ML 164175 ^pepco EP1132 701 Ninth Street, NW Suite 1100, 10*^ Floor A PHI Company Washington, DC 20068 202 872-2318 Douglas E. Micheel 202 331-6767 Fax Associate General Counsel demicheel@pepcoholdings.com February 13, 2015 Mr. David J. Collins Executive Secretary Public Service Commission of Maryland William Donald Schaefer Tower 6 St. Paul Street, 16^ Floor Baltimore, MD 21202-6808 Re: Case No. 9311 Dear Mr. Collins: Enclosed please find an original and seventeen (17) copies (five three-hole punched) of Potomac Electric Power Company's ("Pepco") Annual Report of the Grid Resiliency Accelerated Priority Feeder Project. This report (provided as Attachment A) was directed by the Commission to provide information that would allow the Commission to closely monitor the success and effectiveness of the GRC program. Also included as Attachment B is an update to Rider "GRC" - Grid Resiliency Charge (proposed, redlined and supporting documentation). Rider "GRC" has been updated to reflect actual investments placed in service through December 2014 and forecasted investments for 2015 in accordance with Order No. 85724. Pepco requests that the proposed Rider "GRC" become effective with Usage on and after March 15, 2015. Please feel free to contact me if you have any questions regarding this matter. Sincerely, Douglas E. Micheel DEM/mda Enclosures cc: All Parties of Record Attachment A 2 pepco A PHI Companij Potomac Electric Power Company's Annual Report of the Grid Resiliency Accelerated Priority Feeder Project February 13, 2015 Introduction In accordance with Order No. 85724, Potomac Electric Power Company (Pepco or the Company) submits its Annual Report for the 2014 Grid Resiliency Accelerated Priority Feeder Program (GRC). Order No. 85724 directed Pepco to provide certain information that will allow the Commission to closely monitor the success and effectiveness of the GRC feeder program. The Commission directed that the Company provide: (1) the status of each project and respective milestones completed; (2) actual money spent to date on each project and respective milestone; (3) the reconciliation of projected costs and recoveries that includes a true-up calculation of overand under- recoveries; and (4) a proposed rate for the GRC for the subsequent year, including bill impact estimates. This document also includes a self-assessment with future plans to improve the project's cost management. 2014 GRC Feeder Status Twelve feeders were selected for the 2014 GRC work. All of the projects were completed by the end of 2014. The actuals were 22% higher than the estimated budget mostly due to detailed field assessments during engineering design that resulted in scope changes. Total Cost: Estimated Budget $11,652,600 Actuals $14,183,215 Variance Vo Variance (Estimated Cost vs. Actuals) (Estimated Cost vs. Actuals) $2,530,615 22% 1 Circuit: 14877 Substation: 24 - ROCKVILLE General Description: Maryland County Feeder ID Duty Voltage kV Customers Served Mileage Feeder Description UG OH Total Vicinity of Woodbum Rd. at Maple Ave., Baltimore Montgomery 14877 Distribution 8.94 1522 13 7.68 16.62 Rd. between Edmonston Rd. and Norbeck Rd. and Bauer Dr. between Norbeck Rd. and Emory Ln., Rockville, MD. Approximately 96% of customers are residential and 4% are commercial. Redtand Vnsihington Grove (^•BohfsrP Creek OenMod - KegiODafPerk S <9 Leisure L™ World Argyk CoitfitryCkib Rockvt s Aspen Mill Daorson Fflrm Park ( Wheaton-Glenmon a Proposed GRC Work Summary: • Replace 110 poles due to standards • Replace or install 105 insulated down guys and 54 insulated head guys to improve pole stability • • Replace 54 head guys Install one Automatic Circuit Recloser (ACR) to mitigate the impact of outages and facilitate sectionalization • Replace or install 135 animal guards, preventing outages due to animal contact • Replace or install 47 lightning arrestors • Replace approximately 2.1 miles ofprimary bare wire with tree wire in sections of the feeder that have tree cover, decreasing the likelihood of tree related outages • Upgrade approximately 3.3 miles of primary wire with 477 Automatic Circuit Sectionalizing and Restoration (ACSR) to facilitate supplying customers from other feeders to restore their service during emergency conditions • Replace approximately 4.2 miles of open wire secondary with triplex wire, decreasing the likelihood of faults during storm conditions. Also replace 1,624 feet of secondary service wire • Upgrade two gang operated switches • • Replace 43 transformers Replace 15 fuse cutouts Milestones Feeder Milestones 14877 Task Description Design Complete Proposed 11/29/2013 Variance Comments Actual 1/30/2014 Additional option to re-route feeder identified due to tree proximity and an unsuccessful atten^t to obtain a tree removal permit. This issue was identified during the review process. In addition there was a delay in the peer review and approval of the project. Permitting Complete Release to 12/27/2013 4/14/2014 12/30/2013 4/15/2014 Complete Delays in permits caused delays in construction release milestone. Construction Constmction There was a delay in applying for permits. 12/30/2014 12/30/2014 Completed GRC Work: • • • • Installed or replaced 7,995 feet of primary tree wire Replaced 2,918 feet of primary bare wire Replaced 29,870 feet of mainline secondary Replaced 1,076 feet of secondary service • Installed one ACR • • • • • Replaced 118 poles Replaced 106 crossarms Replaced two gang switches Replaced 103 fuse cutouts Replaced 52 transformers, 39 lightning arrestors, and 500 animal guards Budget and Actuals: Estimated Budget $1,558,900 Actuals $2,021,315 Variance (Estimated Cost vs. Actuals) $462,415 % Variance (Estimated Cost vs. Actuals) 30% Variance Explanation: The variance was attributed to additional poles, transformers, fuse cutouts and mainline secondary wires based upon detailed design field review. Subsequent review by Construction personnel also found additional poles and equipment that needed to be replaced. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting fi-om outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 29% of the outages, equipment failures 19%, and weather 16%. Installation of tree wires will decrease the likelihood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve restoration time. Installation of a recloser will mitigate the impact of outages and facilitate sectionalization of sustained faults thus minimizing the number of customers interrupted. All of the facility upgrades will improve the overall reliability of this feeder. Circuit: 15232 Substation: 118-QUINCE ORCHARD General Description: Feeder ID 15232 Maryland County Montgomery Duty Voltage Customers kV Served Distribution Mileage Feeder Description UO 41.52 1159 13 OH 15.52 Total 57.04 Feeder 15232 serves the general vicinity of Jones Lane between Turkey Foot Rd. and Damestown Rd., Damestown, MD. Approximately 94% of customers are residential and 6% are commercial. wasn <VSohferP Darnesto^wi North Polomac wg Pm^ Local Par V Obfrt Travi ah V j ^ ^ Poromac , ^ Community tteighborhood Part Proposed GRC Work Summary: • Replace approximately 1,017 feet of primary wire with All ACSR to meet Pepco's current standards and facilitate supplying customers from other feeders to restore their service during emergency conditions • Replace approximately 177 feet of open wire secondary with 4/0 triplex to meet Pepco's current standards • Replace one transformer, one fuse cutout, and two animal guards • • Install one insulated down guy to improve pole stability Install one ACR to mitigate the impact of outages and facilitate sectionalization Milestones Feeder Milestones 15232 Task Description Design Proposed Actual Variance Comments 11/15/2013 12/9/2013 Review and revisions to multiple jobs took longer than expected. 12/13/2013 1/3/2014 12/16/2013 1/8/2014 11/3/2014 5/10/2014 Complete Permitting Complete Release to Construction Constmction Last permit actuallyreceived 12/2/13. Tasks were not completed until job was released. Needed to wait until 2014 to release as GRC not funded in 2013, actually readv 12/20/13. Complete Completed GRC Work: • • • • Installed or replaced 94 feet of primary tree wire Replaced 768 feet of primary bare wire Replaced 498 feet of mainline secondary Replaced nine poles and 11 crossarms • Installed one ACR • Replaced 14 fuse cutouts • Replaced four lightning arrestors, and 22 animal guards Budget and Actuals: Estimated Budget $111,500 Actuals $171,847 Variance (Estimated Cost vs. Actuals) $60,347 % Variance (Estimated Cost vs. Actuals) 54% Variance Explanation: The project needed more labor hours than originallyplanned due to traffic control and vegetation management. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting from outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 65% of the outages and weather 15%. Installation of a recloser will mitigate the impact of outages and facilitate sectionalization of sustained faults thus minimizing the number of customers interrupted. