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HomeMy WebLinkAboutReso 95-199 - Entering into contract No 94-SAO-00004 with US Dept of Energy, Western Area Power Admin, for Transmission Serv to the COR Central Valley Project � , � ., �. � 4 RESOLUTION NO. 95-� A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING ENTERING INTO CONTRACT NO. 94-SAO-00004 WITH THE iJNITED STATES DEPARTMENT OF ENERGY, WESTERN AREA POWER ADMINISTRATION, FOR TRANSMISSION SERVICE TO THE CITY OF REDDING (CENTRAL VALLEY PROJECT, CALIFORNIA). WHEREAS, the Western Area Power Administration (Western) operates an electric system, in conjunction with the Central Valley Project; and WHEREAS, Western is furnishing electric services to Redding under the provisions of Contract Nos. DE-MS65-83WP59008 dated January 16, 1984; DE-MI65-86WP59059 dated December 23, 1986; and 93-SAO-30008 dated October 19, 1993, as they may be amended and supplemented; and WHEREAS, Redding is a member of the Transmission Agency of Northern California, which is a Participant in the California-Oregon Transmission Project (COTP); and WHEREAS, Redding and Western entered into Contract No. 88-SAO-40001 dated August 19, 1988 (current contract), under which Western agreed to provide bi-directional firm transmission service to Redding following completion of the COTP and written notification from Redding to Western; and WHEREAS, Redding desires, and Western is willing to provide, under the terms of proposed Contract No. 94-SAO-00004 (new contract) which is attached hereto and made a part hereof, Firm Transmission Service and Nonfirm Transmission Service between Redding's points of interconnection with Western and Western's other points of interconnection as agreed; and WHEREAS, the new contract provides up to 139MW of transmission capacity (versus 90MW � in the current contract), and includes significant improvements and cost savings over the current contract; and �(� �l WHEREAS, if the City and Western enter into proposed Contract No. 94-SAO-00004, current \ Contract No. 88-SAO-40001 will be terminated as set forth in the new contract; and � � WHEREAS, in order to facilitate Redding's additional need for transmission service from , � .� � � •--' Western for COTP access and increase Redding's operating flexibility, the Electric Department has concluded that the proposed new contract is more responsible to the needs of the City's Electric Utility than is the current contract; and WHEREAS, Redding's Federal Energy Regulatory Commission legal counsel and the Electric Utility's consultant on this matter have reviewed the new contract and concur with staff's recommendation; NOW, THEREFORE, IT IS HEREBY RESOLVED that the City Council of the City of Redding approves entering into Contract No. 94-SAO-00004 between the City and the United States Department of Energy, Western Area Power Administration, Central Valley Project, California, for Transmission Service to the City of Redding. BE IT FURTHER RESOLVED that the Mayor is authorized to sign the Contract on behalf of the City; and the City Clerk is directed to attest his signature and impress the official seal of the City. I HEREBY CERTIFY that the foregoing Resolution was introduced, read, and adopted at a regular meeting of the City Council on the �5 th day of Augus t , 1995, by the following vote: AYES: COUNCIL MEMBERS: P. Anderson, R. Anderson, McGeorge, Murray and Kehoe NOES: COUNCIL MEMBERS: None ' ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None DAVID . HOE, or ATTEST: FORM APPROVED: s " �i �� � ' � �st� �� S ; CONNIE STROH�A , City Clerl� W. LEONARD WINGATE, City Attorney 2 _ ` � � Contract No. 94-SAO-00004 iJNITED STATES DEPARTMENT OF ENERGY WESTERN AREA POWER ADNIIl�TISTRATION CENTRAL VALLEY PROJECT, CALIFORNL4 CONTRACT FOR TRANSMISSION SERVICE TO THE CITY OF REDDING, CALIFORNIA � � � Contract No. 94-SAO-00004 UIVITED STATES DEPARTMENT OF ENERGY WESTERN AREA POWER ADMINISTRATION CENTRAL VALLEY PROJECT, CALIFORNIA CONTRACT FOR TRANSMISSION SERVICE TO THE CITY OF REDDING, CALIFORNIA Table of Contents Section pa�e 1. PREAMBLE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2. EXPLANATORY RECITALS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 3. AGREEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 4. TERMIlVATION OF PRIOR AGREEMENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 5. TERM OF CONTRACT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 6. DEFINITIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 7. CVP TRANSMISSION SERVICE PROVIDED TO REDDING BY WESTERN . . . . . 5 8. COTP TRANSMISSION SERVICE PROVIDED TO REDDING BY WESTERN . . 11 9. COMPENSATION TO WESTERN . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 10. TRANSMISSION LOSSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 11. SCHEDULING OF TRANSMISSION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 12. ADVERSE IlVIl'ACTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 13. DISPU'TE RESOLUTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 14. EXHIBITS MADE PART OF CONTRACT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 15. GENERAL POWER CONTRACT PROVISIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 16. ENFORCEABII.,ITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 17. JUDGMENTS AND DETERMINATIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 RESOLUTION SCHEDULE OF RATE FOR FIRM TRANSMISSION SERVICE SCHEDULE OF RATE FOR NONFIRM TRANSMISSION SERVICE GENERAL POWER CONTRACT PROVISIONS (January 3, 1989) EXHIBIT A (Designation of Points of Receipt, Points of Delivery and Transmission Service) EXHIBIT B (COTP Transmission Service) EXHIBIT C (Rates for COTP Transmission Service) i � � 1 Contract No. 94-SAO-00004 2 LJNITED STATES DEPARTMENT OF ENERGY 3 WESTERN AREA POWER ADNIIlVISTRATION CENTRAL VALLEY PROJECT, CALIFOIZNIA 4 CONTRACT FOR TRANSMISSION SERVICE TO 5 THE CITY OF REDDING, CALIFORNIA 6 7 1. PREAMBLE: This Contract is made this_day of , 1995, pursuant to 8 the Acts of Congress approved June 17, 1902 (32 Stat. 388); August 26, 1937 (50 Stat. 844, 9 850); August 4, 1939 (53 Stat. 1187); August 12, 1955 (69 Stat. 719); October 23, 1962 (76 Stat. 10 1173, 1191); August 4, 1977 (91 Stat. 565); and Acts amendatory or supplementary to the 11 foregoing Acts; between the LJNITED STATES OF AMERICA, acting through the 12 Administrator, WESTERN AREA POWER ADNIINISTRATION, Department of Energy, 13 hereinafter called Western, represented by the officer executing this Contract or a duly appointed 14 successor hereinafter called the Contracting Officer; and the CITY OF REDDING, 15 CALIFORIVIA, a municipal corporation duly organized, created and existing under and by virtue 16 of the laws of the State of California, hereinafter called Redding or the Contractor, its successors 17 and assigns; each sometimes hereinafter individually called Party, and both sometimes 18 hereinafter collectively called the Parties. 19 20 2. EXPLANATORY RECITALS: 21 2.1 Western operates an Electric System, in conjunction with the Central Valley 22 Project(CVP). 23 24 2.2 Western is furnishing electric service to Redding under the provisions of Contract 25 No. DE-MS65-83WP59008, dated January 16, 1984; Contract No. DE-MI65-86WP59059, 26 dated December 23, 1986; and Contract No. 93-SAO-30008, dated October 19, 1993, as they 27 may be amended and supplemented. 28 /// � � � 1 2.3 Redding is a member of the Transmission Agency of Northern California, which 2 is a Participant in the California-Oregon Transmission Project(COTP). 3 4 2.4 Redding and Western entered into Contract No. 88-SAO-40001, dated August 19, 5 1988, under which Western agreed to provide bi-directional firm transmission service to 6 Redding following completion of the COTP and written notification from Redding to 7 Western. 8 9 2.5 Redding desires to terminate Contract No. 88-SAO-40001 and obtain 10 transmission service from Western under the terms and conditions of this Contract. 11 12 2.6 Redding desires, and Western is willing to provide, under the terms of this 13 Contract, Firm Transmission Service and Nonfirm Transmission Service between 14 Redding's points of interconnection with Western and Western's other points of 15 interconnection as agreed. 16 17 3. AGREEMENT: 18 The Parties agree to the terms and conditions set forth herein. 19 20 4. TERNIINATION OF PRIOR AGREEMENTS: 21 Contract No. 88-SAO-40001 is hereby terminated as of the effective date of this Contract. 22 23 5. TERM OF CONTRACT: 24 5.1 This Contract shall become effective on the first day of the first month following 25 its execution and shall remain in effect until forty(40)years from the date of its 26 execution, unless terminated sooner as provided herein. Either Party may terminate this 27 Contract by giving the other Party five (5)years advance written notice of the requested 28 /// 2 I � � 1 termination date; Provided, That neither may provide its notice of termination prior to 2 December 31, 1999. 3 4 5.2 In the event this Contract terminates prior to the termination of the COTP 5 Participation Agreement,the Parties shall, in good faith, negotiate a transmission contract 6 for continued transmission service on Western's transmission system that will allow 7 Redding to utilize its entitlement of transmission on the COTP on a continuing basis. 8 9 6. DEFIIVITIONS: 10 6.1 "COTP" shall mean the California-Oregon Transmission Project. 11 12 6.2 "COTP Participation Agreement" shall mean the COTP Interim Participation 13 Agreement executed by the Transmission Agency of Northern California, Western, and 14 other participants in the COTP on September 30, 1991, or its long-term successor 15 agreement. 16 17 6.3 "Electric System" shall mean all properties and assets that are owned by any 18 entity, including any interests in joint powers agency facilities, such as the COTP, and 19 that are used for or pertain to the generation, transmission,transformation, or distribution 20 of electric Power, including all additions, replacements, extensions, expansions, 21 improvements, and betterments thereto, and equipment associated therewith. To the 22 extent an entity is not the sole owner of an asset or property, only that entiTy's ownership 23 or entitlement interest in such asset or property shall be considered to be part of its 24 Electric System. 25 26 6.4 "Firm Transmission Service" shall mean Long-Term Firm Transmission Service 27 and/or Short-Term Firm Transmission Service. 28 /// 3 � � � 1 6.5 "Long-Term Firm Transmission Service" shall mean that capacity on Western's 2 Electric System which is available continuously for transmission of non-CVP power 3 under the terms of this Contract except for outages for repair or scheduled maintenance, 4 emergencies or uncontrollable forces. 5 6 6.6 "Modification" shall mean the connection of new generating facilities that have a 7 generating capability of at least 25 MW to a Party's Electric System (but not including 8 those installed or under construction upon the effective date of this Contract), new 9 transmission lines connected to or interconnections between a Party's Electric System and 10 another Electric System, major unforecasted load additions (a unit load greater than 25 11 MW in one year and not part of forecasted load growth), or other significant changes to 12 the facilities of a Party's Electric System. 13 14 6.7 "Nonfirm COTP Transmission Service" shall mean transmission service available 15 over Western's entitlement in the COTP to the extent that the transmission capacity 16 exists. The service can be interrupted or curtailed at the discretion of Western. 17 18 6.8 "Nonfirm Transmission Service" shall mean transmission service available on 19 Western's Electric System to the extent that the transmission capacity exists. The service 20 can be interrupted or curtailed at the discretion of Western. 21 22 6.9 "Point(s) of Delivery" shall mean the point(s) specified in Exhibit A or B at which 23 Western will deliver Power to Redding from Western's Electric System. 24 25 6.10 "Point(s) of Receipt" shall mean the point(s) specified in Exhibit A or B at which 26 Western will accept Power from Redding into Western's Electric System. 27 28 6.11 "Power" shall mean capacity and associated energy. 