ML090900719

Vogtle Electric Generating Plant, Financial Assurance Requirements for Decommissioning Nuclear Power Reactors (10 CFR 50.75(f)(1)

ML090900719
Person / Time
Site:	Vogtle
Issue date:	03/30/2009
From:	Ajluni M J Southern Nuclear Operating Co
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
NL-09-0430
Download: ML090900719 (122)

Text

Southern Operating Company, 50Ge SOUTHERN'\

COMPANY March 30, Energy to Sen'e Your World Docket 50-424 NL-09-0430 50-425 U. S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, D. C. 20555-0001 Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR 50. 75m!1Ladies and Gentlemen:

Pursuant to 10 CFR 50.75(f)(1), each power reactor licensee is required to report to the NRC the status of its decommissioning funding for each reactor or part of each reactor it owns on a calendar year basis, beginning on March 31, 1999, and every two years thereafter.

Southern Nuclear Operating Company (Southern Nuclear) holds operating licenses NPF-68 and NPF-81 for the Vogtle Electric Generating Plant. On behalf of the licensed owners of the Vogtle Electric Generating Plant (Georgia Power Company, Oglethorpe Power Corporation, the Municipal Electric Authority of Georgia, and the City of Dalton, Georgia), Southern Nuclear provides the enclosed submittals in accordance with the requirements of 10 CFR 50.75(f)(1). This letter contains no NRC commitments.

If you have any questions, please advise. M. J. Ajluni Manager, Nuclear Licensing MJAlTWS/daj

Enclosures:

1. Georgia Power Company Response 2. Oglethorpe Power Corporation Response 3. Municipal Electric Authority of Georgia Response 4. City of Dalton, Georgia Response U. S. Nuclear Regulatory Commission NL-09-0430 Page 2 Southern Nuclear Operating Company Mr. J. T. Gasser, Executive Vice President Mr. T. E. Tynan, Vice President

-Vogtle Ms. P. M. Marino, Vice President

-Engineering RType: CVC7000 U. S. Nuclear Regulatory Commission Mr. L. A. Reyes, Regional Administrator Mr. R. E. Martin, NRR Project Manager -Vogtle Mr. M. Cain, Senior Resident Inspector

-Vogtle Georgia Power Company Mr. C. S. Thrasher, Executive Vice President and CFO City of Dalton, Mr. D. Cope, President and Municipal Electric Authority of Georgia Mr. J. E. Fuller, Senior Vice President and CFO Oglethorpe Power Corporation Ms. A. F. Appleby, Vice President, Treasurer Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR Enclosure Georgia Power Company Ann P. Daiss Bin 10120 Vice President, Comptroller 241 Ralph McGill Boulevard NE and Chief Accounting Officer Atlanta, Georgia 30308-3374 Tel 4045066766 Fax 4045063128 apdaiss@southernco.com Feburary 25, 2009 GEORGIA A. POWER Docket Nos.: 50-424 A SOUTHERN COMPANY 50-425 U. S. Nuclear Regulatory Commission ATTN: Document Control Desk Washington, D.C. 20555 Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR

Dear Ladies and Gentlemen:

Pursuant to 10 CFR 50.75(f){1), each power reactor licensee is required to report to the NRC the status of its decommissioning funding for each reactor or part of each reactor it owns on a calendar year basis, beginning on March 31, 1999, and every two years thereafter.

Accordingly, Georgia Power Company (GPC) hereby submits the enclosed information in accordance with 10 CFR 50.75(f){1) for operating licenses NPF-68 and NPF-81 issued for Vogtle Electric Generating Plant Units 1 and 2, respectively.

Southern Nuclear Operating Company, as the operating licensee and as an agent for the owners of the Vogtle Electric Generating Plant, is providing this information to the NRC on behalf of GPC. Based on the information presented herein, there is reasonable assurance that the funding necessary for decommissioning of the Vogtle Electric Generating Plant, consistent with the NRC prescribed minimum set forth in 10 CFR 50.75(c), will be available on the expiration date of operating licenses NPF-68 and NPF-81. Please advise if you have any questions or comments regarding the information provided herein. Respectfully submitted, GEORGIA POWER COMPANY By: Ann P. Daiss, Vice President, Comptroller and Chief Financial Officer APD/LAC Enclosure

Vogtle Electric Generating Georgia Power Ownership Percentage

-10 CFR 50.75(1)(1)

Requirement Unit 1 Unit 2 1 The NRC minimum decommissioning estimate, pursuant to 10 CFR 50.75(b) and (c). 1 $ 184,211,000 2 $ 184,211,000 2 2 The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75(b) and (c). $ 83,139,836

$ 84,740,534 3 A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75(b) and (c). See Schedule in Attachment 1 See Schedule in Attachment 1 4 The assumptions used regarding: (a) rates of escalation in decommissioning costs; (b) rates of earnings on decommissioning funds; (c) real rate of return; and (d) rates of other factors used in funding projections.

Per GPSC Docket 25060-U 2.93% 4.93% 2.00% None Per GPSC Docket 25060-U 2.93% 4.93% 2.00% None 5 Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v).

None None 6 Any modifications to a licensee's current method of providing financial assurance occurring since the last submitted report. No modification since the last report. Funding is to an External Sinking Fund with the source of funds from Tradiitonal Cost of Service rate making as ordered by the GPSC in Docket 25060-U. No modification since the last report. Funding is to an External Sinking Fund with the source of funds from Tradiitonal Cost of Service ratemaking as ordered by the GPSC in Docket 25060-U. 7 Any material changes to trust agreements.

None None NOTES: The NRC formulas in section 10 CFR 50.75(c) include only those decommissioning costs incurred by licensees to remove a facility or site safely from service and reduce residual radioactivity to levels that permit: (1) release of the property for unrestricted use and termination of the license; or (2) release of the property under restricted conditions and termination of the license. The cost of dismantling or demolishing non-radiological systems and structures is not included in the NRC decommissioning cost estimates.

The costs of managing and storing spent fuel on-site until transfer to DOE are not included in the cost formulas. This number is based on NUREG-1307, Rev. 13, for the burial factor (Option 2) and the December 2007 values for labor and energy factors.

Attachment Schedule of the Annual Amounts Remaining to be Attachment Schedule of Annual Amounts Included in Current (Dollars in Plant VOGTLE 1 VOGTLE 2 BEG OF ENDOF BEG OF ENDOF YEAR FUND FUND YEAR YEAR FUND FUND YEAR FUND BAL EARNINGS CONTRIB FUND BAL FUND BAL EARNINGS CONTRIB FUND BAL 2008 83,140 2009 83,140 4,155 1,439 88,734 2010 88,734 4,431 1,439 94,604 2011 94,604 4,721 1,439 100,764 2012 100,764 5,024 1,439 107,227 2013 107,227 5,343 1,439 114,009 2014 114,009 5,677 1,439 121,125 2015 121,125 6,028 1,439 128,592 2016 128,592 6,396 1,439 136,427 2017 136,427 6,782 1,439 144,648 2018 144,648 7,188 1,439 153,275 2019 153,275 7,613 1,439 162,327 2020 162,327 8,059 1,439 171,825 2021 171,825 8,528 1,439 181,792 2022 181,792 9,019 1,439 192,250 2023 192,250 9,534 1,439 203,223 2024 203,223 10,075 1,439 214,737 2025 214,737 10,643 1,439 226,819 2026 226,819 11,239 1,439 239,497 2027 239,497 11,864 1,439 252,800 2028 2029 84,741 84,741 4,257 2,023 91,021 91,021 4,567 2,023 97,611 97,611 4,892 2,023 104,526 104,526 5,233 2,023 111,782 111,782 5,590 2,023 119,395 119,395 5,966 2,023 127,384 127,384 6,360 2,023 135,767 135,767 6,773 2,023 144,563 144,563 7,206 2,023 153,792 153,792 7,661 2,023 163,476 163,476 8,139 2,023 173,638 173,638 8,640 2,023 184,301 184,301 9,166 2,023 195,490 195,490 9,717 2,023 207,230 207,230 10,296 2,023 219,549 219,549 10,903 2,023 232,475 232,475 11,541 2,023 246,039 246,039 12,209 2,023 260,271 260,271 12,911 2,023 275,205 275,205 13,647 2,023 290,875 290,875 14,420 2,023 307,318 Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR Enclosure Oglethorpe Power Corporation

_t OglethorpePower Oglethorpe Power Corporation 2100 East Exchange Place February Tucker, GA 30084-5336 phone 770-270-7600 fax 770-270-7872 Docket Nos.: 50-424 An Electric Membership Cooperative 50-425 u. S. Nuclear Regulatory ATTN: Document Control Washington, D.C. Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR

Dear Ladies and Gentlemen:

Pursuant to 10 CFR 50.75(t)(1), each power reactor licensee is required to report to the NRC the status of its decommissioning funding for each reactor or part of each reactor it owns on a calendar year basis, beginning on March 31, 1999, and every two years thereafter.

Accordingly, Oglethorpe Power Company (OPC) hereby submits the enclosed information in accordance with 10 CFR 50.75(t)(l) for operating licenses NPF-68 and NPF-81 issued for Vogtle Electric Generating Plant Units 1 and 2, respectively.

Southern Nuclear Operating Company, as the operating licensee and as an agent for the owners of the Vogtle Electric Generating Plant, is providing this information to the NRC on behalf of OPC. Based on the information presented herein, there is reasonable assurance that the funding necessary for decommissioning of the Vogtle Electric Generating Plant, consistent with the NRC prescribed minimum set forth in 10 CFR 50.75(c), will be available on the expiration date of operating licenses NPF-68 and NPF-81. Please advise if you have any questions or comments regarding the information provided herein. Respectfully submitted, Anne F. Appleby Vice President, Treasurer Oglethorpe Power Corporation Enclosure Southern Nuclear Operating Mr. J. T. Gasser, Executive Vice R Type: u. S. Nuclear Regulatory Commission Mr. L. A. Reyes, Regional Administrator Mr. R. E. Martin, NRR Project Manager -Vogtle Mr. E. D. Morris, Acting Senior Resident Inspector

-Vogtle e A member of the National Rural Electric Cooperative Associ8tlon

Vogtle Electric Generating Oglethorpe Power Ownership Percentage

-10 CFR 50.75(f)(1)

Requirement Unit 1 Unit2 1 The NRC minimum decommissioning estimate, pursuant to 10 CFR 50.75(b) and (c). 1 $ 120,926,000 2 $ 120.926,000 2 2 The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75(b) and (c). $ 40,472,462

$ 36,661,169 3 A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75(b) and (c). See Schedule in Attachment 1 See Schedule in Attachment 1 4 The assumptions used regarding: (a) rates of escalation in decommissioning costs; (b) rates of earnings on decommissioning funds; (c) real rate of return; and (d) rates of other factors used in funding projections.

2.93% 6.85% 3.92% none 2.93% 6.85% 3.92% none 5 Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v).

none none 6 Any modifications to a licensee's current method of providing financial assurance occurring since the last submitted report. none none 7 Any material changes to trust agreements.

No changes to Trust Agreement.

Re-allocation of assets from ten fixed income managers to two fixed income managers and from five eqUity managers to two equity managers.

No changes to Trust Agreement.

Re-allocation of assets from ten fixed income managers to two fixed income managers and from five eqUity managers to two eqUity managers.

NOTES: The NRC fonnulas in section 10 CFR 50.75(c) include only those decommissioning costs incurred by licensees to remove a facility or site safely from service and reduce residual radioactivity to levels that penn it: (1) release of the property for unrestricted use and termination of the license; or (2) release of the property under restricted conditions and termination of the license. The cost of dismantling or demolishing non-radiological systems and structures is not included in the NRC decommissioning cost estimates.

The costs of managing and storing spent fuel on-site until transfer to DOE are not included in the cost fonnulas. This number is based on NUREG-1307, Rev. 13, for the burial factor (Option 2) and the December 2007 values for labor and energy factors.

Attachment Schedule of the Annual Amounts Remaining to be Oglethorpe Power Corporation 2008 NRC MINIMUM Vogtle 1 Vogtle 2 Earnings Rate: 6.85 Earnings Rate: 6.85 Balance Balance Balance Balance Year Begin Year Earnings Contribution End Year Year Begin Year Earnings Contribution End Year ------------

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2008 48,428,331 (7,955,869) 0 40,472,462 2008 43,867,835 (7,206,666) 0 36,661,169 2009 40,472,462 2,772,364 0 43,244,826 2009 36,661,169 2,511,290 0 39,172,459 2010 43,244,826 2,962,271 0 46,207,096 2010 39,172,459 2,683,313 0 41,855,773 2011 46,207,096 3,165,186 0 49,372,282 2011 41,855,773 2,867,120 0 44,722,893 2012 49,372,282 3,382,001 0 52,754,284 2012 44,722,893 3,063,518 0 47,786,411 2013 52, 754,284 3,613,668 0 56,367,952 2013 47,786,411 3,273,369 0 51,059,780 2014 56,367,952 3,861,205 0 60,229,157 2014 51,059,780 3,497,595 0 54,557,375 2015 60,229,157 4,125,697 0 64,354,854 2015 54,557,375 3,737,180 0 58,294,555 2016 64,354,854 4,408,308 0 68,763,162 2016 58,294,555 3,993,177 0 62,287,732 2017 68,763,162 4,710,277 0 73,473,438 2017 62,287,732 4,266,710 0 66,554,442 2018 73,473,438 5,032,931 0 78,506,369 2018 66,554,442 4,558,979 0 71,113,421 2019 78,506,369 5,377,686 0 83,884,055 2019 71,113,421 4,871,269 0 75,984,691 2020 83,884,055 5,746,058 0 89,630,113 2020 75,984,691 5,204,951 0 81,189,642 2021 89,630,113 6,139,663 0 95,769,775 2021 81,189,642 5,561,490 0 86,751,133 2022 95,769,775 6,560,230 0 102,330,005 2022 86,751,133 5,942,453 0 92,693,585 2023 102,330,005 7,009,605 0 109,339,610 2023 92,693,585 6,349,511 0 99,043,096 2024 109,339,610 7,489,763 0 116,829,374 2024 99,043,096 6,784,452 0 105,827,548 2025 116,829,374 8,002,812 0 124,832, 186 2025 105,827,548 7,249,187 0 113,076,735 2026 124,832,186 8,551,005 0 133,383,190 2026 113,076,735 7,745,756 0 120,822,491 2027 133,383,190 9,136,749 0 142,519,939 2027 120,822,491 8,276,341 0 129,098,832 2028 129,098,832 8,843,270 0 137,942,102 2029 13 7 ,942, 102 9,449,034 0 147,391,136 Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR Enclosure Municipal Electric Authority of Georgia Docket Nos.: U. S. Nuclear Regulatory ATTN: Document Control Washington, D.C. Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR 50. 75(f)( 1

Dear Ladies and Gentlemen:

Pursuant to 10 CFR 50.75(£)( 1), each power reactor licensee is required to report the NRC the status of its decommissioning funding for each reactor or part of reactor it owns on a calendar year basis, beginning on March 31, 1999, and two years thereafter.

Accordingly, The Municipal Electric Authority of (MEAG) hereby submits the enclosed information in accordance with 10 50.75(£)(1) for operating licenses NPF-68 and NPF-81 issued for Vogtle Generating Plant Units I and 2, respectively.

Southern Nuclear Company, as the operating licensee and as an agent for the owners of the Electric Generating Plant, is providing this information to the NRC on behalf Based on the information presented herein, there is reasonable assurance that funding necessary for decommissioning of the Vogtle Electric Generating consistent with the NRC prescribed minimum set forth in 10 CFR 50.75(c), will available on the expiration date of operating licenses NPF-68 and Please advise if you have any questions or comments regarding the information provided herein. Respectfully submitted, THE MUNICIPAL ELECTRIC AUTHORITY OF GEORG lA, by, "James E. Fuller Senior Vice President, Chief Financial Officer ITWS \lulli,'ipal Ell'dri" \lItJIHI*ity of C.oqria Hin*I'I*d:rl*

P'II'kway.

N\V Enclosure

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Vogtle Electric Generating Plant Assurance Requirements for Nuclear Power Reactors -2009

Vogtle Electric Generating The Municipal Electric Authority of Ownership Percentage

-10 CFR 50.75(f)(1)

Requirement Unit 1 Unit 2 1 2 3 4 5 6 7 The NRC minimum decommissioning estimate, pursuant to 10 CFR 50.75(b) and (c). 1 The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75(b) and (c). A schedule of the annual amounts remaining to be I collected; for items in 10 CFR 50.75(b) and (c). The assumptions used regarding: (a) rates of escalation in decommissioning costs; (b) rates of earnings on decommissioning funds; (c) real rate of return; and (d) rates of other factors used in funding projections.

Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v).

Any modifications to a licensee's current method of providing financial assurance occurring since the last submitted report. Any material changes to trust agreements.

I $ 91,501,000 2 $65,900,510.32 See Schedule in Attachment 1 3.60% 5.60% 2.00% None Attachments 2 & 3 None Attachment 4 $ 91,501,000 2 $62,268,915.12 See Schedule in Attachment 1 3.60% 5.60% 2.00% None Attachments 2 & 3 None Attachment 4 NOTES: The NRC formulas in section 10 CFR 50.75(c) include only those decommissioning costs incurred by licensees to remove a facility or site safely from service and reduce residual radioactivity to levels that permit: (1) release of the property for unrestricted use and termination of the license; or (2) release of the property under restricted conditions and termination of the license. The cost of dismantling or demolishing non-radiological systems and structures is not included in the NRC decommissioning cost estimates.

The costs of managing and storing spent fuel on-site until transfer to DOE are not included in the cost formulas. This number is based on NUREG-1307, Rev. 13, for the burial factor (Option 2) and the December 2007 values for labor and energy factors.

Attachment Schedule of the Annual Amounts Remaining to be MEAGPOWER Decommissioning Funding Plan Nuclear Decommissioning Fund -Vogtle I Calendar Balance at Year Beg. of Year (A) 2008 2009 65.901 2010 69.851 2011 74,017 2012 78.410 2013 83.042 2014 87,926 2015 93.076 2016 98.507 2017 104.233 2018 110.271 2019 116,638 2020 123.352 2021 130.431 2022 137.896 2023 145.767 2024 154,067 2025 162.819 2026 172.048 2027 181,779 Total Options: Level Payments (Dollars in Thousands)

Interest Contributions Earnings (8) (C) 354 3.700 354 3.922 354 4.155 354 4,401 354 4.660 354 4,934 354 5.222 354 5,526 354 5,847 354 6,185 354 6.542 354 6,918 354 7.314 354 7.732 354 8,] 73 354 8.638 354 9.1 28 354 9,645 30 848 6,410 113,489 Less: Balance Fees End of (D) (E) 65.901 (104) 69.851 (110) 74.017 (117) 78.4! 0 (123) 83,042 (131 ) 87,926 (/38) 93J)76 (146) 98.507 (155) 104,233 (163 ) 110,271 (173) 116,638 (183 ) [23,352 (193) 130,431 (204) 137.896 (215) 145,767 (227) I 54J)67 (240) 162,819 (254) 172.048 (268) 181,779 (24) 182.633 (3,167) N: 10051541032336\2009 Amts Remain Collected.xls Page 1 of I Date: 3/11/2009; Time: 12:29 PM MEAGPOWER Decommissioning Funding Plan Nuclear Decommissioning Fund -Vogtle 2 (Dollars in Thousands)

Calendar Year Balance at Beg. of Year (A) Contributions (B) Interest Earnings (C) Less: Fees (D) Balance at End of Year (E) 2008 2009 62,269 2010 66,087 2011 70,113 2012 74,358 2013 78,835 2014 83.555 2015 88,532 2016 93.780 2017 99.314 2018 105,149 2019 111.302 2020 117,790 2021 124,632 2022 131.846 2023 139,453 2024 147,474 2025 155,932 2026 164,850 2027 174.255 2028 184.171 2029 194,628 Total Options: Level Payments N: \005154103233612009 Amts Remain Collected.xls 418 418 418 418 418 418 418 418 418 418 418 418 418 418 418 418 418 418 418 418 70 8,422 3,499 3,713 3,938 4,176 4,426 4,691 4.969 5.263 5,900 6.245 6,608 6,991 7,395 7,821 8..270 8.744 9.243 9.770 10,325 1.817 129,378 62,269 (98) 66,087 (104) 70,113 (l1O) 7*U58 ( 117) 78,835 (124) 83.555 (l3!) 88,532 (139) 93.780 (147) 99.314 (156) 105,149 (165) 111.302 ( 174) 117.790 (184) 124,632 (195) 131,846 (206) 139,453 (218) 147,474 (230) 155,932 (243 ) 164,850 (257) 17,U55 (271) 184.171 (286) 194,628 {51) 196,463 (3,606) Page 1 of 1 Date: 3/11/2009; Time: 12:29 Attachment Vogtle Electric Generating Plant Financial Requirements for Decommissioning Nuclear Reactors -2009 Project One Power Sales

, ... .... .. i.

SALES CONTRAor Between MuNICIPAL ELECTRIC AUTHORITY OF* GEORGIA . Cl'l'Y OF nia Colltrac;t.

DWle and. entered fl1to as at Odober 1. 1975.' by aDd betwem the llmldpaI EJld:ric Authority of Georz{a., & pubUc 'bocl7 corporatl aDd politic aDd .. public corporatiOA of the Stat. of Glorda hUllinafter IOmetima 4ufsrnated as the Authorlb', aut. ed b1 the p:oYidou of.I GL 1.. 1975, Po 107, as ammded, me! CITY 01' .. politfca1subc1ivislon of the. State of Georiia.,'huelna!ter Icimet1mu duipated as the . WITNESSETH THAT: WBEREAS, the FartidplDt has Deed for an ec.anomical, reUable loune of electric powu anet cu.,. to meet the 1J'0Whll' demands at its custolnVS aM. has to purchu. lath .J.ctrle power and .nV3Y froID ruourcu 'OWned,' contro1Jed, or by the Authority, and WliEREAS, the Autborlf:7 win take or tau.. to be taken aU .tepi necW&ry to lecur. IUch 'OTtnUlSf,Dtal pumlts, UCl.DleI, and approVals 1.1 Ire JlecUl&Z7 fOf, aDd win the cud sa approprIate with final 4ufrn, f"manc.in( ud a'c:quflU:!on or coDltructlOD.

of those' l&dlltfu hulin ducrlOed aDd desJpated u the Profitt far the supply of electric J)OWIf and 'enul1' to the PartSc1pmt al1c1 to aD other

.coDtrictlDK wit!& the Aut1lar. St7 thue!or, ud. will len the output and IUviclS such fadUHu puuuant to th!I Contract and to conbut.l*SUbltaDtfalb" Idmtlcal to Ws Contract with other political ,ubdMalcms, duli'D&te4 to,ethu :with the Participant u the, PartJdp&Jlu, '&Dd *. WHEREAS, In to the 1.1, to the ParticiPIDtI of \he output and seriic:1S of th' Project. the AuthorltJr

\\'ill al'O, obtaIn tor and prOlidl to tile Participants the Putldpants' SuppllClDtal.l!ulk POW" SapPb', as c!1fiJI.ec!, and WHEREAS, la oreler to the Authority to laue its revenue boDcb to pay the coati of. acquSrfnllZ\d conattuctiD' the Project, it is nlC:uury'for the Authorit)'

to b!ndUl1 contncta with I\lc.h polltrca1 lubdlvbfoD' of. the Stat, Geo.rlill.l may detIrmiDe, pl:Irsuut to authorit7 of I Ga. 1.. 1975, p. lOT, AI amendtd, to contract with the Authorit1, IDd aU .menta req,wed to be mad, In accordance

'With the provisloZUI of Article. nI of IUch cODtraCts, mclucUllf plfDlmtl required to be made under ArtIdelII of WI Contract.

aDd all other manu attn"butahJ, to the Projec;t or to the AJlJlual Prolect Costa, &I herdD&1ta-dtf1ntd, to b' mad, III accordaDeI witb or puzol\laat to any oUier pro'llsSon ot this Contract and othv contracts .hall h.e pIedsed as steurftJr for tha P&J'ZlleDt of s\lch.Bcnuu; .

• 1

" ,e NOW mREFOElE:

For and. In consideration of the premisu and the mutual covenant.

and isreemenla batter lit'forth, aad 1D order to pay thl A\lthorft)-

for its coati otllrovidtar (I) the djlant*. Entitlement Shari, ... ben!Dafter defined, of the output and lenicea of u.ch of the Proi let au4 (u) thl Partldplnt'.

StlpplemeataJ Bulk Power Supply. it 11.lilfeecl br*ac! .'betweeD the partlu hereto as followl: ARTICLE I 'I'ElUdOF DEFINITIONS Section 10L Tum. The tum af tlU Contract lhall beRin and thls Contrut ah&U CQutltute a bi=d1a.r p.l:ion of thl partla hereto from and after itl execution br the last Pub' to uma. The obllratfon of the Authority to )ravia. electric power and lurD' under the visi01l.S of this Contract lball beain with \he fint Issuance'lDd cllUYlrr by we! Authority' anr of ita Bonda which &1'1 aathorhed to be iuull! by the proYiaioDA of I GL 1.. 1115, u aalended, or, In the eVlnt !lotu of thl Authority are bauecl fA of the of BODClI, IlICh obUratfoll shall bldn with the 1..\lAnCl u4 cllllverr of IUch boDd.

notu. 'l'ht tum of Ws Contract ,hall contiDlll In fuU force ancl effect until IUch time, m:.tdiAr fUt)" tun. &I all of the Authority'.

BODds u hereiD.atter*

dlfinc or notea in RtldpatJon of the lslUauel of Bonda and the interut thuton hUI belJl paid or for paymeat shall havi been made In accordanci with tbl proyisloDS of thl Boae or uZltfl.uch lime .. the Project shall be reijrtc! from'.ervice, decolDlDis.'oned,.

or dispoae4 of by the Authority, "lUchever is later. '. Section 102. DellAitloNl:USc!

E%p1allatfoll o . As

<a> "Act" shaU mean that certain Act of the 1976 sUlioD of the CHural Assembly of State of Georril campllt4 and published in I Ga. L. 1915, p. 101, as tAl same hu QeeD herto!ore .or mar. be harwter amended. '.(b) '*Auaal Project Costs" ',hall m.an. with rupect to a Power Supply Year, to tent Dot paid u a pan of the COlts of A:equisitfOD and Canstruetlon, aU COltt and of the Authority paJcl by the Authority

'for each of the leneratfnr fadUd. auel the 110nl)'stem facflltiu comprfslnc the Profect durinr such Power Supply Yur al1oc&ble to Project lDcJudlJl", but Dot Uruftecl to, tho.. fte:nt' of coat cd up_nse referrad to in 806 (b) (e), hereof*. u Annual Project GlDerltloll Fixed Charres, Annw GenarUfon Coata, ADDU&! Project TraDlml1110n Fixed Ch&rs., anc! Other Annual '1'raumlialon Coati. . .0 . (e1 IIAnnual Supplemlntal Cosls" ahaU me'D :\ole costa and upensll of the Authority &Doable to the purchulnr or furnishlnr of SupplemenW Bulk Power Supply to the .(d) "A11Dual SYltim BUdret" shan mean. with respect to. FO\TuSupply Year, the It, adoptecl hi the Authority noll... th&a thlrty days prior to the of auch Supply Year wlllch budllt Ihall itemizi uthuates of Ano\l&1 FraJKt OOlta aud. .A.=aal plemental COlts aDd all reVlnuu, Income, or othu lunu to be applied to .such Coats, U..eI1, for aftd appllcabll to such Power SupplyXur or,ln the cu' of.an amlnded .ucb It, tor and appUa.bJ.

to Yur for the remainder of such Power Supply 2

(.) "BilHDr Statement" lhall mean the written statement prepared or C&l1sed to >>re. pared mont1:lly Dr the Authoriq that lhall b. bulCl Upol1 the ADDual SYItam Budr.t 01' UpOll th.

Annual S,..tem Budl.t adopted b1 the Authority to SectioD 202 bereof, and. thl.t aha1l abo,.. the monthb' amount to b. paid to the AuthorItY by the Participant mcordanc. with the promioM of Sectionl Gd 408 hereot. . (t) . f1BoDda" Iban muu the bonds Juued b1 the Authority purauaut to the Pl'OvWOl1l a! ' tbe RuolutiOD to tlnallCl or refinance the Co.t of ACIluialtioll

&Del CoDltmctloD of tAt ProJ.ct, wh.ther or Dot 1n1 Issue of lach boDdJ ,.hall b. IUbardlnated u to P&fDWLt to any other [ssue of Rch DoDd., Ud .baD Include additional Bonds iIIud PtlD1W1t to the sions 01 Section 501 herec:f and refulld!nr

Bonda iuue4 panu&nt to tbt provisions of tioD 502 bereof. er) "Bond RuoluUon" .hall mean the Power Revenu. llond RIIOluUOD

&Del aDy Suppl.. mental Power Revenu. Bond RliolutScn to be adopted by ,the Authority and Iccepted by the Tnut.. lAd the Co-Truste*.(if any) ther.under foithe benaflt of the ownerl of til. Bonds wblch shall provide tor the issuance*of Ncb Bond.. a copy of which PowedllYlnu, Bond Resolution IIDd Flnt SUpplemental Power Revenu. Bond Resolution in substantially tbe form to be adopted by the .A.uthority sh&Il b. on to. In the records of the Putfcl!l'nt. (h) "Bulk Power Suppl"" .hall mun, \Vith rapid to a Partlclptnt.

all e1actrlc pow.r and mer". required by .uch PuUc:1put in uceu of that amount (1) luppUed b1 aD7 ation and tranamluion resources owned by .uch Participant on the effective ute of this tract, dn' received by such Participant troCl the Southeastern Pcnnr AdmiD,lltratlon (SEPA). and (IU) procured by IUch: Participant from altenat.e bulk powel" supply resources 1J1 accordance with the provWolll of Section 404, hereof. . . (f) "Commercial Operation Dat." than map, with respect to eacb facWtT of th. Project, the of the da.y on ",Mdt such facWq of the Proj.ct ls, lD the opbdllD. of the Author-. ity, produc:iDr aDd dtllveriDl eleetrlc power and e11U11 for eommudal ua., prondtd, ....er. in the e.,at &Dr IUch

i. proc!udq and deliv.nDI electric power and earlY fol" commercial ule OD the date of &.cqulsition of the Authorltrll interest therein, the ity may establish a Commerdal Operation

• Da!:e tor .ueb taciliq date ahaJl be 'frithlD a rUlonab].

time of the effectS.,.

date ot such

. (j) NCoDlult!nl' brin.er" ..hall mean aD eDpneer or eDrfneeriZlr firm of national tatiOD hariDr demoutratad expertise in the field o{ eledric power alDlratioJ!, tnnsmiasioZl, 1'O",er lIupply, electric utility' operatfDUl, rates, and f.utbDit,.

." (k) '*Contzact" and "Power Sal.. Contracts" sball mean, rupective]y, th1a Coiltnct ,nth the Participant and all P.ower Slles Contracu, lnc1udinl this sublta.ntWly identical hereto entarad Into by the Authority and a Putlcipant; In ueb case u the .'IUD. may be aJIl.nded

!rom time to t!mL ..,. . (1") "Coat of A.equlsftioD and' Construdlon" aha.U mUD, to th. atent Dot Included.

In Dual Project Corta, all coats of and t:tpIDI.. of pl&Dninr, desiruiDI.

zequfriq', constructUr.r wtallinr, IDe! flnlZlcin, the Projec:t, placfJIr the Project In operation, decommf.saiODb1" 0; d1.=poS&l at the Projac:t, ud obtdDlnr roverDmel1tal approvals, c.rlUicatu.

pennfta and liceuu with resplICt thueto heretofore or hereafter paid or incurred by the Authorit)-

ADd .%;lay includ., in additIon and Without Um1tattOD, the foUo'fiiDI: . (1) workinl capital and rUin.. in amount! u may be establiahed pursU&:Pt to the BoDd Ruolution. . . . (2) lnterut accrulq In whol. OJ:' in part OD Eouda prior to and conatruetfoD aad for IUch a.dd1tfcma1 period LI the may rusoDabJ7 d.termiAe to be S

for the pladDI of Project or ur f,acUitr thereol fD operation b accordanc.

with the proTfafons at the Boue! Resolution. . . . . (8) of Initial fuel for eaell reneration facwtr of. the ProSect and WClpltal and resenu therefor aDd workinf capftalaud lUUTu10r reload fuel, (4) the dlPOlit or d.poalta from th. proceeda Of Doda ballad t.a flnauc**aeh.ccstl .in aDr :tunc! or .CCOlIDt ut&blbhec!

pursuant to the Bond RdOlutioll to DINt Dlbt Silo: 'rice ruerv. requiram.nts for Bonds, .(6) the deposit or d.poaits from the 1)rocuds of ROllc1a.luulc1 to filllDC. IncA costa In any' fllDQ.s or aecollnb utabl.bhed pursu.nt to the Bond ReaolutloD.

u ruerves f.ar 21'wals alld replacemellts, ratir.mot from lerrie., c!ecommiaslozWil or diaposal of aay Bauatms fac:Wt1 of the Project or contlDrceles, .' (6) traWnr and tutfnr costs InC\lmd by the Authority,' . (7) preUminary lnvest{p.tton and d....lopm.nt coati, ep'aMl teu, ccmtral:ton'.

feea,' costs. or labar, materials, eq,ulpment, services and and *Ieall and fin&Delnl costs, (8) all COlts of lIuu:ance appUcable period of cOlUtNclion, and (9) all other coltllncLllted by the Authorit)-

and properly allocabl.

to the acqu.lsitfon and eon.stnlctlon ot th.*ProJ.ct.

lncl\.\dmr aU costa fJn&n.ced by the Inulaac. of additlonal Bond' pursuant to SlcUon 501, hereol* .<=)

SeJMc,-shall mean, with rtlpect to aDY'perLoe!, the "'ITerati of th. a1l10unta required by" the Bond RuolutlOll to b. lIud durin.. wd period bsto aD)" fUDd or faDc!a created by the Bond ltesolution for the loll 'Purpose of p..yin,th, principal (lndudbr f.UDd "l:oataUments) of. &ud lInWum, if any, and on all the Boncla from time to time lnl' as the lame shan bleome due, provided.

how.ver, that Debt SUYice ahan not tuelude any acceleration of the lDaturlt,r of the Bonds. {n) "Entftleme.at Share" shall mUD, with rupec:t to a p ..rtic:ipant ud all1 SUlllll1 Year and with ruplct to the-ceaeratlD&, facilities (Inc1udlnr*re1&ted traDSUlisiion faciUt!es)

&oud the traumission IYjtem fadUties ot th. ProjeCt, (I) that llel'Centara

'of the output ... services of IUch reneratfDr facilIties let forth in the SChedule of Output En.titlemelit Shares attuhecl hereto for luch Partlcf1)&Dt in ludl Power Supply Year. u the lame mAT here&tter be incr....ed iu accordance with the proYbiiou of the Power Sales Contract.

'With luch ticipant.

aDd (il) .that percental.

of lenku which ahan 1M detum!ud b1 the AuthoritY durin.. ucb Power Supply Year to b. allocable to IUch Partlcipant In accordaDce the llrovlaJoDi of Sect!Dn 808 hereof. (0). "'Filet" Costs" .hall coats Incurred by the Authority durinr an1 Power Supo ply Year that are to the acquialtioa, proculiDl.

fabrlcatioD, tra.nsporlati012, lnl'. .torare, aDd dltpoJal*ot DUc1eu Dlattrfab required for tht*plIolr&tfon fUes of Project, lnc1acUDr U"&lJaters to reserves estabUlhed br the Aathoritr for IUch coats related to fu'ture Power Suppq-Years. Ius related to auell costa appUed as ate Us .the di.scretlon of the Authcn.'itv. (P) "Partie{pal1t" .hall mean the poUticalliubdloflsion.

wh1ch f. & P&rtT to thil Contratt. "Participants" ahall mun aU poUUca1 IUlldl9falona In the State of Georaia which OWll and .****t%ic l)'Iteml to aerY' their dUzens, InhabltaDb aad cuatOm.r.

bT vidl11i them 'With electric power and enlrlD'" &Dc! which .re partl. to cOlltracta With the ity lubstazaUa1l7 icIent1cal to thfa Contract.

The term "Puticipmta-,hall lwlld. the tfclpaDt," iDd the terms "a P&ri1cfpant" or "eadl Partldpaut" _hall mean allY oae of the Participant.!

or ot the ParticlP&Zlts, as the C&l1 1Zl&Y' bt. Partidpur'shall bcIude any commission or apAC)" of aueb poUtic:allubd1via1ou

."bich operata or cOllductl or exercialS jwi-sdiction over anT function of the Participant'.

electric dlatributiOD system. 4 I.