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve restoration time. All of the facility upgrades will improve the overall reliability of this feeder. Also, during the past two years, Pepco has completed reliability enhancement work on this feeder totaling over $1M. Substation: 169 - ROSSMOOR SOUTH Circuit: 14908 General Description: Maryland County Feeder ID Duty Montgomery 14908 EHstribution Voltage Customers kV Served 13 1559 Mileage Feeder Description UG 20.88 OH 7.11 Total 27.99 Feeder 14908 serves the general vicinity of BelPre Rd. from Connecticut Ave. to Layhill Rd., Layhill from Bel-Pre Rd. to Cherter Mill Rd., and Argyle Club Rd. from Layhill Rd. to Longmead Crossing and Normandy Crossing Dr., Layhill, MD. Approximately 91% of customers are residential and 9% are commercial. lvior s u tyOub tsiP® S - f Ar^yle coonuyciubi eel PreRd g S v»(nmore Proposed GRC Work Summary: • Replace approximately 2.9 miles of primary wire with 477 ACSR to facihtate supplying customers from other feeders to restore their service during emergency conditions • Replace approximately two miles of primary bare wire with tree wire in sections of the feeder that are exposed to tree cover, decreasing the likelihood of tree related outages • • Replace approximately 1.7 miles of open wire secondary and 475 feet of open wire secondary services in various locations with triplex wire, decreasing the likelihood of faults during storm conditions Replace 43 poles and associated equipment • Replace or install 58 insulated down guys and seven insulated head guys to improve pole stability • • • Replace 43 transformers Replace 51 fuse cutouts Replace or install 90 animal guards • • Replace or install 60 lightning arrestors Upgrade two gang operated switches Milestones Feeder Milestones 14908 Task Description Design Complete Pei'iiiitting Complete Release to Proposed Actual 11/22/2013 1/23/2014 12/20/2013 2/28/2014 12/23/2013 3/5/2014 Construction Variance Comments Designs were completed by 10/1/2013, but there were delays in review and approval Delay in design review cascaded to peiniit application delays. Delays in permits caused delays in construction release milestone. Construction Complete 12/15/2014 10/13/2014 Completed GRC Work: • • • • Installed or replaced 16,772 feet of primary tree wire Installed or replaced 26,931 feet of primary bare wire Replaced 12,280 feet of mainline secondary Replaced 2,719 feet of secondary service wire • Replaced 63 poles, 30 crossarms, seven gang switches, 127 fuse cutouts • Replaced 27 transformers, one capacitor, 90 lightning arrestors, and 301 animal guards Budget and Actuals: Estimated Budget $1,296,000 Actuals $1,777,539 Variance ®/o Variance (Estimated Cost vs. Actuals) (Estimated Cost vs. Actuals) $481,539 37% Variance Explanation: The variance was driven by material costs. Subsequent review by Construction personnel found additional poles and equipment needed to be replaced. The additional work was approved by Engineering. In some cases these additions were proposed while the work was being conducted, but Engineering was notified for approval before the additional work was performed. 10 Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting from outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 62% of the outages and weather 24%. Installation of tree wires will decrease the likelihood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve restoration time. All of the facility upgrades will improve the overall reliability of this feeder. 11 Circuit: 14945 Substation: 154 -WOOD ACRES General Description: Feeder ID Maryland County Duty Voltage Customers kV Served Mileage Feeder Description UG OH Total Feeder 14945 serves customers in vicinity of Massachusetts Ave. from Avalon Dr. to Duvall 14945 Montgomery Distribution 621 13 0.94 8.57 9.51 Dr. and adjacent streets in Bethesda, MD, Approximately 91% of customers are residential and 9% customers are commercial. a.«Wt Cab»nJann WOOMCfej Park a c ® CfiudeWocrc CiMiUlFam) OoMi-Av, Proposed GRC Work Summary: • • • • • • • • Replace approximately 3.1 miles of tree wire or bare wire with 477 ACSR tree wire Replace approximately one mile of open wire secondary with triplex wire Replace 380 feet of secondary service wire Upgrade three gang switches Install one ACR to mitigate outages, facilitating sectionalization, and improve the reliability of the feeder in both storm and blue sky conditions Replace three poles Replace or install 18 insulated down guys to provide pole stability Replace 16 fuses, 30 animal guards, and 23 lightning arresters 12 Milestones Feeder Milestones 14945 Task Description Design Complete Proposed Variance Comments Actual 11/15/2013 12/20/2013 This feeder was originaly under the CEMI feeder program which needed to be redisgned as a GRC feeder. This caused some issues with reworking some of the original work requests (WR) and well as adding the new to the existing work. This made the design more complicated. Peiiuitting Complete 12/13/2013 2/14/2014 Allpermits exceptArmy Corps for WR 3400945 received by 12/13/13. Army Corps permitting was more rigorous than in the past. Tasks were not completed in WMIS until job was released. ArmyCorps pemiit received 2/13/14. Job was put out to bid prior to receiving Army Corps pemiit. Release to 12/16/2013 2/14/2014 Constmction Araiy Corps permitfor WR 3400945 held up releaseof project. Project was put out to bid 1/17/14 and awarded 1/31/14 withthe caveat that WR 3400945 not begin until Army Corps permit received. Constmction 11/3/2014 7/9/2014 Complete Completed GRC Work: • • • • Installed or replaced 22,286 feet of primary tree wire Replaced 4,260 feet of primary bare wire Replaced 11,932 feet of mainline secondary Replaced 1,304 feet of secondary service • Replaced 32 poles and 89 crossarms • Installed one ACR • Replaced one gang switch and 57 fuse cutouts • Replaced seven transformers, 27 lightning arresters, and 112 animal guards Budget and Actuals: Estimated Budget $1,087,100 Actuals $1,342,541 Variance (Estimated Cost vs. Actuals) $255,441 13 % Variance (Estimated Cost vs. Actuals) 23% Variance Explanation: The cost variance was driven by labor, specifically tree trimming charges, and additional materials that were identified during detailed design which were greater than the estimated budget. Additional work was also identified during construction which was approved by engineering. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting fi^om outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, weather accounted for 36% of the outages and vegetation 29%. Installation of tree wires will decrease the likelihood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve restoration time. Installation of a recloser will mitigate the impact of outages and facilitate sectionalization of sustained faults thus minimizing the number of customers interrupted. All of the facility upgrades will improve the overall reliability of this feeder. Further, this feeder is part of the Potomac - Wood Acres - Longwood - Bethesda Automated Service Restoration (ASR) scheme, which will allow for rapid isolation and restoration, minimizing the number of customers impacted by outages. 14 Circuit: 15251 Substation: 119 - EMORY GROVE General Description: Maryland County Feeder ID Voltage Duty Customers Served kV Mileage Feeder Description UG OH Total Vicinity of Emory Grove Rd. between Strawberry Knoll RD. and Grover Rd. and 15251 Montgomery 1933 13 [>istribution 19.39 4.46 23.85 Goshen Rd. between Odenhal Ave. and Centerway Rd., Gaithersburg, MD.. Approximately 93% of customers are residential and 7% are commercial. •'it. % Blue Masti' 5 Golf^iSw if--' Mom Iviiiage «) ® AgncfjIiKtral History ithersfourg (HE)- Red land Wflshinator Cto/^ •\ / OerwoocI CUD fiwormlFsrk . ^ ^•9BK^^ y \ Proposed GRC Work Summary: • Replace approximately 3,830 feet of single phase lateral #4 copper bare wire with 1/0 tree wire to meet current Pepco standards for conductor size and reduce the likelihood of tree related outages • Replace approximately 2,051 feet of mainline open wire secondary with triplex wire, decreasing the likelihood of faults during storm conditions • Replace five poles • Replace or install 21 insulated down guys and one insulated head guyfor pole stability • Replace two transformers due to their age and not meeting Pepco's current standards • Replace eight fiises • Replace or install nine animal guards 15 Milestones Feeder Milestones 15251 Task Description Design Complete Permitting Complete Release to Proposed Actual 11/15/2013 3/31/2014 12/13/2013 4/8/2014 12/16/2013 4/9/2014 Constmction Constmction Complete Variance Comments Designs were completed by 8/27/2013, but there were delays in review and approvaL There was a delay in applying for permits. Duration for permit review and approval averaged 7-8 weeks. Delays in permits caused delays in construction release milestone. 11/3/2014 7/22/2014 Completed GRC work Summary: • • • • • Installed or replaced 4,395 feet of primary tree wire Replaced 11,059 feet of primary bare wire Replaced 2,055 feet of mainline secondary wire Replaced seven poles, 16 crossarms, and 11 fuse cutouts, Replaced two transformers, 34 lightning arrestors, and 94 animal guards Budget and Actuals: Estimated Budget Actuals $371,000 $528,009 Variance (Estimated Cost vs. Actuals) $157,009 % Variance (Estimated Cost vs. Actuals) 42% Variance Explanation: Additional work was identified by construction personnel upon detailed review of the feeder. An additional six poles were replaced which were not in the original scope. There were also more than anticipated hours needed for Traffic Control, which led to the variance in labor. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting from outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, weather accounted for 39% of the outages, vegetation 24%, and equipment failures 10%. Installation of tree wires will decrease the likelihood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve restoration time. All of the facility upgrades will improve the overall reliability of this feeder. 