Attention: Mr. Patrick Wruck, Commission Secretary and Manager, Regulatory Support

Transcription

1 10 th Floor, 1111 West Georgia Street Vancouver, B.C. V6E 4M3 FAES Regulatory Affairs Correspondence June 13, 2018 British Columbia Utilities Commission Suite 410, 900 Howe Street Vancouver, BC V6Z 2N3 Attention: Mr. Patrick Wruck, Commission Secretary and Manager, Regulatory Support Dear Mr. Wruck: Re: FortisBC Alternative Energy Services Inc. (FAES) Project No Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to the British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 On February 8, 2018, FAES filed the Application referenced above. In accordance with Commission Order G setting out the Regulatory Timetable for the review of the Application, FAES respectfully submits the attached response to BCUC IR No. 1. If you require further information or have any questions regarding this submission, please contact Grant Bierlmeier at (604) Sincerely, FORTISBC ALTERNATIVE ENERGY SERVICES INC. Original signed: Doug Slater General Manager Attachments cc ( only): Registered Parties

2 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 1 1 Table of Contents Page no A. TRANSITION FROM MARKET RATE TO COST OF SERVICE RATE... 2 B. RATE DEVELOPMENT AGREEMENT...19 C. COST OF SERVICE AND DISTRICT DEFERRAL ACCOUNT

3 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page A. TRANSITION FROM MARKET RATE TO COST OF SERVICE RATE 1.0 Reference: TRANSITION FROM MARKET RATE TO COST OF SERVICE RATE Exhibit B-1, Sections 1, 3.1, 4.3.1, pp. 2, 14, 22 Transition from Market Rate to Cost of Service Rate FortisBC Alternative Energy Services Inc. (FAES) states on page 2 of the Application that there are several reasons why now is the appropriate time to begin to charge the Cost of Service (COS) Rate, including the following: 1. The natural transition period to the underlying COS Rate of 2 to 5 years has now elapsed and the DSD [Delta School District No. 37] has paid $4,268,000 less than the expected business as usual (BAU) and $2,720,000 less than the COS during that period; 4. FAES and DSD have made effort to negotiate alternative solutions, but those efforts did not result in an agreement. On page 14 of the Application, FAES states that the timing of the switch to COS was left flexible but was expected to occur within the 2 to 5 year timeframe. At present, it is clear that the MR [Market Rate] will remain below the COS in the foreseeable future. On page 22 of the Application, FAES states: The transitional MR was originally setup to allow a transition period to the COS Rate in recognition of the DSD s need to manage its annual budgetary requirements. 1.1 Please provide FAES rationale for its view that a reasonable transitional period from the MR to the COS Rate was within two to five years. Response: FAES expected that it would be necessary to wait at least until the second full year because construction was expected to occur over a heating season and FAES believed that it would be necessary to have at least a year of operation to establish a stable cost and metered thermal energy base prior to making the switch to the COS Rate. This supported a transitional period of at least two years while a baseline for budgeting purposes was developed. FAES also believed it may take as long as five years to complete the transition period because the project, as developed by FEI, was expected to qualify for and monetize accelerated depreciation for tax purposes at 50 percent, which in practice is 25 percent, 50 percent and 25 percent over three years for each building going into service. This was expected to artificially lower the cost of service for a period of four to five years. In particular, FAES expectation was that the cost of service could fall below the market rates during this period of time only to rise

4 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page dramatically once the tax benefits had been realized. The market rate would facilitate stability and smooth this tax transition period. It was also the intention of FAES to seek to expand the pool of buildings in the RDA to include other customers. To this end, FAES had a number of agreements with other school districts to evaluate expanding this service to their schools. Copies of these agreements are provided in the response to DSD IR 1.9.1, Attachment 9.1. FAES believed that expansion of the pool to include other buildings could cause further rate volatility due to the potential for additional tax deductions related to the addition of new buildings. This source of potential ongoing rate volatility contributed to FAES belief that the transitional market rate should have flexibility in the timing of the switch. Considering all of these factors, FAES believed that a transitional period of two to five years would provide the stability in the cost of service necessary for the DSD to budget and plan for paying the cost of service If the MR had instead been consistent with, or higher than, the forecast COS Rate over the past five years, please discuss whether FAES would still consider it necessary to move to the COS Rate at this time. Response: FAES would still consider it necessary to move to the COS Rate at this time if the MR had been consistent with or higher than the forecast COS Rate over the past five years. Note that, as stated in the response to BCUC IR 1.1.1, FAES had anticipated that this situation may occur during the initial years due to the timing of commissioning and the timing of tax benefits. 1 It was in that context that FAES (then FEI) had indicated its expectation of the two to five year period. At this point in time, the project is fully operational, the income tax situation is known and stable, and expansion of the pool has not happened. Therefore, in such an event where the MR had been at or above the COS Rate since the project was put into service, then there would be no compelling reason or incentive for the DSD to remain on the MR as the smoothing function would be fulfilled. Given this, the only reason to remain on the MR, even if the MR has been above the COS Rate since the beginning, would be for long term market speculation. However, 1 CPCN Application, Exhibit B-1 pages 45-46, The cost of service initially will be very low, which is the product of favorable treatment for tax purposes of the geoexchange solutions in particular, which are the more capital intensive of the energy systems in this solution. Canadian tax law enables capital cost allowance rates of 50% for these systems, which means that should the SD remain on market rates for some period of time, the deferral account impact may in fact produce a credit initially, that reduces rates in the future, rather than a debit that increases rates in the future.

5 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page FAES 2 and the DSD 3 have been clear on the public record that the MR is not intended as a market speculation mechanism to delay paying the cost of service over the long term Response: 1.3 If the MR were expected to increase above the COS Rate in the foreseeable future, please discuss whether FAES would still consider it necessary to move to the COS Rate at this time. This hypothetical scenario appears to be an extremely unlikely prospect at present. The fact is that the thermal demand is established 4 and in order for the MR to increase above the COS Rate, the BC natural gas index would need to reach 300 or above (please refer to Table 1 below). Table 1: MR and COS Rate Line Particulars Reference Forecast 2018/19 1 Initial Market Rate $/kwh Cost of Service Rate $/kwh Natural Gas Index Needed (Initial Market Rate)/(Cost of Service Rate)* CPCN Application, Exhibit B-1 page 45, As the market rate was intended to be transitional in nature, and was not intended as a mechanism for the customer to delay paying the cost of service over the longer term, the RDA confers upon FEI the right to apply to the BCUC for approval to switch the thermal energy rate from the market rate to the cost of service rate at any time. 3 CPCN Application, Exhibit C1-2 DSD Response to BCUC IR : when asked what factor or criteria the Delta SD should consider before triggering their election to switch to the cost of service rate, FEI replied: Ultimately this is a question for the SD and not FEI. However, in FEI s opinion, at any given time that the SD is on the market rates the SD may well consider such things as the outright difference between the two rates first, the budgetary conditions they currently operate within, the prevailing market conditions for energy and the fact that the market rate is intended to the transition, not provide a market speculation mechanism. [sic] 20.1 Does FEI s response accurately describe the factors that the Delta SD would consider before triggering an election to switch from the market rate to the cost of service rate? Response: Yes, these factors have been discussed during agreement negotiations and are well understood by Delta SD. 4 Exhibit B-1, Application, Section 3.1.2, Lower Thermal Energy Demand than Forecast.

6 Dec-02 Sep-03 Jun-04 Mar-05 Dec-05 Sep-06 Jun-07 Mar-08 Dec-08 Sep-09 Jun-10 Mar-11 Dec-11 Sep-12 Jun-13 Mar-14 Dec-14 Sep-15 Jun-16 Mar-17 Dec-17 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page The current index value for natural gas in BC is 88.8 (April 2018). Since 2002, the index has not exceeded (please refer to Figure 1 below showing the British Columbia Natural gas index from Statistics Canada and used to set the market rate each month). Figure 1: Natural Gas Index Regardless of the probability that the MR will exceed the COS Rate in the future, it is still appropriate to make the switch now. Further delay in switching will place significant upward pressure on the COS Rate. The combination of a decreasing amortization period, an increasing DDA balance and increasing associated carrying costs on the DDA balance will significantly increase the amortization amount included in the COS Rate necessary to recover the DDA balance. In turn, a delay in switching further decreases the probability that the MR will rise above the COS Rate and will only serve to increase the long-term cost to the DSD and, if the delay were to be extended into the latter half of the term despite FAES s application to switch over now, this would prevent FAES from having an opportunity to earn a fair return on its investment. In light of these facts, and the fact that the COS Rate is now stable, predictable, and limited to the DSD sites, it is clearly in the interests of the DSD and FAES to switch immediately to the COS Rate. Any further delays in the transition to the COS Rate, particularly given the situation where large balances have already accumulated in the DDA, are very unlikely to be in the best interest of the customer 5 because they will ultimately have to pay higher costs in the future as the balance is recovered. 6 5 CPCN Application, Exhibit B-1 page 44, It is not likely to be in the customer s interest to remain on the market rate if it means accumulating significant balances that must be recovered down the road. 6 CPCN Application, Exhibit B-10 Response to BCUC IR 2.2.2, In the case of the SD, the cost of service rate is the product of negotiation between FEI and the SD and the terms are mutually acceptable. It ultimately results in the cost of providing service being recovered from the customer over the full fixed

7 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Please clarify how the transitional MR was intended to assist DSD with managing its annual budgetary requirements. For instance, at the time the Rate Development Agreement (RDA) was entered into, was it contemplated that an immediate switch from DSD s existing cost of energy to the COS Rate would result in too large of an initial increase? Please explain. Response: The intended purpose of the MR was to provide the DSD with a more stable and predictable rate in the initial years of the service due to expected volatility in the COS Rate caused by construction timing, taxation, and the expansion of the rate pool (please refer to the response to BCUC IR 1.1.1). FAES did not expect that an immediate switch would result in too large of an initial increase for the DSD. 7 Rather, it was expected that the COS Rate would be lower initially. It was, 8 and remains FAES s belief that the COS Rate is more stable and predictable in the long term 9 and that the MR was intended to provide a smooth transition to the COS Rate. Accordingly, DSD and FAES negotiated a market rate mechanism that emulated the business as usual case that the DSD could expect to pay during a transition period until they were comfortable with switching to the COS Rate. 10 However, it was also important to FAES to negotiate the right to apply to the Commission to begin charging the COS Rate at any time because it was possible that there would be a disagreement with the DSD about when to make the switch. 11 year term. There is modification to some degree, as it includes a transition mechanism to ensure that in the short term the rate reflects the customer s energy costs in the absence of the project. 7 CPCN Application, Exhibit B-1 pages 44-45, Further, there may be a strong economic incentive for the customer to switch to the cost of service rate in the near future. The cost of service initially will be very low, which is the product of favourable treatment for tax purposes of the geoexchange solutions in particular, which are the more capital intensive of the energy systems in this solution. 8 CPCN Application, Exhibit B-1 page 45, Nonetheless, it is important to note that both FEI and the SD, as demonstrated by the financial analysis, including sensitivity analysis, expect that the cost of service rate will be competitive with the market rate and provide benefits to the SD in the form of low and/or less volatile rates. 9 CPCN Application, Exhibit B-3 Response to BCUC IR , A transition within 2 to 5 years is expected to be reasonable. However, since the purpose of the market rate is to provide a smooth transition from market rates to cost of service and both the market rate and cost of service rate are subject to forecast variations, the agreement with the SD maintains timing flexibility for the switch. 10 CPCN Application, Exhibit B-1 page 45, This ensures that the SD has an initial rate that enables them to transition to cost of service in a manner that matches their needs. 11 CPCN Application, Exhibit B-1 page 45, As the market rate was intended to be transitional in nature, and was not intended as a mechanism for the customer to delay paying the cost of service over the longer term, the RDA confers upon FEI the right to apply to the BCUC for approval to switch the

8 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page As the DSD and FAES now know, the MR and the COS Rate diverged significantly during the transition period. FAES did not expect this to occur and held off making this Application until: 1. 5 years had elapsed; 2. the operation stabilized; 3. the taxation status became clear; 4. expansion efforts had been explored; and 5. reasonable efforts were made to come to an agreement with the DSD on when to switch Please provide the forecasts for the following if the switch from the MR to the COS Rate were delayed for a further three years, five years, and 10 years (with supporting calculations and assumptions): The annual COS Rate at the time of conversion and for the remainder of the initial RDA term; The annual MR until the time of conversion to the COS Rate; The balance of the District Deferral Account (DDA) at the time of conversion to the COS Rate; The annual amortization expense related to the DDA commencing at the time of conversion to the COS Rate; and The unamortized balance (if any) of the DDA at the end of the initial RDA term. Response: In Attachment 1.5, FAES has provided live excel models for each scenario on a confidential basis, accessible to the Commission and the DSD only. FAES is requesting that these live models be filed on a confidential basis pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G The models are of a commercially sensitive nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information thermal energy rate from the market rate to the cost of service rate at any time. This provision recognizes that the BCUC remains the authority that will hear a dispute, however unlikely, between the SD and FEI respecting when to switch to cost of service rates.

9 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page was made public. FAES does not object to the DSD being provided with the live models upon executing a Confidentiality Declaration and Undertaking form acceptable to the Commission. FAES has assumed that the natural gas index value of 88.8 remains stable for the forecast period in this analysis. FAES has chosen to keep this constant so as to illustrate solely the effect of the delays requested in the question. However, to the extent that the natural gas index rises or falls, it will either reduce or increase, respectively, the DDA balance during the years that the MR is in effect and thereby also reduce or increase the subsequent amortization of the DDA each year and the unamortized balance at expiry. Figure 1 below illustrates the annual COS Rate for each scenario requested along with the MR for the entire period. Figure 1 shows two things: First, the lowest effective thermal energy rate results from switching now. This is still true with a 10-year delay, despite the fact that five years of amortization of the DDA balance is left unrecovered at the end of the term to be borne by FAES in the event the system is not purchased by the DSD. Second, switching now also results in the smallest single-year rate increase. The single year rate increase in each scenario can be measured by the difference between the MR in a particular year and the applicable effective thermal energy rate in that year. To put this in perspective, based on the average consumption this would mean a single year rate increase of: o $0.317/kWh for a 3 year delay o $0.434/kWh for a 5 year delay o $0.824/kWh for a 10 year delay The DSD would be worse off overall from a budgeting perspective in every scenario.

10 $/kwh FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 9 1 Figure 1: DSD Effective Thermal Energy Rates $1.00 $0.90 $0.80 $0.70 $0.60 $0.50 $0.40 $0.30 $0.20 $0.10 $- Now 3 years 5 years 10 years MR Figure 2 below illustrates the DDA balances and annual amortization amounts in the scenarios requested and compares them to the scenario included in the Application as a base line. Note that a delay of three years doubles the DDA balance at the time of the switch as well as the annual amortization of the DDA. It shows that, the longer the delay, the more the DDA balance grows and the more the DSD would end up paying in amortization. It also shows that this pattern continues even if FAES is left to bear a portion of the balance at the end of the term. In essence, a lengthy delay only means increased cost and risk for the parties.

11 DDA Balance ($,000's) Annual DDA Amortization ($,000's) FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 10 1 Figure 2: DSD Balance and Amortization $35,000 $30,000 $25,000 $20,000 $15,000 $10,000 $5,000 $3,500 $3,000 $2,500 $2,000 $1,500 $1,000 $500 Now 3 years 5 years 10 years DDA Balance at time of switch $,000's $3,925 $7,272 $10,750 $24,049 Unamortized DDA at expiry $,000's $- $- $1,361 $15,981 Annual Amortization of DDA after switch $,000's $- $414 $906 $1,438 $3,216 $ Figure 3 below illustrates the increase in total costs as the switch is delayed, primarily related to the carrying costs of deferring the difference between the cost of service and revenues until the switch occurs. It also illustrates the shift in risks to the DDA balance at expiry. It shows that, on a total costs basis, delaying 3 years, 5 years or 10 years is disadvantageous to the DSD. FAES is financially indifferent to a 3 year delay, but a delay of 5 years and 10 years turns the DSDlose scenario into a DSD lose-faes lose situation.

12 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 11 1 Figure 3: Increase in Total Costs of Delay in Switching to COS Rate $45,000 $40,000 $35,000 $30,000 $25,000 $20,000 $15,000 $10,000 $5,000 $- Now 3 years 5 years 10 years DDA Ending Balance $- $- $1,361 $15,981 DSD Payments to FAES $24,620 $28,619 $31,027 $26,345 2 DSD Payments to FAES DDA Ending Balance FAES submits that these scenarios clearly demonstrate that making the switch now is in the best interests of all of the parties. Waiting will drive up the rate increase, the DDA balance at the time of the switch, and the unamortized DDA balance at the end of the initial term In the event that FAES was approved to switch to the COS Rate as proposed in the Application, please provide the dollar and percent increase in rates and the dollar and percent bill impact for DSD for 2018/2019. Please provide all calculations and explain all assumptions. Response: The current natural gas index for BC is 88.8 (April 2018) and the MR is $0.071/kWh, which, after application of the SD37 Rate Rider of ($0.018)/kWh produces an effective rate of $0.053/kWh and annualized revenues of $342 thousand. Therefore, the rate increase in 2018/19 as applied for (and updated for the latest actuals in 2017/18 as per response to BCUC IR 1.6.1) would be $1,186 thousand or 348 percent, or $0.183/kWh. These increases become dramatically larger by waiting to switch, as follows:

13 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page delay switch three years makes the increase $2,062 thousand or 603 percent; delay switch five years makes the increase $2,825 thousand or 826 percent; and delay switch ten years makes the increase $5,357 thousand or 1,567 percent. Of note is that the MR is currently less than the amortization of the DDA itself and that delaying the switch to the COS Rate three more years would double the amortization amount of the DDA from $414 thousand to $906 thousand as noted in the response to BCUC IR Table 1 below provides the details and associated calculations requested. Table 1 ($000's), unless otherwise stated Forecast Line Particulars Reference 2018/19 1 Annual Volume for Billing (MWh) 6, Initial Market Rate $/kwh Weighted Average Natural Gas Index Weighted Average Market Rate $/kwh Gross Revenue from Thermal Energy Rate Line 5 * Line SD 37 Rate Rider ($/kwh) (0.018) 9 SD37 Rate Rider Discount Line 8 * Line 1 (117) Revenue on Market Rate Line 6 + Line Effective Market Rate ($/kwh) Line 11 / Line Annual Cost of Service 1, Prior Year Rate Rider Discount Cost of Service Rate $/kwh (Line 15 + Line 14) / Line Gross Revenue from Thermal Energy Rate Line 16 * Line 1 1, SD 37 Rate Rider ($/kwh) (0.018) 20 SD37 Rate Rider Discount Line 19 * Line 1 (117) Revenue on Cost of Service Rate Line 17 + Line 20 1, Effective Cost of Service Rate ($/kwh) Line 22 / Line Increase in Revenues Line 22 - Line 11 1, Increase in Thermal Energy Rate ($/kwh) Line 23 - Line % Increase in Revenues and Effective Rates Line 25 / Line %

14 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Response: In consideration of the impact of the proposed switch from the MR to the COS Rate and the lack of any proposed transitional period, what considerations, if any, has FAES given with regard to DSD s budgetary constraints and its ability to pay the increased amount? As part of this response, please discuss whether the impact on DSD of an immediate transition from the MR to the COS Rate should be a consideration when proposing the switch FAES understand the reference to a transition period to mean a period over which the DSD moves in steps from the MR to the COS Rate, with the unrecovered portion of the cost of service during that transition continuing to flow in to the DDA for recovery from the DSD. FAES does not oppose a transition period of that nature if the migration towards the COS Rate begins now and proceeds over a relatively short period of time (e.g., a maximum of 3 years), with the continued shortfall in the cost of service being recorded in the DDA and recovered from the DSD over the remainder of the term. While FAES could live with a stepped change-over to the COS Rate, FAES believes that proactive planning by the DSD could have reduced the budgetary impacts of transition for the following reasons: 1. the cost of service aligns with the original forecast for this period of time; FAES has provided the cost of service to the DSD every year since the service was initiated; the 2018/19 cost of service, absent amortization of the DDA, is stable relative to the 2014/15, 2015/16, 2016/17 and 2017/18 cost of service; 14 and 4. the DSD knew about the intention of FAES to apply to switch in September 2017, well in advance of the budget cycle for 2018/ Exhibit B-1, Application, Section 3.2, The Cost Of Service Aligns with Forecasts. 13 BCUC Orders G-31-12, G-71-12, G-88-12, G-81-13, G , G A, G , G-53-16, G , FAES Compliance Filing dated September 29, 2016, and FAES Compliance Filing dated June 20, Cost of service absent amortization has equaled $1,029,000, $1,097,000, $1,152,000, and $1,071,000 between 2014/15 and 2017/18. The forecast for 2018/19 is also $1,006,000 absent DDA amortization. 15 Exhibit B-1, Application, Appendix B: FAES Notification to DSD September 15, 2017.

15 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page FAES also notes that the purpose of the MR was as a transitional rate expected to be in place for between two and five years. 16 FAES has been clear about this position as has the DSD. 17 As such, FAES believes that now is the time to switch to the COS Rate, and it is reasonable to make the change without a prolonged transition period Please discuss the pros and cons of phasing in a switch to the COS Rate in order to smooth the impact of DSD s annual rate change. Response: Phasing in a switch to the COS Rate is effectively implementing a further transitional rate similar to the current situation. The short-term benefit of phasing in the COS Rate must be balanced against the longer term negative impacts of delaying the recovery of the full cost of service and the magnitude of deferred costs already in the DDA. A further transitional rate will add to the balance and magnify what must already be recovered through significant rate increases down the road. The rate impacts of an additional phase-in over the remaining initial term of the Agreement are provided in the response to BCUC IR Pros: Cons: Phasing in a switch to the COS Rate has short-term appeal on the face of it for the customer in that the absolute rate impact in any given year can be lower (refer to the response to BCUC IR 1.1.6); and FAES will be afforded an opportunity to earn a fair return on its investment so long as the transition occurs now and over a relatively short timeframe, and the unrecovered portion of the COS during that period is added to the DDA and amortized over the term of the contract along with the remainder of the DDA balance. Delaying results in the DSD paying more in total costs (refer to the response to BCUC IR 1.1.5), due to the accumulation of additional financing costs on the unrecovered 16 CPCN Application, Exhibit B-3, Response to BCUC IR , A transition within 2 to 5 years is expected to be reasonable. 17 FAES Application for Approval of the Fiscal 2015/2016 Revenue Requirements and Cost of Service Rates for Thermal Energy Service to Delta School District Number 37 (the 2015/16 DSD RRA), DSD Final Argument, paragraph 15, As the Commission also noted in the CPCN Decision, FEI originally anticipated that DSD would elect to switch from the market rate to the cost of service rate within two-tofive years. Importantly, DSD notes that period of time has not yet elapsed.

16 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page balance 18, a shorter amortization period, and recovery of an increased DDA balance. Mathematically, the longer the period over which the phase-in occurs, the more that the DSD will pay. FAES recommends that the switch occur without further phase-in. That said, FAES is not opposed, in principle, to moderating the short-term impact of a switch to the COS Rate with an additional phase-in of no longer than three years, where the additional shortfall continues to flow to the DDA to be amortized over the remaining term. Should the Commission determine a phase-in is necessary, consideration should be given to the structure of the phase-in steps in order to mitigate growth in the deferral balance to the greatest extent possible Response: As part of this response, please describe how a phase-in of the COS Rate could be achieved if FAES was directed to phase in the COS Rate over two, three or five years. Please provide all calculations and assumptions FAES has provided working excel models in Attachment on a confidential basis for each scenario. FAES is requesting that these live models be filed on a confidential basis pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G The models are of a commercially sensitive nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information was made public. FAES does not object to the DSD being provided with the live models upon executing a Confidentiality Declaration and Undertaking form acceptable to the Commission. Figure 1 below illustrates how a smooth phase-in could be accomplished relative to the switch in 2018/19. This analysis illustrates that the COS Rate increases as the phase-in period increases. 18 Carrying costs alone are already at $218,000 per annum, or 20 percent of the base cost of service excluding DDA amortization. See Exhibit B-1, Application, Appendix A: 2018/2019 COS Rate and Deferral Account Balance Forecast Update.

17 $/kwh FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 16 1 Figure 1: COS Rate Phase-in Timeline Now 2 years 3 years 5 years Further, as Figure 2 below illustrates, this is driven by the amortization amount, which increases with the length of the phase-in period, and results in total costs to the DSD being higher as well.

18 DDA Amortization ($,000's) DSD Payments ($,000's) FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 17 1 Figure 2: Impact of Phase-in , , , , , , ,000 - Now 2 years 3 years 5 years DDA Amortization After Phase-in DSD Payments to FAES 24,620 25,155 25,654 26,712 23, Please describe the steps which FAES has taken to negotiate alternative solutions and to achieve a mutually desirable approach to resolve the current situation. Response: FAES and the DSD began formal discussions on the switch to the COS Rate on April 26, Following this meeting, the parties entered negotiations which were agreed to be held on a without prejudice basis. Accordingly, the content of these discussion cannot be disclosed; however, FAES can confirm that the parties met again on May 19, 2017, July 5, 2017, and September 11, Between these four meetings, the parties focussed on preparing, reviewing, and evaluating proposals in addition to exchanging correspondence on the issues.

19 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Having been satisfied that the parties had fully explored and exhausted efforts to come to a negotiated agreement, FAES provided 90 days notice of its intention to file an application with the Commission to move to the COS Rate on September 15, 2017 in accordance with the RDA. 4

20 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page B. RATE DEVELOPMENT AGREEMENT 2.0 Reference: RATE DEVELOPMENT AGREEMENT Exhibit B-1, Sections 1.2.2, p. 4; Appendix E, RDA Section 11.8 Entire Agreement clause On page 4 of the Application, FAES states the following: The DSD s stated rationale for departing from typical practice is that this proceeding turns on credibility, including with respect to prior representations made by FAES. FAES submits that this proceeding, at its core, involves interpreting a written agreement between sophisticated parties that were represented by legal counsel. During the CPCN proceeding, the DSD confirmed in response to Commission information requests that they are sophisticated parties and that they understood the agreement. The agreement that DSD signed is unequivocal that the written agreement contains the entire agreement between the parties Section 11.8 of the RDA, included as Appendix E to the Application, contains the Entire Agreement clause, which states the following: Counsel for DSD stated the following during the procedural conference: I would say that there have been a series, in my submission, of collateral representations made by FAES that are germane to the issue of whether or not the Commission should grant the relief that is being sought in this proceeding. That, again, I would submit may be unique in comparison to other cases that have come before the Commission I say that [the Entire Agreement] clause has to be read in light of the -- what I will term the fail-safe mechanism that the parties built into the agreement to have this body decide whether and to what extent Delta should be switched from the market rate to the cost of service rate T1:

21 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Please explain FAES position as to the proper interpretation of the Entire Agreement clause in consideration of the comments made by DSD s counsel at the procedural conference. Response: FAES does not accept that it ever represented to the DSD that it would give up its express rights in the RDA. The RDA expressly provides that FAES can initiate a change from the Market Rate to the Cost of Service Rate upon satisfying three conditions set out in the definition of Thermal Energy Rate, which FAES has met. The DSD appears to suggest in its initial comments filed with FAES s Application that alleged representations now preclude FAES from exercising its express contractual right to seek to change to the Cost of Service Rate unless it is in DSD s interest. Leaving aside the fact that FAES does not accept that representations contradicting the RDA terms even occurred, the Entire Agreement clause in the RDA is a full answer to the addition of new requirements that contradict the express terms governing the changeover. An Entire Agreement clause is included in agreements of this nature for the very purpose of confirming that the common understanding of the parties is reflected in the written word, and not in prior dealings. The inclusion of Entire Agreement clauses benefits both parties when those parties are sophisticated, as they are here, because it adds certainty. Moreover, section of the RDA provides that any amendment to the Agreement must be made in writing and duly executed by the Parties: Except as set out in this agreement, no amendment or variation of this Agreement will be effective or binding upon the Parties unless such amendment or variation is set out in writing and duly executed by the Parties. No such agreement amending the terms of the RDA has been executed. 27

22 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: RATE DEVELOPMENT AGREEMENT Exhibit B-1, Appendix E, RDA, Section 1.1, Definitions; FAES DSD F Revenue Requirements Application (RRA) proceeding; Exhibit B-4, British Columbia Utilities Commission (BCUC) Information Request (IR) Annual Cost of Service In Section 1.1 of the RDA, provided in Appendix E to the Application, the Annual Cost of Service is defined as including, among other things: (vii) the annual amount necessary to amortize the District Deferral Account balance, either credit or debit, over the remaining years in the Term or ten (10) years, whichever is longer. In response to BCUC IR in the FAES DSD F RRA proceeding, FAES stated the following: Once the COS switch has occurred, the number of years that the deferral account is amortized over equals the remaining years in the initial term if the switch occurs in the first ten years, or ten minus the number of years since the COS switch has occurred if the switch to COS rates occurred after the first ten years of service To further illustrate how the amortization works, if the switch occurred in the 14th year of the 20 year term, then the amortization would be 10 years starting in that year, not six years, which is the remainder of the term and there would be four years of amortization left at the end of the term 3.1 Based on the above definition, please confirm, or explain otherwise, that if DSD does not switch to the COS Rate within the first 10 years of the term then a portion of the balance in the DDA would remain unamortized and would therefore not be recovered from DSD (if the RDA is not renewed at the end of the initial term). Response: Although true that, at current depreciation rates and without net negative salvage, a portion of the balance in the DDA would remain unamortized at the end of the 20 year term in the scenario described, FAES would still recover the balance if the DSD decided to purchase the system. As per 1.1 (jj) of the Rate Development Agreement, the balance in the DDA forms part of the Rate Base Value. The Rate Base Value plus any applicable taxes forms the buy out value known as the Adjusted Energy System Purchase Price under each Energy System Services Agreement Exhibit B-1, Application, Appendix E: Energy System Service Agreement (ESSA), Section 1.1 (a), Adjusted Energy System Purchase Price means, as of the date on which a purchase of the Energy

23 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page The scenario under which FAES would be unable to recover the balance in the DDA is where: 1. the DSD and/or FAES provides six months notice prior to the end of the initial term that they will not renew the contract, thereby terminating the agreements; 21 and 2. the DSD exercised its right to require FAES to remove the Energy System at FAES cost rather than DSD s right to purchase the Energy Systems. In light of the size of the DDA balance and the rate at which it is expected to grow, FAES would have little prospect of recovering the unamortized balance through sale or renewal if the Commission were to prevent the changeover from occurring until after year 10 of the term and depreciation rates remain unchanged. It is this scenario that gives rise to FAES concern about not being afforded an opportunity to earn a fair return on, and the return of, its investment. Using the example in the question, if the switch to the COS Rate occurred in the 14 th year of the service, the DDA balance will be initially amortized over 10 years. The example quoted contains an error, as there would be seven years of amortization remaining in the initial term, not six. The amortization period will then decline in each subsequent year (e.g., 9 years for the 15 th year, 8 years for the 16 th year, etc.). Therefore, a balance would remain in the DDA at the end of the initial term under this scenario, requiring renewal of the contract and three additional years to clear the balance in the DDA, otherwise the DDA balance is either stranded as part of the Rate Base, or recovered as part of the Adjusted Energy System Purchase Price. Table 1 and Figure 1 below provide details of the calculation of the DDA balance in this scenario. At the end of the initial term, FAES expects that the Rate Base Value in this scenario would be $12,524,639, which, plus any applicable taxes, would also be the Adjusted Energy System Purchase Price. This is calculated as the ending balance in the DDA of $6,263,091 ($7,075,795/2 + $5,450,387/2), plus the mid-year plant in service of $6,222,673 and cash working capital of $38,875. System pursuant to Article 15 is effective, either: (i) the Rate Base Value; or (ii) such other purchase price for the Energy System as is determined by the BCUC; plus all applicable taxes. 21 Exhibit B-1, Application, Appendix E: ESSA, Section 3.2, This Agreement will automatically renew for periods of ten (10) years unless either Party provides written notice to the other Party no less than six (6) months prior to the Expiry Date, provided that there shall be no automatic renewal in the event that the Expiry Date arises as a result of the closure of the Building, or the Building otherwise ceases to operate as a school (as defined under the School Act (British Columbia)).

24 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Table 1: DDA Balance A B C D F G H Contract Year DDA Opening Gross AFUDC Amortization Amortization Closing Balance Balance Additions Period Fiscal Year $,000's $,000's $,000's $,000's $,000's H 5.67%*(B+(C/2)) PMT(5.67,F,B,0,0) B+C+D+G /26 $ 15,152 $ - $ $ (2,027) $ 13, /27 $ 13,985 $ - $ $ (2,027) $ 12, /28 $ 12,751 $ - $ $ (2,027) $ 11, /29 $ 11,447 $ - $ $ (2,027) $ 10, /30 $ 10,070 $ - $ $ (2,027) $ 8, /31 $ 8,614 $ - $ $ (2,027) $ 7, /32 $ 7,076 $ - $ $ (2,027) $ 5, /33 $ 5,450 $ - $ $ (2,027) $ 3, /34 $ 3,733 $ - $ $ (2,027) $ 1, /35 $ 1,918 $ - $ $ (2,027) $ - Figure 1: DDA Balance $16,000 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $- Initial Term Renewal Term FAES reiterates that it expected a switch from the transitional market rate to the COS Rate to occur within a 2 to 5 year timeframe, well before year 10. FAES also expected to assume risk for the Rate Base including the balance in the DDA at the end of the service; however, the DDA balance at the end of the initial term, under normal circumstances, was expected to result primarily from forecast variances in the final year of the service. In order to mitigate the risk associated with the recovery of the DDA balance, FAES negotiated a right to switch to the COS Rate upon application to the Commission in the event the parties could not agree on when the switch would occur.

25 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page The Annual Cost of Service also includes the following: (v) a reasonable amount for overhead allocation and administration. 3.2 Please explain how FAES interprets the term reasonable as it pertains to the amount of overhead allocation and administration included in the Annual Cost of Service amount. Response: FAES interprets the term reasonable to mean an amount that is based on a transparent approach and recovers a fair share of the indirect costs. The DSD had understood that it will pay a fair share of the indirect costs as would any present or future customers of the FEI thermal energy service. 22 At the time that the DSD service was approved, the original deferral account which later became the TESDA was collecting the total costs of the TES service including overheads from FEI, since it was approved as a FEI project under GT&C12A. In the Decision from March 9, 2012, the BCUC indicated that The affiliate can, however, use the $50,000 amount per annum as a proxy for an actual value, until such time as sufficient operational experience is gained and cost allocation methods are in place. Therefore, the overheads that FAES has allocated to the DSD service are limited to the estimate of $50 thousand per annum plus inflation for each year and these recoveries are credited to the TESDA. While the 2018/19 amount using this method is $54 thousand 23, and this amount does not cover the current overhead costs to FAES as described in response to BCUC IR , FAES is not seeking changes within this Application. However, FAES will, in future years, examine whether 22 CPCN Application, Exhibit C1-2, DSD Response to BCUC IR , the DSD s share of any other Thermal projects whose development costs have been charged to the Deferral Account but which have been abandoned and not implemented (p.24) 27.1 Given that the Delta SD is the first of its kind of thermal energy services provided by FEI, is it aware of or concerned with its share of (any) TES development costs that may be transferred to the SD? These would include general TES business development costs, general marketing costs, and/or costs related to develop other projects which may have been abandoned. Response: Delta SD expects to pay its fair share of the indirect costs as would any present or future customers of the FEI thermal energy service. 23 Exhibit B-1, Application, Appendix A, Schedule 5, Overheads and Shared Service Allocation $54, /19.

26 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page this needs to be introduced. If FAES were to add the amount for current overheads of $51 thousand to the original amount for TESDA, the total would be approximately $100 thousand. Please also refer to the response to BCUC IR

27 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: DISTRICT DEFERRAL ACCOUNT Exhibit B-1, Section , Section 3.3, pp , 18; Appendix E, Energy System Service Agreement (ESSA), Section 15.1 Impact of the DDA at expiry Section 15.1 of the ESSA states the following: On page 12 of the Application, FAES states the following: Remaining on the MR and avoiding paying the COS will cause the DDA balance to continue to grow. With this growth, it is likely that the DSD will ask FAES to remove the assets, leaving DSD with a significant windfall (having paid less than even the ongoing operating costs) and leaving no opportunity for FAES to recover the DDA or to earn a fair return on its investment. FAES further states on page of 18 of the Application that FAES is at risk for the balance in the DDA in the event that the service is not renewed past the initial term and there is a remaining balance in the deferral account. 4.1 Based on FAES current assumptions regarding the MR and COS Rate, please provide the ending balance of the DDA at the time of expiry of the RDA term (assuming the RDA is not renewed and DSD has not switched to the COS Rate during the RDA term), the net plant in-service for the DSD, and the Rate Base Value (as defined in the RDA). Response: FAES has provided a live financial model for this scenario confidentially in Attachment 4.1. FAES is requesting that this information be filed on a confidential basis pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G The information is of a commercially sensitive nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information was made public. FAES does not object to the DSD being provided with the live financial model upon executing a Confidentiality Declaration and Undertaking form acceptable to the Commission.

28 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page In the scenario requested, at current depreciation rates and without net negative salvage, FAES calculates that the DDA balance at expiry would be $ million ($ million/2 plus $4.443 million/2), the Net Plant in Service mid-year would be $6.223 million, the working capital would be $39 thousand. The Rate Base Value as defined in the RDA would be $ million, which is the sum of the DDA balance, the Net Plant in Service mid-year, and the working capital balance Response: Please confirm, or explain otherwise, that if DSD elected not to renew the RDA and elected to acquire the Energy System from FAES, the Adjusted System Purchase Price referred to in Section 15.1(b) of the ESSA would equal the Rate Base Value provided in the above response Confirmed. The Adjusted System Purchase Price would be equal to the Rate Base Value plus any applicable taxes. Please also refer to the response to BCUC IR Under a scenario where DSD elected not to renew the RDA and elected to require FAES to remove the Energy System in accordance with Section 15.1(a) of the ESSA, please explain in detail what actions would be taken by FAES to remove the Energy System and discuss the implications for DSD of no longer having either an energy system or an energy services provider. Response: If the DSD elected not to renew the RDA and required FAES to remove the Energy System in accordance with Section 15.1(a) of each ESSA, FAES would begin planning for the removal and decommissioning of all thermal energy assets at each of the 21 sites served by FAES. This process would involve a detailed review of the individual assets at each site, developing the scope of work for removal and decommissioning of the assets, quotation and engagement of a mechanical contractor to perform the work, and communication with the DSD around the timing of the work. The implications for the DSD are threefold:

29 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page The DSD would be required to invest in an entirely new mechanical system as FAES s assets would be removed entirely or decommissioned in the case of the geothermal loop fields so that they are no longer usable. 2. The DSD would have to undertake extensive planning and preparation so that the 21 mechanical systems could be replaced without an interruption to service. 3. Following removal and decommissioning, the DSD would assume all responsibility for the ownership and operation of the replaced energy system Please confirm, or explain otherwise, that FAES position based on its statements on pages 12 and 18 of the Application is that if DSD elected not to renew the RDA and required FAES to remove the Energy System at the conclusion of the RDA term, FAES shareholders would be responsible for the balance in the DDA. Response: As noted in the response to BCUC IR 1.3.1, FAES expected that its shareholder would be responsible for the balance in the DDA under normal circumstances which included a switch to the COS Rate within the first five years of the service, and the potential for an unrecovered DDA balance that is driven by forecast variances in the final year of the service. Under these circumstances, FAES would be provided with an opportunity to earn a fair return on its investment. FAES s shareholder expected the DSD to pay the COS and not to use the MR for speculation as this was not its purpose. FAES would never have entertained such an arrangement, which would make no business sense. To this end, FAES negotiated a right to trigger a switch to the COS Rate should the parties disagree on the timing of the switch. In the above statements, FAES was highlighting the implications associated with a delay in switching to the COS Rate to the final half of the RDA term. In that case, the balance would grow significantly and the amortization of the DDA balance would extend beyond the end of the term. A delay in switching will prevent FAES from an opportunity to earn a fair return on its investment because, at current depreciation rates and without net negative salvage, the circumstances guarantee that there will be a significant unrecovered balance in the DDA at the end of the term - much more than there ever could be due to a forecast variance in the final year. As such, FAES would not recover via renewal or sale its allowed return on equity that accumulated during the term, nor would it recover its original capital investment. FAES submitted in its Application that, at its extreme, remaining on the MR will cause the DDA balance to grow to several times the value of FAES s original investment in energy assets.

