Attachment

UTILITY COMMITTEE AGENDA NOVEMBER 12, 2013 - 5:00 P.M. CITY HALL COUNCIL CHAMBERS 15 LOOCKERMAN PLAZA DOVER, DELAWARE Public comments are welcomed on any item and will be permitted at appropriate times. When possible, please notify the City Clerk (736-7008 or e-mail at CityClerk@dover.de.us) should you wish to be recognized. AGENDA ADDITIONS/DELETIONS 1. Engineering Design and Projects A. Engineering Design of Water and Wastewater Upgrades - West Dover Connector (Staff Recommends Acceptance of the Proposal from URS Corporation to Perform Engineering Design Work Necessary for Water and Wastewater Upgrades Associated with the West Dover Connector in the Amount of $44,100) B. Engineering Design of Water Main Realignment - Denneys Road (Due to Time Constraints, This Item Has Been Placed on the Council Agenda for the Meeting Being Held Later in the Evening) (Staff Recommends Acceptance of the Proposal from URS Corporation to Perform Engineering Design Work Necessary for the Water Main Realignment in Denneys Road in the Amount of $33,200) C. Engineering Design - Miscellaneous Stormwater Projects (Staff Recommends Acceptance of the Three (3) Proposals from URS Corporation to Perform Engineering Design Work Necessary for Flooding Issues at Buttner Place, Susan Place, and Lakeview Drive in the Amount of $9,450, $9,300 and $24,400 Respectively ($43,200 Total - Rounded to $100)) D. Kent Avenue Inflow and Infiltration Repair (Due to Time Constraints, This Item Has Been Placed on the Council Agenda for the Meeting Being Held Later in the Evening) (Staff Recommends Authorizing the Creation of a New Inflow/Infiltration Project to Correct the Issues in Kent Avenue) 2. Rate Classification/Tariff Amendment for Churches (Staff Recommends That No Action Be Taken on Amending the Current Electric Rate Tariffs and That Staff Be Directed to Assist the Presbyterian Church of Dover with a Green Energy Grant Application to Facilitate Energy Efficiency Within the City’s Electric System) 3. Temporary Suspension of Acceptance of Solar Applications - Green Energy Fund (Staff Recommends Temporarily Suspending Solar Photovoltaic Applications to the City and Green Energy Fund) 4. TEA/NAES Report (August and September) (Staff Recommends Acceptance of the Reports)

Utility Committee Agenda - November 12, 2013 Page 2 5. Updates (Committee Action Not Required) A. Green Energy Funding and Programming B. National Pollution Discharge Elimination System (NPDES) Municipal Separate Storm Sewer Systems (MS4) Permit C. Calpine Energy Center D. Dover Sun Park E. Garrison Oak Technical Park Project 6. Adjournment by 5:55 p.m. /tm S:\AGENDAS-MINUTES-PACKETS\Committee-Agendas\2013\11-12-2013 UTILITY.wpd THE AGENDA ITEMS AS LISTED MAY NOT BE CONSIDERED IN SEQUENCE. THIS AGENDA IS SUBJECT TO CHANGE TO INCLUDE THE ADDITION OR THE DELETION OF ITEMS, INCLUDING EXECUTIVE SESSIONS.

ACTION FORM PROCEEDING: Utility Committee AGENDA ITEM NO.: DEPARTMENT OF ORIGIN: Public Works DATE SUBMITTED: 11/1/13 PREPARED BY: Sharon J. Duca, P.E. – Public Works Director / City Engineer SUBJECT: Engineering Design of Water and Wastewater Upgrades – West Dover Connector REFERENCE: N/A RELATED PROJECT: N/A APPROVALS: City Manager, Controller EXHIBITS: Exhibit A – Engineering Proposal from URS dated 11/01/2013; Exhibit B - Aerial Map of Project Area EXPENDITURE REQUIRED: $44,100 AMOUNT BUDGETED: n/a FUNDING SOURCE (Dept./Page in CIP & Budget): Water portion of project - $11,100 from the Budget Balance. Wastewater portion of project - $33,100, from carry forward funds from FY 2013 Inflow / Infiltration Account, 417-6900-569.40-31 (currently $867,000). TIME TABLE: Preliminary work has begun due to time constraints. RECOMMENDED ACTION: Accept proposal from URS Corporation to perform engineering design work necessary for Water and Wastewater Upgrades associated with the West Dover Connector in the amount of $44,100. BACKGROUND AND ANALYSIS The Delaware Department of Transportation (DelDOT) is planning on constructing a new bypass road from the Rodney Village Subdivision to the intersection of Saulsbury Road and North Street known as the West Dover Connector. DelDOT reached out to the City of Dover (City) to find out if any utilities required relocation during the construction of this road which is slated to begin construction around August of 2014. City staff investigated the sanitary sewer mains within the scope of the project. After performing video surveys, it was determined that root growth entering the mains has severely decreased the structural integrity of the infrastructure therefore meriting replacement of the utility in the project area. Additionally, the water main within Rodney Village is only six-inches (6”) in diameter. Currently, an eight- inch (8”) water main is the minimum size permitted. The City approached DelDOT with our utility concerns, stating that we would not want to risk having a utility failure under a newly constructed State owned road. It was recommended by DelDOT that the City perform this work prior to the road construction entering this area. The City reached out to one of our approved consulting engineers (URS Corporation) to create a proposal for the engineering design aspects of the water and wastewater upgrades. This project was not budgeted for in the current Capital Investment Program (CIP). The City feels it is in the best interest of all stakeholders that the necessary construction upgrades start early in Fiscal Year (FY) 2015. In order to meet this timeline, Engineering services mus be finalized in FY 2014 in an effort to bid the project and provide the contractor a notice to proceed as soon as possible in FY 2015. The construction aspect of this project would be budgeted for within the FY15-FY19 CIP in both the water and sewer funds. The current proposal for work is $44,100 to be funded as indicated in the above Funding Source section of the Action Form.

Exhibit A

Exhibit A

Exhibit A

CAF Map G . ! Exhibit B West Dover Connector - Water & Wastewater Upgrades ! . . ! ! . . ! 348 353 288 1574 B Hall Rd BBDavid 1579 1618 1546 299 293 103 9 5 296 1580 1622 Samuel Paynter Dr ! . 280 Í Í B . ! 1585 1626 1552 Í 302 1628 Daniel Rodney Rd B 1586 . Daniel Rodney Í . ! . ! Í Í ! Rd B 1591 B Í B Í 1560 G 308 ! . . 1592 ! 292 361 403 330 4 1597 1632 Gunning Bedford Dr 298 1566 314 1598 1634 368 ! . 369 317 1605 1634 B Í G 1569 341 344 . ! . ! 1572 320 1604 1636 John Clark Rd 1575 374 375 350 321 Rd 347 1611 1578 ! . ! . 1610 1646 han . ! 325 iel M 1583 380 381 355 Í 356 1650 itB 1616 che David Hall Rd 1584 335 ll B ÍG Í !B 1660 . ! 1589 386 387 361 362 . 1590 1631 1622 1664 368 N at 1672 1595 392 393 367 1628 1602 . ! 1635 ! . 1601 398 374 1678 G 399 373 B . ! 1634 Í . ! . ! 1641 1608 1609 407 380 404 1647 1640 1680 379 ! . 1688 140 98 82 70 1646 415 104 BÍ 1700 B Í C h. Í "! B . ! B ÍG ! . Í B ! . Í 60 B . ! 1716 Charles P ! 1720 . ! . . ! ! . olk.R d Í B ! B Í!. ! . G 141 133 125 117 109 101 93 85 77 BÍ 149 1726 69 61 1724 . ! 55 50 . ! Í B ! . B ÍG Approximate Area of ! . ! . Water & Wastewater .23 ! Upgrades 40 . ! wy 70 nt H . ! up o SD 0 150 300 600 Feet ¯ Legend P Curb Stop/Meter Pit Water Main . 1500 GPM " Dead End 8" Sanitary Sewer Line 24" . Sanitary Manhole G ! C h ! ! ± 1" 10" ! . 1000 - 1499 GPM b G ! " Reducer 10" 27" Sanitary Force Main 2" 12" . 500 - 999 GPM G ! Below 500 GPM À Î " Service Connection ! b ± Curb Stop/House " 3" 12" 14" 15" 30" 35" Ú Pump Station [ G Date Printed: November 1, 2013 File: m:\gis_data\projects\tech_mxds . ! Parcel Lines ! Meter Pit ­ ! Í Curb Stop , ¼ 4" 16" 16" 36" \jason_lyon_maps\caf_maps \caf_kent_ave \ Service Line [ Í Hydrant Valve B Í Division Valve B % L Blow Off 6" 20" 18" 20" 4" 6" Department: Public Works GIS 21" 8" City of Dover, Delaware

ACTION FORM PROCEEDING: Utility Committee AGENDA ITEM NO.: DEPARTMENT OF ORIGIN: Public Works DATE SUBMITTED: 11/1/13 PREPARED BY: Sharon J. Duca, P.E. – Public Works Director / City Engineer SUBJECT: Engineering Design of Water Realignment – Denneys Road REFERENCE: N/A RELATED PROJECT: N/A APPROVALS: City Manager, Controller EXHIBITS: Exhibit A – Engineering Proposal from URS dated 10/01/2013; Exhibit B - Aerial Map of Project Area EXPENDITURE REQUIRED: $33,200 AMOUNT BUDGETED: n/a FUNDING SOURCE (Dept./Page in CIP & Budget): To be paid from transfer of funds to operating budget from salary savings due to current Civil Engineer vacancies. Budget amendment will be submitted to Finance upon approval. Total amendment for this project & Misc. Stormwater projects - $76,350. TIME TABLE: Preliminary work has begun due to time constraints. RECOMMENDED ACTION: Accept the proposal from URS Corporation to perform engineering design work necessary for the Water Main Realignment in Denneys Road in the amount of $33,200. BACKGROUND AND ANALYSIS The Delaware Department of Transportation (DelDOT) is in the final stages of design to replace the existing bridge on Denneys Road, adjacent to the Delaware Technical and Community College. Every DelDOT bridge replacement project is required to reach out to facility owners to assure that the new design will not interfere with any other infrastructure. The proposed bridge design depicts the bridge wing walls being constructed within ten feet (10’) of the existing City of Dover (City) water main. This water main was installed via directional drilling under the existing stream. The water main must be relocated to meet the requirements of the Water / Wastewater Handbook, which states that no structure shall be installed within ten (10) horizontal feet from a water main. Due to the current engineering staffing levels of the Department of Public Works as well as DelDOT’s proposed timeline for the bridge rebuild, construction in Spring of 2014, the City reached out to one of our approved consulting engineers (URS Corporation) to provide a proposal to design the water main realignment. DelDOT will reimburse the City for all engineering and construction costs associated with the water main realignment. Staff requests that Council accept the proposal from URS to create construction drawings and specifications to bid this project out to a contractor to perform the water main realignment. The estimated construction phase of this project will be brought to Committee up completion of the estimated cost.

Exhibit A

Exhibit A

Exhibit A

CAF Map Exhibit B West Denneys Road Bridge 1832 W De Í B nn e ys b " Rd Approximate Amount of Water Main to Be Replaced b " B Í G . ! Í B 0 45 90 180 Feet Legend ¯ . 1500 GPM G ! " Dead End C h P Curb Stop/Meter Pit ! !± 1" 10" . 1000 - 1499 GPM b " Reducer 2" 12" Date Printed: November 1, 2013 G ! File: m:\gis_data\projects\tech_mxds . 500 - 999 GPM G ! À" " ! Curb Stop/House Î Service Connection b ± 3" 14" \jason_lyon_maps\caf_maps . Below 500 GPM G ! ! Meter Pit ­ ! ¼ Í Curb Stop , 4" 16" \caf_w_denneys_rd_bridge \ Service Line [ 6" 20" Department: Public Works GIS Dover Parcels B ÍHydrant Valve % LBlow Off 8" City of Dover, Delaware Í Division Valve B

ACTION FORM PROCEEDING: Utility Committee AGENDA ITEM NO.: DEPARTMENT OF ORIGIN: Public Works DATE SUBMITTED: 11/1/13 PREPARED BY: Sharon J. Duca, P.E. – Public Works Director / City Engineer SUBJECT: Miscellaneous Stormwater Projects RELATED PROJECT: N/A APPROVALS: City Manager, Controller EXHIBITS: Exhibit A – Engineering Proposal from URS dated 10/14/13; Exhibit B - Aerial Map of Project Area; Exhibit C – Engineering Proposal from URS dated 10/14/13; Exhibit D – Aerial Map of Project Area; Exhibit E – Engineering Proposal from URS dated 11/1/13; Exhibit F – Aerial Map of Project Area EXPENDITURE REQUIRED: $43,200 (rounded to $100) AMOUNT BUDGETED: n/a FUNDING SOURCE (Dept./Page in CIP & Budget): To be paid from transfer of funds to operating budget from salary savings due to current Civil Engineer vacancies. Budget amendment will be submitted to Finance upon approval. Total amendment for this project & Denneys Road project = $76,400. Recommended improvements will be funded with Community Transportation Funds if not available another funding source will need to be determined. TIME TABLE: Notice to proceed to be issued following Council approval. All three (3) projects to be completed within nine (9) weeks of notice to proceed. RECOMMENDED ACTION: Accept the three (3) proposals from URS Corporation to perform engineering design work necessary for flooding issues at Buttner Place, Susan Place and Lakeview Drive in the amount of $9,450, $9,300 and $24,400 respectively ($43,200 total). BACKGROUND AND ANALYSIS Within the last six (6) months, the City of Dover (City) Department of Public Works (DPW) has received requests to address flooding issues at three (3) separate locations. These requests have caused concern for residents, Council members and Legislators alike. The flooding issues have been active for some time and the areas in question are affecting the safety of our citizens and impacting property. Location #1: Buttner Place The flooding issue on Buttner Place is located approximately seventy-feet (70’) north of the intersection with Walker Road. Currently, there is a pavement depression along the west side of Buttner Place, adjacent to a vacant commercial driveway. The pavement depression holds standing water from rainfall and snowmelt. There is a drainage inlet between the pavement depression and Walker road, however, the location of the inlet is not ideal, as it is not in the low spot of Buttner Place. When a significant rain event occurs, the spread of the water encompasses the entire southbound travel lane and encroaches into the northbound travel lane, causing hazardous driving conditions. Proposal cost for engineering solution, construction drawings and bid specifications for Buttner Place = $9,500 Location #2: Susan Place The flooding issue on Susan Place, which is within the Persimmon Park Place Development, occurs at and around 113 Susan Place. There are storm sewer inlets along both sides of the road at certain locations however the profile of Susan Place is extremely flat. There is a significant section that does not have any positive drainage which results in flooding of Susan Place, damage to property and hazardous driving conditions.

Proposal cost for engineering solution, construction drawings and bid specifications for Susan Place = $9,300 Location #3: Lakeview Drive The flooding issue on Lakeview Drive occurs at 26 Lakeview Drive, adjacent to the Luther Tower complex. Currently, there are two (2) existing eighteen-inch (18”) x thirty-six (36”) catch basins located adjacent to 26 Lakeview Drive. The two inlets are shallow and the pipe connecting the two (2) catch basins is a twelve-inch (12”) reinforced concrete pipe. The current minimum size storm pipe is fifteen-inches (15”). The infrastructure within Lakeview Drive connects to a private system within the Luther Towers complex, eventually discharging into Silver Lake. When a significant rain event occurs, flooding occurs on the north end of Lakeview Drive, causing damage to property and hazardous driving conditions. Proposal cost for engineering solution, construction drawings and bid specifications for Lakeview Drive = $24,400 Summary Flooding issues cause significant damage to the environment, infrastructure and property. Additionally, flooding causes hazardous driving conditions and decreases the ability for emergency service vehicles to access locations. Due to current staffing levels in the engineering division of the DPW, staff has reached out to one of our approved consulting engineers to provide solutions to the three (3) flooding issues. Staff recommends that Council approve the three (3) proposals from URS Corporation to provide engineering solutions to the flooding issues within the City. Upon receipt of the Engineering solutions we will seek funding for any improvements through Community Transportation Funds.

