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HomeMy WebLinkAbout2023-12-08 BPMC Agenda and docsBRADLEY LAKE PROJECT MANAGEMENT COMMITTEE MEETING AGENDA Friday, December 8, 2023 10:00 am To participate dial 1-888-585-9008 and use code 212-753-619# 1. CALL TO ORDER 2. ROLL CALL (for Committee members) 3. PUBLIC ROLL CALL (for all others present) 4. AGENDA APPROVAL 5. PUBLIC COMMENTS 6. APPROVAL OF MEETING MINUTES – October 13, 2023 and November 17, 2023 7. NEW BUSINESS A. FY23 BPMC Audited Financial Statements B. FY23 Refund of Surplus C. Staffing Discussion D. FY24 Proposed BPMC Meeting Dates 8. OLD BUSINESS A. Dixon Diversion Update AEA B. BESS Update / Resolution & Related Agreements Joel Paisner C. O&M Agreement update Joel Paisner / O&D Committee D. Soldotna to Sterling Upgrade Update HEA E. Railbelt Reliability Coordination Update Brian Hickey i. GRIP Concept Paper / Application budget amendment 9. OPERATORS REPORT HEA 10. COMMITTEE REPORTS A. Budget to Actuals Report Budget Subcommittee B. O&D Report 11. EXECUTIVE SESSION – (Bylaws Section 5.11.4) – To discuss confidential financial matters regarding Required Project Work and financing, the immediate knowledge of which may have an adverse effect on the Authority or Project. 12. MEMBERS COMMENTS 13. NEXT MEETING DATE – January 19, 2024 14. ADJOURNMENT Current Receivables/Liabilities per BPMC FY23 Financial Statements Payable to Utilities - O & M Refund 998,309.27$ Payable to Utilities - R & C Refund 819,702.74 Total Bradley Lake Refund 1,818,012.01 Payable to Utilities - O & M Refund 9,592.73 Payable to Utilities - R & C Refund 169,102.26 Total Battle Creek Refund 178,694.99 Payable from Utilities - O & M Shortage (242,098.34) Total SSQ Line Shortage (242,098.34)$ Bradley Lake Refunds by Utility Utility Percent Shared FY23 Refund O&M Refund R&C Refund Total Chugach Electric 56.30% 1,023,540.76$ 562,048.12$ 461,492.64 1,023,540.76$ Homer Electric 12.00% 218,161.44 119,797.11 98,364.33 218,161.44 Matanuska Electric 13.80% 250,885.66 137,766.68 113,118.98 250,885.66 Golden Valley Electric 16.90% 307,244.03 168,714.27 138,529.76 307,244.03 City of Seward 1.00% 18,180.12 9,983.09 8,197.03 18,180.12 100.00%1,818,012.01$ 998,309.27$ 819,702.74$ 1,818,012.01$ Battle Creek Refunds by Utility Utility Percent Shared FY23 Refund O&M Refund R&C Refund Total Chugach Electric 30.40% 54,323.28$ 2,916.19$ 51,407.09 54,323.28$ Homer Electric 37.90% 67,725.40 3,635.64 64,089.76 67,725.40 Matanuska Electric 13.80% 24,659.91 1,323.80 23,336.11 24,659.91 Golden Valley Electric 16.90% 30,199.45 1,621.17 28,578.28 30,199.45 City of Seward 1.00% 1,786.95 95.93 1,691.02 1,786.95 100.00%178,694.99$ 9,592.73$ 169,102.26$ 178,694.99$ SSQ Line Shortages by Utility Utility Percent Shared FY23 Shortage O&M Shortage R&C Shortage Total Chugach Electric 56.30% (136,301.37)$ (136,301.37)$ - (136,301.37)$ Homer Electric 12.00% (29,051.80) (29,051.80) - (29,051.80) Matanuska Electric 13.80% (33,409.57) (33,409.57) - (33,409.57) Golden Valley Electric 16.90% (40,914.62) (40,914.62) - (40,914.62) City of Seward 1.00% (2,420.98) (2,420.98) - (2,420.98) 100.00%(242,098.34)$ (242,098.34)$ -$ (242,098.34)$ Total Refund/(Shortage) Due to/(from) Each Utility 1,754,608.66$ Utility FY23 Refund Chugach Electric 941,562.67$ - Homer Electric 256,835.04 Matanuska Electric 242,136.00 Golden Valley Electric 296,528.86 City of Seward 17,546.09 Total Payment 1,754,608.66$ Balance check 1,754,608.66 Off - Bradley Lake Project Management Committee FY23 Surplus Refund (Shortage) BRADLEY LAKE PROJECT MANAGEMENT COMMITTEE OPERA TING AND REVENUE FUNDS Notes to Financial Statements Years Ended June 30, 2023 and 2022 Note 4 -Related Party Transactions, continued At June 30, 2023, there was no balance due from the Debt Service Fund ($21,077 at June 30, 2022). At June 30, 2023, the balance due from the Operating Reserve and R & C Funds for interest income is $194,558 ($44,736 at June 30, 2022). Note 5 -Surplus Refunds The $998,309 operation and maintenance and $819,703 renewal and contingency surpluses related to Bradley Lake at June 30, 2023, will be refunded to member utilities in fiscal year 2024 pursuant to the Power Sales Agreement and direction of the Committee. The $9,593 operations and maintenance and $169,102 renewal and contingency surpluses related to Battle Creek at June 30, 2023, will be refunded to member utilities in fiscal year 2024 pursuant to the Power Sales Agreement, the Battle Creek Diversion Project Share Allocation, and direction of the Committee. The $958,542 operation and maintenance and $209,057 renewal and contingency surpluses related to Bradley Lake at June 30, 2022, were refunded to member utilities in fiscal year 2023 pursuant to the Power Sales Agreement and direction of the Committee. The $38,490 operation and maintenance and $169,102 renewal and contingency surpluses related to Battle Creek at June 30, 2022, were refunded to member utilities in fiscal year 2023 pursuant to the Power Sale Agreement, the Battle Creek Diversion Project Share Allocation, and direction of the Committee. The $677,017 operation and maintenance surplus related to the SSQ Line at June 30, 2022, was refunded to member utilities in fiscal year 2023 pursuant to the Power Sales Agreement and direction of the Committee In 2022, GVEA provided a callback notice and payment of $1,586,958 to participate in the Battle Creek Diversion Project effective June 1, 2022. This amount was refunded to the other member utilities participating in the Battle Creek Diversion Project in fiscal year 2023 pursuant to the Power Sales Agreement, the Battle Creek Diversion Project Share Allocation, and direction of the Committee. Note 6 -Shortage Receivable The $242,098 operation and maintenance shortage related to the SSQ Line will be invoiced to member utilities in fiscal year 2024 pursuant to the Power Sales Agreement and direction of the Committee. 10 2024 Proposed BPMC Meeting Dates: January 19, 2024 March 22, 2024 May 3, 2023 June 21, 2024 July 26, 2024 September 27, 2023 December 6, 2024 813 W Northern Lights Blvd, Anchorage, AK 99503  Phone: (907) 771-3000  Fax: (907) 771-3044  Email: info@akenergyauthority.org REDUCING THE COST OF ENERGY IN ALASKA AKENERGYAUTHORITY.ORG MEMORANDUM DATE: December 6, 2023 TO: Bradley Lake Project Management Committee FROM: Bryan Carey, Owned Asset Director through Curtis Thayer, Execuitve Director SUBJECT: BPMC Dixon Diversion Update Energy: AEA and others were unable to have a direct continuous measure of discharge at Martin River this summer. Between USGS stage gage, USGS discharge measurements, and DOWL discharge measurements daily discharge for this summer was estimated and by comparison to Upper Bradley discharge a synthetic daily flow record was developed for the last 40 years (below). From the above, the diverted volumes for various diameter tunnels were calculated with an assumed Minimum Instream Flow (MIF) of 100 cfs. Tunnel capacity of 1,000 cfs would be about a 12 ft dia tunnel. Capacity of 1,400 cfs would be about a 14 ft dia tunnel. Using 30 year record: Alaska Energy Authority Page 2 of 3 Amount diverted is sensitive to record. For 1,400 cfs capacity: • 30 year record 159,000 ac-ft • 20 year record 165,500 ac-ft • 10 year record 182,800 ac-ft Using 30 year record for above but shorter records may be more representational. Believe 14 dia. Tunnel better to use than 12 dia tunnel as it produces 15,000 to 22,000 ac-ft more diverted water per year but also enables easier vehicle movement, ventilation, and power routing. Bradley conversion is about 0.93-1.03 ac-ft equal a MWh. With the reservoir raise (14 feet) it will be closer to 0.95-1.05 ac-ft so using 1 ac-ft equals 1 MWh is a good approximate conversion. In addition, existing Bradley water would generate more energy (~8,000 MWh) from the increase in efficiency of higher reservoir elevation. From this, • 30 year record 167,000 MWh Alaska Energy Authority Page 3 of 3 • 20 year record 173,500 MWh • 10 year record 190,800 MWh Project Changes: AEA has dropped the alternative of having a power plant located on the Martin River because of cost concerns. The road up to the diversion site has been discussed and dropped from the project. Diversion dam and intake can be constructed with helicopter support at a much lower cost than building a road. Removing the road greatly reduces wildlife, wetlands, and viewing potential impacts. Current Project footprint: • Raise lake level 14 feet to be able to store an additional 55,000 ac-ft. • 3 phase power within Bradley Lake road • Half mile access road off Battle Creek road to the tunnel outlet point. • Five mile 14-ft tunnel from Bradley Lake to below Dixon Glacier • Diversion dam, intake, and small pool (couple of acres) below glacier. Cost Estimate: Cost estimate was updated in October. Major changes are that road to Dixon Diversion site was removed and the tunnel size was increased from conceptual report 12 ft diameter to 14 ft diameter. Current draft Total Cost Project of $342 million is a decrease from conceptual cost estimate of $415 million for a 14 foot raise and 12 foot diameter tunnel. The cost estimate was developed with the tunnel contractor being the prime and the diversion work, dam raise, and tunnel access being performed by subcontractors. The diversion, dam raise, and tunnel access could be bid separately by AEA saving a significant amount through elimination of additional layer and increased competition. Cost estimate had 7% Unlisted items, 25% contingency, and a 6% escalation to midpoint of 3-year construction. Schedule: Typically two years of studies are required for FERC license amendments that may impact fish & game. AEA intends to proceed with engineering and environmental studies in 2024 using State funds and remaining R&C funds. On engineering side, intent would be for continued gaging of Martin River, drilling core holes to obtain rock samples, and advancing engineering. For environmental studies the priority are the fisheries studies since they tend to require two years and will inform the required instream minimum flow that will effects how much energy from the project. An aggressive pre-construction project schedule has bid and Notice to Proceed to Contractor October-December 2027. Construction starting in 2028 and completing in 2030. BRADLEY LAKE HYDROELECTRIC PROJECT SOLDOTNA BATTERY ENERGY STORAGE SYSTEM OPERATION AND MAINTENANCE AGREEMENT Between ALASKA ELECTRIC AND ENERGY COOPERATIVE, INC. AND ALASKA ENERGY AUTHORITY December 1, 2023 SOLDOTNA BESS O&M AGREEMENT TABLE OF CONTENTS Section Title Page 1 Definitions ............................................................................................................... 