best option to accommodate this river change and then to develop design and construction specifications for the work. PROPOSED SCOPE OF SERVICES Task1 Alternatives This task will develop reasonable alternatives for the replacement or relocation of Tower 195.Alternatives will be based on the field reconnaissance flight of 2/13/08 when it was determined a passable trail existed to the site from Talkeetna. WorkIncludeds ss” e Identify possible scenarios to accommodate the southerly river movement including: o Tower 195 removal o Tower 195 relocation ; o Relocation or removal of adjacent towers e Identify spare towers or sections that could be used e Prepare budgetary cost estimates of reasonable alternatives e Prepare memorandum of alternatives and present to AEA Deliverables: e Memorandum of alternatives including budgetary cost estimates. 3305 Arctic Bivd.,Suite 201 -Phone (907)349-6653 +Fax (907)522-2534 -Email:office@drydenlarue.com "Alaska Energy Authority March 21,2008 Anchorage/Fairbanks Intertie Tower 195 Page 2 Task 2 Task 3 Task 4 Preliminary Design This task will prepare a preliminary design plan based on the selected alternative of Task 1. Work Included: e Prepare Plan &Profile drawings e Prepare Sag &Tension data e Prepare conceptual tower designs e Prepare conceptual foundation designs Deliverables: e Plan &Profile drawings e Sag &Tension data e Conceptual tower and foundation designs Final Design This task will prepare final designs sufficient for tower procurement if new towers are required.It will also prepare the necessary material specifications. Work Included: e Prepare loading tree documents e Prepare tower configuration drawings e Prepare tower material specifications e Prepare tower bidding documents e Prepare hardware material specifications Deliverables: e Bidding package for new towers e Material specifications for procurement Construction Specifications This task will prepare the construction bid documents including agency stipulations and permits. Work Included: e Prepare construction technical specifications e Prepare bid tabulations e Prepare bid unit descriptions e Obtain permits with construction stipulations Deliverables: e Construction technical specifications e Bid tabulations and descriptions Alaska Energy Authority March 21,2008 Anchorage/Fairbanks Intertie Tower 195 Page 3 e Stream crossing permits e Nationwide wetland permit CLARIFICATIONS: AEA will provide a listing of spare towers and parts. Modifications to the river flow are not included in this scope of work. It is anticipated that no more than two new towers will be required for this design. Construction permitting will be by others Construction bid document boiler-plate will be by others.WPwnNnrSCHEDULE: We anticipate this work will require approximately 10 weeks to complete. COST ESTIMATE: Based on the above scope of services we estimate the cost of our work to be $64,000. Please review the above scope and contact me with any questions. DRYDEN &LARUE,INC. Delbert S.LaRue,P.E. ALASKAN_INTERTIE FY.BUDGET ' °ACTUALS |APPROVED |}ProposedFY071/17/2008 FY09 CxBudgetBudgetFY08REVBudget.a oy GVEA 2,042,048 1,925,200 |2,290,400 _Né ML&P 49,742 §0,042 §2,523 CEA 74,746 72,050 73,576 AEG&T 61,742 62,609 65,501 INTEREST 36,221 -- TOTAL REVENUES]2,264,499 2,109,901 |2,482,000 FERC §62 -Station Operation Expenses GVEA-substation electricity usage 11,673 4,000 )|FY09 est same as FYO8 per 4/12/07 meeting 11,673 4,000 FERC 563 -Overhead Line Expenses GVEA -Weather monitoring equipment 189,622 -- 189,622 -- FERC 566 -Miscellaneous transmission expense SCADA&voice circuits (SOA)234,209 234,000 O00 |FY09 est same as FY08 per 4/12/07 meetingCellphonecomm.svc for weather monitoring 3,880 10,000 K JFY09 est same as FY08 per 4/12/07 meeting MEA -Snow Depth Monitoring Equip 4,018 - Inertie Mitigation (3rd Party Review)8,239 - SLMS -Support Contract (03-107#1)40,153 60,000 |DOO ]F¥09 est same as FYO8 per 4/12/07 meeting SLMS -Battery Changeout(03-107#2)468 30,000 ( )|FYO9 est same as FYO8 per 4/12/07 meeting (ntertie