16 Substation: 156-LINDEN Circuit: 14272 General Description: Feeder ID 14272 Maryland County Montgomery Duty Distribution Voltage kV Customers Served 1623 13 Mileage Feeder Description UG 3.17 OH 9.63 Total 12.80 Feeder 14272 serves the Vicinities of Gamer Ave., Brunswick Ave., Eccleston St., Forest Glen Rd., Silver Spring, MD. Approximately 98% of customers are residential and 2% are commercial. y as) SihwSpnng sa Proposed GRC Work Summary: • Install or replace nine poles to current standards. Replace one insulated head guy to improve • pole stability Install two ACRs to mitigate the impact of outages and facilitate sectionalization • • Replace or install 12 animal guards, preventing outages due to animal contact Install or replace five transformers • Replace approximately 631 feet of primary bare wire with tree wire in sections of the feeder that have tree cover, decreasing the likelihood of tree related outages • Replace approximately 261 feet of primary wire with 477 ACSR bare wire to meet Pepco's current standards and facilitate supplying customers from other feeders to restore their service during emergency condition 17 Milestones Feeder Milestones 14272 Task Description Design Proposed Actual 11/29/2013 1/7/2014 12/27/2013 1/7/2014 Delay in design review cascaded to peiinit application delays. 12/30/2013 1/9/2014 Peer reviewand approvals took longer than anticipated. 10/6/2014 4/15/2014 Complete Permitting Complete Release to Variance Comments Design completed on 9/18/2013, but review and approval was delayed. Construction Construction Complete Completed GRC work Summary: • • • • • Installed or replaced 3,174 feet of primary tree wire Replaced 274 feet of primary bare wire Replaced 11 poles Replaced four crossarms, two ACRs, and 14 fuse cutouts Replaced nine transformers, two lightning arrestors, and 28 animal guards Budget and Actuals: Estimated Budget $110,300 Actuals $148,731 Variance (Estimated Cost vs. Actuals) $38,431 ®/o Variance (Estimated Cost vs. Actuals) 35% Variance Explanation: Pre-construction inspection by Construction personnel identified additional spans of wire and poles that needed to be replaced. This additional work was approved by Engineering. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting from outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 40% of the outages and weather 36%. Installation of tree wire will decrease the likelihood of tree related outages. The installation of reclosers will mitigate the impact of outages and facilitate sectionalization of sustained faults thus minimizing the number of customers interrupted. All of the facility upgrades will improve the overall reliability of this feeder. 18 Circuit: 14452 Substation: 26 —FOUR CORNERS General Description: Maryland County Feeder ID 14452 Duty Montgomery Distribution Voltage Customers kV Served 1224 13 Mileage Feeder Description UG 0.77 OH 10.72 Total 11.49 Feeder 14452 serves the vicinity of University Blvd. at Indian Spring Dr. and Colesville Rd. between Brewster Ave. and Spring St., Silver spring, MD. Approximately 97% of customers are residential and 3% are commercial. heflton '%• '% -a Ave KempW ^ 3rT^iVC«ier«i «nacost(»/V> T Genera/ Getry IVcig#i&i?rfic?od ♦ Park Siigo Creek Park h?reiiO ;n j: Sligo Creek Golf Course O, /M4. Silver Spring Proposed GRC Work Summary: • Replace approximately 3.4 miles of primary wire with 477 ACSR to meet Pepco's current standards and facilitate supplying customers from other feeders to restore their service during emergency conditions • Replace approximately 2.4 miles of open wire secondary with triplex wire, decreasing the likelihood of faults during storm conditions. 204 feet of secondary service wire will also be • replaced Replace 58 poles • Replace or install 31 insulated down guys and 28 insulated head guys to improve pole stability • Upgrade eight switches. Several of these switches serve as feeder ties to allow service restoration via an alternate feeder • • Replace 20 transformers Replace 27 fuse cutouts 19 Milestones Feeder Milestones 14452 Task Description Design Proposed Actual 11/22/2013 1/23/2014 12/20/2013 4/28/2014 12/23/2013 4/28/2014 Complete Permitting Complete Release to Construction Variance Comments Review and approval took longer than expected. Cascaded delay and Montgomery County permit averaged around 5 weeks for approval Delays in permAs caus^ delays in construction release milestone. Constmction Complete 12/15/2014 12/15/2014 Completed GRC work Summary: • • • • • • Installed or replaced 8,796 feet of primary tree wire Replaced 22,777 feet of primary bare wire Replaced 47,889 feet of mainline secondary Replaced 10,843 of secondary service Replaced 128 poles, 127 crossarms, two ACRs, six gang switches, and 129 fuse cutouts Replaced 23 transformers, 129 lightning arrestors, and 332 animal guards Budget and Actuals: Variance Estimated Actuals Budget $2,710,000 $2,570,187 (Estimated Cost vs. Actuals) ($139,813) % Variance (Estimated Cost vs. Actuals) -5% Variance Explanation: Additional work was based upon review by Construction personnel and the added work was approved by Engineering. However, the actual labor cost was lower than proposed due to favorable bids. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting fi-om outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, weather accounted for 47% of the outages and vegetation 37%. Installation of tree wires will decrease the likelihood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve restoration time. Installation of reclosers will mitigate the impact of outages and 20 facilitate sectionalization of sustained faults thus minimizing the number of customers interrupted. All of the facility upgrades will improve the overall reliability of this feeder. 21 Circuit: 14240 Substation: 155 - CRAIN HIGHWAY General Description: Maryland County Feeder ID Duty Prince Georges 14240 Distribution Voltage kV Customers Served 1066 13 Mileage Feeder Description UG 28.62 OH 17.28 Total 45.90 Feeder 14240 serves the Vicinity of Grain Highway between Sturdee Dr. and Cross Rd., and Frank Tippett Rd. between Grain Highway and Rosaryville Rd., Upper Marlboro, MD. Approximately 92% of customers are residential and 8% are commercial. ^ * • ^ • HydeFwW •;? : \1 •.• • '"--ft Ro»anrviBei'H # ClinloA jif'.:' '"it '» '^r' // S P«tuxe Croom River , : Oi»tWRh»m Oankirk B(an<tywir CedsrvHk ^ Charles .f 1 SD -i;- Proposed GRC Work Summary: • 89 poles will be replaced as part of equipment replacements on the poles including wire • replacements About 2.5 miles of bare wire single phase primary will be replaced with larger size wires per • the current Pepco standards to ensure switching capabilities in the event of an outage Replace 840 feet of tree wire along Grain Highway where the risk for tree limbs falling on the wires is higher • Replace about a mile of mainline Open-Wire Secondary wire with triplex wires which has hi^er strength and a higher chance of withstanding tree related outages with tree limbs falling on them • Replace 1,834 feet of secondary service wire will be replaced with triplex service wires 22 Milestones Feeder Milestones 14240 Task Proposed Actual Design Complete 11/15/2013 11/6/2013 Permitting Complete 12/13/2013 12/3/2013 12/16/2013 1/28/2014 11/3/2014 6/16/2014 Description Release to Variance Comments Peer review and approvals took longer than antic^ated. Constmction Constmction Complete Completed GRC work Summary: • Installed or replaced 6,579 feet of primary tree wire • Replaced 23,641 feet of primary bare wire • Replaced 9,668 feet of mainline secondary • Replaced 1,000 feet of secondary service • Replaced 90 poles, 60 crossarms, and 66 fuse cutouts; and, • Replaced 33 transformers, 34 lightning arrestors, 25 animal guards, and one ACR Budget and Actuals: Estimated Budget $850,900 Actuals $1,596,232 Variance % Variance (Estimated Cost vs. Actuals) (Estimated Cost vs. Actuals) $745,332 88% Variance Explanation: This project required more poles and equipment that needed replacement than originally anticipated. Detailed field review found additional areas where wires needed to be upgraded. There were areas where bare wire was originally planned for which was replaced with tree wire construction. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting from outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 36% of the outages, equipment failures 31%, and weather 17%. Installation of tree wires will decrease the likeUhood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve restoration time. Installation of a recloser will 23 mitigate the impact of outages and facilitate sectionalization of sustained faults thus minimizing the number of customers interrupted. All of the facility upgrades will improve the overall reliability of this feeder. 24 Circuit: 14943 Substation: 154 -WOOD ACRES General Description: Feeder ID 14943 Maryland County Montgomery Duty Distribution Voltage Customers kV Served 13 1283 Mileage Feeder Description UG 7.62 OH 10.82 Total 18.44 Feeder 14943 serves vicinity of Mac Arthur Blvd. From Walhounding Rd. to Vendome Dr., Bethesda, MD. Approximately 94% of customers are residential and 6% customers are commercial. ^ )• ' /X 'f' • ivmlSarPmt Proposed GRC Work Summary: • Replace approximately 1.8 miles of primary bare wire with primary tree wire to prevent tree related outages • Replace approximately 2.2 miles of open wire secondary with triplex wire, decreasing the likelihood of faults during storm conditions • Replace 728 feet of bare wire and 497 feet of secondary service wire to meet current Pepco standards • Replace 89 poles • Replace or install 33 insulated head guys and 43 insulated dovm guys to provide pole • stability Replace 36 transformers • Upgrade two gang operated switches and two manually operated switches. These switches serve as feeder ties to allow service restoration via a backup feeder • Replace 85 fuses, 54 lightning arresters, and 143 animal guards to meet current Pepco standards and increase system reliability 25 Milestones Feeder Milestones 14943 Task Description Design Complete Permitting Complete Release to Proposed 11/15/2013 12/20/2013 12/13/2013 1/21/2014 This feeder was originafya CEMI feeder which needed to be redesigned as a GRC feeder. This caused some issues with reworking some of the original WRs and well as adding the new to the existingwork. This made the design more complicated. Last permit actually received 12/14/13. Army Corps permiting was more rigorous than in the past. Tasks were not completed in WMIS until iob was released. 