2 2 Effective Date, Term, and Termination ................................................................... 4 3 General Provisions and Incorporation of Exhibit A of the Master Maintenance and Operation Agreement ............................................................................................. 4 4 Operational Requirements ...................................................................................... 5 5 Operation and Maintenance Plan and Budgets ...................................................... 5 6 Payment ................................................................................................................. 7 7 Emergency Expenditures ....................................................................................... 7 8 Extraordinary Maintenance and Equipment Replacement ...................................... 8 9 Modifications and Additions .................................................................................... 8 10 Authorized Representative ..................................................................................... 8 11 Access to Facilities ................................................................................................. 8 12 Force Majeure ........................................................................................................ 8 13 Dispute Resolution ................................................................................................. 9 14 Notices ................................................................................................................... 9 15 Third Party Beneficiaries ...................................................................................... 10 16 Indemnity and Loss .............................................................................................. 10 Page 1 of 13 SOLDOTNA BESS O&M AGREEMENT BRADLEY LAKE HYDROELECTRIC PROJECT SOLDOTNA BATTERY ENERGY STORAGE SYSTEM OPERATION AND MAINTENANCE AGREEMENT This Soldotna Battery Energy Storage System Operation and Maintenance Agreement for the Bradley Lake Hydroelectric Project ( "Agreement"), is dated effective as of the first day of December, 2023, by and between ALASKA ENERGY AUTHORITY, a public corporation of the State of Alaska ("Authority"), and ALASKA ELECTRIC AND ENERGY COOPERATIVE, INC., ("AEEC"), a non-profit electric cooperative membership corporation of the State of Alaska. RECITALS 1. The Power Sales Agreement governing the sales of energy from the Bradley Lake Hydroelectric Project provides that the Bradley Lake Project Management Committee (“BPMC”) shall arrange for the operation and maintenance of the Bradley Lake Hydroelectric Project and Project-related facilities (“Project”); 2. The BPMC is authorized, under its Bylaws adopted pursuant to the terms of the Power Sales Agreement, to approve agreements for the operation and maintenance of the Project; 3. The Battery Energy Storage System (“Soldotna BESS”) directly connects to AEEC’s Soldotna Substation through which Bradley energy flows to other Bradley Participants; 4. The BPMC and the Authority entered into the Bradley Lake Hydroelectric Project Master Maintenance and Operation Agreement on May 24, 1994 (“Master Maintenance and Operation Agreement”), to, among other things, establish a contract administration and budgeting procedure for contracting for the maintenance and operation of the Project and related services, facilities, and equipment; 5. The Authority, before executing a contract or contract amendment for operation or maintenance of the Project, must submit the contract or amendment to the BPMC for its review and approval pursuant to the Master Maintenance and Operation Agreement; 6. The Authority recognizes the BESS’s ability to respond to Bradley initiated system oscillations through high-speed droop (system frequency deviation) corrective action (or equivalent). This droop response ability is contained within the spinning reserves allocated to the BESS by the operating utility. BESS services beyond Page 2 of 13 SOLDOTNA BESS O&M AGREEMENT droop are directed and controlled by the local LBA. 7. The droop settings will be such that the BESS responds before AEEC’s thermal generation assets. These settings may be modified subject to engineering studies initiated by BESS Operator or Authority/BPMC . 8. The BESS energy charge level must be managed so that both high and low frequency response will be available. 9. The Authority understands these system events cannot be scheduled, so the value the BESS brings is by being available to respond to these unscheduled events. 10. The BESS will require maintenance outages that will be coordinated with other Project BESS, so that impact to the ability of the BESS to respond to system events is minimized. 11. The Authority and BPMC recognize if the tie line(s) to Anchorage is out of service and the Kenai is islanded, the BESS will be fully dedicated to serving the AEEC LBA. 12. AEEC owns and operates electric transmission facilities and is engaged in the transmission, purchase, and sale of electric power and energy; 13. AEEC agrees to be the Soldotna BESS Operator and perform Soldotna BESS Operations and Maintenance for the benefit of the Project; 14. The Authority, the BPMC, and AEEC desire a contract be entered for AEEC to perform Soldotna BESS operations and maintain the Soldotna BESS for the benefit of the Project as described herein; 15. Pursuant to the Power Sales Agreement, the BPMC has approved the terms of this Agreement. AGREEMENT NOW THEREFORE, in consideration of the mutual covenants herein contained the Parties hereto agree as follows: SECTION 1 - DEFINITIONS The terms used in this Agreement shall be as defined in the Power Sales Agreement, except as specified below. For the purposes of this Agreement, the following definitions and abbreviations apply: A. “AEEC” means the Alaska Electric and Energy Cooperative, Inc. Page 3 of 13 SOLDOTNA BESS O&M AGREEMENT B. "Agreement" means this Agreement. C. “Annual Soldotna BESS Facilities Budget” shall have the meaning set forth in Section 5.B. of this Agreement. D. “Authority” means the Alaska Energy Authority or any successor agency. E. “BESS Availability” means those times when the BESS is connected to the grid and available. F. "BPMC" means the Bradley Lake Project Management Committee. G. “Construction” has the meaning given in AS 36.90.300(c). H. “Effective Date” means at 12:00 a.m. on December 1, 2023. I. "Emergency" means an unforeseen circumstance or the resulting state that requires immediate action to protect or preserve the Soldotna BESS, personnel, public health and safety, or operation of the interconnected electric utility system. J. “Fiscal Year” means July first (1st) to June thirtieth (30th) of each year. K. “Master Maintenance and Operating Agreement” means the Bradley Lake Hydroelectric Project Master Maintenance and Operation Agreement dated May 24, 1994, as amended by the Second Amended and Restated Operation and Maintenance Agreement. L. "Party" or "Parties" means the signatories to this Agreement. M. "Power Sales Agreement" means the Agreement For The Sale And Purchase of Electric Power, dated December 8, 1987, by and among the Alaska Power Authority and the Chugach Electric Association, Inc., the Golden Valley Electric Association, Inc., the Municipality of Anchorage (d.b.a. Municipal Light and Power), the City of Seward (d.b.a. Seward Electric System) and; the Alaska Electric Generation and Transmission Cooperative, Inc. and the Homer Electric Association, Inc. and the Matanuska Electric Association, Inc. N. “Professional Services” has the meaning given in AS 36.30.990. O. “Project” means the Bradley Lake Hydroelectric Project and Project-related facilities. P. "Soldotna BESS" means the Soldotna Battery Energy Storage System located adjacent to the Soldotna Substation. Q. "Soldotna Substation" means AEEC's substation at Soldotna, Alaska. Page 4 of 13 SOLDOTNA BESS O&M AGREEMENT R. "Soldotna BESS Operator" means the entity the Authority and BPMC has arranged for and authorized to perform BESS Operations and Maintenance. S. “BESS Operations and Maintenance” means operation maintenance of the Soldotna Battery Energy Storage System and includes operations performed at the Soldotna BESS site such as high voltage switching, establishment of working clearances, and Soldotna BESS local equipment troubleshooting. T. "BESS" means a Battery Energy Storage System. U. “LBA” means Load Balancing Area, and for purposes of this Agreement shall mean the Load Balancing Area served by AEEC, SECTION 2 - EFFECTIVE DATE, TERM, AND TERMINATION A. Effective Date and Term of Agreement. This Agreement shall become effective on the Effective Date and shall continue in effect until terminated as provided in Section 2. B. of this Agreement. B. Termination of Agreement. 