Ground Safety Patrol(03-108#4)33,060 30,000 |:)|Fr09 est same as FYO8 per 4/12/07 meeting SLMS -PV Panel Installation (06-020)93,624 - Upgrade SLMS Communications 250,000 Railbelt Load Shed Study 60,000 "|FY09 ast same as FY08 per 4/12/07 meeting 417,651 674,000 FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad 400 400 Q JFY09 est same as FYO8 per 4/12/07 meating MEA-Talkeetna Storage 7,200 7,200 ||FY09 est same as FYOS per 4/12/07 meeting Z 7,600 7,600 FERC 670 -Maintenance of station equipment . GVEA _-Healy Cantwell,Goldhiil 66,849 75,250 per hd 4/9/07 GVEA Cantwell Secondary Oil Containment 90,000 per hd 4/9/07 gvea cantwell batteries 25,000 GVEA -Cantwell Substation Fence 65,000 per hd 4/9/07 SVC Study 23,400 - Funding from SVC Trust Fund (23,400)>.. CEA Teeiand Substation 67,670 52,000 FY09 est same as FY08 per 4/12/07 meeting MEA-Douglas substation 2,016 §,000 5,000 |FY09 est same as FY08 per 4/12/07 meeting :136,535 312,250 288,900 FERC 571 -Maintenance of overhead lines GVEA Northem Maintenance 70,978 100,000 112,117 [per hd 4/9/07 MEA Southem Maint (incl ground inspect)82,032 100,000 100,000 Jrerdz 3/5/08 -|GVEA-Landing Pads ------=oo --30,000 |----30,000 Jrerhd 407.-- GVEA-Adjust Guys -24,000 24,000 |per ha 4/9/07 GVEA-Northern ROW clearing 5,084 24,000 95,100 frerhd 4/9/07 GVEA -Repair tower 692 37,287 345,000 345,000 jperhe 4/9/07 MEA Extraordinary (osprey nest removal)180,000 - MEA-Landing Pads 10,000 14,000 |per dz 3/5/08MEA-Nest Removal 25,000 5,000.FY09 ast same as FYO8 per 4/12/07 meeting MEA-Special Patrols (incl foundation inspections)-22,000 [per dz 3/5/08 MEA -Contingency 45,000 |eerdz 3/5/08 MEA-Southern ROW clearing Talkeetna North 203,479 §0,000 433,000 [per dz 3/5/08 TWR 195 Repair (funding:$64K from Twr 692 in FYO8) 398,860 888,000 |1,245,217 FERC 920 -AEA Administrative Costs Personal Services,travel and other costs 74,844 75,000 )]FY09 est same as FY08 per 4/12/07 meeting 74,844 75,000 FERC 920 -!0C Administrative Costs IOC Administrative Costs --- FERC 924 -Property Insurance AF Intertie -insurance 187,455 210,000 0 6 FY09 est same as FY08 per 4/12/07 meeting Risk Management Fee -- Insurance Risk assessment 50,000 |@!'50,000 FY09 est same as FY08 par 4/12/07 meeting 187,455 260,000 260,000 TOTAL EXPENSE|1,424,239 2,220,850 |2,304,717 SURPLUS (SHORTAGE)840,260 (110,949)177,283 2009 ALASKAN INTERTIE SUDGET.xis -BUDGET 4/9/2008 1:18 PM MINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS AMENDED (MITCR)DETERMINATION FOR FISCAL YEAR 2009 Annual System Demand 05 06 06 07 07 08 3 YR AVG. SOUTHERN UTILITY PARTICIPANTS (MW)APPROVED APPROVED Approved Approved AML&P 177 181 183 180.3 MW DRAFT 1/17/2008 7/26/2007 7/20/2006 7/15/2005 CEA 254 251.7 251.7 252.5 MW UNITS FYOS |:FY08 REV FY08 FY07 FY06 AEG&T 208 227 227 220.7 MW . HEA 79.8 88.9 88.9 USAGE KWH 481,525,000 366,942,000 513,608,000 499,996,000 486,292,000 MEA 128.2 138.1 138.1 BUDGET $2,304,717 2,220,850 1,790,850 2,260,696 2,176,210 MITCR KW 140,000 140,000 140,000 140,000 140,000 TOTAL 653.5 MW ENERGY $.000/KWH $0.00400 $0.00505 $0.00291 $0.00378 $0.00374 NORTHERN UTILITY PARTICIPANTS (MW)Dec07-Jun08 rate -Jul07-Nov07 rate FMUS CAPACITY S/KW $2.72 $2.62 $2.11 $2.66 $2.56 GVEA 207.1 212.5 223.1 214.2 MW : TOTAL 214.2 MW MITCR DETERMINATION FY 09 AEG&T 33.77%23.64 MW AML&P 27.59%19.31 MW "EA 38.64%27.05 MW VEA 100.00%70.00 MW 140.00 MW (A)See Section 8.2.5 AK Intertie Agreement (B)See Section 8.2.6 AK Intertie Agreement 2009 ALASKAN INTERTIE BUDGET.xls -AFMITR 30.8 MW of GVEA 07 08 peak are non-firm KWH CAP RATE CAPCHARGES - 23,640 19,310 27,050 70,000 140,000 $2.72 64,301 $2.72 §2,523 $2.72 73,576 $2.72 190,400 380,800 4/9/2008 1:18 PM ALASKA INTERTIE * "2009 ALASKAN INTERTIE BUDGET.xIs -Usage Projection FISCAL YEAR 2009 AMENDED ENERGY PROJECTION FMUS GVEA |AEG&T |CEA |ML&P |TOTAL ENERGY CAPACITY CASH FLOW MONTH MWH MWH -MWH |MWH}MWH |MWH FMUS GVEA AEG&T FMUS GVEA AEG&T |ML&P CEA TOTALS (IN GVEA) Jul-07 O}40,000 0 O}40,000 $0 $160,000 $0 $0 $190,400 |$64,301 |$52,523 $73,576 $540,800 Aug-07 Q]40,000 