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HomeMy WebLinkAboutRES 2000-20 - Board Public Resolution No. 2000=20 APPROVING AND AUTHORIZING THE EXECUTION OF A CONTRACT FOR BASE RESOURCE WITH THE WESTERN AREA POWER ADMINISTRATION ENTITLED CONTRACT 00-SNR.00374, WHEREAS, Truckee Donner Public Utility District, herein called "Truckee Donner' is a public agency of the State of California, and (i) owns and operates an Electric System for the provision of electric service at retail to the general public within its service area, and (ii) is eligible for a preference contract from a federal power marketing agency, WHEREAS, Western Area Power Administration, herein called 'Western" markets the surplus generation from, and operates a high-voltage transmission system as a part of, the Central Valley Project(CVP); WHEREAS, Western and the U.S. Department of the Interior, Bureau of Reclamation (Reclamation), have agreed to work together to efficiently serve Project Use and preference loads; WHEREAS, On June 25, 1999 Western's final 2004 Power Marketing Plan (Marketing Plan) was published in the Federal Register (64 FR 34417). The Marketing Plan sets forth how Western's Sierra Nevada Region will market the power generated from the CVP and Washoe Project; WHEREAS,Western has an existing purchase contract to supplement CVP and the Washoe Project; WHEREAS, Western is willing to provide and Truckee Donner desires to purchase a percentage of the Base Resource consistent with the Marketing Plan; WHEREAS, Under the Marketing Plan, Western requires that all Western power be scheduled in accordance with the applicable control area operator requirements; NOW THEREFORE BE IT RESOLVED by the Board of Directors of the District as follows: The President of the Board is authorized, on behalf of Truckee Donner Public Utility District to execute this Contract for the Base Resource with the Western Area Power Administration entitled Contract 00-SNR-00374. PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the District on the 180 of October 2000 by the following roll call vote: •Page 1 AYES: Aguera, VanGundy, Maass, Sutton and Hemig. NOES: None. ABSENT: None. TRUCKEE DON N UBLIC UTl ITY DISTRICT By J. R emig, President, Board of Direc rs ATTES Peter L. Holzmeister, Clerk of the Board SH •Page 2 ... Contract 00-SNR-00374 Ce nt fif,cut e I, Peter L. Holzmeister, certify that I am the Clerk of the Board of Directors of the Truckee Donner Public Utility District, the special district named as the Contractor herein; that J. Ron Hemig, who signed the Contract for the Base Resource on behalf of said Contractor, was then its President; that said Contract for the Base Resource was duly signed for and on behalf of said Contractor by authority of its governing body and that it is within the scope of its district powers. Signature: .., Name: Peter L. Holzmeister Date: October 20, 2000 Contract 00-SNR-00374 UNITED STATES DEPARTMENT OF ENERGY WESTERN AREA POWER ADMINISTRATION CENTRAL VALLEY PROJECT, CALIFORNIA CONTRACT FOR ELECTRIC SERVICE BASE RESOURCE WITH TRUCKEE DONNER PUBLIC UTILITY DISTRICT Contract 00-SNR-00374 UNITED STATES DEPARTMENT OF ENERGY WESTERN AREA POWER ADMINISTRATION CENTRAL VALLEY PROJECT, CALIFORNIA CONTRACT FOR ELECTRIC SERVICE BASE RESOURCE WITH TRUCKEE DONNER PUBLIC UTILITY DISTRICT Section Table of Contents Page 1. PREAMBLE...................................................................:...................................... 1 2. EXPLANATORY RECITALS ................................................................................ 1 3. AGREEMENT....................................................................................................... 2 4. EFFECTIVE DATE AND TERM OF CONTRACT................................................. 2 5. DEFINITION OF TERMS...................................................................................... 3 6. BASE RESOURCE ESTIMATES AND AVAILABILITY FORECAST.................... 6 7. ELECTRIC SERVICE FURNISHED BY WESTERN ............................................ 8 8. DELIVERY ARRANGEMENTS .......................................................................... 10 9. SCHEDULING PROCEDURES AND PROTOCOLS.......................................... 10 10. EXCHANGE PROGRAM.................................................................................... 11 11. INDEPENDENT SYSTEM OPERATOR OR REGIONAL TRANSMISSION ORGANIZATION................................................................................................ 12 12. WESTERN RATES ............................................................................................ 12 13. INTEGRATED RESOURCE PLAN..................................................................... 13 14. ADJUSTMENT OF BASE RESOURCE PERCENTAGE.................................... 13 15. 2015 RESOURCE POOL................................................................................... 14 16. METERING AND POWER MEASUREMENT RESPONSIBILITIES................... 15 17. CHANGES 1N ORGANIZATIONAL STATUS ..................................................... 15 18. BUSINESS PROTOCOLS.................................................................................. 17 19. ENFORCEABILITY ............................................................................................ 17 20. GENERAL POWER CONTRACT PROVISIONS................................................ 