30 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Accordingly, it is not commercially reasonable nor was it anticipated that FAES s shareholders would be responsible for such a balance. 3

31 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page C. COST OF SERVICE AND DISTRICT DEFERRAL ACCOUNT 5.0 Reference: COST OF SERVICE Exhibit B-1, Appendix A, Financial Schedules Financial schedules FAES provides financial schedules in Appendix A to the Application. 5.1 Please provide the financial schedules in Appendix A as a live spreadsheet model. Response: Please refer to the live model provided in Confidential Attachment 5.1, which provides updates and corrections as per below. FAES is requesting that the live model provided in Confidential Attachment 5.1 be filed on a confidential basis pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G The model is of a commercially sensitive nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information was made public. FAES does not object to the DSD being provided with the live model upon executing a Confidentiality Declaration and Undertaking form acceptable to the Commission. 1. Thermal Energy Demand (a) Update - Thermal energy demand was adjusted to 6,672MWh for 2017/18 based on updated actuals. The figure of 6,504 MWh is forecasted thereafter based on demand for 2017/18 and 2018/19 adjusted for weather. 2. Fuels (a) Update Natural gas and electricity consumption has been updated based on actuals. Fuels have been adjusted to reflect the weather normalized demand level of 6,504 MWh. 3. Contractor Costs: (b) Correction - the contract for Johnson Controls (JCI) has reduced from $144 thousand to $124 thousand as of January 1, FAES included the full reduction in the 2017/18 year although this reduction will not be fully realized until 2018/19 due to the timing of JCI s contract year. Accordingly, an amount of $10 thousand was added to contractor costs for 2017/18 only. (c) Correction - FAES had not included unplanned maintenance in its previous forecasts; however, unplanned maintenance has occurred in recent years. Given that warranty periods have expired and that the system is now 5 years old, it is

32 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page appropriate to add an amount into the forecast for this purpose. Historical spend (please refer to the response to BCUC IR ) is not the best indicator of future spend due to the level of optimization activity that occurred in recent years. Accordingly, FAES has added $6 thousand in 2017/18 and $10 thousand thereafter escalated at 2 percent. 4. Internal Labour: (a) Correction - As mentioned in the response to BCUC IR , FAES expects to save a total of $40 thousand through its decision to use a combination of internal labour and external contractors to perform the scope of work that DSD maintenance staff had performed up to July 1, While FAES removed the $60 thousand relating to DSD maintenance staff for 2017/18, the offsetting increase to labour of $10 thousand in 2017/18 and $10 thousand in 2018/19 was not added. Accordingly, FAES has these amounts which are escalated at 2 percent thereafter. 5. Fees and Administrative: (a) Correction - FAES is required to pay the BC Safety Authority a total of $9 thousand each year to certify its boilers which provide service to the DSD; however, FAES had omitted this amount from the forecast in error. Accordingly, $9 thousand has been added to the forecast in 2017/18 and is escalated at 2 percent going forward. (d) Correction - In order to cover the legal and administrative fees associated with this proceeding, FAES added costs of $50 thousand to this line item for 2017/18 only. In addition to the above, FAES has reclassified the following costs within O&M actuals to reflect the appropriate categorization of these costs. 1. Employee Expenses (a) Reclassification - A total of $18 thousand in 2013/14 and $15 thousand in 2015/16 has been reclassified from employee expenses to fees and administration. These costs relate to administrative expenses and are more appropriately categorized as such. FAES is filing an Evidentiary Update to the Application with the above corrections, concurrent with the filing of these IR responses. 34

33 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: FORECAST AND ACTUAL COST OF SERVICE Exhibit B-1, Appendix A, p. 6, Table 3; Financial Schedules Updated 2017/18 actual cost of service 6.1 Please provide amended schedules for Table 3 on page 6 of Appendix A and for the financial schedules in Appendix A to include updated actual results for 2017/18. Please indicate whether the amended actual 2017/18 results are based on final actual results or if the information still contains some forecast data. Response: Please refer to Attachment 6.1 which contains an update to Table 3 and revised Appendix A Financial Schedules. FAES has updated the forecast/actual for 2017/18 with actual results through to April 2018 and forecasts for May and June of In addition FAES has updated the forecast for 2018/19 based on these results and the updates described in response to BCUC IR

34 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: FORECAST AND ACTUAL COST OF SERVICE Exhibit B-1, Appendix A, Table 3, p. 6; Appendix G, Compliance Filing to OrderG-31-12, Schedule 1; Order G Forecast and actual annual COS Appendix G of the Application provides the Compliance Filing to Order G Subsequent to FAES filing of the Compliance Filing to Order G and the BCUC s review of this filing, FAES was directed by Order G to file a revised compliance filing. 7.1 Please provide FAES compliance filing to Order G Response: Please refer to Attachment Table 3 on page 6 of Appendix A to the Application provides the forecast annual cost of service for fiscal years 2012/13 through 2018/ Please compare the forecast COS amounts in Table 3 of Appendix A to the forecast annual revenue requirement amounts provided in Schedule 1 of the Compliance Filing to Order G and explain all differences. Response: This question is asking FAES to compare (a) a forecast that was provided as part of the CPCN Compliance Filing to Order G and was reviewed in 2012 by the Commission to (b) each annual forecast which was reviewed and approved by the Commission up to and including 2015/16. We believe that the correct comparison to assess how circumstances have changed since 2012 is to compare the original Order G Compliance Filing and the actual results. That exercise was undertaken in responses to DSD IRs 1.6.2a, 1.6.2b, and The reason for this is because the forecasts that were approved each year did not affect either the rate paid by the DSD or the DDA balance. The DSD s rate is currently set using the MR and the difference between the MR and the actual results is included in the DDA each year. Nevertheless, FAES has provided the requested information below to the extent that it is possible. Overall, the variances between the Annual Cost of Service forecasts and the CPCN Compliance Filing reflect FAES s evolving understanding of the operation and maintenance of the energy systems (see Table 1 below). Since FAES anticipated that the switch to the COS Rate would

35 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page occur in the second year as part of its forecasts in the Compliance Filing Order G-71-12, amortization of the DDA was minimal. Accordingly, Table 1 below does not include a comparison of the amortization of the DDA because it is dependent on the timing of the switch and does not inform a comparison of cost forecasts. Table 1: Annual COS Forecasts 2012/ / / / / / /19 Total Schedule 1 Compliance Filing to G Cost of Natural Gas ,012 Cost of Electricity ,661 Operation and Maintenance ,114 Property Taxes Depreciation Expense ,176 Income Taxes (276) (464) (262) (100) (9) (934) Earned Return ,667 Annual Cost of Service ,026 1,176 1,242 1,385 7,742 Table 3 Appendix A Cost of Natural Gas ,300 Cost of Electricity Operation and Maintenance ,443 Property Taxes Depreciation Expense ,111 Income Taxes (276) (276) Earned Return ,886 Annual Cost of Service ,012 1,039 1,114 7, Variance Cost of Natural Gas - (27) (30) Cost of Electricity (201) (191) (203) (224) (965) Operation and Maintenance - (118) (87) (51) (75) (58) (141) (671) Property Taxes - - (0) (0) (4) (10) (12) (39) Depreciation Expense - (51) (30) (30) (4) (5) 27 (64) Income Taxes (49) (64) 658 Earned Return - (15) Annual Cost of Service (128) (164) (203) (271) (574) Below are variance explanations for each fiscal year: 2012/13 For the contract year 2012/13, there are no variances because the forecast for setting the COS Rate was the same as in Schedule 1 to Compliance Filing G

36 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page /14 For 2013/14, FAES had forecast lower natural gas prices and higher electricity prices, but had not yet adjusted natural gas or electricity consumption. FAES did anticipate that there would be little in the way of direct O&M charges beyond the DSD contract and overheads as much of the O&M charges were related to commissioning and, therefore, were capitalized. FAES had provided a sensitivity that included a tax loss utilization plan to access the value of the higher CCA, but ultimately could not do so and, therefore, forecast taxes were reduced to zero and tax loss carry forwards were recorded instead. Earned return was lower due to construction timing and lower debt rates than forecast. 2014/15 For 2014/15, again, FAES had forecast lower natural gas prices and higher electricity prices, and had not adjusted the consumption forecasts. FAES continued to anticipate lower direct O&M charges and consistent TESDA and contractor charges from DSD. However, FAES did also expect some contractor charges outside of DSD staff. Depreciation expenses were forecast to be lower due to construction timing. At this point FAES had not found any solution to access the tax benefits of the CCA and, therefore, maintained a forecast for income tax of zero along with tax loss carry forwards. Earned return was lower due to construction timing and lower debt rates. 2015/16 As of 2015/16, FAES began to forecast higher natural gas consumption and lower electricity consumption along with the lower natural gas prices and higher electricity prices. FAES also forecast additional contractor costs but maintained the TESDA allocation and DSD contract amounts. Nonetheless, total O&M was still forecast to be lower. Depreciation expense was forecast to be lower despite higher capital costs due to a higher CIAC amortization rate. Income taxes remained forecast at zero along with loss carry forwards as a solution to accessing the tax had not yet been identified. Earned return was in line with forecasts due to lower debt rates offsetting higher capital costs. 2016/17 In setting the 2016/17 rates, FAES forecast higher natural gas consumption and lower electricity consumption along with lower natural gas prices and higher electricity prices. Total O&M was forecast lower but included higher contractor costs for contractors beyond the DSD and maintained the TESDA allocation as per the original forecast. Depreciation expense was approximately equal but reflects higher capital costs and CIAC amortization achieving an overall balance. Original forecasts expected income tax deductions to be almost complete and the 2016/17 forecast continued to be set to zero along with the use of loss carry forwards. Earned return was higher due to higher capital costs but somewhat mitigated by a lower debt rate.

37 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page /18 For 2017/18, FAES operating plan was to use the natural gas boilers to manage distribution constraints in the buildings and, therefore, the natural gas consumption forecast was higher, lower electricity consumption, and overall natural gas prices were forecast lower with higher electricity prices. O&M forecasts remained lower with consistent TESDA allocation and DSD contracts but higher contractor costs overall. Depreciation expense was approximately equal but reflects higher capital costs and CIAC amortization achieving an overall balance. Income tax was lower as the full effect of the tax deductions was expected to have been realized in the Compliance Filing to G by this time; whereas, for the rate setting forecast in 2017/18, FAES expected to be able to maintain zero income tax through the continued use of the loss carry forwards. Earned return was higher due to higher capital costs but somewhat offset by lower debt rates. 2018/19 Relative to the forecasts in the Compliance filing to Order G-71-12, FAES expects that natural gas costs will be higher despite lower natural gas prices and that electricity costs will be lower despite higher electricity rates. FAES also expects O&M to be significantly lower as the forecasts in Compliance Filing to Order G expected significant periodic maintenance to occur that would drive O&M costs. In addition, FAES expects contractor costs to be higher but offset by the elimination of the DSD operations as a contractor. FAES expects to hold the TESDA allocation constant and for direct costs to remain lower than the forecast from the Compliance filing to Order G Depreciation is forecast to be higher due to higher capital spending and an error in the CIAC amortization was corrected, increasing the total depreciation expense. Income tax is lower as the full effect of the tax deductions was expected to have been realized in the Compliance Filing to G by this time; whereas, FAES expects to be able to maintain zero income tax through the continued use of the loss carry forwards in 2018/19. Earned return is expected to be higher due to higher capital spend but benefits from lower debt rates Please clarify which filing FAES used as reference for the forecast COS amounts provided in Table 3 of Appendix A and why. Response: Each year FAES must create a forecast to generate a COS Rate for the upcoming contract year. The forecasts and COS Rates shown in Table 3 of Appendix A were the forecasts created for the purpose of either reviewing or reporting the upcoming COS Rates in their respective years. The respective Commission Orders and acknowledgements for each year are as follows:

38 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page /13 Order G-88-12; 2013/14 Order G-81-13; 2014/15 Order G ; 2015/16 Order G ; 2016/17 Letter dated November 4, 2016 acknowledging receipt of the COS Rate and DDA balance; and 2017/18 Letter dated September 15, 2017 acknowledging receipt of the COS Rate and DDA balance FAES chose to use these as the forecasts for the table compared to the forecasts associated with the original CPCN application and contracts, culminating in the Compliance Filing to Order G-71-12, because they were used for the purposes of setting the actual COS Rates that the DSD could have chosen to pay. 14

39 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: FORECAST AND ACTUAL COST OF SERVICE Response: Exhibit B-1, Appendix A, pp. 1 2, 6, Table 3; Financial Schedules, Schedule 3; FAES DSD F RRA proceeding; Exhibit B-4, BCUC IR 1.5.1, Cost of natural gas The following table summarizes the forecast versus actual cost of natural gas based on the information provided in Table 3 on page 6 of Appendix A. Year Forecast ($000 s) Actual ($000 s) 2012/ / / / / / / N/A Schedule 3 of the Financial Schedules in Appendix A to the Application provides the actual natural gas consumption and actual natural gas costs for fiscal years 2012/13 through 2017/18 (and forecast 2018/19). 8.1 Please amend Schedule 3 to also include the forecast natural gas consumption for fiscal years 2012/13 through 2017/18. FAES has included an amended Schedule 3 below with forecast natural gas consumption (GJ) and forecast natural gas cost ($000). Line Particulars Reference 2012/ / / / / / /19 1 Energy 2 Natural Gas (GJ) 3 Rate Class Rate Class 2 1,887 25,593 22,812 27,205 32,905 32,905 32,905 5 Rate Class Total Natural Gas (GJ) 1,887 25,593 22,812 27,205 32,905 32,905 32, Cost 9 Natural Gas Cost 10 Rate Class 1 Line 3 x $ per GJ/ Rate Class 2 Line 4 x $ per GJ/ Rate Class 3 Line 5 x $ per GJ/ Total Natural Gas Energy Cost Sum of Lines 10 through Forecast Natural Gas Consumption (GJ) 5,803 9,708 9,708 27,558 28,000 31,666 32, Forecast Natural Gas Cost ($000)

40 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page In response to BCUC IR in the FAES DSD F RRA proceeding, FAES stated the following: Please confirm, or explain otherwise, that the variances between forecast and actual natural gas costs and consumption for the fiscal years 2013/14 through 2016/17 can be explained by FAES above response to BCUC IR Response: Optimization is confirmed as one factor affecting natural gas usage trends; however, the trend was also influenced by demand and the mix of energy systems in 2013/14 which were weighted more heavily towards natural gas boiler systems. Please refer to the responses to BCUC IRs and regarding ongoing optimization efforts and electricity consumption Please explain why, despite the continuing optimization of the Thermal Energy System (TES) described in FAES response to BCUC IR 1.5.1, the actual natural gas costs have only minimally decreased since 2015/16 and the actual natural gas consumption has slightly increased. Response: FAES expects that natural gas consumption and costs will stabilize now. The actual annual natural gas consumption increase over 2015/16 and 2016/17 was due to an increase in the overall annual thermal energy demand as shown in Table 1 below.

41 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Table 1: Annual Demand for DSD 2013/ / / / / /19 Annual Demand MWh 4,626 5,006 5,818 6,893 6,672 6,504 Natural Gas GJ 25,589 22,606 27,205 32,905 32,154 31,344 Relative Usage GJ/MWh The optimization process, which focussed on FAES-owned equipment, is unlikely to result in a further reduction in gas consumption and shift towards electricity without the DSD making changes to its distribution system or operating strategy (such as the level and fluctuation of temperature set points due to occupancy). The existing distribution system, which is owned by the DSD, was originally designed to operate at a high temperature while heat pump systems generally operate at ambient temperatures. Despite their differences, the energy system was designed to combine these technologies with the DSD s existing distribution system. The operation of the heat pump and geothermal components are controlled by, amongst other parameters, the return temperature of the distribution system. Specifically, the heat pump systems are designed to shut off when the system return temperature rises above 48.9⁰C (and the outdoor air temperature is below 15⁰C). The screenshot below shows the schedule for the School Board Office (see text on right side) Put simply, the increased use of a heat pump can only occur where there is a reduction in the amount of time that the distribution system is calling for return temperatures in excess of 48.9⁰C. There are a number of ways this could be accomplished including upgrading distribution system equipment (i.e., to efficiently distribute lower grade heat and/or to distribute heat more evenly), and changing operating conditions (i.e. avoiding rapid start-ups, minimizing

42 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page temperature set point adjustments, minimizing rapid heat loss, etc.). These optimization opportunities were discussed with the DSD and Johnson Controls when reviewing the Delview School Report (please refer to the response to BCUC IR 1.9.4), but are not within the scope of FAES. As DSD has control over the distribution system and the operating conditions on a day to day basis, FAES has communicated with the DSD about optimizing their operations and distribution system. 7

43 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Please provide FAES forecast for natural gas consumption for the remainder of the initial RDA term. Response: FAES has used a forecast of 32,154 GJ of natural gas consumption for 2017/18 and 31,344 GJ each year for the remainder of the initial RDA term. This is based on weather normalized thermal energy demand of 6,504 MWh annually for the remainder of the term (please refer to the response to BCUC IR 1.5.1). Absent any changes in the DSD s distribution systems or the way the DSD operates their system (refer to the responses to BCUC IR and DSD IR 1.1.5), natural gas consumption on a weather-normalized basis is expected at 31,344 GJ per annum

44 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page FAES further stated the following in response to BCUC IR in the FAES DSD F RRA proceeding: Please provide an update on the seasonal efficiency of the boilers/heat pump system and explain whether the heat pumps are now supplying the majority of the thermal energy, as described in FAES above response. Response: The overall efficiency of the energy system, which is impacted by the DSD s distribution system and its operation, is shown in the table below. 2013/ / / /17 Thermal Energy MWh 4,626 5,006 5,818 6,893 Electricity Use MWh Natural Gas GJ 25,589 22,606 27,205 32,905 Natural Gas MWh 7,108 6,280 7,557 9,140 Overall System Efficiency % 62% 76% 75% 73% Please refer to the responses to BCUC IRs and for discussion on the share of energy supplied by the heat pumps. FAES expects that in order to further improve the efficiency, changes would be necessary to the operating strategy of the DSD as well as the configuration of the building distribution systems of the DSD to remove bottlenecks. Put simply, to reach the full potential of any heat pump-based system, changes must be made to the distribution system and its operation to allow the heat pumps to run more often. Otherwise, FAES expects that the system efficiency as a whole will continue to trend in the low to mid 70 percent range. 21

45 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: FORECAST AND ACTUAL COST OF SERVICE Response: Exhibit B-1, Appendix A, Schedule 4; FAES DSD F RRA proceeding; Exhibit B-4, BCUC IR 1.8.1; Exhibit B-6, BCUC IR Cost of electricity and utilization The following table summarizes the actual electricity consumption and costs based on the information provided in Schedule 4 of the Financial Schedules attached to Appendix A. Year Consumption Costs ($000 s) (MWh) 2012/ / / / / /18 (Forecast) /19 (Forecast) In response to BCUC IR in the FAES DSD F RRA proceeding, FAES stated: It is anticipated that with the modified sequence of operation the utilization of electricity can increase between 35 to 50 per cent. 9.1 Please explain why the electricity consumption decreased in 2014/15 and 2015/16 compared to 2013/14. Please also refer to the response to BCUC IR The sequence of operations calls for the heat pump systems to operate based on the outdoor air temperature and distribution system return temperature. FAES has configured its energy system to maximize the use of heat pumps within the constraints of the distribution system while also ensuring comfort, performance, and efficiency. Electricity consumption, adjusted for demand, declined between since 2013/14 and 2015/16 due to a number of factors including changes to operating parameters during the postcommissioning optimization to improve comfort, performance, and efficiency. However, electricity consumption, adjusted for demand, increased by 30 percent in 2016/17 over 2015/16 due to an agreement between FAES and the DSD to use heat pumps more in the shoulder seasons until the requirements to deliver high heat to the distribution system exceeded the operating range of the ambient systems. This increased the electricity consumption during the shoulder seasons compared to the previous year, when the boilers were used through the shoulder season.

46 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Item Units 2013/ / / /17 Thermal Energy MWh 4,626 5,006 5,818 6,893 Electricity Use MWh Electricity / Thermal Energy % 7.2% 5.7% 4.0% 5.2% Please explain whether the increase in electricity consumption in 2016/17 is in line with FAES expectations stated in the F2015/16 RRA and provide the current percentage increase in utilization. Response: As discussed in the response to BCUC IR 1.8.3, the increase in the annual demand, ongoing optimization, and proper maintenance of the system are among the factors that have contributed to the increase in electricity consumption in 2016/17. Electricity use would further increase with the improvement or replacement of the distribution system owned by the DSD, which would allow greater use of the heat pumps in colder months of the year Please discuss FAES expectations regarding future electricity utilization and the impact this would have on the future annual COS. Response: FAES anticipates that electricity consumption will remain relatively stable subject to fluctuations due to weather. Absent changes in electricity and natural gas pricing, FAES expects fuel costs to remain stable. Please also refer to the response to BCUC IR At present, the price of electricity is higher than natural gas even after considering the impact of equipment efficiencies. Accordingly, it is important to note that an increase in the overall proportion of electricity used is expected to increase fuel costs and the annual COS

47 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page In response to BCUC IR in the FAES DSD F RRA proceeding regarding the reasons for the decrease in electricity consumption, FAES stated the following: Please provide an updated response to BCUC IR and discuss the results of FAES and DSD s investigation and analysis of the operations of the heat pumps and DSD-owned equipment. Response: The DSD engaged Rocky Point Engineering Ltd. (RPE) in 2016 to carry out a design/commissioning review of the central plant of three schools: North Delta Secondary, Delview Secondary and South Park Elementary. These schools were selected as they appeared to be facing operational issues. RPE provided recommendations with respect to the operation of the central plant. Attachment 9.4 contains a copy of the following three RPE reports: North Delta Secondary York Heat Pump Performance Investigation dated Oct. 11, 2016; 17 South Park Elementary - Heat Pump Operation Investigation dated Dec. 15, 2016; and Delview Secondary Multistack Heat Pump Performance Investigation dated Jan. 10, These recommendations were reviewed by FAES and Johnson Controls International (JCI) and were either completed or investigated. Following the above review, FAES engaged JCI with the consent of the DSD, to perform a comprehensive review of the Delview Secondary central plant and the distribution system owned by the DSD. JCI issued a health report in March 2017 (HVAC Health Report for Delview Secondary School dated March 24, 2017), which is also included in Attachment 9.4. This JCI report made recommendations to improve comfort and performance including changes and repairs to the central plant and to the maintenance of the distribution system owned by the DSD. FAES implemented each of the recommendations with respect to the central plant. The findings with respect to the distribution system emphasized the fact that the DSD providing timely maintenance to the distribution system will have a significant impact on the central plant s

48 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page ability to deliver the thermal energy. Items such as replacement of filters, cleanup of coils, covered vents and use of automation system to command the equipment were amongst the issues. The DSD staff were notified of the above findings. The number of complaints FAES has received with respect to the system performance and comfort has substantially reduced following rectification of the above issues. 6

49 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: FORECAST AND ACTUAL COST OF SERVICE Exhibit B-1, Appendix A, p. 6, Table 3; Financial Schedules, Schedule 5 Operations, Maintenance and Administration In Table 3 on page 6 of Appendix A, FAES provides a continuity schedule showing the forecast and actual annual cost of service, including the Operations, Maintenance and Administration (OM&A) expense. In Schedule 5 of the Appendix A Financial Schedules, FAES provides a detailed breakdown of Actual Annual OM&A expenses Please amend Schedule 5 to include both the Forecast and Actual Annual OM&A expenses and please explain the reason for the variances between forecast and actual amounts for each line item. Response: FAES understands the question to ask for a variance explanation of Schedule 5 against the forecasts shown in Table 3 on page 6 of Appendix A. As FAES noted in response to BCUC IR 1.7.2, these forecasts are the forecasts that FAES used to set COS Rates for each of the years. Table 1 below provides these forecasts and variances against actuals for each of the years where actual results are available and for 2017/18 which has forecast data for the last 3 months.

50 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Labour Costs Table 1: Comparison of Table 3 Forecasts to Actual ($000's), unless otherwise stated Schedule 5 Line Particulars 2012/ / / / / / /19 1 Gross O&M Forecast 2 Labour Costs Employe Expenses Fees & Administrations Costs Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses (Less): Capitalized Overhead (24) (16) - (28) - - (41) 9 Net O&M Actual Actual / Forecast 12 Gross O&M 13 Labour Costs Fees & Administrations Costs Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses (Less): Capitalized Overhead - (21) (25) - - (34) 19 Net O&M Gross O&M Variance 22 Labour Costs (6) Employe Expenses (15) - 24 Fees & Administrations Costs (14) (5) Contractor Costs (134) Overheads and Shared Services Allocation (34) (16) (2) Total Gross O&M Expenses (165) (Less): Capitalized Overhead 24 (5) (25) 28 - (34) 29 Net O&M (141) (1) FAES began to experience direct labour costs for the project in 2014/15, compared to original expectations that the DSD would provide these services. Accordingly, by 2016/17, it became clear to FAES that an amount for internal labour costs to operate and maintain the DSD service would be necessary based on experience in 2014/15 and during the forecast period in 2015/16. Fees & Administration Costs As noted in FAES response to BCUC IR some fees and administration costs were misallocated to employee expenses. Fees and administration costs that FAES began to

51 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page forecast and incur relate to boiler certifications each year, Commission fees and legal fees related to applications such as the 2015/16 filing and this Application. Contractor Costs In 2012/13 FAES had expected as part of its application to complete commissioning of a significant amount of the project, but only a few sites were brought into service late in the contract year after the heating season was over. As a result, costs overall were lower than forecast. However, as can be seen in the actual costs for 2013/14, which were $90 thousand, these costs related to the DSD service contract and $30 thousand of that was for back-billing from the DSD for $30 thousand related to the 2012/13 contract year. In addition, in 2016/17, as a result of the review of the operations FAES chose to contract with JCI for the operations and maintenance of the service, which was not forecast as part of the 2016/17 rate setting, but has now been completed and will result in a more predictable cost for this line item into the future. Overheads & Shared Service Allocation As noted in FAES responses to BCUC IRs through , FAES has held this line item to the forecast amounts shown in the Compliance Filing to Order G Overhead Capitalization FAES forecast overhead allocation according to the directives in Order G and G to capitalize in years that capital expenditure occur. Accordingly, FAES either included this amount in the forecast and actual on the basis of its expectations going into each year as well as the actual capital replacements that occurred. Comparison to Order G FAES has also provided in Table 2 below, a comparison of the original forecast in Compliance Filing to Order G to actuals in the format of Schedule 5.

52 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Table 2: Comparison of Order G Forecasts to Actual ($000's), unless otherwise stated Schedule 5 Line Particulars 2012/ / / / / / /19 1 Gross O&M Forecast 2 Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses (Less): Capitalized Overhead (24) (35) (36) (36) - - (64) 6 Net O&M Actual Actual / Forecast 9 Gross O&M 10 Labour Costs Fees & Administrations Costs Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses (Less): Capitalized Overhead - (21) (25) - - (34) 16 Net O&M Gross O&M Variance 19 Labour Costs Fees & Administrations Costs Contractor Costs (134) (109) (124) (97) (27) (74) 22 Overheads and Shared Services Allocation (34) (15) (1) (1) (1) (1) 23 Total Gross O&M Expenses (165) (98) (76) (35) (1) (25) 24 (Less): Capitalized Overhead (34) 25 Net O&M (141) (85) (65) 1 (1) (60) The comparison shows that relative to expectations of the parties at the outset of service, FAES has consistently had lower expenses than expected. FAES did not start to allocate overheads until the first full year of service and managed through a transition period where it had both the DSD and JCI under contract to provide maintenance services and has been engaged in a regulatory process for 2015/16 as well as this Application. 8

53 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: OPERATIONS, MAINTENANCE AND ADMINISTRATION Exhibit B-1, Appendix A, Financial Schedules, Schedule 5 Forecast OM&A 11.1 In consideration of the six years of actual OM&A results, please provide the forecast annual OM&A amounts for the remainder of the initial RDA term in the same level of detail as provided in Schedule 5 of the Financial Schedules. Response: FAES has provided a forecast of O&M for the remainder of the initial RDA term in table 1 below. Table 1: Forecast OM&A ($000's), unless otherwise stated Schedule 5 Particulars Reference 2019/ / / / / / / / / / / / /32 Gross O&M Labour Costs Fees & Administrations Costs Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses Line 2 + Line (Less): Capitalized Overhead -Line 7 x 14% (34) (55) (36) (36) (37) (38) (39) (39) (60) (41) (42) (43) (44) 11 Net O&M Line 7 + Line FAES forecasts that the contractor and labour costs for JCI and FAES personnel will remain stable over the forecast period and increase by normal inflation. FAES has also assumed that Fees & Administration costs will continue to include boiler certifications and BCUC fees but that they will also include meter recalibrations periodically Response: Please compare the forecast provided in the above response to the forecast OM&A provided in Schedule 4 of the Compliance Filing to Order G and explain any variances exceeding plus or minus 5 percent Please refer to the response to BCUC IR and BCUC IR Please note that there were two line items for O&M costs in the compliance filing in Order G Contractor Costs and Overheads and Shared Services Allocation. Both of these line items

54 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page varied by more than 5 percent. Please refer to the response to BCUC IR for an explanation of the differences. 3

55 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: OPERATIONS, MAINTENANCE AND ADMINISTRATION Exhibit B-1, Appendix A, p. 2; Financial Schedules, Schedule 5 Labour Costs Schedule 5 of the Financial Schedules in Appendix A to the Application shows the following annual Labour Costs: 2014/15 - $30, /16 - $28, /17 - $26, /18 - $20, /19 - $20, Please provide a description of the annual labour costs included in OM&A. Response: Please refer to the response to BCUC IR for corrections to the labour costs. The labour costs above relate to the direct FAES labour that is charged to the project via timesheet entries from FAES employees for time spent on DSD related activities. The charges vary each year by the amount of activity in a given year Please explain why no labour costs were incurred during the first two years of the RDA term (i.e. 2012/13 and 2013/14) but have since been incurred by FAES. Response: During the first two years of the RDA, the employees who provided services to the DSD were employed by FortisBC Energy Inc. (FEI) and were not FAES employees. At that time, FAES had no direct employees. As a result, the labour charges were included in fees and administrative costs rather than annual labour costs. Please refer to the responses to BCUC IRs and

56 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Please explain who is incurring the labour costs, the type of work performed by the individual(s), and how the individual(s) time is being tracked and charged to the DSD project. Response: Please refer to the response to BCUC IR for how labour costs are tracked and charged to DSD. The labour costs listed in the question relate to time charged by various FAES employees who worked directly on the project. These include employees providing direct operational and/or administrative (accounting, regulatory, etc.) support to this project Please explain why labour costs have been decreasing annually between 2014/15 and 2017/18 and why, based on historical results, FAES forecasts labour costs to remain stable in 2018/19. Response: Please refer to the response to BCUC IR which details corrections to labour costs. The reduction in internal labour costs between 2014/15 and 2016/17 is reflective of a reduction in activity related to post-commissioning stabilization and optimization of the system. As a result of its decision to use a combination of internal labour and external contractors to replace the scope of work performed by the DSD maintenance staff (refer to the response to BCUC IR ), FAES expects these costs to increase to $31 thousand in 2017/18 and $41 thousand in 2018/19 (refer to the response to BCUC IR where FAES describes the offsetting decrease in contractor costs). 2014/15 - $30, /16 - $28, /17 - $26, /18 - $31, /19 - $41,000 Conversely, as sustainment capital requirements increase, FAES expects a greater proportion of FAES s internal labour will focus on capital activities and be capitalized accordingly.

57 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page What are FAES expectations regarding labour costs for the remainder of the initial RDA term? Please explain. Response: FAES expects it will need to review the labour costs each year as part of the preparation of the COS Rate process. Having said that, FAES intends to manage the labour costs closely and notes that the overall O&M including labour, contractors, and overheads has been lower than originally forecast Schedule 1 to Compliance Filing to Order G-71-12, dated June 11, 2012, provided in the response to BCUC IR as Attachment 7.1.

58 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: OPERATIONS, MAINTENANCE AND ADMINISTRATION Exhibit B-1, Appendix A, p. 2; Financial Schedules, Schedule 5 Employee Expenses Schedule 5 of the Financial Schedules in Appendix A to the Application shows amounts for Employee Expenses in 2014/15 of $18,000 and in 2015/16 of $15, Please provide a breakdown and description of the Employee Expenses incurred in 2014/15 and 2015/16, including why these costs were incurred. Response: Please refer to the response to BCUC IR The majority of these costs have been reclassified to the fees and administrative line item. The costs relate to items such as boiler certification fees ($23 thousand), BCUC Assessments ($7 thousand), materials ($1 thousand) and miscellaneous travel and administrative expenses ($2 thousand) Does FAES anticipate incurring Employee Expenses in the future? Please explain why or why not. Response: As noted in the response to BCUC IR , some fees and administration costs were incorrectly categorized as employee expenses and employee expenses are included in the labour line item. FAES does anticipate some employee expenses related to travel but that these costs will be negligible. 25

59 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: OPERATIONS, MAINTENANCE AND ADMINISTRATION Exhibit B-1, Appendix A, p. 2; Financial Schedules, Schedule 5 Fees & Administration Costs Schedule 5 of the Financial Schedules in Appendix A to the Application shows the following annual Fees & Administration Costs: 2012/13 - $3, /14 - $26, /15 - $0 2015/16 - $19, /17 - $1, /18 - $0 2018/19 - $ Please provide a description and breakdown of the Fees & Administrations Costs incurred in years 2012/13, 2013/14, 2015/16 and 2016/17, including why these costs were incurred in some years but not others. Response: Please refer to the response to BCUC IR for corrections and reclassifications relating to fees and administrative costs. 2012/13 - $3, /14 - $26, /15 - $18, /16 - $34, /17 - $1, /18 - $18, /19 - $59,000 Generally, the annual fees and administration costs are for government related agencies, such as the British Columbia Safety Authority, and charges which are related to the operation of the

60 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page various sites for DSD. Due to their nature, some of these costs can be variable and dependant on activities such as rate applications. Below is a brief description of these costs: FAES pays a fee of approximately $9 thousand annually to the BC Safety Authority for certification of the boilers. This is an ongoing fee although the timing of assessment can vary. Annual charges from the Commission are included in this line item. Additionally, in 2015/16, one-time legal fees related to this project were incurred by FAES. The labour charge in 2013/14 accounted for $19 thousand of the total while in 2015/16 legal fees accounted for $19 thousand of the charges. FAES expects legal costs related to this filing to occur in 2018/19 for a total of $50 thousand. Finally, as outlined in the response to BCUC IR , in 2013/14, charges for FEI employees who provided direct support to this project were included in this line item rather than direct labour charges Does FAES anticipate incurring Fees & Administration Costs in the future? Please explain why or why not. Response: Please refer to the response to BCUC IR FAES does anticipate that fees and administrative costs will be incurred in future, but on an as-required basis. 23

61 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: OPERATIONS, MAINTENANCE AND ADMINISTRATION Exhibit B-1, Appendix A, p. 2; Financial Schedules, Schedule 5 Contractor Costs Schedule 5 of the Financial Schedules in Appendix A to the Application shows the following annual Contractor Costs: 2012/13 - $0 2013/14 - $90, /15 - $80, /16 - $111, /17 - $184, /18 - $124, /19 - $124,000 On page 2 of Appendix A, FAES states the following: FAES forecasts that during the fiscal year 2018/19, the annual maintenance costs will amount to $144,000. FAES has contracted Johnson Controls to provide operations and maintenance on the equipment as of 2017, replacing the DSD facilities staff. In 2017/18, FAES will replace a boiler at Sunshine Hills Elementary School, a compressor at Delview Secondary School and a heat pump compressor at South Delta Secondary School. In 2018/19, FAES also expects to replace another boiler at Sunshine Hills Elementary Please confirm, or explain otherwise, that the $144,000 forecast annual maintenance cost for fiscal year 2018/19 is comprised of Labour Costs of $20,000 and Contractor Costs of $124,000. Response: Please refer to the response to BCUC IR for corrections to contractor costs. The revised $178 thousand forecast annual maintenance cost for 2018/19 is comprised of Labour Costs of $41 thousand and Contractor Costs of $137 thousand for the maintenance services

62 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Please confirm, or explain otherwise, that all of the costs related to Johnson Controls are recorded in the $124,000 Contractor Cost line item in the OM&A expenses in Schedule 5. Response: Please refer to the response to BCUC IR All of the costs related to Johnson Controls preventive maintenance contract are recorded in the revised $141 thousand Contractor Cost line item in the OM&A expenses in Schedule 5. All costs in relation to capital expenditures will be recorded as such Please clarify if the Contractor Costs incurred in fiscal years 2013/14 through 2016/17 were related to payments to DSD facilities staff. Response: Please refer to the response to BCUC IR for corrections to contractor costs. Confirmed. The contract costs between 2013/14 and 2016/17 included amounts related to simple maintenance and emergency response tasks performed by DSD facilities staff in addition to work done by third party contractors. A breakdown of the amounts related to DSD staff is included in the response to BCUC IR Please explain why, as of 2017, FAES is no longer utilizing DSD facilities staff for operations and maintenance on the equipment. Response: FAES had originally hired DSD to provide staff to perform ongoing maintenance and emergency response, as it was thought to be a potential source of cost savings to use staff already on site. After experiencing some issues with operations and maintenance, during the 2016/17 year, the DSD engaged a former employee now working at Rocky Point Engineering Ltd. (RPE) to review operations at the Delview, South Park, and North Delta schools. The Rocky Point study focussed only on the centralized mechanical system installed and owned by FAES, but not the

63 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page distribution system owned by the DSD. Rocky Point produced a number of recommendations for improved performance and comfort. Upon review of those recommendations, FAES engaged Johnson Controls (JCI), with the consent of the DSD, to perform a more detailed and comprehensive review of the entire mechanical system including the distribution system owned by the DSD. JCI are internationally recognized experts in mechanical system and equipment design, construction, control and automation. The purpose of the study was to undertake a comprehensive review of the entire energy system in an effort to improve performance and comfort. JCI s report supported a portion of RPE s recommendations and made a number of its own. These recommendations were reviewed with the DSD and implemented following the study in 2017 and have eliminated operational complaints. Through this review, a key finding was that many of the energy system parameters at the three sites had been reconfigured by DSD staff without proper coordination or communication with FAES. The contracting arrangement with DSD had also led to some duplication of services. For example, trouble calls were often reported and initially attended by DSD maintenance staff. DSD staff would attempt simple corrections, but would contact JCI for most trouble calls to diagnose and repair the system given JCI s broad range of mechanical skills and expertise. Finally, there were a number of maintenance items on the distribution system owned by DSD that had impacted the service and needed to be addressed. Accordingly, in an effort to stabilize operations, simplify trouble call handling, reduce overlap, and decrease costs, FAES provided notice to the DSD of its intention not to rehire the DSD s maintenance staff for the 2017/18 year. Following this decision, operations have improved and stabilized, and FAES has received fewer complaints from the DSD regarding performance. FAES has also seen a reduction in overall maintenance costs Response: What is the forecast impact on operations and maintenance costs as a result of switching from utilizing DSD facilities staff to contractors? Please provide all calculations and assumptions The forecast impact of the switch involves the transfer of work between the DSD, Johnson Controls, and FAES as follows: The maintenance contract for DSD facilities staff was structured as a fixed annual amount of $60 thousand and has been removed from the forecast starting in the 2017/2018 year.

64 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page The contract with Johnson Controls (JCI) is also negotiated as a fixed annual amount of approximately $124 thousand (effective January 1, 2018 please refer to the responses to BCUC IRs and ). This amount was negotiated down from approximately $144 thousand annually in the previous year. As a result of the changes to contract scope, FAES has assumed some of the work related to the planning and management of maintenance activities. Accordingly, FAES has increased its internal labour by approximately $20 thousand to account for this transfer in scope A summary of the incremental impact on the forecast is shown below: 2017/ /19 DSD -$60 thousand -$60 thousand FAES +$10 thousand +$20 thousand JCI -$10 thousand -$20 thousand Impact -$40 thousand -$40 thousand Overall, FAES expects to save $40 thousand annually as a result of its decision to switch to using JCI for the following reasons: FAES determined that JCI was involved in resolving substantially all of the emergency response calls so there was redundancy and no added value in having DSD as a first responder; and FAES is able to take advantage JCI s regular presence onsite to perform routine system checks at the same time as other, more complex jobs Accordingly, the DSD s scope of work turned out to be redundant and was, therefore, eliminated Please confirm, or explain otherwise, that Johnson Controls was selected based on a competitive bidding process and that the rates charged by Johnson Controls are consistent with competitive market rates. Response: Please refer to the response to BCUC IR for corrections to contractor costs.

65 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page The DSD TES is a complicated system from the standpoint of technology in particular and its operation is sensitive considering the nature of the service provided. As a result of Johnson Controls (JCI) involvement in the design, construction, commissioning, and optimization of the mechanical systems, JCI has expertise and unique knowledge of the system. Furthermore, given the ongoing optimization work at the Delview, South Park and North Delta schools in 2017, FAES believes JCI is best suited in order to complete this work. Accordingly, the contract with JCI was not awarded through a competitive bidding process, but rather, was the result of negotiations between FAES and JCI. The contract with JCI is structured as a fixed annual price that includes: One dedicated technician, who will operate and maintain the specified equipment. That dedicated technician will monitor the DDC system on a daily basis, manage alarms, be the first responder for all service calls, execute monthly, quarterly inspections, and conduct water tests; and Truck-based service technicians to supplement the dedicated technician for the execution of all annual inspections on the boilers and heat pumps Consistent with decreasing post-commissioning stabilization and optimization activities, FAES has negotiated decreases of $31 thousand and $20 thousand for 2017 and 2018 respectively. JCI has specialized knowledge of the DSD system which results in cost, timing, and performance efficiencies. In addition to closely managing the scope of contracting, FAES also uses its other competitive bidding processes to validate and inform its negotiations with JCI so that it can ensure the contract price is consistent with competitive market rates. The table below summarizes the hourly rates for JCI in comparison to three other contractor bids which were obtained through other competitive bidding processes. Each of the three contracts has the level of sophistication required to perform the work. The remainder of the response is redacted pursuant to Rule 18 of the Commission s Rules of Practice and Procedure. The redaction has been made because FAES operates in a competitive thermal energy market in British Columbia. Pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G-1-16, FAES is requesting that this information be held confidential by the Commission because it is commercially sensitive in nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information was made public. A confidential version of this response is being filed with the Commission under separate cover and can be made available to DSD upon providing a signed form of Confidentiality Declaration and Undertaking acceptable to the Commission. 36

66 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxx xxxxxxxxxxxxxxxxxx 7 8

67 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 66 1 xxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxx For each of the fiscal years 2013/14 through 2017/18, please provide a detailed breakdown and description of the maintenance costs incurred, including a description of the activities performed, the equipment that was replaced and why, the equipment that was repaired and why, the number of hours spent on these activities, and the rates charged.

68 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Response: Please refer to Attachments 15.6a, 15.6b, and 15.6c. Attachments 15.6a and 15.6b are being filed confidentially because FAES operates in a competitive thermal energy market in British Columbia. As such, pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G-1-16, FAES is requesting that this information be held confidential by the Commission. The information is commercially sensitive in nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information was made public. A confidential version of this response is being filed with the Commission under separate cover and can be made available to DSD upon providing a signed form of Confidentiality Declaration and Undertaking acceptable to the Commission. Confidential Attachment 15.6a provides a spreadsheet detailing the maintenance and capital work activities between 2013/14 and 2017/18. FAES has pulled all available invoices including a description of the costs, location, nature of the work, description of the work performed, and the reason for the work. Please note that the invoices are totaled by their invoice dates so there are timing differences when compared to actual contractor costs. In confidential Attachment 15.6b, FAES has provided the supporting invoices which provide detail on the rates and time spent on each activity. In Attachment 15.6c, FAES has also provided the list of preventative maintenance work orders which are covered by the fixed annual contracts for JCI and the DSD for the period of 2015 to 2018 in. Please note that the list of work orders prior to 2015 is not available For each of the fiscal years 2013/14 through 2017/18, please indicate the percentage of time spent on operations and maintenance activities by DSD facilities staff versus outside contractors and the percentage of costs attributable to DSD facilities staff versus outside contractors. Response: Please refer to the response to BCUC IR for corrections to contractor costs. FAES and the DSD entered into a fixed price agreement for $60 thousand per annum to be paid to the DSD to provide simple maintenance and emergency response. The table below shows the percentage of annual maintenance costs that this represents.

69 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Year Annual Preventive Maintenance Cost DSD Staff Fee DSD Staff Fee / Annual Contractor Costs % 2013/14 $ 90,000 $ 60,000 67% 2014/15 $ 80,000 $ 60,000 75% 2015/16 $ 111,000 $ 60,000 54% 2016/17 $ 184,000 $ 60,000 33% 2017/18 $ 134,000 $ 0 0% Response: For years where both DSD facilities staff and outside contractors were utilized, please explain why A combination of DSD staff and external contractors initially had been used for the DSD facilities. The DSD was responsible for emergency response and maintenance of a simple nature, whereas external contractors handled the complex maintenance and operational tasks. This combination was implemented to provide more responsive service initially; however, through the system optimization process, FAES determined that the DSD staff s continued involvement was introducing redundancies such that the structure was no longer delivering the intended benefits. FAES transitioned to using JCI only in 2017, with resulting cost savings. Please also refer to the response to BCUC IR Please explain if the boiler, compressor and heat pump compressor planned to be replaced in 2017/18 had reached the end of their useful lives. If not, please explain why they require replacement at this time. Response: The replacements noted above are required in each case due to the failure of the equipment which occurred before the average expected useful life. Replacement of the equipment in these cases could be scheduled in order to minimize service interruptions due to available system redundancy at the time of the failure. For example, the replacement of the heat pump compressor at Delview was completed before its expected seasonal use.

