1. Martin Informational Meeting

2. May 24, 2007Martin Informational Meeting2 Agenda 9:00 – 9:30 AM Welcome & Overview of the January Issues Identification Workshop 9:30 – 11:45 AMProject Operations Info Session 11:45 – 12:45 PMLunch (provided by Alabama Power) 12:45 – 2:00 PMShoreline Management Info Session 2:15 - 2:45 PM FERC Process & Upcoming Relicensing Activities 2:45 – 3:00 PM Closing Comments & Action Items Summary

3. May 24, 2007Martin Informational Meeting3 Purpose of Today’s Workshop To respond to many of the questions and information requests we received during the Issues Identification Workshop, specifically focusing on Project Operations, Shoreline Management and the FERC Relicensing Process.

4. May 24, 2007Martin Informational Meeting4 Review of Workshop Summary  Great representation of variety of stakeholders  Numerous concerns, comments, and questions  January Workshop leads to further defining issues

5. May 24, 2007Martin Informational Meeting5 Broad-based concerns, comments, and information are identified Beginning of Process Filing Final Application with FERC Develop “Issues” related to Project Effects Develop specific studies to address project effects The Issues “Funnel” Develop PM&E Measures to address project effects

6. May 24, 2007Martin Informational Meeting6 Martin Issue Groups (MIGs)  6 primary Issues MIG 1 - Fish and Wildlife MIG 2 - Water Quality and Quantity MIG 3 - Project Operations MIG 4 - Shoreline Management MIG 5 - Recreation MIG 6 – Cultural Resources  Use MIGs to develop existing info and identify data gaps

7. May 24, 2007Martin Informational Meeting7 Project Operations Information Session

8. May 24, 2007Martin Informational Meeting8 Shoreline Management Information Session

9. May 24, 2007Martin Informational Meeting9 Mission  Alabama Power Company’s Shoreline Management Program serves as a tool for the management of hydro project shoreline lands consistent with its Federal Energy Regulatory Commission (FERC) license requirements and project purposes.  The overarching goal of the program ensure that shoreline development is consistent with the protection and enhancement of environmental, scenic, cultural and recreational values while ensuring the continued reliable production of hydroelectric power at the project.

10. May 24, 2007Martin Informational Meeting10 Reservoir Shoreline  3,100 miles of shoreline 700+ miles on Martin Reservoir  190,000 acres of lake pool and flood storage area 40,000 + acres on Martin Reservoir

11. May 24, 2007Martin Informational Meeting11 History of Shoreline Permitting  1991/92 - APC initiated a formal permitting program over 25,000 lakeshore use permits issued 6500 + permits on Martin Reservoir  2,000 + permits issued per year 800+/- on Martin Reservoir  7 regional coordinators  Routine surveillance Land, water, air Satellite imagery in future (LIDAR)

12. May 24, 2007Martin Informational Meeting12 Shoreline Construction  Construction subject to permitting program: All new construction Heavy maintenance to existing facilities Major reconstruction of existing facilities Light maintenance – voluntary permitting  Construction must be completed within 1 year  Unapproved construction is resolved through negotiation and/or litigation  Existing structures included, if acceptable

13. May 24, 2007Martin Informational Meeting13 Individual Permit Process

14. May 24, 2007Martin Informational Meeting14 General Guidelines  Lots with less than 100 linear feet of shoreline  Shoreline construction - set a minimum of 15 feet from property line  Piers – 420 square feet of surface area  Floating Docks – attached to stationary pier – should not exceed 12 feet beyond the stationary pier and no more than 290 square feet.  Boathouses/Wet Slips/Boat Slips – maximum 800 square feet

15. May 24, 2007Martin Informational Meeting15 General Guidelines (Continued)  Boat ramps maximum 20 feet in width APC determines reasonable length into lake bed  Seawalls constructed as close to existing shoreline as possible rip rap at toe of wall  Dredging must be approved by APC (possibly others) prior to removal of any material  Flotation encapsulated and/or meet Corps of Engineers’ requirements. All beaded foam is to be removed from reservoir by 01-01-2010  APCo reserves the right to make exceptions and modifications

