ML19339D134

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Responds to NRC 801217 Ltr Re Antitrust Review for Facility Ol.Any short-term Sales or Purchases Would Be Transacted Under Existing Interchange Agreements on File W/Ferc
ML19339D134
Person / Time
Site: Callaway  Ameren icon.png
Issue date: 02/11/1981
From: Bryan J
UNION ELECTRIC CO.
To: Saltzman J
Office of Nuclear Reactor Regulation
References
NUDOCS 8102170309
Download: ML19339D134 (86)


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UNION ELECTRIC COMPANY '

1901 GRATIOT STREET ST. LOUIS. MtsSOURS February 11, 1981 .

MAtL.treG ADDRE.Se '

JOHN M.SMYAN P.C.SOM149

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I Mr. Jerome Saltzman  : .7 Chief-Utility Finance Branch '

7, ,fff Division of Engineering -R 33 Office of Nuclear Reactor Regulation [p N jgp Nuclear Regulatory Commission -  %

Washington, DC 20555 ULNRCf315 jf

Dear-Mr. Saltzman:

This is in response to your letter dated December 17, 1980 relative to the antitrust review for the operating license for the Callaway nuclear plant. The following is in response to the questions presented in your inquiry:

1.a. Question (s):

Are those short-term purchases or sales on a spot basis; are they based-on presently existing agreements; name the power entities that would be purchasing (or selling to) the bulk of UE's excesses?

Answer:

Any short-term sales or purchases (1 year or less) would be transacted under existing interchange agreements on file with the Federal Energy Regulatory Commission. Although it is difficult to specify the entities with whom such short-term sales or purchases would be made, Attachment 1 lists the companies with whom Union. Electric (UE) has contractual arrangements for the.

interchange of capacity. Typically such transactions would be made from time to time as the need arises on a short-term non-firm basis under such agreements.

l.g. Question:

Does UE have any plans (not necessarily commitments) to install and/or share-in new generating capacity after the Callaway plant has'gone on ALne? EPlease elaborate.

Answer:

although n, .xM r ramnts have been made beyond Callaway Unit 2.(through 19943, UE does plan in a general way and on a continuing basis to anticipate the needs for-additional capacity taking'into' account all practical options for providing-the most cost effective supply of electricity for our customers. Present thinking is that any additional capacity beyond Callaway' Unit 2 OR 170$

could be provided from a number of possible sources, i e. .

nuclear, coal, hydro, synthetic fuels, joint owned unit, etc. No firm plans have been made at this time to meet capacity requirements beyond 1994.

1 1.h. Question:

Associated Electric Cooperative (AEC)

Why did AEC decline participation in the Callaway Plant and did AEC have any reason to believe that UE would sponsor any i

nuclear plants after Callaway?

Answer:

AEC approached UE some time after planning for the Callaway units had been finalized and AEC recognized they were late in discussing ownership of these units. However, UE and AEC explored various transmission and power supply arrangements.

AEC told UE they did not wish to cause UE any economic detriment by participating in the Callaway units at that late date.

Simultaneously AEC was discussing involvement in a nuclear unit in Iowa and two nuclear units in Oklahoma. UE's discussions with AEC centered on the capacity addition planning and future units-i particularly with respect to the possibility of UE adding more nuclear capacity after Callaway 2. The study showed that AEC involvement in Callaway would be at an economic detriment to UE.

AEC requested UE to consider their participation in any nuclear units after Callaway 2 and UE agreed to notify them in advance of any plans for future nuclear units.

Shortly after the discussions between UE and AEC were completed, AEC announced that they would participate in the nuclear unit in Iowa and two nuclear units to be constructed by Public Service of Oklahoma (Black Fox Units) .

Association of Illinois niectric Coops. (AIEC)

Briefly describe the "other arrangements" made by AIEC in lieu of UE supplying AIEC with reserve and supplemental power purchases." Did AIEC go elsewhere for these services-and if so why?

Answer:

4 In April 1975 AIEC requested a meeting for the purpose of determining whether UE was interested in providing reserve and supplemental power for one of its member cooperatives,.Soyland Power Cooperative, which had purchased a portion of Illinois Power's Clinton nuclear plant Unit 1. Following a meeting in May in St. Louis, AIEC indicated'that they wished to further review t

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l their request and would be in touch. Neither AIEC nor Soyland informed us of any other arrangements that were made.

Big Rivers Electric Corporation (Big Rivers)

Did Big Rivers express a desire for capacity from UE in any year other than in 1977? Did UE inform Big Rivers that UE may have excess capacity to sell after the Callaway plant went on-line? What amount and type (unit or system) of capacity was Big Rivers seeking? Was Big Rivers able to obtain the desired capacity? If ca, trom whom?

3 Answer:

Big Rivers was seeking approximately 50-55 MW for 1977 and 1978, about 250-300 MW for 1979, and 100 MW for 1980. They indicated the '.977 and 1978 capacity was needed to increase system resern.s, while the 1979 capacity was needed to serve the expected expansion of a large industry and provide additional reserve capacity. The 1980 capacity would be for system reserves. The systems of UE and Big Rivers are not directly interconnected. UE informed Big Rivers that Callaway Unit 1 was to be in service in 1981 and that there would probably be excess capacity available after Callaway Unit 1 became operative.

Following our discussions we heard nothing further from Big Rivers.

City of Carthage (Carthage)

Provide a copy of the terms and conditions for the electric service offered to Carthage for the winters of 1977 through 1979. From whom did Carthage ultimately receive this capacity?

l Answer:

In 1977 UE offered electric service to.Carthage during i the 1977/78 winter period (see Attachment 2). It was understood that Carthage would have to make contractual arrangements for l

transmission service since our transmission systems are not directly interconnected. Shortly thereafter Carthage indicated they did not wish to purchase electric service for the 1977/78

. winter; however, they indicated further interest in such purchase for the 1978/79 winter. UE again offered to make such a sale.

Subsequently UE was advised that for economic reasons.Carthage preferred to purchase power from a system closer to it (see Attachment 3). They did not inform us from whom they made the

-purchase for the'above stated periods.

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City of Columbia (Columbia)

Provide a copy of the interchange service contract between UE and the City of Columbia that became effective September 1, 1979. Would this contract be suitable to a purchaser requesting a small portion of its power requirements?

If not, what type of service agreement would UE offer such a purchaser?

Answer:

A copy of the Interchange Agreement between UE and Columbia, effective September 1, 1979, is attached and marked . This contract does provide a portion (up to 50 MW) of Columbia's firm power requirements. Typically interchange agreements assume that both parties have sufficient generation to provide for their own load and each can supply significant amounts of power to the other in emergencies or to defer major generating additions. This type of agreement, however, is not suitable for use in supplying a "small portion" of the power requirements of utilities which do not provide their own generation. UE is always willing to work with any prospective purchaser in developing an appropriate contract to supply a small portion of such a purchaser's requirement if and when the need should arise.

City of Fulton (Fulton)

Describe the "other arrangements" made by Fulton in 1974 regarding capacity purchases.

Answer:

Fulton requested 5 MW of power from Central Electric Power Cooperative and was turned down. Fulton then contacted UE to obtain the necessary firm supply of power. Subsequent negotiations between UE and Fulton led to the preparation of a draft contract tentatively agreed upon by both parties. Before the contract was executed Fulton informed us that Central Electric Power Coop. had changed its position and agreed to sell Fulton the needed power for five years and since Fulton was not directly connected to UE, it preferred to purchase the power from the Coop.

Interstate Power Company (Interstate)

Describe the request by Interstate for capacity in 1974, i.e., type, amount, term, etc. Was Interstate able to obtain the desired capacity? If so, from whom?

Answer:

In 1974 Interstate requested unreserved capacity in the atuount of 30 MW for a 12-month period beginning May 1, 1976, under the Twin Cities-Iowa-St. Louis 345 kV Interconnection Agreement. After UE agreed to provide the requested power, we aceived no further information regarding Interstate's intent nor were we informed as to whether Interstate contracted for this capacity or if so with whom.

Cities of Jackson, Malden and Kennett (Cities)

Describe the "various power arrangements" in the Cities' 1979 request to Missouri Utilities (ultimately UE) and the progress to date in meeting these power arrangements.

Answer:

In July of 1979 the Cities of Jackson, Malden and Kennett contacted UE regarding three alternate types of electric service, as follows:

1. UE would provide all of the power requirements of the Cities but would provide credit to the cities for their generating capacity which would be available when called upon by UE.
2. Cities would purchase a block of firm power from UE under UE's present Wholesale Tariff.
3. Cities would purchase Interruptible Power from UE.

Cities are currently evaluating these alternatives along with potential power purchases from other suppliers including Missouri Utilities Company and Southwestern Power Administration.

UE is continuing to meet with the Cities, the most recent meeting being January 13, 1981, to further explore these arrangements.

Mt. Pleasant Describe Mt. Pleasant's (presumably the Iowa municipal) capacity request in 1974 and explain the difference (s) if any in the terms and conditions originally offered by UE and those offered in 1979. Was Mt. Pleasant able to obtain the services it was seeking in 1974? If so, from whom?

Answer:

In March 1974, Mt. Pleasant contacted UE to inquire whether UE would be interested in entering into a contract to sell surplus energy to Mt. Pleasant. Attached is a letter dated

April 18, 1974, (Attachnent 5) to Mt. Pleasant in response to this request.

In September 1979, Mt. Pleasant again contacted UE for off-peak power and energy. On October 30, 1979 UE again responded to Mt. Pleasant (Attachment 6) . Mt. Pleasant did not respond in either instance nor did they inform us as to any other arrangements they may have made. It is our understanding that these periodic requests are made to meet either city charter or ordinance requirements.

City of Paragould (Paragould)

What type of service was Paragould interested in beyond 1981? Has UE offered Paragould electric servica? If so, when, what type, and under what terms?

Answer:

In 1979 Paragould contacted UE to discuss the possibility of purchasing off-peak energy to supplement purchases from the Southwestern Power Administration (SPA) and additional firm espacity and energy to meet peak demands beginning with the summer of 1981. In a letter dated November 5, 1979 (Attachment

7) UE responded to Paragould and discussed the arrangements that might be made. Paragould did not respond immediately. In the fall of 1980, representatives of both parties met and again discussed Paragould capacity requirements through the next ten years. Again UE expressed a willingness to work out an arrangement to satisfy their power requirement. To date we have

-not heard from Paragould.

St. Joseph Light and Power Company (St. Joe)

What type of service did St. Joe request in 1975 and was St. Joe able to obtain service for the period 1977 through'1979?

From whom did St. Joe receive said service? Why did UE decline participation in 1977 in the Iatan steam plant jointly owned by St. Joe and Kansas City Power & Light Company?

Answer:

In 1975 St. Joe contacted UE to discuss the availability _

of non-firm capacity for the years 1976 (15 MW), 1977 (30 MW),

1978 (50 MW), and 1979 (75 MW) under the St. Joe-UE Interchange Agreement. St. Joe indicated these purchases were to provide summer capacity and a source of coal-fired energy to displace higher priced St.-Joe generation during the winter. UE indicated that capacity appeared to be available in 1976 and 1977; however,  :

UE was planning to' install oil-fired combustion turbines in 1978 and 1979 to meet its own capacity requirements. St Joe did not j

pursue this request with UE, nor did they inform UE of any other arrangements.

In 1977 St. Joe contacted UE with regard to partial ownership of the Tatan steam plant. At the time UE was deeply involved in the planning and construction of its Callaway nuclear units scheduled for in-service in 1983 for Unit 1 and 1987 for Unit 2. With such additional base load generation, it was concluded that the purchase of additional base load capacity was unnecessary. UE was instead looking at peaking capacity to provide a better system mix which would enable it to provide lower cost service for its customers.

Western Illinois Power Cooperative (WIPCO)

When approached by WIPCO concerning power purchases and joint power arrangements, did UE suggest to WIPCO that such coordinating agreements with power entities closer to its service area would be more beneficial and/or economical to WIPCO? Was UE willing to enter into such arrangements with WIPCO? Please explain UE's reasons.

Answer:

In 1974 representatives of WIPCO and UE met to discuss power purchases by WIPCO and joint power arrangements between the parties. There was no statement nor suggestion made by UE that WIPCO's requirements could be obtained more beneficially or economically from power entities closer to its system. UE indicated its willingness to consider any proposal by WIPCO for power purchases and joint power ownership arrangements.

Subsequent to the meeting, nothing further was heard from the representatives of WIPCO nor was UE informed of any other arrangements that WIPCO may have made.

City of Perry (Perry)

What is the status of the negotiations between Missouri Power & Light and Perry regarding paragraph 2.D?

Answer:

The suggested change in paragraph 2.D. of the subject contract has been effected. A copy of the new contract language together with the Federal Energy Regulatory Commision (FERC)

Notice of Amendment and FERC's acceptance of the Amendment in FERC Docket No. ER-80-301 are attached and marked Attachment 8.

City of Marceline (Marceline)

Why was Marceline unwilling to accept the new language proposed in Mr. Birk's letter of June 28, 1974 Re: Paragraph 5 of

i the agreement between MP&L and Marceline? Is the agreement

unchanged as it now stands?

I Answer:

This contract has not heretofore been modified because it has been the subject of litigation (involving rate issues and not the contract change requested) before the Federal Energy Regulatory Commission (opinion No. 31 issued October 27, 1978 and Opinion No. 31-A issued May 16, 1979, FERC Docket No. ER76-539),

and subsequently the U.S. Court of Appeals, District of Columbia Circuit (Docket No. 79-1740).