4 ' � � 1 6.12 "Prudent Utility Practice" shall mean those practices, methods and procedures, as 2 modified from time to time, that are currently and commonly used by electric utilities to 3 design, engineer, select, construct, operate, and maintain electric power facilities and 4 equipment, including transmission facilities, dependably, reliably, safely, efficiently, and 5 economically, with due regard to the state of the art in the electric power industry, as 6 applied within the area of the Western Systems Coordinating Council. 7 8 6.13 "Short-Term Firm COTP Transmission Service" shall mean that capacity on 9 Western's entitlement in the COTP that is available continuously on a monthly basis for 10 any period of time not to exceed six (6)months for transmission of non-CVP power 11 under the terms of this Contract except for outages for repair or scheduled maintenance, 12 emergencies, or uncontrollable forces. 13 14 6.14 "Short-Term Firm Transmission Service" shall mean that capacity on Western's 15 Electric System that is available continuously on a monthly basis for a period of time not 16 to exceed one(1)year for transmission of non-CVP power under the terms of this 17 Contract except for outages for repair or scheduled maintenance, emergencies, or 18 uncontrollable forces. 19 20 7. CVP TRANSMISSION SERVICE PROVIDED TO REDDING BY WESTERN: 21 7.1 Western shall provide to Redding Long-Term Firm Transmission Service between 22 the Point(s)of Delivery and Receipt as listed in Exhibit A. Western will accept Power 23 scheduled by Redding at the Point(s) of Receipt in amounts up to the applicable amounts 24 of Long-Term Firm Transmission Service specified in Section 2.1 of E�ibit A and will 25 deliver said Power to the Point(s) of Delivery, less transmission losses as set forth in 26 E�ibit A. 27 /// 28 /// 5 �' • 1 7.2 Western shall reserve and provide for Redding's use, and Redding shall pay for, 2 the quantities of Long-Term Firm Transmission Service designated for specific time 3 periods as set forth in Section 2.1 of E�chibit A. Redding shall be entitled to increase the 4 quantity of Long-Term Firm Transmission Service for any applicable time period in 5 Section 2.1 of Exhibit A through May 31, 2000, by providing Western at least one (1) 6 year advance written notice of the quantity of Long-Term Firm Transmission Service 7 requested for such prospective time period; Provided, That the minimum quantity of 8 Long-Term Firm Transmission Service in any time period shall be the applicable 9 quantities of Long-Term Firm Transmission Service set forth in Section 2.1 of E�chibit A 10 and the maximum quantity of Long-Term Firm Transmission Service in any time period 11 shall not exceed the quantity set forth in Section 2.2 of Exhibit A, unless otherwise 12 agreed to by Western. Redding also may request a decrease in the quantity of Long-Term 13 Firm Transmission Service in Section 2.1 of Exhibit A for any applicable time period 14 through May 31, 2001, and Western will enter into good faith negotiations with Redding 15 to accommodate such request. Whenever the quantity of Long-Term Firm Transmission 16 Service under this Section 7.2 is modified, the new quantity shall supersede any previous 17 quantity of Long-Term Firm Transmission Service set forth in Section 2.1 of Exhibit A. 18 Western shall revise E�chibit A to reflect the revised Long-Term Firm Transmission 19 Service. 20 21 73 In addition to transmission service provided pursuant to Section 7.2, prior to 22 June 1, 2001, Redding may request in writing that Western provide a quantity of 23 transmission service that is greater than the amount designated for any applicable time 24 period as set forth in Section 2.1 of E�ibit A. Western, in its sole discretion, may agree 25 to provide Long-Term Firm Transmission Service or Nonfirm Transmission Service as 26 provided for below. 27 /// 28 /// 6 � � 1 7.3.1 If Redding requests, and Western elects to provide, Long-Term Firm 2 Transmission Service in a quantity greater than the applicable amount set forth in 3 Section 2.1 of E�ibit A, such greater quantity of Long-Term Firm Transmission 4 Service shall supersede the previous quantity of Long-Term Firm Transmission 5 Service set forth in Section 2.1 of E�ibit A. Redding shall remain obligated for 6 this modified quantity of Long-Term Firm Transmission Service beginning with 7 the month in which such greater quantity of Long-Term Firm Transmission 8 Service is provided until: (1) superseded by a greater quantity of Long-Term Firm 9 Transmission Service as provided for in Exhibit A; (2) superseded by a different 10 quantity of Long-Term Firm Transmission Service in accordance with this 11 Section 7.3.1 or Sections 7.2, 7.3.3, 7.4, 7.5, or 7.6; or(3)the Contract terminates, 12 as applicable. Western shall promptly revise E�chibit A to reflect the modified 13 quantity of Long-Term Firm Transmission Service provided to Redding. 14 15 7.3.2 If Redding requests, and Western elects to provide,Nonfirm 16 Transmission Service for such greater quantity, such greater quantity of Nonfirm 17 Transmission Service and its period of availability shall be confirmed by 18 Western's dispatchers. Redding's dispatchers may use such Nonfirm 19 Transmission Service to schedule energy at the Point(s) of Receipt specified in 20 E�thibit A. 21 22 73.3 If, in any month, Redding's use of Western's transmission system exceeds 23 its rights to transmission service under Section 7.3 without Western's consent to 24 provide such additional transmission service, then Western may deem such 25 greater use of Western's transmission system to be an unauthorized use of 26 Western's transmission system and shall charge Redding for such unauthorized 27 use as provided for in Section 9.2; Excent, That Redding may request that such 28 additional transmission service be deemed Long-Term Firm Transmission 7 � � 1 Service. If Western agrees and deems such greater use of its transmission system 2 to be Long-Term Firm Transmission Service, Redding shall be obligated for such 3 additional Long-Term Firm Transmission Service in accordance with the 4 provisions of Section 7.3.1 above. 5 6 7.4 For the period of time after June l, 2001, upon not less than a one (1) year advance 7 written notice given by Redding to Western, Redding may request a change in the 8 quantity of Long-Term Firm Transmission Service as set forth in E�ibit A. In addition, 9 commencing on June 1, 2001, Redding may request Short-Term Firm Transmission 10 Service with a minimum advance notice of two (2) days unless otherwise agreed to by 11 Western's dispatchers, or Redding may request Nonfirm Transmission Service. Western, 12 in its sole discretion, may agree to provide a greater quantity of Long-Term Firm 13 Transmission Service or such requested quantities of Short-Term Firm Transmission 14 Service or Nonfirm Transmission Service, as described below. Western agrees to 15 provide a lesser quantity of Long-Term Firm Transmission Service, also as described 16 below. 17 18 7.4.1 If Western elects to provide Long-Term Firm Transmission Service for 19 such greater quantity or Redding requests a lesser quantity of Long-Term Firm 20 Transmission Service, such modified quantity shall supersede the previous 21 quantity of Long-Term Firm Transmission Service set forth in Sections 2.1 and 22 2.2 of Exhibit A and shall remain Redding's Long-Term Firm Transmission 23 Service for the term of this Contract unless such quantity is subsequently 24 modified in accordance with this Section 7; Provided, That in no event shall such 25 modified quantity be provided for less than a twelve (12)month period. Western 26 shall promptly revise Exhibit A to reflect the modified quantiiy of Long-Term 27 Firm Transmission Service. 28 /// g . � • - 1 7.4.2 If Redding requests, and Western elects to provide, Short-Term Firm 2 Transmission Service, such quantity of Short-Term Firm Transmission Service 3 and the period of time Western will provide such service shall be confirmed in 4 writing by Western. 5 6 7.4.3 If, based on Redding's request, Western makes Nonfirm Transmission 7 Service available, such quantity of Nonfirm Transmission Service and its period 8 of availability shall be confirmed by Western's dispatchers. Redding's dispatchers 9 may use such Nonfirm Transmission Service to schedule energy at the Point(s) of 10 Receipt specified in E�chibit A. 11 12 7.4.4 If, in any month, Redding's use of Western's transmission system exceeds 13 its rights to transmission service under Section 7.4 without Western's consent to 14 provide such additional transmission service,then Western may deem such 15 greater use of Western's transmission system to be an unauthorized use of 16 Western's transmission system and shall charge Redding for such unauthorized 17 use as provided for in Section 9.2; Excent, That Redding may request that such 18 additional transmission service be deemed Long-Term Firm Transmission 19 Service, notwithstanding the notice requirements in Section 7.4. If Western 20 agrees and deems such greater use of its transmission system to be Long-Term 21 Firm Transmission Service, Redding shall be obligated for such additional Long- 22 Term Firm Transmission Service for a period of one (1)year. Western will revise 23 Exhibit A to reflect the revised Long-Term Firm Transmission Service. 24 25 7.5 If, as provided in the COTP Participation Agreement,the California Department 26 of Water Resources chooses to exercise its right to purchase up to 6.0417% of the COTP 27 transfer capability,thereby causing Redding's share of COTP transfer capability to be 28 reduced to some lesser amount, Redding shall have the right,within ninety(90)days of 9 � • 1 the date of reduction of its COTP transfer capability,to reduce its corresponding then- 2 existing obligation to purchase Long-Term Firm Transmission Service pursuant to this 3 Contract by up to 6.0417%. 4 5 7.6 If Redding requests an additional Point of Receipt or Delivery, Redding shall 6 provide, at its sole expense, any facilities not provided by Western but determined by 7 Western to be necessary for the establishment of said Point of Receipt or Delivery; 8 Provided, That Western shall not establish such additional Point of Receipt or Delivery 9 for Redding until the necessary funds and facilities are provided by Redding. Upon 10 completion, E�chibit A will be modified to reflect any new Point(s) of Delivery or 11 Receipt. 12 13 7.7 The applicable amounts of capacity specified in E�ibit A may be scheduled by 14 Redding simultaneously on a bi-directional basis; Provided, That at no time shall either 15 Redding's scheduled Power from Western under this Contract or to Western under this 16 Contract exceed the applicable quantities of Firm Transmission Service provided 17 pursuant to Sections 7.2, 7.3, or 7.4. If, at any time, Western determines that there is not 18 adequate transmission capacity available on its transmission system to provide 19 transmission service to Redding due to: (1) outages or emergencies out of Western's 20 control; or(2)heavy hydroelectric generation in Northern California,then Western may 21 request Redding to modify or curtail its schedule of internally generated Power from 22 Redding to Western hereunder. In such event, Redding shall cooperate and adjust its 23 Power schedules as directed by Western; Provided, That Western shall make best efforts, 24 in its judgment,to restore such transmission service to Redding as soon as is possible. 25 26 7.8 Western's Electric System shall be operated and maintained in accordance with 27 Prudent Utility Practice to minimize interruptions of service to Redding. 28 /// io . • 1 7.9 Nothing in this Contract shall be construed as requiring Western to deliver Power 2 to Redding at any time when such Power is not received by Western at Point(s) of 3 Receipt specified in E�chibit A herein. 4 5 7.10 Western shall at all times have the right to use any portion of its transmission 6 system capacity reserved for, but not being used by, Redding. Western reserves the right 7 to use such capacity to provide transmission service to others during periods when 8 Redding does not schedule use of such capacity. Such transmission service shall be 9 interrupted by Western if Western determines it is necessary in order to provide the 10 applicable quantity of Firm Transmission Service to Redding in accordance with 11 Sections 7.2, 7.3, or 7.4. 