12/16/2013 1/21/2014 11/3/2014 11/25/2014 Construction Delays in permits caused delays in constmction release milestone. Construction Complete Variance Comments Actual Completed GRC work Summary: • • • • • • Installed and replaced 10,651 feet of primary tree wire Replaced 1,418 feet of primary bare wire Replaced 11,694 feet of mainline secondary Replaced 3,700 feet of secondary service Replaced 117 poles, 55 crossarms, four gang switches, and 114 fuse cutouts Replaced 45 transformers, 70 lightning arrestors, and 108 animal guards Budget and Actuals: Estimated Actuals Budget $1,304,750 $991,100 Variance (Estimated Cost vs. Actuals) $313,650 % Variance (Estimated Cost vs. Actuals) 32% Variance Explanation: Additional poles and transformers were identified during the detailed design and construction phases that drove the variance. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting fi-om outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 45% of the outages, weather 21%, and equipment failures 18%. Installation of tree wires will decrease the likelihood of tree related outages. 26 Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its hi^er strength and improve restoration time. All of the facility upgrades will improve the overall reliability of this feeder. Further, this feeder is part of the Potomac Wood Acres - Longwood - Bethesda Automated Service Restoration (ASR) scheme, which will allow for rapid restoration of customers impacted by outages. 27 Substation: 192 - LONGWOOD Circuit: 15115 General Description: ID Maryland County 15115 Montgomery Feeder Duty Voltage Customers kV Served 13 1150 Mileage Feeder Desolptlon UG OH Total 17.26 3.94 21.2 General vicinity of Seven Locks Rd., Democracy EMstributioa Blvd., Bells Mill Rd., Bethesda, MD. Approximately 98% of customers are residential and 2% are commercial. "oniroj,. Rd Mont/oss f Trnen Woods I oca( Pgjjj Cabin John BegiomlPark ' Us Is Road Course ft), 8»/cli _ Branch Parit Democrse/e/M uemoc/acKe^,- eai)it«k8< McCrdlis Gardens Proposed GRC Work Summary: • • • • • • Install approximately 1,375 feet of three phase All ACSR primary tree wire, 660 feet of lateral three phase 1/0 tree wire, 2,764 feet of lateral single phase 1/0 tree wire, and 1,578 feet of lateral 1/0 bare wire to meet current Pepco conductor size standards and facilitate supplying customers from other feeders during emergency conditions Replace approximately 582 feet of mainline open wire secondary with triplex wire, decreasing the likelihood of faults during storm conditions Replace a total of 15 poles Replace or install 28 insulated down guys and six insulated head guys Replace seven transformers Replace or install 71 animal guards and 18 lightning arrestors 28 Milestones Feeder Milestones 15115 Task Description Design Complete Pemiitting Proposed Actual Variance Comments 11/15/2013 12/9/2013 One of the jobs became cormpt in WMIS and needed to be redone. Also revisions to jobs required. Lateral job originallyput on hold then reactivated causing delays in design and permitting. 12/13/2013 1/3/2014 12/16/2013 1/8/2014 11/3/2014 5/10/2014 see above Complete Release to actuallv ready 12/20/13. Constniction Construction Needed to wait til 2014 to release as GRC not funded in 2013, Complete Completed GRC work Summary: • • • • • • Installed or replaced 7,559 feet of primary tree wire Replaced 7,597 feet of primary bare wire Replaced 611 feet of mainline secondary Replaced 1,218 feet of secondary service Replaced 11 poles, four crossarms, and 39 fuse cutouts Replaced four transformers, nine lightning arrestors, and 82 animal guards Budget and Actuals: Estimated Actuals Budget $131,500 $366,207 Variance (Estimated Cost vs. Actuals) $234,707 % Variance (Estimated Cost vs. Actuals) 178% Variance Explanation: The cost variance was driven by material, specifically conductor upgrades. Additional areas were identified for upgrades by construction upon review of the feeder. This work was approved by engineering. Anticipated Benefits: Thebenefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting from outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, weather accounted for 36% of the outages and equipment failures 36%. Installation of tree wires will decrease the likelihood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its 29 higher strength. All of the facility upgrades will improve the overall reliability of this feeder. Further, this feeder is part of the Potomac - Wood Acres - Longwood - Bethesda Automated Service Restoration (ASR) scheme, which will allow for rapid restoration of customers impacted by outages. 30 Substation: 156 - LINDEN Circuit: 14271 General Description: Feeder ID Maryland County Duty Voltage Customers kV Served Mileage Feeder Description UG OH Total Feeder 14271 serves the Vicinity of Lyttonsville Rd. between Brookeville Rd. and Grubb Rd. and 14271 Montgomery Distribution 13 1346 2.79 9.94 12.73 Grubb Rd. between East-West Highway and Western Ave., Chevy Chase, MD, Approximately 91% of customers are residential and 9% are commercial. Silver Spring Otmibr Wood* Proposed GRC Work Summary: • Install or replace 112 poles • Replace or install 85 insulated down guys and 61 insulated head guys to improve pole stability • • • • • Install one ACR to mitigate the impact of outages and facilitate sectionalization Upgrade one gang operated switch Replace or install 46 animal guards, preventing outages due to animal contact Replace or install 16 lightning arrestors, preventing outages due to lightning Replace approximately 3.5 miles of primary bare wire with tree wire in sections of the feeder that have tree cover, decreasing the likelihood of tree related outages • Replace approximately 3.9 miles of open wire secondary with triplex wire, decreasing the likelihood of faults during storm conditions. 1.4 miles of secondary service wire will also be replaced Replace approximately 2,149 feet of primary wire with 477 ACSR bare wire Install or replace 27 transformers • • • Replace 67 fuse cutouts 31 Milestones Feeder Milestones 14271 Task Description Design Complete Permitting Complete Release to Proposed Actual 11/29/2013 1/7/2014 12/27/2013 1/7/2014 12/30/2013 1/9/2014 Variance Comments delayed. Permits were actually obtained on 12/20/2013, but the processing of the permit was delayed in the office. Delays in permits caused delays in constmction release milestone. Constmction Constmction Complete Design completed on 10/8/2013, but review and approval was 10/6/2014 4/15/2014 Completed GRC Work Summary: • Installed or replaced 166 feet of primary tree wire • Replaced 15,881 feet of primary bare wire • Replaced 613 feet of mainline secondary • Replaced four poles, 29 crossarms, one ACR, and 30 fiise cutouts • Replaced 10 transformers, two lightning arrestors, and 50 animal guards Budget and Actuals: Estimated Budget $579,000 Actuals $263,918 Variance % Variance (Estimated Cost vs. (Estimated Cost vs. Actuals) Actuals) ($315,082) -54% Variance Explanation: The original estimate for this feeder was based on a high level review of the feeder. It had also included work that was planned in the District of Columbia which was later removed from the design. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting from outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 31% of the outages and weather 26%. Installation of a recloser will mitigate the impact of outages and facilitate sectionalization of sustained faults thus minimizing the number of customers interrupted. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and improve 32 restoration time. Installation of tree wires will decrease the likelihood of tree related outages. All of the facility upgrades will improve the overall reliability of this feeder. 33 Substation: 44 - COLESVILLE Circuit: 15030 General Description: Maryland County Feeder ID Montgomery 15030 Duty Distribution Voltage Customers kV Served 13 1408 Mileage Feeder Description UG 10.42 OH 11.07 Total 21.49 Feeder 15030 serves customers in vicinity of Randolph Rd. from New Hampshire Ave. to Middlevale Lane and Briggs Rd. from Middlevale Lane to Hathaway Dr., Wheaton MD. Approximately 95% customers are residential and 5% customers are commercial. Country Club kspen Hill Wheaton-Glenmoni * V ® Nenhf 'wheaton leOak QHislngioa Proposed GRC Work Summary. • • Replace 5.6 miles of primary wire with All ACSR wire to meet Pepco's current standards and facilitate supplying customers from other feeders to restore their service during emergency conditions Replace 2.8 miles of primary wire with 477 ACSR tree wire to meet Pepco's current standards, prevent tree related outages and facilitate supplying customers from other feeders to restore their service during emergency conditions • Replace 6.5 miles of open wire secondary with triplex wire, decreasing the likelihood of • faults during storm conditions. 