0 0}40,000 $0 $160,000 $0 $160,000 ©np-07 0}40,000 0 0;40,000 $0 $160,000 $0 $160,000 ct-07 O|45,000 0 0}45,000 $0 $180,000 $0 $180,000 Nov-07 0}50,000 100 0 0}50,100 $0 $200,000 $400 $200,400 Dec-07 0}50,000 100 0 0}50,100 $0 $200,000 $400 $200,400 Jan-08 Q}45,000 100 0 0}45,100 $0 $180,000 $400 $180,400 Feb-08 QO}40,000 0 QO}40,000 $0 $160,000 $0 $160,000 Mar-08 0]45,000 0 QO}45,000 $0 $180,000 $0 $180,000 Apr-08 0}45,000 0 0]45,000 $0 $180,000 $0 $180,000 May-08 0}45,000 0 0}45,000 $0 $180,000 $0 $180,000 Jun-08 0}40,000 0 O}40,000 $0 $160,000 $0 $160,000 FY 07 TOTAL 0!525,000]|300 0 0}525,300 $0 |$2,100,000 $1,200 $0 $190,400 |$64,301 |$52,523 $73,576 $2,482,000 T.Energy:|$2,401,200 T.Cap:|$380,800 $2,482,000 TOTAL INTERTIE PROJECTED ENERGY USAGE FOR FY 2008 |525,300;MWH TOTAL MWH REVENUE $2,482,000 "> 4 estimate reduced by 1/12 of Total for rate calculations 481,525|MWH O&M BUDGET FY 09 $2,304,717 f on 8.2.2 MINIMUM USEAGE CONTRACT VALUE 183,960 |MWH DIFFERENCE $177,283 UTILITY FY 09;FY.09 AEG&T 33.77%|23.64|MW ML&P 27.59%|19.31/MW CEA 38.64%|27.05|MW FMUS 0.00%}0.00;/MW GVEA 100.00%|70.00;/MW . 140.0 FYO9 Usage Rate per KW $0.0040 FY09 Capacity Rate $2.72 4/9/2008 1:18 PM Dryden £éLaRue;ne:CONSULTING ENGINEERS March 21,2008 James Strandberg Project Manager Alaska Energy Authority 813 W.Northern Lights Blvd. Anchorage,Alaska 99503 Reference:Anchorage/Fairbanks Intertie Proposed Scope of Services -Tower 195 Alternatives Tower 195 on the Anchorage/Fairbanks Intertie is adjacent to the south bank of the Talkeetna River.The river has recently moved to the south and now encompasses the northerly guy anchor of the tower.It is anticipated the river will continue to erode the bank southward and move closer to the tower.The following scope of services is to determine the best option to accommodate this river change and then to develop design and construction specifications for the "work. PROPOSED SCOPE OF SERVICES Task1 ='Alternatives This task will develop reasonable alternatives for the replacement or relocation of Tower 195.Alternatives will be based on the field reconnaissance flight of 2/13/08 when it was determined a passable trail existed to the site from Talkeetna. WorkIncluded:0” e Identify possible scenarios to accommodate the southerly river movement including: o Tower 195 removal o Tower 195 relocation ; o Relocation or removal of adjacent towers e Identify spare towers or sections that could be used e Prepare budgetary cost estimates of reasonable alternatives e Prepare memorandum of alternatives and present to AEA Deliverables: e Memorandum of alternatives including budgetary cost estimates. 3305 Arctic Blvd.,Suite 201 -Phone (907)349-6653 +Fax (907)522-2534 -Email:office@drydenlarue.com Alaska Energy Authority March 21,2008 Anchorage/Fairbanks Intertie Tower 195 Page 2 Task 2 Task 3 Task 4 Preliminary Design This task will prepare a preliminary design plan based on the selected alternative of Task 1. Work Included: e Prepare Plan &Profile drawings e Prepare Sag &Tension data e Prepare conceptual tower designs e Prepare conceptual foundation designs Deliverables: e Plan &Profile drawings e Sag &Tension data e Conceptual tower and foundation designs Final Design This task will prepare final designs sufficient for tower procurement if new towers are required.It will also prepare the necessary material specifications. Work Included: e Prepare loading tree documents e Prepare tower configuration drawings e Prepare tower material specifications e Prepare tower bidding documents e Prepare hardware material specifications Deliverables: e Bidding package for new towers e Material specifications for procurement Construction Specifications This task will prepare the construction bid documents including agency stipulations and permits. Work Included: e Prepare construction technical specifications e Prepare bid tabulations e Prepare bid unit descriptions °Obtain permits with construction stipulations Deliverables: e Construction technical specifications e Bid tabulations and descriptions Alaska Energy Authority .March 21,2008 Anchorage/Fairbanks Intertie Tower 195 Page 3 e Stream crossing permits e Nationwide wetland permit CLARIFICATIONS: 1.AEA will provide a listing of spare towers and parts. 