CAF Map Buttner Place 863 834 n 860 Tur 844 838 t 842 840 836 es dc r 850 848 846 oo 852 W 856 858 854 755 Aproximate Location of Flooding Bu ttn er 830 Pl 767 789 e r Rd Walk 760 602 820 756 0 45 90 180 Feet ¯ Date Printed: November 1, 2013 File: m:\gis_data\projects\tech_mxds \jason_lyon_maps\caf_maps \caf_buttner_pl Legend Department: Public Works GIS Dover Parcels City of Dover, Delaware

CAF Map Susan Place-Persimmon Park Place 105 433 147 106 123 107 535 124 536 108 Ma u 121 109 537 ree n 122 an Sus Pl 538 110 Pl Approximate Location of 119 Flooding 111 539 120 an 131 Sus 112 Pl 117 541 129 118 113 127 116 114 126 500 124 0 45 90 180 Feet ¯ Date Printed: November 1, 2013 Legend File: m:\gis_data\projects\tech_mxds \jason_lyon_maps\caf_maps \caf_susan_place Department: Public Works GIS Dover Parcels City of Dover, Delaware

CAF Map Lakeview Drive 430 430 Lakeview Dr Approximate Location of Flooding 226 26 22 430 La k 20 ev ie w Dr 18 12 412 0 45 90 180 Feet ¯ Date Printed: November 1, 2013 File: m:\gis_data\projects\tech_mxds \jason_lyon_maps\caf_maps \caf_lakeview_dr Legend Department: Public Works GIS Dover Parcels City of Dover, Delaware

ACTION FORM PROCEEDING: Utility Committee AGENDA ITEM NO.: DEPARTMENT OF ORIGIN: Public Works DATE SUBMITTED: 11/1/13 PREPARED BY: Sharon J. Duca, P.E. – Public Works Director / City Engineer SUBJECT: Kent Avenue Inflow and Infiltration Repair REFERENCE: N/A RELATED PROJECT: N/A APPROVALS: City Manager, Controller EXHIBITS: Exhibit A - Aerial Map of Project Area EXPENDITURE REQUIRED: $75,000 AMOUNT BUDGETED: n/a FUNDING SOURCE (Dept./Page in CIP & Budget): Wastewater Management – carry forward funds from FY 2013 Inflow / Infiltration Account, (currently $867,000) 417-6900-569.40-31 TIME TABLE: Secure contractors and materials immediately following Council approval. Construction work to be complete within six (6) weeks. RECOMMENDED ACTION: Authorize creation of a new Inflow / Infiltration Project to correct the issues in Kent Avenue. BACKGROUND AND ANALYSIS On October 10, 2013, the City of Dover (City) Department of Public Works (DPW) received a call from a customer on Kent Avenue claiming a sanitary sewer backup into their building. City staff investigated the claim and found out that a disconnect between the sanitary sewer main in Kent Avenue and the receiving sanitary sewer interceptor in Division Street, this disconnect caused sediment to build up and create a blockage in the Kent Avenue sewer main. The City of Dover secured a contractor to remove the blockage at the main allowing staff to clear the sanitary sewer lateral after considerable effort. This allowed the customer on Kent Avenue to utilize their sanitary sewer lateral. After additional research, staff concluded that the storm sewer was connected to the sanitary sewer, which is a violation of Section 110- 231 of the City of Dover Code of Ordinances. The illicit connection represents direct inflow into the sanitary sewer system. City staff further verified that there is only one customer connected to the sanitary sewer main in Kent Avenue. After discussing with the property representative, staff provided a plan to alleviate the problems of the customer and eliminate the illicit stormwater discharge into the sanitary sewer interceptor in Division Street. The customer in question has multiple buildings on their property. The buildings that were discharging effluent to the Kent Avenue sanitary sewer main will be rerouted to another sanitary sewer interceptor at the rear of their property, within a City easement. This will allow the main to be properly abandoned and eliminate the illicit stormwater connection. Two (2) upstream catch basins will be reconfigured to become infiltration basins as part of the project. The road will be repaired as conditions dictate. Staff recommends authorization to create a new Inflow / Infiltration project to correct the issues in Kent Avenue. Part of the work will be performed by a contractor and part will be performed in house by staff.

CAF Map Exhibit A Kent Avenue 12 211 . ! Field Personnel Verified Only One Pipe In Road That Carries Both Storm & Sanitary Sewage. w g Ave 6 r e w g !a w g De law! 2 15 45 15 12 Existing Sewer Lateral Location Proposed Sewer 31 Ken Lateral Location . ! t Av 15 e . ! w g . ! g w 15 54 15 2 !! 15 . ! g w 11 w g 54 . ! Hwy 15 . ! 9 . ! s g w King . ! 2 !! 15 g w 54 Location of Sanitary Sewer Disconnect w g 12 . ! 10 0 65 130 260 Feet Legend ¯ $ 1 Storm Sewer Cleanout Storm Water Pipe 10" 20" 35" Date Printed: November 1, 2013 g w Storm Sewer Inlet Dover Parcels 12" 21" 36" File: m:\gis_data\projects\tech_mxds Storm Sewer Junction Box Pump Station 15" 24" 4" \jason_lyon_maps\caf_maps ­ ® Ú [ \caf_kent_ave 2 ! ! Storm Water Manhole . ! Sanitary Manhole 16" 27" 6" Department: Public Works GIS " ¬ Storm Water Outlet Sanitary Force Main 18" 30" 8" City of Dover, Delaware

ACTION FORM PROCEEDING: Utility Committee AGENDA ITEM NO.: DEPARTMENT OF ORIGIN: City Manager’s Office DATE SUBMITTED: 10/23/13 PREPARED BY: Scott D. Koenig, P.E., City Manager SUBJECT: Rate Classification/Tariff Amendment for Churches REFERENCE: N/A RELATED PROJECT: N/A APPROVALS: City Manager, Controller EXHIBITS: Exhibit A – Action form from 09/16/2013 & Copies of the tariff sheets EXPENDITURE REQUIRED: N/A AMOUNT BUDGETED: N/A FUNDING SOURCE (Dept./Page in CIP & Budget): N/A TIMETABLE: Per Council direction RECOMMENDED ACTION: Recommend no action be taken on amending the current electric rate tariffs and direct staff to assist the Presbyterian Church with the Green Energy Grant Application to facilitate energy efficiency within the City’s electric system. BACKGROUND AND ANALYSIS During the September 23, 2013 Utility Committee meeting, staff was requested to further investigate and determine the financial impact of an amendment to the tariff language of the “C and C1” classification by eliminating the words “or have instrument rated metering” from the classification. In addition, the committee asked who else may be affected by such a change to the tariff language. This request is related to the discussion about the C5 classification assigned to the Presbyterian Church of Dover. Their demand profile would allow them to be assigned to the “C and C1” classification if they did not have an instrument rated meter. Based on a “look back” period of one (1) year, we believe there are as many as 51 customers who could be reclassified if the above referenced language was removed from the “C an C1” classification. This was determined based on using an average demand of less than 3,500 kWh/month. Obviously, electric use is dynamic so the actual number of customer could vary from year to year depending upon when the calculation is made. Using these customers, it is estimated that such a change in the tariff language could result in a loss of revenue related to the demand charge of $128,458.00 for this group of customers. Since electric usage is dynamic in nature, the City Manager would estimate the loss of revenue between $75,000 and $125,000 per year based on the information available. Staff has indicated to the Presbyterian Church that the Green Energy Grant Fund can assist them in making energy efficiency improvements to their facility such as replacement of the metering infrastructure. Using the Green Energy Fund to improve the facility would achieve the same goal as amending the tariff. The current estimate to improve the facility is less than $5,000. Amending the tariff will have a direct financial impact on our rate structure and could have unanticipated consequences related to our rates. Staff recommends against any alterations to the tariff unless it were to alter in the context of a comprehensive rate review that is not scheduled to be considered until future budgets.

Exhibit A ACTION FORM PROCEEDING: Utility Committee AGENDA ITEM NO.: DEPARTMENT OF ORIGIN: City Manager’s Office DATE SUBMITTED: 9/16/13 PREPARED BY: Scott D. Koenig, P.E., City Manager SUBJECT: Rate Classification/Tariff Amendment for Churches REFERENCE: N/A RELATED PROJECT: N/A APPROVALS: City Manager, Controller EXHIBITS: Copies of the tariff sheets EXPENDITURE REQUIRED: N/A AMOUNT BUDGETED: N/A FUNDING SOURCE (Dept./Page in CIP & Budget): N/A TIMETABLE: Per Council direction RECOMMENDED ACTION: Recommend that City Council take no action on this request at this time and have the issue evaluated during the next rate study conducted for the Electric System. BACKGROUND AND ANALYSIS Staff is in receipt of a request from the Presbyterian Church of Dover to consider a change in tariff language for the C/C1 (Small Commercial) description. Specifically, their request is to have the wording “or have instrument rated metering” removed from the C/C1 classification description. For this specific example, the church has consumption levels below the 3,500 kWh/month limit for the C/C1 designation but their electrical service metering is of the instrument rated type which prevents them from requesting a classification change from C5 to C/C1. The church is seeking the new classification to avoid the demand charges associated with the C5 classification. A number of years ago, it appears that certain churches were included in the residential tariff before the commercial tariffs became customized and more sophisticated. Staff sought input from our power supply attorney, Mr. Kirk Betts, regarding this subject. Mr. Betts advised staff that many churches have functions in the evening from 6-10 p.m. which is part of PJM’s 16 hour peak period, in addition to weekends. Typically, the more active the church, the more likely it is to have a consumption pattern that is similar to commercial users rather than residential users. Mr. Betts advised against creating a specialized “church” or “houses or places of worship” tariff. Mr. Betts also indicated that as a general rule for ratemaking, tariffs and rates are based upon cost causation so similar voltage, demands, and consumption patterns should pay similar rates. Staff believes there are as many as 24 churches that may be in the same relative situation as the Presbyterian Church of Dover; therefore, any change to the tariff could alter our revenue projections based on the modeling of the system. The City of Dover has spent a considerable amount of money to complete detailed rate classifications and projections based on the approved tariff language and classifications. Any modifications to the tariffs without analyzing the potential impact on the rates as well as revenues could degrade the integrity of the current rates. Obviously, any detailed modeling of the requested tariff modification would require input and analysis from our rate consultant to insure accuracy and fairness with respect to the financial modeling. Such effort would likely create costs for the utility. As an alternate solution, the Presbyterian Church could rework their metering configuration (at a substantial cost) to comply with the current C/C1 tariff language. Based upon the above information, staff recommends no changes be made to the approved tariffs at this time. This issue should be revisited during our next rate study to fully analyze the impact of this type of change.

Exhibit A

Exhibit A

ACTION FORM PROCEEDING: Utility Committee DEPARTMENT OF ORIGIN: City Manager’s Office DATE SUBMITTED: 10/31/2013 PREPARED BY: Scott D. Koenig, P.E., City Manager SUBJECT: Request to Temporarily Suspend Solar Applications to the City’s Green Energy Fund REFERENCE: N/A RELATED PROJECT: N/A REVIEWED BY: Controller EXHIBITS: EXPENDITURE REQUIRED: N/A AMOUNT BUDGETED: N/A FUNDING SOURCE (Dept./Page in CIP & Budget): N/A TIME TIMETABLE: As soon as possible. RECOMMENDED ACTION: Recommend to City Council to accept staff recommendation to temporarily suspend Solar Photovoltaic applications to the City and Green Energy fund. BACKGROUND AND ANALYSIS The City of Dover has been contacted by Mr. Scott Lynch, Energy Services Manager, for the Delaware Municipal Electric Corporation (DEMEC). DEMEC administers the Green Energy Fund Program for the City of Dover. Currently, the program offers incentives/grants to applicants as follows: Photovoltaic Systems Not to Exceed Residential & __% of total Non-Residential Non-Profit Maximum Grant installed costs Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) 0+ to 5kW 5+kW to 10kW 10+kW to 50kW 0+ to 5kW 5+kW to 10kW 10+kW to 50kW Residential Non-Residential Non-Profit Dover N/A $ 1.25 $ 0.75 $ 0.35 $ 2.55 $ 1.50 $ 0.70 $7,500 $15,000 $15,000 Solar Water Heater Only Not to Exceed Residential Non-Residential Non-Profit Maximum Grant __% of total ($/OG300 - ($/OG300 - or PE ($/OG300 - or PE installed costs kWhr Saved) Cal. kWhr Saved) Cal. kWhr Saved) Residential Non-Residential Non-Profit Dover N/A $ 1.00 $ 1.00 $ 1.00 $2,500 $7,500 $7,500 Solar Water Heating Integrated into a Radiant Heating Application Not to Exceed Residential Non-Residential Non-Profit Maximum Grant __% of total ($/OG300 - ($/OG300 - ($/OG300 - installed costs kWhr Saved) kWhr Saved) kWhr Saved) Residential Non-Residential Non-Profit Dover N/A $ 1.00 $ 1.00 $ 1.00 $2,500 $7,500 $7,500 Small Wind Turbines Residential & Not to Exceed Non-Residential Non-Profit Maximum Grant __% of total Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) Cost ($/Watt) installed costs 0+ to 5kW 5+kW to 10kW 10+kW to 50kW 0+ to 5kW 5+kW to 10kW 10+kW to 50kW Residential Non-Residential Non-Profit Dover N/A $ 1.25 $ 0.75 $ 0.35 $ 1.25 $ 0.75 $ 0.35 $2,500 $2,500 $2,500 Fuel Cells Not to Exceed Maximum Grant __% of total installed costs Residential Non-Residential Non-Profit (35%) Dover 20% $7,500 $10,000 $10,000 Geothermal Heat Pumps System - Energy Efficiency Ratio (EER) ≥ 18 and Coefficient of Performance (COP) of ≥ 3.6 Residential & Non-Residential Non-Profit Not to Exceed First Over First Over Maximum Grant __% of total 2 Tons 2 Tons 2 Tons 2 Tons installed costs ($/Ton) ($/Ton) ($/Ton) ($/Ton) Residential Non-Residential Non-Profit Dover N/A $ 800 $ 700 $ 800 $ 700 $3,000 $10,000 $10,000 Solar Photovoltaic Systems are one of our most common grant requests for our program. Due to proposed changes in the incentives offered by the State of Delaware, we are recommending a temporary suspension of applications to the Green Energy Fund Program for Solar Photovoltaic Systems until the impact of proposed changes can be determined. Suspension of the program will be a preemptive action to prevent a mass of applications being received due to concerns about the potential changes. Staff with the assistance of DEMEC will be evaluating the potential impact of the changes and will bring forth recommendations in the future.

The Energy Authority, Inc. Monthly Management Committee Update – August 2013 September 26, 2013 Prepared by: Robert Trinnear Client Services Manager 904.360.1309 rtrinnear@teainc.org

TABLE OF CONTENTS I. Executive Summary 1 II. Budget Report 12 III. Operations Management 15 IV. Appendix 29 i

I. Executive Summary A. Power Supply Summary: Overall Power Supply costs were $185,422 under budget due to lower than budgeted load. Actual market purchases were lower than budgeted. Dover’s budgeted cost for all power supply (capacity AND energy) was $81.97/MWh. The actual cost of all power supply (capacity AND energy) was $86.57/MWh. The cost of energy alone was $59.25/MWh, versus a budgeted energy cost of $57.54. Dover’s hedge purchases totaled 58,720 MWh, which was 83% of the projected load and 76% of the actual load. Dover’s power purchases from hedge transactions totaled $3,452,702. Purchases from PJM (energy and fees) totaled $1,041,053 with DA Energy purchases totaling $378,362 and Balancing Spot Market Energy totaling $39,650. Dover’s total load was 71,151 MWh versus a forecasted load of 77,407 MWh. Dover’s planned energy purchase from the SunPark solar installation was 1857 MWh. Dover’s actual energy purchase from the SunPark installation was 1816 MWh. 1

Supply Source Summary: Supply Variance: Budget Actual Variance Gross Load 77,407 71,151 6,256 Wholesale Load 75,550 69,336 6,214 Hedged Volume (MWh) 58,720 58,720 - Unhedged Volume (MWh) 16,830 10,616 6,214 Dover SunPark Volume (MWh) 1,857 1,816 41 Renewable Energy Credits Volume 279 308 (29) Hedged Cost ($/MWh) $ 58.80 $ 58.80 0 Unhedged Energy Cost ($/MWh) $ 50 $ 55 $ (5) Solar Energy Cost ($/MWh) $ 83 $ 97 $ (14) Energy Costs ($/MWh) $57.54 $59.25 ($1.71) All-in Costs - Energy, Capacity and RECs ($/MWh) $81.97 $86.57 ($4.60) 2

B. Generation Summary: Dover generated 3,610 MWh in the month. Net generation revenue was $631,780 vs. a budget of $948,293. This delta was mainly due to fuel oil capacity testing and higher than budgeted O&M costs. 3

Generation Breakdown: City of Dover's Wholesale Generation Net Generation Mwh 3,610.37 All In Generation Margin PJM Bill Energy $ 198,043.76 PJM Capacity $ 1,329,125.00 Reactive Credit, DASR & EFORp $ 29,469.22 Gas Purchases $ (148,470.00) Oil Purchases $ (108,821.25) Transport / Cash Out $ (26,921.46) Gross Margin $ 1,272,425.28 Production Margin Generation Production Revenues (PJM) $ 198,043.76 Gas Purchases $ (148,470.00) Oil Purchases $ (108,821.25) Transport / Cash Out $ (26,921.46) Gross Production Margin $ (86,168.94) 4