70 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Please compare FAES expectations/forecasts for operations and maintenance costs as well as asset replacements for the first five years of the RDA term when the 2011 Certificate of Public Convenience and Necessity (CPCN) was filed compared to the actual costs and replacements which have occurred in the first five years. Response: The following discussion compares FAES s forecast O&M and replacement costs in the CPCN with the actual costs that have occurred. Maintenance FAES expected that annual O&M would amount to approximately $195 thousand each year plus inflation. Included in this was preventative maintenance for: Boilers; Heat Pumps; Heat Exchangers; Circulating Pumps; Controls; Ground Loops; Meters; and Chemical Treatments. FAES has experienced lower maintenance costs than originally forecast by approximately $50 thousand per year. As of 2018/19, FAES has contracted JCI to perform preventative maintenance services for a total of $124 thousand per year. FAES has also included $10 thousand per year for corrective maintenance plus approximately $40 thousand for FAES labour, totalling approximately $174 thousand. For 2018/19, FAES had originally forecasted $220 thousand, so the forecast is now $46 thousand less than originally forecast. Sustaining Capital Replacements were forecast as follows up to 2018/19:

71 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page In 2015/16, or the fourth year, for planned replacement of wearing parts for circulating pumps totalling $20 thousand ($19 thousand in 2012 dollars), In 2016/17 or the fifth year, for planned replacement of: o o o o o Boiler Controls ($59 thousand - $53 thousand in 2012 dollars) Switches ($21 thousand - $19 thousand in 2012 dollars) Heat Pump Controls ($21 thousand - $19 thousand in 2012 dollars) Valves ($7.5 - $6.8 thousand in 2012 dollars) Circulating pump seals ($80 thousand - $73 thousand in 2012 dollars) FAES had forecast replacements at the expected useful life of equipment and major components. FAES began to experience the need for replacements in 2017/18, the sixth year of service. FAES believes that in practice, replacements will occur more evenly distributed over the initial term than originally forecast. Accordingly, FAES has smoothed the capital replacement forecast over the initial term but notes that actual replacements each year may vary Please provide an updated forecast for operations and maintenance costs for the remainder of the initial RDA term and compare this forecast to the original forecast presented in the 2011 CPCN. Please explain all significant differences. Response: For clarity, FAES is not seeking approval of its forecast for the years between 2019/20 and 2031/32. Table 1 below provides a forecast of the O&M for the remainder of the initial term and also provides the original forecast from the CPCN Compliance Filing to Order G The significant differences relate to the change in operations from the DSD to JCI and FAES as well as some items such as boiler certifications and annual fees. In addition, FAES has changed the timing of some recurring items including thermal meter recalibrations.

72 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page 71 ($000's), unless otherwise stated Schedule 5 Particulars 2019/ / / / / / / / / / / / /32 Foreast Gross O&M Labour Costs Fees & Administrations Costs Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses (Less): Capitalized Overhead (34) (55) (36) (36) (37) (38) (39) (39) (60) (41) (42) (43) (44) Net O&M G Gross O&M Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses (Less): Capitalized Overhead - (41) - (42) - - (70) (46) (50) - 1 Net O&M

73 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: OPERATIONS, MAINTENANCE AND ADMINISTRATION Exhibit B-1, Appendix A, p. 2, Financial Schedules, Schedule 5; Order G Capitalized overhead Directive 1 of Order G stated the following: FAES states on page 2 of Appendix A that it is capitalizing $28,000 of OM&A in each of 2017/18 and 2018/ Please clarify if a 14 percent capitalization rate is in accordance with FAES current accounting policies and provide the supporting accounting standard(s). Response: Confirmed. However, FAES anticipates the adoption of a policy at some point in the future whereby it calculates its capitalized overhead rate on a year-by-year basis, depending on the amount of capital work undertaken in any particular year similar to the methodology used by FEI. Please refer to Attachment 16.1 which contains an excerpt from a report provided to FEI by KPMG dated June 10, 2013, on its review of Overheads Capitalization. 25 This study formed the basis for the methodology used in FEI Exhibit B-1-1, Appendix F3, in the matter of an Application by FEI for a Multi-Year Performance Based Ratemaking Plan for 2014 through 2018.

74 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: OVERHEADS AND SHARED SERVICES ALLOCATION Exhibit B-1, Appendix A, p. 2, Financial Schedules, Schedule 5; Order G-71-12; Order G Thermal Energy Services Deferral Account allocation FAES states the following on page 2 of Appendix A: Order G directed FAES to include $50,000 as a forecast for overhead charges as a proxy for an actual value, until such time as sufficient operational experience is gained and cost allocation methods are in place to update the estimate with actual overhead charges. At the time that this amount was derived, all overheads provided by FEI to the TES service were recorded in the TESDA [Thermal Energy Services Deferral Account] balance. These amounts alone contributed $3,320,000 to the TESDA balance from 2011 through 2014, not including carrying costs Please confirm, or explain otherwise, that the $3,320,000 amount referenced in the above preamble is related to all overhead charges provided by FortisBC Energy Inc. (FEI) for TES services and not specifically related to overhead or management services provided to DSD. Response: Confirmed Directive 1(c) of Order G stated the following: On July 31, 2013, FAES filed in compliance to Order G-71-12, the annual affiliate charges report, which included the following:

75 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page On July 31, 2014, FAES filed in compliance to Order G-71-12, the annual affiliate charges report, which included the following: Please explain how the above capital charges and O&M charges were accounted for by FAES and how FAES recovered these charges from DSD. Response: The charges noted above were separated into two categories for internal tracking purposes so that they could be accounted for as capital and O&M respectively. The capital charges have been recorded as capital for DSD and these costs are recovered in depreciation over the life of the project. The O&M charges are included in operating costs in their respective year(s) Please clarify FAES explanation of the capital charges incurred for the period July 1, 2013 through June 30, 2014 which states capital charges include the time charged during the DSD construction phase. Specifically, please explain whether the DSD system was in place during this time period and, if so, how the capital costs could have been incurred during the DSD construction phase.

76 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Response: The DSD system was in place for the period of July 1, 2013 to June 30, FAES continued to receive invoices following the construction period due to the lag between when a charge was incurred and when it is billed On July 31, 2015, FAES filed in compliance to Order G-71-12, the annual affiliate charges report, which included the following: Response: 17.4 Please provide a breakdown and description of the annual overhead services amount charged to FAES from FEI since the approval of the Code of Conduct and Transfer Pricing Policy set out in BCUC Order G The following is a summary of the charges from FEI to FAES: FEI to FAES Costs Direct (Labour) 101,735 88, , ,863 Non-Direct (Facilities / Telecom / IT) 214, , , ,175 Total 316, , , ,038 The direct labour services consist of shared corporate functions such as accounts payable, human resources, operations support, procurement, finance, regulatory services, and payroll. The non-direct services are for facilities space where FAES is located, telecom and information

77 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page systems support, and software. While the amount has varied each year, the general nature of these services has stayed consistent. In addition to charges from FEI, FAES incurs charges from FortisBC Holdings Inc., and its own administrative charges that form part of the overhead pool Response: Please explain how much of the above annual overhead services amount, if any, is attributable to the DSD and explain why The annual overheads provided to FAES by FEI are generally for services that would be used by all FAES customers and the services are not specific to DSD. At this point, FAES has not yet allocated any indirect costs to the DSD beyond the allocation of $50 thousand plus inflation each year from TESDA, which relates to past support services provided prior to ceasing additions to the TESDA account in Only direct costs have been allocated to DSD since that time, meaning that the cost of service presented in this and prior applications is actually not including the full overhead cost. FAES is not seeking to add additional indirect cost retroactively; however, indirect costs for future years could be a line item in the cost of service for those future years. For overhead allocation and administrative charges to other FAES projects, FAES has adopted an overhead allocation methodology of using the net book value of the capital assets of each project to determine an amount to allocate for administrative costs to each project. Had FAES sought indirect costs this year, FAES would have allocated additional annual overhead services to DSD in 2017, of $51 thousand in accordance with the overhead allocation methodology in place at FAES (project NBV as percent of total FAES projects NBV applied to total FAES overhead). DSD has approximately 11 percent ($6 million DSD NBV versus a total of $54 million of NBV of total FAES assets) of total NBV of assets at the end of 2017 and the eligible cost pool is approximately $462 thousand of costs. A similar approach would be used in future years, in the event FAES started to include that cost in future revenue requirements applications to establish the COS Rate for a given year Based on FAES operational experience with DSD in the past 5 years, please provide a detailed breakdown of the overhead, shared services costs, and other indirect costs associated with DSD. Please explain in detail the nature of these

78 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Response: costs, how the amounts were determined, and why they are appropriately attributable to the DSD Please refer to the response to BCUC IR which lists the breakdown between labour and non-labour services and the response to BCUC IR for the discussion on the allocation of these charges to DSD Response: If FAES were approved to only recover ongoing annual overhead, shared services costs and indirect costs associated with DSD and not costs related to the recovery of the Thermal Energy Services Deferral Account (TESDA), please indicate what the annual amount charged to DSD would be As noted in the response to BCUC IR , the annual allocation to DSD of indirect costs related to the recovery of the TESDA is $50 thousand plus inflation. If FAES were approved to only recover ongoing annual overhead, shared services costs, and indirect costs associated with the DSD the annual amount charged to the DSD would be approximately $51 thousand Directive 1 of Order G stated the following: FAES states on page 2 of the Application that it proposes to include in the Cost of Service an amount each year equal to the original forecast provided in the CPCN and rates application, which is equal to $50,000 in 2013/14 and escalated at two percent each year thereafter.

79 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page FAES further states that [i]n this manner, the overhead allocation is consistent with the amounts included in the original application Please provide FAES (FEI s) original rationale and methodology supporting the proposed $50,000 annual allocation and please provide a detailed justification for why this allocation amount continues to be appropriate based on FAES and DSD s current operating environment. Response: The proposal to charge $50 thousand in the original application was based on a ratio of 25 percent of the total O&M which FAES had anticipated to be $195 thousand in 2012 dollars. 26 At the time that this proposal was developed, the project was conceived of as part of the FEI General Terms and Conditions (GT&Cs) Section 12A Alternative Energy Extensions. 27 Order G approved a New Energy Solutions Deferral Account which became the TESDA to record the difference between all costs and revenues of alternative energy services including the appropriate FEI overheads allocation to the alternative energy solutions (AES) business. 28 As noted in FAES response to BCUC IR 1.3.2, the annual allocation of $50 thousand plus inflation reflects what the DSD and FAES expected to recover for TESDA (which included relevant overheads incurred prior to 2014, the date when new additions ceased to be included in the TESDA). Currently, other than the $50 thousand amount, after inflation, FAES only charges direct expenses in the year they occur such as: 26 CPCN Application, Exhibit B-1, Appendix D. 27 CPCN Application, Exhibit B-1, Page 2, The rate that FEI will charge the SD is a rate that has been developed pursuant to Order No. G , and more specifically FEI s General Terms and Conditions ( GT&C ), Section 12A. 28 Terasen Gas Inc. Application for Approval of 2010 and 2011 Revenue Requirements and Delivery Rates, BCUC Order G , Negotiated Settlement Agreement page 9, Therefore, the Parties agree that the new Energy Solutions Deferral Account will remain in effect pending a future rate design application at an unspecified future date after 2011 and will capture and record the following (plus AFUDC) to be recovered from AES customers: (a) Direct costs associated with AES projects as outlined on pages of the Application, including cost of design, equipment, etc. constructing and financing; and (b) Sales and marketing O&M and other development costs will be directly charged to the deferral account by time sheets or other direct charge (estimated at $1.0 million in 2010 and $1.5 million in 2011, representing a portion of the agreed upon Gross O&M reduction from gas customers of $4.0 million in 2010 and $5.5 million in 2011); and (c) An appropriate overhead allocation, which the parties have agreed will be $500,000 in each of 2010 and 2011 (representing a portion of the agreed upon Gross O&M reduction from gas customers of $4.0 million in 2010 and $5.5 million in 2011). Revenues received from customers for all AES projects, which are based on contracts approved by the Commission will be recorded in the AES deferral account.

80 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page (e) labour; (f) employee expenses; (g) materials & supplies; (h) fees & administration costs; and (i) contractor costs In other words, while FAES is recovering a portion of the past costs that had been deferred to the TESDA (prior to 2014), FAES has not been charging a separate overhead amount to the DSD for current overhead as part of their annual expenses. As noted in responses to BCUC IRs and , on a go forward basis FAES would charge overheads of $51 thousand for current overheads independent of the TESDA amount but has not proposed such a recovery at this time. The current amount of $50 thousand plus inflation is roughly the same amount that would cover the current overheads, without considering an allocation for recovery of the TESDA. As for the TESDA balance, given that the DSD is the only customer of FAES that is the subject of ongoing rate regulation, the prospect of performing an allocation of total overheads and TESDA separately to DSD is of questionable value and will result in higher charges to the DSD than this method. The consistency of the current approach allows FAES to recover an amount for the overheads of the business including TESDA recovery in a manner that is efficient, predictable, and consistent with the expectations of the parties since the approval of the contracts in Orders G-31-12, G and G Please provide a detailed breakdown and description, by category, of the costs recorded in the TESDA, including the total TESDA balance as of FAES most recent year end. Response: This response is being filed confidentially because FAES operates in a competitive thermal energy market in British Columbia. Pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G-1-16, FAES is requesting that this information be held confidential by the Commission because it is commercially sensitive in nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information was made public. A confidential version of this response is being filed with the Commission under

81 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page separate cover and can be made available to DSD upon providing a signed form of Confidentiality Declaration and Undertaking acceptable to the Commission Response: For each category of costs, please explain why it is appropriate to recover these costs from DSD through the proposed $50,000 annual overhead charge This response is being filed confidentially because FAES operates in a competitive thermal energy market in British Columbia. Pursuant to Section 18 of the Commission s Rules of Practice and Procedure regarding confidential documents established by Order G-1-16, FAES is requesting that this information be held confidential by the Commission because it is commercially sensitive in nature, and significant harm or prejudice to FAES s competitive or negotiating position is reasonably expected to result if the confidential information was made public. A confidential version of this response is being filed with the Commission under separate cover and can be made available to DSD upon providing a signed form of Confidentiality Declaration and Undertaking acceptable to the Commission Please provide a discussion of alternative allocation methods which could be utilized to allocate costs from the TESDA to DSD and provide the resulting allocation amounts under each alternative method, with supporting calculations. Response: FAES explores the following four alternative methods to allocate costs from the TESDA to the DSD The first is to use a percentage of the direct O&M as had been originally done to arrive at the $50 thousand amount. The second is to allocate each line item in the TESDA as well as the FAES overheads. The third is to allocate on the basis of the plant in service. Finally, the fourth is to allocate using the predicted amounts each year at the outset of the contract approvals.

82 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page When reviewing the cost allocation methodologies, FAES management considers guiding principles such as cost causation, objective results, cost effectiveness, stability over time, transparent and supportable methodology, and regulatory precedents. At this time, FAES has applied the fourth approach to set the allocation equal to the amount originally expected as part of the CPCN application. Each of the four alternatives are discussed as follows. 1. Percentage of Direct O&M While FAES originally derived the $50 thousand as 25 percent of the forecast total direct O&M in 2011/12, using a ratio of direct O&M is not necessarily appropriate in the circumstances going forward. This is because the $50 thousand was intended at the time to include overall overheads of the alternative energy service rate class of FEI. Whereas, now that the TESDA does not collect all the costs and revenues from the alternative energy service rate class for GT&C12A, it is not meaningful to relate the allocation to the direct O&M of DSD. Further, FAES notes that setting the amount as a percentage of direct O&M may result in variations from year to year and reduced predictability for all parties. FAES notes that the Commission stated it felt that the $50 thousand allocation may be too low in its Decision and Order G dated March 9, Using the ratio of 25 percent of direct O&M costs, the amount would equal $58 thousand in 2018/19 (25 percent of $234 thousand). Whereas, adjusting the ratio to reflect non-direct expenses as well (such as IT, customer care and general administration) the overhead component of the allocation could rise to as much as 50 percent or more of direct expenses 30, before considering any TESDA allocation amount. Using 5 percent of project capital costs as a proxy for TESDA recovery would suggest an additional $400 thousand ($8.099 million 31 x 5 percent) total to be recovered to reduce the TESDA (annualized this would be a payment of $35 thousand). In this scenario, the annualized allocation would equal $109 thousand in 2018/19 (50 percent of $234 thousand direct O&M 32 = $117 thousand plus $35 thousand TESDA recovery). This is more than triple the proposed allocation amount for 2018/19 by FAES. FAES does not recommend this approach. 29 BCUC Decision March 9, 2012 There is no other evidence to suggest a breakdown is possible at this time, but the Panel feels that this estimate is probably too low considering all the operating and administrative tasks contemplated. 30 FortisBC Energy Inc Rate Design Application Exhibit B-1, Appendix 6-4, Energy Solutions, Customer Care, IT, customer care and general administration for FEI equal over 85% of direct operations in Application Appendix A Schedule 9, Total Project Costs Capital Spending and AFUDC of $8,099, Application Appendix A Schedule 5, Labour Costs $20,000 plus Contractor Costs $124,000 for 2018/19.

83 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Line by Line Allocation FAES submits that this approach is complex and is unlikely to produce benefits that outweigh the cost of the analysis and review that would be necessary. For instance, some costs in the TESDA relate to projects that did not advance, such as other school districts. This raises the question of whether the experience in the other projects generated benefits for the DSD and, therefore, some responsibility for the costs. However, this line by line analysis requires significant amounts of data and many subjective determinations, which in the context of the single customer in the allocation, and the total quantity of DSD costs, is unlikely to be an efficient method of arriving at a reasonable amount to recover from the DSD. Further, because the $50 thousand was developed based on not only TESDA, but also overheads, a line by line assessment of the pre-allocated FAES overheads would also be necessary to determine the total allocation to the DSD. Given that this affects only the DSD, as all other FAES customers are on negotiated rates, not cost of service rates, the administrative burden of such an exercise suggests that the costs of the regulatory review do not outweigh the benefits. Nonetheless, FAES has undertaken an analysis to evaluate what it believes the allocation would be for the DSD for TESDA using this method as $245 thousand a year (refer to the response to BCUC IR ). Including an overhead allocation of 50 percent of direct O&M the annual overhead charge would be as much as $317 thousand for 2018/19 using this method (50 percent of $144 thousand direct O&M 33 = $72 thousand plus $245 thousand TESDA recovery). FAES observes that this method would require further detailed review and approval by the Commission before it could be implemented, including a review of total FAES overheads. FAES has not applied for, and does not recommend this approach. 3. Percentage of Plant in Service This method has the benefit of simplicity and predictability. However, the approach is not tied to values originally applied for, and would require an analysis, review, and determination of the level of the percentage applicable to the DSD. For example, a ratio of 1 percent of net book value would produce an allocation for 2018/19 of $61 thousand (Net Plant in Service Mid-year of $6.097 million 34 x 1 percent). While this would be predictable and could be set so that the present value of total overhead is equal to the expected amounts from the CPCN approvals (1 percent of plant in service achieves this balance), it provides no additional benefit to the DSD or FAES over simply recovering overhead at the level originally forecast as part of that review. 4. Amount Equal to Original Forecast This amount has the benefit of being consistent with the expectations of the parties, is very administratively simple, creates a level allocation in real dollars across the initial term, does not 33 Refer to the response to BCUC IR Exhibit B-1, Application, Appendix A, Schedule 8, Net Plant in Service, Mid-Year 2018/19.

84 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page adversely affect the other customers of FAES, is consistent with the approach for other existing customers of FAES, and produces the lowest and most consistent allocation of the four methods discussed here. While the 2018/19 amount using this method is $54 thousand 35, and this amount does not cover the current overhead costs to FAES as described in response to BCUC IR , FAES is not seeking changes within this Application. However, FAES will, in future years, examine whether this needs to be introduced. If FAES were to add the amount for current overheads of $51 thousand to the original amount for TESDA, the total would be approximately $100 thousand Exhibit B-1, Application, Appendix A, Schedule 5, Overheads and Shared Service Allocation $54, /19.

85 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: DEPRECIATION Exhibit B-1, Appendix A, pp. 2 3, Schedule 10 Contributions in Aid of Construction On page 3 of Appendix A, FAES states the following: FAES has identified an error in the amortization rate used for the CIAC and has updated the amortization rate to reflect all assets in service as of 2018/19, resulting in a lower amortization rate of 3.17% instead of 5.36% which was used previously. This reduces the CIAC amortization each year from $65 thousand to $33 thousand, which subsequently increases the depreciation expense while keeping a larger CIAC balance to reduce rate base and the associated costs including earned return. Appendix A, Schedule 10 of Exhibit B-1 indicates Contributions in Aid of Construction (CIAC) of $1,212,000. On page 23 of the original CPCN application, 36 it is stated that: The SD will be contributing $1.357 million as CIAC towards this Project in order to minimize the rates that FEI will charge for the thermal energy over time. The SD received this amount from the Province via the Public Sector Energy Conservation Agreement ( PSECA ) as a result of this Project and has chosen to contribute those funds to FEI in exchange for lower rates for thermal energy Please elaborate on the specifics of the error that has been identified in the amortization rate for the CIAC, including a detailed explanation of what has been changed. Response: Contributions In Aid of Construction (CIAC) are contributions made by a customer to offset the costs of the assets that have been put in place by FAES to serve that particular customer. The contribution should be amortized over the average life of the assets so as to provide a yearly reduction in the cost of service for that customer. Consequently, the CIAC amortization rate should be the weighted average depreciation rate of the assets used to serve the customer. The CIAC amortization rate originally calculated for the DSD contribution had two errors. First, it did not use all of the assets to derive the weighted average CIAC amortization rate. Second, it did not use the appropriate total expenditures on those assets but rather used the 2013/14 expenditures for weighting. FAES corrected this oversight in the Application by using the 36 Application for a CPCN for Approval of Contracts and Rates for Public Utility Service to Provide Thermal Energy Service to Delta School District 37 (original CPCN application), Exhibit B-1, p. 23

86 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page weighted average depreciation rate of all the assets put in place to serve the DSD to calculate the CIAC amortization rate Please explain why the beginning CIAC balance of ($1,212,000) in Schedule 10 is different from the CIAC amount of ($1,357,000) referenced on page 23 of the original CPCN application. Response: The DSD provided a payment of $1.357 million as a CIAC towards the project. In 2013, FAES learned that the amount would be subject to taxes and since the DSD did not have any additional funds to pay taxes on the amount, FAES and the DSD agreed that the amount of $1.357 million would be inclusive of all applicable taxes. The applicable taxes were PST of $84, and GST of $60, leaving $1,211, as the CIAC amount. 16

87 FortisBC Alternative Energy Service Inc. (FAES or the Company) Application for Approval of the Fiscal 2018/2019 Revenue Requirements and Cost of Service Rates for the Thermal Energy Service to Delta School District No. 37 (DSD) (the Application) Response to British Columbia Utilities Commission (BCUC or the Commission) Information Request (IR) No. 1 Submission Date: June 13, 2018 Page Reference: ACTUAL COS VERSUS FORECAST COS Exhibit B-1, Section 3.2, p. 17; Appendix A, Schedule 2; FAES DSD F RRA proceeding; Exhibit B-4, BCUC IR Capital Cost Allowance FAES states on page 17 of the Application that the higher COS in the initial years relates to the delay in realization of Capital Cost Allowance tax benefits as compared to the initial forecast. In response to BCUC IR in the FAES DSD F RRA proceeding, FAES stated the following: It is important to note that the CPCN Application was submitted by FortisBC Energy Inc. (FEI), meaning that the Capital Cost Allowance benefits would have been monetized in the years that they occurred, rather than the losses carried forward as they are now As FAES does not generate enough taxable income to recognize these amounts in current taxes, FAES reduces the taxes to zero and carries the balance forward for offsetting future taxes Please confirm, or explain otherwise, that the explanation provided by FAES in response to BCUC IR is consistent with the delay in realization of the Capital Cost Allowance (CCA) benefits referred to on page 17 of the Application. Response: Confirmed; however, for added clarity, the CCA benefits have created tax losses that have not yet been fully realized in the project. These benefits are forecasted to be realized by the 2021/22 year Please discuss whether FAES anticipates that it will be able to realize the CCA tax benefits during the initial RDA term. If yes, please explain when these benefits would likely start to be realized and explain the impact that these deductions would have on DSD s future COS. Response: Please refer to the response to BCUC IR

88 Attachment 1.5 REFER TO LIVE SPREADSHEET MODELS Provided in electronic format only FILED CONFIDENTIALLY

89 Attachment REFER TO LIVE SPREADSHEET MODELS Provided in electronic format only FILED CONFIDENTIALLY

90 Attachment 4.1 REFER TO LIVE SPREADSHEET MODEL Provided in electronic format only FILED CONFIDENTIALLY

91 Attachment 5.1 REFER TO LIVE SPREADSHEET MODEL Provided in electronic format only FILED CONFIDENTIALLY

92 Attachment 6.1

93 Attachment 6.1a BCUC IR 6.1 Table / / / / / / /19 Actual / Forecast Actual Forecast Actual Forecast Actual Forecast Actual Forecast Actual Forecast Forecast Forecast Cost of Natural Gas Cost of Electricity Operation and Maintenance Property Taxes Depreciation Expense Income Taxes (276) Earned Return Amortization of Deferral Account Annual Cost of Service ,003 1, ,170 1,134 1,283 1,329 1,373 1,528 forecast Annual Cost of Service (FACS) , ,134 1,329 1,528 Prior Year Rate Rider Discount (PYRRD) Energy Purchase Costs (EPC) Thermal Energy Sales (FTED), (in MWh) 2, ,892 4,626 7,892 5,006 5,701 5,818 6,205 6,893 6,658 6,672 6,504 (FACS + PYRRD - EPC) / FTED $ $ $ $ $ $ $ Energy Rate ($/kwh) $ $ $ $ $ $ $ Cost of Service Rate ($/kwh) $ $ $ $ $ $ $ Revenue ,528 Effective Rate ($/kwh) $ $ $ $ $ $ $ Gross Additions (Annual Cost of Service - Revenue) ,014 - AFUDC Amortization - (1) (20) (73) (131) (302) (414) District Deferral Account Balance ,247 2,097 3,017 3,923 3,727

94 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Financial Schedules Schedule Thermal Energy Rates 1 Annual Cost of Service 2 Cost of Natural Gas 3 Cost of Electricity 4 O&M and Property Tax 5 Income Tax 6 Capital Cost Allowance 7 Rate Base 8 Capital Spending 9 Gross Plant In Service and Contributions in Aid of Construction 10 Accumulated Depreciation and Amortization 11 Deferred Charges 12 Table of Contents

95 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix B Thermal Energy Rates ($000's), unless otherwise stated Schedule 1 Actual Actual Actual Actual Actual Projection Forecast Line Particulars Reference 2012/ / / / / / /19 1 Annual Volume for Billing (MWh) 673 4,626 5,006 5,818 6,893 6,672 6, Initial Market Rate $/kwh Weighted Average Natural Gas Index Weighted Average Market Rate $/kwh Gross Revenue from Thermal Energy Rate Line 6 * Line Schedule SD 37 Rate Rider ($/kwh) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) 9 SD37 Rate Rider Discount Line 9 * Line 1 (12) (83) (90) (105) (124) (120) (117) Revenue Line 6 + Line , Annual Cost of Service (FACS) Schedule 2, Line 12 1, Prior Year Rate Rider Discount (PYRRD) Line Energy Purchase Costs (EPC) Schedule 2, Line Forecast Thermal Energy Deliveries (FTED) Line 1 6, Energy Rate $/kwh Line 15 / Line Cost of Service Rate $/kwh ((FACS) (EPC)+(PYRRD))/(FTED) +Energy Rate Thermal Energy Rates

96 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Annual Cost of Service and Rate Calculation ($000's), unless otherwise stated Schedule 2 Actual Actual Actual Actual Actual Projection Forecast Line Particulars Reference 2012/ / / / / / /19 1 Cost of Service 2 Cost of Natural Gas Schedule 3, Line Cost of Electricity Schedule 4, Line Energy Purchase Costs Operation and Maintenance Schedule 5, Line Property Taxes Schedule 5, Line 22 7 Depreciation Expense Schedule 11, (Line 26 + Line 55) Income Taxes Schedule 6, Line 18 9 Return on Rate Base Schedule 8, Line Amortization of District Deferral Account Schedule 12, Line Annual Cost of Service Sum of Lines 2 through ,049 1,170 1,283 1,373 1,528 Annual Cost of Service

97 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Cost of Natural Gas ($000's), unless otherwise stated Schedule 3 Line Particulars Reference 2012/ / / / / / /19 1 Energy 2 Natural Gas (GJ) 3 Rate Class 1 4 Rate Class 2 1,887 25,593 22,812 27,205 32,905 32,154 31,344 5 Rate Class 3 6 Total Natural Gas (GJ) 1,887 25,593 22,812 27,205 32,905 32,154 31, Cost 9 Natural Gas Cost 10 Rate Class 1 Line 3 x $ per GJ/ Rate Class 2 Line 4 x $ per GJ/ Rate Class 3 Line 5 x $ per GJ/ Total Natural Gas Energy Cost Sum of Lines 10 through Cost of Natural Gas

98 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Cost of Electricity ($000's), unless otherwise stated Schedule 4 Line Particulars Reference 2012/ / / / / / /19 1 Energy 2 Electricity (MWh) 3 Large Commercial (> 2,000 GJs/555 MWh) Total Electricity (MWh) Cost 7 Electricity Cost 8 Residential Line 3 x $ per MWh 8 Large Commercial (> 2,000 GJs/555 MWh) Line 3 x $ per MWh Total Electricity Cost Sum of Line Cost of Electricity

99 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A O&M, Other Revenue and Property Tax ($000's), unless otherwise stated Schedule 5 Line Particulars Reference 2012/ / / / / / /19 1 Gross O&M 2 Labour Costs Fees & Administrations Costs Contractor Costs Overheads and Shared Services Allocation Total Gross O&M Expenses Line 2 + Line (Less): Capitalized Overhead Line 7 x 14% (21) (25) (34) (41) Net O&M Line 7 + Line TESDA recovery 14 2 Calculation is based on the second preceeding year; ex., 2015/2016 is based on 2013/2014, and 2016/2017 is based on 2014/2015 O&M and Property Tax

100 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Income Tax Expense ($000's), unless otherwise stated Schedule 6 Line Particulars Reference 2012/ / / / / / /19 1 Income Tax Expense 2 3 Earned Return Schedule 8, Line Deduct: Interest on Debt Schedule 8, Line 23 (15) (144) (191) (172) (200) (158) (168) 5 Add: Depreciation Expense Schedule 11, (Line 26 + Line 55) Deduct: Overhead Capitalized Expensed for Tax Schedule 5, Line 9 x 6/14 (9) (11) (15) (17) Add: Amortization Deduct: Capital Cost Allowance Schedule 7, Line 64 (24) (299) (434) (501) (464) (362) (315) 8 Deduct: Loss Carry forward Utilized Line 23 (88) (345) (503) 9 Taxable Income After Tax Sum of Lines 3 through Income Tax Rate 25.00% 25.88% 26.00% 26.00% 26.00% 26.50% 27.00% 12 1 Current Income Tax Rate 1 Line % 74.13% 74.00% 74.00% 74.00% 73.50% 73.00% Taxable Income Line 9 / Line Total Income Tax Expense Line 14 x Line Adjustments 18 Net Tax Expense Line 16 + Line Loss Carry forward 21 Opening Balance (444) (1,330) (2,050) (2,260) (2,172) (1,827) 22 Loss Carry forward (444) (886) (719) (210) 23 Loss Utilization Closing Balance (444) (1,330) (2,050) (2,260) (2,172) (1,827) (1,324) Income Tax

101 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Capital Cost Allowance ($000's), unless otherwise stated Schedule 7 LineParticulars Reference 2012/ / / / / / /19 1 Mechanical Room Piping Class 8% 2 Opening Balance Preceeding Year, Line ,257 1,194 1,098 1, Additions Schedule 9, Line 2 Allocation of CIAC CCA [Line 2 + ( Line 3 x 1/2)] x CCA Rate (29) (81) (102) (96) (88) (81) (74) 5 Closing Balance Sum of Lines 2 through ,257 1,194 1,098 1, Pumps Class 50% 8 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 3 Allocation of CIAC CCA [Line 8 + ( Line 9 x 1/2)] x CCA Rate (138) (404) (404) (208) (104) (62) (40) 11 Closing Balance Sum of Lines 8 through Boilers low CCA Class 8% 14 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 4 Allocation of CIAC CCA [Line 14 + ( Line 15 x 1/2)] x CCA Rate (10) (27) (34) (32) (29) (28) (28) 17 Closing Balance Sum of Lines 14 through Structures Class 8% 20 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 5 Allocation of CIAC CCA [Line 20 + ( Line 21 x 1/2)] x CCA Rate (2) (6) (8) (7) (7) (6) (6) 23 Closing Balance Sum of Lines 20 through Intrasystem Piping Class 8% 26 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 6 Allocation of CIAC CCA [Line 26 + ( Line 27 x 1/2)] x CCA Rate (18) (54) (71) (66) (61) (56) (52) 29 Closing Balance Sum of Lines 26 through Loop Field (Ground Source Heat Exchanger) Class 50% 32 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 7 Allocation of CIAC 1, CCA [Line 32 + ( Line 33 x 1/2)] x CCA Rate (254) (564) (472) (243) (122) (61) (30) 35 Closing Balance Sum of Lines 32 through Meter Low CCA Class 8% 38 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 8 Allocation of CIAC CCA [Line 38 + ( Line 39 x 1/2)] x CCA Rate (17) (47) (58) (54) (50) (46) (42) 41 Closing Balance Sum of Lines 38 through Sustaining Capital Class 50% 44 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 9 ( ) CCA [Line 44 + ( Line 45 x 1/2)] x CCA Rate (17) (33) 47 Closing Balance Sum of Lines 44 through Sustaining Capital Class 30% 50 Opening Balance Preceeding Year, Line Additions Schedule 9, Line 9 ( ) 52 CCA [Line 50 + ( Line 51 x 1/2)] x CCA Rate 53 Closing Balance Sum of Lines 50 through Capitalized Overhead Class 23.55% 56 Opening Balance Preceeding Year, Line Additions Schedule 5, Line 9 Allocation of CIAC CCA [Line 56 + ( Line 57 x 1/2)] x CCA Rate (1) (4) (5) (4) (5) (9) 59 Closing Balance Sum of Lines 56 through Total CCA 62 Opening Balance Preceeding Year, Line 65 2,991 5,106 4,111 3,401 2,937 2, Additions 3,460 3, CCA (468) (1,185) (1,153) (711) (464) (362) (315) 65 Closing Balance Sum of Lines 62 through 64 2,991 5,106 4,111 3,401 2,937 2,728 2,494 CCA & CEC

102 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Rate Base ($000's), unless otherwise stated Schedule 8 Line Particulars Reference 2012/ / / / / / /19 1 FAES Rate Base 2 Gross Plant In Service Beginning Schedule 10, Line 13 3,460 7,974 8,144 8,145 8,145 8,313 3 Gross Plant In Service Ending Schedule 10, Line 49 3,460 7,974 8,144 8,145 8,145 8,313 8, Accumulated Depreciation Beginning Schedule 11, Line 14 (7) (145) (362) (586) (809) (1,035) 6 Accumulated Depreciation Ending Schedule 11, Line 50 (7) (145) (362) (586) (809) (1,035) (1,264) 7 8 CIAC Beginning Schedule 10, Line 53 (1,212) (1,212) (1,212) (1,212) (1,212) 9 CIAC Ending Schedule 10, Line 56 (1,212) (1,212) (1,212) (1,212) (1,212) (1,212) Accumulated Amortization Beginning Schedule 11, Line Accumulated Amortization Ending Schedule 11, Line Net Plant in Service, Mid Year Sum (Lines 2 through 12 )/2 1,726 5,044 6,632 6,535 6,351 6,249 6, Adjustment to 13 month average (1,273) Unamortized Deferred Charges, Mid Year Schedule 11, Line Cash Working Capital Schedule 5, Line 7 x 1/ Total TES Rate Base Sum of Lines 14 through ,088 6,654 6,563 6,384 6,279 6, Return on FAES Rate Base 22 Equity Return 1 Line 19 x ROE x Equity % Debt Component 2 Line 19 x (LTD Rate x LTD%) Total Earned Return Line 22 + Line Return on Rate Base % Line 24 / Line % 6.54% 6.57% 6.33% 6.84% 6.21% 6.39% Cost of Service Discount Rate 1 + Line Equity component of rate base at 40.0% with return on equity of 10.0% 32 2 Debt component of rate base at 60.0% with debt rate of 4.73% in 2013/2014, 4.79% in 2014/2015, 4.38% in 2015/2016, 5.23% in 2016/2017, and 4.19% in 2017/18 Rate Base

103 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Capital Spending ($000's), unless otherwise stated Schedule 9 Line Particulars Reference 2012/ / / / / / /19 1 Capital Spending 2012 Onwards 2 Mechanical Room Piping Pumps 553 1, Boilers low CCA Structures Intrasystem Piping Loop Field (Ground Source Heat Exchanger) 1, Meter Low CCA Sustaining Capital Total Capital Spending 2012 Onwards Sum of Lines 3 through 9 3,460 4, Contributions in Aid of Construction (1,212) 13 Removal Costs 14 Net Annual Project Costs Capital Line 12 + Line 13 3,460 3, Total Project Costs Capital Spending and AFUDC Sum of Line 25 8, Total Net Project Costs Capital Spending, AFUDC, CIAC & Removal Costs Sum of Lines 25 and 14 6,887 Capital Spending

104 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix A Gross Plant in Service & Contributions in Aid of Construction ($000's), unless otherwise stated Schedule 10 Line Particulars Reference 2012/ / / / / / /19 1 Gross Plant in Service 2 3 Gross Plant in Service, Beginning 4 Mechanical Room Piping 722 1,603 1,642 1,643 1,643 1,643 5 Pumps Preceeding Year, Line ,627 1,651 1,652 1,652 1,689 6 Boilers low CCA Preceeding Year, Line Structures Preceeding Year, Line Intrasystem Piping Preceeding Year, Line ,148 1,161 1,161 1,161 1,161 9 Loop Field (Ground Source Heat Exchanger) Preceeding Year, Line 45 1,017 2,015 2,044 2,044 2,044 2, Meter Low CCA Preceeding Year, Line Sustaining Capital Preceeding Year, Line Capitalized Overhead Preceeding Year, Line Total Gross Plant in Service, Beginning Sum of Lines 5 through 12 3,460 7,974 8,144 8,145 8,145 8, Gross Plant in Service, Additions 1 16 Mechanical Room Piping Pumps Schedule 9, Line 3 + Line , Boilers low CCA Schedule 9, Line 4 + Line Structures Schedule 9, Line 5 + Line Intrasystem Piping Schedule 9, Line 6 + Line Loop Field (Ground Source Heat Exchanger) Schedule 9, Line 7 + Line 18 1, Meter Low CCA Schedule 9, Line 8 + Line Sustaining Capital Schedule 9, Line 9 + Line Capitalized Overhead Schedule 5, Line Total Gross Plant in Service, Additions Sum of Lines 17 through 24 3,460 4, Gross Plant in Service, Retirements 28 Mechanical Room Piping 29 Pumps 30 Boilers high CCA 31 Structures 32 Intrasystem Piping 33 Loop Field (Ground Source Heat Exchanger) 34 Meter Low CCA 35 Sustaining Capital 36 Capitalized Overhead 37 Total Gross Plant in Service, Retirements Sum of Lines 29 through Gross Plant in Service, Ending 40 Mechanical Room Piping 722 1,603 1,642 1,643 1,643 1,643 1, Pumps Line 5 + Line 17 + Line ,627 1,651 1,652 1,652 1,689 1, Boilers low CCA Line 6 + Line 18 + Line Structures Line 7 + Line 19 + Line Intrasystem Piping Line 8 + Line 20 + Line ,148 1,161 1,161 1,161 1,161 1, Loop Field (Ground Source Heat Exchanger) Line 9 + Line 21 + Line 33 1,017 2,015 2,044 2,044 2,044 2,044 2, Meter Low CCA Line 10 + Line 22 + Line Sustaining Capital Line 11 + Line 23 + Line Capitalized Overhead Line 12 + Line 24 + Line Total Gross Plant in Service, Ending Sum of Lines 41 through 48 3,460 7,974 8,144 8,145 8,145 8,313 8, Contributions in Aid of Construction (CIAC) 53 CIAC, Beginning Preceeding Year, Line 56 (1,212) (1,212) (1,212) (1,212) (1,212) 54 Additions Schedule 9, Line 12 (1,212) 55 Retirements 56 CIAC, Ending Sum of Lines 53 through 55 (1,212) (1,212) (1,212) (1,212) (1,212) (1,212) AFUDC included in 2012/2013 Gross Plant in Service Additions is calculated using actual estimated timing of 59 spend while assuming a mid year in service date for all projects Gross Plant in Service

105 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix B Accumulated Depreciation & Amortization ($000's), unless otherwise stated Schedule 11 Line Particulars Reference 2012/ / / / / / /19 1 Accumulated Depreciation 2 3 Accumulated Depreciation, Beginning 4 Mechanical Room Piping Preceeding Year, Line 41 (1) (17) (45) (78) (111) (143) 5 Pumps Preceeding Year, Line 42 (2) (38) (103) (179) (256) (333) 6 Boilers low CCA Preceeding Year, Line 43 (0) (7) (20) (36) (51) (67) 7 Structures Preceeding Year, Line 44 (0) (4) (8) (11) (13) (16) 8 Intrasystem Piping Preceeding Year, Line 45 (1) (15) (34) (57) (81) (104) 10 Loop Field (Ground Source Heat Exchanger) Preceeding Year, Line 46 (1) (32) (67) (108) (149) (189) 11 Meter Low CCA Preceeding Year, Line 47 (2) (32) (84) (115) (147) (178) 12 Sustaining Capital Preceeding Year, Line 48 (1) 13 Capitalized Overhead Preceeding Year, Line 49 (0) (1) (2) (2) (3) 14 Total Accumulated Depreciation, Beginning Sum of Lines 5 through 13 (7) (145) (362) (586) (809) (1,035) Accumulated Depreciation, Depreciation Expense 1 17 Mechanical Room Piping@ 2% (1) (16) (28) (33) (33) (33) (33) 18 Pumps@ 4.63% Schedule 10, Line 5 & Line 17 (2) (37) (65) (76) (76) (77) (78) 19 Boilers low CCA@ 2.86% Schedule 10, Line 6 & Line 18 (0) (7) (13) (16) (16) (16) (17) 20 Structures@ 2% Schedule 10, Line 7 & Line 19 (0) (4) (5) (2) (2) (2) (2) 21 Intrasystem Piping@ 2% Schedule 10, Line 8 & Line 20 (1) (14) (20) (23) (23) (23) (23) 22 Loop Field (Ground Source Heat Exchanger)@ 2% Schedule 10, Line 9 & Line 21 (1) (31) (35) (41) (41) (41) (41) 23 Meter Low CCA@ 3.33% Schedule 10, Line 10 & Line 22 (2) (30) (52) (31) (31) (31) (31) 24 Sustaining Capital@ 2.75% Schedule 10, Line 11 & Line 23 (1) (2) 25 Capitalized Overhead@ 1.73% Schedule 10, Line 12 & Line 24 (0) (1) (1) (1) (1) (2) 26 Total Depreciation Expense Sum of Lines 18 through 25 (7) (138) (217) (223) (223) (226) (229) Accumulated Depreciation, Retirements 29 Mechanical Room Piping 30 Pumps Schedule 10, Line Boilers low CCA Schedule 10, Line Structures Schedule 10, Line Intrasystem Piping Schedule 10, Line Loop Field (Ground Source Heat Exchanger) Schedule 10, Line Meter Low CCA Schedule 10, Line Sustaining Capital Schedule 10, Line Capitalized Overhead Schedule 10, Line Total Accumulated Depreciation, Retirements Sum of Lines 30 through Accumulated Depreciation, Ending 41 Mechanical Room Piping (1) (17) (45) (78) (111) (143) (176) 42 Pumps Line 5 + Line 18 + Line 30 (2) (38) (103) (179) (256) (333) (411) 43 Boilers low CCA Line 6 + Line 19 + Line 31 (0) (7) (20) (36) (51) (67) (84) 44 Structures Line 7 + Line 20 + Line 32 (0) (4) (8) (11) (13) (16) (18) 45 Intrasystem Piping Line 8 + Line 21 + Line 33 (1) (15) (34) (57) (81) (104) (127) 46 Loop Field (Ground Source Heat Exchanger) Line 10 + Line 22 + Line 34 (1) (32) (67) (108) (149) (189) (230) 47 Meter Low CCA Line 11 + Line 23 + Line 35 (2) (32) (84) (115) (147) (178) (209) 48 Sustaining Capital Line 12 + Line 24 + Line 36 (1) (3) 49 Capitalized Overhead Line 13 + Line 25 + Line 37 (0) (1) (2) (2) (3) (5) 50 Total Accumulated Depreciation, Ending Sum of Lines 42 through 49 (7) (145) (362) (586) (809) (1,035) (1,264) Accumulated Amortization of Contributions in Aid of Construction (CIAC) 54 Accumulated Amortization CIAC, Beginning Preceeding Year, Line Amortization Schedule 10, Line 53 & Line Retirements Schedule 10, Line Accumulated Amortization CIAC, Ending Sum of Lines 54 through Removal Cost Provision 60 Mechanical Room Piping 61 Pumps 62 Boilers low CCA 63 Structures 64 Intrasystem Piping 65 Loop Field (Ground Source Heat Exchanger) 66 Meter Low CCA 67 Sustaining Capital 68 Total Removal Cost Provision Sum of Lines 61 through Depreciation & Amortization Expense calculation is based on opening balance + additions x 1/2 for all years Accumulated Depreciation

106 Attachment 6.1b FortisBC Alternative Energy Services Inc. School District No 37 Delta Fiscal 2018/19 Forecast Appendix B Deferred Charges ($000's), unless otherwise stated Schedule 11 Line Particulars Reference 2012/ / / / / / / Deferred Charge Non Rate Base (SD37 Deferral Account) 3 Opening Balance Preceeding Year, Line ,247 2,097 3,017 3,925 4 Opening Balance, Adjustment 5 Gross Additions Schedule 2, Line 12 Schedule 1, Line ,013 6 Tax 7 AFUDC & Adjustments (Line 3 + Line 4 + Line 5 /2 )* AFUDC rate Net Additions Sum of Lines 3 through ,267 2,170 3,148 4,226 4,147 9 Amortization Expense (1) (20) (73) (131) (302) (414) 10 Closing Balance Line 8 + Line ,247 2,097 3,017 3,925 3,733 Deferred Charges

107 Attachment 7.1

108 Attachment 7.1 Diane Roy Director, Regulatory Affairs - Gas FortisBC Energy Inc Fraser Highway Surrey, B.C. V4N 0E8 Tel: (604) Cell: (604) Fax: (604) diane.roy@fortisbc.com June 11, 2012 Regulatory Affairs Correspondence gas.regulatory.affairs@fortisbc.com British Columbia Utilities Commission 6 th Floor, 900 Howe Street Vancouver, BC V6Z 2N3 Attention: Ms. Erica M. Hamilton, Commission Secretary Dear Ms. Hamilton: Re: FortisBC Alternative Energy Services Inc. ( FAES ) Revisions to Rates for Thermal Energy Service to Delta School District Number 37 British Columbia Utilities Commission ( BCUC or the Commission ) Order No. G Compliance Filing On November 28, 2011, FortisBC Energy Inc. ( FEI ) applied for a Certificate of Public Convenience and Necessity ( CPCN ) from the Commission to construct and operate an energy system to provide thermal energy to Delta School District Number 37 (the SD ). The application sought approval, among other things, for approval of rates and the rate design contained within the Energy System Rate Development Agreement (the RDA ). On March 9, 2012, the Commission issued its Decision (the First Decision ) and Order No. G (the Order ) granting a CPCN on the condition that the Service Agreements and the RDA be assigned to an affiliate of FEI. On March 16, 2012, subsequent to FEI s filing and pursuant to paragraph 1 of the Order requiring the provision of proof of the assignments, the Commission issued a CPCN to FortisBC Alternative Energy Service Inc. (FAES) by Order No. C In the First Decision, the Commission denied the proposed rates and rate design as set out in the RDA. However, the Commission indicated that the Commission would approve the rates and rate design providing that FEI, or its affiliate, amend the rates and rate design according to a list of conditions. The First Decision also required FEI, or its affiliate to provide certain reports to the Commission and to the Delta School District. On April 3, 2012, FAES submitted (the Compliance Filing ) to the BCUC an amended rate design and rate intended to accept and comply with all of the conditions that the Commission required for approval of the rates and rate design. In addition, the Compliance Filing included the reports that the Commission required as part of the First Decision.