225 feet of secondary service wire will also be replaced to meet current Pepco standards Replace 63 poles Replace or install 31 insulated head guys and 180 insulated down guys to provide pole stability Replace 28 transformers • Upgrade one gang operated switch. This switch serves as feeder tie to allow service • restoration via a backup feeder Replace 62 fuses, 76 lighting arresters, and 172 animal guards to meet current Pepco standards and increase system reliability both in storm and blue sky conditions • • 34 Milestones Feeder Milestones 15030 Task Description Design Proposed Actual 11/29/2013 1/22/2014 12/27/2013 1/23/2014 Complete Release to Designs were completed by 10/9/2013, but there were delays in review and approval Complete Permitting Variance Comments There was a delay in applying for permits. Permits received on 1/22/2014. 12/30/2013 2/5/2014 12/30/2014 8/8/2014 Peer reviewand approvals took longer than antic^ated. Construction Construction Complete Completed GRC Work Summary: • • • • • Installed or replaced 18,593 feet of primary tree wire Replaced 38,379 feet of primary bare wire Replaced 36,388 feet of mainline secondary Replaced 3,079 feet of secondary service Replaced 90 poles, 53 crossarms, one gang switch, and 128 fuse cutouts • Replaced 30 transformers, 67 lightning arrestors, and 151 animal guards Budget and Actuals: Variance Estimated Budget Actuals $1,855,300 $2,091,937 (Estimated Cost vs. Actuals) $236,637 %Variance (Estimated Cost vs. Actuals) 13% Variance Explanation: Additional Verizon poles as well as extra Pepco poles were identified by construction that needed to be replaced during the pre-construction inspection of the locations. This in turn caused the increase in the number of poles, cross arms, fuse cutouts and feet of wire which had to be replaced. In addition, the labor cost was lowerdue to favorable bids. Anticipated Benefits: The benefits, both annual and overall, include the reduction of customer service interruptions and restoration time resulting fi-om outages related to weather, vegetation, and equipment failures, thus improving system reliability and customer satisfaction. During the outage review period 2010 through 2012, vegetation accounted for 47% of the outages and weather 35%. Installation of tree wire will decrease the likelihood of tree related outages. Installation of secondary triplex wires will decrease the likelihood of faults during storm conditions due to its higher strength and 35 1 improve restoration time. All of the facility upgrades will improve the overall reliability of this feeder. Also, during the past two years, Pepco has completed a Selective Undergrounding project on this feeder as part of the REP totaling approximately $3.7M. 36 Lessons Learned Pepco continues to be engaged in self-assessment and lessons learned activities to better mitigate budget and design variances. A number of opportunities for improvement have been identified so far, including: • Steps taken to prevent variances in actual cost versus planned cost from reoccurring in the future o Variances will be reviewed on a monthly basis at a Work Order level. Project costs will be compared against remaining hours to ensure that the spending is on target, o Additional cost items were added to the 2015 estimates based on actual cost items incurred on previous projects. o Added scrutiny on material credits. Project close review will have enhanced review of material credits and issues prior to close. o The change order process and construction review process summarized in the bullet point below will also have an impact on controlling the costs. • Steps taken to prevent design modification from approved work to actual work performed o Implemented Joint Constructability Review with Construction, Vegetation Management and Engineering. Required changes will be identified during the review and the estimate modified before the scope and costs are finalized. o Any additional unavoidable changes will be greatly minimized with a strict change order process that involves approval from Engineering and approval from the Project Sponsor if above a certain percentage limit. This process is already in place but will be enhanced to include the Project Sponsor. • Justification of any costs different from costs for similar work detailed in the Annual Reliability Compliance Report filed April 1, 2014. o Costs for similar work remain the same. variations in bid price. 37 Any changes, if any will be due to Attachment B PROPOSED y pepco A PHI Company Electric-P.S.C. Md. No. 1 MD One Hundred and Eighth Revised Page No. 1 RATE SCHEDULES FOR ELECTRIC SERVICE IN MARYLAND POTOMAC ELECTRIC POWER COMPANY pepco RATES AND REGULATORY PRACTICES GROUP Date of issue; February 13, 2015 Date Effective: Usage on and after March 15, 2015 21 popoo A PHI Compon«j mmp. Electhc-P.S.C. Md. No. 1 One Hundred and Eighth Revised Page No. 2 TABLE OF CONTENTS RATE SCHEDULES RESIDENTIAL SERVICE-SCHEDULE "R" Rage 3- 3.1 TIME METERED RESIDENTIAL SERVICE-SCHEDULE"R-TM" Page 4- 4.1 GENERAL SERVICE - SCHEDULE "GS" Page 5 - 5.1 TEMPORARY SERVICE-SCHEDULE "T" Page 6- 6.1 TIME METERED MEDIUM GENERAL SERVICE - LOW VOLTAGE - TYPE II SCHEDULE "MGTLV11" Page 7- 7.2 TIME METERED MEDIUM GENERAL SERVICE - LOW VOLTAGE - TYPE II A SCHEDULE "MGT LV II A" {THIS SCHEDULE HAS BEEN DELETED) Page 7.3 - 7.5 TIME METERED MEDIUM GENERAL SERVICE - LOW VOLTAGE - TYPE III SCHEDULE "MGT LV 111" Page 7.6 - 7.8 TIME METERED MEDIUM GENERAL SERVICE - PRIMARY SERVICE - TYPE II SCHEDULE "MGT 3A 11" Page 8- 8.2 TIME METERED MEDIUM GENERAL SERVICE - PRIMARY SERVICE - TYPE II A SCHEDULE "MGT 3AII A" (THIS SCHEDULE HAS BEEN DELETED) Page 8.2- 8.5 TIME METERED MEDIUM GENERAL SERVICE - PRIMARY SERVICE - TYPE III SCHEDULE "MGT 3A III" Page 8.6 - 8.8 TIME METERED GENERAL SERVICE - LOW VOLTAGE - SCHEDULE "GT LV Page 9- 9.2 TIME METERED GENERAL SERVICE - PRIMARY SERVICE - SCHEDULE "GT 3A" Page 10 - 10.2 TIME METERED GENERAL SERVICE - HIGH VOLTAGE - SCHEDULE "GT 3B" Page 11 -11.2 TIME METERED RAPID TRANSIT SERVICE - SCHEDULE "TM-RT' Page 12 -12.1 ELECTRIC VEHICLE SERVICE - SCHEDULE "EV" Page 13-131 (THIS SCHEDULE IS CLOSED TO NEW CUSTOMERS) OUTDOOR LIGHTING SERVICE - SCHEDULE "OL" Page 14-14.1 STREET LIGHTING SERVICE - SCHEDULE "SL" Page 15 -15.1 SERVICING STREET LIGHTS SERVED FROM OVERHEAD LINES - SCHEDULE "SSL-OH" Page 16-16.2 SERVICING STREET LIGHTS SERVED FROM UNDERGROUND LINES - SCHEDULE "SSL-UG" Date of Issue; February 13. 2015 Page 17 -17.2 Date Effective: Usage on and after March 15. 2015 19 popco A PHI Compomj Electric-P.S.C. Md. No. 1 IvID One Hundred and Eighth Revised Page No. 2.1 SERVICING STREET LIGHTS SERVED FROM OVERHEAD LINES- SCHEDULE "SSL-OH-LED" Page 17.3-17.5 SERVICING STREET LIGHTS SERVED FROM UNDERGROUND LINES- SCHEDULE "SSL-UG-LED" Page 17.6-17.8 TELECOMMUNICATIONS NETWORK SERVICE - SCHEDULE "TN" Page 18 -18.1 COGENERATION AND SMALL POWER PRODUCTION INTERCONNECTION SERVICE - SCHEDULE "CG-SPP" PURCHASE OF POWER Page 19-19.4 STANDBY SERVICE - SCHEDULE "S" Page 20 - 20.1 PLUG-IN VEHICLE CHARGING - EXPERIMENTAL - SCHEDULE "PIV" Page 21 - 21.1 RESIDENTIAL SERVICE - EXPERIMENTAL PLUG-IN VEHICLE CHARGING - SCHEDULE "R-PIV" Page 22-22.1 RESERVED FOR FUTURE USE Page 23 - 26 RIDERS MARKET PRICE SERVICE - RIDER "MPS" Page 27 - 27 1 (THIS RIDER HAS BEEN DELETED) UNIVERSAL SERVICE CHARGE RECOVERY - RIDER "USC" Page 28 GENERATION PROCUREMENT CREDIT - RIDER "GPC" Page 29 - 29.1 (THIS RIDER HAS BEEN DELETED) EXPERIMENTAL RESIDENTIAL ELECTRIC VEHICLE SERVICE - RIDER "R-EV" Page 30 EXPERIMENTAL RESIDENTIAL TIME-OF-USE ELECTRIC VEHICLE SERVICE - RIDER "R-TM-EV Page 30.2 NET ENERGY METERING "NEM" Page 31 -31.3 EXPERIMENTAL CONJUNTIVE BILLING SERVICE- RIDER "CBS" Page 32 - 32.1 (THIS RIDER HAS BEEN DELETED) TELECOMMUNICATION NETWORK CHARGE - RIDER "SL-TN" Page 33 POWER FACTOR-RIDER "PF" Page 34 THERMAL ENERGY STORAGE SERVICE - RIDER "TS" Page 35 DELIVERY TAX SURCHARGE - RIDER "DT" Page 36 MONTGOMERY COUNTY SURCHARGE - RIDER "MCS" Page 37 MARYLAND ENVIRONMENTAL SURCHARGE - RIDER "MES" Page 38 Date of Issue: February 13, 2015 Date Effective: Usage on and after March 15, 2015 popoo A PHI Compcmij mmp. Electric-P.S.C. Md. No. 1 Seventy-Fifth Revised Page No. 2.2 TEMPORARY TAX COMPLIANCE SURCHARGE - RIDER "TTCS" Page 39 (THIS RIDER HAS BEEN DELETED) OPTIONAL METER EQUIPMENT RELATED SERVICES - RIDER "OMRS" Pages 40-40.2 EXCESS FACILITIES - RIDER "EF" Page 41 DIVESTITURE SHARING CREDIT - RIDER "DS" Page 42 (THIS RIDER HAS BEEN DELETED) STANDARD OFFER SERVICE - RIDER "SOS" Page 43-43.6 ADMINISTRATIVE CREDIT - RIDER "AC" Page 44 SOS PHASE IN CREDIT/DEFERRED COST ADJUSTMENT-RIDER "SOS PIC/DCA". Page 45 - 45 1 (THIS RIDER HAS BEEN DELETED) RESERVED DELIVERY CAPACITY SERVICE - RIDER "RDCS" Page 46 - 46.1 BILL STABILIZATION ADJUSTMENT - RIDER "BSA" Page 47 - 47.1 EMPOWER MD CHARGE - RIDER "E-MD" Page48-48.1 RESIDENTIAL DIRECT LOAD CONTROL - RIDER "R-DLC" Page 49 - 49.1 RGGI RATE CREDIT - RIDER "RRC" Page 50 MASTER-METERED DIRECT LOAD CONTROL-RIDER "MM-DLC" Page 51-51.1 AGGREGATE NET ENERGY METERING - RIDER "ANEM" Page 52 - 52.4 NON-RESIDENTIAL DIRECT LOAD CONTROL - RIDER "NR-DLC" Page 53 DEMAND RESOURCE SURCHARGE - RIDER "DRS" Page 54 - 54.1 DYNAMIC PRICING - PEAK ENERGY SAVINGS CREDIT - RIDER "DP" Page 55 - 55.1 GRID RESILIENCY CHARGE - RIDER "GRC" Page 56- 56.1 Date of Issue; February 13, 2015 Date Effective: Usage on and after March 15, 2015 Q popoo A PHI Compcn«j Electric-P.S.C. Md. No. 1 MD First Revised Page No. 56 GRID RESILIENCY CHARGE RIDER - RIDER "GRC" APPLICABILITY The Distribution Charges billed under the Schedules "R", "R-TM", "GS", "T", "MGT LV M", "MOT LV III" "MOT 3A II", "MGT 3A III", "GT LV, "GT 3A", "GT 3B", "TM-RT', "SL", "OL", "EV and "TN" shall be subject to the Grid Resiliency Charge as specified in the terms of this Rider. The Grid Resiliency Charge provides for collection of the monthly charges and rates set forth. The Grid Resiliency Charge is specifically intended to recover approved expenditures determined to be incremental to those required to meet Maryland electric distribution reliability standards specified in the Maryland Service Quality and Reliability Standards and undertaken in an accelerated timeframe with respect to the baseline planning levels, DETERMINATION OF CHARGE The Grid Resiliency Charge will be based on revenue requirements calculated using projected annual expenditures. The revenue requirement will include the following items and adjustments: 1. Return on incremental accelerated capital expenditures placed into service during the period at the authorized rate of return. 