C. Emissions Summary: Emissions Allowance Summary through August 31, 2013 CAIR EMISSION ALLOWANCE SUMMARY SO2 NOx Allowances1 Date Action Allowances Seasonal Annual 1/1/09 2008 Carryover 3,240 0 0 1/1/09 2009 Allocation 2,723 53 80 2/1/10 2010 Allocation 2,039 50 78 1/1/11 2011 Allocation 1,988 49 78 4/1/11 2011 Reallocation 2 4 1/11/12 2012 Allocation 1,988 51 80 10/4/2012 2013 Allocation 1,988 49 76 9/29/09 SO2 Sales (1,500) 11/12/09 NOx Ann. Sales (45) 11/13/09 SO2 Sales (1,410) 11/20/09 NOx Seas. Sales (25) 12/31/09 2009 Emissions2 (1) (6) (13) 12/31/10 2010 Emissions 0 (54) (54) 10/31/10 EPA Linearity Testing Req. (68) (68) 2011 2010 Deficit NOx Purchases 53 22 Aug 2011 Revised 2010 ECMPS data 30 30 Nov 2011 NOx Seas. Sales (DEMEC) (1) 12/31/11 2011 Emissions2 (1) (32) (36) 12/31/12 2012 Emissions2 (1) (37) (37) Nov 2012 NOx Seas. Sales (DEMEC) (2) 2/13/2013 NOx Annual. Sales (DEMEC) (3) 8/31/2013 C.Y.T.D. 2013 Emissions 0 16 16 REMAINING ALLOWANCES 11,053 59 178 On August 21, 2012, a three-judge panel of the U.S. District Court of Appeals (DCA) in Washington vacated EPA’s Cross State Air Pollution Rule (CSAPR) which would have become effective on January 1, 2012. The DCA instructed EPA to continue administering the Clean Air Interstate Rule (CAIR). EPA has appealed this ruling to the U.S. Supreme Court, and the Court has agreed to review the DCA opinion. A ruling is not expected before June, 2014. 1 Per CAIR, starting in 2009, NOx emissions are governed by a seasonal and annual program. 2 Under CAIR, pre-CAIR SO2 allowances are retired at a rate of 2 allowances for each ton emitted. It is assumed that pre-CAIR allowances will be retired before CAIR allowances. 5

Market liquidity for CAIR allowances continues to be low, with few transactions occurring. The following table shows estimated values for Dover’s banked allowances, based on broker bids & offers: Mark-to-Market for CAIR Allowances (9/23/2013) Commodity $/Ton Tons Extended (Bid/Offer Avg.) Value SO2 Allowances (2009 & earlier) $ 1.38 5,089 $ 7,023 SO2 Allowances (2010-13) $0.68 5,964 4,055 NOx Allowances - Seasonal $18.00 59 1,062 NOx Allowances - Annual $40.00 178 7,120 TOTAL $19,260 Regional Greenhouse Gas Initiative The State of Delaware is a participant in the Regional Greenhouse Gas Initiative (RGGI). The City of Dover must comply with RGGI by surrendering carbon dioxide (CO2) allowances pursuant to the State of Delaware’s laws (Title 7, Chapter 60, Sub-Title II-A). Delaware has elected a combined emissions allowance allocation/auction mechanism for RGGI, in which 40% of CO2 allowances were allocated to sources for 2009, declining by 8% per year so that by 2014, all CO2 allowances are auctioned. Dover had more than a sufficient number of RGGI allowances allocated to it to cover its requirements through the first compliance period (calendar years 2009-2011). Any unused allowances are carried over (“banked”) for subsequent years. The table below shows RGGI allowance allocations, deductions and the cumulative balance by year (column 8). CO2 Allowance Summary (8/31/2013) 1 2 3 4 5 6 7 8 CO2 Allowances Available Annual CO2 CO2 (Per Facility, Allocated Cumulative CO2 Tons CO2 Allowance Allowances Prior to Sale) CO2 Vintage Sold YTD Allowances Emitted Allowance Balance McKee Balance VanSant Run 2009 0 60,128 2,056 62,184 (5,796) 56,388 56,388 2010 0 48,102 1,645 49,747 (32,971) 16,776 73,164 2011 0 36,077 1,234 37,311 (17,763) 19,548 92,712 2012 0 27,058 925 27,983 ( 15,265) 11,793 104,505 2013 0 15,032 514 15,546 (7,732) 7,814 112,319 6

The table shows that the “Allocated CO2 Allowances” (column 5) are declining. After 2013, Dover will no longer receive allocations of RGGI allowances. The Cumulative Balance (column 8) – aka “Banked Allowances”) can be utilized for generation in future years (including 2013). Once the banked allowances have been fully utilized, Dover will be required to purchase allowances through the periodic RGGI auctions or through over-the- counter markets. Assuming that Dover does not sell any banked allowances, it will be able to maintain a positive balance through 2016 – 2025, depending on actual annual energy production in 2012 and beyond. On February 7, 2013, RGGI proposed changes to its Model Rule. The proposed changes have been included in previous monthly reports. With the release of the Updated Model Rule, the RGGI states now plan to revise their CO2 Budget Trading Programs through their individual state-specific statutory and regulatory processes. Each RGGI state seeks to complete their state specific processes such that the proposed changes to the program would take effect on January 1, 2014. The Delaware Department of Natural Resources expects to publish a draft rule in the Delaware Register in the near future. Dover could elect to sell all or a portion of its banked allowances now and re-acquire allowances at a later date; however TEA is currently of the opinion that Dover will be better off retaining its banked allowances for use during future compliance years. The most recent RGGI auction occurred on September 5, 2013; the auction cleared at $2.67 which is below the $3.21/ton auction clearing price for the June auction. The next auction will occur on December 4, 2013. RGGI futures settlement prices posted on Intercontinental Exchange (ICE) on September 23, 2013 ranged from $2.98 to $3.00/ton, depending on vintage. Based on the average ICE futures prices, the value of Dover’s existing RGGI allowance bank (112,319 tons) is approximately $302,231. Vintage Balance (Tons) Settlement Extended Value Price ($/Ton) 2009 56,388 $2.67 $150,556 2010 16,776 $2.67 44,792 2011 19,548 $2.73 53,366 2012 11,793 $2.73 32,195 2013 7,814 $2.73 21,322 TOTAL 112,319 $302,231 7

Renewable Energy Certificates Dover owns two photovoltaic systems totaling 15 kW, consisting of (a 5 kW unit at the Utilities Administration Building and two 5 kW units at the McKee Run generating station. Dover also receives solar energy produced by the 10 MW Dover Sun Park which is owned by White Oak Solar Energy, LLC. In addition to the all of the physical energy produced by the Sun Park, Dover receives 15% of Sun Park’s SRECS. Through the end of A 2013, Dover has accumulated a total of 5,734 SRECS from these renewable energy resources. The nearest viable market for Dover’s SRECs is Pennsylvania. Pennsylvania’s August 2013 SREC auction cleared separately for 2011, 2012 and 2013 vintage allowances. Clearing prices and Dover’s SREC market value estimate are shown in the table below. SREC SREC Vintage Auction Clearing Price Market Value Quantity 2011 $4.01 1,190 $ 4,772 2012 $5.01 2,799 14,023 2013 $13.00 1,745 22,685 TOTAL 5,734 $37,490 With the exception discussed below, TEA continues to recommend to Dover to retain these allowances for compliance with its Renewable Portfolio Standard which DEMEC is working on. Once Dover has an approved RPS in place, it may be required to retire a portion of its current SREC balance for compliance in the 2012/13 future compliance year. Any remaining SRECs could be used for the 2013/14 compliance year. SRECs in both Delaware and Pennsylvania expire without value after 3 years. Dover currently has 7 2010 Vintage SRECs which may expire in the near future. If Dover is not able to use these for compliance with its Renewable Portfolio Standard before they expire, it may not make sense to sell such a small quantity of RECs (market value of around $30). This will become more of a concern in 2014 because Dover began accumulating SRECs from the SunPark in July 2011. TEA stands ready to transfer, retire or sell SRECs upon receipt of instructions from Dover. 8

D. Operations Management Summary: During the month of August, there were no reportable or lost time accidents or injuries. The facility has now gone 1,052 days without an OSHA recordable accident and 1,052 consecutive days without a lost time reportable accident. There were zero Environmental Notices of Violations issued and there were two Near Miss incidents. One Near Miss involved a pinch point incident and the other Near Miss, a leak on the gas piping for Unit 2. There was one opacity deviation experienced on a Unit 2 start-up. In the month of August, Units 1, 2, and 3 were self-dispatched once and Unit 11 twice to support Emissions Testing. In addition, Unit 3 was dispatched four times and Unit 11 was dispatched three times by PJM. Emissions Testing was completed all four units although minor issues with the recording of fuel flow by the Unit 11 DAHS and the Unit 2 DAHS are being worked out towards resolution. Unit 11 tripped off line a couple of times during testing on fuel oil due to high temperature spreads on the exhaust thermocouples, an issue that will be addressed in the Fall Outage. Monthly Budget Variance – The actual expenses attributable to O&M of the two sites for the month of August were $669,389 against a budgeted amount of $416,412 for an unfavorable variance of $252,977 or 60.75%. The principal reason for the unfavorable variance was due to the timing of expenses for the Plant’s General Liability and Environmental Insurance Premium that was late in being invoiced. Lower than budgeted water/sewer expenses helped to reduce the unfavorable variance. E. Risk Management Summary: Forward power prices in PJM are significantly lower than last month. The blended cost has decreased for all years. The current projected cost of service is below: Blended Monthly Cost Change Power Year Hedge Ratio ($/MWh) ($/MWh) 2013-14 68% $ 48.98 $ (2.35) 2014-15 41% $ 44.04 $ (2.37) 2015-16 19% $ 42.12 $ (3.07) 9

II. Budget Report Variance Report: Budget Actual Variance Aug-13 Aug-13 Gross Load 77,407 71,151 6,256 Power Supply Hedged Energy $3,452,702 $3,452,702 $0 PJM - Energy $846,585 586,382 $260,203 PJM - ARR, Transmission and Fees $395,000 454,671 ($59,671) Dover SUN Park Energy $154,657 $176,372 ($21,715) Dover SUN Park RECs $25,000 $43,129 ($18,129) Management Fees $83,000 $83,000 $0 Capacity UCAP Obligated Purchased $1,388,224 $1,363,490 $24,734 Subtotal - Power Supply $6,345,168 $6,159,746.2 $185,422 Power Generation O&M Plant O&M 416,412 $669,389 (252,977) Subtotal Generation O&M 416,412.00 669,389 ($252,977) Power Generation Production Margin Economic and reliability dispatch $0 $ (198,043.76) $198,044 Fixed Fuel and Transport Charges $0 $ 284,212.70 ($284,213) Subtotal Generation Production Margin $0 $ 86,168.94 ($86,169) Power Generation Non-Production Revenue Generation Capacity Credit ($1,329,125) $ (1,329,125.00) $0 Emissions Allowance Sales $0 $ - $0 Black Start & Transmision Losses ($35,580) $ (58,212.51) $22,633 Subtotal - Non-Production Revenue ($1,364,705) ($1,387,338) $22,633 SubTotal - All Generation (948,293.00) ($631,780) ($316,513) Total - Utilities Cost $5,396,875 $5,527,967 ($131,092) Unit Costs Total - Power Supply $81.97 $86.57 ($4.60) Total - Power Generation ($12.25) ($8.88) ($3.37) Final Cost of Service to City of Dover Ratepayers $69.72 $77.69 ($7.97) 10

Variance Analysis: Power Supply  Dover consumed 6,256 MWh less than what was forecasted for the month.  PJM energy costs were higher than expected and PJM’s fees were higher than forecast. This was due to higher market prices. Hedged costs were as forecasted.  The result of higher overall costs for more power was a net power supply cost of $86.57/MWh, $4.60/MWh higher than budget.  For the month, the city realized an favorable variance of $185,422 for power supply vs. the monthly budget.  Dover Sun Park generated 41 MWh less than forecast. Generation  Power generation had an unfavorable budget variance of $316,513.  Plant O&M expenses had an unfavorable budget variance of $252,977 for the month. 11

YTD Variance Report: Budget Actual Variance YTD YTD Gross Load 153,719 153,223 496 Power Supply Hedged Energy $6,905,404 $6,905,404 $0 PJM - Energy $1,821,806 $2,144,033 ($322,227) PJM - ARR, Transmission and Fees $790,000 $1,023,911 ($233,911) Dover SUN Park Energy $324,096 $363,793 ($39,698) Dover SUN Park RECs $50,000 $86,414 ($36,414) Management Fees $166,000 $166,000 $0 Capacity UCAP Obligated Purchased $2,776,448 $2,726,973 $49,474 Subtotal - Power Supply $12,833,753 $13,416,528 ($632,250) Power Generation O&M Plant O&M $1,222,806 $1,162,523 $60,283 Subtotal Generation O&M $1,222,806 $1,162,523 $60,283 Power Generation Production Margin Economic and reliability dispatch ($230,472) ($1,322,210) $1,091,738 Fixed Fuel and Transport Charges $0 $707,934 ($707,934) Subtotal Generation Production Margin ($230,472) ($614,276) $383,805 Power Generation Non-Production Revenue Generation Capacity Credit ($2,658,250) ($2,658,250) $0 Emissions Allowance Sales $0 $0 $0 Black Start & Transmision Losses ($71,160) ($220,353) $149,193 Subtotal - Non-Production Revenue ($2,729,410) ($2,878,603) $149,193 SubTotal - All Generation ($1,737,076) ($2,330,356) $593,281 Total - Utilities Cost $11,096,678 $11,086,172 $10,505 Unit Costs Total - Power Supply $83.49 $87.56 ($4.07) Total - Power Generation ($11.30) ($15.21) $3.91 Final Cost of Service to City of Dover Ratepayers $72.19 $72.35 ($0.17) 12

III. Operations Management NAES Corporation Dover, Delaware August 2013 Monthly Report NAES Scholarship Award Winners Clockwise (top left) Plant Manager, Vince Scire, Gabrielle Lavender and her father Ray Lavender (Operations Supervisor), (top right) Operator Eric Carrow, daughter Emily Carrow and Vince Scire and (below) Vince Scire and Lori Berryhill, daughter of Lance Berryhill 13

Table of Contents 1.0 Environmental, Health, and Safety 2.0 Financial 3.0 Operations 4.0 Maintenance 5.0 CIP 6.0 General Plant Information 7.0 Summary of NAES Performance 14

1.0 Environmental, Health and Safety: During the month of August, there were no restricted work days or lost time accidents. The facility has now gone two years, ten months and fourteen days (1,052 days) through August 31, 2013 without an OSHA Recordable Accident or a Lost Time reportable accident. There were two Near Miss Incidents during the month. The plant received no Notice of Violations (NOVs) during the month. The August (July Discharge) DMR was submitted for the McKee Run site with no NPDES exceedences. There was one opacity deviation during the month during a Unit 2 operation. In July, Tom Lilly (DNREC) had conducted his annual compliance audit where he was supplied documentation supporting plant compliance with applicable regulations pertaining to the Title V Air Permits. A return site visit occurred in August so that Mr. Lilly could observe unit operations and to gather real time operating/emissions data. At this time, Mr. Lilly informed plant staff that he would be retiring in December of 2013 and that no DNREC replacement had been named as of yet. Subsequent form the site visit, letters were received from the DNREC stating that the McKee Run and VanSant Facilities were in compliance with their Title V Operating Permits. The Plant Safety training matrix has been updated for 2013 and is being tracked on a monthly basis for all employees. The training program includes the inclusion of the General Physics on-line training system as well as plant safety procedures and policies. Safety Procedures and associated quizzes are currently being updated. As they are completed, staff will retrain on each one to ensure they understand what changes have been made, if any, to the programs. Stack testing was performed on all four generation units in August. Fuel flow problems were encountered during oil testing on Unit 2 and natural gas testing on Unit 11 that will potentially require retesting on the particular unit and on that particular fuel where the problem existed. A bad PLC channel was the cause of the Unit 2 problem and a bad connection on a wiring terminal was the cause of the problem on Unit 11. 15

