Large Generator Interconnection Qualifying Facility

FINAL Facilities Restudy Report

Completed for (“Interconnection Customer”) Q0650 Q0651 Q0652 Q0653

Proposed Point of Interconnection Hinkle substation

April 17, 2018

FINAL Facilities Study Report TABLE OF CONTENTS

1.0 DESCRIPTION OF THE PROJECT ...... 1 2.0 STUDY SCOPE AND OBJECTIVES ...... 1 3.0 STUDY ASSUMPTIONS ...... 1 4.0 PROPOSED POINT OF INTERCONNECTION ...... 2 5.0 SCOPE OF WORK ...... 4 5.1 Generating Facility ...... 4 Interconnection Customer to be Responsible For ...... 4 Transmission Provider to be Responsible For ...... 6 5.2 Echo Substation ...... 7 Interconnection Customer to be Responsible For ...... 7 Transmission Provider to be Responsible For ...... 7 5.3 Point of Interconnection – Hinkle substation ...... 7 Transmission Provider to be Responsible For ...... 7 5.4 Other ...... 8 Interconnection Customer to be Responsible For ...... 8 Transmission Provider to be Responsible For ...... 8 6.0 COST ESTIMATE ...... 9 7.0 SCHEDULE...... 11 8.0 PARTICIPATION BY AFFECTED SYSTEMS ...... 12 9.0 APPENDICES ...... 12 9.1 Appendix 1: Higher Priority Requests ...... 13 9.2 Appendix 2: Property Requirements ...... 14

April 17, 2018 Q0650-3 Page i FINAL Facilities Study Report

1.0 DESCRIPTION OF THE PROJECT (collectively the “Interconnection Customer”) proposed interconnecting 40 MW of new generation to PacifiCorp’s (“Transmission Provider”) Hinkle substation located in Morrow County, Oregon. project (“Project”) will consist of twenty (20) 2000kW GE 2.0-116 wind turbines for a total output of 40 MW. The requested commercial operation date is October 1, 2019.

Interconnection Customer will operate this generator as a Qualifying Facility as defined by the Public Utility Regulatory Policies Act of 1978 (PURPA).

The Transmission Provider has assigned the project “Q0650, Q0651, Q0652 & Q0653.”

2.0 STUDY SCOPE AND OBJECTIVES The objective of the facilities study is to:  complete a facilities analysis, which shall specify and estimate the cost of equipment, engineering, procurement, and construction required to address issues as outlined in the system impact study, and  provide a scope of work and an estimated cost and schedule for completing the scope of work.

3.0 STUDY ASSUMPTIONS  All active higher priority transmission service and/or generator interconnection requests will be considered in this study and are listed in Appendix 1. If any of these requests are withdrawn, the Transmission Provider reserves the right to restudy this request, as the results and conclusions contained within this study could significantly change.  For study purposes there are two separate queues: o Transmission Service Queue: to the extent practical, all network upgrades that are required to accommodate active transmission service requests will be modeled in this study. o Generation Interconnection Queue: Interconnection Facilities associated with higher queue interconnection requests will be modeled in this study.  The Interconnection Customer’s request for interconnection service in and of itself does not convey transmission service. Only a Network Customer may make a request to designate a generating resource as a Network Resource. Because the queue of higher priority transmission service requests may be different when a Network Customer requests network resource designation for this Generating Facility, the available capacity or transmission modifications, if any, necessary to deliver 100% of the Project output to network load may be significantly different. Therefore, the Interconnection Customer should regard the results of this study as informational rather than final.  This study assumes the Project will be integrated into Transmission Provider’s system at the agreed upon and/or proposed Point of Interconnection (“POI”).  The Interconnection Customer will construct and own any facilities required between the POI and the Project unless specifically identified by the Transmission Provider.  Line reconductor or fiber underbuild required on existing poles will be assumed to follow the most direct path on the Transmission Provider’s system. If during detailed design the path must