1. This Agreement may be terminated under the following conditions: a. In the event of a material breach of this Agreement by a Party, the other Party shall give the breaching Party written notice of the breach and an opportunity to cure the breach within a reasonable time considering the circumstances of the breach. In the event the breach is not cured within a reasonable time, the non-breaching Party, except as provided in Section 2.B.2. of this Agreement, may terminate its obligations, duties and all rights it has under this Agreement. Any dispute as to a reasonable time to cure the breach shall be adjudicated by the BPMC. b. By the BESS Operator delivering written notice to the Authority and BPMC as provided in Section 5.B.3. of this Agreement. All liabilities accruing under this Agreement prior to its termination shall be and are hereby preserved until satisfied. SECTION 3 - GENERAL PROVISIONS AND INCORPORATION OF EXHIBIT A OF THE MASTER OPERATING AGREEMENT This Agreement is subject to the terms of the Master Maintenance and Operating Agreement. Exhibit A, Master Contract Provisions of the Master Maintenance and Operating Agreement, as may be amended, is expressly incorporated in this Agreement, Page 5 of 13 SOLDOTNA BESS O&M AGREEMENT with the exception of paragraphs (h) Indemnity, (o) Notice and Communications and (t) Third Party Beneficiaries, which are superseded by the terms of this Agreement. Nothing in this Agreement is intended to alter the rights and obligations of the Authority and the Purchaser(s) under the Power Sales Agreement. In the event the terms of this Agreement, the Power Sales Agreement or Master Maintenance and Operating Agreement are found to be in conflict, the terms of the Power Sales Agreement shall have first priority with the Master Maintenance and Operating Agreement having second priority. The provisions of this Agreement are not intended, nor shall they be construed, to alter or modify any previous contracts or agreements of any Party or preclude any Party from performing existing obligations. In their performance of this Agreement, the Parties will comply with the terms and provisions of the Power Sales Agreement. SECTION 4 - OPERATIONAL REQUIREMENTS A. Systems Operation. AEEC agrees to operate its electric utility system in accordance with the provisions of Section 10(c) of the Power Sales Agreement. AEEC will maintain historical operational records to demonstrate BESS system response and availability. Expected BESS Availability will be greater than 90%. BESS Availability will be reported to the Bradley O&D Committee on a monthly basis. Any periods where BESS Availability is less than 90%, will be subject to review by the Authority and the BPMC. B. Soldotna BESS Operation and Maintenance. In accordance with the provisions of this Agreement, the BESS Operator shall be responsible for the BESS Operations and Maintenance of the Soldotna BESS on behalf of the BPMC and the Authority. BESS manufacturer warranties and maintenance agreements will be maintained by AEEC on behalf of the BPMC and the Authority. Any notices that impact equipment capacity or availability, issued by the BESS manufacturer, shall be provided to the Bradley O&D Committee within 5 days of receipt by the BESS Operator. BESS electrical auxiliary (station service) use on AEEC’s system will be reported monthly to the Bradley O&D Committee, a standing subcommittee of the BPMC. BESS electrical auxiliary loads will be reimbursed to AEEC on a pro rata Bradley project share basis. This reimbursement will be accounted for in adjustments to Page 6 of 13 SOLDOTNA BESS O&M AGREEMENT Bradley water use. SECTION 5 - OPERATION AND MAINTENANCE PLAN, AND BUDGETS A. Maintenance Plan Requirements. 1 The BESS Operator shall develop annually and submit to the BPMC a plan for operation and maintenance of the Soldotna BESS facilities. This plan shall be used for planning and tracking maintenance activities and as the basis and support for budget submittals to the Authority and the BPMC. 2 The plan shall function on a Fiscal Year basis. B. Annual BESS Facilities Budget. 1 After the Effective Date, and in accordance with schedules provided by the Authority, the BESS Operator shall prepare and submit each year to the Authority and to the BPMC a draft Annual Soldotna BESS Facilities Budget for the following Fiscal Year as provided in Section 5.D. of this Agreement. The draft budget shall be prepared in a format and schedule provided to the Authority by the BPMC. 2 The draft Annual Soldotna BESS Facilities Budget shall be based upon the anticipated operation and maintenance expenditure needs and reflect appropriate accounting and budgetary principles for utilities. 3 The BESS Operator shall perform its duties in a manner consistent with the Annual Soldotna BESS Facilities Budget except as provided in Sections 7 and 8 below. If the BESS Operator makes a determination during any Fiscal Year that it cannot perform its obligations under this Agreement without an increase in the expenditures authorized under the Annual Project Budget, the BESS Operator shall timely report such finding to the Authority and the BPMC and shall submit a revised budget with explanations and analyses where appropriate for the Authority's and the BPMC's review and approval. In the event the revised budget is not adopted by the BPMC and the Authority, or in the event the Authority, pursuant to Section 13(e) of the Power Sales Agreement does not authorize and agree to fund such expenditures, the BESS Operator may terminate this Agreement upon 90 days written notice to the Authority and the BPMC. C. Three-Year Major Maintenance and Improvements Plan and Budget. Annually the BESS Operator shall prepare and submit a three-year plan and budget for proposed major maintenance and improvements, (e.g., major equipment replacement) and other projects deemed by the BESS Operator to be Page 7 of 13 SOLDOTNA BESS O&M AGREEMENT required to insure continued safe and economical operation of the Soldotna BESS that are not included in the proposed annual maintenance plan for that Fiscal Year or require more than one year to complete. The three-year plan shall be revised annually and submitted together with the proposed annual maintenance plan that is part of the Annual Soldotna BESS Facilities Budget. D. Budget and Plan Submittal. The BESS Operator shall submit the annual maintenance plan, budget, and the three-year plan and budget to the Authority and the BPMC no later than January 15 for the next Fiscal Year. The plans, and budgets may be modified through negotiations between the BESS Operator and the Authority, subject to approval by BPMC. SECTION 6 - PAYMENT A. The BESS Operator shall advance the ordinary costs of performing under this Agreement, including station service costs, and submit such costs for reimbursement by the Authority per Section 6.B. of this Agreement. B. The BESS Operator shall prepare an invoice each month identifying the actual and reasonable costs incurred in a format mutually agreeable to the Authority and the BESS Operator. The invoice shall be furnished to the Authority by the twenty-first (21st) of the month following the month in which the costs are incurred. All such invoices shall be subject to audit and approval by the Authority; such approval shall not be unreasonably be withheld. C. Subject to the availability of funds, the Authority shall reimburse the BESS Operator for all costs reasonably incurred, properly invoiced, and approved under this Agreement. D. An appropriate invoice properly submitted to the Authority under Section 6.B. of this Agreement shall be due within thirty (30) days of receipt. Any amount not paid when due shall accrue simple interest at the legal rate of interest beginning at the time payment was due. E. The Authority shall authorize payment for the full amount of the BESS Operator charges pending the resolution of any cost dispute, except for those costs expressly disapproved in writing. Within thirty (30) days after the BESS Operator submits a charge, the Authority shall notify the BESS Operator in writing of the amount of the charge in dispute and the basis for the dispute. If the Parties cannot settle the dispute informally, the dispute shall be submitted to the BPMC for resolution. In the event a resolution of the dispute through the BPMC fails, either Party may file an action in the Alaska Superior Court for the Third Judicial District Page 8 of 13 SOLDOTNA BESS O&M AGREEMENT to obtain a decision resolving such dispute and to obtain any other remedy permitted by law. Pending final resolution of any such dispute the Parties shall continue to perform under this Agreement. SECTION 7 - EMERGENCY EXPENDITURES The BESS Operator shall take such actions as it reasonably believes are necessary in an Emergency. If in the reasonable judgment of the BESS Operator, the Emergency requires the BESS Operator to incur costs prior to obtaining written approval from the Authority, the BESS Operator shall declare an Emergency and notify the Authority and the BPMC within seventy-two (72) hours after discovery and declaration of the Emergency. SECTION 8 - EXTRAORDINARY MAINTENANCE AND EQUIPMENT REPLACEMENT When the BESS Operator learns of an equipment failure or other contingency that, in the BESS Operator's judgment, necessitates incurring an extraordinary maintenance and equipment replacement cost, the BESS Operator shall promptly notify the Authority and the BPMC of the circumstances. Except as provided in Section 7 of this Agreement, the BESS Operator shall obtain the Authority's written approval prior to incurring an extraordinary maintenance and equipment replacement cost. Except in an Emergency, the BESS Operator shall incur no extraordinary maintenance and equipment replacement cost for which the approval of the Authority has been requested and expressly denied in writing. To the extent necessary the BESS Operator shall notify the BESS Supplier regarding any and all BESS equipment failures or other issues, consistent with any and all manufacturer's warranties. SECTION 9 - MODIFICATIONS AND ADDITIONS Except in an Emergency, no modifications or additions shall be made to the Soldotna BESS without the prior written approval of the BPMC. SECTION 10 - AUTHORIZED REPRESENTATIVE The Parties shall each designate one representative to carry out the provisions of this Agreement. Within thirty (30) days after execution of this Agreement, each Party shall notify the other Party in writing of its designated representative. Any Party may change its representative at any time and shall promptly provide written notice of such change to the other Party. SECTION 11 - ACCESS TO FACILITIES A. Authority and BPMC personnel or agents shall be granted reasonable access to the Soldotna BESS, upon reasonable notice and subject to all safety and security measures, if and to the extent necessary for Soldotna BESS inspection and testing. Page 9 of 13 SOLDOTNA BESS O&M AGREEMENT SECTION 12 - FORCE MAJEURE A. No Party to the Agreement shall be liable to the other Party for, or be in breach of or default under this Agreement because of, any delay in performance or any delay or failure to deliver, receive or accept delivery of energy due to any of the following events: 1 Any cause or condition beyond such Party's reasonable control which such Party is unable to overcome by the exercise of reasonable diligence, including but not limited to: fire, flood, earthquake, volcanic activity, wind, drought and other acts of the elements; court order and act of civil, military or governmental authority; riot, insurrection, sabotage and war; breakdown of or damage to facilities or equipment; electrical disturbance originating in or transmitted through such Party's electric system or any electric system with which such Party's system is interconnected; and, any act or omission of any person or entity other than such Party, or Party's contractors or suppliers of any type or anyone acting on