12 13 8. COTP TRANSMISSION SERVICE PROVIDED TO REDDING BY WESTERN: 14 8.1 Redding may request that Western provide Short-Term Firm COTP Transmission 15 Service to Redding. Western may, at its sole discretion, agree to provide such Short- 16 Term Firm COTP Transmission Service as provided below. 17 18 8.1.1 If Redding requests Short-Term Firm COTP Transmission Service, it 19 shall notify Western at least forty-eight(48)hours in advance, unless a shorter 20 notice period is agreed to by Western's dispatchers, of the quantity it desires and 21 the period of time it is desired and Western will determine if Short-Term Firm 22 COTP Transmission Service is available to meet Redding's request. If Western 23 determines that Short-Term Firm COTP Transmission Service is available,the 24 quantity of Short-Term Firm COTP Transmission Service to be provided and the 25 period of time Western will provide such service will be confirmed in writing by 26 Western. 27 /// 28 /// , t� � . 1 8.1.2 Short-Term Firm COTP Transmission Service provided to Redding shall 2 be at the Point(s) of Receipt and Delivery in E�ibit B. Western will accept 3 Power scheduled by Redding at the Point(s) of Receipt up to the quantity of 4 Short-Term Firm COTP Transmission Service agreed upon in writing by the 5 Parties and will deliver said Power to the Point(s) of Delivery in the quantities 6 received, less transmission losses as set forth in Exhibit B. 7 8 8.1.3 The applicable amounts of transmission capacity provided by Western in 9 accordance with Section 8.1.1 may be scheduled by Redding simultaneously on a 10 bi-directional basis; Provided, That at no time shall either Redding's scheduled 11 imports into Western's transmission system from the COTP under this Contract 12 or exports out of Western's transmission system to the COTP under this Contract 13 exceed the quantity of Short-Term Firm COTP Transmission Service and/or 14 Nonfirm COTP Transmission Service provided hereunder. 15 16 8.1.4 If, at any time when Western is providing Short-Term COTP Firm 17 Transmission to Redding, Western determines that there is not adequate 18 transmission capability available to provide Short-Term Firm COTP 19 Transmission Service to Redding due to outages or emergencies out of Western's 20 control,then Redding agrees not to utilize Short-Term Firm COTP Transmission 21 Service during such time; Provided, That Western shall make best efforts to 22 restore such service to Redding as soon as is possible. Western reserves the right 23 to curtail any and all Short-Term Firm COTP Transmission Service schedules as 24 necessary in accordance with Prudent Utility Practices in the event of outages or 25 emergencies beyond the control of Western. 26 27 8.1.5 Western shall at all times have the right to use any portion of the 28 transmission system capacity reserved for Short-Term Firm COTP Transmission 12 • • 1 Service for Redding, but not being used by Redding. Western reserves the right to 2 grant the use of such capacity to others on an interruptible basis during periods 3 when such capacity is not being used by Redding. 4 5 8.2 Redding may request that Western provide Nonfirm COTP Transmission Service 6 to Redding. Western may, at its sole discretion, agree to provide such Nonfirm COTP 7 Transmission Service. If Western determines that Nonfirm COTP Transmission Service 8 is available, the quantity thus provided and its period of availability shall be confirmed by 9 Western's dispatchers. If Western makes Nonfirm COTP Transmission Service available, 10 Redding's dispatchers shall schedule energy at the Point(s) of Receipt and Delivery 11 specified in Exhibit B; Provided, That at no time shall either Redding's scheduled imports 12 into Western's transmission system from the COTP under this Contract or exports out of 13 Western's transmission system to the COTP under this Contract exceed the quantity of 14 Nonfirm COTP Transmission Service andlor Short-Term Firm COTP Transmission 15 Service provided hereunder. 16 17 8.3 Nothing in this Contract shall be construed as requiring Western to deliver Power 18 on Redding's behalf at any time when such Power is not received by Western at Point(s) 19 of Receipt specified in Exhibit B hereto. 20 21 9. COMPENSATION TO WESTERN: 22 9.1 For Firm Transmission Service provided hereunder, Western shall charge 23 Redding in accordance with the Schedule of Rate for Firm Transmission Service (CV- 24 FT2) or its successor, attached hereto and made a part hereof. Such charges will be 25 applied monthly to the applicable quantity of Long-Term Firm Transmission Service 26 specified in the Points of Receipt column in Section 2.1 of Exhibit A as amended from 27 time-to-time in accordance with this Contract, as well as any Short-Term Firm 28 Transmission Service provided pursuant to Section 7.4. 13 ' • • 1 9.2 For any unauthorized use of Western's transmission system during a month, 2 Western shall charge Redding, based on the type of transmission service provided,the 3 applicable penalty rate set forth in the Schedule of Rate for Firm Transmission Service 4 (CV-FT2) or in the Schedule of Rate for Nonfirm Transmission Service (CV-NFT2), or 5 their successors. Unauthorized use of Western's transmission system shall mean the use 6 of capacity on Western's transmission system by Redding in excess of Redding's then- 7 existing contractual right(s)to transmission service, as set forth in the Contract. 8 9 9.3 When Redding is receiving Nonfirm Transmission Service pursuant to 10 Sections 7.3 or 7.4 hereunder, Western shall charge Redding in accordance with the 11 Schedule of Rate for Nonfirm Transmission Service (CV-NFT2), or its successor, 12 attached hereto and made a part hereof. 13 14 9.4 For Short-Term Firm COTP Transmission Service provided hereunder, Western 15 shall charge Redding in accordance with the rate then in effect for Firm COTP 16 Transmission Service as specified in Exhibit C, or under any subsequent applicable rate 17 schedule promulgated by Western for Firm COTP Transmission Service. 18 19 9.5 For Nonfirm COTP Transmission Service provided hereunder, Western shall 20 charge Redding in accordance with the rate then in effect for Nonfirm COTP 21 Transmission Service as specified in Exhibit C, or under any subsequent applicable rate 22 schedule promulgated by Western for Nonfirm COTP Transmission Service. 23 24 9.6 Redding shall provide a report to Western within five (5) days after the end of 25 each billing month of the hourly amounts of Nonfirm Transmission Service or Nonfirm 26 COTP Transmission Service utilized. 27 /// 28 /// 14 . • 1 9.7 Billing and payment for transmission service provided, and for unauthorized use 2 of Western's transmission system, pursuant to this this Contract shall be in accordance 3 with the Billing and Payment provisions of the General Power Contract Provisions 4 attached hereto and made a part hereof. 5 6 10. TRANSMISSION LOSSES: 7 If, based upon operating experience and technical studies, Western determines that its system 8 transmission losses differ from the loss percentages set forth in E�chibits A and B herein, Western 9 reserves the right to update Eachibits A and B to reflect the revised loss percentage. 10 Notwithstanding the provisions in Section 5, Redding, by written notice to Western within thirty 11 (30) days after the effective date of the revised loss percentage, may elect dispute resolution 12 under Section 13 herein, or to terminate this Contract. Said termination shall be effective on the 13 last day of the billing period requested by Redding not more than two (2) years after the effective 14 date of the revised loss percentage(s). The revised loss percentage(s) shall be applicable for 15 service provided by Western regardless of whether Redding exercises the option to terminate the 16 Contract. 17 18 11. SCHEDULING OF TRANSMISSION: 19 The requirements of Sections 11.1 through 11.3 shall become effective in the event that 20 Amendment No. 3 to Contract No. DE-MS65-83WP59008 between Western and Redding 21 terminates without a successor agreement that includes scheduling procedures at least as detailed 22 as those in Sections 11.1 through 113 below. 23 24 11.1 Redding shall submit hourly schedules by 1:00 p.m. to Western of the 25 transmission capacity required on Western's transmission system or on the COTP for the 26 following day. Weekend and Monday schedules shall be submitted by 1:00 p.m. on the 27 preceding Friday. 28 /// 15 � • • 1 11.2 Redding may change its schedule of the transmission capacity required on 2 Western's transmission system or on the COTP prior to each hour to be effective during 3 the subsequent hour. Changes to the schedule shall be provided to Western no later than 4 twenty minutes before each hour; Provided, That no changes to the schedule shall be 5 allowed during the current hour, and no after-the-fact schedule changes by either Party 6 shall be allowed, unless otherwise agreed by Western, or as otherwise required by 7 emergency conditions. 8 9 11.3 Schedule changes shall be transmitted by electronic communication or as 10 otherwise agreed by the Parties. The final schedule shall be the schedule as adjusted 11 pursuant to Section 11.2. 12 13 12. ADVERSE IMPACTS: 14 12.1 Each Party, at its own expense or as agreed with the other Pariy, may make 15 Modifications to any portion of its Electric System. In doing so, such Party(the 16 "Modifying Party") shall endeavor to minimize adverse impacts to the Electric System of 17 the other Party. 18 19 12.2 T'he following provisions shall be applicable to the Parties with respect to 20 Modifications to their Electric Systems. 21 22 12.2.1 If, at any time during the term of this Contract,the Modifying Party 23 determines that a Modification is necessary or appropriate, and such Modification 24 will have an adverse impact on the other Party's Electric System,then the 25 Modifying Party shall notify the other Party as soon as the planned Modification 26 is known, but not less than fifteen(15)months before the proposed 27 commencement of the construction of the Modification. Such notification shall 28 include a description of the proposed Modification and an assessment of its 16 � • 1 impacts, including any power system studies performed. The Parties shall 2 cooperate and provide each other with the information necessary to conduct 3 further studies. Each Party shall bear the costs of any such studies it performs 4 with respect to the proposed Modification. In accordance with Section 17, the 5 non-Modifying Pariy will determine, within ninety(90) days after the notification 6 or completion of any necessary studies or, in any event, within 180 days after the 7 notification, if changes or additions are required to be made to its Electric System 8 or to the Modifying Party's Electric System to maintain the reliability or control of 9 the non-Modifying Party's Electric System. If the Modifying Party does not agree 10 with the determination of the non-Modifying Party with respect to required 11 changes or additions,then the provisions of Section 13 shall be applicable. 