A final Order in Docket No. 79-1740 was rendered on September 25, 1980. Now that the litigation is concluded, MP&L will enter into negotiations with Marceline to modify the electric service agreement dated July 24, 1973, so as to delete j paragraph 5 and substitute therefor the following:

"In order to maintain the reliability and integrity of the interconnected system, to provide for the safe operation of the Company's facilities, and to insure the flow of information necessary so that Company may, on a logical basis, plan for additional load on its supply and transmission facilities, Customer shall give Company reasonable advance written notice of all proposed new municipal use or resale of this electrical energy which will constitute a substantial addition and shall consult with Company prior to such use or resale to determine that such use or resale is consistent with safe and reliable system operation."

We will notify you when this change has been accomplished.

If you need further information or clarification, please feel free to contact me.

Very uly yours, W W@

"ohn K. Bryan {

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STATE OF MISSOURI )

) SS CITY OF ST. LOUIS )

John K. Bryan, of lawful age, being first duly sworn upon oath says that he is Vice President-Nuclear and an officer of Union Electric Company; that he has read the foregoing document and knows the content thereof; that he has executed the same for and on behalf of said company with full power and authority to do so; and that the facts therein stated are true and correct to the best of his knowledge, information and belief.

I By i hM I6nn K. Bry7an VCf\'

Fice Presiddnt

' Nuclear SUBSCRIBED and sworn to before me this lith day of February, 1981 i

!&cfasc/ ,O :Yev nmarRcr s. HacA

?:0TMY FC lC-SATE OF M!SSOURl ST. LcU:S COUNTY

!?Y COYViS?OTi LXP;2ES JAtwARY 2,1992

cc: Glenn L. Koester Vice President Operations Kansas Gas & Electric P.O. Box 208 Wichita, Kansas 67201 John E. Arthur Chief Engineer Rochester Gas & Electric Company 89 East Avenue Rochester, New York 14649 A. V. Dienhart Vice President Plant Engineering and Construction Northern States Power 414 Nicollet Mall Minneapolis, Minnesota 55401 Donald T. McPhee Vice President Kansas City Power and Light Company 1330 Baltimore Avenue Kansas City, Missouri 64141 Gerald Charnoff, Esq.

Shaw, Pittman, Potts & Trowbridge 1810 M. Street, N.W.

Washington, D.C. 20036 Nicholas A. Petrick Executive Director SNUPPS

5 Choke Cherry Road Rockville, Maryland 20850 W. Hansen Callaway Resident Office U.S. Nuclear Regulatory Commission RR#1 l Steedman, Missouri 65077 l

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n-ATTACHMENT 1 FEDERAL ENERGY REGULAIORY COMMISSION RATE SCHEDULE '

UNION ELECTRIC CO:f P.CY I'.ERCHX'GE AGREEME:."r5 4 FERC Rate Agreement Schedule Arkansas-Missouri Power Company 68 Associated Electric Cooperative, Inc. 95 Columbia, Missouri (City of) -

96 Electric Energy, Inc. . 87 l

(IS&S Agreemt..t) ,

Illinois-Missouri Pool 81 Includes:

- Central Illinois Public Service Co.

- Illinois Power Company -

() Iowa-Illinois Gas & Electric Company 72 Iowa Power & Light Company 74 f

  • Iowa Southern Utilities Company j 63 Kansas City Power & Light Company 66 Kentucky Utilities Company 90 Missouri-Arkansas EHV Line 94 Includes:

- Associated Electric Coop.

- Arkansas-Missouri Power Co. -

Missouri-Kansas-Oklahoma 345 kV Line 79

(; Includes:

's - Associated Electric Coop.

- Kansas Gas & Electric Co.

- Public Service Co. of Oklahoma

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Missouri Public Service Co=pany 67 St. Joseph Light & Power Company 75, Southwestern Power Administration 85 Tennessee Valley Authority 76-Includes: . ~~

- Central Illinois Public Service Co.

- Illinois Power Company Twin Cities-Iowa-St. Louis 345167 Line 60 Includes:

- Northern States Power Company

- Interstate Power Company "~

- Iowa Electric Light & Power Co.

! - Iowa-Illinois Gas & Electric Co. .

! - Iowa Public Service Company

- Iowa Southern Utilities Co. ,

ATTACID!ENT 2 U N IO N ELCOrRIC CO M P ANY .

19 08 GRATIOT STRC CT - ST. Lou t S

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October 6, 1977 "'?.' ",*,,^l C ' * .

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e Mr. H. A. Berry Ceneral Superintendent '

Carthage Water & Electric Plant 149 East Third Carthage, MO 64836 u -

Dear Mr. Berry:

In response to your letter of Septe=ber 14, 1977, which expressed an interest in the purchase of 8 MW of capacity during the December 1977 through March 1978 period, we are presently investigating the con-C tractual transmission path for such a transaction.

I thought that in the interin you may be interested in the preserit charge' for short-term non-firm power in the Ill-Mo Pool. The Ill-Mo Pool, which is made up of Central Illinois Public Service Company, Illinois Power Company, and Union Electric Company, presently has a Pool rate for st ch capacity of 60c/kW-week, with energy priced at system incremental cost plus 107.. We would anticipate that any sale by Union Electric to Carthage vot i be at such a rate. Union Electric's expected

=fnfmm incremental cost !uring this period would be in the $12-$15/MWh range, with our maxiet=1 incremental cost being S46/MWh when we_ are firing oil. ,

We are quite concerned about a potential coal strike on December 6, 1977.

Should such a strike occur, we will likely have to curtail interchange sales, as well as deviate from economic dispatch during the duration of the strike. This would d yiously have an i= pact on both the availability l

Q and incremental cost of a. y capacity we would sell.

Please advise whether such rates for short-term non-fim power are within the realm of economic feasibility for your purposes, and whether we should pursue this matter further. s I

Very truly yours, b __ -

C. W. Mueller

- Assistant Director Corporate Planning CWM/cbv L1- . . .- -- .. . .. -.

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. . . _ . . _ . s ATTACHMENT 3 1 .

1 Phelps, Hogland & PhillipS EngineeringCornpany Suite 205 Crysler Building Herbert R Phelps, P.E.

12401 East 43rd Street Virgil W. Hogland. P E.

Independence.Mtssoun 640e.- Andrew P. Phillips. P.E.

Phone (AC 816)3730450 i November 15, 1978 1

Mr. C. W. Mueller Assistant Director >

Corporate Planning _

Union Electric Company P. O. Box 149 St. Louis, Missouri 63166 Subj ect: Power Sales to Carthage, Missouri Project No. 38-78.2A-1

Dear Mr. Mueller:

After careful review of your. offer to sell non-firm, short-term power to Carthage, we find that other sources of power purchase closer to Carthage provide less expensive alternatives.

Thank you very much for your efforts in providing the sale proposal for this power sale.

. Very truly yours,

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"r V. W. Hogland, P.E.

Vice President VWH/djs

! cc: Mr. Howard Berry ,

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  • ,i ATTACHMENT 4 5

INTE RCC:.ECTIC:: C:::CRACT

. SECWEEN UNION ELECTRIC CO:GA.Tl AND

- CITY OF COLIDGIA, MISSOURI Section O.1 THIS UQNTRACT, made and entered into this

/8-t[dayof 7IM~ ,t) , 1979, by and between UNION

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ELECTRIC COMPANY, a private corporatica organized and existing under the laws of the State of Missouri, herein referred to as " Company" , and the CITY OF COLIDSIA, MISSOURI, a municipal corporation organized and existing under the -

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1aws of the State of Missouri, herein referred to as " City";

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__ I _T N_ _E _S _S _E _T H Section 0.2 WHEREAS, the parries hereto were parties to an Interchange Service Contract, datec July 18, 1967; which contract expired by its te2.rrt as of May 26, 1979; and Section O.3 WHEREAS, each party desires to establish the terms and con utions for interconnected operation of their s

respective systems and for possible sale and purchase of electric pcwer and energy.

Section 0.4 NOW, THEREFORE , in consideration of the i foregoing premises and the cotenants herein set forth, the parties hereto do hereby agree as folicws:

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ARTICLE I

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. TERM OF CONTPJ.CT Section 1.1 - Term: The term of this Contract shall ccer.ence on Septecher I., 1979 and shall centinue in effect thereafter except that the Ccatract may be cancelled by either party at any time upon three years ' written notice to 'the other l

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party. '

ARTICLE II O 1 TEaCou'rECTIcss -

Section 2.1 - Ccnnection Points : Company and City agree to construct, maintain and continue in cperable condition the facilities described in Appendix I attached hereto and made i part hereof. These w.terconnections shall be the points for the possible sale, purchase, or delivery of power and energy under this Contract. The original interconnection:a under this Contract, numbered 1 and 2 in Appendix I, are hereby made a part of this Contract. These interconnections * -

may from time to time by mutual consent of the parties be e

revised, mcdified, or additional intercennecticns may be added to Appendix I. Notwithstanding any other provision of

' this Contract to the contrary, interconnections , whether new in existence or hereaf ter added, may be cancelled by either party upon three years written notice or as otherwise specifi-cally provided in the appropriate Appendix covering that l

interconnection. Any charges to be paid to one party by the other for the installation and/or use of the dacilities

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of the other party or associated with the termination of the use thereof, will be stated in Appendix I.

Section 2.2 - Facilities : The major facilities -provided by each party are described in Appendix I.

Section 2. 3 - Acces serv Faciliti es : The parties hereto will provide communication, telemetering, and load-control equipment and such other facilities for load dispatching purposes and for centrol of power ficw and flow of reactive ,

O x11ovo1e e=,eres cxvAR) es may reesomeb1r be =eeu1=ed in .

accordance with good modern practice. The exact division of ownership of such accessory facilities shall be deterrd ned

. by the Coordinating Committee provided for in Section 3.1. ,

'Section 2.4 - Parties Respcasible : Sach party hereto shall l provide, cperate, and maintain at its own cost and expense such of the equipment and facilities as =ay be constructed l

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~u on its system pursuant to the foregoing provisions of this l ARTICLE II except as provided in Section 7.1 and any con- -

ditions included in Appendix I. ,.

ARTICLE III OPERATION.

Section 3.1 - Coordinating Committee: "'he interconnected operations of the parties ' systens as provided for in this e .

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Contract shall be ad::d.tistered by a Ccordinating Committee.

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Each party shall appoint one member and an alternate to the Coordinating Committee. The principal duties of the Coor-dinating Cem..ittee shall be to establish operatien and maintenance schedules, centrol, scheduling and operating procedures, provisions for notification concerning operating l

! matters, division of ownership of accessory facilities , and exch,ange load and capacity data (including forecasts) ; to provide for the supervision of kilowatt and reactive kVA Q power and energy accounting functions; to establish accounting and billing procedures; and to perform any other dtities I

necessary for proper administration of this Contract. If the Coordinating Committee is unable to agree on any matter falling under its jurisdiction, such matter shall be referred to the management of Company and City Manager of City for decision. In the event that Company management and the City Manager cannot in good f aith reasonably resolve disputes ,

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(, either party shall have th right to terminate the Contract upon giving three years' written notice. All decisions and agreements made by the Coordinating Cc=mittee' or the management of Company and City Manager shall be evidenced in writing.

Section 3.2 - Parallel Coeration : Systems of Company and City shall normally be operated in parallel, with circuits

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closed at the interconnections set forth under Appendix I hereof except during normal switching operations or as O

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hereinaf ter provided.

It is recogni=ed that, with the systems of Company and City intercennected as set forth herein, the ficw of pcwer

through the intercennections is not subject to precise control, but is determined to a considerable extent by the physical and electrical characteristics of the systems. It i

I is also recognized that to fully reali=e the benefits attainable under this Contract, it is necessary, subject to the pro-

. visions of this contract, that the systems of the parties

O hereto overete im 9-= 11e1 e 11 ei=es to re==ie the .

transfer of pcwer and energy hereunder. However, it is

! also necessary for each party to operate its systems in 4

such a manner as to not impose any undue burden upon

! the interconnected. system or the system of the other party.

t Each party sha2.1 establish energy delivery schedules with the dispatcher of the other before intentionally taking i

, any energy from the system of the other. To the extent it

(, ' can be controlled, neither party shall impose any unusual burden upon the facilities of the other party in excess of '

l i their safe and proper capacity as determined'by the sning party. If emergency conditions arise which overload the interconnecting facilities between the systems of the parties, i

then both parties shall cooperate in taking 1:=edir a steps

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to eliminate such overload conditions but the party whose system causes the emergency situation shall have the primary

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r sponsibility for such corrective action, even though this l may involve dropping 1 cad on its system.

1 If, at any time, the energy flow over the system of either of the parties hereto or if the ficw to any third l party because of such parallel cperation is or can reasonably i

, be expected to be unduly detrimental to custc=er service or system operation of eithe; party, then the party which, upon its determination made in accordance with good, modern

. engineering practice, suffers or reasonably expects such i injury may open an r or all of the interconnections between .

O **e e retee he=eto to re11 eve it- vete= or the du=eem .

imposed upon it by such flow or anticipated ficw of power; t provided hcwever, that prior notice shall be given to the

. other party when practicable , so that feasible corrective i measures may be put into effect before cpening the inter-j connections; and provided further, that the parties shall i seek to restore the interconnections as soon thereaf ter as practicable.