Environmental, Health, and Safety Statistics Month Fiscal Year to Date (August) (7/1/13-6/30/14) NOVs 0 0 Opacity Deviations 0 0 Environmental Deviations 1 1 OSHA Recordable 0 0 OSHA LTA's 0 0 First Aid cases 0 0 Restricted Workday Accident 0 0 Near Miss 2 2 Man Hours Worked 4,324 8,882.75 Date last OSHA Recordable 10/14/10 Date last Lost Time Accident 10/14/10 Days since last OSHA recordable 1,052 Days since last Lost Time Accident 1,052 Emissions (NOx & SO2) All data thru 8/31/13 NOx Summary – Ozone Season (May-Sep) Tons Year Unit #1 Unit #2 Unit #3 Unit #11 TOTAL 2010 0.7 2.2 88.7 3.3 94.7 2011 1.8 1.5 31.4 1.4 36.1 2012 1.2 1.0 35.8 1.0 33.1 2013 0.7 1.3 15.3 1.1 17.4 NOx Summary - Year (Jan-Dec) Tons Year Unit #1 Unit #2 Unit #3 Unit #11 TOTAL 2010 0.7 2.2 88.7 3.3 94.7 2011 1.8 1.5 32.6 2.9 38.8 2012 1.2 1.1 35.8 1.0 36.9 2013 0.7 1.3 15.4 1.1 17.5 SO2 Summary - Year (Jan-Dec) Tons Year Unit #1 Unit #2 Unit #3 Unit #11 TOTAL 2010 0.0 0.0 0.3 0.0 0.3 2011 0.0 0.0 0.1 0.5 0.6 2012 0.0 0.0 0.0 0.1 0.1 2013 0.0 0.0 0.0 0.2 0.2 CO2 Allowances Summary CO2 CO2 CO2 Allowances Available Total CO2 CO2 Allowance Allowances (Per Facility, Prior to Tons Emitted Allowance Vintage Sold YTD Sale) Balance McKee Run VanSant 2009 0 60,128 2,056 5,796 56,388 2010 0 48,102 1,645 32,971 16,776 16

2011 0 36,077 1,234 17,763 19,548 2012 0 27,058 925 15,265 11,793 2013 0 15,032 514 7,732 7,814 Total CO2 Allowance Balance 112,319 *Note: CO2 allowance values are provided by the RGGI CO2 Allowance Tracking System. Note: All emissions (NOx, SO2 and CO2) totals for 2013 are unofficial. CAIR NOx Allowances Summary* NOx Allowances CAIR CAIR NOx Available Total NOx NOx Allowance Balance CAIR NOx NOx Allowances (Per Facility, Prior to Tons Emitted Allowances Allowance Sold YTD Sale) (Yr/ Season) Purchased Vintage McKee McKee VanSant YTD VanSant Run McKee Run - Run (Yr/Season) (Yr/Season) (Yr/Season) VanSant (Yr/Season) 2010 and 3*** 27/0 0/2 earlier 2011 0 77/48 5/3 33/31– 3/1 0/0 - 0/0 42/10 2/2 2012 2** 75/46 5/3 36/36 – 1/1 0/0 - 0/0 39/10 2/0 2013 0 77/48 5/3 15/15 – 1/1 0/0 - 0/0 62/33 4/2 Total NOx Allowance Balance 170/53 8/6 *Note – Emissions allowances are deducted according to oldest vintage first or unless otherwise directed. **Note – The facility transferred Ozone Season allowances to a third party. ***Note- The facility transferred Annual allowances to a third party SO2 Allowances Summary SO2 Allowances Total SO2 Tons Available Total SO2 Tons Emitted – (Per Unit, Prior Emitted – SO2 Allowances SO2 Allowance SO2 Allowances U3 and U11 to Sale & U3 and U11 Balance Vintage Sold - YTD YTD Reconciliation) YTD Unit #3 Unit #11 2010 and earlier 0 4815 276 0 5089 2011 0 1850 138 1 1988* 2012 0 1850 138 1 1988* 2013 0 1850 138 0 1988* Total SO2 Allowance Balance 11,053 Note – Emissions allowances are deducted according to oldest vintage first, unless otherwise directed. 17

2.0 Financial Financial – Current Month (Estimated) Month – August Actual Budget Variance Personnel 239,584 244,535 $4,951 Materials & Supplies 3,349 46,335 $42,986 Administrative Expenses 426,456 125,542 -$300,914 Total 669,389 416,412 -252,977 Financial – Fiscal Year to Date (Estimated) Number of Months – 2 Actual Budget Variance Personnel 424,868 494,880 $70,012 Materials & Supplies 33,094 96,720 $63,626 Administrative Expenses 524,687 631,206 $106,519 Total 982,649 $1,222,806 $240,157 2.1 Variance analysis: The City of Dover Finance Department has closed the books for the month of August, 2013. The expenses for August are $669,389 against a budgeted amount of $416,412 for an unfavorable variance of $252,977 or 60.75%. The variance was due to the following: PERSONNEL EXPENSES – A favorable monthly variance of $4,951 was to due to not having a full complement of employees although a portion of this savings was offset by higher than budgeted overtime expenses which included straight time labor, overtime labor, and labor burdens. MATERIALS AND SUPPLIES EXPENSES- A favorable monthly variance of $42,986 was due primarily to lower than budgeted water/sewer costs for the month and the timing of the invoice receipt/payment. ADMINISTRATIVE EXPENSES – An unfavorable monthly variance of $300,914 was due primarily to the Plant’s general liability and environmental insurance costs being expensed in August versus July as originally budgeted. In addition, the invoices for Electric expenses were not paid this month due to billing cycle which will be reflected in next month’s billing. The forecasted expenses for this fiscal year are $5,925,565 expensed versus an approved budget of $6,015,800 thereby realizing a 99.58 % expenditure rate. 18

3.0 Operations Unit Operations / Outages / Trips In the month of August, Units 1, 2, and 11 were on line two days each for stack testing on oil and gas. Unit 3 was on line for testing one day on gas only. Unit 3 was dispatched twice and by PJM. Summer capacity tests were successfully completed on all four units. Month August 2013 McKee McKee McKee MRS VanSant Total Unit 1 Unit 2 Unit 3 Facility Unit 11 All Units Capacity MW 17 17 102 136 39 175 On Line Hours Hrs 41.516 39.116 41.466 122.098 19.364 141.462 Starts # 1 1 3 5 5 20 Gross Generation MWh 356.258 373.332 2,627.906 3,357.496 508.233 3,865.729 Net Generation MWh 334.906 353.667 2,420.370 3,108.943 507.764 3,616.707 Total Auxiliaries MWh 58.883 57.196 369.440 485.519 1.490 487.009 Auxiliaries purchased MWh 37.531 37.531 161.904 236.966 1.021 237.987 Fuel Gas Used MMBTU 3,903.816 3,472.896 27,717.273 35,093.985 4,423.177 39,517.162 Fuel Oil Used MMBTU 1,642.633 1,671.506 0.0 3,314.139 2,920.623 6,234.762 Fuel Oil Used Gallons 11,568 11,726 0.0 23,294 20,672 43,966 Total Fuel MMBTU 5,546.449 5,144.402 27,717.273 38,408.124 7,343.800 45,751.924 Net Heat Rate BTU/KWh 16.561 14.546 11.452 14.186 14.463 14.324 Unit Trips # 0 0 0 0 3 3 Capacity Factor % 2.65 2.80 3.19 3.07 1.75 2.78 Availability Factor % 94.62 100.00 100.00 98.21 100.00 94.99 Commercial % 0 0 0 0 0 0 Unavailability (CU) Planned Outage Hours Hours 0.0 0.0 0.0 0.0 0.0 0.0 Maintenance Outage Hours 0.0 0.0 0.0 0.0 0.0 0.0 Hours Forced Outage Hours Hours 0.0 0.0 0.0 0.0 0.0 0.0 Reserve Shutdown Hours 702.484 704.884 702.534 2109.902 724.636 2834.538 Hours HW Boiler Gas Usage MMBTU 0.0 0.0 Pilot Gas Usage MMBTU 413.000 862.000 1,275.000 1,275.000 # Note: Does not include HWB or Pilot Gas. Fuel usage numbers are taken from fuel flow instruments. 19

2013-2014 Fiscal Year-to-Date - August McKee McKee McKee MRS VanSant Total Unit 1 Unit 2 Unit 3 Facility Unit 11 All Units Capacity MW 17 17 102 136 39 175 On Line Hours Hrs 41.516 130.116 124.864 296.496 42.010 338.506 Starts # 1 2 9 12 12 24 Gross Generation MWh 356.258 862.929 9,145.019 10,364.21 1,246.692 11,610.90 Net Generation MWh 334.906 800.734 8,448.866 9,584.506 1,245.655 10,830.16 Total Auxiliaries MWh 58.883 99.726 1,045.457 1,204.066 3.754 1,207.82 Auxiliaries purchased MWh 80.154 122.684 349.304 552.142 2.717 554.859 Fuel Gas Used MMBTU 3,903.816 10,778.832 95,575.341 110,257.99 14,626.861 124,884.85 Fuel Oil Used MMBTU 1,642.633 1,671.506 0.0 3,314.14 2,937.660 6,251.80 Fuel Oil Used Gallons 11,568 11,726 0.0 23,294 20,795 44,089 Total Fuel MMBTU 5,546.449 12,450.338 95,575.341 113,572.13 17,564.52 131,136.65 Net Heat Rate BTU/KWh 16.561 15.443 11.354 14.453 14.157 14.305 Unit Trips # 0 0 0 0 4 4 Capacity Factor % 1.32 3.17 5.57 4.74 2.15 4.16 Availability Factor % 94.62 100.00 100.00 98.21 100.00 94.99 Commercial % 0 0 0 0 0 0 Unavailability (CU) Planned Outage Hours Hours 0.0 0.0 0.0 0.0 0.0 0.0 Maintenance Outage Hours 0.0 0.0 0.0 0.0 0.0 0.0 Hours Forced Outage Hours Hours 80.000 0.0 0.0 80.000 0.0 80.000 Reserve Shutdown Hours 1,366.484 1,357.884 1,365.732 4,090.10 1,445.990 5,536.09 Hours HW Boiler Gas Usage MMBTU 0.0 0.0 Pilot Gas Usage MMBTU 847.605 3,107.107 3,954.712 3,954.712 Fuel Oil Inventory Monthly Monthly Fuel Monthly FY 13-14 Fuel FY 13-14 Inventory Inventory Purchases Inventory Inventory Purchases Inventory (Start) (End) (Month) (Change) (Start) (YTD) (Change) McKee Run (#2 Fuel Oil) 454,725 430,931 0 (23,794) 454,725 0 (23,794) VanSant 145,964 125,738 0 (20,226) 146,133 0 (20,395) (#2 Fuel Oil) Note: As measured by tank level instruments. Tank levels may change due to oil temperature. VanSant Lifetime through August 2013 Actual Starts Factored Starts Fired Hours VanSant 1323 2,280.75 4,267.70 Since HGP - Dec 2004 242 613.05 884.12 20

Team Report: The Operations Team, with Maintenance Team support, satisfactorily completed the PJM Summer Capacity Tests on all four units. In addition, they supported unit operations for stack testing and for PJM dispatches. High thermocouple spread was encountered during testing on oil on Unit 11 that will require further investigation during the upcoming fall outage into the cause. The Operations staff has been continuing their work on painting the fuel lines now that most of the insulation has been removed from the pipeline. Plant employees continue General Physics safety training and environmental courses to enhance their overall knowledge of permit and safety requirements. As the GPI courses are being completed the employee reviews the standard operating procedure (SMP) for the same topic they are training on to review NAES policy and score a minimum 80% on a quiz before they can complete the SMP. Operations personnel continue to support maintenance by working on Preventative Maintenance (PM) work orders and other work orders that they have the skills to successfully complete the task. The Operations Department continues to utilize the Day Shift Workers in both the Operations and Maintenance areas to help in maintaining the plant. Capacity Testing – FY 2013-2014 Summer 2013 (June 1- Aug 31) Winter 2013-2014 (Dec 1- Feb 28) Unit Rated Net Reported Net Unit Rated Net Reported Net Capability (MW) Capability (MW) Capability (MW) Capability (MW) 1 17 17.2 1 17* 0.0 2 17 17.8 2 17* 0.0 3 102 103.0 3 102* 0.0 VanSant# 39 40.9 11 39* 0.0 Total 175 178.9 Total 175 0.0 Note: * Denotes Unit is qualified for the PJM Winter Demonstration Period Exemption Program and data has been submitted into the PJM eGADS Note: # Depicts Net Corrected Capacity for Ambient Air Conditions – VanSant Unit only 21

4.0 Maintenance During the month of August, the Plant Maintenance staff continued addressing the backlog of work orders and completing outage activities. There were fifty work orders issued with ninety-five work orders being completed during the month. There was no safety work orders entered into the plant’s Computerized Maintenance Management System (MP2) during the month. The table below summarizes the monthly work order activities. Work Order Report August - 2013 Outstanding From Outstanding Previous Issued This Completed at the end of Priority # Month Month This Month the month 1 17 3 12 8 2 62 12 37 37 3 41 4 4 41 4 6 0 0 6 5 18 2 0 20 SW1 0 0 0 0 SW2 0 0 0 0 SW3 0 0 0 0 SW4 0 0 0 0 SW5 0 0 0 0 PM 57 29 42 44 Totals 201 50 95 156 Note: PM Work Orders are included in the priority totals Notable activities during the month include:  The NAES Maintenance Staff completed the isolation of Units 1/2 Cooling Tower and Unit 3 Cooling Tower discharges from Outfalls 004 and 005, respectively. This was final modification needed to complete the Industrial Waste Water project.  The NAES Maintenance & the IC&E Staff completed the removal and installation of new motor bearings on Unit 3 Cooling Tower Fan #2. While performing the vibration monitoring inspection (predictive maintenance) on plant equipment, it was discovered that the motor had bad bearings and needed to be replaced.  The NAES IC&E completed a successful Linearity test on Unit 3. The staff also assisted the emission stack testing teams in completing the stack testing at McKee Run and VanSant generating Stations. 22

5.0 Capital Improvement Projects (CIP) Project Description Update Number Progress: Work is complete 99%. MR Industrial Waste EG1214 Schedule: Project to be complete in October, 2013 with the final water System revision of Standard Operating Procedures on the system. Unit #3 Cooling Progress: Bids have been received, evaluated and contract awarded. EG1402 Tower Repairs Schedule: Work planned to be completed in Fall 2013. McKee Run Progress: Work is being planned and scheduled for the Fall and Auxiliary Spring outages. EG1404 Component Schedule: Work activities are slightly behind due to unit operations. Replacement VanSant Station Progress: Work scheduled for the Fall and Spring. EG1405 Component Schedule: Planning activities are underway for Fall and Spring Replacement outages. Progress: Work scope is being developed and work areas assessed McKee Run HEP EG1406 for proper safety/fall protection. Pipe Repairs Schedule: Work to begin in Fall Outage period. Progress: Initial meeting set up with vendor to aid in system Metering System EG1407 integration and to help determine best system for COD. Upgrades Schedule: Work activities are slightly behind due to unit operations. McKee Progress: Work scheduled for the Fall and Spring. EG1408 Run/VanSant Safety Schedule: Work activities are slightly behind due to unit operations. Compliance Items McKee Run Natural Progress: Work scheduled for the Fall and Spring. EG1409 Gas Block-Bleed Schedule: Work activities are slightly behind due to unit operations. Valves McKee Progress: Crane specifications being developed and will be put out EG1410 Run/VanSant Crane for bid thereafter. Replacement Schedule: Work activities are slightly behind due to unit operations. McKee Progress: Plant staff completed development of paint specifications Run/VanSant and bid requests were sent out. . EG1413 Structural Schedule: Bids should be received in early September with work to Preservation be scheduled. Progress: Plant staff continues working with OEM to determine long lead material requirements. Work scope developed and work to bid out in September. Unit 3 Turbine EG1414 Schedule: Long lead items were procured in the spring of 2013. Repairs Some turbine parts (turbine 9th stage blades) have been ordered and received. List of consumables is being finalized and quotes requested thereafter. Bid meeting set up for September and bids to 23

be received in September. Approval process will then proceed. McKee Run Units Progress: Cost to be incurred due to repairs on Unit 1 boiler and EG1415 #1-#2 Component turbine. Repairs Schedule: Work activities are slightly behind due to unit operations. Progress: Bid specifications are being developed and Environmental permit modifications are being investigated. Bid documents sent out for environmental work. Communications with PJM to get MW VanSant Capacity EG1416 into system in the works with possibly a six-month wait period. Increase Schedule: Plant Staff and TEA to develop scoping documents and proceed with getting regulatory approvals. Environmental support bids to be received, evaluated and work awarded in September. 24