12 13 12.2.2 If changes or additions are required to the non-Modifying Party's Electric 14 System pursuant to Section 12.2.1 to mitigate or eliminate a material adverse 15 impact to that Electric System when such adverse impact is entirely or partially 16 the direct result of the Modification, then such changes or additions may be made 17 by the non-Modifying Party to its Electric System and the Modifying Party shall 18 be obligated to pay in advance for all reasonable costs, or a proportionate share of 19 all reasonable costs, of such changes and additions; Excent, That if Western is the 20 Modifying Party, Redding shall instead bill Western for such costs after 21 completion of the changes or modifications. The non-Modifying Party shall 22 notify the Modifying Party in writing of the necessary changes or additions and 23 the estimated costs to be paid by the Modifying Party. In the event the Modifying 24 Party is Redding and it fails to advance its payment for the costs of such changes 25 and additions, and Redding chooses to continue with its Modification,then 26 Western shall have the right to make all such changes and/or additions to its 27 Electric System as necessary to mitigate or eliminate the adverse impact and 28 Redding shall be obligated to pay for such changes andlor additions. In the event 17 � • 1 the Modifying Party is Western and it fails to agree to pay the costs of such 2 changes and additions, and Western chooses to continue with its Modification, 3 then Redding shall have the right to make all such changes and/or additions to its 4 Electric System as necessary to mitigate or eliminate the adverse impact and 5 Western shall be obligated to pay for such changes and/or additions. Any 6 decision by the non-Modifying Party to bill the Modifying Party for system 7 changes or additions under this Section will be accompanied by a technical 8 justification and an analysis of alternatives. 9 10 12.2.3 If changes or additions are required to be made to a Modifying Party's 11 Electric System pursuant to Section 12.2.1 to mitigate or eliminate a material 12 adverse impact to a non-Modifying Party's Electric System when such material 13 adverse impact is entirely or partially the direct result of the Modification, then 14 such changes or additions shall be made by the Modifying Party to its Electric 15 System and the Modifying Party shall be obligated to pay for the costs of such 16 changes or additions. 17 18 12.2.4 If, at any time during the term of this Contract, the non-Modifying Party 19 determines that a Modification was made by the Modifying Party without 20 notifying the non-Modifying Party, Sections 12.2.2 and 12.2.3 are still applicable. 21 22 12.3 Each Party shall determine whether a Modification may adversely impact an 23 Electric System of a third party. If a proposed Modification poses a potential adverse 24 impact on the Electric System of a third party, then the Modifying Party shall notify and 25 coordinate with such third party. 26 /// 27 /// 28 /// 18 � • 1 13. DISPUTE RESOLUTION: 2 With respect to settling disputes that may arise under this Contract, Section 18 (Dispute 3 Resolution) of Amendment No. 3 to Contract No. DE-MS65-83WP59008 between Western and 4 Redding shall be applicable until superseded by applicable Western Regional Transmission 5 Association dispute resolution provisions at such time as both Western and Redding become 6 members. 7 8 14. EXHIBITS MADE PART OF CONTRACT: 9 Inasmuch as the designation of Point(s)of Receipt and Point(s) of Delivery, amounts of Long- 10 Term Firm Transmission Service and transmission losses; COTP Transmission Service; and the 11 rates for Short-Term Firm and Nonfirm COTP Transmission Service may vary during the term 12 hereof,they will be set forth in Exhibits A, B, and C. The initial E�ibits are attached hereto and 13 each shall be in force and effect in accordance with its terms until superseded by a subsequent 14 E�ibit. 15 16 15. GENERAL POWER CONTRACT PROVISIONS: 17 The General Power Contract Provisions effective January 3, 1989, attached hereto, are hereby 18 made a part of this Contract the same as if they had been expressly set forth herein; Provided, 19 That Articles 5, 7, 9, and 18 through 27 shall not be applicable hereto. 20 21 16. ENFORCEABILITY: 22 This Contract does not convey any rights to third parties to enforce the provisions of the 23 Contract. This Contract can only be enforced by Western or Redding, or their successors or 24 assigns. 25 26 17. JUDGMENTS AND DETERMINATIONS: 27 When the terms of this Contract provide that an action may or must be taken or that the existence 28 of a condition may be established based on a judgment or determination of a Party, such 19 � • 1 judgment shall be exercised or such determination shall be made in good faith, in a timely 2 manner, and in accordance with Prudent Utility Practice. 3 4 IN WITNESS WHEREOF, the Parties hereto have caused this Contract to be executed 5 the day and year first above written. 6 WESTERN AREA POWER ADMINISTRATION 7 8 9 By: 10 Title: Area Manager 11 Address: 1825 Bell Street 12 Sacramento. CA 95825 13 14 15 CITY OF REDDING, CALIFORNIA 16 17 (Seal) gy: 18 Attest: Title: 19 By: Address: 20 Title: 21 22 23 24 25 26 27 28 20 - � • City of Redding, California Contract No. 94-SAO-00004 RESOLUTION NO. BE IT RESOLVED BY THE CITY COUNCII., OF THE CITY OF REDDING, CALIFORNIA: �e is authorized, on behalf of the City of Redding, California,to execute this Contract with the Western Area Power Administration entitled Contract No. 94-SAO-00004. Adopted: � e . � � Rate Schedule CV-NFT2 (Supersedes Schedule CV-NFT1) UNITED STATES DEPARTMENT OF ENERGY WESTERN AREA POWER ADMINISTRATION CENTRAL VALLEY PROJECT SCHEDULE OF RATE FOR NONFIRM TRANSMISSION SERVICE Effective: May 1 , 1993 Available: Within the marketing area served by the Sacramento Area Office. Applicable: To nonfirm transmission service customers where power and energy are received into the CVP system at points of receipt with other systems and transmitted and delivered, subject to the availability of transmission capacity, less losses, to points of delivery from the CVP system specified in the service contract. Character and Conditions of Service: Transmission service on an intermittent basis for capacity, three-phase alternating current at 60 hertz, delivered and metered at the voltages and points of delivery specified in the service contract. . • '. , � � Rate: Billing: The rate listed below shall be applied to each kWh delivered at the point of delivery, as specified in the service contract. Transmission Service Charge: 1 .23 mills per kWh. Ad,iustments: For Reactive Power: None. There shall be no entitlement to the transfer of reactive kVars at delivery points, except when such transfers may be mutually agreed upon by the Contractor and Contracting Officer or their authorized representatives. For Losses: Power and energy losses incurred in connection with the transmission and delivery of power and energy under this rate schedule shall be supplied by the customer in accordance with the service contract. , � .. i � Rate Schedule CV-FT2 (Supersedes Schedule CV-FT1) UNITED STATES DEPARTMENT OF ENERGY WESTERN AREA POWER ADMINISTRATION CENTRAL VALLEY PROJECT SCHEDULE OF RATE FOR FIRM TRANSMISSION SERVICE Effective: May 1 , 1993 Available: Within the marketing area served by the Sacramento Area Office. Applicable: To firm transmission service customers where power and energy are received into the CVP system at points of interconnection with other systems and transmitted and delivered, less losses, to points of delivery on the CVP system specified in the transmission service contract. Character and Conditions of Service: Transmission service for three-phase alternating current at 60 hertz, delivered and metered at the voltages and points of delivery specified in the service contract. Rate: Billing: The rate listed below shall be applied to the maximum rate of delivery specified in the service contract, payable whether utilized or not. v �L • � � � Transmission Service Charge: $0.43/kW/month. Ad.iustments: For Reactive Power: None. There shall be no entitlement to the transfer of reactive kVars at delivery points, except when such transfers may be mutually agreed upon by the Contractor and Contracting Officer or their authorized representatives. For Losses: Power and energy losses incurred in connection with the transmission and delivery of power and energy under this rate schedule shall be supplied by the customer in accordance with the service contract. ;� . _ , , • , � . . � �ti��,fl ,�.;,,��, �� �98� . - . ; � 4v�...RN AREF� PCJ4�IEER AL1�ffNIS'I'RATION I (�`IEFtAL� PaWER C.Ckfl'RACI' PROVISICk1S I PAC� � I. APFLICABII�I'I'Y. 1. A�licability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 ' I II. C�IVQ2Y Cg SFF�TI(� P�JVZSIQIS. �I 2. Character of Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 3. Use of Capacity or Energy in Excess of Contract Obligation� . . . . 2 4. Continuity of Service . . . . . . . . . . . . . . . . . . . . . . . . . . 2-3 5. I�ltiple Points of Delivery . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 6. Metering . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3-4 7. Existence of Transnission Service Contract . . . . . . . . . . . . . . . . . . � • 4 * 8. Conditions of Transmission Service . . . . . . . . . . . . . . . . . 4-5 9. I�ltiple Pr�ints of Delivery Irnrolving Direct and Transnitted• � � Deliveries . . . . _ _ , 5 10. Construction, •Operation, •and�Maintenance�of�Contractor's Paaer. S�stan. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 I I I. RAZFS, BIL�II�, APD PA�3dP Pl�NISIQZS. 11. Change of Rates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 12. Minilrnun Seasonal or Annual. Capacity Charge . . . . . . . . . . . . . . . . . . . . 6 13. Billing and Payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6-7 14. Nonpayment of Bills in Ftill When Due . . . . . . . . . . . . . . . . . . . . . 7 15. Adjustments for Fractional Billing Period . . . . . . . . . . . . . . . . . � 7 16. Adjustrnents for C�urt.ailments to Fi.rni Service . . . . . . . . . . . . . . . . . . 7-8 IV. PC�32 SAIFS P'f�VISICNS. 1', . Resale of Finn Electric Service . . . . . . . . . . . . . . . . . . . . . . . . . . g 18. Contract Subject to Colorado River Ccng�act. . . . . . . . . . . . . . . . . . . . 8 V. FACTr.rrrFc P�7VISIGZS. 19. Design Appraval . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 20. Inspection a� Acceptance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 21. As-Built Drawizgs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . � � 9 22. Equipment Own�rship Markers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9-10 23• Third-Party Use of Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 24• C.hanges to Western Control Facilities . . . . . . . . . . . . . . 10 25. Modification of Western Facilities . . . . . . . . . . . . . . . . . . . . . � � � 10 26. Transmission Rights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 * 27. Construction and Safety Procedures . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11-12 VI. 4�4�t P�7VISIQ�S. * 28. Authorized Representatives of the Parties. . . . . . . . . . . . . . . . . . . . . 12 29. Effect of Section Headings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 30. Operati.ng C�idelines and Proceduz�es. . . . . . . . . . . . . . . . . . . . . . . . . . . 12 31. Ur�controllable Fo�es . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12-13 32. Liability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 * 33. EnvirorYnental Cc�lia�ce . . . . . . . . . . . . . . . . . . .. . . . . . . . . 13 34. Coop�ration of Contracting Parties . . . . . . . . . . . . . . . . . . . . . . . . � • � • 13 35. Transfer of Interest in Contract by Contractor , , . . , , , , . � � � � 14 36. Waivers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . 14 37. Notices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . : . . . . . . 14 38. Contingent Upon Appropriations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 39. Officials Not to Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 40. Cwenant Against Contingent Fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 * 41. Contract Work Hours and Safety Star�dards . . .. . . . ._ . . . . . . . . . . . . . 15 * 42. F.qual O�portunity DmQloyn�nt Practices . . . . . . . . . . . . . . . . . . . . . . . . 15 43. Use of Corivict Iabor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 * Nevised Januaiy 3, 1989. i , , . I � � , i � � � � I I I : .. �` E�ctive Janua_Yy 3, 1989 WESTERN ARFA P(JWER AL�IINISTRATI�T GQ`IERAL POGdER COTfl'RACr PRpVISIQNS PAC� I. APPLICABII..I'I'Y. 1• A�licability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 I I. DEI.�IVF�ZY CiF "F.'RVIC� Pf�NISIQZS. i. Ch.aracter of Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 ' :.�>� of Capacity or Energy ir� Excess of Contract Obligation . . .. 2 4. Continuity of Sezvice . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 2-3 S. N�ltiple Points of Delivery . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 6. Metering . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3-4 7. Existence of Transmission Service Contract . . . . . . . . . . . . . . . . . . . . 4 * 8. Conditions of Transmission Service . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4-5 9. N�ltiple Points of Delivery I�olving Direct and Transmitted Deliveries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 10. Construction, Operation, and Maintenarice of Contractor's PcxaerS�sten. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 III. RA7.FS, BII�II�, AAID PAI'l�Nr PF�NISIQZS. 11. Change of Rates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 12. Minurnan Seasonal or Annual Capacity Charge . . . . . . . . . . . . . . . . . . . . 6 13. Billing and Payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6-7 14. Nonpayrnent of Bills in F1i11 Wtien Due . . . . . . . . . . . . . . . . . . . . . . . . . . 7 15. Adjustments for Fractional Billing Period . . . . . . . . . . . . . . . . . . . . . 7 16. Adjustinents for C�rtai]ments to Finn Sexvice . . . . . . . . . . . . . . . . . . 7-8 N. PQaE�t SALES Pf�TISIQV'S. 17. Resale of Fi�n Electric Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 18. Contract Subject to Colorado River Ccst�act. . . . . . . . . . . . . . . . . . . . 8 V. FACrr.rrr� Pf�7�TISIQ�S. 19. Design Approval . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 20. Inspection and Acceptance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 2i. As-Built Drawings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 22. Equignent Ownership Markers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9-10 23• Thisd-Party Use of Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 24. Changes to Western Control Facilities . . . . . . . . . . . . . . . . . . . . . . . . . .10 25. Modification of Western Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 26. Transmission Rights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 * 27. Construction and Safety Procedures . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11-12 VI. Oi��t P�TISIQYS. * 28. Authorized Representatives of the Parties. . . . . . . . . . . . . . . . . . . . . 12 29. Effect of Section H�eadings. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 30. Operating C�idelines and Procedures. . . . . . . . . . . . . . . . . . . . . . . . . . 12 31. Uncontrollable Forces . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12-13 32. Liability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 * 33. Enviroranental Cc�liance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. .. . 13 34. Cooperation of Contracting Parties . . . . . . . . . . . . . . . . . . . . . . . . . . .. 13 35. Transfer of Interest in Contract by Contractor . . . . . . . . . . . . . . . . 14 36. Waivers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 37. Notices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 38. Contingent Upon Appropriations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 39. Officials Not to Benefit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 40. Covenant Against Contingent Fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 15 * 41. Contract Work Hours arid Safety Starrl�*�G . . . . . . . ._ . . . . . . . . . . . . . 15 * 42. Equal Opportunity F�layment Practices . . . . . :. . . . . . . . . . . . . . . . . . 15 43. Use of Convict I�abor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 * I�vised January 3, 1989. � � � ,� : � I ' � � � " ' � � Effective Januaiy 3, 1989 WESTERN ARF,A PCJFIER ALINIINISTRATI�d ;'��RAT, p�R �T P�JVISIONS I. AF'PLICABII�I'I'Y. � 1. Applicability. 1.1. These General pawer Contract Provisions shall be a gart of the contract to which they are attached. These provisions set forth c�ral conditions applicable to the contract. Specific tenns set forth in the � contract have precedence aver any pn7vision herein. 1.2. If the Contractor has m�n�ber utilities which are either directly or indirectly receiving benefits from the contract, then the Contractor shall Y�equire such manbers to ca�ly with the General Pc�w�r Contract Frovisions, Articles 10, 17, 18, 33, 34, 41, 42, and 43. II. DELIVII� C�' SF�TICE P�7�ISIQ15. 2. Character of Service. Electric energy supplied or transmitted under tt�e contract will be three-phase, alternating current, at a z�i�al frequency of sixty (60) hertz (cy�les per second) . 3. Use of Capacity or Enerqy in Excess of Contract Obligation The Contractor is not entitled to use Federal pch�er, energy, or capacity in aimunts greater than the Western contract delivery obligation in effect for each type of service provided for in the contract except with the approval of the Contracting Officer. Unauthorized rniernu�s of contract delivery obligations shall be subject to charges specified in the contract or the applicable rate schedules. Overruns shall not establish any continuing right thereto and the Contractor shall cease any ovenrnuis when requested by the Cflntracting Officer, or in the case of authorized ov�ernu�s, when the approval e�ires, whichever occurs f irst. Nothing in the contract shall obligate Western to i.n,craase arty delivpxy obligation. If additional power,energy, or capacity is not available fram Western, the responsi.bility for sec.-uring additional pvwer, energy, or. cap�acity shall rest wholly with the Contractor. 4. Cont.uruity of Senrice. Electric service will be suppiied or transmitted contiuivausly except for: (1) fluctuations, interruptions, or reductions due to uncontrollable forces, as defined in Article 31 herein, (2) fluctuations, inte�uptions, or reductions due to operation of devices installed for pc�r systen protection; and (3) tarq�orary fluctuations, interruptions, or reductions, which, in ttie opinion of the party supplying the service, are. 2 � � .. . necessazy or desirable for the pu�poses of maintenance, rep,airs, replacenents, inGtallation of equig�nt, or investigation and inspection. The party supplying service, except in case of emergency, �,,,;.il give the Party to w��an service is being provided reasonable advance nntice of such ter�oraty interniptions or reductions and will renave the cause thereof with diligence. 5. Multiple Points of Deliverv When electric service is supplied at or transnitted to two or rrore points of delivery under the san� rate scYiedule, said rate schedule shall apply separately to the service supplied at or transnitted to each point of delivezy; Provided, That where the meter readings are considered separately, and durinq ab��rntial conditions, the Contractor's systan is inte�onnected betwt.�en points of delivezy such that ciuplication of inetered pa,�er is possible, the meter readinqs at each affectred point of delivery will be adjusted to car�ensate for duplication of power denand recorded by meters at alternate points of delivery due to abnoanal conditions which are b�nd the Contractor's control or ten�orazy conditions caused by scheduled outages. 6. MeterinQ. 6.1. The total electric pa,�er and energy supplied or transnitted under the contract will be measured by meterinq equignent to be furnished and maintained by Western or by the Contractor acting as the designated representative of Western. The Contractor shall ensure that metering equignent furnished and maintained b�, the Contractor or another po��er ' supplier, as provided in the contract, meets the metering staridards. of Western if such metering equignent will be used for billing or other accounting putposes by Western. 6•2• Meters shall be sealed and the seals shall be broken only upon occasions when the meters are to be inspected, tested, or adjusted, and representatives of the interested parties shall be afforded reasonable opportunity to be present upon such occasions. Metering equignent shall be i nspected and tested at least once each year by tt�e party responsi.ble for meter maintenance and at ariy reasonable tiirie upon request by either party hereto, a supplenental power supplier, tY'an4ni SS1011 agent, or cont�l area operator. Arcy meterinq equipment faund to be damaged, defective, or inaccurate shall be repaired and readjusted or replaced by the party responsible for meter maintenance. Meters fvund with b�roken seals shall be tested for taaiq�ring and, if appropriate, meter ra�dings shall be adjusted by Western pursuant to Article 6.3 below. 6.3. F.�ocept as othexwise provided in Article 6.4 hereof, should any meter that is t�eec�ed by Western for billinq or other accounting purposes fail to register accurately, the electric pawer and er�ergy supplied or transnitted during such period of failure to register accurately, shall, for billing puzposes, be estimated by the Contracting Officer fmn the best available information. 3 . .:;..� .G,. . ,r' , r+ . ; • , •• . � � � 6.4. Zf acceptable inspections and tests of a meter ryeecled by Western for billing or other accounting purposes disclose an error exceed.ing tw� percent (2�) , then corr�ection based upon the inaccuracy faund shall be made of t;ie records of sezvices furnished during the pezi:� that such inaccuracy has e�sted as detennin�d by the ,Contracting Off�.cer; Prwided, That if such period of inaccuracy caruiot be dete�nined, correc:tion shall be made f or tile period begi nn i nq Wi� � �nthly billing peri.a:i imnediately precedir.g :.he billing period during which the test Was macle. 6.5. Any correction in billing resulting frnm correction in meter records shall noanally be made in the r�ext monthly bill rerx�ered by Western to the Contractor. Payment of such bill shall constitute full adjustrnent of any claim between the pai-ties hereto arising out of inaccuracy of inetering equigrient. 7. Existence of Transnission Service Contract. If the contract provides for Western to ft> ;- h services using the facilities of a third party, the obligation of Western shall be subject to and contingent upon the existence of a transnission se=vice contract granting Western rights to use such facilities. If Western acquires or constructs facilities which would enable it to furnish direct service to the Contractor, Western, at its option, may furnish service aver its awn facilities. 8. Conditions of Transmission Service. 8.1. When the electric service under the contract is furnished by western aver the facilities of others by virtue of a tr�n�►+�ssion service arranganent, the power and energy will be furnished at the wltage available and under the conditions which exist frcm time to t�me on the transnission systan over which the service is supplied. * 8.2. Unless otherwise provided in the contract or attached rate schedule, the Contractor shall maintain a pc��er factor at each point of delivery fran western's transnission agent as required by the transmission agent. 8.3. Western will endeavor to infoan the Contractor fram time to time of any changes conte�lated on the systen over which the service is supplied, but the costs of ariy changes made necessazy in the Cantractor's systan because of changes or conditions on the systen aver which the service is supplied shall r�ot be a charg� against or a liability of Western. 8.4. If the Contractor, because of changes or canditions on the system av+er which sexvice uryder the contract is supplied, i.s required to make changes on its systen at its own experLse in order to cont,irnye receiving service under the contract, then the Contract.or may ter+r+;*�te setyice iu�der the contract upon not less than sixty (60) days' written notice given to the Contracting Officer prior to making such changes, but �t thereafter. * Revised Januazy 3, 1989. 4 � � ' , � `. • 8.5. If Western notifies the Contractor that electric service provided for under the contract cannot be delivered to the Contractor because of an in.sufficiency of capacity available to Westarn in the facilities of others over which service under the contract is supplied, then the Contractor may terniir�ate service under the contract u�on rx�t less than sixty (60i days� written notice given to the Contracting Officer prior to the date on which said capacity ceases to be available to Western, but mt thereafter. 