2.Modifications to the river flow are not included in this scope of work. 3.Itis anticipated that no more than two new towers will be required for this design. 4.Construction permitting will be by others 5.Construction bid document boiler-plate will be by others. SCHEDULE: We anticipate this work will require approximately 10 weeks to complete. COST ESTIMATE: Based on the above scope of services we estimate the cost of our work to be $64,000. Please review the above scope and contact me with any questions. DRYDEN &LARUE,INC. Delbert S.LaRue,P.E. ALASKA INTERTIE MWH ACTUAL USAGE *Jul-07 Aug-07 Sep-07 Oct-07MWHMWHMWHMWH GVEA 32,914 20,108 20,456 30,1,372 ALASKA INTERTIE REVENUE VARIANCE REPORT :CURRENTVARIANCE”mr2,944YTD.VARIANCEi ccirsicnuatcoust MLP ---- 'Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TOTALMWHMWHMWHMWHMWHMWHMWHMWH 40,868 34,042 oe:841 35,443 49,585 10,B68"é ie eee:(45,000)...(40,000),(45,000)..ss 29,629 scons (15,374 onion:(55,374)soa 100,371)asia ere"CURRENT VARIANCEEYTD.YARIANGE 33: CEA"CURRENT.VARIANCkeaXTD.VARIANCE.i. bea VTD,.VARIANCE sc Seegerudtheae rane 2 lpREREADDiICERNE stateaieC ACTUAL REVENUES TOTAL 33,004 __.20,305__20,456__30,372 40,868 _34,042___35,841 35,443 49,585_-299,916CURRENTVARIANCE”"30047,"es"usas 000/7 (46,woo ™ie000777 (400,3884)hua XTD VARIANCE,is java Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 cre PTB May-08 Jun-08 TOTALBatePecansSante29La9cv9AsaasSindNeSains29Mb9nat209Ita,Ssasans9-0 DaWars9009 ay,9g,DOD.9 payne,8:091un 9asinOnn9sae.8s0 9 on Suman B05 GVEA Energy Charges $95,780 $58,514 $59,527 $88,383 $118,926 $171,912 $180,997 $178,987 $250,404 $-$-$-$1,203,430 GVEA Capacity Charges $147,700 $35,700 $183,400 YTD Actuals $243,480 $301,994 $361,521 $449,904 $568,829 $740,741 $957,439 $1,136,426 $1,386,830 $1,386,830 $1,386,830 $1,386,830 $1,386,830BXTDVariancegc:musician tater 8480en 9 atia®iL 94 snSaidO42 Mc Sansa 1204.9 sin 42829 9 oxic 2104 Lora 9 iss.925139a,9,pas 120,220,$gs118,1305,9 ap,(199,120)$0,311,120),$san.(038,320)crprorcesarrnctniad MLP Energy Charges $-$-$+$+=$«-§-$-§-$-$-§-§-$- MLP Capacity Charges $40,301 $9,741 .$50,042 YTD Actuals $40,301 $40,301 $40,301 $40,301 $40,301 $40,301 $50,042 $50,042 $50,042 $50,042 $50,042 $50,042 $50,042 BX.Variance.Sinai atin Dace9 nants abit aDta(OTA ag DG cs HAL a ocala iatAa aS barin ia cs idnaraaac CEA Energy Charges $262 $573 $-$-$-$-$-$-$-$-$-$-$835 CEA Capacity Charges $58,025 $14,025 $72,050 YTD Actuals $58,287 $58,860 $58,860 $58,860 $58,860 $58,860 $72,885 $72,885 $72,885 $72,885 $72,885 $72,885 $72,885beXTDVANANCEpsmarcetinie9niin202isnO35.cz ©dian 835.0 Seleaan B39.9 crn 895 ch 9.13,190),<Sita 899,89 cian,899 a Suit B98 wise 88a 9rte83509 pm B39 rain ated AEG&T Energy Charges $-$-$-$-$-$-$-$:$-$-$:$-$- AEG&T Capacity Charges $49,374 $11,934 $61,308 YTD Actuals $49,374 $49,374 $49,374 $49,374 $49,374 $49,374 $61,308 $61,308 $61,308 $61,308 $61,308 $61,308 $61,308BV1D,VOrIANC<icsiuns an shaiowotaie 9 iia insia chake Sahin sar,9 ce.(291g Gud 124730)5 Su 14301 a 9 cs 1309 se (15301 in 9 var 1301),9 nl e301).8.ar(1.301)cacrtanmntvani TOTAL ENERGY CHARGES $96,042 $§9,088 $59,527 $88,383 $118,926 $171,912 $180,997 $178,987 $250,404 $.$-$a $1,204,265 TOTAL CAPACITY CHARGES $295,400 $-_$-__$-_$-__$-_$71,400 $-_$-_$-_$-__$-__$_366,800 YTD TOTAL REVENUES $391,442 $450,529 $510,056 $598,439 $717,365 $889,277 $1,141,674 $1,320,664 $1,571,065 $1,571,065 $1,571,065 $1,571,065 $1,571,065 _i YTD.LOLAL VARIANCE Fas 8042 in case 9,029.Sroased 0,950.5,9 pias 2,039.0,8 naz 43,014 a9 ce (8119),9 en 92027368 aac 1941 009 ca.17,004 69 ue (109,500)..8 as (311,086)9 ic,(998,036)emancrrtoenned Hialfishelton\PJ220501-AFINFYO8\FYO8AKI.XLS -Rev Var 03-31-08 4/10/2008 ALASKA INTERTIE ALASKA INTERTIE REVENUE VARIANCE REPORT MWH PROJECTIONS Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 