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Section 3. 3 '- Reactive Pcwer and voltac.e Rec.ulation : Each - -

i party shall supply the reactive kVA required en its cwn system; and except as otherwise arranged frca time to time, neither party shall be obligated to supply reactiva kVA to l .' the other party, as measured at the interconnections defined i

i in Appendix I. A sufficient proportion of the reactiva _

supply by City shall be capable of being switched so as to mf ni"i ze leading power factor problems during light load

conditions.

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l The , Coordinating Ccmmittee shal2 frcm time to time , but

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not le. s than annually, review reactive %VA ficws over the interconnections , and the power factor of City's load.

City shall furnish to company sufficient information regarding kilcwatt and kilovar load at the interconnections between Company and City and at City's connections with any third party to allow Company to determine the effective power factor of City's load and that of third party's load in i

l the area at peak load times and at such other times as requested by Ccmpany. '

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City agrees to enforce its contract with any third '

party which provides or shall pro ride for no delivery of -

reactive kVA to the third party over the connections between those parties. .

If, at ar.y time , the flow of reactive kVA over the

_ system of either of the parties hereto or if the flow to any third party because of such parallel operation is or can reasonably be expecte'd to be unduly detrimental to customer service or system operation of either party, then the party O~~

which, upon its determination made in accordance with good, . .

1 modern engineering practice, so suffers or reasonably expects such injury may open any or all of the inter-connections between the parties hereto to relieve its system l

of the burden imposed upon it by such ficw or anticipated flow of reactive kVA; provided, however, that prior notice shall be given to the other party when practicable, so that feasible corrective measures may be put into effect before opening the inte rconnections ; and provided further, that

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. .; the parties shall seek to restore the interconnections as soon thereafter as practicable.

Section 3. 4 - Disturbances : Each party shall, insofar as i

practicable, so protect, operate and maintain its system and facilities as to avoid disturbances which might cause impairment of service .in the system of the other party.

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l . Operating procedures during disturbances which result inddeliniagfrequencyinthieareashallbeinaccordance i with the provisions of Mid-America Interpool Network (MAIN) ,

  • Q- .

Guide No. 1 as the same may be amended from time to time. .

Section 3.5 - Soinnine Reserve: Company and City shall each carry its proportionate share of spinning reserve. The spinning reserve requirements of the interconnected systers shall be determined and agreed upon from time to time by the Coordinating Committee and shall normally be those that meet the requirements of the Regional Reli bility Councils .

in the area.

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. If it becomes desirable or is mutually agreed to be

. necessary for either party to supply more than its propor-tionate share of spinning reserve capacity or should either party be required to supply more than its proportionate share of spinning reserve because of the other party's failure to supply its proportionate share, mutual arrange-ments shall be made to properly compensate the party providing

. such, spinning reserve capacity for the other party.

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.. Section 3.6 - Regulation of Interconnections: The partios<

l heeto agree that it is the responsibility of each party to operate its power supply facilities so as to supply its own ,

system load, except as may otherwise be provided for herein or as mutually agreed, and to hold deviations from scheduled deliveries to a minimum. To this end, each party shall provide

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and operate load control equipment in accordance with good

~ modern practice so as to avoid making unscheduled demands upon. the other party's system.

Sectdon 3.7 - Right of Refusal, Curtailment, Restriction or Discontinuance: Each party shall cooperate in furnishin'g to the other through the interconnections, to the extent operationally and economically feasible, such quantities of

! power and energy as the other party may from time to time request when the same can be furnished under mutually agree-t I able terms, provided, however, that e.xcept as specifically r provided in Transaction 1 to Service Schedule A 'or as may be mutually agreed to by the parties from time to time, nothing in this- Contract or any App.adix or Service Schedule -

now or hereafter attached ' hereto shall create. an obligation upon or a commitment by either party to agree to provide any l

( service hereunder. Transaction 1 to Service Schedule A is hereby committed to by both parties and it is agreed that it creates an obligation upon both" parties, in accordance with its ,

terms, through May 31, 1991. Either party prior to beginning er committing to the delivery of power, energy, or sehice under any Service Schedule hereunder, except as provided in O

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Trancaction 1 to Servico Schedule A, shall have the right' to refuse to deliver such power, energy, or service if in its sole judgement such power, energy, or service is not avail-able or if the parties are unable to reach agreement on rates, terms, and conditions satisfactory to the supplying party Having begun or committed to the delivery of power and energy hereunder, the supplying party may curtail, restrict, or ~ discontinue such delivery, except with res'p ect 'to Firm Power Service, whenever, in such party's sole judgment, the

refusal, curtailment, res triction , c_ disocntinuance shall ,

] be necessary or desirable in the operations of such party's other business or affairs . .

2 With respect to' all services provided hereunder except i Firm Power Service nothing herein shall require the deliver- -

f i ing party to continue to provide service under any Service

Schedule should such party be in a positien of having
to curtail its native. load obligations. With respect to i

i Firm Power Service, such service shall be considered only as

( firm as the top ten percent increment of the Seller's firm native load (non-interruptable) .so that such service shall be interrupted when Seller is interrupting the initial ten

. percent of its firm native load.

Subject to the Coordinating Ccamittee's further deter-mination, for service other than Firm Power Service, notice of each request, accep tance , refusal, curtailment, restric-tion, or discontinuance shall be given as far in advance as possible and may be made by telephone by the dispatchers of the parties except .as otherwise provided by the Ccordinating 9

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Committee. Requests 'for Firm Pcwer Service other than

. . . those identified in Transaction 1 under Service Schedule A, shall be made in writing at least one year in advance of the earliest date such service is desired under a particular request and notice of acceptance or refusal of such request

. will be given as soon thereafter as practical. I': is i understood that no provision of this Contract requires t

, either par .y to install any facilities in order to provide any serv:.ce under this Contract for the other party. .

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  • ARTICLE IV .

. SERVICE SCHEDULES . .

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Section 4.1 - Service Schedules : The power, energy, and service I to be supplied hereunder, the terms and conditions of such l supply, and settlement therefore shall be in accordance i

l with arrangements agreed upon from time to time between the

! parties . Such arrangements shall be made in the form of 1

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( Service Schedules cr attachments to the Service Schedules.

i The original Service Schedules under this Contract, l attached hereto and made a part hereof, consist of the I following:

Service Schedule . A - Firm Power Service l Service Schedule 3 - Emergency Energy Service Service Schedule C - Short-term Non-firm Pcwer Service Service Schedule D - Econcay Energy Service l Service Schedule 3 - Transmission Service 4- -a-. _

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- These Service Schedules may from ti=a to time by mutual consent of the parties be revised or modified, or additional Service Schedules may be added. Also Serrice Schedules may L be modified at any time in accordance with Section 9.2 of this Contract or may be cancelled upon three years ' written notice.

Except as specifically provided in Transaction 1 under Service Schedule A or as may be otherwise mutually agreed to by tihe parties in the future, neither party shall have the obligation te cc =it to furnish any service under .

any Service Schedule when to do so, in the sole judgment of the party requested to furnish such service, would place an operational or economic burden on said party.

4 j Section 4.2 - Inadvertent Enerev: Inadvertent energy is that energy which may be exchanged between the systems of the parties hereto in excess of the scheduled delivery as a

- result of inherent limitations in the equipment used to f

r. controT. the flow of power between the systems or limitations l ( ~ -

l in the operation of such equipment. Inadvertent energy shall be returned in kind e.t times mutually agreed upon (when value of energy to the party to which such energy is

. -returned is substantially equal to the cost of the corre-

.' spending energy originally delivered) , or in a manner prescribed by the coordinating Committee.

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ARTICLE V -

NETERING PROVISIO:!S Section 5.1 - Meterine : The metering equipment and facilities required for area load control operation necessary to permit determination of the amounts of electric power and energy transmi*ted over the interconnecticns described in Appendix I hereto shall be installed and maintained in good working order.

Meters shall be located as described in Appendix I and, if appropriate, facility use charges and loss correction ,

\_ ' factors shall be specified.

i The metering equipment shall provide : ..

a) Gross kilcwatthours delivered by each party b) The kilowatt demand of each party at the

_ metering point as determined by one-hour i ~ interval meters .

c) The kilovar denand of each party at the metering point when such data is determined

(- to be necessary by the Coordinating Committee.

Each party will arrange to telerater the required information to its centrol of fice. The meters and associated equipment shall be tested and inspected periodically at intervals specified by the Coordinating Committee. The owning party shall give the other party at les:'t ten (10) days' notice in a =anner prescribed by the Coordinating

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Committee in crder that the oe.er party may, at its eption,

- be represented at the test. The owning party shall =ake additional tests and inspections of its meters upon request of the other party, provided that the requesting party shall pay the cost of making such additional tests if the meter is

$ found to be within 2% accuracy. If any test or inspection t

[ . ..shows any meter to be inaccurate by more than 2% , fast or

)- slow, an adjustment in billing between the parties shall be

! made during the following month, to adjust for the amounts i , , , by which the meters are shown to have been in error, for a

preceding period of not more than thirty (30) days.. In any

! event, any meter or other equipment found to be inaccurate l

j or defective shall promptly be repaired, adjusted, or

! replaced. The owning party shall promptly report to the i

l other party an adjustment, repeir, or replacement of any

! metering equipment. Should the meter fail to register at i

j any time, deliveries during the period of failure shall be i -

determined by mutually satisfactory means.

Section 5.2 - Meter Reading: For billing purposes , all -

meters shall be read on the last normal working day of each month (excluding weekends and holidays) or as near thereto as practicable. Ccpies of '.ecordings of kWh consumptions and maximtm kW and react.ive kVA demands which are determined to be required by the Coordinating Cocm2.ttee shall be assembled for billing and record purposes.

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Section 5. 3 - Energy Los ses : Unless otherwise provided herein or agreed by the parties , the energy losses , except those associated with the providing of Transmission Service under Service Schedule E, on the interconnecting facilities

, shall be assigned to the party in whose load control area the facilities are located according to procedures developed by the Coordinating Cc=mittee. ..

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ARTICLE VI ELECTRIC GENERATING C.22ACITY k *

ss Section 6.1 - Electric Generating Cacacity to be Provided:

l It is mutually agreed that Co=pany and City will determine their respective reserve requirements and adequately provide l , there for. To this end, each party agrees that it will at 1 -

l all times maintain capacity by means of purchases er owned

! net generation in operable condition equal to 115% of the I party's total net load at the time under censideration.

f f, Should the parties determine that the above reserve level is s.. -

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no longer appropriate, the puriies agree to negotiate and consider the attairmant of the revised reserve requirement needed for reliability, provided nothing herein contained l

l shall require either party to remain interconnected to the other party should it i _ ermine that the reserve being maintained or planned to be maintained by that other party is inadequate for safe and reliable interconnected systen cperation and is inconsistent with good modern utility practices of the Regional l .

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. Reliability Councils in the area.

Section 6. 2 - Ne t Load and Net Capacity: " Net load" is defined as the lead for which the party must supply reserves.

Thus, the party's net load is equal to the maximum 60 minute integrated power requirement of the party's retail sales, and of any sales to other parties made with reserves, but less any power purchased frem others with reserves.

" Net capacity" shall include capacity available to the l party by ownership interest or by contract, on or off the

party's system, less capacity sold to other parties without reserves; provided that if capacity available to the party by ownership interest or by contract is not located on the party's system, reliable transmission arrangements must have j

been made to bring the pcwer to the party's system.

J Section 6. 3 - Rating of Capacity. The capacity of each i generating unit of each party shall be determined in accor-dance with the provisions of MAIN Guide No. 3 as the same I- may be amended from time to time.

ARTICLE VII BILLING AND PAT-IENT Section 7.1 - Facilities Use Charees: Facilities may be Provided by one party for use by the other party. In these cases charges may be established for the use of the facili-ties by the non-cwning party. Such charges are detailed in Appendix I. .

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., Section 7.2 - Presentation and Payment: Billing under this Contract shall be monthly and shall be on the following basis :

Type Service Billing Basis Power (kW) Based on amount reserved Energy (kWh) Based on amount scheduled Transmission (kW) Based on annual reservation Unless otherwise agreed upon, a calendar month shall be the

, standard monthly period for the purposes of settlements under this Contract. Billings for all services shall be accumulated and a single itamized bill for net amounts owed

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by one party (net receiving party) to the other party (net i supplying party) shall be submitted as promptly as possible after the first of each month and shall be due and payable on the fifteenth day (or the first work day af ter the fifteenth if the fif teenth is not a work day) of the month next following the monthly or other period to which such bills are applicable, or on the tenth day (or the first work day after the tenth if the tenth is not a work ' day) follow-(~~

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! .ing receipt of bill, whichever date is later. If any bill is .

not paid within that tine,'it shall become delinquent and shall bear interest from the date of bill to date of payment l at the rate specified by the Federal Energy Regulatory l Commission for refunds to wholesale customers as contained in FERC Regulation No. 35.19a, or its appropriate revision.

Except as otherwise provided in Section 7.3, should either

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, party over a period of three months fail to pay on a timely basis for service received, the party owed payment shall have the right to unilaterally terminate service under this Contract and open the intercennections until all such arrears, including interest, are paid in full.

