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HomeMy WebLinkAboutAgenda Packet 10/09/2000 UTmLIT~ ADVISORY COMMITTEE PUBLIC WORKS CONFeReNce ROOM PORT ANGELES, WA 98362 OCTOBER 9, 2000 3:00 AG EN DA I. CALL TO ORDER Ii. ROLL CALL III. APPROVAL Of HINUTEB OF SEPTEMBER I I , 2000, REGULAR mEETING. APPROVAL OF mINUTES OF SEPTEMBER 29, 2000, sPeCIAL mEETING. IV. DISCUSSION Items A. BID AWARD FOR OVERHEAD eLECTRIC REBUILD (dim H) B. BACKUP GENERATOR FOR WASTEWATER TREATMENT PLANT (UEFF) C. LANDFILL CONSULTING seRVICES CONTRACT (GARY - veRBAL) D. B~C CONTRACT (GARY - VERBAL) E. APPROVAL AND IMPLEMENTATION OF COmmUNIT~ TeLECOmmUNICATIONS ACTION pLAN (LARRY) F. BPA POWER SALES AOReEMENT (SCO3T) G. Retail Power SALES AgREEmENT WITH DAISHOWA AmeRICA, ltD. (SCO~-F) V. LATE Items VI. NEXT meETing - NovemBER I 3, 2000 VII. ADJOURNMENT A:~AGEN DA.w~D UTILITY ADVISORY COMMITTEE Port Angeles, Washington September 11, 2000 I. Call to Order: ~- Chairman Campbell called the meeting to order at 3:00 p.m. II. Roll Call: Members Present: Chairman Campbell, Dean Reed, Allen Bentley, Mayor Larry Doyle, Councilman Larry Williams Members Absent: Staff Present: Michael Quinn, Craig Knutson, Glenn Cutler, Ken Ridout, Scott McLain, Gary Kenworthy, Jim Harper, Jeff Young, Larry Dunbar, Cate Rinehart Others Present: None III. Approval of Minutes: Chairman Campbell asked if there were any changes or additions to the agenda. None were given. Chairman Campbell then asked if there were any additions or corrections to the meeting minutes of August 7, 2000. Allen Bentley moved to approve the minutes. Dean Reed seconded the motion, which carried unanimously. IV. Discussion Items: A. Biosolid Land Application Jeff Young, Treatment Plant Superintendent announced biosolids stored at the landfill have been land applied. All regulations were met with matcriai being spread at a rate of 4 tans per acre. A briefcxplanation was given concerning the bids on some used equipment for the City in the future and an overview of the application procedure. DOE has indicated that it was leaning towards permanent approval, Glenn Cutler, Director of Public Works and Utilities, acknowledged the fine j ob done by Mr. Young in implementing this program. No action taken. Information only. B. Tree Trimming Contract Jim Harper, Electrical Engineering Manager, handed out a revised memo to the committee explaining the current trimming process and future schedule in the electrical distribution right-of-way. Craig Knutson, City Attorney, advised that Phase 1 retainage must be kept until the end of thc contract. 1 UTILITY ADVISORY COMMITTEE September 11, 2000 Mayor Doyle moved to recommend the City Council authorize signing the Change Order to Contract 20-11 in the amount of $25,000 for additional tree trimming. Councilman Williams seconded the motion, which carried unanimously. C. Ediz Hook Conversion Jim Harper, Electrical Engineering Manager, explained the difference between the CFP pricing of$150,000 and the budget allowance for this project indicating a savings to the City if the project is done in two parts but under one contract. The project described in the CFP allocates $50,000 each year for a six year period. Mr. Harper indicated that by breaking the project into two contracts it would save approximately 12%. A brief discussion followed regarding design and implementation. No action taken. Information only. D. Southwood Service Conversion Cost Assistance Jim Harper, Electrical Engineering Manager, reviewed the Cresthaven conversion assistance explaining the Southwood conversion is the next area to be completed. A brief discussion followed with concerns expressed over notification to customers and the estimate process. Glenn Cutler, Director of Public Works and Utilities, suggested the recommendation be amended to read "90% of either bid price or final cost, whichever is lowest" for the residents cost share of the secondary underground services. Dean Reed moved to recommend the City Council authorize reimbursement of customer conversion costs as Mr. Cutler suggested. Mayor Doyle seconded the motion, which carried unanimously. E. Aerial Mapping Gary Kenworthy, Deputy Director of Engineering Services, gave a brief background indicating mapping needs to be updated to reflect development. David Smith and Associates was selected as the most qualified for the additional surveying and mapping series. A brief discussion followed with clarification on boundaries. Mayor Doyle moved to recommend the City Council authorize an agreement with David Smith and Associates in the amount of $108,596.00 to provide Aerial Mapping 2000 services. Allen Bentley seconded the motion, which carried unanimously. F. Update on GgYI Bilaterial Compliance Agreement (BCA) Glenn Cutler, Director of Public Works and Utilities, stated a meeting had taken place (Steve Sperr also in attendance) with the Department of Health to discuss the GWI Action Plan and BCA. The completion date of January 2006 remained as proposed with minor modifications requested concerning some earlier 2 UTILITY ADVISORY COMMITTEE September 11, 2000 completion dates for individual activites and omition of one or two reviews. The City is now awaiting the draft of the Bilaterial Compliance Agreement from the State. There was a brief discussion regarding influence of dam removal. Mr. Cutler answered questions regarding water quality and stressed the need for public information. No action taken. Information only. V. Information Only Items: Scott McLain, Deputy Director of Power Systems, introduced Larry Dunbar, the new Power Resources Manager. VI. Late Items: Glenn Cutler, Director of Public Works and Utilities, stated the application for the Downtown Watermain and Sidewalk Replacement Phase Three loan was not approved, however, another application will be submitted next year. Mr. Cutler summarized the events of the first few days for the Phase II Downtown Watermain Project. Mr. Cutler added that Don Perry and Jackson Smart were contacted about returning items of significant interest so they could be turned over to the Historical Society. Scott McLain, Deputy Director of Power Systems, requested an additional UAC meeting to discuss fiber optics, consideration of the landfill cell #3 closure contract and consideration of bids for a generator at the Treatment Plant. VII. Next Meeting: The next meeting will be held September 29, 2000, at 3:00 p.m. in the Public Works Conference Room. VIII. Adjournment: Chairman Campbell adjourned the meeting 4:07 p.m. Orville Campbell, Chairman Cate Rinehart, Administrative Assistant UTILITY ADVISORY COMMITTEE Port Angeles, Washington September 29, 2000 1. Call to Order: Vice Chairman Williams called the meeting to order at 3:00 p.m. ~ II. Roi1 Call: Members Present: Vice Chairman Williams, Mayor Doyle, Allen Bentley, and Dean Reed. Members Absent: Chairman Orville Campbell. StaffPresent: Michael Quinn, Craig Knntson, Scott McLain, Gary Kenworthy, Jim Harper, Larry Dunbar, Sue Roberds, and Cate Rinehart Others Present: Richard Li (Metropolitan Communications Consultants), Fred Mitchell and Doug Harrison (Clallam County PUD) IIL Approval of Minutes: Vice Chairman Williams announced that the minutes of the August 11th regular meeting would be presented for approval at the October 9t~ meeting. IV. Discussion Items: ,4. Bid Award 12/16/20 MVA Power Transformer for "1" Street Substation Jim Harper, Electrical Engineering Manager, explained that during the final stages of bid evaluation a discrepancy was found in the way the proposal was put together. After discussing the error with the City Attorney it was agreed that an addendum would be sent out along with the original documents and a new bid date would be set. No action taken. Information only. B. Community Telecommunications Action Plan (Fiber Optics) Scott McLain, Deputy Director of Power Systems, introduced Richard Li of Metropolitan Communications Consultants and Larry Dunbar, Power Resources Manager. Mr. McLain gave a brief summary of the planning the City has done. Craig Knntson, City Attorney, stressed the importance of putting together comprehensive telecommunications ordinances that would reference other ordinances such as right-of-way construction, pole attachment et cetera. Mr. Dunbar explained the preliminary planning process specifically citing E-nable Visions, FairPoint, and Unisys. Mr. Li then proceeded with an extensive presentation stressing community needs and interests, business planning, design and construction, and system activation. A short discussion followed with concerns expressed over cable franchise and community involvement. Staff recommended the UAC and Council be part of the oversight process as further developments occur. Utility Advisory Committee September 29, 2000 Staffrecommended that PA Works! Is involved and kept informed during implementatin of the Community Telecommunications Action Plan. Staff indicated that specific recommendations will be made at the October 9t~ meeting regarding technical and legal services to assist in completing a new telecommunications ordinance, assessing future needs, complete a business plan for fiber optics backbone, a request for engineering services for design, and cable purchase. No action taken. Information only. V. Information Only Items: Status reports were provided on the following subjects: Request for Proposals for a consultant for the landfill B&C wastewater service negotiations Downtown Phase II update 8t~ street renovation update VI. Late Items: VII. Next Meeting: The next meeting will be held October 9, 2000, at 3:00 p.m. in the Public Works Conference Room. VIII. Adjournment: The meeting adjourned at 4:15 p.m. Larry Williams, Vice Chairman Cate Rinehart, Administrative Assistant 2 pORTANOELES W A $ H I N G T O N, U. $, A. UTILITY ADVISORY COMMITTEE MEMO DATE: October 9, 2000 TO: UTILITY ADVISORY COMMITTEE FROM: James L. Harper SUB3ECT: Bid Award Overhead Electric Rebuild Projects No. 20-07, 20-08 & 20-09 Summary:. The construction of these three rebuild projects: along 10th Street from N Street to O Street, along O Street from 10t~ Street to 18t~ Street and along Laurel Street from Park Avenue to Ahlvers Road are required to provide an acceptable level of service. These projects were advertised under a single contract on September 17 & 18 and the sealed bids are to be opened on October 6, 2000. The bid summary and a staff recommendation will be provided at the UAC Meeting. Recommendation: UAC recommend the City Council accept the bid of (TBA) and authorize the Mayor to sign the contract for the specified construction. Background / Analysis: Project 20-07 will replace the existing 3-phase #6 cu conductors with 3- phase 336 al conductors along 10t~ Street between"N" Street and"O" Street (not open). This project in conjunction with Project 20-08 is required to maintain an acceptable level of service and reliability for customers on the west side. This project is currently budgeted for construction during 2000. Project 20-08 will construct new 3-phase overhead 336 al line along "O" Street (not open) from 10t~ Street to 14th Street and reconstruct 3-phase #2 cu with 3-phase 336 al from 14th Street to 18th Street. This project in conjunction with Project 20-07 is required to maintain an acceptable level of service and reliability for customers on the west side. This project is currently budgeted for construction during 2000. Project 20-09 will rebuild 1-phase #6 cu to 3-phase 336 al along Laurel Street from Park Ave to Ahlvers Rd. Approximately 4 MVA of load south of Park Avenue is without feeder tie capability. This project will provide an alternative feed in case of loss of the line on Peabody, and will allow a balancing of the load between Laurel Feeder 1202 and Feeder 1203. This project is currently budgeted for construction during 2000. pORTANGELE$ WASHINGTON, U.s.a. UTILITY ADVISORY COMMITTEE MI=MO DATE: October 9, 2000 To: UTILITY ADVISORY COMMITTEE FROM: Jeff Young, Wastewater Treatment Plant Superintendent SUBJECT: Backup Generator for Wastewater Treatment Plant (WWTP) Summary: The National Pollutant Discharge Elimination System (NPDES) waste discharge permit that the City currently operates under requires the City to have redundant power in the case of a power outage. The City currently has two sources of electrical power from the Valley and Washington substations. This is sufficient in most cases, but we could have an overflow event at the WWTP in the case ora City wide or Bonneville (BPA) power failure. In order to assure that we are prepared for a catastrophic failure, the Public Works Department budgeted $100,000 in 2000 to ~urchase and install a backup generator to meet the needs of the WWTP. leeommendation: The UAC recommend to the City Council that the Director of Public Works and Utilities purchase and install the 500 KW generator from DMT Electric Company of Port Orchard Wa. in the amount of $99,200. Background / Analysis: The National Pollutant Discharge Elimination System (NPDES) waste discharge permit that the City currently works under and dated November 30, 1993, states that "The Permittee is responsible for maintaining adequate safeguards to prevent the discharge of untreated waste or wastes not treated in accordance with the requirements of this permit during electrical power failure at the treatment plant...". The WWTP is currently able to access power from either the Valley or the Washington substations. If both of these substations fail or if the BPA feed fails then we are without power to operate the plant. Also there are safety and response time factors that need to be considered. Currently when there is a power outage, the Call-Out dialer calls in a WWTP Operator who must manually switch from one breaker to the other, using a keyed system. This takes a minimum of 30 minutes from the time the dialer calls until the Operator is able to switch power. In periods of high flows at the WWTP this could result in an overflow. The installation of the backup generator will provide the WWTP with reliable backup power and will also have an automatic transfer switch. When there is a power outage, the power drop will initiate the generator to start up and switch over the power supply within a matter of moments. By the time the Operator responds to the alarm the plant would be back in full operation. Staff requested that the Contractor submit quotes for 2 different sound levels or decibels (dB). We were interested in getting the quietest generator possible, so as not to disturb the adjacent properties in the case of an event whereby we needed to use the generator late at night or early morning. Normal testing and operation of the generator will be during the day time for short durations (1/2 to 1 Hour test) and should not be a concern. As a comparison we used some common sounds and their decibel rating. Normal conversation is 60 dB and a lawn mower is 90 dB. Any sound above 85 db can cause hearing loss, and the loss is related both to the power of the sound as well as the length of exposure. Three contractors were selected from the Small Works Roster to submit quotes to provide and install a 500 KW generator. Staff requested that each contractor submit a base quote for a unit that would produce a sound level of 85 decibels (dB) and an alternate quote to provide a unit that would produce a sound level of 72 dB. Staff requested that the Contractors bid on 2 separate decibel (dB) levels to help determine if the cost difference of a lower dB level would outweigh the benefits. The cost difference for a lower dB ranged from $2,800 to $9,700 and the benefit of lower noise during the time the generator is running does not warrant the additional cost. We received 2 quotes as follows: Contractor Base Quote 85 dB Alternate Quote 72 dB DMT Electric $99,200 $102,000 Port Orchard Wa. Angeles Electric $99,814 $109,514 Port Angeles Wa. Cummins Northwest No Bid No Bid Renton Wa. Funds are budgeted in the Wastewater Utility and are available for this project. It