17 21. APPENDIX MADE PART OF CONTRACT......................................................... 18 22. EXHIBITS MADE PART OF CONTRACT .......................................................... 18 i Contract 00-SNR-00374 SIGNATURE CLAUSE RESOLUTION/CERTIFICATE SCHEDULE OF RATES GENERAL POWER CONTRACT PROVISIONS EXHIBIT A— BASE RESOURCE PERCENTAGE AND POINT(S) OF DELIVERY EXHIBIT B — EXCHANGE PROGRAM EXHIBIT C— SCHEDULING PROCEDURES AND PROTOCOLS EXHIBIT D — REGULATION AND RESERVES APPENDIX A— GREEN BOOK ii 1 Contract 00-SNR-00374 2 3 4 UNITED STATES 5 DEPARTMENT OF ENERGY 6 WESTERN AREA POWER ADMINISTRATION 7 CENTRAL VALLEY PROJECT, CALIFORNIA 8 9 CONTRACT FOR ELECTRIC SERVICE 10 BASE RESOURCE 11 WITH 12 TRUCKEE DONNER PUBLIC UTILITY DISTRICT 13 14 1. PREAMBLE: This Contract is made this day of , 15 2000, pursuant to the Acts of Congress approved June 17, 1902, (32 Stat. 388); 16 August 26, 1937, (50 Stat. 844); August 4, 1939, (53 Stat. 1187); and August 4, 1977, 17 (91 Stat. 565);. and Acts amendatory or supplementary to the foregoing Acts; between 18 the UNITED STATES OF AMERICA (United States), acting by and through the 19 Administrator, Western Area Power Administration, Department of Energy, hereinafter 20 called Western, represented by the officer executing this Contract, or a duly appointed 21 successor, hereinafter called the Contracting Officer; and TRUCKEE DONNER PUBLIC 22 UTILITY DISTRICT, a Public Utility District, hereinafter called the Contractor or TDPUD, 23 its successors and assigns; each sometimes hereinafter individually called the Party, 24 and both sometimes hereinafter collectively called the Parties. 25 26 2. EXPLANATORY RECITALS: 27 2.1 Western markets the surplus generation from, and operates a high-voltage 28 transmission system as a part of, the Central Valley Project (CVP). Contract 00-SNR-00374 1 1 2.2 Western and the U.S. Department of the Interior, Bureau of Reclamation 2 (Reclamation), have agreed to work together to efficiently serve Project Use and 3 preference loads. 4 5 2.3 On June 25, 1999, Western's final 2004 Power Marketing Plan (Marketing 6 Plan) was published in the Federal Register (64 FR 34417). The Marketing Plan 7 sets forth how Western's Sierra Nevada Region will market the power generated 8 from the CVP and Washoe Project. 9 10 2.4 Western has an existing purchase power contract to supplement CVP and 11 Washoe Project generation. 12 13 2.5 Western is willing to provide and TDPUD desires to purchase a 14 percentage of the Base Resource consistent with the Marketing Plan. 15 16 2.6 Under the Marketing Plan, Western requires that all Western power be 17 scheduled in accordance with the applicable control area operator requirements. 18 19 3. AGREEMENT: 20 The Parties agree to the terms and conditions set forth herein. 21 22 4. EFFECTIVE DATE AND TERM OF CONTRACT: 23 4.1 This Contract shall become effective on the date of execution and shall 24 remain in effect until midnight of December 31, 2024, subject to prior termination 25 as otherwise provided for herein. 26 4.2The date of initial service under this Contract is January 1, 2005. 27 28 Contract 00-SNR-00374 2 1 5. DEFINITION OF TERMS: 2 As used herein, the following terms whether singular or plural, or used with or without 3 initial capitalization, shall have the following meanings: 4 5.1 "Base Resource" means CVP and Washoe Project power output and any 5 purchases made under the Enron Contract, as determined by Western to be 6 available for marketing, after (1) meeting the requirements of Project Use and 7 First Preference Customers, and (2) any other adjustments required for 8 maintenance, regulation, reserves, transformation losses, and ancillary services. 9 10 5.2 "Base Resource Operating Capability" means that portion of the Maximum 11 Operating Capability that Western determines to be available to Customers in 12 any hour. 13 14 5.3 "Capacity" means the instantaneous electrical capability of a generator, 15 transformer, transmission circuit, or other equipment. 16 17 5.4 "Central Valley Project' means the multipurpose Federal water and power 18 project extending from the Cascade Range in northern California to the plains 19 along the Kern River, south of the City of Bakersfield. 20 21 5.5 "Custom Product" means a combination of products and services, 22 excluding provisions for load growth, which may be made available by Western 23 per Customer request, using the Customer's Base Resource and supplemental 24 purchases made by Western. 25 26 5.6 "Customer' means an entity that is qualified under Reclamation law to 27 receive Western Power and has a Base Resource Contract with Western. 28 Contract 00-SNR-00374 3 1 5.7 "Enron Contract" means Contract 87-SAO-30002, as amended, which 2 provides for Western to purchase power from Enron Power Marketing, Inc., to 3 supplement CVP and Washoe Project generation. The Enron Contract 4 terminates December 31, 2014. 5 6 5.8 "Energy" means the actual electrical output of a generator over a specified 7 period of time; electric energy is usually measured in kilowatthours or 8 megawatthours. 9 10 5.9 "First Preference Customer' means a Customer wholly located in Trinity, 11 Calaveras, or Tuolumne Counties, California, as specified under the Trinity River 12 Division Act (69 Stat. 719) and the New Melones provisions of the Flood Control 13 Act of 1962 (76 Stat. 1173, 1191-1192). 