Section 7.3 - Disputed Bill: In case any portien of any bill is in bona fide dispute, the undisputed arount shall be payable when due; and the remainder, if any, upon deter-mination of the correct acount, shall be paid promptly after A such determination, with interest due and accruing from and after the date such payment was due at the rate specified by the Federal Energy Regulatory Commission for refunds to i wholesale customers as contained in FERC Regulation 35.19a, or-its appropriate revision.

Section 7. 4 - Tax'es : Should any tax, federal, state or local, in addition to such taxes as may now exist, he levied upon the electric pcwer or energy or other service to be

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provided hereunder or upon the sale of said pcwer, energy or .

service or upon the seller ~ measured by the power, energy or service or the revenue therefrom, and such tax was not included in the selling party's determination of the rates therefor,

} such tax shall be added to the net bill as determined under the l ' appropriate rates and billing procedures.

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ARTICLE VIII FORCE MAJEURZ AND LIMITATICN OF LIA3ILITY Section 8.1 - Force Majeure : In case either party hereto should be delayed in or prevented frca performing or carrying out any of the agreements , covenants , or obligations made by and imposed upon said parties by this Contract, either in whole or in part, by reason of or through strike, stoppage in labor, failure of contractors or suppliers of =aterials (including fuel) , failure of equipment, transmission limitacions' beyond the party's control, environmental restrictions ,

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riot, fire , - ficod, ice , invasion , civil war, co= motion ,

. insurrection, military or usurped power, order of any court granted in any bona fide adverse legal proceedings , or action, order of any civil or military authority either de facto or de j ure, explosion, act of God or the public enemies ,

or any cause reasonably beyond its contrpl and not attributable to its neglect; then, and in such case or cases, such party C shall not be liable to the other party for or on account of .

any loss , damage , injury, or expense resulting frcm or arising out of such delay or prevention; provided, however, that the party suffering such delay or prevention shall use due and, in its j udgment, practicable diligence to remove the cause or causes thereof; and provided, further, that neither party shall be required by the foregoing provisions to add to or upgrade any facilities on its system, or to

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settle a strike excep,t when, according to its own bes t judgment, such a settlement seems advisable. It is under-stood that the provisiens of this Section 8.1 shall not j negate any cbligatiens impcsed upon the selling party by Section 3.7 except to the extent that the occurrence of such an event prevents such compliance.

Section 8.2 - Limitation of Liability: Neither party will in any case be liable for interruptions, deficiencies or imperfections in services agreed to under the terms and 5 conditions as set forth in this Centract, except to the extent of a pro rata reduction of the charges therefor where provided for in the Centract.

ARTICLE IX ,

_ MISCELLANEC"S

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Secticn 9.1 - Reculation: This Contract shall be subject to the regulations of the Federal Energy Regulatory Cc= mission.

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{". Section 9. 2 - Chances in Rates: Nothing contained herein , ,

shall be construed as af fecting in any way the right of the

, , party furnishing service under this rate schedule to unilaterally 1

make appiication to the Federal Energy Regulatory Commissica for a change in rates under Section 205 of the Federal l

Power Act and pursuant to the Commission's Rules and Regulations l .

l promulgated thereunder.

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  • A Section 9.3 - Support'of Centract: The parties will

, fully support this Contract,, or either party's reas~o nable exercise of any right set forth herein.

Section 9.4 - Waivers: Any waiver at any time by any party hereto of its rights with respect to the other party or with respect to any matter arising in ccnnection with this Contract s' hall not be considered a waiver with respect to any sub-sequent default or matter.

T Section 9.5 - Successors and Assions: This Contract shall inure to the benefit of and be binding upcn the parties hereto only, and their respective successors and assigns ,

and shall not be assignable by either party without the Written consent of the other party except to a successor in the operaticn of its properties by reason of a merger, consolidation, sale or foreclosure where substantially all such properties are acquired by such a successor.

(T' I Section 9. 6 - Other Intercennections : In order to maintain , ,

the reliabil$ty and integrity of the interconnected system, to provide for logical additions to the supply and transmission facilities and for equitable compensation thereof, and in consideration of the benefits to be obtained hereunder, it is agreed that City shall not modify or extend any existing

. contracts for power interchange with third parties or enter into other interchange contracts with third parties without cufficient prior written notice to and censultation with

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Compcny, and providad that (1) auch action will not at aEy time cause Ccepany or other intercennected utilities to

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4 experience unreliable interconnected system conditiens; (2) such action is technically feasible for both City and Company and the connection contemplated is electrically capable of providing the service contemplated; (3) City shall reimburse Company for all necessary costs incurred by Company due to s'uch action by City whether of a 'one-i time nature such as, but not limited to, modification of i

relay or metering equipment, or of a continuing nature such as, but not limited to, annual carrying charges related to ,

the installation of additional facilities and the i . creased use of Company 's transmission f acilities; and 44) City l . provides Company not less than three years ' written notice

-of any action under such contract if such action may cause 4

Company to significantly modify its present or future generation or transmission requirements. Prior to City entering into new or modifying or extending existing contracts providing for interconnectica with third parties , written procedures -

shall be established af ter censultatien with Company that will seek to minimize the burden upon Co=pany' consistent l

I with good engineering practice covering operation under l

l conditions as may be contemplated thereby. City shall assume full responsibility for billing de= ands created under any of the operations centemplated in this section. Thi$i l

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-~ provision dces not apply to any agreements for sales of power to present or future direct customers of City.

Section 9.7 - Nctices : Unless othec'ise directed by the Coordinating Cc=mittee for operating matters or for service as provided for in the Service Schedules, any notice, demand or request required or authorized by this contract shall be deemed properly made, given to, or served on the party to whom, it is directed when sent by United States Mail addressed as follows: .

Charles J. Dougherty Union Flectric Ccmpany -

P. O. Box 149 St. Louis, Missouri 63166 f

- City Manager ~

City of Columbia P . O. Box N l

Columbia, Missouri 65205 Notice of change in any of the above addresses shall be given in the manner specified above.

h, Section 9. 8 - Nature of City's Cbligations : The obligations l of City under this Contract shall be conditional obligations to be payable out of the revenues of the Wate'r and Light

Department cnly when earned by or due Company in accordance l

l with the provisions of this Contract and shall not be con-1

, strued to be general obligations of City .or a debt of City within the meaning of the Constitution and Law of the State of Missouri and the Charter of the City of Columbia.

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Section 9.9 - Parties In Interest: The 'g' hereto

- shall be the only parties in interest to this Centract.

This Contract is not intended to and shall not create rights of any character whatsoever in favor of any person, corporation, association, entity or power supplier, other than the parties hereto, and the obligatiens herein assumed by the parties ,

hereto -are solely for the use and benefit of said parties.

Nothing herein contained shall be construed as permitting or vesting, or attempting to permit or vest, in any person, .

[a corporation, association, entity or power supplier, other than the parties hereto, any rights hereunder or in.any of the electric facilities coned by said parties or the use thereof.

Section 9.10 - Iffect en other Agreements: This Contract shall cancel and supersede all prior agreements between the parties regarding the interconnection of the parties ' systems ,

whether written or oral.

t Section 9.11 - Indemnification : Each of the parties hereto shall indemnify and save harmless the other party, its officers, agents and employees from and against any and all claims for injury or damge to persons or preperty including expenses and costs in connection therewith caused by or resulting frca the construction, installation, operation or maintenance of the f acilities of the indemnifying party, e

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by roasen of the ccts or negligence of its agents or c::ployces in connection therewith or by reason of the acts or negligence

. of its agents or empicyees while said agents or employees are on the said other party's property.

Section 9.12, - Delive rv : All electric energy delivered

under this Contract shall be the character cc:=only known as 3 phase, 60 Hertz energy and shall be delivered at the

' nominal voltages and points of ' interconnection as set out i*

in the attached Appendix I.

l IN WITNESS WHEREOF, the parties hereto have caused this Contract to be executed by their duly authorized officers ,

and copies delivered to each party at the tira of its execution.

UNION ELE 4RIC COS'ANY

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._ By j j. n K Executive V1'ce President ATTEST:

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- CITY OF COLU>BIA l

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APPROVED AS TO FORM:

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. APPEIDIX I INTERCONiiEC~IC:I C0!!T2.ACT BETJEE t UNION ELECTRIC CO GA'iY ,

AND CITY OF COLUI:BIA, MISSOURI

. POINTS OF I!iTERCO!!!ECTICI By virtue of attachments to this Appendix I, the City of Colurbia, Missouri (City) and Union Electric Company (Company) shall specify the points of interconnection. Each attachment shall include , but not be limited to, such infor-mation regarding the interconnection as : delivery voltage, metering voltage , metering correction f acters if applicable ,

facilities provided by City and by Company, projected in-f

-service date for future facilities, facility payments if

', any, term, termination provisions and other conditions relating to the point of delivery or connection. Attach-I ments also may be utilized to provide for other special

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arrangements between the parties involving use of facil- . -

ities.

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,' INTERCONNECT!C'T NO. 1 - OVERTCN Point of Interconnectien : The point where City's 161 kV Overton line connects to the strul::ture at Cc=pany's Overton Substation near Overton, Missouri.

Facilities Provided by Cccoany : Company will continue to make available , operate , and maintain the 161 kV feeder position including circuit breaker and protective equipment at overten Substation for terminating City's transmission

_ line. Company will continue to own, operate , and maintain the metering and load control telemetering equipment necessary for this interconnection at the Overten Substation.

Facilities Provided by City: City will continue to own, operate , and maintain the 161 kV transmission line frca

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4 its system to Cc=pany's Overton Substation.

Facilities Use Charge: For the reservation of the use of the 161 kV feeder positicn at the Overton Substation, l .

provided by Company, City shall pay a facilities use charge ,

- of $19,755.00 per year, such payment to be made in 12 equal installments of $1,64 6.25 per month. This payment is based on an annual fixed capital investment, maintenance , and operating charge of 15't of an investment of $131,700.00.

Term: This Interconnection No. 1 and the associated facilities use charge is applicable and has been in effect I-1-1 e

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, since May 27, 1969, prior to the signing of the Contract of i .- which this Interconnectica No. 1 is a part, and will continue until Interconnection No. 1 is terminated by either party by written notice of termination three years in advance of the termination date set forth in such notice.

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Condition: It is recogni=ed that the continued exis-i tence of this Interconnection No.1 is contingent upon adequate support of the 161 kV transmission system. Lack of an adequate transmission system as determined by Company in accordance with geod, modern engineering practice, will-negate the need for three years written notice for terminaticn I

of this Interconnection No. 1; but in no case shall less than one year's notice of termination of this Interconnection No. 1 be given .

Termination Provision : Should this Interconnection No.1 be terminated prior to complete amortization of facilities

( provided by Core any for City's use, or should future require-

, ments require early removal of some or all of the facilities while not terminating this Interconnection No. 1, City shall pay Company a termination charge to cover the unamortized portion of Company's investment. The termination charge will be equal to the original investment in facilities used by C1'ty less net salvage value (salvage minus removal cost) i less 3% per annum for each year of use of the facilities by City. If Company asserts a right to a termination charge, l City may, at its election, purchase the facilities no longer I-1-2

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utilized for this interconnection by paying, in addition to the charge set forth above , the net skivage value .of said equipment; provided, hcwever, that should City so elect to purchase said facilities, City shall bear all costs associated with Company's removal of those facilities and

. the restoration of the balance .of Ccmpany's facilities at that location so as to permit normal system operation.

Termination of the Contract shall be deemed termination of this Interconnection'No. 1, and the terminaticn payment

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shall be due and payable as of the termination date s e

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INTERCO!!!!ECTICI! !!O. 2 - E"'GEG.Y K Point of Interconnection : The point at which the 161 Rd. line from City's Bolstad Substatica connects to the 161 kV facilities of Company at ecmpany's structure 674 in Company's Guthrie-Overton 161 kV transmissicn line near Highway K near Columbia, Missouri.

Facilities Provided by Company : Company will construct, j own, operate, and maintain tapping structure 674 in its j 73 Guthrie-Overton 161 kV line for tapping by the 161 kV line from City's Bolstad Substation, as well as the 161 kV f ,

l circuit breaker and associated protective and control equipment j in the Guthrie-Overton 161 kV transmissica line at Company's i

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  • Overton Substation. .

Facilities Provided by City: City will construct, own, l operate and maintain,. or through arrange =ents with others cause 4

l to be constructed, operated and maintained the 161 kV line i I i /(TS.

from Company's tapping structure 674 to McBaine Substation, the 161 kV circuit breaker in the line at McBaine substation I - between structure 674 and the McBaine transformation, all

' associated protective, control, synchronizing,' recording, J

161 kV metering, and area control telemetering equipment and the 161 kV line between McBaine and Bolstad Substations.

The 161 kV circuit breaker in the line at McBaine Substation shall be connected electrically closer to structure 674 than any McBaine Substation load connectica or any future l

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connection to the structure 674-McBaine Substation 161 kV line.

This Interconnection No. 2 has been in effect Term:

since September 15, 1976, prior to the' signing of the Contract of which this Intercennection No. 2 is a part .and will continue i until Interconnection No. 2 is terminated by either party by writte.n notice of termination three years in advance of the termination date set forth in such notice.

i Condition: It is recognized that the continued exis-i

! tence of this Interconnection No. 2 is contingent upon 4

adequate support of the 161 kV transmission system. Lack of an adequate transmission system, as dete=:ined by Company in

accordance with good modern engineering practice , will 4

l negate the need for three years ' written notice for termi-P

! nation of this Intercennection No. 2; but in no case shall

'less than one year's notice of termination of this Inter-

] connection No. 2 be given.