, (4,) "Powlr Supply Year" Ihall meln the calendar year, except. tha.t the flrat Power Sup. ply Year shall belln on the date thl Authority has an obU,atlcm to provide e1Idric pO"lr and InlllY as determined in accordance with the llrovidoDS of Section 101, hereof. (r)

Sbara" Ihall mean.. with respect to a Partid})ant and Power piY Yui, that percenUl'e of the 1a10watta or kilowatt boars, as the can may b.. at Uch t,ype of lemce included ill Supplemental

Bulk Power Stlppl, which IUch Participant I. mrtIUed to receive and for :wlUch such Particlllant Is obUrated \0 pay In each mo,nth of a Powlr Supply Ylar. With respect to kilowatts, such plreenbr.lhall be obblntcl for uch month b1 l!ivilUne the maximum one-bour inberatld colncldUlt 1,.ltem demaDel of IUch PartlcJpant'1 mental Bulle Power Supply provided by the Authority durinr the particular month by the lmum one-hour intlnat.e4 coIncident I),tam clemanda of SunltmlDul Bulk Power Supply , provided by the Ailthorltr to aU the PsrUclpanu durinr that 1I10nth. rap.ct to kilowatt hour.. IUch percenta,.

for each month .ball be obtalned.by dMdinr th,ldlo"att houri of Sup.. ptemental lIul1c Power Supply delivered by the Authority to IUch Partfdpant durine th. particular month by th. total kilowatt hOUri of Supplemental Bulk 8uPPl1 deliverc by the Authority to all of the Putfdpants durlnr that month. (a) "Project" ahall mean those eledric rlneratlon and rell.ted transmission faciUtfes which are fl1entffied In the Ducriptlon of Project and tho** tranamissJon system to . which referlnclS.

madlln thl DIscrlptlon of Profec;t to be acquired and conltructe4 by the Authority durin&, the time prior to the ColJUDere:iaJ Operation Date of the last of the In, faelUU. of the Profect b>> b. cornpl.ttclln orcler to meet th. AuthoE'ity'slnvesb'Dent sfbility durinl su'ch tIm. in connection

"'it:h any asreemmt for an Snurratld traD.lD\llsloD tem to which the Authority may b. & party In accordance with the llrovfslGDI of Section 802 hereof, together with. (I), any renewall, :replacemlnta, repatn, addltiona, bettu:menu and fmProvem.nu necwary, in the 'opinion of the Conal11t1l1&'

keep the Proj.ct in ,ood operatlnr condItion or to prlvent & 1011 of nVlnUIl 'tharefrolD, (tI) U1 ma.ior tions, improvemtllts, repaln and modifications to the Project and anT decommllltoDbl,s or . dispolall of the Project, requIred by any rovunmental 1l'enC7 havin, jurisdlct:fon over the Project or for which the Authority shall b. ruponaibl.

by virtue of any obll,aUon of thl thority arislnl' out of any contract to which the Authority aiay be a. party nlatlne to mlp of the PrC"ject or any facility thereof. em) those transmiulon system fad1iUu to 'Wh1ch rif'rence

i. mac31 in tl1e Description of Projlct alld which art required, til the aplD10D cf the Conaultiul' En,metr, to be acq,uired and constructed by the 4uthorfty on or attu the marda1 Opuation Date of the lut of thl rlneratlon facllltfu of th. Project to be *compl.ted in order to JDeet thl AuthoritTs IDvlltmel1t ruponlibiJltT after IUch Commerclal Oper!-tloD' Dat.ln cODIIICtion with anr arremlnt for an jntlrrated transmission IYmm to which thl Authorit:r Ihall bl a Plrq in. accordance with the of Section 302 her.d, and (iT)

required by Autboritr dudnr conltrucUoD of the Project.and for the fni' of thl *Project in operatioD for proYidJnl Bulk Power fncludini" Supplemental, Bulk P4?"lr Supply, to the farticJpallt. ' . (t) "Prudent UtllitT Practice" at a particular time shall mlan aD1 of the practices, mlthods and acta en,a,eel In or approvlC!

b7 a sJllIificant portion of thl .lectric utWty dUltry prior to luch time, or aDY of the practices, and acts which, in th. cerel** of rauonabte juilrmeDt In Ul'ht of the facts bown atthe time the decision was made, coulll have bien .."(pected to aecornp]l1h thl duired result at the *lowest reaSonable COlt consistent with I'ood bu.dnus practfceJ, rellabiUty, ..(ety and e..

Pr\Jdant UtiUlY Pract!c. 1a Dot fntlnded to be HmJtecl to the optimum practice, method or act to the exclusion of all others. but rather to bl a apectrum of possible practices, znethoda or acts havmr clue rerari for manu!actunrs' warranties and the requ!remlnb ot 'aoverZlIDlnt&1 alendu of competent 6

jurladlcUoJ1.

In whether" aDY _ad or propou} conforms to Prgdmt Utility PrIC-o tiCt. the lliztles ,ball taka into account the objecthe to achIevl optimum utilization of the' Authorltr" (u) "SupplementAl liu1k Power SapptT' shan mUD. with respect to a Particill&Dt, that portioa. of Balk Po1rer rlqwnd by IUch PuUclpant

!D of th&t the ProJec:t 1M. unless otherwfse provided, from any futurl llrojecta owutd or coutroDe!

br . tU Authoritr from wblc:h tht PartJcillant col1uaeta with the* Authority to purchase electric power alld cerD and hi exc:us of the Kluratln.i apacity reserve lervice, ttolZllmlsalDD IIr.. vice, sc:heduled, ell\erllDcy.

or econQCDY lDterc:Jw1rellmce, a:u4luch other aemc:. lISoc:lated with the Project as shall be supplied by the Alathority in' accorduet the promfoDi of Seetlon a08. hereof. (v) "UncontroUable Forces" muns aJl7 C&alt beyond the control 01 the lFhlc:h by the exercist.of dut Authoritr ta Uu,b1. to prevent or overc:om.. lDC1udinr but not: Umited to. failure or refusal af any other periOD or otity to comply ,nth tha I%Iat1Dr coiltracb with the AuthorltT or with a P&rtlcJpaIlt, an act of God. !Ire, floOd, explaaloD, sbike, labobre, putDau:e, all act: ot tht public enimy. cMI and lZIllitary authority Ine1udinr court orders, 1DjUDctlODli.

a.l1d ordera of loyernmental apnc:iu 'ft:ith proper surrectioll or riot, all act of the eI.ments.

faUure of tqwpmmt, or iDabWty of th. AuthoTlty or any CoDtnctors InraKeelln work on the Project to obwD. or Ihip materIals or equipmeJlt bec&a&a of tht efftct ot ahnilar caus..'on luppUers or 'carriers, or 1DabiUtr ot,the Authoritr to sell or bauelts bow or DotU. . (w) "Uniform 5rstlJn of Accounts" meatlS the Uniform. System of Accol1Zlts for Class A .and B PubUc Utilities aDd Licenaeu as praeribed from tlmt to time, as amended or modined or thenfor made b!, tht Federal Power or.lts sUC:C:Ulor.

AR'l'ICLE n CERTAIN OBLIGA;TIONS OF tHE AUTHORITY AND THE PARTICIPAm" SecUon 201. ':Bulk PDwer Supplr. Th. Authority "hall >>rovlde or calllt to be provi6ed and the Iban tlke tl'= the Authority the Bulk Power,Supply of the Participant.

The AuUiorit;r will be re.spona"ble tor pla.a.nlnr.

llerotfatinr, d-.lrninr.

1inaadnl, &CQ.llirlnr 01' ,onatructll1i.

conuactin&'

tor, admiJJiltarinw, Opuatbl., and maiDt&lnmr aU reneration and trlaamJaaiou arraDIGDeDts Ind facUitiu necessary to effect tht dell\*err alid lale of luch Bulk POWII' Sapply to th. Par-. tlcipant, provid.d, ho""ver, thAt the Partieiput inay procure alternate balk power luppIr rdourc;es pI1r1U&.l1t to the terms of Sectlau -<<04, harlOt. j Section 202. .Annual S1alem Tb. Authority will prepare and submit to the Participant aD. Annual Sntem Bad,.t at least mnety daTI prior to the btainntnr of each Power SlJPply Year. Th. Participant:

m&.Y the.n tubmit to the Authority, uy tim. untflluch bud ret is adopted; 1111' matt.ra or rutiana rellltfq to t1Ie Bud.et which tht Participant -mar cart to prumt. Tht AllthoritJ shall then proceed with the. consideration and adopt!{ln of such Budr.t p.ot: lUi thall thirtT DOl" mon tAaD tart:r-llve day. priar ta the btriwDZ of IUch Power Supply Ytu and. ihall "use cop[el ollUch Budret to be delivered to tha Participant, prOTfCit.ci, tht .t for. the fint Power Supply Year sbn be PApand, conaidered, adopted and dl1lvn:8d In 6 the moat prlctlea'ble manner available In the dbaetioD.of thl Authorltr.

AI required.

from time to time durla, anT Power Supply Year &Iter Wrl7 days notice to the Participant, tILe Authority may adopt amellded Annual System :Sudret for and appHc:able to IUth Year for the remaindU' of such YIIl'. Seet10n 108. Reporls. Th. Authority win Ptepue and issue tQ the Participants the folloWiDr reports uch month of the Pown Supp]yYear:

(1) Financial and Operatinr Statement reli.t1nr to thel'roiac:t ad to the Supplemental

Sulk PaWer Supply, " . " . (2) Status of Ann\?al System Bud,et, (3) Sbtua of construction.

bud-ret of the Project durinl construction.

(4) Analysi. of operations rel&tinr to the Project aDd to the SuppJemantal Balk Power '. ' S.ction 104. Records and Acc:ount".

The Authority wiU keeJl accura.t.a recorda &1115 ac:counbof each a! the facUltiu coznpri.lnc the Project and of the tnDUctfons relatinl to the Supplemental Bulk POWI:' Supply &I wen u of the opuatfons O! the Authority in accordanee' with tlle Unlfonn S11t1m of AccountL Said accounts .han b. aubiac:t to an annual by a firm of independent certified public accounta.nts L"'CPerlenced in ellctric utiUty accountln:r and ot national reputati011 to a .mitted to the Authority within sixty daYI aftar the c:loa. of any Power Supply Yeu. 'All transactioD.l of the Authorit,'

relatinr to the Project and' to* the Supplemental Bulk Power Supp!7 with raped to each Power Supply Yur Ihall be lubject to IUch &11 audit. Sect!1Il\

205.

EDrlnur. Ca) The Authol"ity will' retain a comultinl' enziJlIU to JSllst, advise and make recom* mendatioD.l to the Authority on matters reIa.tinr 10 alectric power raneration.

traJlm"UioD.

power IUPply, electric utJllty operaHoD.l.

l'at.u and c:hr,u. teaaibllitt and budpta awl.hall IUch. co11lultfnr enliDea" to preJlare withba o:l:e bUDdred aDd twenty dais fol1cnrfD1' the clo** of uch Power SUJlPly Year an aQual c:ompnlmwve repori with respcf to th. PraJeet and. to the SupplemcDtal Bulk Power Supply for the prececUnr Power Supply Year which Ihall contain a copyol the azmualludlt and whIch ahall1Dc:ll1de: . (1) A report on the operation.

o! tht Authority; (2) A report' on the ml.ilallment of the *Project; . (9) A OD of 'raies wrres for (4) A OD requirements tor future blllk power suppl)'; (S) RKommendatiollJ as to chanres in operation and the 1Daldnr of repairs. reDew-Its. :Ipllcemau, emJ:isiou.

betterml.nts dd improvements; and . (6) 'A llroSec:tion of the AuthoritT.

cOlts of providiDI the Bulle POWII' 8uPpl7 to aU Participants for the en.sWDI five yIU period. . " .. ('b) '!'.h. Authority shall uUle a copy at nIt! GrinMDI' report to be delivered to ucb Particlpant. . . . . . ' If Sedian 206. power Sapp17 Plannlnr* . . . . '1'be wiU keep the Authority advised on aU matters relatinr to the pant'. power lupply planJl.iftr lneludlnr but Dot limlted to lod fozec:astl, propoled Jnisslon and and l1ew dellvery poinb.

201. DlUrenee. . 'the puticipant will Berd.. dlUrmee in the of its electric l7Item with the view of .tCurinr etficltDC7 keepini'wfth Prudent UtUlt7 Practice.

wU1 COl1ltruct Its fadU.. tiu In aeeorunee with speclfieatfoDS at least equal to thOIt prueribed by the National tric Safity Code of the U. S. Buruu of Standards, win maintain its lines at aD tlmes iD .. late opuatlnr condlttau.

and wiU 'operate aald liDu in luch ZDJ.Mel' &I not to intuftre dulY' \Y{th the operatfoDi of others. The Pattlclpant wUl use

..mee equally.from the three phues u U pOllible ud will malntain a power factor 01 89.4" larlinr or auch rreater power factor ... tDa7 be alreed upon br the Participant In the Urbt of Q1' other 'tract betWeen the Autborlt)-

and &.n1 other party, and such IIfHMmt by the Participant shan not be unrtuoaablywitbheld.

". . Section 208. Acee.a. Participant win rln allneelUary permiulon to enable the arentS of the Allthority to e&n'y out this Contract and will otherwise be lubj act to appUcable tU1D8 and conc!itioaa aet torth .1n thole tariff. which affect the Particlpant ud whlch are filed with Fecleral er Commission.

The Authority and the Participant u.ch will &in the other the rirht to entl:' tha premiaes of the oth.r at a1l re.sonabl'.tlmu

!Qr the pUlpoae of repa{riJlr or ratnamr . taclUties, rudlnr meters net pertormlnr work Incldental to deUveiT and receipt. of Bulle Power SgpPb'. . S.c:tlon 209. Adjustment

• .'At the end of III:A Power Supplr Year the Authority .halI determinl if the .rn'rate amount paid by the PArticipant -under SectioN 307 ud 40S. henet, to provide recovtr7 of aU the Authority's COlts dllrinr'such POWIr SuPPlY' Year wu In tl!.. proper amOQllt, ,and, upon the makinr of lueh determination, any amount fou.nd to bon 'hem paid by the Par.. tlcfpant in e:cceis oftl1.e amount which lhould have been paid b)" the Partlcipant.hall be credit.. ed. on the BiW1\I' Statem.nts to PartldplU1t tor the remahdnr month or month. ot the Power SllPply Year next aueclediDi' the Power Supply Ylar tor wblch adjubaeDt w... a.termlned to have been necessary.

Tell of the alZlount ot aDy defic1tDQ" ,wU be addec1 to each of the Jim teD BilUn, Statementa.

In the ,,,ent that the failure of & pant to P&1 its.Entitlement Share at Annual Project Costa in accord&nc.

with* ita Power' Sala Contract ahan havi resuIted.ln the appUcation of amounts in 1LIl1 ruel'lt or workb1r fund under the Bond ltuolutlon to the pa)"ID.lJlt of costs parable from IlIdI rill"' or lDr fund and thl other Partlcjpantl Ihall have made up the' deficieDC7 elUted b)" IUch cation or paJd Iddltlonal amount* .lnto IUch reserve or worldnr fund. amomta therwter paid to the Authority by audi Iloupaylnr Palttelpaut for application to IUch put dlle payments lball be ereclited 021 the BilllDi Statements of II1Cb other Participants In the nut month or mOJltha &oS ahaU b. appro.priate.

Section 210. -Disputed blontht)" BWlnl' Statement.

In ease aD7 porUon of any lnontDJy*

BIWDr rlcelvlC1 bT the Parl1clpant from the AuthorIty, shall be In bona fide dbpute, the ParticlpaJlt shaD pa1 the AuthodtT the full of auch monthly BllUn. Statemut, Ind, upon c!etermtnatfon or thl corr.ct &%Dount, the d1fference between IUcb correct amount and such full aMount:. if allr, 'W'illlle credited to the Participant by the Authoritr

&ftu IUch determination.

In the Il'lnt IUc:1l BOOul statamut fa In dispute, the Authority 1ri1l1i.e coulderatioD to llich dl.put. &nc! win advi.. tha Partlcipant with rqlrd to the AuthoritTa poaitlO11 re1&t1vI thereto wlWa th1:t7 "r. loDowlnl notification bY. the Participant of .ueb diaputi. . SecUon 211. SoUlc.i of ParUcipl1'lfl Payments. . The o'bU,ations of the PlrtlciJW1t to make the pann.nts to 'the Authorit, under thiJ Contr.ct ,hall constituta relleral o'bliaat1oDl of the Partidpant tar the ,p&rment of which the full faith and credit of the Particlpant IhaD bl and the lame hereby Is pledllcl to provide 'the funda required to fulfill aU oblfpt(olll arIsinr und'r th!; Contract.

UDleu such P&)'1DOU or proviuans for such pannenta shall havi balD made from thl of the alactrlc UID at tJie Partfc'hwlt or from other fUlIcS. thereof; thi Participant will allnaally.ln uch and e.uy liscal llfr durinr the tum of thi. Contract include In its ItDeral, or " priatioll measure, wblther or not any other item" arl iuclud-.:!, ..uma sufficimt

'to aatiafy the payments rllluired to be made "ill each year 'by Ws Contract untn all paymlnts required der this Contract bavi 'bIID lIaJd in full In the event for any reuon any lueb provflloD or appropriation SI not made for a l!lcal yur of a ParUdpant, thea the chief fllcal oftlcer of thl Partic:fpant shall, In accordance with thl provflfona of the Act In effect ... of thl date of this Contract, let up as an appropriation on the accounts of the ParUc:lpant in each flleal year the amounts reqwred to pay the obll,aUonl' called for under tAil Contract.

The amount of the appropriatfoll in IUc:h fiscal rur to thl obli,ationa ,of thil Contract thall be 4ua aud P&1able anel mall ba expended for the purpose o( payinr and meetiq the o:bliratlona provided under the urJD.ll and cond.itlonl of th!a Contract.

and IUch,

.hall have the lame . lera.] .tatua as if the Partldpant bad included the amount o( the appropriation fn ita fmeral rnenue or

" S.ecUoD 212. Ratl CO'YllWlt.

Thl Participant will utablish, maintain and coUect rata and c:harra for the electric service of its altctrfc I)"Itlm so as to revenuu IUfflellnt.

tOJ'cther witJi IvaJIable tric system rlltrYu, to mabIe Usl Participant "to pay to the Authont;r all par.bl. under thfJ Contrac;t and' to pay all other amounts payable from and all lawful charIu .,alnst or Ueu 011 the revlDuu of its 17item. . .ARTJCLE m .. ELECTRIC POWER .AND ENERGY FRO¥ THE PROJECT Sec:tloa" 301. Ownuwhip' of Project: Thl Authority wiD Illue the Bonda In luiu 'from time to tbDe under the Bond tron to flnallce Ind .hall own the Project of the A.uthorltTa ownershfp lAtereat III the tnd transmLuloD faclliUu described In the DacrlptSon of Project attaChed to thll CODb'ad and will c:.&ule to be d.uvU'ld to the. PutlcSpant durlnc u.th month of each Power SuPPI1 Year Ita EDtltlament Sh.rll of the.out1lut and 'aervlces 01 uch f&dlJq of the Project for the u.efuJ ute of each IUch fad.Ut7 of thl Project.."' Sectiol1 302... COlts at Gcneration and Transmwion Fac:nities Compn.q the Project. <.1 'nol.,eDer.tion aDd tranamlsslonfaciUtic.

compri.inc the Project wiD, for pUrpGHlI S of accoantiDI for the Authority's coats and charllS to the be lepanted "intO (ii leneration.and.

related. lraumlulon fac1Utiu, aDd. (11) trlDlmiuioll

.(b) The costs of providlllr to* the Participants thcr Shaw of . luch leneration aild related tadUtiu u U't Included In the Pro)lct wU1 be ae-, counted for u d...crilled III 80,6 (b) heriot, anr! . . (c) The Authonty'l'colta of to , Participants their Entitlement Shares ofsuch trtnamIsaion system Ca.c:Wtiea u are in.cluded m the Project wiU be accounted tor II dllc::ibed in Section 306(c) beuof, and will be detarmlntd u follows:.

,. (1) Such tnnsmwion system lacWtla II are Inducted In the Project will be acquired . by tb. A,utbority frOID tim. to tim. tor the term oC t:h& COQtract thloulh participation in an in,tapted system ***m.nt witb other ,:&UUtfu.

n. Author!ty'J ruponsibflfty In IUch tranmlfssion system faciJltitl for a"y Power Supply Year Will be that of the total inv.ltmeDt In the combined tnaamlaion IYltem CacUlUes of the Authority and such oth.. uttllties obtained by dividinZ the delftlll1d of total Bulk Pow.r Suppl7 ptovided by the Authority to aU the Participants chuinlluch Pow.r Supply Year by the demand' of the Authority

&nd. such other utJUti.. durln,wc:h Supply Year and Ixpressinc the ru!!.It u a pezcenule.

Thl! Authority'.

ruponslblUty for annual capital cosll re1&&, to l'Inewall. m.nts, repairs, addition., bettenn.nta and lmprovlnuntl to aDd for annual opentlnl coata of sueh tranamluion

'Yatam faclliti'l for any Power SU9Pt, Year 'WiU be the* aMuaJ capltallZld opentilll co.ta lnCWted by the Authority tor such facUitili.

(2) In the ",ent the Authority Ulllmll responsibIlity lor ot the Partlcl* Plata' &110 tcnutI, ot SEPA power pwtuant to &aUI.menti llJr ,!hlch provision 11 made in Sections 803 and 804 benot, thlr Authority" responalbWty Cor Jnvutmtnt ln, and annual capital and operatlnr co.ta ot, sUch ayitem"facilitles acquired by the Authority from time to 'time throulh participation in luch lntqratad tranl. Iftissian system altllment may be incrlued.

Th. Authority'.lnvatment tesponalbDlty in such increu.d tnnamwion IYltam tacUitJu tor any Power SUPpl7 Yev wW be that 9lrcental'

'or the total Invutmant lil the combined tnQSmilalon facUities of the Authority and such other \ltWUel obtained by dividin( the denwid ol Nch SEP A pow.r plu. the demand of total Bulle Power Supply provided by the Authority to aU the Participants durin( 1Uc:h Power Supply Year by the combined demands of the Authority and .ucb other utilities durin&' auch Power Yur end exprea\nr the re.ult u a percentare

• .The Authority's rt.ponsibUity fot annual'capital COlti rtlatinl to rlne,.,alI, rlplacements, repain, additions,'

bettermeuu and improveM.nta to and fot annual cOlta oC luch iner.ued transmission system f&cUltiesfor uiy Power Supply Yea: will'be eaplta.1and operatlnl costa lncunlc1 b,-the Authority sucb faCWtilL . Section 80'3. InttrconnecUon ArrnnlIM.nls.

The A\l.thoritr wfll purchase or provide .such ,.eneratin,.

eapacily rellrve lervice, :cliulon .enice. mahltananc.

IImce, .merlenc, service, ecolloDlT iuttrellaDI' service ane! other inttrcbP,e IImee Ulociated

\Tfth the U ID&Y be neclSS&l7 for the reliable and econornical supplY ot the output ud senfeu ot 1M Project aud wiD ca\l.. to be dellv.red to the Particiliut each month of the Power Supply Year tts Entitlement Sb:Lre of such and .erviCIS.

The Authority may Ull .lecure .DUIY from thl Project wblch Is lurplua 10' the of the Partlclp&1ltJ, as .uch surplus may be available from tim. to time. for the purpoSf ot economy lnterdJanll servlc' or other iaterchanll .emc.. with othen, any II.lt revenues received bT tAt .AuUlorlty tor &11)' IUch .emces slull be credited to the Participants r.r Authority ID to their Entltlemlnt Sharu. 10 SectiOIl 304. OpuaUoZl and lrIaJnlen&ZlCL

'1'he Authorltr covenants and 1(I'Ies that it will operate, and mlurl the prg. jed or caUlI thl laml to be operated, malntaiDeclua manazed in an Iffldmt and leallnamer, couiateDt

....ith Prudent UUUt1 Practice.

'.' . Section 105. lDsuraDce.

The Authorily Ibll maintain or tau.e to be maintained, ill forci for the bellifit of the parl!ea hereto, u thefr iDtercrt shall appear, as Costs of Acquisition aud Constraction or DUal Project: Costs, IUch insurance with rupect to the Project as shall be &vaUa"bl.

ancl as is usnally caniecl b7 ut11itlu constructinl aDd operatinl leneratinr facilities but. m the of nuclear ilJleratll:lJ' facilities, bot less than win aatll!1 requiremmll of Federal cd ltaq la'" 1114 the N\ldear Rel\11atory Commission nllllationa aJ:d such other insurance as 11 ally carried by electric utilities in co.ntormltr with Prudmt Utilily Section 806. Char,es and 1!illinl.

for the Project. (a) 'I'De Anthorlty willlStablish b.lr and nOJltllscriminatorr charles for all output and service proYidad by the ,Authority to the Participants nlatlnr' to ueh fadlity of th. Project deaiped to rteO"ftr all of the Authority'.

C'OIU allocabZe to such facility cClDUUIncinr with the CommercIal OpuaUon Date of lueh facility or tbe dllte to which Interest bas been eapltalhed on Bonds aUocable to I\Ich fatillty, whlch,vet is the urlier, as let. forth in th.Azmua.1 System Budiet. or the alZlended.

Annual System Budl'tt aaopted by the Aut.\ority punua.nt.

to Section 202 hereof, and such coat. aban mcl.ud. Annual Project Costs. .(b) The Annul Project Cost. ..uocable to tbel&Jlerat1on and related b-aUlDLufoD it!u of the Prajee:t shaJllnclude at leut the folJowbilr Items of COlta uel 8X1ltnae:

(1) "Annu&1 GeDeration Fixed Charr..,N 'Which IDUl1I:' (A) the'amount 'Which the Authority II required under the Bond Resolution UI PIT or deposit iuto any fund or account aubliahed by tha Bond Resolution for tile of Debt Service aM aDy reserve nqulremutl for Bondi whIch ate allocable to (l) the .tnentlon and related trlJ1lmlulon facilltles of the Project aDd (ll) the worklDl capital which la requIred b1 lb. Authority tor prol'ld1n.

Bulk er Supply, IDcludJn, SUppleZDaltal Bulk Power Supply to the Part1clJlaDti which 11 allocable to the reDuaticm and re1ated tn.:umlsslon fac:1Utiu of the Projecti . (E) the amount (not otherwise included under 10117 item in th1J kt10n 80S (b>> allocable to the .eneration and relattd translnisaioD faclitia 01 tU Proiect which the Authority 11 required under the 1!ond Resolution to payor depolit dunn, auch *Power Sgpp\" Year Into aDY other lUnd or aceOUDt utabUlhed by the Bond tion. alld shalllDclude, without llmltation, u:r such amouZlts requ1rtc!

to make up 117 dcfldenC7 in any raerve fund or ""orlciA, fund requaad or per=1tte4 by the Bond Resolution raultin, from & default in payments by any Participant or ticipants of &mounta dae under ita or their Power Sales Contracts with the Authority; . .ee) amounu wbic:h the Authorily Is reqwnd under the provisioDS of the Eonci Resohztfoa to payor deposit into a ruer.,.* for renewal. and fep1&cements

i. (D) a.mounbl which must be reaiitacl by the Authority' for of SllVice as may be required by.the Bond Ruolationi

.. .(E) amounts which Must be set aside bT the AuUaoriq for tb utire=mUrom u

aemcl, or disposal of 'the ,eDeration faciUtiu of the Project .. " DaY be required by the Bod Resolution: (F), imounu "bJch must be paId by the Authorit7 for the pl11'Cbue of fl1' capacitf nsertel far the Frojeetj '(G) 'amounb whIch mUlt be paid. by the ',Authority for the purehue of aiolt servlCI the Projecti and (2) "Other Annual Generation COItr," which meam: , (ot), &11 costs of pr04uclnr an4 deUverinr electric power and euer" from the Project and the Participants' Enfitllll1ll1t Shara indudlnr, but DOt Um!ted to, (I)' Fuel Coats and other ordinary operation and maintenance cOltl UId aions for ralrvu therefor.

administrative and rlnud costa. insurance, overhead an4 anT charrea payable by the AuthorIty in co!lnectfon with the output. of tba Projac:.t, (Ii) nil COlts 0' acheclulecf.

amerr.ncy, ecolLoln1' or other iaterchanle I.mce red by the Authority In cOnDlCtion with the Project, aad (ill) all opuatl,onand main* tenance co.ts rel.ted to operatlnr and collductlDl of the of ity InclucHnr

..larla, fe. for 1Iral, .nrineerinr, aAd other lime.. and all other expenauproperly re1&ted to the conduct. of the l.!faJn o,f the Authority; and ' (B) &mounu required of the Authority by the provisiolll of the B!ld tion to pay the'cOit of or to proTide rulJVu fOr (I) ..

operatinr and malntaDuce CDiU includiq the cOlb of Icheduled, ,merrlllC7.

Or other fntm:hanl'l aemce and th prevention or COn-ICtion of anT unu.lIuallolll or damale to kHp the lenlratiDr f&eillU.. of the Projtc;t roocl opu-atin, condition.

or to preYIDt a loaa of revenue therefrom, (li) allY major renevi&ls, replac.emenu.

repalra, addltfcms, bet. terMentl and ntcts.llary, In the opinion of the ConsulllDr EDlInen. to keep the ,enera.tlnr faclUU.. of the Project fn IOod operatinl conilltion or to pre. 'Vent a 1011 of revenu.. therefrom and" (iii) any 1Ilajor alldltSoNl, imllrovemanb, pairs or modifications to any auch ,enentinf f&dlity, or any deeommbsioDlJlll or dispouJI of any IUch tacl1ll:1, rlqwred br anT lo..,rzuamtal

&f'ZlC1 1111 jurisdiction over the Project or for which the Authority sh&l1 be r.poulbli by virtue of any obllratlon of the Authodl7 arlanl' out of &111' COIltrac:t to ",hIeh the Authority may be a part7 reJ&t1nr to ownenlllp of the Project or any facility th.r.. of to the ..'rtut that the Authority f.s not reimbursed

• therefor from the proceeda of lusurance or fqnds for IUch panncmt are not ava!Jabl.

to the Authority therefor from &I1y fUI1CS1 or accounts e.tablisl1ed under the Bond Rlsolution, or tLlnd.J for such payment are not provided or, to b. provided by thl issUance of addltiond Bonds P\UlUIJlt to Aztlcle V of this Contract. (c:) , .ProJect' Costs allocable to thi tranSmisllon Iystem of thl l'rojec!;.lhaU il1duda at lealt ,the foUowinr Items of COlts and expeue: (1) "Anllual Project

Cu,JTlI." whic:h means: (A.) the amount which the Authorit,r Is required under the Bon,d Resolutioll to paT or depOllt Into-a'n,. fund or accolUlt ut&bl1lbed b,. the Bond llesolution for the paTment of Service nd any ruervi requlrlDlen.b for. Bond" which are allocable to (f) the tranamLulo4 SYltun tacIUties of the Project and (U) the woz-k* Inl capital which fa reqvired by the Authority for provldinr Bulle: Power SIJIlPl,.. eludlnr Supplemental Bulk Power SuPPlY. to the Participants and which is allocabll t.o the transmisalon ayatem facillties of the Pro'ect; 12 (B) the &!l10l1ut (not otherwtae includ.d under any item of thb Se.ction 306 alloclblt to tbi trnsmiuion Iystlm fidUtfea of the Project which the Authority b required under the Botu!

to payor deposit durin.. nch Power* S\JPply Year Into any other funo or account uta.bJ1sW by the Bonel IluolutioD, and shall lnelacl., without limitation, allY luch amounts required to matt up u17 c!ef1ciCCT In U7 rilUT' fund ar workS".. fund requlreel or penzdtud 'b7 the Boad RISClluUcm resultb1r hom a defaUlt in paymmb bJ' any Pa.rt1dplnt or Partici-Plnta of amounts aut Der its or their POWI%' silu Contracts wit'h the (0) illt amoUDt which the Authority Is rtcluired uDder the prorilfou of the Bond to lIa, or deposit Into. reserve for IJld replacanenta i and (D) amomats which must b.

by the Al1t.horlty for covlra;e of Debt Suvice u may be required by Bond lluoluUOD:

and (2) "Other Annual :Project Tranamtsllon Costs." which meant: CA) amounts for ordinuy operation lacl malateanee COIta, admJn.lstratlve I.Dd leDeral co.ta, overhead, any other charles by the Aatborlty in cOJUlletion with luch trlUlS%l1{asion I7IWn facil1tiu, 1ncludhll' an credits due to Participants with rupect.. to delivery point tranambslon f ..cilitIu i lAd. CB) amounts required of the AuthorIty by the provisions of the BOJld don to" It&)" the corts of or to provide ruervu tor (I) utTaordinU'7 operation ad maInteoanc:e coat.s. iDcJudinl' the preventfon or corr.ctlon of any uaulJa! 1011 or a..e to keep the uan.smwlol1 Iystem facilities of the Project in ..ood opuatin.. &tition,1)r to prlvet.a loa of ravenuu thuefroD:l, (If). any naJor reewals, replac..

• menta, repain. additlolll, h.ttarmenta lAd lnaprovGneZlu neGaS&r1, in the opinion of the Conlaltfn, EJlrinIU.

to kaap the transmlulOll snWn fadllties of the

. In cood c:onclitfoD 01' to prevent a Iou of renDuel therefrom and (m) any major: addiUons.

improvements, repilr. or modIfications to &%1Y such tr&11lnUaalol1 facllft1 requirecl by 1Il1 rovernmental arlncy havm.

o'"er the Projeet or for w!Uch the A.uthority .haJI be responsible by virtue of any obllptlon of the thority wine out of anT contract to which thl AuthorIty lUI be a pazV nlatin, to ownenhIp ot the Project Or ally facIUty thet.of to the e:dent that the Authority II l'dmbursed therefor from the proceeds of msurance or fund.s for such ment are DOt availabl.

to the Authority tberefor from anT fUlld.l or accounts Ulhed bDder the Bond RtlolatioD.

or flJDda for luch III Dot prov'dtd b;, the iaauanci of additional Bonds JllJrsU'lnt to Article V of this CoDtraet.

(4) Th. Authority Iliall b11l the Partldpallt each 1Il0nth durin, eic:h Power Supply-Year by prondfll.. the Participant with a BUHD, Statement for *.uch Manth In accordanc:e with the cbUZIa ata'bUlhecl punUIDt to the pro'Ntons of thb Section 306. Such Statement iet forth, amon, other. thbin. the lum to b. paid tor IUch month by the Putfdpant lor Its EntitJemlllt Share of the Project out):lut IU1d services.

and IIId1 .urn*shall equal the Participant's Entitlement Shan of that amount of .A1ulual Coata, u estimated 111 the thua cunellt Annual Sllt.ezri whIch the Authority II required pursuant to the Bond to aeaue, payor set &lId. dur!n.. eac12 month: Such lDonthb' BlUiD,* Statament PaD a ertdit 10r IUch deUve17 poInt tran.mJssJon facnW... AI are oWDed. finan\:ed, or operated by the Partic:ipant.

and !uch BIUIni' Sti.tement shall b. paid by the PaZ'dclpa.nt OD or beforl.the tenth day !rom the date 01 IUch bill. Amountl due and Dot paid by the tldpant on or belon .aid day lha.lJ bur an addJtIouJ chure of one lAd one-half pucct 1181' month until the amoW2t due it paid in full. At the end ot each Pc':Ver Supply Year,* mmts at 'bWfDl' JhaD be made In accordance with Sectlon 209 hereot. It the ParticIpant pay. IS lesa than the full amount due with respect to .. BUlin, SbumUlt, the plrlW P&7DllDt 10 ceivld ,&&11 be appli.d f'Ult iD ditch.r,.

of the Partidpur.

oblf,atfaJI pay Itl Eiltltlemmt Share Of the Amll1al Profect Coats at provided la this Article UI baton U1 funda frOl;ll .ach partial payment ar, ipp11ld dilchar,e of the Pirt1dpnt'1 obU,atlons Ima. the visfoftf.

of Artfcle TV her.of. . . Ce) A.t such time. u the Authority 1s.ues additional Boacia in accordance with tAl visioDS of .Article V, hlreof, the Authority will merlu. slla .lemeatl of Anoud :Project:

Cocts al ue nlCl5s&rY and the Participant than pay. its EDtitlemeDt Share of NCh 5Dcreued

to the provtslou of Stct10D 301 h.nQf., SectloQ 301. Project EnUUemul and Fa7lDeJlt ObllraUolUI. . Ca) 'I'he Partlc:iPlDt .hall be II1tikled to :receiVI Entill.miDt Shul of tll.-outpat and transmission lemcet ot the Profect: and ot. all" luvices 07 the AutAorlq !D lIQ. corduce with the provf.lons ot SecttOD 30a herlOf, as m&7 be availabl.

tor t4e useful ll:t. of the Prof.ct. . (b) The Participa.nt .ltall pay Ita Entitlement Shan of Al1I1u&1 PreflCt Codl .et forth in the monthly BnUDlr St.atemub lubmlttecl by the AutJ1or1tT to the Prid,qt In accorel. ance with the prorisfons of Seetton 806 hVlIOf, or not the PrOjKt &n7 part th.... of hu been completed, is operatlnl' or operable or ill output fa auspencled,fatanupted, tarfved with, or curlalled or tennb1&t.ed lD wh.ole or 121 part, 1Ul4 auch PQ1MJ1U .halI not be au'tlIect to reductioD whether b;y offllt or otherwbe anclahall Dot bI upon the performlLnce or JlODpmorlD.lUlce by partT of any alTHment for l:&U58 what.var.