6.0 General Plant Information  Work continues on the VanSant Capacity increase project. Bids have been requested for technical support from companies with Environmental Permitting backgrounds to help in the permit application.  Plant staff is working to fill three current openings due to personnel changes as a result of an employee resignation and two employee terminations. Training:  Topics discussed during the monthly safety committee meeting were reviewed by the entire staff. The monthly safety topic was on “Effects of UV Radiation”. Topics discussed during the monthly safety committee meeting were reviewed by the entire staff.  Plant employees continue using the General Physics safety training and environmental courses to enhance their overall knowledge of permit and safety requirements. As the GPI courses are being completed, the employee reviews the standard operating procedure (SMP) for the same topic they are training on to review NAES policy as well. Calendar of Events Date DRBC Study Due September 15, 2013 NOx Ozone Season Ends September 30, 2013 Units 1, 2, 3 and 11 Fall Outage TBD Three Year Accident Free October 14, 2013 Winter Capacity Period December 1, 2013 to February 28, 2014 EIA-860 Report February 28, 2014 EIA-923 Report February 28, 2014 NOx Emissions Reconciliation Due March 1, 2014 SO2 Emissions Reconciliation Due March 1, 2014 SARA III Report March 1, 2014 NPDES Permit Renewal Due March 4, 2014 Units 1, 2, and 3 Spring Outage March , 2014 – June , 2014 Unit 11 Spring Outage March , 2014 – June , 2014 Annual VanSant Black Start Test March , 2014 Air Emission Inventory March , 2014 NOx Ozone Season Starts May 1, 2014 PJM Summer Capacity Test Period June 1, 2014 – August 31, 2014 Toxic Release Inventory (TRI) Annual Report July 1, 2014 McKee Run and VanSant Title V Semi-Annual Certification Due August 1, 2014 25

7.0 Summary of NAES Performance to Date Plant Performance FY 2013-2014 Measure Month Year to Date YTD FY Maximum Incentive Incentive Commercial 0.09% 0.09% $91,087 $94,882 Unavailability (CU) Safety 0 0 $17,790 $17,790 Environmental 0 0 $17,790 $17,790 Capacity Tests Summer Winter Summer Winter Completed Unit 1 Yes No Yes Yes* $3,559* $3,559 Unit 2 Yes No Yes Yes* $3,559* $3,559 Unit 3 Yes No Yes Yes* $21,349* $21,349 Unit 11 Yes No Yes Yes* $7,117* $7,117 Total YTD 97.71% Total YTD Incentive $162,249* $166,045 Incentive % Note: *All units have successfully completed the PJM Summer Capacity Tests and are now included in the PJM Winter Capacity Test Exemption Program. The YTD Incentive calculation reflects this information. 26

IV. Appendix – PJM Invoice Breakdown Gen Load Grand Total Auction Revenue Rights ($26,877.93) ($26,877.93) Balancing Operating Reserve ($2,640.95) $7,282.74 $4,641.79 Balancing Operating Reserve for Load Response $72.64 $72.64 Balancing Spot Market Energy $1,455.64 $39,650.26 $41,105.90 Balancing Transmission Congestion $60.35 $21,618.20 $21,678.55 Balancing Transmission Losses $691.18 $3,757.90 $4,449.08 Black Start Service $1,929.86 $1,929.86 Capacity Resource Deficiency ($157.17) ($157.17) Capacity Transfer Rights ($19,233.33) ($19,233.33) CT Lost Opportunity Cost Allocation ($17.36) ($17.36) Day-Ahead Load Response Charge Allocation $421.31 $421.31 Day-ahead Operating Reserve ($5,150.77) $3,548.32 ($1,602.45) Day-ahead Scheduling Reserve ($1.64) $369.09 $367.45 Day-ahead Spot Market Energy ($172,588.14) $378,361.73 $205,773.59 Day-ahead Transmission Congestion ($12,867.54) $41,308.32 $28,440.78 Day-ahead Transmission Losses ($7,003.53) $90,413.15 $83,409.62 Expansion Cost Recovery $427.49 $427.49 FERC Annual Recovery $4,216.08 $4,216.08 Generation Deactivation Refund ($758.35) ($758.35) Inadvertent Interchange ($702.07) ($702.07) Incremental Capacity Transfer Rights ($1,761.11) ($1,761.11) Load Reconciliation for Balancing Operating Reserve ($68.04) ($68.04) Load Reconciliation for Day-ahead Scheduling Reserve ($37.40) ($37.40) Load Reconciliation for FERC Annual Recovery $12.52 $12.52 Load Reconciliation for Inadvertent Interchange ($4.68) ($4.68) Load Reconciliation for Market Monitoring Unit (MMU) Funding $0.79 $0.79 Load Reconciliation for Non-Synchronized Reserve ($0.19) ($0.19) Load Reconciliation for North American Electric Reliability Corporation (NERC) $2.11 $2.11 Load Reconciliation for Organization of PJM States, Inc. (OPSI) Funding $0.15 $0.15 Load Reconciliation for PJM Scheduling, System Control and Dispatch Service $43.47 $43.47 Load Reconciliation for PJM Scheduling, System Control and Dispatch Service Refund ($1.24) ($1.24) Load Reconciliation for Reactive Services $1,161.18 $1,161.18 Load Reconciliation for Regulation and Frequency Response Service $17.84 $17.84 Load Reconciliation for Reliability First Corporation (RFC) $3.01 $3.01 Load Reconciliation for Schedule 9-6 - Advanced Second Control Center $4.51 $4.51 Load Reconciliation for Spot Market Energy ($5,821.59) ($5,821.59) Load Reconciliation for Synchronized Reserve ($4.35) ($4.35) Load Reconciliation for Transmission Congestion ($3,150.24) ($3,150.24) Load Reconciliation for Transmission Losses ($703.77) ($703.77) Load Reconciliation for Transmission Owner Scheduling, System Control and Dispatch Service $15.64 $15.64 Locational Reliability $1,384,641.66 $1,384,641.66 Market Monitoring Unit (MMU) Funding $290.30 $290.30 Meter Error Correction ($5,815.43) ($5,815.43) Michigan - Ontario Interface Phase Angle Regulators $216.23 $216.23 Network Integration Transmission Service $342,169.01 $342,169.01 Non-Firm Point-to-Point Transmission Service ($434.57) ($434.57) Non-Synchronized Reserve $214.91 $214.91 North American Electric Reliability Corporation (NERC) $708.57 $708.57 Organization of PJM States, Inc. (OPSI) Funding $48.89 $48.89 Peak-Hour Period Availability ($82,764.68) ($82,764.68) PJM Scheduling, System Control and Dispatch Service - Advanced Second Control Center $1,642.73 $1,642.73 PJM Scheduling, System Control and Dispatch Service - Capacity Resource/Obligation Mgmt. $943.95 $943.95 PJM Scheduling, System Control and Dispatch Service - Control Area Administration $11,989.23 $11,989.23 PJM Scheduling, System Control and Dispatch Service - Market Support $2,855.33 $2,855.33 PJM Scheduling, System Control and Dispatch Service - Market Support Offset $67.03 $67.03 PJM Scheduling, System Control and Dispatch Service - Regulation Market Administration $115.56 $115.56 PJM Scheduling, System Control and Dispatch Service Refund - Capacity Resource/Obligation Mgmt. ($29.45) ($29.45) PJM Scheduling, System Control and Dispatch Service Refund - Control Area Administration ($418.06) ($418.06) PJM Scheduling, System Control and Dispatch Service Refund - Market Support ($98.61) ($98.61) PJM Scheduling, System Control and Dispatch Service Refund - Regulation Market Administration ($5.03) ($5.03) PJM Settlement, Inc. ($67.03) ($67.03) Reactive Services $173,541.78 $173,541.78 Reactive Supply and Voltage Control from Generation and Other Sources Service ($29,467.58) $34,839.39 $5,371.81 Real-Time Load Response Charge Allocation $1,002.91 $1,002.91 Regulation and Frequency Response Service $16,336.67 $16,336.67 Reliability First Corporation (RFC) $1,013.26 $1,013.26 RPM Auction ($1,329,125.00) ($1,329,125.00) Synchronized Reserve $4,794.75 $4,794.75 Transmission Enhancement $ 4,883.03 $ 4,883.03 Transmission Losses ($28,743.29) ($28,743.29) Transmission Owner Scheduling, System Control and Dispatch Service $5,264.78 $5,264.78 Grand Total $ (1,556,637.98) $ 2,404,543.31 $847,905.33 27

The Energy Authority, Inc. Monthly Management Committee Update – September 2013 October 22, 2013 Prepared by: Robert Trinnear Client Services Manager 904.360.1309 rtrinnear@teainc.org

TABLE OF CONTENTS I. Executive Summary 1 II. Budget Report 12 III. Operations Management 15 IV. Appendix 29 i

I. Executive Summary A. Power Supply Summary: Overall Power Supply costs were $336,741 over budget due to higher reactive services costs and solar costs. Dover’s budgeted cost for all power supply (capacity AND energy) was $81.20/MWh. The actual cost of all power supply (capacity AND energy) was $87.47/MWh. The cost of energy alone was $53.08/MWh, versus a budgeted energy cost of $52.38. Dover’s hedge purchases totaled 48,800 MWh, which was 77% of the actual load. The budgeted hedge purchase totaled 43,200, which was 67% of the budgeted load. Dover’s power purchases from hedge transactions totaled $2,637,220. Purchases from PJM (energy and fees) totaled $1,239,043 with DA Energy purchases totaling $368,807 and Balancing Spot Market Energy totaling $300,780. Dover’s total load was 63,329 MWh versus a forecasted load of 64,070 MWh. Dover’s planned energy purchase from the SunPark solar installation was 1224 MWh. Dover’s actual energy purchase from the SunPark installation was 2000 MWh. 1

Supply Source Summary: Supply Variance: Budget Actual Variance Gross Load 64,070 63,329 741 Wholesale Load 62,846 61,329 1,517 Hedged Volume (MWh) 43,200 48,800 (5,600) Unhedged Volume (MWh) 19,646 12,529 7,117 Dover SunPark Volume (MWh) 1,224 2,000 (776) Renewable Energy Credits Volume 184 272 (88) Hedged Cost ($/MWh) $ 56.5 $ 54.0 $ 2.5 Unhedged Energy Cost ($/MWh) $ 41 $ 41 $ (0) Solar Energy Cost ($/MWh) $ 87 $ 102 $ (15) Energy Costs ($/MWh) $52.38 $53.08 ($0.70) All-in Costs - Energy, Capacity and RECs ($/MWh) $81.20 $87.47 ($6.27) 2

B. Generation Summary: Dover generated 3,877.66 MWh in the month. Net generation revenue was $1,301,600 vs. a budget of $965,618. This delta was mainly due to higher generation runs and margins during the month. 3

Generation Breakdown: City of Dover's Wholesale Generation Net Generation Mwh 3,879.66 All In Generation Margin PJM - Economic and reliability dispatch (GEN) $ 419,935.66 PJM - Generation Capacity Credit (GEN) $ 1,286,250.00 PJM - Black Start & Transmission Losses (GEN) $ 81,160.34 Gas Purchases $ (93,135.00) Oil Purchases $ - Transport / Cash Out $ (30,501.69) Gross Margin $ 1,663,709.31 Production Margin PJM - Economic and reliability dispatch (GEN) $ 419,935.66 Gas Purchases $ (93,135.00) Oil Purchases $ - Transport / Cash Out $ (30,501.69) Gross Production Margin $ 296,298.97 4

C. Emissions Summary: Emissions Allowance Summary through September 30, 2013 CAIR EMISSION ALLOWANCE SUMMARY SO2 NOx Allowances1 Date Action Allowances Seasonal Annual 1/1/09 2008 Carryover 3,240 0 0 1/1/09 2009 Allocation 2,723 53 80 2/1/10 2010 Allocation 2,039 50 78 1/1/11 2011 Allocation 1,988 49 78 4/1/11 2011 Reallocation 2 4 1/11/12 2012 Allocation 1,988 51 80 10/4/2012 2013 Allocation 1,988 49 76 9/29/09 SO2 Sales (1,500) 11/12/09 NOx Ann. Sales (45) 11/13/09 SO2 Sales (1,410) 11/20/09 NOx Seas. Sales (25) 12/31/09 2009 Emissions2 (1) (6) (13) 12/31/10 2010 Emissions 0 (54) (54) 10/31/10 EPA Linearity Testing Req. (68) (68) 2011 2010 Deficit NOx Purchases 53 22 Aug 2011 Revised 2010 ECMPS data 30 30 Nov 2011 NOx Seas. Sales (DEMEC) (1) 12/31/11 2011 Emissions2 (1) (32) (36) 12/31/12 2012 Emissions2 (1) (37) (37) Nov 2012 NOx Seas. Sales (DEMEC) (2) 2/13/2013 NOx Annual. Sales (DEMEC) (3) 9/30/2013 C.Y.T.D. 2013 Emissions 0 (20) (20) REMAINING ALLOWANCES 11,053 55 174 On August 21, 2012, a three-judge panel of the U.S. District Court of Appeals (DCA) in Washington vacated EPA’s Cross State Air Pollution Rule (CSAPR) which would have become effective on January 1, 2012. The DCA instructed EPA to continue administering the Clean Air Interstate Rule (CAIR). EPA has appealed this ruling to the U.S. Supreme Court, and the Court has agreed to review the DCA opinion. A ruling is not expected before June, 2014. 1 Per CAIR, starting in 2009, NOx emissions are governed by a seasonal and annual program. 2 Under CAIR, pre-CAIR SO2 allowances are retired at a rate of 2 allowances for each ton emitted. It is assumed that pre-CAIR allowances will be retired before CAIR allowances. 5

Market liquidity for CAIR allowances continues to be low, with few transactions occurring. The following table shows estimated values for Dover’s banked allowances, based on broker bids & offers: Mark-to-Market for CAIR Allowances (10/18/2013) Commodity $/Ton Tons Extended (Bid/Offer Avg.) Value SO2 Allowances (2009 & earlier) $ 1.38 5,089 $ 7,023 SO2 Allowances (2010-13) $0.675 5,964 4,026 NOx Allowances - Seasonal $19.00 55 1,045 NOx Allowances - Annual $38.00 174 6,612 TOTAL $18,706 Regional Greenhouse Gas Initiative The State of Delaware is a participant in the Regional Greenhouse Gas Initiative (RGGI). The City of Dover must comply with RGGI by surrendering carbon dioxide (CO2) allowances pursuant to the State of Delaware’s laws (Title 7, Chapter 60, Sub-Title II-A). Delaware has elected a combined emissions allowance allocation/auction mechanism for RGGI, in which 40% of CO2 allowances were allocated to sources for 2009, declining by 8% per year so that by 2014, all CO2 allowances are auctioned. Dover had more than a sufficient number of RGGI allowances allocated to it to cover its requirements through the first compliance period (calendar years 2009-2011). Any unused allowances are carried over (“banked”) for subsequent years. The table below shows RGGI allowance allocations, deductions and the cumulative balance by year (column 8). CO2 Allowance Summary (9/30/2013) 1 2 3 4 5 6 7 8 CO2 Allowances Available Annual CO2 CO2 (Per Facility, Allocated Cumulative CO2 Tons CO2 Allowance Allowances Prior to Sale) CO2 Vintage Sold YTD Allowances Emitted Allowance Balance McKee Balance VanSant Run 2009 0 60,128 2,056 62,184 (5,796) 56,388 56,388 2010 0 48,102 1,645 49,747 (32,971) 16,776 73,164 2011 0 36,077 1,234 37,311 (17,763) 19,548 92,712 6

2012 0 27,058 925 27,983 ( 15,265) 11,793 104,505 2013 0 15,032 514 15,546 (8,726) 6,820 111,325 The table shows that the “Allocated CO2 Allowances” (column 5) are declining. After 2013, Dover will no longer receive allocations of RGGI allowances. The Cumulative Balance (column 8) – aka “Banked Allowances”) can be utilized for generation in future years (including 2013). Once the banked allowances have been fully utilized, Dover will be required to purchase allowances through the periodic RGGI auctions or through over-the- counter markets. Assuming that Dover does not sell any banked allowances, it will be able to maintain a positive balance through 2016 – 2025, depending on actual annual energy production in 2012 and beyond. On February 7, 2013, RGGI proposed changes to its Model Rule. The proposed changes have been included in previous monthly reports. With the release of the Updated Model Rule, the RGGI states now plan to revise their CO2 Budget Trading Programs through their individual state-specific statutory and regulatory processes. Each RGGI state seeks to complete their state specific processes such that the proposed changes to the program would take effect on January 1, 2014. The Delaware Department of Natural Resources expects to publish a draft rule in the Delaware Register in the near future. Dover could elect to sell all or a portion of its banked allowances now and re-acquire allowances at a later date; however TEA is currently of the opinion that Dover will be better off retaining its banked allowances for use during future compliance years. The most recent RGGI auction occurred on September 5, 2013; the auction cleared at $2.67 which is below the $3.21/ton auction clearing price for the June auction. The next auction will occur on December 4, 2013. RGGI futures settlement prices posted on Intercontinental Exchange (ICE) on October 17, 2013 ranged from $2.67 to $2.85/ton, depending settlement month. Based on the average Intercontinental Exchange prices for December 2013 settlement ($2.70/ton), the value of Dover’s existing RGGI allowance bank is approximately $300,577. Renewable Energy Certificates Dover owns two photovoltaic systems totaling 15 kW, consisting of (a 5 kW unit at the Utilities Administration Building and two 5 kW units at the McKee Run generating station. Dover also receives solar energy produced by the 10 MW Dover Sun Park which is owned by White Oak Solar Energy, LLC. In addition to the all of the physical energy produced by the Sun Park, Dover receives 15% of Sun Park’s SRECS. Through the end of August 2013, Dover has accumulated a total of 6,007 SRECS from these renewable energy resources. 7