is recommended that the 500 KW generator be purchased from DMT Electric, Port Orchard, Wa. The formal bid process is not required to be followed due to the fact that this equipment is associated with pollution control facilities. A:\UACGenerator.wpd pORTANGELES W A S H I N G T O N, U, $, A, UTILITY ADVISORY COMMITTEE MEMO DATE: October 9, 2000 TO: UTILITY ADVISORY COMMITTEE FROM: Larry Dunbar, Power Resources Manager S~JB,~ECT: Approval and Implementation of Community Telecommunications Action Plan Summary.: Metropolitan Communications Consultants (MCC) recently prepared a Community[ Telecommunications Action Plan for the City. The Action Plan identified additional planning needs and specific actions the City should take over the next three-year period. This Staff report requests the Utility Advisory Committee's recommendation to proceed with implementation of the Action Plan, Recommendation: The Utility Advisory Committee recommend Council approval of the Community Telecommunications Action Plan and a professional services agreement in an amount not to exceed $92,500 with MCC for completion of: a comprehensive telecommunications ordinance; a telecommunications future needs and interests assessment; a business plan for the fiber-optic backbone; and to authorize Staff to prepare a request for qualifications for engineering services to design the fiber-optic backbone and to proceed with the purchase of fiber-optic cabling. Background/Analysis: On 9/29/2000, MCC and Staffpresentcd thc Corrmacmity Telecommunications Action Plan to the Utility Advisory Committee. The Action Plan identified the need to complete a telecommunications ordinance, conduct a telecommunications needs assessment, and develop a fiber-optic backbone over the next three-year period. Telecommunications ordinance The Action Plan identified the need for a comprehensive approach to telecommunications regulations including a master telecommunications ordinance that would reference other ordinances such as right-of-way construction, licensing and taxation, pole attachments (to be developed) and wireless facility siting (to be developed). A comprehensive approach to telecommunications regulation is needed to comply with federal and state laws and to improve management of public right-of-way anticipating increased telecommunications construction demands. Telecommunications needs and interests assessment The cable television franchise will expire on 10/1/2003 and a formal renewal procedure must commence prior to 4/1/2001. Subject to Utility Advisory Committee and City Council approval of StaWs recommendation to develop a fiber-optic backbone, the assessment will address all telecommunications needs and interests of the community. The assessment will provide public involvement into the City decision making process for the next cable television franchise and the expansion, operation and management of the City's fiber-optic backbone, and the provision of telecommunications services. Professional services to assist with franchise negotiations are not included in the scope of work at this time. The Cable Operator (Northland Cable Television) will be charged a fee to help offset the City's costs of renewing the franchise. Fiber-optic backbone business planning, design and construction Based on Council goals and Power Engineers preliminary planning, MCC and Staff recommend the City develop a fiber-optic backbone in Port Angeles. A business plan will need to be prepared as outlined in the scope of work. An engineering design including construction documents will need to be completed for the fiber-optic backbone. Staff will solicit engineering services to design the fiber-optic backbone through a request for qualification selection process, select a consultant, and negotiate a fee prior to the end of the 1st quarter of 2001. Once the selection process is complete, Staff will seek the Utility Advisory Committee's recommendation before requesting City Council approval to proceed with fiber-optic backbone engineering design. Once the engineering design is complete, the City would call for bids to construct the fiber-optic backbone. Fiber-optic backbone activation The first stage of activation would include short-term lease of segments of the fiber-optic backbone for point-to-point communications. The first stage of activation will include installation of communications cabling and electronic equipment (as required) in municipal facilities. The second stage of activation, including installation of electronic equipment for core customers, would occur after the Utility Advisory Committee and City Council reach decisions based on the results of the assessment and cable franchise renewal. The third stage of activation, expansion of the network and purchase of additional electronic equipment on a network-wide basis, would also occur after the assessment and cable franchise renewal are completed. The business plan will need to be updated for the second and third stages of activation which is not included in the scope of work. Community telecommunications action plan cost estimate A combination of professional services and current Staff resources will be required to implement the Action Plan. MCC offers high quality professional services to the City to complete many elements of the Action Plan. They have the expertise and are available to assist the City to make prompt progress. Expenditures to implement the Action Plan would occur over a three-year period beginning in 2000, some of which are presently unknown. 2 The requirements and cost of fiber-optic infrastructure and network activation equipment for stages 2 and 3 are currently unknown and will depend on the assessment. Additional professional services and/or Staff resources will be required to operate and manage the fiber- optic backbone once activated. A copy of the professional services agreement and MCC's scope of work and schedule is included as attachment "A". Because of the nature of this project, a contingency in the amount of 5% for unanticipated expenses has been included. Funding for professional services, the fiber-optic backbone, and network activation equipment are available within the electric utility fund reserves. Action plan cost estimate summary A. Professionalgervices 2000 2001 2002 2003 Total 1. Comprehensive I telecommunications ordinances $10~000 $7~500 $17~500 2. Telecommunications needs and interests assessment 40~000 40~000 3. Fiber-optic backbone business plan (stages 2 & 3 not included) 35~000 35~000 4. Fiber-optic backbone engineering desisn (estimate) 150~000 150~000 Professional Services Sub-Total $10~000 $232~500 $242~500 B. Fiber-Optic Infrastructure 2000 2001 2002 2003 Total Fiber-optic backbone cable (25 miles/48 strands estimated) $350,000 $350~000 Fiber-optic backbone installation (splicing, nodes) 1,0007000 1 ~000~000 Stage 2 fiber-optic distribution cable (requirements unknown) Unknown Unknown Stage 3 fiber-optic distribution cable (requirements unknown) Unknown Unknown Fiber-Optic Infrastructure Sub-Total $1 ~350~000 $1 ~350~000 C. Network Activation Equipment 2000 2001 2002 2003 Total Stage 1 (Costs paid by users) Unknown Unknown Stage 2 (requirements unknown) Unknown Unknown Stage 3 (requirements unknown) Unknown Unknown Network Activation Sub-Total Unknown Sub-Total A~ Bz and C $10~000 $1~582~500 $17592~500 5% Contingency $500 $79~125 $79~625 Total Cost Estimate $10~500 $1~661~625 $1,672~125 Attachments: 1 Professional Services Agreement 3 AGREEMENT FOR PROFESSIONAL SERVICES BETWEEN THE CITY OF PORT ANGELES AND METROPOLITAN COMMUNICATIONS CONSULTANTS RELATING TO: Community Telecommunications Planning THIS AGREEMENT Is made and entered into this day of ,200._._, by and between THE CITY OF PORT ANGELES, a non-charter code city of the State of Washington, (hereinafter called the "CITY") and Metropolitan Communications Consultants a Washington Corporation (hereinafter called the "CONSULTANT"). WHEREAS, the CITY desires to complete a new telecommunications ordinance and update other effected City ordinances, and WHEREAS, the CITY desires to complete a telecommunications futura needs and interests assessment, and WHEREAS, the CITY desires to complete a business plan for the fiber-optic backbone and updates as needed for each stage of activation,and WHEREAS, the CiTY desires to engage the professional services and assistance of a qualified consulting firm to perform the scope of work as detailed in Exhibit A, and WHEREAS, the CONSULTANT represents that it is in full compliance with the statutes of the State of Washington for professional registration and/or other applicable requirements, and WHEREAS, the CONSULTANT represents that it has the backg rou nd, experience, and ability to perform the requimd work in accordance with the standards of the profession, and WH E REAS, the CON SU LTANT represents that it will provide qualified person nel and appropriate facilities necessary to accomplish the work; NOW, THEREFORE, in consideration of the above representations and the terms, conditions, covenants and agreements set forth below, the parties hereto agree as follows: I SCOPE OF WORK The scope of professional services to be performed and the results to be achieved by the CONSULTANT shall be as detailed in the attached Exhibit A and shall include all services and material necessary to accomplish the work. The CITY may review the CONSULTANT'S work product, and if it is not satisfactory, the CONSULTANT shall make such char~ges as may be required by the CITY. Such changes shall not constitute "Extra Work" as related in Section XI of this Agreement. The CONSULTANT agrees that all services performed under this Agreement shall be in accordance with the standards of the professior~ and in compliance with applicable federal, state and local laws. The Scope of Work may be amended upon written approval of both parties. II OWNERSHIP OF DOCUMENTS Upon completion of the work, all documents, exhibits, photographic negatives, or other presentations of the work shall become the property of the CITY for use without restriction a nd without representation as to suitability for reuse by a ny other party unless specifically verified or adapted by the CONSULTANT. However, any alteration or muse of the documents, by the City or by othem acting through or on behalf of the City, will be at the City's sole risk. III DESIGNATION OF REPRESENTATIVES Each party shall designate its representatives in writing. The CONSULTANT'S representative shall be subject to the approval of the City of Port Angetes - October 2000 IV TIME OF PERFORMANCE The CONSULTANT may begin work upon execution of this Agreement by both parties. The work shall be completed in accordance with the schedule set forth in the attached Exhibit D. V PAYMENT The CITY shall pay the CONSULTANT as set forfh in this section of the Agreement. Such payment shall be full compensation far work performed, sePvices rendered, and all labor, materials, supplies, equipment and incidentals necessary to complete the work. A. Payment shall be on the basis of the CONSULTANT'S cost for actual labor, overhead and prefit plus CONSULTANT'S direct non- salary reimbursable coata as set forth in the attached Exhibits B and C, respectively. 1, Labor costs shall be based on the hourly rates shown in Exhibit B. Hourly rates shall be based upon an individual's houdy wage, times the total number of hours worked, times a multiplier of . The mcltiplier shall include overhead and profit. General clerical time shall be considered an overhead item, except where specific work items are thvolveri that require one hour or more continued effort, in which case time will be charged on the basis of hours worked. 2, The direct non-salary reimbursable costs are those directly incurred in fulfilling the terms of this Agreement, including, but not limited to, travel, subsistence, telephone, CADD computer, reproduction and printing, supplies and fees of outside services and consultants. Ten percent (10%) overhead and profit may be added to direct non-salary reimbumable costs. B. The CONSULTANT shall submit invoices to the CITY on a monthly basis. Invoices shall detail the work, hours, employee name, and hourly rate; shall itemize with receipts and invoices the non-salary direct costs; shall indicate the specific task or activity in the Scope of Work to which the costs are related; and shall indicate the cumulative total for each task. C. Thec~TYshallrev~ewtheinv~icesandmakepaymentf~rthepercentage~fthepr~jectthathasbeencomp~eted~esstheam~unts previously paid. D. The CONSULTANT invoices are due and payable within 30 days of receipt, in the event of a disputed billing, only the disputed portion will be withheld from payment. E. Final payment for the balance due to the CONSULTANT will he made upon the completion of the work and acceptance by the F. Payment for "Extra Work" performed under Section XI of this Agreement shall be as agreed to by the parties in writing. VI MAXIMUM COMPENSATION Unless otherwise agreed to in writing by both parties, the CONSULTANT'S total compensation and reimbursement under this Agreement, including labor, direct non-salary reimbursable costs and outside services, shall not exceed the maximum sum of: Item 1- Te!ecommunicationa Ordinance $17,500 Item 2 - Telecommunications Future Needs and Interests Assessment $40,000 Item 3- Business Planning $35,000 VII EMPLOYMENT Employees of the CONSULTANT, while engaged in the performance of any work or services under this Ag reement, shall be conaidered employees of the CONSULTANT only and not of the CITY, and claims that may arise under the Workman'a Compensation Act on behalf of said employees whim so engaged, and any and all claims made by a third party as a consequence of any negligent act or omission on the part of the CONSULTANT'S employees while so engaged, on any of the work or sewices provided to he rendered herein, shall be the sole obligation and responsibility of the CONSULTANT. In performing this Agreement, the CONSULTANT shall not employ or contract with a ny CITY employee without the City's w~en consent. City of Port Angeles - October 2000 VIII NONDISCRIMINATION The CONSULTANT shall conduct its business in a manner, which assures fair, equal and non-discriminatory treatment of all persons, without respect to race, creed or national origin, or other legally protected classification and, in particular: A. The CONSULTANT shall maintain open hiring and employment practices and will welcome applications for employment in all positions, from qualified individuals who are members of minorities protected by federal equal opportunity/affirmative action requirements; end, B. The CONSULTANT shall comply with all requirements of applicable federal, state or local laws or regulations issued pursuant thereto, relating to the establishment of non discriminatory requirements in hiring and employment practices and assuring the service of all persons without discrimination as to any person's race, color, religion, sex, Vietnam era veteran status, disabled veteran condition, physical or mental handicap, or national origin. IX SUBCONTRACTS A. The CONSULTANT shall not sublet or assign any of the work covered by this Agreement without the written consent of the CITY. B. The CONSULTANT will be using the firms submitted with its proposal as subcontractors. Subcontractors other than those listed shall not be permitted without the written consent of the CITY. C. In all solicitation either by competitive bidding or negotiation made by the CONSULTANT for work to be performed pursuant to a subcontract, including procurement of materiels and equipment, each potential subconsuitant or supplier shall be notified by the CONSULTANT of Consultant's obligations under this Agreement, including the nondiscrimination requirements. X CHANGES IN WORK Other than changes directed by the CiTY as set forth in Section I above, either party may request changes in the scope of work. Such changes shall not beoome part of this Agreement unless and