2. Recovery of incremental accelerated capital expenditures placed into service during the period through depreciation expense. 3. incremental accelerated operating and maintenance expenses. 4. Reconciliation of the deferred balance on an annual basis, (See "Adjustmentto Charge") 5. The Grid Resiliency Charge is currently expected to remain in effect for approximately three years beginning in January 2014, and thereafter will continue in effect until the completion of the first rate case filed after all of approved grid resiliency-related projects are placed into service. MONTHLY CHARGES AND RATES: Rate Schedule Effective March 15. 2015 $0.00016 per kwhr "R" "GT LV" "GT 3A" "GT 3B" "TM-RT" $0.0405 $0.0375 $0.0435 $0.0286 $0.0192 $16,56 "SL" "TN" $0.00011 $0.00012 per per per per per per per per per per $0.01 $0.01 $0.02 per lamp per month per lamp per month "R-TM" "GS", "T", "EV" "MGT LVII", "MGT LVIII" "MGT 3Air, "MGT 3AIII" $0.00016 $0.00017 kwhr kwhr kw of maximum demand kw of maximum demand kw of maximum demand kw of maximum demand kw of maximum demand month per delivery point kwhr kwhr "OL" Mecurv Vaoor 175 Watt 250 Watt 400 Watt High Pressure Sodium 100 Watt 150 Watt 250 Watt Date of Issue: $0.01 $0.01 $0.01 February 13, 2015 per lamp per month per lamp per month per lamp per month per lamp per month Date Effective; Usage on and after March 15, 2015 01 pepco A PHI Company ^mw-% Electric-P.S.C. Md. No. 1 ^ ^ First Revised Page No. 56.1 ADJUSTMENT TO CHARGE The Grid Resiliency Charge is subject to deferred accounting. A monthly over/under recovery calculation will be performed based on actual revenues received under Grid Resiliency Charge Rider and the actual revenue requirement in each month, and the over/under recovery will be tracked as a deferred balance. Interest on this balance will be calculated monthly using the Company's short term debt rate. The interest rate will be reset each month. The deferred balance will be reconciled on an annual basis. Date of Issue: February 13, 2015 Date Effective: Usage on and after March 15, 2016 REDLINE A PHI CompCTM^ Electric-P.S.C. Md. No. 1 MD One Hundred and Eighth Soventh Revised Page No. 1 RATE SCHEDULES FOR ELECTRIC SERVICE IN MARYLAND POTOMAC ELECTRIC POWER COMPANY pepco RATES AND REGULATORY PRACTICES GROUP Date of Issue: February 13 2015 Date Effective: Usage on and after March 15. February 9, 2015 popoo A PHI CompOTHJ Electric-P.S.C. Md. No. 1 iViU One Hundred and Eighth Sovonth Revised Page No. 2 TABLE OF CONTENTS RATE SCHEDULES RESIDENTIAL SERVICE-SCHEDULE"R" Page 3- 3.1 TIME METERED RESIDENTIAL SERVICE-SCHEDULE "R-TM" Page 4- 4.1 GENERAL SERVICE-SCHEDULE"GS" Page 5- 5.1 TEMPORARY SERVICE - SCHEDULE "T" Page 6 - 6.1 TIME METERED MEDIUM GENERAL SERVICE - LOW VOLTAGE - TYPE II SCHEDULE "MGTLVir Page 7- 7.2 TIME METERED MEDIUM GENERAL SERVICE - LOW VOLTAGE - TYPE II A SCHEDULE "MGT LVII A" {THIS SCHEDULE HAS BEEN DELETED) Page 7.3 - 7.5 TIME METERED MEDIUM GENERAL SERVICE - LOW VOLTAGE - TYPE III SCHEDULE "MGT LV III" Page 7.6 - 7.8 TIME METERED MEDIUM GENERAL SERVICE - PRIMARY SERVICE - TYPE II SCHEDULE "MGT 3A II" Page 8- 8.2 TIME METERED MEDIUM GENERAL SERVICE - PRIMARY SERVICE - TYPE It A SCHEDULE "MGT 3AII A" (THIS SCHEDULE HAS BEEN DELETED) Page 8.2 - 8.5 TIME METERED MEDIUM GENERAL SERVICE - PRIMARY SERVICE - TYPE III SCHEDULE "MGT 3A III" Page 8.6 - 8.8 TIME METERED GENERAL SERVICE - LOW VOLTAGE - SCHEDULE "GTLV Page 9- 9.2 TIME METERED GENERAL SERVICE - PRIMARY SERVICE - SCHEDULE "GT 3A" Page 10 -10.2 TIME METERED GENERAL SERVICE - HIGH VOLTAGE - SCHEDULE "GT 38" Page 11 -11.2 TIME METERED RAPID TRANSIT SERVICE - SCHEDULE "TM-RT' Page 12 - 12.1 ELECTRIC VEHICLE SERVICE - SCHEDULE "EV Page 13-131 (THIS SCHEDULE IS CLOSED TO NEW CUSTOMERS) OUTDOOR LIGHTING SERVICE - SCHEDULE "OL" Page 14 -14.1 STREET LIGHTING SERVICE - SCHEDULE "SL" Page 15 -15.1 SERVICING STREET LIGHTS SERVED FROM OVERHEAD LINES - SCHEDULE "SSL-OH" Page 16 -16.2 SERVICING STREET LIGHTS SERVED FROM UNDERGROUND LINES - SCHEDULE "SSL-UG" Date of Issue: February 13 §, 2015 Page 17 -17.2 Date Effective: Usage on and after March 15. February 9, 2015 51 pepoo A PHI Compontj Electric--P.S.C. Md. No. 1 IViD One Hundred and Eighth SGVonth Revised Page No. 2.1 SERVICING STREET LIGHTS SERVED FROM OVERHEAD LINES - SCHEDULE "SSL-OH-LED" Page 17.3 - 17.5 SERVICING STREET LIGHTS SERVED FROM UNDERGROUND LINES- SCHEDULE "SSL-UG-LED" Page 17.6 -17.8 TELECOMMUNICATIONS NETWORK SERVICE - SCHEDULE "TN" Page 18 -18.1 COGENERATION AND SMALL POWER PRODUCTION INTERCONNECTION SERVICE - SCHEDULE "CG-SPP" PURCHASE OF POWER Page 19 -19.4 STANDBY SERVICE - SCHEDULE "S" Page 20 - 20.1 PLUG-IN VEHICLE CHARGING - EXPERIMENTAL - SCHEDULE "PIV Page 21-21.1 RESIDENTIAL SERVICE - EXPERIMENTAL PLUG-IN VEHICLE CHARGING - SCHEDULE "R-PIV" Page 22 - 22.1 RESERVED FOR FUTURE USE Page 23 - 26 RIDERS MARKET PRICE SERVICE - RIDER "MPS" (THIS RIDER HAS BEEN DELETED) Page 27 - 27.1 UNIVERSAL SERVICE CHARGE RECOVERY - RIDER "USC" Page 28 GENERATION PROCUREMENT CREDIT - RIDER "GPC" Page 29 - 29.1 (THIS RIDER HAS BEEN DELETED) EXPERIMENTAL RESIDENTIAL ELECTRIC VEHICLE SERVICE - RIDER "R-EV Page 30 EXPERIMENTAL RESIDENTIAL TIME-OF-USE ELECTRIC VEHICLE SERVICE - RIDER "R-TM-EV Page 30.2 NET ENERGY METERING "NEM" Page 31 -31.3 EXPERIMENTAL CONJUNTIVE BILLING SERVICE ~ RIDER "CBS" Page 32 - 32.1 (THIS RIDER HAS BEEN DELETED) TELECOMMUNICATION NETWORK CHARGE - RIDER "SL-TN" Page 33 POWER FACTOR-RIDER "PF" Page 34 THERMAL ENERGY STORAGE SERVICE - RIDER "TS" Page 35 DELIVERY TAX SURCHARGE - RIDER "DT" Page 36 MONTGOMERY COUNTY SURCHARGE - RIDER "MCS" Page 37 MARYLAND ENVIRONMENTAL SURCHARGE - RIDER "MES" Page 38 Date of Issue; February 13 §, 2015 Date Effective: Usage on and after March 15. February 0. 2015 ^pepoo A PHI Compamj Electric-P.S.C. Md, No. 1 IVID Seventy-Fifth Fourth Revised Page No. 2.2 TEMPORARY TAX COMPLIANCE SURCHARGE - RIDER "TTCS" Page 39 (THIS RIDER HAS BEEN DELETED) OPTIONAL METER EQUIPMENT RELATED SERVICES - RIDER "OMRS" Pages 40 - 40.2 EXCESS FACILITIES - RIDER "EF" Page 41 DIVESTITURE SHARING CREDIT - RIDER "DS" Page 42 (THIS RIDER HAS BEEN DELETED) STANDARD OFFER SERVICE - RIDER "SOS" Page 43 - 43.6 ADMINISTRATIVE CREDIT - RIDER "AC Page 44 SOS PHASE IN CREDIT/DEFERRED COST ADJUSTMENT-RIDER "SOS PIC/DCA". Page 45 - 45.1 (THIS RIDER HAS BEEN DELETED) RESERVED DELIVERY CAPACITY SERVICE - RIDER "RDCS" Page 46 - 46.1 BILL STABILIZATION ADJUSTMENT - RIDER "BSA" Page 47 - 47.1 EMPOWER MD CHARGE - RIDER "E-MD" Page 48 - 48.1 RESIDENTIAL DIRECT LOAD CONTROL- RIDER "R-DLC" Page 49 - 49.1 RGGi RATE CREDIT- RIDER "RRC" Page 50 MASTER-METERED DIRECT LOAD CONTROL - RIDER "MM-DLC" Page 51 - 51.1 AGGREGATE NET ENERGY METERING - RIDER "ANEM" Page 52 - 52.4 NON-RESIDENTIAL DIRECT LOAD CONTROL - RIDER "NR-DLC Page 53 DEMAND RESOURCE SURCHARGE - RIDER "DRS" Page 54 - 54.1 DYNAMIC PRICING - PEAK ENERGY SAVINGS CREDIT- RIDER "DP" Page 55 - 55.1 GRID RESILIENCY CHARGE - RIDER "GRC" Page 56 - 56.1 Date of Issue; February 13 §, 2015 Date Effective: Usage on and after March 15. February 0, 2015 ^ popco A PHI CompoTHj Electric--P,S.C. Md. No. 1 MD First Revised Original Page No. 56 GRID RESILIENCY CHARGE RIDER - RIDER "GRC" APPLICABILITY The Distribution Charges billed under the Schedules "R", "R-TM", "GS", "T", "MGT LV 11", "MOT LV III", "MOT 3A II", "MGT 3A HI". "GT LV", "GT 3A", "GT 3B", "TM-RT", "SL". "OL", "EV" and "TN" shall be subject to the Grid Resiliency Charge as specified in the terms of this Rider. The Grid Resiliency Charge provides for collection of the monthly charges and rates set forth. The Grid Resiliency Charge is specifically Intended to recover approved expenditures determined to be incremental to those required to meet Maryland electric disthbution reliability standards specified in the Maryland Service Quality and Reliability Standards and undertaken in an accelerated timeframe with respect to the baseline planning levels. DETERMINATION OF CHARGE The Grid Resiliency Charge will be based on revenue requirements calculated using projected annual expenditures. The revenue requirement will include the following items and adjustments: 1. Return on incremental accelerated capital expenditures placed into service during the period at the authorized rate of return, 2. Recovery of incremental accelerated capital expenditures placed into service during the period 3. 4. through depreciation expense. Incremental accelerated operating and maintenance expenses. Reconciliation of the deferred balance on an annual basis. (See "Adjustment to Charge") 5. The Grid Resiliency Charge is currently expected to remain In effect for approximately three years beginning in January 2014, and thereafter will continue in effect until the completion of the first rate case filed after all of approved grid resiliency-related projects are placed into service. MONTHLY CHARGES AND RATES: Effective March 15. 