14 15 5.10 "FERC" means the Federal Energy Regulatory Commission or its 16 successor. 17 18 5.11 "Hourly Base Resource Schedule" means that portion of the Base 19 Resource Operating Capability that Western declares as the final scheduled 20 Base Resource energy for TDPUD for each hour of the operating day. 21 22 5.12 "ISO" means the California Independent System Operator or its 23 successor. 24 25 5.13 "NERC" means the North American Electric Reliability Council or its 26 successor. 27 28 Contract 00-SN R-00374 4 1 5.14 "Marketing Plan" means Western's final 2004 Power Marketing Plan for 2 the Sierra Nevada Region. 3 4 5.15 "Maximum Operating Capability" means the maximum electrical capability 5 from CVP generation and the Enron Contract available to produce energy and/or 6 provide ancillary services in any one or more hours. 7 8 5.16 "Minimum Base Resource" means the amount of Base Resource energy 9 generated each hour as a result of CVP minimum water release plus purchases 10 under the Enron Contract. 11 12 5.17 "Operating Reserves" means the combination of spinning and non- 13 spinning reserves required to meet WSCC, NERC, and the control area 14 operator's requirements for reliable operation of the power system. 15 16 5.18 "Primary Marketing Area" means the area which generally encompasses 17 northern and central California extending from the Cascade Range to the 18 Tehachapi Mountains, and west-central Nevada. 19 20 5.19 "Power" means electric capacity and energy. 21 22 5.20 "Project Use" means the power used to operate CVP or Washoe Project 23 facilities in accordance with authorized purposes and pursuant to Reclamation 24 law. 25 26 5.21 "RTO" means regional transmission organization, which is an organization 27 that meets the minimum characteristics and performs the minimum functions 28 specified in FERC Order 2000, as that order may be amended or superseded. Contract 00-SNR-00374 5 1 5.22 "Regulation" means the service provided by generating units equipped 2 and operating with automatic generation control which will enable such units to 3 respond to direct control signals in an upward or downward direction to match, on 4 a real time basis, demand and resources, consistent with WSCC, NERC, and the 5 control area operator's criteria. 6 7 5.23 "Scheduling Coordinator" means an entity that is responsible for providing 8 hourly load and resource schedules to the control area operator, in accordance 9 with a FERC-approved tariff. 10 11 5.24 "Washoe Project' means the Federal water project located in the 12 Lahontan Basin in west-central Nevada and east-central California, as described 13 in the Marketing Plan. 14 15 5.25 "WSCC" means the Western Systems Coordinating Council or its 16 successor. 17 18 6. BASE RESOURCE ESTIMATES AND AVAILABILITY FORECAST: 19 6.1 Appendix A describes the availability of the Base Resource in terms of 20 estimated energy and capacity production. Appendix A should be used for long- 21 term planning purposes only. It should not be considered representative of 22 actual operating conditions. 23 24 6.2 Beginning in 2004, on or before April 301h of each year, Western will 25 provide to TDPUD a forecast of the availability of the Base Resource for the 26 applicable twelve-month period. The forecast will provide the following 27 information concerning the Base Resource: 28 6.2.1 A declaration of the anticipated water year type; Contract 00-SNR-00374 6 1 6.2.2 Estimates of Base Resource Operating Capability and energy, for 2 the period April 1st through September 30th of the current year, given the 3 Enron Contract, actual reservoir levels, snow pack, and estimated runoff 4 as of April 1 St; 5 6 6.2.3 Estimates of the Base Resource Operating Capability and energy, 7 for the period October 1 st of the current year through March 31 St of the 8 following year, based on historic weather patterns, projected weather 9 patterns, and existing conditions; 10 11 6.2.4 Maximum Operating Capability of the CVP for each month; 12 13 6.2.5 Purchases under the Enron Contract and generation from the CVP 14 and Washoe Project for each month; 15 16 6.2.6 Energy required for estimated Project Use loads, First Preference 17 Customers' loads, and any ancillary service requirements for each month. 18 The forecast will also include the estimated amount of Base Resource 19 energy not available due to scheduled maintenance. 20 21 6.3 By the end of each month, Western will provide to TDPUD a monthly Base 22 Resource forecast that will contain the amounts of Base Resource Operating 23 Capability and energy estimated to be available for each month on a rolling 24 twelve-month basis, based on 90, 50, and 10 percent exceedence levels. The 25 monthly forecast will contain the following information: 26 6.3.1 Maximum Operating Capability of the CVP for each month; 27 .. 28 Contract 00-SNR-00374 7 1 6.3.2 Energy required for estimated Project Use loads, First Preference 2 Customers' loads, and any ancillary service requirements. The forecast 3 will also include the estimated amount of Base Resource energy not 4 available due to scheduled maintenance. 