The nearest viable market for Dover’s SRECs is Pennsylvania. Pennsylvania’s September 2013 SREC auction cleared separately for 2012, 2013 and 2014 vintage allowances. Clearing prices and Dover’s SREC market value estimate are shown in the table below. SREC SREC Vintage Auction Clearing Price Market Value Quantity 2011 $4.01 1,190 $ 4,772 2012 $5.01 2,799 14,023 2013 $9.00 2,018 18,162 TOTAL 6,007 $36,957 With the exception discussed below, TEA continues to recommend to Dover to retain these allowances for compliance with its Renewable Portfolio Standard which DEMEC is working on. Once Dover has an approved RPS in place, it may be required to retire a portion of its current SREC balance for compliance in the 2012/13 future compliance year. Any remaining SRECs could be used for the 2013/14 compliance year. SRECs in both Delaware and Pennsylvania expire without value after 3 years. Dover currently has seven (7) 2010 Vintage SRECs which may expire in the near future. If Dover is not able to use these for compliance with its Renewable Portfolio Standard before they expire, it may not make sense to sell such a small quantity of RECs (market value of around $30). This will become more of a concern in 2014 because Dover began accumulating SRECs from the SunPark in July 2011. TEA stands ready to transfer, retire or sell SRECs upon receipt of instructions from Dover. 8

D. Operations Management Summary: During the month of September, there were no reportable or lost time accidents or injuries. The facility has now gone 1,082 days without an OSHA recordable accident and 1,082 consecutive days without a lost time reportable accident. There were zero Environmental Notices of Violations issued and there were no Near Miss incidents. In the month of September, Units 1 and 2 were dispatched once, Unit 3 was dispatched 4 times, and Unit 11 twice. Monthly Budget Variance – The actual expenses attributable to O&M of the two sites for the month of September were $362,109 against a budgeted amount of $356,037 for an unfavorable variance of $6,072 or 1.70%. The principal reason for the unfavorable variance was due to higher expenses for electricity costs for unit operations not anticipated. E. Risk Management Summary: Forward power prices in PJM are little changed from last month. The current projected cost of service is below: Blended Monthly Cost Change Power Year Hedge Ratio ($/MWh) ($/MWh) 2013-14 73% $ 49.04 $ 0.06 2014-15 42% $ 44.08 $ 0.04 2015-16 20% $ 41.97 $ (0.15) 9

II. Budget Report Variance Report: Budget Actual Variance Sep-13 Sep-13 Gross Load 64,070 63,329 741 Power Supply Hedged Energy $2,441,140 $2,637,220 ($196,080) PJM - Energy, Congestion & Losses $808,259 519,487 $288,772 PJM - ARR, Transmission and Fees $395,000 736,528 ($341,528) Dover SUN Park Energy $106,529 $204,853 ($98,324) Dover SUN Park RECs $25,000 $38,516 ($13,516) Management Fees $83,000 $83,000 $0 PJM - Capacity UCAP Obligated Purchased $1,343,442 $1,319,506 $23,936 Subtotal - Power Supply $5,202,370 $5,539,111 ($336,741) Power Generation O&M Plant O&M 356,212.00 $362,109 (5,897.00) Subtotal Generation O&M 356,212.00 362,109.00 ($5,897) Power Generation Production Margin PJM - Economic and reliability dispatch $0 $ (419,935.66) $419,936 Fixed Fuel and Transport Charges $0 $ 123,636.69 ($123,637) Subtotal Generation Production Margin $0 $ (296,298.97) $296,299 Power Generation Non-Production Revenue PJM - Generation Capacity Credit ($1,286,250) $ (1,286,250.00) $0 Emissions Allowance Sales $0 $ - $0 PJM - Black Start & Transmission Losses ($35,580) $ (81,160.34) $45,580 Subtotal - Non-Production Revenue ($1,321,830) ($1,367,410) $45,580 SubTotal - All Generation (965,618.00) ($1,301,600) $335,982 Total - Utilities Cost $4,236,752 $4,237,510 ($758) Unit Costs Total - Power Supply $81.20 $87.47 ($6.27) Total - Power Generation ($15.07) ($20.55) $5.48 Final Cost of Service to City of Dover Ratepayers $66.13 $66.91 ($0.79) 10

Variance Analysis: Power Supply  Dover consumed 741 MWh less than what was forecasted for the month.  PJM energy costs were lower than expected as less market purchases were required. Hedged costs were higher than forecasted due to an additional layering in of hedges. PJM Fees were well above budget, driven by large reactive services charges.  The result of higher overall costs for reactive services and solar was a net power supply cost of $87.47/MWh, $6.27/MWh higher than budget.  For the month, the city realized an unfavorable variance of $336,741 for power supply vs. the monthly budget.  Dover Sun Park generated 776 MWh more than forecast. Generation  Power generation had an favorable budget variance of $335,982.  Plant O&M expenses had an unfavorable budget variance of $5,897 for the month. 11

YTD Variance Report: Budget Actual Variance YTD YTD Gross Load 217,789 216,552 1,237 Power Supply Hedged Energy $9,346,544 $9,542,624 ($196,080) PJM - Energy, Congestion & Losses $2,630,065 $2,663,520 ($33,455) PJM - ARR, Transmission and Fees $1,185,000 $1,842,683 ($657,683) Dover SUN Park Energy $430,624 $568,647 ($138,022) Dover SUN Park RECs $75,000 $124,930 ($49,930) Management Fees $249,000 $249,000 $0 PJM - Capacity UCAP Obligated Purchased $4,119,890 $4,046,479 $73,411 Subtotal - Power Supply $18,036,123 $19,037,883 ($1,075,170) Power Generation O&M Plant O&M $1,579,018 $1,524,632 $54,386 Subtotal Generation O&M $1,579,018 $1,524,632 $54,386 Power Generation Production Margin PJM - Economic and reliability dispatch ($230,472) ($1,742,146) $1,511,674 Fixed Fuel and Transport Charges $0 $831,570 ($831,570) Subtotal Generation Production Margin ($230,472) ($910,575) $680,104 Power Generation Non-Production Revenue PJM - Generation Capacity Credit ($3,944,500) ($3,944,500) $0 Emissions Allowance Sales $0 $0 $0 PJM - Black Start & Transmission Losses ($106,740) ($301,513) $194,773 Subtotal - Non-Production Revenue ($4,051,240) ($4,246,013) $194,773 SubTotal - All Generation ($2,702,694) ($3,631,956) $929,263 Total - Utilities Cost $15,333,430 $15,405,926 ($72,497) Unit Costs Total - Power Supply $82.81 $87.91 ($5.10) Total - Power Generation ($12.41) ($16.77) $4.36 Final Cost of Service to City of Dover Ratepayers $70.40 $71.14 ($0.74) 12

III. Operations Management NAES Corporation Dover, Delaware September 2013 Monthly Report Ron Dove, new Compliance Coordinator, working happily at his desk at the McKee Run Generating Station. 13

Table of Contents 1.0 Environmental, Health, and Safety 2.0 Financial 3.0 Operations 4.0 Maintenance 5.0 CIP 6.0 General Plant Information 7.0 Summary of NAES Performance 14

1.0 Environmental, Health and Safety: During the month of September, there were no restricted work days or lost time accidents. The facility has now gone two years, eleven months and fourteen days (1,082 days) through September 30, 2013 without an OSHA Recordable Accident or a Lost Time reportable accident. There were no Near Miss Incidents or NOVs (Notice of Violations) during the month. The September (August discharge) DMR was submitted for the McKee Run site with no NPDES exceedences. There were no opacity deviations during the month. Results of the August Industrial Wastewater System discharge sample were received indicating high than anticipated levels of Arsenic. Additional sampling of wastewater streams within the plant was conducted in September to determine the source of the high Arsenic levels. Currently, plant staff is in discussions with Kent County to raise the loading level of the Arsenic, to which they seem amenable to changing. During the month of September, there were no restricted work days or lost time accidents. The facility has now gone two years, eleven months and fourteen days (1,082 days) through September 30, 2013 without an OSHA Recordable Accident or a Lost Time reportable accident. The Plant Safety training matrix has been updated for 2013 and is being tracked on a monthly basis for all plant employees. The training program includes the inclusion of the General Physics on-line training system as well as plant safety procedures and policies. Safety Procedures and associated quizzes are currently being updated. As they are completed, staff will retrain on each one to ensure they understand what changes have been made, if any, to the programs. SMP-03, LOTO, has been updated and all teams have gone through the training on the revised procedure. All training is to be completed no later than October 1, 2013. Environmental, Health, and Safety Statistics Month Fiscal Year to Date (September) (7/1/13-6/30/14) NOVs 0 0 Opacity Deviations 0 0 Environmental Deviations 0 1 OSHA Recordable 0 0 OSHA LTA's 0 0 First Aid cases 0 0 Restricted Workday Accident 0 0 Near Miss 0 2 Man Hours Worked 3,870 12,752.75 Date last OSHA Recordable 10/14/10 Date last Lost Time Accident 10/14/10 Days since last OSHA recordable 1,082 Days since last Lost Time Accident 1,082 15

Emissions (NOx & SO2) All data thru 9/30/13 NOx Summary – Ozone Season (May-Sep) Tons Year Unit #1 Unit #2 Unit #3 Unit #11 TOTAL 2010 0.7 2.2 88.7 3.3 94.7 2011 1.8 1.5 31.4 1.4 36.1 2012 1.2 1.0 35.8 1.0 33.1 2013 1.1 1.7 19.3 1.3 23.4 NOx Summary - Year (Jan-Dec) Tons Year Unit #1 Unit #2 Unit #3 Unit #11 TOTAL 2010 0.7 2.2 88.7 3.3 94.7 2011 1.8 1.5 32.6 2.9 38.8 2012 1.2 1.1 35.8 1.0 36.9 2013 1.1 1.7 19.4 1.3 23.5 SO2 Summary - Year (Jan-Dec) Tons Year Unit #1 Unit #2 Unit #3 Unit #11 TOTAL 2010 0.0 0.0 0.3 0.0 0.3 2011 0.0 0.0 0.1 0.5 0.6 2012 0.0 0.0 0.0 0.1 0.1 2013 0.0 0.0 0.0 0.2 0.2 CO2 Allowances Summary CO2 CO2 CO2 Allowances Available Total CO2 CO2 Allowance Allowances (Per Facility, Prior to Tons Emitted Allowance Vintage Sold YTD Sale) Balance McKee Run VanSant 2009 0 60,128 2,056 5,796 56,388 2010 0 48,102 1,645 32,971 16,776 2011 0 36,077 1,234 17,763 19,548 2012 0 27,058 925 15,265 11,793 2013 0 15,032 514 8,726 6,820 Total CO2 Allowance Balance 111,325 *Note: CO2 allowance values are provided by the RGGI CO2 Allowance Tracking System. Note: All emissions (NOx, SO2 and CO2) totals for 2013 are unofficial. 16

CAIR NOx Allowances Summary* NOx Allowances CAIR CAIR NOx Available Total NOx NOx Allowance Balance CAIR NOx NOx Allowances (Per Facility, Prior to Tons Emitted Allowances Allowance Sold YTD Sale) (Yr/ Season) Purchased Vintage McKee Run VanSant YTD McKee Run VanSant (Yr/Season) (Yr/Season) McKee Run - VanSant (Yr/Season) (Yr/Season) 2010 and 3*** 27/0 0/2 earlier 2011 0 77/48 5/3 33/31– 3/1 0/0 - 0/0 42/10 2/2 2012 2** 75/46 5/3 36/36 – 1/1 0/0 - 0/0 39/10 2/0 2013 0 77/48 5/3 19/19 – 1/1 0/0 - 0/0 58/29 4/2 Total NOx Allowance Balance 166/49 8/6 *Note – Emissions allowances are deducted according to oldest vintage first or unless otherwise directed. **Note – The facility transferred Ozone Season allowances to a third party. ***Note- The facility transferred Annual allowances to a third party SO2 Allowances Summary SO2 Allowances Available Total SO2 Tons Total SO2 Tons (Per Unit, Prior Emitted – SO2 Allowances SO2 Allowance SO2 Allowances Emitted – to Sale & U3 and U11 YTD Balance Vintage Sold - YTD U3 and U11 YTD Reconciliation) Unit #3 Unit #11 2010 and earlier 0 4815 276 0 5089 2011 0 1850 138 1 1988* 2012 0 1850 138 1 1988* 2013 0 1850 138 0 1988* Total SO2 Allowance Balance 11,053 Note – Emissions allowances are deducted according to oldest vintage first, unless otherwise directed. 17

2.0 Financial Financial – Current Month Month – September Actual Budget Variance Personnel 235,981 248,465 (12,484) Materials & Supplies 22,053 22,285 $232 Administrative Expenses 104,075 85,287 (18,788) Total $362,109 $356,037 ($6,072) Financial – Fiscal Year to Date Number of Months – 3 Actual Budget Variance Personnel 660,848 743,345 $82,497 Materials & Supplies 55,147 119,005 $63,858 Administrative Expenses 628,762 716,493 $87,731 Total $ 1,344,757 $1,578,843 $234,086 2.1 Variance analysis: The expenses for September are $362,109 against a budgeted amount of $356,037 for an unfavorable variance of $6,072 or 1.70%. The variance was due to the following: PERSONNEL EXPENSES – A favorable monthly variance of $12,484 was due to not having a full complement of employees (Straight Time Labor), although a portion of this savings was offset by higher than budgeted overtime expenses. The corresponding Labor Burden costs were also lower than budgeted for the month of September. MATERIALS AND SUPPLIES EXPENSES- A favorable monthly variance of $232 was due to Building Maintenance costs lower than anticipated which were offset slightly by the need to purchase water treatment chemicals to support unit operations. ADMINISTRATIVE EXPENSES – An unfavorable monthly variance of $18,788 was due to higher Environmental Expenses due to testing of water of samples needed to support the Industrial Waste Water System operations. In addition, invoicing for the HEP / FAC work was received and paid earlier than anticipated as well as higher than budgeted Electricity costs experienced in order to support unit operations (dispatch operations and Emissions Testing). The forecasted expenses for this fiscal year are $5,980,714 expensed versus an approved budget of $6,015,800 thereby realizing a 99.42 % expenditure rate. 18

3.0 Operations Unit Operations / Outages / Trips In the month of September, Units 1 and 2 were dispatched once, Unit 3 was dispatched four times and Unit 11 was dispatched twice by PJM. Month September 2013 McKee McKee McKee MRS VanSant Total Unit 1 Unit 2 Unit 3 Facility Unit 11 All Units Capacity MW 17 17 102 136 39 175 On Line Hours Hrs 33.249 40.200 58.332 131.781 9.466 141.247 Starts # 1 2 4 7 2 9 Gross Generation MWh 228.913 243.194 3,431.966 3904.073 322.359 4226.432 Net Generation MWh 210.564 223.681 3,136.437 3570.682 322.135 3,892.817 Total Auxiliaries MWh 49.798 50.962 507.991 608.751 0.506 609.257 Auxiliaries purchased MWh 31.449 31.449 212.462 275.360 0.282 275.642 Fuel Gas Used MMBTU 3,157.560 3,022.236 36,889.883 43,069.679 4,355.070 47,424.749 Fuel Oil Used MMBTU 0.0 0.0 0.0 0.0 0.0 0.0 Fuel Oil Used Gallons 0.0 0.0 0.0 0.0 0.0 0.0 Total Fuel MMBTU 3,157.560 3,022.236 36,889.883 43,069.679 4,355.070 47,424.749 Net Heat Rate BTU/KWh 14.996 13.511 11.762 13.423 13.519 13.447 Unit Trips # 0 1 0 0 0 1 Capacity Factor % 1.72 1.83 4.27 3.65 1.12 3.07 Availability Factor % 100.00 100.00 100.00 100.00 100.00 100.00 Commercial % 0 0 0 0 0 0 Unavailability (CU) Planned Outage Hours Hours 0.0 0.0 0.0 0.0 0.0 0.0 Maintenance Outage Hours 0.0 0.0 0.0 0.0 0.0 0.0 Hours Forced Outage Hours Hours 0.0 0.0 0.0 0.0 0.0 0.0 Reserve Shutdown Hours 686.751 679.800 661.668 2028.219 710.534 2738.753 Hours HW Boiler Gas Usage MMBTU 0.0 0.0 Pilot Gas Usage MMBTU 625.500 626.500 1,252.000 1,252.000 # Note: Does not include HWB or Pilot Gas. Fuel usage numbers are taken from fuel flow instruments. 19