9. I�ltiple Points of Delivery Irnrolvinq Direct and Indirect Deliveries. When Western has pravided line and substation capacity under the contract for the pu�ose of delivering electric service directly to tt�e Contractor at specified direct points of c�elivery arxi also has agzeed to absorb transnission service allowance or discounts for deliveries of er�ergy over other system(s) to iridirect points of delivery and-the Contractor shifts any of its loads sezved tu�der the contract fmn direct deliveiy to indiz�ect delivezy, Western will not absorb the transnission service casts on such shifted load until the unused capacity, as cietennined solely by the Contracting Officer, available at the direct delivery points affected is fully utilized. 10. Construction, Operation and Maintenance of Contractor's Po��er Systsn. The Contxactor shall and, if applicable, shall require each of its manbers or transnission agents to construct, opPxate, and maintain its power systan in a manner which, as detenniried by the Contracting Of f icer, wiil not interfere with the aperation of the systan of Western or its transmission agents aver which electric services are furnished to the Contractor under the contract, and in a manner which will coordinate with the protective relaying and other protective anang�anents of t.hee systen(s) of Western or Western's transmission agents. Western may reduce or discontinue furnishing services to the Contractor if, after rbotice by the Contracting Officer, the Contractor fails or refuses to malae such changes as may be necessary to eliminate an unsatisfactoiy condition on the Contractor's power systan which is deteanined by the Contracting Officer to interfere significantly under current or probable conditions with any service supplied fmn the power systen of Western or fran the pawer systan of a transnission agent of Western. S1ich a reduction or discontinuance of service will not relieve the Contractor of liability for ariy mininaan cha=ges provided for in the contract during the time said services are reduced or d.iscontinued. Nothing in this article shall be construed to render Western liable in any manner for arYy claims, danarrjs, costs, losses, causes of action, daQnages, or liability of any ki�i or nature arising aut of or resulting fr�m the construction, aperation, or maintenance of tt� Contractor's power systsn. 5 , ` •, � • III. RAZFS, BII�,II�, AtD PA�Tr Pf�7tTISICrS. 11. Change of Rates. Rates applicable unci�r the contract shall be subjec;. t;� change by Western� ir accordance with appropriate rate adjustinent procern�.z�:s. If at anY time the United States prcnnilgates a rate changing a rate thEn in effect under the contract, it will pn��tly notify the Contractor thereof. Rates shall becarn effective as to the contract as of the effective date of such rate. The Contractor, by written ru�tice to tt�e Contracting Of ficer within ninety (90) days after the effective date of a rate change, m�y elect to . tenninate the service billed by Western under the new rate. Said tezmi.nation shall be effective on the last day of the billing period requested by the Contractor not later than tw� (2) years after the effective date of the new rate. Service provided by Western shall be paid for at the new rate regardless of whether the Contractor exercises the option to te�+��te service. 12. Miniirnun Seasonal or Annual Capacity CY�rge When the rate in effect under the contract provides for a mirLimiun seasonal or annual capacity charge, a statement of the mininnan capacity charge due, if any, shall be included in the bill rendered for service for . the last billing period of the sezvice season or contract year as appropriate, adjusted for increa.ses or decreases in the contract rate of delivery and for the rnm�er of- billing periods during the .year or season in which service is not provided. Where multiple points of delivery are • irrvolved and the contract rate of� delivery is stated to be a maxinnan , aggregate rate of deliv+ery for all points, in det:ennining the min.innan seasonal or annual capacity charge due, if any, the manthly capacity charg�s at the individual points of deliver.y shall be added together. 13. Billinq and Payment. 13.1. Western will issue bills to the Contractor for service furnished during the precedinq m�nth within ten (10} days after the end of the billing period. � 13.2. If Western is unable to issue a timely m�nthly bill, .it _ may elect to rerx�er an estimated bill for that month to be follaw�d by the final bill. S�ch estimated bill shall be subject to the saQne payment pmvisions as a final bill. 13.3. Payments are due and payable by the Contractor before the close of busiz�ess on the twentieth (20th) calendar day after the date of issuarice of each bill or ttae next business day thereafter if said day is a Saturday, S1u�day, or Federal holiday. Bills shall be cansidered paid when PaYmerlt is received by Western; Pravided, That payments rec.�eived bY mail will be accepted as timely arid without assessment of the charge pravid�ed for in Article 14 if a United States Post Office first class mail postnark indicates the payment was mailed at least three (3) calendar.days before-the due date. 6 . � � , ' � . 13.4. Whenever the paz-ties agree, PaYments due Western by the . Contractor may be offset against payments due the Contractor by Western for the sale or exchanc}e of electric p�w�r and en�xgy, use of tran��+�Gsion facil.ities, operation and maintenance of electric facilities, and other services. For services included in r�et billing procedures, payments due one �arty in any rronth shall be offset against payments due the at�er party in such month, and the resulting r�et balance shall be gaid to the party in whose favor such balance exists. The parties shall e.�change such reports and infonnation that either party requires for billing purposes. Net billing shall not be used for any a¢rounts due which are in di.spute. 14. NonDayment of Bills in Full When Due 14.1. Bills rwt paid in full by the Contractor by the due date specified in Article 13 hereof shall bear an initial charc�e of two percent (2�) of the aamunt unpaid. Each day thereafter, a charge of five hundredths pe�ent (0.05�) of the principal stun ungaid shall be acldeci until the aimunt due, includ.ing the t� pez�cent (2�) initial charc�e, is paid in full. Payments received will first be applied to the charges for late payment assessed on the princigal and then to gayment of the principal. 14.2. Western shall have the right, upon not less than fift�n (15) days advance written notice, to discontinue furnishing the services specified in the contract for nonpayment of bills in full when due, and to , refuse to res�rn such services so long as any gart of the a�rount due renainc unpaid. Such a discontinuance of service will not relieve the Contractor of liability for miniimun charges during the tim�e sezvice is so discontinued. The rights reserved to Western herein shall be in addition to all other raredies available to Western either by law or in equity, for the breach of arly of the tenns hereof. 15. Adiustrnents for FYactional Billing Feriod For a fractional p�ai-t of a billing period at tl�e beginning or end of electric service, at the begiru�ing or end of irrigation piu�ing service each year, a fractional billing period under a riew rate schedule, and for fractional periods due to withdrawals of electric services, the danaizd or capacity charge ar�d mininnun charges shall each be proportionately adjusted in the ratio that the rnm�ber of haurs that electric sezvice is available to the Contractor in such fractional billing period bears to the total rnIInber of hours in the billing period inwlved. ' 16. Adjustr►ients for C�rt.ailments to Finn Seivice 16.1. Billing adjustinents will be n�ade if fian electric service is interrupted or reduced because of conditions an th�e power systan of the United States for periods of 1 haur or longer in duration each. Billing adjustments will not be made when such curtailment of electric sp.svice is due to a request by the Contractor or a discontinuance of electric seivice by Western pursuant to Article 14 (Nonpayme.�zt of &ills In �1i11 When Due) . For purpcses of billing adjust�nents urxier this article, the tezm power syst�� of the United StaLes shall include tran�+;ssion facilities used urxier contract but not awned by the United States. 7 ..ae'-n('.c,vv...-:me-F.,.s;.:_:r...,;:: �......a:�,-,Y,N+r+.� " • a . . : ' � � • 16.2. The total ntanber . of haurs of curtailed fium electric service in ariy billing period shall be deteanined by adding: (1) th�e stan of the ntunber of hours of interrupted electric service to (2) the product, for each x�edu;.ticn, of: the ntm�ber of hours of reduced electric se_rvice and the percentaae by which electric service was reduced bela►� Lh�e delivezy obligation of Western at tFbe t�me of each` sa.id reduction of electric sezvice. �:7�e demand or cagacity charge and applicable minuman charges shall each � propc�rtionately adjusted in the ratio that the total rn.anber of hours of electric service deterntined to have been curtai.led bears to the total n�iber of hours in the billing period inwlved. 16.3. The Contractor shall make written claim within thirty (30) days after receiving the monthly bill, for adjust�nent on accaunt of any ctu-tailment of fian electric service, for periods of 1 hour or longer in duration each, alleged to have occui-red that is r�ot reflected in said �bill. Failure to make such written claim, within said thisty-day (30�ay) period, shall constitute a waiver of said claim. All curtailments of electric service, which are due to conditions on the power syst.an of the United States, shall be subject to the provisions of this section; Frovided, That withdrawal of pc�w�r and en�ergy under the contract shall not be considered a curtailment of electric service. IV'. �t SAI,FS Pl�7VISIQ�ZS. 17. Resale of Fian Electric SeYvice (Wholesale Sales for Resale L The Contractor shall not sell any fian electric power or energy supplied under tt�e contract to any electric utility custaner of the Contractor for resale by that utility custaner; Prwicl�d, That the Contractor may sell the electric power and er�rgy s�plied u�r the contract to its manbers on condition that said manbers not sell arYy of sa.id power and energy to ariy custcmer of the menber for resale by that custaner. 18. Contract Subiect to Colorado R.iver C,a►�act Where the energy sold urxier the contract is generated fram waters of tt�e Colorado River systan, the contract is made upon the e�ress condition and with the express covenant that all riqhts under the contract shall be subject to and controlled by the Colorado River Catg�act appY�aved by Section 13(a) of the Baulder Cartyon Project Act of Decenber 21, 1928, (45 Stat. 1057) and the parties to the contract shall obsexve and be subject to and controlled by said C,olorado River Ca�act in the construction, mar�agarent, and aperation of t,t�e da�, reseivoirs, ar�d pvwerplants fran which electrical energy is to be furnished by Western to the Contractor und�er the contract, and in the storage, d.iversion, deliveYy, and use of water for the generation of electrical e�ergy to be delivered by Western to the Contractor iuyder the contract. 8 • � , � . .. V. F1a['rr.rr*r� P�7VISIQ�S. . 19. Desicm Appraval. Ali facilities, construction, and installation by the Contractor pursuant to the contract shall be subject to the apprvval of Western. Facilities interconnections shall n�nnally confoan to Western's current "Genexal Requ��+�nts for Interconnection, " in effect upon ttve signuig of the contract doc�m�ent pn�viding for each interconnection, c�pies of which are available fran the Contracting Officer. At least ninety (90) days, unless otherwise agreed, prior to the date the Contractor proposes to ccmrer�e construction or to ir�ir an obligation to puz�chase facilities to be installed pur�suant to the contract, whichever date is the earlier, the Contractor shall sukmit, for the approval of Western, detailed desic�ns, drawings, and specifications of the facilities the Contractor proposes to purchase, construct, and install. T'he Contract,or asstm�es all risks for construction crnmenced or obligations to purchase facilities i.r�irred prior to receipt of appraval fr�m Western. Western review and approval of designs and construction work in ru� �ray i�lies that Western is certifying that the designs meet the Contractor's needs. 