Seclioll 308. Detenadnatlon of ParUdpant'l Entitlement Swes ot Trans=fuloza Slltem elUt.lu Iaclvlled ill.the Proj.ct.'. . Ca.) With rupect to .yatem facUlties Included in the Froject, the EDtitI. Ment Sba.re for each Puticlpant to be c!ettrmJned by the Authority each POwtl'* SU'P,pl,.

Year ,hall be the per.;aDt&re aItacabJ, to the Participant at the traumluloll servlcel provided by th. Authority

&Z1d of the costs Incurred b;y the Authorlty reJatiJ1l' to such traumfaiOI1 rys. tam f&dUties u are &cquired br the Authodt7 from time to time tor thl tenD of WI COlltn.et throurh participation

• in &D latenatad tZ'azwnW[OD

'Yltem alrttmeut wIth other utilities.

Such pez'CCIltare shan be determined b)" the Authorit;r by cUvIcUnr the anr.... ot th. cnte:-boar intep'ated colncideDt

'7stlln d.ma1lds for Bulk Power SUllPI1 pz:avfW br the Authority to such Participant uch month of .ueb 'Power SUPpl1 Year by the averap of the hour .yate:al demands ot. totAl Built Pow.r SupW ptclvlded" b;y the thorlt7 *to aU of the dumr month of sllch Power Supply YI&% IUld upruaiDr the mult aJ a perceaul" .0 that, when &11 of .uch Entftleme.at Shard 10 computee!

b;y the Authority an added to,dh4r, their SlIZZ\ ahaU De on. hUlldr.d.

For the PlU1l"U at .1ICh putatlon, the one*l1oul' Interval ab&U b. the hour darinl 'Which theelbll occurtha mnfmuUl one-hour Interr&t.ed coincident IYstl%Zl demaDda oC total :Sulk Power Supp1r provided by the to all of the Participants. . . {b) In the .vmt the Authorlt;y

&hemes rlJponaibllltT fol' transmJuJoD of. the Particl.

aUotmeab ot SEP A pow", purlu&at to arranremenu for 'Which provlslOlL fa made lD. Seetioll' 803 al1d 804 h.reof, aAd such rlSl1lts III an {aueue In t1uI bvatmant In ILUd annll&1 opera.tlnr costa of luch transmlufon Ifltam f&dUties the btltltmuat Share for .ach to be b7 the Authorlq for each Supply Yen ,hall M the perclIlt&l'e allocable to the PaZ'tlcipailt Of the traDimIulop I.mcu provided 117 the Au-u.

". e. thorib' and of the costa by the' Authority reiatiDs to ncb Such percentalle shan be determined bY the Authority by dhidinr Averap of the oD..IntelT ated coinddeDt'system demands of SEPA pOWlr plus the of Bulk Supply by the Authority to such Participant durinr am mouth of suc1l Powu pi,. Year W the anrare on...hour interuted coincident IYIWn dema11ds of SEPA. power dtzna11da of total Bulk SUp]lly provided by the Autll.orltJ to aU of the P&rt1c:fpeb the same one-hour lnterral of each'moDth of INch Power Supply Year alld exprsnl the 'sult &I a percentale so tbt, when aU of luth Entitlement Shares 10 computet!

by the are added torether, their sum .ball be one hundred. For the parpolu ohum c:omputatlon. one-hour Interval shaD be the hour which there occur the maxlmwa. on.hour lTated c91ncl4ent I7ltem demand, of SEPA power and 4emaluu of total Bulk Power providecl br the A.:lItborit7 to aU 01 the Participanb. . (c) Such Entitlement of transmJ.islon system facilities included in the Iha11 be estimated

'by the Authprity prior to the belinnill, of &DY Power Supply Year and such utlmatu 'shan be lit forth In the Annual System :Bud let. Ratislons o{ such Entitlement*

Shares ahaJ1 be made by the Authority

&t the eud of such Fower Suppb' based upon IUch I7ltem demands u actaaDy L'q)erlenced and the bilUDP for,such Power ply Year shall be adjuated b,. the Aut.bority acc:ordlqtr.', Section of, Payments.

All paymeDU letluired to be made by the Partic:ipa.nt:

purluallt to the providoRS of Article Ill, and all other pa)'tnlDta attributabl:

to the or to the Annual Project to be made in accordanee with or pUrluant to aJU' other provision of Ws Contrac:.t.

shaD pledlecl to 1lc:IUe the of the Authority's SecUOD 310. Pa)'1llUlt lIS OpuatlDr E%pesL . So lonr IS electric:

powu and enern aha]) actually lle received by a Parlic:ipet from faciUtr or !ao1itres of the Project. 'the Partfdpal.'t's Entitlement, Share of A.mllw Costa shall be paid by PartJdpaDt

.. a co.It of purc:hued electric paWa' anel eDIlIY Puticlpant's electric:

I1Item alld &!J an expense of opuation and maintenance thereofSeCtion 311. Credit. to Annual Project. Cost. The Authority 2I1ay, pursuant to the Schedule of Entitlemmt Shares and participation traDsznJssioD system arreemeDt with otners. for which prevision iI*made in tion 302 (c), bereo!, .en the output and .ervlcu of faci1iUa Included In the Proj,ct to utilities.

The aDtfcipated proceeds from such IIJe sha)) be estimated In the AnDuaJ Bud,et, and aD)' net revenua actually recefYtd by the IS the result of IUch aales other utilities dW'lq &7!f month ot the Power Sup* Year shaD be credited to the pants in proportfcm to their EDt1tleZDe1lt Sharu In the monthl, lUlliDr Statement fttr "'.foDowini month. ' Sectlon 312. Sale ot E:lCesa ,Pirudpant'.

EDUtJemeat Share. In ev.tnt the Participant shall determine that all or aDY part of the Partidpant's ,

Share of the output and aervfc:es of the leneratin&, facilities of th..Project are In ucess of the requ!zements at the Participant, the .Authority may. sell and tn.n.der for by period time an or aD7 pan: of such excess output and aenices to such other Fartlc:ipanb as ahsll avote to take such excess and services.

provided,'

however, that in the event the other do not agree to take tba entire aDJouDt of luch lXc:eu" the Autharit7 15 ahal1 have the rirht to* dispose Of such.-.to other IJbutfes.

U all or a1L7 portlO1l .ot lach exceSs of the Pi.rijcipant's Entitlement Shan ot output anel Ierne.. is sold pursuet to thla section, the EDtltlement Share IOU not 'be reduced. and the Participant shall remaln 1l&ble to the Authority to pay the full amount of ita BiDfDr Statement II if. such sal, had not 'been made: except that Ua'bUitr shall be dilCharred to thl .,:tent tb&t the Authori. ty shall receive pqment for suc:h u:eeu outpat aDd RlVicl!S from the purchuer or parchuers thereof. ARTICLE IV SUPPLEMENTAL BULI! .SecU.on 401. Supplemental Bulk Power Supply by the Authority.

The Authority will provide or caUle to be provided to the Participant:

i& Sapple1Pental Bulk Power Supply durinr each month of ucb Power Supply Year. Such Suppltmental Bulk Pown S,upp17 ID&1' Include, but shall not be' limited to, putlal and full req.uir:ementa firm power purchuu, and UDlt power service, firm and DoDf"lrrn capacity and muD' senice, transmipion .errice other Interehanre lervice made aTaiIa.bl.

as .. result of tIons with othu ub1itlu. The COlts to the Authority of electric power and merl)" purchased by the Aulhoril:7 from other utiUtiu based upon tariffs filed by.uth other utUitia with the Federal Po,",er CommislIloll wiD be directly reflected In tba monthly Statement to the . Participant.

Such monthly BOOne Statement will include & credit ff?'l .uch delfvuY point traa.smJsslol1 fadlitiu as are owned, flnucl!i.

or open.ted by the Partic1pant.

". SeetioR 402. Char,tS for Supplemllltal BuUe Power Supply. "(a) The Authority will ut&bUsh fair and nondiscriminatory charres for all serrices provided 'by the "Authority to the *Partlc:lpants relatinr to the Supplemental-Bulk Power Sup.. ply o"t the Participants desiped to recovlr aU of the Authorit;v's costl of aCQ..wriDr.

fin&Dc.lnr.

operatlni aDd maintainlDc IUch Supplemental Bulk Power Supvb" u such costl are Itt"forh in the Annual System Budpl: or aDf amended.

STltem Buclpt adopted by the thority pursuant to Section 202 hereof, and such COlts shall mcluCle.Annual Supplemental Coab . u defined In Sectfon 102(c). hereof; and (b) 'I'be Authority shall the Participant each month durinr each POWlr Supply Year by providinr the Participant with a BiUinr Statement accordlnl to the ch&rJ1S est&'bUshe4 pursuant to the PrD'fJSioDS of 'this SecHoD for the services IUPplled to the Participant hr the Authority U let forth In Section (03 hereof,.and the costa Incurred bJ the Authority as set in this 402, and such bill lhall be paid by the Participant on or" before the . tenth dq from the date thereof. Amouab da and not paid by the PartIcipant on or befon ,aId day shall bear all additional char,e of one and ODe-half percent per month until the am,OUJlt due is paid In fuD; At the end of each Power Supply Year. adjUitmenta of bUUnp shan be made in accordance with the at section 209 hereof. . Section 403. Supplemental Bulk Pawn Supply Taken by th. PutIcIpant:

The Participant ahaJJ t&ke all of fts Supplemental Bulk Fower Supp17 from the Authority.

and shaU pl.,. to the AuthorIty the Participant's Proportionate Share of Annual Suppltmental Costs at forth SA the monthly Billln, Statement submitted by the Authority to the pant.. ". . . 16

" e* Section 'Q4. AJhrnale Supplemental Bulk PoW'rr SupplT Resources.

If the Parlldpmt duires to procur. aD alternate SOlllee of IUlI1I 1 ementa1 bulk pc:!'"er* ply other than that provided by the AuthorltT.

the Pa.rtlc:ipant mar.do so under the followinl t.etma a.nd

. .. ., Ca) In no event will the l'articipant's Entitlement Shue of the be reduced, &M the Parlic:ipani wiD to be obUiate4 to pay its Entitlement Share of Annual Costs; . (b) The Participant will enter into &n interclnmecUan qreement lritb lbe Authorif:7 tor reserves.

emerleDcr.

econozay.

scheduled and other interc:hlDEe semce, the tenD. IDa tioua of which will be IimlIar to tho** contained in arraDIUDlDta betweeD the Authority aDd ot:ha1"s.;

and . '. (c) The PartlciPUlt*will Jive Dotice to the Authority of ita intention to procure such alternata 10u%Ce which w1l1 relieve lb. Authority from its provide sernc. alent to IUch .alterDa.te source. Such notice win be &t least the follawinr:

(1) Two lears if sum altuute source equals or less of Pa.rticipant's total peak dlma.nd SEPA power and Participant's EntiUement Share of the output and suvlc:es of the leDentiDC fac:iUtlu at the Project. . (2) Three rurs if such IOurces equw more

than 80% of Participant's total pule demand less SEP A pou and Partlc1pa.nt's Entitlement Shan of the and seo;cu of the renuatinr fwlltles-include41n the Project: (3) Five lears If sach alterute source equah more thaD 80" but not KtUter thaD . 40% of Participant'.

total,pw demand less SEPA powtl and Partldpant'i Entitlement shar. ot the output .and l!IIervicu of 'the f"elJitiu of. t;ht froject; . (4) Seven 1earl!ll if luch alternate aouree equals more the but not anatlr than. 601t of Participant's total,peak demand leu SEPA power and Partldpant's Entitlement' Shan of the and l!IIervices of the* .eneratfull' of the PrClject; (5) Nine years jf such ..itemate source equals more than 60 at Participant's total peak demand less SEl'A. power and Participant's Entitlement Shar. of the output and services of the ,meratin, faciUties of the Project;'

Provided, lIowever. the AuthorIty and the Participant mar JJ1utuan,.

alree to .. notlee shorter allY of thon provided.above if no burden or cOlt would be fm)lo.ed upon the Allthority a.s the result of web shorter notice. Section 'O$. InlerconnecUon ArrlUl,unents

• . . The Authority' .and Puticipant may mutually a.rree to enter.into inteRoDJlACtioll ar. rRnrementl for z:uerves.

emulencr.

economy. scheduled anel other fntetch&np Ince for and traDsmiSl!ll(OD fadUties owned by the Participant on the dted:lTe date ol this Contract, the terms anc condition.

ot which arranlements shaD not be i.nconlfstent with the p%ovisions of this Contract.

ARTICLE V .. . A.DDITIONAL .BONDS Sectfon SOl. W\W\CI 01 AdcUUonaJ BOnU. <a) Ad.ditional Bonds may he sold and by the Autharlty III accordanCe with the prcr.isiol:2l at the Bond Resolution at uy time And from time to time 1A the n:Qt. tor al17 17 reuOD. tbe proceeds deri.ved from: the .ale of the Banda first validated pursuant to the vision. of the Act and of thiI Coutnct lIh&U be inaufficient for th'1>urpose of completing initial fa.dIitfu of th. Project and pladJlI' u.ch facility thereof In Commercial OperatioD datiIDa' th. completion of thOle tranamluion .ystem facllitfes to be acquired aDd by the Authority prior to the Commercial OpenUcm nate of thel&st of the 1111"-&1" ties of the Project to beeoDl1l1etad in orier to the Authority's lllvutmcnt

.durUu&' .uch period in cOIlDec:tion

'With anr alteement for aninterrated transmission IJIotem the Authority may be .. lIartT iD. accordaDee with the provisfoDJ of.section a02 (b) Additional Bond. mar be sold ud wued by the AathoritJ'fn accordance with the visiOn! of the >>ond RaolatiOll.

at anT time aDd from, time to time in event flUIds are quired to pa7 the COlt of (i) anT tnaior renewals.

replacements.

repaira. adc!ltiOn!. menta, or improvemlab.

to the ProJeet neclS5&l1', in the oplnloZ1 of the Couultinr EUl!:a.eer.

to keep the in 100d olleratinr condition or to-:pr!Y!J1t a losl of tevtDues thenfrom, (It) any major ad.ditiou, impfovel1Unb, or modific.a.tioDS to the Project, or aD7 commissionlnp or dispolals of the Project, required by any lovernment&l apney hanDl' jurisdiction oYer the Project or for the Authority .ball be responsible .by virtu. of any obliratfoo.

of the Authority amine out of any coatract to which the Authorit)" may b, a lIarty 1'Ill.tinr to ownership of the Project or &1\1 fac:JUt)'

thlt'eof, or (fil) nJoad fuel for each atloZ1 faclUty of the Project In anf Power SuPPI7 Year to the extent that suffletellt funds are Dot avallable in any reserves estLbllshed by the Authority for Fuel Coata; pravfded however. that no such additional Bonds may be issued for the purpose of add1nrl.ddit1onal reneratfDJ unlts to the Project. . . ee) At such time as funds! mar be required to provide funds tn'excess of those from tbe ule of the Jlonds tint. validated pursuant to the Act and this Contract to me.t Aathority's investment

with thel.p-eement to which the b' $7 be a :party provldlq for u lnt.ep-ated trazamadoll lI7Btam. 1n with proybiODS of Section S02, hereof, the Authority.may:provide such funds as mar be therefor by the JUual1Cl of a.c:lciitional

Sonds. (d) .by such additional Bondi shall be lIecured by aslirnment of the payments to be 1Il&de bJ tha Participazlts pursuant to the provialoll5 of Artfc:1e nr of the POftr Sales tracts, ine1udlnr pa:mentl requJred to be 1D.&de under Al-t!el. In of this Contract.

and all er p&JImlDtI attributable to the Project gr to tb. AnIlUal Project Co.ts to be made in alice with or :pursuant to &DY other provision of* thIs Contract, and snch other Power Sales Contracl:l.

as sw:h llayU1enb l:u.&y be increased aDd ut.nded by riPon of lbe wuuce at such additional Bonds, and luth Bond*..may be issued in amounts .aUldeut to paT the fulJ aJ:II.ount of ,lIch eo.t. aIld luf!icieat to proTide such resuvel I.SI may be reasonabl,.

de-' termloed by the A.uthority to be desirable.

AuT .uch additional

'Bonds issued In acc:orduce with the pz-ovis(ons of Stdiotl 501 ..nd secured by of pa1J1lenu to be made in aeeotdanu with the provlsiob!

at this Section, may rank :part pWIl U to the security at-" , forded b]' the pro,islons of'thi. COil tract and of all other Power Sales Contracbs between the Authority and the Participants rtla.tinr to the Project and to tbe issuance of Bonds therefor with aU Boncb theretofore Wiled pursvaut to acd lIecured In .ecordance with the proviaiobs ol thit ContracL ., Section 502.

ot Bonda. . In .the eveat th. AJ1nual Proj.ct Casta to the PartIcipants otelec:tric:

power and' enel:JY from the Project tuay be by the ot any of the Bonds thea outatandlnc 01' In the eYlllt it be advant'aeous.

in the oplrUon ot the Authority.

to ref\lftd any Bocds, the Authonty.

uay ISlUt and seU re!undlnr Bond. to be by uslpnlllnt of the payments 18 to be =ade by the Participants punuant to the provisions of m of the Power Sales Contnctl, indudinC paymentl tequlred to be made under ArtIde m of thll Contract, and all other paymentl attributable

\0 the Project or to the Annual Project Coltl tl:l bi made in danca with or punuant to any otber provlslan of th!I Contract Ind IUch othu Power Sales Contncta.

Any .sucb retundin( Rondllsauld in Iccordance with the provisions of this Section and by assipweftt C?f .su'eh payments may rank pari pISSQ u to the security affatded by pre MODS of. th1I Centrad and ot all other Power Sales Contractl between the Authotft7 and the Partfclpants rIIlatins to the Project and to the lssuance of Bonds therefor with aD bonda fore issued puisuant to I.nd secured in accordanci.

with the proMons of this COlltraCt.

Section 503. AdjUstmct ot Annual"Projtd Costa. Iu'the event the llroceeds derived from the uIe o! lIlY Bantb issued punuant to the vbiona of WI Coutnct. the payment at whIch is secured by uail'DDWlt of paymmts made punuaut to ilIe provisions of WI Contrad and of aD other Power Sales Coutractl between the AuthoritJ IDd the Parti-rlpanb reJathlr to the Project and to the lssuanci of for. e."tceed the arlJ'erata amount required for the purposes for which such Bonu wel"t 'aued, the Unount at such exc... shall be Ulee! to make up &D7 def1deDC7 exSatlnf In any fund or account under the Bond RuoJutlon in the malJ,ner therein provided, anel any balaDc. shall be 11Sed to retire. by purchue or call and redemption,*

BODell In adT&nce ot maturity, Rd ,In such .vet the Authority win reduce IUch elementl of Annual Project Costs u are necesslr)'" IDd appropriate to iefJee:t IUch accl1erl.bd retirement . .. ARTICLE V1 DEFAULT seCtion SOl. EYent of Default. Failure of the Participant to make to the Authority any of the p"JUllna for which vision b made in tbb COJltraet shaD constitute a default 011 the part of the Partidpmt.

Section 602. ConllDQlnr Obll,aUoa.

Rfa'ht. to DlscanUnu.

SetTlee-.

In the evmt of any ncb default. the Particlp&Dt IhaJ1 not be relieved of Ita Babillt7 for pa7meDt of the amoUDb In default. and the Authorily Iball hue the rlrht to rICDveI' from the Participant IJIY amount in enforcement at &DY Illc:b. rt.bt of recovtlJ'.

the thoritJ may brlq aDY luit. ac:tlon. or proceedinr in law or in equitJ. IndudiD, mandamus' and action :!or speciflc puformanee

... may be uec:usary or appropriate to enforce arrr covenant:, arnemmt or obU,aHoD to make aD}' paymlJlt.

for which provUlau is made In thUs Contract aplnlt the Partlclpant:, and the. AutlJorlty may. UJlOD JIxt;y dan written notice to the t!cipant, cU!e aDd dllcoDtfnue providJnr all or lAy portlon at the Participant'.

Bulk Power , Section 603. Le"" of Tax for Payment. . In the ft'eut of IUch default 'by the Partidpant.

the Part1cipant shaD prrmde for .... se5sll1ent

&lid .collection of an anDual taJt sa:f!fdet In amount to pl'ovSde fundi annually to teake aU p a lDl mts dUI undu the provbia.of this Contract In each Jur over the remainder of the Uf. 0..1 this Contract and the AuthoritT shall h.,.e the ritht to briDr any sail. action. 01' proceedinl' iJl Jawor In equIty, lDeludlnr mandaZDul and action for lPedflc pu!onnauce, to force the asausmeDt and coUectiou at a coutlnuinl' direct annual tax upon an the taxable propert7 withm the bound.ria of such Partlcipaut suffldent In amount to provide IUch funds &lIJluaJJ)'

111 each year of the remainder of the Ut. ot tblI Contract.... . 19

.. . SccUon 604. Tn..z2ster of Power mel EDI1"E7 PlU3Uut 10 Default. In the nat of a by .. Partlclpaut, the Authority .haIl hamer, on a pro ram 'basla to aU other Puticipants which are not In defAult, the cle:fawtlnl Partlclpant'. m.eut Shan of the ootpat .emce! of the Prolec:t which shall baTe bleD dJac:olltbUed bJ' reuOD of Bach default, and the pro rata portion ot .ach Shar. of the defaaIt.. PUucipaDt

.0 tZ'Iufirred aha)) become a part of aDd .b&D be added to.the Entitlement . Share of each. such traDJfaree Participant, and trtDSferee PatUcipant Ihal1 be obUpted to pay for ita Elltitlement Sbart; as aforu&id.

u If th. EntitJemat Share of* the transfelPutlclput, 1Dcrused as aforesaId, had been stated orilfnalb' the SntltlemeDt Share of the transferee Participant In its Pertrer Sales Contract with the AuthorltT.

provided, however, that 111110 IYmt 3haIl UT tnmu of &D7 part of I d8!aultl:q Partfc:ipaut'. mant Share result 1D &D obliptlon of .. tra.nsferee Putidpant to blJ1 output gd ,erne.. of the Project from the Authority in ""CCH5 of fifty percent of the most ncentl1 estabUa'hed imam &Dnual hourI,-peak dem..nd of such tranafulI Particlpa.nt and proncted,'

further.

that the obliptloll of the defaulting Partidpant to pi" the AuthorttJ sball be reduced to the utent that p&J']:EleI1tl1 shall be nc:e1Yed bT the for that portion of the p.artic1paut'a EDtitlemmt Share which ma,. be transferred u aforess1d.

Section 605. Other. Deiaalt by In the event of a. faUun of the Participant

.to lIt.abUsb, maintain, or coUect rata or char,es* adequate to pro'rid*. revenae lufticilllt to enable the Part1dpant to pay &11 &mOUDta due to the Authority thb Contract or in the event of a failure of the Participant to take from the Authorltrlta Bulk Power Sapplr In. aecordance with the prcmsloDS of this .CQDtract, or in the event of any default by the Partldpant uneler &DY other cove1W:lt, an.... . ment or ohUaatioD-til. this Contract.

the Authodty lIl'y brlnr Ill,. iuit, actioll, at' prcieee:c!fnl in law or in equity, luc1l1dfDl'.ma.ndamWl, iJ1Jullction and actlon for .pecifJc performance,.... m&7be necessary or appropriate to enforce any covenant, arreement or obliption of this . Contz-&e:t apinst the Putic1pabt.

' SecUoD 60&. Defawt lIT AulhoriLT.

In* the event oC Iny 4e!l.ult by the Authot'ity under aoy covenant, apeenient or ot, this Contl.ct.

the Participant may brine U1.y Nit, action, or Proceed1n1 In law or in includinl mandamus.

Injunction, and action for lpecl1lc performance u may be neceaazy apptOpriata to enforce any* COVtl:Wl.t.

qreement, or obUption of" this Contract ap.lMt Section 607.

of Remtd:r. , In cue any proceedinl' taken* on accouat of laY default shall have hem distonUnued or lor &Il1 rauon, th.e parties to auch proi:ee&ars

_ban:be restore!!

to -their former* positiolU And rirbtshareonder, re.spectlveb'.

and an rirbts, remldies, powers, and duties of the A.uthority and the' Participant .hall continul as thourb 110 IUch proeeedlnri had beeri taken. ARTICLE. VII 1dISCELLANEOUS GENERAL PROVISIONS Section 701. Character aud CQntlDuIt,.

ot SerTfCL' <a) The Authority may taznporuUy 1ntenupt or redace deUnrlu of electric &DUO" to the J!

detlnnfDU thAt IUch Interruption or reQJctioll ts necesl&:)" in CUt of emupnaes or lQ order to 1n.stall equlpmlllt In or mak. r_paln to or :replacemenbl.

Invutfr ations , and in:spectlons af or to perfozm other maintenanfe 1!'ork on Its renenUoll or facilitlu aDd related appantules

• .Alter btrormlnr the Participant relardinr

.&DY auch pla.'lned*

IDterruption or reduction; priDr the reason thenfor, and atatin, the ahle duration thereof. the A\lthorit,'

wiD to the bat of ita ability Iche<<Me luch InterruptiOD or reduction at a time 'Which will caule the lust interference with the operaticu.

of the

'. '. (b) n. Authority

'ahall not be required to .provide, llr be trabl, for faUure to service under thia CoDtzaet when such faOure o"r the ceuation or. curtaflment of or ference Jrith the aerric. ia c.&Uled by UacontroUabie Forw or, with rupect to the to be provided for Supplemental Bulk POWit' Supply. fa caused by the fallun or refuaal of other bulk power supplier to euter IDto leasonable contracts with tha AuthoritJ' or* b7 InabWty of the Autborit7.

to obtalll any requ!rtd rovcrrnment&l approval.

to enabl. the thorlt,. to acquire or construct

&Dy Section 702. Jdderinr.**

Ca} .The Authority reserves t.ha rirht to provide for mltanation of meters and will vide or caJ1se to be provided all necessaxy meterlnr elluipment for determinlnr the quantity aDd condltJoDS of the lupplr of electric POWIr and. envrY delivered by the Authority under thil Contra.cti provided however that the Participant may a.t it. 0'WIl co.t adcJ1tional meterinl' equipment to provide a check on that of the Authority.

The ParticIpant ahaD IUPply without coat to t.be A\ltborlty luitable place for lnstaJUnr the Authority'.

tneterlnl' ment. (b) &DY meter used lor hillina' faDs to reriater or ia found. to b. inaccurate, the thority shall rtp&1r or replace luch meter or c:&.ual it to be repaired or replaced.

and an appropriata biDinr shan be Diade to the Participant*

by the Authority upon the but information avtilabte for the period, :Dot e.xceediar lixty da:rs, durinr which no tMterinr 'oe-. cUrTed. An., meter tuted and found to be not. more than two perfant above or below nonnal shall be considered accurate Insofar as fOrTectlon of blDinp u concerned.

If. as a ruult of &DY ted, a Meter is found to rerister in ueasa of two percent lbove*or below normal, then the rudma' of meter previously takm for bfllln.. PutPOlU shall' be correctea for the durinr wllfch it is utablilhed the m.ter waa inaccurat., nQ fornctIon.aJW]

be made for &Dy period beyond abtty days prior to the date on which In inacl:UraCT ta discovered liy such test. (c) In addition to testa' as are deemed DeCIO&rY by the Authority, th._ Auth9rity ,hall han &Dymetu tested at any time upon written requut of t1le Participant and, If such meter provu accurate wltbfn two percent above *or helow normal; the expense of luch test shkD be .bome.by the Participant. (d) ne Authority shall notify the in advance Df time of any test* 10 that'a repre.seDtatfve at the Partfcfpant m&7 be present. Section 703. Power DeliTeries

• . Power and enlTrY furnished to the P&rtlcip&Zit Under 'Contract abaD be fn thi form !,f three pbue fUITent, alternatiD, at a frequency of approximateJy 60 Hertz. SecUOIl 704. LlabW1T of Partles. The AatborltT and th. Partidpal1t shan assume full and J1abWt;r for' the maintenance and operation of their respective propertiu and each shall indemnify and aave hannlell the ether from aU Uabllit7 and cxpenae on account of allY cd an damares. da1ma, 21 or actions, inc:1udlnz iniury to or duth'of puaona amin, from any act or accident !n nection with the inatallatlon, pretence, mahltename aDd operation of the propuV and equip. ment of the indemDlfyiDr partr ad not caused in whole or In part by the DeaJileDCe of the other party; provided that aDy Uabilit1 whicb.La incurred by the Authority throurh the atfon &Del malDteDanc:e of the Project and not covered, or Dot coverecl nfffcie.ntI7, b,-anc. shaIl be paid 100e1y fzom aa. revenua. of.the Authoritr, and 07 paymenb' mad. by the Authority to aatiafY.luch IJ&bWtT ahall bec=:e part of the AJmual Budaet. .. Section 705. Other Tuma UIl! Conditions.

.' . .' Service hereunder shall be In accordance

'with such ather.terms and conditions as are estAbnaheli as part of the Authority's aU'9ice rules aDd rerulatlou, which shall not he in* comistent with the provislOl1l of tlIis Contract.

Seetion'106.

Assfl1Ul1mt or ContracL ta) This shall inure to the 'benefit ot and Ihan be biJicWw upon the respective successors and &.Slips of the parties to thil Contract; provided.

hDwever, tl1&t ucept as prDo vided in the event of a ddault, and, for the usianment by the Authority aathortz,d hereby, Defther tbi. Contract nar an,-Interest buefn shan b. UaZUlfmed or aasfzned by either party hereto except with the eoDlent In 1niUDz of the other PutT hereto, prarlded.

however, that* such consent shall not be withheld unreasoublT.

No or transfer of this Contract ,hall relJeve the partia of &DJ' obHzatioD hereunder*. (b) The Parlldpant acknowledllS and &It'&es that the AutboritT may assilD and pledze to" the Ttustee ud Co-Trustee destJDated in the Bond Resolution all Its rilllt. tiUe. aIllI t"uest In and to aD parments.to be made to the under the prorislODS

01. .Article.m of WI Contract and aU pa7JDeDb attributable to the Project or to th.'Amlual :Project*Coatls to be made In accordance wfth or punuant to IUJT other prnrision at this as leeurit,:

.. tor the pQlZ1ent of. the prlndpal (biducHnr si!lIciq; ftmd installments) of, an4 premJlIID.

it aDY, and bJterest aD all the Bonds. od. UJll)11 the aecution of IUch a.saipmeut and pledge, such Trust.. shaD bave aU rirntl aDd remedies herein pm'rided to the Authority, aDel anT referenee herem to the Autborit)-

slWl b. demned, with tlle necessar7 eh&DIes In. detaD, to Include such Trustee whicb ahal1 be a third party beneficill'1' of the covenanQ &Dd ments of :the Participant herein COlltaJned.

Section 'l07*. Tennwtlon or AJumdment of Contract.

<a) Thia Contract shaD not be texm.fnated.

by either party under aD7 dzcumitanc:u, whether based upon the default of th. other Putr under tbUI Contract or an,. other mot or othenrise e.uept u apec:f:flcaDy pro'rided 1n tbia " :.. This Contract ahaD DOt be amended. ta.odified, or athuwia. altered in aDJ' triln'nel' that wiD .acJveraeJT aUect the 58cmity for the Bonds affordeel bT the provfaoDS of thIa tract coverlnr the purchaae and.sale of power here11J1der upon which tile O'WDtn from time to time of the BoDds shan bave reBid as an IDefucement to putc:bse and hold tb. BcmclL So lonf as an,. of the Banda are outstandfur or until adequate provialcma lor the P&7mUlt thereof bve been made In accordance with the PfGYJaIODS of the Bond Resolution, this (Antr&d shall not be amended, modif1ed.

or otherwise in any malUler whfch 1rill l'educe the ments p1edzed as securltT for the * .ar extend time of IUch paTDleDb provided here. In or whIch wiD iD. any mazmer Impair or advenseJy a.ffect the rllhta of the 0W1lenI 1':;lm time to time of the Boncb. . ee) None 01 the Power Sale CoDttacts"maT be amended IS to Uly GEl.e or more Partldpazlls 22 10 All to provide terms and conditions di!ferent from tlIoae herein except ten notice to and mtten !=Onsmt or "aiver by eacl:I of the other Participant" ud

" amendment beinr made to the Power Sal.. Contract at ally othtr Participant reQ.ueitfnK' amendment after receipt by such Participant of ll.Otlc:e at such amendment.

'

FUTURE PROJECTS " BY THE SectiOn 801. .Falun The Autborit)'

may from time to time conduct dudie. and nesotatlou with r!spect to plam1.in1'.

duipinl. !mandlli'.

CODltruc:tfnl.

admInlsterlnr.

operatina*.aDd mabt:af:DfD1' or otherwiae a.cq,uiriDl' futunt flDeration Ind tra.nsraillfon facilities or rlrhts to the thereof In addition to thole contmaplded*

for the Profect, and may make rlCOblD1eDdaUcma to the Participant tha.t such future faciUtlu b. undertaken by the If the Partidpant wiahes to participate in. and \be Authority wishes to underta.ke

&n1 iucb futu:. fadlitla.

the pa.rticipant ,hall axecute a. contract therefor with the Authority.

Sec:Uon 802. Future Parllc:lpantl.

It la expressly undentood that DOWnS' herein shaD. preclude other" future parl:idp&D.ts from contradlnr with the Authority for plamUn£ procurinr. pro'ricUq such other ture puth:ipants' bulk power supply. fnc:ludinr participation In other projects by the Authority.

SeetJon 503.: Clw:I,es in Erltllnr SEPA Arran,eJDub. " Authority may neSOtfa.te bulk pawu lupply arran,rement.

with the Sout:heutarn . Power Admfnlstntion aDd the GtOr!ia Power Company for cha.nres in the cunently exbtlnl' contracts between the Participants and Sout.beutern POWIE' Admlniltratlon anel between ria Power Company and P01t'U' AdmiDistratlon which .chanc..*are for the

of low-wI' the overaD bulk power suPP17 CGab b,. acquisition "by the PartJdpaDta of their fuD lawfal a.Uotmentl of Soatbeatem Powu. Admlnistra.ticm power. If such expreaaecl parpose is ac:hieved and the Authority wislId to: uderbU IUch arranpmentl.

the Partidpmt mat execute a contract therefor with the Autbarlti lD: which . the Participant maT &Slip. Its aBobuent a! Soutbust-m"Pawer Adm1nfstratioD power to the. Authorlt,'

for deUver,y by the Authority to the Participa.nt. . . " " .. Sec:Uon 804. Other SEP A Arr&1\rements. . The Authorit7 maT Defoliate other bulk power supply &n"&DI'ementi*

with the ern Power Ac1miniatratlon nlatinr to otlaer projects of the Southea.aterD" Power AdmfDfItra..

tiOZl no\ now mcluded, fn the exfItina-cODt:ractl betw.a the ParilcipaJlta and the Southeaateru Power AdmlnIstn.tion for aequilition by the Participants of their full lawful allob:neut of euch other projects.

Th.

may ..slID ita ot lIuch other prQJed;s to the Authority for delfvU'7 by the Authority to th. Participant*

Section 805. 'ADocaUon of Coeta. Until the Aathorlt7 shaD ulldutake a futur. project or until the proviaicma of SectloD. "803 or .04 hanaf l"eJat1D1r to SEPA arranpmaita are Implemented.

aD operatlnK' and tenance cOlts related to the operatfAl' aDd conduc:tin.

of the builness of the Authority .han be treated aa..AJJnual Project Coats and, UpOD tb. UllderlaldDI' br the Autborib' of a future project. or upon fmplematatioD of the provisions of Sections 808 or 80( hereof, the Authori-.

23*

tr allall allocate an appropriate ahara of its adm.lJliatrativ.e aDd lreAual U})ense to project and sucl1 arraDremmta UDder Sectiau SOS ud 804. .AR'1'ICLE IX SEVERABILITY In cue an:r one or more of the provisions of this COlltract .hall for &n:r reasOD be held to be ill!K&l or invalid by a court a1 competent jurlsdlctfoD, It is the lDtentiou ot each 01 the PUuel hutto that IUch meplity or mnlidity Iban aD1 other provialoD . of. but this Contract shalJ be coDstraad aDd enforced as it luch nJepl or Invalid lIroviaiOll.

had not bem couta!ned herem, and tbls Contract Ihan be construed to adopt, but uo.t to larre UPODo aD. the applicable provisioDa of sald Act. aDd all the applicable pron-loDS 01 the CcmStitlltion aDd reneral-lam of Geo$, and, U aDY provfalou herlOf coD:f11c:t with aQ' appUcable prorlsfoll of aald CoDltltutian or*.laws.