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'( Termination Provisions: Should this Interconnection

. No. 2 be terminated prior to complete amortization of facilities provided by Company for City's use, or should l future . equirements require early removal of some or all of l

the facilities while not terminating this Interconnection No. 2, City shall pay Company a termination charge to cover

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the unamortized portion of Company's investment. The terminatien charge will be equal to the original investment I-2-2 m

  • in facilities used by City less net salvage ;alue (s alvage minus removal cost) less 3% per annum for each year of use l

of the facilities by City. If Ccmpany asserts a right to i a termination charge, City may, at its election, purchase the facilities no longer utilized for this interconnection by paying, in addition to the charges set forth above, the net salvage value of said equipment; provided, however, that should City so elect to purchase said facilities, City shall bear all costs associated with Company's removal of those facilities and the restoration of the balance of Company 's -

facilities at the 4 location so as to permit normal system operation. Termination of the Contract shall be deemed termination of this Intercennection No. 2, and the termi-

. nation payment shall be due and payable as of the termination date.

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SERVICE SCEEDULE A t

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FIRM POWER SERVICE This Service Schedule A is agreed to be effective under, and a part of, the Interconnection Contract effective September 1,1979 between Union Electric Company (Company) and the City of Columbia, Missouri (City) , hereinaf ter referred to as the " Contract". .

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Section Al - Term: The term of this Service Schedule A shall be concurrent with and identical to the teen stipulated -

in Section 1.1 of the Contract except for modification and cancellation provisions as defined in the Contract.

Section A2 - Firm Power Service: Firm Power Service as used herein shall mean electric power and the associated energy one party purchases from the other party for ,the purpose of obtaining, in advance, a supply of power, includ-ing reserves therefor, and associated energy intended,

{ subject to the terms and conditiens of the Contract, to

made available at all times during the period covered by the transaction.

Section A3 - Payment for Firm Pcwer: The rate, term and other conditions for Firm Pcwer Service shall be nego-tiated by the parties for each transaction and attached

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hereto as part of Service Schedule A; provided, however',

that Firm Power Service shall generally be scheduled for

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periods of at least one year. Nothing herein, cther than

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as provided in Section 3.7 of the Contract, shall be inter-preted as placing an affirmative duty en either party to supply Firm Pcwer Service absent the negotiation of rates, terms and conditions satisfactory to the supplying party.

Section A4 - Motice: Requests for Firm Power Service 6

sliall be made in writing at least one year in advance of the earliest date such service is desired under a particular

, request. Notice of acceptance or refusal of such request e_, will be given as soon thereafter as practical.

Section AS - Chances in Rates: Nothing contained herein

[

shall be construed as af facting in any way the right of the party furnishing service under this rate schedule to unilat-erally make application to the Federal Energy Regulatory dommission for a change in rates under Section 205 of- the Federal Power Act and pursuant to the Commission's Rules. and l .

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Regulations prcmulgated thereunder.

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SERVICC SCHEDULE A .

TRANSACTICN 1 This Transacticn 1, made and entered into this 18th day of september ,1979 by and between Union Electric Company (Company) and the City of Columbia (City) under the provisions of Service Schedule A, Firm Pcwer Service, 4

to the Intercennection Contract Between Union Electric Company and City of Columbia, Missouri, effective

l. September 1,1979 (Con tract) .

TERM: The term of this Transaction 1 shall be from

.9eptember 1,1979 to and including May 31, 1991.

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SERVICE TO BE PROVIDED : Firm Power Service shall be pro-i Vided under the provisions of and subject to the terms and 7

conditions, except as herein modified, of the Contract and

-n Service Schedule A thereto.

,P OBLIGATIONS OF PARTIES :

a. Between September 1,1979 and May 31, 1984, both H

dates inclusive, Company agrees to supply and City agrees to take and pay for Firm Pcwer Service in accordance with the l following schedule:

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Supply Period Contracted Amocnt (57)

September 1,1979 through May 31, 1980 45 June 1,19 90 through May 31, 1981 45 June 1, 1981 through May 31, 1982 25 -

June 1,1982 through May 31, 1983 25 June 1,1983 through May 31, 1994 25 Between June 1, 1984 and'May 31, 1991, ccmpany shall',

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'b.

upon being given written notice by City at least five (5) years prior to the commencement of the 12-month supply period for -

0( which service is being requested, supply up to 50 MW of Firm, Power Service to City; provided, however, that for se'rvice for the 12-month period beginning June 1, 1984, notice given on or before January 1,1980 shall be deemed to be timely.

When such notice is given, there shall be created a mutually binding obligation for Company to supply and City to take and pay for the amount of service so requested (Contracted

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Amount) .

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c. City shall have the right, exercisable up to one year prior to the ccamencement of service for any particular 1

j 12-month period under this Transaction 1, to make a one-time modification of the Contracted Amount of Firm Power Service

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previously requested of up to - 5 MW so long as such Con-i tracted Amount as modified does not exceed 50 MN.

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d. At the end of the term set forth in this Trans-action 1, namely May 31, 1991, Company and City mutually agree that Cc=pany will have no further obligation to supply I

Firm Power Service.

PAYME'iT FOR SERVICE: The rate initially to be charged for sales under this Transaction 1 shall be:

! De' mand Charge - S54.00 per kW of billing demand per year, to be billed at $4.50

- per kW-month for 12 consecutive

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months during each supply period.

Billing demand shall be the . Con-tracted Amount centracted for delivery during the supply period.

Energy Charge - Company 's average steam production cos t plus 6. 5% . Such average steam production ecst shall include expenses in accounts 500 through h, 514 in the FERC Uniform System of

. Accoun ts , effective April 1, 1973, or their equivalent.

. CHANGES IN RATES : Nothing contained herein shall be con-1

. strued as affecting in any way the right of the party fur-

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. nishing service under this rate schedule to unilaterally make application to the Federal Energy Regulatory Commission for a change in rates under Section 205 of the Federal Power-Act and pursuant to the Cc= mission's Rules and Regulations promulgated thereunder. ..

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IN WIT ESS WHEREOF, the parties hereto have caused this

. Transaction 1 to be executed by their duly authorized officers ,

and copies delivered to each party at the' tin.e of its execution.

UNION ELECTRIC CCMPANY 4 ~ JJa By i . Executive Vfpd Pres:.E cc

! ATTEST:

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wa t. Secre tary 's CITY OF COLUMBIA ,

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By /4e4 ek f,<~~./2 / !

i City Manager /

A{EST:

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'I City C15rA APPROVED AS TO FORM:

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City Cogselor .

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t** SERVICE SCHEDULE B -

4 EMERGENCY 1.NERGY SERECE This Service Schedule 3 :Os agreed to be effective under, and a part of, Che Interconnectica Centract effective September 1,1979, between Union Electric Company (Company) and the City of Columbia, Missouri (City) , hereinaf ter referred to as the "Centract".

Section B1 - Term: The term of this Service Schedule 'B shall be concurrent with and identical to the term stipulated in Section 1.1 of the ' Contract except for codification and cancellation provisions as defined in the Contract. .

Section B2 - Emercency Enercy Service: E=ergency i Energy Service, for the purpose of this Service Schedule B, i shall mean electric power and energy supplied by one party

-(Seller) to the other party (Buyer) under emergency conditions during which such other party is temporarily unable to

, obtain its required power and energy frca normally available

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sources,. '

l- When either party, in an emergency, shall request l

l Emergency Energy Service which the other is in a position to furnish, the Seller shall furnish the requested Emergency

Energy Service from all available sources as needed to the extent that, in the judgment of the Seller, the generation

. 2 or purchase and the delivery of such power and energy will l not jeopardi=e service in the system of the Seller.

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Neither party shall be cbligated to supply Emergency l Energy Service for a period in excess of 49 consecutive hours during any single emergency.

Company's obligation to furnish Emergency Service here-under shall be subject to its other contractual commitments as exist at the time such service is requested.

Section 33 - Payment for Emergency Enercy Service: ,

Emergency Energy Service received by either party shall be paid for by the Buyer at the following rate:

C.,C A charge equal to the greater of 3 cents per

. kWh or incremental costs plus 10%. Incremental costs shall be based en the costs of fuel, labor,

. maintenance and operating supplies (including ,

' start-up costs, if any) , purchased energy, and losses in transmission and transformation associated with the supply of the Emergency

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Energy Service.

q l Section B4 - Changes in Rates: Nothing contained herein -

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shall be construed as affecting in any way the right of the party furnishing service under this rate schedule to unilat-ez. ally make application to the Federal Energy Regulatory

. Commission for a change in rates under Section 205 of the Federal Power Act and pursuant to the Commission's Rule,s and Regulations promulgated thereunder.

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SERVICE SCHEDULE C

  • SHORT-TER't NON-FIP31 PCWER SERVICE This Service Schedule C is agreed to be effective under, and a part of, the .Intercennection Centract effective

! September 1,1979, between Union Electric Ccmpany and the City of Columbia, Missouri hereinaf ter referred to as the

Contract. -

Section C1 - Term: The term of this Service Schedule C

' shall be concurrent with and identical to the term stipulated b

in Section 1.1 of the Centract, except for modification or f cancellatien provisions as defined in the Contract.

Section C2 - Short-tern Non-firm Pcwer: Short- te rm l

Non-firm Pcwer is pcwer and associated' energy which one party may make available to another for a specified period, not to exceed a twelve-month duration at any time, which

. can be depended upon with the same degree of assurance as

( that expected from the purchaser's cwn capacity. The party asked to supply Short-term Non-firm Power shall determine I the amounts and period that it has power and energy availa-l ble that may be reserved by the other party as Short-term l

l Non-firm Pcwer. ,

Any ackncwledgement of a written request, or any l

curtailment, restriction or discontinuance that may be given l

f orally initially, shall be confirmed in writing, and such l .

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, confirmation shall be forwarded not later than the fif th day following the day such oral acknowledgement, curtailment, restriction or discentinuance was gi'ren.

During the period that Short-term Non-firm Power has been reserved, the party which has agreed to supply such

} power shall deliver energy to the other party in amounts up l to the number of kilowatts reserved. However, in the even t conditions arise during such period which were not reasonably foreseen by the supplying party at the time said power was reserved, and such conditions would, upon the determination of the supplying party made in accordance with good, modern-engineering practice, cause the delivery of Short-term Non-firm Power to be burdensene to the supplying party, said supplying parej has the right to notif'g and require the receiving party to reduce its take of such energy to any amount specified and for any portion of such period. The party so requested shall promptly ccmply with the decision C, oflthe supplying party.

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l Section C3 - Pavment for Short-term Non-firm Pouer:

The rates and charges for Short-term Non-firm Pcwer shall be: -

a) A reservation charge of 14 cents per day or 70 cents per wee < per kilcwatc for the power reserved. Should unforeseen events force a -

curtailment of power by the supplier on any C-2 e

. day for any part of that day, the reservation

. charge per week shall be reduced by 14 cents per ,

day for each kilcwatt so' curtailed, but in no

. case shall there be more than a 70 cent re-duction per kilcwatt of curtailment in any one week, and b) An energy charge per kilevatthour delivered, equivalent to the supplying party's incremental .

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cost plus 10% of such cost. Incremental costs shall be based en the cost of fuel, labor, .

niainte nance and operating supplies (including start-up costs , if any) , purchased energy, and losses in transmission and transformation asso-ciated with the supply of tne Short-term Non-firm Power Service.

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Section C4 - Chances in Rates: Nothing contained herein shall be construed as af fecting in any way the right of the party furnishing service under this rate schedule to unilat-erally ma'a application to the Federal Energy Regulatory Commission for a change in rates under Section 205 of the Federal Power Act and pursuant to the Com=ission's Rules and Regulations promulgated thereunder.

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SERVICE SCHEDULE D ECONOMY E!ERGY SERVICE s-This Service Schedule' D is agreed to' be ef fective under, and a part of, the Interconnection Contract ef fective September 1, 1979, between Union Electric Company and the City of Columbia, Missouri, hereinaf ter referred to as the ,

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! " Contract".

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Eection D1 - Ters: The term of this Service Schedule D shall be concurrent with and identical to the term stipulated

(( in Section 1.1 of the Contract except for modification or

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cancellation provisions as defined in the Contract.

Section D2 - Econcmy Energy Service: Econcmy Energy 4

Service is energy available to the delivering party from its i

system or from sources outside of its system and used to replace more expensive energy in the receiving party's i

system. It is understood and agreed that a party is entitled i

- to purchase Ecenemy Energy only to the extent that such party has alternate capacity sufficient to meet its requirements as set forth in Section 6.'1 of the Centract that could other-wise be used.

Section'D3 - Payment for Economy Enerry: The cost of l .

Economy Energy hereunder shall mean the incremental expense that the supplying party would incur in supplying Economy i

Energy, and shall consist of the supplying party's incremental expense of generating the energy, including any start-up D-1 ..

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cost, or cost of obtaining it frem another source, including-an adjustment to reflect the incremental in' crease in the cost of transmission losses on the supplying' system attributable to the transaction. Similarly, the value of Econcmy Energy here-under shall mean the incremental expense which the receiving party would incur if the Economy Energy were not to be received, t and shall consist of the receiving party's incremental expense of generating the energy, including start-up cost saved by .

use of Economy Energy received and an adjustment to reflect

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the incremental increase in the cost of transmission losses on the receiving system attributable to the transaction. .