behalf of such Party. Strikes, lockouts, and other labor disturbances shall be considered Force Majeure events and nothing in this Agreement shall require either Party to settle a labor dispute against its best judgment; provided, that during any labor dispute each Party shall make all reasonable efforts under the circumstances, including, to the extent permitted by law and collective bargaining agreements, the use of replacement personnel and or management personnel and/or other personnel under the provisions of a mutual aid agreement to ensure, if possible, the continued ability of the Parties to carry out their obligations under this Agreement; or 2 Any action taken by such Party which is reasonably necessary or prudent to protect the operation, performance, integrity, reliability or stability of the Project or of such Party's electric system or any electric system with which such Party's electric system is interconnected, whether such actions occur automatically or manually. B. In the event of any delay excused under this section, the time for performance thereby delayed shall be extended by a period of time reasonably necessary to compensate for such delay. No cost adjustment shall be allowed, only time extensions as appropriate. Nothing contained in this paragraph shall require any Party to settle any strike, lockout or other labor dispute. Each Party shall give the other Party prompt written notice of any delay which the Party giving notice considers to be an excusable delay of its performance. SECTION 13 - DISPUTE RESOLUTION Pending resolution of a disputed matter, the Parties shall continue performance of their Page 10 of 13 SOLDOTNA BESS O&M AGREEMENT respective obligations pursuant to this Agreement. If the Parties cannot reach a timely, mutual agreement on any matter in the administration of this Agreement, the BESS Operator shall, to the extent necessary for its continued performance, make a determination of such matter without prejudice to the rights of the other Party. Such determination shall not constitute a waiver of any other remedy belonging to any Party. SECTION 14 - NOTICES Notices shall be addressed as follows: Executive Director, Alaska Energy Authority, 813 West Northern Lights Boulevard, Anchorage, Alaska 99503. Notices to AEEC will be addressed to: General Manager, Alaska Electric and Energy Cooperative, Inc., 3977 Lake Street, Homer Alaska 99603. A Party may change the foregoing designations of its name or address to which notices or demands are to be directed at any time by written notice given to the other Party. Any notice or request not otherwise provided for in this Agreement shall be given in such manner as the Parties agree. SECTION 15 – THIRD-PARTY BENEFICIARIES This Agreement gives no rights or benefits to anyone other than the Parties, AEEC and the Authority, and the BPMC as a third-party beneficiary. The BPMC is the only third-party beneficiary. In any action by the BPMC for damages, AEEC shall have the right to assert against the BPMC any defense which it could have asserted against the Authority. The raising of any such defense by AEEC shall not affect any right of a Purchaser or the BPMC under the Master Maintenance and Operating Agreement or Power Sales Agreement. The Parties intend that the BPMC is the representative of the Purchasers and is a third-party beneficiary of all Contracts with the legal right to enforce any Contracts. The BPMC, pursuant to BPMC procedures, may designate one or more of the Purchasers to represent the BPMC in any action to enforce its third-party rights hereunder. SECTION 16 - INDEMNITY AND LOSS A. Indemnity. The BESS Operator shall indemnify, defend, and hold the Authority harmless from and against any claim of, or liability for, negligent acts, errors, and omissions of the BESS Operator with respect to any Services provided by the BESS Operator under this Agreement. The BESS Operator is not required to indemnify, defend, or hold harmless the Authority or the BPMC for a claim of, or liability for, the independent negligent acts, errors, and omissions of the Authority or third parties. If there is a claim of, or liability for, a joint negligent act, error, or omission of the BESS Operator and Authority and the BPMC, the Page 11 of 13 SOLDOTNA BESS O&M AGREEMENT indemnification, defense, and hold harmless obligation of this provision shall be apportioned on a comparative fault basis. In this provision, “independent negligent acts, errors, and omissions” means negligence other than in the Authority’s selection, administration, monitoring, or controlling of the BESS Operator, or in approving or accepting the BESS Operator’s work. B. Uninsured Loss. The costs of any loss or damage to or arising out of the BESS Operator’s performance hereunder not covered by insurance, including uninsured deductibles and indemnity (including the BESS Operator’s indemnity under Section 16.A, above), shall be included in the Annual Soldotna BESS Facilities Budget as an operating cost unless and to the extent caused by the willful act or gross negligence of the BESS Operator. The Operator shall be responsible for paying any such costs if and to the extent the loss or damage is determined to be caused by or arises out of the Operator’s willful act or gross negligence. For the avoidance of doubt, the Operator acknowledges its responsibility, as a Participant, to pay its Percentage share of Annual Project Costs, including its Percentage Share of all amounts included in the Annual Soldotna BESS Facilities Budget. SECTION 17. INSURANCE. A. During the term of this Agreement, the BESS Operator shall purchase and maintain insurance covering injury to persons or property suffered by the Authority, the BPMC or a third party, as a result of errors or omissions or operations by the BESS Operator or by its subcontractor which arise both out of and during the course of the Agreement. The BESS Operator shall require all subcontractors providing services directly or indirectly under the Agreement to provide the same insurance as required of the BESS Operator. Coverage shall also provide protection against injuries to all employees of the BESS Operator and the employees of any subcontractor engaged in work under the Agreement. Copies of all required insurance policies shall be furnished to the Authority prior to beginning work under a Contract. These policies will show evidence of coverage and provide for ninety (90) days advance notice of written cancellation for non-renewal for material change in the coverage. See Attached Exhibit A for specific forms of insurance and coverage amounts. B. The BESS Operator shall purchase insurance adequate to cover its operations performed in connection with the work under this Agreement. Specifically, each Contractor shall maintain Worker's Compensation Insurance as required by AS 23.30 for all of its employees engaged in work under this Agreement, and Comprehensive General Liability Insurance, including Comprehensive General Liability Broad Form Insurance, Automobile Liability Insurance, Owned Aircraft Page 12 of 13 SOLDOTNA BESS O&M AGREEMENT Insurance (where applicable, and Owned Watercraft (where applicable), in amounts acceptable to the Authority and consistent with the Power Sales Agreement. C. The obligation to obtain and maintain insurance coverage pursuant to this Section shall be subject to the general availability of such coverage under reasonable terms and conditions. If one or more of the required insurance coverages is not available under reasonable terms and conditions, the BESS Operator shall, under the guidance and direction of the BPMC use its best efforts to obtain substantively equivalent insurance coverage acceptable to the BPMC, and the Authority. D. If, after utilizing its best efforts, the Contractor is unable to obtain the required insurance coverage under reasonable terms and conditions, as reasonably determined by the Contractor, the Contractor shall request a waiver of the relevant insurance requirement. The request shall outline steps taken by the Contractor to obtain such insurance and shall disclose quotations received for coverage. To the extent the waiver will not materially affect the safe and prudent operation of the Project, the Authority and BPMC, after consulting with the Division of Risk Management, will not unreasonably withhold approval of the requested waiver. Failure to furnish satisfactory evidence of insurance or failure to maintain the policy without complying with this subsection shall result in a material breach of this Agreement. IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed by their authorized officers or representatives as of the day and year first above written. ALASKA ENERGY AUTHORITY By:__________________________________ Curtis W. Thayer Executive Director ALASKA ELECTRIC AND ENERGY COOPERATIVE, INC. By: _________________________________ Bradley P. Janorschke General Manager Page 13 of 13 SOLDOTNA BESS O&M AGREEMENT STATE OF ALASKA ) ss. THIRD JUDICIAL DISTRICT ) The foregoing Agreement was acknowledged before me this __ day of ___________, 2023, by Curtis W. Thayer, the Executive Director of the Alaska Energy Authority, an Alaska corporation, on behalf of the corporation. ________________________________ Notary Public in and for Alaska My commission expires: STATE OF ALASKA ) ss. THIRD JUDICIAL DISTRICT ) The foregoing Agreement was acknowledged before me this.___ day of ____________, 2023, by Bradley P. Janorschke, the General Manager of the Alaska Electric and Energy Cooperative, Inc., an Alaska corporation, on behalf of the corporation. ________________________________ Notary Public in and for Alaska My commission expires: Page 14 of 13 SOLDOTNA BESS O&M AGREEMENT EXHIBIT A TYPES OF INSURANCE The BESS Operator shall purchase the following insurance to cover its operations performed in connection with the work under this Agreement. 