April 17, 2018 Q0650-3 Page 1 FINAL Facilities Study Report be modified it may result in additional cost and timing delays for the Interconnection Customer’s project.  Under normal conditions, the Transmission Provider does not dispatch or otherwise directly control or regulate the output of generating facilities. Therefore, the need for transmission modifications, if any, which are required to deliver 100% of Project output to the Network Customer’s network load will be evaluated (i.e., no displacement of other resources in the same area).  Generator tripping may be required for certain outages.  All facilities will meet or exceed the minimum Western Electricity Coordinating Council (“WECC”), North American Electric Reliability Corporation (“NERC”), and Transmission Provider performance and design standards.  The Q0650-Q0653 Project has been studied assuming all four interconnection requests are constructed simultaneously. Any modification to the timing or status of any of the four requests by the Interconnection Customer will require a restudy by the Transmission Provider.  The Q0650-Q0653 Generating Facilities are studied based on the one-line diagrams provided by the Interconnection Customer labeled SL.01 through SL.04, dated March 30, 2015. Stated facilities include twenty General Electric 2.0-116 wind turbine generators, organized into a single 34.5 kV collector string, with four branches, and a new 34.5 kV to 69 kV fixed ratio, 25/33.3/41.7 MVA, 8% impedance transformer at the Interconnection Customer owned collector substation.  For events requiring a Remedial Action Scheme (“RAS”) to trip the 40 MW output of the Q0650-Q0653 Project, the 34.5 kV feeder breaker 52-1 will be tripped.  Bonneville Power Administration’s (“BPA”) 115-69 kV transformer located at McNary substation is scheduled to be replaced in the Fall of 2019 and is contingent for this Project.  The Project will be interconnected through the Interconnection Facilities associated with the earlier queue projects Q0102-Q0106 and Q0145-Q0147 referred to collectively as the Echo project.  This report is based on information available at the time of the study. It is the Interconnection Customer’s responsibility to check the Transmission Provider’s web site regularly for Transmission system updates at http://www.pacificorp.com/tran.html

4.0 PROPOSED POINT OF INTERCONNECTION The Interconnection Customer’s proposed Generating Facility is to be interconnected to the Transmission Provider’s 69 kV Hinkle substation through the existing, approximately 9.7 mile 69 kV transmission tie line constructed for the earlier queue projects Q0102-Q0106 and Q0145- Q0147.

April 17, 2018 Q0650-3 Page 2 FINAL Facilities Study Report McNary Substation

L366 A 400

0. 37 MILES Umatilla Substation

6. 17 MILES 230 kV Wallula Substation

1W27 Cold Springs Substation 36/48/60 MVA 6.7 MILES

3W120 5/6.25 MVA

4. 59 MILES

3W234 0. 67 MILES NO

3W90 3W67 0.79 MILES

Hermiston Substation

Point of Interconnection 3.43 MILES Hinkle Substation

M R

Change of ownership 69kV

9. 7 MILES

Echo Substation

Q102-106, Q 145-147

R

52-1 34.5 kV Q 0650 52H 52-2 M New Facilities Q0651 VS-1 4 MVAR M Q0652 VS-2 4 MVAR M Q0653 M

Figure 1: System One Line Diagram

April 17, 2018 Q0650-3 Page 3 FINAL Facilities Study Report 5.0 SCOPE OF WORK

5.1 Generating Facility The following outlines the design, procurement, construction, installation, and ownership of equipment at the Interconnection Customer’s Generation Facility and associated collector substation.