until mutually agreed upon and incorporated herein by written amendments to this Agreement executed by both parties. Xl EXTRA WORK The CITY may desire to have the CONSULTANT perform work or render services in connection with this project, in addition to the Scope of Work set fotth in Exhibit A and minor revisions to satisfactorily completed work. Such work shall be considered as "Extra Work" and shall be addressed in a written supplement to this Agreement. The CITY shall not be responsible for paying for such extra work unless and until the written supplement is executed by both parties. Xll TERMINATION OF AGREEMENT A. The CITY may terminate this Agreement at any time upon not less than ten (10) days written notica to the CONSULTANT. Written notice will be by certitied mail sent to the consultant's designated representative at the address provided by the CONSULTANT. B. In the event this Agreement is terminated prior to the completion of the work, a final payment shall be made to the CONSULTANT, which, when added to any payments previously made, shall compensate the CONSULTANT for the percentage of work completed. C. In the event this Agreement is terminated prior to completion of the work, documents that are the property of the CiTY pursuant to Section II above, shall be delivered to and received by the CITY prior to transmittat of final payment to the CONSULTANT. XlII INDEMNIFICATION/HOLD HARMLESS The CONSULTANT agrees to indemnify the CITY from any claims, damages, losses, and costs, including, but not limited to, attorney's fees and litigation costs, arising out of claims by third patties for property damage and bodily injury, including death, caused solely by the negligence or willful misconduct of the CONSULTANT, CONSULTANT employees, affiliated corporations, officem, and subcontractors in connection with the work performed under this Agreement. The CITY agrees to indemnify the CONSULTANT from any claims, damages, losses, and costs, including, but not limited to, attorney's fees and litigation costs, arising out of claims by third parties for property damage and bodily injury, including death, caused solely by the negligenca or willful misconduct of the CITY, CITY's employees, or agents in connection with the work performed under this Agreement. City of Port Angeles - October 2000 If the negligence or willful misconduct of both CONSULTANT and CITY (or a person ~dentif'~d above for whom each is liable) ia a cause of such damage or injury, the loss, cost, or expense shall be shared between the CONSULTANT and the CITY in proportion to their relative degrees of negligence or wififul misconduct and the right of indemnity shall apply for such proportion. Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to properly caused by or resulting from the concurrent negligence of the CONSULTANT and the CITY, its officers, officials, employees, and volunteers, the CONSULTANTS liability hereunder shall be only to the extent of the CONSULTANT'S negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the CONSULTANTS waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. However, the CONSULTANT expressly reserves its rights as a third person set forth in RCW 51.24.035. XlV INSURANCE The CONSULTANT shall preocure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the CONSULTANT, its agents, representatives, employees or subcontractors. The CONSULTANT shall provide a Certificate of Insurance evidencing: 1. Automobile Liability insurance with limits no less than $1,000,000 combined single limit per accident for bodily injury and property damage: and, 2. Commercial General Liability insurance written on an occurrence basis with limits no less than $1,000,000 combined single limit per occurrence and $2,000,000 aggregate for personal injury, bodily injury and prepedy damage. Coverage shall include but eot be limited to: blanket contractual; pmductslcompleted operations; broad form property damage; explosion, collapse and underground (XCU) if applicable; and employer's liability; and, 3. Professional Liability insurance with limits no less than $1,000,000 limit per occurrence. Any payment of deductible or self insured retention shall be the sole responsibility of the CONSULTANT. The CITY shall be named as an additional insured on the Commercial General Liability insurance policy, as respects work performed by or on behalf of the Consultant and a copy of the endorsement naming the CITY as additional insured shall be attached to the Certificate of Insurance. The CITY reserves the right to rev/aw a certif'ied copy of all required insurance policies in the CONSULTANTs office. The CONSULTANT'S insurance shall contain a clause stating that coverage shall apply separately to each insured against whom claim is made or suit is brought, except with respects to the limits of the insurer's liability. The CONSULTANT'S insurance shall be primary insurance as respects the CITY, and the CITY shait be given thirty (30) days prior written notice of any cancellation, suspension or material change in coverage. XV APPLICABLE LAW This Agreement shall be construed and interpreted in accordance with the laws of the State of Washington, and in the event of dispute the venue of any litigation brought hereunder shall be Clallam County. XVI EXHIBITS AND SIGNATURES This Agreement, including its exhibits, constitutes the entire Agreement, supersedes all prior written or oral understandings, and may only be changed by a written amendment executed by both parties. The following exhibits are hereby made a pad of this Agreement: Exhibit A - Scope of Work Exhibit B - Consultant Labor Costs Exhibit C - Non-salary Reimbursable Costs Exhibit D - Schedule for the Work Cit~/of Port Angeles - October 2000 In WlTNESS THEREOF, thepaRieshemtohaveexecutedthisAgmementas ~thedayandyearfi~ wriEenabove. CITY OFPORTANGELES MAYOR CONSULTANT TITLE: APPROVED AS TO FORM: CRAIG KNUTSON, CITY ATTORNEY ATTEST: BECKY UPTON, CITY CLERK N:\PVVKS~IG HT~POVVM\FIBER\TELAGRE E.VVPD City of Port Angeles - October 2000 PROPOSAL Telecommunications Professional Services October 9, 2000 Submitted to City of Port Angeles 321 East Fifth Street Port Angeles, WA 98362-0217 METROPOLITAN COMMUNICATIONS CONSULTANTS TaCOma: 1201PacificAvenue, Su0e 1702, TacOma, Washington98402 Tel: 800.465.2248 Fax: 253.272.1482 www.mcco.com Seattle: 5847 McKinley Pi. N., Seattle, Washington 98103 Tel: 206.522.6778 Fax: 206.522.6777 EXHIBIT A - SCOPE OF WORK Page 1 1. TELECOMMUNICATIONS AND RELATED ORDINANCES The scope of work covered by this proposal consists of the summary tasks listed in the outline below. The outline is for proposal purposes and may be adjusted by the City as required during the work. The proposal shall be valid for a period of 30 days following the date of this letter. Task 1.1 - Review Existing and Draft City Ordinances and MCC Models Review existing materials and City draft telecommunications ordinance Meet with City staff · Review City's goals and expectations regarding final ordinances · Discuss MCC model telecommunications ordinance · Discuss MCC model pole attachment ordinance · Discuss MCC recommended wireless ordinance model · Discuss related ordinances - Tire 5 Business Licenses, Title 11 Streets & Sidewalks Task 1.2 - Prepare Customized and Updated Ordinances Edit model telecommunications, pole attachment and wireless ordinances incorporate applicable City materials Customize model ordinances for City of Port Angeles (Draft 1) Update existing Business License and Streets/Sidewalks ordinances (Draft 1) Legal review of Draft 1 ordinances (by Clarence West, esq.) City and service provider input and comments Incorporate comments, prepare package of custon~ized and updated ordinances (Draft 2) Legal review of Draft 2 ordinances (by Clarence West, esq.) Task 1.3 - Prepare Final Ordinances Prepare final package of ordinances for City codification and adoption Assistance with presentation of telecommunications and related ordinances to City Council Work Schedule and Timeline We estimate the work will require one hundred and twenty (120) days to complete from date of notice to proceed. The schedule allows reasonable time for review, comments and input by Port Angeles and other participants. Delays by providers or others may extend the completion date and could affect the budget. Budget Estimates The work covered by this proposal is estimated to require the budgets shown below. Item Description Amount MCC Customized telecom ordinance 7,500 MCC Customized pole attachment ordinance 1,000 MCC Customized wireless ordinance 2,000 MCC Updated business license & streets/sidewalks ordinance 2,000 DCF Specialist legal review 5,000 Total, Estimated Budget Required $17,500 Metropolitan Communications Consultants Confidential and Proprietary Exhibit A - Scope of Work Page 2 2. COMMUNITY TELECOMMUNICATIONS NEEDS AND INTERESTS The scope of work covered by this proposal consists of the summary tasks listed in the outline below. The outline is for proposal purposes and may be adjusted by the City as required during the work. The proposal shall be valid for a period of 30 days following the date of this letter Task 2.1 - Public Proceedings Meet with City staff and review City's goals and expectations for: · Community telecommunications needs and interests · Cable franchise renewal Gather existing materials by City and others for review and incorporation into work · E-nable Visions eCommerce/Internet initiatives · Fairpoint Bridgeworks program · Unisys Proposal · Other related materials Public proceedings issues development · Telecom needs and interests · PEG access, resou~rces and capital needs · Economic development needs and opportunities · Service provider performance review Public involvement and input · Public information by media, web page and continuing surveys · Stakeholder involvement · Public forums (telecom and catv - 1 each) Community telecommunications needs and interests report and recommendations Task 2.2 - Prepare Cable Television Franchise Draft for Renewal Negotiations Prepare Negotiation Draft for Northland Cable Television Franchise Renewal · Incorporate applicable City and MCC materials and input (Draft 1) · Legal review and comments · Incorporate applicable comments and prepare negotiation draft franchise (Draft N1) Assistance with presentation of Draft N1 to City management and Council (if needed) Invite Cable Provider response to Negotiation Draft N1 Task 2.3 - Assistance with Northland Negotiation (future, depends on provider response) Assist City team in cable television franchise renewal negotiations Preparation of drafts and final version of negotiated franchise Assistance with presentation of negotiated franchise to City Council Metropolitan Communications Consultants Confidential and Proprietary Exhibit A - Scope of Work 2. COMMUNITY TELECOMMUNICATIONS NEEDS AND INTERESTS (CONTINUED) Budget Estimates The work for Task 2.1 covered by this proposal is estimated to require the budget shown below. Tasks 2.2 and 2.3 are not immediately necessary, as the franchise will not expire until October 1, 2003. With completion of Task 2.1 however, the City should request a cable franchise proposal from Northland Cable in early 2001, following receipt of which, Task 2.2 should be initiated. Item Description Amount Community Telecommunications Needs and Interests Task 2.1 Public Proceedings $30,000 Task 2.2 Prepare Negotiation Draft for Northland Cable Television Franchise Renewal $10,000 Task 2.3 Assistance with Northland Negotiation future Total, Est~nated Budget Required $40,000 Work Schedule and Timeline We estimate Task 2.1 will require one hundred eighty (180) days to complete from date of notice to proceed. The schedule allows time for review, comments and input by Port Angeles and other participants. MCC will endeavor to accelerate the schedule to complete Task 2.1 as quickly as possible. Task 2.2 will immediately follow completion of Task 2.1 and can be completed ninety days (90) thereafter. Task 2.3 is dependent on the timing of a response from Northland Cable, who may consider delaying any action on theJ. r part until the franchise expiration date of October 1, 2003 is more imminent. Metropolitan Communications Consultants Confidential and Proprietary Exhibit A - Scope of Work Page 4 3. P~A. NETWORK, STAGE 1 AND UPDATES BUSINESS PLANNING 'Z~e scope of work covered by t~s proposal consists of the summa~ tasks Usted in the oull~e below. The outline is for proposal purposes and may be adiusted by the City as requ/red during the work. The proposal shall be valid for a period of 30 days following the date of this letter. Task 3.1 - Strategic Direction Goals and mission Authority, governance, structure Business proposition Partnership analyses Task 3.2 - Overview of Project Environment Impact of other telecommunications plannLng, particularly Task 2, the Community Telecommunications Needs and Interests Report Regulatory, technological and business environment Products and services Core customers and prospective users Market view Competitive landscape Opportunities and risks Task 3.3 - Implementation Plan Network strategy and priorities Product and services development Customer and user development Initial and potantial user sites Network development and activation options Implementation staging and timeline Initial backbone project and Stage 1 activation Network management, operations, and performance measures Future stage business plan updates Task 3.4 - Business Analyses Stage 1 and projected future usage Cost models Revenue projections Sensitivity analyses Funding models Task 3.5 - Final Report Stage 1 work plan and recommendations Prepare final Stage 1 Business Plan Report Presentation to City of Port Angeles The proposal includes the delivery of five (1) hard copies and one set of electronic originals for Port Angeles's use in printing copies for distribution. Metropolitan Communications Consultants Confidential and Proprietary Exhibit A - Scope of Wodc Page 5 WORK SCHEDULE AND TIMELINE The work can be completed within ninety (90) days of notce to proceed depending on the adequacy and ease of gathering available data. MCC requests the close and timely assistance of Port Angeles to meet the relatively short timeline. BUDGET ESTIMATES The work covered by this proposal is estimated to require the budget shown below. MCC will work on a time and expense or a lump sum basis, of wkich the latter is preferred. Item Description Amount 1. P.A. Network, Stage 1 Business Plan 35,000 2. Future Stage Business Plan Updates future Total, Estimated Budget Required $35,000 MetropolRan Communications Consultants Confidential and Proprietary EXHIBIT B & C - LABOR COSTS AND REIMBURSABLE COSTS Page 6 EXHIBIT B - CONSULTANT LABOR COSTS MCC Standard Labor Charges Description Technician Engineer/Analyst Principal Hourly wage multiplier 2.64 2.64 2.64 Labor charge/hour $45 to $60 $75 to $150 $195 EXHIBIT C - NON-SALARY REIMBURSABLE COSTS Non-Salary Reimbursable Costs Costs directly incurred in fulfilling the terms of this Agreement, including, but not limited to: Travel Subsistence Telephone CADD Computer Reproduction and Printing Supplies and Fees of Outside Services and Specialty Consultants. Reimbursed at actual cost plus 10% based on receipts presented. Additional Work Additional work requested, outside the scope of work of this proposal, may be done on a negotiated lump sum basis or at the standard rates listed above. Metropolitan Communications Consultants Confidential and Proprietary EXHIBIT D - SCHEDULE FOR THE WORK Page ? 1. Telecommunications Ordinanoe We estimate the work will require one hundred and twenty (120) days to complete from date of notice to proceed. The schedule atiows reasonable time for review, comments and input by Port Angeles and other participants. Delays by providers or others may extend the completion date and could affect the budget. 