TOTAL MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH MWH GVEA 30,000 20,000 20,000 30,000 30,000 30,000 30,000 30,000 50,000 45,000 40,000 45,000 400,000F-YID............cueviva;01000 rcin0 0000 paca 0,0004.,.,100,000...130,000.,,..160,000,;.,.190,000.....220,000...270,000.,.,,.315,000....,355,000,....,400,000...a.0,...nd MLP ------------- BVI sccacncch me see bsicisae Gt ica dat x sciainhon his Hacc Mhuaacel ebb pa Sa pllyith cacacesghsimianah tac iatbeat ts seciohobsshas sa mbes:ee cudiaueinieusedinaiaind CEA ------------- E.YID=:.i dkssan eben nnssvt LavindiCaealah wid ae iit bib eee a ey ee ie ee ie isch tenet en spi vi nie cieshiauiSuaiusles amsnasaod AEGT 100 100 100 -300EVibRCIairaeene,rs eee escapist 100 200."300 300,se 800,...,™3002.3007 Semaine.(|beeen | TOTAL 30,000 20,000 20,000 30,000 30,100 30,100 30,100 30,000 50,000 45,000 40,000 45,000 400,300.00BXLDprpeehtunicmccrndrncatnnnnnc,30,000,....50,000,...,70,000,,..100,000,,..130,100...,160,200...190,.300...220,300,,....,270,300...315,300,,959,300...400,300...meusineucd BUDGETED REVENUES Jul-07 Aug-(-07BudgetedRateperMW GVEA Energy Charges H,.$2910,$2,910 $.erat Oct-07ex:9100 $2."2.970...Orin amespk:7910.(0.$..,5.050... Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 ety r-0 Apr-08 (-007,.$..5.050....$..;5,050...$.5,4,9.050,,..9 y,5.050,,,9...,5,050,.,9,. Jun-08 =5,050]May-08 TOTAL $87,300 $58,200 $58,200 $87,300 $87,300 $151,500 $151,500 $151,500 $252,500 $227,250 $202,000 $227,250 $1,741,800 H:lall\shelton\PJ220501-AF AF YO8\F YOBAKI.XLS -Rev Var 03-31-08 GVEA Capacity Charges,$147,700 __ $35,700 $183,400 EYION.snecn,ver $1.2301000$293,2009.4,,901,400,.,94-.438,700,.$..520,000.§...713,200..$.064,700..$,1,016,200,,§1,268,700.,$,1,495,950."SARS ISO §7 625 2007 $77,925,200) MLP Energy Charges $-$-$-$-$-$-$-$-$-$-$-$-$- MLP Capacity Charges,$40,301 a $eA .ee $50,042 EY =940,31ATETATIOT ETAT301:$:.40,301..$.,50,042,.$50,042.$.50,042.,$,,.50,042..$50,042.$60,042.$50,042,$,,50,042] CEA Energy Charges $-$-$-$-$-$-$-$-$-$-$-$-$- CEA Capacity Charges $_58,25 _ $14,025 $72,050PLDotaisdindenmsoutsrcinnn.$58,025...$08,025..$.,58,025 ..$.58,025...$,,58,025 $,,72,050.,$..72,050..$..72,050,,,$,,,72,050.,.$...72,050.$,..72,050...$..,72,050,.$5.772,050] AEG&T Energy Charges $-§$-$-$-$291 $505 $505 $-$-§$-$-§-§$1,301 AEG&T Capacity Charges $eqaenat eee $11,934 $61,308©BEY ID croc cicnctce aot spur aoeoa 9.49031459g4913149549,374.9449,3740 9:49,065 .$62,104.$.62,609,.$O26609....$,,,62,609...$62,609,$62,609,$.,62,009,$62,609] TOTAL ENERGY CHARGES $87,300 $58,200 $58,200 $87,300 $87,591 $152,005 $152,005 $151,500 $252,500 $227,250 $202,000 $227,250 $1,743,101TOTALCAPACITYCHARGES$295,400 $-$ae $7 $$71,400 §eS -_$-__$-_$-_$sae IT$366,800BOYDDivicusssnttgeeicomc"$382,200,$«440,900,$faa(99,100.$..586,400,,$673,991...$..,897,396...$1,049,401,$..1,200,001,,,$1,453,401,§1,600,051,$,1,002,051,$24 GSO 7 169.500 4/10/2008 ALASKA INTERTIE FY08 BUDGET STATUS REPORT REVENUES GVEA ML&P CEA AEG&T INTEREST TOTAL REVENUES EXPENSES FERC §62 -Station Operation Expenses GVEA -substation electricity usage FERC 566 -Miscellaneous transmission expense SCADA&voice circuits (SOA) Cell phone comm.gvc for weather monitoring SLMS CELL COMM CHANGEOUT SLMS -Support Contract (03-107#1) SLMS -Battery Changeout(03-107#2) Intertie Ground Safety Patrol(03-108#4) Railbelt Load Shed Study FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad MEA-Talkeetna Storage FERC 570 -Maintenance of station equipment GVEA -Healy Cantwell,Goldhill GVEA Cantwell Secondary Oil Containment gvea cantwell batteries GVEA -Cantwell Substation Fence CEA Teeland Substation MEA -Douglas substation FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance MEA Southern Maint {incl ground inspect) GVEA-Landing Pads GVEA-Adjust Guys GVEA-Northern ROW clearing GVEA -Repair tower 692 MEA-Landing Pads MEA-Nest Removal (annual maint) MEA Extraordinary Bird Nest event MEA-Repair tower 195 (funding:$64K from Twr 692) MEA-Southern ROW clearing Talkeetna North FERC 920 -AEA Administrative Costs