5 6 6.4 By Friday of each week, Western will provide to TDPUD a weekly Base 7 Resource forecast that will contain estimated amounts of Base Resource 8 Operating Capability and energy to be available for the next week based on the 9 Enron Contact and anticipated CVP operations. The weekly forecast will set 10 forth the energy required for estimated Project Use loads, First Preference 11 Customers' loads, and any ancillary services requirements. The forecast will 12 also include the estimated amount of Base Resource energy not available due to 13 scheduled maintenance. 14 15 6.5 Western shall make all reasonable efforts within its control to ensure that 16 - the forecasted Base Resource will be available. 17 18 7. ELECTRIC SERVICE FURNISHED BY WESTERN: 19 7.1 TDPUD will be entitled to receive a percentage of the Base Resource as 20 set forth in Exhibit A, attached hereto and made a part hereof. 21 22 7.2 The estimated amount of energy available to TDPUD during any given 23 time period shall be determined by multiplying its Base Resource percentage by 24 the total amount of Base Resource energy available during that period. 25 26 7.3 The minimum amount of energy TDPUD will be required to schedule for 27 each hour shall be determined by multiplying its Base Resource percentage by 28 the Minimum Base Resource, unless otherwise agreed to by Western. However, Contract 00-SNR-00374 8 1 if TDPUD does not have sufficient load to take its percentage of the Minimum 2 Base Resource, any excess energy shall be made available to Western for the 3 hourly exchange program as described later in this Contract under Section 10 4 and Exhibit B. 5 6 7.4 The maximum amount of energy TDPUD may schedule in any hour shall 7 be determined by multiplying its Base Resource percentage by the Base 8 Resource Operating Capability. However, TDPUD may schedule energy in 9 excess of this maximum, if approved by Western, to accommodate purchases or 10 exchanges from the seasonal or hourly exchange program. 11 12 7.5 TDPUD will be entitled to the benefit of available regulation and operating 13 reserves from the CVP in proportion to its Base Resource percentage. The 14 method in which the benefits of regulation and operating reserves will be 15 provided will be determined prior to the date of initial service and set forth in 16 Exhibit D attached hereto. 17 18 7.6 Western's obligation to provide TDPUD's Base Resource is limited to the 19 actual CVP generation and imports under the Enron Contract available on a real- 20 time basis. Western shall have no obligation to replace any Base Resource that 21 is unavailable due to scheduled maintenance, system emergencies, forced 22 outages, or other constraints. Any costs incurred by either Party as a result of 23 deviations between actual and scheduled Base Resource energy shall be the 24 responsibility of TDPUD. Western will notify TDPUD as soon as reasonably 25 practicable of any situation that will impact the availability of the Base Resource, 26 and will modify schedules accordingly, on a pro-rata basis. 27 28 Contract 00-SNR-00374 9 1 7.7 Due to the variable nature of the Base Resource, Western may provide a 2 Custom Product upon Customer request. Any Custom Product will be the 3 subject of a separate contractual arrangement. 4 5 8. DELIVERY ARRANGEMENTS: 6 8.1 Western will make TDPUD's Base Resource available at the generator 7 bus or such other point(s) as the Parties may mutually agree, as specified in 8 Exhibit A. If requested by TDPUD, Western will deliver that portion of TDPUD's 9 Base Resource energy from CVP generation that is directly connected to 10 Western-owned transmission facilities, to TDPUD's facilities that are directly 11 connected to Western-owned transmission facilities. The rates and terms of this 12 service shall be in accordance with Western's then-current open access 13 transmission tariff. 14 15 8.2 TDPUD must provide written notification to Western by July 1, 2004, 16 demonstrating that it has arranged for delivery of its Base Resource energy to its 17 load. Such notification shall include both transmission and distribution level 18 arrangements, as applicable. Western shall have no obligation to make Base 19 Resource available to TDPUD if delivery arrangements are not in effect. 20 However, TDPUD shall not be relieved of its obligation to pay its percentage 21 share of the Base Resource during the time in which delivery arrangements are 22 not in effect. 23 24 9. SCHEDULING PROCEDURES AND PROTOCOLS: 25 9.1 All energy furnished by Western to TDPUD will be provided on a 26 scheduled basis. TDPUD agrees to abide by the FERC-approved scheduling 27 procedures and protocols, as set forth in Exhibit C herein. The Parties recognize 28 that the scheduling procedures and protocols may require modification from time- Contract 00-SN R-00374 10 1 to-time to reflect updated operating procedures that may become applicable to 2 the Parties. In such event, the Parties shall mutually agree to make the 3 appropriate modifications to Exhibit C. 4 5 9.2 In the event that TDPUD does not abide by the protocols and procedures 6 made effective by FERC and applicable to Western, and Western incurs costs as 7 a result, TDPUD agrees to pay all such costs. 8 9 10. EXCHANGE PROGRAM: 10 10.1 Western will establish and manage an exchange program to allow all 11 Customers to fully and efficiently use their Base Resource percentage. The 12 exchange program is a mechanism to: 13 10.1.1 Make available to Western, for provision to other Customers, any 14 Base Resource energy a Customer cannot use on a pre-scheduled basis 15 due to insufficient load; 16 17 10.1.2 Help mitigate the costs incurred by a Customer for the power it is 18 obligated to pay for, but may not be able to use. 19 20 10.2 The exchange program will consist of a seasonal exchange program and 21 an hourly exchange program. 