2. Community Telecommunications Needs and Interests We estimate Task 2.1 will require one hundred eighty (180) days to complete from date of notice to proceed. The schedule allows time for review, comments and input by Port Angeles and other participants. MCC will endeavor to accelerate the schedule to complete Task 2.1 as quickly as possible. Task 2.2 will immediately follow completion of Task 2.1 and can be completed ninety days (90) thereafter. Task 2.3 is dependent on the timing of a response from Northland Cable, who may consider delaying any action on their part until the franchise expiration date of October 1, 2003 is more imminent. 3. P.A. Network, Stage I Business Plan The work can be completed within ninety (90) days of notice to proceed depending on the adequacy and ease of gathering available data. MCC requests the close and timely assistance of Port Angeles to meet the relatively short timeline. Schedule Overview A summary overview of the project schedule is presented below. Upon authorization of the work and notice to proceed, MCC will prepare a detailed schedule in Gantt chart form of the work, for review and approval by the City. The schedule will show the timeline for all tasks and subtasks on the same chart so that the relationships and concurrent ongoing work can be monitored and adjusted as necessary. Telecom & Rel, Ords 120 days ~ Needs & Interests ~ Catv Fran ~ 180 days ~ 90 days Stage 1 Bus, Plan 90 days Metropolitan Communications Consultants Confidential and Proprietary WASHINGTON, U.S.A. UTILITY ADVISORY COMMITTEE MEMO DATE: October 9, 2000 TO: UTILITY ADVISORY COMMITTEE FROM: Scott McLain, Deputy Director of Power Systems (~yfV~ SUBJECT: BPA Power Sales Agreement Summary: Staffhas negotiated a power sales agreement with the Bonneville Power Administration to provide the wholesale electric power requirements for the City. This agreement will cover the period from October 2001 through September 2011. Recommendation.' UAC recommend that the Council authorize the Mayor to sign the attached agreement with the Bonneville Power Administration to provide the City's power supply for the ten year period from October 2001 to September 2011. Bacl~round / Analysis: The City's electric utility currently has contracts for wholesale power supply from three different providers. The majority of the City's supply comes from the Bonneville Power Administration (77%), with the remainder being supplied by Avista Power (22%) and Columbia Storage Power Exchange (CSPE) (1%). The Bonneville supply contract expires on September 30, 2001, the Avista contract on September 30, 2003, and the CSPE contract on March 31, 2003. Market prices for power during this period are expected to be much higher than the prices available from BPA. By signing the attached power sales agreement with the Bonneville Power Administration, we will replace power purchased under all the expiring contracts with BPA Priority Firm purchases (Bonneville's lowest cost power). This will assure the City of a Iow cost power supply through the term of the contract. The primary difference between the attached agreement and the agreement the City signed with BPA in 1996 is that it does not include rates set for the entire term of the agreement. Rates will be determined in a BPA formal rate proceeding at various times throughout the agreement as determined by BPA. Initial rates for the first five years of the contract are set, but will likely be adjusted by the Cost Recovery Adjustment Clause(CRAC) due to the high prices BPA is currently paying to augment their generating resources. The City's Account Executive from BPA will be present at the Council meeting on October 17th to answer questions about the contract. The City has recently contracted with Economic and Engineering Services to perform a financial study of the electric utility. This study should be complete by the end of the year and will determine how residential and commercial retail rates will be affected by the new wholesale power rates. Attachment: N:~PWKS~LIGI-IT~POWIVlhMEMOS\UAC 1009 .WPD Contract No, 00PB-12054 FULL SERVICE POWER SALES AGREEMENT executed by the BONNEVILLE POWER ADMINISTRATION and PORT ANGELES CITY LIGHT Table of Contents Section Page 1. Term ................................................................................................................ 2 2. Definitions ..................................................................................................... 2 3. Applicable Rates ........................................................................................... 4 4. Priority Firm Power Product .................................................................... 5 5. ' Load Loss ....................................................................................................... 5 6. Retail Access Implementation ................................................................... 6 7. Scheduling ..................................................................................................... 6 8. Delivery .......................................................................................................... 6 9. Measurement ................................................................................................. 8 10. Billing and Payment .................................................................................... 9 11. Notices ............................................................................................................ 11 12. Cost Recovery ............................................................................................... 11 13. Uncontrollable Forces ................................................................................. 11 14. Governing Law and Dispute Resolution ................................................. 12 15. Statutory Provisions .................................................................................... 14 16. Standard Provisions .................................................................................... 17 17. Termination ................................................................................................... 19 18. Signatures ...................................................................................................... 19 Exhibit A Rate Commitments Exhibit B Billing Exhibit C Net Requirements Exhibit D Additional Products and Special Provisions Exhibit E Points of Measurement This FULL SERVICE POWER SALES AGREEMENT (Agreement) is executed by the UNITED STATES OF AMERICA, Department of Energy, acting by and through the BONNEVILLE POWER ADMINISTRATION (BPA), and PORT ANGELES CITY LIGHT (Port Angeles). Port Angeles is a municipal corporation organized under the laws of the State of Washington. RECITALS This Agreement will replace Contract No. 96MS-95027 which continues through September 30, 2001. BPA has administratively divided its organization into two business lines in order to functionally separate the administration and decision-making activities of BPA's power business from the administrative and decision-making activities of its transmission business. References in this Agreement to the Power Business Line are solely for the purpose of establishing which BPA business line is responsible for the administration of this Agreement. The Parties agree: 1. TERM This Agreement takes effect on the date signed by BPA and Port Angeles. Performance by BPA and Port Angeles, except for the preparatory actions for performance, shall commence on October 1, 2001, and shall continue through September 30, 2011 (Expiration Date). 2. DEFINITIONS Capitalized terms in this Agreement shall have the meanings defined below, in the exhibits or in context. All other capitalized terms and acronyms are defined in BPA's applicable Wholesale Power Rate Schedules, including the General Rate Schedule Provisions (GRSPs), or its successors. (a) "Alternate Supplier" means an entity, other than Port Angeles, or a consumer of Port Angeles serving its own load with an on site resource, that provides electric power service directly to a retail electric power consumer that receives service over the distribution system of Port Angeles under Voluntary Retail Access or Mandated Retail Access. (b) "Amounts Taken" means the amount of power provided by PBL to serve Port Angeles's load as measured at the Points of Measurement. (c) "Annexed Load" means the amount of load, including the increase in load associated with an annexation, that is added to Port Angeles's distribution system after September 30, 2000 due to Port Angeles's acquisition by condemnation, purchase or other legal process, as authorized under apphcable state law, of distribution facilities and the obligation to serve the 00PB-12054, Port Angeles 2 retail electric power consumers connected to the facilities. Annexed Load amounts are shown in Exhibit A, Rate Commitments. (d) "Contract Year" or "CY" means the period that begins each October 1 and which ends the following September 30. For instance Contract Year 2002 begins October 1, 2001, and continues through September 30, 2002. (e) "Contracted Power" means Firm Power and Surplus Firm Power provided under this Agreement. (f) "Diurnal" means the division of hours of the day between Heavy Load Hours (HLH) and Light Load Hours (LLH). (g) "Firm Power" means electric power that PBL will make continuously available to Port Angeles under this Agreement. (h) "Mandated Retail Access" means the right, mandated either by Federal, or state law of retail electric power consumers to either acquire electric power service directly from one or more Alternate Suppliers of such electric power, or choose electric power service from a portfoho of power supply options, without Port Angeles taking an ownership interest. (i) "New Large Single Load" or "NLSL" means the definition established for NLSL in the Northwest Power Act, as implemented in a NLSL policy developed by BPA after this Agreement is executed. (j) "Northwest Power Act" means the Pacific Northwest Electric Power Planning and Conservation Act of 1980, P.L. 96-501, (k) "Party" or "Parties" means PBL and/or Port Angeles. (1) "Points of Measurement" means the points at which Total Retail Load and Amounts Taken are measured as set forth in Exhibit E, Points of Measurement. (m) "Points of Receipt" means the points of interconnection on the transmission provider's transmission system where Contracted Power will be made available to Port Angeles's transmission provider by PBL. (n) "Power Business Line" or "PBL' means the administrative unit of the Bonneville Power Administration, United States Department of Energy, or its successor, which is acting by and for BPA in making this contract, and which is responsible for the management of marketing and sale of Federal power under BPA statutes. (o) "Region" means the definition established for "Region" in the Northwest Power Act. 00PB.12054, Port Angeles 3 (p) "Returned Retail Load" means a retail electric power consumer load that returns to Port Angeles for electric power service after receiving electric power service from an Alternate Supplier. (q) "Surplus Firm Power" means surplus firm electric power that is made available and sold consistent with section 5(f) of the Northwest Power Act and subject to the provisions of P.L. 88-552 which is made available under this Agreement. (r) "Total Retail Load" means all electric power consumption including electric system losses, within a utility's distribution system as measured at Points of Measurement, adjusted as needed for unmetered loads or generation, less nonfirm or interruptible loads agreed to by the Parties. No distinction is made between load that is served with Contracted Power and load that is served with electric power from other sources. (s) "Transmission Business Line" or "TBL" means that portion of the SPA organizat/on or its successor that is responsible for the management and sale of transmission service on the Federal Columbia River Transmission System (FCRTS). (t) "Voluntary Retail Access" means retail access that is not Mandated Retail Access and under which the retail electric power consumer has the ability to either acquire electric power service directly from one or more Alternate Suppliers of such electric power, or choose electric power service from a portfolio of power supply options, without Port Angeles taking an ownership interest. 3. APPLICABLE RATES Purchases under this Agreement may be subject to more than one rate schedule. The Priority Firm Power (PF), New Resource Firm Power (NR), and Firm Power Products and Services (FPS) rate schedules, including the GRSPs, or their successors, apply to pgwer purchases under this Agreement. Purchases under each rate schedule are established as follows. (a) Priority Firm Power Rate '~ Section 4 of the body of this Agreement, Exhibit A (Rate Commitments), and Exhibit B (Billing), identify rates and Contracted Power amounts subject to the PF rate schedule. (b) New Resource Firm Power Rate Section 15 of the body of this Agreement, Exhibit A, (Rate Commitments), and Exhibit B (Billing) identify rates and Contracted Power amounts subject to the NR rate schedule. (c) Firm Power Products and Services Rate 00PS- 12054, Port Angeles 4 Except when otherwise specified in this Agreement Exhibit D (Additional Products and Special Provisions) identifies rates, products, and amounts subject to the FPS rate schedule. 4. PRIORITY FIRM POWER PRODUCT PBL shall sell and make available and Port Angeles shall purchase under the applicable PF rates Contracted Power in hourly amounts equal to Port Angeles's Total Retail Load minus the following: (a) Port Angeles and Non-Port Angeles Resources Port Angeles and non-Port Angeles resources as established in Exhibit C, Net Requirements. (b) New Large Single Loads NLSL amounts, if any, as established in Exhibit A, Rate Commitments that are served at the NR Rate. (c) Other Loads and Amounts Other loads and amounts as established in Exhibit D, Additional Products and Special Provisions. (d) Loads Served By an Alternate Supplier Under Mandated Retail Access Loads served by an Alternate Supplier under Mandated Retail Access as measured at the appropriate Points of Measurement, or in amounts agreed to by the Parties. $. LOAD LOSS (a) Limitation on Damages PBL shall bill Port Angeles monthly for any power Port Angeles was contractually obligated to purchase that month, but did not take for any reason other than Mandated or Voluntary Retail Access, at the rates PBL would have charged Port Angeles if Port Angeles had taken such power under this Agreement. Up to 60 days after the end of each Contract Year, ~ PBL may determine if Port Angeles purchased less Contracted Power in any ,. month during the previous Contract Year, due to Voluntary Retail Access load loss, than it was contractually obligated to purchase under this Agreement (Monthly Purchase Deficiency). If PBL makes such a determination it shall calculate the reasonable market value of each Monthly Purchase Deficiency taking into account the differing market values within each month during such Contract Year. Port Angeles shall pay PBL damages for such Contract Year equal to the amount by which the sum of the product of the Monthly Purchase Deficiencies and the amount PBL would have charged if the power had been taken under this Agreement exceeds the sum of the product of the Monthly Purchase Deficiencies and the reasonable market value in each month. PBL may require through a written notice to 00PB-12054, Port Angeles 5 Port Angeles that Port Angeles provide a reasonable forecast of its expected load loss amounts for a Contract Year. (b) Returned Retail Loads Port Angeles shall notify PBL of any Returned Retail Load and provide PBL with metering information for such loads prior to PBL providing any power to serve such loads. Port Angeles agrees not to request from PBL service under section 5(b) of the Northwest Power Act for a Returned Retail Load which would commence earlier than one year after the date the Returned Retail Load began receiving service from the Alternate Supplier. Any request for service to Returned Retail Loads would be established pursuant to section 4(c) of Exhibit A, Rate Commitments. 