1. Worker's Compensation Insurance: The BESS Operator shall provide and maintain Workers Compensation Insurance for all employees of The BESS Operator engaged in work under this Agreement. Such insurance shall include: a. Statutory coverage for states in which employees are engaged in work; b. Employers Liability Protection in the amount of $100,000/$500,000/$100,000 per occurrence; c. Broad Form All States Endorsement; d. U.S. Longshoreman's 8 Harbor Workers Compensation Act coverage endorsement; e. Voluntary Compensation Endorsement. f. Comprehensive General Liability Insurance: The BESS Operator shall purchase and maintain comprehensive general liability insurance subject to the following limits of liability: i. Comprehensive General Liability Broad Form $2,000,000 each occurrence, Combined Single Limits each occurrence and affording insurance for Premises- Operations, Owners and Contractors' Protective, Independent Contractors, Products/Completed Operations, Blanket Contractual Liability, Broad Form Property Damage, Personal Injury Liability, Incidental Errors and Omissions. ii. Automobile Liability Insurance covering all vehicles. Such insurance shall provide coverage not less than that of the Business Automobile Policy in limits not less than $2,000,000 Combined Single Limit each occurrence for Bodily Injury and Property Damage Liability. Owned Aircraft (if applicable) and Non-Owned Aircraft with limits of liability not less than: $1,000,000 - Bodily Injury per passenger $1,000,000 - Property Damage Liability per occurrence Coverage shall not exclude Slung Cargo Exposures. iii. Owned Watercraft (if applicable) and Non-Owned Watercraft with limits of liability not less than $10,000,000 per occurrence, any one vessel, any one tow. Coverage to include: All Maritime Liabilities including Protection and Indemnity. Regional Railbelt Coordination Budget2023‐24 BudgetDescriptionQTY UOM Rate Total GL Account2 Concept papers GRIP topics 1&3 DC Grant writer LSI 200 hours $150 $30,000 9232 applications GRIP Topics 1&3 DC Grant Writer‐LSI 533 Hours $150 $80,000 923Local Grant Writing Consultant Community benefit plan‐Agnew Beck 100 Hours $150 $15,000 923Engineering development for Concept papers‐360 Hours $225 $80,000 923Enginaeerng and estimating supprt, Concept papers and Applications 200 Hours $225 $45,000 923FY 2022‐23 GRIP Budget Amendment $250,000 Bradley Lake Operator Report Page 1 Bradley Lake Operator Report BPMC December 8, 2023 Unit Statistics: Generation Unit 1 (MWhrs)Unit 2 (MWhrs)Total (MWhrs) Sept. 2023 Oct. 2023 Nov. 2023 18,069 18,777 16,383 15,260 15,740 14,288 33,329 34,517 30,671 Hydraulics Avg. Lake Level (ft.)Bradley Fishwater (ac ft.) Battle Creek MIF (ac ft.) Sept. 2023 Oct. 2023 Sept. 2023 1,169 1,167 1,162 4,275 1,563 1,729 8 739 1,284 0 Battle Creek Inflows to Bradley (ac ft.) Sept. 2023 Oct. 2023 Nov. 2023 5,668 2,149 0 *Lake Level – 1,159.9’ As of Dec. 1, 2023 Activities Dam – Completed the monthly safety inspections for September, October, and November. Cleaned up and installed new signage at the emergency generator fuel storage tank. Dam Access Road –The road up to the dam is accessible by project vehicles, but due to the warm temperatures in late November the snow has melted and refroze creating many icy spots. Battle Creek Diversion – The diversion was shut down on 25 Oct. 2023. Bradley Lake New Residence –Completed installing the windows, doors, siding, and roof. Working to finish the interior. Needle Valve Purchase – On Schedule. 3D modeling has been completed. Material procurement is in progress. The supplier of the nozzle bodies is behind their original time estimate for delivery to the shop. The overall project is still on schedule for delivery by Aug 2024. 40 Ton Crane – Nothing new to report. Fire System- We are working on revising the first draft of the request for bid package. Safety- There have been no lost time or reportable accidents for the months of September, October, and November 2023. Safety meetings were conducted Bradley Lake Operator Report Page 2 on September 20, October 18, and November 8, 2023. Next safety meeting is scheduled for 13 Dec 2023. Avalanche safety and rescue training course will be conducted on site on 28 February 2024. New Equipment- Telehandler all terrain forklift has been delivered to the spit. The loader mounted boom mower est. delivery is April 2024. The replacement vehicle (F150 Pickup) has been ordered. No est. on delivery time. Barge trip – Barge is scheduled for second week in January 2024 to deliver the new forklift and building materials for the new residence. Forced outage –None to report. Scheduled Outage – Unit #2 was scheduled out for maintenance on 20 November 2023 from 9:30am- 4pm. We replaced the governor main control module, and a failed coil on the thrust bearing oil pump. Contractors/ Visitors on site: o HEA- Larry Jorgensen out for the Safety Meeting on 20 Sept., 18 Oct., and 8 Nov. 2023. o ADFG crew out to service and pull the counting weir on Battle Creek. o Country Electric out to walk down the electrical wiring for the new residence. o Andrew Anderson to walk down the interior work on the new residence. o HEA Jason Kirby and Jess Russell replacing the Operator Workstation hard drive. Bradley Lake Operator Report Page 3 Bradley Lake Dam Bradley Lake Spillway Elev.1165.1 Watershed from the west Bradley Lake Operator Report Page 4 Power Tunnel Gate House Hydraulic Accumulator System Spillway Gallery Bradley Lake Operator Report Page 5 New Residence Dried In Alaska Energy Authority Bradley Lake Budget to Actual Expenses 07/01/2023 to 10/31/2023 Page 1 of 13 FY22 FY22 FY23 FY23 FY24 FY24 BUDGET ACTUALS BUDGET ACTUALS BUDGET ACTUALS Upgrade Crews Quarters and Residents Kitchen 139,000 7,318 159,000 67,395 - - Battle Creek Bridge Repair 80,000 112,337 - - - - IRIS Air Gap Monitoring System (computer) 45,000 86,805 65,000 18,491 - - Replace Dump Truck and Sander 20,000 - - 29,493 - - Heavy Duty trailer for equipment 20,000 - 20,000 20,000 - - ABB Replace GIS Actuators 240,000 - 309,000 310,245 - - Replacement pickup truck 45,000 - - 46,299 - - Needle Valve rebuild 150,000 29,727 150,000 - - - Start new servo design 100,000 - 250,000 396,171 - - Soldotna SVC Battery Replacement 70,000 76 - - - - North Fork Improvements - - 5,000 - - - Mini Excavator - - 100,000 94,465 - - Install New Bradley Microwave System - - 500,000 280,356 518,000 226 Brush Hog for Front End Loader - - - - 150,000 - JLG All Terrain Fork Lift- New Purchase - - - - 190,000 19,566 Replace BL#5 2009 F150 Crew Cab Pickup - - - - 45,000 - Warhouse Heaters x2 (Replace) - - - - 5,000 - ISO Shipping Containers x2 (Replace) - - - - 40,000 10,200 Total Non R&C Capital Purchases 909,000 236,264 1,558,000 1,262,914 948,000 29,992 BRADLEY LAKE CAPITAL PURCHASES NOT FUNDED BY R&C FUND ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Schedule A Expenses for the period 07/01/23 to 10/31/23 Page 2 of 13 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS & MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2023 THROUGH 10/31/2023 FY 24 FY 23 FY24 Approved Budget BUDGET % 07/01/2023 - 10/31/2023 HEA Actual CEA Actual AEA Actual Total Actual (Over) Under Budget to Date FY23 Approved Budget FY23 Actual Summary by expense type Staff Professional Services (Direct) 387,700 129,233 - - 78,508 78,508 50,725 277,000 289,268 Labor & Benefits 2,023,067 674,356 320,127 10,986 204,383 535,497 138,859 1,997,876 1,801,438 Travel 78,500 26,167 783 - 9,391 10,174 15,992 84,950 12,894 Training 50,000 16,667 6,018 - - 6,018 10,649 49,300 19,549 Contractual 1,181,381 393,794 168,812 - 74,165 242,977 150,817 1,215,727 1,068,101 Consulting-Administrative 265,000 88,333 - - 44,280 44,280 44,053 249,375 248,684 Supplies & Materials 330,332 110,111 38,966 - - 38,966 71,144 329,232 133,087 Other Costs 79,318 26,439 11,423 9,413 - 20,836 5,604 79,318 64,623 Equipment, Furniture & Machinery 165,000 55,000 28,168 - - 28,168 26,832 24,000 7,877 Administrative Costs 1,553,800 517,933 12,256 - 489,230 501,486 16,448 1,492,905 1,549,774 Indirect Costs 1,480,105 493,368 429,936 - - 429,936 63,433 1,486,285 1,364,672 O&M 4% Allocation to Battle Creek (303,768) (101,256) - - - - (101,256) (236,473) - Total Bradley Lake Budget 7,290,435 2,430,145 1,016,488 20,399 899,957 1,936,845 493,300 7,049,495 6,559,966 FERC 535 - Operation Supervision & Engineering Operations Sup/Eng Bradley Lake Operating Labor & Benefits 105,451 35,150 37,332 - - 37,332 (2,181) 108,311 112,787 Travel 5,000 1,667 783 - - 783 884 10,450 590 Training 5,000 1,667 581 - - 581 1,086 9,300 - Contractual 3,000 1,000 - - - - 1,000 1,000 - Supplies & Materials 4,000 1,333 - - - - 1,333 4,000 314 Indirect Costs 155,698 51,899 51,531 - - 51,531 369 155,698 150,349 Bradley Lake Operating Total 278,149 92,716 90,226 - - 90,226 2,490 288,759 264,040 FERC 535 - Operation Supervision & Engineering Total 278,149 92,716 90,226 - - 90,226 2,490 288,759 264,040 FERC 537 - Hydraulic Expenses Hydraulic Expenses Bradley Lake Operating Labor & Benefits 95,262 31,754 22,399 - - 22,399 9,355 90,192 75,953 Contractual 60,000 20,000 - - - - 20,000 123,000 87 Supplies & Materials 2,000 667 774 - - 774 (108) 32,000 1,804 Indirect Costs 109,250 36,417 32,398 - - 32,398 4,019 114,320 105,908 Bradley Lake Operating Total 266,512 88,837 55,572 - - 55,572 33,266 359,512 183,752 FERC 537 - Hydraulic Expenses Total 266,512 88,837 55,572 - - 55,572 33,266 359,512 183,752 FERC 538 - Electric Expenses Electric Expenses Bradley Lake Operating Labor & Benefits 218,044 72,681 67,624 - - 67,624 5,058 218,044 228,803 Travel 7,000 2,333 - - - - 2,333 7,000 2,039 Training 30,000 10,000 5,437 - - 5,437 4,563 25,000 17,786 Contractual 5,000 1,667 - - - - 1,667 2,000 - Supplies & Materials 13,732 4,577 1,025 - - 1,025 3,553 9,732 4,319 Indirect Costs 262,004 87,335 80,021 - - 80,021 7,314 262,004 256,573 Bradley Lake Operating Total 535,780 178,593 154,106 - - 154,106 24,488 523,780 509,520 FERC 538 - Electric Expenses Total 535,780 178,593 154,106 - - 154,106 24,488 523,780 509,520 FERC 539 - Misc. Hydraulic Power Generation Expenses Misc Hydro Power Exp Bradley Lake Operating Labor & Benefits 105,742 35,247 25,888 - - 25,888 9,359 105,742 90,508 Training 15,000 5,000 - - - - 5,000 15,000 1,009 Contractual 360,067 120,022 140,202 - - 140,202 (20,180) 315,867 229,130 Supplies & Materials 25,000 8,333 2,539 - - 2,539 5,794 17,900 20,976 Indirect Costs 114,320 38,107 37,404 - - 37,404 702 114,320 120,737 Bradley Lake Operating Total 620,129 206,710 206,034 - - 206,034 675 568,829 462,360 BRADLEY CIRCUITS/RADIO TO BERNICE LK Other Costs 35,695 11,898 11,423 - - 11,423 476 35,695 34,149 BRADLEY CIRCUITS/RADIO TO BERNICE LK Total 35,695 11,898 11,423 - - 11,423 476 35,695 34,149 BRADLEY CIRCUITS BERNICE LK TO ANCH Other Costs 29,773 9,924 - 9,413 - 9,413 511 29,773 28,471 BRADLEY CIRCUITS BERNICE LK TO ANCH Total 29,773 9,924 - 9,413 - 9,413 511 29,773 28,471 FERC 539 - Misc. Hydraulic Power Generation Expenses Total 685,597 228,532 217,457 9,413 - 226,870 1,663 634,297 524,980 FERC 541 - Maintenance Supervision & Engineering Maint Supervision/Eng Bradley