INTERNATIONAL RIGHT OF WAY ASSOCIATION |

MARCH 20, 2015

STAKEHOLDER MANAGEMENT SOLUTIONS

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Maine Power Reliability Program Successful Strategies on Maine’s Largest Construction Project

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The Presenters

Mike Danforth Manager, Real Estate (207) 239-1444mdanforth@burnsmcd.com

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Investing in Reliability Overview of the Maine Power Reliability Program

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Existing Central Maine Power (CMP) System

► 605,000 customers► 345kV transmission - 511 miles► 115kV transmission - 1,100 miles ► 34.5kV transmission - 1,050 miles ► Distribution circuits - 24,000 miles ► 256 substations • Seven (7) 345kV• 68 115kV

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SYSTEM EVALUATION

Existing Central Maine Power (CMP) System

► 345kV backbone was placed into service in 1970

► Since 1970 the load has doubled► Studies showed significant weakness in

bulk power system ► Maine Power Reliability Program (MPRP)

will add parallel 245kV system from Bangor to New Hampshire boarder, and reinforce 115kV system in key areas

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INVESTING IN TRANSMISSION Maine Power Reliability Program

► 452 miles total of new or rebuilt transmission on 350 miles of right-of-way

► 98% of project built on existing right-of-ways► 184 miles of new 345kV transmission lines► 105 miles of new 115kV transmission lines ► Five (5) miles of rebuilt 345kV transmission lines► 140 miles of rebuilt 115kV transmission lines► 30 miles of re-rating or upgrades► 5,191 structures ► 7805 wood poles► 208 steel structures ► 10 lattice structures ► 2,150 miles of conductor, 420 miles of OPGW

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INVESTING IN SUBSTATIONS Maine Power Reliability Program

► Six (6) new substations • Five (5) 345kV• One (1) 115kV

► Four (4) 345kV/115kV Autotransformer Additions

► Seven (7) major substation expansions► Miscellaneous substation upgrades • 40+ ancillary substation upgrades • Breaker additions: 38 345kV and 70 115kV• 381 switch stations

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Stakeholder Management SolutionsReal Estate and Community Relations

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REAL ESTATE OVERVIEW Maine Power Reliability Program

► 3,000 landowners and 4,000 abutting parcels ► Large number of impacted landowners creates need for

constant coordination between Community Relations and Real Estate, and their involvement in the project from beginning to end

► 1,173 acquisitions ► Eminent domain <1% primarily for title issues ► 1,500 encroachment investigations and resolutions ► 83 residential properties reviewed for demolition or resale ► 160 total surplus properties to dispose ► 25 non-typical designs eliminated through extensive real

estate acquisition negotiations • Impacted 325 structures • Equated to $25 million in project savings

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REAL ESTATE FUNCTIONS Maine Power Reliability Program

► Manages real estate negotiations, ownership data, abutter inquiries and commitments through OneTouchPM™ and Contract Manager

► Obtains and manages right-of-way acquisitions and access agreements

► Resolves issues to maintain low eminent domain rate

► Manages conveyance of environmental mitigation parcels

► Manages the identification, tacking and removal or encroachments

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REAL ESTATE FUNCTIONS CONTINUED Maine Power Reliability Program

► Encroachment resolution • Agent assigned to landowner to build

relationship for resolution and negotiations• All data and landowner information

maintained on a daily basis

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REAL ESTATE CHALLENGESMaine Power Reliability Program

► Building effective working relationships with landowners

► Resolving disputes over ownership, compensation and mitigation

► Managing land acquisition information • Property acquisition• Clearing title• Encroachment resolution • Access road and guying easements• demolition determinations• Surplus property disposition • Compensation and mitigation agreements

(vegetation buffers, firewood agreements)

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REAL ESTATE CHALLENGESMaine Power Reliability Program

► Real Estate Team Project Innovations-Unique to MPRP

► Clearing Title • Developed “Before & After” format for Fannie

Mae Form 1004 – Industry standard residential form report.

• Developed refinancing program to eliminate problems with certain national mortgage companies.

• Negotiated and developed resolutions to mechanics liens and court judgments.

• Used Private Investigator to locate missing persons.

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COMMUNITY, PUBLIC & GOVERNMENT RELATIONS

Maine Power Reliability Program

► Facilitates the approval of 75 local approvals required to build

► Building consensus tough project communications to more than 5,000 landowner groups

► Develops communication, outreach and marketing plans and materials

► Plans project events ► Coordinates dispute resolution with

Public Utilities Commission Ombudsman

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BUILDING PUBLIC CONSENSUS Maine Power Reliability Program

► One of the largest construction projects in Maine’s history • Numerous Federal, State and local permits • Build consensus and advocacy to combat

opposition ► Key messaging • Reliability • Renewables• Economic development

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THANK YOU

Maine Power Reliability Program