Personal Services,travel and other costs FERC 920 -IOC Administrative Costs 1OC Administrative Costs FERC 924 -Property Insurance AF Intertie -Insurance Insurance Risk assessment TOTAL EXPENSE SURPLUS (SHORTAGE) FYO8AKLXLS -Budget 03-31-08 APPROVED 1/17/2008 ACTUALS OVER Budget FY08 Rev 3/31/2008 (UNDER) 1,925,200.00 1,386,829.93 (538,370.07){capacity plus use 50,042.00 50,042.00 -capacity plus use 72,050.00 72,885.17 835.17 [capacity plus use 62,609.00 61,308.00 (1,301.00){capacity plus use -12,884.24 12,884.24 2,109,901.00 1,583,949.34 (525,951.66) 4,000.00 6,916.67 2,916.67 -4,000.00 6,916.67 2,916.67 234,000.00 234,209.32 209.32 [thru 6/08 10,000.00 7,698.71 (2,301.29) 250,000.00 235,917.84 (14,082.16) 60,000.00 18,039.76 (41,960.24)thru 2/08 30,000.00 -(30,000.00) 30,000.00 3,702.71 (26,297.29)[thru 1/08 60,000.00 -(60,000.00) 674,000.00 499,568.34 (174,431.66) 400.00 800.02 400.02 [thru 6/08 (plus renewal fee) 7,200.00 4,800.00 (2,400.00)fthru 2/08 7,600.00 5,600.02 (1,999.98) 75,250.00 41,163.88 (34,086.12)[thru 2/08 90,000.00 , -(90,000.00) 25,000.00 23,068.68 (1,931.32)[thru 2/08 65,000.00 14,854.28 (50,145.72)fthru 2/08 52,000.00 37,516.55 (14,483.45)fthru 10/07© 5,000.00 44.66 (4,955.34)[thru 2/08 312,250.00 116,648.05 (195,601.95) 100,000.00 23,202.08 (76,797.92)fthru 2/08 106,000.00 5,089.90 (o1910.10)rw 2/08 30,000.00 -(30,000.00) 24,000.00 :(24,000.00) 24,000.00 535.00 (23,465.00){thru 2/08 345,000.00 2,465.24 042.534 Teh 2/08 10,000.00 -(10,000.00) 25,000.00 -(25,000.00) 180,000.00 177,248.15 (2,751.85) 12,693.00 42,693.00 [thru 2/08 50,000.00 (50,000.00) 888,000.00 221,233.37 (666,766.63) 75,000.00 42,156.55 (32,843.45) 75,000.00 42,156.55 (32,843.45) 210,000.00 102,619.51 (107,380.49)[thru 6/08 50,000.00 -(50,000.00) 260,000.00 102,619.51 (157,380.49) 2,220,850.00 994,742.51 (1,226,107.49) §89,206.83 nia(110,949.00) 4/10/2008 ITF ALASKA INTERTIE TRUST FUND Key Bank Trust Acct #0698481 STATUS REPORT AS OF 03/31/08 BEGINNING BALANCE AS OF 12/31/07 $36,206.55 INTEREST $239.11 DISBURSEMENTS $= ENDING BALANCE AS OF 03/31/08 S$36,445.66 History: The ITF Alaska Intertie Svcs Fund was setup to account for a trust account that AIDEA is custodian of for the benefit of the Utilities involved in the Alaska Intertie Project.This Trust Account is for the purpose of paying for expenses related to the Static Var System.The account is held at Key Bank.Any disbursements will be requested from the operating committee or the Utilities.No trust fee is charge to the account because AIDEA has a blanket trust fee agreement with Key Bank for all accounts held by Key Bank.This trust fund will last as long as the operating committee requires it. ITF-AkIntertieSvcFund.xls 02-29-08 ALASKAN_INTERTIE F 9 BUDGET ¢5 ACTUALS |APPROVED |ProposedFY071/17/2008 FY09 Cx Budget |BudgetFYO8REV |Budget atheaa GVEA 2,042,048 1,925,200 }2,290,400 NZ ML&P 49,742 §0,042 52,523 CEA 74,746 72,050 73,576 AEG&T 61,742 62,609 65,501 INTEREST 36,221 -- TOTAL REVENUES]2,264,499 2,109,901 |2,482,000l FERC 562 -Station Operation Expenses GVEA -substation electricity usage 114,673 4,000 )JF¥09 est same as FYO8 per 4/12/07 mesting 11,673 4,000 FERC 563 -Overhead Line Expenses /, GVEA -Weather monitoring equipment 189,622 --|\o 189,622 ::$1500 /mco-- FERC §66 -Miscellaneous transmission expense SCADA&voice circuits (SOA)234,209 234,000 34,000 |FY09 est same as FY08 per 4/12/07 meeting Cell phone comm.svc for weather monitoring 3,880 10,000 |pie TQG00.|FV09 est same as FY08 per 4/12/07 meeting . MEA -Snow Depth Monitoring Equip 4,018 --22)ooo pet Ao eral?Inertie Mitigation (3rd Party Review)8,239 -- id out SLMS -Support Contract (03-107#1)40,153 60,000 ,000 ]F¥08 est same as FY08 per 4/12/07 meeting ¢Chiteteyy SLMS -Battery Changeout(03-107#2)468 30,000 00 |FV09 est same as FYO8 per 4/12/07 meeting Nel te Ere Intertie Ground Safety Patrol(03-108#4)33,060 30,000 iC I Q_[F¥09 est same as FY08 per 4/12/07 meeting _|SLMS -PV Panel Installation (06-020)93,624 -:7 Btekx Upgrade SLMS Communications 250,000 - Railbelt Load Shed Study 60,000 BCI)|FY09 est Same as FY08 per 4/12/07 meeting 417,651 674,000 FERC 567 -Transmission Expenses -Rents Rents -Alaska Railroad 400 400 FY09 est same as FYO8 per 4/12/07 meeting MEA -Talkeetna Storage 7,200 7,200 |[FYO9 est same as FY08 per 4/12/07 meeting . 