Lake Operating Labor & Benefits 110,451 36,817 37,332 - - 37,332 (515) 116,171 113,497 Indirect Costs 155,698 51,899 51,531 - - 51,531 369 155,698 150,349 Bradley Lake Operating Total 266,149 88,716 88,862 - - 88,862 (146) 271,869 263,847 FERC 541 - Maintenance Supervision & Engineering Total 266,149 88,716 88,862 - - 88,862 (146) 271,869 263,847 FERC 542 - Maintenance of Structures Maintenance of Structures Bradley Lake Operating Labor & Benefits 89,710 29,903 22,304 - - 22,304 7,599 86,639 69,437 Contractual 56,000 18,667 1,322 - - 1,322 17,345 56,000 59,713 Supplies & Materials 78,000 26,000 5,719 - - 5,719 20,281 94,000 9,592 Equipment, Furniture & Machinery 15,000 5,000 2,166 - - 2,166 2,834 19,000 6,693 Indirect Costs 102,350 34,117 31,225 - - 31,225 2,891 105,421 96,693 Bradley Lake Operating Total 341,060 113,687 62,735 - - 62,735 50,951 361,060 242,128 FERC 542 - Maintenance of Structures Total 341,060 113,687 62,735 - - 62,735 50,951 361,060 242,128 FERC 543 - Maintenance of Reservoirs, Dams & Waterways Maint Res, Dams, WWays Bradley Lake Operating Labor & Benefits 51,783 17,261 570 - - 570 16,691 53,744 1,507 Travel - - - - - - - 1,000 - Contractual 6,500 2,167 - - - - 2,167 22,500 5,114 Supplies & Materials 20,000 6,667 - - - - 6,667 20,000 - Page 3 of 13 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS & MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2023 THROUGH 10/31/2023 FY 24 FY 23 FY24 Approved Budget BUDGET % 07/01/2023 - 10/31/2023 HEA Actual CEA Actual AEA Actual Total Actual (Over) Under Budget to Date FY23 Approved Budget FY23 Actual Indirect Costs 58,650 19,550 765 - - 765 18,785 56,689 1,511 Bradley Lake Operating Total 136,933 45,644 1,335 - - 1,335 44,309 153,933 8,132 BRADLEY POWER TUNNEL MAINT (Dam) Contractual 15,000 5,000 - - - - 5,000 - - BRADLEY POWER TUNNEL MAINT (Dam) Total 15,000 5,000 - - - - 5,000 - - FERC 543 - Maintenance of Reservoirs, Dams & Waterways Total 151,933 50,644 1,335 - - 1,335 49,309 153,933 8,132 FERC 544 - Maintenance of Electric Plant Maintenance of Elec Plant Bradley Lake Operating Labor & Benefits 309,110 103,037 79,295 - - 79,295 23,742 309,110 276,280 Travel 4,500 1,500 - - - - 1,500 4,500 - Contractual 40,000 13,333 5,249 - - 5,249 8,084 58,000 3,180 Supplies & Materials 40,000 13,333 16,981 - - 16,981 (3,648) 43,000 28,310 Indirect Costs 423,178 141,059 115,856 - - 115,856 25,204 423,178 384,985 Bradley Lake Operating Total 816,788 272,263 217,381 - - 217,381 54,882 837,788 692,754 FERC 544 - Maintenance of Electric Plant Total 816,788 272,263 217,381 - - 217,381 54,882 837,788 692,754 FERC 545 - Maintenance of Misc. Hydraulic Plant Maint of Misc Hydr Plant Bradley Lake Operating Labor & Benefits 69,297 23,099 20,084 - - 20,084 3,015 69,297 70,628 Contractual 45,000 15,000 7,617 - - 7,617 7,383 3,900 7,276 Supplies & Materials 68,000 22,667 11,929 - - 11,929 10,738 29,000 41,166 Equipment, Furniture & Machinery 150,000 50,000 26,002 - - 26,002 23,998 5,000 1,184 Indirect Costs 98,957 32,986 29,206 - - 29,206 3,780 98,957 97,565 Bradley Lake Operating Total 431,254 143,751 94,837 - - 94,837 48,914 206,154 217,819 FERC 545 - Maintenance of Misc. Hydraulic Plant Total 431,254 143,751 94,837 - - 94,837 48,914 206,154 217,819 FERC 556 - System Control & Load Dispatching System Cntl & Load Disp Bradley Lake Operating Labor & Benefits 20,174 6,725 4,774 - - 4,774 1,951 20,174 22,342 Contractual 85,500 28,500 680 - - 680 27,820 85,500 97,154 Supplies & Materials 12,000 4,000 - - - - 4,000 12,000 4,242 Bradley Lake Operating Total 117,674 39,225 5,453 - - 5,453 33,771 117,674 123,738 Snow Measurement Bradley Lake Operating Contractual 10,000 3,333 - - 9,600 9,600 (6,267) 10,000 9,600 Bradley Lake Operating Total 10,000 3,333 - - 9,600 9,600 (6,267) 10,000 9,600 Seismic Service Bradley Lake Operating Contractual 62,000 20,667 - - 13,925 13,925 6,742 62,000 63,456 Bradley Lake Operating Total 62,000 20,667 - - 13,925 13,925 6,742 62,000 63,456 Streamguaging Serv Bradley Lake Operating Contractual 278,014 92,671 - - 50,640 50,640 42,031 218,000 191,173 Bradley Lake Operating Total 278,014 92,671 - - 50,640 50,640 42,031 218,000 191,173 Permits Bradley Lake Operating Other Costs 350 117 - - - - 117 350 240 Bradley Lake Operating Total 350 117 - - - - 117 350 240 FERC 556 - System Control & Load Dispatching Total 468,038 156,013 5,453 - 74,165 79,618 76,394 408,024 388,208 FERC 562 - Station Expenses Station Expenses Bradley Lake Operating Labor & Benefits 102,043 34,014 2,526 10,986 - 13,513 20,502 98,418 58,186 Travel 3,500 1,167 - - 336 336 831 3,500 - Contractual 80,300 26,767 13,742 - - 13,742 13,025 87,960 63,979 Supplies & Materials 19,600 6,533 - - - - 6,533 44,600 9,918 Other Costs 1,500 500 - - - - 500 1,500 - Bradley Lake Operating Total 206,943 68,981 16,268 10,986 336 27,591 41,390 235,978 132,082 FERC 562 - Station Expenses Total 206,943 68,981 16,268 10,986 336 27,591 41,390 235,978 132,082 FERC 571 - Maintenance of Overhead Lines Maint of OH Lines Bradley Lake Operating Labor & Benefits 16,000 5,333 - - - - 5,333 39,954 39,373 Contractual 75,000 25,000 - - - - 25,000 150,000 171,636 Supplies & Materials 30,000 10,000 - - - - 10,000 5,000 1,108 Bradley Lake Operating Total 121,000 40,333 - - - - 40,333 194,954 212,117 FERC 571 - Maintenance of Overhead Lines Total 121,000 40,333 - - - - 40,333 194,954 212,117 FERC 920 & 930 - Administrative Expense AEA Bradley Fixed Admin Fees Bradley Lake Operating Staff Professional Services (Direct) 387,700 129,233 - - 78,508 78,508 50,725 277,000 270,305 Travel - - - - 9,055 9,055 (9,055) - 3,888 Training - - - - - - - - 754 Consulting-Administrative - - - - - - - - 2,390 Supplies & Materials - - - - - - - - 4,246 Administrative Costs 2,500 833 - - 19,212 19,212 (18,378) 2,500 166,004 Bradley Lake Operating Total 390,200 130,067 - - 106,775 106,775 23,292 279,500 447,588 Bradley Lake Bond Financing Staff Professional Services (Direct) - - - - - - - - 18,962 Bradley Lake Bond Financing Total - - - - - - - - 18,962 BRADLEY HEA BESS Preliminary Study BRADLEY HEA BESS Preliminary Study Total - - - - - - - - - General & Administrative Costs Supplies & Materials - - - - - - - - 154 Page 4 of 13 ALASKA ENERGY AUTHORITY BRADLEY LAKE OPERATIONS & MAINTENANCE SCHEDULE B BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2023 THROUGH 10/31/2023 FY 24 FY 23 FY24 Approved Budget BUDGET % 07/01/2023 - 10/31/2023 HEA Actual CEA Actual AEA Actual Total Actual (Over) Under Budget to Date FY23 Approved Budget FY23 Actual Administrative Costs - - - - - - - - (350) General & Administrative Costs Total - - - - - - - - (196) Operating Committee Exp-Audit Bradley Lake Operating Administrative Costs 22,000 7,333 - - - - 7,333 19,900 32,520 Bradley Lake Operating Total 22,000 7,333 - - - - 7,333 19,900 32,520 Operating Committee Exp-Legal Bradley Lake Operating Administrative Costs 80,000 26,667 - - 35,543 35,543 (8,876) 70,000 153,966 Bradley Lake Operating Total 80,000 26,667 - - 35,543 35,543 (8,876) 70,000 153,966 Operat Committee Exp-Arbitrage Bradley Lake Operating Administrative Costs - - - - - - - 5,000 - Bradley Lake Operating Total - - - - - - - 5,000 - Trust & Account Fees Bradley Lake Operating Administrative Costs 13,000 4,333 - - - - 4,333 13,000 - Bradley Lake Operating Total 13,000 4,333 - - - - 4,333 13,000 - Misc Admin Bradley Lake Operating Administrative Costs 13,000 4,333 - - 190 190 4,144 12,000 13,604 Bradley Lake Operating Total 13,000 4,333 - - 190 190 4,144 12,000 13,604 Professional Consultants Bradley Lake Operating Labor & Benefits 730,000 243,333 - - 204,383 204,383 38,950 682,080 642,139 Travel 58,500 19,500 - - - - 19,500 58,500 6,376 Contractual - - - - - - - 20,000 166,602 Consulting-Administrative - - - - - - - - 4,458 Supplies & Materials 18,000 6,000 - - - - 6,000 18,000 6,940 Other Costs 12,000 4,000 - - - - 4,000 12,000 1,762 Bradley Lake Operating Total 818,500 272,833 - - 204,383 204,383 68,450 790,580 828,277 FERC 920 & 930 - Administrative Expense Total 1,336,700 445,567 - - 346,891 346,891 98,676 1,189,980 1,494,722 FERC 924 & 925 - Insurance Premiums Insurance Premiums Bradley Lake Operating Administrative Costs 1,138,300 379,433 12,256 - 383,012 395,268 (15,834) 1,015,505 974,625 Bradley Lake Operating Total 1,138,300 379,433 12,256 - 383,012 395,268 (15,834) 1,015,505 974,625 FERC 924 & 925 - Insurance Premiums Total 1,138,300 379,433 12,256 - 383,012 395,268 (15,834) 1,015,505 974,625 FERC 923 - Outside Services Employed Outside Services Employed Bradley Lake Operating Consulting-Administrative 265,000 88,333 - - 44,280 44,280 44,053 249,375 241,836 Bradley Lake Operating Total 265,000 88,333 - - 44,280 44,280 44,053 249,375 241,836 FERC 923 - Outside Services Employed Total 265,000 88,333 - - 44,280 44,280 44,053 249,375 241,836 FERC 928 - Regulatory Commission Expenses FERC Admin Fees Bradley Lake Operating Administrative Costs 165,000 55,000 - - - - 55,000 150,000 126,085 Bradley Lake Operating Total 165,000 55,000 - - - - 55,000 150,000 126,085 FERC Related Prof Services BRADLEY FERC PART 12 INSPECTION Administrative Costs - - - - - - - 25,000 435 BRADLEY FERC PART 12 INSPECTION Total - - - - - - - 25,000 435 BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES Administrative Costs 120,000 40,000 - - 51,274 51,274 (11,274) 180,000 82,883 BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES Total 120,000 40,000 - - 51,274 51,274 (11,274) 180,000 82,883 FERC 928 - Regulatory Commission Expenses Total 285,000 95,000 - - 51,274 51,274 43,726 355,000 209,404 O&M 4% Allocation to Battle Creek (303,768) (101,256) - - - - (101,256) (236,473) - Total Bradley Lake Budget 7,290,435 2,430,145 1,016,488 20,399 899,957 1,936,845 493,300 7,049,495 6,559,966 Page 5 of 13 Actual Projected Actual Projected Actual Projected @ 6/30/22 TO REPAY Budget @ 6/30/23 TO REPAY Budget @ 6/30/24 TO REPAY Budget Description Expense @6/30/22 FY22 Expense @6/30/23 FY23 Expense @6/30/24 FY24 R&C FUND PROJECTS Governor - 4,052,070 - - 4,052,070 - - 4,052,070 - Replace RFLS - 251,093 - - 251,093 - - 251,093 - Replace Runners - 1,946,733 - - 1,946,733 - - 1,946,733 - Replace cable from dam to power house - 2,321,923 - - 2,321,923 - - 2,321,923 - Replace power system stabilizer - 619,205 - - 619,205 - - 619,205 - Replace two RTUs - 86,905 - - 86,905 - - 86,905 - Culvert Repairs - 675,967 - - 675,967 - - 675,967 - Tower Repair for Jack Frost Heaves - 887,597 - - 887,597 - - 887,597 - Replace Plant and SCADA Controls - 1,344,683 - - 1,344,683 - - 1,344,683 - Vibration Monitoring System - 490 - - 490 - - 490 - Fire Alarm System Replacement 28,593 134,225 150,000 3,173 137,397 1,500,000 25,492 162,889 1,338,000 Battle Creek Diversion - 1,170,000 - - 1,170,000 - - 1,170,000 - Bradley Replace Electro-Mechanical Relays - 1,277,197 - - 1,277,197 - - 1,277,197 - Fishwater Screen Debris Removal - 312,236 - - 312,236 - - 312,236 - Turbine Nozzel Repair - 1,428,861 - - 1,428,861 - - 1,428,861 - SVC replacement Daves Creek | Soldotna - 8,517,991 - - 8,517,991 - - 8,517,991 - Equipment Storage Shed - 510,550 - - 510,550 - - 510,550 - Emerson Operating System Upgrade - 622,665 - - 622,665 - - 622,665 - Generator #2 Replacement - 953,213 - - 953,213 - - 953,213 - Road Grader 342,330 342,330 - - 342,330 - - 342,330 - Battle Creek Construction - 3,739,591 - - 3,739,591 - - 3,739,591 - Battle Creek Cash Call-Expended - 750,000 - - 750,000 - - 750,000 - Battle Creek Cash Call-Paid by Utilities - (750,000) - - (750,000) - - (750,000) - Needle Repairs - 1,482,791 - - 1,482,791 - - 1,482,791 - Construct Additional Residence 69,594 69,594 980,000 125,175 194,769 - 367,731 562,499 910,000 Spillway Raise & Expansion Project (aka Dixon Diversion)**547,699 547,699 800,000 661,031 1,208,731 1,500,000 181,816 1,390,546 252,000 Needle Valve Rebuild - - - - - - - - 1,579,535 988,217 33,295,609 1,930,000 789,379 34,084,987 3,000,000 575,038 34,660,025 4,079,535 Current Year R&C Repayment (2,435,902) (2,757,013) (3,338,646) Adjust balance to $5 million - - - Interest in Fund Applied to Repayment (42,921) (100,912) (30,563) Net Transfer from Revenue Fund (2,478,823) (2,857,925) (3,369,209) Cumulative Prior Years R&C Repayments (27,707,352) (29,808,017) (31,677,137) Due to (from) Utilities 378,159 988,805 1,459,342 Adjust Due to R&C Actual - - - (27,329,193) (28,819,211) (30,217,795) NET DUE TO R&C FUND 3,487,592 2,407,851 1,073,022 R&C FUND CASH FLOW PROJECTION Beginning Investment Balance 1,069,523 2,363,808 4,370,333 Disbursements-current year -Accrual (514,976) - - Disbursements-prior year accrued (379,977) (473,241) (789,379) Utilities' R&C Refund (289,586) (378,159) (988,805) Net other cash inflow(outflow) - - - Current year interest earnings 42,921 100,912 30,563 Participants Contributions to R&C Fund 2,435,902 2,757,013 3,338,646 Ending Investment Balance 2,363,808 4,370,333 5,961,358 Accrued Due to (from) Utilities (378,159) (988,805) (1,459,342) R&C payable back to the revenue fund - - - Accrued R&C vendor Payable at Year End (473,241) (789,379) (575,038) PROJECTED NET DUE + ENDING INVESTMENT BALANCE 5,000,000 5,000,000 5,000,000 REPAYMENT AMOUNT $1,649,677 X 25% $4,139,810 X 25% **Spillway Raise & Expansion Project (aka Dixon Diversion) $238,606.15 X 25% $954,181.79 x 25% Paid with Bradley Lake R&C Fund 1,390,546 $756,665.11 x 25% all 4 years Paid with Renewable Energy Fund Grant 262,870 $1,455,830.05 x 25% all 4 years Total Project Cost at 10/31/23 1,653,416 $1,401,948.53 x 25% all 4 years $1,834,499.92 x 25% yr 1 | 25% yr 2 | 50% yr 3 $3,330,802.80 x 25% yr 1 | 32% yr 2 | 25% yr 3 |18% yr4 $5,644,193.08 x 25% all 4 years $1,341,405.96 x 25% all 4 years (FY18) $1,715,556.80 x 25% all 4 years (FY19) 4th 428,889 $412,050.13 x 25% all 4 years (FY20) 3rd 103,013 4th 103,013 $5,286,834.31 x 25% all 4 years (FY21) 2nd 1,321,709 3rd 1,321,709 4th 1,321,709 FY22 ACTUALS 1st 247,054 2nd 247,054 3rd 247,054 1st 197,345 2nd 197,345 1st 143,760 2,100,664 1,869,120 1,909,867 BRADLEY LAKE R&C FUND DISBURSEMENTS AND REPAYMENTS SCHEDULE D Expenses for the period 07/01/23 to 10/31/23 Page 6 of 13 FY22 FY22 FY23 FY23 FY24 FY24 Budget Actual Budget Actual Budget Actual Battle Creek Diversion - - - - - - Battle Creek Associated Costs 15,000 22,196 15,000 11,986 15,000 - Vent Enlargment 50,000 13,077 50,000 32,407 - - Pressure Sensor w SCADA 25,000 2,807 25,000 27,030 - - Power feed to LBC Bridge 25,000 19,548 - - - - Survey and Monument DNR Lease - - - - 150,000 41,279 Total Non R&C Capital Purchases 115,000 57,628 90,000 71,423 165,000 41,279 BATTLE CREEK CAPITAL PURCHASES NOT FUNDED BY R&C FUND ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Battle Creek Capital Purchases Schedule E Expenses for the period 07/01/23 to 10/31/23 Page 7 of 13 BATTLE CREEK OPERATIONS & MAINTENANCE SCHEDULE F BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2023 THROUGH 10/31/2023 FY 24 FY 23 FY24 Approved Budget BUDGET % 07/01/2023 - 10/31/2023 HEA Actual CEA Actual AEA Actual Total Actual (Over) Under Budget to Date FY23 Approved Budget FY23 Actual Summary by expense type Staff Professional Services (Direct) 50,000 16,667 - - 21,743 21,743 (5,076) - 58,017 Labor & Benefits - - 13,339 458 8,516 22,312 (22,312) - 82,339 Travel - - 33 - 822 855 (855) - 537 Training - - 251 - - 251 (251) - 940 Contractual 125,000 41,667 7,034 - 69,106 76,140 (34,474) 126,000 164,132 Consulting-Administrative - - - - 1,845 1,845 (1,845) - 17,560 Supplies & Materials - - 1,624 - - 1,624 (1,624) - 5,862 Other Costs - - 476 392 - 868 (868) - 2,920 Equipment, Furniture & Machinery - - 1,174 - - 1,174 (1,174) - 346 Administrative Costs 11,500 3,833 511 - 21,525 22,036 (18,203) 54,900 78,084 Indirect Costs - - 17,914 - - 17,914 (17,914) - 62,821 O&M 4% Allocation to Battle Creek 303,768 101,256 - - - - 101,256 236,473 - Total Battle Creek Budget 490,268 163,423 42,354 850 123,558 166,762 (3,339) 417,373 473,557 FERC 535 - Operation Supervision & Engineering Operations Sup/Eng Battle Creek Operating Labor & Benefits - - 1,555 - - 1,555 (1,555) - 5,090 Travel - - 33 - - 33 (33) - 25 Training - - 24 - - 24 (24) - - Supplies & Materials - - - - - - - - 13 Indirect Costs - - 2,147 - - 2,147 (2,147) - 6,803 Battle Creek Operating Total - - 3,759 - - 3,759 (3,759) - 11,931 FERC 535 - Operation Supervision & Engineering Total - - 3,759 - - 3,759 (3,759) - 11,931 FERC 537 - Hydraulic Expenses Hydraulic Expenses Battle Creek Operating Labor & Benefits - - 933 - - 933 (933) - 3,557 Contractual 70,000 23,333 - - 52,616 52,616 (29,283) 81,000 65,278 Supplies & Materials - - 32 - - 32 (32) - 75 Indirect Costs - - 1,350 - - 1,350 (1,350) - 4,911 Battle Creek Operating Total 70,000 23,333 2,315 - 52,616 54,932 (31,598) 81,000 73,821 FERC 537 - Hydraulic Expenses Total 70,000 23,333 2,315 - 52,616 54,932 (31,598) 81,000 73,821 FERC 538 - Electric Expenses Electric Expenses Battle Creek Operating Labor & Benefits - - 2,818 - - 2,818 (2,818) - 10,507 Travel - - - - - - - - 85 Training - - 227 - - 227 (227) - 867 Supplies & Materials - - 43 - - 43 (43) - 184 Indirect Costs - - 3,334 - - 3,334 (3,334) - 11,814 Battle Creek Operating Total - - 6,421 - - 6,421 (6,421) - 23,457 FERC 538 - Electric Expenses Total - - 6,421 - - 6,421 (6,421) - 23,457 FERC 539 - Misc. Hydraulic Power Generation Expenses Misc Hydro Power Exp Battle Creek Operating Labor & Benefits - - 1,079 - - 1,079 (1,079) - 4,197 Training - - - - - - - - 42 Contractual - - 5,842 - - 5,842 (5,842) - 10,529 Supplies & Materials - - 106 - - 106 (106) - 918 Other Costs - - 476 392 - 868 (868) - 2,836 Indirect Costs - - 1,559 - - 1,559 (1,559) - 5,578 Battle Creek Operating Total - - 9,061 392 - 9,453 (9,453) - 24,101 FERC 539 - Misc. Hydraulic Power Generation Expenses Total - - 9,061 392 - 9,453 (9,453) - 24,101 FERC 541 - Maintenance Supervision & Engineering Maint Supervision/Eng Battle Creek Operating Labor & Benefits - - 1,555 - - 1,555 (1,555) - 5,120 Indirect Costs - - 2,147 - - 2,147 (2,147) - 6,803 Battle Creek Operating Total - - 3,703 - - 3,703 (3,703) - 11,923 FERC 541 - Maintenance Supervision & Engineering Total - - 3,703 - - 3,703 (3,703) - 11,923 FERC 542 - Maintenance of Structures Maintenance of Structures Battle Creek Operating Labor & Benefits - - 929 - - 929 (929) - 3,242 Contractual - - 55 - - 55 (55) - 2,488 Supplies & Materials - - 238 - - 238 (238) - 470 Equipment, Furniture & Machinery - - 90 - - 90 (90) - 296 Indirect Costs - - 1,301 - - 1,301 (1,301) - 4,474 Battle Creek Operating Total - - 2,614 - - 2,614 (2,614) - 10,970 FERC 542 - Maintenance of Structures Total - - 2,614 - - 2,614 (2,614) - 10,970 FERC 543 - Maintenance of Reservoirs, Dams & Waterways Maint Res, Dams, WWays Battle Creek Operating Labor & Benefits - - 24 - - 24 (24) - 73 Contractual - - - - - - - - 213 Indirect Costs - - 32 - - 32 (32) - 79 Battle Creek Operating Total - - 56 - - 56 (56) - 366 FERC 543 - Maintenance of Reservoirs, Dams & Waterways Total - - 56 - - 56 (56) - 366 FERC 544 - Maintenance of Electric Plant Maintenance of Elec Plant Battle Creek Operating Labor & Benefits - - 3,304 - - 3,304 (3,304) - 12,941 Contractual - - 219 - - 219 (219) - 132 Supplies & Materials - - 708 - - 708 (708) - 1,248 Indirect Costs - - 4,827 - - 4,827 (4,827) - 17,850 Battle Creek Operating Total - - 9,058 - - 9,058 (9,058) - 32,171 ALASKA ENERGY AUTHORITY Page 8 of 13 BATTLE CREEK OPERATIONS & MAINTENANCE SCHEDULE F BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2023 THROUGH 10/31/2023 FY 24 FY 23 FY24 Approved Budget BUDGET % 07/01/2023 - 10/31/2023 HEA Actual CEA Actual AEA Actual Total Actual (Over) Under Budget to Date FY23 Approved Budget FY23 Actual ALASKA ENERGY AUTHORITY FERC 544 - Maintenance of Electric Plant Total - - 9,058 - - 9,058 (9,058) - 32,171 FERC 545 - Maintenance of Misc. Hydraulic Plant Maint of Misc Hydr Plant Battle Creek Operating Labor & Benefits - - 837 - - 837 (837) - 3,293 Contractual - - 317 - - 317 (317) - 303 Supplies & Materials - - 497 - - 497 (497) - 1,756 Equipment, Furniture & Machinery - - 1,083 - - 1,083 (1,083) - 49 Indirect Costs - - 1,217 - - 1,217 (1,217) - 4,508 Battle Creek Operating Total - - 3,952 - - 3,952 (3,952) - 9,909 FERC 545 - Maintenance of Misc. Hydraulic Plant Total - - 3,952 - - 3,952 (3,952) - 9,909 FERC 556 - System Control & Load Dispatching System Cntl & Load Disp Battle Creek Operating Labor & Benefits - - 199 - - 199 (199) - 969 Contractual - - 28 - - 28 (28) - 6,273 Supplies & Materials - - - - - - - - 177 Battle Creek Operating Total - - 227 - - 227 (227) - 7,418 Snow Measurement Battle Creek Operating Contractual - - - - 400 400 (400) - 400 Battle Creek Operating Total - - - - 400 400 (400) - 400 Seismic Service Battle Creek Operating Contractual - - - - 580 580 (580) - 2,804 Battle Creek Operating Total - - - - 580 580 (580) - 2,804 Streamguaging Serv Battle Creek Operating Contractual 55,000 18,333 - - 15,510 15,510 2,823 45,000 67,062 Battle Creek Operating Total 55,000 18,333 - - 15,510 15,510 2,823 45,000 67,062 Permits Battle Creek Operating Other Costs - - - - - - - - 10 Battle Creek Operating