• the latter as adopted* b:r the lerislature and . as interpnted b1 the courts of tbia .tate :shall prevail in liell a1 an1 proriaioD hereof lD. !lIet or not In hannol1"therewith. . IN wrINESS the Municipal Electric Authority of GeorJia. has' c:a.uaed this Cantract to be L"tecuted in Its corporate name by ita dul,. authorized o!f1cen and, b1 the execotfO'll hueof it. is acknowledred that payments made nnder thls Contract may be usiped, as 'Provided 111 Section 'TOS(b) hereof, by the Autboritr to the Trustee &Dd Co-Trustu to be dulrnated ill anr Supplemental Bond RUolutien IJI aecurlt1 for the payment of all *Bonds of the Autlloritr.

as set fortllln said Section T06(b) hereof, and the Authority has caused fta . corporate aeal to b' hereunto impressed and attested; the Part1cipant has cauaed thfa tract to be executed in Itl corporate by its. clu1:r

aDd Ita *corporattl leal to be hereunto Impressed and attuted, and deJivtr1 herea! br th. Authorlt,'

to the ticipant is herebr ackno1l'ledl'ed.

all as of the day and yur first abon *written. . :MUNICIPAL ELECTRIC AUTHORITY . OF GEORGIA . BY: ", ,_ AT!': BY: . ATT:

DESCRlPTlON OF PROJECT IJdtlal FaciUties.

ne'initial f&ei11tles of the ProiKt "shaD 'be the tonowiJLr:

.. L IJdtial Electric and Related TransmiJsion Facilitiu Included In The 'Project. (a) Plant Hatch. . .":' . A uventeen and sevtn-t.enth.

percent undivided-interest in two 807 MWe nominally rated. nuclear Iln.n.tfnl Ub!b to '-knO"lm U the Edwin 1. Batch Nuclear Unitl.* Numben eme . and Two, (JndlYidually

.. Hatch UDit No.1 and Hatch UDit 2 and deslcnated II Plant Hatch) to be located nur Buley in APPUnI County, Gear. includint lar IUch units (I) land claliDeated and described in the recards cif the Oert of the Superior CoUrt, of AppUn, County, GeorP, in Plat Baok 8, PICe sa, and In the of the Clerk of the CoU:t of Toombl COwity, Georlil..

in Plat Book 11, pqe 84, and all land rithts putamina thereto, {il) the nuclear power reactars, the turbine-Ilnentars, housinl the same, tJie associltted and equipment, and the relatad trenimialon f&l:D1ties aU u man putt. , ' e:ululy described in the Application, and amendments thereto, by the Gearpa Power Company belore the Atomic EnerlY Commission in Docket NOL so-an and 50-366 and the Preliminary Safet7 .AnaJys{s Report, and amendmentl thereto, which C:Ol1ltitute a pat of nch ApPUClluon, (Ul) materiah, supplies, fuel, tools and equipment for UH in connect!oD with Plant Hatch, and (Iv) the Plant Hatch Railroad daUnated and descn"bed in the ,records of the Clck of the Superior Com ol Applinl CoUDty in Plat Baok 8, paces 36, and 38. ,. (b} Plaut voatl.. A thirty percent undivided Interest in the two 1150'MWe maximum rated nuclear .enentinl . unit. to be known u the Alvin W. Voltle Nuclear Unlta, Numbers'One am Two (individually desipated u Voltle Unit No.1 and Voltle Unit No.2 and coUedlve1y deslpated IS Pbnt VO('tle) to be loeated near Waynesboro In Burke County, Georp; includ1n, far sueb wrlta 0) ,1aod deJ!neated.

and dUcribed in Geoflla POWIt Company Map File M*S-a, to be recarded.1u t.be recorcU of the Clerk of th,e Superior Court of Burke County, Georda and all land rilbta m. thereto. (B) the nuclear power reactors, the the buBdJnp housmr the same. the Ulociatad auxDilrles and equipment, U)d the related. transmluiOD tac:mtlel ill u maze particularl, described In the Appllcatfon, and amendmenta thereto, by the Gear..Power Com-. plAY before the Atomic EnerBY Comm1srioD in Docket NOL so-,n, and 60**'15 and the Pr.. liminuy Safety ADalYlIl Report, and amendmentl thereto, whieh a part of such AppUcatlon, and (W) inventories of matmaJa. lupplla, fuel. tools Ind equlpmentl fez UN in with Plant Vo(t1e, provided, however, in the event for any reuon' Bands ue ,not issued for that portion of the Project desipted u Plant Voltle, the fadlltl. detc:ribed in tb1I subparapapb (b) shan 110t

• put of the Project. (c)

• . WorkiDI* Capital required by the Aut1llozity duriD&"

of the Proiect and for .the placiDI af the Project ill operation.

far prov1diDI' Bulk Power SUpply, *1nc1udfD.

Bulk Power Supp17. ta aU ,the Partielpanta

• . 25 XL InItial Facilities Inc1.uC!ed In'!'be Project. Those traDsmlsalcm fadUties to b' acquired, aDd bJ the Authority d1UiJi1' the tUn_ prior to the Commercial Operation Date o! the of tha IUllDtUlC facilities of lb' Project to b' completed In order to meet Ita iuYestmmt respoDalbDltr durlq IUch time iD connection with &11'1 alP'etmct for &Jl interrated.

traumiufou I}Item to w1JJch the Au* thority. mar be a party m accordaDce

With tb. lJroMODI of SectIcm S02 of tlle Coutnet. AcldlUonal

)'acUitlda. '. 'l'h.e additional facilities of the p.roject:

ahal1 be thole additions aM imprD"DlCts to the elKtric II DeratiOn aDd related tranmUlliou iadUties anc! to the S7Stem facilities of the :Project provided for in daues (i), (11) and (ill) of Sedlon'IOI(s) of the Cootract.

SCHEDULE OF ENTITLDfENT SHARES. L PAP:I'ICIPAlfI'S' ENTITLEMENT SHARES OF THE OlJ'l'PUT AND SE1t.VlCES OF THE GENE4&ATING FACILITIES (INCLUDING RELATED Tl'tANS1OSS10N' FACIU'l'IES) iNCLUDED IN '1'HE :PROJECT ' The I'arliclpanb'

'Entltltmtill 5haru of tbe output aDd semees. of fadlf.. tlQ (includlnr nlat&d tratumisaion facWtlu) at the which Project lDc1uQU * '1nD-. teen aDd nYU-tentha percent lZadi.,fded Intuest In PI&!1t Bateh aDd a thirty percent undivided laterat In Plant Vortl. both of which mon parlicularly dacn'bed In 'the' Ducrlpthm of Project, aDd of the lerrices prOYld:ed by tht AuthoritT In accordaace with the pro,isloD8 of 'SectlOI1 803 of the Contract. for each Participant be tboa. Entitlement Sharu **t forth In the followiDc acheduI..: '. . .. . ' " Ialtlll :EDUUlmcnl EntlUellltDt Slaue AI&u . Flnl E1LtitI....t sUn S.a4 Entlu....t sta** A.ftu ftIr4 Pattld,..t SUre f. . .I..)utallll A.4j**tm..t.,. . A.tl'ucaellt . .ACWOllTK 0.610 0.644

ADEL l.US 1.220 l.l62 1.l6'r ALBANY 14.161 12.4.68 lUlZ 10.048 BARNESVILLE 0.SS8 . 0.'69 O.ut 0.418 BLAKELY 0.931 0.569 o.aas 0.809 TOWN OF inUNSON 0.035 O.OSS 0.033 0.088 .. BUFORD . . 0.1574 O.iOl 0.560 0.&66 CAIRO ,1.818 LGiO i.801 '1.7'12 CALHOUN' . 2.256 2!638 '2.757 2.'193 CAMlI,T.A ,l.1f9 1.202 LI04 ' 1.085 CAP.'l'EllSVlLLE 6.277 un &.197 6.173 . COLLEGE PABX 6.304 6.178 '1.409 1.669 COllDmRCE 0*160 0.692 0.6'5 0.581 COVINGTON.

2.695 2.858 2.667 2.m CRISP COUNTY S.15S US9 8.4.10 DOERUN 0.129 O.U9 0.118 DOUGLAS 2.8e,S 2.640 2.60'1 2.6D9 EAST POINT '7.662 6.662 '1.1Dl 6.916 ELBERTON loUS 1.351 1.347 1.350 25 ELLAVILLE FAIRB't11Uf nnGERALD FORS"iTR '. ,OoZe1 0.544 2.329 .0** 0.268 0.&26 2.769 0.879 0.298 .0.556 2.895 0,967 0.806 : 0.s64 '

. 0.988 FORT VALLEY 1."7 1.616 1.562 1.564 GRANTVILLE GRIF.FIN HOGANSVILLE JACKSON 0.090 8.600 0.881 0.542 0.019' 8.080 0.308 0.611 0.088 2.9S4 0.296 U99 0.082 2.982 0.294 0.496 LAFAYE'ITE 1.639 1.618 1.604 1.605 LA* GllANGE 4.880 s.839 S.302 S.198 LAWRENCEVILLE MANSFlELD 1.527 0.051 1.809 O.cas 2.082 0.028 2.148 0.021 lUJUETTA 10.551 ,11.519 12.448 12.688 MONROE 1.508 L422 .1.444 U53 0.367 0.884 0.S98 0.402 MOULTRIE 2.989 2.985 3.031 8.051 NEWNAN 1.609 1.645 1.583 1.&96 NORCllOSS 0.783 0.820 0.841 PALMETtO 0.282 ,0,291 0..323 0.329 , QUITMAN S;ANDERSVILLE SYLVANIA 0.147 0.881 1.167 0.'165 0.818 2.639 0.65! o.m ' , 3.042 0.630 0.775 3.099 SYLVES'l'ER 0.9" 0.881 . 0.9s(* 0.973 THOMASTON 1.299 1.211 1.216 .l.220 THOMASviLLE 5.188 (.as. 4.409 4.882 WASBINGTON 1.018 0.994 1.0S9 L062 WEST POINT 0.661 0.5" 0.444 , WHIGHAM 0.086 0.109 0.121 0.l24 TOTAL , 100.000 ,100.000 100.000 100.000 The Initral EntftJemmt Share let'forth above shall be U. Entltlemut Shan for the , period COAUDe.tIcJDI' wftli th', Cornmercfd Operation Date at Hatch thait No. 1 aud endml' with the Commerd&l Operation Date vf Hatch Unit No.2 Gr.Dec:ember 81,19'18.

whJchevuo a the urDer. " ' The EntUi.ment Share Aitel' First'Adjustlum:

shall be the EDtitlement Shu, for th. period eommmc:!DE with the Commerdal Oper.tion Date of Ha.tch UDlt No. 2 01' January 1. 1919, wh!thever 11 the earlSer, aDd tndJnl' with the Comm.ercl&l OperatfDD DAte of Voatte Unit No. 1 or December 81, 1982, wMaeTer is the euUtr*. The Entitlement Shue .Alter SICODd AdjuatmlZlt a1W1 be the EntitleJDeDt Share for .the >>eriod with the Operation Date of VoJtle UD1t No.1 Dr lanuuy , I, 1988, whicllevtr is the u.rller, aDd with the Coname.rdal Operation -Date of Vol'tle. Unit No.2 or December 81, 1983, whlehever Js the tarller. The EDtitJemeDt Share A.tter Third AdjustmeDt aball be the EntltJiallllt Share for the period commencfnr with the Commucla!

Operatlon Date of Vo.-ue Unit No.2 or J&DU&r7 1. 1984. which.,er r, the earlier, and RdiD, with tb,1ut day of the term of the Contract; 27 provided hOWeYer. tha.t lD the .vent ValU. is not col1ltntcted

• . the Entitlement Sh&J'l*.After S.eod Adjllltment IDd the Entitlement Shu, After 'l'hird Adjultlllent Iball nat be applic:&ble.

and the EIltitlament ShIn After FlDt Adjuatmmt .ball apply for the commencmr with the Commerdal OpaatlaliDate of Hatch Unlt No.2 or JanUU'1l.

1979, wbie:henr Is the **u.r, and endiar with the )at day $I! the term ot th. Contract; and that .the Authority.

In acccndmc.

wUh*lb. 'pnmAou Of Sect1on311 01 the Contract.

willllll the output &Dd ..nicu of luch fntereats in Plant Hatch and P1aDt Voctle to Gecqla Power ComplJ11 in u:cordaDCe with the toUawiq achedu1el: (a) Batch Unit No.1 aDd HatCh t1:it No.2, POWII' Supply T*.TUt: Portion 1Jf POWl!!' Supply Y Atter the Commerda1 Date of a UnIt of the Project TlZlt Fall Power SupplJ Year FoDowiDS Commerdl1 Oper&tlon Pate 1S0.0,. Second Full Power Year FoUowinK Commercial Operation Date 3"U" Thhd FWI Power Supplr Year ;Followina Commercial Operation Fourth Fun Powar Suppli Year eommercW OperatloD Date 25.0" Fifth F\l1i Power SUlIlIb' Year FoUowil1l Commucla1 Oper2.ttOD Date. 215.0" Sixth FilII Power SupPlY Year FolJo'l'rills COmmerdal Operatlon Date Seventh Full Power SappJ, Year FolIowfDs CammercIaJ Operation Date .

(b) Vortla UDit No.1 and Voatle Unit No.2. paW"er ,S.P'lz Tear That portion at the Po.a Suppl1 Year . RemalnlDI' A:ftu the Commercial Operation Date of a UnIt of the Projee:t FIrst Full Powa' Supply Year' " FoJlowlDl' Commercial Operation 50.0" Second Full Power Suppl7 YIU Followinl' CommuciaJ Operation Data Third. Full Supply Year

Owatfon nata Fourth Full power Suppl1 Year FollowiDl' Commerdal Operation Date 25.0" Fifth Fl1ll power Supply Year FaUowml' eommerclal Operatfon 25".0" Strlh Full Po1ft%' Supply Year ,FalloWl' Conunen:ial OperatSon lUi'" ' Seventh Fall Power Supply Year FolIo. eommueial Operation,Date , Provided, however that for the purpose o! determln!nc the percmtal'l of oUtpllt &Dd. se.nices; to be sold to Georaia Power Company, the Firat :FuU Power Supply Yar.

cial Operation Date, 'With respect to Va,.tle Unit No.1 ahaJ1 be IlD later than the calendar year 1984 .Dd with respect to Vortle Unit No.2 ahan be 'DO later tban the calendar yeu 1985, aJlel 'the of output and lervices to be sold (who IUch output aDd aerric:es are &vai1a.bl.

tor IUeb sale) shall be takeA from the 10nl'Qinl' .ehec!u"1or the appropri&ta yl&1' b-..ecl upon the condusive prUumptfoD that the Commerc!a1 Operation Date of Vostle UDlt No.1 is DO later than the year 1985 and that the Cc=me.rdal Operation O&tl at VostJe UDit No.2 fa DO later than the year 1984, and provided, turther, that the UIloUDt of.uch capacity IClld to Qeor*.. I'i& Power CompaD7 aball not exceed 25" til th. AuthoritT.

cnrDenh1p .han of the capacity of Vost'e Units Noa.l and 2 over the usefulli:fe of IUeb maits. It I. undustood that there shallllOt be any In Entitlement SWill of the tidpa.nQ aa a resalt of IGch sales of ou.tput anel Itnle. to Ge.arJia Pcnrv CompU7*aDd ach Participant .hall :remAlll 1tab1e jbl full Entitlement Shan except IU. l1ability shaD b. dllc:hariecl to the extent the AutharSty recdves p&1JMDt Irnm GeoraiJ, Power Company. , , p ARTIClP ANTS' DjTITLEMENT SHARES OF SE.R.VICES OF TRANSMISSION SYSTEM FACJUTIES INCLUDED IN THE PROJECT. . . . The Parlicipants' Entitlement Shares of Services of Transmission System Facilities inclUded .in the holed"1lWl be detannined by the Autborit,1 durin" each Power Supply Year In accor. dance with tbl provtlioZil of Sec:tfOD 308 of the Contract. . ' 29 POwER SALES CONTRAOf BetwHD MUNICIPAL ELECTRlCAUTBOR.ITY or GEORGIA . mE P.ARTIeJ:PANT This at Contract.

mad. IlIld' entered into U o.t March 1. 1978. by md between the Municipal Authority of Gecqia. a public body co:pome and politic IU1d

• public corporatioll of the State of Georgia, hereinafter aomet1mu deripated as the Autborit1.

ereated b1' the pnnfIiolll of I GL L 19'15. p. 10'1. II &mmded. md the ImdmiFed poUtlcs1nbdirisloll ot the State of Geoflia. hereinafter lometimu dufpated as the Puticipant..

WITNESSETH THAT: BE it remembered that

• Power Sale. Contract dated as of October 1. 1976. has been previowl7 cecuted by and between the Authority and the and WHEREAS, the parties duire to amend aid Conlzact NOW TBER!FOltE:

Fer aid u:. cQlUideratfoCl ot the premJIes and the mutual, covenaata md apeementl after set forlb, it 11 qreed by &I1d the parties hereto u foUows: ' **SectiCA

1. s.,ld Power Sile.

be dated u of March 1.1976. BeetiOD 2. S.ction (1) (3) 'of a1d cGntzact is deieted fD its entirety IU1d the lollowblr new Seetioa 102 (1) (3) II substituted in thereof: "(3) acquJlitiOD of initW fuel or fuel mv<<uteli' for any iaaentlo%1lacility of the Project and workin, capital and ruervu tbmfor and WOtkin, capital and rlHlVes for relold fIlel lind addi* tional fuel jnyentories." . 3'.

.102 (n) 'SaJd.* 'Contract is

.b1 delebi WON the fourth Bne thereot , Sedioa 4. Sect.iOD 102 (0) of laid Conbttt it del.ted In Its entUaty me! the followiq IS." SectioD (0) is sublt:1tut.ed In Ueu thereof: , "(0) 'Fuel Costs' Ihll1l mean. II1J. costa inc:uned by the Authority durlnl my Power SUM Year that are allocable to th**cquisiUon.

proc:eainc.

f_bricaUea.

tDnlPOrtadob, deHvuinI.

reprocessfDl'.

rtonp. ,and dlIpoal of nucleaz mateziall and of foui! mataiaJa lequfred for aD1' of the ,enen_oll faciUUes ot the Project. includbJ, tnJufen to rallY" establbhed by the Authori* 1

e. . ty for aucb costs related to future Power Supply Yeua, leu credits related to auch u appzopriate in the discretion of the Authority. o* *0 Section Ii. Section 102 (I) of llIid Contract is deleted in its entlrety and the followinc Section 102 (I) is substituted in lilu

.. 11(1) "ProJ.ct' shaJJ m.an thOle electric and reJated transmlllion facllJtin are identified in the Description of Project and thOle transmlllioD.

system fac:iUtl.. to reference is made in the Dacriptlon of Project to be acquired and coDItrUcted by the durinl the tim, prior to the Commercial Date of the last of the genentinl f.ciUlla tbe Project to be completed in order:.o meet the Authority"'

investment rllpOnsibutty IUch time in connectica with an)" alfeo!ment for aD iDtelPted f:lJ\IIDiUion I)"ltem to Authority

=-y be I party in Iccordance with the provisions of Section 302 henof" .tolether (1) In)" maJor r.new.Js, replac:lmenU," repaha. Idditions.

bettumentl and Improvement. lary. in the opinion of the CaMUltinl EDPneu. to keep the Project in lood operatlac or to prevent a lOll of revenue theretrom, (ii) any major additiona, improvements.

repain modificltlons t9 the Project and an)" decommillioninp or disP.osaJa of the Project. any govemmental aaeocy. havinl Jurisdiction over the Proj.ct or for which the Authoritylhall relponsible by virtue of any 0 bliIltiOD of thl AuthoritJ wiDl out of any contract to which Authority may be I party relatinl to ownership of the Project or any facility thereof. and workin. capital required by the Authority durinl conatruction of the Project and for the. p1acl nof the Project In open.tlon for providinl Bulk Power Suppl)", inc1udinl Supplemental Bulk Power Supply. to the Partlcipant.** . . Section 6. Section 401 of u.ld ConJzact is deleted in ita entirety e.nd. the foDowiDg Section 401 is substituted in

."Section 401. The Authority will pro'Vide or cause to be provided.

to the Participant Supplematal Bulk Power Supply durinJ each month of each lower Supply Ytu. Such mental Bulk Power Supply may Include. but mall not be limited to l partial and tun power puXchues and unit power service, rmeratlq caplCity reserve service, fIrm and capacity aDd mUD' service, tnnlnUsslon servici (includin, transmission lervice purchased by to supplement the ParlidPlIDt'1 Entltlema'at Share of tnnaadasiC1D lemces provided the Authority from th..e transmbdon l,..tetDI fac:il1ties included in the Project) and. interehaDp semee made ava11able U I relU11 of trmaactlOnl with otbc I1tlliti... The COSD to Authority of .elec:t:ric power and enerlY purchued by the Authority frou:a ot!}.er utDItiu upon tanffJ 1Ded by Ncb other utilities with the Federal Power Com.miufon will };Ie reflected fn thl monthly BiWnr Statement to thl Partidplftt.

Such D'loDtbly BDUnr will include .. credit for weh delivery point transmiuion facilities II are owned, financed. operated by the Participant.Section 1. Section ° 501 (b) of said Is deleted in itS entirety and the followml Section (b) 11 Nbltitute.d in Ueu . u(b) Additional Bonds may be lold and iuued by the Authority in accordance with thl provisions of the Bond Resolu.tion at any time and from time to tlJDe In'the event fundi are required to pay t;he coat at (i) any JDljor renewall, repacemtnts.

rlpa.lla.

addltiona, betterments, or Improvements, tel the Project necesaary.

In the opinion of the ConsulUn, EnJfneer.

to keep \be Project In road operatlnr condition or prevent a JOII of revenues then from. (li) any major additions.

Unp'0vements.

repaint or modifications to the Project. Clr my dleomrnlllfonmp or disposals of the ,Project.

required by any lovlmmenbl

.,eney havin, Juriadictfoft over the Project 2

.... :. '.:... ..':. e '..' or tor which the Authority iball be rfrlpomible by virtue at any abUption of the Authority arlairtg ,at any conuact to which the Authority may be a puny relatlnt to ownmhSp at lhe Project or racWty thereof. or (ijl) reload fuel or additional fuel invent.ory tor an, seneration facmty. of. fJle Project In any Powu Supply YeN' ta the extent that sufficient funds are !lot* svmJabfe in any resene established by the Authority lot Fuel Costs: provided \10wever, t.hat no such additionllJ Bondi may be issued lor the purpose of ll"ding addltlonll1 genmtlnl units to the *rtoject.

Section S. Src:tioD 501 (c) is deleted in the its entirety.

and Section 501 (d) is renumbeIed 601 (cl. Section 9. 1he.attachment to said Contract entitled "Description of Project.... and "Schedule of Entitlement SIwa" consJltJnl of five Pilei is deleted in its and the of Project and. Schedule of Entitlement Shares attached hereto la IUt.tltuted b1 Heu theieoL '. SectioD ] 0. Said Contract shll1l remain in full force and except..

IN WITNESS WHEREOF, The Mwric:ipal Electric Authority of and tht Yarticipant have' caUild this Amendment of Contract to be executed in 'their corporate names by ibm du.,. authorized offtcen and their corporate IUla to be hereunto Impressed and attested.

all u of the . day and yeu &R aboYe written. ' --: ...., " A'J1': BY:

". "." ...

• • • • • ! **.* I .. U cwuc* . ':YOR , ,

THIS PAGE INTENTIONALLY LEFT BLANK. .,

OF l'ROJECf Initial Facilities.

The initfal fidlitl. of the Project shail be the fonowin,:

.1. ' Initial

and Related Transmission Faci1itiulnc1uded. The Projeet. (a) Plant Hatch., A'leYtDteen and seven.tent!ll percent UDdivided in tbetwo 807 We nominally rated Duelear lene.ratinl unlta to be known u the Ed,"" I. Hatch, Nuclear Unita, Numben One and TWo, (mdividUlUy dedcnatld u Hatch Unit No. 1 and Batch Unit No.2 and coDeetively desirnated u l'bnt Satch) to be located near Buley in AppUnl County, Geo!lia. fDJ:ludinl for such UDltl (i) laDd. dllfneated and delcribed in the recordJ of the Clerk of the Superior Court of Applin. CoWity, Geoqia, in Plat Baok 8, pAP 315, and in the recorda of the Clerk of the Superior Court of Toombl County, GeorJia, In Plat l5o0k 11, pace 84, mc:l aJllaDd riPta thereto, (Ii) the nueIeIt power reaeton, the tufbtne-.eneraton, the buildfDp hoUIIDI the ame, the UlOc:fated aUXiliaries and equlpD1lDt, and the "lated traDSnlisalOn

!acUities all u more parti* cularlY desc:ibed in the AppUcation, and amendmentl thereto, by the GeOflla Power Compmy befoN the Atomic Eneru Commisaioa in Docket No** 50-321 and 150-368 md the Prelfm1nll')'

Salety Analyala' Report, ,and amendmenta tMreto, which c:oDltitute a pm of Ncb AppUcatlon, (UI) inventories of b:l&terfall, luppliel, fuel, tools and equipment for use'in caDDec:tlon with Plant Hatch, mel (Iv) the PlaDt Hatch Railroad delineated and desaibed in the re.cordI of Clerk.of the SUpirior Court of AppHn, in ?\at. Book 8. pag.. 36, 37;lDd how,er, the Authority shalJ &&"'e the rirht and POWU to leU to any oDe or mOle of the poUtlcal slons Dated in the foUowm, S.hadu1e of Entitlement S'bUeI wbich, sball not euc:ute a Power . Sales Contract .with tbi Autbozlty Ncb portion of ita undinc5ed lDterut in Plant Hatc;b u the . ,Authority IhaJ1 be lawfully ablipted by vfrture of any contraCtual obUptlon of the Authority to leD. to such to satWy the license pertaininr to Plant Hakh. (b) Plant .A HventHn and stl'ea-tenlhl percent undivided intemt In the two 115D MWe maxhmm1 rated nuclear leDU&tiD1 UbIta to be known u the .Al1iD W. VOltl.

UIll.., Numbeil oDe &iJd Two, dajpated u Vortl. Unit No.1 and 'V9,ue Uaft No.2 and coUectiftly desipted u P1aAt ValUe) to be located neR Waynesboro In Burke County, fncludlDa

' for such unitl (1) Iud dellDut.d

&Del e*cribed,1D G!oflia Power ,COlDpany Map PIle M.a-n dated March IS, 19'16. to be'Reolded In the records of the Qerk of the Supuior Court of Burb County, Geollfa aDd all land rilbtl pertainiD( thereto, (iI) the Iluclear power reactors, the turbine-pnerato lll , the buildlnp houainl &ame, the UlOc:iated luxiUarl..and equipaaellt, and the related tunsm1sslan fadlitfu all u 'mon particularly desc:zit.d JDo the AppUcatlon, and amlDdlllmti tbento, by the Georlf,a power Compll1Y be!Oft tIli Atomic: EDq m' Dodet No..

and 150-428 and the I'reUmDwy Saf'Q ADalJlis .Report, mel amendments thereto, which c:onst1tut.ll a put ot IUc:h Application, and (W) lDwntoria of materiaJI.

IUppUa. lu.l, t;aols and equipmentl use In cODll.ction with Plant Vott!., however, ID the event for any reuoa Boads are not isNed for that partiDa of thl Project Usisnated u Plant Vottle, the

...ducn"bed in this IU bpancraph (b).shall not be a part of the.Prolect.

ee) Plant

, A te. pueent undivided Inteftst In lb, 865 MW noDwwlY rated aenend1nr

&

uniti to be known II tha Hal WanIl.y PWlt Unita, Numbers On. and 'hro. (individually de.ated II Wansley Unit No. 1 and Wanaley Unit No.2 and coDectiuly duisnated u PlaDt; Wansley) to be Deaf CentraIbatcbee In HuM arsd Caao,n CaUDuel, Geoqia.lnc:ludfn, for sucb ,units (i) land d.liIlltated and dualbed .in Geoqil Power Company Map PUe K-a.1 dated June 5, 1912, to be recorded In the Itcarda of the CIIIU of Superior Courts of Heard and Cmall Counties, GeorJia. and aIl1aDdri;liti putaUiJn, thereto, (il) the turbine-p21erUoD, tbI boilen, .'the bufldlnp bouainl the same, the atack, till cooUn, fac:iIiti., the ..odated aux!JWfeland equipment.

and the related transmission faciUties aD u mcm, partieuJuly described:

m th. vhonmental Impact Itatement r e 1atlDc to Plant WlnI1ey, and (iii) mventodel of matuiali. plia., fuel. tools apd equipment for use in connection with Plant WapallY, proorided.,bowwv

..,In the event for my Muon :Bonda U'I not iuued for that portion of the Project dlilpated lIl'1mt Wansley, the facilities delcribed tn this IUbpuqraph (c) aba1l not be , part of the (d) P1.mt SCherer. A ten pelCenl' undivided Intenst in the four 810 MW nominally nted Iceratin, un1b to be mo1fll II the Robert W. Scherer Steam Plant Units. Numbers One, TWo. 'I'htee, and Fow. (individually desfcDated II Uait No.1, Scherer Ul1it No. 2.*ScbU'el' Unit 3, and Scherer Unit No** and coUectively dalsnated as Plant Scherer) to be located near Forsyth in Monroe County. Geoqia. Jnc1w:1lDc for luch units (I) land delil1eated lad dac:ribld In Geoqia Power Compmy Map FiJe N-85*9 datad December 1974. c:ontaininlapproximatel1 twenty* .even hundled lall, 1rith such additional land of approximately ten thowad urn acquired or to be acquired for UIe in connection with Plant Scherer, to be recorded In the recorda of the Clerk of Superior Court of Monroe GeoElia and aD land xtlbtl perlahUnl'thereto. (Ii) the turbtne-pueratora.

the boiled, the bUUdinp houdnl the the ltac:b. the coolin( faci11t1es, the associated auxiliul.

and equipment, and the related trwmiaton ladJitiel an-u .more parlicu1ad1 deac:z:ibed 1I1 the mYiroummtallmpact atatement reJatiD(to Plant SchInr;and (lU) Jnveuton.1 of materials, supplW, fUel, tools and equipment for use hi c:ounect10D with Plant ScHerer, pro'rided, in the ITeRt for aay reuon Bondtare notillued for of the Proj.ct daipated u Plaat Scherer, the lacmtiei dlllCribed in thJa

{d} lball not be I part of the Project. . . (e)

Capital Worldnl Capital required by the Authority durinJ coaatructton of the Project II1d for the P1.ldn&' of the Prolect in opudon for prO-Mm1 Bulk Power Supply. inclUdfn( SuppiementU BWk Power Supply, to aD. the Pattic:lpantl.

.. n. InItial Transmission Facilities Included In The Project. Thole transniillfon' to bt' acquiled aad cODatNc:ted by the Authori\y duziq the . time prior to the Commercial Operation Day of the lait of the leneratlD,J fu:ilttta of the ProJect:*

to be completed in arder to meet ita investment r'lponliblllty durinlNcb time In c:cmnact1cm.

with lIDY lPIeJllet for In IDtqrated Iystem to which the Authority mil' be

• PI1't1 In acc:ordlftce with the provislona of Section 302 of the Contract.

Additional facilities..

Tha additional facilIties of hojec,t ahall be thoa.

md fDlproveJi:leata to the electric ,eaeratlon.

and re-lated tranamJuion lacD1tla

and to the tranllD1talon system fac01t1. of the Ptojed proYided lor In claUlU (I). and (til of Section 102(1) of the Contract.

' 6 .,

SCHEDULE eF ENTITLEMENT SHARES. I. PARTICIPANTS' ENTITLEMENT SHARES OF THE OUTPUT AND SERVICES OF THE GENElLATING i'ACIUTIES (INCLUDING RELATED TRANSMISSION FAClUl'IES)

INCLUDED IN THE PRQJECT . The Participants' Entitlement Shares of the output and SeMCt.l of the ieneratina:

faCl'Utles (includinl related tzanllDIaioD facillties) of tM Project. and of the seMCII pzovided by the AutharltJ in acc:ordlAce-with tbe provisions of Section 303 of the Contract, shaD. for each Puticipmt be thqse Entitlement Shant set forth in the followinllcbedula:

provided, however, that in no event ahaQ the Entitlement shue of any :Participant be leu than that lit forth In the fonowiq schedule and provided, further, that In the event anyone or Inora of the potitica lubdirislonl Usted in the foUowiq schedule Ihall nat execute a Power Sales Contract with the Authorlt7, the EDtltlf:ment Shares of the remaininl Puticipants.

u such Entitlement Shares are set forth in IILch colulDD of the foUawin. schedule, may be increased pro rata by an amount not exctedinl fifteen percent of such Entitlement Shares in order that the sum of the remaiDinl . Entitlement Shuu in each of the followinr columns wben 10 acUUlted shall total100.000lA:

.. P..rlJdp.llt lalt1al EIIdtJ***t Shari " EtIt1tluaaat Share A.ltar PInt ....dja....t EadU***II& Shan A.ltv SteaM ..Ulan-a' EIItfthaea&

Sur. Alter 'l'IlbtI AcJJutaat ACWORTH 0.610 0.6<< 0.618 0.614 ADEL 1.418 1.220 . 1.162 1.1&'1 ALBANY 14.1151 12.(68 . 10.412 10.048 BARNESVILLE

.. .0.568 0.(69 0.422 0.413 BLAXELY 0.981 0.969 0.886 0.809 TOWN OF BRINSON 0.085 0.035 0.081 0.088 BUFORD 0.6'74 0.661 0.560 0.566 CAIRO 1.318 1.680 1.807 1.7'12 CALHOUN 2.266 2.638 '2.76'7 2.798 CAMILLA 1.149 1.202 1.104 1.085 CAATUSVILLE 5.27'l 5.376 &.19'1 8.1'78 COLLEGE P AlUC 5.804 6.878 7.409 7.659 COMMERCE 0.760 0.692 0.64& 0.687 COVINGTON 2.&98 2.69 2.667 2.6Tl CRISP COUNTY 2.648 3.185 8.869 3.410 DOERUN 0".129 0.1.26 0.119 0.118 DOUGLAS EAST PoINT 2.105 '7.662 . 2.640 6.662 2.607 . '1.101 2.609 6.9'76 ELBERTON 1.1546 un 1.347 1.860 ELLAVILLE

().247 0.268 0.298 0.308 FAIRBURN 0.544 . 00626 0.666 0.664 . FJ"I'ZGERALD 2.829 2.'769. 2.896 2.9S2 FORSYTH 0.932 0.871 0.967 0.988 FORT VALLEY 1.647 1.616 1.562. 1.1164 GlLun'VlLLE 0.090 O.QU 0.083 0.082 GlUFFIN' 8.600 3.080 2.9154 2.912 HOGANSVILLE 0.831 0.808 0.296 0.294 7

.JACXSON LAFAYETI'E 0.5'2 1.639 0.&1'7. 1.618 0.499 1.604 0**98 1.60& LA GRANGE usa 8.889 8.SOZ 8.198 LAWPNCEVILLE 1.527 1.809 2.082 I.U8 MANSFIELD MAlUE'tTA 0'.061 lO.561 0.036 11.&19 0.028 12."" I).02'l U.88S MONROB 140NTlqELLO MOULT.RlE . 1.508 0.867 2.9B9 .1.422 o.s8. 2.985 1.", 0.898 8.OS1 1.ns 3.011 NEWNAN 1.609 1.645 1.583 1.691 NORcRoss 0.688 0.738 0.820 P..u.KET1"O 0.282 0.29'7 0.J2S 0.329 QlJlTJ4AN SANDDS'VILLE 0.'11 0.887 0:'65 *0.818 a.1S2 . o.m 0.630 0.7.,5 .,SYLVANIA SYLVESTER 1.'16'1 0.944 2.689 0.887 8.D42 Us4 8.099 0.978 'I'ROXASTON 1.299 1.217 1.216 1..220 'I'BoKASVILLE

'5.788 4.894. ,4.409 4.882 WASIDNGTON 1.018 0.994* . 1.099 1.Q52 WEST POINT 0.561 0.544 0.444. 0.424 WBIGlLU( 0.086 0.109 0.121 0.l24 TOTAL 100.000 100.000 100.000 100.000 The Initial Eat1tlament Shue Itt forth abOYI J1ull be the 'BDtitiement Share far the pmed <:ommendnl with the Commercial Operation Date of Hatch trn1t.No.