22 10.2.1 Under the seasonal exchange program, TDPUD may elect to 23 make available to Western that portion of its Base Resource percentage 24 that it is unable to use due to insufficient load. TDPUD, through Western, 25 will be able to exchange its unusable Base Resource percentage with 26 other Customers. Any Customer may submit a request to Western to 27 exchange or purchase energy through the seasonal exchange program. 28 Contract 00-SNR-00374 11 1 10.2.2 Under the hourly exchange program, all Base Resource energy in 2 excess of a Customer's load will be retained by Western and offered by 3 Western for sale to other Customers. Any Customer may submit a 4 request to Western to purchase energy that is made available to the 5 hourly exchange program. 6 7 10.3 The exchange program procedures are set forth in Exhibit B, attached 8 hereto, and such procedures shall apply to all Customers that participate in the 9 exchange program. 10 11 10.4 Exchanges of the Base Resource between TDPUD and others, outside of 12 the Western-managed exchange program, or other Western-managed program, 13 is prohibited. 14 15 11. INDEPENDENT SYSTEM OPERATOR OR REGIONAL TRANSMISSION 16 ORGANIZATION: 17 The Parties understand that Western may join the ISO or an RTO. In the event 18 Western either joins or is required to conform to the protocols of an ISO or RTO, the 19 Parties shall mutually agree to make any protocol changes to Exhibit C to this Contract 20 to conform to the terms and conditions required by an ISO or RTO and made effective 21 by FERC. In the event that TDPUD does not abide by the protocols made effective by 22 FERC and applicable to Western, and Western incurs costs as a result, TDPUD agrees 23 to pay all such costs. 24 25 12. WESTERN RATES: 26 12.1 The Base Resource will be provided on a take-or-pay basis. TDPUD will 27 be obligated to pay its Base Resource percentage share of Western's costs, 28 whether or not it uses its full Base Resource percentage. Contract 00-SNR-00374 12 1 12.2 TDPUD shall pay for the electric service furnished hereunder in 2 accordance with the rates, charges, and conditions set forth in the CVP schedule 3 of rates applicable to the Base Resource, effective January 1, 2005, or any 4 superseding rate schedule. 5 6 13. INTEGRATED RESOURCE PLAN: 7 In accordance with the Energy Policy Act of 1992, TDPUD is required to meet the 8 requirements of Western's Energy Planning and Management Program (EPAMP). To 9 fulfill the requirements of EPAMP, TDPUD must develop and submit an integrated 10 resource plan or alternative report, as applicable. Specific EPAMP requirements are set 11 forth in the Federal Register at (64 FR 62604) and may be found on Western's website. 12 Failure to comply with Western's EPAMP requirements may result in penalties as 13 specified therein. TDPUD understands that Western may re-evaluate its EPAMP T 14 requirements and change them from time-to-time as appropriate. Such changes will be 15 subject to a public process and publication in the Federal Register. 16 17 14. ADJUSTMENT OF BASE RESOURCE PERCENTAGE: 18 14.1 Prior to the date of initial service, Western may adjust TDPUD's Base 19 Resource percentage, as set forth in Exhibit A herein, if Western determines that 20 TDPUD's Base Resource percentage is greater than its actual usage, as 21 specified in the Marketing Plan. 22 23 14.2 After the date of initial service, Western may adjust TDPUD's Base 24 Resource percentage under any of the following conditions: 25 14.2.1 TDPUD sells energy associated with its Base Resource 26 percentage to another entity for resale by that entity; 27 28 Contract 00-SNR-00374 13 1 14.2.2 TDPUD uses the energy associated with its Base Resource 2 percentage to serve loads outside of the Sierra Nevada Region's Primary 3 Marketing Area; 4 5 14.2.3 TDPUD's annual energy associated with its Base Resource 6 percentage is ten percent greater than its actual annual energy usage. 7 8 14.3 If Western determines that TDPUD has met any of the conditions in 9 Section 14.2 above, Western will take the following steps: 10 14.3.1 Notify TDPUD of the nature of the concern; 11 12 14.3.2 Analyze TDPUD's usage of the energy associated with its Base 13 Resource percentage and determine if an adjustment is necessary on a 14 case-by-case basis, with due consideration of any circumstance that may 15 have temporarily altered TDPUD's energy usage; 16 17 14.3.3 Provide a 90-day written notice of any adjustment, if an 18 adjustment is deemed necessary; and 19 20 14.3.4 Reduce or rescind TDPUD's Base Resource percentage 21 permanently on the effective date specified in the notice. 22 23 15. 2015 RESOURCE POOL: 24 Western will reduce TDPUD's Base Resource percentage to establish the 2015 25 Resource Pool. Western will recalculate the percentages for all Customers pursuant to 26 the Marketing Plan. The new Base Resource percentage will be set forth in a revised 27 Exhibit A, effective January 1, 2015. 