INTERCONNECTION CUSTOMER TO BE RESPONSIBLE FOR  Procure all necessary permits, lands, rights of way and easements required for the construction and continued maintenance of the Q0650-Q0653 Generating Facility and collector substation.  Design, construct, own and maintain the Q0650-Q0653 Generating Facility and associated collector substation.  Make all necessary contractual arrangements to allow the Project to be interconnected through the existing facilities for the Q0102-Q0106 and Q0145-Q0147 Echo project. The Interconnection Customer is responsible for ensuring that the addition of the Q0650-Q0653 Project is appropriately coordinated with the existing Echo project.  Provide the Transmission Provider any proposed modifications to the existing Echo project facilities that could impact voltage, power factor or reactive support. Any modifications to these facilities must be reviewed and approved by the Transmission Provider prior to generation activities.  Design the Generating Facility with reactive power capabilities necessary to operate within the full power factor range of 0.95 leading to 0.95 lagging as measured at a point on the Interconnection Customer’s system determined by the Transmission Provider following testing. This power factor range shall be dynamic and can be met using a combination of the inherent dynamic reactive power capability of the generator or inverter, dynamic reactive power devices and static reactive power devices to make up for losses.  Design the Generating Facility such that it can provide positive reactive support (i.e., supply reactive power to the system) immediately following the removal of a fault or other transient low voltage perturbations or install dynamic voltage support equipment. These additional dynamic reactive devices shall have correct protection settings such that the devices will remain on line and active during and immediately following a fault event.  Equip the Generating Facility with automatic voltage-control equipment and operate with the voltage regulation control mode enabled unless explicitly authorized to operate another control mode by the Transmission Provider.  Install a Phasor Measurement Unit to collect data from the Project and the existing Echo project. The data must be collected and be able to stream to the Planning Coordinator for each of the Generator Facility’s step-up transformers measured on the low side of the GSU at a sample rate of at least 30 samples per second and synchronized within +/- 2 milliseconds of the Coordinated Universal Time (UTC). Initially, the following data must be collected: o Three phase voltage and voltage angle (analog) o Three phase current (analog)

April 17, 2018 Q0650-3 Page 4 FINAL Facilities Study Report Data requirements are subject to change as deemed necessary to comply with local and federal regulations.  Operate the Generating Facility so as to maintain the voltage at the POI, or other designated point on the Interconnection Customer’s system as deemed appropriate by Transmission Provider, at a voltage and/or reactive power bandwidth to be provided by the Transmission Provider following testing.  Operate the Generating Facility with a voltage droop.  Have voltage coordination and critical interaction studies performed and coordinate the implementation of any requirements identified in the studies with the Transmission Provider prior to any generation activity.  Meet the Federal Energy Regulatory Committee (“FERC”) and WECC low voltage ride-through requirements as specified in the interconnection agreement.  Provide the Transmission Provider a standard model from the WECC Approved Dynamic Model Library.  Coordinate the Q0650-Q0653 generators with the existing Echo substation DSTATCOM such that the DSTATCOM will gradually act to reduce its reactive power output to near unity power factor during steady-state operation, but will still be able to respond with its full ±9.9 MVAR dynamic capability during system disturbances.  Procure and install 8.0 MVAR of switched shunt capacitors in two steps on the 34.5 kV bus and design such that the capacitor switching does not cause step voltage changes greater than +/-3% on the Transmission Provider’s system. Settings must be determined and coordinated as part of the Interconnection Customer’s voltage coordination study.  Design and construct the new Q0650-Q0653 collector substation such that the ground grid is tied to the existing Echo collector substation ground grid.  Wire the current transformers in the new Q0650-Q0653 collector substation 69 kV circuit breaker in parallel with the existing Echo collector substation 69 kV circuit breaker’s current transformers.  Provide a separate graded, grounded and fenced area along the perimeter of the Interconnection Customer’s collector substation for the Transmission Provider to install a control house. This area will share a fence and ground grid with the Interconnection Customer’s collector substation and have separate, unencumbered access for the Transmission Provider. Fencing and access roads will be constructed to Transmission Provider standard.  Have a CDEGS grounding analysis performed and provide the results to the Transmission Provider.  Provide AC station service for the Transmission Provider’s control house.  Provide sufficient space at each of the individual phase collector points to allow the Transmission Provider to install metering cabinets and equipment.  Provide AC power for the meters and routers located at the individual phase metering points.  Arrange for permanent station service load with the electric service provider holding the certificated service territory rights for the area in which the load is physically located for power that will flow from the Transmission Provider’s system when the Project is not generating. If outside the Transmission Provider’s retail service territory