2013-2014 Fiscal Year-to-Date - September McKee McKee McKee MRS VanSant Total Unit 1 Unit 2 Unit 3 Facility Unit 11 All Units Capacity MW 17 17 102 136 39 175 On Line Hours Hrs 74.765 170.316 183.196 428.277 51.476 479.753 Starts # 2 4 13 19 14 33 Gross Generation MWh 585.171 1,106.123 12,576.985 14,268.280 1,569.051 15,837.330 Net Generation MWh 545.470 1,024.415 11,585.303 13,155.190 1,567.790 14,722.980 Total Auxiliaries MWh 108.681 150.688 1,553.448 1812.817 4.260 1817.077 Auxiliaries purchased MWh 111.603 154.133 561.766 827.502 2.999 830.501 Fuel Gas Used MMBTU 7,061.376 13,801.068 132,465.224 153,327.670 18,981.931 172,309.60 Fuel Oil Used MMBTU 1,642.633 1,671.506 0.0 3,314.14 2,937.660 6,251.80 Fuel Oil Used Gallons 11,568 11,726 0.0 23,294 20,795 44,089 Total Fuel MMBTU 8,704.009 15,472.574 132,465.224 156,641.81 21,919.591 178,561.40 Net Heat Rate BTU/KWh 15.778 14.477 11.558 13.938 13.838 13.888 Unit Trips # 0 1 0 1 4 5 Capacity Factor % 1.45 2.73 5.14 4.38 1.82 3.81 Availability Factor % 96.38 100.00 100.00 98.79 100.00 99.09 Commercial % 0 0 0 0 0 0 Unavailability (CU) Planned Outage Hours Hours 0.0 0.0 0.0 0.0 0.0 0.0 Maintenance Outage Hours 0.0 0.0 0.0 0.0 0.0 0.0 Hours Forced Outage Hours Hours 80.000 0.0 0.0 80.000 0.0 80.000 Reserve Shutdown Hours 2,053.235 2,037.684 2,027.400 6,118.32 2,156.524 8,274.84 Hours HW Boiler Gas Usage MMBTU 0.0 0.0 Pilot Gas Usage MMBTU 1,473.105 3,733.607 5,206.712 5,206.712 Fuel Oil Inventory Monthly Monthly Fuel Monthly FY 13-14 Fuel FY 13-14 Inventory Inventory Purchases Inventory Inventory Purchases Inventory (Start) (End) (Month) (Change) (Start) (YTD) (Change) McKee Run (#2 Fuel Oil) 430,931 430,931 0 0 454,725 0 (23,794) VanSant 125,738 125,064 0 (674) 146,133 0 (21,069) (#2 Fuel Oil) Note: As measured by tank level instruments. Tank levels may change due to oil temperature. VanSant Lifetime through September 2013 Actual Starts Factored Starts Fired Hours VanSant 1328 2,291.75 4,479.60 Since HGP - Dec 2004 246 624.05 896.02 20

Team Report: Operations personnel continue to support maintenance by working on Preventative Maintenance (PM) work orders and other work orders that they have the skills to successfully complete the task. The Operations Department continues to utilize the Day Shift Workers in both the Operations and Maintenance areas to help in maintaining the plant. Plant employees continue General Physics safety training and environmental courses to enhance their overall knowledge of permit and safety requirements. As the GPI courses are being completed the employee reviews the standard operating procedure (SMP) for the same topic they are training on to review NAES policy and score a minimum 80% on a quiz before they can complete the SMP. The Operations staff has been continuing their work on painting the fuel oil lines now that most of the insulation has been removed from the pipeline. Capacity Testing – FY 2013-2014 Summer 2013 (June 1- Aug 31) Winter 2013-2014 (Dec 1- Feb 28) Unit Rated Net Reported Net Unit Rated Net Reported Net Capability (MW) Capability (MW) Capability (MW) Capability (MW) 1 17 17.2 1 17* 0.0 2 17 17.8 2 17* 0.0 3 102 103.0 3 102* 0.0 VanSant# 39 40.9 11 39* 0.0 Total 175 178.9 Total 175 0.0 Note: * Denotes Unit is qualified for the PJM Winter Demonstration Period Exemption Program and data has been submitted into the PJM eGADS Note: # Depicts Net Corrected Capacity for Ambient Air Conditions – VanSant Unit only 21

4.0 Maintenance During the month of September, the Plant Maintenance staff continued addressing the backlog of work orders and preparing for outage activities. There were forty-eight work orders issued with seventy-two work orders being completed during the month. There were no safety work orders entered into the plant’s Computerized Maintenance Management System (MP2) during the month. The table below summarizes the monthly work order activities. Work Order Report September - 2013 Outstanding From Outstanding Previous Issued This Completed at the end of Priority # Month Month This Month the month 1 13 4 7 10 2 62 6 28 40 3 45 0 5 40 4 6 0 0 6 5 21 4 1 24 SW1 0 0 0 0 SW2 0 0 0 0 SW3 0 0 0 0 SW4 0 0 0 0 SW5 0 0 0 0 PM 51 34 31 54 Totals 198 48 72 174 Note: PM Work Orders are included in the priority totals Notable activities during the month include:  The NAES IC&E Staff completed the repairs on 3A & 3B Boiler Feed Pump Recirculation valve air solenoid. It was determined that the weight of the solenoid valve and the air pressure regulator cause the air leak on the valve. The staff re-piped the solenoid valve and the air pressure regulator to prevent the air from recurring.  The NAES I,C/E Staff and STI-CEMS completed the annual audit of the opacity monitors at the McKee Run and VanSant Generating Stations. All of the opacity monitors passed the audit with no issues.  A water wall tube leak near the reheat section of the boiler was discovered on Unit 3 on September 5, 2013. To aid in identifying the exact location of the leak, the Operations and Maintenance staff completed a hydro on the boiler. Apex Pipe was called in to make the necessary repairs to the boiler which were completed in a timely manner. 22

5.0 Capital Improvement Projects (CIP) Project Description Update Number Progress: Work is complete 99%. MR Industrial Waste EG1214 Schedule: Project to be complete in October, 2013 with the final water System revision of Standard Operating Procedures on the system. Unit #3 Cooling Progress: Bids have been received, evaluated and contract awarded. EG1402 Tower Repairs Schedule: Work planned to be completed in Fall 2013. McKee Run Progress: Work is being planned and scheduled for the Fall and Auxiliary Spring outages. EG1404 Component Schedule: Work activities are slightly behind due to unit operations. Replacement VanSant Station Progress: Work scheduled for the Fall and Spring. EG1405 Component Schedule: Planning activities are underway for Fall and Spring Replacement outages. Progress: Work scope is being developed and work areas assessed McKee Run HEP EG1406 for proper safety/fall protection. Pipe Repairs Schedule: Work to begin in Fall Outage period. Progress: Initial meeting set up with vendor to aid in system Metering System EG1407 integration and to help determine best system for COD. Upgrades Schedule: Work activities are slightly behind due to unit operations. McKee Progress: Work scheduled for the Fall and Spring. EG1408 Run/VanSant Safety Schedule: Work activities are slightly behind due to unit operations. Compliance Items McKee Run Natural Progress: Work scheduled for the Spring Outage. EG1409 Gas Block-Bleed Schedule: Work activities are slightly behind due to unit operations. Valves McKee Progress: Crane specifications being developed and will be put out EG1410 Run/VanSant Crane for bid in late October. Replacement Schedule: Work activities are slightly behind due to unit operations. McKee Progress: Plant staff completed development of paint specifications Run/VanSant and bid requests were sent out. EG1413 Structural Schedule: Bids were received in early September although work is Preservation on hold pending budget evaluation. Progress: Plant staff continues working with OEM to determine long lead material requirements. Work scope developed and work was Unit 3 Turbine EG1212 bid out in September. Repairs Schedule: Long lead items were procured in the spring of 2013. Some turbine parts (turbine 9th stage blades) have been ordered and 23

received. List of consumables is being finalized and quotes requested thereafter. Bid meeting set up for September and bids to be received in September. Evaluation of bids is ongoing with award of contract expected to occur in November time frame. Progress: Cost to be incurred due to repairs on Unit 1 boiler and McKee Run Units turbine. EG1415 #1-#2 Component Schedule: Other Work activities are anticipated to be completed Repairs during the spring outage. Progress: Bid specifications are being developed and Environmental permit modifications are being investigated. Bid documents sent out for environmental work. Communications with PJM to get MW VanSant Capacity EG1416 into system in the works with possibly a six-month wait period. Increase Schedule: Environmental Support bids were received, evaluated and work was awarded in September. Data is now being gathered by the contractor for submission. 24

6.0 General Plant Information  Ron Dove was brought on-board as the new Compliance Coordinator. He started at the plant on September 30, 2013. Ron brings a variety of Environmental and Safety skills that will be beneficial to the team.  Plant staff continues to work to fill two current openings due to personnel changes as a result two employee terminations. Training:  Topics discussed during the monthly safety committee meeting were reviewed by the entire staff. The monthly safety topic was on “Seven Common Accident Causes”. Topics discussed during the monthly safety committee meeting were reviewed by the entire staff.  Plant employees continue using the General Physics safety training and environmental courses to enhance their overall knowledge of permit and safety requirements. As the GPI courses are being completed, the employee reviews the standard operating procedure (SMP) for the same topic they are training on to review NAES policy as well. Calendar of Events Date DRBC Study Due September 15, 2013 NOx Ozone Season Ends September 30, 2013 Units 1, 2, 3 and 11 Fall Outage October 1, 2013 to November 27, 2013 Three Year Accident Free October 14, 2013 Winter Capacity Period December 1, 2013 to February 28, 2014 EIA-860 Report February 28, 2014 EIA-923 Report February 28, 2014 NOx Emissions Reconciliation Due March 1, 2014 SO2 Emissions Reconciliation Due March 1, 2014 SARA III Report March 1, 2014 NPDES Permit Renewal Due March 4, 2014 Units 1, 2, and 3 Spring Outage March, 2014 – June , 2014 Unit 11 Spring Outage March, 2014 – June , 2014 Annual VanSant Black Start Test March, 2014 Air Emission Inventory March, 2014 NOx Ozone Season Starts May 1, 2014 PJM Summer Capacity Test Period June 1, 2014 – August 31, 2014 Toxic Release Inventory (TRI) Annual Report July 1, 2014 McKee Run and VanSant Title V Semi-Annual Certification Due August 1, 2014 25

7.0 Summary of NAES Performance to Date Plant Performance FY 2013-2014 Measure Month Year to Date YTD FY Maximum Incentive Incentive Commercial 0.00% 0.09% $91,087 $94,882 Unavailability (CU) Safety 0 0 $17,790 $17,790 Environmental 0 0 $17,790 $17,790 Capacity Tests Summer Winter Summer Winter Completed Unit 1 No No Yes Yes* $3,559* $3,559 Unit 2 No No Yes Yes* $3,559* $3,559 Unit 3 No No Yes Yes* $21,349* $21,349 Unit 11 No No Yes Yes* $7,117* $7,117 Total YTD 97.71% Total YTD Incentive $162,249* $166,045 Incentive % Note: *All units have successfully completed the PJM Summer Capacity Tests and are now included in the PJM Winter Capacity Test Exemption Program. The YTD Incentive calculation reflects this information. 26

IV. Appendix – PJM Invoice Breakdown Gen Load Grand Total Auction Revenue Rights ($26,010.90) ($26,010.90) Balancing Operating Reserve ($50,437.29) $34,660.34 ($15,776.95) Balancing Operating Reserve for Load Response $5.99 $5.99 Balancing Spot Market Energy $74,427.93 $300,780.29 $375,208.22 Balancing Transmission Congestion ($3,793.05) ($86,792.34) ($90,585.39) Balancing Transmission Losses $2,604.92 $7,225.29 $9,830.21 Black Start Service $2,038.91 $2,038.91 Capacity Resource Deficiency ($152.68) ($152.68) Capacity Transfer Rights ($18,612.90) ($18,612.90) CT Lost Opportunity Cost Allocation ($16.80) ($16.80) Day-Ahead Load Response Charge Allocation $1,161.22 $1,161.22 Day-ahead Operating Reserve ($2,394.97) $11,276.65 $8,881.68 Day-ahead Operating Reserve for Load Response $3.39 $3.39 Day-ahead Scheduling Reserve ($7,217.53) $6,601.96 ($615.57) Day-ahead Spot Market Energy ($421,975.18) $368,807.32 ($53,167.86) Day-ahead Transmission Congestion ($19,660.56) ($6,293.33) ($25,953.89) Day-ahead Transmission Losses $1,292.54 $36,959.57 $38,252.11 Expansion Cost Recovery $427.50 $427.50 FERC Annual Recovery $3,723.78 $3,723.78 Generation Deactivation Refund ($758.33) ($758.33) Inadvertent Interchange ($973.80) ($973.80) Incremental Capacity Transfer Rights ($1,704.30) ($1,704.30) Load Reconciliation for Balancing Operating Reserve ($322.20) ($322.20) Load Reconciliation for Day-ahead Scheduling Reserve ($2,197.20) ($2,197.20) Load Reconciliation for FERC Annual Recovery ($15.78) ($15.78) Load Reconciliation for Inadvertent Interchange $2.85 $2.85 Load Reconciliation for Market Monitoring Unit (MMU) Funding ($1.00) ($1.00) Load Reconciliation for Non-Synchronized Reserve ($15.76) ($15.76) Load Reconciliation for North American Electric Reliability Corporation (NERC) ($2.65) ($2.65) Load Reconciliation for Organization of PJM States, Inc. (OPSI) Funding ($0.18) ($0.18) Load Reconciliation for PJM Scheduling, System Control and Dispatch Service ($54.77) ($54.77) Load Reconciliation for PJM Scheduling, System Control and Dispatch Service Refund $1.91 $1.91 Load Reconciliation for Reactive Services $1,454.85 $1,454.85 Load Reconciliation for Regulation and Frequency Response Service ($898.08) ($898.08) Load Reconciliation for Reliability First Corporation (RFC) ($3.79) ($3.79) Load Reconciliation for Schedule 9-6 - Advanced Second Control Center ($5.58) ($5.58) Load Reconciliation for Spot Market Energy ($81,095.71) ($81,095.71) Load Reconciliation for Synchronized Reserve ($516.89) ($516.89) Load Reconciliation for Synchronous Condensing ($21.09) ($21.09) Load Reconciliation for Transmission Congestion ($5,143.70) ($5,143.70) Load Reconciliation for Transmission Losses ($3,928.69) ($3,928.69) Load Reconciliation for Transmission Owner Scheduling, System Control and Dispatch Service ($19.71) ($19.71) Locational Reliability $1,339,975.80 $1,339,975.80 Market Monitoring Unit (MMU) Funding $259.65 $259.65 Meter Error Correction ($6,345.15) ($6,345.15) Michigan - Ontario Interface Phase Angle Regulators $203.86 $203.86 Network Integration Transmission Service $331,131.30 $331,131.30 Non-Firm Point-to-Point Transmission Service ($349.22) ($349.22) Non-Synchronized Reserve $576.87 $576.87 North American Electric Reliability Corporation (NERC) $625.85 $625.85 Organization of PJM States, Inc. (OPSI) Funding $43.19 $43.19 PJM Scheduling, System Control and Dispatch Service - Advanced Second Control Center $1,683.83 $1,683.83 PJM Scheduling, System Control and Dispatch Service - Capacity Resource/Obligation Mgmt. $913.50 $913.50 PJM Scheduling, System Control and Dispatch Service - Control Area Administration $10,589.28 $10,589.28 PJM Scheduling, System Control and Dispatch Service - Market Support $2,556.90 $2,556.90 PJM Scheduling, System Control and Dispatch Service - Market Support Offset $59.80 $59.80 PJM Scheduling, System Control and Dispatch Service - Regulation Market Administration $95.60 $95.60 PJM Scheduling, System Control and Dispatch Service Refund - Capacity Resource/Obligation Mgmt. ($28.50) ($28.50) PJM Scheduling, System Control and Dispatch Service Refund - Control Area Administration ($369.26) ($369.26) PJM Scheduling, System Control and Dispatch Service Refund - Market Support ($88.19) ($88.19) PJM Scheduling, System Control and Dispatch Service Refund - Regulation Market Administration ($4.18) ($4.18) PJM Settlement, Inc. ($59.80) ($59.80) Reactive Services $272,812.50 $272,812.50 Reactive Supply and Voltage Control from Generation and Other Sources Service ($29,467.58) $34,839.52 $5,371.94 Real-Time Load Response Charge Allocation $1,190.94 $1,190.94 Regulation and Frequency Response Service $13,315.41 $13,315.41 Reliability First Corporation (RFC) $894.95 $894.95 RPM Auction ($1,286,250.00) ($1,286,250.00) Synchronized Reserve $ 4,917.70 $ 4,917.70 Transmission Enhancement $4,883.03 $4,883.03 Transmission Losses ($27,502.87) ($27,502.87) Transmission Owner Scheduling, System Control and Dispatch Service $4,650.01 $4,650.01 Grand Total $ (1,742,870.77) $ 2,531,045.98 $788,175.21 27