The price of Econony Energy shall be computed so as to divide equally between the supplier and the purchaser, the prospective net benefit to be realized from the transaction.

Section D4 - Chances in Rates: Nothing contained herein shall be construed as affecting in any way the right of the party furnishing service under this rate schedule to unilat-([ erally make application to the Federal Energy Regulatory l Commission for a change in rates under Section 205 of the l Federal Pcwer Act and pursuant to the Comrd.ssion's Rules t

e and Regulations promulgated thereunder.

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SERVICE SCHEDUI.E F.

TRANSMISSICN SERVICE This Service Schedule E is ' agreed to be effective under, and a part of, the Interconnection Contract effective September 1,1979, between Union Electric Company (Company)

, and the City .of Colu=bia, Missouri (City) hereinaf ter referred to as the "Centract" .

Section E Purcese -

( h.1 The purpose of this Service Schedule E is to provide for Transmission Service and compensation therefor if the parties agree to the use of the transmissien f acilities of Company *=y City to deliver power and asscciated energy to City from the j system of a third party which is intercennected with Company.

This Service Schedule and specific transactions hereunder shall not constitute a dedication of any facilities to co==cn carrier status by Ccmpany.

C Section E Tern . .

2.1 The term of this Service Schedule E shall be concur-l rent with and identical to the term stipulated in Section 1.1 of the Contract, except for modification and cancellatica pro-visions as defined in the Contract.

Section E Cblications 3.1 This Service Schedule provides for the use of the i

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transmission system of Company for transmitting power and

. associated energy to or frcs the system of City for specific transactions consistent with the tems and conditions of this Service Schedule and the rates, tems, and conditions negotiated for each transactien. City shall keep Company fully info med, as far in advance as practically possible,

.' of its anticipated requirements for such.Transmicsion Service hereunder and shall in all events cive Cc=pany written notice of such requirements not later than November

._ ; 1 of any year for each' annual reservation which shall begin on June 1 of the follcwing year. Such notice shall include details of the location of Co=pany's interconnection with

! . the third party which will be the proposed origin or destina-tion of such Transmission S rvice, and the preposed quantities l of power and associated energy, including proposed delivery schedules, for the specific transaction for which Transmission Service is being requested. City shall also provide such m- l C' other infor=ation requested by Ccmpany to enable Company to determine its ability to provide the requested Transmissien -

Service in accordance with the ter=s, ccnditions and standards of this Service Schedule.

3.2 In the event load ficw studies or analyses , or j other engineering studies or analyses, are reasonably required i by Company for it to determine the availability of facilities l

within the standards provided herein, Ccmpany shall within E-2 4

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thirty (301 days af ter receipt of notice frem City give

[ written notice to City of such need for studies or analyses and the estimated cost thereof. If City thereaf ter elects to proceed, it shall within fif teen (15) days after the date of company's notice so advise Company in writing and at that time pay to Company such costs , in which case a ecpy of the study or analyses when ccepleted will be cade available to City for its further planning. If City does not elect to so proceed or does not g,ive timely notice of its intent to

' l'roceed, then Ccmpany shall treat such election or failure to timely notify Ccapany as a withdrawal of the regt$est for such service.

3.3 Upon determining, in accordance with the standards provided herein, the availability or non-availability, in whola_.,

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or in part, of the requested Transmission Service, Compan'y shall so notify City in writing of its determination. To the extent Company determines it can provide such Transmission Service A,

in whole or in part, such notice shall include the rates (or , ,

the basis thereof), terms , and conditions under whica Company is willing to provide such service. Frca the date Company notifies City that Company is able to provide all or any part of the requested Transmission Service , City shall have 15 days ,

unless some lesser period is specified by Company, to notify Company in writing of its intention to enter into a wr5.tten contract for such. service; provided, the giving of such notice by City shall not restrict City's right to seek modification E-3

of the rates , terms , and conditions offered by Company prior to the execution of a written centract as set forth in Section 3.4. In the event Company does not receive timely written notification from City, Company shall treat such lack of notice as a withdrawal of the request for service.

3.4 Should City notify Cc=pany of its intent to enter

.into a written contract for-such Transmission. Service, the Parties shall meet to agree on the rates (or the basis thereof) ,

tern:s, and conditions under which such service shall be rendered.

2 Nothing herein shall be interpreted as placing an affirmative duty on Company to supply Transmission Service absent the negotiation of rates , ter=s , and conditions satisfactory to Company. Should such a written contract covering such Trans-mission Service not be censummated by City and Company within 5 ~45 days of the date City notifies Company of its intention to enter into a written contract for such service as provided in Section 3.3, Company may contract for any other interchange I -

transaction with a third party even if such contracting would,

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from. a system standpoint as determined by Ccapany, preclude

! the possibility of Company providing the requested Transmission i

i Service to City, and in such instance Company shall notify City of any change in its ability to provide Transmission Service as earlier offered. Further, if at any time prior to the execution of a written contract, conditions change. such that they are not in accord with Section E-4 such that the

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, service cannot be provided, then notification between City and

.- . Company under Section 3. 3 will be null and void.

3.5' Nothing contained herein'shall be interpreted as placing an affirmative duty on Company to supply Transmission Service absent the negotiation of rates, terms , and conditions satisfactory to Company, including the determination by Company l that adequate transmission capacity is available without the construction of new facilities or modification or replacement of existing facilities or operation of the facilities of .

Company in a manner unacceptable to or burdensome to Company.

Section E Sucply and Scheduline of Transmission Service

4. 1 Company will furnish Transmissica Service to the system of City in accordance with this Service Schedule provided such service can be furnished under sound engineering and opera-ting practices and subject to the following standards :
a. Such service will neither impair the ability of Company to render adecuate service to its custom-f ers nor impair or reduce the reliability of electric service by Company to its customers or

, the reliability of the interconnected system below standards consistent with these established by, or considered reasonable by, other utilities in the Regional Reliability Councils in the area.

b. Such service will not endanger, i= pair or create unsafe conditions en the interconnected system or E-5 a P .

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.- on any of the facilities of Company, er its cusro-5

., mers, or parties with .which it is either directly or indirectly cennected.

c. Such service shall not require Company to construct or install any new facilities; nor modify or replace any existing f acilities; or operate the facilities of Company 'in a manner ~ unacceptable to or burden-some to Company..
d. The purchase of power and associated energy by City j from a third party, for which Transmission Service is being provided by Company, shall not violate or-

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l be inconsistent with and shall not cause Company to violate, directly or indirectly, or become a j -

party to violation of any applicable statute , order,

. . ordinance , governmental or agency rule, regulation, or other applicable federal, state or local law; 4

l and without limiting the scope of the foregoing,

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the purchase and receipt of the power and associated -

l energy by City from the third party over facilities of Company must in all events be lawful, duly authorized, and approved or accepted for filing by all regulatory agencies , if any, which then have

. jurisdiction over such transaction, and the Trans-i mission Service shall not cause Company to be dis-

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, criminatory or preferential in any service, rate or charge to any customers of Company within the

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meaning of any applicable law.

e. In the event, under an agreed to transaction, the source of generation for the supply of power and associated energy to the City is unable for any j reason to supply power and associated energy for transmission by Company, Company shall have no responsibility under this Service Schedule to deliver power and associated energy from any

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I other source. - -

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f. The determination of the availability of existing 4

transmission capacity of Company during the pro-posed scheduled period shall be made on the basis

' of existing load, future contracted or projected i

new load beyond nornal load growth, pending recuests l

l from others for Transmission Service', previously lC scheduled transactions (both hereunder and otherwise) , -

projected or anticipated transactions of power and energy on the interconnected system, and normal load grcwth of Company and other connected utilities ,

all as available to Company frca credible sources or as estimated by Company on the basis of its .

customary engineering planning practice.

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. g. City and the third party shall be responsible for maintaining adequate voltage and reactive supporr for the power and energy scheduled over Company's transmission so as not to impose any reactive requirements on Company.

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4.2 In order for Company to perform maintenance 'on its t

, facilities, maintain reliability, and meet the requirements of its system and customers, the transmission of all power j and associated energy under this Service Schedule shall be scheduled by City with Company on or before Friday o'f each f week. Such schedule shall set forth the estimated hourly use I of Transmission Service during the following week. The schedule may be changed by City at any time on reasonable advance notice

, to Company. n Company has the right to determine when mai~te-nance shall be conducted on its system and has no obligation to delay maintenance , which in Company 's judgment is necessary, I (j to maintain continuity of delivery of power and associated energy to City; provided, however, that Company shall, in good l faith, seek to coordinate any such maintenance with City so as to maximize continuity of service.

Section E Payment for Transmission Service i

5.1 The rate, tern, and other conditions for Transmission I -

Service transactions shall be negotiated by the parties for each 12-month transaction in accord with Section 3. 4', and attached

hereto as part of Service Schedule E.

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,.,~ 5.2 Anything to the contrary in the Contract or this

, Service Schedule notwithstanding, it is agreed that Ccmpany is not obligated to interrupt its firm custc=ers or adversely affect custcmer service in order to maintain a scheduled Transmission Service. Co=pany r.ay curtail or interrupt, in whole or in part, any Transnission Service provided hereunder upon ten (10) minutes notice (given by telephone or any other manner to the City Systen Operator or other appropriate indi'vidual) if conditions ,' as deterrd.ned by Company , are such that the Transmissica Service adversely affects , beyond .

C accepted standards, the loading en facilities or if Company determines that any of the standards in Section 4.1 are not or will not be met, and may in all events interrupt any Traas -

- mission Service instantaneously and without notice if Company deems it necessary to protect system reliability. All contracts by City for purchase of pcwer and associated energy involving Transmissicn Service by Ccmpany hereunder shall be subject to

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, all of the conditions of this Service. Schedule' and City hereby I explicitly recognizes such rights to curtail and interrupt -

Transmission Service.

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5.3 In the event it should at any time be determined by l Company, either by audit, metering or otherwise, that actual power and associated energf transmitted exceeds the power or i

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associated energy contracted and scheduled, then in additien to the charge for the centracted Transmission Service , Comp any ,

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for each such event, shall be entitled to bill and receive 1

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  • from City an amount equal tc.the annual rate for Transmission Service applied to the amount of power and associated energy actually transmitted in excess of the amount for which City contracted. In no event shall this Section 5.3 imply an obligation on the part of Company to provide Transmission Service beyond that actually contracted for and scheduled, nor shall the payment for s,uch excess delivery be interpreted a to give City the right to continue to schedule excess deliveries.

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v Should such, violations continue, Company shall have the right to discontinue providing Transmission Service in its entirety.

Section E Chances in Rates: Nothing containad herein

- shall be construed as affecting in any way the right of the party furnishing service under this rate schedule to unilat-erally make application to the Federal Energy Regulatory Commission for a chanige in rates under Section 205 of the Federal Power Act and pursuant to the Con =ission's Rules

i and Regulations promulgated thereunder. -

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7 o ATTACHMENT 5 e

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U N IO N ELECTmc COMPANY d. j ON C M EMORIAL O RIVE - ST. LOUIS .

April 18,1974 maiuRs amoRess:

P. O - S C X OF ST. Lo u is. st o 6 316 9 Mr. David H. Carrick, Trustee Mt. Pleasant Utilities ,

c/o Henry County Savings Bank 101 South Jef ferson Street Mt. Pleasant, IA 52641 '

Dear Mr. Carrick:

The inforcation you sent Marney Letts on March 29, 1974 has been forwarded to me. In line with Marney's letter to you dated April 3, I also would like to thank you for considering Union Electric as a possible source of power

  • for the future.

( In reviewing your situation, it develops that there are two major itema requiring consideration. One is the physical aspect and the other .the con-tractual aspect. Relating to the physical aspect, our System Planning Departnant reviewed cethods for Unicn Electric to connect to your system at 69 kV as you requested. As you know, our 69 kV facilitics in the area are some distance from your system. On the other hand, we lo have a 345 k7 line relatively close. Therefore, if further pursuit is carranted, there are at least these two alternates which can be pursued. An initial estimate indicates that the cost for these alternates ranges from abcut $775,000 to about $1,200,000. Obviously, our supply of firm power in the magnitude requested in your outline contract (3 b"J) would not be sufficient to justify the expenditure of this sum by Union Elcetric. H owever , if you desire we certainly would be willing to discuss the installation of the necessary f ac ilities , including cur possible cunership, but would have to include con-tractual provisions specifying that you would make annual contributions to cover most of our investment. The annual carrying charge rate used in our i recent contracts is 137. per year. Based on the above estimates the charge l

t could range from about $115,000 to $180,000 per year. -

As you probably know, Union Electric furnishes wholesale power to a number of utilities in the Missouri and Iowa area. Ihis power is furnished under a i filed tariff which is designated as UE Rate Schedule W-2 for Wholesale

! Electric Service. In all but one case the contracts provide for our supply l of the total electric requirement of the area. The one exception is the l agreement with the City of Hannibal, Misscuri. That agreement utilizes the rate structure specified in the W-2 tarif f but grants Hannibal the right to maintain peaking capacity. The purpose is to par =it Hannibal to reduce its summer peak demand so as to reduce its annual bill. A t the same ti=e- it

, minimizes Hennibal's fuel supply and pollution problers. These are very

( desirable advantages. (Uhile the agreement uith Hannibal centains this peaking provis ion, last year's floods damaged their plant to the extent that Hannibal presently is not able to utilize the plant to shave the peak; hcucver, such use is definitely possible in the future.) Attached for your information is a r

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. Mr. David H. Carrick - April 18, 1974 Faga 2 I

copy of the W-2 tariff. Two different Sheet No. S's are included. One indicates the interim rate now in effect and the other the proposed settle-ment rate agreed to by the FPC, UE, and the purchasers involved in the rate .

case hearing. This rate probably will be approved.