April 17, 2018 Q0650-3 Page 5 FINAL Facilities Study Report this will require a transmission service request to be submitted to the Transmission Provider on behalf of the electric service provider responsible for providing retail service. This arrangement must be in place prior to approval for backfeed.  Provide construction or backup retail service necessary for the Project.  Procure, install, own and maintain single mode fiber from the Project collector substation to each of the four individual phase metering points.  Procure a backup T1 telecommunications company lease line from each of the individual phase metering points and tie into the line running from the collector substation to the Transmission Provider’s Cabbage Hill communications site.  Provide the following data points via hard wire from the source devices to the Transmission Provider’s new RTU (replicated points not acceptable): Analogs: o Real Power Flow through step-up transformer o Reactive Power Flow through step-up transformer o Real power flow through the 34.5 kV line feeder breaker 52-1 o Reactive power flow through the 34.5 kV line feeder breaker 52-1 o Reactive power flow from the shunt capacitor bank tie breaker 52-2 o Wind speed o Average Plant Atmospheric Pressure (Bar) o Average Plant Temperature (Celsius)

Status: o 69 kV breaker 52H o 34.5 kV breaker 52-1 o 34.5 kV breaker 52-2 o 34.5 kV Switch VS-1 o 34.5 kV Switch VS-2

TRANSMISSION PROVIDER TO BE RESPONSIBLE FOR  Provide the Interconnection Customer the designated point at which the voltage is to be maintained and the associated voltage schedule.  Identify any necessary studies that the Interconnection Customer must have performed.  Identify the data to be stored in the PMU.  Procure and install metering cabinets at each of the four phase metering locations.  Procure, install, own and maintain at the Interconnection Customer’s expense individual phase metering at each of the four phase locations including two (2) revenue quality meters, test switches, instrument transformers, metering panels, junction boxes and secondary metering wire.  Procure and install a control house adjacent to the Interconnection Customer’s collector substation.  Procure and install a backup DC battery system for the Transmission Provider control house.  Procure and install a RAS logic controller.  Procure and install an RTU.  Procure and install a channel bank, routers and fiber optic modems.

April 17, 2018 Q0650-3 Page 6 FINAL Facilities Study Report  Procure and install ADSS cable from the Project collector control house to the Echo collector control house.  Procure and install twelve (three per phase) 34.5kV CT/VT combo units.

5.2 Echo Substation The following outlines the design, procurement, construction, installation, and ownership of equipment associated with the existing Echo substation.

INTERCONNECTION CUSTOMER TO BE RESPONSIBLE FOR  Procure all necessary rights from the owner(s) of Echo substation to allow for the Transmission Provider work necessary in Echo substation to facilitate this Project.

TRANSMISSION PROVIDER TO BE RESPONSIBLE FOR  Design, procure and install revenue metering equipment for the Project including two (2) revenue quality meters, test switch, instrument transformers, metering panels, junction box and secondary metering wire.  Install the three 69kV CT/VT instrument transformer units to be removed from Hinkle substation.  Integrate the new primary meter for the Project into the Interconnection Customer’s collector station RTU.  Integrate the new backup meter for the Project directly into EMS.  Develop an Ethernet connection for retail sales and generation accounting via the MV- 90 translation system.  Provide a Modbus or DNP output from the bidirectional meters and trench the data output to a meter panel to be installed outside the substation fence should the retail service provider request meter data.

5.3 Point of Interconnection – Hinkle substation The following outlines the design, procurement, construction, installation, and ownership of equipment at the POI.