109 Attachment 7.1 June 11, 2012 British Columbia Utilities Commission Revisions to Rates and Rate Design for Thermal Energy Service to Delta SD BCUC Order No. G Compliance Filing Page 2 Since each of the rate design and rate changes described in the Compliance Filing are cost of service inputs, which the RDA describes as being subject to BCUC approval from time to time, this new rate and the rate design did not require any amendments to the RDA or Service Agreements. On April 16, 2012, the Commission issued Letter No. L setting out a regulatory review process for the Compliance Filing. Subsequently, on April 20, 2012, the Commission issued Information Requests to FAES and on April 27, 2012, FAES provided responses to the Information Requests. On June 5, 2012, the Commission issued Order No. G and its Decision (the Second Decision ) approving the rate design and accepting the reports from the Compliance Filing. However, in the Second Decision, the Commission denied approval of the rate indicating that FAES had not met all the prior conditions of the First Decision. Specifically, the Commission requires before June 19, 2012 that FAES submit a revised rate that is amended to: a) Only include an allowance in the cost of service for capitalized overheads at the rate of 14% during years in which FAES expect capital additions or capital replacements, and to apply the appropriate capitalization rate in future based on the appropriate accounting policies in place at that time; and b) Recalculate the cost of debt rate based on BBB-rated entities operating specifically in the Thermal Energy Services class of service or BBB-rated distribution utilities such as AltaGas Ltd. And Emera Inc. as a proxy for the TES class of service, Going forward, the Commission may require FAES to set the debt rate each year according to a deemed interest rate automatic adjustment mechanism if such a mechanism is ever approved or in the same manner as described above if such a mechanism has not been approved. The Second Decision also reiterated the position of the Commission from the First Decision that FAES is to track all affiliate charges related to providing this service, regardless of the entity providing them. However, in the Second Decision, the Commission now specifically requires FAES to provide a report of these charges as part of its next revenue requirements application for the Delta School District. Lastly, the Second Decision directs FAES to file the RDA and the Service Agreements as Tariffs. Accordingly, FAES has recalculated the rate and submits the revised rates and schedules that contain the following amendments: a) Capitalization of overheads applied to only the years when replacements or additions are forecast, instead of every year; b) A cost of debt that reflects a credit spread for BBB-rated distribution utilities at 2.58 percent, rather than a credit spread for BBB-rated entities in the Power, Energy Infrastructure, Utilities and Telecom sectors of 3.12 percent. This effectively lowers the cost of debt from 5.91 percent to 5.37 percent. In addition, FAES will adjust the rates in future revenue requirements to reflect:

110 Attachment 7.1 June 11, 2012 British Columbia Utilities Commission Revisions to Rates and Rate Design for Thermal Energy Service to Delta SD BCUC Order No. G Compliance Filing Page 3 a) Appropriate accounting policies for overhead capitalization in place at the time; and b) The cost of debt recalculated using the same methodology as above or based upon a deemed interest rate automatic adjustment mechanism if approved in the upcoming Generic Cost of Capital proceeding. These modifications produce a levelized rate of $0.116/kWh, which is less than the levelized rate of $0.117/kWh calculated according to the Compliance Filing. As was the case with the Compliance Filing, these changes do not require any amendments to the RDA or the Service Agreements. FAES reconfirms that it will track affiliate charges to provide service to the Delta School District regardless of the entity providing the service and that FAES will submit a report on such transactions as part of its next revenue requirement application for the Delta School District. Finally, with respect to the RDA and Service Agreements that FAES is directed to file as tariffs, FAES will submit the tariffs for Commission endorsement as soon as practicable. If you require further information or have any questions regarding this submission, please contact Grant Bierlmeier at (250) Yours very truly, on behalf of FORTISBC ALTERNATIVE ENERGY SERVICES INC. Original signed by: Ilva Bevacqua For: Diane Roy Attachments

111 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Financial Schedules Schedule Revenue Requirement 1 Cost of Natural Gas 2 Cost of Electricity 3 O&M and Property Tax 4 Income Tax 5 Capital Cost Allowance 6 Rate Base 7 Capital Spending 8 Gross Plant In Service and Contributions in Aid of Construction 9 Accumulated Depreciation and Amortization 10 Deferred Charges 11 Rate Design 12 Economic Test 13

112 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Illustrative Revenue Requirement ($000's), unless otherwise stated Schedule 1 Line Particulars Reference Revenue Requirement 2 Cost of Natural Gas Schedule 2, Line Cost of Electricity Schedule 3, Line Operation and Maintenance Schedule 4, Line Property Taxes Schedule 4, Line Depreciation Expense Schedule 10, -(Line 17 + Line 38) Income Taxes Schedule 5, Line 17 (276) (464) (262) (100) (9) (6) Earned Return Schedule 7, Line Annual Revenue Requirement Sum of Lines 1 through ,026 1,176 1,243 1,385 1,300 1,275 1,344 1,315 1,380 1,393 1,521 1,415 1,514 1,546 1,570 1,538 1,631 Cost of Service

113 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Cost of Natural Gas ($000's), unless otherwise stated Schedule 2 Line Particulars Reference Energy 2 Natural Gas (GJ) 3 Residential Small Commercial (< 2,000 GJs/555 MWh) 5,803 12,995 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 5 Large Commercial (> 2,000 GJs/555 MWh) Small Institution (< 2,000 GJs/555 MWh) Large Institution (> 2,000 GJs/555 MWh) Total Natural Gas (GJ) 5,803 12,995 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13,641 13, Cost 11 Natural Gas Cost 12 Residential Line 3 x $ per GJ/ Small Commercial (< 2,000 GJs/555 kwh) Line 4 x $ per GJ/ Large Commercial (> 2,000 GJs/555 kwh) Line 5 x $ per GJ/ Small Institution (< 2,000 GJs/555 kwh) Line 6 x $ per GJ/ Large Institution (> 2,000 GJs/555 kwh) Line 7 x $ per GJ/ Total Natural Gas Energy Cost Sum of Lines 12 through Cost of Natural Gas

114 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Cost of Electricity ($000's), unless otherwise stated Schedule 3 Line Particulars Reference Energy 2 Electricity (MWh) 3 Residential Small Commercial (< 2,000 GJs/555 MWh) Large Commercial (> 2,000 GJs/555 MWh) 377 2,376 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 6 Small Institution (< 2,000 GJs/555 MWh) Large Institution (> 2,000 GJs/555 MWh) Total Electricity (MWh) 377 2,376 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3,095 3, Cost 11 Electricity Cost 12 Residential Line 3 x $ per MWh Small Commercial (< 2,000 GJs/555 kwh) Line 4 x $ per MWh Large Commercial (> 2,000 GJs/555 kwh) Line 5 x $ per MWh Small Institution (< 2,000 GJs/555 kwh) Line 6 x $ per MWh Large Institution (> 2,000 GJs/555 kwh) Line 7 x $ per MWh Total Electricity Cost Sum of Lines 12 through Cost of Electricity

115 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: O&M, Other Revenue and Property Tax ($000's), unless otherwise stated Schedule 4 Line Particulars Reference Gross O&M 2 Labour Costs Vehicle Costs Employee Expenses Materials & Supplies Computer Costs Fees & Administrations Costs Contractor Costs Facilities Overheads and Shared Services Allocation Non-Labour Costs Sum of Lines 4 through Total Gross O&M Expenses Line 2 + Line (Less): Capitalized Overhead -Line 15 x 14% (24) (35) (36) (36) - - (64) - (41) - (42) - - (70) (46) (50) Net O&M Line 15 + Line Other Revenue 23 Environmental Credits Electricity Sales Revenue Total Other Revenue Property Taxes 28 General, School and Other % in Lieu of General Municipal Tax 2 Schedule 12, Line 26 x 1% Total Property Taxes Line 28 + Line Overhead charge from FEI Calculation is based on the second preceeding year; ex., 2014 is based on 2012 revenue O&M and Property Tax

116 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Income Tax Expense ($000's), unless otherwise stated Schedule 5 Line Particulars Reference Income Tax Expense 2 3 Earned Return Schedule 7, Line Deduct: Interest on Debt Schedule 7, Line 23 (70) (154) (166) (166) (164) (159) (156) (151) (154) (158) (153) (148) (142) (161) (179) (173) (165) (158) (166) (173) 5 Add: Depreciation Expense Schedule 10, -(Line 17 + Line 38) Deduct: Overhead Capitalized Expensed for Tax Schedule 4, Line 17 x 6/14 (10) (15) (15) (16) - - (27) - (17) - (18) - - (30) (20) (21) - 7 Deduct: Capital Cost Allowance Schedule 6, Line 40 (968) (1,709) (1,133) (650) (395) (212) (139) (102) (149) (187) (143) (113) (79) (289) (448) (325) (226) (158) (256) (323) 8 Taxable Income After Tax Sum of Lines 3 through 7 (827) (1,392) (786) (300) (28) (18) Income Tax Rate 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% 25.00% Current Income Tax Rate 1- Line % 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% 75.00% Taxable Income Line 8 / Line 11 (1,103) (1,856) (1,048) (400) (38) (24) Total Income Tax Expense Line 13 x Line 10 (276) (464) (262) (100) (9) (6) Adjustments Net Tax Expense Line 15 + Line 16 (276) (464) (262) (100) (9) (6) Loss Carry-forward 20 Opening Balance Loss Carry-forward Loss Utilization Closing Balance Income Tax

117 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Capital Cost Allowance ($000's), unless otherwise stated Schedule 6 LineParticulars Reference Pumps- Class 50% 2 Opening Balance Preceeding Year, Line Additions Schedule 8, Line 3 - Allocation of CIAC 1, CCA [Line 2 + ( Line 3 x 1/2)] x CCA Rate (311) (521) (315) (157) (79) (39) (20) (10) (5) (2) (1) (1) (0) (0) (0) (0) (0) (0) (0) (0) 5 Closing Balance Sum of Lines 2 through Boilers low CCA- Class 8% 8 Opening Balance Preceeding Year, Line Additions Schedule 8, Line 4 - Allocation of CIAC CCA [Line 8 + ( Line 9 x 1/2)] x CCA Rate (22) (42) (38) (35) (33) (30) (28) (25) (23) (21) (20) (18) (17) (15) (14) (13) (12) (11) (10) (9) 11 Closing Balance Sum of Lines 8 through Loop Field (Ground Source Heat Exchanger)- Class 50% 14 Opening Balance Preceeding Year, Line 17-1,894 1, Additions Schedule 8, Line 5 - Allocation of CIAC 2, CCA [Line 14 + ( Line 15 x 1/2)] x CCA Rate (631) (1,135) (756) (378) (189) (94) (47) (24) (12) (6) (3) (1) (1) (0) (0) (0) (0) (0) (0) (0) 17 Closing Balance Sum of Lines 14 through 16 1,894 1, Sustaining Capital- Class 50% 20 Opening Balance Preceeding Year, Line Additions Schedule 8, Line 6 ( ) CCA [Line 20 + ( Line 21 x 1/2)] x CCA Rate - - (5) (53) (72) (36) (23) (17) (9) (4) (2) (1) (1) (0) (0) (0) (0) (0) (0) (0) 23 Closing Balance Sum of Lines 20 through Sustaining Capital- Class 30% 26 Opening Balance Preceeding Year, Line , Additions Schedule 8, Line 6 ( ) , CCA [Line 26 + ( Line 27 x 1/2)] x CCA Rate (77) (131) (95) (70) (49) (250) (395) (280) (196) (137) (229) (293) 29 Closing Balance Sum of Lines 26 through , Capitalized Overhead- Class 44.7% 32 Opening Balance Preceeding Year, Line Additions Schedule 4, Line 17 -Allocation of CIAC CCA [Line 32 + ( Line 33 x 1/2)] x CCA Rate (4) (12) (20) (27) (23) (13) (21) (26) (23) (22) (22) (21) (12) (22) (38) (31) (17) (10) (16) (20) 35 Closing Balance Sum of Lines 32 through Total CCA 38 Opening Balance Preceeding Year, Line 41-3,365 2,648 1,570 1, ,545 1, , Additions 4, , CCA (968) (1,709) (1,133) (650) (395) (212) (139) (102) (149) (187) (143) (113) (79) (289) (448) (325) (226) (158) (256) (323) 41 Closing Balance Sum of Lines 38 through 40 3,365 2,648 1,570 1, ,545 1, , CCA & CEC

118 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Rate Base ($000's), unless otherwise stated Schedule 7 LineParticulars Reference TES Rate Base 2 Gross Plant In Service- Beginning Schedule 9, Line 9-5,211 6,743 6,799 7,016 7,016 7,016 7,102 7,102 7,655 7,655 7,720 7,720 7,720 9,231 9,302 9,302 9,302 9,302 10,238 3 Gross Plant In Service- Ending Schedule 9, Line 33 5,211 6,743 6,799 7,016 7,016 7,016 7,102 7,102 7,655 7,655 7,720 7,720 7,720 9,231 9,302 9,302 9,302 9,302 10,238 10, Accumulated Depreciation- Beginning Schedule 10, Line 9 - (75) (244) (434) (628) (825) (1,022) (1,220) (1,419) (1,627) (1,842) (2,058) (2,275) (2,492) (2,731) (2,993) (3,255) (3,518) (3,780) (4,056) 6 Accumulated Depreciation- Ending Schedule 10, Line 33 (75) (244) (434) (628) (825) (1,022) (1,220) (1,419) (1,627) (1,842) (2,058) (2,275) (2,492) (2,731) (2,993) (3,255) (3,518) (3,780) (4,056) (4,345) 7 8 CIAC - Beginning Schedule 9, Line 37 - (850) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) 9 CIAC - Ending Schedule 9, Line 40 (850) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) Accumulated Amortization- Beginning Schedule 10, Line Accumulated Amortization- Ending Schedule 10, Line Net Plant in Service, Mid-Year Sum (Lines 2 through 12 )/2 2,148 4,738 5,130 5,109 5,056 4,894 4,773 4,650 4,758 4,857 4,708 4,558 4,375 4,936 5,511 5,319 5,091 4,862 5,095 5, Adjustment to 13-month average Unamortized Deferred Charges, Mid-Year Schedule 11, Line Cash Working Capital Schedule 4, Line 15 x 1/ Total TES Rate Base Sum of Lines 14 through 18 2,169 4,770 5,162 5,141 5,089 4,927 4,829 4,686 4,794 4,894 4,746 4,597 4,414 4,999 5,553 5,361 5,133 4,906 5,139 5, Return on TES Rate Base 22 Equity Return 1 Line 19 x ROE x Equity % Debt Component 2 Line 19 x (LTD Rate x LTD%) Total Earned Return Line 22 + Line Return on Rate Base % Line 24 / Line % 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% 7.22% Cost of Service Discount Rate 1 + Line Equity component of rate base at 40.0% with return on equity of 10.0% 32 2 Debt component of rate base at 60.0% with debt rate of 5.37% Rate Base

119 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Capital Spending ($000's), unless otherwise stated Schedule 8 Line Particulars Reference Capital Spending 2012 Onwards 3 Pumps 1, Boilers low CCA Loop Field (Ground Source Heat Exchanger) 3,020 1, Sustaining Capital , Total Capital Spending 2012 Onwards Sum of Lines 3 through 6 5,159 1, , AFUDC 2012 Onwards 10 Pumps Boilers low CCA Loop Field (Ground Source Heat Exchanger) Sustaining Capital Total AFUDC 2012 Onwards Sum of Lines 10 through Total Capital Spending 1 Line 7 5,159 1, , Total AFUDC Line Total Annual Capital Spending and AFUDC Line 16 + Line 17 5,187 1, , Contributions in Aid of Construction (850) (507) Removal Costs Net Annual Project Costs- Capital Line 20 + Line 21 4, , Total Project Costs- Capital Spending and AFUDC Sum of Line 18 9, Total Net Project Costs- Capital Spending, AFUDC, CIAC & Removal Costs Sum of Lines 18 and 22 8, Excluding capitalized overhead; First year of analysis includes all prior year spending for development costs Capital Spending

120 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Gross Plant in Service & Contributions in Aid of Construction ($000's), unless otherwise stated Schedule 9 Line Particulars Reference Gross Plant in Service 2 3 Gross Plant in Service, Beginning 4 Pumps Preceeding Year, Line 28-1,493 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 5 Boilers low CCA Preceeding Year, Line Loop Field (Ground Source Heat Exchanger) Preceeding Year, Line 30-3,032 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 7 Sustaining Capital Preceeding Year, Line ,199 2,225 2,225 2,225 2,225 3,110 8 Capitalized Overhead Preceeding Year, Line Total Gross Plant in Service, Beginning Sum of Lines 4 through 8-5,211 6,743 6,799 7,016 7,016 7,016 7,102 7,102 7,655 7,655 7,720 7,720 7,720 9,231 9,302 9,302 9,302 9,302 10, Gross Plant in Service, Additions 1 12 Pumps Schedule 8, Line 3 + Line 10 1, Boilers low CCA Schedule 8, Line 4 + Line Loop Field (Ground Source Heat Exchanger) Schedule 8, Line 5 + Line 12 3,032 1, Sustaining Capital Schedule 8, Line 6 + Line , Capitalized Overhead Schedule 4, -Line Total Gross Plant in Service, Additions Sum of Lines 12 through 16 5,211 1, , Gross Plant in Service, Retirements 20 Pumps Boilers low CCA Loop Field (Ground Source Heat Exchanger) Sustaining Capital Capitalized Overhead Total Gross Plant in Service, Retirements Sum of Lines 20 through Gross Plant in Service, Ending 28 Pumps Line 4 + Line 12 + Line 20 1,493 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1,828 1, Boilers low CCA Line 5 + Line 13 + Line Loop Field (Ground Source Heat Exchanger) Line 6 + Line 14 + Line 22 3,032 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4,194 4, Sustaining Capital Line 7 + Line 15 + Line ,199 2,225 2,225 2,225 2,225 3,110 3, Capitalized Overhead Line 8 + Line 16 + Line Total Gross Plant in Service, Ending Sum of Lines 28 through 32 5,211 6,743 6,799 7,016 7,016 7,016 7,102 7,102 7,655 7,655 7,720 7,720 7,720 9,231 9,302 9,302 9,302 9,302 10,238 10, Contributions in Aid of Construction (CIAC) 37 CIAC, Beginning Preceeding Year, Line 40 - (850) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) 38 Additions Schedule 8, Line 20 (850) (507) Retirements CIAC, Ending Sum of Lines 37 through 39 (850) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) (1,357) AFUDC included in 2012 and 2013 Gross Plant in Service Additions is calculated using actual estimated timing of spend while assuming a mid-year in service date for all projects Gross Plant in Service

121 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Accumulated Depreciation & Amortization ($000's), unless otherwise stated Schedule 10 Line Particulars Reference Accumulated Depreciation 2 3 Accumulated Depreciation, Beginning 4 Pumps Preceeding Year, Line 28 - (35) (112) (196) (281) (366) (450) (535) (619) (704) (789) (873) (958) (1,043) (1,127) (1,212) (1,297) (1,381) (1,466) (1,551) 5 Boilers low CCA Preceeding Year, Line 29 - (9) (28) (47) (66) (85) (104) (123) (142) (161) (180) (199) (218) (237) (255) (274) (293) (312) (331) (350) 6 Loop Field (Ground Source Heat Exchanger) Preceeding Year, Line 30 - (30) (103) (187) (270) (354) (438) (522) (606) (690) (774) (858) (942) (1,025) (1,109) (1,193) (1,277) (1,361) (1,445) (1,529) 7 Sustaining Capital Preceeding Year, Line (0) (3) (9) (15) (21) (27) (41) (62) (84) (105) (127) (170) (233) (297) (361) (424) (501) 8 Capitalized Overhead Preceeding Year, Line 32 - (0) (2) (4) (7) (11) (14) (19) (25) (31) (37) (45) (53) (61) (70) (80) (91) (103) (114) (126) 9 Total Accumulated Depreciation, Beginning Sum of Lines 4 through 8 - (75) (244) (434) (628) (825) (1,022) (1,220) (1,419) (1,627) (1,842) (2,058) (2,275) (2,492) (2,731) (2,993) (3,255) (3,518) (3,780) (4,056) Accumulated Depreciation, Depreciation Expense 1 12 Pumps@ 4.63% Schedule 9, Line 4 & Line 12 (35) (77) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) (85) 13 Boilers low CCA@ 2.86% Schedule 9, Line 5 & Line 13 (9) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) (19) 14 Loop Field (Ground Source Heat Exchanger)@ 2% Schedule 9, Line 6 & Line 14 (30) (72) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) (84) 15 Sustaining Capital@ 2.87% Schedule 9, Line 7 & Line (0) (3) (6) (6) (6) (6) (14) (21) (21) (22) (22) (42) (63) (64) (64) (64) (76) (89) 16 Capitalized Overhead@ 2.87% Schedule 9, Line 8 & Line 16 (0) (1) (2) (3) (4) (4) (5) (6) (6) (7) (7) (8) (8) (9) (11) (11) (11) (11) (12) (13) 17 Total Depreciation Expense Sum of Lines 12 through 16 (75) (169) (190) (194) (197) (197) (198) (199) (207) (215) (216) (217) (217) (239) (261) (262) (262) (262) (276) (289) Accumulated Depreciation, Retirements 20 Pumps Schedule 9, -Line Boilers low CCA Schedule 9, -Line Loop Field (Ground Source Heat Exchanger) Schedule 9, -Line Sustaining Capital Schedule 9, -Line Capitalized Overhead Schedule 9, -Line Total Accumulated Depreciation, Retirements Sum of Lines 20 through Accumulated Depreciation, Ending 28 Pumps Line 4 + Line 12 + Line 20 (35) (112) (196) (281) (366) (450) (535) (619) (704) (789) (873) (958) (1,043) (1,127) (1,212) (1,297) (1,381) (1,466) (1,551) (1,635) 29 Boilers low CCA Line 5 + Line 13 + Line 21 (9) (28) (47) (66) (85) (104) (123) (142) (161) (180) (199) (218) (237) (255) (274) (293) (312) (331) (350) (369) 30 Loop Field (Ground Source Heat Exchanger) Line 6 + Line 14 + Line 22 (30) (103) (187) (270) (354) (438) (522) (606) (690) (774) (858) (942) (1,025) (1,109) (1,193) (1,277) (1,361) (1,445) (1,529) (1,613) 31 Sustaining Capital Line 7 + Line 15 + Line (0) (3) (9) (15) (21) (27) (41) (62) (84) (105) (127) (170) (233) (297) (361) (424) (501) (590) 32 Capitalized Overhead Line 8 + Line 16 + Line 24 (0) (2) (4) (7) (11) (14) (19) (25) (31) (37) (45) (53) (61) (70) (80) (91) (103) (114) (126) (139) 33 Total Accumulated Depreciation, Ending Sum of Lines 28 through 32 (75) (244) (434) (628) (825) (1,022) (1,220) (1,419) (1,627) (1,842) (2,058) (2,275) (2,492) (2,731) (2,993) (3,255) (3,518) (3,780) (4,056) (4,345) Accumulated Amortization of Contributions in Aid of Construction (CIAC) 37 Accumulated Amortization CIAC, Beginning Preceeding Year, Line Amortization Schedule 9, Line 37 & Line Retirements Schedule 9, -Line Accumulated Amortization CIAC, Ending Sum of Lines 37 through Removal Cost Provision 43 Pumps Boilers low CCA Loop Field (Ground Source Heat Exchanger) Sustaining Capital Total Removal Cost Provision Sum of Lines 43 through Depreciation & Amortization Expense calculation is based on opening balance + additions x 1/2 for all years, including 2012 and 2013, as project in service dates vary in those years Accumulated Depreciation

122 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Deferred Charges ($000's), unless otherwise stated Schedule 11 Line Particulars Reference Deferred Charge- Non-Rate Base 3 Opening Balance Preceeding Year, Line Opening Balance, Adjustment Gross Additions Schedule 12, Line 8 - Line (19) (19) (18) (18) (17) (17) (16) (16) (15) (15) (14) (14) (14) (13) (13) (12) (11) 6 Tax AFUDC & Adjustments (Line 3 + Line 4 + Line 5 /2 )* AFUDC rate Net Additions Sum of Lines 3 through (9) (9) (9) (9) (9) (9) (10) (10) (10) (10) (10) (10) (11) (11) (11) (11) (11) 9 Amortization Expense Closing Balance Line 8 + Line (1) Deferred Charge- Rate Base 13 Opening Balance Preceeding Year, Line Opening Balance, Adjustment Gross Additions Tax Net Additions Sum of Lines 13 through Amortization Expense Closing Balance Line 17 + Line Deferred Charge, Mid-Year (Line 13 + Line 14 + Line 19 ) / Deferred Charges

123 Attachment 7.1 Fortis BC Thermal Energy Solutions School District No 37 - Delta Thermal Energy Solutions: Rate Design ($000's), unless otherwise stated Schedule 12 Line Particulars Reference PV Annual Volume for Billing (MWh) 2,099 8,617 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 10,605 2 Present Value Line 1 / Schedule 7, Line ,772 1,958 7,496 8,603 8,023 7,483 6,979 6,509 6,071 5,662 5,280 4,925 4,593 4,284 3,995 3,726 3,475 3,241 3,023 2,819 2, Market Rate $/kwh Market Rate Revenue Line 4 x Line ,160 1,233 1,306 1,363 1,390 1,418 1,447 1,476 1,505 1,535 1,566 1,597 1,629 1,662 1,695 1,729 1,763 1,799 6 Present Value Line 5 / Schedule 7, Line 29 13, Cost of Service Schedule 1, Line ,026 1,176 1,243 1,385 1,300 1,275 1,344 1,315 1,380 1,393 1,521 1,415 1,514 1,546 1,570 1,538 1,631 9 Present Value Line 8 / Schedule 7, Line 29 11, Cost of Service Rate $/kwh Line 8 / Line COS Switch Amortization Period Amortization of Deferral Account Present Value 1, COS Including Amortization Line 8 + Line ,009 1,233 1,383 1,449 1,591 1,505 1,480 1,548 1,519 1,583 1,596 1,724 1,617 1,715 1,747 1,770 1,738 1, Present Value 13, Thermal Energy Rate $/kwh Line 17 / Line SD 37 Rate Rider (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) (0.018) 23 SD 37 Rate Discount Line 22 x Line 1 (37) (153) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) (188) 24 Present Value Line 23 / Schedule 7, Line 29 (1,787) (35) (133) (153) (142) (133) (124) (115) (108) (100) (94) (87) (81) (76) (71) (66) (62) (57) (54) (50) (47) Total Annual Revenue ,045 1,195 1,261 1,403 1,317 1,292 1,360 1,331 1,395 1,408 1,535 1,429 1,527 1,559 1,582 1,550 1, Present Value Line 26 / Schedule 7, Line 29 11, Thermal Energy Rate Less Rate Rider ($/kwh) PV of Deferral Account Balance Schedule 11, Line 10 / Schedule 7, Line (0) Rate Design

124 Attachment 7.1 Fortis BC Economic Test Summary Thermal Energy Solutions PV of Inflows 12,652 (Sum of Line 9) School District No 37 - Delta PV of Outflows 12,388 (Sum of Line 21) ($000's), unless otherwise stated PI 1.02 (PV of Inflows / PV of Outflows) Schedule 13 Total Required Contribution for PI=1 - Line Particulars Reference Initial Capital After-Tax WACC 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 6.42% 2 Discount Factor Previous Year Line 2 x ( 1 + Line 1 ) Inflow 5 Rate Revenue Schedule 12, Line ,045 1,195 1,261 1,403 1,317 1,292 1,360 1,331 1,395 1,408 1,535 1,429 1,527 1,559 1,582 1,550 1,642 6 Rate $/kwh Line 5 / Schedule 12, Line 1 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Annual Net Cash Inflow Line ,045 1,195 1,261 1,403 1,317 1,292 1,360 1,331 1,395 1,408 1,535 1,429 1,527 1,559 1,582 1,550 1,642 9 Discounted Cash Inflow Line 8 / Line Outflow 12 Capital Investment Schedule 8, Line 22-4, , Cost of Energy Sold Schedule 1, Line 2 + Line O & M Schedule 4, Line Property Taxes Schedule 4, Line Income Tax Expense 1 (Line 8 - Line 13 - Line 14 - Line 15 ) x tax rate (24) (32) CCA Tax Shield Schedule 5, Line 7 x Line 10 (242) (427) (283) (163) (99) (53) (35) (25) (37) (47) (36) (28) (20) (72) (112) (81) (56) (40) (64) (81) 18 Terminal Value Schedule 7, Line 19 (2031) (5,359) Annual Net Cash Outflow Sum of Lines 12 through ,313 1, , , ,030 1,898 (4,325) 21 Discounted Cash Outflow Line 20 / Line 2 0 4, , (1,247) Cash Flow Line 8 - Line 20 0 (4,167) (660) (54) (964) (348) 5, Discounted Cash Flow Line 9 - Line 21 0 (3,915) (583) (31) (404) (107) 1, PV of cash Flow Sum of Line Before CCA & Overhead Capitalized Tax Shield Economic Test

125 Attachment 9.4

126 Attachment 9.4 NORTH DELTA SECONDARY YORK HEAT PUMP PERFORMANCE INVESTIGATION nd Avenue, Delta BC Prepared For: Prepared By: A Avenue, Langley, BC V1M 3A5 Date: October 11, 2016 Project Number: C

127 Attachment 9.4 LANGLEY OFFICE # A Avenue, Langley, BC V1M 3A5 Tel: Table of Contents Executive Summary... 2 Heat Pump Pressure Faults... 2 Controls Programming... 3 Buffer Tank Sizing... 3 Investigation Findings... 4 Heat Pump Pressure Faults... 4 Controls Programming... 9 Buffer Tank Sizing... 9 Conclusions and Recommendations Heat Pump Pressure Faults Controls Programming Buffer Tank Sizing APPENDIXED INFORMATION North Delta Heat Pump Alarm History Graph North Delta Heat Pump Operating Refrigeration Pressures Graph North Delta Heat Pump Operating Refrigeration Pressures Graph (Commented) SPORLAN TXC Technical Note EMMERSON (COPELAND) Rust Inhibitor Technical Bulletin Class Action Law Suit Notification TRANE General Service Bulletin NORDYNE Technical Services Bulletin NU-CALGON Product Bulletin

128 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 2 of 11 Executive Summary ROCKY POINT ENGINEERING was requested to investigate the operation of the YORK Model YLPA0115SE heat pump located at North Delta Secondary School. The heat pump was installed by FORTIS as part of an energy upgrade undertaken in The heat pump replaced an existing TRANE chiller. The existing chilled water piping and chilled water primary pumps were reused. Hydronic loop piping was modified to interface the heat pump to the hydronic heating system on a single pipe basis through a changeover valving system. The new system is controlled by a JCI direct digital control (DDC) system. The JCI system interfaces with the existing DELTA CONTROLS base building DDC system via BACnet. The heat pump has suffered a number of operating failures that needed repair throughout its operating history. The failures include heat exchanger gasket failures, losses of refrigerant charge, and replacement of refrigeration compressors. The unit continues to routinely experience pressure faults. ROCKY POINT ENGINEERING investigated the operation through on-site inspections and observations, discussions with JCI service personnel, and detailed analysis of operating trend logs. Heat Pump Pressure Faults The unit has a history of tripping on pressure faults. Trend logs were not in place to cover the cooling season and were only made available on September 3, The heat pump s operation during this heating mode has been assessed. The heat pump is currently tripping the low suction pressure limit. Trend log analysis indicates that the trips are happening on a routine basis. The unit s limits are software controlled via an onboard DDC controller supplied with the heat pump. Upon activation of a pressure fault, the controller shuts down the refrigerant circuit affected. The system automatically resets, places the faulted circuit back in operation until it faults again. The automatic reset lets the unit run without operator intervention in the event of multiple pressure faults. The unit can operate for prolonged periods while suffering from routine pressure faults. Without a routine interrogation of the unit s alarm log, the only indication of a problem would be reduced operating output from the unit. Typically, a low suction pressure would indicate a faulty thermal expansion valve (TXV). The unit has a tag indicating that it was manufactured in The refrigeration compressors are manufactured by COPELAND. Two units are a 2013 vintage and two are 2015 vintage. In late 2013 through 2014, COPELAND had a manufacturing issue when the formulation for the rust inhibitor was changed. The new factory supplied and installed rust inhibitor chemically reacted with the polyester oils used to lubricate the compressor and formed a tarry residue that accumulated on the moving parts of the refrigeration systems control valves (TXV, reversing valves, and solenoids). The residue caused the valves to stick and operate erratically. The typical symptoms were pressure faults. Accumulation in the reversing valves could allow the wrong phase of refrigerant to be flowed in the wrong direction resulting in catastrophic compressor failures. The current most economical solution appears to be treating the system with an oil additive to remove the tarry reside. The additive that appears to be the most effective is CALGON AC ENEW. A more expensive option is to evacuate the refrigerant, flush and clean the refrigeration system, replace the contaminated valves, replace the lubricants, and recharge the system with new refrigerant.

129 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 3 of 11 Recommendations 1. JCI to pursue the possibility of having a contaminated refrigeration system caused by factory installed rust inhibitor fouling the system. 2. JCI investigate the operation of the TXVs (a total of four) in the system and repair / rep[lace as required. Controls Programming The JCI controls are only using the outdoor temperature to enable the heat pump s operating modes. Hydronic loop setpoint is based upon outdoor air temperature. Recommendations 1. JCI modify the DDC programming and prevent the operation of the heat pump until the hydronic loop s returning water temperature is within the heat pump s operating tolerances This will prevent the unit from tripping on pressure faults during the operating mode switchover. 2. JCI modify the DDC algorithm that controls the heat pump supply water setpoint. We recommend the setpoint be reset based upon outdoor air as the primary reset and use the building demand as the secondary rest. Resetting the loop setpoint based upon building demand will allow the hydronic loop temperatures to be brought down to temperatures required for operating mode switchover. Buffer Tank Sizing The original fifty (50) US gallon buffer tank was reused when the new heat pump was installed. In our opinion, the buffer tank is too small. Recommendations 1. The existing buffer tank should be replaced with a larger 400 US gallon buffer tank.

130 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 4 of 11 Investigation Findings Heat Pump Pressure Faults The YORK heat pump installed by FORTIS as part of the school s energy upgrade has been experiencing repetitive failures and operational problems of the heat pump s refrigeration systems. System operation was monitored on a continuous basis utilizing the direct digital control (DDC) systems installed as part of the heat pump s manufacturer installed controls and the school s base building HVAC control system. The heat pump s key operational points were monitored, trended, and the trend log data was archived on trend archive engine. Trend archiving was initiated on September 3, Data analysis of the trend logs indicated continuing, and routine operational failures of the heat pumps operation. The chart below (Note: Full size copies of all documents imbedded in this document have been appended to end of the report) indicates the frequency of the system alarms as indicated by the heat pump s BACnet DDC interface. The alarm instances indicated in the chart are the number of trend log points that recorded an active alarm. This does not indicate the number of alarm conditions recorded by the heat pump s alarm log but indicates the duration of the alarm condition. Individual alarm events are indicated in the chart by a transition from an ALARM ON condition to an ALARM OFF condition. The heat pump s operating refrigeration pressures were trended and the trend logs archived with sample rate of 5 minutes. The sample frequency proved to be too slow to accurately depict the refrigeration pressure conditions leading up to a pressure fault. The trend logs were reconfigured with a sample frequency of 1 minute. This sample rate provided a more accurate depiction of the refrigeration system s pressure leading up to the system pressure faults. The reconfigured trends were implemented on September 28, The following chart covers the dates between September 28, 2016 and October 4, The unit was operating in heating mode during the trending period.

131 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 5 of 11 The above chart indicates normal operation with routine compressor cycling and refrigerant pressures running within the expected operating ranges. The normal operation is interspersed with sudden pressure deviation outside of the normal operating pressure bandwidths. Note that only the compressors from System 2 were operating over this time frame and System 1 did not have any compressors operating over this interval. A review of the alarm instance chart indicates that the System 1 was in an alarm condition for the majority of this time. The chart below highlights the pressure anomalies indicated in the chart above.

132 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 6 of 11 The trend logs indicate that the heat pump is experiencing low suction issues with the suction pressure dropping below the low cut out setpoint. The heat pump s microprocessor controls automatically resets alarm conditions when the alarm parameter returns within the normal operating range. Reset does not require operator intervention to manually reset the limit switch. There has been a litany of these types of refrigeration issues within the industry that has plagued all styles of heat pumps, regardless of manufacturer. The "unexplainable" refrigeration system pressure trips, failed TXV, problematic reversing valves, and sudden compressor failures have been a common problem across multiple vendors over the last three years. The commonality between the problematic systems from different manufacturers that we have investigated were: 1. All systems were heat pumps. 2. All systems were operating with R410A refrigerant. 3. All systems were using COPELAND scroll compressors. 4. All systems had COPELAND compressors manufactured in 2013 and There has been a litany of this type of issue that has plagued all styles of heat pumps, regardless of manufacturer, that utilize COPELAND compressors. This unit utilitizes COPELAND compressors. We have done a fair bit of research on this type of issue and have recently uncovered new, (to us), information. The information that we uncovered was associated with sticking thermal expansion valves (TXV) that were causing unit failures. We have discussed the issues with various factory authorized refrigeration technicians that represented different heat pump manufacturers. Many have commented that they are finding sticking TXV valves, reversing valves, and solenoid valves to be the cause of refrigeration system failures. They had come to this conclusion after ruling out the usual cause related to high / low refrigerant charge levels, lack of condenser cooling capacity, or other typical causes of pressure problems. On one of the projects we were involved with the manufacturer s representative replaced five (5) failed COPELAND refrigeration compressors before discovering a 4-way reversing valve that was sticking due to a build-up of tarry residue in the reversing valve.

133 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 7 of 11 A rust inhibitor contamination problem has been well documented and EMERSON, the manufacturer of COPELAND compressors, has alluded to this being an issue in one of their technical marketing bulletins. There was a change in the rust inhibitor formulation used by COPELAND in their compressors. The rust inhibitor chemically reacted with the polyester lubricants and formed a tarry residue. The problem has been extensive enough that an American law firm is attempting to launch a class action law suit against COPELAND to recover costs associated with equipment loss and repairs created by the rust inhibitor incompatibility problem. The economicl solution appears to be using an additive to the refrigeration circuit to remove the residue from the system. Manufacturers such as TRANE and NORDYNE have recommended the use of an additive to residue problem. The additive that appears to be successful is called NU-CALGON AC RENEW.

134 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 8 of 11 We were working with another manufacturer s representative on investigating a 5-ton heat pump that was mysteriously tripping out on pressure faults. Through the manufacturer s representative we presented the rust inhibitor / oil contamination information to the manufacturer and they insisted that this was not related to the problems we were experiencing with their unit. In spite of the manufacturer s comment, the representative implemented NU CALGON solution with excellent results. The problems exhibited by the heat pump installed at North Delta Secondary could be related to the problem that the rust inhibitors used by COPELAND chemically reacted with the lubricants used in the refrigeration system. The sticky, tarry, residue that was the result of the chemical reaction could be settling out in the moving parts of the refrigeration systems internal control valves (TXV, reversing and solenoids). There are three valves that could be sticking on this unit.