28 Contract 00-SNR-00374 14 1 16. METERING AND POWER MEASUREMENT RESPONSIBILITIES: 2 TDPUD shall be responsible for electric power metering equipment requirements and 3 power measurement data associated with the use of Western power under this Contract 4 as follows: 5 16.1 Unless previously furnished and installed by Western, TDPUD shall 6 furnish, install, operate, maintain, and replace, meters and associated metering 7 equipment as required by the appropriate jurisdictional authority for deliveries of 8 Western power scheduled to each delivery point on the Western grid, the ISO 9 controlled grid, a utility distribution company grid, or other electrical system as 10 may be applicable. 11 12 16.2 TDPUD shall measure power deliveries and provide certified settlement 13 quality metering data to Western as requested. It is generally contemplated that 14 Western will require this data on a monthly basis. 15 16 17. CHANGES IN ORGANIZATIONAL STATUS: 17 17.1 If TDPUD changes its organizational status or otherwise changes its 18 obligation to supply electric power to preference loads, Western reserves the 19 right to adjust Western's power sales obligations under this Contract, as Western 20 deems appropriate. Changes in organizational status include but are not limited 21 to: 22 17.1.1 Merging with another entity; 23 24 17.1.2 Acquiring or being acquired by another entity; 25 26 17.1.3 Creating a new entity from an existing one; 27 28 Contract 00-SN R-00374 15 1 17.1.4 Joining or withdrawing from a member-based power supply 2 organization; or 3 4 17.1.5 Adding or losing members from its membership organization. 5 6 17.2 For the purposes of this Section 17, a member is any preference entity 7 that is included in a membership, which has the responsibility of supplying power 8 to the end-use consumer or customer. Memberships include but are not limited 9 to: 10 17.2.1 Municipality; 11 12 17.2.2 Cooperative; 13 14 17.2.3 Joint powers authority; or 15 16 17.2.4 Governmental agency. 17 18 17.3 For purposes of this Section 17, participation in a State promulgated direct 19 access program shall not be deemed to be a change in a Customer's 20 organizational status or its obligation to supply electric power to preference 21 loads. 22 23 17.4 Prior to making an organizational change, TDPUD may request an opinion 24 from Western as to whether TDPUD's proposed organizational change will result 25 in an adjustment of TDPUD's Base Resource percentage under this Section 17. 26 TDPUD shall provide Western with all relevant documents and information 27 regarding the proposed organizational change. Based on the documents and 28 information furnished, Western will provide TDPUD with an opinion. Contract 00-SN R-00374 16 1 17.5 In'addition to the above, if the change in organizational status results in a 2 proposed transfer of the Contract, or any portion thereof, Section 37 of the 3 General Power Contract Provisions (GPCP), "Transfer of Interest in Contract," 4 generally requires the Customer to obtain prior written approval from Western's 5 Administrator. Organizational changes that typically propose transfer of the 6 Contract, or a portion of the Contract, and require prior written approval from 7 Western include but are not limited to: 8 17.5.1 Merging with another entity; 9 10 17.5.2 Acquiring or being acquired by another entity; 11 12 17.5.3 Joining an entity; and 13 14 17.5.4 Creating a new entity. 15 16 18. BUSINESS PROTOCOLS: 17 Western reserves the right to make process or procedural improvements in the efficient 18 and effective administration of this Base Resource Contract as needed. 19 20 19. ENFORCEABILITY: 21 It is not the intent of the Parties that this Contract confer any rights on third parties to 22 enforce the provisions of this Contract except as required by law or express provision in 23 this Contract. Except as provided in this Section, this Contract may be enforced, or 24 caused to be enforced, only by Western or TDPUD, or their successors or assigns. 25 26 20. GENERAL POWER CONTRACT PROVISIONS: 27 The G PCP, effective July 10, 1998, attached hereto, are.hereby made a part of this 28 Contract, the same as if they had been expressly set forth herein; Provided,That, in the Contract 00-SN R-00374 17 1 event of a conflict between the GPCP and the provisions in the body of this Contract, 2 the Contract shall control. The usage of the term "Contractor" in the GPCP shall mean 3 TDPUD. The usage of the term "firm" in Articles 17 and 18 of the GPCP shall be 4 deemed to be replaced with the words "Base Resource." 5 6 21. APPENDIX MADE PART OF CONTRACT: 7 A description of the CVP and its estimated output under certain hydrological conditions 8 are provided in Appendix A attached hereto. The information provided in Appendix A is 9 for planning purposes only. Western may revise Appendix A to reflect operational 10 changes, as necessary. Western will notify TDPUD of any revisions to Appendix A as 11 soon as practicable. 12 13 22. EXHIBITS MADE PART OF CONTRACT: 14 Exhibit A (Base Resource Percentage and Point(s) of Delivery), Exhibit B (Exchange 15 Program), Exhibit C (Scheduling Procedures and Protocols), and Exhibit D (Regulation 16 and Reserves) existing under this Contract may vary during the term hereof. Each of 17 said exhibits shall become a part of this Contract during the term fixed by its provisions. 18 Exhibits A, B, C, and D are attached hereto, and each shall be in force and effect in 19 accordance with its terms until respectively superseded by a subsequent exhibit, as 20 allowed by the terms of each exhibit. 