FEDERAL HYDROPOWER STRATEGIC PLANNING WORKSHOP



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FEDERAL HYDROPOWER STRATEGIC PLANNING WORKSHOP 13-14 May 2008 Las Vegas, NV THEME: Produce the Power! STRATEGIC VISION Be premier stewards of entrusted hydropower resources MISSION STATEMENT Provide reliable hydroelectric power services at the lowest possible cost, consistent with sound business principles, in partnership with other Federal hydropower generators, the Power Marketing s, and Preference Customers, to benefit the Nation

FEDERAL HYDROPOWER STRATEGIC PLANNING WORKSHOP 13-14 May 2008 Las Vegas, NV Produce the Power! WORKSHOP OBJECTIVES, THEMES AND AGENDA OBJECTIVES AND THEMES: In support of Corps of Engineers Civil Works Strategic Goal 1, Provide Sustainable Development and Integrated Management of the Nation s Water Resources, and Goal 5, Be a World-Class Public Engineering Organization, and Action for Change Themes 1, Comprehensive Systems Approach, and Theme 4, Professional and Technical Expertise, the Federal Hydropower Strategic Planning Workshop will pursue the following objectives: 1) Continue to build a unified Hydropower Community that speaks with one voice relative to Federal hydropower issues and challenges. 2) Revisit high priority strategic initiatives from the 2005 Tulsa workshop. Workshop participants will focus on the theme of Producing Sustained Hydropower Funding as a first step. In support of Corps of Engineers Civil Works Strategic Goal 3, Ensure that Projects Perform to Meet Authorized Purposes and Evolving Conditions, and Action for Change Theme 2, Riskinformed Decision Making, 3) Develop a Hydropower Infrastructure Modernization & Optimization Initiative that will prioritize major power plant rehabilitation and efficiency optimization. 4) Review issues and policy relative to hydropower impacts from the reallocation of storage in Corps reservoirs with hydropower plants. Workshop participants will focus on the themes of Producing Reliable Water for Power Generation and Producing Sustainable Hydropower Infrastructure as a basis for performance. In support of Corps of Engineers Actions for Change Theme 3, Communication of Risk to the Public, 5) Develop a communications strategy to raise awareness and understanding of hydropower as a national strategic resource.

Workshop, participants will focus on the theme of Producing an Empowered and Aligned Hydropower Community to raise awareness and overcome challenges within the Federal hydropower community. TIME ACTIVITY LEAD/LOCATION PRE-MEETING TOUR - 12 May 2008 1300 1400 1730 Tour of Hoover Dam and Power Plant Bus departs hotel Tour Return to hotel Sponsored by the Corps of Engineers 1900 Ice Breaker at Hotel Meet and Greet Attendees DAY 1-13 May 2008 Conference Theme: Produce the Power! Power Up through Sustained Funding Power Up through Reliable Water Power Up through Sustainable Infrastructure Power Up through Partnerships Hotel Margarita Bar (next to Garden Restaurant) 0700 0800 0800 0805 0810 Workshop Registration General Session Opening Remarks Opening Remarks & Introduce Steven L. Stockton Welcome Address & Workshop Kickoff Remarks Lobby Ballrooms B & C National Hydropower Business Line Program Manager, US Army, Corps of Engineers Darrick Moe Deputy Assistant Administrator, SEPA & SWPA Steven L. Stockton, P.E., SES Director of Civil Works, US Army, Corps of Engineers

0830 Purpose and Overview of the Workshop Objectives 1. Produce Sustained Hydropower Funding 2. Produce Reliable Water for Power Generation 3. Produce Sustainable Hydropower Infrastructure 4. Produce an Empowered and Aligned Hydropower Community 0840 Overview of the Agenda and Workshop Process Donna Ayres Facilitator 0845 Workshop Theme 1 -- Produce Sustained Hydropower Funding a) Overview Report on the Appropriations Funding Process for Hydropower 0855 b) Overview Report - State of My Region A Panel Discussion COL Thomas O Donovan Commander, Portland District, US Army, Corps of Engineers Panel of Administrators Robert Harris Regional Manager, Upper Great Plains Region, Western Area Power Stephen Oliver Vice President, Generation Asset Management, Bonneville Power Jon Worthington Administrator, Southwestern Power 0955 Break Kenneth Legg Acting Administrator, Southeastern Power