20. Inspection and Acceptance. Western shall have the right to inspect the materials and work furnished by the Contractor, its agents, a�l�yees, and subcontractors pursuant to the contract. Such inspections shall be at reasonable times at. the worksite. Any materials or work that the Contracting Officer deterntines is defective or not in accordance with d�esigns, drawings, and specifications, as approved by West.ern, shall be replaced or modified, as clirected by Western, at the sole expense of the Contractor before the new facilities are enesgized. 21. As-Built Drawinqs. within a reasonable time, as detennined by the Contracting Officer, after the ca�t�letion of construction and installation of facilities pvrsuant to the contract, the Contractor shall sutmit to Western marked as-built prints of a11 Western drawings affected by changes made pursuant to the contract arxi repz�oducible drawings the Contractor has prep�ared sh�owing facilities of Western. The Contractor's drawings of Western facilities shall use drawing title blocks, drawing nimibers, aryd shall be prepared in accordance with drafting s*a*�*�s all as approved by the Contracting Of f icer. Western may prepare, revise, or ca�lete said drawings and bill the Contractor. if the Contra�ctor fails to pravid�e swch drawings to Western within a reasonable t�m�e as deteunined by the Contracting Officer. 22. Equipnent Owne,rship Markers. 22.1. The Contractor shall identify all mavable equignent and, to the extent agr�ecl upon by the parties, all other salvageable facilities constructed or installed on United States right-of-way or in Western substations pursuant to the contract which are owned by the Contractor, by peananently affixing thereto suitable markers clearly identifying the Contractor as the owner of said equig�nt and facilities. 9 . -�-; a..�.. - .. . , . ... 1 a ~ •' � � • 22•2• If requested by the Contractor, Western shall identify all movable equipment and, to the extent agr�eed upon by the parties, all. other salvagaable facilities constructed or installed on the Contractor's right-of-way or in the Contractor's substations pu.rsuant t� �:he contract which are owned by the United States, . by peanar�ently af fi.�ring thereto suitable markers clearly icienti�fying the United States as tt� owr�er of said equipment and facilities. 23• Third-Party Use of Facilities Tt�e Contractor shall notify Western of any p�yposed system change relating to tt�e facilities g�v�erned by tt�e contract or allvwing third-party use of the facilities gvverr�ed by the contract. If Westei� riotifies the Contractor that said systen change will, as solely determined by the Contracting Officer, adversely affect the aperation of Western's systen the Contractor shall, at no cost to Western, provide a solution to said adverse effect acceptable to Western. 24. Changes to Western Control Facilities If at ariy time during the tean of the contract, the Contracting Officer deterntines that chanqes or additions to conttol, relay, or canminications facilities are necessary to maintain the reliability or control of Western's transnission systan, and said changes or additions are entirely or partially required because of the Contractor's equignent installed uixier the contract, such changes or additions shall, after consultation with the Contractor, be made by Western with all costs or a proportionate shax�e of all costs, as detennined by the Contracting Officer, to be paid by ttie Contractor. The Contracting Officer shall notify the Contractor in writing of the necessaxy changes or additions and the estimated costs to be pa.id by the Contractor. If the Contractor fails to pay its share of said est�mated costs, the Contracting Officer shall have the right, after giving sixty (60) days' written notice to the Contractor, to ternunate the applicable facility installation provisions af tt�e contract and require the re►r�val of the Contractor's facilities. 25. Modification of Western Facilities. Westezn reserves the right, at any t�me, to modify its facilities. Western shall keep the Contractor inforn�ed of all planrr�cl modifications to Western facilities which impact the facilities installation p�rsuant to the contract. Western shall peanit the Contractor to change or modify its facilities, in a manner satisfactozy to and at rr� cost or expense to Western, to retain the facilities interconnection pursuant to the contract. At the Contractor's aption, Western shall ooaperate with the Contractor in planninq alternate arranc�anents for servi.ce which shall be i�len�nted at no cost or e�ense to Western. The Contractor and Westsrn shall modify the contract, as necessary, to confoan to the new facilities arranganents. 10 17 • � ... , � 26. Transnission Ri ts. � If the contract inv�lves an installation which sectionalizes a �S�z'� :�.��snission line, the Contractor here.by agrees to provide a transmissi�,n path to Western across such sectionalizing facilities at no cost or e�e.nse to Western. Said trarLsmission path shall be at least equal, in tenns of cagacity and reliability, to the path in the Western transnission line prior to the installation vursuant to the contract. 27• Construction and Safety Procedures * 27•1• The Contractor hereby aclQyowledges that it is aware of the hazards inherent in high-wltage electric lines and substations, ar�d here�y ass�unes full responsibility at all times for the adoption and use of necessary safety measures req�iired to pr�vent accidental haan to personnel enqaged in the construction, inspection, testing, aperation, maintenar�ce, replacenent, or rarnval activities of the Contractor puxsuant to the contract. The Contractor and the auth4rized e�lcryees, agents, and subcontractors of the Contractor shall ccYnply with all applicable safety laws and building and construction codes, including the provisions of Western's current "Power S�st,ans Safety Manual," "Construction, Safety, and Health Star�daz-ds, ^ and ��power S�stan Cleararice Procedures" in effect upon the sigrung of the contract; Exc t, That, in lieu of the safety program required herein, the Contractor may pravide sufficient infonnation to daronstrate that the Contractor's safety proc�ram is satisfactoxy to t,he United States. 27.2. The Contractor and its authorized at�lvyees, agents, and subcontractors shall familiarize thenselves with the location and character of all the transmission facilities of Western and interconnections of others relating to the work perfoaned by the Contractor under the contract. Prior to starting ariy construction, installation, or rc3roval work, the Contractor shall suY�init a plan of procedure to Western which shall indicate the sequence and method of perfoaning the work in a safe manner. No work shall be perfo�i by the Contractor, its e�lvyees, agents, or subcontractors until written authorization to proceed is obtairied fran tY�e Contracting Officer. 27.3. At all times when the Contractor, its e�loyees, agents,or subcontractors are perfozming activities of any type pursuant to the contract, such activities shall be under supervision of a qualified e�loyee, agent, or subcontractor of the Contractor who shall be authorized to represent the Contractor in_ all mattpxs pertai n i� to the activity being perfo��ed. The Contractor and Western will ]aeep each other infonneci of the names of their designated representatives at the site. 27.4. Upon c�letion of its work, the Contractor shall renove fran the vicinity of the right-of�aay of the United States all buildings, ruhbish, used materials, concrete fonns, and other li]ae material belonging to the Contractor or used urxi�x the Contractor's d,irection, and in the event of failure to do so tY�e same may be remved b�, y�Testern at the expe,n.se of the Contractor. * Revised January 3, 1989. 11 . y..,.;. .;WS. .r, :.,F:. ;�+.� . S , ' • � . • • � 2 7.5. In ttve event the Contractor, its e�layees, agents, or subcontractors fail to ca�ly with any provision of this article, or Article 20 (Inspection and Acce�ptance) t�erein, the Contracting Officer or an aut�cr�z� -�epresentative may issue an on-jer to stop all or �r�; part of the work unLil such time as the Contractor de�nnstrates ca��.i.�.-r.e with ttve provisior. at issue. � The Contractor; � its at�layees, �gents, or subcor*..z�ac�-,,ors shall make no claim for ca�ensatian or c�ges resulting from su�:-: :�erk stoppage. VI. O��ft Pl�VISIQ�S. � * 28. Authorized Representatives of the Parties Each party to the contract, by written notice to the other, shall designate the representative(s) who is (are) authorized to act in its behalf with respect to those matters contained in the contract which are the functions and responsibilities of the authorized representatives of the parties. Each party may chanqe the designation of its authorized representative(s) upon oral notice given to the other, conf irn�ed pra�tly by written notice. 29. Effect of Section Headings Section haadings or article titles appearing in the contract or these General Pr��er Contract Provisions are inserted for corn�enience only and shall not be construed as interpretations of text. 30. Qperating (�idelines and Procedures The parties to tt�e contract may aqr�e upon azri put into ef fect frccn time to time, such other written guidelines and procedures as may be required in on�er to establish the methods of aperation of the paaer systen to be follawed in the perfoanar�ce of the contract. 31. Uncontrollable Forces. Neither party to the contract shall be consider�d to be in default in perfoanan�ce of any of its obligations urx�er the contract, e�ocept to make payment as specified in Article 13 (Billing and Payment) herein, when a failure of perfonnance shall be due to an urycontrollable force. The te.an "uncontrollable force" means any cause beyond the control of the party affected, i.ncluding but not restricted to, fa.ilure of or threat of failure of facilities, flood, ��qualce, st,onn, fire, liqhtni 7, epiclenic, war, riot, civil disturbance or disobedience, labor �;�,te, labor or material sl'�rta9e, sabotage, restraint by caurt order or public authority and action or nanaction by, or failure to obtain the necessazy aut�tnrizations or aP'Provals fzrn►, eny governmental agency or authority, which by e�oercise of due diligence such party cnuld npt reasonably have been expected to avoid and which by exercise of due dili�e it shall be unable to overcome. Nothing contained herein shall be construed to require a party to settle ariy * Revised. Januazy 3, 1989. � 12 A) , • • ' ' strike or labor dispute in which it may be irtvolved. Either party rerr�ered . unable to fulfill ariy of its obligations under ttie contract by reason of an uncontrollable fo�e shall give p�t written riotice of such fact to the other party and shall exercise due diligence to rarov� such inability with all reasonable dispatch. 32• Liabilitv. 32.1 The Contractor herel7y agrees to :i r,�rm;fy arui hold harmless the United States, its e�laye�s, agents, or contractors, fmn ariy loss or damage and fram any liability on account of personal injury, death, or property c�nage, or claims for personal injury, ck�ath, or p�perty damage of any nature whatsoever and by whcn�soever m�de arising oait of the Contractor's, its enplayees', agents�, or subcontractors', construction, operation, maintenance, or replacement activities urrler the cantract. 32.2 The United States is liable only for negligence on the gart of its officers and a�lay�es in accordance with the Federal Zbrt Claims Act, as amerxied. * 33. Enviirorm�ental Ca�liance Facilities installed under the contract by any party shall be constructed, operated, maintained, replaced, and Ys�aved subject to ccx►�liance with laws, executive orders, and regulations applicable to that party, includ.ing the National F�vironmental Policy Act of 1969, as �, 36 CFR 800, and the Archeological Resources Protection Act of 1979. 