2015 Rate Schedule January 1, 201*1 "GT 3A" "GT SB" $0.0435 $0.0286 $0.0192 06 per kwhr 04 per kwhr 05 per kwhr per kw of maximum 457 per kw of maximum 443 per kw of maximum 00§-per kw of maximum 066 per kw of maximum "TM-RT" "SL" $ 16.56 §r02 per month per delivery point $0.00011 "R" "R-TM" "GS", "T", "EV" "MGT LV II", "MGT LV III" "MGT 3A II", "MGT 3A III" "GT LV $0.00016 $0.00016 $0.00017 $0.0405 $0.0375 $0.00012 "TN" "OL" demand demand demand demand demand 04 per kwhr 04 per kwhr Mecurv Vaoor $0.01 00 $0.01 $0.02 per lamp per month per lamp per month 04 per lamp per month 100 Watt $0.01 QQ 150 Watt 250 Watt $0.01 $0.01 per lamp per month per lamp per month per lamp per month 175 Watt 250 Watt 400 Watt High Pressure Sodium Date of Issue: February 13. 2015 August 1, 2013 Date Effective; Usage on and after March 15. 2015 January 1. 2014 A PHI CorrtpoTHj Electric-P.S.C. Md. No. 1 MD First Revised Original Page No, 56.1 ADJUSTMENT TO CHARGE The Ghd Resiliency Charge is subject to deferred accounting. A monthly over/under recovery calculation will be performed based on actual revenues received under Grid Resiliency Charge Rider and the actual revenue requirement in each month, and the over/under recovery will be tracked as a deferred balance. Interest on this balance will be calculated monthly using the Company's short term debt rate. The Interest rate will be reset each month. The deferred balance will be reconciled on an annual basis. Date of Issue; February 13. 2015 August 1. 2013 Date Effective: Usage on and after March 15. 2015 Schedules 1 through 6 Schedule 1 Pepco MD Development of Grid Resiliency Charge Revenue Requirements Jan-14 Rate Base: Feb-14 Gross Plant S . s 8,074 Accumulated Depredation 9 • $ Defeired Taxes S - $ 6 13 NOLC Adjustment S • $ $ 8,067 $ 9 9 Net Rate Base Operating Income: Oper. & Maint. Depreciation Jun-14 Sep-14 Aug-14 Jul-U Oct-14 Nov-14 S 70,816 $ 153,055 $ 1.663.969 S 1,891.122 $ 4,505,600 $ 5,009,719 $ 6,033.057 $ 8,318,125 S 8,811,919 S S $ S $ $ $ $ $ $ $ S $ $ S $ $ S 50,629 102,072 (13) $ 69 139 (139) $ $ 70,748 9 S 9 6 $ (4) S $ S 63 $ (39) S Subtotal $ SIT-Current $ - FIT-Currerrt Deferred Taxes - before NOLC $ - 9 $ - 9 (16) 9 13 (153) s Required Oper. Inc. Return Required Revenue Requirement $ $ - 9 (0) 9 • 9 26 $ 251 S $ ' $ 43 S 424 43 9 424 . (499) $ - 6 9 247 499 $ 152,808 - $ $ May-14 Apr-14 Mar-14 63 126 - 1.688 3.403 (3.403) $ $ 1,662.281 9 178 9 178 9 (112) $ (435) $ . 1,440 1,440 4.505 9,083 (9.083) $ 9.574 19.301 (19.301) $ 17,099 34,473 (34,473) $ $ 1.886.617 $ 4,496.026 $ 4.992,619 9 $ S $ 9 9 (903) 9 (3,514) 9 . 2,818 2,818 9 (1.766) 9 (6,873) 9 5,681 - 5,068 $ 5,068 9 (3,139) 9 (12,217) 9 10,218 - (52.063) $ 37.150 74.898 (74.898) $ $ 6.007.233 $ 8,280J74 $ 9 S s $ $ 7,525 9 7,525 9 (4,661) 9 (18,144) 9 • 8,725 8,725 s (5,404) 9 (21,035) S 17,590 $ (7,016) $ (27,311) $ 22,835 (102.072) $ 8,761,290 - 13,478 13.478 (132,617) $ 10.4S0.Q6S_ $ $ $ (8.353) $ (32,515) $ 27,174 65,779 132,617 15,151 (9,395) (36,570) 30.545 9 5,770 9 11,283 9 20,238 S 30,087 9 34,879 s 45,306 9 54,038 9 60.916 $ 1,205 $ 9,772 9 19,107 9 34,586 $ 51,408 9 59.596 s 77,405 $ 92,293 9 103.996 $ 1.205 $ 9,772 9 19,107 9 34,586 9 51.408 S 59,596 9 77.405 S 92.293 S 103,996 (8) (72) 9 9 (140) 9 9 (69) 9 9 (108) 9 (125) S (166) 9 $ - 15,151 711 (3) 9 9 $ $ $ 2,904 360 S . 11,326 11,326 S 10,515.844 $ $ 9 15,172 25,824 52,063 Dec-14 (216) 9 (270) Income Statement Check Revenue $ 9 Oper. & Maint. $ 9 Depreciation & Amorlizaton 9 Other Taxes $ $ Interest Expense 9 Net income before Taxes 9 Inconne Tax - Current Income Tax - Defered 9 9 Earnings Return on Equity per WACC • 9 1 9 9 27 $ 216 9 9 10 9 9 100 9 9 9 9 $ 284 $ 2,307 9 252 9 715 9 5.808 9 9 - 6 26 S - 9 63 9 178 1,440 - 2,818 9 9 9 - 5,068 9 423 9 766 9 4,510 11,356 9 9 7,659 21,093 $ $ 9 - 7.525 1.139 11.386 31,357 9 9 9 9 9 - $ • - 8,725 9 11,326 9 1,320 9 9 1,715 17.146 9 13,200 36,351 9 13.478 2.045 20.451 9 47.218 9 56.319 9 9 9 - 15,151 2,304 23,054 63,488 (1.705) $ (2.516) $ (2.918) 9 9 10.218 $ 15,172 9 17.590 9 22.835 9 27.174 9 30,545 3,464 9 6.772 9 9 21.679 21.679 9 9 33,587 9 37,862 9 18,701 18,701 9 6,772 12.579 12.579 28,160 9 9 9 9 3,464 28,160 9 33,587 9 37,862 8,635 9 16,891 9 30,384 S 45,115 9 52,304 $ 67,901 $ 80,803 9 90,827 9 277.675 9 58.489 s 56,869 9 52,387 S 43,889 $ 42.055 9 50.216 (1.205) 9 (9,772) 9 258,568 9 23,903 $ 5.461 9 (7.209) 9 (468) 9 (1.672) 9 (11,444) 9 247,124 9 271,026 $ 276.487 9 269,278 (279) 9 (997) 9 (6.825) 9 147,378 9 161,633 9 164.890 9 160,591 (24) 9 13 9 126 $ t 9 • $ $ 15 9 150 15 9 150 MACRS $ • 9 38 9 375 GRC BiNings $ • 9 GRC Defenal $ • 9 (43) 9 (424) $ Cumulative Deferral 9 - $ (43) 9 Cumulative Deferral Net of Tax 9 • $ (26) 9 - (71) $ (560) 9 360 $ 2.904 9 427 9 427 $ $ S 1,070 $ s 9 - - (1.097) 9 (3.777) 9 9 9 5.681 (2) 9 $ 9 $ . 9 9 • - $ - (4.442) 9 (4,920) $ 394,344 131,745 (33,516) $ (50,238) $ (53,779) $ 9 235.762 S 185,524 $ 131,745 9 140,602 S 110,642 $ 78,569 = Cumu)a6ve Balance x (1-Composite Tax Rate) Short Temi Debt Rate Interest = Average Net of Tax B^nce x Monthly Interest Rate 0.28% 0.27% - 0.25% $ (0.03) $ 0.00% - 0.00% 0.00% $ - i - 0.00% 9 - 0.00% $ - 0.00% 0.00% $ - $ - 0.00% $ 0.46% 36.27 9 36.24 Schedule 2 Peoco MD Developmenc of GrWResiliency Charge Revenue Requirements Jan-15 Oec-14 Gross Plant Accumulated Depreciation Deferred Taxes NOLC Adjustment Net Rate Base Operate IrKome: C^>er.& MainL Depreciation Subtotal SIT-Current FIT-Current Deferred Taxes - before NOLC $ 14,200,376 s $ $ $ s s Required Oper. Inc Return Required $ Revenue Requirement $ Revenue Oper. & Maim Depreciation &Anwrbzation Other Taxes Interest Expense Net income txtfore Tans s $ S s s s $ - $ $ 18,224 s 18,224 s (10,272) $ (39,985) s 31,003 S 14.200.376 S s $ s s $ (10,634) s (41,391) s 31,003 s (2.797) s 89.464 $ s 166,898 $ 287,632 s s - - 18.224 $ 18.224 s 18.224 s 18.224 • (10,630) s (41,377) s 31,003 $ (2,780) s s s s (10,626) s (41,363) $ (41.348) s 31,003 $ (2.762) s 31,003 s (2,746) s - 18,224 18.224 S 14.200,376 s 18.224 s 18.224 (10,619) s (41,334) s 31,003 - s % (2,727) s $ s s s (10,616) % (41,320) $ 31,003 Sep-15 AuQ-15 JU-1S 14.200,376 193,346 S 211,570 175,122 S 318,635 s 349,638 s 380,640 (380.6401 (318,635) s (349.6381 s 14.025.254 s 14.007.030 s 13.988.806 14.200,376 $ s (10.623) $ $ (2,709) s • 18,224 18,224 (10,612) (41,306) 31,003 (2.692) S 15,501.716 231.464 S 414.486 s $ s (414.485) s 15.270.262 s s s s $ s $ s $ 89,232 s 89,117 $ 89.001 $ 86,886 $ s 148.278 s 148,110 $ 147.942 s 147.774 s s $ 148,446 S 148,278 S 148,110 $ 147.942 S 147,774 S s 147,606 s 18.224 18.224 s 18.224 3,270 33.595 92.518 $ - $ - s s 3,289 s 3,286 33,814 93,120 $ $ S s 18,224 s - S - s s - s s 18,224 3,281 S s 16.224 3,278 s 3.274 $ 33,770 92,999 s 33.726 s 33,682 s 33.639 s 92.879 s 92,758 $ 92,638 s s 6,534 31,003 s 6.485 s 6,437 s s 31.003 s 31,003 s 6.388 31,003 $ 88.770 147.606 • Oc»-15 S 15.501.716 s $ 89.348 148.446 s s $ s 18.224 3,292 33,867 93,240 s (287.632) 14.043.477 18,224 148,614 81.184 . s 256.629 s (256.629) s 14,061.701 $ 18,224 131,808 18.224 2,920 29.480 (225.626) s s S 18,224 $ s S JufvIS S 14,200,376 18,224 148.614 s 225,626 s 14.079.925 $ (1.031) s 77,896 s 131.808 $ - 120.461 $ 14.200,376 S 138,675 . Mav-15 AOf-15 Iblar-IS Fet>-1S 14,200,376 84,003 S 102,227 S 163,620 s 194,623 s $ (132.617) $ (163,620) s M94.6231 S 10.450.065 s 14.116,373 s 14.098.149 S 10,615.844 S 65,779 $ 132.617 • 19,894 33,844 s $ 166.134 S s (2.307) s 92.776 155.134 s $ s 19,894 s (11,456) s (44,590) s - $ $ S S s s 19.894 3.437 35,111 96,692 6,339 31.003 s s 5,183 $ 33,844 s s $ $ $ Oec-15 s 251,358 s 448.329 $ (448.3291 15250.368 - 19,894 19,894 s s s s s (11,580) $ (45.076) s 33.844 $ (2,918) s 96,776 s 160.945 160,945 - 19,894 3,566 36.625 100.861 15,501,716 271,251 482,173 $ 22.939,758 300,691 S s 632,256 (482.173) $ 16.230.464 $ s $ s (11,576) s (45,061) s 33.844 s (532.256) 22,639,067 - • 19,894 29,439 19,894 29,439 (2.899) s 50,083 (786) 120.078 $ s s 204,S62 S 1.849.981 S 160,762 S 204.662 $ - S • s s 19.894 3,562 36.677 100.730 s 29.439 4.532 46.443 125.147 6.866 33.844 s s 6,813 33,844 s $ 50,083 $ S s s s Income Tax - Current $ 1,765 6,631 31,003 s $ s 31,003 s s 6,683 $ 31,003 s Earnings Retum on Equity per WACO s 48,416 48,416 s i 55,606 55,534 66,634 s 55,319 $ 55.175 s 57,665 55,319 s s 55,175 s 67,666 60.151 60,073 s $ 74,635 s s s 60,073 55.391 s s 60,151 s 55J247 55.247 s $ 56,462 55.462 66.391 66.606 s $ s s hlACRS s 95,035 s 95,035 s 95,036 s 95.036 s 95.036 s 95.035 s 95.035 s 95.035 s 103.744 s 103.744 s 103.744 s 153,523 s 234.911 96.650 160.762 Income Tax - Deferred s $ (16,416) (63,893) 429 74,635 Potomac Electric Power Company - Maryland 201S Grid Rasihency Charga Rate Design Distrbution Oemattd/Energy Revenue Requvwnents - per Case No 9336 CompliarKe Filing TOTAL Proposed Oemand/Energy Charge Recovery S 347.386.371 S 157.973.647 $ 24.786.570 S 15.466.865 S 97.087.372 S 1,742.925 S 22.279.015 S 2,842.908 S 20.377,007 S 841,277 $ 131.999 $ 82.368 $ 517,032 $ 9,282 $ 118.645 $ 15,140 $ (1,078) S S 2.812.454 S 1.614,853 $ 402.954 108,516 S (7,726) $ 14,978 $ 8.599 $ 2.146 has been updated Revenue Allocation; Grid Resiliency Ctwrge Revenue Requirements Forecasted 2015 6RC Revenue Reqwrement (Schedule 2} 1,849.981 (131,708) 2014 GRC Oeferrtf Plus Interest (SctwcMe 1) Total Revenue Requirement 1.718.273 Rate Ctass Revenue Requirement Priofity Feeders $ $ Total Reverwe Requirement $ (S9.894) $ (9.398) $ S $ . 781.383 $ 122.602 $ (5.864) $ (36,810) $ $ $ . 76.504 $ 480,222 $ (661) $ - 8.621 $ S (8.447) $ - 110.198 $ . S $ 14.062 $ . 