135 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 9 of 11 Depending upon the unit s operating mode, a sticking TXV would result in low suction or high discharge pressure faults. A sticking four-way reversing valve could result in catastrophic failure of the refrigerant compressors and/or exchanger gaskets due to the extremely high pressures that would be developed when liquid refrigerant is allowed to flow to the wrong area of the refrigerant circuit while the compressors are operating. JOHNSON CONTROLS may want to investigate this as a possible solution of the heat pump s operating pressure problems. Controls Programming The current controls programming is switching the heat pump through the heating / cooling phases of its operation based only on the outdoor air temperature. We recommend that the JOHNSON CONTROLS DDC system programming be modified to prevent the operation of the heat pump during the unit s changeover phase. The unit s operation should be delayed until the temperature of the building hydronic loop water returning to the heat pump has returned to a temperature that is within heat pump s operating parameters. We also recommend that the hydronic loop heating and cooling setpoints be reset by building demand to bring the hydronic loop temperature as close as possible to the temperatures required to accommodate operating the heat pump s after operating mode changeover. Buffer Tank Sizing The heat pump s hydronic loop requires enough capacity to prevent the heat pump from short cycling. Load flow volumes for the unit vary depending upon which mode the unit is operating in. During heating mode, the hydronic loop includes all piping and coils associated with the heating system. The unit has been sized for the cooling load and cannot maintain heating water temperatures during peak heating loads.

136 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 10 of 11 During cooling mode, the hydronic loop is restricted to the piping and loads associated with the chilled water system serving AHU-01, AHU-02, AHU-06, AHU-06 and UV-07. The chilled water flow volumes in relation to the heating water loop are much lower. The buffer tank should be sized to meet the flow volumes associated with the cooling mode. The existing buffer tank has a capacity of 50 US gallons or 189 litres. The chilled water loop piping has an approximate capacity of 3,476 litres or 918 US gallons. The chilled water loop has a total capacity of approximately of 3,665 litres or 968 US gallons. The nominal capacity of the YORK YLPA0115SE heat pump is 118 tones of refrigeration with a temperature drop of 10 F. The heat pump s primary pump design flow rate is USGPM or 16.6 L/s. The total design cooling coil flow capacity is: AHU-01 = 5.6 L/s ( 88.8 USGPM) AHU-02 = 3.3 L/s ( 52.3 USGPM) AHU-04 = 1.1 L/s ( 17.4 USGPM) AHU-06 = 2.7 L/s ( 42.8 USGPM) UV-07 =.32 L/s ( 5.07 USGPM) Total = 13.2 L/s (206.7 USGPM) A simple rule of thumb commonly used to size buffer tanks is to size the tank for 7.5 gallons per ton of refrigeration. This would indicate a buffer tank capacity of 885 US gallons. A second rule of thumb loop is to size the buffer tank with a capacity equal to the volume of running the two the primary circulating pump for two (2) minutes. Two minutes of circulating capacity equals 120 seconds X 16.6 L/s = 1,992 L (526 US gallons). The chilled water control valves are all normally closed, 2-way valves. Therefore, the hydronic loop capacity is only available to the heat pump when there is a 100% call for chilled water. The smallest cooling load on the system, unit ventilator UV-7, has a maximum design chilled water flow of 0.32 L/s and would provide 38.4 (0.32 L/s * 120 s = 38.4 L) liters or 10 US gallons of buffer capacity. Therefore, the total buffer capacity available at low load is approximately 227 liters (60 US gallons). Using this approach, the buffer tank is undersized by 1,765 liters or 466 US gallons. The current buffer tank sizing under light cooing load conditions would have the loop capacity of approximately 14 seconds. This would create short cycling of the heat pump. The following table indicates buffer tank sizing using the second rule of thumb for various part load conditions: Load Percentage Total Load Water Flow Buffer tank Size (L) Buffer Tank Size (US Gal) 0% L/s 1584 Litres 418 US Gal 10% L/s 1426 Litres 377 US Gal 20% L/s 1267 Litres 335 US Gal 30% 9.24 L/s 1109 Litres 293 US Gal 40% 7.92 L/s 950 Litres 251 US Gal 50% 6.60 L/s 792 Litres 209 US Gal 60% 5.28 L/s 634 Litres 167 US Gal 70% 3.96 L/s 475 Litres 126 US Gal 80% 2.64 L/s 317 Litres 84 US Gal 90% 1.32 L/s 158 Litres 42 US Gal

137 Attachment 9.4 Date: October 11, 2016 North Delta Secondary Heat Pump Operation Investigation nd Avenue, Delta BC Page 11 of 11 Stock buffer tanks are typically available in the following sizes (approximate bare tank dimensions indicated are for horizontal tanks. Vertical tank configurations are available): Capacity US Gallons Height Length Width Conclusions and Recommendations Heat Pump Pressure Faults 1. JCI to pursue the possibility of having a contaminated refrigeration system caused by factory installed rust inhibitor fouling the system. 2. JCI investigate the operation of the TXVs (a total of four) in the system and repair / rep[lace as required. Controls Programming 1. JCI modify the DDC programming and prevent the operation of the heat pump until the hydronic loop s returning water temperature is within the heat pump s operating tolerances This will prevent the unit from tripping on pressure faults during the operating mode switchover. 2. JCI modify the DDC algorithm that controls the heat pump supply water setpoint. We recommend the setpoint be reset based upon outdoor air as the primary reset and use the building demand as the secondary rest. Resetting the loop setpoint based upon building demand will allow the hydronic loop temperatures to be brought down to temperatures required for operating mode switchover. Buffer Tank Sizing The existing buffer tank should be replaced with a larger 400 US gallon buffer tank. End of report.

138 Attachment 9.4 NORTH DELTA SECONDARY YORK Heat Pump Alarm History September 3, 2016 to October 5, 2016 Heat pump alarm status was monitored and trended through the BACnet control interface installed as part of the heat pump's manufacturer installed controls. The binary alarm staus point was monitored and trended on the District's DELTA DDC SYSTEM (the base building DDC control system used by the District) with a sample frequency of 5 minutes. The trends were archived on a COPPERCUBE trend log archive engine. Data indicated in this chart was extracted from the archived trend logs. SYSTEM 2 ALARM ON SYSTEM 1 ALARM ON System 1 Alarm System 2 Alarm SYSTEM ALARM OFF : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : :56 DATE AND TIME

139 : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : :00 OPERATING PRESSURE (PSIG) 540 S2C2 ON 480 S2C2 OFF 420 S2C1 ON 360 S2C1 OFF 300 S1C2 ON 240 S1C2 OFF 180 S1C2 OFF 120 S1C1 OFF 60 DATE AND TIME System 1 - Discharge Pressure System 1 - Suction Pressure System 2 - Discharge Pressure HIGH DISCHARGE Pressure Cut-Out LOW SUCTION Pressure (Heating) Cut-Out LOW SUCTION Pressure (Cooling) Cut-Out S1C1 Command S1C2 Command S2C1 Command System 2 - Suction Pressure S2C2 Command REFRIGERATION COMPRESSOR COMMAND Attachment 9.4 NORTH DELTA SECONDARY - YORK Heat Pump Operating Refrigeration Pressures 600

140 : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : :00 OPERATING PRESSURE (PSIG) NORTH DELTA SECONDARY - YORK Heat Pump Operating Refrigeration Pressures 540 S2C2 ON 480 S2C2 OFF 420 S2C1 ON 360 S2C1 OFF 300 S1C2 ON 240 S1C2 OFF 180 S1C2 OFF 120 S1C1 OFF 60 DATE AND TIME System 1 - Discharge Pressure System 1 - Suction Pressure System 2 - Discharge Pressure HIGH DISCHARGE Pressure Cut-Out LOW SUCTION Pressure (Heating) Cut-Out LOW SUCTION Pressure (Cooling) Cut-Out S1C1 Command S1C2 Command S2C1 Command System 2 - Suction Pressure S2C2 Command REFRIGERATION COMPRESSOR COMMAND Attachment 9.4 Pressure anomalies that may be symptomatic of sticking valves (TXV, reversing valves, solenoid valves) in the refrigeration circuit. 600

141 Attachment 9.4 Parker Hannifin Corporation Sporlan Division 206 Lange Drive Washington, MO USA Phone Fax TO: SPORLAN DIVISION CUSTOMERS, FIELD SALES July 29, 2014 SUBJECT: RESIDENTIAL AC & HP SYSTEM CONTAMINANTS AFFECTING TEV PERFORMANCE Many installers and service organizations are finding problems with newly installed residential air-conditioning systems with straight AC or heat-pump versions in the 2-3 ton range primarily and with some reported issues up to 5 tons. After on-site troubleshooting, the problem is linked to a poorly operating thermostatic expansion valve (TEV) causing high superheat. After valve replacement, the system seems to run fine. On the surface this appears to be a valve problem. Sporlan Division of Parker-Hannifin has examined many returned valves in recent weeks and we find the same problem occurring throughout these returned valves. The valve has a brown or black resin-like material on the pin and the body that is stopping the valve from moving properly so it can maintain the proper superheat. Please see photos on page 2. Obviously, the material is not in the valve at the start-up of the system or the valve would not operate properly when the unit is put into service. The thermostatic expansion valve is actually not the problem; it is simply the location where this material collects. The source of the unusual materials forming this residue is currently being investigated by both system manufacturers as well as component suppliers including Sporlan. Once identified, it can be eliminated and then future systems will not have this issue. Until then, the same teams are also trying to find the best method to capture the residue before it gets to the valve. There is no current proven method to capture this contamination before it reaches the valve. The industry standard cleanup procedures are the best recommendation since this is a contamination related issue. This procedure indicates the use of an oversized liquid line filter-drier and a suction line filter-drier. We cannot guarantee that this technique will solve the problem; it is simply the method that has solved most contamination issues in the past. Sporlan does not recommend attempting to clean TEVs in the field to eliminate this contamination. Sporlan will continue to update the industry with our findings as the investigation continues. If you have any questions, please contact your Sporlan Sales Engineer. Sincerely, Glen Steinkoenig Product Manager Contaminant Control Products Jim Jansen Product Manager Thermostatic Expansion Valves

142 Photos of valve body and pins from Various AC & HP Systems Attachment 9.4 2

143 Attachment 9.4 NO: MB2014CC-15 DATE: 08/28/14 TO: U.S. Air Conditioning OEM Customers and U.S. Wholesalers FROM: Emerson Climate Technologies, Inc. SUBJECT: 2014 Frozen Coil Update Emerson Climate Technologies has been made aware of a somewhat higher incidence of field issues associated with indoor coils, mostly in 2 to 3 ton residential systems and this has become known as the frozen coil Issue. Information received by Emerson suggests that these field issues are being caused by clogged thermal expansion valves (TXV s) from various suppliers and that these clogged valves began appearing in the early summer of Emerson Climate Technologies was made aware of this potential field issue in mid-july. Since being made aware of the issue, the Emerson team has been conducting multiple investigations into possible causes. Emerson has been in contact with many OEM customers on this issue in an attempt to understand, collaborate and help resolve this problem. Tests are being conducted now to determine if certain approved process chemicals used by Emerson and those from various other component suppliers could be reacting inside the systems and if this chemical reaction might be causing the residue problem at the expansion valves. While this testing continues, Emerson will also be taking steps to minimize the use of materials or processes within our manufacturing plants, and within our supply chain, which could be potential contributors to this problem. These minimization steps will include certain chemicals used in the processing of internally and externally supplied parts used in Copeland Scroll compressors. It is possible but not clear yet from the current test results, whether the presence of these process chemicals, in isolation or in combination with other process chemicals found in various OEM systems might be causing the above problem. However, while the results are not clear yet, Emerson has decided to take these minimization steps as a precautionary measure and in the hope that this might reduce a portion of the problems that are being experienced in the field. Since each OEM situation might be unique due to the various combinations of process chemicals involved, Emerson will be advising contractors to consult directly with their OEM suppliers if more information is needed. In addition, Emerson will advise interested OEM customers, upon request, with the details of the testing as new information becomes available. Please contact your field sales manager, application engineer or customer service representative for additional information. Emerson Climate Technologies, Inc., 1675 W. Campbell Road, Sidney, OH EmersonClimate.com

144 Institutional Client Login To Contact an Attorney Call Attachment 9.4 THERMOSTATIC EXPANSION VALVE (TXV, TEV, TX) AND COPELAND SCROLL DEFECT INVESTIGATION Thermostatic Expansion Valve (TXV, TEV, TX) and Copeland Scroll Defect Investigation! Chimicles & Tikellis is investigating possible class action claims involving an alleged industry-wide defect in certain HVAC equipment, which has resulted in widespread thermostatic expansion valve failures (TEV, TXV, TX valves) on residential and commercial air conditioning and heat pump applications. Reportedly, the problem stems from a chemical rust inhibitor on Copeland Scroll compressors, which are incorporated in many HVAC applications. A reaction with the POE oil used in the compressor causes the POE to coagulate and collect in the TXV, which results in the TXV sticking. The problem reportedly affects numerous equipment brands that incorporate Copeland Scroll compressors, including Carrier, Lenox, Frigidaire, Bryant, ClimateMaster, Trane, and others. C&T is investigating potential claims on behalf of servicers, who may not be fully compensated by the manufacturers for warranty work, as well as end users who may have paid out-of-pocket for repairs or may be forced to pay out-of-pocket for repairs in the future. If you are a servicer or end-user who is affected by this defect, we would like to hear from you. Please contact the attorney below. Name *

145 Attachment 9.4 Address: * Phone: * Street Address: City: State: * Alabama Message * Submit (*) Indicates required field: When communicating with us through this site or otherwise in connection with a matter for which we do not already represent you, your communication may not be treated as privileged or confidential, and does not create an attorney-client relationship between you and our Firm. Attorneys for this case: Timothy N. Mathews Christina Donato Saler

146 Attachment 9.4 Haverford Office 361 West Lancaster Ave One Haverford Centre Haverford, Pennsylvania Toll Free: Voice: Delaware Office 222 Delaware Ave, Suite 1100 Wilmington, Delaware Toll Free: Voice: Fax: Awards Site Map Home About Us Our People Office Locations Tell Us About a Case Contact Us Disclosure 8500 Fax: Hyland Graphic Design & Advertising Main Line Web Design " # $ %

147 Attachment 9.4 General Service Bulletin MJ-X Oil Additive to Address High Superheat and Low Suction Pressure for TXVs Only (Patent Pending) Models See Page 6 for complete model list Serial 13401***F to 14395****F Bulletin: UN-SVB020A-EN Date: September 8, 2014 Introduction The purpose of this bulletin is to address recent reports of issues with TXVs used in air handler and furnace coil product lines, predominately found in the ton units. Reported issues include higher than normal superheat and lower than normal suction pressure which have generally appeared at start-up or within a short period of runtime (typically days). This is a fix on fail action. This is not a safety issue. Copyright Trane 2014 UN-SVB020A-EN

148 Attachment 9.4 Discussion We have brought back numerous valves from the field and a thorough analysis has been conducted. Findings to date show that a majority of the valves inspected contained debris on the push pin and spring. This debris on the push pin and spring may cause the valve to stick. Action Field For TXVs that exhibit the low suction pressure (<95 PSIG) and high superheat (> 30 F), an oil additive needs to be installed into the refrigerant system. The addition of this oil additive has been shown to dissolve the debris on the push pin and spring assembly freeing up the movement of the push pin. Repair and Installation Instructions Add 4 ounces of MJ-X oil additive (CHM01005) to the refrigerant system while the compressor is running. Follow the steps on page #5 after the MJ-X is added to the system. Important: MJ-X oil additive (CHM01005) is an approved oil additive when applied as directed in this service bulletin. Note: Oil injection tool is not provided for by this bulletin. Oil injection tool may be purchased through Trane parts. The following is a general description of how to add MJ-X oil additive (CHM01005) to the refrigerant system using a Yellow Jacket or similar injection tool. If other injection tools are used follow the manufacture s instructions for proper use of the tool. Copyright Trane 2014 UN-SVB020A-EN

149 Attachment 9.4 Copyright Trane 2014 UN-SVB020A-EN

150 Attachment 9.4 Note After injection of CHM01005 is complete attach label LBL00427 to the unit Copyright Trane 2014 UN-SVB020A-EN

151 Attachment 9.4 After adding MJ-X Oil Additive complete the following steps: 1. Operate the unit in the heating mode. 2. If the outdoor unit is a heat pump, place system in the heating mode of operation for 15 minutes. 3. If the system has a gas furnace, cycle off the air conditioner and cycle on the gas furnace for 15 minutes of run time. 4. If the system is an electric/electric system, cycle off the air conditioning and place the TXV sensing bulb in a bath of hot water for 15 minutes. 5. Place the system back into the cooling mode of operation and allow it to operate for 15 minutes. Note any performance changes. 6. Did the system performance improve to > 95 PSIG Suction Pressure? 7. If yes, the MJ-X oil additive is clearing the restriction. No further work required. 8. If no, repeat steps Did the system performance improve to Suction Pressure > 95 PSIG? 10. If yes, the MJ-X oil additive is clearing the restriction. No further work required 11. If no, replace the TXV Note: It May take up to 48 hours of operation for the system to return to normal operating conditions. Parts Ordering Information One bottle of MJ-X Oil Additive (CHM01005) and one label (LBL00427) per affected unit as identified in this bulletin. Note: Oil injection tool is not provided for in this bulletin. Oil injection tool may be purchased through Global Parts using part number TOL Parts should be ordered through normal parts channels. Material Disposition Discard any parts in accordance with federal, state and local guidelines after it is determined they are no longer needed. Copyright Trane 2014 UN-SVB020A-EN

152 Copyright Trane 2014 UN-SVB020A-EN Affected Models 4TTR3018G1000AA 4A7A3018G1000AA 4TWR3018D1000AA 4A6H3018D1000AA 4TTB3018H1000AA 4TTB3018G1S00AA 4TTB3024H1000AA 4TTB3018AA000AA 4TTR3024G1000AA 4A7A3024G1000AA 4TWR3024D1000AA 4A6H3024D1000AA 4TTB3024G1S00AA 4TTM3024B1000AA 4TWB3024D1000AA 4TTB3024AA000AA 4TTR3030G1000AA 4A7A3030G1000AA 4TTB3030G1000AA 4TTB3030G1S00AA 4TTM3030B1000AA 4TTB6036A1000AA 4TTR6036B1000AA 4A7A6036H1000AA 4TTR3036E1000AA 4A7A3036E1000AA 4TTX6036H1000AA 4TWR3036C1000AA 4A6H3036C1000AA 4TWR3036C1000AB 4A6H3036C1000AB 4TWB3036C1000AB 4TWR4036D1000AA 4A6H4036D1000AA 4TTB3030AA000AA 4TTA3036B3000AA 4TTA3036B3S00AA 4TWA3036B3000AA 4TTA3036B4000AA 4TTA3030AD000AA 4TWA3036B4000AA 4TTB3036AA000AA 4TTA3036AD000AA 4TTX6024G1000BA 4TTR7024A1000AA 4TTX8024A1000AA 4A7A7024A1000AA 4TWR6024A1000BA 4TWX6024G1000BA 4TWX8024A1000AA 4TWR7024A1000BA 4A6H7024A1000BA 4TTR7036A1000AA 4TTX8036A1000AA 4A7A7036A1000AA 4TWX8036C1C00AA 4TWX8036C1000AA 4TWX8036C1C00AB 4TWX8036C1000AB 4A6H7036B1000AA 4TWR7036B1000AA 4A6H7036B1C00AA Attachment 9.4

153 Attachment 9.4 Expiration Date This bulletin will expire on September 30, 2015 Questions Dealer and Distributor Personnel: Contact your Local Field Service Representative. Field Service Representatives: Contact Technical Support in Tyler, TX. Literature Order Number File Number Supersedes Stocking Location UN-SVB020A-EN NEW Electronic Only Trane USA Inc. has a policy of continuous product data and product improvement and reserves the right to change design and specifications without notice. Only qualified technicians should perform the installation and servicing of equipment referred to in this bulletin. Copyright Trane 2014 UN-SVB020A-EN

154 Attachment 9.4 To: Residential Distributors and Dealers Aftermarket Distributors and Dealers From: Technical Service Department Date: September 9, 2014 RE: POE Oil Contamination Ton Split Systems and Package Units (Revised) NORDYNE has received reports of malfunctioning TXV valves in ton split systems and package units. As reported in earlier bulletins, a sticky substance has been found in the TXV that has been identified as coagulated ester based lubricant (POE Oil). This issue has been wide-ranging and has affected our entire industry. NORDYNE has worked closely with Emerson Climate Technologies to identify a date range of suspect product. The targeted date range (of the compressor bearing unit) is between October 1, 2013 September 1, Serial Number date code XXX XXX1409 NORDYNE has worked with a limited number of Distributor TSA s in testing an oil additive (NuCalgon AC Re-New / Zerol Ice) in systems demonstrating contaminated TXV s. In our sample units the malfunctioning event was corrected. NORDYNE is allowing in systems that are demonstrating contaminated TXV operation (as evidenced by high or fluctuating superheat after a successful start-up) the application of NuCalgon AC Re-New / Zerol Ice. This will eliminate the need to replace the TXV and drier. Please see attached AC Re-New instructions or follow this link: HVAC best practice system testing must be done to confirm the malfunction is not system charge related or a failed TXV for other mechanical reasons such as control bulb charge loss. NORDYNE Bulletins are not for public display, web posting, or dissemination to non-nordyne partners. NORDYNE distributors may post the bulletin ONLY behind a secure fire wall that requires password access, and where the folder cannot be crawled by web search engines Phoenix Parkway O Fallon, Missouri NORDYNE. All Rights Reserved.

155 Attachment 9.4 Nu-Calgon Product Bulletin 3-80 REVITALIZES AND ENERGIZES AIR CONDITIONING SYSTEMS UNIVERSAL PACAKAGE PERMITS USE WITH ALL REFRIGERANTS. Refrigeration Oil A/C Re~New Quiets noisy compressors. Reduces energy consumption. Improves heat transfer in the evaporator and condenser. Great for new and old systems. Description A/C Re~New has been used successfully for many years to improve the performance of air conditioning and refrigeration systems. A/C Re~New provides significant saving in energy use. It also quiets noisy systems and extends the life of the system. It is a lubricant that blends with the system s oil, lasting for the life of the equipment. A/C Re~New in the Compressor PP Improved lubricity through reduced friction drag PP Cleaner system PP Quieter Operation Application A/C Re~New can be used in air conditioning and refrigeration applications. The pressurized package, , is formulated for use in R-22, R-410A as well as other refrigerants in systems up to 5 tons. Multiple cans should be used to treat larger commercial systems such as packaged units or larger refrigeration systems. Additionally, the product is available in unpressurized 4 oz. bottles and 32 oz. quarts. Install with the A/C Re~New Injector. Packaging Pressurized can start-up kit quart (32 fl. oz.) fluid ounce can A/C Re~New Injector Tool Injection Valve Altom Ct. St. Louis, MO Calgon is a licensed trade name (714) 3-80

156 A/C Re~New Technology Testing Results Attachment 9.4 Residential air conditioning systems account for up to 70% of the home s energy consumption. And when the outdoor temperature rises the system works longer and harder. Through tests on actual installations, the A/C Re~New technology has demonstrated its ability to reduce the air conditioning systems energy use on average by 11% It has also been found to improve the system s cooling performance and quiet noisy systems. Energy Savings Number of units tested Outdoor Temperature Average Running amps Before A/C Re~New Average Running amps After A/C Re~New % Savings 73.3ºF 56.4ºF 10.8% 5.2% Noise Reduction Average Decibel Before A/C Re~New Average Decibel After A/C Re~New Decibel Drop Cooling Performance Average Air Duct Temp. Before A/C Re~New Average Air Duct Temp. After A/C Re~New Temperature Drop 57.4ºF 54.2ºF 3.2ºF Falex Pin Test This test is used to evaluate wear and tear, friction and extreme pressure properties of materials and lubricants. A rotating pin, also referred to as a journal, is lubricated with the test product and is compressed between two V-shaped blocks. Pressure (depicted by the red arrows) is added at increasing levels until the pin fails. The goal is to determine how much load or force the lubricant can withstand before it fails. Therefore, the higher the load, the better the lubricant. Three typical industry oils (Mineral Oil, Alkylbenzene and POE) were tested, both alone and then mixed appropriately with A/C Re~New. A/C Re~New significantly improved the oil s load-to-failure points. BRASS LOCKING PIN JOURNAL V-BLOCKS Compressor Wear Test This test evaluated how well A/C Re~New reduced metal wear in operating compressors. Six reciprocating compressors were tested with R-22 refrigerant and mineral oil for a period of 500 hours. A/C Re~New was applied to half of the compressors. As shown in the pictures to the right, the bearing wear on the compressors was significantly reduced in those compressors containing A/C Re~New. Less wear means the equipment will last longer and reduced friction results in lower energy consumption. Similar results were achieved in scroll compressors (photos available). Reciprocating - Upper Journal Without A/C Re~New With A/C Re~New Fewer Scars

157 Directions for Use For R-22 systems and other systems where the low side pressure is below 65 psi: One can will treat systems up to 5 tons Multiple cans should be used to treat larger commercial systems such as packaged units, split systems, etc 1. Confirm that you have all the required items for the application. 2. Use one can of A/C Re~New for up to 5 tons of system capacity. For larger systems, multiple cans should be used. And for system capacities that fall between multiples of 5 tons (3 tons, 7 1/2 tons, etc.), round up to the next multiple of 5 tons to determine the required charge of A/C Re~New. For example, use two cans to treat 7 1/2 tons. The slightly higher dose of A/C Re~New is nominal and considered acceptable. 3. Oil removal. For systems over 10 tons, it is recommended that 4 fluid ounces of system oil be removed for every 5 tons of capacity. For example, remove 12 fluid ounces of oil from a 15 ton system, and install three cans of A/C Re~New. 4. Be sure to exercise and use good air conditioning, refrigeration service practices at all times. 5. Close Injection Valve, and attach it to the can of A/C Re~New. 6. Connect one end of the charging hose to the Injection Valve, and then connect the other end of the hose to an access port on the low pressure side. 7. Slightly crack the hose fitting connected to the Injection Valve in order to purge air from the hose. Then, quickly re-tighten fitting. 8. With can upright, open the Injection Valve and allow the A/C Re~New mixture to charge into the system. The A/C Re~New is pressurized sufficiently to overcome low side system pressures below 65 psi. Charging will take 2-3 minutes. 9. If additional cans are to be added, leave hose connected but close Injection Valve. With Injection Valve closed, remove it from the spent can. (Be careful as can will be under some pressure.) Attach new can of A/C Re~New and open Injection Valve to inject product. Repeat for all additional cans. 10. Close Injection Valve, then follow by disconnecting both ends of hose. Remove Injection Valve. 11. Retain hose and Injection Valve for future A/C Re~New applications. 12. Properly discard the empty A/C Re~New can. For R-410A systems and other systems where the low side pressure is ABOVE 65 psi while running: IMPORTANT: System must be pumped down to lower the low side pressure to psi. Since low side pressures in a R-410A system are higher than the pressure in the A/C Re~New can, you must first pump down the system to inject the product. To do so, follow the below instructions. 1. Secure electric power to the unit and connect the refrigerant manifold, as shown in Figure Close the liquid line valve and turn the compressor on to start pumping refrigerant into the condenser. 3. Operate the compressor until the suction gauge on the manifold shows a pressure of 40 to 50 psi (lower pressure than what is in the can). CAUTION: Do not pump completely down as low pressure cut-off or high pressure relief could engage. 4. When the pressure on the suction gauge is between 40 and 50 psi, turn the compressor off and immediately close the suction line valve. This procedure traps most LOW HIGH of the refrigerant in the condenser allowing you to inject FIGURE 2 the A/C Re~New. (Be sure the pressure in the low side is between 40 and 50 psi) 5. Shake can well. Be sure piercing valve handle is turned fully counter clockwise and then attach piercing valve to can. Be sure not to cross thread or over tighten. 6. Attach other end of charging hose to low side service port. As this is done, there will be a very small release of system charge that will purge air from the hose. Additionally, where permissible by law, the hose can be purged by slightly unscrewing the piercing valve from the can allowing the system s charge to enter and purge the hose. CLOSED METERING VALVE EVAPORATOR CLOSED SUCTION LINE VALVE Attachment 9.4 DISCHARGE SERVICE VALVE CONDENSER LIQUID LINE VALVE

158 7. Attachment 9.4 valve Turn piercing valve handle fully clockwise to pierce can then, turn piercing valve handle counter clockwise to open and install A/C Re~New. Allow approximately 2-3 minutes for product to completely enter the system. 8. Once product is dispensed, close piercing valve and remove hose from low side service port. 9. After the charging hose is disconnected from the system, open the valves to allow the refrigerant back into the rest of the system. Run the system continuously for 1 hour or more to allow product to fully circulate through system. Instructions for Using the A/C Re~New Injector Tool 3 If desired, the unpressurized packages may be used. This includes the 4 fluid ounce bottle Add 4 fl. oz. ( ) and the quarta/c ( ). Re-New Use of the A/C Re~New Injector Tool ( ) is recommended for installation. Closed Open Briefly to Purge Hose Close When Evacuated HIGH SIDE Installing A/C Re~New a. Attach a vacuum pump to the other end, as shown, using another short hose with a shut-off valve. Draw vacuum on extra hose, then close its valve. Proceed to step 4. Vacuum Pump Close When Evacuated Closed HIGH SIDE b. an alternative method b) As Open without Slightly to the vacuum a) Open Letpump, Oil into use a clean the System hose set and Briefly to manifold Pressure proper service techniques Canister to push the A/C Re~NewHIGH SIDE into the low side with high side pressure. Be sure to LOWall SIDElines. purge or burp HIGH SIDE Vacuum Pump Add 4 fl. oz. A/C LOW SIDE Secure hose-end tore-new Close When suction side fitting, with Evacuated valve in closed position. OnceClosed attached, crack Closed valve quickly to purge. LOW SIDE Open Briefly to Purge Hose LOW SIDE b) Open Slightly to Let Oil into the System 4 a. Attach to high side HIGH SIDE and then briefly open valve on second hose to pressurize the LOW SIDE cylinder of product. Close valve. Vacuum Pump 1 Add 4 fl. oz. A/C Re-New HIGH SIDE LOW SIDE 2 LOW SIDE Closed Add 4 fl. oz. A/C Re-New HIGH SIDE Closed Add 4 fl. oz. to cylinder LOW SIDE Closed and the close cylinder lid to seal. HIGH SIDE LOW SIDE b) Open Slightly to Let Oil into the System a) Open Briefly to Pressure Canister HIGH SIDE LOW SIDE HIGH SIDE LOW SIDE Close When Evacuated Vacuum Pump HIGH SIDE HIGH SIDE LOW SIDE Closed W SIDE HIGH SIDE HIGH SIDE LOW SIDE HIGH SIDE b) Open Slightly to Let Oil into the System 5 a) Open Briefly to Pressure Canister b. Slightly open valve on cylinder to push product into system low side. LOW SIDE a) Open Briefly to Pressure Canister Once installed, HIGH SIDE close this valve and disconnect from low side fitting. LOW SIDE 6 Close up cylinder to prevent any contamination from entering it. Read and understand the product s label and Material Safety Data Sheet ( MSDS ) for precautionary and first aid information. The MSDS is available on the Nu-Calgon website at Altom Ct. St. Louis, MO Calgon is a licensed trade name (714) 3-80

159 Attachment 9.4 LANGLEY OFFICE # A Avenue, Langley, BC V1M 3A5 Tel: Table of Contents Executive Summary... 2 Heat Pump Pressure Faults...2 Controls Programming...3 Buffer Tank Sizing...3 Investigation Findings... 4 Base Building Mechanical Design...4 Mechanical Installation...4 Heat Pump Faults...4 Circulating Pump Water Flow Confirmation...6 BALANCING INVESTIGATION...6 Controls Programming...7 Buffer Tank Sizing...7 Conclusions and Recommendations... 7 Heat Pump Faults...7 Controls Programming...8 APPENDIXED INFORMATION South Park Elementary Heat Pump HP-01 Alarm History Graph South Park Elementary Heat Pump HP-02 Alarm History Graph

160 Attachment 9.4 Date: December 15, 2016 South Park Elementary Heat Pump Operation Investigation 735 Gilchrist Drive, Delta BC Page 2 of 8 Executive Summary ROCKY POINT ENGINEERING was requested to investigate the operation of the retrofitted hydronic heating plant located at South Park Elementary School. The existing hydronic heating plant was retrofitted by FORTIS as part of an energy upgrade undertaken in The heat pump replaced a bank of three low efficiency, atmospheric boilers with a new geoexchange field, two new water-to-water heat pumps, and a new condensing boiler. The existing hydronic heating water piping and heating water primary pumps were reused. Hydronic loop piping was modified to interface the heat pump to the hydronic heating system through a pipe bridge installed ahead of the boilers on the heating water return side of the piping network. The new system is controlled by a JCI direct digital control (DDC) system. The JCI system interfaces with the existing DELTA CONTROLS base building DDC system via BACnet. The heat pumps have suffered several operating failures throughout its operating history. ROCKY POINT ENGINEERING investigated the operation through on-site inspections and observations, discussions with JCI service personnel, and detailed analysis of operating trend logs. Base Building Mechanical Design The mechanical design of the base building was reviewed and found to be consistent with the mechanical design principals and ASHRAE requirements typically applied at the time the system was originally designed. The existing mechanical system will maintain proper indoor air quality and comfort conditions as long as an adequate hydronic heating water supply is maintained at a supply temperature necessary to satisfy the heating demand. Heat Pump Faults The heat pumps have a history of low source side temperatures and low water flows. The geoexchange pump GP1 is exhibiting routine electrical circuit breaker trips. The pump was observed to be making grinding sounds upon startup while operating for a short time interval before tripping the breaker. A second reset and pump start-up had the pump operating. Normally for the duration of our time on site. The heat pump is controlled through a BACnet interface and does not have a hardwired controls interface. The system does not have a load side buffer tank installed. Conclusions and Recommendations Heat Pump Faults 1. The geoexchange pump GP1 be repaired or replaced. 2. A buffer tank with a minimum capacity of 76 gallons be installed on the load side of the heat pumps. 3. The heat pumps to have a hardwired controls interface installed. Controls Programming 1. JCI modify the DDC programming and control the heat pumps via a hardwired interface. 2. JCI modify the DDC algorithm that controls the heat pump to cycle the heat pumps to maintain the buffer tank temperature at the lowest of the hydronic loop heating setpoint or the maximum heat pump operating heating setpoint. 3. Heat pump operation be held off until flows have been proven on the load and source side of the heat pumps.

161 Attachment 9.4 Date: December 15, 2016 South Park Elementary Heat Pump Operation Investigation 735 Gilchrist Drive, Delta BC Page 3 of 8 4. Program pump failure alarms and electronically transmit them to the parties responsible for maintenance of the system.

162 Attachment 9.4 Date: December 15, 2016 South Park Elementary Heat Pump Operation Investigation 735 Gilchrist Drive, Delta BC Page 4 of 8 Investigation Findings Base Building Mechanical Design The mechanical design of the base building was reviewed and found to be consistent with the mechanical design principals and ASHRAE requirements typically applied at the time the system was originally designed. The existing mechanical system will maintain proper indoor air quality and comfort conditions as long as an adequate hydronic heating water supply is maintained at a supply temperature necessary to satisfy the heating demand. Mechanical Installation The site underwent a mechanical retrofit of the hydronic heating plant by FORTIS as part of the school s energy upgrade. The upgrade consisted of the removal of a bank of three low efficiency atmospheric boilers and replacing them with two water-to-water heat pumps, a geoexchange field, and a condensing boiler. The revised mechanical system schematic is indicated below: The mechanical system has not been achieving the anticipated energy savings and has been experiencing repetitive failures and operational problems with the heat pump operation. Heat Pump Faults The two JOHNSON CONTROLS water-to-water heat pump Model # RHSW060H027CCSSA have been routinely tripping on alarm. System operation was monitored on a continuous basis utilizing the direct digital control (DDC) systems installed as part of the heat pump s manufacturer installed controls and the school s base building HVAC control system. The heat pump s key operational points were monitored, trended, and the trend log data was archived on trend archive engine. Trend archiving was initiated on October 20, Data analysis of the trend logs indicated continuing, and routine operational failures of the heat pumps operation. The chart below (Note: Full size copies of all documents imbedded in this document have been appended to end of the report) indicates the frequency of the system alarms as indicated by the heat pump s BACnet DDC interface.

163 Attachment 9.4 Date: December 15, 2016 South Park Elementary Heat Pump Operation Investigation 735 Gilchrist Drive, Delta BC Page 5 of 8 The heat pump s operating parameters were trended and the trend logs archived with sample rate of 1 minute. The charts below indicate the heat pumps alarm faults, operating command status, source water flow status, and source entering and leaving water temperatures.

164 Attachment 9.4 Date: December 15, 2016 South Park Elementary Heat Pump Operation Investigation 735 Gilchrist Drive, Delta BC Page 6 of 8 The above charted trend log data indicates a routine loss of source water flow. Heat pump HP-01 has been routinely tripping out on alarm with the alarm s occurring just about every time the heat pump was placed into operation. Heat pump HP-02 has been exhibiting similar alarm issues but does exhibit longer periods of normal operation. Circulating Pump Water Flow Confirmation ROCKY POINT ENGINEERING and KD ENGINEERING attend the site and measured pump water flows with the pumps manually overridden on. Flow measurements were made by Steve Lupick on November 23, 2016 between 08:00 AM and 12:00 PM. Upon arrival, the source water pump GP1, (that circulates water through the geoexchange field and the source side header serving the heat pumps), was found to be down on a tripped electrical breaker. The breaker was reset and the pump started but only operated momentarily. The pump ran for between 5 to 10 seconds before tripping out the electrical circuit breaker. The pump made a grinding sound when it was operating. The circuit breaker was reset for a second time and the pump restarted normally and continued to operate with issue. GP1 pressure gauge sensor piping is plugged between the top pressure tap and the bottom pressure tap on the suction side of the pump. A review of the DDC system indicated routine failures of the source pump. There appears to be a mechanical and/or an electrical problem with the source pump that will require addressing. We recommend that the pump be replaced or repaired. GP-2 Pressure Gauge as failed. Pump GP5 was replaced by JOHNSON CONTROLS on January 27, BALANCING INVESTIGATION The measured pressures for the circulating pumps is indicated in the table below: Pump Number Suction Pressure Discharge Pressure Differential Pressure Deadhead Discharge Deadhead Suction Deadhead Differential GP Ft. H2O Ft. H2O 50.8 Ft. H2O Ft. H2O 93.6 Ft. H2O 72.3 Ft. H2O GP Ft. H2O Ft. H2O 36.5 Ft. H2O Ft. H2O 87.1 Ft. H2O 42.3 Ft. H2O GP Ft. H2O 68.1 Ft. H2O 30.3 Ft. H2O 72.8 Ft. H2O 40.0 Ft. H2O 32.8 Ft. H2O GP Ft. H2O 68.4 Ft. H2O 30.7 Ft. H2O 72.8 Ft. H2O 39.7 Ft. H2O 33.0 Ft. H2O GP Ft. H2O 69.1 Ft. H2O 30.5 Ft. H2O 77.2 Ft. H2O 42.3 Ft. H2O 34.9 Ft. H2O GP1 has a rated flow of GPM with a differential head of 50.0 Ft. H 2 O. The pump is operating very close to design flows when it is operating correctly. GP2 has a rated flow of 36 GPM with a differential head of 32 Ft. H 2 O. The pump is operating very close to design flows when it is operating correctly. GP3 has a rated flow of 18 GPM with a differential head of 29 Ft. H 2 O. The pump is operating very close to design flows when it is operating correctly.

165 Attachment 9.4 Date: December 15, 2016 South Park Elementary Heat Pump Operation Investigation 735 Gilchrist Drive, Delta BC Page 7 of 8 GP4 has a rated flow of 18 GPM with a differential head of 29 Ft. H 2 O. The pump is operating very close to design flows when it is operating correctly. GP5 has a rated flow of 50 GPM with a differential head of 30 Ft. H 2 O. The pump is operating very close to design flows when it is operating correctly. Water flows through the geoexchange field loops were measured. The measured data is indicated in the table below: Geoexchange Loop Valve Tag Balancing Valve Handle Turn Indication Pressure Reading Measured Flow (From TA Flow Wheel) Balancing Valve Type Loop-01 None Ft 23 GPM 2" TA Loop-02 None Ft 26.5 GPM 2" TA Loop-03 None Ft 24 GPM 2" TA Loop-04 None Ft 25 GPM 2" TA The flows through each geoexchange loop is reasonably balanced and there is no indication of flow restriction through any loop. Controls Programming The JOHNSON CONTROLS DDC system is controlling the heat pumps through a BACnet communication only and the system does not have a hardwired interface between the DDC controls and the heat pumps. BACnet communications can be unreliable and, in our opinion, is not a good option for directly controlling the operation of critical equipment. The heat pumps are critical to the energy efficiency designed into the hydronic heating plant energy retrofit. We recommend that the heat pumps be controlled via a hardwired interface and the BACnet communications be used to monitor unit operations only. Buffer Tank Sizing The heat pump s hydronic loop requires enough capacity to prevent the heat pump from short cycling. Load flow volumes for the unit volumes are designed to be 18 GPM for each heat pump. Under full load conditions the total load flow thought both heat pumps will be 36 GPM. The buffer tank should be sized to meet the flow volumes associated with the heating mode. A simple rule of thumb loop is to size the buffer tank with a capacity equal to the volume of running the load side pumps for two minutes. This would indicate that the buffer tank should be sized with a minimum capacity of 76 gallons. Conclusions and Recommendations Heat Pump Faults 4. The geoexchange pump GP1 be repaired or replaced. 5. A buffer tank with a minimum capacity of 76 gallons be installed on the load side of the heat pumps. 6. The heat pumps to have a hardwired controls interface installed.

166 Attachment 9.4 Date: December 15, 2016 South Park Elementary Heat Pump Operation Investigation 735 Gilchrist Drive, Delta BC Page 8 of 8 Controls Programming 5. JCI modify the DDC programming and control the heat pumps via a hardwired interface. 6. JCI modify the DDC algorithm that controls the heat pump to cycle the heat pumps to maintain the buffer tank temperature at the lowest of the hydronic loop heating setpoint or the maximum heat pump operating heating setpoint. 7. Heat pump operation be held off until flows have been proven on the load and source side of the heat pumps. 8. Program pump failure alarms and electronically transmit them to the parties responsible for maintenance of the system. End of report.