34. Cooneration of Contracting Parties If, in the operation and maintenance of th�eir respective power systans or electrical equignent and the utilization thereof for the purposes of the contract, it becomes r�ecessazy by rea�.son of arry �merg�ency or extraordinazy condition for either party to req�est the other to furni.sh personnel, materials, tools, and equignent for the acca�lishment thereof, the party so requested shall cooperate with the other and render such assistar�ce as the party so z�equested may deteunine to be available. The party making such request, upon receipt of properly itanized bills from the. other party, shall reimburse the party renderin,� such assistance for all costs pmperly and reasonably i�curr�d by it in such performar�ce, including ac�ninistrative and general e�enses, such costs to be deteanined on the basis of current chaiges or rates used in its aAm aperations by the party ren�dering assistance. Zssuar�ce and payment of bills for sexvices pravided by Thest�ern shall be in accordance with Articles 13 (Billing aryd Payment) and 14 (Nortpayment of Bills in F�11 When Due) herein. Western shall pay bills issued by the Contractor for services provided as soon as the necessazy vauchexs can be pz�epai�ed which shall �rn�ally be �rithin twenty (20) days. * Revised January 3, 1989. 13 y, . ,. . . , , , , , . , � J , C ' � • � � . � 35. Transfer of Interest in Contract by Contractor �I No wluntaiy transfer of the contract or of the riQhts of the I �r•}='.�^'�r- under the contract shall be made without the wri�..�ti-c; appn�val of thE Acm��*Listratcr of West:ern; Pmvided, That if the Contra�:+..;,z• operates a project financed in wtiole or in paz-t by the Rural, l;iec�trification Ac�nini� .�-ation, the Contractor may transfer or assign its ��•�:.�,rest in the contra�t r�; the i�ral Electrification Ac�ninistration or any other departme,nt or agency of the Fec�eral Gwpx�ane,nt withcnit such written appmval; Prwided further, That any successor to or assignee of the rights of the Cantractor, whether by wlunt.ary transfer, judicial sale, foreclosure sale, or otherwise, shall be subject to all the pravisions and cor�ditions of the contract to the same extent as thauqh such successor or assicp�ee wer� the original Contractor under the contract; and, Provided further, That the execution of a mr�rtgage or tsvst d�eeci, or jud.icial or foreclosure sales made thereunder, shall not be deened voluntaiy transfers within the meaning of this article. 36. Waivers. Any waivers at ariy time by either party to the contract of its rights with respect to a default or ariy other matter arising ur�der or in connection with the contract shall not be dee�d a waiver with respect to any subsequent default or matter. 37. Notices. Ariy notice, danand, or request required by the cantract or the provisions of these articles .to be in writing shall be cAnsidered prvperly given when delivered in person, or sent by either registsred or certified mail, P��9e P�Faid, or prepaid telegraQn addressed to each party�s authorized representative at the principal offices of the party. T3�e designation of the person to be n�tified may be changed at ariy time by similar notice. 38. Contingent Upon Appropriations , Where activities provided for in the contract extend beyond the current fiscal year, continued e�enditures by the United States are contingent upon Congress makinq the necessary apprapriations required for the continued perfoanar�ce of the United States obligations u�der the contract. In case such apptapriation is not made, the Contractor hereUy releases the United States frcm its contractual obliqations and fmn- all liability �ue to the failure of Congress to make such appropri.ation. 39. Officials Not to Beriefit. No menber of or delegate to Congress or Resident Ca�missioner shall be ac�nitted to any share or part of the cantr�ct or to any benefit that may have arisen f�n the contract, but this restriction shall rnt be construed to extend to the contract if made with a cozporation or ca�any for its gerieral benef it. 14 �� ;i I . . . . . .• 40. Covenant Aaainst ContinQent Fees � i 'I7�e Contractor warrants that no person or selling a�ncy has been �laYe`.� a=' retained to solicit or secure the con,tract upon an agreet�ent or understar�ing for a carmission, pe�entage, brokerage, or contingent fee, iexcepting bona fide ar�loyees or bona ficie established catmer.:ial or selling i agencies maintained by the Contractor for the purpose of securing business. iFor breach or violation of this warranty, Westexn shall have the right to annul the contract without liability or in its di��cretion to deduct fran the contract price or consideration the full amcrunt of such ccnmission, percentage, brokerage, or contingent fee. * 41. Contract Work Hours and Safety Standar�Ls.. The contract, to the extent that it i:s of a character specified in Section 103 of the Contract Work � and Safety Sra*�a�G Act (Act) , 40 U.S.C.A. {329 (1986) , is subject to the provisions of the Act, 40 U.S.C.A. {{327-333 (1986) , and to regulations p��nilgated by the Secretary of Labor pursuant to the Act. * 42• Equal Opportunity �laytrent Practices Section 202 of Executive OrYier No. 1.1246, 43 Fed. Reg. 46501 (19 7 8) , which provides, am�ng other things, thai� ttre Contractor wil l not discriminate against ariy a�layee or applicant for enployment because of race, color, religion, sex, or national origin, is incozporated by reference in the contract. 43. Use of Corivict Labor. The Contractor agrees not to a�lay any person undeergoing sentence of i�risonment in perfonning the contract except as provided by 18 U.S.C. 4Q$2(c) (2) and Executive Order 11755, Decariber 29, 1973. * Revised „anuazy 3, 1989. 15 � • . Exhibit A City of Redding, California Contract No. 94-SAO-00004 EXHIBIT A (Designation of Point(s) of Receipt, Point(s) of Delivery, and Transmission Service) 1. This Exhibit A, to be effective under and as a part of Contract No. 94-SAO-00004 (hereinafter called the Contract), shall become effective upon execution of the Contract, and shall remain in effect until either superseded by another E�ibit A or upon termination of the Contract. 2. Long-Term Firm Transmission Service and Losses: Western will accept and deliver energy, less losses, in accordance with the terms of Contract No. 94-SAO-00004, at the following Point(s) of Receipt and Point(s) of Delivery. 2.1 Long-Term Firm Transmission Service Receipt/Delivery: Losses Point of Receipt Point of Applicable (MW) Delivery(MW) at Point of Start Date End Date Recei t % 85 82.7 2.75 Upon execution OS/31/96 of the Contract. � 93 90.4 2.75 06/O1/96 OS/31/97 99 96.3 2.75 06/O1/97 OS/31/98 109 106.0 2.75 06/O1/98 OS/31/99 124 120.6 2.75 06/O1/99 OS/31/00 136 132.3 2.75 06/O1/00 OS/31/O1 139 135.2 2.75 06/O1/O1 Termination of the Contract. 2.2 The maximum Long-Term Firm Transmission Service available to Redding under the Contract shall be 139 MW at the Point(s) of Receipt from Redding to Western. 1 of 2 , � • E�ibit A City of Redding, California Contract No. 94-SAO-00004 2.3 Points of Receipt and Delivery: Point of Voltage Point of Voltage Recei t (kV� Deliverv �kVl Olinda 230 Olinda 230 Trac 230 Trac 230 Elverta 230' Elverta 230' Ai ort 230 Ai ort 230 Keswick 115 Keswick 115 ' In addition to the limitations set forth in Subsection 7.7 of the Contract,if at any time Western determines that there is not adequate transmission capacity available for receipt or delivery of power scheduled at Elverta under this Contract due to other scheduled firm deliveries,then Western may request that Redding modify or curtail its schedules of power delivered or received at Elverta and Redding shall cooperate and adjust its Power schedules as directed by Western;Provided,That Western shall make best efforts,in its judgment to restore such service to Redding as soon as possible. 2 of 2 -. ' � � • E�chibit B City of Redding, California Contract No. 94-SAO-00004 EXHIBIT B (COTP Transmission Service) 1. This Exhibit B, to be effective under and as a part of Contract No. 94-SAO-00004 (hereinafter called the Contract), shall become effective upon execution of the Contract and shall remain in effect until either superseded by another E�chibit B or upon termination of the Contract. 2. Short-Term Firm and Nonfirm COTP Transmission Service: Pursuant to the provisions of Section 8 of the Contract, Western will accept and deliver Power, less losses, in accordance with the terms and conditions of the Contract, at the Point(s)of Receipt and Point(s) of Delivery shown in Section 3 of this Exhibit. 3. Point(sl of Receipt and Delivery and Transmission Losses on the COTP: 3.1 For transmission service over the COTP, Western will accept and deliver Power, less losses, in accordance with the terms of the Contract, at the following Point(s) of Receipt and Point(s) of Delivery: Point of Voltage Point of Voltage Recei t �kV� Delive �kV� California- 500 California- 500 Ore on Border Ore on Border Olinda 230 Olinda 230 Trac 230 Trac 230 Southern 500 Southern 500 Terminus� Terminusl 3.2 Loss Factors: The following loss factors shall apply to scheduled deliveries over the COTP: ' The Southern Terminus of the COTP is the point of interconnection between the PG&E Electric System and COTP,located at the eastern boundary of the existing right-of-way of PG&E's Tesla-Los Banos No. 2 500-kV transmission line,at which the COTP's conductors extending from the Tracy Substation 500-kV expansion meet PG&E's conductors extending from PG&E's Tesla-Los Banos No.2 500-kV transmission line,as defined in the Coordinated Operations Agreement,as it may be amended. 1 of 2 V ♦ � i • � E�chibit B CiTy of Redding, California Contract No. 94-SAO-00004 Summer Season Monday through Saturday, Sunday, (May 1 through Friday Except and HolidaysZ Loss Factor October 31 Holida s2 (% Peak Noon to 6:00 N/A 4.7 Partial Peak 8:OOa to Noon N/A 3.1 6:00 to 9:00 Off-Peak 9:OOp to 1:OOa S:OOa to 1:OOa 1.8 S:OOa to 8:OOa Su er Off-Peak 1:OOa to S:OOa 1:OOa to S:OOa 1.8 Winter Season Monday through Saturday, Sunday, (November 1 Friday Except and Holidays2 Loss Factor throu A ri130) Holida s' (%) Peak None N/A N/A Partial Peak 8:OOa to 9:00 N/A 2.9 Off-Peak 9:OOp to 1:OOa S:OOa to 1:OOa 2.0 S:OOa to 8:OOa Su er Off-Peak 1:OOa to S:OOa 1:OOa to S:OOa 2.0 3.3 Calculation of Losses: For each north-to-south or south-to-north schedule using the COTP, delivery from the COTP of such scheduled power shall be equal to the product of the factor(1.0 minus the applicable loss factor from Section 3.2) multiplied by the amount of the schedule. For each south-to-north schedule using the COTP, delivery from the COTP of such scheduled power shall be equal to the product of the factor(1.0 minus the applicable loss factor from Section 3.2) multiplied by the amount of the schedule. 2 Holidays are New Year's Day,Presidents'Day,Memorial Day,Independence Day,Labor Day, Veterans'Day,Thanksgiving Day,and Christmas Day. 2 of 2 -. ' ^ � � . . Exhibit C City of Redding, California Contract No. 94-SAO-00004 EXHIBIT C (Rates for COTP Transmission Service) 1. This Exhibit C, to be effective under and as a part of Contract No. 94-SAO-00004 (hereinafter called the Contract), shall become effective upon execution of the Contract, and shall remain in effect until either superseded by another E�chibit C or upon termination of the Contract; Provided, That: l.l The rates set forth in this E�chibit C have been approved by the Administrator of Western and are in effect during the period from May l, 1995, through April 30, 1996; and 1.2 Prior to May 1 of any subsequent year, Western will review and, if appropriate, revise the rates set forth in this E�chibit C for the succeeding year. Such new rates, when approved by the Administration of Western, shall supersede the then-existing rates in this E�chibit C and Western will promptly modify this E�ibit C to reflect the new rates. 2. Rates for COTP Transmission Service: 2.1 The rate for Short-Term Firm COTP Transmission Service shall be $2.03/kW- month, and shall be payable for transmission capacity provided in Section 2 of E�chibit B of the Contract whether or not it is utilized by Redding. 2.2 The rate for Nonfirm COTP Transmission Service shall be negotiated and confirmed by the Parties' Dispatchers at such time as Nonfirm COTP Transmission Service is requested. 1 of 1