About LCRA LCRA is a conservation and reclamation district created by the Texas Legislature in 1934. It has no taxing authority and operates solely on utility revenues and fees generated from supplying energy, water and community services. LCRA supplies low-cost electricity for Central Texas, manages water supplies and floods in the lower Colorado River basin, provides public parks, and supports community and economic development in 58 Texas counties. LCRA operates six dams on the Colorado River that form the Highland Lakes--Lake Buchanan, Inks Lake, Lake LBJ, Lake Marble Falls, Lake Travis, and Lake Austin. Lakes Travis and Buchanan serve as water supply lakes and Lake Travis is designed to capture floodwaters. LCRA also operates an environmental laboratory and monitors the water quality of the Lower Colorado River. LCRA owns about 16,000 acres of recreational lands along the Highland Lakes and Colorado River, with more than 40 parks, nature science centers and nature preserves. LCRA sells wholesale electricity to more than 40 retail utilities, including cities and electric cooperatives that serve more than 1 million people. LCRA Transmission Services Corporation has provided low-cost electric transmission service for more than 70 years. LCRA TSC’s network of owned and operated facilities total more than 4,800 miles of transmission lines and 330 substations. A 1999 state law changed how LCRA and other electric utilities manage and operate their transmission facilities. The law required utilities to “unbundle” or separate their electric generation and transmission operations in preparation for a deregulated retail electric market. The law also allowed LCRA to expand beyond its traditional 55 county Central Texas electric service area.

5 Year High Level Outlook Fiscal Year (2) Estimated Cost of Construction 2015 $ 32,000,000 2016 58,000,000 2017 35,000,000 2018 27,000,000 2019 26,000,000 2020 22,000,000 Total $ 200,000,000   (2) Fiscal Year is July through June

Evaluation Process/Scorecard SECTION 1 Weight   SCALE Ability to Perform/Provide 5 = Exceptional Quality 4 = Exceeds requirements Service 3 = Meets requirements Cost 2 = Improvements needed to meet requirements Innovation 1 = Area of concern Total Weight Must Equal 100% 0% 0 = Does Not Meet Criteria/ Not Offered SECTION 2 ABILITY TO PERFORM / PROVIDE Weight E.g. Exceptions to Terms and Conditions   E.g. Demonstrated Ability to build and maintain 345kV and below E.g. Ability to Meet Schedule and Resources Available to LCRA for Schedule Compression Total Weight Must Equal 100% 0% Total Points QUALITY E.g. Safety Record E.g. Demonstrated Quality of Workmanship SERVICE E.g. TL Construction Related Organizational Experience E.g. TL Construction Related Staff Experience E.g. Portfolio Management COST Weight E.g. Project #1 Price   E.g. Project #2 Price E.g. Project #3 Price E.g. Subcontractor Mark-up E.g. T&E Pricing Total Weight Must Equal 100% 0% Total Points INNOVATION E.g. Construction Innovations/Initiatives E.g. Cost Savings Initiatives

Contract Award Process Post RFP 8724 on LCRA.org and… Solicit Suppliers That Have Shown Interest and Have the Ability To Perform for LCRA Round 1 of RFP Evaluation Process Evaluate Contractors regarding their Ability to Perform, Service, Quality/Safety, Competitive Cost, and Innovation. Create a short-list of finalists based on AQSCI Scorecard Results Round 2 of RFP Evaluation Perform Due Diligence to examine contractor’s qualifications in more detail: Financial Strength; Ability to Perform; Quality; Service and Innovation. Some team members will observe and investigate the quality of workmanship, safety, experience, and efficiency in the field. Other team members will investigate the corporate structure and culture in an effort to understand how the contractor manages their business and how they plan to meet LCRA’s needs. Recommend Award of Contract(s) Eliminate all but one or possibly two contractors using Round 2 AQSCI Scorecard to rate contractors following corporate and field visits and reference checking. Recommend award of contract(s) to Sponsors. Negotiate Final Terms and Conditions and Contract Exhibits Conform Contract(s) with approval of Associate General Counsel Prepare Board Documents Make recommended edits using feedback from sponsors and the Board Document Approval Process Present Contract(s) to the Board Execute Contract(s) Upon Board Approval and begin transition process if new contractor is chosen and approved.