March 18, Subject: Imperial Irrigation District 2014 Annual Progress Report - Rev 1

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Energy Division P.O. Box 937 333 E. Barioni Blvd. Imperial, CA 92251 www.iid.com March 18, 2014 Mr. Tracy Rolstad Chair, WECC Technical Studies Subcommittee Senior Power System Consultant Avista System Planning PO Box 3727 MSC-16 1411 East Mission Ave Spokane, WA 99220-3727 Mr. Enoch Davies WECC Technical Staff Western Electricity Coordinating Council 155 North 400 West Salt Lake City, UT 84103-1114 Subject: Imperial Irrigation District 2014 Annual Progress Report - Rev 1 Dear Mr. Rolstad and Mr. Davies: In accordance with WECC Progress Report Policies and Procedures, the following is the Imperial Irrigation District s 2014 Annual Progress Report - Revision 1. If you have any questions please contact me at (760) 482-3450 David L. Barajas David L Barajas TSS Representative (760) 482-3450 dlbarajas@iid.com CC: C. Stills IID T. King IID J. Asbury IID P. Peschel IID J. Sandoval IID TSS Members

1. Ramon Substation 230/92 kv Transformer Addition: The project consist of installing a second 230/92kV 300 MVA auto-transformer and convert the existing Ramon Substation 230 kv and 92 kv ring bus to breaker-and-a- half bus configuration. The purpose of this project is to provide redundancy to the existing Ramon 230/92 kv transformer. Estimated Completion Date: December 2015 (Previously reported) 2. Path 42 upgrade project (IID s Scope of Work): The project consists in reconductoring approximately 20 miles of a double circuit 230 kv transmission line from IID s Coachella Valley substation to SCE s Mirage Substation with one circuit looping in-and-out IID s Ramon Substation. The project also includes converting the Coachella Valley Substation 230 kv from ring bus to breaker-and-a-half bus configuration, installing a 230 kv 48 MVAR capacitor bank at Coachella Valley Substation and the installation of a Path 42 Special Protection System for outages in IID s 230 kv collector system and Path 42 intertie lines. The estimated completion date of the Path 42 upgrade is December 2014. (Previously Reported)

3. Imperial Valley Substation to Dixieland Substation 230kV line project: The project consists in constructing a new single circuit (prepared for double circuit) 230 kv transmission line from IID/SDG&E s Imperial Valley Substation (IV Sub) to IID s Dixieland Substation. The IV Sub to Dixieland Substation 230 kv transmission line will span an estimated 7.3 miles. The project also includes the installation of a 230/92 kv 300 MVA transformer at Dixieland Substation and interconnection facilities at Imperial Valley Substation. The project will provide back-up for the potential outage of the existing S 230 kv transmission line. The new interconnection line will also increase the IID import/export capability to meet future load requirements. The estimated completion date is December 2015. (Previously reported) 4. Imperial Valley Area Policy Driven Transmission Line and Collector Station project: In December of 2012, the CAISO initiated an accelerated competitive solicitation process conducted for a policy-driven transmission line and collector station in the Imperial Valley area (the IV Policy Element ). In July of 2013, the Imperial Irrigation District (IID) was selected as the Approved Project Sponsor to finance, own, construct, operate and maintain the IV Policy Element. The IV Policy Driven Transmission Line and Collector Station Project, consists of a 230 kv collector station (Liebert station), located approximately one mile north of Imperial Valley (IV) Substation, and a short (approximately 1.4 mile) 230 kv transmission line connecting Liebert Station to IV Substation. The transmission line and the Liebert Station will become network facilities and will be turned over to the ISO operational control, once IID complete the construction of additional facilities required to interconnect the IV Policy Element project to the IID electrical system. The additional facilities required to interconnect the IV Policy Element to the IID electrical system consist of a 230 kv Station (Fern) located in the north side of Liebert Station; a 230 kv bus tie between Fern Station and Liebert Station, and the connection of the 230 kv S line from El Centro Switching Station (ECSS) to Fern Station. In addition IID will construct a new 230 kv circuit from Fern Station to IV Substation as part of this project. Once the IV Policy Element and the additional facilities are constructed, IID will establish two points of interconnection in the south with the CAISO and San Diego Gas and Electric (SDG&E) one via the bus tie between Fern station and Liebert CAISO operated station, and the other via the transmission line between Fern station and IV Substation.

The project also includes the relocation of an existing Gen-Tie from a Solar Generation Station from IV Substation to Liebert CAISO operated station. The following conceptual diagram depicts the IV Policy Element and additional facilities described above. The estimated completion date is June 2015. IV Policy Element and Network Facilities

5. El Centro Switching Station (ECSS) to Highline Station double circuit 230 kv transmission line. Rebuild the ECSS to Pilot Knob 161 kv and the ECSS to Drop No.4 92 kv double circuit transmission line sections (18 miles) from ECSS to East Highline Canal intersection, build one mile of double circuit 230 kv transmission line to extend the line into Highline station. Build one mile of double circuit 230 kv transmission line to interconnect the remaining 161 kv line to Pilot Knob and the 92 kv line to Drop 4. The project includes the following upgrades in ECSS and Highline stations: Highline Substation: Upgrade 230 kv and 92 kv switch yards and building a new 161 kv Bus section, to interconnect the new 230 kv circuits to ECSS, the 161 kv line to Pilot Knob and the 92 kv line to Drop No.4 Generation Station. ECSS Substation: Upgrade the 230 kv switch yard to breaker and-a-half bus configuration to accommodate the new 230 kv circuits from Highline Substation. This project is part of the initial phase of IID s Strategic Transmission Expansion Plan (STEP). The estimated completion date is April 2018. 6. El Centro Switching Station (ECSS) to Fern Station double circuit 230 kv transmission line. Re-build the ECSS to the proposed Fern station single circuit 230 kv S transmission line (Approximately 17 miles) to double circuit 230 kv. Upgrade the ECSS 230 kv switch yard to interconnect the new double circuit 230 kv line to Fern Station and upgrade the Fern Station to accommodate the second 230 kv circuit from ECSS. This project is part of the initial phase of IID s Strategic Transmission Expansion Plan (STEP). The following figure depicts the ECSS to Highline and ECSS to Fern station transmission projects. The estimated completion date is April 2018.

ECSS to Highline and ECSS to Fern station transmission projects. DEVERS PATH 42 SCE MIRAGE IID COACHELLA VALLEY RAMON MIDWAY 92KV 230 KV 161 KV 92KV ECSS to FERN DIXIELAND 2018 ECSS HIGHLINE 2015 IV SUB LIEBERT FERN 2018 161 KV 92 KV PILOT KNOB DROP No.4 ECSS to HIGHLINE