TRANSMISSION PROVIDER TO BE RESPONSIBLE FOR  Remove the existing CT/VT instrument transformers for relocation to Echo substation.  Procure and install three 69kV CT/VT instrument transformer combo units and wire to the existing metering equipment and panels.  Develop new settings for the line relays currently installed for the existing Echo projects for the inclusion of this new Project.  Configure the existing transfer trip scheme for the inclusion of the new Project.  Rescale the existing analog points coming the Echo projects for the inclusion of the new Project.  Develop new relay settings for the rebuilt transmission line to Hermiston substation.

April 17, 2018 Q0650-3 Page 7 FINAL Facilities Study Report 5.4 Other The following outlines the design, procurement, construction, installation, and ownership of equipment past the POI.

INTERCONNECTION CUSTOMER TO BE RESPONSIBLE FOR  Procure a T1 lease between the Project collector substation and the Transmission Provider’s Cabbage Hill communication site.

TRANSMISSION PROVIDER TO BE RESPONSIBLE FOR  Hermiston substation o Procure and install line loss logic equipment. o Develop new line relay settings for the rebuilt line to BPA McNary substation. o Develop new line relay settings for the rebuilt lines to Hinkle and BPA McNary substations. o Procure and install a new channel bank. o Integrate new channel bank alarms into the existing RTU. o Replace bypass and disconnect switches associated with breaker 3W67. o Replace bypass switch associated with breaker 3W90. o Replace all bus and jumpers between the 69kV Cold Springs and Hinkle transmission lines with 795KCM AAC “Arbutus” conductor.

 Cold Springs Substation o Procure and install one new transmission structure to terminate the new OPGW fiber optic cable running from BPA McNary substation. o Procure and install one shield wire structure. o Procure and install line loss logic equipment. o Procure and install a new channel bank. o Integrate new channel bank alarms into the existing RTU. o Install remedial action scheme (“RAS”) master controller.

 BPA McNary substation – The following requirements will need to be coordinated with BPA. o Procure and install underground ADSS fiber optic cable to connect the OPGW fiber optic cable running from the Cold Springs substation. o Procure and install line loss logic equipment. o Procure and install channel equipment for RAS. o Modify the line relays for the transmission lines running to Hermiston, Umatilla and Walla Walla substations.

 Hermiston-Hinkle transmission line o Re-conductor approximately 1.46 miles with 795 ACSR conductor without taking the line out of service. o Replace approximately one transmission structure. o Coordinate with Hermiston Electric to transfer existing distribution underbuild to new structure.

April 17, 2018 Q0650-3 Page 8 FINAL Facilities Study Report

 Hermiston-Umatilla transmission line o Re-conductor approximately 6.7 miles with 795 ACSR conductor. o Replace approximately 40% of the existing transmission structures. o Replace all insulator and conductor fittings. o Procure any necessary rights of way to facilities the rebuild of this line.

 BPA McNary-Umatilla transmission line o Re-conductor approximately 0.37 miles with 795 ACSR conductor. o Procure any necessary rights of way to facilities the rebuild of this line.

 BPA McNary-Walla Walla transmission line o Procure and install approximately 6.1 miles of OPGW fiber optic cable between the Cold Springs and BPA McNary substations. o Replace approximately five transmission structures and reframe one existing transmission structure. o Procure any necessary rights of way to facilities the rebuild of this line.

 Cold Springs-Hermiston transmission line o Install approximately 4.6 miles of 48 fiber, single mode, ADSS fiber optic cable.

 Remedial Action Scheme o Coordinate with BPA to design and implement a RAS to trip the Project for the multiple contingencies outlined in the system impact study report for this Project. o If necessary, present for approval any generator tripping/load reduction schemes to the WECC Remedial Action Scheme Reliability Subcommittee (“RASRS”).

6.0 COST ESTIMATE The following estimate represents only scopes of work that will be performed by the Transmission Provider. Costs for any work being performed by the Interconnection Customer are not included.

