For Discussion Purposes Only

Digital 395

SECRBC– Board Presentation

Discussion Guide

February 28, 2013

Project Status

For Discussion Purposes Only 3

Rights-of-Way & Permits

ROW Remaining

All in place (Recent Washoe BIA Approval this week)

NTIA Route Changes for 5 Route Changes (2 NV, 3 CA)

Encroachment Permits

City of Reno Permits for M101( Approval 3/4/13)

Caltrans (Big Pine to China Lake)

Distribution

County Licenses for Kern County approval 3/3/13

County and City licenses include Anchor Access Agreements

NTIA Route Changes for 25 anchors and POIs

Construction Status - Nevada

Installed Plant

Reno / Carson Nodes

28 miles fiber (Reno-Carson)

Conduit: 2 Segments

Present Operations

Curtis & Sons, Apex

Focused on 395 thru Carson

Issues

BIA Approval to Proceed in N111-N113

2 Route Changes (2,000 ft)

Construction Status – Mono County

Installed Plant

Antelope, Bridgeport, Lee Vining, Mammoth Nodes

39 miles fiber (Coleville-VL)

Conduit: 8 Segments

Present Operations

Kleven, Westech, Apex, ASI

Focused State Line to June, and South of Mammoth to Crowley

Issues

Inyo National Forest

1 Route Changes (Mammoth)

Construction Status – Inyo County

Installed Plant

Bishop, Independence, and Nodes (Olancha is in GS10)

2 miles fiber (Reno-Carson)

Conduit: 3 Segments

Present Operations

Westech – Heavily Plowing

Focused on southward from Bishop

Issues

BLM Trespass (Resolved)

Caltrans Permits

1 Route Change (Round Valley)

Caltrans Permit Progress

Construction Status – Kern & South End

Installed Plant

Reno / Carson Nodes

104 miles fiber (Barstow-Pearsonville)

Conduit: 15 Segments

Cable: 14 Segments

Present Operations

Westech, McCullin Pipeline

Ridgecrest Distribution

Focus

K121 (Inyokern Lateral)

County of Kern Distribution

Environmental Issues / Responses

For Discussion Purposes Only 9

BLM

Claim: Trespassing into WSA: Outcome 200’ conduit re-installationt

$15K Study Cost; $20K for project monitoring

Section 106 Violations

N103 alleged disturbing of sacred artifacts - NTIA validated our practices

ESA Breach: Contractor drove over ESA; Invalidated by NTIA Study

INF archeological concerns: NTIA working with USFS

Long Bores (over 2,000 ft): negotiating for pit excavations, break up

Biological

Construction crews would be locked out of bird nesting areas: accelerated work in sensitive areas and obtained relief on timeframes

DFG 1602 Violations: Audit found unsatisfactory training with Sub-Contractors. Proactive Ride-Alongs, Training Sessions

Node Construction

Node Construction

For Discussion Purposes Only 11

Node Land Permit Site Bldg Powered

Reno Owned Yes Completed Placed Yes

Carson Owned Yes Completed Placed Yes

Antelope Fire Dist Yes Completed Placed Yes

Bridgeport County Yes Completed Placed No

Lee Vining School Yes Completed Placed No

Mammoth School Yes Completed Placed No

Bishop LADWP Yes 2/26/13 Ready N/A

Independence County Yes 3/1/13 Ready N/A

Olancha County Yes/PA 3/15/13 Ready N/A

Ridgecrest Owned Yes In Const Placed N/A

Barstow Owned Yes 3/7/13 Ready N/A

Distribution Construction

For Discussion Purposes Only 12

Key Service Areas (Ridgecrest, Mammoth, Bishop) Contract Awarded to Kleven Construction underway in Ridgecrest Mammoth construction starts post April. To be

challenged in March Other Areas: Benton, Walker, Coleville, Bridgeport,

Lee Vining, Big Pine, Independence, and Lone Pine

Praxis Focus (Aerial and Smaller Areas) Boron InyoKern Round Valley (Aerial) Benton Tribe(Aerial) Bridgeport Indian Colony China Lake Distribution (Aerial) June Lake (Aerial) Randsburg / Johannesberg (Aerial) Cerro Community College (Aerial)

Inyokern Distribution and Anchors

Ridgecrest Distribution and Anchors

For Discussion Purposes Only 14

Ridgecrest – China Lake Blvd.

Bishop Distribution and Anchors

Independence Distribution & Anchors

For Discussion Purposes Only 17

Anchor Status

For Discussion Purposes Only 18

Attribute Number Comment

Anchors Visited 328

Completed Engineering Surveys 322

Access Agreements Signed 228

Access Agreements Pending 14 Kern Co Agreement

Access Agreements Rejected 0

Not Access Agreements in Place 37

Anchors Cancelled 39 By Choice of Customer / Site Moved

TOTAL ANCHORS 328

Anchor Service Trench

For Discussion Purposes Only 19

Anchor Service Trench Integration With Backbone Conduit Placement. When the backbone work is being done in the street the backbone contractor will place the service trench and conduit to the customer location.

Cost savings over separate service trench. Using the same equipment and work setup as the backbone

Time savings. One crew completes backbone and service trench/conduit placement

Less disruption to anchor locations

Praxis fiber and NID installation follows

Anchor Service Trench Ridgecrest Regional Hospital

For Discussion Purposes Only 20

This service trench will be completed by boring onto Hospital property using the same work setup and equipment as the backbone work on K104 that places conduit on N China Lake Blvd

For Discussion Purposes Only 21

Thank You