167 Attachment 9.4 Alarm "ON" Alarm"OFF" Compressor "ON" Compressor "OFF" Source - "Flow" Source - "No Flow" High Temperature Alarm Loss of Charge Bad Temperature Sensor on Load COAX Bad Temperature Sensor on Source COAX High Pressure Alarm Source Flow Switch Alarm Load Low Temperature Alarm Source Low Temperature Alarm Low SucXon Pressure Load Flow Switch Alarm SOUTH PARK ELEMENTARY Heat Pump HP01 - Source Alarm Analysis October 20, 2016 to November 3, F 77 F 74 F 71 F 68 F 65 F 62 F 59 F 56 F 53 F 50 F 47 F 44 F 41 F 38 F 35 F 32 F 29 F 26 F 23 F Heat Pump Source Water Temperatures No Alarm 20-Oct-16 11:00 20-Oct-16 14:31 20-Oct-16 18:02 20-Oct-16 21:33 21-Oct-16 01:04 21-Oct-16 04:35 21-Oct-16 08:06 21-Oct-16 11:06 21-Oct-16 13:23 21-Oct-16 15:43 21-Oct-16 18:19 21-Oct-16 21:22 22-Oct-16 00:20 22-Oct-16 03:35 22-Oct-16 06:49 22-Oct-16 09:52 22-Oct-16 12:57 22-Oct-16 16:21 22-Oct-16 19:43 22-Oct-16 23:05 23-Oct-16 02:29 23-Oct-16 05:48 23-Oct-16 09:11 23-Oct-16 12:35 23-Oct-16 15:58 23-Oct-16 19:18 23-Oct-16 22:45 24-Oct-16 02:09 24-Oct-16 05:18 24-Oct-16 07:28 24-Oct-16 10:03 24-Oct-16 13:34 24-Oct-16 17:05 24-Oct-16 20:36 25-Oct-16 00:07 25-Oct-16 03:38 25-Oct-16 07:09 25-Oct-16 10:40 25-Oct-16 14:11 25-Oct-16 17:42 25-Oct-16 21:13 26-Oct-16 00:44 26-Oct-16 04:15 26-Oct-16 07:46 26-Oct-16 11:17 26-Oct-16 14:38 26-Oct-16 17:40 26-Oct-16 20:29 26-Oct-16 23:25 27-Oct-16 02:25 27-Oct-16 05:38 27-Oct-16 08:31 27-Oct-16 11:48 27-Oct-16 15:17 27-Oct-16 18:40 27-Oct-16 21:44 28-Oct-16 00:37 28-Oct-16 03:22 28-Oct-16 06:20 28-Oct-16 09:13 28-Oct-16 12:16 28-Oct-16 15:32 28-Oct-16 18:34 28-Oct-16 21:15 29-Oct-16 00:15 29-Oct-16 03:18 29-Oct-16 06:16 29-Oct-16 08:59 29-Oct-16 11:59 29-Oct-16 15:04 29-Oct-16 18:02 29-Oct-16 21:02 30-Oct-16 00:09 30-Oct-16 03:20 30-Oct-16 06:09 30-Oct-16 09:12 30-Oct-16 12:19 30-Oct-16 15:18 30-Oct-16 18:26 30-Oct-16 21:30 31-Oct-16 00:31 31-Oct-16 03:25 31-Oct-16 06:04 31-Oct-16 08:40 31-Oct-16 11:55 31-Oct-16 15:26 31-Oct-16 18:57 31-Oct-16 22:28 1-Nov-16 01:59 1-Nov-16 05:30 1-Nov-16 09:01 1-Nov-16 12:32 1-Nov-16 16:03 1-Nov-16 19:34 1-Nov-16 23:05 2-Nov-16 02:36 2-Nov-16 06:07 2-Nov-16 09:38 2-Nov-16 13:09 2-Nov-16 16:40 2-Nov-16 20:11 2-Nov-16 23:42 3-Nov-16 03:13 3-Nov-16 06:44 20 F HP01 Alarm Status HP01 Source Flow Status HP01 Compressor Command Status HP01 Alarm Enumerated Type HP01 Source Entering Water Temperature HP01 Source Leaving Water Temperature

168 Attachment 9.4 Alarm "ON" Alarm"OFF" Compressor "ON" Compressor "OFF" Source - "Flow" Source - "No Flow" High Temperature Alarm Loss of Charge Bad Temperature Sensor on Load COAX Bad Temperature Sensor on Source COAX High Pressure Alarm Source Flow Switch Alarm Load Low Temperature Alarm Source Low Temperature Alarm Low SucXon Pressure Load Flow Switch Alarm SOUTH PARK ELEMENTARY Heat Pump HP02 - Source Alarm Analysis October 20, 2016 to November 3, F 77 F 74 F 71 F 68 F 65 F 62 F 59 F 56 F 53 F 50 F 47 F 44 F 41 F 38 F 35 F 32 F 29 F 26 F 23 F Heat Pump Source Water Temperatures No Alarm 20-Oct-16 11:00 20-Oct-16 14:31 20-Oct-16 18:02 20-Oct-16 21:33 21-Oct-16 01:04 21-Oct-16 04:35 21-Oct-16 08:06 21-Oct-16 11:06 21-Oct-16 13:23 21-Oct-16 15:43 21-Oct-16 18:19 21-Oct-16 21:22 22-Oct-16 00:20 22-Oct-16 03:35 22-Oct-16 06:49 22-Oct-16 09:52 22-Oct-16 12:57 22-Oct-16 16:21 22-Oct-16 19:43 22-Oct-16 23:05 23-Oct-16 02:29 23-Oct-16 05:48 23-Oct-16 09:11 23-Oct-16 12:35 23-Oct-16 15:58 23-Oct-16 19:18 23-Oct-16 22:45 24-Oct-16 02:09 24-Oct-16 05:18 24-Oct-16 07:28 24-Oct-16 10:03 24-Oct-16 13:34 24-Oct-16 17:05 24-Oct-16 20:36 25-Oct-16 00:07 25-Oct-16 03:38 25-Oct-16 07:09 25-Oct-16 10:40 25-Oct-16 14:11 25-Oct-16 17:42 25-Oct-16 21:13 26-Oct-16 00:44 26-Oct-16 04:15 26-Oct-16 07:46 26-Oct-16 11:17 26-Oct-16 14:38 26-Oct-16 17:40 26-Oct-16 20:29 26-Oct-16 23:25 27-Oct-16 02:25 27-Oct-16 05:38 27-Oct-16 08:31 27-Oct-16 11:48 27-Oct-16 15:17 27-Oct-16 18:40 27-Oct-16 21:44 28-Oct-16 00:37 28-Oct-16 03:22 28-Oct-16 06:20 28-Oct-16 09:13 28-Oct-16 12:16 28-Oct-16 15:32 28-Oct-16 18:34 28-Oct-16 21:15 29-Oct-16 00:15 29-Oct-16 03:18 29-Oct-16 06:16 29-Oct-16 08:59 29-Oct-16 11:59 29-Oct-16 15:04 29-Oct-16 18:02 29-Oct-16 21:02 30-Oct-16 00:09 30-Oct-16 03:20 30-Oct-16 06:09 30-Oct-16 09:12 30-Oct-16 12:19 30-Oct-16 15:18 30-Oct-16 18:26 30-Oct-16 21:30 31-Oct-16 00:31 31-Oct-16 03:25 31-Oct-16 06:04 31-Oct-16 08:40 31-Oct-16 11:55 31-Oct-16 15:26 31-Oct-16 18:57 31-Oct-16 22:28 1-Nov-16 01:59 1-Nov-16 05:30 1-Nov-16 09:01 1-Nov-16 12:32 1-Nov-16 16:03 1-Nov-16 19:34 1-Nov-16 23:05 2-Nov-16 02:36 2-Nov-16 06:07 2-Nov-16 09:38 2-Nov-16 13:09 2-Nov-16 16:40 2-Nov-16 20:11 2-Nov-16 23:42 3-Nov-16 03:13 3-Nov-16 06:44 20 F HP01 Alarm Status HP02 Source Flow Status HP02 Compressor Command Status HP02 Alarm Enumerated Type HP02 Source Entering Water Temperature HP02 Source Leaving Water Temperature

169 Attachment 9.4 DELVIEW SECONDARY MULTISTACK HEAT PUMP PERFORMANCE INVESTIGATION Street, Delta BC Prepared For: Prepared By: A Avenue, Langley, BC V1M 3A5 Date: January 10, 2016 Project Number: C

170 Attachment 9.4 LANGLEY OFFICE # A Avenue, Langley, BC V1M 3A5 Tel: Table of Contents Executive Summary... 2 Base Building Mechanical Design... 2 Heat Pump Faults... 2 Conclusions and Recommendations... 3 Heat Pump Faults... Error! Bookmark not defined. Controls Programming... 3 Investigation Findings... 4 Base Building Mechanical Design... 4 Mechanical Installation... 4 Heat Pump Faults... 5 Recommended Water Flows, Buffer Tank Sizing, & Water Quality Conclusions and Recommendations Heat Pump APPENDIXED INFORMATION Delview Secondary Heat Pump HP-01 Alarm History Graph HP01 Compressor M1 Refrigerant Pressures Graph HP01 Compressor M2 Refrigerant Pressures Graph R410A Refrigerant - Temperature ffxx Vapour Pressure Graph R410A Refrigerant - Vapour Pressure ffxx Temperature Graph SPORLAN TXC Technical Note EMMERSON (COPELAND) Rust Inhibitor Technical Bulletin Class Action Law Suit Notification TRANE General Service Bulletin NORDYNE Technical Services Bulletin NU-CALGON Product Bulletin Pump Curves KD ENGINEERING March 2014 Balancing Report Original Heat Pump Performance Selection - Shop Drawing Submittal Revised Heat Pump Selection

171 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 2 of 15 Executive Summary ROCKY POINT ENGINEERING was requested to investigate the operation of the retrofitted hydronic heating plant located at Delview Secondary School. The existing hydronic heating plant was retrofitted by FORTIS as part of an energy upgrade undertaken in A heat pump replaced a bank of six low efficiency, atmospheric boilers with, two new air-to-water heat pumps, and a new condensing boiler. The existing hydronic heating water piping and heating water secondary pumps were reused. Hydronic loop piping was modified to interface the heat pump to the hydronic heating system through a pipe bridge installed ahead of the boilers on the heating water return side of the piping network. The new system is controlled by a JCI direct digital control (DDC) system. The JCI system interfaces with the existing DELTA CONTROLS base building DDC system via BACnet. The heat pumps have suffered several operating failures throughout its operating history. ROCKY POINT ENGINEERING investigated the operation through on-site inspections and observations, discussions with JCI service personnel, and detailed analysis of operating trend logs. Base Building Mechanical Design The mechanical design of the base building was reviewed and found to be consistent with the mechanical design principals and ASHRAE requirements typically applied at the time the system was originally designed. The existing mechanical system will maintain proper indoor air quality and comfort conditions if an adequate hydronic heating water supply is maintained at a supply temperature necessary to satisfy the heating demand. The system was designed for a heating water temperature of 200 F but will operate with lower heating water temperatures under lighter heating load conditions. The system will require the 200 F heating water supply temperature when maximum heating design loads need to be met Heat Pump Faults The heat pumps have a history of tripping out on internal faults. Unfortunately, the heat pump s packaged control system had their alarm buffer cleared prior to the start of our investigation. Heat pump trend logging was not initiated until November 6, 2016 and low ambient temperature conditions limited the heat pumps operating time during the period between the trend log start and the report date. Our opinions were based upon the trend data collected during this time interval, site observations, and oral history received from the Owner. The trended data indicates that the system occasionally but does not consistently operate with refrigerant high pressure readings that are well above normal. The discharge pressure did not reach the high-pressure trip point during our investigation. The trend logs indicated one instance of a reversing valve delay fault and one low pressure fault. The high operating head pressures, the reversing valve delay, and the low-pressure trip may be indicative of refrigerant contamination caused by the compressor oil used by COPELAND, (at the time the compressors were manufactured), reacting with the R410A refrigerant crating a tarry residue in the refrigerant system. Load Side Water Flow The heat pumps load side circulating pump, GP7, was only delivering 65 GPM. Design flows were 87 and the final balanced water flow in March 2014 were 91 GPM. The pump is under delivering.

172 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 3 of 15 Conclusions and Recommendations Heat Pump 1. The heat pump load water flow strainers be cleaned. 2. The load water pump be replaced with a new pump that has a minimum flow capacity of 130 GPM (8.2 L/s). 3. The heat pumps refrigeration systems be treated with NU-CALGON A/C RENEW. Controls Programming 1. Program pump failure alarms and electronically transmit them to the parties responsible for maintenance of the system.

173 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 4 of 15 Investigation Findings Base Building Mechanical Design The mechanical design of the base building was reviewed and found to be consistent with the mechanical design principals and ASHRAE requirements typically applied at the time the system was originally designed. The existing mechanical system will maintain proper indoor air quality and comfort conditions if an adequate hydronic heating water supply is maintained at a supply temperature necessary to satisfy the heating demand. Mechanical Installation The site underwent a mechanical retrofit of the hydronic heating plant by FORTIS as part of the school s energy upgrade. The upgrade consisted of the removal of a bank of six (6) low efficiency atmospheric boilers and replacing them with two water-to-water heat pumps, a geoexchange field, and a condensing boiler. The heat pumps are configured to operate only in heating mode. The original heating plant with the equipment that was removed is indicated below:

174 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 5 of 15 The revised mechanical system schematic is indicated below: The mechanical system has not been achieving the anticipated energy savings and has been experiencing repetitive failures and operational problems with the heat pump operation. Heat Pump Faults The Owner indicated that the two MULTISTACK Air Stack air-to-water heat pumps, Model # ARP030XN13C2RS0AMHN 410A, have been routinely tripping on alarm. Upon our first site visit we found the unit s alarm buffer had been cleared and the source of the trips could not be determined. System operation was monitored on a continuous basis utilizing the direct digital control (DDC) systems installed as part of the heat pump s manufacturer installed controls and the school s base building HVAC control system. The heat pump s key operational points were monitored, trended, and the trend log data was archived on trend archive engine. Trend archiving was initiated on November 6, Data analysis of the trend logs indicated continuing, and routine operational conditions indicated in the fault log as well as two (2) operating alarms that did not result in the shutdown of the heat pumps. The chart below (Note: Full size copies of all documents imbedded in this document have been appended to end of the report) indicates the frequency of the system alarms as indicated by the heat pump s BACnet DDC interface. The heat pump s operating parameters were trended and the trend logs archived with sample rate of 1 minute. The charts below indicate the heat pumps alarm faults.

175 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 6 of 15 The routine operating faults indicated are: Fault Code: 14 Defrost o DEFROST The module is in heating mode and currently running in DEFROST. Fault Code: 17 Defrost Delay o DEFROST DELAY Defines the duration of time that the module will be "unavailable" for operation after a DEFROST CYCLE is completed in each module. NOTE: Setting this variable too short might cause some nuisance High Pressure trips to occur when coming out of a DEFROST CYCLE. The non-routine operating faults that occurred could be indicative of contaminated refrigeration that is causing the units internal valves to intermittently stick during the system s transition through the various operating sequences. The faults indicated are: Fault Code: 2 LOW PRESSURE FAULT o LOW PRESSURE FAULT The low-pressure fault could be caused by: Incorrect refrigerant charge. Sticking expansion valve. Sticking solenoid valve. Fault Code: 19 REVERSING VALVE DELAY o REVERSING VALVE DELAY The units internal controls monitor the position status of the reversing valve and produce a fault when the repositioning of the reversing valve is not completed within the specific time defined by the manufacturer. Gummy residue created by contaminated refrigerant may have built up in the working parts of the valve components and could be the cause of this fault.

176 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 7 of 15 Both heat pump modules occasional displayed routine periods of excessively high head pressures that exceeded the expected pressures but did not climb to the point of tripping an alarm. The operating refrigerant pressures for both modules were trended with a sample time of one minute captured the higher than normal head pressures. Refer to the charts below:

177 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 8 of 15 The R410A refrigeration Pressure-Temperature table was graphed. The relationships between pressure and temperatures of the refrigerant are indicated below:

178 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 9 of 15 Unfortunately, the heat pump operation was infrequent during the trend time interval due the system being disabled due to low ambient temperatures. Low water flows could account for the high discharge pressure but the high pressures not being produced on a consistent basis which leads to the possibility that operational issues exist with the units that could be caused by contaminated refrigeration. This opinion is based upon the oral operational history received from the Owner, the manufacturing vintage of the COPELAND compressors installed in the units, refrigerant pressures trend log data, and trended system faults. Refrigeration Contamination Potential There has been a litany of these types of refrigeration issues within the industry that has plagued all styles of heat pumps, regardless of manufacturer. The "unexplainable" refrigeration system pressure trips, failed TXV, problematic reversing valves, and sudden compressor failures have been a common problem across multiple vendors over the last three years. The commonality between the problematic systems from different manufacturers that we have investigated were: 1. All systems were heat pumps. 2. All systems were operating with R410A refrigerant. 3. All systems were using COPELAND scroll compressors. 4. All systems had COPELAND compressors manufactured in 2013 and There has been a litany of this type of issue that has plagued all styles of heat pumps, regardless of manufacturer, that utilize COPELAND compressors. This unit utilitizes COPELAND compressors. We have done a fair bit of research on this type of issue and have recently uncovered new, (to us), information. The information that we uncovered was associated with sticking thermal expansion valves (TXV) that were causing unit failures. We have discussed the issues with various factory authorized refrigeration technicians that represented different heat pump manufacturers. Many have commented that they are finding sticking TXV valves, reversing valves, and solenoid valves to be the cause of refrigeration system failures. They had come to this conclusion after ruling out the usual cause related to high / low refrigerant charge levels, lack of condenser cooling capacity, or other typical causes of pressure problems.

179 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 10 of 15 On one of the projects we were involved with the manufacturer s representative replaced five (5) failed COPELAND refrigeration compressors before discovering a 4-way reversing valve that was sticking due to a build-up of tarry residue in the reversing valve. A rust inhibitor contamination problem has been well documented and EMERSON, the manufacturer of COPELAND compressors, has alluded to this being an issue in one of their technical marketing bulletins. There was a change in the rust inhibitor formulation used by COPELAND in their compressors. The rust inhibitor chemically reacted with the polyester lubricants and formed a tarry residue. The problem has been extensive enough that an American law firm is attempting to launch a class action law suit against COPELAND to recover costs associated with equipment loss and repairs created by the rust inhibitor incompatibility problem. The economical solution appears to be using an additive to the refrigeration circuit to remove the residue from the system. Manufacturers such as TRANE and NORDYNE have recommended the use of an additive to residue problem. The additive that appears to be successful is called NU-CALGON AC RENEW.

180 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 11 of 15 We were working with another manufacturer s representative on investigating a 5-ton heat pump that was mysteriously tripping out on pressure faults. Through the manufacturer s representative we presented the rust inhibitor / oil contamination information to the manufacturer and they insisted that this was not related to the problems we were experiencing with their unit. Despite the manufacturer s comment, the representative implemented NU CALGON solution with excellent results. The problems exhibited by the heat pump installed at Delview Secondary could be related to the problem that the rust inhibitors used by COPELAND chemically reacted with the lubricants used in the refrigeration system. The sticky, tarry, residue that was the result of the chemical reaction could be settling out in the moving parts of the refrigeration systems internal control valves (TXV, reversing and solenoids).

181 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 12 of 15 Existing System Water Flows Measurements ROCKY POINT ENGINEERING and KD ENGINEERING attended the site and measured pump water flows with the pumps manually overridden on. Flow measurements were made by Steve Lupick on December 6, 2016 between 08:00 AM and 12:00 PM. Upon arrival, the heat pump circulating pumps were down as the heat pump was not in service. The pumps were manually started by placing the electrical H-O-A in hand and flow measurement were completed. Flow and pressure measurements were taken at all pumps, and circuit balancing valves associated with the system. The results of the measurements were: Pump Tag Pump Discharge Pressure (Ft. H2O) Pump Suction Pressure (Ft. H2O) Pump Differential Pressure (Ft. H2O) Pump Deadheaded Discharge Pressure (Ft. H2O) Pump Deadheaded Suction Pressure (Ft. H2O) Pump Deadheaded Differential Pressure (Ft. H2O) Calculated Pump Flow (From Pump Curve) (GPM) Heat Pump Primary Loop Pump GP-7 Hydronic Heating Buffer Tank Bridge Pump GP-8 Condensing Boiler Primary Loop Pump GP Note: All pump flows measured with balancing valves set to 100% open.

182 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 13 of 15 Balancing Valve Service Balancing Valve Model Number Balancing Valve Wheel Setting (Turns) Balancing Valve Differential Pressure Reading (Ft. H 2O) Balancing Valve Flow (Measured GPM per Manufacturer's Circuit Setter Flow Wheel) Balancing Valve Disposition Heat Pump Primary Loop Pump GP7 Balancing Valve Pump GP8 Balancing Valve Pump GP8 Balancing Valve Pump GP9 Balancing Valve 3" TA AS FOUND 3" TA to 80 AS FOUND 3" TA AS LEFT 3" TA AS FOUND The field notes from a GP7 flow measurement report prepared by Stephen Kane of KD ENGINEERING on March 31, 2014 for GEO-ENERGIE reads:

183 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 14 of 15 Pump GP7 is not delivering rated design flow with the balancing valve opened to 100% and all shut-off and isolation valves were in the 100% open position. The flow measurements taken March 31, 2014 indicate that the flow with the balancing valve opened to 100% was 125 GPM and the pump is delivering well less than the design flow of 87 GPM. The water quality in the loop appeared to be clean as the water was clear. This could indicate that the heat pump strainers need to be cleaned or that poor water quality treatment has allowed excessive scale to build up in the piping served by the pump. Recommended Water Flows, Buffer Tank Sizing, & Water Quality The original shop drawings generated from the MULTISTACK rep office in Montreal indicated two different load water flows for the heat pump depending upon the systems operating mode. A load water flow for the cooling mode was indicated to be 128 GPM and the load flow for the heating mode was indicated to be 87 GPM. The piping configuration is non-variable and refrigeration system configuration does not change when the system changes between cooling and heating. This is the first time we have come across a heat pump where the specified load water flows were specified differently for cooling and heating loads so we asked Brian Buchanan, the local MULTISTACK representative, for an explanation. After consideration, Brian submitted a revised performance selection indicating revised load flows of 130 GPM for both cooling and heating modes.

184 Attachment 9.4 Date: January 10, 2017 Delview Secondary Heat Pump Operation Investigation St, Delta BC Page 15 of 15 The heat pump s hydronic loop requires enough capacity to prevent the heat pump from short cycling. The system has two buffer tanks installed in parallel with a total capacity of 400 USGAL (1,514 L). A simple rule of thumb commonly used to size buffer tanks is to size the tank for 7.5 gallons per ton of refrigeration. The system has 55 tons of refrigeration which indicates a buffer tank capacity of 412 gallons (1,514 L). A second rule of thumb loop is to size the buffer tank with a capacity equal to the volume of running the two the primary circulating pump for two (2) minutes. Using the revised load flow recommendations received form the local MULTISTACK representative, two minutes of circulating capacity equals 120 seconds X GPM = 260 GPM (984 L). The installed buffer tank capacity satisfies the recommended buffer tank requirements. Maintenance of the water quality is critical to the heat pumps performance. The manufacturer recommends maintaining the water quality to the following standards: Controls Programming The JOHNSON CONTROLS DDC system is controlling the heat pumps through a hard wired DDC interface and is monitoring the units operating parameters via BACnet. Heat loop setpoint control is based on outdoor reset scheduling and building demand. Conclusions and Recommendations Heat Pump 1. The heat pump load water flow strainers be cleaned. 2. The load water pump be replaced with a new pump that has a minimum flow capacity of 130 GPM (8.2 L/s). 3. The heat pumps refrigeration systems be treated with NU-CALGON A/S RENEW. Controls Programming 1. Program pump failure alarms and electronically transmit them to the parties responsible for maintenance of the system. End of report.

185 Attachment 9.4 PRESSURE RATIO ALARM - CIRCUIT 2 PRESSURE RATIO ALARM - CIRCUIT 1 DELVIEW SECONDARY SCHOOL HEAT PUMP MODULE ALARM FAULT CODES November 4, 2016 to January 10, 2017 REVERSING VALVE FAULT REVERSING VALVE DELAY FAN/VFD FAULT DEFROST DELAY DEFROST SUCTION TEMP FAULT LOW PRESSURE DELAY C2 DEFROST LP SENSOR FAILURE HP SENSOR FAILURE DISABLED MANUAL MODE LOW PRESSURE DELAY C1 LLW TEMPERATURE LLW SENSOR FAILURE SUCTION SENSOR FAIL LOW SUCTION TEMP FAULT CIRCUIT FAULT C2 CIRCUIT FAULT C1 LOW PRESSURE FAULT HIGH PRESSURE FAULT AUTO MODE - NO FAULTS : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : :24 HP01 Module M1 ALARM FAULT CODE HP01 Module M2 ALARM FAULT CODE

186 Attachment 9.4 R410A Refrigerant Operating Pressure (PSIG) HP01 Compressor M1 - R410A Refrigerant Operating Pressures November 6, 2016 to January 10, : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : :00 HP01 M1 LP HP01 M1 HP HP01 M1-2 RUN STATUS HP01 M1-1 RUN STATUS ON OFF ON OFF M1-2 M1-1

187 Attachment 9.4 R410A Refrigerant Operating Pressure (PSIG) HP01 Compressor M2 - R410A Refrigerant Operating Pressures November 6, 2016 to January 10, : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : :00 HP01 M2 LP HP01 M2 HP HP01 M2-2 RUN STATUS HP01 M2-1 RUN STATUS ON OFF ON OFF M2-2 M2-1

188 Attachment 9.4 R410A Refrigerant - Temperature as a Fuction of Vapour Pressure Temperature ( F) Curve Equation y = E-14x E-10x E-08x E-05x E-03x E+00x E+01 R² = E Refrigerant Vapour Pressure (PSIG)

189 Attachment 9.4 R410A Refrigerant - Vapour Pressure as a Fuction of Temperature Curve Equation y = E-12x E-10x E-08x E-05x E-02x E+00x E+01 R² = E Refrigerant Vapour Pressure (PSIG) Temperature ( F)

190 Attachment 9.4 Parker Hannifin Corporation Sporlan Division 206 Lange Drive Washington, MO USA Phone Fax TO: SPORLAN DIVISION CUSTOMERS, FIELD SALES July 29, 2014 SUBJECT: RESIDENTIAL AC & HP SYSTEM CONTAMINANTS AFFECTING TEV PERFORMANCE Many installers and service organizations are finding problems with newly installed residential air-conditioning systems with straight AC or heat-pump versions in the 2-3 ton range primarily and with some reported issues up to 5 tons. After on-site troubleshooting, the problem is linked to a poorly operating thermostatic expansion valve (TEV) causing high superheat. After valve replacement, the system seems to run fine. On the surface this appears to be a valve problem. Sporlan Division of Parker-Hannifin has examined many returned valves in recent weeks and we find the same problem occurring throughout these returned valves. The valve has a brown or black resin-like material on the pin and the body that is stopping the valve from moving properly so it can maintain the proper superheat. Please see photos on page 2. Obviously, the material is not in the valve at the start-up of the system or the valve would not operate properly when the unit is put into service. The thermostatic expansion valve is actually not the problem; it is simply the location where this material collects. The source of the unusual materials forming this residue is currently being investigated by both system manufacturers as well as component suppliers including Sporlan. Once identified, it can be eliminated and then future systems will not have this issue. Until then, the same teams are also trying to find the best method to capture the residue before it gets to the valve. There is no current proven method to capture this contamination before it reaches the valve. The industry standard cleanup procedures are the best recommendation since this is a contamination related issue. This procedure indicates the use of an oversized liquid line filter-drier and a suction line filter-drier. We cannot guarantee that this technique will solve the problem; it is simply the method that has solved most contamination issues in the past. Sporlan does not recommend attempting to clean TEVs in the field to eliminate this contamination. Sporlan will continue to update the industry with our findings as the investigation continues. If you have any questions, please contact your Sporlan Sales Engineer. Sincerely, Glen Steinkoenig Product Manager Contaminant Control Products Jim Jansen Product Manager Thermostatic Expansion Valves

191 Photos of valve body and pins from Various AC & HP Systems Attachment 9.4 2

192 Attachment 9.4 NO: MB2014CC-15 DATE: 08/28/14 TO: U.S. Air Conditioning OEM Customers and U.S. Wholesalers FROM: Emerson Climate Technologies, Inc. SUBJECT: 2014 Frozen Coil Update Emerson Climate Technologies has been made aware of a somewhat higher incidence of field issues associated with indoor coils, mostly in 2 to 3 ton residential systems and this has become known as the frozen coil Issue. Information received by Emerson suggests that these field issues are being caused by clogged thermal expansion valves (TXV s) from various suppliers and that these clogged valves began appearing in the early summer of Emerson Climate Technologies was made aware of this potential field issue in mid-july. Since being made aware of the issue, the Emerson team has been conducting multiple investigations into possible causes. Emerson has been in contact with many OEM customers on this issue in an attempt to understand, collaborate and help resolve this problem. Tests are being conducted now to determine if certain approved process chemicals used by Emerson and those from various other component suppliers could be reacting inside the systems and if this chemical reaction might be causing the residue problem at the expansion valves. While this testing continues, Emerson will also be taking steps to minimize the use of materials or processes within our manufacturing plants, and within our supply chain, which could be potential contributors to this problem. These minimization steps will include certain chemicals used in the processing of internally and externally supplied parts used in Copeland Scroll compressors. It is possible but not clear yet from the current test results, whether the presence of these process chemicals, in isolation or in combination with other process chemicals found in various OEM systems might be causing the above problem. However, while the results are not clear yet, Emerson has decided to take these minimization steps as a precautionary measure and in the hope that this might reduce a portion of the problems that are being experienced in the field. Since each OEM situation might be unique due to the various combinations of process chemicals involved, Emerson will be advising contractors to consult directly with their OEM suppliers if more information is needed. In addition, Emerson will advise interested OEM customers, upon request, with the details of the testing as new information becomes available. Please contact your field sales manager, application engineer or customer service representative for additional information. Emerson Climate Technologies, Inc., 1675 W. Campbell Road, Sidney, OH EmersonClimate.com

193 Institutional Client Login To Contact an Attorney Call Attachment 9.4 THERMOSTATIC EXPANSION VALVE (TXV, TEV, TX) AND COPELAND SCROLL DEFECT INVESTIGATION Thermostatic Expansion Valve (TXV, TEV, TX) and Copeland Scroll Defect Investigation! Chimicles & Tikellis is investigating possible class action claims involving an alleged industry-wide defect in certain HVAC equipment, which has resulted in widespread thermostatic expansion valve failures (TEV, TXV, TX valves) on residential and commercial air conditioning and heat pump applications. Reportedly, the problem stems from a chemical rust inhibitor on Copeland Scroll compressors, which are incorporated in many HVAC applications. A reaction with the POE oil used in the compressor causes the POE to coagulate and collect in the TXV, which results in the TXV sticking. The problem reportedly affects numerous equipment brands that incorporate Copeland Scroll compressors, including Carrier, Lenox, Frigidaire, Bryant, ClimateMaster, Trane, and others. C&T is investigating potential claims on behalf of servicers, who may not be fully compensated by the manufacturers for warranty work, as well as end users who may have paid out-of-pocket for repairs or may be forced to pay out-of-pocket for repairs in the future. If you are a servicer or end-user who is affected by this defect, we would like to hear from you. Please contact the attorney below. Name *

194 Attachment 9.4 Address: * Phone: * Street Address: City: State: * Alabama Message * Submit (*) Indicates required field: When communicating with us through this site or otherwise in connection with a matter for which we do not already represent you, your communication may not be treated as privileged or confidential, and does not create an attorney-client relationship between you and our Firm. Attorneys for this case: Timothy N. Mathews Christina Donato Saler

195 Attachment 9.4 Haverford Office 361 West Lancaster Ave One Haverford Centre Haverford, Pennsylvania Toll Free: Voice: Delaware Office 222 Delaware Ave, Suite 1100 Wilmington, Delaware Toll Free: Voice: Fax: Awards Site Map Home About Us Our People Office Locations Tell Us About a Case Contact Us Disclosure 8500 Fax: Hyland Graphic Design & Advertising Main Line Web Design " # $ %

196 Attachment 9.4 General Service Bulletin MJ-X Oil Additive to Address High Superheat and Low Suction Pressure for TXVs Only (Patent Pending) Models See Page 6 for complete model list Serial 13401***F to 14395****F Bulletin: UN-SVB020A-EN Date: September 8, 2014 Introduction The purpose of this bulletin is to address recent reports of issues with TXVs used in air handler and furnace coil product lines, predominately found in the ton units. Reported issues include higher than normal superheat and lower than normal suction pressure which have generally appeared at start-up or within a short period of runtime (typically days). This is a fix on fail action. This is not a safety issue. Copyright Trane 2014 UN-SVB020A-EN

197 Attachment 9.4 Discussion We have brought back numerous valves from the field and a thorough analysis has been conducted. Findings to date show that a majority of the valves inspected contained debris on the push pin and spring. This debris on the push pin and spring may cause the valve to stick. Action Field For TXVs that exhibit the low suction pressure (<95 PSIG) and high superheat (> 30 F), an oil additive needs to be installed into the refrigerant system. The addition of this oil additive has been shown to dissolve the debris on the push pin and spring assembly freeing up the movement of the push pin. Repair and Installation Instructions Add 4 ounces of MJ-X oil additive (CHM01005) to the refrigerant system while the compressor is running. Follow the steps on page #5 after the MJ-X is added to the system. Important: MJ-X oil additive (CHM01005) is an approved oil additive when applied as directed in this service bulletin. Note: Oil injection tool is not provided for by this bulletin. Oil injection tool may be purchased through Trane parts. The following is a general description of how to add MJ-X oil additive (CHM01005) to the refrigerant system using a Yellow Jacket or similar injection tool. If other injection tools are used follow the manufacture s instructions for proper use of the tool. Copyright Trane 2014 UN-SVB020A-EN

198 Attachment 9.4 Copyright Trane 2014 UN-SVB020A-EN

199 Attachment 9.4 Note After injection of CHM01005 is complete attach label LBL00427 to the unit Copyright Trane 2014 UN-SVB020A-EN

200 Attachment 9.4 After adding MJ-X Oil Additive complete the following steps: 1. Operate the unit in the heating mode. 2. If the outdoor unit is a heat pump, place system in the heating mode of operation for 15 minutes. 3. If the system has a gas furnace, cycle off the air conditioner and cycle on the gas furnace for 15 minutes of run time. 4. If the system is an electric/electric system, cycle off the air conditioning and place the TXV sensing bulb in a bath of hot water for 15 minutes. 5. Place the system back into the cooling mode of operation and allow it to operate for 15 minutes. Note any performance changes. 6. Did the system performance improve to > 95 PSIG Suction Pressure? 7. If yes, the MJ-X oil additive is clearing the restriction. No further work required. 8. If no, repeat steps Did the system performance improve to Suction Pressure > 95 PSIG? 10. If yes, the MJ-X oil additive is clearing the restriction. No further work required 11. If no, replace the TXV Note: It May take up to 48 hours of operation for the system to return to normal operating conditions. Parts Ordering Information One bottle of MJ-X Oil Additive (CHM01005) and one label (LBL00427) per affected unit as identified in this bulletin. Note: Oil injection tool is not provided for in this bulletin. Oil injection tool may be purchased through Global Parts using part number TOL Parts should be ordered through normal parts channels. Material Disposition Discard any parts in accordance with federal, state and local guidelines after it is determined they are no longer needed. Copyright Trane 2014 UN-SVB020A-EN

201 Copyright Trane 2014 UN-SVB020A-EN Affected Models 4TTR3018G1000AA 4A7A3018G1000AA 4TWR3018D1000AA 4A6H3018D1000AA 4TTB3018H1000AA 4TTB3018G1S00AA 4TTB3024H1000AA 4TTB3018AA000AA 4TTR3024G1000AA 4A7A3024G1000AA 4TWR3024D1000AA 4A6H3024D1000AA 4TTB3024G1S00AA 4TTM3024B1000AA 4TWB3024D1000AA 4TTB3024AA000AA 4TTR3030G1000AA 4A7A3030G1000AA 4TTB3030G1000AA 4TTB3030G1S00AA 4TTM3030B1000AA 4TTB6036A1000AA 4TTR6036B1000AA 4A7A6036H1000AA 4TTR3036E1000AA 4A7A3036E1000AA 4TTX6036H1000AA 4TWR3036C1000AA 4A6H3036C1000AA 4TWR3036C1000AB 4A6H3036C1000AB 4TWB3036C1000AB 4TWR4036D1000AA 4A6H4036D1000AA 4TTB3030AA000AA 4TTA3036B3000AA 4TTA3036B3S00AA 4TWA3036B3000AA 4TTA3036B4000AA 4TTA3030AD000AA 4TWA3036B4000AA 4TTB3036AA000AA 4TTA3036AD000AA 4TTX6024G1000BA 4TTR7024A1000AA 4TTX8024A1000AA 4A7A7024A1000AA 4TWR6024A1000BA 4TWX6024G1000BA 4TWX8024A1000AA 4TWR7024A1000BA 4A6H7024A1000BA 4TTR7036A1000AA 4TTX8036A1000AA 4A7A7036A1000AA 4TWX8036C1C00AA 4TWX8036C1000AA 4TWX8036C1C00AB 4TWX8036C1000AB 4A6H7036B1000AA 4TWR7036B1000AA 4A6H7036B1C00AA Attachment 9.4

202 Attachment 9.4 Expiration Date This bulletin will expire on September 30, 2015 Questions Dealer and Distributor Personnel: Contact your Local Field Service Representative. Field Service Representatives: Contact Technical Support in Tyler, TX. Literature Order Number File Number Supersedes Stocking Location UN-SVB020A-EN NEW Electronic Only Trane USA Inc. has a policy of continuous product data and product improvement and reserves the right to change design and specifications without notice. Only qualified technicians should perform the installation and servicing of equipment referred to in this bulletin. Copyright Trane 2014 UN-SVB020A-EN

203 Attachment 9.4 To: Residential Distributors and Dealers Aftermarket Distributors and Dealers From: Technical Service Department Date: September 9, 2014 RE: POE Oil Contamination Ton Split Systems and Package Units (Revised) NORDYNE has received reports of malfunctioning TXV valves in ton split systems and package units. As reported in earlier bulletins, a sticky substance has been found in the TXV that has been identified as coagulated ester based lubricant (POE Oil). This issue has been wide-ranging and has affected our entire industry. NORDYNE has worked closely with Emerson Climate Technologies to identify a date range of suspect product. The targeted date range (of the compressor bearing unit) is between October 1, 2013 September 1, Serial Number date code XXX XXX1409 NORDYNE has worked with a limited number of Distributor TSA s in testing an oil additive (NuCalgon AC Re-New / Zerol Ice) in systems demonstrating contaminated TXV s. In our sample units the malfunctioning event was corrected. NORDYNE is allowing in systems that are demonstrating contaminated TXV operation (as evidenced by high or fluctuating superheat after a successful start-up) the application of NuCalgon AC Re-New / Zerol Ice. This will eliminate the need to replace the TXV and drier. Please see attached AC Re-New instructions or follow this link: HVAC best practice system testing must be done to confirm the malfunction is not system charge related or a failed TXV for other mechanical reasons such as control bulb charge loss. NORDYNE Bulletins are not for public display, web posting, or dissemination to non-nordyne partners. NORDYNE distributors may post the bulletin ONLY behind a secure fire wall that requires password access, and where the folder cannot be crawled by web search engines Phoenix Parkway O Fallon, Missouri NORDYNE. All Rights Reserved.