Total - - - - - - - - 10 FERC 556 - System Control & Load Dispatching Total 55,000 18,333 227 - 16,490 16,717 1,616 45,000 77,693 FERC 562 - Station Expenses Station Expenses Battle Creek Operating Labor & Benefits - - 105 458 - 563 (563) - 2,596 Travel - - - - 14 14 (14) - - Contractual - - 573 - - 573 (573) - 2,785 Supplies & Materials - - - - - - - - 482 Battle Creek Operating Total - - 678 458 14 1,150 (1,150) - 5,864 FERC 562 - Station Expenses Total - - 678 458 14 1,150 (1,150) - 5,864 FERC 571 - Maintenance of Overhead Lines Maint of OH Lines Battle Creek Operating Labor & Benefits - - - - - - - - 1,641 Contractual - - - - - - - - 7,152 Supplies & Materials - - - - - - - - 46 Battle Creek Operating Total - - - - - - - - 8,838 FERC 571 - Maintenance of Overhead Lines Total - - - - - - - - 8,838 FERC 920 & 930 - Administrative Expense AEA Bradley Fixed Admin Fees Battle Creek Operating Staff Professional Services (Direct) 50,000 16,667 - - 21,743 21,743 (5,076) - 58,017 Travel - - - - 808 808 (808) - 162 Training - - - - - - - - 31 Consulting-Administrative - - - - - - - - 100 Supplies & Materials - - - - - - - - 203 Administrative Costs - - - - 1,941 1,941 (1,941) 43,000 3,379 Battle Creek Operating Total 50,000 16,667 - - 24,493 24,493 (7,826) 43,000 61,891 Operating Committee Exp-Audit Battle Creek Operating Administrative Costs - - - - - - - - 1,355 Battle Creek Operating Total - - - - - - - - 1,355 Operating Committee Exp-Legal Battle Creek Operating Administrative Costs 5,000 1,667 - - 1,481 1,481 186 5,000 7,042 Battle Creek Operating Total 5,000 1,667 - - 1,481 1,481 186 5,000 7,042 Operat Committee Exp-Arbitrage Bradley Lake Operating Administrative Costs - - - - - - - - 1,690 Bradley Lake Operating Total - - - - - - - - 1,690 Battle Creek Operating Administrative Costs - - - - - - - 2,000 - Battle Creek Operating Total - - - - - - - 2,000 - Trust & Account Fees Battle Creek Operating Administrative Costs 5,500 1,833 - - - - 1,833 4,800 4,000 Battle Creek Operating Total 5,500 1,833 - - - - 1,833 4,800 4,000 Misc Admin Battle Creek Operating Administrative Costs 1,000 333 - - 8 8 325 100 567 Battle Creek Operating Total 1,000 333 - - 8 8 325 100 567 Professional Consultants Battle Creek Operating Page 9 of 13 BATTLE CREEK OPERATIONS & MAINTENANCE SCHEDULE F BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2023 THROUGH 10/31/2023 FY 24 FY 23 FY24 Approved Budget BUDGET % 07/01/2023 - 10/31/2023 HEA Actual CEA Actual AEA Actual Total Actual (Over) Under Budget to Date FY23 Approved Budget FY23 Actual ALASKA ENERGY AUTHORITY Labor & Benefits - - - - 8,516 8,516 (8,516) - 29,115 Travel - - - - - - - - 266 Contractual - - - - - - - - (1,288) Consulting-Administrative - - - - - - - - 186 Supplies & Materials - - - - - - - - 289 Other Costs - - - - - - - - 73 Battle Creek Operating Total - - - - 8,516 8,516 (8,516) - 28,641 FERC 920 & 930 - Administrative Expense Total 61,500 20,500 - - 34,497 34,497 (13,997) 54,900 105,186 FERC 924 & 925 - Insurance Premiums Insurance Premiums Battle Creek Operating Administrative Costs - - 511 - 15,959 16,469 (16,469) - 44,104 Battle Creek Operating Total - - 511 - 15,959 16,469 (16,469) - 44,104 FERC 924 & 925 - Insurance Premiums Total - - 511 - 15,959 16,469 (16,469) - 44,104 FERC 923 - Outside Services Employed Outside Services Employed Battle Creek Operating Consulting-Administrative - - - - 1,845 1,845 (1,845) - 17,274 Battle Creek Operating Total - - - - 1,845 1,845 (1,845) - 17,274 FERC 923 - Outside Services Employed Total - - - - 1,845 1,845 (1,845) - 17,274 FERC 928 - Regulatory Commission Expenses FERC Admin Fees Battle Creek Operating Administrative Costs - - - - - - - - 5,254 Battle Creek Operating Total - - - - - - - - 5,254 FERC Related Prof Services BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES BRADLEY CONTRACTUAL ENGINEER-FERC LICENSE ISSUES Total - - - - - - - - - Battle Creek Operating Administrative Costs - - - - 2,136 2,136 (2,136) - 10,695 Battle Creek Operating Total - - - - 2,136 2,136 (2,136) - 10,695 FERC 928 - Regulatory Commission Expenses Total - - - - 2,136 2,136 (2,136) - 15,948 O&M Allocation to Battle Creek 303,768 101,256 - - - - 101,256 236,473 - Total Battle Creek Budget 490,268 163,423 42,354 850 123,558 166,762 (3,339) 417,373 473,557 Page 10 of 13 FY22 FY22 FY23 FY23 FY24 FY24 Amended Amended Amended Budget Actuals Budget Actuals Budget Actuals SSQ Line Access Documentation - 144,482 - 23,555 - - SSQ Line Acquisition Costs - 2,026 - - - - SSQ Soldotna-Qtz Ck 230kV Construction 750,000 91,051 - 441,262 - - Total Non R&C Capital Purchases 750,000 237,559 - 464,817 - - SSQ LINE CAPITAL PURCHASES NOT FUNDED BY R&C FUND ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT SSQ Line Capital Purchases Schedule H Expenses for the period 07/01/23 to 10/31/23 Page 11 of 13 ALASKA ENERGY AUTHORITY SSQ LINE OPERATIONS & MAINTENANCE SCHEDULE I BUDGET TO ACTUAL EXPENSES FOR THE PERIOD 07/01/2023 THROUGH 10/31/2023 FY 24 FY 23 FY24 Approved Budget BUDGET % 07/01/2023 - 10/31/2023 HEA Actual CEA Actual AEA Actual Total Actual (Over) Under Budget to Date FY23 Approved Budget FY23 Actual Summary by expense type Staff Professional Services (Direct)15,000 5,000 - - 18,756 18,756 (13,756) 53,000 50,664 Labor & Benefits 50,000 16,667 - - - - 16,667 56,999 521 Contractual 175,000 58,333 - - - - 58,333 200,000 12,768 Permitting 40,000 13,333 - - - - 13,333 - - Supplies & Materials 25,000 8,333 - - - - 8,333 25,000 2,808 Other Costs - - - - - - - - 103,186 Equipment, Furniture & Machinery - - - - - - - - 29 Administrative Costs 2,000 667 - - 711 711 (44) 2,000 100,387 Total SSQ Line Budget 307,000 102,333 - - 19,467 19,467 82,866 336,999 270,363 FERC 540 - Rents FERC Land Use Fee SSQ Line Operating Other Costs - - - - - - - - 103,186 SSQ Line Operating Total - - - - - - - - 103,186 FERC 540 - Rents Total - - - - - - - - 103,186 FERC 556 - System Control & Load Dispatching Permits SSQ Line Operating Permitting 40,000 13,333 - - - - 13,333 - - SSQ Line Operating Total 40,000 13,333 - - - - 13,333 - - FERC 556 - System Control & Load Dispatching Total 40,000 13,333 - - - - 13,333 - - FERC 571 - Maintenance of Overhead Lines Maint of OH Lines SSQ Line Operating Labor & Benefits 50,000 16,667 - - - - 16,667 56,999 521 Contractual 175,000 58,333 - - - - 58,333 200,000 12,768 Supplies & Materials 25,000 8,333 - - - - 8,333 25,000 - Equipment, Furniture & Machinery - - - - - - - - 29 SSQ Line Operating Total 250,000 83,333 - - - - 83,333 281,999 13,318 FERC 571 - Maintenance of Overhead Lines Total 250,000 83,333 - - - - 83,333 281,999 13,318 FERC 920 & 930 - Administrative Expense AEA Bradley Fixed Admin Fees SSQ Line Operating Staff Professional Services (Direct)15,000 5,000 - - 18,756 18,756 (13,756) 53,000 50,664 Supplies & Materials - - - - - - - - 2,417 Administrative Costs - - - - 711 711 (711) - 87,510 SSQ Line Operating Total 15,000 5,000 - - 19,467 19,467 (14,467) 53,000 140,590 General & Administrative Costs Supplies & Materials - - - - - - - - 391 Administrative Costs - - - - - - - - 10,877 General & Administrative Costs Total - - - - - - - - 11,268 Trust & Account Fees SSQ Line Operating Administrative Costs 2,000 667 - - - - 667 2,000 2,000 SSQ Line Operating Total 2,000 667 - - - - 667 2,000 2,000 FERC 920 & 930 - Administrative Expense Total 17,000 5,667 - - 19,467 19,467 (13,800) 55,000 153,858 Total SSQ Line Budget 307,000 102,333 - - 19,467 19,467 82,866 336,999 270,363 Page 12 of 13 Source Construction Funds at 12/17/20 Investment Expenses Calculated Capital Reserve at 12/17/20 Purchase of HEA SSQ Line and 69kV Remediation Released from Capital Reserve Total Available Funding SSQ Line Series 10 Bond Proceeds 17,000,000 (225,252) (1,239,986) (13,566,179) 810,478 2,779,061 SSQ Line Bond Series 10 Funded Capital Projects Allocate Total Funding Project Budget Encumbered Total Actual Costs (Over) / Under Project Budget to Date SSQ Line - 69kV Remediation 1,545,814 - 1,239,490 313,644 SSQ Line Due Diligence Inspect/Repair O/S Fire ZNE 175,000 - 2,350 172,650 Total SSQ Line Projects 2,779,061 1,720,814 - 1,241,840 486,295 Source Construction Funds at 11/30/22 Investment Expenses Calculated Capital Reserve at 11/30/22 Earnings (Interest Income) Released from Capital Reserve Total Available Funding Required Project Work Bond Series 11 Funding 166,013,134 (157,250) (12,454,346) 5,582,668 - 158,984,206 BESS Required Project Work Bond Series 11 Funded Capital Projects Allocate Total Funding Project Budget Encumbered Total Actual Costs (Over) / Under Project Budget to Date BRADLEY HEA BESS Preliminary Study 35% 55,644,472 75,000 22,473 958 74,042 Total BESS Capital Projects 55,644,472 75,000 22,473 958 74,042 Transmission Required Project Work Bond Series 11 Funded Capital Projects Allocate Total Funding Project Budget Encumbered Total Actual Costs (Over) / Under Project Budget to Date SSQ Line Sterling-Qtz Ck 230kV Construction - 37,993 255,958 (255,958) Soldotna-Sterling 230kV Construction - - 15,854 (15,854) Total Transmission Capital Projects 103,339,734 - 37,993 271,812 (271,812) Total Required Project Work 158,984,206 75,000 60,466 272,770 (197,770) 65% 103,339,734 2,779,061 NA ALASKA ENERGY AUTHORITY BRADLEY LAKE HYDROELECTRIC PROJECT Capital Projects Funded by Bond Proceeds Appendix A 10/31/23 Page 13 of 13 Bradley Operation and Dispatch Committee Report December 2023 Meeting Dates: October 27, 2023 November 17, 2023 Notable Discussions and Items: Bradley Ring BUS relay settings: Following the October BPMC approval to proceed with a $15,000 spend limit, HEA has been working to develop and refine a scope of work. Relay identification has been completed and once a draft scope is provided it will be shared with CEA for concurrence. Progress has been noted at each of the past two meetings. HEA BESS O&M Agreement This BPMC assignment was received on 10/18/23 and been the primary focus of the past several O&D meetings. The O&D will hold a special meeting on December 6th with the goal of finalizing the agreement and submitting to the BPMC. Committee Assignments: □ BPMC assignment – work with AEA legal to develop draft BESS O&M agreement □ CEA is continuing work to address SCADA challenges to allow HEA wheeling capacity as defined in the existing Bradley agreement. □ CEA investigating methodology for placing units in condense mode; and □ BPMC approved - CEA & HEA investigating appropriate relay settings - $15k spend limit. Next Meetings: December 6th (BESS O&M Agreement discussion only) December 20th