100.791 $ $ (1.066) $ (612) $ $ $ - 13.911 $ 7,987 $ (153) - 1.993 Class Bilino Determinants aid Rtte Calculation 11.849,574 Demand (kW) Max $0.0405 Demand (S/kW) Max Eiwrgy (kWh) 4.981.972,755 754,683,821 $0.00018 $0 00016 aHing Estimated GRC Rate Determinants Energy* ($/kVWi) Energy ($/kWhO Service Claseificalion-Outdoor LigMing T'OL*) Rate Design Proposed Proposed Proposed Rate Revenue •lamp per monlft) 3 175 watt 5.767 4,238,745 $0.00017 s 721 S 0.01 4 250 watt 5.281 5.545,050 $0.00017 $ 943 s 0.01 400 watt 20.826 34.987.680 $0.00017 $ 5.948 s 0.02 44,771,475 s 7,611 S * Estmated Ertergy 3 Lamp Size in Wetls/1000 x Number of Lamps x 4200 hours 733,937 $0.0192 3.620,769 $0.0286 840 $16.56 $0.00011 Electric Vehilce Service S^dute EV Distribution $0.0435 69,608.486 Outdoor Uifhtine Service Schedule OL 2 2.532.069 S0.00017 Temporary Service Schedule T Delivery Service $0.0375 442.948,878 * GS-LV includes: 1 230.016 16,548,355 $0.00012 Schedule 4 Page 1 of 2 Month Month Month 1 2 3 Jan-14 Feb-14 Mar-14 Month Month 4 Apr-14 Month 6 7 Jun-14 Jti-14 Month Month Month S May-14 8 9 Aug-14 Sep-14 Month Month Month 10 11 12 Oct-14 Nov-14 Dec-14 Exoendlture and ClosinfLSchedule S CWIP Beginning Balance U264 696.053 15 23 14986 541,550 15 23 15114 1,062.416 15 23 14240 207,902 13 20 15023 662,147 13 20 15253 214,193 430,000 13 20 1,184,870 659,487 1,625,254 1.022,579 172,484 16 23 14288 15047 14270 15048 14048 14913 $ 15 7.095 S 179,468 $ 563,996 $ 1,761,476 S 4.631,922 S 5,220,053 $ 5.564,683 S 4,369,313 S 5,063.523 S 5,083,846 S 4,609,915 $ 5,276,096 S S 571,784 S 1.419.108 S 1,198.328 S S 22 15 22 16 23 15 23 13 20 $ Capex 172.392 $ 392.583 $ 1.260,223 S 2.952,665 2,099.044 1,043,662 S 1,811.137 S 1.159.975 112,361 7.63* AFUDC $ Closings CWIP Ending Balance S > 8,074 179.488 $ 563,996 • 82.239 S 1,510,914 $ 227,154 $ 2.614.477 $ 504,119 $ 1,023.336 8 2.285.068 $ 493.794 $ 1.703.925 S 1,761,476 $ 62.743 $ 4.631.922 $ S 5,220,053 S 5,564,683 $ 4,369.313 S 5,063.523 $ 5,083,846 S 4,609,915 $ 5.276,096 S 3.684.532 S $ 178 $ 1,440 i S 5,068 i < Book Duraclrtlon k/lontf) Priorttv Feeder Depreciation Rate 1.54% 1 2 10.361428 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 6 63 2.818 7,625 Schedule 4 Page 2 of 2 Month Month Month Month Month Month Month Month Month Month Month 1 Month 13 14 15 16 17 18 19 20 21 22 23 Jao-IS Feb-15 Mar-15 Apr-15 May-is Jun-15 JU-15 Aug-15 Sap-15 Oci-15 Nov-15 24I Oec-15 FnpamflturB and Closing Sctiwlule HI • CWIP Be^nlng Balance s 14264 S 14986 $ 15114 S 696.053 541,550 1,062,416 15 23 15 23 15 23 14246 S 207.902 662,147 214,193 430.000 13 20 13 20 $ s $ $ s 13 20 s 15 22 s 15047 S 1,184,870 14270 $ 659,487 15046 $ 1,625,254 14046 S 1,022,579 14913 S 172,464 16 23 $ $ s s s $ $ 15023 $ 152S3 S 14288 S 16 22 16 23 15 23 13 20 C^)ex 7.63% AFUDC Closings CWIP Endhg Balance - 29,700 94,592 30,599 S $ s $ s 25,988 s i 82,768 s s 26.774 s 571 $ s s s $ s $ s $ 3.684.532 180,103 s s . - - . . 24.641 179,532 $ S - . s - s s - - - - - 21,561 157,091 1,645 $ s s s $ $ $ s s 336,638 $ $ S S s 77,339 60,172 i i $ 77,339 60,172 S $ 77,339 60,172 118,046 25.988 82.766 26.774 53,750 $ 118,046 $ 118,0^ $ 118,046 s 25,988 $ 25,988 s 25,986 s 82,768 26,774 s s 82,768 26,774 53,750 148.109 82,436 s $ 82,768 26.774 53.750 148.109 203,157 s s s s s 1,013,720 16,123 $ s 3,058,732 . 82,436 • 113,620 21,561 662,454 4,260 . 1.005,553 $ $ s s $ s $ s s s $ 113,620 21,561 1,013,720 9,616 . 2,028,889 s s 82,436 203,157 113,620 21.561 s s $ s s $ $ 53,750 148,109 82.436 203,157 113,620 21.561 s 1.013.720 « 22.671 s . s 77,339 $ S 60,172 $ 118,046 s S 77,339 60,172 $ S $ $ s s s $ s s 26,774 $ $ s $ $ $ s s 53,750 148,109 $ . 25,988 82,768 82,436 203,157 $ $ S 77,339 60,172 S $ 77,339 60,172 118,046 25.988 82,768 26.r7A S 118.046 53,750 148,109 82,436 s $ $ $ 53,750 $ 148.109 82,436 - - 113.620 203,157 113,620 $ $ s 21.561 $ 21.561 s 1,013.720 29.261 $ i 1.013.720 $ s 856,629 33.793 $ s 5,776.798 . 4,095,123 $ 5.138,103 $ s . 6.187,716 77,339 s $ s 60,172 118,046 - $ • s s s 35.6S3 S 203,157 113,620 - 1,301.3^ s s s $ $ $ $ - • 53.750 148,109 82.436 203,157 113,620 s 856,629 $ 39,454 $ i 6,672,681 . $ S s $ s s $ s s s $ $ s $ $ $ s 77,339 60,172 $ $ $ - 118.046 S - . - - - 148,109 s s i $ i - - - - - - - - 203,157 s 113.620 - $ - 720.443 $ 44,719 s . 7,438,042 . s $ - - - 7.438.042 - Book Deoraclatlon IMonth Priortty Fewters Depredation Rate 1.54% 10.361428 S 2 10 10 10 10 10 10 $ $ 10 10 10 s 10 10 10 3 S1 81 81 81 81 81 S 81 81 81 S 81 81 81 1 4 106 106 106 106 106 106 S 106 106 106 1,939 1,939 1,939 1.939 1.939 1,939 1.939 $ 1,939 1,939 1.939 292 292 292 292 292 $ S i 106 1.939 106 1.939 292 106 5 6 292 292 292 292 292 292 7 3.355 3,355 3,355 3,355 3,355 3,355 S 3,355 3.355 3.355 3,355 8 647 647 647 647 647 647 $ 647 647 647 647 3.355 647 9 1,313 1,313 1,313 1,313 1,313 2,933 2,933 2,933 1.313 2,933 1.313 2,933 1,313 2,933 1,313 2,933 $ $ 1.313 10 1,313 2,933 2,933 2,933 S 11 634 634 634 12 2,187 4,728 2,187 4.728 2,187 4,728 13 S S 634 634 634 2,187 4,728 2,187 4,728 2,187 4,728 S S 3,355 647 1,313 2.933 2.933 634 634 634 634 634 634 2,187 2,187 2,187 4,728 4,728 4,728 2,187 4,728 2.187 4,728 2,187 4,728 1,670 1,670 1.670 1,670 S S s $ $ s $ 14 15 16 17 18 19 20 - 21 $ s 22 23 • $ 18.224 $ 24 s 25 s 18.224 t 18.224 $ 18.224 $ 18.224 > 18.224 $ 18.224 $ 18.224 $ 19.894 $ 19.894 S 19,894 $ 29.439 schedules Pepco MD Weighted Capital Structure Weight Rate Bate Long Term Debt 51.11% 5.96% 3.05% 48.89% 9.36% Common Stock Total 100.00% 4.58% 7.63% EfrecfiveJ(^4.2014 Weighted Capital Structure WeiaM Rate Rate Long Term Debt 50.82% 5.66% 2.88% 49.18% 9.62% Common Stock Total 100.00% 4.73% 7.61% Schedule 6 Pepco MD Revenue Conversion Factor (2) (1) (3) Line Particulars No. 1 Factor Tax Rates 2 Federal Income Tax 0.35000 3 State Income Tax 0.08250 4 5 6 Gross Receipts Tax Regulatory Tax 0.02000 0.002154 7 8 9 Conversion Factor Revenue Increase 10 Gross Receipts Tax Regulatory Tax 0.02000 0.00000 12 0.00215 0.00000 13 Total Other Tax 0.02215 0.00000 15 State Taxable Income 0.97785 1.00000 16 State Income Tax 0.08067 0.08250 18 Federal Taxable Income 0.89717 0.91750 19 Federal Income Tax 0.31401 0.32113 Total Additional Taxes 0.41684 0.40363 Increase in Earnings (1 - additional taxes) 0.58316 0.59638 Revenue Conversion Factor {1/lncr in Earnings) 1.71479 1.67680 11 14 17 20 21 22 23 24 25 CERTIFICATE OF SERVICE I hereby certify that on behalf of Potomac Electric Power Company, the forgoing Annual Report of the Grid Resiliency Accelerated Priority Feeder Project was sent by hand delivery, postage prepaid and/or electronic mail on this 13^ day of February 2015 to the below-listed parties in Case No. 9311. Public Service Commission Leslie M. Romine, Esq. Maryland Public Service Commission 6 St. Paul Street, 16th Floor Baltimore, MD 21202 6 St. Paul Street, 17th Floor Baltimore, MD 21202 E-mail: agarafalo@psc.state.md.us E-mail: lromine@Dsc.state.md.us Heather R. Cameron Frann G. Francis Esq. Apartment and Office Building Association of Metropolitan Washington Annette B. Garofalo Office of General Counsel U.S. General Services Administration 1275 First Street, NE Washington, DC 20417 Email: heather.cameron@gsa.gov 1050 17th Street, N.W., Suite 300 Washington, D.C. 20036 Gregory T. Simmons Office of People's Coimsel Anne L. Johnson 6 St. Paul Street, Suite 2102 Baltimore, MD 21202 6 St. Paul Street, Suite 2102 Baltimore, MD 21202 E-mail: GregorvS@opc.state.md.us E-mail: annei@opc.state.md.us Michael A. Dean Ronald Herzfeld Office of People's Counsel Public Service Commission Office of People's Counsel 6 St. Paul Street, 16th Floor 6 St. Paul Street, Suite 2102 Bahimore, MD 21202 Baltimore, MD 21202 E-mail: mdean@psc.state.md.us Cynthia B. Walters Mayor and Council of Rockville 111 Maryland Avenue, 3rd Floor E-mail: ronh@.opc.state.md.us Lloyd J. Spivak, Esq. Public Service Commission Rockville, MD 20850 6 St. Paul Street, 16th Floor Baltimore, MD 21202 E-mail: cwaters@,rockvillemd.gov E-mail: lspivak@psc.state.md.us Payman Tehrani Mayor and Council of Rockville 111 Maryland Avenue, 3'^'^ Floor Debra Yerg Daniel Mayor and Council of Rockville 111 Maryland Avenue, 3rd Floor Rockville, MD 20850 Rockville, MD 20850 Email: ptehrani@rockvillemd.eov E-mail: ddaniel@.rockvillemd.gov Norman Knopf William Leibovici Town of Somerset Law Office of William Leibovici 401 East Jefferson Street, Suite 206 Rockville, MD 20850 Baltimore, MD 21239-1320 802 Oak Hill Court Email: knopf@knopf-brown.com Jeffrey Slavin Catherine Pickar Town of Somerset Town of Somerset 4510 Cumberland Avenue 4915 Dorset Avenue Chevy Chase, MD 20815 Email: mavor@townofsomerset.com Chevy Chase, MD 20185 Email: cpickar@townofsomerset.com Daniel W. Hurson Brent A. Bolea c/o Maryland Energy Administration c/o Maryland Energy Administration 60 West Street. Suite 300 60 West Street. Suite 300 Annapolis, MD 21401 Annapolis, MD 21401 Email: dhurson@energv.state.md.us Email: bbolea@,energv.state.md.us Abbe Lynn Milstein, Esq. Rockville, MD 20852 Claire Morisset. Esq. 2421 Seminary Road Silver Spring, MD 20910 Email: Powerupmontco@gmail.com Email: clairemdc@verizon.net N. Lynn Board City Attorney Robert Loube, Ph.D 11704 Ibsen Drive 10601 Cavalier Drive 31 S. Summit Avenue Silver Spring, MD 20901 Gaithersburg, MD 20877 Email: lboard@gaithersburgmd.gov Email: bobioube@,earthlink.net Lisa Brennan, Esquire Montgomery County, Maryland John P. Markovs, Esquire Montgomery County, Maryland 101 Monroe Street, Third Floor 101 Monroe Street, Third Floor Rockville, MD 20850 Rockville, MD 20850 Email: lisa.brennan@.montgomervcountvmd.gov iohn •markovs@montgomervcountvmd.gov Bion C. Ostrander Ralph Smhh Ostrander Consulting 1121 S. W. Chetopa Trail Topeka, KS 66615-1408 Larkin & Associates PLLC E-mail: bionostrander@cox.net E-mail: RSmithLA@aol.com 15728 Farmington Road Livonia, MI 48154 Dawn Bisdorf Larkin & Associates PLLC 15728 Farmington Road Livonia, MI 48154 E-mail: Dawn.Bisdorf@gmail.com Douglas E. Micheel