1 and etadInI o.c.mbex 31. 1978. Tba Entitlmaent sa.xe After FIrst Adjultmait shall b. the Entl.tJemmt Share for the period commenc:inl JanuarY 1. 1979. and adln, December 31. 1982. Tb' Entitlement Shale After Sec:ond Adjurtliwlt JhaJ1 be the Bntl.t1emmt

'Share far the period cOmJDenciDr 1983, and eadJn, December 81.1983. ' The SharI AfWr 'l'bird Adluatment

'hill be the-EDtlt1eDlmt.

Shu'a for the period cOmIDeAc1D.

Januuy 1.1984. and eaidin. with'thelut day of the term of the Contzoact.

.., ,. The Authority.

in II:cordlllce with th. pxg'ril1ona of Sec:tlon Bll of the Contra=. wi1111l1 .. portioa. of the" output and 'MlVic:1I of auch undfv:lded tnt.uestl fa Plant Hatch. Plant VopJe, PlaDt . Wmsll', and P!lnt Scherer to Georpa Power COmpaQ1 In ac:eordanc:e with tU fonowfDI ac;bedu!e:

8 P...v Sa,M r.ar That PortlOD of the Power Suppb' YUl' . ltanabdni' AltAr the cammerda1 OperatlOIl . 60.05 Date of a l1Dl\ at the Proil!C t Fin,; FaD Pawer Supply. FollowiiLr cammercW Dll' Second Full PowvSapp1r Year FonD'llrina' Operation Date Th!rd Fun Pawc SUPPb' Fo1lowUla' eommerdal Opera.tf011 Date Fourth. Fall PoWV SIlllPl7 lI1ftb FuJI Power SUI'PY Followiq eommerc:ll1 OperatiOD DaM Sfxt1l Full Power Suppi7 Yur FaDowiDr CommerdaJ OperatloJl.

Date Snuth Full Po"" Supply Year ComJDerc:lll Operation Date Then DOt be ay reduction in 'Entitlemen t SbaltII af tAt Puticipats U I.lUU1t of such .... of output lad aervSca to GeOlIia Power Company ad ach Ihal1 remain liabl. tor Its full EatitlellUtllt Share ucept IUCh UabWty .han be c1IIc:huPcf to the extent the Authority ree:eiva payment tmll1 Geoqia Powu Compmy. PARTICIPANTS' ENTITLEMENT SHARES OF SERVICES OF TRANSMISSION SYSl"EM FACILmES INCLUDID IN TJlB The Putldpauta t Entltlement Shares of SeMc:e of'I'raDlmiaion 51.tlm ladUt:!es mcluded In the Project shall be dlter'llliDed by 'be Autbodty dwiDr each Power Supply Year in cordance with the provltfODa of Sttetlon 308 of the Coubc:t. 9

'W I', r... , SECOND . lOWER SALES CONl1\ACT

)1t1NICIPAI.

ELECTRIC ,\tlTHOJUn' O'p GWRCIA md : THE PARTIClPAf-.'T

,11d. SC'CUnd *...,nCllcJme1lt uf Cwtrl"t.

nd L'nlerecJ into:lS uf a 19ii. b)' and b,:ml"om tht )'fanidpal Electric .-\utharity oJ CCOrlU\ a pulJllc hod)" corp"ntr and )KIlltlt:

and a publIc. col'pUr:ltioll of t]1l: Sl:atc of Co:=ursi:z.

hc:refnaft

..., lometimes II the' l,ut!writr.

cmated by eM pI'O\'!sluns of 1 CL r.. 19i5, p. 10':, as 3m&.'CIded, :lIId the IUldcrsJptd pillltic:a1

,"hclhvian IIf tM Stat" nf lM."eln;z(tcr . -.ometill1CS desl'nllted u thc Partldpallt.

.. WITNESSETH:

TH*.'" T: , , UE \t rC1I1Cnlh...,.ed thai a .Power Sales Cuntrlld and an An\C:ndmcnt.

both dated u of I, hD\'C' prc\iously cxecuted by lind between the ,\utharit)*

lnd the P:lrtle'p3IIt. .. \\"11 EJ\Eo\S. the p:atti&.'S desire to ammd Sllid Cuntrat"t in eert'.dn rdpcdL NOW TH£I£FOl\E: . For arid In consfderatlun of the prcm1ses Ind the nlutull M"enants and Gsrlfmelttl h<<trin:alttr let forth, the sulfacienq 01 whidl is uJcnowltdged, ,It Is aped' by and thc plUtla heretn .. u follows: ScetiOD 1, Subiection 100(r) of salrJ Power Salts Contnct wherefn "Proportionate SJwe-Is ls hereby deleted iD ill entirety. Sectfon !. Sccti01l 403 01 said is henob)" deleted lrl its entirety :anel Ihe (o1lowlD, new ..a3 js IUbstitutcd JD 1I;eu thereof: *Sectiol1,,01 Supplemental Bulk Power Supp1r T aleen Br Participunt.

The PutfciJ=11t shAll :aU ur its StJPl'JemeataJ Powcr SuppJylrcM the Autbority

and sMlJ p

sy to thto Authu:fty its share of Amru" Supplemental Costs set Earth in the Par'ticipnt's monthr BWlo, StatatlcDt IS . delennlncd in accOrdance

\\itlt the foreaofal pr'O\1IIans oi this J\" and. NhznJlted by tJw Authority to the ParticipUit.-

Scetfon 3. Satd Amenc1menC sh:aJ1 be etrecth'c for uc:h Participant as Df the time 01 the 19Ti. mC'tcor rudinllL The Anthon!)'

ir. how"'t'r.

authorf2L'd to make adjuSbncnts EnmI worklnl apiC:lI ror period trum February 7. 1977. tu the efr<<.ui\'.

dall aI this AmtndruJlt to ol1*J('t the amuunt IJr Which the lobi of An)" PartldJl:lnrs actuaJ bllllnp damn; .u,"" ptdocI CJCC'C'CIceJ what w tolaJ'of nda bllJinp would bcC11 under the \\'1l*9 rate. .aId Ad.JUlbnenlf to .. of power mppJ, 4. Said Contract sh:aU remaiD in full lorr:<< :and .eHect as hueUa ameuded. 1

... :rr.:.g. ::. ",' .. _..-***-w*<< , -_ "

".' . ':" '.:;..

"(,..,.c.-:'.... .. . .. ;. ..l.,:.

'. . .., if'.. 0..: :: *.. * . " .:: l:., '. . IN '\VJn'fESS The )IUnlClpct.J Elcc::uic of .....cJ. tb. P..-tIei911nt llAV. caused this S.eClOacl Amcndmeut 01 Contract to be: CllCCUted in their COI'pOl1Ite Jlmlc=l 'by their duly. authoriZed oEflcers 8IId their COIpClIiate .C'als to Iw impress,rd

=d Iltk..sted. all of the day and reM lint writta.' , MUNICIPAL ELECmlIC AUTHORITY OF' An, /oJ

= CITY or AnEt*.GEO

...,". .., e.* THIRD AMENDMENT POWER. SAlES CONTKACl' BETWEEN MUNICIPAL.ELEC'l1UC AUI'BOlUlY OF GEORGIA AND THE UNDERSIGNED PAllTICJPANr

", . ThJI 1hJrd Amendment of Contract, inlde Uld entend fntD u of FibNIl)' 1,1978, by md between dw MW1k:lpll Electric A1l1h¢ty of Georpa.

• public body COlpOl'lte aDd pdIdc: IIId * "publl; carporatloa 0' tba Stall" of' Gcorp,lmdDafter iomatfmll dellpatad u til_ Authodty.

cnlUd by ilia pRl'ldoal 0(1 GL 1... iins, p. 107. u amaUle( lad the \1Ildeniped palitbllllbdIYtdaD of thI State of GecqIa..hImufttl IOJnldmeI ckafplUd II tU Plrdclpmt. . WI TNBSSBTH:

lBAT: . 'BE it remembeted that.* Po.er SUI Contllct md Ul.AracDdmlDt, both d&t.cd U ofWadL 1. 19'76, uIIla Ammdmeat dated u of Way 2$, 19'77, hid bem psevioady UlCUbld by azul bctwat& thII Authod\r md ". WHEREAS, slid Ccmtnet contemplates that addldoaal projects may be by the ADthodty to ft&k a poztioD of dw'Puticfpaat', buJk pOMr requfre:mlDu, aDd It Js now dI_eelf...... aDd by the PutkiplDt md thI Authority that the Aatbolity IcquiIe addlticml1 pzaentfq QiIlCit7 to plDllde a of Ili4requllanlDtI,llld

.. WHEREM, tIw

.hu dcteDD1De4 to lDt-r into a l'rojcct Two Pcnm SUa Cooirlct or eYeQ datil herewith with 1ha Authadtl-Ia order to IDable the .Authodt1 to ISle Its IeWIDU8 bema 10 pq 1ha coItI or"1Q-_ qufdq lad COIIJUUCtIaa Two nCernd to be.lcnr md to tobla PutidplDt to ncelft aatpat uui _tid. ICMca from 1'Ioject Two, u.d '.

• WHEREAS" it II m4 duln1U to amend tha said Pcrrm Silt. Ccmcract.

c:aodItat with dIa Bcmd RuaItatloa.

to ...ble tIP Authodty to ..!Ita md cIwp.. If' deiln1ale; to ncovu COItI ca a cc=bfae4 bull for :Bulk .suppJr _d 1M output IIlppUad fraza Projlc:t Two lad urj futurw projectl len wbJc:Il PuddplDt may execute

• CCIltncti aa. to 'Dabia 1M Authority to *ld4fdaGII tnIUIl:dou with .1UpCCt to 1bI wi.nfcI. of the Project tbcmm4u. NOW TBERE:FORE:

For-mel ill CCIIII!dentfca at the pram1ses and tha IUlltull IpCDmlb b.aa:f.aaftar

!!It forth., the IUl8c:feDc:y of wbldlla.henby adcDawl.ilaed, It Is qreed by ml! batweea the pardu bema

• fallows: J Scctla-1. 1'ha Power Sales CoDbut, U IIIIcaded, b hereby Mthic unlSldecl by addInl It 'Dd 01 Section 102 1he rollowiD.l cltb1tklDl: (x) '?Ivject TVIO" IhID me.. the Authority'l

_ODd project or IdditiODIllmd1ri4cd iatcldtl m-Plmts wlDilq liiio4 Scheili. acquired plJlSUat 10 ID opdOll qreemellt with GecqiaJloftr'Campltly date4 u or ADplt 'l1, In'. U lIDaldc4.*wbicL project Ja dell:rlhecl.

In SecUoIl I02{.) of 1bl= Praject Two Power Silel Contract. (y) "PIaject Two Pawer Sales IhIIl meUi that certaJn Colltnct datlld u or the datil her-ol tween the Alalhodty IDd tbI parti:iplllt u the lime may be lJIW1ded Cram tImI to tiaII. rela1fD& to dla proviliOll of output u4 related .rricci from I'rojct Two to the Putldpmt.*

Sectid 2. 1ha Powct Sdlll Contract, u amended, W herebY further ImIlJdecl by deletinl Section 401 ill its entkely and aubItltudq III lin thereoC tIM: CoDowinlAft' SectlOll 401: '"SectlOD 401. SlIpp)emem.taI BulltPowv Sappl,. Prcmded)f the ADthocitJ. . . 1be Aulhodty wiU plGride or cause to be pnmdecl to the Pudc11Jut 111 Slippllmllltal Bulk Powet Supply dwiDllach IDClDth of.each'Power Supply Yeu. SUCh Suppkmmtll Bulk.Powcr Supply may elude, but abIIJ Aot.be Umlted to, pudllmcl ftJn IlquUlIDIDtllbm power IIld ualt power terriGl, Ibm md capldty m4 IMrrf llMee, tnnIIIiJIIIoD lllllee (JBcJudfq truamlsIloa

,.nice pl.lrchued lly the AuthaJ;ltY to.NppJanent the Putic:lpant'l

&LtitJemellt SIWt of truismiaIon services pro\'fdccl by the AInhoJity Crom tho.. trJDmUsdcm qatem ClCIldellllcluded In the Project) and otlw IDteldLanp Mmee made Ift1Iabk U I result oC trInIICtiolll with other utiUtieL S.cdoJl 3. the Power $du ContraCt, IS 1mI1l1!ecl.

II hereby rurther ImI'Aded by deletina SectJon 402 In {til cnt1rety uullUbtdtudDI ill leu thezeof the Co1lowinl DftI $ec:t1oD 402: * .asectfoa 401.

.... Camps for JaIl: POWla' Supply* (I) The .A1lthorlt)'

JmY ccmbiDe the An:aul1 SUppllnleatal Cocu wi1h the IIUlUIl cOltl or usy fUture ulldutlba by the Authonty, includml Project Tva, Cor whk:Jl the Partldpmt 1IU executed I ccmtnet for' the Olltput -nd related thenof, Cor the puzp_of estIhJlah!q

..tea lAd charla. or the JIlaY _blilh Cor my of such costa. Of camblDltlo1l tJweof, IIplmtl ratcI mel dwpI. ,t the dbc:redoo oC the Autbonty, In ei1bu cue fa ICetxdaDce with the pro1lllCIIII of Section 401 (b) hereoC. . (b) The AJrthodty establkh mel maintain fib: and noadilc:riJuJutary nta ad char..which riI proYide thai ue 1U!6clent, but only suffJClent.

to pay the Annuli Supplanmtll Coati. whewr or aOI lUCIa COIla an combined with the llU1UaJ eDItS or my falUll projectalllldertIJaID by tha inclucUnl.

Project Two, Cor output and amees oC wh5ch du= Pvdciplilt hal cxecurcd

• toa* tract. (c) 11Ic .AD1hadty shaD.

Partid.pmt elCh JIlClllm durtDa ee Power Supply Year by pnMc1. iDa the ParddpUlt with I Bm1q Stltanent Cor such maatb In ICCOrdlDl:l with the tatal ant char... embliahecl pllnumt to forea*1 prcrvbiQ1ll oC thJI Sect10A 402 lor ita SuppLemeatll BaDe PaWer Supply. Such mQllthly BG1JDI Statemat will include

• credft Cor such de1IYeJy pofAt tnnsmlaiOlL ClCilitW II ua 0WlI&d. firwlced or opeated by the PartlciplDt.

Such BlDtnI Stltlment Iblll b-paiel by partldpll!ot on or before the =111 dar from Iha dlta of such biD. AmCMlllti due md DOt p:dd by the Putidpat 011 or before aid data IbaI1 bear III addlttaral1 cJwp oC cma mel J'I:I'CCDt per moath lor eKh month, 01 f'n.etion thereot until the 1Dl000t due II paf4 In. l'vJL At the mel ot.x.\ l'Owr Supply Yearj adjuatmen b oC bil1iDp shall lie mlde ED wilh fbi pmbkuu or Sectiaa 209hercOf.

.' (d) III the ",cnt dlat Aathodly rate.lDd charp. pWlU1Il1 to Sectial. 402 (.) hereof to flCOfer, 011

• eombfDe4 bub, AnDual Sl&ppJemcutal r..am and azmuaI eQltl i1J:r tutln proJeCti UDdertabD lly thI Au1hodty.

fuclvdlq Proj&ct Two. for the* output ad.nicet oC wtdc:b the PVtIci* pat lIu a:ee:uted.

I CDDtncI" tba will Idmllly 011 tM BllUuI Statemeat aubmltt.ccl by tha Autbodcr to Cbe Putldpant pwm_t to SeC1l= 402 (e) he.-of lhat lIDoUat of tll8 ICft1I1IP to be eebcd by eM Authority

&am tb& Panfdpaat IUrlUlllt to IlIda rlloe, lAd c:!wps thst is allocabll to the of monthly Aru1ull Supplemental COlts. Such amount abaI1 be t!u: lIftIlUCI to be received by '. Or

..-.. ..._.. '. .. ".." ..-*.. *.*** -'-:'.,

.*. , ,;" :* . tho ADthodty trona t,h, 'artJdput not aUOc:alcc!

by W: Ailihorit)i to Ibe payment of CDiU of any sucb NNrt projOC'li

'Ul'IUlDt to the rel.tlnKlo ilia projeeu. ... The POftl Sale..

• • U Imeftded.

Js hcnq fuJ1her JJneDdai by renumbcrin&

pmml Ito's.=tJai iU(a). aAe! Dew Secdoft 311{b) to read IS foUows: . '"(b)'J1Io Aulhodly lftI)'.aJsa utilize.-l.and cxchuac electric cap Kit)'IIld cClCl1Y rrom tb&p'aDt'. &addlmeat'" or Project One, ....IlCACYct, in U, any IIlCh tfUactiOll em mscnably be apeCUtI.., ruuJllII

• more 'dJah1e or cconomlciJ IMII1I Bulk Pncr SlJpply b the PuticiptnU.

1bIllutltfpatccl proceccls rlOlD IlIcb or tranactJonalbaD.

10 the auntJ'lr'IClicabl

• • be mlmawclln cJaa Aaaul Sydim .Bud** 1M QlY net mtDUCI acmaIly recelYCCI

'" th& Authority as a raulc or &\Ida .IbID bI ""'dJled to the J'anldpa,,,Ot EDUdcmml Shan: of AnnUlI Projecc Cosu under tile , ,*.PDMr We. CoD_t.il $* ConkKt sh&I tcmJ!Q m t4TU dfeet a, hmlD amended. IN*WITNE!S 'WliEKEOF.

The NuDldpIl Electric of Ceoll1& amd the Putidpaotllnc caused thIS .rd A.mIftdmeDt of CoIIU'ICt to be aCCU\ed III their corpor.&e DImCI by their 4uJ1 aUlJaorl2eCs

'ornccis and It cozpc;mo ...... to.be IwdJlto Jrapn:atd and .lImed, 'dJ of the *.,.and y** fltit a tlCM wrlttn: MUNICIPAL ELECTRIC AUTHORITY OFGEO ) ., ..

FOURTH AMENDMENT POWEll. SALES CONTRACT MUNIClPAL ELECTRIC AUTHORITY OF ANDTHE UNDERSIGNED PARTICIPANT

-Th!a FOurth Ammdmmt of -Contraet, mid. and entered into u, of 167 1, 19i1Q, b7 mel. betweeu the MWdcipal Electric Authorlty of Georp. a pubUc body corporate anel politte and. a public corporaUon of the state of Gearl1a. hereinafter sometbne.

del1pated.

U the AuthorltYt aeated b7 the provilion.

of I GL L.1875, p. 107, u amended, aDd the und.en1ped of the State of GIOrp' aometima desipated as the WITHES SETH: TJlAT: BE it that & Power Sales Contract and an Amendmut, bOth c!ated u of March 1, li'18, a Sec:cmd. Amend.m!OJJt d.ated. u of May 25, 19'17. and. a Tb1rd Amendment dated J'ebruar.v 1, 1178, have bleD prnioua1y executed by md between the Authadty and. the Part!dpct.

and ' w:aE1tEAS, the ad the Authority bave d.eterm!J:!.ed.

that It ia m their but Inte1'eatl to seD. the Authority'a1Dlera1l fD UDltl ruee and Four hi each of and Project Two and to acquin ad.d1t1on81 leneatm, capacity -1U'bItuUlUy equal to the interestl io sold in aec:cnlaDce with the provillaDl of the Project Three Power SiUea Contract entexed tnto by the Partldpant and the Authority u of 1he of thIa Amendment;

&Dd , w:aE1tEAS.

it !a Jleceauy and desirable to UDend the saiel Power SIles COJltrac:t, dstmt With the Bond Reaolut1on, to (1) reclef!De the Project 10" a" to exclude the mtG'estI in Scherer l1J:dtl '!'bree and lour wh1c:h are to be dJlpOIed of by the ADthorlt,y, &J2d (U) to revile the schedule of Ale. of output md .G'Vicu from Sc:herer UDiti Olte and Two. NQW TBERBFOBB:

For cd in c:ouldei'atlOD ,af the prem1lel aDd the mutual COTeZW2U md qreemeotl set forth. the 1Uf1ldtmC1 of wh1c:h 11 hereby acknowlqed.

it !a agreed by and between the partIeJ hereto u foJ1owa: ' . seedoa 1. The atuchJDent to the Power Bales CoatHct entitled "DESCBlPTION OF PROJECT"';

u amedad, 11 herebY. further amended by deIetiDg section I(d) in it. entiretY.

and in Ueu thceaf t1Ie foDowm, lleetion I Cd): ' "Cd) PlIDt Scherer. A ten perceDt uncUvidea hiterest in the two 810 MW DomiDall7 rated eoal-&ed leneratml units tQ be mown u the Robert W. Scherer Steam Plant UDita; Numbers One and Two (m-' 'divid.ulllIy d.dlpatK u Sc:berer Unit No. One md" scberei Unit No. Two) to be located near Fonyth in' MGDZ'CMl COUDV, Georlla, mc1ucUnl for web UDiti (i) land. d.1mutec:1 and .crlbed In Georpa Power Company Map File N-85-9 datee!, December 19. 1914, eonta.iD1nB 1

., -..' approximately 1Weraty-sfYen hundred aeru, together with $Uch addJt1Dna11and 01 mately tell thauJmd acres acquired or to be acquired far uae m COzmectlOIi

nth PlaDt Sc

huw, to 'be recorded 1D \he rlCOrc!a of the Clerk of Superior Court of Maaroe Count,'t Georgia IIlld all Imd. rJptl pel'tIirWll thereto. (U) the turbme.gmeratlOra.

the boDan, the buUdmp houlbll the same. the .cb, the eool1Dr, fac:W.tie1, the UIOdatad .u:xillarIeI aDd equlpmmt,.

aDd. the related traDl""tpion facWt1eI aU u more par1lc:u1ar]1 m the mvinnmumtal impact stateDleDt relatlAl to Seberer. ,(fill fnvmtorlel at materWa., I11PpUtI, fuel, too1J aDd equipment

!Dr In conneetton with Plant Scherer, aDd (iv) an amount equal to 5.0 percent of tU tadlitt. of Plant

. SectiolI %. The attachment to the Power Sales Contract mtltled "SCHEDULE OJ' TIT.LEMENT SBAIa:S", AI amencled, !I hereby further ameaded by de1etiD.a Plant Seher-v 'hom. the acbedule of sale. of output and serVices to Georp Power Campany. addinl

• new sc1ieclule of aa1a of output .servic:es to Georata Power CompaDy from Scherer 11mb. Oue and Two ..follows: "The Authoitty, In aceordance with the provisioN of Sec:tioll.311 of the Contrac'tt intends to seD. a ponloD of the output and servicu of the Project to GeorPI Power Company in eordllDCe with the foJ1DwfDl'.cbedule:* .

Gee" It.,.. .P..... R..-l., Year 00!111!!7 That PorUCD of the Power Supply Year Bemambal After the Commerda1 Data of Scbc'er' UDib 00. or TIro 100.0" :rtnt J'W1 Power Supply Yeu ll'o1lowin' Cam m en:la1 Operation Date . Seccmcl FaD Po....Supply Year FoD01riDI Camaerc:IaI Opention Date 'ilurdhll PawerSuppl,.Year P'oJlow1D' Commerdal Opentlozl Date '70.0" ll'ourt1l J'a]] Po...SuP.P17 Year J'ollowm.

Cammerdal Operation Date Ff:fth J!u11 Power Supply Year J'onowiD.

CosmDerdll Operation Date Sfzth J'aJl Pawer SupplJ lI'ollowmg COIZIZDerdal Date Seventh J'DI1 Power Supply Yeer lI'oDowiD, CozDm,rdal Operation Date Eflbth FW1 Pvwer Supply J'oJiowm, Commercial Operation 20.0'" NfDth NlPower SupplTYeu . FollowU1' CommerdI1 0pt10D Date .. 10.0" The AUthority may, in its d!scretiOll, establish c:ommerc:ial operation data for umu of the Projec:t for the ))W1)oae 01 the fonlt21Dl .cbedul. and 1n1c:b dates may be fuent tram thole Commercial Operation established lD accordmce with Beetlan 102(1) of the Ccmtrlc:t.

The e1tabUshment of the fore.u, aehedule II not 1D.teDded to Umlt the power 01 the Authority granted in Section 311 to .n anc! e.xc:han,e power and eaerJ1 tram the Project.II. . 2 IN WlTNES3 WHEREOF. Tb.. MUni'dpai Electric Authority of and. pant hive causecl this Fourth Amendment of Contract to be executed in their corporate DImes . br their 4wr author.iaed Off1cera and their corporate soia to be hereunto impressed and tested, aD 01 the da,. aDd year above WrlttU1. .. '. MUNICIPAL ELEC'l'lUC AUTHORrrt OFGEORGJA

.. ....

., e' FIFTH AMENDMENT POWER SALES CONTRAct MUNlOPAL ELECTRIC AumORITY OF AND .THE UNDERSIGNED PARTIOPANT Thir Fifth AmeDdment oI CoDtract.

made and eatered iDto U oI November 16. 1983. by aDd between the ldunicipal Elcctiic Authority Of Ocorlia, a public body corporate and politic and a public corPoration of, the Stale of Georaia, huciDl1'tcr lometimes dailnated II the Authority, created by the provilloial of 1 Ga. L. 1915, p. 107.*u amCD4cd (Title 46-3*110 O.C.GoA.).

ad the UDderalpcd poIitica1lubdiviaioD 01 the 'State of GCOl'lia.

hereinafter lOD1ctinu:l dCliptcd u the ParticipanL WITNESSETH: "BE it remembered that a Power Salca CODtI'act aD Amendment, both elated II 01 March I, 1916, a Second Amendment dated .. or May 25.1917** 'Third Amendment dated February 1. 1971. ' and a FoUrth Amendment dated May 1.1980. have betn prcYioUlly QccutDd by aad bet"eCll thc Authority and the Particfput: .' , WHEREAS, the Participat and. the Authority ba,e determined that it is in their bat interests , that the Authority undertake a project in aceordeca with the provilioDi of the Projc:e;t Four , Power Sales Contract altered into by the Participant and the Authority II or the dale of lhiI Amend.* . menlo whim is tealonably tllpcctccl to rcsuJt in a more economica.l ovaaU Bwt Power SlIpply to the Parpcipant and other poUdca1l1lbdiYWoIII CODtractiq with the Authority therefore by makiDi the output aDd related lemcca at,Project Four availa.bJc to the Participant, and by eDibUni the Authority

\0 rearran.e certaia ala of the output Of the l'rojcet ad Project Four to other'" utllitica whkh ia intended to imprme IUbstutially th matehUll of the output of both the Project and Projc:e:t Four to the Participallt's Power Supply reqWremcatsi and . . WHEREAS. it is Dc:czuary aDd desirable to amCDd the Slid Power Sa.la Contract.

CODIfstcnt with the Bond ReIOlutian.

10 u to revise thc schedule of wca of output and lervica from VOlda Unit No. 1 and Vollle Unit No. 2. . NOW THl.lttFORE For and in coDSidcratiOll of tbe premises and* the mutual covenants.aDd aarccmcnts hc:rcinaftcr let forth, suflicicncy of which is hereby acbowledled.

it is aareed by and bctwCCD llIc partJa hcrcto tlIat said Contract is f'urthar &mCDdtd u (oUaws:.. ' S.edoa J, ne attachment to the Power Sales Coatnct entitled "SCHEDULE Op* MENT SHARES-, U &ma1dcd, is bereby Curther IJnCIldcd by clcletiq tile reCcrucc to Plant VoJt1e Irom schcclulc 01 ..les*of output &ad aervicca to Ocarsia Power ComJIUIY.

aDd addiq a Dew IChedule oflales of output and I-:mCCl to Georpa Power Campallylrom Plut VOltle u follows: . ""The Authority.

in IccordlDCC with the provisions o(Section 31 I of the Power Sales ContraCt.II aJl'lCDdcd.

and subject to the provWou 01 tlle AJYiJl W. VOltlc Nuclear Unita NlImbcrl One and Two Purdwc. Amendment.

A.ssf,nment and Asnmptiou Aarccment, dated al of NoVember 16. 15183. beewecD GCOJ'IIa Power Company Ind tbc Authority, ,intends (0 seU I portion 01 the output and ICI'Yicca of its Project One owncraJafp entitlement in 'loat1c Units Numbers One and Two to Gccq.ia Powcr Company in accordance with the foHowinl schedule: .

• '- "A. iu to 77.966'11 of the output UIOCiateel with the Autbority'l Project Olle ownership ment in VOItlc Units Numbers One and T:-o.

lhall be u Collows: PnIrS""'Y-.

That PotUon oC the Power Supply Year R.emainilll After the CoDUi:lcrcia1 OperatioD Date or a Unit of Plaat Vosde . SO.O" F'ant Full Power Year ,

FoUowiDl OperatioD Date Second Fall power Supply Year FoJlowi u l COIIUDGfeW OperatioD Date 31.5" Third FuU Power Supply Year . Fotiowiq Commm:iaJ Operatiait Date 31.SI. FOW'th Full Power Supply Year Fo1lowiq Commercial Operation D..te 2.5.01. Fifth FuU Power Supply Year FoUowial COlDJDcrcll.l OPeration, Date. 25.011 Sixth FuU Power Sllpply Year , F0110wml Commc:ra11 Operation Date 12.S11 Seventh Full Power Supply Year Follo\Winl CODuzll:rcw Operation Datc .

"!. M to 7.34511 of the output UIOCiafed.

with the Authority'l Project One owaerahlp ment in VOltlt Uniu Numbers One aud. Two. .uch 1&101 to Gcoraia Power Compuy ahaU be equal to 'JOO5 of the output and services beJinnin.

widl tile CoaunerdaJ Operation date of a Unit or Plant VOlt Ie ..ad contlnuillJ until the cft4 01 lb. lourt.eeDtb full Power Supply Yar followiDI the Power Supply Year ill whick,the Commercial Opera.dan or .uch Unit occurs. . ," . ' "C. AI to 14.68K of the output UlOCiated willa the Autllority".

Project One ownenhip ment in VQlti e Unitt Numbers One aDd Two, such lales to Georaia power Company shall be' equal to or tlIe OUtpilt ud services bePudDJ with the CollUDUdal Operation date 01 a Unit of Plant VQlUe anclahaU CODtiDuc until the later to occur or (i) retiremeat at such*UAit. or (iI) the first to OCCUJ' or the latat date atated lor the llI)'DlCJ1t 01 the priDcipal 01 Bondi or of proYbiOll_I macle lor IUcb payment iD aceordan=

with Section 1101. of the Bood

' "D. The establishment of the fORaoiq IchecSul.

is not intended to limit tile power oC the ity in Section 3J I to selland exch,nle and enerlY frOm ODe." Seetin 1. The lollowina new IcetiO" to be known as "Seedon 2U"*ja hereby .deled: "Section 213. I_Ie CO'fUIIDt.

The PartiQpant ap'eeI that it wi1.Inot.

without the cxprCllI wrfttea COASeI1t ot tbe Autllority.

enter into lOy conlract to which. nonexempt penon to take. or to take or pay tor. power pun:hued {rom ProJect. One. For purpDICl of the preced11l8 lentCDCe. "noDcxempt pcracm." IbaD me&D any entity whlch is DOt a ltate. territory.

or poucssion at the Umtccl Stat** the District of Co1umbh, or any poJiticalaubdiviaion tJll:reol'.

and which b not exelllpt (rom taxation under Section SOl ot the Internal Reycnue code at 19S4. u amended." . 2

,...' .. .' ., IN' WITNESS WHEREOF, the MllaiciP'l Authority of Georgia aDd the Participallt haye cauaed this Filth of CoJ!traet to be ill their corporate names by their duly', authorized oliccn aDd their corpo...tc seals to be hcrcWltD imprcucd aDd attclte:d.

all or the cf:ate a.nd reu ,Ant above written. . . . . MUNICIPAL ELEcrlUC AUTHORITY OFGEOllGIA ApptoYcd To F0rr:'1 BY: )0 n :tn'b"-Oe _ ChainuaD:

is A1T: QQ.,£Cn*""- Secretar)'.

Trcuurer ' Approved Aj To Form

,"..' " .

sixth :Amendment of DIIde and ezitared into as of JanUaxy 1, 1986, by eo!

the lmicipal Elec:trJ,c of Georgia, a public body corporate and a p.1bllc oxporation of the State of Georgia, hereinafter sometima's to u the Authority, created by the provisions of I Ga. L. 1975, 'P. 107, IS amended (TiUe 46-3-110 O.C.G.A.), and the undersigned political subdivision of the state of Georgia,

designated

.',as the Partidpant. I 'r N E,S S B '1' II:.' BE i ,remembered, that a Power sales CD1traet aDd an 1tIn!!G!-. nent, both dated*as of March i" 1976, a Secotid Amendment dated as of May '25, 1977, a 1't1ird hDendIrImt.

dated FebNary 1, 1978, a FaJrth dated May l! 1980, and a Pifth dated as of November 16, 1983, have all been executed previously by ana bet::weea the Authority and the Partii:ipantl and. WBE::R!AS, . the Ci ty of OXford which bas previcmly . received its wbolesaJ.e power supply frOll the Ci ty of Covington has ... . . 'HB:DD.S, it is in the best: interests of t;he Autbority, the Participants and Oxford for Oxford to becaaa a hrtic1pant ,upon the . GleCUtioo of a Power SIl1es Cont.nct.

<'

• MM 1lU'l<EKJlB... Por in of the premises and the mutual covenants and 219reements hereinafter set forth, !:he of which is hereby it is agreed by and beb8eeD the parties . that said Contract is further auended as follows: sec:tion 1. 'L'be Authority is hereby authorized to enter into a Sales coatrae't" wi th in the*fom of this ... . Power Salas Ccx1t1'.;ac:t., as anended. with 5IJCh as uay be required .. to make S\lch contract applic:abl.e to Oxford, and to prOl7J.4e OXford with . All Enti t.lezrent Share .of 0.191'. and an ..ppropri.te Enti tle:raent Share. calcula ted in accordance with sec::tJ..om 308 of the Power Sales Contract..

Section 2. '1.'tU! Authority is autbJrized. provide -a port!at of OXford's Entitlement Share from this Participant's Entitlement . . .. . -'. "..... . Sbare pro rat.a with tbe other .ParticlpantB approving' this Sixth Section 3. '!'his Participant agrees to ccmtliJue ob.Ugated

.. for its full Entitlement Share without for the pro rata portion assig'Ded by the Authority to Oxfprdl' provided bowevex'.

thab the hereby I!Il3rees that it will t:aJca all necessary action to . enforce the payment of all sums due by OXfo.rd for.f ts EDtf tlement and this Participant shall receive credit. for ita pro rata .bare of such psyments.

Section 4. Thill sixth shall beocma effed:.b" such MlI!tldment has been approved' by Participants whose 1985:

sion Entitlement Shares represent:.

in the &9guqat:&, not.less than 7S' of the total Participants' Transmission Shates for 1985&

,. ,."

, -Provided, 'however, that the ,.uti)o'd!y may make service to 9rl ord retroactive to .January 1#,. 1986. IN WITNESS WBEREOF,-the Munic:1pal" Electric Authority of . Georgia and the Participant have caused this Sixth Amendment of Contract to-in

MIII!S by duly bed officers and their c:otperate seals to be heretint-o and . .'. . ."atteSted, all as of the dcita and year" first above writteJ1.

Apptoved AS to Poxm

--"'. e, .... . ...., , SEVENTH \ POI'ER SALES ElECTRIC AUTf<<>RITY OF THE lKJERS I (;NED' PART I Cl Thii Seventh AIlendment of Contract, made and entered into as of May 31, 1989. by 'and between the ltunicipal Electric of Georgia, a b.odY corporate and politic 'and a pUblic

S1ate of Georgia, sORlet imes refer,red*

to as the Author i ty, creat.ad by the provisions of 1975 Ga. laws 107.* as amended CO.e.G.A.

§ 4&-3-110, .!! seq.). and the underiigned political subdivision of the State of Georgia, hereinafter sometimes

.. the

• IITNESSETH BE it' remembered that a Power Sales Contract and an Amendment.

bot" dated as of March 1, 1976. a Second .Amendment dated as 0 f Yay 25, 1977, a Thi rd Aaendment dated as of February 1. 1978. a Fourth Amendaent da.ted as of May 1, 1980, a Fi fth Amendment dated as of November 16, 1983" and a Sixth AlIIendment dated as of Januaf11.

1986. have all been executed prev.iously, by and between the Authority and the Participant; and' WHEREAS. the Particip'ant and the Authority have deterllill!ld that the financing of transmission system faei I ities after the cOlllllercial' operation of . Vogtle unit No. Two is to be continued as a of.ProJect and

e. .' .-\ . ... . WHEREAS, a contract with the Southeastern Power Adliniatration (SEPA) ... . permi ts the Author ity to wheel *SEPA allocationa far IIIlnicipal preference customer.

within the State of Georgia. NOI, THEREFORE For and in constderatlon of the prelliaes and tha covenants and .

set forth. the' sufficiency of

-is hereby acknowledged

• . It Is agreed by and between the partin hereto that saId Contract Is further amended as follows: PROPOSED AJ.IENDI.lEHTS TO PO'fER SALES CONTRACTS' Section 1. The POtIer Sares Contract, as amended, is lIIended deleting

in its entirety.

arad substitutIng a .. ' subslction 102(s) to read as follo.s: "(s) shall Ilean electric generation "and re lated transmissIon facfliti'es which are Identified in the Description of'Project and those transmission systeM facilities to which reference I, made In the Description of Project, together with (i) any lIajor renewal I, rep lacaments

'. repal rs,' .ddlt Ions, betterllents and imprO\lllllent8 necessary.

