March 24, 2016 Kentucky Municipal Energy Agency Project Schedule Update

Overview of Updates 2 Project Schedule Update - March 24, 2016 Board Meeting 1.Complete May-June 2016  Prep of FY 2016/2017 Budget  PPAs with Coal Providers 1 and 2  PPA with Peaking Capacity Provider 1  KyMEA-AR Member Contracts 2.Summer 2016  Approval by Members of AR Contracts  Develop KyMEA-OMU Contracts  Obtaining an Indicative Credit Rating 3.Aug – Dec 2016 a.Placeholder for consideration of Renewables

Overview of Schedule – Part 1 Project Schedule Update - March 24, 2016 Board Meeting3 Task Name Business Days StartFinish Contract for Key Elements of KyMEA's Portfolio300 days?Thu 10/15/15Fri 12/9/16 Analyze RFP Responses95 daysThu 10/15/15Fri 2/26/16 Develop Contracts - Coal Provider 1 and 2, Peaking Capacity Provider days?Wed 11/18/15Thu 5/26/16 Develop Contracts - Combined Cycle Provider 1146 days?Fri 5/20/16Fri 12/9/16 Establish KyMEA Agreements with AR Members147 daysTue 12/1/15Thu 6/23/16 Develop Key Concepts for Agreements80 daysTue 12/1/15Tue 3/22/16 PSAs - KyMEA - AR Members95 daysWed 1/27/16Tue 6/7/16 Agreements - SEPA, Paris Diesels, other Member Resources 40 daysWed 4/13/16Tue 6/7/16 Finalize Updated Analysis and Presentation Materials20 daysFri 5/27/16Thu 6/23/16 Board Approval of AR Member Agreements10 daysWed 6/8/16Tue 6/21/16 Present Agreements to KMEA AR Members45 daysWed 6/22/16Tue 8/23/16 Presentations and Consideration by Members45 daysWed 6/22/16Tue 8/23/16 Agreements Approved0 daysTue 8/23/16

Overview of Schedule – Part 2 Project Schedule Update - March 24, 2016 Board Meeting4 Task NameBusiness DaysStartFinish Obtain Indicative Credit Rating (Placeholder - Details to Come from MM) 112 days?Mon 3/28/16Tue 8/30/16 Gather Updated Member Data45 days?Mon 3/28/16Fri 5/27/16 Prepare Rating Agency Presentation50 daysMon 3/28/16Fri 6/3/16 Approve Presentation0 daysTue 6/21/16 Finalize and Submit Info to Rating Agency5 daysWed 6/22/16Tue 6/28/16 Communications/Mtg with Rating Agency30 daysWed 6/29/16Tue 8/9/16 Manage Follow-up Requests for Info45 daysWed 6/29/16Tue 8/30/16 Obtain Rating0 daysTue 8/30/16 Prepare FY 2016/2017 KyMEA Budget1 day?Fri 3/25/16 Update Projected Costs for Advisory Group20 daysFri 3/25/16Thu 4/21/16 Update other Projected Costs20 daysFri 3/25/16Thu 4/21/16 Prepare Budget Showing Allocation to Members15 daysFri 4/22/16Thu 5/12/16 Provide to Board for Revenue10 daysFri 5/13/16Thu 5/26/16 Board Adopts Budget0 daysThu 5/26/16

Overview of Schedule – Part 3 Project Schedule Update - March 24, 2016 Board Meeting5 Task Name Business Days StartFinish Establish KyMEA Agreements with OMU210 daysWed 11/18/15Thu 9/8/16 Develop Key Concepts - PSAs and Inter-KyMEA Energy Pool150 daysWed 11/18/15Thu 6/16/16 Agreements - KyMEA - OMU60 daysFri 6/17/16Thu 9/8/16 Placeholder for Consideration of Renewables (Subject to Board Approval) 76 days?Mon 8/1/16Mon 11/14/16 Community/Member Input Process85 daysMon 8/1/16Fri 11/25/16 Prepare Planning Level Estimates for Key Renewable Options25 daysMon 8/15/16Fri 9/16/16 Identify Identify Key Program Options30 daysMon 8/29/16Fri 10/7/16 Prepare KyMEA Renewable Energy Plan15 daysMon 10/10/16Fri 10/28/16 Board and Member Review30 daysMon 10/31/16Fri 12/9/16 Transmission Service Arrangements - Initial Filing (Per Tariff, except use of business v calendar days) 270 daysFri 1/22/16Thu 2/2/17 Prepare and Submit Application45 daysFri 1/22/16Thu 3/24/16 System Impact Study (SIS)105 daysFri 3/25/16Thu 8/18/16 Facility Study90 daysFri 8/19/16Thu 12/22/16 Review and Execute Service Agreement30 daysFri 12/23/16Thu 2/2/17