Q0650-653 Collector Substation $1,257,000 Add control house and metering

Echo substation $110,000 Update relay settings and replace CT/VT

McNary substation $73,000 Add line logic panel

Cold Springs substation $105,000 Add line logic panel and communications

Hinkle substation $344,000 Add communications and CT/VT

April 17, 2018 Q0650-3 Page 9 FINAL Facilities Study Report Hermiston substation $62,000 Substation upgrades and add communications

Kennewick communication site $23,000 Add communications

Cabbage Hill communication site $15,000 Add communications

Hermiston to Hinkle 69 kV transmission line $364,000 Reconductor 1.46 miles of line

Hermiston to Umatilla 69 kV transmission line $1,329,000 Reconductor 6.7 miles of line

McNary to Umatilla 69 kV transmission line $136,000 Reconductor 0.4 miles of line

Cold Springs to McNary 230 kV transmission line $395,000 Add fiber optic cable to 6.10 miles of line

Cold Springs to Hermiston 69 kV transmission line $298,000 Add fiber optic cable to, and reconductor, 4.6 miles of line **Total $4,511,000

*Note: Costs for any excavation, duct installation and easements shall be borne by the Interconnection Customer and are not included in this estimate. This estimate is as accurate as possibly given the level of detailed study that has been completed to date and approximates the costs incurred by Transmission Provider to interconnect this Generator Facility to Transmission Provider’s electrical distribution or transmission system. The Interconnection Customer will be responsible for all actual costs, regardless of the estimated costs communicated to or approved by the Interconnection Customer.

**This estimate only includes costs expected to be incurred by the Transmission Provider. This does not include estimated costs that may be incurred by BPA.

April 17, 2018 Q0650-3 Page 10 FINAL Facilities Study Report 7.0 SCHEDULE Interconnection Agreement Amended May 1, 2018

Provision of Financial Security May 1, 2018

*Transmission Provider Engineering & Procurement Commences May 14, 2018

Interconnection Customer Design Information Provided June 1, 2018

Interconnection Customer provides voltage coordination and critical June 1, 2018 interaction studies to Transmission Provider

Interconnection Customer provides signed Aligned with PacifiCorp Drawings for their facility Design Review 2 date

**Energy Imbalance Market Modeling Data Submittal December 10, 2018

Transmission Provider Engineering Design Complete February 19, 2019

Interconnection Customer Property/Permits/ROW Procured March 19, 2019

Transmission Provider Property/Permits/ROW Procured March 19, 2019

Construction Begins March 26, 2019

***All required BPA and Umatilla work complete October 1, 2019

Receive Policy 139 stipulated test plan from November 12, 2019 Interconnection customer

Interconnection Customer’s Facilities Receive Backfeed Power December 10, 2019

Initial Synchronization/Generation Testing January 14, 2020

Commercial Operation February 18, 2020

*As applicable and determined by the Transmission Provider, within 60 days of the Interconnection Customer’s authorization for the Transmission Provider to begin engineering, the Interconnection Customer shall provide a detailed short circuit model of its generation system. This model must be constructed using the ASPEN OneLine short circuit simulation program and contain all individual electrical components of the Interconnection Customer’s generation system.

**Any design modifications to the Interconnection Customer’s Generating Facility after this date requiring updates to the Transmission Provider’s network model will result in a minimum of 3 months added to all future milestones including Commercial Operation.

April 17, 2018 Q0650-3 Page 11 FINAL Facilities Study Report ***Any delay in the completion of work required from BPA and/or Hermiston Electric shall require a minimum day for day adjustment to the remaining milestone schedule.

Please note, the time required to perform the scope of work identified in this report appears to result in a timeframe that does not support the Interconnection Customer’s requested Commercial Operation date of October 1, 2019.