I'n the opinion of the Consulting, Engineer, to keep the Project in good operating condition or to .prl!y.nt a 1011 of revenue thenfrom, (I i) any najar additions, improv.ents.

repairs and JIOdificationato thtt Project any. decomnlsaioning

'or diaposa's of the Project, by any governmenta' agoocy havIng Jurisdiction over the Project or for whIch the

" e.: ... .... -Authority sha' , be responsible by 'virtue of any obligation of the .. Authority arising out cif any contract:

to which the Author) ty. may be a party re lat lng to owner.hip of thliProject or any faci II ty thereof., and.' . (iii) working capita' required by the Authority during construction

• of the .Project and for the placing of the Project in .operation.

for Bulk Power Supply and SEPA power to Section 2. The Power Sales Contract, as amended, Is hereby further amended by deleting subsection 3Q2(c)(2)

In Its entirety Section 3. The Power Sales Contract.

as' amended, is hereby further amended by deleting subsection 3OB(b) in ita entirety and by substituting in lieu" thereof a new*

3OB(b) so that when so ;uaended subsection 308(b) aha' I read as follows: Web) The may assume responsibility for of SEPA' power to' Participants and other custeners of' SEPA, provided that the Authority sha'i recover at least its costs for such transllissi'on service.'

During any Power Supply Year *In whi.ch the Authority'has responsibility for . transmission of SEPA power, such translllss.ion ser'1lc:e shaH be prOVided the Authority to the Participants

'and other custClDer!

of by accllpt/ng delivery of such SEPA power from SEPA. for the accounts of the respective Participants and other customers of SEPA,. and de\.lvering such SEPA power to 'such Participants and'other cus.tomera through use of the transm'ulon Iyaten facilities included in the Project, and the Authority Is authorized to*

its investment in. and the annual operating costs of, such transllission syatem as may be required to provide such

.... .. ... .transmission

• "service*. The charges for swch service shall be calculated

"..and eollected by the is provided in Section 308A hereof. All amounts collecU:d by Ule for suet! transmission service shall be appropriately to Annual Project Costs in the same manner as other credits pursuant to .Section

. S"ect"fon

4. The Power Salei Contract, as amended, ;s hereby further"'. . .amended by a new section following Section 308 to be designated Section to read as II? II ows "Section 308A. Calculation of Charges for SEPA Transmission The Authority rate (expressed in dollars per ki lowatt per month and determined uti lizln; the annual dollar costs and bi I' ing determ.inants) each IIOnth of the Power Supply Year for purpoaes of de SEPA to the and. other of SePA . . ... which are not

('nonparticipant custacers')

for each month of the .Power Supply Year. Such rate shall be determ,ned for each Power Supply Year by dividing the SUlII of (j) the Annual Projec.t Transmission Charges, (Ii) the Other Annual Project Transm.isslon Costs, and (ill) amounts, if any, which Ilust be paid by the Authority for the purchase of transmission services for. the Project under its integr.ated transmission agreemen't with 'other utilities; in each case as budgeted or eatjmated to be Incurred for the Power Supply Year; by the sum of (a) the highest annua' one-hour integrated co"incident systeli demand of Bulk Power Supply prOVided by the Author i ty to all of the Participants, (b) the higheat annual SEPA defivered by the Authority to the"

. --Parti cl panls' and nonpartl cipant customers I and (c) I esa delland cred i ts and\. tranuisslon losse" if applicable, incurrect by the Authority under its Integrated transllIission systein" agreement with other utilities that are. properly to the SEPA capacity delivered to the P,rticipant' and nonpart icipant customers I In each* case to be' suppl ied during the Power Supply Year; wi th the re_til t. further divid,ed by the number of In " , the Supply The amount payablo by each Participant and nonparticipant.

customer for each month of the Pawer Supply, Year ahall be the product of tha rate. determined in accordance with the faregoing, and the SEPA capacity de I ivered by the Authority to such Participant or nonparticipant customer of SEPA during the respective montn of the Power Supply Year, plus, in .the case of nonparticipant customers of SEPA, any . applicable surcha.rge." . Secti.Dn 5. The attachment to the Power SailS Contract enti tied "Description of ProJect", as amended, is hereby further amended by deleting . the paragraph de.ignated "Additional Fad !Ities" in' its and substituting a new paragraph to read as "Additional The additional facilities of the Project shall be those additions and improvements to the electric generation and related fa-cilities and to the tranallrssion systell facilitIes of the Project provided for in clauses (i) and (il) of*

'02(a) of this Cant ract; a.ncI those transmission system . faei I iUes,. renewals, repl aC'eIIents, repal'rs, dispolals, and addU ions I betterllents ,

.. .' . .A ..illlprovementl, and lIlOdiflcations th'ereto, acquired or constructed by the . ... .Authority subsequent to the Camlercial Operation Date of the last of ,the generating facilities of the Project to cexapleted In order to Dleet ita o *.' Investment responsibility in connection with any agreellent for an integrated syst. to .which the Author! ty. may be a party*. IN' WITNESS WHEREOF. the Uuntcipal Eleqtric AuthorIty of Georgia the Participant caused this Seventh Aonenetment of to be executed thei r corpor.ate by the; r duly lu.thorized off"::ers and their sea1s to be hereunto impressed and attested, all as of the date and year fi above written. QICIPAL ELECTRIC AtJm)RITY OF GEORGIA . . ..' APPfJ)VED AS TO FORM: BY: 10 'Y'\ :Yn.-ltr-! . 'Chahman ATTEST: @ Gene Couniif APPROVED AS TO FORU:

AMENDMENT TO POWER. SALES MUNICIPAL ELECTRIC AU1lfORIlY OF .. AND THE UNDERSIGNED PARTICIPANT Amencfment (the" Amendmrd')

is made aDd eateJed into lIS of 14, 2005 by BDd ibe MUDicipel Authority of Georgia,.

a public t¢y corpol8te aod politic and a public of the State of GcmP. hc:zciDII1m sometimes refared to as 1be Authority.

aeatcd by the provisioas of 19?5 Oecqia Laws 107, ... amended (O.c.GoA.

§ 46-3-110, et seq.), and the undmiped. .political subdivision oftbe S1IIte Df hereinafter sometimes designaied as the ParticiPant WITNBSSBTH:

WHEREAS, the A.rity and the Participant entc:n:d into a Power-Sales Contmd dated as of Odobel' I, 1975, a First Ammdmc:nt dated as of Much I, 1976, a SecoDd Amcmdmentdateclas of May 25. 1m, a Third Ameudment dated as ofFebrualy I, 1978. a Fourth Ameadment dated as of May 1. 1980. a rUth Ameudmeot dated 8S of November 16. 1983,

• Sixth Amendment d8ted as of JII1lUll)'

I, 1986. IDd a Seventh Amcndme:nt dated as of May 31. 1989 (hereia8fter "Project One Sales CoDtract");

aDd WHEREAs. the'Authority and the Participant eatered into. Power Sales Contract dated as of Febfuary 1, 1978.a First Amendment dated lIS of May 1. 1980. BD.d a Amendmem dated as of JIDUIII}'

1. 1986 (hc:rcioafter

"?roject Two Sales CoDtract");

IDd AlUl/llWlU5YI WHEREAS. the Authority and the Participant entered into a Power Sales Contract dated as of May 1,1980,_ aFhst AmCDdmcnt dated as ofJumary I. 1986 (hereinafter, '?Ioject Three Power Sales Contnct');

_ .. . WHBRBAS. the Authority and the Participant entered into a PoweI'S_Contract dated as of November '16, 1983 and a Fimt Ameudment dItcd IS of 181lD111Y I. 1986 (hc:reiDaftcr""Project Four Power Sales and WHBRBAS. the Authority BDd Participant wialJ to exttod the tcoi1 of Project ODe Power Sales Coutraet, the Project Two Power Sales Ccmtr8d, tho Project, Tbrce Power Sales Ccmtract IDd the Prqect Four Power Sales Comnct (hereinafter' sometimes teferred to collectively u the "Power Sales CoDtracts)

to tile maximum period allowed by law; 1Dd. WHBRBAS*. the Authority his detenniDed that it will DOt exteI!d' existing pacration debt. but excluding c'xistiDg debt pcrtaioing to wcama CIpi1B1 ;IDlI DuclClt .,' fuel woddng capital debt c:ompouea1i, beyoDd the existing tam of the Powei' Sales ContnIct8; and . WB:BRBAS.

the Authority IIDd the Par1icipanl wish to proVide fur a method of allocation of the output and services aad COlts relating to Project Two, Project Three aad Project Four for the period of the tr.Im r:xtcD&ion of the Power Sales ContrIcU pertaiDing to IIUd1 Projects as well as providiDa for an ammdment to the ScbeduIe of Obligation Shares pertaiDina to Project Four. NOW' lHEREFORE, for IDd in coasidention of the p.n:miIcs and mutual cowmntl and agrec:mc:dI hcmDa&r set forth, and in order to pmvide fer certaiD cbmges in the Power Sales CoDtnIcts, it is agreed by IUd bctweal the Au1bority IIIld the Participant that the tams of tile Power Salea CoI1traCt shall be IIIlcmded as follOW'S:

SecdoD 1. EDeDsloa or tile Term or the Power Sa1el Coatradl.

The Authority IUd the *Plllticipant.

hereby c:xtmd tbl:: tc:r.m of the Power Sales Contracts as follows: . <a) The term of the Project .onc Power Sales is hereby exumed 1iom Mcch 1. 2026 UDtil June I, 20S4 "Project One Tc:rm l!xlcasiCll1.Paiodj. (b) The tam of the Project Two Power Sales Contract is hereby extc:Ddecl 1iom February I, 2028 until Iune I, 2054 (hereinafter "Project Two Tmn Exteasion Period).

<c) The teIm of the Project Three Power Sales Contnct ishCRby extmded &om May 1. UDIi1 1une I, 2054 (heceiDafter

'"Project TQm "Bxta:asion Period). .. (d) The term of the Project Four Power s.1es CoDtIact.

is hereby from November 115. 2033 until June 1,2054 (bc:rQnaftcr "Project Four Term Extension PIlriodj.

SedIn 1. Anocatioo ofPmjoc;.t Two. Project TbrJe apd Pmiect Fopr. <a) Project Two Al1ocItiop.

Section 308(a) of the Project Two Power Sales Coatnct obliptell the Authority to provide to each Project Two Puticipaut.

IUd obUpb ncb Participat to, tab from 1be Authority.

the output IDd services ofProjeet Two based upon the rates 8Dd chlqes established by the Authority punwmt to Section 307(a) of 1bc Project Two Po.....er An.oJn ItD'llHrl Sales Contract.

Tho Authority and the Participaut hereby agree that duriDg the Project Two Te:DD Bxtcosioa Paiod the oU1pUt ad servicca and COltS of PJoject Two sball be allocated to each Project 1\vo Participanl based upon a percentage derived by divictiDc the total payments made by cpcb Ptojc:ct Two Participmt for debt seI\'ice ad for capital cosIs during the c:otitety of the original tam of the Project Two Power Salcs Contract, adjus1rd to prescm value. divided by the total paymeats by all Project Two Participems for debt SCIVice and capital costs for the eoDrety of the origiual tam of the Project Two Power Sales also adjusted to preseut value (bereiDIIfter

• "Project Two BiJlins ShIRIj. The Prcseot value CIlculll1ion shaD be based. upon a di8COunt . factor equal to.the weighted average interest cost of debt relating to Project 'IWo during the eDtimy of the original tcnn ofProjcet Two. (b) Prpjg;t'th ree Allocation.

Section 308(a) of the Project Three Power Sales CoDtnd oblipta the Authority to provide to each Project Three Participant, and obIiptel such PanicipIDt to take fiom the Autborityrlhc output and services of Project Tbrce based upon tbcratcll BUd charges establisbed by the Authority pursuant to Section 307(a) of the Project lbree Power Sales ConttaeL The Au1hority and the Participcrt hereby agree that during the Project 1brec Term ExteDaion Period the output and services IDd costs of Project Three sba1l be allocated to each 1'br= Participant bued upau a percenbp derived by dMcIiDg the total payments made by each PIoject Three Participant for debt scnice aDd for capibd costs during the c::atircty of the oriamal term oftbe Project Three Power Sales Contract, adjusted to present value, divided by the total payments made by aD Project 1'hrec Participants

fbi' debt service and Cllpital costs for the.entirety of the origiual tam of the Project Three Power Sales CoIJtract, adjusted to present (hereinafter

'"PIojcet Three Billing Shares").

The preseat value ca1cula1i011 shall be bued upoa _ c1iIcount tietor equal to the avenge weighted interest cost of debt relating to Project Three during .the entirety oftbe original term of Project Three. (c) lmied Four AIlocaticA Section 308{a) of the Project FolD' Power Sales Contract obliptcs the Authority to provide to each Project Four and obligates sudl Par1icipsDt to take from the Authority.

the output and services of Project Four based upon the rates and charges established by the Authority pursuant to Section 307(_) of tQ:; Project Four Power Sales Contract.

The and the Pllrticipalit hereby agm: that during the Project Four Teen ExteDsiOD Period the output and services aDd costa of Project Four shall be allocated to each Project Four ParticiplDl based upon a pc:rcentage derived by dividing the total payments made by each Project Four Participant g debt service and for capital costa during the entirety of the origiDal1am of the Project Four Power Sales Conttact.

acljusted to presem value. divided by the total paymentB made by all Project Four Participantl1Dr debt service aod capital costs for the entirety of the origiDal term. of the Project Four Powrr Sales Contract.

adjusted to prescot value. (hen:inaftcr "Project Four Bi1liDg Shares").

The pn:sc::nt value calculation sba1J be based upon a diJco1Ult factor equal to the avenge weighted intc:rcst cost of debt relating to Project Four during the eatimy of the oriJina1 kim of Project FOlD'. Additionally.

effective U of November 16.2033, which is the expiration date of the original tenD of the Project Four Power Sales CoDUact. the Scbcdu1e ofProjcct Four An.DIt1I""".

Obligation Shares shall be ameaded 10 that each Project Four P8l1icipant's Obligation Share sbaU be equal to such Participaat's Project Four BiJliD& ShBte. .. SeetIoD 3. The Authority hereby agrees that it shall DOt c:xtcad the term of IIDY cxiPting gsemtion debt, exclusive of existing debt partainjng to woJtiDg capital aDd nuclear fuel womna capital debt COD1pODmts, beyond the foUowina datc:s: exiJtiD& Project ODe pcration debt shall not be extended bcyoDd March 1. 2026; existinl Project Two poeration debt shall DOt be cxtc:nded beyond February 1. 2028; cxiJtiog Project Three genentic:m debt shall DOt be am:ndcd beyoDd May I, 2030; and GiRting Project F01I1' gmention debt sba1l DOt be c:r:tcDded beyoDd November 16. 2033. SectIoD 4. The POWCl' Sales CoD1racts as amended beroby shall continue in effect 8Dd arc reaffirmed by the parties. Tt:nnI DOt defined herein arc to be defined as in the Power Sales Contracts.

SectioD 5. This Amendmcut shall become effective whea duly approved IIDd executed and dclivc:rcd by the PadicipBDt, lIDd wheu exocuted aud delivered by the Authority.

1bc Authority will 0Dly execute aud delivCl' the .Amendmca.t wheD. it hu detemUncd that the Amendment or similar' ameudmCllts have been duly executed and delivered by CIICh oftbe cum:nt forty-Dine (49) Participants.

[Sipatules Appear OIl Nc:xt Page]

IN WITNESS WHEREOF. the Municipal Electric Allthority of Georgia has caused this Amendment to be executed in its corporate name by its duly authorized officers and. the Authority has caused its corporate seal to be herellnto impressed and attested; the Participant has caused this Amendment to be executed in its corporate name by its duly authorized officers and the corporate seal to be hereunto impressed and attested.

aDd delivery hereofby the Authority to the Participant is hereby acmow\edged, all of the date and yeu first above written. MUNICIP AL ELECTRIC AUTHORITY OF GEORGIA Attested:

By: k"J f By: ..... . ".:.' "'.. [SEAL] '" ......

Attachment Vogtle Electric Generating Plant Financial Requirements for Decommissioning Nuclear Reactors -2009 Project Four Power Sales PROJECT POWER SALES .. MUNlCIP AL AUTHORITY OF.THE Da"ted as pf 16, .1.983 ,. ..

e* .'*J PROJECT FOUR POWER SALES CONTRAcr Between MUNICIPAL ELECTRIC AUtHORITY OF GEORGIA !!! THE UNDERSIGNED PARTICIPANI, . This Contrlct, made and entered into u of Novembci 16, 1983. by IDd betwCCll the Municipal Electric Autbority 01 Gcorlla. a public body corpomte and politic and .. public corporation or th. Slate or Georpa. hereiDaCtcr somc!.ima dcsipatecl II the Authority, created by the prcmaOQl of I Ga. L 197 5"p'-107, u amended (TItle O.C.G.A.).

and the uDderslpcd politicallllbc!ivilion of the Stlte of Georlia. ber einafter sometimes dcaiaftltad u the Plrticipa.nt.

WITNESSETH:

THAT: WHEREAS, the Pltticipant atld the Authority bave beretofore entered into a Power Sale. CoD-. tra.ct dated u of March I, 19'76, U IJDcodc:el, UDder which the Autllorit1 became the bulk power suppUcr to tbe Participant.

ud said CaDlrIet CODtcmplatcl that additioDll proJce:u may'oc unda1&kc:D by the Authority.

and have heretofore eDtered into a Project Two POW" Sa.lcs Contract utee! u or Fehnwr 1. 19'7I, II amaded, IDd a Project Three Power Sales Contract elated &I of May 1. 1t80, 'Which the Authority acquIred additioaal projects; aDd '. , WHEREAS, the Participant and the AuthoritY dctcrminCd that is In their bCst mtcreau that the UDdert&ke a tourth project whlcli is reuou.'bly rault, in a mOre economical overall Bulk Power Supply to t= Participant and other poUtIcalsubdivilioaa CQIltrac:tiq with the Authority thcrcl'or by matlDl the output and related scrvica or Project Fov a\'lnable to the Participant, and b1 Cnabllnl the Authority to raJTIDae Certain sales of the output of Project ODe uad Project Four to other utilitia 'Which is intended.

to improve nbltantially'tht:

m.tcbinl of the output or both PrcpJect ODe and Project Four to the Partic:ipaut's Bulk Power Supply requirc:meDts; ud WHEREAS, me Authority win take or cause to. be tabII' I11ltcps DeCCIIary to secure IUCb acwcrnmental pennitI. liCCUCl, and. apPrO'llls IS l:I'e nCCCII&ry far, aDd. wDl, than proceed .. appropriate witb filial c!cIfp, 6auc:iill aad acquilition and construction or tlaCIIC Cacilitia he.reiD dacn"becl aDd dClipatcd IS Project Four Cor the IUpply or electric power aad encrlJ to the Participant and to aU other politica1lUbdivisiOlll c:ontractbia with the Autbority thcrd'or, and wUllCD the QU.qMt aDd acmces 01 such Cacilities PUl'US&Dl to this Colltract and to eontractl with other lions, dcslJDItid toiethcr with the Putic:!pants u "the Partlcipallu-;

and WHEREAS. m to enable the AuthOrity.

to issue ita fCYCDUC 'bondl' to pay tbe COltS of ' : acquiriD, and coDluuctiq Project Four it iI Dceasa:t)'

for the AutlJority to have biDdi:q CODtractI with ,. aU politica1l\1bdiYiIiQDI of the State 01 GcorJia, pursuant to

'of I GL 1.. 1975, p. 107, .. amended (Title 46-3-110, O.C.G.A.), that are Participants'in Project ODe, Two aad* Three., and all paymlDU to Project FoUr or to the AAaual Project Four Colts. &I bereJDalW ddDecJ. to be made ill 'CCOrdlDcc with or to this Contract aDd IUch other caatractl

&hall be p1edpd IS for the "a)'mCDt 01 such BolI4s.

. 'For aDd il cOlllideration of the premises an<<! the mutual covelllnts aDd 'II"CCIIlCIlU herciDaftcr sct forth., and in order to pay the Authority for its COlli of prOYidina to tbe ParticipIDt output and rdatccl 1 scrvicea from Project Four, and. to further enable tbe Authority to improYe the Plrticipant'.

Bulk Power Supply throulh the rearraDBemcnt oC ccrLaiD sales to other ..Ulities oC a POrUoD of the output oC both Project ODe and Project Four, and to Cur.Lhcr enable the AuLhority to conLlnuc to provide the Plrticiput'.

SupplcmcnL&1 Bult Power Supply, it is &lr=! by Ind bctwCCIl the parties hereto u (oUows: ARTICLE I . TE1lM Of CONTlV.cr, DEFINI110NS SeetlolllOI.

Term. 'Ibc tcnu or this Contnct shill beau'ancl this Contract shill constitute I bindiDI obliption or the parties hereto CrolD IDe! aCter its execution by tl!e last party to'execute the same. The or this Contrlct shall contill.ue In Cull force Ind clI'cct until such tIme. Dot cxcecdlnl My yean, as 111 or.the Autbority's BOIlda IS hereinaCter defined or notes 'issued in anticipation oC the issulnC6 ot BoDds and the interest thereOn hive been paid or pl'OYiJioDi Cor paYJDCDt sblJ have hcca In accordance with .Ihe provisiems or the Bond Resolution or until such time, DOt cxc:ecdfDllifty (50) ye&ta. u Project Four .un be retired Cram service. decommissioned or disposed or by the Authority, is '-ter. SectloD 102. DeftrlitloDS snd Explaudons ofTenu. Ju used herein: (a> WAct"shall that certain Act oC the 1975 session oCthe GCI1eI'1 Asccmbly of the State oC . Gcor&1a compiled and pubUshed in I Ga, L. 1975, p. 107, II the same hu be,cD herctof'ore or may be herr:after amended (Title 446-3-110, O.C.G.A.). (b> "Annual Project Four sbaU mean wi1ll respect to I PoWer Supply Year,*the bud,ct or amended bl1dael adopted by the Authority pllrJUlnt to Section 201 hereoC, which hudlet ahaJl COItam itcmi*zcd estimates oC Annual Project Four Costs and III revCDues, income. or.other fUndI to be a ppJiecS . to such Costs. . (c:) "Annual Project Four Costs" shall mean, with respect to a Power Supply Year, to the cxtcM nol paid as I part the Calt ot Ac:quilitiOl1 lnd ConstrUction, IU CClItI alld CXpcDSCi or the Authority

.paid by the Authority durinllUch*Power Supply Year aDoable to Project Four which shaD coDiist of those iLcms 01 c:ast and eltpeDSe rcCerrcd to in Section 305(b) hereof. u Project Four f'lXed .Charlu and Od= ADDU!" Project Four Ccsu. (dl wAnn.ual Project Three Costs" lhall mC&n those costs and exP.cnscs defined in Section 102(c) of the Project nrce Power Sal.ContncL. . . . (e) "Annual Project Two Costs" IhaD meaD those costs aDd expenaes de&ncd in Section l02(c) of the *Project Two Power Sales Contract.

'. * (I) MADAua.l Supplementll Costs" shall mean those COlts and expenses oC the Authority allocable to the or tufDisbina ot Supp!emcn'tal Bulk Po"er Supply to the hrtic:iJl'.Dts

• .'. (a) shall mean the Bonds or other erideuccs of indebtedDi:a imlcd by the Authority.

pursUQt to the provisions oC the Bond Resolution to 5DaDec CIIl' rdnlDC& the Cost of Acquisition aDd Construction of Project FOtIr. whether or Dot aDy issue of such Bonda shall be lubardiMtcclas to paymc:Dt to illY other issue of stich Bonds, IDd shaD lnclyde addttiow'Bonda iDuecl pumwlt to the proYisjonJ oC Section 401 and relUDdiDI Boads issued pur,ulllt to the proYisioua of Secti01l402 hereoC. (b) -BoDd Resolution." shan melD the P9wer Revenue Bond Ruoilltioo adopted and readopted by the Authority 011 Mar4 22. 1918 and April 19. 1978. respactivdy.

u trom time to time supple.mented and amended by Supplemental Resolutions thereto. iDcludinl the Supplemental General Power RcYClule Bond Resolution luthOrJzm, PrOject Four to be adopted by the Autllority IIId accepted by the Tnastee thereunder tor the hencAt 01 the OwnUl the Bonds which shall provide for 2 the issuance or Bonds, a copy or which Geneid Power Revenue Bond Resolution and Supplemenlll Ckneral Power Ilevcnue Bond Resolutioa lIlthoriziDl Project four in subllud&11y the ronn to be adopted gy the Authority shall be 011 file in the records or the PartlcipanL (i) "Bulk power Supply" sDall mean, with respect to i. Partfciput, aU electric and' enerlY required by such Participant in w:as of that amount (i) IUpplied by uy aeneration and traannission resources OWIed by such Participant on the effective date of the Power Sua Contract. (ii) by wcl& Participaat from the Southcastenl.

Power Administration and (iii) procurecl byluch . Participant from alternate power ,upply raourccs ill aceorclanc:e with the of Section. 4Q.4 Of the Power Contract ISld nbject to Section 306(c) ot CoDtri.ct. (j) "COmuaercialOperatioll nate" sball mean, with respect to each tacility of Project FoW'. the beainninr of the day on whicb sucb facUity or Project Four iI. in the opInion or the. Authority, procluciDa and de1iveriq eleetric power aad ener,y for c:cmmcrcial UIC. (k) "CoDS1lltin, Enam eer" .halI mean all cnsiDeer or enlinC:enn.

finn ot national havin& demoutrated apertiJe in the field ot electric power lencratlon, transmission, power lupply. electric utDity operadolll.

rates, and rcuibiUty. . (I) ""COlitrae:t" and "Project Four Power Sales Contracu" shan muD, respectively.

this Contract "ith tae Participant and all Project four Power Sala Contracts, indudiDl this Contract.

entered into by the Authority aDd a Participant, ill each cue u the: lime may be amc:Ddc:d from time to time. (m) "Cost ot Acquisition aDd CoDstruction" shall*mean.

to the atent not included in Annual Project rOW *Costs. aU costs &ad e:ltpe:lIIeS ot plarmmr. deaipiila.

acqulrin.1o consuuetlDl, laataUiDa.

and &nnc:illr Project Four, placiDl Project Four la opc:n.tion, dc:e:ommilliorUq or dispoaal of Project Four ud obtaiDinl

'OVerDmCSltal approvals,'

c:ertific:ates, permits and Uccllli:l with respect thereto heretofore or herc:&ller paid or incurred by the Authority and ma.1 iaclude, In additloD and without .

the: toUowiDa:

'. (1) workina capit"'ancl reserves in such ainounts as may be established purstWIt to the Bond Resolution; . .... . .' (2) interest' accruiDi in whole: or in part an Bonds prior to and duriita construction aDd for such additioul period II the Authority IDly rcuonabJ)'

cletc:nniac to be nc:ecuary tor the plac:ill..

of Project or any tlCl'liry thereof'in operatioa in accordance with the pronsioDi of tho Bopd . .(3) acqulsiilon ot initial tuel or fuel inventozy ror each leDcration racility of Project Four and worIr:iIlI capltaland reserves theretor and ",orkin, capital and raervea for reload .fuel and a,ddi* donal tuel lDYCIltory, . ." (4) tho deposit or deposits from the proceeds of Bancb issued to finance l11ch costs anl fund or aCcolUlt estabUshed RllrlUaDt to the Bond ReselutiOll to meet Debt 5enicc: rese:rve: menta tor BoDds. (S) the deposit or deposits trom the prOceeds or the Bonds issUed to such casts ill any . or" acc:ounts established

'punuant to the BoDe! Resolution as resel"'f'C1 tor renewals ud *re:pIacem=ts.

retirement from serviCe, dec:ommisiioDini or &_**1 or any Cac;iJity oCho'ect four or =ntiqenc:ies.' . r--:J . (6) traiainS and testin, cOI!I incurred by tlIe Authority, (7) preliminary iDvesti.ation and development coats, enainc:c:riq teea, COI1tracton' fees, costs of labor, materials.

equipment., utility unrices and supplies, aDd lepJ and financ:iq costa, (8) CClSII oflnsurance applicable to the period of and (9) aU other coats incurred b)' the. Authority IDd properly aUocable to the acquklticn and construction ol Project Four. lnc:ludID.

aU COltS inanced by the issuance oC addition'" Bon.ds pumaant to Section 401 hereof. 3 (11) "Debt Sel'Yice" sh.U m.ean, with respect to any period, 'IIre**te of the amounts required by the Bond Resolution to be paid duriDl said period into any C\I11d or funds created by *the Bond. Resolution Cor the sole plUpOle ot payinl tbe princip.l (includiDl sinklq fund instaUmeuta) of.ud premIum. it I.Dy, and interest 011 .U the Bonds Cram time to time outstandilll u the same sb.n :oecome due. ptoricled.

Debt Service shall not iIIclude any .c:celeratio.u or the ma.turity or Bondi. . . (0) "Fuel CosU" shall mean all casts incurred by tbe Authority durin& &I1y Power SuPPly Yea.r th.t Ire aUOCI.ble to the .cquisition, C.bric;ation, procc:ssilllo reproc:essinl.

transportation.

deliverinJ.

storace, handlm&. arid 'disposal of Duclear fuel materials required Cor the aeneratiOll.

facilities of Projed. Four. includiq traasfers to established by tbe Authority Cor such costs related to tutare POwer Supply YearI, less credits related to such casu applied IS appropriate-in the clisc:retion of the Authority. " . . .. (P) !'Puticipant" sb.U melll the political subdiYisi9ll is a party to this MPartici*

pants" shall mean aU political subdivisions ill the St.te or Georai' which OWD and operate electric cliJtnllution sys&ems to IerYe their cititens.

inhabitallts aM customers provic!illl them with

" power.nd encrlY aDd which .re parties to COIltraetl with the Authority substantially to this Contract.

!be term "Participant," alld the termr "I Partlcipl.Dt'*

or !'each Participant'" sh.U mean anyone or the or each of the Pardcip&lIts, II the case may be. "Participant" shall include aay commission.or alenc:y of such poUticallubctiYision which operates or conducts or tion aver .ny essenti&l function of the Participant's

.distribution I)'stcm..

.. (q) "Power Sales Contract" shall meaD that =tain Power Sales Contr.ct, U has been heretofore or -1 hereafter be amended, enteral. iDto by the Authority IIld the P.rticlpaat i.s or March I, (r) "Power Supply Yeu" shall mean the c:a.lc:Ddar 1ear, except that the first Power Suppl)'.-Ycar shall beain on the earlier of (i) the date Authority first provides electric power and eI1erJ1 der, (b1 the d.te to which alllnterest is capitalized on aD Bonds, (iii) the date whidlil"12 JDOIlths priqr . to the date OIl which tbe mst prmcipal*1DJtalJmcilt OIl amy or the Bonds is due; or (iv) the on which . any AJmul Project Four Costs become payable. (I) "Project One" shan mean that project defined in Scctlon 102(1) oC tbC Power .SaIes Contract. (t) ,iproject Four" shall'mean these electric ICneratlon and related ulJllmissiQll f.cilities which ue identified ill the or Project Four attached to this Contnel, wltll (I) IUy m.jor .renew.... rcplacemenu, repairs, additions.

betteraleDti and improvements ill the opinion the Consultinl EDlineer, to keep Project four In lood oper.nnl condition or to prevent. 1011 revenues therefrom. (b1 any additions.

imprc7lemc:nts, repair**nd m04iJlcatiOllS to Project . and any dc:commissionillis or disposals or Project FOllr required by III)' IOVCl'nIDental llcacy jurildie:tioll over Project Four or Cor wbleb tho Authority shall respoDlible by Yirtuc 01 aDy lioll of the Allthority arisina out of allY contract to which the Authority may be. party rcJatinl ownership of Project Four or a1l1 facility thereof, em') reload fuel or *additional fuel UlYellt01'J for .eneraUnI facility QC Project Four to lbl "tent* th.t sufficient funds are not available to pa1 the thereof**nd (iY) worDnl capital required by the Authority duriq corlitrUetion oC Project Four and .the pllcinl or Project Four in openllon aDd duriq any period thereafter

'u m.y 'De re..soubJy required in the discretloa of the AuEhority. (u) IIProject Four BilliJll Statement" shan mea.n the written statcrnent prepare4 or allied to be prepared monthJy by the Authority th.t shall* be based upon the Annual Project Four Badaet or upon the IIDlllded Annu.1 Project 'Four Budlet that shall show the monthly amount to be p.id to the 'Authority by the p.rticipant under this Contract. " .. (v) '"Project Four ObJiJation shaJI meaD, With. respect tD

• P.rtlcipant and any Power Supply Year. that respective percent'le let [orlll in the Schedule oC ObUi&tiOD Shares attached hereto &114 hereby incorporated by reference u a part or this Contract, of tbe Annual Project Four Costs lhat such Participant is obUa.ted to pay under r.his Conlract. . .

(w) "Project Three" shall mean !.hat project defined in Section 102(s) of the Project Three Power Salts Contract. (x) "Project Three Sales Contract" shall mean that certain Project Three 'Power Sales, Contract, &I has been heretofore or may heRafter be amended, entered into by the Authority and the Participant as of May I, 1910. ' (y) Project Two" shaU meln thal project defined in Section'I 02(s) or the Two Power Sales Contract.

'. (z) Project Twa Power Sales Contract" sbtB mWl thLt certain Project Two.Power Sales Can* tract, ... has been heretofore or hereafter be allu:aded, entered into by the Authority u4 the Participaat

... or February I, 1978. , ' (aa) "Prudent Utility Practice" at a particular lime meln &Dy of the prtctic:a, methods and acts eDsaled in or approved by a sipificant portion of the electric utility industry prior to fIlCh time. or any of the practices, methods and acts wbich. in the uercisc of rcuonable judJJDeDt'in Bpt of the faeu known at me time the decision w... made. could lIave bccD eltpeclCd to accomplish the' dcsired result at the lowest reasonable cost COQlistCDt with Bood busiDeu practiCCI, reliability, ufely and upeditiol!.

Prudent UtiUty Practice is not intended to be Umitcd to the optimum practice.

metbod ar act to tbe exclusion or an othen, but rather to be a speeuum of possible practices, or acts havill, due relard Car mUllCacturus' warranties aad the rcquirements of 10vCfnIDental a.cncies of, compctCDt jurisdiction.

In evaluating whether any ad. or proposal COD!orms to Prudent Ut1licy Prac> dce, tbe particsshall take into account the objective to ,achieve optb:aDm UtilizaUOD of thc Authority's resources. (bb) "Supplemental'Bulk powcr Supply" ,ban meaD, with respect to a Participant.

that portion of Bu.lk Power SupPly required by PUticipant in CXCCSl or that luppUed tr,m Projeeu One. Two. Three and faur, in excess of tbe leneratina capacity rClCCYO scmcc, traIlS_ian serrice, Ichcdulcd, erMrIC!1C)'t or ecoDomy intercban,c service. and such ather senice auociatcd with Projce:tl One, T'tro, 'Three aDd four, and, unless otherwise providc4, in CltCCSI of output aDd related 'ertices or aDyluture projects owned or controlled by tbe Authority (rom which the Participant contraetl to purcbuulectric power and enerIY* ' (tc) "Uncontrollable Forca" meaDS any cause beYond the control of the Au.thOrity .bleb by the exercise of dlle dili,ence the Authority is uaable to Ferent or overcome, Indudiq but Dot limited to. failure or refUsal or aDy othcrpcrson or entity to comply with thCll cxistin, coDtracb with the itY or with a Participant, an act of God, ftre. flood, explosion.

strike. ubotaae. pestilence.

an act olthe public enemy, ciYil aDd. military authority uu;:ludq court orden. iDjunctiODl, &Dd orderl of mental aleDcies ,with proper insurr=tion or riot. an aet ot the etemenb, failure or equip-, or In&bJlit)'

of the Authority or any cOIltru:tora eftla,cd in work OD Project Four to obtJ.1n or ship materials or equipment bcc:alllC of the. eft'eCl or simDat causes on suppliers or carner.. or fubiUty of the Authority to &ell or iaue it! B.ODds or DOtes. , (dd) "Uniform System at Accouots" DlC&1ll the Unilorm System ot AccoUQlI far <Jus A and B PDblic Utilities aad IJccllSec.*u prescribed

&lid, trom time to time, u aJDCDdcd 'or modl!cd or aubstl*' tudon thenfor en,de by the Federal Encl'ly Relulatory Commission or Its .uc:ccssor: . . ARna.EU CERTAIN OBUGAnONS OF THE AtTIHOIUTY .AND THE PARTICIPANT 201, A-u1 Project Four BudleL . Tbe Authority will prepare aDd submit to the Participant an Annual Project Four Buc!Cet at least nin'ety days prior to the bcJiDDina of each Power Supply Year. The Participant may then submit to the AlltbOrity, at tlmc Wltilsucb Bud,et is adopted. Illy matters or sUllcstiODS relatiq to pcb Budpt 5' which the PartidS-llt may cue "to presenL The Authority sball then with the consideration and adoption of such Budlet not less thin thirty nor more than rorty-live days prior to the begUmiDl or such Power Supply Year and lhall cause copies 01 such a40pted Eu4Jet to be delivered to die pant, prorided..

howCYCf, the: Bu41et for the lint Power Supply Year shall be prepared, coDii4Cred, " adopted ud deliYered in the mOlt practicable mauer available in the 4iscretiOll or Authority.