7,600 7,600 .wm _A FERC 570 -Maintenance of station equipment WY GVEA -Healy Cantwell,Goldhill 66,849 75,250 79,000 |perhd 4/9/07 Wise,Ad GVEA Cantwell Secondary Oil Containment 90,000 90,000 |rerhd 4/9/07 Pied * gvea Cantwell batteries 25,000 :s 7 ah pe GVEA -Cantwell Substation Fence 65,000 62,800 Jperha 4907 7-225 ,ODO perme SVC Study 23,400 --wf Funding from SVC Trust Fund (23,400)-.a ole AO CEA Teeland Substation 67,670 §2,000 FYO9 est same as FYO8 per 4/12/07 meeting y MEA -Douglas substation 2,016 5,000 FY0S est same as FYO8 per 4/12/07 meeting oy :136,535 312,250 288,900 aa FERC 571 -Maintenance of overhead lines GVEA Northern Maintenance 70,978 400,000 112,117 }Pperhd 4/9/07 MEA Southem Maint (incl ground inspect)_82,032 100,000 100,000 frer dz 3/5/08GVEA-Landing Pads--Coenen Penn name =f=30,000 |---30,000 fer he 4907 GVEA-Adjust Guys -24,000 24,000 [rer ha 4/9/07 GVEA-Northern ROW clearing §,084 24,000 95,100 |rer ha 4/9/07 GVEA -Repair tower 692 37,287 345,000 345,000 jrerhaso07 even:cle tnrbrondge. MEA Extraordinary (osprey nest removal)180,000 -aR , MEA-Landing Pads 10,000 14,000 [Per dz ase Grover 6 8-$+},evcethaheopler MEA-Nest Removal 25,000 Ra 5,000.FY09 est same as FY08 per 4/12/07 meeting MEA-Special Patrols (incl foundation inspections)-22,000 jrer dz 3/5/08 MEA -Contingency 45,000 {per dz 3/5/08 MEA-Southern ROW clearing Talkeetna North 203,479 $0,000 433,000 per dz 3/5/08 TWR 195 Repair (tunging:$64K from Twr 692 in FYO8) 398,860 888,000]1,245,217 FERC 920 -AEA Administrative Costs Personal Services,travel and other costs 74,844 75,000 75.000 |Fv00 est same as FY08 per 4/12/07 meeting 74,844 75,000 75,000 FERC 920 -lOC Administrative Costs 10C Administrative Costs --- FERC 924 -Property insurance AF Intertie -Insurance 187,455 210,000 ),000,|F¥09 est same as FY06 per 4/12/07 mecting Risk Management Fee - Insurance Risk assessment 50,000 ;JOO |FY09 est same as FY0S per 4/12/07 meeting 187,455 260,000 260,000 TOTAL EXPENSE]1,424,239 2,220,850 |2,304,717 SURPLUS (SHORTAGE)840,260 (110,949)177,283 2009 ALASKAN INTERTIE BUDGET.xis -BUDGET 4/9/2008 1:18 PM MINIMUM INTERTIE TRANSFER CAPABILITY RIGHTS AMENDED (MITCR)DETERMINATION FOR FISCAL YEAR 2009 Annual System Demand 05 06 06 07 07 08 3 YR AVG. SOUTHERN UTILITY PARTICIPANTS (MW)APPROVED APPROVED Approved Approved AML&P 177 181 183 180.3 MW DRAFT 1/17/2008 7/26/2007 7/20/2006 7/15/2005 CEA 254 251.7 251.7 252.5 MW UNITS FYO9 FY08 REV FY08 FY07 FY0O6 AEG&T 208 227 227 220.7 MW oO . HEA 79.8 88.9 88.9 USAGE KWH 481,525,000 366,942,000 513,608,000 499,996,000 486,292,000 MEA 128.2 138.1 138.1 BUDGET $2,304,717 2,220,850 1,790,850 2,260,696 2,176,210 MITCR KW 440,000 140,000 140,000 140,000 140,000 1UtAL Is 653.5 MW | ENERGY $.000/KWH $0.00400 $0.00505 $0.00291 $0.00378 $0.00374 NORTHERN UTILITY PARTICIPANTS (MW)'Dec07-Jun08 rate =Jul07-Nov07 rate FMUS CAPACITY S/KW $2.72 $2.62 $2.11 $2.66 $2.56 GVEA 207.1 212.5 223.1 214.2 MW ' TOTAL 214.2 MW ' 30.8 MW of GVEA 07 08 peak are non-firm e y 4B4,-/ewMITCRDETERMINATIONFY09 KWH CAPCHARGES AEG&T 33.77%23.64 MW 23,640 64,301 AML&P 27.59%19.31 MW 19,310 §2,523 CEA 38.64%27.05 MW 27,050 VEA {00.00%70.00 MW 70,000 140.00 MW 140,000 (A)See Section 8.2.5 AK Intertie Agreement (B)See Section 8.2.6 AK Intertie Agreement 2009 ALASKAN INTERTIE BUDGET.xls -AFMITR . 