6. RETAIL ACCESS IMPLEMENTATION Port Angeles agrees to use its best efforts and all legal recourse to defend itself in any legal action in which it is alleged that the failure of Port Angeles to provide open access to its distribution system to Alternate Suppliers constitutes a violation of state or Federal antitrust laws. At ]east 180 days before Port Angeles allows Voluntary Retail Access or before the effective date of Mandated Retail Access, the Parties shall amend the terms of this Agreement, if and to the extent necessary, to reflect the following Port Angeles obligations: (a) Port Angeles sha]] ensure that PBL has access to information adequate to plan, schedule, and bill for service rendered under this Agreement; and (b) Port Angeles shall ensure that any retail electric power consumer, that receives all or a portion of its power supply from an Alternate Supplier, acquires all services necessary to support such service, including without limitation energy imbalance service. 7. SCHEDULING The Parties shall amend this Agreement as needed if any transmission tariff or regulatory agency requires or recommends changes that PBL decides to accept, which PBL determines require power scheduling provisions be made a part of this Agreement. 8. DELIVERY (a) Transmission Service for Contracted Power This Agreement does not provide transmission services for, or include the delivery of, Contracted Power to Port Angeles. Port Angeles shall be responsible for executing one or more wheeling agreements with a transmission supplier for the delivery of Contracted Power (Wheeling Agreement). The Parties agree to take such actions as may be necessary to facilitate the delivery of Contracted Power to Port Angeles consistent with the terms, notice, and the time limits contained in the Wheeling Agreement. 00PB-12054. Port Angeles 6 (b) Liability for Delivery Port Angeles waives any claims against PBL arising under this Agreement for nondelivery of power to any points beyond the applicable Points of Receipt. PBL shall not be liable for any third-party claims related to the delivery of power after it ]eaves the Points of Receipt. In no event will either Party be llab]e under this Agreement to the other Party for damage that results from any sudden, unexpected, changed, or abnormal electrical condition occurring in or on any electric system, regardless of ownership. These limitations on liability apply regardless of whether or not this Agreement provides for transfer service. (c) Points of Receipt PBL shall make Contracted Power available to Port Angeles under this Agreement at Points of Receipt solely for the purpose of scheduling transmission to points of delivery on Port Angeles's distribution system. Port Angeles shall schedule, if scheduling is necessary, such Contracted Power solely for use by its firm retail electric power consumer load. PBL, for purposes of scheduling transmission for delivery under this Agreement, specified Points of Receipt in a written notice to Port Angeles prior to August 1, 2000. If required by the Wheeling Agreement when PBL designates such Points of Receipt, PBL will provide capacity amounts for transmission under the Wheeling Agreement associated with the initial Points of Receipt that cnn be accepted as firm Points of Receipt under Port Angeles's Wheeling Agreement (except in the event that all Points of Receipt on the Federal Columbia River Power System (FCRPS) would be considered nonfirm). The sum of capacity amounts requested by PBL shall not exceed the amount reasonably necessary for PBL to provide Contracted Power. Such Points of Receipt and their capacity amounts may only be changed through mutual agreement. However, at any time PBL may request the use of nonfirm Points of Receipt to provide Contracted Power to Port Angeles, but notwithstanding section 8(b) above, PBL shall reimburse Port Angeles for any additional costs incurred by Port Angeles due to its compliance with such request. (d) Transmission Losses ~ PBL shall provide Port Angeles the losses between the Points of Receipt and Port Angeles's distribution system for Contracted Power, at no additional charge. Losses will be provided at Points of Receipt as established under section 8(c), and under the terms and conditions as defined in the transmission provider's tariff. (e) Points of Measurement Losses Measured amounts of Contracted Power shall be adjusted to account for losses, if any, that occur between the points where Contracted Power enters Port Angeles's system and the respective Points of Measurement. 00PB-12054, Port Angeles 7 (f) Hourly Load Matching For purposes of this section "Load Matching" means the obligation within the hour to match generation with Contracted Power. PBL intends to provide this service under this Agreement. If however PBL is not allowed to provide Load Matching under this Agreement, PBL may revise this Agreement as necessary to reflect the need for Port Angeles to arrange and pay for Load Matching. IfPBL is not allowed to provide Load Matching under this Agreement, PBL shall provide a credit to Port Angeles under the FPS 1996 Rate Schedule or its successor for the lesser of the actual costs Port Angeles incurs for Load Matching or Amounts Taken multiplied by the amount per kWh that PBL projected it would pay for Load Matching in the Wholesale Power Rate Schedules Port Angeles purchases under. 9. MEASUREMENT The following requirements apply to this Agreement, except for metering of load ]oat or gained due to Voluntary or Mandated Retail Access, which is governed by section 6, Retail Access Implementation. (a) General Port Angeles authorizes PBL to use metering data as PBL determines is necessary to plan, schedule, and bill for power. Port Angeles agrees to authorize TBL to provide Port Angeles's metering data directly to PBL, subject to any restrictions imposed by the Federal Energy Regulatory Commission (FERC). All Points of Measurement are shown in Exhibit E, Points of Measurement. Port Angeles agrees to provide reasonable notice to PBL prior to changing Control Areas. (b) BPA Metering BPA is responsible for the installation, operation, maintenance, and replacement of all metering equipment owned by BPA that is needed to plan, schedule, and bill for power. For BPA-owned meters only, Port Angeles authorizes PBL to install at PBL expense any metering equipment on Port Angeles's facilities, that is reasonably necessary to plan, schedule and bill for power, if PBL or Port Angeles are unable to obtain the information from TBL. The installation of such metering equipment shall be subject to a separate agreement between PBL and Port Angeles, addressing the location, access, maintenance, testing, and liability of the Parties with respect to such meters. (c) Port Angeles Metering (1) General Responsibilities Port Angeles is responsible for the installation, operation, maintenance, and replacement of metering equipment (except metering equipment owned by BPA or a transferring party) that is needed by PBL to plan, schedule, and bill for power for: 00PB-12054, Port Angeles 8 (Al points of interconnection between Port Angeles's system and parties other than BPA. (B) all loads that require separate measurement for purposes of planning, scheduling, or billing by PBL. (C) generating resources shown in Exhibit C, Net Requirements, that are interconnected to Port Angeles's system. All metering equipment shall meet standards generally accepted by the electric utility industry in the Region for the particular metering application. (2) Existing Metering Metering equipment existing at the time of execution of this Agreement may continue to be used indefinitely, provided it records data hourly and is reported to BPA each month. Metering equipment which does not record hourly may continue to be used in instances when PBL does not need hourly data to plan, schedule, or bill. (3) New Meters Any metering equipment described in subsection 9(c)(I) that is replaced, upgraded, or newly installed shall allow PBL complete electronic access to metering data. Electronic access is the capability for data polling and extraction via PBL's system software as frequently as needed to plan, schedule, and bill for power. Such meters shall record hourly and enable PBL to extract meter data for a minimum of the previous 45 days. In addition to the general requirements of (1), above, new meters shall meet PBL's published metering standards then in effect for such application. (4) Exceptions When the Parties agree metering is economically or technologically impractical, mutually acceptable load profiles may be used instead of metered amounts. Where power amounts are scheduled in or out of the Port Angeles's service territory, scheduled amounts shall be used, if appropriate, to determine the amount of Contracted Power delivered. 10, BILLING AND PAYMENT (al Billing PBL shall bill Port Angeles monthly, consistent with applicable BPA rates, including the GRSPs and the provisions of this Agreement for the Amounts Taken, payments pursuant to section 5, and other services provided to Port Angeles in the preceding month or months under this Agreement. PBL may send Port Angeles an estimated bill followed by a final bill PBL shall send all bills on the bill's issue date either electronically or by mail, at Port 00PB-12054, Port Angeles 9 Angeles's option. If electronic transmittal of the entire bill is not practical, PBL shah transmit s summary electronically, and send the entire bill by mail. (b) Payment Payment of all bills, whether estimated or fins], must be received by the 20th day after the issue date of the bill (Due Date). If the 20th day is a Saturday, Sunday, or Federal holiday, the Due Date is the next business day. If payment has been made on an estimated bill before receipt of a final bill for the same month, Port Angeles shall pay only the amount by which the final bill exceeds the payment made for the estimated bill. PBL shall provide Port Angeles the amounts by which an estimated bill exceeds a final bill through either a check or as a credit on the subsequent month's bill. After the Due Date, a late payment charge shall be applied each day to any unpaid balance. The late payment charge is calculated by dividing the Prime Rate for Large Banks as reported in the Wall Street ,Journal, plus 4 percent; by 365. The applicable Prime Rate for Large Banks shall be the rate reported on the first day of the month in which payment is received. Port Angeles shall pay by electronic funds transfer using BPA's established procedures. PBL may terminate this Agreement if Port Angeles is more than three months behind in paying its bills under this Agreement and Port Angeles cannot demonstrate an ability to make the payments owed. (c) Disputed Bills In case of a billing dispute, Port Angeles shall note the disputed amount and pay its bill in full by the Due Date. Unpaid bills (including both disputed and undisputed amounts) are subject to late payment charges provided above. If Port Angeles is entitled to a refund of any portion of the disputed amount, then BPA shall make such refund with simple interest computed from the date of receipt of the disputed payment to the date the refund is made. The daily interest rate used to determine the interest is calculated by dividing the Prime Rate for Large Banks as reported in the Wall Street Journal; by 365. The applicable Prime Rate for Large Banks shall be the rate reported on the first day of the month in which payment is received by BPA. 00PB-12054, Port Angeles 10 11. NOTICES Any notice required under this Agreement shall be in writing and shall be delivered: (a) in person; (b) by a nationally recognized delivery service; or (c) by United States Certified Mail. Notices are effective when received. Either Party may change its address for notices by giving notice of such change consistent with this section. If to Port Angeles: If to PBL: Port Angeles City Light Bonneville Power Administration PO Box 1150 P.O. Box 3621 Port Angeles WA 98362-0217 Portland, OR 97208-3621 Attn: Scott McLain Attn: Charles W. Forman, Jr~ - PSW/6 Deputy Director of Power Account Executive Systems Phone: 503-230-3432 Phone: 360-317-4703 FAX: 503-230-3544 FAX: 360-417-4709 E-Mail: cformanjr~bpa.gov E-Mail: palight~ci.port-ange]es:wa.us 12. COST RECOVERY (a) Nothing included in or omitted from this Agreement creates or extinguishes any right or obligation, if any, of BPA to assess against Port Angeles and Port Angeles to pay to BPA at any time a cost underrecovery charge pursuant to an applicable transmission rate schedule or otherwise applicable law. (b) BPA may adjust the rates for Contracted Power set forth in the applicable power rate schedule during the term of this Agreement pursuant to the Cost Recovery Adjustment Clause in the 2002 GRSPs, or successor GRSPs. 13. UNCONTROLLABLE FORCES PBL shall not be in breach of its obligation to provide Contracted Power and Port Angeles shall not be in breach of its obligation to purchase Contracted Power to the extent the failure to fulfill that obligation is due to an Uncontrollable Force. "Uncontrollable Force" means an event beyond the reasonable control of, and without the fault or negligence of, the Party claiming the Uncontrollable Force that impairs that Party's ability to perform its contractual obligations under this Agreement and which, by exercise of that Party's reasonable diligence and foresight, such Party could not be expected to avoid and was unable to avoid. Uncontrollable Forces include, but are not limited to: (a) any unplanned curtailment or interruption for any reason of ~irm transmission used to deliver Contracted Power to Port Angeles's facilities or distribution system, including but not limited to unplanned maintenance butages; 00PB-12054, Port Angeles 11 (b) any unplanned curtailment or interruption, failure or imminent failure of Port Angeles's distribution facilities, including but not limited to unplanned maintenance outages; (c) any planned transmission or distribution outage that affects either Port Angeles or PBL which was provided by a third-party transmission or distribution owner, or by a transmission provider, including TBL, that is functionally separated from the generation provider in conformance with FERC Orders 888 and 889 or its successors; (d) strikes or work stoppage, including the threat of imminent strikes or work stoppage; (e) floods, earthquakes, or other natural disasters; and (f) orders or injunctions issued by any court having competent subject matter jurisdiction, or any order of an administrative officer which the Party claiming the Uncontrollable Force, after diligent efforts, was unable to have stayed, suspended, or set aside pending review by a court of competent subject matter jurisdiction. Neither the unavailability of funds or financing, nor conditions of national or local economies or markets shall be considered an Uncontrollable Force. The economic hardship of either Party shall not constitute an Uncontrollable Force. Nothing contained in this provision shall be construed to require either Party to settle any strike or labor dispute in which it may be involved. The Party claiming the Uncontrollable Force shall notify the other Party as soon as practicable of that Party's inability to meet its obligations under this Agreement due to an Uncontrollable Force. The Party claiming the Uncontrollable Force also agrees to notify any control area involved in the scheduling of a transaction which may be curtailed due to an Uncontrollable Force. Both Parties shall be excused from their respective obligations, other than from payment obligations incurred prior to the Uncontrollable Force, without liability to the other, for the duration of the Uncontrollable Force and the period reasonably required for the Party claiming the Uncontrollable Force, using due diligence, to restore its operations to conditions existing prior to the occurrence of the Uncontrollable Force. 