It appears that a contract similar to that which the City of Hannibal has would have definite advantages to Mt. Pleasant. We certainly would be willing to work with you to develop a contract of this nature. Relative to the contract outline you submitted uith your letter to Marney Letts, we find it difficult to respond. The reason being that the provisions propcsed are those uhich are normally included in interconnection agreements. This assumes mutuality of benefit. We believe the W-2 tariff is more in line with the conditions which actually exist.

We are not presenting sample billing calculations under the W-2 tariff because we do not have sufficient information about your system. H owever,

,_ if Mt. Pleasant Utilities is interested in pursuing a connection with .

(_j Union Electric, with knowledge of the transmission costs involved, we certainly would be more than happy to meet and discuss physical and con-tractgx1 details. - -

Very truly yours, O ,p p'

_ L . Esswein

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ssistant Director Corporate Planning LAE/cdb cc Mr. M. Letts

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  • ATTACHMEhr 6

,j , UNION E t.ccTaic CO M PANY 09 08 G N ATIOT STR C CT - ST. Love s

, October 30, 1979 . -4 6 =a moo. Css:

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Mr. David R. Carrick Chairman Board of Trustees Mt. Pleasant Utilities

, Mt. Pleasant, Iowa 52641

Dear Mr. Carrick:

Your' request of Scptember 10, 1979 to Mr. Marney Letts of our Iowa District regarding Union Electric's interest in supplying electrical power and energy to Mt. Pleasacr Utilities has been forwarded to me. -

Mr. Letts, who had been manager of our Iowa District for many years, retired February 1, 1979, and the new manager is Mr. David L. Sprunger.

Thank you for considering Union Electric as a possible source of power and energy for your city. We are always willing to discuss your future electric n,eeds.

Since Union Electric last responded to a similar request from Mt.

Pleasant in 1974, it has become necessary to change our policy regard-

.ing the manner in which these requests are to be handled. As you might surmise, Union Electric receives requests from time to time from utilities in and out of our service area wanting to know whether Union Electric would be able to supply their electric needs, how the elec-tricity would be transmitted to them and what the rates might be under various supply options. These questions require several depart =ents to spend varying amounts of ti=e in developing.the answers for each

.,, request. This is becoming a ti=e consuming and costly item for Union l (. Electric. Also, people having the knowledge to vidress these matters are, because of ever-increasing work load, findiig it difficult to find the time to reply. Therefore, Union Electric is aow forced to be assured it will be fully compensated for its costs by parties making such requests.

Bowever, so you can determine what Mt. Pleasant might desire to do in this regard, your request of September 10, 1979 was forwarded to our System Planning Department asking them to review it in a very cursory manner since I felt it would be somewhat difficult transmission-wise to supply power to Mt. Pleasant. As in 1974, it would be necessary to build transmission between the Union Electric and Mt. Pleasant systems.

Based on System Planning's cursory review, this would cost you approxi-mately $1,800,000.

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3 SOLVING PROBLEMS THROUGH INVENTION & INNOVATION

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Mr. David R. Carrick -

Page 2

October 30, 1979 i

If Mt. Pleasant is interested in pursuing this matter, we would be.

more than willing to meet with representatives of Mt. Pleasant for the purpose of discussing the supply of power in core detail. We would need to be reimbursed for costs associated with any further l

review.

Very truly yours i

i j L. f. Esswein Director Corporate Planning

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4 cc Mr. D. L. Sprunger

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ATTACHMENT 7

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Union ELECTRIC COMPANY

? iso caarior stacct -sr. covis

'e November 5, 1979 .. m.c aooacss:

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Mr. John H. McDaniel Manager Light Plant Comission City of Paragould Paragould, AR 72405

Dear John:

With the ever-expanding utility work load, I have been unable to follow up af ter our two earlier telephone conversations, the latest being in July, regarding your request that Union Electric meet to discuss the possibility of Union Electric supplying power and energy to the City of Paragould.

As Mr. Chuck Mueller indicated in various correspondence with you in 1978, C-Union Electric is willing to work with Paragould to detemine if there are arrangements that can be developed allowing for interchange-type transactions between our systems. At that time you were looking for the supply of non-firm short-term power and associated energy on a best efforts basis. Apparently before Paragould could develop transmission arrangements for the receipt of this power from Union Electric, you entered into an agreement with Arkansas Power and Light Company to furnish your supple-

- mental energy needs.

Ifnion Electric is amenable to entering into appropriate arrangements for interchange-type transactions with other utilities if such can be developed.

As you are aware, there are certain problems that have to be addressed in any such arrangement including the consideration of load control areas, scheduling and billing, type, size and firmness of transactions, etc.

Relative to your more recent request for the purchase of fim power, Union

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Electric has a wholesale tariff on file with the Federal Energy Regulatory Commission. Basically, this tariff provides for the possible supply of power ou a total requirements basis to other utilities in or adjacent to our service area or in close proximity of our transmission system. We do not believe that the City of Paragould falls in this general category. By the same token, while we are willing to discuss the supply of fim power to any -

other utility, we do not hold ourselves out as suppliers of such power to any and all utilities, not even under an interchange-type agreement. The reasons for this are the many concerns we face today in having power available for customers we are already obligated to serve. Some of those concerns are:

various environmental aspects; difficulty in obtaining pemits on a timely basis for the installacica of additional generating facilities; the ever-

! increasing difficulty in c5caining reasonable financing; the regulatory atmosphere in which even the simplest arrangements end up taking untold numbers

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SOLNING PROBLEMS THROUGH INVENTION & INNOVArlON

d c Mr. John H. McDaniel Y Nove=ber 5, 1979

. Page 2 of manhours particularly if others, for whatever reason, determine it is in their interest to intervene or to contend such arrangements are precedent setting obligations on the supplying utility; etc.

As you might surmise, Union Electric receives requests from time to time from utilities in and out of our service territory wanting to know whether Union Electric would be able to supply their electric needs, how the electricity would be transmitted to them, and what the rates might be under various supply options. As you would recognize, these questions require several departments to spend varying amounts of time in developing the answers for each request. This is becoming a time consuming and costly item for Union Electric. Also, people having the knowledge to address these matters are, because of ever-increasing work load, finding it difficult to find the time to respond. Therefore; Union Electric is now forced to be assured it .

will be fully co=pensated for its cost by parties making such requests.

In light of this, if Paragould is interested in pursuing various utility arrangements with Union Electric, we would be more than willing to meet with .

representatives of Paragould for the purpose of discussing this in more de-tail. However, recognizing that Union Electric and Paragould have already had some overview discussions in the past, we would need to be reimbursed for costs associated with any further more detailed review.

Again, I apologize that the nature of today's utility business is such that it prevented me from responding earlier. Please let me know if you want me to arrange a meeting.

Very truly yo s,

'L .E ~

Director of Corporate Planning LAE/cbv 1

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ATTACHMENT 8

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t **, sFEDERAL ENERGY REGULATORY COMMISSION 17 6 <.. I 1 WASHINGTON, D.C. 20426

! SUT( .'? 01980 i .

2 Docket No. ER80-301 jN. :y T._

Missouri Power and Light Company gh 1b \9 Attention: Mr. Gary W. Duffy General Attorney

. gg Post Office Box 780 Jefferson City, Missouri 65102

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Dear Mr. Duffy:

By letter dated March 19, 1980, you submitted for filing with the Commission a proposed executed amendment dated February 19, 1980, to your Electric Service Agreement dated February 1,1977, with the City of Perry, Missouri. Your submittal is accepted for filing and desig-nated as follows, to become effective July 1, 1980, as requested.

Missouri Power and Light Company Supplement No. 4 to~ .s Rate Schedule FERC No. 50 e S The official notice of your filing was issued on March 31, 1980, with comments, protests, or interventions due on or before April 21, 1980.

No comments, protests, or interventions were filed. .

i This acceptance for filing does not constitute approval of any service, rate, charge, classification, or any rule, regulation, contract, or practice affecting such rate or service provided for in the filed I --

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'EY. E documents; nor shall such acceptance be deemed as recognition of any claimed contractual right or obligation affecting or relating to such service or rate; and such acceptance is without prejudice to any find-

--w ' ings or orders which have been or may hereaf ter be made by the Commission in any proceeding now pending or hereafter instituted by or against Missouri Power and Light Company.

This acceptance for filing terminates Docket No. ER80-301.

Sincerely, w

HO- 7 1

'" William W. Lindsay, Director Office of Electric Power Regulation 1

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t UNITED STATES OF AMERICA 8

. FEDERAL ENERGY REGULATORY COMMISSION Missouri Power & Light ) Docket'No. ER80-301 Company _L r - e: '

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1 .nr NOTICE OF AMENDMENT TO ELECTRIC SERVICE AGREEMENT f 1980)

O(March i- i . 31, The filing Company submits the following:

Take notice that Missouri Power & Light Company (MPL)'on March 26, 1980 tendered,for filing a proposed Amendment to Electric Service Agreement between MPL and the City of Perry, Missouri.

MPL states that the Amendment, approved by Ordinance No.

233 of the City of Perry, Missouri, effects a change in language in one paragraph of the existing Electric Service Agreement dated February 1,1977. The Amendment requires notification to and consultation with MPL should the City of Perry desire to interconnect distribution facilities of two substations serving the city. The current Agreement requires the consent of MPL before any interconnection. The Amendment language was suggested by the United States Justice Department.

MPL states that copies of the Amendment have been mailed or delivered to the Mayor of the City of Perry, Missouri and the Missouri Public Service Commission, located in Jefferson City, Missouri.

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h MPL also states that the Amendment itself requires no installation or modification of facilities or change in the quality or quantity of service provided or the rate therefor.

( MPL also states that the filing is in accordance with

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Part 35 of the Commission's Regulations. ,

Any person desiring to be heard or to protest said application should file a petition to in'tervene825 or protest North with the Federal Energy Regulatory Commissicn, 20426, in accordance Capitol Street, N.E., Washington, D.C.

with Sections 1.8 and 1.10 of the Commission's Rules of Practice and Procedure (18 CFR 1.8, 1.10) . All such petitions or pro-tests should be filed on or before April 21, 1980. Protests will be considered by the Commission in determining the appro-priate action to be taken, but will not serve to make protestants

  • parties to the proceeding. Any person wishing to become a party must file a petition to intervene. Copies of this filing are on file with the Commission and are available for public inspection.

Kenneth F. Plumb '

Secretary

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BILL NO.

ORDINA?'CE NO. M /h AN ORDINANCE DIRECTI:;O TliE MAYOR OF THE CITY OF PERRY, MISSOLTtI, TO EXECUTE ON ITS BEHALF A TEN (10) YEAR CONTRACT WITH MISSOURI POWER & LIGilT COMPANY FOR FURNISHING ELECTRIC ENERGY IN SAID CITY OF PERRY, MISSOURI. .

BC IT ORDAINED BY THE EOARD OF ALDERMEN Oh TiiE CITY OF PERRY,

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MISSOURI, A3 FOLIDWS: .

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I Section 1. The Mayor of the City of Perry, Missouri, is hereby authorized and directed to execute for ara c.n bchalf of the City of Perry, Missouri, the following contract, to wit: ,

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, THIS AGREEMENT, made and entered into this lot day of February , 1977,

  • by and between MISSOURI POWER & LIGHT COMPANY, a Missouri corporation, herci'.after

), referred to as " Company," and the CITY OF PERRY, Missouri, a municipal corporation, hereinafter referred to as " Customer."

WITNESSETH: That the parties hereto agree as follows: *

1. Company shall supply and customer shall accept and pay for electric energy it may require for its municipal operations, street lighting system, and for distri-bution and resale to its electrical customers. The rates to be charged by the Company under this agreement shall be in accordance with the Municipal Electric Service Wholesale Rate, a copy of which,is attached, or the applicable Municipal Electric Service Wholesale Rate which supersedes the attached rate. Nothing contained herein
shall be construed as af fecting in any way the right of Company to unilaterally make application to the Federal Power Commission or the regulatory body having jurisdiction, for a change in rates, charges, classification or service, or any rule, regulation, or contract relating thereto, under Section 205 of the Federal power Act and pursuant to the Commission's Rules and Regulations promulgated thereunder.
2. Company shall stand ready to supply to Customer during the term of this agreement two thousand seven hundred twenty-five (2,725) kilovolt amperes of e'lectri-cal capacity, of three (3) phase, sixty (60) herts frequency, at approximately thirty-four thousand five hundred (34,500) volts.
3. Company will own and maintain the present two thousand five hundred (2,500)

KVA, thirty-four thousand five hundred - twenty-four hundred (34,500 - 2,400) volt

transformer substation and any additions thereto.
4. Customer will continue to own and maintain a two hundred twenty-five (225)

KVA, thirty-four thousand five hundred - twenty-four hundred (34,500 - 2,400) volt transformer substation to serve the M.F. A. Mill and load developing in that vicinity.