4/9/2008 1:18 PM ALASKA INTERTIE FISCAL YEAR 2009 AMENDED ENERGY PROJECTION :2n 8.2.2 MINIMUM USEAGE CONTRACT VALUE FMUS GVEA |AEG&T |CEA |ML&P |TOTAL ENERGY CAPACITY CASH FLOW MONTH MWH MWH |-MWH |MWH]MWH/MWH FMUS GVEA AEG&T |FMUS GVEA AEG&T |ML&P CEA TOTALS (IN GVEA) Jul-07 O}40,000 0 0;40,000 $0 $160,000 $0 '$0 $190,400 |$64,301 |$52,523 |$73,576 $540,800 Aug-07 0}40,000 0 0}40,000 $0 $160,000 $0 $160,000 Sep-07 O}40,000 0 Q}40,000 $0 $160,000 $0 $160,000 ict-07 O}45,000 0 O}|45,000 $0 $180,000 $0 $180,000 wov-07 0}50,000 100 0 0}50,100 $0 $200,000 $400 $200,400 Dec-07 0}50,000 100 0 0}50,100 $0 $200,000 $400 $200,400 Jan-08 0}45,000 100 0 0}45,100 $0 $180,000 $400 $180,400 Feb-08 0}40,000 0 0}40,000 $0 $160,000 $0 $160,000 Mar-08 O|45,000 0 0}45,000 $0 $180,000 $0 $180,000 Apr-08 O}45,000 0 0}45,000 $0 $180,000 $0 $180,000 May-08 O|45,000 0 0}45,000 $0 $180,000 $0 $180,000 Jun-08 O|40,000 0 0}40,000 $0 $160,000 $0 $160,000 FY 07 TOTAL 0|525,000!--300 0 0}525,300 $0 |$2,100,000 $1,200 $0 $190,400 |$64,301 |$52,523 |$73,576 $2,482,000 T.Energy:}$2,101,200 T.Cap:|$380,800 $2,482,000 TOTAL INTERTIE PROJECTED ENERGY USAGE FOR FY 2008 |525,300)/MWH TOTAL MWH REVENUE $2,482,000 |Usage estimate reduced by 1/42 of Total for rate calculations 481,525|MWH O&M BUDGET FY 09 $2,304,717 183,960|MWH DIFFERENCE $177,283] UTILITY FY 09;FY 09 AEG&T 33.77%|23.64|MW ML&P 27.59%}19.314|MW CEA 38.64%|27.05|MW FMUS 0.00%;0.00|MW GVEA 100.00%|70.00;/MW 140.0 FYOS9 Usage Rate per KW)$0.0040 FY09 Capacity Rate $2.72 "2009 ALASKAN INTERTIE BUDGET.xIs.-Usage Projection o 4/9/2008 1:18 PM , James Strandberg From:James Strandberg Sent:Saturday,January 12,2008 1:33 PM To:dlarue@drydenlarue.com Cc:'Henri F.Dale';Karl Reiche;James Hemsath Subject:Budgetary Estimate for SVC controls upgrade Attachments:{OC Budget Subcomm Minutes &Budget Revision Del, Attached please find a copy of the last Budget Subcommittee meeting minutes.During that meeting |was asked by the committee to approach you to establish an updated budgetary estimate for the Alaska Intertie SVC project.Throughout its lifetime,this project has considered three upgrade options to upgrade or replace the SVC controls on the Alaska Intertie,at Gold Hill,Healy,and Teeland substations. The last communication we have from you is dated August 1",2006,and a copy of that estimate is attached in the email attachment.We also have a recent cost estimate update from ABB dated August 29",2007,again copy attached in the email. Your scope of work should consist of a complete construction cost estimate to include all normal services including options evaluation,discussion with the IOC on options and assistance in selecting option to proceed,design, construction,commissioning and operational training.Assume we are still preliminarily considering the three different options.Do not include AEA or operating utility costs,as has been the practice in the past estimates you have done for us. |look forward to receiving your proposal for these cost estimating services. Best Regards,Jim Strandberg .wv James Strandberg From:James Strandberg Sent:Saturday,January 12,2008 1:40 PM To:'Henri F.Dale' Cc:Karl Reiche;James Hemsath Subject:FW:lOC Budget Subcomm Minutes &Budget Revision Attachments:12-13-07 meeting minutes.doc;12-13-07 Meeting minute Attachments.pdf;2008 ALASKAN INTERTIE BUDGET amendment.xis Henri, Attached is the package from the Budget Subcommittee meeting that we held on December 13.For your use and distribution to the IOC prior to our meeting this week.The minutes look fine to me. Per the action item in the IOC budget meeting minutes,|have sent an email to Del LaRue requesting cost estimating services for the SVC project.It might be good to have him at the |OC meeting if there are any questions on the matter. |am also understanding the Teeland SVCis currently out of service.May |suggest we have a discussion on the TeelandSVCsituation,and how all of the SVCs are presently operating during the meeting? Best regards,Jim Strandberg From:Shellie M.Helton Sent:Tuesday,December 18,2007 2:52 PM To:James Strandberg Subject:IOC Budget Subcomm Minutes &Budget Revision Attached are the draft 12-13-07 IOC Budget Subcommittee meeting minutes plus requested attachments noted in minutes for your review. Also attached is the revised FY08 !ntertie Budget Amendment Documents (revised O&M Budget,revised usage projection,revised MITCR). Shellie Helton,Accountant,AIDE A/VAEA 907-771-3023 fax:907-771-3044 (<<<<<new numbers effective 12/6/07) shelton@aidea.org