FUND SUMMARY as of 11/01/2013 Total Collected $ 957,022.92 DEMEC Admin Fee Paid $ 48,896.18 State Admin Fee Paid $ 22,292.26 Total Grant Dollars Paid $ 689,770.82 Customer Only Grants/Fees Reserved and Amount Owed $ 33,769.81 Community Project Funds Requested - Dov. Lib - Requested $ 1,970,000.00 Community Project Funds Requested - Dov. Lib -Still Owed $ 1,769,591.68 Energy Depot Fees Paid $ 46,748.99 Efficiency Program Dollars Paid $ 34,068.34 Solar Electric Power Association (SEPA) Fee Paid $ 4,317.61 *Unencumbered Funds Available Grants $ 18,468.04 Collected Funds Available for Dover Library $ 58,690.87 Current Grant Payment Delay (Months) 0.0 * As of 11/01/2013 GRANTS PAID Grant Amount Review Fee Amount Date Grant Paid Applicant Type Paid Paid Owed 9/21/2007 Laura Drew Kelly Geo - Res $ 3,000.00 $ 225.00 $ - 12/5/2007 Domingo Reye Solar - Res $ 12,762.50 $ 750.00 $ - 4/16/2008 Lakeland Commercial Group Geo - Comm $ 10,800.00 $ 750.00 $ - 6/19/2008 & 08/25/2008 L.D. Shank - Triad Farms Solar - Comm $ 30,000.00 $ 750.00 $ - 10/6/2008 City of Dover Solar - Comm $ 40,820.00 $ 750.00 $ - 10/21/2008 Robert & Cynthia Hartman Geo HP- Res $ 1,800.00 $ 135.00 $ - 10/21/2008 Robert Varipapa Geo HP- Res $ 2,400.00 $ 180.00 $ - 2/27/2009 David Jump Solar - Res $ 15,000.00 $ 750.00 $ - 2/27/2009 Jakob Seren Solar - Res $ 15,000.00 $ 750.00 $ - 2/27/2009 William Sweet Solar - Res $ 15,000.00 $ 750.00 $ - 3/31/2009 LD Shank - Triad Farms Solar WH-Comm $ 3,000.00 $ 225.00 $ - 3/31/2009 Warren & Joan Seaver Geo HP- Res $ 3,000.00 $ 225.00 $ - 4/22/2009 William Sweet Solar HW $ 3,000.00 $ 225.00 $ - 4/28/2009 State of DE/DNREC - DE National Solar - Comm $ 30,000.00 $ 750.00 $ - 4/29/2009 Delaware Primary Care, LLC Solar - Comm $ 30,000.00 $ 750.00 $ - 9/11/2009 NCALL Solar - Comm $ 30,000.00 $ 750.00 $ - 9/11/2009 D. Brian Beckman Geo HP- Res $ 2,000.00 $ 150.00 $ - 9/21/2009 LKSC Dover, LLC Kids Cottage Solar - Comm $ 29,925.00 $ 750.00 $ - 10/5/2009 Mark F. Boller Geo HP- Res $ 3,000.00 $ 225.00 $ - 10/5/2009 John Welgan Solar - Res $ 15,000.00 $ 750.00 $ - 11/4/2009 LKSC Dover, LLC Kids Cottage Geo - Comm $ 12,000.00 $ 750.00 $ - 3/25/2010 Minaxi Patel Solar - Res $ 15,000.000 $ 750.000 $ - 3/23/2010 J. McGiffin Jr. & K. Doyle Geo HP- Res $ 3,000.000 $ 225.000 $ - 5/28/2010 Nancy Warner Geo HP- Res $ 1,200.000 $ 90.000 $ - 6/2/2010 David Teel Geo HP - Res $ 1,800.000 $ 135.000 $ - 6/2/2010 Dewey J. Barich Geo HP- Res $ 2,400.00 $ 180.000 $ - 7/12/2010 Mike & Sharonb Laverty Solar - Res $ 5,105.000 $ 382.880 $ - 8/19/2010 James Grilli Geo HP- Res $ 1,800.00 $ 135.000 $ - 8/19/2010 Michael Noble Solar - Res $ 15,000.000 $ 750.000 $ - 9/17/2010 David Teel Solar - Res $ 7,500.000 $ 562.500 $ - 3/8/2011 Michael & Carol Apgar Solar - Res $ 7,500.000 $ 562.500 $ - 3/17/2011 Elizabeth Murphey School Geo HP - Comm $ 9,200.000 $ 690.000 $ - 5/24/2011 Richard Avant Geo HP - Res $ 2,400.000 $ 180.000 $ - 6/23/2011 Charles Messina Plumbing Solar - Comm $ 10,000.000 $ 750.000 $ - 10/4/2011 Charles Bounds Geo HP - Res $ 1,800.000 $ 135.000 $ - 3/29/2011 Psychiatric Access Central DE Solar - Comm $ 13,187.500 $ 750.000 $ - 7/8/2011 Michael J. Kopp Geo - Res $ 2,300.000 $ 135.000 $ 37.50 10/17/2011 City of Dover ** Library Geo - Comm $ 48,267.000 $ - $ - 3/7/2012 Ruth Ann Piper Geo - Res $ 1,200.000 $ 90.00 $ - 3/7/2012 Robert Hall Geo - Res $ 3,000.000 $ 225.00 $ - 3/7/2012 Elizabeth Murphey School Geo - Comm $ 13,800.000 $ 750.00 $ - 3/7/2012 Elizabeth Murphey School Geo - Comm $ 12,000.000 $ 750.00 $ - 3/7/2012 Elizabeth Murphey School Geo - Comm $ 5,400.000 $ 405.00 $ - 3/7/2012 Elizabeth Murphey School Geo - Comm $ 1,800.000 $ 135.00 $ - 3/7/2012 Elizabeth Murphey School Geo - Comm $ 10,200.000 $ 750.00 $ - 3/7/2012 Frank Daniels Geo - Res $ 4,400.00 $ 303.75 $ 26.25 8/15/2012 Chong S. Tamburo-Lepage Geo - Res $ 2,300.00 $ 172.50 $ - 12/5/2012 City of Dover ** Library Geo - Comm $ 152,141.32 $ - $ - 12/19/2012 Christopher W. Los Geo - Res $ 3,000.00 $ 225.00 $ - 1/30/2013 Matthew and Kimberly Chesser Geo - Res $ 3,000.00 $ 225.00 $ - 2/25/2013 Dennis Ho Solar - Res $ 6,775.00 $ 508.13 $ - 6/28/2013 John DeMarie Geo - Res $ 3,000.00 $ - $225.00 10/30/2013 James and Corinna Fritsch Solar - PV - Res $ 5,287.50 $ - $396.56 10/30/2013 James and Deri Austin Solar - PV - Res $ 7,500.00 $ - $562.50 Total $ 689,770.82 $ 22,292.26 $ 1,247.81 ARRA RELIEF GRANTS PAID Paid by State Customer System Type Amount 6/10/2011 Arturo Sanchez Solar - PV - Res $ 7,500.00 10/19/2011 John Diamond Enterprise LLC Solar - PV - Com $ 30,000.00 10/19/2011 John Diamond Enterprise LLC Geo HP - Com $ 10,000.00 Total $ 47,500.00 RECEIVED APPLICATIONS Grant Reservation Status Applicant Type Request Review Fee Approved Pending Completion Calogero Guarraggi Solar - PV - Res $ 7,500.00 $ 562.50 Approved Pending Completion Elizabeth Murphy School Geo HP - Com $ 3,700.00 $ 277.50 Received application - Not approved yet Governors Avenue Animal Hospital Solar - PV - Com $ 13,550.75 $ 750.00 Received application - Not approved yet Holly Pfeifer Solar - PV - Res $ 5,750.00 $ 431.25 Total $ 30,500.75 $ 2,021.25 ENERGY DEPOT FEES SEPA Fees Paid Fee Period Amount Date Measure Cost 3/3/2008 Start-up Fees $ 5,872.50 3/19/2012 2012 Annual Membership $ 2,158.81 4/15/2008 Start-up Fees $ 1,957.50 1/31/2013 2013 Annual Membership $ 2,158.80 4/15/2008 Mar, Apr, May 2008 $ 1,692.13 7/22/2008 June, July, Aug 2008 $ 1,692.13 10/10/2008 Sept, Oct, Nov 2008 $ 1,692.13 1/2/2009 Dec 08, Jan, Feb 2009 $ 1,692.13 4/3/2008 Mar, Apr, May 2009 $ 1,692.13 7/1/2009 June, July, Aug 2009 $ 1,692.13 9/11/2009 Sept, Oct, Nov 2009 $ 1,692.13 1/4/2010 Dec 09, Jan, Feb 2010 $ 1,692.13 3/29/2010 Mar, April, May 2010 $ 1,692.13 6/30/2010 June, July, Aug 2010 $ 1,692.13 Total $ 4,317.61 10/4/2010 Sept, Oct, Nov 2010 $ 1,692.13 1/3/2011 Dec 2010, Jan, Feb 2011 $ 1,692.13 4/5/2011 Mar, Apr, May 2011 $ 1,692.13

7/8/2011 June, July, Aug 2011 $ 1,692.13 10/4/2011 Sept, Oct, Nov, 2011 $ 1,692.13 1/3/2012 Dec 2011; Jan, Feb 2012 $ 1,692.13 4/5/2012 Mar, Apr, May 2012 $ 1,692.13 7/2/2012 June, July, Aug 2012 $ 1,692.13 10/2/2012 Sept, Oct, Nov 2012 $ 1,692.13 11/30/2012 Dec 12, Jan, Feb 2013 $ 1,692.13 2/25/2013 Mar, Apr, May 2013 $ 1,692.13 7/22/2013 June, July, Aug 2013 $ 1,692.13 8/26/2013 Sept, Oct, Nov, 2013 $ 1,692.13 Total Paid $ 46,748.99 ENERGY EFFICIENCY CAMPAIGNS/EDUCATION PROGRAMS Paid Program Measure Amount 1,500 CFL Campaign & 10/21/2008 Educational Literature $ 5,012.29 12/11/2008 Reimbursement for Green $ 3,459.12 Thermal Imager for Home Audits 3/31/2009 Program $ 5,581.12 Eco @ Home Energy Conserve. 1/4/2011 Calendars $ 20,015.81 Total $ 34,068.34 10/30/2013 Dover Library Community Funds Collection - $ 1,970,000.00 Allocation change from Dover Dover Library Community Grant Payment Schedule Collections Payment Due Date Requested Amount Funds Available Funds Paid to Date 10/17/2011 $ 48,267.00 $ 48,267.00 $ 5,021.15 1/2 of Oct 2009 GEF Payment 12/5/2012 $ 152,141.32 $ 152,141.32 $ 4,783.94 1/2 of Nov 2009 GEF Payment June 1, 2014 $ 98,500 $ 58,690.87 $ 4,813.23 1/2 of Dec 2009 GEF Payment June 1, 2015 $ 98,500 $ 5,454.02 1/2 of Jan 2010 GEF Payment June 1, 2016 $ 98,500 $ 5,147.49 1/2 of Feb 2010 GEF Payment June 1, 2017 $ 98,500 $ 4,897.69 1/2 of March 2010 GEF Payment June 1, 2018 $ 98,500 $ 3,976.14 1/2 of April 2010 GEF Payment June 1, 2019 $ 98,500 $ 5,638.90 1/2 of May 2010 GEF Payment June 1, 2020 $ 98,500 $ 5,645.35 1/2 of June 2010 GEF Payment June 1, 2021 $ 98,500 $ 6,590.60 1/2 of July 2010 GEF Payment June 1, 2022 $ 98,500 $ 7,786.09 1/2 of August 2010 GEF Payment June 1, 2023 $ 98,500 $ 6,415.31 1/2 of Sept 2010 GEF Payment June 1, 2024 $ 98,500 $ 5,327.96 1/2 of Oct 2010 GEF Payment June 1, 2025 $ 98,500 $ 4,787.73 1/2 of Nov 2010 GEF Payment June 1, 2026 $ 98,500 $ 4,939.75 1/2 of Dec 2010 GEF Payment June 1, 2027 $ 98,500 $ 5,452.55 1/2 of Jan 2011 GEF Payment June 1, 2028 $ 98,500 $ 5,410.35 1/2 of Feb 2011 GEF Payment June 1, 2029 $ 98,500 $ 4,646.32 1/2 of March 2011 GEF Payment June 1, 2030 $ 98,500 $ 4,742.22 1/2 of April 2011 GEF Payment June 1, 2031 $ 98,500 $ 4,702.48 1/2 of May 2011 GEF Payment June 1, 2032 $ 98,500 $ 5,664.97 1/2 of June 2011 GEF Payment June 1, 2033 $ 98,500 $ 6,430.15 1/2 of July 2011 GEF Payment Total $ 1,970,000.00 $ 58,690.87 $ 200,408.32 $ 6,916.50 1/2 of Aug 2011 GEF Payment $ 6,149.31 1/2 of Sept 2011 GEF Payment $ 5,243.92 1/2 of Oct 2011 GEF Payment $ 4,829.91 1/2 of Nov 2011 GEF Payment $ 4,531.81 1/2 of Dec 2011 GEF Payment $ 4,990.50 1/2 of Jan 2012 GEF Payment $ 5,071.81 1/2 of Feb 2012 GEF Payment $ 4,828.32 1/2 of March 2012 GEF Payment $ 4,857.07 1/2 of April 2012 GEF Payment $ 4,230.04 1/2 of May 2012 GEF Payment $ 5,711.19 1/2 of June 2012 GEF Payment $ 6,085.89 1/2 of July 2012 GEF Payment $ 7,347.66 1/2 of Aug 2012 GEF Payment $ 6,453.66 1/2 of Sept 2012 GEF Payment $ 4,886.43 1/2 of Oct 2012 GEF Payment $ 4,132.99 1/2 of Nov 2012 GEF Payment $ 5,513.86 1/2 of Dec 2012 GEF Payment $ 5,187.25 1/2 of Jan 2013 GEF Payment $ 5,307.83 1/2 of Feb 2013 GEF Payment $ 4,783.25 1/2 of March 2013 GEF Payment $ 4,903.40 1/2 of April 2013 GEF Payment $ 4,673.21 1/2 of May 2013 GEF Payment $ 5,322.04 1/2 of June 2013 GEF Payment $ 6,352.74 1/2 of July 2013 GEF Payment $ 6,519.11 1/2 of Aug 2013 GEF Payment $ 5,995.23 1/2 of Sept 2013 GEF Payment All of Oct 2013 GEF Payment Per Allocation Request from Dover 10/30/2013 All of Nov 2013 GEF Payment All of Dec 2013 GEF Payment $ 259,099.20 Total Collections

City of Dover Electric Revenue Fund FY14 - White Oak Solar Park Incremental Cost Original July August September YTD Budget Power Supply & Generation Dover Sun Park - Energy $ 187,421 $ 166,840 $ 194,352 $ 548,613 $ 1,565,800 Dover Sun Park - REC's 43,005 38,516 42,894 124,415 300,000 Total Power Supply Cost 230,426 205,356 237,246 673,028 1,865,800 Non-Solar Power Supply Cost (180,264) (154,824) (154,922) (490,010) (504,734) Incremental Energy Cost $ 50,162 $ 50,532 $ 82,324 $ 183,018 $ 1,361,066 Revenues Customer Sales - Electricity (9,404) (7,389) (7,538) (24,331) (26,300) Rent Receipts (14,446) - - (14,446) (58,300) Total Revenues (23,850) (7,389) (7,538) (38,777) (84,600) Incremental Sun Park Cost $ 26,312 $ 43,143 $ 74,786 $ 144,241 $ 1,276,466 MWh Purchased/Generated - Solar 2,053.000 1,816.000 2,000.000 5,869.000 18,159.000 MWh $ Solar Energy 91.29 $ 91.87 97.176 $ 93.48 $ 86.23 Solar REC's MWh 308.000 272.000 272.000 852.000 MWh $ Solar REC (one month lag)* $ 139.63 $ 141.60 157.70 $ 146.03 MWh $ Non-Solar Energy $ 87.81 $ 85.26 $ 77.46 Note: Solar REC's is one month behind due to the time the invoice is received. \\Dover_1\finance\MONTHLY REPORTS\Electric kwh rev class trend\Solar Park Report.xlsxSolar Park Report.xlsx11/7/201310:41 AM