14. GOVERNING LAW AND DISPUTE RESOLUTION (a) This Agreement shall be interpreted consistent with and governed by Federal law. Final actions subject to section 9(e) of the Northwest Power Act are not subject to binding arbitration and shall remain within the exclusive jurisdiction of the United States Ninth Circuit Court of Appeals. Any dispute regarding any rights of the Parties under any BPA policy, including the implementation of such policy, shall not be subject to arbitration under 00PB-12054, Port Angeles 12 this Agreement. Port Angeles reserves the right to seek judicial resolution of any dispute arising under this Agreement that is not subject to arbitration under this section 14. For purposes of this section 14 BPA policy means any written document adopted by BPA as a final action in a decision record or record of decision that establishes a policy of general application, or makes a determination under an applicable statute. If either Party asserts that a dispute is excluded from arbitration under this section 14, either Party may apply to the Federal court having jurisdiction for an order determining whether such dispute is subject to arbitration under this section 14. (b) Any contract dispute or contract issue between the Parties arising out of this Agreement, except for disputes that are excluded through section 14(a) above, shall be subject to binding arbitration. The Parties shall make a good faith effort to resolve such disputes before initiating arbitration proceedings. During arbitration, the Parties shall continue performance under this Agreement pending resolution of the dispute, unless to do so would be impossible or impracticable. (c) Any arbitration shall take place in Portland, Oregon, unless the Parties agree otherwise. The CPR Institute for Dispute Resolution's arbitration procedures for commercial arbitration, Non-Administered Arbitration Rules (CPR Rules), shall be used for each dispute; provided, however, that: (1) the Parties shall have the discovery rights provided in the Federal Rules of Civil Procedure unless the Parties agree otherwise; and (2) for claims of $1 million or more, each arbitration shall be conducted by a panel of three neutral arbitrators. The Parties shall select the arbitrators from a list containing the names of 15 qualified individuals supplied by the CPR Institute for Dispute Resolution. If the Parties cannot agree upon three arbitrators on the list within 20 business days, the Parties shall take turns striking names from the list of proposed arbitrators. The Party initiating the arbitration shall take the first strike. This process shall be repeated until three arbitrators remain on the list, and those individuals shah be designated as the arbitrators. For disputes involving less than $1 million, a single neutral arbitrator shall be selected consistent with section 6 of the CPR Rules. (d) Except for arbitration awards which declare the rights and duties of the Parties under this Agreement, the payment of monies shall be the exclusive remedy available in any arbitration proceeding. Under no circumstances shall specific performance be an available remedy against BPA. The arbitration award shall be final and binding on both Parties, except that either Party may seek judicial review based upon any of the grounds referred to in the Federal Arbitration Act, 9 U.S.C. §1-16 (1988). Judgment upon the award rendered by the arbitrators may be entered by any court having jurisdiction thereof. (e) Each Party shall be responsible for its own costs of arbitration, including legal fees. The arbitrators may apportion all other costs of arbitration 00PB-12054, Port Angeles 13 between the Parties in such manner as they deem reasonable taking into account the circumstances of the case, the conduct of the Parties during the proceeding, and the result or,he arbitration. 15. STATUTORY PROVISIONS (al Annual Financial Report and Retail Rate Schedules Port Angeles shall provide PBL with a current copy of its annual financial report and its retail rate schedules, as required by Section 5(al of the Bonneville Project Act, P.L. 75-329. (b) Insufficiency and Allocations If BPA determines, consistent with section 5(b) of the Northwest Power Act and other applicable statutes, that it will not have sufficient resources on a planning basis to serve its ]oads after taking all actions required by applicable laws then BPA shall give Port Angeles a written notice that BPA may restrict service. Such notice shall be consistent with BPA's insufficiency and allocations methodo]ogy, published in the Federal Register on March 20, 1996, and shall state the effective date of the restriction, the amount of Port Angelee's load to be restricted, and the expected duration of the restriction. BPA shall not change that methodology without the written agreement of all affected customers. Such restriction shah take effect no sooner than five years after notice is given to Port Angeles. IfBPA imposes a restriction under this provision then the amount of Contracted Power that Port Angeles is obligated to purchase pursuant to section 4 shall be reduced to the amounts available under such restricted service. (c) New Large Single Loads (1) General All existing NLSLs are listed in section 5 of Exhibit A, Rate Commitments. Port Angeles shall provide reasonable notice to PBL of any expected increase in load that is likely to qualify as a new NLSL. Port Angeles may either serve a NLSL with Contracted Power or with power from another source. For purposes of this section (c), "Consumer" means an end-user of electric power or energy~ (2) Determination ora Facility PBL, in consultation with Port Angeles, shall make a reasonable determination of what constitutes a single facility, for the purpose of identifying a NLSL, based upon the following criteria: (Al whether the load is operated by a single Consumer; (B) whether the load is in a single location; (C) whether the load serves a manufacturing process which produces a single product or type of product; 00PB-12054, Port Angeles 14 (D) whether separable portions of the load are interdependent; (E) whether the load is contracted for, served or billed as a single load under Port Angeles's customary billing and service policy; (F) consistent application of the foregoing criteria in similar fact situations; and (G) any other factors the Parties determine to be relevant. PBL shall show an increase in load associated with a Consumer's facility which has been determined to be a NLSL in section 5 of Exhibit A, Rate Commitments. PBL shall have the unilateral right to amend Exhibit A to reflect such determinations when made. (3) Deterrrdnation often Average Megawatt Increase An increase in load shall be considered a NLSL if the energy consumption of the Consumer's load associated with a new facility, an existing facility, or expansion of an existing facility during the immediately past 12-month period exceeds by 10 average megawatts or more the Consumer's energy consumption for such new facility, existing facility or expansion of an existing facility for the consecutive 12-month period one year earlier, or the amount of the contracted for, or committed to load of the Consumer as of September 1, 1979, whichever is greater. (4) CF/CT Loads Port Angeles has no loads that were contracted for, or committed to, as of September 1, 1979, as defined in section 3(13)(A) of the Northwest Power Act. (d) Priority of Pacific Northwest Customers The provisions of sections 9(c) and (d) of the Northwest Power Act and the provisions of P.L. 88-552 as amended by the Northwest Power Act are incorporated into this Agreement by reference. BPA~ agrees that Port Angeles, together with other customers in the Region shah have priority to BPA power, consistent with such provisions. (e) Prohibition on Resale Port Angeles shall not resell PF or NR Contracted Power except to serve Port Angeles's Total Retail Load or as otherwise permitted by Federal law. (f) Use of Regional Resources (1) Within 60 days prior to the start of each Contract Year, Port Angeles shall notify PBL of any firm power from a generating resource, or a contract resource during its term, that has been used to serve firm 00PB-12054, Port Angeles 15 consumer load in the Region that Port Angeles plans to export for sale outside the Region in the next Contract Year. PBL may during such Contract Year request additional information on Port Angeles resources if PBL has information that Port Angeles may have made such an export and not notified PBL. PBL may request and Port Angeles shall provide within 30 days of such request, information on the planned use of any or all of Port Angeles's generating and contractual resources. (2) Port Angeles shall be responsible for monitoring any firm power from generating resources and contract resources it sells in the Region to ensure such firm power is delivered to be used to serve firm consumer load in the Region. (3) If Port Angeles fails to report to PBL in accordance with section (1), above, any of its planned exports for sale outside the Region of firm power from a generating resource or a contract resource that has been used to serve firm consumer load in the Region, and FBL makes a finding that an export which was not reported was made, then PBL may terminate this Agreement upon 30 days written notice to Port Angeles. IfPBL concludes that the failure to report is inadvertent and unlikely to reoccur PBL shall not terminate this Agreement and may instead elect to decrement the amount of Contracted Power by up to two times the amount of the export that was not reported. When applicable such decrements shall be established consistent with section 4(c) of Exhibit C. (4) For purposes of this section, an export for sale outside the Region means a contract for the sale or disposition of firm power from a generating resource, or a contract resource during its term, that has been used to serve firm consumer load in the Region in a manner that such output is not planned to be used solely to serve firm consumer load in the Region. Delivery of firm power outside the Region under a seasonal exchange agreement that is made consistent with BPA's section 9(c) policy will not be considered an export. Firm power from :~: a generating resource or contract resource used to serve firm consumer load in the Region means the firm generating or load carrying capability of a generating resource or contract resource as established under Pacific Northwest Coordination Agreement resource planning criteria, or other resource planning criteria generally used for such purposes within the Region. (g) BPA Appropriations Refinancing Act The Parties agree that the BPA Refinancing Section of the Omnibus Consolidated Recisions and Appropriations Act of 1996 (The BPA Refinancing Act), P.L. No. 104-134, 110 Stat. 1321, 1350, as stated in the United States Code on the date this Agreement is signed by the Parties, is incorporated by reference and is a material term of this Agreement. The 00PB-12054, Port Angeles 16 Parties agree that this provision and the incorporated text shah be included in subsequent agreements between the Parties, as a material term through at least September 30, 2011. 16. STANDARD PROVISIONS (a) Amendments No oral or written amendment, rescission, waiver, modification, or ether change of this Agreement shall be of any force or effect unless set forth in a written instrument signed by authorized representatives of each Party. (b) Assignment This Agreement is binding on any successors and assigns of the Parties. BPA may assign this Agreement to another Federal agency to which BPA's statutory duties have been transferred. Neither Party may otherwise transfer or assign this Agreement, in whole or in part, witliout the other Party's written consent. Such consent shall not be unreasonably withheld. BPA shall consider any request for assignment consistent with applicable BPA Statutes. Port Angeles may not transfer or assign this Agreement to any of its retail customers. (c) Information Exchange and Confidentiality The Parties shall provide each other with any information that is reasonably required, and requested by either Party in writing, to operate under and administer this Agreement, including load forecasts for planning purposes, information needed to resolve billing disputes, scheduling and metering information reasonably necessary to prepare power bills that is not otherwise available to the requesting Party. Such information shall be provided in a timely manner. Information may be exchanged by any means agreed to by the Parties. If such information is subject to a privi]ege of confidentiality, a confidentiality agreement or statutory restriction under state or Federal law on its disclosure by a Party to this Agreement, then that Party shah endeavor to obtain whatever consents, releases, or agreements are necessary from the person ho]ding the privilege to provide such information while asserting the confidentiality over the information. Information provided to BPA which is subject to a privilege of confidentiality or nondisclosure shall; be clearly marked as such and BPA shall not disclose such information without obtaining the consent of the person or Party asserting the privilege, consistent with BPA's obligation under the Freedom of Information Act. BPA may use such information as necessary to provide service or timely bill for service under this Agreement. BPA shall only disclose information received under this provision to BPA employees who need the information for purposes of this Agreement. (d) Entire Agreement This Agreement, including all provisions, exhibits incorporated as part of this Agreement, and documents incorporated by reference, constitutes the entire agreement between the Parties. It supersedes all previous 00PB- 12054, Port AngeJes 17 communications, representations, or contracts, either written or oral, which purport to describe or embody the subject matter of this Agreement. (e) Exhibits The exhibits listed in the table of contents are incorporated into this Agreement by reference. The exhibits may only be revised upon mutual agreement between the Parties unless otherwise specified in the exhibits. The body of this Agreement shall prevail over the exhibits to this Agreement in the event of a conflict. (f) No Third-Party Beneficiaries This Agreement is made and entered into for the sole protection and legal benefit of the Parties, and no other person shall be a direct or indirect legal beneficiary of, or have any direct or indirect cause of action or claim in connection with this Agreement. (g) Waivers Any waiver at any time by either Party to this Agreement of its rights with respect to any default or any other matter arising in connection with this Agreement shah not be considered a waiver with respect to any subsequent default or matter. (h) BPA Policies Any reference in this Agreement to BPA policies, including without limitation BPA's NLSL Policy and the 5(b)/9(c) Policy, and any revisions thereto, does not constitute agreement by Port Angeles to such pohcy, nor shall it be construed to be a waiver of the right of Port Angeles to seek judicial review of any such policy. (i) Severability If any term of this Agreement is found to be invalid by a court of competent jurisdiction then such term shall remain in force to the maximum extent permitted by law. All other terms shall remain in force unless that term is determined not to be severable from all other provisions of this Agreement by such court. (j) Rate Covenant Port Angeles agrees that it will establish, maintain, and collect rates or charges for power and energy and other services, facilities and commodities sold, furnished or supplied by it through any of its electric utility properties which shall be adequate to provide revenues sufficient to enable Port Angeles to make the payments required under this Agreement. (k) Hold Harmless Each Party assumes all liability for injury or damage to persons or property arising from the act or negligence of its own employees, agents, members of governing bodies, or contractors. Each Party shall indemnify and hold the other Party harmless from any liability arising from such act or negligence. 