1010 c) Customer and PMA Panel Lori Rux Hydropower Business Line Manager, Northwest Division, US Army Corps of Engineers, Marshall Boyken Hydraulic Engineer, Southwestern Power Steve Adams Project Manager, Tennessee Valley Public Power Association Brian Jobson Supervisor, Regulatory and Contracts, Sacramento Municipal Utilities District Dan Payton General Manager, Western States Power Corporation 1055 d) Facilitated Discussion: How Well Current Funding Arrangements are Working or Not Working and the Potential for the Future Lori Rux Tom Graves Executive Director, Mid- West Electric Consumers Association Ted Coombes Executive Director, Southwest Power Resources Association Tom Bartels Director of Marketing and Special Projects, Alabama Municipal Electric Authority

1145 Transition to Luncheon 1150 Luncheon Andrew Lachowsky Principal Planning Engineer, Arkansas Electric Cooperative Corporation Room D 1225 Introduce Guest Speaker Brian Sapp Hydropower Business Line Manager, South Atlantic Division, US Army, Corps of Engineers 1230 Guest Speaker: New Approaches to Thinking about Funding/Financing Federal Hydroelectric Power -- Pros and Cons of Public Private Partnerships 1315 Break 1325 Workshop Theme 2 -- Produce Reliable Water for Power Generation a) Report: "Corps Authorities, Policies, Procedures, and the Scope of Reallocation of Water Supply for M&I Use" b) Panel Response and Facilitated Discussion on Water Allocations/Reallocations Roger Stark Attorney at Law, Kirkpatrick & Lockhart Preston Gates Ellis, LLP Washington, DC Ballrooms B & C National Hydropower Business Line Manager, US Army, Corps of Engineers Steven Cone Economist and Policy Advisor, Institute for Water Resources, US Army, Corps of Engineers George Robbins Director, Division of Resources and Rates, Southwestern Power

George Taylor Senior Vice President, Strategic Initiatives, Oglethorpe Power Ralph Gillis Attorney, Gillis & Angley, LLP Herb Nadler Hydraulic Engineer, Southeastern Power 1435 Five Minute Standing Break 1440 Workshop Theme 3 -- Produce Sustainable Hydropower Infrastructure Status Reports: Asset Management 1. FEMS (Facilities & Equipment Management System) Implementation 2. hydroamp 3. Asset Management Strategy 4. O&M Cost Benchmarking Initiative Brent Mahan Director, Hydroelectric Design Center, US Army, Corps of Engineers Kimberly Oldham Deputy Operations Project Manager, John Day Dam, US Army, Corps of Engineers Lori Rux Hydropower Business Line Manager, Northwest Division, US Army, Corps of Engineers Mike Alder Co-Chair, Joint Operating Committee, Bonneville Power Brian Shenk Technical Manager, Hydropower Analysis Center, US Army, Corps of Engineers

1540 Instructions for Workgroups Donna Ayres Facilitator 1545 Participants Transition to Workgroup Rooms 1550 Workgroups break out to explore strategies for achieving objectives and to prepare recommendations Participants self-select into 3 workgroups Workgroup 1: How to Resource the Hydropower Program for Long-term Sustainability and Reliability (Workshop Themes 1 & 3). Lead: Brian Sapp, Hydropower Business Line Manager, South Atlantic Division, US Army, Corps of Engineers Workgroup 2: How to Mitigate Impacts to Hydropower due to Water Storage Reallocations Under Corps Policy (Workshop Theme 2). Lead: George Robbins, Director, Division of Resources and Rates, Southwestern Power Workgroup 3: A Communications Strategy to Promote the Value of Federal Hydropower to the Public and Key Decision Makers (Workshop Theme 4). Lead: Brent Mahan, Director, Hydroelectric Design Center, US Army, Corps of Engineers Meeting Room A Meeting Room E Salon Meeting Room 2 (Grab a refreshment on your way to the workgroup session) 1800 No-host Reception Room D 1900 1940 1945 Dinner & Speaker Opening Comments Introduce Dinner Speaker Room D Brent Mahan Director, Hydroelectric Design Center, US Army, Corps of Engineers