204 Attachment 9.4 Nu-Calgon Product Bulletin 3-80 REVITALIZES AND ENERGIZES AIR CONDITIONING SYSTEMS UNIVERSAL PACAKAGE PERMITS USE WITH ALL REFRIGERANTS. Refrigeration Oil A/C Re~New Quiets noisy compressors. Reduces energy consumption. Improves heat transfer in the evaporator and condenser. Great for new and old systems. Description A/C Re~New has been used successfully for many years to improve the performance of air conditioning and refrigeration systems. A/C Re~New provides significant saving in energy use. It also quiets noisy systems and extends the life of the system. It is a lubricant that blends with the system s oil, lasting for the life of the equipment. A/C Re~New in the Compressor PP Improved lubricity through reduced friction drag PP Cleaner system PP Quieter Operation Application A/C Re~New can be used in air conditioning and refrigeration applications. The pressurized package, , is formulated for use in R-22, R-410A as well as other refrigerants in systems up to 5 tons. Multiple cans should be used to treat larger commercial systems such as packaged units or larger refrigeration systems. Additionally, the product is available in unpressurized 4 oz. bottles and 32 oz. quarts. Install with the A/C Re~New Injector. Packaging Pressurized can start-up kit quart (32 fl. oz.) fluid ounce can A/C Re~New Injector Tool Injection Valve Altom Ct. St. Louis, MO Calgon is a licensed trade name (714) 3-80

205 A/C Re~New Technology Testing Results Attachment 9.4 Residential air conditioning systems account for up to 70% of the home s energy consumption. And when the outdoor temperature rises the system works longer and harder. Through tests on actual installations, the A/C Re~New technology has demonstrated its ability to reduce the air conditioning systems energy use on average by 11% It has also been found to improve the system s cooling performance and quiet noisy systems. Energy Savings Number of units tested Outdoor Temperature Average Running amps Before A/C Re~New Average Running amps After A/C Re~New % Savings 73.3ºF 56.4ºF 10.8% 5.2% Noise Reduction Average Decibel Before A/C Re~New Average Decibel After A/C Re~New Decibel Drop Cooling Performance Average Air Duct Temp. Before A/C Re~New Average Air Duct Temp. After A/C Re~New Temperature Drop 57.4ºF 54.2ºF 3.2ºF Falex Pin Test This test is used to evaluate wear and tear, friction and extreme pressure properties of materials and lubricants. A rotating pin, also referred to as a journal, is lubricated with the test product and is compressed between two V-shaped blocks. Pressure (depicted by the red arrows) is added at increasing levels until the pin fails. The goal is to determine how much load or force the lubricant can withstand before it fails. Therefore, the higher the load, the better the lubricant. Three typical industry oils (Mineral Oil, Alkylbenzene and POE) were tested, both alone and then mixed appropriately with A/C Re~New. A/C Re~New significantly improved the oil s load-to-failure points. BRASS LOCKING PIN JOURNAL V-BLOCKS Compressor Wear Test This test evaluated how well A/C Re~New reduced metal wear in operating compressors. Six reciprocating compressors were tested with R-22 refrigerant and mineral oil for a period of 500 hours. A/C Re~New was applied to half of the compressors. As shown in the pictures to the right, the bearing wear on the compressors was significantly reduced in those compressors containing A/C Re~New. Less wear means the equipment will last longer and reduced friction results in lower energy consumption. Similar results were achieved in scroll compressors (photos available). Reciprocating - Upper Journal Without A/C Re~New With A/C Re~New Fewer Scars

206 Directions for Use For R-22 systems and other systems where the low side pressure is below 65 psi: One can will treat systems up to 5 tons Multiple cans should be used to treat larger commercial systems such as packaged units, split systems, etc 1. Confirm that you have all the required items for the application. 2. Use one can of A/C Re~New for up to 5 tons of system capacity. For larger systems, multiple cans should be used. And for system capacities that fall between multiples of 5 tons (3 tons, 7 1/2 tons, etc.), round up to the next multiple of 5 tons to determine the required charge of A/C Re~New. For example, use two cans to treat 7 1/2 tons. The slightly higher dose of A/C Re~New is nominal and considered acceptable. 3. Oil removal. For systems over 10 tons, it is recommended that 4 fluid ounces of system oil be removed for every 5 tons of capacity. For example, remove 12 fluid ounces of oil from a 15 ton system, and install three cans of A/C Re~New. 4. Be sure to exercise and use good air conditioning, refrigeration service practices at all times. 5. Close Injection Valve, and attach it to the can of A/C Re~New. 6. Connect one end of the charging hose to the Injection Valve, and then connect the other end of the hose to an access port on the low pressure side. 7. Slightly crack the hose fitting connected to the Injection Valve in order to purge air from the hose. Then, quickly re-tighten fitting. 8. With can upright, open the Injection Valve and allow the A/C Re~New mixture to charge into the system. The A/C Re~New is pressurized sufficiently to overcome low side system pressures below 65 psi. Charging will take 2-3 minutes. 9. If additional cans are to be added, leave hose connected but close Injection Valve. With Injection Valve closed, remove it from the spent can. (Be careful as can will be under some pressure.) Attach new can of A/C Re~New and open Injection Valve to inject product. Repeat for all additional cans. 10. Close Injection Valve, then follow by disconnecting both ends of hose. Remove Injection Valve. 11. Retain hose and Injection Valve for future A/C Re~New applications. 12. Properly discard the empty A/C Re~New can. For R-410A systems and other systems where the low side pressure is ABOVE 65 psi while running: IMPORTANT: System must be pumped down to lower the low side pressure to psi. Since low side pressures in a R-410A system are higher than the pressure in the A/C Re~New can, you must first pump down the system to inject the product. To do so, follow the below instructions. 1. Secure electric power to the unit and connect the refrigerant manifold, as shown in Figure Close the liquid line valve and turn the compressor on to start pumping refrigerant into the condenser. 3. Operate the compressor until the suction gauge on the manifold shows a pressure of 40 to 50 psi (lower pressure than what is in the can). CAUTION: Do not pump completely down as low pressure cut-off or high pressure relief could engage. 4. When the pressure on the suction gauge is between 40 and 50 psi, turn the compressor off and immediately close the suction line valve. This procedure traps most LOW HIGH of the refrigerant in the condenser allowing you to inject FIGURE 2 the A/C Re~New. (Be sure the pressure in the low side is between 40 and 50 psi) 5. Shake can well. Be sure piercing valve handle is turned fully counter clockwise and then attach piercing valve to can. Be sure not to cross thread or over tighten. 6. Attach other end of charging hose to low side service port. As this is done, there will be a very small release of system charge that will purge air from the hose. Additionally, where permissible by law, the hose can be purged by slightly unscrewing the piercing valve from the can allowing the system s charge to enter and purge the hose. CLOSED METERING VALVE EVAPORATOR CLOSED SUCTION LINE VALVE Attachment 9.4 DISCHARGE SERVICE VALVE CONDENSER LIQUID LINE VALVE

207 7. Attachment 9.4 valve Turn piercing valve handle fully clockwise to pierce can then, turn piercing valve handle counter clockwise to open and install A/C Re~New. Allow approximately 2-3 minutes for product to completely enter the system. 8. Once product is dispensed, close piercing valve and remove hose from low side service port. 9. After the charging hose is disconnected from the system, open the valves to allow the refrigerant back into the rest of the system. Run the system continuously for 1 hour or more to allow product to fully circulate through system. Instructions for Using the A/C Re~New Injector Tool 3 If desired, the unpressurized packages may be used. This includes the 4 fluid ounce bottle Add 4 fl. oz. ( ) and the quarta/c ( ). Re-New Use of the A/C Re~New Injector Tool ( ) is recommended for installation. Closed Open Briefly to Purge Hose Close When Evacuated HIGH SIDE Installing A/C Re~New a. Attach a vacuum pump to the other end, as shown, using another short hose with a shut-off valve. Draw vacuum on extra hose, then close its valve. Proceed to step 4. Vacuum Pump Close When Evacuated Closed HIGH SIDE b. an alternative method b) As Open without Slightly to the vacuum a) Open Letpump, Oil into use a clean the System hose set and Briefly to manifold Pressure proper service techniques Canister to push the A/C Re~NewHIGH SIDE into the low side with high side pressure. Be sure to LOWall SIDElines. purge or burp HIGH SIDE Vacuum Pump Add 4 fl. oz. A/C LOW SIDE Secure hose-end tore-new Close When suction side fitting, with Evacuated valve in closed position. OnceClosed attached, crack Closed valve quickly to purge. LOW SIDE Open Briefly to Purge Hose LOW SIDE b) Open Slightly to Let Oil into the System 4 a. Attach to high side HIGH SIDE and then briefly open valve on second hose to pressurize the LOW SIDE cylinder of product. Close valve. Vacuum Pump 1 Add 4 fl. oz. A/C Re-New HIGH SIDE LOW SIDE 2 LOW SIDE Closed Add 4 fl. oz. A/C Re-New HIGH SIDE Closed Add 4 fl. oz. to cylinder LOW SIDE Closed and the close cylinder lid to seal. HIGH SIDE LOW SIDE b) Open Slightly to Let Oil into the System a) Open Briefly to Pressure Canister HIGH SIDE LOW SIDE HIGH SIDE LOW SIDE Close When Evacuated Vacuum Pump HIGH SIDE HIGH SIDE LOW SIDE Closed W SIDE HIGH SIDE HIGH SIDE LOW SIDE HIGH SIDE b) Open Slightly to Let Oil into the System 5 a) Open Briefly to Pressure Canister b. Slightly open valve on cylinder to push product into system low side. LOW SIDE a) Open Briefly to Pressure Canister Once installed, HIGH SIDE close this valve and disconnect from low side fitting. LOW SIDE 6 Close up cylinder to prevent any contamination from entering it. Read and understand the product s label and Material Safety Data Sheet ( MSDS ) for precautionary and first aid information. The MSDS is available on the Nu-Calgon website at Altom Ct. St. Louis, MO Calgon is a licensed trade name (714) 3-80

208 Attachment 9.4

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217 Attachment 9.4 PHYSICAL DATA Length (in.) Width(in.) Height (in.) Estimated Dry Weight (lbs.) Estimated Operating Weight (lbs.) Refrigerant Type Refrigerant Charge (lbs per module) (2600 mm 72 (1829 mm) 94.5 (2400 mm) 4900 (2205 kg) 5300 (2385 kg) R-410A 80 (36 kg) HEAT PUMP DATA Model# (2) ARP030XN13C2RS0AMHN 410A Compressor Description Scroll Norn. Capacity (tons per module) 30 Options Wilh Ambient Relief (per AHRI 550/590) Compressor RLA (per compressor) 25 Fan FLA (per fan) 5.2 *118 MOP 150 Voltage 575/60/3 0 0 MOUNTING/LIFTING FRAME Materials Carbon Steel Painted Design Standard - no walkwav/oassaae I-Beam Size 6' Width of Walkway/Passage NIA Bolt together frame - # of pieces 1 End Type Standard Version#: 'Parallel feeds not required (Assumes no larger than 500 MCM/kcmil wire) If this seal,. not BLUE, the document Is not an original. The preunce and the signature of ttti. seal on this document do not relea.e In any wa tenderer of the document of his obllg n respect the ll'ltentlon and the direct o blueprints and epecs and to IGl!JN!iW,tt,,re and st a s In force. Date: O 13 Signature: &Reviewed D Reviewed H noted 0 Revl.. and R... Submit Geo.Energie Inc Gay-Lussac loucherville, (Qc) l48 7K1 T: (450) fi41-91l8 P:(514) projetogeo ene,vle.com Unit is outside of the scope of AHR/ Water.Cooled Water Chilling Packages Using Vapor Compression Cycle Certification Program, but is rated in accordance with AHR/ Standard 550/590 (I-P)

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231 Job Name Location Engineer Contractor Delview Reselect Vancouver Job Number Quote Number Representative Rep Office Attachment 9.4 QBBUCHANAN Brian Buchanan Vancouver Mechanical Modules: Accessory Modules: Air To Water (2 pipe) (2) ARP030XN13C2RS0AAASN-410A (2 front, 0 rear) COOLING PERFORMANCE DATA Load Capacity (Tons) kw kw/ton EER COP Load Flow (GPM) Load Leaving F ΔP (ft) Ambient F 100% 75% 50% 25% With Ambient Relief (per AHRI 550/590) IPLV HEATING PERFORMANCE DATA Load Capacity (MBH) Input kw Heating COP Load Flow (GPM) Load Leaving F ΔP (ft) Ambient F 100% 75% 50% 25% COOLING DESIGN DATA-LOAD SIDE (Based on Water) HEATING DESIGN DATA-LOAD SIDE (Based on Water) Entering Temperature Entering Temperature Leaving Temperature Leaving Temperature Design Flow (GPM) Design Flow (GPM) Pressure Drop (Full Load) PSI / ft Pressure Drop (Full Load) PSI / ft Chiller Minimum Flow Chiller Minimum Flow Minimum Pressure Drop PSI / ft Minimum Pressure Drop PSI / ft Fouling Factor Fouling Factor Header Size 6'' Header Size 6'' Header Connection Type Grooved Coupling Header Connection Type Grooved Coupling Heat Exchanger Style Brazed Plate Heat Exchanger Style Brazed Plate # Of Compressors (per module) 2 # Of Compressors (per module) 2 COOLING DESIGN DATA-SOURCE SIDE (Based on 0 Elevation) HEATING DESIGN DATA-SOURCE SIDE Design Ambient Design Ambient Minimum Ambient Maximum Ambient Coil Type Al/Cu Condenser Coils-No Coating Coil Type Al/Cu Condenser Coils-No Coating Fan Qty (per module) 2 Fan Qty (per module) 2 Fan Horsepower 2 Fan Horsepower 2

232 Attachment 9.4 PHYSICAL DATA Length (in.) Width (in.) Height (in.) Estimated Dry Weight (lbs.) Estimated Operating Weight (lbs.) Refrigerant Type Refrigerant Charge (lbs per module) R-410A 80 HEAT PUMP DATA Model# Compressor Description Nom. Capacity (tons per module) Options Compressor RLA (per compressor) Fan FLA (per fan) (2) ARP030XN13C2RS0AAASN-410A Scroll 30 With Ambient Relief (per AHRI 550/590) Dimensions are estimated and do not include J-Boxes ELECTRICAL DATA (2) ARP030 MCA MOP Voltage 1 2 * /60/3 4 0 MOUNTING/LIFTING FRAME Materials Design I-Beam Size Width of Walkway/Passage Bolt together frame - # of pieces End Type Option Not Selected Option Not Selected Option Not Selected Option Not Selected Option Not Selected Option Not Selected Software Version #: Performance Run Date: 10/7/2016 4:48:58 PM HEAT TRACING ELECTRICAL DATA (Field Supplied 120V Circuit) MCA 14 MOP 20 *Parallel feeds not required (Assumes no larger than 500 MCM/kcmil wire) Unit is outside of the scope of AHRI Water-Cooled Water Chilling Packages Using Vapor Compression Cycle Certification Program, but is rated in accordance with AHRI Standard 550/590 (I-P)

233 Attachment 9.4 Product Overview: Model Description Compressor Description (2) ARP030XN13C2RS0AAASN-410A (2 front, 0 rear) Scroll Services & Special Features: Stainless Steel Heat Exchanger Lead Compressor Sequencing (24 hrs) Automatic Internal Rescheduling If Fault Occurs Automatic Logging Of Any Fault Condition Electronic Load Water Control Quick Interconnect Modular Design Dual Condenser Fans Per Module Designed For Quiet Operation Pressure Controlled 1150 RPM Fan Motors Filters In Load Water Supply Headers Stainless Steel Inlet Header R-410A Refrigerant Heat pump Design VFDs On Fans Multiple, independent refrigeration systems Heat Tracing (requires separate 120V electrical circuit) Al/Cu Condenser Coils Single Point Power Connection Brazed Plate Evaporator 2 Condenser Fans per module Heat Pump Design 5kA SCCR Electrical Connection Type - Junction Box Warranty: Compressor (5 Year) Warranty: All Parts (1 Year) Excluded By Multistack: Any Travel and Diagnosis for Warranties Multistack recommends a 2-3 minute minimum loop time. Contact Multistack if you have questions regarding system loop time design Mounting of front and rear modules with minimum 24'' passage recommended for ease of service and maintenance access

234 Job Name Location Engineer Contractor Delview Reselect Vancouver Job Number Quote Number Representative Rep Office Attachment 9.4 QBBUCHANAN Brian Buchanan Vancouver Accessory Detail

235 Attachment 9.4 HVAC Health Report for DELVIEW SECONDARY SCHOOL 24 MARCH 2017

236 Attachment 9.4 This report is created for At th St Delta, BC

237 Attachment 9.4 Introduction Thank you for giving us the opportunity to complete an analysis of the HVAC systems at DELVIEW SECONDARY SCHOOL The future is being built today, and Johnson Controls is making that future more productive, more secure and more sustainable. We create intelligent buildings, efficient energy solutions, integrated infrastructure and next generation transportation systems that work seamlessly together to deliver on the promise of smart cities and communities. At its core, that promise is about delivering innovation that make people s lives and the world better. Johnson Controls is a global diversified technology and multi industrial leader serving a wide range of customers in more than 150 countries. Our commitment to sustainability dates back to our roots in 1885, with the invention of the first electric room thermostat. We are committed to helping our customers win and creating greater value for all of our stakeholders through strategic focus on our buildings and energy growth platforms Johnson Controls HVAC Health Report Delview Secondary 1

238 Attachment 9.4 Table of Contents 1. Introduction 2. Objectives of the Study 3. Items for Investigation 4. Findings 5. Recommendation/Conclusion Johnson Controls HVAC Health Report Delview Secondary 2

239 Attachment 9.4 Objectives of the study Check, test, and Verify the operation of the HVAC systems. Comprehensive approach to identify operational deficiencies. Target mechanical issues, operational challenges, energy consumption and discomfort. Obtaining a complete picture of the systems and their current function (to establish budgets, repairs or future changes). This process does not generate major repair costs because it aims primarily to optimize existing equipment. Generate a report on any abnormalities found during the study. Submit recommendations and budgetary costs for remediation. In order to have an overall picture of the building, we first developed a clear and specific list of items to be investigated. This allowed us to develop a thorough approach to test the facilities mechanical equipment. A team of experienced HVAC professionals was formed consisting of refrigeration and heating mechanics, building automation technicians, and building operations specialists. Our team proceeded to validate and test several HVAC systems in order to observe mechanical issues, operational challenges and energy consumption, looking for opportunities to improve efficiency and comfort. Johnson Controls HVAC Health Report Delview Secondary 3

240 Attachment 9.4 Items investigated as Reported Hot water supply temperature (Fortis BC Central Plant) Front office too cold. (AHU-1 with baseboard heating in the space) Main Gym too cold. (Gym AHU1 & Gym AHU2) Auxiliary Gym too cold (Aux Gym AHU) Wood working & Metal shop too cold (FC1 & FC2 & multiple fan coils) Rm 126,128 and129 too Cold (AHU-6)

241 Attachment 9.4 Findings Mechanical Equipment Health Report 1 Delview Secondary School Measured Equipment Condition Description of the set up Status Immediate Actions taken Recommendations for future work Potential energy savings and comfort Improvement 1 Hot Water Supply Temperature Set Point Metasys Controls Reset Schedule temperatures had been changed from the design settings. This resulted in a lower hot water supply set point which lowered supply water temperatures across the system. The lower hot water supply temperature had an effect on the operation of some airside systems. Complete Reset Schedule returned to original design specifications. Continue to monitor hot water supply temperatures and adjust settings to conserve energy, keeping in mind low limit operating temperatures of airside system components in wood and metal shop Decreased energy savings Increased comfort 2 Boiler Sequence of Operations Metsys Controls When the building enters occupied mode there is a large demand on the system for hot water and a sudden drop in return water temperature. The boiler system was taking between two and three hours to raise hot water supply temperatures back up to set point. Complete Change staging of the boilers to react more quickly to sudden demands for hot water. Staging the airside system to decrease the sudden load demand on the boiler system. Decreased energy Savings Increased Comfort 3 Pump 9 Metasys Controls Pump 9, which feeds hot water storage tanks TK1 and TK2 was linked to operation of the heat pump (HP-1). When the HP was off pump 9 was off. Condensing boiler G1 draws water from TK1 and TK2. The result was that when the HP-1 was off Pump 9 would shut off stopping water supply to the storage tanks and therefore boiler G1. G1 would continue to run but would just circulate water through itself. Complete Change controls so that P9 runs all the time in order to maintain water flow to G1. Nil Increase energy savings Improve Comfort 4 Boiler B1 Does Not Light Boiler 1 Boiler B1 does not light when commanded. As this is the first atmospheric boiler to stage on if the heat pump and condensing boiler cannot meet set point this created a lag of 30 min in boiler reaction time to requests for higher hot water supply temperatures. Work Order Created Diagnose and repair B-1 Daily monitoring by JCI will identify issues with equipment so that there is not a long term impact on systems. Improve Comfort 5 Heat Pump Alarm Heat Pump 1 HP-1 heats water in storage tanks TK1 and TK2. The heat pump is not currently functioning, removing the most efficient piece of heating equipment in the hot water system. Work Order Created Diagnose and repair HP- 1 Increase energy savings Improve Comfort

242 Attachment Main Gym Cold Reports Gym AHU1 & Gym AHU2 The main gym is heated by two AHU located above both sides of the gym s stage. These units draw return air through vents located below the stage and push it out near the gym ceiling. The north side of the gym regularly showed that it was below set point while the south side reported that it occasionally dropped below set point. It was observed that the north AHU was turned off at the breaker. The south AHU was running with a loose V-belt. A series of mats had been installed on the front of the stage that blocked return air from getting to both AHUs. There was also a large amount of dust blocking the return grills of both AHUs under the stage, the filters and coils of both gym AHUs were very dirty resulting in decreased air flow, decreased heat exchange across the coils and increased electrical loads on the fan motors. Filters were also improperly sized resulting in a large amount of by-pass air. It was also observed that both AHUs were not meeting supply air set point but the valves on both units were not fully open, suggesting a requirement to adjust or tune the DDC system. The Mats have been removed and Delta School Board is working with the school to keep the vents clear in the future. 1. Filters must be changed at a regular interval and sized appropriately to ensure proper filtration and to protect the coil. 2. Coils for these and all AHU s in this school should be cleaned to allow for efficient heat exchange 3. Building controls system should be modified or calibrated to ensure Set Points are met. Increase Energy Savings Increase comfort 4. The AHU s should only be turned on or off by the building automation system and not by the breaker 5. Installing fans on the ceiling would push warm air down from the peaked ceiling. Johnson Controls HVAC Health Report Delview Secondary 1

243 Attachment 9.4 The auxiliary gym, also known as the small gym was showing as cold on reports. It was observed that the AHU was turned off at the breaker. Once activated the AHU brought the temperature in the gym well above the supply air set point. Upon inspecting the unit through the roof access it was discovered the heating valve is not connected to the DDC system. This resulted in temperatures that were too high when the AHU was operating causing building occupants to disable the AHU at the breaker panel. It was also observed the filters and coils of the aux gym AHU were very dirty resulting in decreased air flow, decreased heat exchange across the coils and increased electrical loads on the fan motors. 1. Connect valve controller to building automation system to regulate AHU temperature. 2. There air in the heating pipe, the bleeder is constantly releasing small amounts of air, it is recommended to investigate this symptom and consider replacing the bleeder. 7 Auxilary Gym Cold Reports Aux Gym AHU Returned the breaker to on position 3. Changing the filters and cleaning the heating coil will increase air flow and heat transfer across the coils allowing the unit to operate more efficiently. Increase Energy Savings Increase comfort 4. The AHU should only be turned on or off by the building automation system and not by the breaker Johnson Controls HVAC Health Report Delview Secondary 2

244 Attachment Main Office Cold Reports AHU1 The main office is heated by air from air handling unit AHU1 and by two electric base board heaters located on the east wall below the windows. The office is located at the end of the duct run and the branch ducts are not insulated resulting in temperature loss along ducts. The result is lower temperature air being delivered to the office and increased reliance on the baseboard heaters to heat this space. It was also observed that the set point was not being reached at the supply air end of AHU1 but the valve positions were only open to 30%. The fan and coils of AHU1 were also observed to be dirty. None 1. Coils for these and all AHU s in this school should be cleaned to allow for efficient heat exchange 2. Building controls system should be modified or calibrated to ensure Set Points are met. Increase Energy Savings Increase comfort 9 Wood Working and Metal Shop Cold Reports FC1 & FC2 The wood working, metal working, and electronics shops are heated by three ceiling mounted AHUs, one located in each room. There are also ceiling mounted unit heaters located in all shops controlled by local on/off switches. These rooms consistently report cold temperatures. It was observed that the AHUs in the wood working shop and the metal shop were turned off at their starter. The unit heaters are equipped with hot water low limits preventing them from starting is hot water temperature is below 130 deg F. Once the AHU in the wood shop was started and permitted to run with the heating valve at 100% the temperature was negligibly increased. Suggesting the heating valve is not functioning appropriately Turned starters to auto 1. Coils for these and all AHU s in this school should be cleaned to allow for efficient heat exchange 2. Building controls system should be modified or calibrated to ensure Set Points are met Increase Energy Savings Increase comfort It was not possible to inspect the coils on these systems, but given the environment they operate in it is assumed that the coils are most likely dirty. Johnson Controls HVAC Health Report Delview Secondary 3

245 Attachment 9.4 Rooms 126, 128, and 129 are heated by air handling unit AHU 6. These rooms consistently report cold temperatures. After increasing the hot water set point only Rm 129 reported that it was not meeting air temperature set point. The rooms are located at the end of the duct run. The branch ducts are not insulated and there is no re-heat installed on the duct. There are large air return vents in Rm 128 and Rm 129 which may be effecting the amount of heated air that makes it to Rm Rm 126, 128 and 129 Cold Reports AHU6 None Increase Energy Savings Increase comfort Johnson Controls HVAC Health Report Delview Secondary 4

246 Attachment 9.4 Recommendation / Conclusion As per our investigation we recommend that Delview Secondary School complete a detailed maintenance on their HVAC systems to ensure efficient operations of both mechanical and controls. Johnson Controls, as an HVAC systems and services partner to Fortis BC is prepared to assist in the execution of this work, if interested, a quote can be produced for this work. It is recommended that Fortis BC complete changes and repairs to the central plant. It is believed the recommendations listed, will result in more efficient heat distribution in the school, increased efficiency, improved building comfort and provide a better environment for the students and staff. These changes are represented as shown in the body of the report and are summarized below: - Execute recommended changes and repairs to Central Plant. - Complete recommended repairs to the facility. - Clean coils in all ventilation systems. - Verify and calibrate the controls systems to attain set points.

247 Attachment 15.6a REFER TO EXCEL SPREADSHEET Provided in electronic format only FILED CONFIDENTIALLY

248 Attachment 15.6b (Provided in electronic format only due to document size and in order to conserve paper) FILED CONFIDENTIALLY

249 Attachment 15.6c REFER TO EXCEL SPREADSHEET Provided in electronic format only (accessible by opening the Attachments Tab in Adobe)

250 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: BEACH GROVE ELEMENTARY BEACH GROVE ELEMENTARY a Ave Delta, BC V4L 1J7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPLLPDT B-1 Condensing Boiler (HTP) Mod Con KPLLPDT Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 03/29/ /29/201799/99/ 9999 Arrived onsite. Checked in. Got access to mechanical. Performed PJC. Performed service on pumps boiler pumps. Checked operation. Checked pressures. Operational okay at this time. Ryan Battagello Complete Activity Number 1-M1BR4AK Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

251 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

252 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

253 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: BEACH GROVE ELEMENTARY BEACH GROVE ELEMENTARY a Ave Delta, BC V4L 1J7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPLLPDT 1-KPLLPDT 1-KPLLPDT 1-KPLLPDT 1-KPLLPEA 1-KPLLPEA 1-KPLLPEA B-1 Condensing Boiler (HTP) Mod Con 300 B-1 Condensing Boiler (HTP) Mod Con 300 B-1 Condensing Boiler (HTP) Mod Con 300 B-1 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con KPLLPDT Circ. Pumps Yes 1-KPLLPDT Combustion Analysis - Boiler, High Effic KPLLPDT Comprehensive - Boiler, Gas-Fired, High Effic KPLLPDT Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KPLLPEA Combustion Analysis - Boiler, High Effic KPLLPEA Comprehensive - Boiler, Gas-Fired, High Effic KPLLPEA Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 10/12/ /12/201799/99/ 9999 Physically checked circulation pump operations, did not find abnormal situations. Lubricated all pump bearings, done. Activity Number 1-Q8T0QJJ Han Jiang For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

254 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/31/ /31/201799/99/ 9999 Arrived onsite and completed prejob checklist. Did fireside cleaning and combustion analysis for both boilers Robert Veltman 10/12/ /99/9999 Tested operation of safeties. All ok Completed by Rob on other activity Activity Number 1-OF6STCK Activity Number 1-OF6RK93 Han Jiang Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

255 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

256 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: CHALMERS ELEMENTARY SCHOOL CHALMERS ELEMENTARY SCHOOL Ave Delta, BC V4C 1H4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPNFV8D B-1X Atmospheric Boiler (HydroTherm) 1-KPNFV8D Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 03/30/ /30/201799/99/ 9999 Arrived onsite. Checked in. Got access to boiler room. Performed PJC. Performed pump inspection. Checked operation and pressures. Pumps check okay at this time. Ryan Battagello Complete Activity Number 1-M1BR2QU Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

257 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

258 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

259 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: CHALMERS ELEMENTARY SCHOOL CHALMERS ELEMENTARY SCHOOL Ave Delta, BC V4C 1H4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPNFV8D 1-KPNFV8D 1-KPNFV8D 1-KPNFVBO 1-KPNFVBO 1-KPNFVBO 1-KPNFVCT 1-KPNFVCT 1-KPNFVCT B-1X Atmospheric Boiler (HydroTherm) B-1X Atmospheric Boiler (HydroTherm) B-1X Atmospheric Boiler (HydroTherm) B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con KPNFV8D Combustion Analysis - Boiler, High Effic KPNFV8D Comprehensive - Boiler, Gas-Fired, High Effic KPNFV8D Fireside Cleaning - Boiler, High Effic KPNFVBO Combustion Analysis - Boiler, High Effic KPNFVBO Comprehensive - Boiler, Gas-Fired, High Effic KPNFVBO Fireside Cleaning - Boiler, High Effic KPNFVCT Combustion Analysis - Boiler, High Effic KPNFVCT Comprehensive - Boiler, Gas-Fired, High Effic KPNFVCT Fireside Cleaning - Boiler, High Effic - 1 Yes Yes Yes Yes Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

260 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/04/ /04/201799/99/ 9999 Arrived onsite and completed PJC Got access to boiler room Robert Veltman Started on boiler 3. Removed burner and cleaned inside. Replace boiler. Checked safeties. All ok. Started on boiler 2. Removed burner, cleaned inside. Replaced boiler check all safeties. All ok. Corrosion is present on spare hole in heat exchanger. Not wet so it could be old. 11/03/ /03/201799/99/ 9999 Started on boiler 1. Checked safeties. Low water cutoff has failed. Turned boiler off at breaker and sent quote Activity Number 1-OF6M0AT SSV Checked pumps operation and lubricated pum bearing assemblies, done. Activity Number 1-OF6NJNF Han Jiang Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

261 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

262 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

263 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: CLIFF DRIVE ELEMENTARY CLIFF DRIVE ELEMENTARY Ave Delta, BC V4M 2C2 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPNFVDR B-1X Atmospheric Boiler 1-KPNFVDR Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 03/29/ /29/201799/99/ 9999 Activity Number 1-M1BR4NA Ryan Battagello Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

264 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

265 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

266 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: CLIFF DRIVE ELEMENTARY CLIFF DRIVE ELEMENTARY Ave Delta, BC V4M 2C2 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPNFVDR B-1X Atmospheric Boiler 1-KPNFVDR Circ. Pumps Yes 1-KPNFVDR B-1X Atmospheric Boiler 1-KPNFVDR Combustion Analysis - Boiler, High Effic KPNFVDR B-1X Atmospheric Boiler 1-KPNFVDR Comprehensive - Boiler, Gas-Fired, High Effic KPNFVDR B-1X Atmospheric Boiler 1-KPNFVDR Fireside Cleaning - Boiler, High Effic KPNFVEI 1-KPNFVEI 1-KPNFVEI 1-KPNFVGG 1-KPNFVGG 1-KPNFVGG B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con KPNFVEI Combustion Analysis - Boiler, High Effic KPNFVEI Comprehensive - Boiler, Gas-Fired, High Effic KPNFVEI Fireside Cleaning - Boiler, High Effic KPNFVGG Combustion Analysis - Boiler, High Effic KPNFVGG Comprehensive - Boiler, Gas-Fired, High Effic KPNFVGG Fireside Cleaning - Boiler, High Effic - 1 Yes Yes Yes Yes Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

267 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/06/ /06/201799/99/ 9999 Arrived onsite and completed PJC Got acsess to boiler room and started on boiler 1 (hydro therm) no issues seen. Tested safeties all operated properly Robert Veltman Started on boiler 2 (mod con). Pulled out burner and cleaned fireside. Inspected gasket and burner. All ok. Reassembled and tested safeties. All operated properly. Started on boiler 3 (mod con). Pulled out burner and cleaned fire side. Inspected gasket and burner. All ok. Reassembled and tested safeties. All operated properly. 10/12/ /12/201799/99/ /12/ /99/9999 Activity Number 1-OF6UNPM Checked circulation pump operation and lubricated pump bearings, done. Activity Number 1-Q8T2GYV Rob completed fireside cleaning on other activity Activity Number 1-OF6WA7A Han Jiang Han Jiang Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

268 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

269 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

270 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: DELTA MANOR EDUCATION CENTRE DELTA MANOR EDUCATION CENTRE St Delta, BC V4K 3C9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY132M HP-1 Water Heat Pump (YORK) RWXW-360 & Pumps 1-KPY132M Evaporator Coil Cleaning - 20 Service Provided: Date Work Performed By 03/01/2017 Ryan completed on other SR Melissa Reid 99/99/9999 Activity Number 1-M1BR22M Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

271 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

272 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

273 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: DELTA MANOR EDUCATION CENTRE DELTA MANOR EDUCATION CENTRE St Delta, BC V4K 3C9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY131U 1-KPY131U 1-KPY131U G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con KPY131U Combustion Analysis - Boiler, High Effic - 1 Yes 1-KPY131U Comprehensive - Boiler, Gas-Fired, High Yes Effic KPY131U Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 10/10/ /10/201799/99/ 9999 Checked HP and GP-7, 8, 9, 10 operations, tightened up electrical wire connections, measuring motor running currents, making sure everything working in good conditions. Done Activity Number 1-OF6K9RD Han Jiang 10/19/ /19/201799/99/ 9999 Arrived onsite and completed PJC Gained access to boiler room. Opened up fireside and cleaned inside. Replaced burner and tested safeties. All safeties operated properly. Activity Number 1-OF6K9G3 Robert Veltman For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

274 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

275 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

276 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: DELTA MANOR EDUCATION CENTRE DELTA MANOR EDUCATION CENTRE St Delta, BC V4K 3C9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY132M 1-KPY132M HP-1 Water Heat Pump (YORK) RWXW-360 & Pumps HP-1 Water Heat Pump (YORK) RWXW-360 & Pumps 1-KPY132M 1-KPY132M Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 11/01/2017 Han Completed in Oct Kristi Denney 99/99/9999 Activity Number 1-Q31Y7FF Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

277 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

278 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

279 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: DELTA SCHOOL BOARD OFFICE BC SCHOOL DIST. #37 - DELTA 4585 Harvest Dr Delta, BC V4K 5B4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY138O HP-1 Water Heat Pump (YORK) RWXW KPY138O Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/29/ /29/201799/99/ 9999 Arrived onsite. Checked in. Got access to mechanical. Performed PJC. Performed service on pumps for Geo loop and boiler pumps. Checked operation. Checked pressures. Operational okay at this time. Ryan Battagello Yes Complete Activity Number 1-M1BQOLM Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

280 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

281 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

282 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: DELTA SCHOOL BOARD OFFICE BC SCHOOL DIST. #37 - DELTA 4585 Harvest Dr Delta, BC V4K 5B4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY135G 1-KPY135G 1-KPY135G 1-KPY137S 1-KPY137S 1-KPY137S B-1 Condensing Boiler (HTP) Mod Con 300 B-1 Condensing Boiler (HTP) Mod Con 300 B-1 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con KPY135G Combustion Analysis - Boiler, High Effic KPY135G Comprehensive - Boiler, Gas-Fired, High Effic KPY135G Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KPY137S Combustion Analysis - Boiler, High Effic KPY137S Comprehensive - Boiler, Gas-Fired, High Effic KPY137S Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 10/10/2017 Checked heat pump operation, GP-9, GP-8 all working good. Physically made sure all electrical components Han Jiang 10/10/201799/99/ 9999 are in good conditions, all wire connections are tight. Done Activity Number 1-OF689FD 09/01/ /99/9999 Activity Number 1-OF66T28 Kristi Denney For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

283 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

284 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

285 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: DELTA SCHOOL BOARD OFFICE BC SCHOOL DIST. #37 - DELTA 4585 Harvest Dr Delta, BC V4K 5B4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY138O 1-KPY138O 1-KPY138O HP-1 Water Heat Pump (YORK) RWXW-360 HP-1 Water Heat Pump (YORK) RWXW-360 HP-1 Water Heat Pump (YORK) RWXW KPY138O Boilers (comp & Comb) Yes 1-KPY138O 1-KPY138O Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

286 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 11/01/ /01/201799/99/ 9999 Arrived onsite and completed PJC Checked operating data of heat pump. All within range Robert Veltman Got access to boiler room Conducted fireside cleaning in boiler 1 and 2. Tested all safeties. All ok Conducted combustion analysis on both boilers. Boiler 2 had high co. Adjusted to bring into range. Boiler 2 has water dripping from the exhaust vent. This is a result of the exhaust condensing in the vent. Will price out net connector and send quote. Complete Activity Number 1-QG3XH9D Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

287 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

288 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

289 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: Service Site: DELTA SECONDARY DELTA SECONDARY St Delta, BC V4K 2V8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY13EG HP-1 Water Heat Pump (YOR) RWXW KPY13EG Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/31/ /31/201799/99/ 9999 Arrived onsite. Checked in. Got access to mechanical. Performed PJC. Performed service on pump. Checked pressures and operation. Operation okay at this time. Ryan Battagello Complete Activity Number 1-M1BQR3H Materials Used: Activity # Qty UOM Description Yes For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

290 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

291 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

292 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: Service Site: DELTA SECONDARY DELTA SECONDARY St Delta, BC V4K 2V8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY13BS 1-KPY13BS 1-KPY13BS 1-KPY13CR 1-KPY13CR 1-KPY13CR B-1 Condensing Boiler (HTP) ModCon 850 B-1 Condensing Boiler (HTP) ModCon 850 B-1 Condensing Boiler (HTP) ModCon 850 B-2 Condensing Boiler (HTP) ModCon 850 B-2 Condensing Boiler (HTP) ModCon 850 B-2 Condensing Boiler (HTP) ModCon KPY13BS Combustion Analysis - Boiler, High Effic KPY13BS Comprehensive - Boiler, Gas-Fired, High Effic KPY13BS Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KPY13CR Combustion Analysis - Boiler, High Effic KPY13CR Comprehensive - Boiler, Gas-Fired, High Effic KPY13CR Fireside Cleaning - Boiler, High Effic - 1 Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

293 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/02/ /02/201799/99/ 9999 Arrived onsite and completed PJC Got accsess to boiler room and started on modcon g2 Robert Veltman Breaker for modcon turns off all boilers in room. Discussed with pat and he mentioned that the DDC was showing that I had hit the emergency shut off. Boiler had a fan speed error. Checked all wiring and it was correct. Not sure what caused error. Cleaned inside boiler and checked safeties. All safeties operated properly. Let unit run and got a flame sensor error. Removed and check flame sensor. No issues. Replaced and unit ran correctly. (Modcon 850) Started on hydrotherm b2. All standing pilots operating. No issues seen. Checked all safeties and the all operated. Checked pressure relief and it did not reseat while flow was going through pipes. It did reseat after isolating boiler. (M3 no 174a 3/4 inch 60 psi 1.1mbtu) 10/10/ /10/201799/99/ 9999 Started on modcon g1. Opened up fire side of burner to find gasket had been cooked. Called for pricing on replacement gasket and was told that the design has changed and that a full burner would be needed. Submitted quote for replacement and repair. Activity Number 1-OF69YD5 Geo system electrical distribution panel inside boiler room, which supply power for HP-1, HP-2 and GP-1 to GP- 6 circulation pumps and also powered for the electrical meter, is single phased. One of the 100A fuses in 1637 electrical room burned out, need to be dealt with. 100A power supply for Geo Panel is not large enough which is the main cause for fuse burned out when everything running. Also found HP-2's compressor #2 has dad mega meter reading, not 100% sure at this time. Suggest to replace fuse, and go from there. Activity Number 1-OF6BXX4 Han Jiang Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

294 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

295 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

296 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: Service Site: DELTA SECONDARY DELTA SECONDARY St Delta, BC V4K 2V8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC ALTERNATIVE ENERGY SERVICES INC Fraser Highway Surrey, BC V4N 0E8 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY13EG 1-KPY13EG 1-KPY13G4 1-KPY13G4 HP-1 Water Heat Pump (YOR) RWXW-360 HP-1 Water Heat Pump (YOR) RWXW-360 HP-2 Water Heat Pump (YORK) RWXW-540 HP-2 Water Heat Pump (YORK) RWXW KPY13EG 1-KPY13EG 1-KPY13G4 1-KPY13G4 Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 10/20/ /20/201799/99/ 9999 Activity Number 1-Q31XGHH Han Jiang Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

297 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

298 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mason Fan Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

299 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Cansin Yang Agreement Reference: Service Site: DELVIEW SECONDARY SCHOOL DELVIEW SECONDARY SCHOOL St Delta, BC V4C 5W8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY13PJ ASHP-1 Air/Water Heat Pump (Multstack) 1-KPY13PJ Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/01/2017 completed on other SR Melissa Reid 99/99/9999 Activity Number 1-M1BR0XX Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

300 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Cansin Yang Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

301 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Cansin Yang Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

302 Report Date 05/28/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Cansin Yang Agreement Reference: Service Site: DELVIEW SECONDARY SCHOOL DELVIEW SECONDARY SCHOOL St Delta, BC V4C 5W8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KPY13OL 1-KPY13OL 1-KPY13OL G-1 Condensing Boiler (HTP) & Atmospheric Boiler G-1 Condensing Boiler (HTP) & Atmospheric Boiler G-1 Condensing Boiler (HTP) & Atmospheric Boiler 1-KPY13OL Combustion Analysis - Boiler, High Effic KPY13OL Comprehensive - Boiler, Gas-Fired, High Effic KPY13OL Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 09/14/2017 Inspect for chiller tripping. Tripped on High pressure. Reset. Test operation. Ok. Last tripped in May. Assist Bobby Brooks 09/14/201799/99/ 9999 Patrick to set up trends to determine cause of High pressure trips. Recommend to Charles Schenn to disconnect water piping to unused module to increase water flow rate through remaining module. Will pick up 2" caps and air separator. Activity Number 1-PF8TWJ8 09/01/ /99/9999 Activity Number 1-OF6H9U9 Kristi Denney For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

303 Report Date 05/28/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Cansin Yang Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 09/01/ /99/9999 Activity Number 1-OF6IGRP Kristi Denney Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

304 Report Date 05/28/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Cansin Yang Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

305 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: DEVON GARDENS ELEMENTARY DEVON GARDENS ELEMENTARY 8884 Russell Dr Delta, BC V4C 4P8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L6RY B-2 Condensing Boiler (HTP) Mod Con KQ0L6RY Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 03/30/ /30/201799/99/ 9999 Arrived onsite. Checked in. Got access to boiler room. Performed PJC. Performed pump inspection. Checked operation and pressures. Pumps check okay at this time. Found boiler 1 and 2 leaking condensate from exhaust vent boiler outlet. Exhaust needs to be pulled out and re sealed. Will provide a quote. Ryan Battagello Complete Activity Number 1-M1BR8U4 Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

306 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

307 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

308 Report Date 05/28/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: DEVON GARDENS ELEMENTARY DEVON GARDENS ELEMENTARY 8884 Russell Dr Delta, BC V4C 4P8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KV86OII 1-KV86OII 1-KV86OII 1-KQ0L6RY 1-KQ0L6RY 1-KQ0L6RY 1-KQ0L6SU 1-KQ0L6SU 1-KQ0L6SU B-1X Atmospheric Boiler (Hydrotherm) MR600B B-1X Atmospheric Boiler (Hydrotherm) MR600B B-1X Atmospheric Boiler (Hydrotherm) MR600B B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con KV86OII Combustion Analysis - Boiler, High Effic KV86OII Comprehensive - Boiler, Gas-Fired, High Effic KV86OII Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L6RY Combustion Analysis - Boiler, High Effic KQ0L6RY Comprehensive - Boiler, Gas-Fired, High Effic KQ0L6RY Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L6SU Combustion Analysis - Boiler, High Effic KQ0L6SU Comprehensive - Boiler, Gas-Fired, High Effic KQ0L6SU Fireside Cleaning - Boiler, High Effic - 1 Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

309 Report Date 05/28/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/30/ /30/201799/99/ 9999 Arrived onsite and completed PJC Started fireside cleaning on G1. Removed burner and cleaned. Reinstalled burner and tested all safeties. Operated correctly Robert Veltman Opened G2. Gasket on gas valve is broken. Inside of cabinet is covered in a fine layer of surface rust. Cleaned fireside and replaced burner. Inspected exhaust for leaks. G1 is leaking water at the exhaust adaptor. As well as leaking exhaust from a CPVC coupling into the boiler room. G2 Found water leaking from exhaust connection outside unit. Checked inside using mirror and I can see a central point that looks as if it's leaking from the exhaust adaptor Both condensing boilers are currently disabled as the exhaust leaks into the boiler room. Sent an to charles with options to pick from so I can quote all the labour and material. 11/03/ /03/201799/99/ 9999 Activity Number 1-OF74DOE SSV Checked and lubricated heating water circulation pumps. Everything is ok. Done Activity Number 1-OF74D4K Han Jiang Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

310 Report Date 05/28/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

311 Report Date 05/28/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

312 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mike Lee Agreement Reference: Service Site: ENGLISH BLUFF ELEMENTARY ENGLISH BLUFF ELEMENTARY 402 English Bluff Rd Delta, BC V4M 2N2 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L6P0 HP-1 Water Heat Pump (YORK) RWXW KQ0L6P0 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/01/ /99/9999 Activity Number 1-M1BQJHB Ryan Battagello Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

313 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mike Lee Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

314 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Mike Lee Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

315 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: ENGLISH BLUFF ELEMENTARY ENGLISH BLUFF ELEMENTARY 402 English Bluff Rd Delta, BC V4M 2N2 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L6O2 1-KQ0L6O2 1-KQ0L6O2 G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con KQ0L6O2 Combustion Analysis - Boiler, High Effic KQ0L6O2 Comprehensive - Boiler, Gas-Fired, High Effic KQ0L6O2 Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 09/01/2017 Activity Number 1-OF6511G Kristi Denney 99/99/ /12/ /99/9999 Activity Number 1-OF650M0 Han Jiang Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

316 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

317 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

318 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: ENGLISH BLUFF ELEMENTARY ENGLISH BLUFF ELEMENTARY 402 English Bluff Rd Delta, BC V4M 2N2 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L6P0 1-KQ0L6P0 HP-1 Water Heat Pump (YORK) RWXW-240 HP-1 Water Heat Pump (YORK) RWXW KQ0L6P0 1-KQ0L6P0 Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 10/12/2017 Checked HP and all circulation pumps operation. Tightened up electrical wirings and lubricated pump bearings. Han Jiang 10/12/201799/99/ 9999 Done Activity Number 1-Q31X6LP 11/06/ /06/201799/99/ 9999 Arrived onsite and completed PJC Completed fireside cleaning and safety checks. Robert Veltman Yes Completed combustion analysis. Activity Number 1-QHXC3DP Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

319 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

320 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

321 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: HEATH ELEMENTARY SCHOOL HEATH ELEMENTARY Avenue Delta, BC V4E 1Y5 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L6Q6 B-1 Condensing Boiler (Giannoni) Mod Con 1-KQ0L6Q6 Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 03/01/ /99/9999 Activity Number 1-M1BR97E Ryan Battagello Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