8.0 PARTICIPATION BY AFFECTED SYSTEMS Transmission Provider has identified the following affected systems: Bonneville Power Administration

A copy of this report will be shared with the Affected System.

9.0 APPENDICES Appendix 1: Higher Priority Requests Appendix 2: Property Requirements

April 17, 2018 Q0650-3 Page 12 FINAL Facilities Study Report 9.1 Appendix 1: Higher Priority Requests All active higher priority transmission service and/or generator interconnection requests will be considered in this study and are identified below. If any of these requests are withdrawn, the Transmission Provider reserves the right to restudy this request, as the results and conclusions contained within this study could significantly change.

Transmission/Generation Interconnection Queue Requests considered:

Q0276 (98.90 MW) Q0547 (18.00 MW) Q0586 (6.00 MW)

April 17, 2018 Q0650-3 Page 13 FINAL Facilities Study Report 9.2 Appendix 2: Property Requirements Property Requirements for Point of Interconnection Substation Requirements for rights of way easements Rights of way easements will be acquired by the Interconnection Customer in the Transmission Provider’s name for the construction, reconstruction, operation, maintenance, repair, replacement and removal of Transmission Provider’s Interconnection Facilities that will be owned and operated by PacifiCorp. Interconnection Customer will acquire all necessary permits for the project and will obtain rights of way easements for the project on Transmission Provider’s easement form.

Real Property Requirements for Point of Interconnection Substation Real property for a point of interconnection substation will be acquired by an Interconnection Customer to accommodate the Interconnection Customer’s project. The real property must be acceptable to Transmission Provider. Interconnection Customer will acquire fee ownership for interconnection substation unless Transmission Provider determines that other than fee ownership is acceptable; however, the form and instrument of such rights will be at Transmission Provider’s sole discretion. Any land rights that Interconnection Customer is planning to retain as part of a fee property conveyance will be identified in advance to Transmission Provider and are subject to the Transmission Provider’s approval.

The Interconnection Customer must obtain all permits required by all relevant jurisdictions for the planned use including but not limited to conditional use permits, Certificates of Public Convenience and Necessity, California Environmental Quality Act, as well as all construction permits for the project.

Interconnection Customer will not be reimbursed through network upgrades for more than the market value of the property.

As a minimum, real property must be environmentally, physically, and operationally acceptable to Transmission Provider. The real property shall be a permitted or permittable use in all zoning districts. The Interconnection Customer shall provide Transmission Provider with a title report and shall transfer property without any material defects of title or other encumbrances that are not acceptable to Transmission Provider. Property lines shall be surveyed and show all encumbrances, encroachments, and roads.

Examples of potentially unacceptable environmental, physical, or operational conditions could include but are not limited to:

1. Environmental: known contamination of site; evidence of environmental contamination by any dangerous, hazardous or toxic materials as defined by any governmental agency; violation of building, health, safety, environmental, fire, land use, zoning or other such regulation; violation of ordinances or statutes of any governmental entities having jurisdiction over the property; underground or above ground storage tanks in area; known remediation sites on property; ongoing mitigation activities or monitoring activities; asbestos; lead-based paint, etc. A

April 17, 2018 Q0650-3 Page 14 FINAL Facilities Study Report phase I environmental study is required for land being acquired in fee by the Transmission Provider unless waived by Transmission Provider.

2. Physical: inadequate site drainage; proximity to flood zone; erosion issues; wetland overlays; threatened and endangered species; archeological or culturally sensitive areas; inadequate sub-surface elements, etc. Transmission Provider may require Interconnection Customer to procure various studies and surveys as determined necessary by Transmission Provider.

Operational: inadequate access for Transmission Provider’s equipment and vehicles; existing structures on land that require removal prior to building of substation; ongoing maintenance for landscaping or extensive landscape requirements; ongoing homeowner's or other requirements or restrictions (e.g., Covenants, Codes and Restrictions, deed restrictions, etc.) on property which are not acceptable to the Transmission Provider.

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