1950 Keynote Speaker: The Corps Civil Works Program: Trends and Implications for Sustaining the Federal Hydropower Program 2100 End of Day 1 Gary Loew, SES Chief, Programs Integration Division Civil Works Directorate, US Army, Corps of Engineers DAY 2 14 May 2008 0800 General Session Overview of Day 1 and the Agenda for Day 2 0805 Introduce Workgroup Reports the Search for Solutions and Progress 0810 Workgroup 1 Report Out, Questions & Answers (Q&A) How to Resource the Hydropower Program for Long-term Sustainability and Reliability 0835 Workgroup 2 Report Out, Q&A How to Mitigate Impacts to Hydropower due to Water Storage Reallocations Under Corps Policy 0900 Workgroup 3 Report Out, Q&A A Communications Strategy to Promote the Value of Federal Hydropower to the Public and Key Decision Makers 0925 Break 0940 Workshop Theme 4 -- Produce an Empowered and Aligned Hydropower Community Stakeholders Perspectives on Federal Energy Regulatory Commission Reliability Compliance Standards Ballrooms B & C Donna Ayres Facilitator Workgroup 1 Spokesperson Workgroup 2 Spokesperson Workgroup 2 Spokesperson Debbie Chenoweth Reliability Compliance Consultant, US Army, Corps of Engineers David Williams Chief, Hydropower Test Unit, Mobile District, US Army, Corps of Engineers Jay Seitz Reliability Compliance Program Manager, Bureau of Reclamation

Herb Nadler Hydraulic Engineer Southeastern Power 1040 Break 1050 Introduce Guest Speaker Michael Wech Compliance Officer and Operations Training Manager, Southwestern Power 1055 Federal Hydropower Collaboration: Future Challenges and Possibilities David Sabo Deputy Regional Director, Bureau of Reclamation 1120 Open Discussion 1145 Summary and Overview of Workshop - Next Steps and the Way Forward 1200 End of the Federal Hydropower Strategy Planning Workshop for Participants Thank You for Your Participation! 1200 Lunch Break 1300 Action Planning Team Meeting Ballrooms B & C Teams work to review/discuss proposals from the Workshop and develop strategies to ensure future action. Teams will continue working virtually or face-to-face after the conference. Team 1: How to Resource the Hydropower Program for Long-term Sustainability and Reliability. Develop a conceptual framework and national strategy for major rehabilitation of hydropower infrastructure. Lead: Brian Sapp, Hydropower Business Line Manager, South Atlantic Division, US Army, Corps of Engineers Team 2: How to Mitigate Impacts to Hydropower due to Water Storage Reallocations Under Corps Policy. Recommend policy changes in the Corps or beyond. Lead: George Robbins, Director, Division of Resources and Rates,, Donna Ayres, Brent Mahan, Brian Sapp, Jeff Artman, Lori Rux, Sheri Bainer, David Mistakovich, Sherman Jones, Marshall Boyken, Herb Nadler Marshall Boyken George Robbins Mike Denny Bureau of Reclamation representatives PMA representatives

Southwestern Power Administrator Team 3: A Communications Strategy to Promote the Value of Federal Hydropower to the Public and Key Decision Makers. Recommend a comprehensive communications strategy to tell the story about hydropower s value and needs. Include use of the Natural Resources Management Gateway. Lead: Brent Mahan, Director, Hydroelectric Design Center, US Army, Corps of Engineers 1500 Reports Out Identify actionable recommendations. Develop action plans to take the next/first steps. Identify action teams, resources, schedule. Summarize next steps. 1600 End of Federal Hydropower Strategic Planning Workshop Customer representatives Other interested stakeholders Team Leads Moving Out to Achieve the Conference Themes!