322 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

323 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

324 Report Date 05/28/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: HEATH ELEMENTARY SCHOOL HEATH ELEMENTARY Avenue Delta, BC V4E 1Y5 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L6Q6 1-KQ0L6Q6 1-KQ0L6Q6 1-KQ0L6Q6 1-KQ0L6WM 1-KQ0L6WM 1-KQ0L6WM 1-KQ0L6XI 1-KQ0L6XI 1-KQ0L6XI B-1 Condensing Boiler (Giannoni) Mod Con B-1 Condensing Boiler (Giannoni) Mod Con B-1 Condensing Boiler (Giannoni) Mod Con B-1 Condensing Boiler (Giannoni) Mod Con B-2 Condensing Boiler (Giannoni) Mod Con 300 B-2 Condensing Boiler (Giannoni) Mod Con 300 B-2 Condensing Boiler (Giannoni) Mod Con 300 B-3 Condensing Boiler (Giannoni) Mod Con 300 B-3 Condensing Boiler (Giannoni) Mod Con 300 B-3 Condensing Boiler (Giannoni) Mod Con KQ0L6Q6 Circ Pumps Yes 1-KQ0L6Q6 Combustion Analysis - Boiler, High Effic KQ0L6Q6 Comprehensive - Boiler, Gas-Fired, High Effic KQ0L6Q6 Fireside Cleaning - Boiler, High Effic KQ0L6WM Combustion Analysis - Boiler, High Effic KQ0L6WM Comprehensive - Boiler, Gas-Fired, High Effic KQ0L6WM Fireside Cleaning - Boiler, High Effic KQ0L6XI Combustion Analysis - Boiler, High Effic KQ0L6XI Comprehensive - Boiler, Gas-Fired, High Effic KQ0L6XI Fireside Cleaning - Boiler, High Effic - 1 Yes Yes Yes Yes Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

325 Report Date 05/28/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L6YE 1-KQ0L6YE 1-KQ0L6YE B-4 Condensing Boiler (Giannoni) Mod Con 300 B-4 Condensing Boiler (Giannoni) Mod Con 300 B-4 Condensing Boiler (Giannoni) Mod Con KQ0L6YE Combustion Analysis - Boiler, High Effic KQ0L6YE Comprehensive - Boiler, Gas-Fired, High Effic KQ0L6YE Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 10/03/ /03/201799/99/ 9999 Arrived onsite and completed PJC Gained accses to boiler room Robert Veltman Started teardown on boiler 1. Reassembled. Tested safeties no issues. Started teardown boiler 2. Reassembled. Tested safeties no issues Started teardown boiler 3. Reassembled. Tested safeties. No issues Started teardown boiler 4. Noticed corrosion on base of unit. Poured water into condensate drain. Could not isolate and find leak. Could be a hair fracture in condensate pan that has sealed itself. Reassembled. Tested safeties. No issues. Ensured all boilers on and left site. Yes Yes 10/19/ /19/201799/99/ 9999 Activity Number 1-OF767R0 SSV Checked boilers and heating circulation pumps operation, lubricated pump bearings. No abnormal situation found. Done Activity Number 1-Q8T4FRF Han Jiang For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

326 Report Date 05/28/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/12/2017 Rob completed fireside Han Jiang 99/99/9999 Activity Number 1-OF78NJX Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

327 Report Date 05/28/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

328 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: HOLLY ELEMENTARY HOLLY ELEMENTARY St Delta, BC V4K 3L8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L708 B-1X Atmospheric Boiler 1-KQ0L708 Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 03/01/ /99/9999 Activity Number 1-M1BR50A Ryan Battagello Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

329 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

330 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

331 Report Date 05/28/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: HOLLY ELEMENTARY HOLLY ELEMENTARY St Delta, BC V4K 3L8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L708 B-1X Atmospheric Boiler 1-KQ0L708 Combustion Analysis - Boiler, High Effic - Yes 1 1-KQ0L708 B-1X Atmospheric Boiler 1-KQ0L708 Comprehensive - Boiler, Gas-Fired, High Yes Effic KQ0L708 B-1X Atmospheric Boiler 1-KQ0L708 Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L714 1-KQ0L714 1-KQ0L714 1-KQ0L714 1-KQ0L72A 1-KQ0L72A 1-KQ0L72A B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con 300 B-3 Condensing Boiler (HTP) Mod Con KQ0L714 Circ Pump Yes 1-KQ0L714 Combustion Analysis - Boiler, High Effic - 1 Yes 1-KQ0L714 Comprehensive - Boiler, Gas-Fired, High Yes Effic KQ0L714 Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L72A Combustion Analysis - Boiler, High Effic - 1 Yes 1-KQ0L72A Comprehensive - Boiler, Gas-Fired, High Yes Effic KQ0L72A Fireside Cleaning - Boiler, High Effic - 1 Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

332 Report Date 05/28/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/10/ /10/201799/99/ 9999 Arrived onsite and completed PJC Started on boiler 1. Checked burners and safeties. Low water cut off was sticky. Removed cutoff from piping and cleaned. Replaced low water cutoff and system operated properly. Robert Veltman Started boiler 2. Removed burner and cleaned. Checked gaskets and reinstalled. Checked safety operation. All operated properly. Started boiler 3. Removed burner and cleaned. Checked gaskets and reinstalled. Check safety operation. All ok. 10/12/ /12/201799/99/ /17/ /17/201799/99/ 9999 Tested emergency shut off button on door. Shut off button shut off mod cons and left atmospheric running. Steve is looking into a fix Activity Number 1-OF6WAPC Checked pump operations. Found Boiler#1 right hand side burner's standing pilot flame out, re-lighted starting pilot. Done Activity Number 1-Q8RP44S Checked the combustion on the boilers. Found the emergency boiler shut down switch at the door entrance only shuts off the Modcon boilers and not the hydrotherm boilers. Recommend to include the hydrotherm boilers on the emergency switch as per the boiler branch. Recommend the 2 relief valves on the hydrotherm boilers be replaced due to their age. Activity Number 1-OF6YJLY Han Jiang Steven Lepper Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

333 Report Date 05/28/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

334 Report Date 05/28/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

335 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: LADNER ELEMENTARY LADNER ELEMENTARY Ave Delta, BC V4K 1B5 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ2KAPQ B-1X Atmospheric Boiler 1-KQ2KAPQ/FIELD UPDATE NEEDED Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 03/01/ /99/9999 Activity Number 1-M1BR6WU Ryan Battagello Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

336 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

337 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

338 Report Date 05/28/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: LADNER ELEMENTARY LADNER ELEMENTARY Ave Delta, BC V4K 1B5 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ2KAPQ B-1X Atmospheric Boiler 1-KQ2KAPQ/FIELD UPDATE NEEDED 1-KQ2KAPQ B-1X Atmospheric Boiler 1-KQ2KAPQ/FIELD UPDATE NEEDED 1-KQ2KAPQ B-1X Atmospheric Boiler 1-KQ2KAPQ/FIELD UPDATE NEEDED 1-KQ2KAPQ B-1X Atmospheric Boiler 1-KQ2KAPQ/FIELD UPDATE NEEDED 1-KQ2KAQH B-2 Condensing Boiler 1-KQ2KAQH/FIELD (HTP) Mod Con 300 UPDATE NEEDED 1-KQ2KAQH B-2 Condensing Boiler 1-KQ2KAQH/FIELD (HTP) Mod Con 300 UPDATE NEEDED 1-KQ2KAQH B-2 Condensing Boiler 1-KQ2KAQH/FIELD (HTP) Mod Con 300 UPDATE NEEDED 1-KQ2KARD B-3 Condensing Boiler 1-KQ2KARD/FIELD (HTP) Mod Con 300 UPDATE NEEDED 1-KQ2KARD B-3 Condensing Boiler 1-KQ2KARD/FIELD (HTP) Mod Con 300 UPDATE NEEDED 1-KQ2KARD B-3 Condensing Boiler 1-KQ2KARD/FIELD (HTP) Mod Con 300 UPDATE NEEDED Circ Pump Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Yes Yes Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

339 Report Date 05/28/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/12/2017 Checked all heating circulation pumps and lubricated them. Pump #2'a discharge line check valve making lots Han Jiang 10/12/201799/99/ 9999 noisy. May need replace or repair? Done Activity Number 1-Q8T545Q 11/09/2017 Completed fireside cleaning and testing of safeties. Robert Veltman 11/09/201799/99/ 9999 Completed combustion analysis Activity Number 1-OF72GJY 10/12/ /99/9999 Activity Number 1-OF70PEI Han Jiang Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

340 Report Date 05/28/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

341 Report Date 05/28/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

342 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: NEILSON GROVE ELEMENTARY NEILSON GROVE ELEMENTARY 5500 Admiral Blvd Delta, BC V4K 5B7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L7A2 HP-1 Water Heat Pump (Compax) CMD350 1-KQ0L7A2 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/01/2017 Ryan completed on other SR Melissa Reid 99/99/9999 Activity Number 1-M1BQXXV Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

343 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

344 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

345 Report Date 05/28/2018 Page 1 of 5 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: NEILSON GROVE ELEMENTARY NEILSON GROVE ELEMENTARY 5500 Admiral Blvd Delta, BC V4K 5B7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L73J 1-KQ0L73J 1-KQ0L73J 1-KQ0L752 1-KQ0L752 1-KQ0L752 1-KQ0L75Y 1-KQ0L75Y 1-KQ0L75Y 1-KQ0L774 B-1 Atmospheric Boiler (Multitemp) MOP-2310 B-1 Atmospheric Boiler (Multitemp) MOP-2310 B-1 Atmospheric Boiler (Multitemp) MOP-2310 B-2 Atmospheric Boiler (Multitemp) MOP-2310 B-2 Atmospheric Boiler (Multitemp) MOP-2310 B-2 Atmospheric Boiler (Multitemp) MOP-2310 B-3 Atmospheric Boiler (Multitemp) MOP-2310 B-3 Atmospheric Boiler (Multitemp) MOP-2310 B-3 Atmospheric Boiler (Multitemp) MOP-2310 B-4 Atmospheric Boiler (Multitemp) MOP KQ0L73J Combustion Analysis - Boiler, High Effic KQ0L73J Comprehensive - Boiler, Gas-Fired, High Effic KQ0L73J Fireside Cleaning - Boiler, High Effic KQ0L752 Combustion Analysis - Boiler, High Effic KQ0L752 Comprehensive - Boiler, Gas-Fired, High Effic KQ0L752 Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L75Y Combustion Analysis - Boiler, High Effic KQ0L75Y Comprehensive - Boiler, Gas-Fired, High Effic KQ0L75Y Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L774 Combustion Analysis - Boiler, High Effic - 1 For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

346 Report Date 05/28/2018 Page 2 of 5 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L774 1-KQ0L774 1-KQ0L780 1-KQ0L780 1-KQ0L780 1-KQ0L78W 1-KQ0L78W 1-KQ0L78W B-4 Atmospheric Boiler (Multitemp) MOP-2310 B-4 Atmospheric Boiler (Multitemp) MOP-2310 B-5 Atmospheric Boiler (Multitemp) MOP-2310 B-5 Atmospheric Boiler (Multitemp) MOP-2310 B-5 Atmospheric Boiler (Multitemp) MOP-2310 B-6 Atmospheric Boiler (Multitemp) MOP-2310 B-6 Atmospheric Boiler (Multitemp) MOP-2310 B-6 Atmospheric Boiler (Multitemp) MOP KQ0L774 Comprehensive - Boiler, Gas-Fired, High Effic KQ0L774 Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L780 Combustion Analysis - Boiler, High Effic KQ0L780 Comprehensive - Boiler, Gas-Fired, High Effic KQ0L780 Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ0L78W Combustion Analysis - Boiler, High Effic KQ0L78W Comprehensive - Boiler, Gas-Fired, High Effic KQ0L78W Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 09/25/ /25/201799/99/ 9999 Arrived onsite and completed PJC Checked operational safeties and burners on boiler 1. Robert Veltman Activity Number 1-OF6BYH0 For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

347 Report Date 05/28/2018 Page 3 of 5 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 09/25/ /25/201799/99/ 9999 Drove to site. There were 6 small economite burners. Pulled drawer assemblies to inspect the burner and the fireside. Checked combustion fans, fired boilers. Tested the safety limit controls. Found boilers 2,3,4,5,6 had the flow switches jumpered out. I removed the jumpers. Also found boilers 3 and 4'low water cutoffs failed in the contact closed position. Lifted the relief valves and recommended they be replaced due to the age. Talked to Charles and got authorization to replace the LWCOs and relief valves. Check and record combustion readings. Boilers 3,4,5,6 found the O2 reading quite low and high CO. Adjusted to the recorded combustion readings. Steven Lepper 09/26/ /26/201799/99/ 9999 Done Arrived onsite and completed PJC Got accsess to site and mechanical room to begin repairs. Activity Number 1-OF6FN19 Robert Veltman Changed low water cut off on module 3 and 4. Tested proper operation and reset cut offs. Unsweat and removed old pressure relief valves. Replaced with new valves and re soldered discharge pipes. Checked relief valve open and reseating. 09/25/ /99/9999 All ok Complete Activity Number 1-PUCW6MF Activity Number 1-PQQCANP Han Jiang Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

348 Report Date 05/28/2018 Page 4 of 5 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

349 Report Date 05/28/2018 Page 5 of 5 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

350 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: NEILSON GROVE ELEMENTARY NEILSON GROVE ELEMENTARY 5500 Admiral Blvd Delta, BC V4K 5B7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L7A2 1-KQ0L7A2 HP-1 Water Heat Pump (Compax) CMD350 HP-1 Water Heat Pump (Compax) CMD350 1-KQ0L7A2 1-KQ0L7A2 Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 10/19/ /19/201799/99/ 9999 Checked heat pump and circulation pumps. Tha heat pump is down at this time, Rob working on it. Checked boilers and other heating circulation pumps, no abnormal situation found. Done Activity Number 1-Q31XNLZ Han Jiang Materials Used: Activity # Qty UOM Description Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

351 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

352 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

353 Report Date 05/29/2018 Page 1 of 6 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: NORTH DELTA SECONDARY NORTH DELTA SECONDARY th Street Delta, BC V4C 5J6 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ46QKQ AWHP-1 Air/Water Heat Pump (YORK) 1-KQ46QKQ/FIELD UPDATE NEEDED Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 01/11/ /11/201799/99/ 9999 I was asked to look at the atmospheric boiler as to why it would not fire. Traced the problem to a pressure differential switch on the boiler circulation pump. I was unable to get the switch to function properly after adjusting. There doesn't appear to be much pressure differential when the pump is on. Also noticed the low water cutoff and flow switch which shut off the boiler, are located in locations that don't actually protect the boiler.they need to be installed between the boiler and boiler isolation valves. I shut off and tagged the boiler off. We will advise the customer of these safety issues. I ed the report to Jason',Kristi, and Marie. Activity Number 1-M2R3N7O Steven Lepper For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

354 Report Date 05/29/2018 Page 2 of 6 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 01/27/ /27/201799/99/ 9999 North Delta Secondary. Enable circuit 1 on Heat Pump. Monitor operation. Leaving water at 119 F. All pressures and temperatures ok. South Park Elementary Monitor operation. GP1 has been replaced recently but is tripping o/l. Current draw on motor 10 amps o/l set at FLA of motor 14. Adjust to top of range of o/l 13. Will monitor. If continues to trip will have to replace with proper size. Discussed with Kieren operation of GP1. Supposed to cycle with pressure/temp. Recommend pump to operate anytime HP are enabled as this is the energy source for heat pumps. Will continue to monitor. Replaced 6 thermometers. Monitor operation. Seems to be operating with no issues. Dellview Found module 1 tripped on low pressure. Reset. Monitored operation. Remove panels on module 1&2 and inspect for signs of refrigerant leak. None found. Will return to electronically leak test. While monitoring operation, noticed boiler operating at 100% when heat pump cycled on. Will discuss with Kieren. Activity Number 1-M2SMZGB Bobby Brooks For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

355 Report Date 05/29/2018 Page 3 of 6 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 02/27/ /27/201799/99/ 9999 North Delta. Service call. Arrived onsite. Checked in. Got access to mechanical room. Performed PJC. Fortis complaint was for HP chiller not running. Checked chiller. No new current faults on chiller. Chiller is in remote shut down. The outsdide temperature is below 8 deg C. Chiller will only run when outside air is 8 deg C or above. Contacted Arron from office. Arron and I went over the controls of the chiller and checked mechancal sequence. Went through sequence. Operation is okay at this time. Once outside air hits 8 deg heat pump chiller should take over. Ryan Battagello Serviced Chiller mech room pumps and boiler room pumps. Checked operation. Checked suction and discharge pressures. Checked shaft seals. Checked current draw. Checked motor starters. Checks okay at this time. Feb 28/17 Serviced Richard elemtary school pumps. Serviced Delview high school pumps Activity Number 1-M2T2K00 For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

356 Report Date 05/29/2018 Page 4 of 6 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 03/02/ /02/201799/99/ 9999 Performed PJC Delta Manor Ryan Battagello GEO loop sitting at 10 psig loop static. When pump is running it has 0 suction. GEO loop is low on pressure. GEO design loop pressure needs to be found in Eng drawings. 25% propylene Inhibited glycol food grade in loop required. glycol 14deg F Axiom tank needs to be added. axiom tank needs to be piped to the suction side of GEO loop. relief valve needs to be installed on GEO loop. Isolation valve needs to be added on expansion tank. Expansion tank needs to be set to engineered design geo loop pressure. I Shut off GEO field pump 7. Shut off HP GEO Pump 10 Shut off HP HWS pumo 8 Shut off Heat Pump. Boiler pump 9 and BLR G1 are operational. GEO manifold room on exterior of building has air vents. 1 vent looks to have leaked out some pressure. While on site I noticed all the air vents on the GEO loop valves are open. GEO loop air vents should be isolated and only used when filling system. March 6th 2017 Responding to s regarding delta schools. March 7/17 South Park school. Investigated boiler loop temperature changes as per Kieren. Checked operation of boilers. All boilers are firing and testing okay. Loop temperature is maintaining 70 deg F. Boilers are staging as required. Kieran had made changes to the logic boiler staging. Changes look to be maintaining loop temperature. White on site. Serviced system pumps. Nielsen Grove checked pumps and operation. Activity Number 1-M2T2KJ5 For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

357 Report Date 05/29/2018 Page 5 of 6 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 03/08/ /08/201799/99/ 9999 Activity Number 1-M2TE0LQ Ryan Battagello Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

358 Report Date 05/29/2018 Page 6 of 6 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

359 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: NORTH DELTA SECONDARY NORTH DELTA SECONDARY th Street Delta, BC V4C 5J6 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ46QKQ 1-KQ46QKQ AWHP-1 Air/Water Heat Pump (YORK) AWHP-1 Air/Water Heat Pump (YORK) 1-KQ46QKQ/FIELD UPDATE NEEDED 1-KQ46QKQ/FIELD UPDATE NEEDED circ pump Service Provided: Date Work Performed By 10/19/ /19/201799/99/ 9999 SSV Checked heating circulation pump operations, lubricate pump bearings as necessary, done. Activity Number 1-QAQ2TZM Han Jiang Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

360 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 11/07/ /07/201799/99/ 9999 Arrived onsite and completed PJC Checked operation of boiler 102. Controller was set to auto not hand. Corrected issue and got boiler running. Checked all safeties and conducted combustion analysis Robert Veltman All ok Checked operation of boiler 103. Disconnects shut off. No note as to why. Left unit as is. Checked operation of boiler 104. Controller was set to auto not hand. Corrected issue and got boiler running. Pump b-104 did not come on. Checked voltage at disconnect to find 18v on the line side. Checked to ensure flow switch was operating and valves off water. Flow switch operated meaning there is enough flow in the piping to safely run boiler. Checked all safeties and conducted combustion analysis All ok Conducted combustion analysis on boiler G1 and g2. Complete Activity Number 1-Q31WUYF Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

361 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

362 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

363 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: NORTH DELTA SECONDARY NORTH DELTA SECONDARY th Street Delta, BC V4C 5J6 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ46Q6H 1-KQ46Q6H 1-KQ46Q6H 1-KQ46QJM 1-KQ46QJM 1-KQ46QJM G-1 Condensing Boiler (HTP) G-1 Condensing Boiler (HTP) G-1 Condensing Boiler (HTP) G-2 Condensing Boiler (HTP) G-2 Condensing Boiler (HTP) G-2 Condensing Boiler (HTP) 1-KQ46Q6H/FIELD UPDATE NEEDED 1-KQ46Q6H/FIELD UPDATE NEEDED 1-KQ46Q6H/FIELD UPDATE NEEDED 1-KQ46QJM/FIELD UPDATE NEEDED 1-KQ46QJM/FIELD UPDATE NEEDED 1-KQ46QJM/FIELD UPDATE NEEDED Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

364 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 09/26/ /26/201799/99/ 9999 Arrived onsite and completed PJC Did annual maintenance on the modcon boilers. Check safety's for proper operation. Robert Veltman All ok No dates on pressure relief valves so I can't tell the last time they were changed 10/31/ /99/9999 Activity Number 1-OF63G8Y Activity Number 1-OF61NW5 Robert Veltman Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

365 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

366 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

367 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: PINEWOOD ELEMENTARY PINEWOOD ELEMENTARY Pinewood Dr Delta, BC V4E 3E9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ4UTMO HP-1 Water Heat Pump (YORK) RWXW KQ4UTMO/FIELD UPDATE NEEDED Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/28/ /28/201799/99/ 9999 Arrived onsite. Checked in. Got access to boiler room. Performed PJC. Performed pump inspection. Checked operation. Checked pressures. Oiled if needed. Pumps okay at this time. Ryan Battagello Yes Complete Activity Number 1-M1BR2E7 Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

368 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

369 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

370 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: PINEWOOD ELEMENTARY PINEWOOD ELEMENTARY Pinewood Dr Delta, BC V4E 3E9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ4UTRF B-1 Atmospheric Boiler 1-KQ4UTRF/FIELD UPDATE NEEDED 1-KQ4UTRF B-1 Atmospheric Boiler 1-KQ4UTRF/FIELD UPDATE NEEDED 1-KQ4UTRF B-1 Atmospheric Boiler 1-KQ4UTRF/FIELD UPDATE NEEDED 1-KQ4UTQ9 B-2 Atmospheric Boiler 1-KQ4UTQ9/FIELD UDPATE NEEDED 1-KQ4UTQ9 B-2 Atmospheric Boiler 1-KQ4UTQ9/FIELD UDPATE NEEDED 1-KQ4UTQ9 B-2 Atmospheric Boiler 1-KQ4UTQ9/FIELD UDPATE NEEDED 1-KQ4UTPD B-3 Atmospheric Boiler 1-KQ4UTPD/FIELD UPDATE NEEDED 1-KQ4UTPD B-3 Atmospheric Boiler 1-KQ4UTPD/FIELD UPDATE NEEDED 1-KQ4UTPD B-3 Atmospheric Boiler 1-KQ4UTPD/FIELD UPDATE NEEDED 1-KQ4UTNB B-4 Condensing Boiler 1-KQ4UTNB/FIELD (HTP) Mod Con 300 UPDATE NEEDED Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

371 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ4UTNB 1-KQ4UTNB 1-KQ4UTOH 1-KQ4UTOH 1-KQ4UTOH B-4 Condensing Boiler (HTP) Mod Con 300 B-4 Condensing Boiler (HTP) Mod Con 300 B-5 Condensing Boiler (HTP) Mod Con 300 B-5 Condensing Boiler (HTP) Mod Con 300 B-5 Condensing Boiler (HTP) Mod Con KQ4UTNB/FIELD UPDATE NEEDED 1-KQ4UTNB/FIELD UPDATE NEEDED 1-KQ4UTOH/FIELD UPDATE NEEDED 1-KQ4UTOH/FIELD UPDATE NEEDED 1-KQ4UTOH/FIELD UPDATE NEEDED Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 10/01/2017 Activity Number 1-PB5I2EB Kristi Denney 99/99/ /01/ /99/9999 Activity Number 1-PB5ICZ7 Kristi Denney Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

372 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

373 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

374 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: PINEWOOD ELEMENTARY PINEWOOD ELEMENTARY Pinewood Dr Delta, BC V4E 3E9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ4UTMO 1-KQ4UTMO 1-KQ4UTMO HP-1 Water Heat Pump (YORK) RWXW-360 HP-1 Water Heat Pump (YORK) RWXW-360 HP-1 Water Heat Pump (YORK) RWXW KQ4UTMO/FIELD UPDATE NEEDED 1-KQ4UTMO/FIELD UPDATE NEEDED 1-KQ4UTMO/FIELD UPDATE NEEDED Circ pump Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

375 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 11/14/ /14/201799/99/ 9999 Arrived onsite and completed PJC Completed fireside cleaning and safety test on xb5 Robert Veltman Completed combustion analysis on xb5 Completed fireside cleaning and safety test on xb4 Completed fireside inspection and safety test on xb 1,2 and 3 Completed fireside inspection and safety test on xb 6 and 7 11/30/ /30/201799/99/ 9999 Completed combustion analysis Activity Number 1-Q31Y80N SSV Checked heating circulation pump operations, lubricated pump's bearing assembly and motor currents. Everything fine. Geo-heat pump system is not in operation mode from DDC. Checked with Patrick, three is no fault codes in the geo HP system. Tightened up heat pump electrical connections and checked compressor motor windings, ok. Done Activity Number 1-QAQCEMP Han Jiang Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

376 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

377 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

378 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: RICHARDSON ELEMENTARY RICHARDSON ELEMENTARY Ave Delta, BC V4C 7B9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L7C0 HP-1 Water Heat Pump (YORK) RWXW KQ0L7C0 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/01/ /99/9999 Activity Number 1-M1BQVQ0 Melissa Reid Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

379 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

380 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

381 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: RICHARDSON ELEMENTARY RICHARDSON ELEMENTARY Ave Delta, BC V4C 7B9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L7B9 1-KQ0L7B9 1-KQ0L7B9 1-KQ0L7B9 G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con KQ0L7B9 Combustion Analysis - Boiler, High Effic KQ0L7B9 Comprehensive - Boiler, Gas-Fired, High Effic KQ0L7B9 Controls work on Pump 1-KQ0L7B9 Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 09/22/ /22/201799/99/ 9999 Arrived on site and completed PJC Checked in with front desk and got acsess to mechanical room Found heatpump in high pressure alarm. Cleared alarm and ran unit. Unit was having issues with supply flow. Troubleshooted flow switch and found a loose connection in a junction.cut wires and used stakeon. disconnect plugs to rewire flow switch. Ran unit and had no issues. Unable to recreate high pressure.complete Activity Number 1-Q95A448 Robert Veltman Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

382 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 10/04/ /04/201799/99/ 9999 Heatpump tripping issue: Discussed issue with Patrick. Patrick had diagnosed intermittent issue where, on occasion, the pumps would turn off before the heatpump was turned off. Uploaded and reviewed cct programming. Found a potential issue in the logic. Corrected the issue, and downloaded the NCE, as well as firmware version for the 2 IOM modules. Verified operation afterwards, although only time will tell if issue is corrected (sometimes goes days without tripping). Activity Number 1-Q6CJKO2 Kieran Manning 10/04/ /04/201799/99/ 9999 Did PJC Logged in remotely with Kieran. Explained the issue where pumps turned off while compressors were still running. Kieran changed pump logic so that pumps would stay on if either compressor of the HP was running. Downloaded program. Reset alarm but only one pump would run. Changed program. Downloaded program again and it seems to be working. Will monitor to ensure there are no future alarms related to this issue. Patrick Farrell 10/25/ /25/201799/99/ 9999 Arrived onsite and completed PJC Disabled boiler G1 Activity Number 1-Q6CKALR Robert Veltman Opened up and cleaned fireside, re assembled and tested operation of boiler and safeties. All ok 10/01/ /99/9999 Complete Complete Activity Number 1-PB5H53I Activity Number 1-PB5H5E8 Kristi Denney For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

383 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

384 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

385 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: RICHARDSON ELEMENTARY RICHARDSON ELEMENTARY Ave Delta, BC V4C 7B9 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ0L7C0 1-KQ0L7C0 HP-1 Water Heat Pump (YORK) RWXW-360 HP-1 Water Heat Pump (YORK) RWXW KQ0L7C0 1-KQ0L7C0 Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 10/03/ /03/201799/99/ 9999 Annually checked all circulation pumps, luberated pump bearing as necessary. HP 1 compressor #1 had high pressure alarm locked out. Clared the alarm and reset unit, works with Patrick to command the HP on, and it works normally. Don't know why it had pressure #1 alarm at this time. Traced out GP-10 pump control, found P-10 is control by boiler operation, boiler has to be turned on, then P-10 will run, no problem for P-10 at this time. Done Activity Number 1-Q31XN93 Han Jiang Materials Used: Activity # Qty UOM Description Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

386 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

387 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

388 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: SOUTH DELTA SECONDARY SCHOOL SOUTH DELTA SECONDARY SCHOOL St Delta, BC V4M 3B7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ7A22G HP-1 Water Heat Pump (YORK) RWXW-240 & Pumps 1-KQ7A22G/FIELD UPDATE NEEDED Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/09/2017 Looking into finding start up reports and pen manual for mark Campbell at south delta school John Reid 03/09/201799/99/ 9999 Complete Activity Number 1-M1BQFVQ 03/28/ /28/201799/99/ 9999 Arrived onsite. Checked in. Got access to boiler room. Performed PJC. Performed pump inspection. Checked operation. Checked pressures. Oiled if needed. Pumps okay at this time. Ryan Battagello Yes Complete Activity Number 1-M7N0616 Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

389 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

390 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

391 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: SOUTH DELTA SECONDARY SCHOOL SOUTH DELTA SECONDARY SCHOOL St Delta, BC V4M 3B7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ6NV0M Boiler # 1 1-KQ6NV0M/FIELD UPDATE NEEDED 1-KQ6NV0M Boiler # 1 1-KQ6NV0M/FIELD UPDATE NEEDED 1-KQ6NV0M Boiler # 1 1-KQ6NV0M/FIELD UPDATE NEEDED 1-KQ6FJP3 Boiler # 2 1-KQ6FJP3/FIELD UPDATE NEEDED 1-KQ6FJP3 Boiler # 2 1-KQ6FJP3/FIELD UPDATE NEEDED 1-KQ6FJP3 Boiler # 2 1-KQ6FJP3/FIELD UPDATE NEEDED Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 10/10/2017 Heat pump -1 is in good running condition, but HP-2 is still off line due to #2 compressor failure. GP-8 works Han Jiang 10/10/201799/99/ 9999 good, while GP-7 is working but motor making noise, but current ok. Done Activity Number 1-PB5H4RY 10/01/ /99/9999 Activity Number 1-PB5GX99 Kristi Denney For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 Yes Yes CONFIDENTIAL: For customer review Johnson Controls

392 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

393 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

394 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: SOUTH DELTA SECONDARY SCHOOL SOUTH DELTA SECONDARY SCHOOL St Delta, BC V4M 3B7 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ7A22G 1-KQ7A22G 1-KQ7A23L 1-KQ7A23L HP-1 Water Heat Pump (YORK) RWXW-240 & Pumps HP-1 Water Heat Pump (YORK) RWXW-240 & Pumps HP-2 Water Heat Pump (YORK) RWXW-240 HP-2 Water Heat Pump (YORK) RWXW KQ7A22G/FIELD UPDATE NEEDED 1-KQ7A22G/FIELD UPDATE NEEDED 1-KQ7A23L/FIELD UPDATE NEEDED 1-KQ7A23L/FIELD UPDATE NEEDED Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 11/08/ /08/201799/99/ 9999 Arrived on site and completed PJC Gained access to boiler room and discussed issue with hp2 with custodian. Found 2 condensing boilers and 2 viessman. Called pat to confirm wich boilers we maintained. He informed me it was the viessmans. Robert Veltman I am uncomfortable doing the boilers on my own. Let office know Steve will be needed. Activity Number 1-Q31X3X1 For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

395 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 12/05/ /05/201799/99/ 9999 Drained boiler #1, checked for mud or debris. Filled and tested safety systems. Tested safety system on boiler #2 and analyzed combustion Activity Number 1-QX0012Q Jesse Silverton 12/05/ /05/201799/99/ 9999 Open up fireside and waterside of both Viesmann boilers. Test safety limits, check and record combustion readings. Adjusted boiler 2 slightly as the O2 was a little low. Recommend both boiler relief valves be replaced as they are originals and need to be changed due to their age. Boiler 2 has a small leak on the exhaust, school board hvac employee says they will fix the small leak. Steven Lepper Done Activity Number 1-QWZMPAN Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

396 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

397 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

398 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: SOUTH PARK ELEMENTARY SOUTH PARK ELEMENTARY 735 Gilchrist Dr Delta, BC V4M 3L4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ5A4EM HP-1 Water Heat Pump (JCI) RHSW060 1-KQ5A4EM Oper (Mid Season) - Heat Pump, Water Cooled - 3 Service Provided: Date Work Performed By 03/01/2017 Ryan completed on other SR Melissa Reid 99/99/9999 Activity Number 1-M1BR0LK Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

399 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

400 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

401 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: SOUTH PARK ELEMENTARY SOUTH PARK ELEMENTARY 735 Gilchrist Dr Delta, BC V4M 3L4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ5A4DV 1-KQ5A4DV 1-KQ5A4DV G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con 500 G-1 Condensing Boiler (HTP) Mod Con KQ5A4DV Combustion Analysis - Boiler, High Effic KQ5A4DV Comprehensive - Boiler, Gas-Fired, High Effic KQ5A4DV Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 10/01/2017 Activity Number 1-PB5HM5I Kristi Denney 99/99/ /01/ /99/9999 Activity Number 1-PB5HLNU Kristi Denney Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

402 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

403 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

404 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: SOUTH PARK ELEMENTARY SOUTH PARK ELEMENTARY 735 Gilchrist Dr Delta, BC V4M 3L4 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ5A4EM 1-KQ5A4EM 1-KQ5A4FI 1-KQ5A4FI HP-1 Water Heat Pump (JCI) RHSW060 HP-1 Water Heat Pump (JCI) RHSW060 HP-2 Water Heat Pump (JCI) RHSW060 HP-2 Water Heat Pump (JCI) RHSW060 1-KQ5A4EM 1-KQ5A4EM 1-KQ5A4FI 1-KQ5A4FI Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Comp (Cooling) - Heat Pump, Water Cooled - 3 Oper (Mid Season) - Heat Pump, Water Cooled - 3 Yes Yes Yes For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

405 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Service Provided: Date Work Performed By 11/08/ /08/201799/99/ 9999 Arrived onsite and completed PJC Did fireside cleaning on condensing boiler. Robert Veltman Checked operation of all safeties. Conducted combustion analysis 11/30/ /30/201799/99/ 9999 Complete Checked circulation pump operations and lubricated bearing assembly. No abnormal situation found. Done Activity Number 1-Q31XWMJ Activity Number 1-QUPRJ6X Han Jiang Materials Used: Activity # Qty UOM Description Tool Charges: Disposal, Environmental & Usage Charges * Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

406 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

407 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

408 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Service Site: SUNSHINE HILLS ELEMENTARY SUNSHINE HILLS ELEMENTARY Bond Blvd Delta, BC V4E 1N3 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ5A4GG B-1 Condensing Boiler (HTP) Mod Con KQ5A4GG Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 03/30/ /30/201799/99/ 9999 Arrived onsite. Checked in. Got access to boiler room. Performed PJC. Performed pump inspection. Checked operation and pressures. Pumps check okay at this time. Ryan Battagello Complete Activity Number 1-M1BR7A4 Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

409 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

410 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Jarek Bekesza Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

411 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: SUNSHINE HILLS ELEMENTARY SUNSHINE HILLS ELEMENTARY Bond Blvd Delta, BC V4E 1N3 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ5A4GG 1-KQ5A4GG 1-KQ5A4GG 1-KQ5A4HN 1-KQ5A4HN 1-KQ5A4HN 1-KQ5A4IJ 1-KQ5A4IJ B-1 Condensing Boiler (HTP) Mod Con 300 B-1 Condensing Boiler (HTP) Mod Con 300 B-1 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-2 Condensing Boiler (HTP) Mod Con 300 B-3 Atmospheric Boiler (HydroTherm Multitemp) CJB2 B-3 Atmospheric Boiler (HydroTherm Multitemp) CJB2 1-KQ5A4GG Combustion Analysis - Boiler, High Effic KQ5A4GG Comprehensive - Boiler, Gas-Fired, High Effic KQ5A4GG Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ5A4HN Combustion Analysis - Boiler, High Effic KQ5A4HN Comprehensive - Boiler, Gas-Fired, High Effic KQ5A4HN Fireside Cleaning - Boiler, High Effic - 1 Yes 1-KQ5A4IJ Combustion Analysis - Boiler, High Effic KQ5A4IJ Comprehensive - Boiler, Gas-Fired, High Effic - 1 For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

412 Report Date 05/29/2018 Page 2 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ5A4IJ B-3 Atmospheric Boiler (HydroTherm Multitemp) CJB2 1-KQ5A4IJ Fireside Cleaning - Boiler, High Effic - 1 Yes Service Provided: Date Work Performed By 11/03/2017 SSV Han Jiang 11/03/201799/99/ 9999 Checked boiler heating and circulation pumps operation, no problems found. Lubricated all heat circulation pumps, done. Activity Number 1-PB5IL8D 11/20/ /20/201799/99/ 9999 Arrived onsite and completed PJC Checked in and got to boiler room Robert Veltman Burner for modcon master was removed. Checked previous activities and found that Ryan had removed it. Started cleaning slave. Found leak in heat exchanger. Disabled both mod cons as they are inoperable Inspected and checked safeties on hydrotherm. All ok Will put together quote to repair both mod cons once I get the prices. Activity Number 1-PB5IRI1 Materials Used: Activity # Qty UOM Description For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

413 Report Date 05/29/2018 Page 3 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

414 Report Date 05/29/2018 Page 4 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

415 Report Date 05/29/2018 Page 1 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: TILBURY MAINTENANCE OFFICE TILBURY MAINTENANCE OFFICE 7186 Brown St Delta, BC V4G 1G8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ4UTV3 B-1 Atmospheric Boiler 1-KQ4UTV3/FIELD UPDATE NEEDED Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 03/30/ /30/201799/99/ 9999 Arrived onsite. Checked in. Got access to boiler room. Performed PJC. Performed pump inspection. Checked operation and pressures. Pumps check okay at this time. Ryan Battagello Complete Activity Number 1-M1BR8F6 Materials Used: Activity # Qty UOM Description Yes For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

416 Report Date 05/29/2018 Page 2 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Tool Charges: Disposal, Environmental & Usage Charges * JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Fuel Surcharge: Miscellaneous: Zone/Trip/Truck Charges: Shipping /Handling Charges: Per Diem: * Disposal, Environmental & Usage Charges may include one or more of the following: miscellaneous electrical, pneumatic, welding supplies, hardware materials, cleaning supplies, or refrigerant reclaim disposal. Refrigerant Tracking: Activity # Action Taken Type Amount Asset ID Customer Tag Serial Number Model Number Leak Location Leak Rate No Refrigerant Activity Recorded To Date Condition Assessment: Date Condition Customer Tag Technician Condition Notes Solution and Benefit For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

417 Report Date 05/29/2018 Page 3 of 3 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) PARTS WARRANTY: Johnson Controls (JC) warrants that original equipment, parts or components manufactured or labeled by Johnson Controls, Inc. or an affiliate (JC) shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. Equipment, parts or components not manufactured or labeled by JC shall carry the third party manufacturer's warranty, subject to normal usage and proper installation and maintenance, for a period of ninety (90) days from the date of shipment. Recertified or replacement parts installed on equipment and still under the original equipment manufacturer's warranty are covered for ninety (90) days or the remainder of the original equipment manufacturer warranty period, whichever is longer. Notwithstanding any other provision hereof: (i) for the following components of large tonnage chillers: screw compressors, motors, control panels and components, VFD's and components and Liquid Cooled Solid State Starters and components, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance for a period of one (1) year from the date of shipment; and (ii) for the following components of small tonnage chillers: scroll compressors, condenser coils, control panels and components, screw compressors (DXS and Mustang), and fan motors, JC warrants that they shall be free from defects in material and workmanship, subject to normal usage and proper installation and maintenance, for a period of one (1) year from the date of shipment. In the event of a valid warranty claim, the Customer's remedy shall, at JC's sole discretion and subject to the exclusions herein, be limited to repair or replacement of the subject equipment, part or component conditioned upon the return to JC of any defective equipment, part or component. This Parts Warranty does not cover any shipping, handling or transportation charges or any associated labour costs. LABOUR WARRANTY: Johnson Controls (JC) warrants its workmanship or that of its agents in relation to installation of materials or service work for a period of ninety (90) days from date of installation or the date of service, respectively. Customer acknowledges that re-performance shall be its exclusive remedy with regards to any services provided by JC. Customer shall bear all labour costs associated with the repair or replacement of failed material that is outside the scope of this express labour warranty. All warranty labour shall be executed during JC normal business hours. These warranties do not extend to any equipment which has been repaired by others, abused, altered, or misused in any way, or which has not been properly and reasonably maintained. CUSTOMER HEREBY ACKNOWLEDGES AND AGREES THAT THESE WARRANTIES ARE THE SOLE WARRANTIES AND ARE IN LIEU OF ALL OTHER WARRANTIES, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY, NON-INFRINGEMENT AND FITNESS FOR A PARTICULAR PURPOSE. CUSTOMER FURTHER ACKNOWLEDGES THAT NO ORAL OR WRITTEN INFORMATION OR ADVICE GIVEN BY JC, ITS AGENTS OR EMPLOYEES, SHALL CREATE A WARRANTY IN ANY WAY WHATSOEVER. UNDER NO CIRCUMSTANCES SHALL JC BE LIABLE FOR ANY SPECIAL, DIRECT, OR CONSEQUENTIAL DAMAGES ARISING FROM OR RELATING TO ANY DEFECT IN MATERIAL OR WORKMANSHIP OF EQUIPMENT OR THE PERFORMANCE OF SERVICES. For Questions Regarding Service, Please Contact: Melissa Reid (866) Version: Release # PHL 3 CONFIDENTIAL: For customer review Johnson Controls

418 Report Date 05/29/2018 Page 1 of 4 PREVENTATIVE MAINTENANCE SERVICE REPORT Service Request Number: Service Request Type: PSA Service Request Sub-Type: Scheduled Service Status: Completed Requestor: Charles Shen Agreement Reference: Service Site: TILBURY MAINTENANCE OFFICE TILBURY MAINTENANCE OFFICE 7186 Brown St Delta, BC V4G 1G8 *Scan the QR Code to see new offerings JOHNSON CONTROLS VANCOUVER VICTORIA BC CB - 7N1A 1485 Lindsey Pl Delta, BC V3M 6V1 (866) Bill To: FORTISBC Ste West Georgia St Vancouver, BC V6E 4M3 Service Requested: Preventive Maintenance Equipment Serviced For This Request: Asset Customer Tag Serial Number Type of Service Tasking Complete 1-KQ4UTV3 B-1 Atmospheric Boiler 1-KQ4UTV3/FIELD UPDATE NEEDED 1-KQ4UTV3 B-1 Atmospheric Boiler 1-KQ4UTV3/FIELD UPDATE NEEDED 1-KQ4UTV3 B-1 Atmospheric Boiler 1-KQ4UTV3/FIELD UPDATE NEEDED 1-KQ4UTV3 B-1 Atmospheric Boiler 1-KQ4UTV3/FIELD UPDATE NEEDED 1-KQ4UTW1 B-2 Condensing Boiler 1-KQ4UTW1/FIELD (Giannoni) Mod Con 300 UPDATE NEEDED 1-KQ4UTW1 B-2 Condensing Boiler 1-KQ4UTW1/FIELD (Giannoni) Mod Con 300 UPDATE NEEDED 1-KQ4UTW1 B-2 Condensing Boiler 1-KQ4UTW1/FIELD (Giannoni) Mod Con 300 UPDATE NEEDED Circ Pump Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Combustion Analysis - Boiler, High Effic - 1 Comprehensive - Boiler, Gas-Fired, High Effic - 1 Fireside Cleaning - Boiler, High Effic - 1 Service Provided: Date Work Performed By 10/19/2017 Checked equipment operation and lubricated circulation pumps, done. Han Jiang 10/19/201799/99/ Activity Number 1-Q8T9YS For Questions Regarding Service, Please Contact: Kristi Denney (866) Version: Release # PHL 3 Yes Yes Yes CONFIDENTIAL: For customer review Johnson Controls