00PB-12054, Port Angeles 18 17. TERMINATION Port Angeles may terminate this Agreement through a written notice up to 30 days after FERC grants interim approval for BPA's wholesale power rates that are effective October 1, 2001. In addition, Port Angeles shall have the right to terminate this Agreement if all of the following conditions have been satisfied: (a) Any rates adopted in WP-02 Final Rate Proposal, Administrator's Final Record of Decision are remanded to BPA for reconsideration by FERC or the Ninth Circuit Court of Appeals. (b) As a result of the remand, the Administrator publishes a subsequent Final Record of Decision which, if confirmed, would result in Port Angeles being subject to a higher average effective power rate for the period beginning the first day of the billing period immediately following the effective date of new rates contained in the subsequent Final Record of Decision and ending on September 30, 2006. (c) Port Angeles has provided written notice to BPA of its intent to terminate this Agreement within 30 days of publication of the subsequent Final Record of Decision. Termination shall be effective at the start of the second billing period following the termination notice. 18, SIGNATURES The signatories represent that they are authorized to enter into this Agreement on behalf of the party for whom they sign. PORT ANGELES CITY LIGHT UNITED STATES OF AMERICA Department of Energy Bonneville Power Administration By By Account Executive Name Name Charles W. Forman, Jr. (Print/~ype) (Print/Type) Title Date Date (PBLLAN-PSW/6-W:\PSWXPM\ll_16\Port AngelesN00PB-12054 10 FS.doc) 09/29/00 00PB-12054, Port Angeles 19 Exhibit A RATE COMMITMENTS 1. DEFINITIONS (al "5-Year Rates" means the Lowest PF Rates established in the 2002 Wholesale Power Rate Case for Contract Years 2002 through 2006. (b) "Lowest PF Rates" means the lowest applicable cost-based power rates provided under the applicable PF rate schedule as applied to Port Angeles's Contracted Power purchases under this Agreement. The Lowest PF Rates shall be selected by Port Angeles from the PF rates that are available and from which the Parties agree Port Angeles is eligible to purchase under at the time Port Angeles makes its selection as specified Jn this exhibit. 2. PURCHASE DURATION Port Angeles shall purchase all of the power provided in section 4 of the body of this Agreement for the entire term of this Agreement. 3. PRIORITY FIRM PO'6rER RATE TREATMENT (al Right to Lowest PF Rates Port Angeles is contractually guaranteed through September 30, 2011 the Lowest PF Rates established in a successor BPA power rates proceeding for its PF Contracted Power purchases under this Agreement. This section shall not be construed to waive, alter, or amend any right that Port Angeles may have under applicable statutes. (b) Revisions to Priority Firm Power Rates BPA agrees that the 5-Year Rates available to Port Angeles consistent with this exhibit shall not be subject to revision during their respective terms, except for the application of a Cost Recovery Adjustment Clause or a Targeted Adjustment Charge as provided in the PF applicable rates schedules and GRSPs and this Agreement. (c) ' 5-Year Rates Treatment All Contracted Power purchases provided under section 4 of the body of this Agreement are subject to the 5-Year Rates. The monthly energy rates for Contracted Power are specified in sections II.B3 in the section labeled "Schedule PF-02 Priority Firm Power" in the 2002 Power Rate Schedules. Port Angeles must select a follow-on rate period and associated rates from those offered by BPA, and notify PBL of its selection, by the later of: (l) six months prior to the expiration of the 5-Year Rates; or (2) thirty (30) days after the date BPA's initial proposal for successor rates is published. 00PB-12054, Port Angeles 1 of 3 Exhibit A, Rate Commitments Otherwise the follow-on rate period and associated rates shall be the shortest rate period and associated rates that are applicable to Port Angeles. 4. SPECIAL PF LOAD TREATMENT (a) Annexed Loads Port Angeles may make a written request for service to Annexed Loads, including a planned date for such service. Annexed Load amounts that were served by PBL under section 5(b) of the Northwest Power Act immediately prior to becoming an Annexed Load will be provided service under rates, terms, and conditions that, within the constraints of BPA's applicable policies, are as comparable as possible to what such Annexed Load would have received if the load had not become an Annexed Load. The Parties shall revise this exhibit within 180 days of the request, to establish the rates, terms and conditions for the requested service and to include monthly HLH and LLH MWs in a table be]ow. The table shall identify whether the amounts in the table are deemed to be actual for billing purposes or whether the table is an estimate with bills based on metered amounts. (b) Environmentally Preferred Power Port Angeles may request Environmentally Preferred Power. If available, the Parties shall amend this Agreement to include necessary provisions as mutually agreed. (c) Returned Retail Load Port Angeles may request service from PBL to serve Returned Retail Load. The Parties shall revise this exhibit to establish monthly HLH and LLI-I MWs for such service in a table below. The table shall identify whether the amounts in the table are deemed to be actual for billing purposes or whether the table is an estimate with bills based on metered amonnts. PBL shall provide service within 180 days of the request at rates BPA has established or establishes as applicable to such loads. The rate treatment for such loads shall continue through Contract Year 2006. Rate treatment after Contract Year 2006 shall be determined in a future rate case. (d) Load Previously Served By Port Angeles Northwest Power Act Sections 5(b)(1)(A) and/or 5(b)(1)(B) Resources Port Angeles may request service from PBL to serve load that would otherwise be served by Port Angeles's Northwest Power Act sections 5Co)(1)(A) resources and 5(b)(1)(B) generating resources and long-term contract resources that are removed consistent with section 4(d) of Exhibit C, Net Requirements. The Parties shall revise this exhibit to establish monthly HLH and LLH MWs for such service in a table below. The amounts are deemed to be actual for billing purposes. PBL shall provide service within 180 days of the request at rates BPA has established or establishes as applicable to such loads. The rate treatment for such loads 00PB-12054, Port Angeles 2 of 3 Exhibit A, Rate Commitments shall continue through Contract Year 2006. Rate treatment after Contract Year 2006 shall be determined in a future rate case. 5. NEW LARGE SINGLE LOADS (a) Port Angeles has no existing NLSL. (b) Port Angeles may request service to a NLSL. The Parties shall revise this exhibit to establish estimated monthly HLH and LLH MWh for such service in a table below. If Port Angeles chooses to serve the NLSL with a resource the resource shall be added consistent with section 4(t) of Exhibit C, Net Requirements. The total amount subtracted from Total Retail Load in section 4 of the body of this Agreement shall be the metered amount of the load. The same metered amount shall be used by PBL for billing purposes when PBL serves the entire NLSL. 6. REVISIONS If this exhibit is inconsistent with BPA's 2002 PF Power Rate Schedule as finally approved by FERC, the Parties shall make a good faith effort to amend this exhibit so that it is consistent. The Parties shall update this exhibit to reflect necessary changes to establish new rate choices consistent with the applicable future rate cases. This shall be done by mutual agreement except as allowed in section 3 of this exhibit. (PBLLAN.pSW/6-W:\PSW\PM\ll_16\Port Angeles\00PB-12054 10 FS.doc) 09/29/00 00PB-12054, Port Angeles 3 of ~ Exhibit A, Rate Commitments Exhibit B BILLING 1. PRIORITY FIRM POWER ENTITLEMENTS (a) The amount of Contracted Power in MWh which is established through section 4 of the body of this Agreement during each applicable Diurnal period establishes Port Angeles's Monthly PF HLH and LLH Energy Entitlements. (b) The amount of Contracted Power in MW which is estabhshed through section 4 of the body of this Agreement that is made available on Generation System Peak is Port Angeles's Measured Demand. 2. NEW RESOURCE CONTRACTED POWER ENTITLEMENTS (a) The amount of energy served by PBL under section 5 of Exhibit A, Rate Commitments during each applicable Diurnal period establishes Port Angeles's Monthly NR HLH and LLH Energy Entitlements. (b) The amount of demand served by PBL under section 5 of Exhibit A, Rate Commitments that is made available on Generation System Peak is Port Angeles's Measured Demand. 3. UNAUTHORIZED INCREASE CHARGE Amounts Taken from PBL in excess of Contracted Power shall be subject to the Unauthorized Increase Charge for demand and energy consistent with the applicable BPA Wholesale Power Rate Schedules and GRSPs, unless such power is provided under another contract with PBL. Power that has been provided for energy imbalance service pursuant to an agreement between TBL and Port Angeles will not be subject to an Unauthorized Increase Charge for Demand and Energy under this Agreement. 4. CONSERVATION AND RENEWABLES DISCOUNT Subject to the terms specified in BPA's applicable Wholesale Power Rate Schedules, including GRSPs, BPA shall apply the Conservation and Renewables Discount to Port Angeles's Contracted Power as established i~ section 4 of the body of this Agreement unless Port Angeles has notified PBL before August 2001 that it will not participate in the Conservation and Renewables Discount. For purposes of establishing power amounts eligible for this discount, Port Angeles shall provide PBL a reasonable forecast of such firm power amounts through Contract Year 2006 by no later than August 1, 2001. If during any Contract Year, Port Angeles has significant load loss or gain, the Parties may, by no later than August 31 prior to the succeeding Contract Year, revise the forecast used to calculate the Conservation and Renewables Discount. If the revised forecast is less than 95 percent of, or greater than 105 percent of, the forecast used to calculate the existing Conservation and Renewables Discount, the 00PB-12054, Port Angeles Exhibit B, Billing 1 of 2 revised forecast shall be used to recalculate the Conservation and Renewables Discount for the succeeding Contract Years. To retain the full amount of the Conservation and Renewables Discount Port Angeles shall satisfy all obligations associated with the Conservation and Renewables Discount as specified in BPA's applicable Wholesale Power Rate Schedules, including GRSPs and the Conservation and Renewables Discount implementation manual. Port Angeles shall reimburse BPA for any amount it received but for which it did not satisfy such obligations. 5. REVISIONS If this exhibit is inconsistent with BPA's 2002 PF Power Rate Schedule as finally approved by FERC, the Parties shall make a good faith effort to amend this exhibit so that it is consistent. (PBLLAN-PSW/6-W:\PSW\PM\II_16\Port Angeles\00PB-12054 10 FS.doc) 09/29/00 00PB- 12054, Port Angeles 2 of 2 Exhibit B, Billing Exhibit C NET REQUIREMENTS 1. ESTABLISHING NET REQUIREMENT Port Angeles's net requirement is its Total Retail Load less both the resource amounts, if any, established in section 2(d) of this exhibit and the metered amounts of known non-Port Angeles resources, if any, established in section 3 of this exhibit. Except for modifications allowed in section 4 of this exhibit these resource amounts are not allowed to change during the term of this Agreement. 2. CUSTOMER RESOURCES Except when explicitly stated otherwise, the amounts listed in the tables in this section are only for determining Port Angeles's net requirement under this Agreement and do not imply any specific resource operation, nor are the amounts intended to interfere with Port Angeles's decisions on how to operate its specific (a) Non-Dispatchable Resources Committed to Load Port Angeles commits all of the output from the following resources to serve Total Retail Load. The output of each resource is measured at the applicable Points of Measurement listed in Exhibit E, Points of Measurement. None. (b) Declared Output of Specific Port Angeles Resources Port Angeles commits the firm output from the following resources (or an equivalent amount from another source) to serve its Total Retail Load. (1) Columbia Storage Power & Exchange (CSPE) The following data applies to this resource. 2002 HLH (MWh) 393 380 393 393 355 393 303 314 304 314 315 357 LLH (MWh) 0 0 0 0 0 0 0 0 0 0 0 0 Peak (M~ 0.9 0.9 0.9 0.9 0,9 0.9 0.8 0.8 0.8 0.8 0.8 0.8 2003 ToCa! (MWh) 370 357 369 369 334 369 0 0 0 0 0 0 HLH(MWh) 370 357 369 I 369 I 334 I369 I0 [0 [0 [ 0 0 LLH (MWh) 0 0 0 0 ] 0 0 0 ]0 0 0 0 Peak (MW) 0.8 0.8 0.8 0.8 0.8 0.8 0.0 0.0 0.0 0,0 0,0 0.0 2004 ~o~a~ ~Vh~ I 0 I0 I 0 I 0 I 0 I O I 0 I 0 I 0 ( 0 I 0 00PB-12054, Port Angeles .1 of 5 Exhibit C, Net Requirements HLH (MV~h) 0 0 0 0 0 0 0 0 0 0 0 0 LLH (M%Vh) 0 0 0 0 0 0 0 0 0 0 0 ] 0 Peak (MV/) 0.0 0.0 0.0 0.0 0.0 0.0 0,0 0.0 0.0 0.0 0,0 0.0 2005 Total~mV~) o o o ] o ] o o o o o 0 o o HL~(~Vh) 0 0 0 ] 0 } 0 0 0 0 0 0 0 0 P~u~ o,o I O,o i o,o { o~o } o.o { o~o I o.o { o.o I o.o { o.o I o,o { o.o 2006 Total (~) 0 0 0 0 0 0 0 0 0 0 0 [ 0 HLH (~) 0 . 0 0 0 0 0 0 0 0 0 0 0 LLH (~) 0 0 0 0 0 0 0 0 0 ] 0 ] 0 0 Peak (~ 0.0 0.0 0.0 0.0 ] 0.0 0.0 0,0 0,0 0~0 0.0 0.0 (2) Market purchase. The following data app~es to this resource. (Avista~ ContractYear] Oct ] Nov [ Dec ] Jan ] Feb ~ Mar ] Apr ] May [ Jun ] J.l ~ A.g ] Sept 2002 HLH (~) 5,184 4,992 4,992 5,616 4,608 4,992 4,160 4,320 3,~00 4,320 4,752 4,400 LLH (~) 3,756 3,648 3,936 4,056 3,45fi 3,936 3,030 3,120 2,880 3,120 3,432 [ 3,520 Peak (~ 12.0 12.0 12.0 13.0 12.0 12.0 10.0 10.0 9.0 10.0 11.0 11.0 2003 HLH (~) 5,184 4,992 4,992 [ 5,616 4,608 4,992 4,160 4,320 3,600 4,320 ] 4,576 ] 4,576 LLH (~) 3~756 9~648 3~936 4,05~ 3,45~ 3,936 3,030 3~]20 2,880 3,120 3,608 3,3~4 Peak (~ 12.0 12.0 12.0 13.0 12.0 12.0 10.0 10.0 9.0 10.0 11.0 11.0 2004 HLH (~) 0 0 0 0 0 0 0 0 0 0 0 0 LLH (~) 0 0 0 0 0 0 0 0 ' 0 0 0 0 Peak (~ 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 2005 ' Peak (~ 0.0 0.0 0.0 0.0 '0.0 0.0 0.0 0~0 2006 .L~ o o~o~o[ o~ o [ o ] o ~ o ]oI o ] o ~.,~ o o o o o oI o { o } o {o o lo Peak (~ 0.0 0.0 0.0 0.0 0.0 0.0 ' 0.0 0.0 0.0 0.0 0.0 0,0 00PB-12054, Port Angeles 2 of 5 Exhibit C, Net Requirements (c) Unspecified Resource Amounts Committed to Serve Total Retail Load Port Angeles currently has no unspecified resources committed to serve its Total Retail Load and may only add such resources pursuant to sections 4(b), 4(c), and 4(f) below. (d) Total Resource Amounts ComrnJtted to Serve Total Retail Load In addition to the any non-dispatchable resources established in 2(a) above, Port Angeles commits each hour to provide the total resource amounts committed in sections 2Co) and 2(c). The amount based on these resource declarations that Port Angeles commits to provide each hour is shown in the table below. These amounts shall be updated whenever sections 2(b) or 2(c) above are modified, consistent with section 4 of this exhibit. Contract Yearl :t I Nov Dec I Jan I Feb I Mar I Apr I May I Jun I Jul I Aug [ Sept 2002 Total (MWh) ~ 33 I 9,020 I 9,321 10,065 8,419 9,321 7,493 7,754 6,784 7,754 8,499 8,277 HLH (MYsrh) 77 I 5,372 I 5'385 I 6,009 I 4,963 I 5,385 I 4,463 I 4'634 I 3'904 I 4,634 I 5,067 I 4,757 LLH (M~Vh) 56 I 3,648 I 3,936 I 4,056 I 3,456 { 3,936 I 3,030 I 3,~20 { 2,880 I 3,120 I 3,432 { 3,320 reak(~ .9 I 12.9 I 12.9 I 13.9 I 12.9 I 12.9 I 10.8 I 10.8 I 9.8 I 10.8 I 2003 Peak{MW) 12.8 ~ 12.8 ~ 12.8 ~ 13.8 12.8 12.8 10.0 10.0 9.0 10.0 11.0 11.0 2004 Total (B~vV~) 0 0 0 0 0 0 0 0 0 0 0 0 ~L~)I ° I° I o io Io I o I o I o I o I o I o I o LL~W)I o I o I o I o I ooI o I o I oI o I o I o r,,~w)I o.oI o.o I o.o / o.o I 0.oo.o I o.o I 0.o Io.o { 0.0 I 0.0 { o.o 2005 Total (MVWn) 0 0 0 0 I 0 0 "0 0 [ 0 [ 0 [ 0 HLH (MWh) 0 0 0 0 0 I 0 I 0 [ 0 0 0 0 0 LL.