5. Distribution facilities being served from the two substations shall not be interconnected without consent of Company.
6. Companythall continue to own and maintain the thirty-four thousand five hundred (34,500) volt line on both sides of the delivery point.

i 7. The point of delivery at which elec'trical energy shall be supplied, measured and accepted hereunder shall be a thirty-faur thousand five hundred (34,500) volts. All equipment provided and installed by Company shall remain the property of the Company and may be removed by it should.the occasion for removal arise.

8. Customer shall provide the right-of-way for Company's electric transmission line along the alleys, streets and thoroughfares of the City and the land required for the Cercany owned facilities.
9. In order to maintain the reliability and integrity of the interconnected system, to provide for the safe operation of the Company's facilities, and to insure the flow of information necessary so that Company may, on a logical basis, plan for additional load on its supply and transmission facilitics, Customer shall give Company reasonable advance written notice of all proposed new municipal use or resale of this electrical energy which will constitute a substantial addition and shall consult with I

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Comr,any prior to such use or resale to determine that such use or resale is consistent

. With safe and reliabic system operation.

10. The electric energy herein contracted for shall be furnished by CoEpany and

. shall be accepted and paid for by Customer for a period of ten (10) years from and

af ter dato service is commenced hereunder and thereaf ter for periods of one (1) year unless cancelled by either party pursuant to ninety (90) days written notice of its
intention to withdraw from this agreement, said notice to be rendered ninety (90) days prior to the expiration of the first period or any subsequent annual period.
11. To support Company's investment in the necessary facilities the guaranteed

! minimum monthly charge shall be two thousand five hundred dollars (S2,500.00), which includes kilowatt hours billed under the terms of this contract.

i 12. Company shall render bills for service furnished pursuant to the terms of i this agreement on or about the first of the month following that in which service is j rendered and payment shall be due within ten (10) days after the bills are rendered.

In the event that such bills are not paid within ten (10) days after written notice

, of delinquency, the Company may suspend the supply of energy or terminate this j contract; provided, however, that nothing herein contained shall release Customer from the payment of any sum due for service furnished at the time the contract may i be so terminated.

x

13. Company shall use reasonable diligence in furnishing a regular and uninter-l rupted service, but in case such service should be interrupted and fail by an act of 4

Cod or public enemy, f. ire, explosion, flood, strike, insurrection, mob violence, governmental interference, breakdown or injury to machinery or distributing lines, i extraordinary repairs or other accident or causes not reasonably within its control,

) Company shall not be liable in damages to or loss of property or injuries (including j death) to person; caused directly or indirectly by any such interruption of service

and such interruption shall not constitute a breach of this agreement on the part of l Company.

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14. Should Customer be prevented from taking service herein agreed upon by
reason of fire, explosion, flood, mob violence, insurrection, governmental interference, j strike of Customer's employees or accident, rendering necessary complete cessation of Custor.or's operation for a period in excess of thirty (30) days, this agreement shall l be suspended temporarily until such time as operation can be resumed. In the event of l such temporary discontinuance of service, this contract shall be extended for a period
equal to the term of suspension. -

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15. Ueither party to this agreement shall be liable or responsible to the other
party for any loss or damage to property or injury to or death of persons, whether i

suf fered by its agent or employees or by any third person, persons, or corporation,

{ resulting from the location, use or operation of the electrical or other equipment located beyond the point its service lines connect with those of the other or from electrical energy present therein or escaping therefrom, and each party shall I

indemnify and save the other harmless from all such loss, damage, injury or death.

Neither party shall be liable or responnible to the other under any circunstances I for loss by fire, regardless as to how said fire originated.

16. This contract is executed in triplicate and shall inure to and be binding upon the successors and assigns of the respective parties hereto. No modification hereof shall be binding unless in writing duly accepted by Company and Customer and approved by their respective officers.

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17. This agreement is subject to approval by all regulatory bodies having

. jorisdiction.

IN WITNESS WlEREOF, the parties hereto have caused this instrument to be

. executed by their respective proper officers thercunto duly authorized, as of the day and year first above written.

MISSOUyI POWER & LIGHT COMPANY ATTEST: . By hz

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' OsAu WA~D

, .463t. Secretary

/, CITY OF PERRY, MISSOURI

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e-Mayor' 5 (  ? O_ / h/W C,ity Cleu.

' / , g , 'i APPROVED FOR EXECUTION:

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( Diredtor o'f Industrial Engineering l

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".Mtssouri Power & Light Compa(- .

( 1st Revised, Sheet No; FP,C Elcetric Tariff Cancelling cri;inal Sheet no,

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Electric -

Municipal Electric Service Wholesale Rate Rate Designation - MESWR Available: To all municipal electric wholesale customers served by Missouri Po-er & Light Company (Campany) or potential municipal electric wholesale customers located in Company's electric service territory.

Applicable: To electric energy delivered by Company as three phase alternating current at

a. frequency of approximately 60 cycles as may be available at a location approved by Co= pan; If additional investment is required by the Company to serve the customer, the Ccapany will ba entitled to a minimum bill guarantee or additional revenue to ccopensate for the incre-ntntal investment.

Demand ana Enercy Rhtes:

Demand Charge: -

$3.5.7 per month per Kva of billing de=and.

Energy Charge:

1.180 ($.0118) for actual Kuh usage to 300 000 Kuh or the first 100 Kuh per Kva billing demand, whichever is greater 297c ($.0097) for additional Kwh usage Billing Demand For Mon-Generating Municioals: The billing demand for any month shall be the highest demand established by the customer during such month, but in no event shall the billing demand be less than eighty (80) percent of the maximum billing demand in the pre-ceding eleven (11) months.

Billing Demand For Generatinh Municipals: The billing demand for any month shall be the highest demand estaolished during a Company designated peak period, but in no event shall the billing demand be Icss than eighcy (80) percent of the maximum billing demand in the preceding cleven (11) months. .

Peak period is defined as a daily period not to execed eight (8) hours per day or to exceed forty (40) per week and dces not include Saturdays, Sundays and nationally observed 1cgal holidays. The peak period is to be designated by the Cempany, but will not be clianged more than two (2) times in a calendar year.

Fuel Adjustrent: To compensate for changes in Company's fuel cost per kilowatthour (Kuh) of sales, the charges for all Kwh delivered by Company under the terms of this rate shall ba subject to a monthly adjustment when the Company's weighted average fuel cost par Kuh of sales, as determined by Company as set forth below, during the month is greater or less than 0.7SSc per Kvh of sales, as follows: , ,

DATE OF ISSUE May 25, 1976 DATE EFFECTIVE May 27, 1976 ISSUED BY DAVID C. EARRISON President Jeffersoa City, Y Name of Officer

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.. Missouri Poser & Light Compa[ ,

1st Revised Shcat N:.

'FFC Elcetric Tarif f Original Shect no.

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Elcotric Hunicipal Elcetric Service Wholesale Rate Rate Designation - FES'JR Far ea:5 ir. crease or decrease in the fuel cost per Kuh of sales above or below 0.735c per Kwh, the unit of increase or decrease in the energy charge applicabic to all bills rendered under the teres of rate shall be determined conthly in accordance with the following equation:

FC Cents /Kwh =

(gg - 0.733) (0.948)

Where: .

FC = Company's cost of fossil and nuclear fuel during each current (c) monthly period which cost shall consist of the following:

(1)- fossil and nuc1 car fuel consumed in the utility's own plants, and the utility's share of fossil and'nucicar fuel consumed -

in jointly owned or leased plants.

(2) the actual identifiable fossil and nucicar fuel costs cssociated with energy purchased for reasons othec than identified in (3) below.

(3) the net energy cost :f energy purchases, exclusive of capacity or demand charges (irrespective of the designation assigned to such transaction) when such energy is purchased on an economic dispatch basis. Included therein may be such costs as the charges for economy energy purchases and the charges as a result of scheduled outage, all such kinds of energy being purchased by the buyer to substitute for its own higher

. cost energy; and less (4) the cost of fossil and nucicar fuel recovered through inter-

. system sales including the fuel costs related to economy energy sales and other energy' sold on an economic dispatch basis.

The cost of fossil fuel shall include no items other than those listed in Account 151 of the Corr.ission's Uniform System of Accounts for Public Utilities and Licensees. The cost of nucicar fuel shall be that as shown in Account 518, except that Account 518 also contains any expense for fossil fuel which has aircady been included in the cost of fossil fuel, it shall be deducted from this account.

SC = All Kwh sold by Com,rany during the current (c) period excluding inter-system sales.

DATE OF ISSUE May 25, 1976 DATE EFFECTIVE May 27, 1976 ISSUED BY DAVID C. HA??. ISO:4 President Jefferson City, F Name of Officer

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_Ist Revised Sheet !:o .

F P,,C E4 4,c t r ic Ta r ii f Cancelling Oricinal Sheet ::o .

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Electric Municipal Electric Service Wholesale Rate Rate Designation - }ISWR 0.788 = Co=pany's cost of fossil and nuclear fuel per Kuh of sales .

(in cents /Kuh) during the base period which cost consists of iter.s (1) through (4) described herein for the calcula-tion of Fe and which sales consist of all Kwh sold by Company during the base period, excluding inter-system sales.

  • 0.948 = A loss modificatica factor to properly allow for losses associated only witii wholesale sales for resale.

Minimum Eill: The minimum bill will be determined b? cvaluating each customer's load characteristics and investment and will be stated in the agreement between the Company and customer. In no event will the monti.ly average cost per Kwh be less than 1.20c (0.0120) before fuel adjustment. -

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DATE OF ISSUE May 25, 1976 DATE EFFECTIVE May 27, 1976 _

ISSUED BY DAVID C. IIARRISO ; President Jef ferson City, .M:

Name of Of ficer

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  • BILL NO. M33 ORDINANCE NO. 213 4

AN ORDINANCE DIRECTING THE MAYOR OF THE CITY OF PERRY, MISSOURI, TO EXECUTE ON ITS BEHALF AN AMENDMENT TO AN ELECTRIC SERVICE AGREEMENT BE'IWEEN SAID CITY OF PERRY, MISSOURI AND MISSOURI POWER & LIGHT COMPANY.

BE IT ORDAINED BY THE BOARD OF ALDERMEN OF Tile CITY OF PERRY, MISSOURI',

AS FOLLOWS:

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Section.l. The Mayor of the City of Perry, Missouri, is hereby authorized to execute for and on behalf of the City of Perry, Missouri an amendment to the electric service agreement previously authorized by Ordinance No. 210; "j

a copy of said amendment being attached hereto and made a part hereof.

s PASSED THIS N A DAY OF A tI m u, , 1980

$ )( <rs's, ?,f N. b .? . * .,

O Presiding Officer 2

i APPROVED'THIS l h DAY OF 3 h ,, 1980 0

X n in h .T. -  : , c .' /t -

i Mayor ATTEST:

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AMENDMENT TO ELECTRIC

. SERVICE AGREEMENT This amendment to an electric service agreement between Missouri Power &

Light company, a Missouri corporation, and the City of Perry, Missouri, dated

.the first day of February, 1977, is made and entered into this lQ A day of 3,D.,m y _ , 1980, by and between the same parties.

WITNESSETI WHEREAS, the Justice Department of the United States of America has raised certain objections to language which exists in paragraph five of'the electric service agreement currently in effect between Missouri Power & Light Company and the City Perry, Mist.ouri; and WHEREAS, the parties hereto desire to revise said paragraph five to comply with the language suggested by the Justice Department; NOW THEREFORE, in consideration of the premises and of the mutual agreements herein set forth, the parties hereto agree as follows:

1. Paragraph five of the existing electric service agreement dated Februdry 1, 1977, currently reads: " Distribution facilities being served from the two substations shall not be interconnected without consent of Company."
2. Paragraph five of the existing electric service agreement dated February 1, 1977, is hereby amended to read as follows: " Distribution facilities being served from the two substations shall not be interconnected without prior notification to and consultation with Company to ensure safe and reliable system operation."
3. All other paragraphs and provisions of said electric service agreements dated February 1, 1977, including paragraphs 1, 2, 3, 4, 6, 7, 8. 9, 10, 11, 12, 13, 14, 15, 16 and 17, shall remain as originally written and in full force

,and,effect for the period set forth in said electric service agreement.

i '*IU OITNESS WHEREOF, the said parties have caused this instrument to be duly executed this }9tto day of 3,[Mu.m , 1980 ATTEST: $SOU I POWER & LIGHT COS*PANY

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M By- '

A s s t .Sec re tary IPresident '

ATTEST: CITY OF PERRY, MISSOURI

./ mf.o h*4 By / [ . , ,ey /$[ # s. . u ,, ,

ty Clerk Mayor APPROVED FOR EXECUTION:

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Dircedor of Indus r 1 Engineering [*

%JAN#"Y  ! . XVice :' f M -

Pr'esideht Operations

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. STATE OF MISSObRI )

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! COUNTY OF RALLS )

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I I, k Q m e. d boMo , Clerk of the City of Perry, County of Ralls, State of Missouki, do hereby certify that the j foregoing are true, correct, and complete copies of an ordinance and an amendment to an electric service agreement duly passed by the Board of Aldermen j of the City of Perry this lCbt.tu day of _9 , L , i ,, u . , 1980, the j original of which ordinance and electric service agreemen mendment are on j file in my office.

1 j I do hereby certify that I am the legal custodian of all papers, contracts,

, documents, and records of such City of Perry, i

i In Witness Whereof, I have hereunto set my hand and affixed the official j seal of said City of Perry this lqh day of _3,h 2 n ,1. , 1980.

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1 . Am n , r,m City Clerk k

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