M requirecHrom time to tlme duriDl any Power Supply Year &Cter thirty daYI to the . the Authority m&y.doplllllmeDded Auual Projt:et Four Budget for and applicable to such Year for the remaiDder of such Year.

102.

The Authority will prepare ud issue to thc Participant the foUOwmI reports each month or Power Supply Y(I) Financial anc! Operatinl SlItelDCDt rclalinl to Project Four, (2) Status'O!

ADnual.Project Four Budact, ' (3) Status' of constrUction budlct of Project Four dUrina

'(4) Analysis of opera.tions relatinJ to Project Sectloa 103. Records and Thc Authority WIll keep accurate records aDd accounts of each or the facilities comprisiq Four and of the operations of thc Authority ia accordance with the UDiroim System or ACCOUDtI*.accounts shall be subject to aD anDual audit by a firm of iDdcpendent certified public in electric utilityaccouDtUa.and of ,national reputation to submitted to

" within sixty days af\er thc close of any Power Supply Year. AU tnDsIcuona oC thc Authonty to Project Four with respect to each Power Supply Year shaD be subject to SW;h an audit. A copy the annual 11:lc!it shall be delivued to each PuticipanL

.' ..' " Section 104. CODJUltlll1

!qiDeer. (a) The Authority win retain a Consultin.

to assist, advise and D1ake rceommCDdations to the Authority Oil matters relatill.

to electric power ICIlCration.

traDlmissiOD, power suppli, electric utility operations, aRd charles. feuibUity and bud acts and shall Cl1ISC such*CoDl1l1tiq EqiDccr (0 prepare withia one handred and tWeDty days loUowina thc clOlC. at. each Pawer SuppJy Year an *annual comprehensive enJineerin.

report with respeel to Project Four for the immediltely Precedin&

., Power Supply Year ud which shall include I rcport in reasonable on the operatioas or the Authority, iJlcludinJ III items required by the Band 1leIolution to be reported upon. . (b) The Authority shall callie a copy of said enlineain.

report to be" ddivered to' Section 205. Acfjll$tmat of BiWDC. . .At cad ,i! each Power Supply Year the Authority shall determine it thc"awepte amoullt paid* by the Participut uDder this Contract, to Provide recovery of all thc Authority'.

applicable coitl durin**uch Power Supply" Year was ID thc proper amouDt, ud, upon the 'makbli of such dCtcnuJna-tion, any amount found 10 have been paid by the Participant in exCCII of the aDIOUDt which abov.ld heca paid by the Participant shall be credited on the Project Four BilUna Statauients to thc for the rcmainin.

month or months oC the Power Supply Year IIcxt succccdina tllc Power Supply for which IUch adjustment was determined to han been necessary.

Ten "percent aI the amoullt of dc&c1CJ1cy shall be added to each of the ncxt teD Project Four BWiq Statements.

In thc CYCIlt that failure oIa Partiapl!It to pay any amounts due UDder thil.<::;ODtraet lhall han rClwted In the l.ion of amounts in auy reserve or workina fund UDder the Bond Resolution to the paymeat of payable from 11.Ich reserve or warkin. lund and tile othcr ParticipaDti shan have made up deficiency created by such application or pajd additional amounts into such reserve or werkina .6 amounts thereafter paid to the Authority by .such nonpayins Participant for application to such put due payments Ib.n be credited 08 the Project Four BiRllll Statements.

or such other Participanll in the nex.t month ar months u skU be appropriate.. . SectloR 106. DIsputed Month!1 ProJett ¥Olq' StatemeaL In cue lOy podion of aDY monthly Ploject BiUinl Statemenl received b1 the Participant . trom the Authority shall be in bona fide dispute. the Puticipanl shill pay the Authority the rull amount ot sucb Statement, and, upon determination or the correct &mOunt, the dill'ercIICC between iuch correct IIRClWlt arid lucb full amount, ir any. will be credited to the participant by tbc Authority

&fler such determination.

In the event such Statement is in dispute. the Authority wiD llYe consideratioD to such clispute and the Partkiplnl with reprd to the Authority', position relative thereto witbiJI thiny da)'l tonowlna WiiltCD notiAcatioD by the Participut of Rcb dispute. Seetioll 107. Soared of Participant" PaJllleRtL The obu.ations of the Participaat to make the pa)1DeDts to tbe Authority UDder this Contract shan constitutc leneral obli&ations ot the Plnlclput far the payment or wblch the fun Caith and credit . of thc Participant sbaU be and the nDIC hereby is ptcd.acd 10 provide the funcb required to tuWl all' obliptioDi arWD, UDder this Contract.

Uo)eu such payments or prcMsiou tor such plymcatl aha11 have beeD made (rom the rcycn 111:$or the electric system of the Participut or other t_1Ida thereof, the Participant willaQQuaUy in each alid rowr)' fiscal year dvtila the term of this Coatraet lllc1adc in its. general revenue or appropriation measure, whether or not aay other ileDU are iDc1udcd, IUIDI sufficient to sa tilly the payments required to be made in each year by this lIDtil all pa,mats required under this contract have been paid in tull.. III the aDy reason any such PnMslOD or appropriation is not made Cor a fiscal yeu oC a PartIcipant, tbcD the cbid' fiscal aliter or the'Partici.

pant shaII. in accordance with tbc provisionJ of the Act bu1rcCt u of the date or this Contract, let up .. an appropriatlolr on the accounts oC the in each 6ICI1 year tho amounts reqDlred to pay the obli.llions caUcd for UDder this CoD tract. The amout or tho appropriatioD in IUch JiIcal )Wr to obliptionl ot this Contract shall be due ad payable and shaJllle expend¢ (or tba pvpoK of paying aDd mectina the obliptions provided under the terms &Ad conditions of this ContIact. ncb apPropriaUon ,ball hlYe the same lep! statui u if the Participant had the amowtt of the approprlatioD in its ,cDenll revenue or appropriation mcu\llC. . Secdoa 208. Rate CO,tIJUIt.

ne ParticipaDt wiU cslablilh, mainlaiD and collect fltcs and charles (Dt the electric ICrvice of its system so u to provide revCDues suf6Qaat, toaetha' with available elOctric system. reserves.

to enable the Participant to to the Authority aD j)lyable UDder this Contractaad to pI.y aU 'amountl payable trom and aU lawful.t:huaes apWt or liens on the reVeDUCI ot itl clec;lric.S)'Item. . SeedoD lot. Resale COYenant.

ne Participant aaRCS that if will not, without the exprCSl writtea consent of the A uthcrity.iDtO an)' coatract pursuant to which a DODcxempt person alRCI to take, or to take or pi.)' lor, power plUchased lrom Project Four. For purposes of the prcccdiDllenteaee., -aonexcmpt

,.non" ahalI IDC&n any entity which is not a state, territory.

or posseulOQ of the UD1tcd Stat", the District or Cotumb!a.

or an)' political subdiYislon thereof', &Jld is Dot exempt (rom Scctioa 501 ot the Internal Reveaue. code at 19.54, u amended. . . 7 ARTICLEm ELE(:I'lUC

'POWEll AND 'ENERGY FROM P1l0mer FOUR SectiOD 301. OwaerlJllp or Project Foar. . . .' The Authority Wnl issue BoDdJ in series from to time UDder the Bond to bailee. lequire aDd oWD Project Foar. !be Authority wlR cause to be deUYercd to the Partldptlltl the outpllt and scmces ot C&ch f&ciJity or Project Four tor the useCullife of each sucb f,ciUt)'t subject to the proYlsions ot SectiODl 302. 307 and J 11 hereof. ," Sedlo. 302. lDterc01lJlectlOD ArranIcments.

The Authority.

will purchase or provide sucb scnentinl c:a.pa.c:ity rcserve .crvicc. transmission service. maintenance service, ema"lency service. CCDDomy lDtcrehanle Inee and other IDtcrcbaqe*

lemcc a$lOClated with FolD' u may be nec:esury lor the reliable &Del ecoa.omicall.upply.

or Ihe output aDd serrica oC Project Four. The Aulhority may Ule electric CIlerlY trom FCW' wblch, 'in the determiDatioD ot the Authority.

is IUrp!US. to the of the Participants.

u web surplus may be anilable trom time to time. Cor the purpose or ecoDamy intcrchaale acryicc or olller intcrc:hanle seMc:a with others, and aay net revenua received by the Autllarity tor llDy lUeb scmces shall be credited by the Authority to the Amual Project Four Colts: Sec:tfoD 303. OperatlOIl aftd Maiatenance.

The Authority coyeDuts ud alfCCl that it will operate, maintaill aDel manqe Project Four or callie the same to be operatcl!.

maiDtaiDcd aDd mUllecs" iD an c.fliQcnt Ind ecoDOlDical maDDer, COnsisteDt with. Prudellt Utility Prletic:c. . 5ectfoA 304.

". .. The Authority shall maintain or awe to be maintained, u Costa ot ACqukitlolL and CoDsU'Ueticm or Annual Project.Four Costl. luch lnsuranQ:

with raped to Project Four u shall be &vailabl.1JId u is usually carried by ubulia construcw., and operatinllencratlnl tacillties aDd such other iDsuraace as is usually carried by electric ill coaIormity with Prudent UtDity Practice. . . Seetloa 305. CUb of Project Four. . . Ca) The Authority wiU determine all ot iu casts tOr the output and .lCrIicea provided by the . Authority to the. Participants relatinl to cacb tacility or Project Four tor each Power Supply Year t u set forth i.a tbe AllDual P,oject FQ\If Budlet. or the ameDdcd.AJUlual Project Four Blldpt adopted by the AuthoritY.purluaDt to Sc;cllon 201* bereot, eel IUch COlts IhaIJ ill the agrepte be-equ1 to the Amlual PlOjce:t Four COltS. .' . (b) The Annual Project Four Costs for the 8cueratian and related tacilit1es of Project

.tbe followin, items or cost and ClpeDSe: '. . .... . . '.' (Ii "I'Annual Project Four FIXed Charies."

IDeana all' costs alloca.ble

'to'Proled . but not limited to: . CA). amounls which the AulJlority is required UDder the Bond Resolution to payor deposit iDto any tund or accouut Cltablisbcd by the Bond for the pl.yJDCZlt otDcbt Service IJId any rcsCflC requirements for Bonds;' . (B) amounts (not olherwlse iDeluded uDder a n)! item of this Section 305(b) tor the tadUties of Project Four which the Authority Is required the Bond ResoludoD to ploy llt elepCllit durin.,uch Power Supply Year Into any other tund or accoWlt CltabJilhed by tbe Bond R.ao1u. tIon. and shall iDdude. without limitation.

any sucb ImOUDtI Tcqulred to make up Uly ddcicacy many reserve lund Or worJcin& tuDd required or permitted by the Bond Rcsolution rcsultia.

trom I I default in payments by an)' Participant or Participants or amounts due under its or their Project Four Powe:r Salu with the: Authority; . (e) arDOuntli wJUch the: Authority Is required to pay for tuc:s or payments in lie:u thereof attn"butab1c to Project Four, . (D) amounts which the: Authority is required under tbe: provillou of the: Bond Rc:laluuOD to pay or into a rese:rve lor re:newals and replacements; " " (E) amounts required to be: paid by the: Authority uDder the provisiona of tlle Bond Resolu" tion into any fund, acCOunt or lub-account c;stablilhc:d the:reunder to mab: up for payments the:re:frQUl to any other fund, accoUnt or sub-account u a of insufticieacy of revenues With to any project financed upder the Bond Resolution far which the Participant hu c:xecute4 a contract with the Authority for the: output and sc:rviceJ thereof; . (F) amountl w:ltich must be: set uide by the:

for the retirement from service. dc:airnmislionirJl or dispoi&l of the: facilities of Project Four as may be: required by the: Bond Rc:solution;

.' . . (G) amounts which. mUlt be: paid by the: Authority for the: purchut of capacity reserves for Project Four; aDd . . . (2)-"Other Annual Project Four Costs," wbich aU Annual Project FOli{ Costs other than Annual Project Four Fixed Charges, ineludinl, but oot limited to: (A) aU costs of producilll aad ddive:rinl eic:ctric powe:r and ene:rsy from Project Fou to the Participants inctudinl, but not to, (i) Fuel Costs and other ordinal')'

opcrauan and nance: costs and provisions for reserve: the:refor.

admiDiatrative:

aDd Icncral costs. insUBncc:

and overhe:ad casts and any charles payable: by the Authority in connec:tioD with"the output of Project .Four, (it1 net cOltS of scheduled, emerllmCy.

economy or othe:r mterchanIC Jemce ineurrid by the in connection with Project Four, and (iii) a share. determined by the Authority to be: allocable:

to Four, of all operaliollalld costs {elated to the opc:ratioD aad conductinl (If the btisincu-or the Authorit)' -includinl salaries.

fea enpDc:c:riq.

aDd other services and aI1 other apc:nsu properly related to the: conduct of the uratn or the Authority; aM . CD) amounts required of the Authority by the prl1VisiollJ of the Bond R.esolution to pay the: cost of or to provide: rc:scrvc:s for (i) atr&ordinary operating aDd maintenance costa includlq the CXl5U of scheduled, e:rnerlency or other intc:rcb&J1JC service and the prevention or correction of uy un1UuaJ loa or damqe: to kee:p the facilities of Project Four in load opc:raliq condition or to p1CftDl.1.

loa of f'CYenucs therefrom., (iJ1 any major reoCWIIs.

re:placc:me:Dts.

rc:patrs, additions.

bc:ttc:nDc:nts ud Improvements nc:cessuy, in the: opimon of the: COnsulting Ensilic:cr, to ltc:cp tbe: fac11itic:a of Project Four in load opc:ratUa.

condition or to PrcYCDt a loss of rcvenua and (iii) any major additions.

improvements, repairs or modifications to any such facility, or Uy retircmatts, de:commlssioninJl or disposals of aDy such facility, requiRd by aDy loYmUDCIltal alCDCy havinl jurisdiction over Project Four or for which the Authority sball be rc:apoDll'ble by virtue of any of the: Authority arisinl out of any contract to which the A,uthorit1 may be: . . pitt)' rc:latina to.ownersblp of.Pr:ojCet Four or any facility thereof to-the atc:at that the: . "ity is DOt re:imbursed therefor froID the procc:cds of insur'uec:

or tuDda for such pa)'IDCDtI are DOt available:

to the Authority the:rcIor from 1,D1 f\pIds or acco1UJts establlshed under the: Bond tiOD, or funcls for luch are not proridc:d or to be: provided by the Wuanec of additiaul BODds pursuant to Article IV t# this Contract.

Sectlan 306. Electric Power and Enerer Proridcd b, tbe Auf:.horitr. (a) The: Authority will provide or cause to be provided to the: PuticLpant output and se:rvices from Project Four aDd sc:rv1ec:s described ill Section 302 he:reof, u may be available for the usc:Cullile ot Project four, shall continue:

to provide or cause: to be: 'provided to the PanieiplDt iu 9

BuUe Power Supply which may include, but shall not be limited to, partiallnd full requirements firm power purchases, unit power service, firm aDd nonfirm capacity and energy service. transmission service (includinl traDsmissicm service purchased by the Authority to supplement the Participa.Dt'. ment Shares of transmission senica provided by the Authorily under the Power Sales Contract from those transminion system facilities included in Project One), and other interchanle service made available as a result of transactions with otber utilities.

It is recQlnl1ed that the Autkority may also . undertab additiooal projects in the future, and that the ParticipaDt may contract for output and related sCn'icca from any such future projccL . . (b) The Authority may combine the Armual Supplemental Costs, the ADnual Two Costs, the Annual Project Three Costs, the Annual Project Four Costs., and the allUual costs of any future" project undertaken by the Authority Cor wbich lhe Participant hIS executed a Cor the output ud related services thercoC. for the purpose of establishina rates and chalJCl' or may establish for any of such COSls separate ratel and charles, at the discretion of the Authority in either cue.subject to the provisions of SCcticm 307(a) hereof. (c) In event any *Participant procures alternate bulk power sources under the provisions of Seeticm 404 or the POwer Sales Contract, such ParticiplJlt's Bulk Power Supply bereundu be deemed to be not than the product ot such Participant's Entitlement Share. as defined !n its Power Sales contract, or the capacity related Olltput and services of Project .Onc provided by the Authority . under the Powu Sales Contract multiplied by a fraetiOD the numerator of which is the sum oC the capacity related output ind services or Project One provided by the Authority to aU of the Project Four Participants under the Power Sales Contracts plus the capacity related outpllt aDd services otProject Two provided by the Authority to all or the Participants under the Project Two* Power Sales Con*tracts plus the capacity related output and servlctl of Jlroject Three provided by the Authority to aU ot the Participants under the Project Power Sales Contracts plus the capacity related output and services of Project Four proyltled to aD of the Participants under this Contract.

and denominator OC which is the rum of the capacity related output and services or*Project One:proyided by the Ailthority to all of the Project Four P.articipants uDdu the Power Sales Contracts.

Sectloll 307. Rata and Qarles. (a) The Authority wil1 estabJish and fair and nondiscriminatory rates and charles wbidl will provide revenues that are suf&cient, but only sulIicient.

to pay tbe ArmuaJ. Project Four Colts, whetber or qot such Cow '" cDmbined, as authorized by Sec:tion 306(b), with Annual Project Two , Carts, AnnUli Project Three Costs, Annual Supplemental Casts or the annual costs or aDy future projects WldertakCD by the Authority with respect to which the Participant hal uecuted a CODtraet.

Cor output and .services therel'rom.

". : (b) The bill the lanicipant each month durin. each Power Supply yeU by providin.

the Participant with a Project Four BUlin. Statement ror such month.Cor*the services obtained by the ParticiPJllt from the Authority u *set forth in SectiOD 308(1) hereof, in ID amount 'equal to iu portion of Aanual Project Four Cost.s determined in accordance with .the provWcms, of

hereof. Such StatemCllt.

shall*be paid by the Participant CD or the teIlth day* Crom the date of such biD. Amounts due IJ1d not paid by the Participant 01 Or Wore 1&14 day lball bear aD Idditional cbarle oC olle aad one-halt (1 v..,,) percent per JQOJIth for each IDOnth, or fraction therecif, UJlbl the amount due is paid in lull. At the end of each Power Supply Year, adjustrDCIIU of bUona shall be made in with Sectioa 205 hereot. . (c) At jUch time as the Authority issues additionaJ Bonds in accorduc:e with tAc' prorisioas of Article IV hereof', or at such time as the Authority shU have determined that Proiect Four or any pan thereof shaU not be completed.

is nOl operatlnl or operable or its output is SUIpCDded.

interrupted, interfered with, reduced or cunalled or terminated in whole or in part (but hal Dot declared*Project to be totally and permanently rrom semce), the Authority will adjust such dements oC Annual Four Costs as are necessary and the rates and charles under 307(a) }O hereof and the Participant sball pay ilS sbare or such a.c1justed ratcs IDd charlcs punuant to prcrrisioftl of Section 308 (d) In the event that Project Four should be terminated berorebeinl placed in service or be dce:larcd by the Authority to be to tall, au retired ftom service and no putwt scnlces thereCrom are being dc:liTered, thea the Project FOUl ObUlation Share of eacb Puticipant oC the time of such terminatiOll or dcc1a.ration shlll be tba.t respective pcrCCDtage set torth in Schedule of Obliption Shares attac:hcd hereto: &!lel the Participlnt shall ;&y ill Four tiell Share of AnDual Project .Follr Costs u sball be set fortb in the InOnthly Four Statement which shall be sllbmitted b)' the Authority to Participant lcss the allocable credits to PartiCipant's sblrc of sucb COlU Irom revenues resultinl from with other utilities*

entered by the Authority punuant to Section 311 hereof. if all)', alld sucb paymenu shall not be subject reduction whether by offset or otherwise and shall not be cowtional Upoll the performance nonperformance by any. party of anYlsn:cmczat for an)' cause o(e) In the event thlt Project I:cxu is totany out 01 fervice but Jiu not bCeD cJcc:!ared by the .Autbority to be: totaUy and pcrmancudy retIred from SeMce u prcmded in the Section 307(d), and the Authority is .uublc to pnwiclc any of the services described.

in Scciicm 302. the Authority sban notify the Participant aDd the Participut shall pay iu Project Four Obliptioll Shlrc, u set tortb ill the Scbcc1ule of ObUaalion Sharcs attached hereto. of AlUlual Project FoUr Costs; u shan be act forth Us the monthly Project Four BiOlnl Statement which ..hall be SUbmitted b1 the Authority to the Participant leu the tllocable credits to the Participant's share of such costs from.' " revenues rcsultin.

frOID coatracts with o.ther udlities CDtercd into by the Authority punuant to Section " 311 bereof, if' lilY. for 10 lon& U such c:oaditions obtain. and such payments shall DOt be subject to reduction whether by o!'let *or otherwise and shan 110l be upon the performance or nonperformance by allY parly of Iny qrccmcnt for any C:IUle wuteyCl'.

5ec:tlOD 308. Power IftlltlllDlDt aNI Pa)'1Dtllt OblJ,atioDl. (a) The shan take the Authority output and services Four..d provided b)' the Authority in accordance with the provisions ot Seetioll 302 u IDay available for the useful liCe 01 Project Four, and., bued upon tlIe rates and chlllel CltabUlhcc1 pursuant to Section 307(8) hereof, the Puticipant shall pay to Authority its portion oC the Gau!1 Project Foar " . . (b) 111 the eyent the Authority IhaU l:Ombine Annual Project Four Cosu with other costs, u act forth In Section JD6(b), for the purpose of estlb1i.shina rates and charget, the Authority will idcutit'y 011 \be monthl)' Project Four Billing StatemeDt lubmiUcd by the Authority to the Participial that portioa of the reY.cDUCS to be received by the Authority from the* Participant procIuced by stich ratcl ull charpl that is allocable to the paymmt ot the monthly budleted amou.at ot Annual Project Four Casu. Su.ch portioa shaD be determined by the Allthority*U*

'oDaws: During an1 mOlltJa or a Pow* Supply Year, the Participant's portion of the monthly Annual Project Four f"= Cbarac:s sulI be sucb capacity related revenues for such month to be received from the Participant multipUed by a traction the numerator of shall "be the budlcted amount of ADnual Project Four Characs . for such mondl (less any capacity related actually received by the Authority durin, sucb : mouth to 311"hereof)ud l1Ie dCllomina lor of which shall be the IWIl oC the budaetK Imount ot AnGual Project Four Fwd CbUJCI for such month (less any related fUCDUCI* IctuaJly received the Autbotfty sudl.month pursuant to Section JU bcreol), p1l:lS the buqelec1 amount 01 Annual Project Three Fixed Charles for sucb month (less aD)' capacity-related revenues actulUy ncai"'ed b)' the Authority durinl such month pursuant to Scction 311 of the Projctt 1"1!rce Powu Contracts), the badpted amount of Annual Project Two FIXed Oarp lor such month (las Iny capacity-related rlftlcnues actuaUy receiyed by the Authority durin. such month pursuant to Section 311 of the Project Two Po"wcr Sales 'Contracts), plus the. actual amount or capacity-related AJlllual Supplemental Costs for ncb month, plus tbe budletcc!

amouat aI related-aDJlual COSIS ciuriftS suc:b month ar any future projects undertaken by the Authority with . 11 re5pcct 10 which the Parlic:lpant bas cltltculccla conuacland the costs otwhich have been combull:d for purposes of catablishina sucb rUes and cha,les; aDd the Participanl'l portion oC the monthly Olhct Annual Proiect Four Costs shall be such enerl)'-rel&lcd for such moath to be re=ivccl from the Participant mulliplied by a fraction thc numerator oCwhicb shan be the of Other AIInal Project Four Costs for IUch month Ow any eneru-related revenues aCluaily received by.U!e Authority dunDI such moath puriuant to 302 and 311 hcrcol) and the denominator of whiCh ahaU be the sum ot lhe budlctc:d amount of Other Annual Project Four COlli fOf such maialb (las auy caulY-rdated revenues actually received by the Authorily durlD.*lUch month p1l1'AUlt.

to Scetioaa 302 aDd 311 hereol), pJu the budleted amount of Olhcr AmIual Project nrce Costs Cor suc:h month (leSs Illy encru-relatccl mcnucs actually received by the Authority dUMa such month punuant to Sectiona 302 and 311 of the Project Three Power Sales Contracts), plus tile budaeted amount of Otber Amiual*Project

• Two Costs ror such month (Jess any CDCIJY-related rCYalUCS actually rccciYed by the Authority durm& suc:h month pursuanl to Sections 302 aDd 311' of the Project-Two Power Sua Contracts).

plus the ac:rualamounl or cnerlY Annul SupplemcDtal Colts Cor IUch month. plus the budSCted amounts of energy related annual costs* durinl IUch month or any future projects undertaken .by Authority with respect to wblch the Participant has CMQlte4 I. CIOJltract aDd the . costs 01 which have been combined tor the purpose of atablishiDllllCh ntes aDd c:barJc:s; provided, however, if durin. sucb month the amountl 10 be paid by the Puticipaats pursuant 10 the forqoin. provisions or this Sectioa *for their porlioDS of monthly Annual.Projc:cl Four .FlXed CharJCI &ad monthly Other AnDui Project Four COIlS do not in th!: l81"epte equal the budleted amounts for total Annual Project FoUl Fwd Charles and Other Anaul Project Four CoalS Cor IUCh monlh leu aDy rCYCJIues actually received by tbe Authority duriDlsuch month to Sections 302 and 311 hcreor, the Participants' PortioJII of ADnuai Project Four Fixccl Charles and .OtJae.r Annual Project Four Costs shaU be acljusled pro rt.tI 10 that the sum or aU.ot the Participuts'.porcions or monthly . Annual Project Four Faxed Charles as 10 adjusled and the lum of all 01 the Participants' of monthly Other Aruu1I.l Project Four COlts as SO adjustCd.

shall equal one hundred (10K) pe.rc.cnt ot. the budlcted Annual Project Four Costs tor each month less lDy revenues actually received by the . Authority duriD.luch pursuant to Sections 302 and 311 !lcrcot. Stctioa 309, Pledle of PaJmenU, All paymeDts to be DUde by the Participant punuant to this Contract attributable to Project Four or 10 the Anuual Project Four Costs sball be pledged to secure* the paymCDt.of the*

.'. Section 310, Paymlllt as Optradq ExpcDsL So lonl as electric power aud elerl)' shall actually be received by a Participut from any tacililY or CaciJiliea oC Project Four, the Participant'l portion oC ADDul Project Four c;oala dian be paid by tile ParticipanlS as a or purchased declric power and enerl)' Cor electric system ud as an expense or Opc.ratiOll and maiIIleDaDCC thereol. . .,. '.. . , ... ' , ,,', . Secdoll 311. Credits to Annual Project Four Colts. . The AUthority may.

..nt to Schedule A .hereoC, sell lhe outpllt and servlccs oC Cacilities included in PJOjecl Four to other utiUtiea.

1A addiuCll10 the AuthorilY may utilize.1Cll, aDd Qchanae electric:

capacilY ud enuD trom Project FolU' whcDeftt, ill ita discrellon, aoy IRCh traDlactioo can reasonably be expected to result ba a more reliable or economical ovcr..U Bulk Power Supply to lhe Panic:iputs.

nc andclpated proceeds Crom auy suc:Jl sales or traDlactloaa shan., to lhe alent pracd. be atimated in lhe Annual Project Four Budget, and any Det revelWa actua:lly rced"ed by the Authority u the rcsuJl of suc:h sales or uanaac:tioDS shaD be credited to Annual Four Costs. 12 A1TICLElV ,ADDmONAL BONDS Section 401. Issulace of Additloaal Banas. (I) Additiona.l Bonds may be sold and issued by the Authorit)'

in ac:eordance with the prcnisiCIDS or 'the Bond Resolution at fJl)' time aId Crom time to time in the event. for aD)' rCUOll, the proceeds derived CrolD the sale of the Bonds &rst validated pursuant to the provisions or the Act' aDd of this CODtrlct shall be wuHiciCDt Cor th,e purpose oC complctinl the faciUtics oC Project Four and placlnl each Cadlit)'

ill Commercial Operalion.

' (b) AdditionalBondi ma)' be sold and issued b)' the Authorit)'

in accordance with the provilions of the Bond Re.solution at an)' time aDd from ,time to time in the event Cuads are required to pay the cast ot (i) aay .lJlajor renewals, replacemeats.

'repairs, additions, betterments, or Improvemenlf.

to Project Four DCCCIJ&ry, in the opinion ot tho Colllultin, Ealineer.

to keep Project Four ill. lood opc:rat1n1 conditioD or to prevent a loss ot revenues thereClom,'(h1 lay major additiODS.

impravemeats.

repairs. or modUications to Project Four, or aD)' retiremeats; dccommissioniDp dlspos'" of Four required b)' anYlovernmcatal alenc)' aYina jurisdiction over Project FOUl' or tor wbich the Authorit)'

shall rcspoDlible by virtue of aD)' obUlatlon of the Authorit)'

out or allY C9Dtract to which the Authority may be a puty rc1atiq to ownership oCProjcct Four or aDy hQlit)' thereof. or (iii) reload fuel or additional tud invealOry Cor each tacilit)'

of Project Four iD oy Power Supply Y car to the CX\CIlt that sul&cient tunds Iro not available ia an)' reserves established by the Authority tor fuel '. Costli provided, bowevc.r, that no such additional Bonds may be issued tor the purposo of aeldin, additioaalJeneratinl units to Project Four. . ' (c) An)' such additional Bondi shall be secured by usipment.

of aU payments attributable ProJcct Four or to the Annual Project Four Com to be made in accordance with or pu.rllWlt to provisions of this Contract.

aDd aU other Project Four Power Salcs Contracts.

u IUda payments may increased and extended by rcuon of Issuance ot such addit!oll&l BODdi. allelsud!

additional may be issuccl in amountsluEficient to plY the lull amoUit oC ncb tosts and sualcicat to rCSC"cs al may be reuoaably determined by the Authority to be dcslrabla., AJsy nJCh adelidoul issued in accordaace wtth the pTOVIsfona 01 this Sectioa 401 and ic:curcd by ustlJUDllllt DC be ill accordancc with the provisions or this Section. may rJ1\k JlUi pun U to ihc Lft'ord cd by the provisions of this Coatract I.Dd ot all other Project Fcnir Power Sales CoDtraeu the Authority and the Participants rclatiq to Project Four &Del to the issuance or Boada therefor an bonds tberetolore issued pursuaat to and lecured ia accordance with the provisiou ot thiI Section 401. Issuance of RefuncUnr Benda. In the CYCDt the Annuai Project Four Costs to the Participants of electric'power .aDd enerJ)' trOlD Project Four may be reduced by the reCundinJ ot Ill)' ot the Bonds thea outstudbla or lD the shall otherwise be advantqcoua.

in the opinion at the Authority, to rcCueluy bands. the Authority Plly isluC IDd leU rcCuDdiq Bonds to be Iccuted b)' asstpment ot aU Pa1JDCDts a ttributable to Project Four or to the Annual Project Four COlts tD be made in accordance with or punuut to the provision I of this Contract aad aU other Project Four Power Sal. Coatraets.

AJJ.y..uc1i Boadlll51led in_ accordanC&

with the pioriaions of this ScctiOB and secured b)' IUsi'D1DCDt ot IUch payments may nDk pad passu-u tbe security dorded by the proYIsions oC thiI Contract and or aU other Project Four. Power Sala CODtraCU betweell the Authority aDel the Participants relatinl to Project Four IDd the W\laIIce of Bonds tberetor with aU bonds theretofore issued pursuaDt to ud Jee:ured lD acc:ordancc wilJlthe prcMsions of this Conuacl Section 403. Adjustment of Annual ProJed Four Costs. , In the 'cvent the proceeds derived trom the we ot Bonds exceed the aaaregate amount required tor the purposes for which such Bonda were issued. the amount of luch' CXCCII be used to . make. up any then iu aDy fund or.ac:c:ount uader the Boad Rciolutioa ill tlae maJUler 13 therein provided, and any bala.nec shan be used to retire. by purchue or calland redemptioD Bondi in .dYlDCC oC lDaturity; and in such eYeDt the Authority w1 reduce sucl1 dements oC Annual ProjeCt four Costs as arc ncc:esury alld appropriate to suCh accelerated retiremcllL ARnCLEV DEFAULT SecdOD 501. Etelit of Default. Failun 01 the Participant to make to the Authority uy 01 the lor which provision is made in this Contract sball coosuw.te*a default QD the part 01 the Participant.

StCtlDD 501. ContlnWDI ObU&ltloa.

IUlht to DiscQatlDue Ser:nc:e.

In the event of any such dcIault, the*Participant not be relieved of its liability for paymcot of the amOllnts in dcIault. and the Authority suU havc the naht to recover lrom, the Parcicipalll any amount in default. In CJlforcemellt or any such riaht of recovery, the Authority may bnnll.DY suit, IctiOn. or procccdina in law or ill equity, indudinS mlDdlDlus and action lor specific performanc:.c u may be Jlcccssary or Ippropriate to enforce any COYCDlDI.

aSRCmcDt or obUsalion to make payment lor which pramlon is made in this Contract apWt the Partic:iPUt.

aDd the: Authority may,*upon lixty days writtCJlllotic:e to the Participant, cease IUd discontinue under this.Contract,. . Stctlou 503. Le'1 of TaX for PaJIQeat.

• 1. the cyeDt 01 sucb default by the Participant, the Participa.nt shan provide lor the ud COUc:eUDll of alllllnul to sumcient to proricic funds &Mually to make aU pa)'IDents due under the pronaicms 01 this Colltract iD CIa year oYer the remainder 01 the life: of this CoDtnce and. the Authority shall have the riaht to briq suit. lctian or procccdinJ or in equity, inc1l1.diDI.*

IDlDdamlJl and action for specific perlormance, to enforco the acsesamlDt lIId coUccdon of .a lUI direct annul tax upon aU tbe taxable property withill the bolllldarica of such Participant lu.mcicnt in lUl!NJIt to provide sucll funds mnuDy iD yw of the r_ader of the liCe 01 this Contract.

SectiOD 504. Oblilation

• Share of Dd'iultlq ParddplIlL In the event of I default by a Participant, such Participant become liable for the areatel' of (i) its respective Project Four Obliptioa Share. U let forth in the Schedule qI ObUption Shares hereof. of Annual Project Four COlts. plus aU other IJIlWDts due UDder this COJItraCt by such iaI Particip.ut, or Cif) ita paymlDt ObliptiOD undGr Section 308 hereof. and sball r=alD so BabIc lor so lena U IUch dd'ault conWlua,.and WltD alllUch IJIlOWlts are paid. SectiOD 505. Otber Delaalt by Parileipaut.

.In the CVCAt 01 a faD1D'c of the Participut to CSlablish, maintain.

or collect ratca or charla ad.equate to provide reVCllue lu16cicnt to cubic the ParticiplAt to pay aD ImOUDts dDc to the under this Contract or in the event 01 a lailure of tho Participan.t to take from the Authority ill . PO"!'cr Supply in ICcord.an(;C with the proriIiODI DC this'Contract, or Ua*the event 0lu1 default by the Participant under* any other CoVCD&Jlt, apccmcnt or obliaalion

'DC this Contract, tlIe Authority briDa lD1lUit, action, or procccdiDl in law.or in equity.illciudiDa maDdamUJ.injunction and actionspccllc pcrformlDc:e, as may be or appropriate to enforce aoy covcnallt.

or oblIptiOll 01 this CODtract a.ainat the Participant. . SeetJOD 506. Def.alt by A.atJaoric,. , In the C'fent of any default by the Authority un4cr aDy COYCDlIIt, aveeme.nt or obli,ation of thiI the Puticipaat may brilll IllY luit, action. or in la.w or in equity. man4amus, izUuDCtioDo ud action tor specific pcrtormuec u may be necessary or appropriate to enforce any COVCDUt. apeCftlent.

or oblilatioD of this Colltraet IIliast the Authority*. 14 Section 501. Abandonment oC Remed,. 1n case ID)' proceedilla oYIlccount or IDy dd'IUlt sblU hive been discontinued or Ibandoned ror an)' reason., the, parties to such proccedinp lhan be restored to tbeir Cormer positions asad rishtl hercunller, respectively, Ind all riabtl, remedies, powers, Ind duties oC the the "pant shall continue thoulh rio such proceedmp bad been tatca. , " .. AJmCLE VI MISCELLANEOUS GENERAL PROVISIONS Section 601. Cbar-cter Ind Gontlnulty of SenlCl, ta} lbe Authority mlY temporarily or reduce deliyeries QC electric eneflY to the Plrtici* 'piDt it the Authority determinCl that sucb intcrIUptiOD or rccluetion is nccf;SSlt)'

m cue of .emcrJCIIQCS or in order to install equipment ill or mike replirs to or replacements, U1 Y llti.lticms, and inspections oC or to perConn other aWllteDlncc work: on its ameratioD or traDlmissioll facilities and rellted Ipparatuses.