21 22 23 24 25 26 27 28 Contract 00-SNR-00374 18 1 IN WITNESS WHEROF, the Parties have caused this Contract to be executed the day 2 and year first above written. 3 4 WESTERN AREA POWER ADMINISTRATION 5 By: 6 Title: Power Marketing Manager 7 Address: 114 Parkshore Drive 8 Folsom, CA 95630-4710 9 10 (Attest) TRUCKEE Nr PUBLIC U ILITY DISTRICT 11 By: 12 Title-7 fiesmw",r- BnA" aF Dl,e mks fjL13 By:A/2� Address: P.. O. &x 309. Texy-ee CA 96/6o 14 Title: CLEer ec the 3c*efl 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Contract 00-SNR-00374 19 Truckee Donner Public Utility District Contract 00-SNR-00374 Exhibit A s . EXHIBIT A (Base Resource Percentage and Point(s) of Delivery) 1. This Exhibit A, to be effective under and as part of Contract 00-SNR-00374 (Contract), shall become effective upon execution of the Contract; and shall remain in effect until either superseded by another Exhibit A or termination of the Contract. 2. On the effective date of this Exhibit A, TDPUD's percentage of the Base Resource is 0.220%. 3. TDPUD's Base Resource percentage may be adjusted by Western as specified in the Contract. 4. TDPUD's Base Resource percentage will be adjusted effective January 1, 2015, in accordance with the Marketing Plan, to establish the 2015 Resource Pool for new power allocations. 5. The point(s) of delivery for TDPUD's Base Resource shall be 6. This Exhibit A shall be replaced by Western as necessary in accordance with Sections 8, 14, 15, and 17 of the Contract. Exhibit A to Contract 00-SNR-00374 Page 1 of 1 Truckee Donner Public Utility District Contract 00-SNR-00374 Exhibit B EXHIBIT B (Exchange Program) 1. This Exhibit B, to be effective under and as a part of Contract 00-SNR-00374 (Contract), shall become effective upon execution of the Contract; and, shall remain in effect until superseded by another Exhibit B or termination of the Contract. 2. The Parties acknowledge that the exchange program procedures will change between the date the Contract is executed and the date of initial service hereunder. The Parties agree to work together collaboratively to develop exchange program arrangements which will maximize the benefits of the CVP. 3. Prior to the date of initial service, Western shall replace this Exhibit B with Exhibit B, Revision 1. At such time as Western promulgates Revision 1 to this Exhibit B, TDPUD shall have a one-time option of (1) executing Revision 1 to this Exhibit B within the time specified in the transmittal letter, or (2) terminating the Contract upon 30-days advance written notice. In the event TDPUD fails to take either action within the specified time frame, Exhibit B, Revision 1, shall be deemed to become effective. 4. Western shall make subsequent revisions to Exhibit B, after consultation with its Customers. 5. Western will manage an exchange program to allow for Customers to fully and efficiently use their Base Resource percentage energy. The program consists of the following two elements: 5.1 Seasonal exchange: a mechanism that allows a Customer with seasonal load variation to make that portion of its Base Resource percentage that it is unable to use due to insufficient load, available to the seasonal exchange program. In coordination with Western, TDPUD will be able to exchange its unusable Base Resource percentage, through Western, with other Customers. 5.2 Hourly exchange: a mechanism that provides for Western to retain all Base Resource energy in excess of a Customer's load on an hourly basis. 6. General Principles: 6.1 Customers must take their percentage of the Base Resource. 6.2 If a Customer's total load in any hour, as established in its day ahead schedule, is less than its Hourly Base Resource Schedule, then the energy in excess of the schedule is made available to the Western exchange program. Exhibit B to Contract 00-SNR-00374 Page 1 of 2 Truckee Donner Public Utility District Contract 00-SNR-00374 Exhibit B 6.3 Western shall establish an estimated pool energy "rate" for the purpose of pool transaction settlements. 6.4 Customers with total load greater than their Base Resource percentage in any hour may request pool energy from Western, if available. 6.5 Exchange program suppliers shall have first priority for purchases from the pool, during hours when they are not depositing energy, up to the amount of energy previously deposited. 6.6 Western will allocate pool energy to Customers that have requested pool energy. 6.7 Pool takers are obligated to pay at the pool energy "rate." 6.8 Pool providers are credited funds at the pool energy "rate." 6.9 Western takes all remaining pool energy not taken by Customers and provides it into the open market(s). 6.10 Revenues collected by Western from the open market(s) will first be credited to the pool providers up to the pool energy"rate." 6.11 Any remaining revenue will be used to offset Western's overall costs. Exhibit B to Contract 00-SNR-00374 Page 2 of 2 Truckee Donner Public Utility District Contract 00-SNR-00374 Exhibit C EXHIBIT C (Scheduling Procedures and Protocols) 1. This Exhibit C, to be effective under and as a part of Contract 00-SNR-00374 (Contract), shall become effective upon execution of the Contract; and, shall remain in effect until superseded by another Exhibit C or termination of the Contract. 