<~.v~) o o oioIo o oIoI°1oIo o Peak (MW) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 2006 Total (MWh) 0 0 0 0 0 0 0 0 0 0 0 0 ~L~m o o o o lo l0 o o lo io lo LLH (M'vVh) 0 0 0 0 0 0 0 0 0 0 0 0 Peak (M~V) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 (e) Port Angeles Resource Not Used To Serve Total Retail Load None. 3. NON-PORT ANGELES GENERATING RESOURCES Known non-Port Angeles resources, if any, greater than 1 MW that provide power to serve Port Angeles's Total Retail Load or such resources that otherwise connect to Port Angeles's distribution system are listed below. The power amounts are measured at the Points of Measurement established for each resource in Exhibit E, Points of Measurement. 00PB-12054, Port Angeles 3 of 5 Exhibit C, Net Requirements Oenerating Resource Name I Reso~rce Type e. g., H?dro I Nameplate Capability None 4. CHANGES TO RESOURCE AMOUNTS (a) Annual Right to Add New Renewable Resources Port Angeles may add new renewable resources to sections 2(a) or 2(b) of this exhibit according to the terms of this provision. Port Angeles shall request the addition of such resources at least fi0 days before the start of the Contract Year the resources will be added. The request shall identify the resources, the length of time that the resources shall be applied to Port Angeles's Total Retail Load and power amounts from the resources for each month of the request. PBL will revise section 2 of this exhibit prior to the start of the Contract Year ifPBL agrees that the resource meets BPA's standards to qualify for BPA's Conservation and Renewables Discount, subject to any apphcable limits estabhshed in BPA's policy on net requirements under section 50)) of the Northwest Power Act. Port Angeles shall resume purchasing Contracted Power under this Agreement when its commitment to apply the renewable resource ends. The rate treatment for such power shall be the same Port Angeles would have received for such power if Port Angeles had not chosen to apply a resource under this provision. (b) Resource Additions for a BPA Insufficiency Notice Port Angeles shall add resources under sections 2(b), or 2(c) to replace amounts of Contracted Power BPA notifies Port Angeles will not be provided due to a notice under section 15(b) of the body of this Agreement. (c) Decrements for 9(c) Export PBL may determine consistent with BPA's policy implementing section 9(c) of the Northwest Power Act and section 3(d) of P.L 88-552 (9(c) Pohcy) that an export of a Port Angeles resource requires a reduction in the amount of Federal power that PBL sells under this Agreement. IfPBL determines such a reduction is required it will notify Port Angeles of the amount and duration of the reduction. PBL shall revise this exhibit to include such amounts .as unspecified resources for the duration of the export requiring such reduction under section 2(c) above. This amount shah be identified separately from any other amounts of unspecified resources established in that provision. The addition to section 2(c) shall also be included in the total resource amount established in section 2(d). Determinations by PBL to reduce the amount of Federal power sold are not subject to arbitration under section ld of the My of this Agreement. (d) Permanent Resource Removal The resource amounts established in section 2 of this exhibit may be removed permanently by Port Angeles consistent with statutory discontinuance for permanent removal in BPA's pohcy on net requirements under section 5Co) of 00PB.12054, Port Angeles 4 of 5 Exhibit C, Net Requirements the Northwest Power Act. IfPBL determines Port Angeles has met PBL's standards for a permanent removal, the exhibit will be revised to show the agreed resource changes. Additional power purchases under this Agreement as a result of such a resource removal are subject to the terms established in section 4(d) of Exhibit A, Rate Commitments. Determinations by PBL on the permanent removal of a resource are not subject to arbitration under section 14 of the body of this Agreement. (e) Changes to Non-Port Angeles Resources Port Angeles shall annually update the information established for non-Port Angeles resources in section 3 at least 60 days before the start of each Contract Year, if circumstances reasonably warrant such a change. Subject to agreement of the Parties, the exhibit shall be revised to show the updated information prior to the start of the applicable Contract Year. Resource Additions for NLSL Port Angeles may add resources to sections 2(b) or 2(c) above in order to serve a NLSL consistent with the rights established in section 5 of Exhibit A, Rate Commitments. 5. RESOURCE DECLARATIONS The resource capabilities set forth in sections 2(a), (b), and (c) of this exhibit are dedicated to serving Port Angeles's firm load pursuant to section 5(b) of the Northwest Power Act. In addition to the resource capabilities set forth in such sections that may be removed pursuant to other sections of this Agreement, BPA consents that the resource capabilities set forth in section 2(c) above may be discontinued from use in serving Port Angeles's firm load upon the termination or expiration of this Agreement. The resources estabhshed in sections 2(e) and 3 above are not used to serve Port Angeles's firm load under section 5Co) of the Northwest Power Act and will not be required to be so used after the termination or expiration of this Agreement. 6. REVISIONS When required Port Angeles shall submit a revised Exhibit C, Net Requirements, to PBL at least 60 days prior to each Contract Year. As long as Port Angeles's submittal is consistent with the requirements of this exhibit PBL shall accept it as submitted. If Port Angeles fails to submit revisions when necessary, or if the information provided is inconsistent with the requirements of this exhibit, PBL shall update this exhibit prior to the beginning of the Contract Year with the information PBL believes is required. (PBLLAN-PSW/6-W:\PSW\PM\11_16\Port Angeles\00PB:12054 10 FS.doc) 09~29~00 00PB-12054, Port Angeles 5 of 5 Exhibit C, Net Requirements Exhibit D ADDITIONAL PRODUCTS AND SPECIAL PROVISIONS 1. NET BILLING If BPA, Port Angeles and Energy Northwest (formerly, the Washington Public Power Supply System) or the City of Eugene, Oregon, Water and Electric Board, are parties to one or more "net billing agreements" that obligate BPA to provide net billing credits to Port Angeles with respect to project capability associated with the generating project named in the related net billing agreement, then this Agreement falls within the meaning of "Participant's Bonneville Contracts" as defined in the net billing agreement or agreements. BPA and Port Angeles understand and agree that this Agreement does not interfere with, and shall not be construed to interfere with, the operation of any provision of the net billing agreement or agreements. 2. REVISIONS This exhibit shall be revised by mutual agreement of the Parties to reflect additional products Port Angeles purchases during the term of this Agreement. (PBLLAN-PSW/6-W:\PSW\PM\ll_16\Port Angeles\00PB-12054 10 F$.doc) 09/29/00 00PB-12054, Port Angeles 1 of 1 Exhibit D, Additional Products and Special Provisions WASHINGTON, U.S.A. UTILITY ADVISORY COMMITTEE MEMO DATE: October 9, 2000 To: UTILITY ADVISORY COMMITTEE FROM: Scott McLaln, Deputy Director of Power Systems t:~eX SUBJECT: Retail Power Sales Agreement with Daishowa America Summary: The City, by signing a wholesale power agreement with the Bonneville Power Administration, is obligating itself to purchase the power requirements for the Daishowa mill for a ten year period. Daishowa desires to have access to market power during the ten year term of the BPA agreement. Staff is negotiating an agreement between the City and Daishowa to protect the City from any financial consequences that could occur should Daishowa decide to pursue a market resource. Recommendation: UAC recommend to Council to authorize the Mayor to sign an agreement with Daishowa America Ltd. that protects the City from any adverse financial impacts should Dalshowa receive electrical power service from a provider other than the City. Background / Analysis: The City is preparing to sign an agreement with the Bonneville Power Administration to provide electrical supply to the City for a ten year period starting in October 2001. Daishowa America, Ltd. desires to purchase power which will be provided by the City under the City's agreement with BPA. Daishowa also desires to have access to market power during the ten year term of the agreement. This type &arrangement is allowed in the City's agreement with BPA, but it carries with it some financial obligations. This agreement between the City and Daishowa will obligate Daishowa for any of the financial costs of going to market power purchases and terminating their purchases from the City through the BPA agreement. N:~PWKS~LIGI-IT~OWIVI~MEMOS\UAC 10092.WPD 10~9~00 BID SUMMARY OVERHEAD PROJECTS 20-07, 20-08 & 20-09 Bidder 10th Street "O" Street Laurel Total 20-07 Bid 20-08 Bid 20-09 Bid Bid Engineers Estimate $22,119.50 $53,410.50 $64,416.30 $139,946.30 Evergreen Utilities $36,161.33 $80,779.33 $94,040.24 $210,980.90 Olympic Electric $36,335.59 $77,670.74 $87,942.82 $201,949.15 Engineering $7,029.23 $12,145.34 $7,029.24 $26,203.81 Material $4,300.00 $10,000.00 $10,000.00 $24,300.00 Low Bid + Mat. + Eng. $47,664.82 $99,816.08 $104,972.06 $252,452.96 Budget $50,000.00 $121,000.00 $30,000.00 $201,000.00 Bdsum.xls jharper CITY of PORT ANGELES SEWER TREATMENT PLANT 2-1/o~c~ Pvc CITY OF PORT ANGEL.ESI SCALE PUBUC w~s · I SEWER TREATMENT ELECTRIC LAYOUT ~ Ptot ])~te, 10/05/00 Revision Question What is a decibel, and what is the loudest sound I can listen to before it hurts my ears? Answer The decibel (abbreviated dB) is the unit used to measure the intensity of a sound. The decibel scale is a little odd because the human ear is incredibly sertsitive. Your ears can hear everything from your fingertip brushing lightly over your skin to a loud jet engine. In terms of power, the sound of the jet engine is about 1,000,000,000,000 times more powerful than the smallest audible soqnd. That's a big difference! On the decibel scale, the smallest audible sound (near total silence) is 0 dB. A sound 10 times more powerful is 10 dB. A sound 100 times mom powerful than near total silence is 20 dB. A sound 1,000 times more powerful than near total silence is 30 dB. And so on. Here are some common sounds and their decibel ratings: · Near total silence - 0 dB · A whisper- 15 dB · Normal conversation - 60 dB · Lawnmower - 90 dB · A car horn- 110dB · A rock concert or a jet engine - 120 dB · Gunshot, firecracker- 140 dB You know from your own experience that distance affects the ~ntens~ty o! souna - ~fyou are far away, tl3e power is greatly diminished. All of the ratings above are taken while standing near the sound. Any sound above 85 dB can cause hearing loss, and the loss is related both to the power of the sound as well as the length of exposure. You know that you are listening to an 85 dB sound if you have to raise your voice to be heard by somebody else. For example, 8 hours of 90 dB sound can cause damage, but any exposure to 140 dB sound causes immediate damage (and causes actual pain). Decibel ratings and co~non sounds Decibel Level Example 0 Lowest sound audible to human ear 10 Quiet library, soft whisper 30 Quiet office, living room, bedroom away from traffic 40 Light traffic at a distance, refrigerator, gentle breeze 50 Air conditioner at 20 feet, conversation, sewing machine 60 Busy traffic, office tabulator, noisy restaurant Subway, heav~ city traffic, alarm clock at 2 feet, factory noise 100 Truck traffic, noisy home appliances, shop tools, lawnmower 110 Chain saw, boiler shop, pneumatic drill 120 Rock concert in front of speakers, sandblasting, thunderclap 140 Gunshot blast, jet plane 180 Rocket launching pad (adapted from Atkinson, et al, 1990) P~RCEIVING SOUNDS AS EVENTS In the co~paratively recent past psychologists have taken note that the relationshi Table 2~ 'Everyday and musical listening Musical experience Ewez~day listening Musical l~stening (perception. of sound-p~cing events) ~ (experience Of sounds themselves) * hear a: sound in te~- 6f its sources * heaz a soo~d in te~- of it's sensory * '~ ~4d~ss~ ~ psy~ol~ * t~] a~r~ ~ ,psy~o-a~ti~ *.~ ~s~ ~3X~es on ~le's ~r~ti~ * sold:do not ~vey ~' ~fo~tion to ~c~ ~eir s~S: ~t ~ su~l~ zo/9/2oot Utility Advisory Committee Community Telecomrnunications Action Plan Larry Dunbar, Power Resources Manager Action Plan · Municipal Telecom Regulation · Community Telecom Needs, Interests · Backbone Business Planning · Backbone Design and Construction · Network Activation 10/9/2000 Utility Advlso~ Committee Meeting Action Plan · Municipal Telecom Regulation - WHY? · Council & economic development goals · Compliance with Federal & State laws · Management of right-of-way · Liklihood of increasing demands · Pole affachment · Cost recovery (limited) · Minimizing environmental impacts 10/9/'2000 Utility Advlso~ Commi~ee Meeting Action Plan Community Telecommunications Needs & Interests -WHY? · To obtain public input into City decision- making · Cable TV franchise renewal · To explore infrastructure and service provider partnerships · To provide input into Stage 2 & 3 fiber- optic business plan updates 10/9/2000 Utiliiy Adviso~ Action Plan · Backbone Design and Construction · Backbone Activation Stage 1 Lease Dark Fiber (Option) Build Municipal Network - City Hall to Laurel to Corp Yd - Corp Yard to 18th St. Area - Corp Yd to College & BPA Sub - City Hall to Downtown Stage 2 Extend to Core Customers Stage 3 City-Wide Network Schedule Overview Begin End Task 1 ~. Ordinance ATask t '~ 120 day t 012000 2/2001 Begin Needs & End Task 2.1 End Task 2.1 , Interest~ Begin Task 2.2 C~A'rV Fmnchls,~e Task 2.2 ~r 180 days '~ 90 days 112001 7/200t 1012001 Stage 1 Begin Business End Task 3 ~. Plan ~Taek 3 90 days 612001 912001 Schedule Overview Begin ~Backbone Deslgn~ End Task 4 .~ Task 4 1012000 '~ t80 day 4/200t Begin TEansdk Task 5 A Pumhase Cabl~. 5 1012000 '~ 180 day '~ 4/20017 Begin End Task6 ~- Cons~ruct;Ion ~ Task6 4/200t? '~ 180 days " t0120017 Begin Activation-Stage ~ TEansdk Task ? ~' 7 7120017 '~ 180days '~ 112002? Begin Activation-Stage 2 End Task8 · ~ Task8 71200'17 w 270 days v 4/2002? Begin End Task 9 ~' Activation-Stage 3 ~ Task 9 ?/200t? '~ Timeline Unknown '~ Unknown 10D/2000 Utility Adviso~ Commltt~g Mceting 3 Cost Estimate Summary Action Item Cost Ordinance $17,500 Assessment 40,000 'Business Plan 35,000 Engineering 150,000 Fiber-optic cable 350,000 Construction 1,000,000 Total $1,592,500 10/9/2000 Utility Advlso~ Commi~tex Meeting Cost Estimate Summary Action Item Cost Cable franchise negotiations (if required) TBD Stage 1 activation equipment TBD Stage 2 business plan update, fiber-optic distribution cable, activation equipment TBD Stage 3 business plan update, fiber-optic distribution cable, activation equipment TBD Network operation, management & maintenance TBD 10/9/2000 Utility Advisor' Committee MeOing UAC Recommendation The Utility Advisory Committee recommend Council approval of the Community Telecommunications Action Plan and a professional services agreement in an amount not to exceed $92,509 with MCC for completion of: 1. A comprehensive telecommunications ordinance. 2. A telecommunications future needs and interests assessment. 10~2000 U~i~ ~ Recommendation 3. A business plan for the fiber-optic backbone. 4. To authorize Staff to prepare a request for qualifications for engineering services to design the fiber-optic backbone. 5. To proceed with the purchase of fiber- optic cabling.