16. May 24, 2007Martin Informational Meeting16 Initial Contact  Explanation of process and guidelines  Set appointment  Appointment needs

17. May 24, 2007Martin Informational Meeting17 Site Visit  Guidelines presented and reviewed  Sketch review and shoreline inspection  Permit application prepared  Signature  Copy of deed and GPS coordinates  Permit fee collected if applicable  Application submitted to regional coordinator and decision made

18. May 24, 2007Martin Informational Meeting18 When Permits Are Approved  Application is signed  File made and keyed into database  Fee processed through Accounting  Copy of permit returned to customer  Temporary construction tag is placed at site  Permit copy forwarded to the Corps of Engineers  Permit tag is installed when construction is completed  Site is monitored through routine surveillance

19. May 24, 2007Martin Informational Meeting19 When Permits are Not Approved  Discussions between independent contactor and regional coordinator  Option for site visit and meeting with property owner  Adjustments considered

20. May 24, 2007Martin Informational Meeting20 Commercial & Special Use Permit Process

21. May 24, 2007Martin Informational Meeting21 o Handled by regional coordinator and other company reps o Hydro Licensing, Environmental Affairs and Law Firm o Explanation of process o Prepare Part 1 Standard Land Use (SLU) Form APC determination of action o APC determination of action o Applicable fees collected o Prepare Part 2 SLU Form Commercial and Special Use Permit Process

22. May 24, 2007Martin Informational Meeting22  APC application to FERC  FERC review & approval  APC issues permit  Construction may NOT occur until after permit is issued Commercial Permit Process (continued)

23. May 24, 2007Martin Informational Meeting23 Other Services  Help adjoining property owners resolve disputes regarding shoreline property  Provide service to stakeholders wishing to: Discuss property owners’ future plans Express concerns Need general information

24. May 24, 2007Martin Informational Meeting24 Education oWord of mouth  Printed information  Presentations to local organizations  Annual Birmingham Sport and Boat Show  1-800-Lakes 11  Shorelines Newsletter  Relicensing website (www.alabamapower.com/hydro/home)

25. May 24, 2007Martin Informational Meeting25 oResidential oJuly 1, 2005 and forward o$250 one time, not retroactive oApplies only to: oNew construction oMajor reconstruction oHeavy Maintenance oFees used to enhance the Permitting Program oAdministration oIncreased monitoring/surveillance and permit enforcement oTraining programs for contractors and realtors oCommercial and Special Use Permit Fees oFee determined by the complexity of the application and impact to project lands and waters. Permit Fees

26. May 24, 2007Martin Informational Meeting26 Proposed Process to Develop Shoreline Management Plan  Review existing land uses  Review proposed land use categories  Determine if lands need to be reclassified Uses TE&S species Development  Work with stakeholders on this process

27. May 24, 2007Martin Informational Meeting27 Current Land Use Categories

28. May 24, 2007Martin Informational Meeting28 Questions & Answers

29. May 24, 2007Martin Informational Meeting29 FERC Relicensing – Where Are we in this process?

30. May 24, 2007Martin Informational Meeting30 The FERC Relicensing Process  Current license is baseline  APC is using Integrated Licensing Process (ILP)

31. May 24, 2007Martin Informational Meeting31 Tasks for 2007 - 2008  June - Distribute MIGs  September – Stakeholder meeting to discuss MIGs and data gathering  November – Distribute Draft Study Plans for review and comment  December 07/January 2008 - Stakeholder meeting to finalize study plans for PAD  April / June 08 – Distribute PAD and Notice of Intent  End of 2 nd quarter ‘08 – FERC Scoping Meeting

32. May 24, 2007Martin Informational Meeting32 The Martin Project Schedule  2006-2007 – Stakeholder and Issue Identification  2008 – ILP with FERC begins  2009 – Study Implementation  2010 – Preliminary Licensing Proposal  2011 – File final application with FERC

33. May 24, 2007Martin Informational Meeting33 Contacts Relicensing Project Manager Jim Crew JFCREW@southernco.com 205-257-4265 Administrative Viki Jackson vjackson@southernco.com 205-257-2211

34. THANK YOU!