2. Both Parties recognize that these scheduling procedures and protocols may require modification from time-to-time. In such event, Western shall make the appropriate modifications to this Exhibit C as mutually agreed to by the Parties. For more information on changes to scheduling protocols and procedures, refer to Sections 9 and 11 of this Contract. 3. Designation of Scheduling Coordinator (SC): TDPUD shall notify Western of its designated Scheduling Coordinator not less than 60 days prior to the date of initial service. In the event that TDPUD's Scheduling Coordinator arrangement changes, TDPUD shall notify Western in writing, not less than 30 days prior to the change, unless a shorter notification period is agreed to by Western. 4. Scheduling Procedures: 4.1 Western will determine the Maximum Operating Capability, total generation, and ramping rates for the Base Resource. 4.2 Not less than 24 hours prior to the active day, Western will notify TDPUD of its share of the Base Resource Operating Capability, Minimum Base Resource and total energy available for that day. Based on these criteria, TDPUD shall notify Western of its preferred schedule for that day. Western will use a compilation of all Customers' preferred schedules as a basis for determination of the optimal generation schedule. Western will then notify TDPUD of its Hourly Base Resource Schedule for that day. 4.3 For weekdays, TDPUD shall provide Western with a copy of its day ahead load and resource schedule, including the information listed in Section 4.5 below, by 9:00 a.m. of the business day prior to the day the schedule will be implemented, or at least two (2) hours prior to the submission time required by the ISO or control area operator, whichever is earlier. For weekends and holidays, as defined by the WSCC, TDPUD shall provide Western with its day- ahead schedule by 9:00 a.m. of the business day, at least two days prior to the day the schedule will be implemented, or at least two (2) hours prior to the submission time required by the ISO or control area operator, whichever is earlier. The day-ahead schedule shall include megawatt values for each hourly period of each day and a megawatt-hour total for each day. The day-ahead schedule amounts shall be to the nearest tenth of a megawatt, with the day- Exhibit C to Contract 00-SNR-00374 Page 1 of 2 Truckee Donner Public Utility District Contract 00-SNR-00374 Exhibit C ahead schedule of Western power not to exceed TDPUD's percentage of the Base Resource Operating Capability for any hour, as it may be adjusted to accommodate exchanges or purchases under the Western exchange program. 4.4 In the event of curtailments or emergencies, Western shall notify TDPUD as soon as practicable so it may adjust its schedule in a timely manner. 4.5 The following information shall be included in the day ahead schedule: 4.5.1 Western power by hour; 4.5.2 Other power by hour [If Western is TDPUD's SC]; 4.5.3 TDPUD's forecasted system load by hour [If Western is TDPUD's SC]. 4.6 TDPUD's unscheduled Western power in any hour is not available to TDPUD as an operating reserve or to meet any ancillary service requirements of the ISO or the control area operator for TDPUD load. 4.7 Schedules shall be transmitted by a communication link established between Western and TDPUD or as otherwise agreed to by the Parties. The communication link shall be provided and paid for by TDPUD. The data format shall be acceptable to both Parties and shall be in conformance with established WSCC protocol in effect at the time. 5. Schedule Changes: 5.1 TDPUD may not adjust its Western power schedule after the final hour ahead schedules have been accepted by the ISO or control area operator as applicable. 5.2 Daily schedules shall be confirmed by TDPUD and Western's dispatchers at the end of the active day, at which time TDPUD and Western's dispatchers will attempt to resolve any scheduling conflicts. 5.3 No after-the-fact schedule change by either Party shall be allowed. Exhibit C to Contract 00-SNR-00374 Page 2 of 2 Truckee Donner Public Utility District Contract 00-SNR-00374 Exhibit D EXHIBIT D (Regulation and Reserves) 1. This Exhibit D to be effective under and as a part of Contract 00-SNR-00374 (Contract), shall become effective upon execution of the Contract; and shall remain in effect until either superseded by another Exhibit D or termination of the Contract. 2. The Parties acknowledge that the protocols and procedures of the ISO relating to regulation and operating reserves will change between the date the Contract is executed and the date of initial service hereunder. The Parties agree to work together collaboratively to develop arrangements which will maximize the benefits of operating reserves and regulation capabilities of the CVP. The method in which Western provides these services to TDPUD may be physical, financial, or both. 3. Prior to the date of initial service, Western shall replace this Exhibit D with Exhibit D, Revision 1. At such time as Western promulgates Revision 1 to this Exhibit D, TDPUD shall have a one-time option of (1) executing Revision 1 to this Exhibit D within the time specified in the transmittal letter, or (2) terminating the Contract upon 30-days advance written notice. In the event TDPUD fails to take either action within the specified time frame, Exhibit D, Revision 1, shall be deemed to become effective. 4. Western shall make subsequent revisions to Exhibit D, after consultation with its Customers. Exhibit D to Contract 00-SNR-00374 Page 1 of 1