Alter intorminl the Participant reaardinl any such planned. iDtcnuptlOll or reductioll"livilll the therclor, and*statin&

the probable duration thereof, Authority will to the best of its lbility ichcdwe such iDtcrruptioa or reduction It a time which will cause least intCrrcreJICC with the operations cl*the (b) The Authority shall not be required to preville, or lilble Cor Cailure to prOYilk, servicc under this Contrad. wbeD .uch IIDure or the ce.qatiGA or or or iDterferCDCC witJl the service' is caused by Uncontrollable ForQl or, with respect to the services to be provided Cor Supplemcatal Bulk POwcf Suppl)', is caused by the rlnure or or any other bulk power IUPPUor to eater il1to rca50lIIblc CO!1traetJ with' .the Authority or by the In.bility or the Authority to obtain any required 10yerDJDentalapprirtils to eDible the AuthOrity to acquire or any CacUities.

SeCtion'*60%.

(I) 'Aut1?-ority reserves the riaht to proYide ror installation oC melers &lid wiU provide or to be proYidcd aU necessary meterinl equipment Cor deteniliDinl the Cluutity aad coDditiODI or lupply oC electric power and enerl)' delivered by the Authority under this Coatrlct; provided.

that the Participaat may at ill own COlt instaU additional mcterinl equipmellt to proYide I cbeck that or the Authority.

ne Participaat shall Illpply withODt cost to the Authority I suitable place .inna1lip&

the ADtllority's metcriq equipment.* (b) It all)' meter used Cor bWiq tails to rcaister or is COUD,d to be iAaCClU'ato, the Authority shall Ceplir or replace such meter or caUIC it to be repajrcd or replaced, and an appropriate bnunl made to the Participant by the Authority bued upoD the bcst informatioa avaUable tor the period, DOt cxeccdiDI sixty days; durina which DO meterUlI occurred.

Ally meter u4 to be not more

• thin two pcrccnt above or below normallhaB be coDiidcred accurate insoCar u corractloo or bium;. is conccmcd.

U, as I result of any tesl, a meter is Cound to rcpter in CXCCISI oC two percent above or below normal then the reldinl oC aueh meter previously taken Cor blUin. purposes shall eorreaed for the period duriua which it is established the IMter wu inacCurate, but no correcdOll shall be (or ,W period

days prior to the date OIl which an inaccuracy is discovet:ed by.tucb test. . ;. . . .' ..... .-. Section '03, PDwer DeUnrHs. Power and CDCrIY turni.hed to the Participant Wlder this Contract shall be iD the Corm of tbrcc phase current, at a frequency oC 60 Hertz. . .Sectioa 604. LlabWtr of Parties. The Authority aDd the Participant sball Issume ruu "responsIbility aull liability Cor the aaDce and opcradOll oC their rClpceuvc propcnics and c&cb sbtU Indemnity Iud Ave harmless the from allliabWty and upcasc on ICcount oC allY Ind all damaaa. claims, or actions, iDcludina or dcatll 01 pcrsoDS ari.sin, from ID)' let or ag:ident in cOlU1ection with the insta.Uation, IS maintenance and operation oC the property llld equipment oC the iftdemniIying party Iud not caused in 'Wholo or in part by the neBfaacnce oC other party; prOYided thlt Iny liability whicb ja incurred by the Authority throulh the opcratioa and Maintenlace or Project Foar Ind DOl covered. or Dot covered sllIBciently, by in5UrlDCC .un be paid solely Crom the reVCIJues oC the Aathority, aDd any payments made by the to IItisfy SlIch liability shaU become plrt of the Maw, Project Four

. .-

605. Otber Terms and SeMce bereunder shin be ill Iccordlnce with such other lenni Ind conditionl u arc established Ii part of the AULhority's Icme:c n1cs Ind repl&tiODl, which shall not be inconsistent with the proYisioM of this CcmtracL ' Seedon 606.

of COAtraeL (a) This Contract shall inure to bene5t 01 and shaD be biDdiDa UpoD the respective succesaors and wilDS oC to this provided.

bowever, tbat except u provided the of a default, aDd. except lor thc IUipmcnt by the Authority authorized hereby, neither this Contract nor any interc:st herem IhaD be .trlmferred or assi,ned by' either partihcreto ac:cpt wit,h the COJIIent iD writiDl of the other pany hereto; provided, howGYCf, that COIIICAt shill not be withheld unrealOll-

' ably. No wilnment or tnlllfer orthil Contract Ihall relieve the parties of any obliptiou hcrcuDder. (b) The Pr.rticipaat lebowlcd,cs and aarees that the Authority may usfp aod pledle to the Trustee dcsijnatcd in &Dy Supplemcutai Projee,t Four Power Rcmlue BaDd Rcsolutioa.

all its ript, title. and interest ill IIld to all payments to be made to the Autbority under tbe piovisiODI oC thia Contrlct attributable to Project Foar or to the AmaUll Project Four Costs as security for 'the payment, 'of the principal (iDcludinl liaana ,fund installments)

,0(" and It any. Iud interest on aU Bonds. II1d, upon the Clceutloil of such Ulipment aod pJedlCo such sbtU have all risba aDd remedies berein provided to the Authority, and any refccence herem to the Authority shall be dcemedo with the necessary chUIe! in detail. to iDdude such Trustee which shall be & tb!riI party bGucficiary oC the covenants-and aareeD1ents of Participants berein CODta1Dcd. . , Sedan 601. TermiJIatloa or AIII_mUlt of CoatraeL . (a> Thla ContrKt shalt bot be terminated by cither party Iny cireumstaDCl!:lo Whether bued upOn the deC.ult of the other party umler this Contrlct or aDy other mltrumcut or otherwise except u apecific:aUy provided ill thb

', (b) This Contract Ihall ACt be amCllded, modifild, or otherwise altered in lI1y manner that will advel'$Cll affect the ICcurity for the Bondi dorded by t.be ,provislons of this Colltrae:t COVWs the purchue ud 1110 olpo..c:r hc.rcuildc:r upon which the OWDen from time to time ol'ihe Boada shail bYe relied IS aD to purdue aDd hold the Bonds. So 10111 II any or the arc OUtitudiDI, or Wltiladcqutc ptcMsioD.t for the paymcat thereof .bave been made in &QcordaACC with tbo prcrrislOlia . of thc Bodd Resolution.

this Caamel lball nat be amcnded, modified.

or otbcrwlso.aJtend in &IIy mlDDer wbich will reduce the payments pledled IS scc:urity for the Bondi or atcml the time. of such payments prOYided herein or which wm iii. anI manncr impair or adversely aft'ect the riSbli or the owners Crom time to time or the Bonds. . , (c) *ID thceveAt (i) the Authority docs Dot acquirc Ute interesta iu Vostle Uniu Numbers Onc IDd Two al i4entificd iD the Dacrip,tiOD oC Project Four or [Ii) all of the Putlcipmll wbich have entered inLo Power Sales Contracts ,with the Authority IhaU have not entered into Con* tJ:aets lubltanti&1Jy identical to this Contract lor tbe output aad service of Project Four, then this Contract shall terminate Ind ncitbu putYllWl .baYe ny furthc:r riJhts or obUptioDa hcreWldc:r.

16 ARTICLEW .Scc:tiOil 701. Senra'bWty. . ID casc tn' one or more or the cir this Coatraclshall for aDy reason be: helel to be iDelal or Ulvalid by a court or competent jJlrisdic:tion, it is tile inteation ot each. or the partlel hereto that sw::Ia UlelaUty or luvaJidity shaD'not alfcet anyothtr prcwbloJl hereof, but thia C9ntl'et Ibn 'be collltnaed anel Cltorccd u If sud!. illcsal or invalid prorisicm had Dot 'beca contaiDcd 1IcreiD. anel *this COJltnct shall be construed to adopt, DOC to enlarJC Upoi. &II the applicable PIOYisioIs of said Act. aU the applicable provisions or the Constitution IJld seauAllaws or GeorJia, aDd. it Ill)' praviliOna hereor collfUct with Ul1appUcabJc proYkioD ol said Coastitutioll or Jaws, the latter u aelopted by the lqisla* .ture aad u interpreted by the courts ot this state shill prCftll in lieu or any provision hereof' in codict or not iD harmony therewith.

' .

.,...... ***e* .:.. .:0.:..: 0. .

• j***** " IN WIlNESS WHEREOF. Ill.

EJewic: Authority or Gcorlia bu caused thls .lTaGl to be csa:utcd ml.. COryon1C nabla by i... dGly .uchari_ ",Eoas anc!. lay dI. aeeution hereof' it is IckftowlcdJ'!d that.paymCIUS made uftdcr WI CDIla,a may be :usisncd..

u ptovidod in Sccti* . 606(b) bcrcoC. b1llac Authority to tbc Trustee tD be dcsipatcd ia ID)' SUPllcmc1Lta1 ProJed Four Power Kevauc"d Rtsolatioa IS scaarit)'for tbe payment of all Bonds of the AatboriEy.

u set f'onh in said Section 606(b) hereof. aDd tbe Authority Au causa! its.corporate Kille be bCfCUAto impreued . and .UCleed: IJ)c Pankipant hu c:aUJed Ibis Contract to be CMCUted in lIS COF)lCnte ftaC'e by itJ.daly aulhodzat otJk:cn Ind its corporate seal to be hereunto iJDprc:ssed IDd Inested. Ind dcJiftry bereof &y the Alilhori.)'

10 the Partkipam is hc"by acJtnowlallcd.

aU U oC the da)' and year ftm abaR.wriua. MUN1CIPAl'ELECT1lJC AUTHORITY Of GEORGIA AlT: /-I /J Secr&lary-TrCllRlrer

• APPJ'OVCd As To FOI'IIl II DESCIUmON OF PROJECT FOUl. The facilities of Projc:c;t Four .ball be the foUowina:

A five percent undivided interest in the two 1150 MWe maximum ratc:d. DucIcll aCDcratiq uoilJ to be known II tbe Alvin W. Voslle NueLc:arUDitl, Numbers ODe aDd Twa (iDdiYid1:ll1ly designated u VOltie Unit No. 1 aDd VOJtle Unit No.2 and collectively.

dcripatc:d u Plant VOltle) to be located near WayDClboro in Burke County, Georsia,.lDc:ludin.

for such UDfIS (i) laud deUncatechud due:ribecl in Georp Power Comp&DY Map rd. M.a-3. to be recorded in the record.s of the Clerk or &he Superior Court of Burke County, Gcoraia aDd aU laDd riahu pcrtainiJ1' thereto; (II) the: D,clear power reaetol'l, the turbine-leDerator

.. the buildinp houdng the lame. the asiocia.tc:d ucI cquipmcnt.

ud the related transmiuioD facilities all u more partic:u.IarJ)'

dcscnW la the Applicatioa. meots thereto. by the Gc:orJia Powu ComplllY before the Atomic CnCl'J)' CommisslOD iD Docket" Nos. 50-424'and 50-425' aDd thi Pre1imiQary Sdety Anuysls Report. aDd amcDdmcats thereta. which constitv\cS a part of such App1icatioD, ud (iil1 illventorics of materials, suppl1c&, taol. .too1I ud cqu.lpmclta (or usc ill ColUleCuon with VClIlJe. " '. ., .. ".

e*I SCHEDULE OF OBUGATION SHARES Dc Project Four Obqation SharCi or the AnnuallTojec:t Four COIU, which iDdude the of the services providal.by the Authority In atcor4aa.c:e witli the provisioQl ol Secdoas 301a.nd 305 or the Contract, .ball lor each Participa.nt be that respective Project Four Ohliaatlon Share .let forth ill tbc followiD.lChcduJc: . 'Adel *********.**********...*..

AlbaDY ** :** ; ..*:**..**..****

• • . BarDCSYille..** ....*........ .... . Blably......*...**.....*.*.*

.. BriDllJD**.************* ,, ****** BufGr'd ".1 .. Cairo . Calboun. .. .. Cartc:rsviUe

.. Puk ...*... : ,.....*.

.. CoriDJlOD

• .******.****.****.

',' . Crisp Comty.*.... , ......*.....

Doe:t1III: .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. ....'

'DGuIW *.*..**...*.**.*.***.*. Baat ,.. Elberton*......." ..*....**.

,EDaYilk *.*****.**.**********.*

-

... , Sian 1.164'" 10.105 0.415 0.814 0.033 0.570 1.783 1.810 1.093 5.205 7.707 0.641 2.694 3.431 0.119 1.625 7.019 1.358 0.307 , Fairburn : , .0.568 Fitzlerald

• ..* , .....*....**. , .. '2.9.50 . , 0.994 I* Fort ValJey ..** ,**.*********.** GraDtyjJ]e

.. , . , Par1lclput ortma .. HoaalllVillc

• • ...........*

...... Jackson *. . ' '..***..*..

laFayette

.*..**..*.*..*..*

• ... LaGrallle

.........*

• • .*.**.*..

uwraceYille

• ..*... ! MlJIIidd... ,.*.....*..*.*.

• • .. Marl.tta .**..**....******..*

• . MOIUOC **************.******..

MDltlcello

.. , ****..***.**...***

MOlILtric**********

'. ************

Nc:wDa.a *.*********** , .**...*.*

Norcr*..* , *. I.' **************

Ptlmctto .. Quitman. ' ** " *..*...* '.' ...*... S.DdUlYille *....**.* ,*..****.**

Sylvania ******************

'.' ***

. .. J *** WubJDatoa*

.. **********

.Weat PoInt*...*.**.***.*..*.*

.. Whiibam,***.*.****..********* , . Total******..****..*******.

Pr.jldF_ SIian USO'" 0.296 0.499 1.61S 3.213 2.161 0.027 12.161 l.462 *0.40S 3.010 1.605 0.846 . 0.331 0.634 0.180 3.118 0.979 1.227 4.3.59 1.059 0.426 0.125 100.00011 20

. SCHEDUI..I:

A . The Authority.

in with the prov\sions or Section 311 ot the Colltraet and mbjcct'to the provUions or the Alvin W. Vo&tle Nutlcu Units Numbers One and Two AaialUllC1l.t and Assumption Aarcemcnt..

dated u of November 1" 1913. b&tweeA GcOraia Pqtm Company and the Authority.

intends to Id1 a jIortiOIl of the output and ICmeca ohhe Project to Georaia POwer Company in accordu= with the foUowiq Ichedule::

.' .A. AJ to 78.0" of the output associated with the Authority's Prolect Four. sucla ial. shall be u' talloWs; rIM' 5"'" Yar Tb&t Portion of the Power Supply Yeu llemaiDilli After the Commcrcw Opcra.tion Date or a VBit of PrOject FoUl . Flnl Full Power Supply Followiq Commercial Operation Date SeclIIld FuU Power SurJlly Y car FoDowiD' Commerda Operation Date Tbir4 Full Power FoDowfq Commcrc:ial Operation Date Fourth Filii Power Supply Year FoIJowin, eommuei.al Operation nate F1ltll FuJi 111..." Supply Yeu FoJIowilli Commercial .Opcra.uon Date 2S.0Wt Sixti'Full power SunIl' 'Year . FoDowina CommerclI.1 Opcn.UOIl Date . SeveptJa FiB Power Supply Yeaf .

Commc:rc:ia1 OPa'atlon Date

. B. "M to 7.4" at the output usociated witll. the Authority*s Project Four. IUch sales to GI:OrJia Power Company ahaB be cq1l11 to 10M. or the output and .cmccs beJian'DI with the Cor:umciCial Opemticm date ot a Unit ollroject Four and contiDuin, Wltn the =d 01 the fOlU1ccDth fuJI Power SIIPply,Yru loUowiR, the Power Supply Ycu ill w1dch the CommerdaI OpuatioD.al ncb Vlit OCCW'S. C. AJ to 14.611 of the output usoc:latcd with the Authority's Project FOIU'.such..1.to Georpi Power ComplftY shall be equal to 1001 of the output IDd scmca bqiDDiaa with the CommcrdaJ OpcnUOll date of. UAit of Project FoW' and IhaU col1Wlue 11IldI later to occ;r of (I) retirement of suc:b Unit, or rli) the ant to oceur 01 the latest date mted lor the payment of the 01 Boa. or of provisioI beiD,lDIde lor such payment in accorduc:e with Scctfan'1201 or tIIo Bciacl Raalutlcm.. . .' . -D.'ne Clt&bu.duDCIlI oi the'lorep,iDlschcdile ls aot IDteaded' Umlt *01 tho Authorit)'

IBntcd in Section 311 to leU lDd exehmle power'and e_., from P:ojcct Four. . , . ,21

....... F1RS1' AMEH:Hm' PlOJEt:1' RXJR Eamt S1US 0JNlW£'l' BEIWEm KlNICIPAL ELtI:.tR1C GEXRiIA* i'hls First A:.ndment of' Four PQwI!r made and into 25 of Janua:cy 1,' 1986, by betwl!en the pal Electric Alithority of Georgia, a public body corporate and politic. -. .' .. a pUc corporatial of the State' of Georgia, hereinafter times referred to as the lIuthority, created by t:he prov!siCXUI of I Ga. L. 1975, p. 107., as (Title 46-3-110 a.C.G.A.),*

and the signed poli t1C!.1. sutxiivisLon of the State of Georgia, hereinafter . ... . .

the

.WITNES S B l' H: BE it remembered that a project 'PoUr Power COntJ:act, . dated as of November 16, 1983, has been executed previously by and between _.the Authority*and.

..the* Partic!plintJ "and the-City of OJtfoId ("OXford-)

which has previoualy

.. received its wholesa.le power supply frOlll the City C?f CcNing1:on has beo::me l!l Partieipantr and' it 1s in -the best interests

'of the Authority, the Participants an4 OXford for Oxford to bec::r::m!

a Participant upon the .. ..

• of a Project Four Sales COntraqt.

e. ,... }Qi 'l'Bblt'.:1'QlE For and in consideration of the premises and the cOvenants and aqreements hereinafter set forth, the sufficiency which is herebyackna.'ledged, it is agresd by aDd the hereto that said Contract is hereby aaeOOed &5 Section 1. 'lhe. Authority 1s hereby to ent,er into , a' project saies with i.p.

the fom of thiS .Pro:iect Four Power Sales'Contract' with. such chanq.. as ' , , ' may be required to such contract, applicable to OJcford, arid Authority is,further authorized to provide to Oxford*

services' of Project Four in accordance with such contract, and provide that Oxford's Obligation Share of project Four 'shall Section 2. This Participant agrees, to obliqated fo+ its full CbUgatlon Sh.u-e wi thout deduction for the pro, rata pOrtion' 'assigned b:f the Authority'to Oxford: Provided, however, that the hereby agrees that it will .take all necessary action to enforce the payment of all sums due by Oxford for its Share, and this Participant

'shall receive ered!t for its pro rata . share of , such payuents.

Section 3. '!hu First P.mendnent shall becx:is& effective vben such, amendnent hubeen approved by Participants whose 1985 TranSmis-, ' sian Entitlem!nt Shares represent, in the aggregate, not less than 7St of the total Participants' Transmission Entitlement Shares for 1985: , , Provided, however, that the Author!ty rray make serviCe to OXford active to Januazy 1, 1986.

--e. .. IN WI'l'NE$S the Municipal Electric Author!t.y of ""

and the particlpa:nt have" caused this First Amendment.

of Contract to be executed 1n" thel.r corporate.

naaes by duly officers and their cOtporate seals to be hereul1to impressed and attested, all as of the date and year first elxwe wri tt:.en.. ... . . OOUD OF WMm, SDIER1GE All) LIGBT cntasSI0NER9 OF '19B crrr OF N:r!J4NM .. -/ BY: .. 1""*".* . , .. ,. .. :." . .7

.')J ., A'l'l':.LL

.....secretary (J AMENDMENT TO POWER SALES MUNICIPAL ELECTRIC AUIHORITY OF .. AND THE UNDERSIQNED PARTICIPANT

(!be ..is.made and entered into., of iamJIIY 14, 2OOS' by and betwl;en the Municipal AUthority.

of Georgia..

a'pubUc cmpcxate 8Dd politic' and a public C?OJPOlItion of the State Of Gecqja.

sometimes referred to 81 the Autboiity.

cn;atcd by the provisions of 1915 Laws 107. I\S ameaded (O.C.O.A.

§ 46-3*11 O. at seq.). and the uodenipcd .political subdivision of the S1ate Df hereiDafta' sometimes II! f:be ParticiPaat.

WITNESSETH:

WHEREAS. the and the Participant entered into a Power Sales CoDtDCt daIed. as of Octobet 1. 1975. a Fint Ainenctmmt dated as of Man:h 1. 1976. a Sec:oDd AmeDdment dated as of May 25. 1977, a ThUd Amendment dated as of FebruarY 1. 1978. a Fourth Amendment dated as of May 1. 1980. a F"dHl Amendment dated as ofNovembc:r J6, 1983. a Amendment dated as of January 1. 1986.IDd,a SeYeath daied as of May 31. 1989 (hereirla&r "Projec:t One PoWer Sales Contract");

IDd WHE.RE.As.

the Authority aDd the Participam

=tered iDto a Power Sales Comract 'd.med u of February 1.1978.a First dmd u of May 1. 1980. and a Seco¢ AmendmCDt dated as of 1anuary 1. J986 (hereinafter "Project Two POVtW s.Ies

An.l1II11I7U5w1 WHEREAS. the Autbority aDd the PBrticipant into a Power Sales Contract dated. of May 1,1980. mel aFmrtAmeDdment dated as ofll11U8rY 1.1986 (hereiDafter "Project Three Power Sales ContrIct");

aDd . ' , WHEREAS, tho Authority mel the Participant eotend into a Pow<< Comnct dated as of November '16. 1983 aDd a First Amondme:m dated 81 of JIID08lY 1. 1986 . (hereiDaAer "Project FoW' Powr:r Siles and WHEREAS, tho Authority IIDd Participant to exteIId the tam of tJ10 Project One Powt. Sales tho Project Two Power Sales Contract, the Project 'I'breo Power Siles ContrICt mel the Project Four Power Con1nct (hcreiaaftcr sometimes refe:rr= to oolleetivcly u t1m ""Power.Sales Contracts")

to the maximlDD period I1Jowcd by law; 1Dd. WHEREAS*. the Authority bu dctcmUncd that it wiD DDt extaut' mstina poermon debt, but excluding e.'xistiDg debt pertaining to wOrking c&pital ,_ nuclear .'"A;r fuol wodtiDc capital debt compoorati, beyond the cxiJting tcmi of _ Power Sales. CoIItraetI;

• WHBREAS, the Authority IDd the ParticipfDll wish to proVide for a method of allocation of the ou1pm and scMce8'and COlts reJatmg to Project 'Ilvo. Project Tb:rec BUd Project Four fur tho period of the term extaIsion of the Power Sales CoIdractI pcrtaiDjng

'M to lOCh Projceta u well u providing for lID ammdmeut to the Schedule of ObIipDOD Shares pertai:Ding to PIoject Four. NOW nIEREFORE, for aud in considemion of the pniDises mel mutual coyc:oantl BDd agreemarts hereinafter set forth, md in ord<< to provide fer certaiD ATUIIIl81a5Yl clump in the Power Sales Contracts, it is agreed by IDd betweeo. the Authority aod the Participant that the tams oftha Power SalCl8 CoDb'Ict Iball be ammdod u followa: Seedoa 1. ExteDIiOil 01 tile Term Df the Power SaJa Coaenctl.

1be Authority IDd the "ParticiPant*hereby extmd tho tcml of the Power Sllea Con1I:act5 as fonows: . (a) tc:mI of the ProjectOno Power Sales is bereby exteaded from March 1. 2024 until IUDO 1. 2954 (h=eiDafter. "Project ODe TCIID J>>siod). (b) Tho trm1 of the Project Two Power Sales CoDtract is hereby extcDded from FCbruary 1, 2028 1ID1il.JUDe I, "Project Two Term Exttmian Period"). (e) Tho tam* of the Project Three Power Sales extaJded fiom May 1, until 'UU J. 2054 (hereiDafter

'?roject Term .... Extemion Period'j. .. (d) The tc:rm of 1be Project Four Power Slles Contract.

is b=by ftom November 16. 2033 untiJ 1uoc 1. 2054 (hereiDafter "Project FOW'Tean Extc:DIiOl1 Period").

SedIo. :z. Alloca1iPD ofPrqiect Two. Pmject Tlpp and Pmiect F em. (a) Pmiect Two Section 308(a) of the Project Two Power Sales Coatnct obligates Authority to to CICb Pmject 1'wo Participant, aDd oblisates such PIrticipIIlt to. bib from tho Authority.

the output ad scmces ofProjoet Two \ued upoa the ratellDd charges established by the AuthorityPursuaut to Seetion 307(1) oCtile Project Two POVier A'TUIII'''

Sales CoDtract.

The AnlbDrity md the PllticiplDt heRby asr= that during the Project Two Term BxtcDIico P.cziod the output and acrvices and costs of Project Two shall be allocated to ead1 Project Two Participant buecl upon a paeeotago derived by. dividmg tho total paymeat8 JDIde by e;Ich Project Two Participant for debt service IDd for capital colis duriDg the mtirety of the original term of the Pmject Two POVief SIles CoD1Iact.

adjusted to present value. divided by the total paymCDtl by aU Project Two Particip811ts for debt mel capital costs.for the entirety of the original term of the Project 'two Power Sales Contract, also adjusted to present value (heRiDafter

""Project Two BilliD& Shares").

'1'he Present value calcIl1atiOD shaD be based upon a di&colml . factor equal to.the weighted averaF intetc:st of debt relating to Projed Two during the entirety afthe orisiDal tacn of Project Two. (b) Project*'I'brpo AllocaDOD.

Section 308(a) of the Project 'I'bne Power Sales Contract obJigaIal the Authority to provide to each Project Three Participant, iDd obliptea such ParticipIlDt to tate 1iom the AudloDtyr the oulpUt md services ofPIoject Tbrcc based upou thc.I1de8 aDd charges established by the Authority pursuant to Section 307(a) of the PIojeet Three Power Sales Coutract.

The Authority and the Participant hereby agree that during1bo*

Project Three Tmn BxtcDsioa Period the output lIDd services md costs of Project Three shall be allocated to eecb. Project 'Ibrec PIIl1ieipaat based upon a percentIp drUved by divictiDa the total paymCDII made by each PIoject Tbrce Participant 1br debt service IDd for capital costs dUring the eatircty of the original tam of the Project 1brcc Power Sales Contract, adjusted to present value. divided by tho total payments made by lID Project Three ParticipBDts for debt service 8Dd capital costa for the entirety of tho original tean of A"l'LIIIl J liI7IHYJ tho PIoject Tbreo POWCl' Sales Contract.

adjutod to present value, (hereinafter Three BiJliDa Shares").

'lbe pxesc:nt value calculation sbal.I be buod upcm a discount factor equal to the average weighted iDte:rest cost of debt rclatiDg to Project 'lbreo during the entirety oftbe oripw term ofPmject Three. (e) Project Four Allocatign.

Section 308(a) of the Project Four Power. Sales Contract obliptel the Authority to provide to each Project Four and oblipleS such Partic:ipaDt to take 1iom the Aw:bority.

the output IIDd servjces ofPtoject bued upon the nItes and charges established by the Authority pUlW8Dt 10 Section 307(&) of thQ PJqcct Four POWCI' Contract.

The Authori:tY ID.Cl the Particlpam hereby agree tbat during the Project Four Tenn Bxteosion Period the output IIDd services and costs of Project Four aha1l be allocated to each Pmject Four ParticiplDl based upon a perccmta&e derived by dividing the total payments made by each Project Four ParticipaDt for debt sc:rvice IUd for capital costs dming the c:D1ircty of the original term of the Project Four Power Sales CoDtract, adjusted to prescot nlue. divided by tho total paymcnu made by all Project Four Participlllltl for debt service and capital cosfI for the mtirety of the origiml iCEIll of the Pmjcet Four Power Sales Contract.

IUljUJted to preseat value. '"Project Four Billing ShaRI"). The preacut value calculation shall be bucd DpOD a diIooimt factor equal to the avc:rqe wci.gbtecl intezest cost of debt relating to FOIII' durlDg the en1irety oftbe original tam ofProjcct Four. AdditiODBlly, effective of:Novanber 16.2033, which is the expinticm date of tho original tc:nn oftbe Project Four Power Salea Contract, the Schedule of Project Four An.8I/ll"""1 Obliption Shares sball be amended so that each Project Four Participaot*s Ob1iption Share Ihal1 be equal 10 such Pu1icipant's Project FolD' BiDiDa Share. .. SeedoD 3. The Authority hereby agrees that it shaD DDt eltIaJd the tmD of 80y exia1ing gmeratioa dt;bt, exclusive of existing debt pcrtIining 10 woDiDg capital. sod nuclear fUel capibll debt components, beyond the-mllowiDg dates: exil¢ing Project One pennon debt &balI DOt be beyond Match 1. 2026; existing Project Two generation debt shall DDt be exteDded beyond Fe1mJiry 1, 2028; exiiting Pioject Three gmc:ntiOD debt shall not be ex:tcDded beyond May 1,2030; and existing Project Four gcDCl'Btion debt Ih811 Dot be*extc:DdccI beyond Novemba' 16, 2033. SedloD 4. The Power Sales Contncts as amended sbaJJ cootUme in effect and an: reaffirmed by the parties. TCIIDI Dot defined herein are to be "defined u in the Power Sales Contracts; SecdOD S. This Amc:ndmc:at sba11 become effective whm duly apprOved aDd executed .-nd dcJivered by the ParticipllDt, and. when executed BOd delivered by 1hc Authority.

The Authority wiD only execute and deliver the Amendment when it baa dt:termiDed that the Ameodment similar ameodme:ats ba.ve beeD. duly executed and delivered by each oltbe cumm 1brty-amo (49) Participlll1ts.

[SignatDrel Appear on Next Pap]

IN WlTNESS WHEREOF. the Municipal Electric Authority or Georgia bas caused this Amendment to be executed in its corporate name by its duly authorized officers and. the Authority has caused its corporate seal to be hereunto impressed and attesled; the Participant bas caused this Amendment to be executed in its corporate name by its duly authorized officers and the corporate seal to be hereWlto impressed and attested, and delivery hereof by the Authority to the Participant is hereby acknowledged, a1l of the date and year first above written. MUNICIPAL ELECTRIC AumORITY OF GEORGIA Attested:

By: ---t:: !. [SEAL]

ClTY OF ; . BY.J2 2

.

i. -IJ /

" '. .r,' .' 't, " (SEAL] 0. ... .."

Attachment Vogtle Electric Generating Plant Financial Requirements for Decommissioning Nuclear Reactors -2009 As of April 1 ,2007, Wachovia Bank was replaced as fixed income money managers by Agincourt Capital Management.

Also during calendar year 2008, Tanglewood Asset Management was bought by Novant Health, Inc, which is known as Novant Asset Management.

The money management team and primary manager has remained the same throughout, and there was no fundamental change in investment philosophy or operational capability.

Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR Enclosure City of Dalton, Georgia Dalton UTILITIES February 26, 2009 Docket U. S. Nuclear Regulatory ATTN: Document Control Washington, D.C. Vogtle Electric Generating Financial Assurance Requirements for Nuclear Power Reactors (10 CFR

Dear Ladies and Gentlemen:

Pursuant to 10 CFR 50.75(£)(1), each power reactor licensee is required report to the NRC the status of its decommissioning funding for each or part of each reactor it owns on a calendar year basis, beginning on 31, 1999, and every two years thereafter.

The Board of Water, Light Sinking Fund Commissioners of the City of Dalton, Georgia, d/b/a Utilities, hereby submits the enclosed information in accordance with CFR 50.75(£)(1) for operating licenses NPF-68 and NPF-81 issued for Electric Generating Plant Units 1 and 2, respectively.

Southern Operating Company, as the operating licensee and as an agent for the of the Vogtle Electric Generating Plant, is providing this information to NRC on behalf of Dalton Based on the information presented herein, there is reasonable assurance the funding necessary for decommissioning of the Vogtle Electric Plant, consistent with the NRC prescribed minimum set forth in 10 50.75(c), will be available on the expiration date of operating licenses 68 and Should you have any questions concerning this matter, please contact Bundros at (706) 529-1035 or email President and CEO jlptiLink 1200 VD. Parrott, Jr. Parkway " PO Box 869 " Dalton, GA 30722 .. 706.27B.1313 "706.27B.7230 Fax

• www.dutiLcom VVlldl i" PO." ,\IBI I'

Vog'tle Electric Generating The Board of Water, Light and Sinking Fund of the City of Dalton, d/b/a Dalton Ownership Percentage

-10 CFR 50.75(f)(1)

Requirement Unit 1 Unit 2 1 The NRC minimum decommissioning estimate, pursuant to 10 CFR 50.75(b) and (c). 1 $ 6,449,000 2 $ 6,449,000 2 2 The amount accumulated at the end of the calendar year preceding the date of the report for items included in 10 CFR 50.75(b) and (c). $ 11,238,613

$ 11,498,496 3 A schedule of the annual amounts remaining to be collected; for items in 10 CFR 50.75(b) and (c). See Schedule in Attachment 1 See Schedule in Attachment 1 4 The assumptions used regarding: (a) rates of escalation in decommissioning costs; (b) rates of earnings on decommissioning funds; (c) real rate of return; and (d) rates of other factors used in funding projections.

2.93% 6.68% 3.75% N/A 2.93% 6.68% 3.75% N/A 5 Any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v).

None None 6 Any modifications to a licensee's current method of providing financial assurance occurring since the last submitted report. None None 7 Any material changes to trust agreements.

None None NOTES: The NRC formulas in section 10 CFR 50.75(c) include only those decommissioning costs incurred by licensees to remove a facility or site safely from service and reduce residual radioactivity to levels that permit: (1) release of the property for unrestricted use and termination of the license; or (2) release of the property under restricted conditions and termination of the license. The cost of dismantling or demolishing non-radiological systems and structures is not included in the NRC decommissioning cost estimates.

The costs of managing and storing spent fuel on-site until transfer to DOE are not included in the cost formulas. This number is based on NUREG-1307, Rev. 13, for the burial factor (Option 2) and the December 2007 values for labor and energy factors.

The Water, Light and Sinking Fund Commission of The City of Dalton, GA DIBIA Dalton Utilities Nuclear Decommissioning Funds Investment Balances December 31, 2008 (J) n ;r (1) Bank of New York Carrvina Value Market Value Par Value Carrvina Value Wachovia Bank Market Value Par Value Carrvi!'la Valt.le Total Funds Market Par Value Q. c: CD Plant Hatch 0...-::r Unit 1 6,482,222 10,345,240 14,100,000 10,719,729 9,246,584 7,151,765 17,201,951 19,591,824 21,251,765 (1) :t> Unit 2 5,610,779 10,296,091 18,200,000 9,278,613 9,202,655 9,231,357 14,889,391 19,498,746 27,431,357 j j c: Total 12,093,001 20,641,331 32,300,000 19,998,342 18,449,240 16,383,122 32,091,343 39,090,570 122 -Q) Plant Voatle Unit 1 2,711,935 5,934,422 12,200,000 4,484,761 5,304,191 6,188,052 7,196,696 11,238,613 18,388,052 3 Q)o n c: ;r j 3 Cil"(1);:ca (1)_ Unit 2 2,678,965 6,071,650 13,000,000 4,430,237 5,426,846 6,593,826 7,109,202 11,498,496 19,593,826 3 !. Total 5,390,900 12,006,072 25,200,000 8,914,997 10,731,038 12,781,878 14,305,898 22,737,109 37,981,878 j j CO-0 Grand Total 17,483,901 32,647,402 57,500,000 28,913,340 29,180,278 29,165,000 46,397,240 61,827,680 86,665,000 tT (1) C') CD n-(1) Q. F:\2008 Nuclear Decomm Funds-NRC Filing (2) 2/26/2009