Burlington Electric Commission — Burlington, VT
Date: 2026-05-13
Time: 17:00

BURLINGTON
 BOARD OF ELECTRIC COMMISSIONERS
 585 Pine Street
 Burlington, Vermont 05401
 To be held at Burlington Electric Department (and)
 Via Microsoft Teams
 +1 802-489-6254,,636059465#
LARA BONN, CHAIR
ALI KENNEY
SCOTT MOODY
ANDY VOTA, VICE CHAIR
BRIAN WILLIAMS
 AGENDA
 Regular Meeting of the Board of Electric Commissioners
 Wednesday, May 13, 2026 – 5:00 PM


1. Agenda (5 min.)

2. Minutes of April 8, 2026 Meeting (5 min.)

3. Public Forum (10 min.)

4. Monthly Impact Minute (discussion) (5 min.)

5. Commissioners’ Corner (discussion) (5 min.)

6. GM Update (oral update) (10 min.)

7. Financials: March FY26 (discussion): Emily Stebbins-Wheelock (10 min.)

8. Line of credit extension (discussion): Emily Stebbins-Wheelock (15 min.)

9. FY27 general obligation borrowing (discussion and vote): Emily Stebbins-Wheelock (15 min.)

10. FY27 rate change (discussion and vote): Emily Stebbins-Wheelock (15 min.)

11. FY27 budget (discussion and vote): Emily Stebbins-Wheelock (15 min.)

12. Release of federal interest for BED’s EDA Revolving Loan Fund Award #01-79-14206

(discussion and vote): Chris Burns (15 min.)

13. Executive Session - Power supply contract (discussion): James Gibbons (10 min.)

14. Power supply contract (discussion and vote): James Gibbons (10 min.)

15. Community EV Charging Permanent Rate Approval (Discussion & Vote) James Gibbons (10 min.)

16. Commissioners’ Check-In (5 min.)


 Attest: _________________________________________
 Elena Alexander, Board Clerk
If anyone from the public wishes to speak during the public forum portion of the Commission Meeting and/or wishes to be present for the
Meeting of the Board of Electric Commission via Microsoft Teams, please email ealexander@burlingtonelectric.com to receive a link to the


Note: Members of the public may speak during the Public Forum, or when recognized by the Chair during consideration of a specific agenda item.
Meeting.




Note: Members of the public may speak during the Public Forum, or when recognized by the Chair during consideration of a specific agenda item.

BURLINGTON
 BOARD OF ELECTRIC COMMISSIONERS
 585 Pine Street
 Burlington, Vermont 05401
 To be held at Burlington Electric Department (and)
 Via Microsoft Teams
 +1 802-489-6254,,636059465#
LARA BONN, CHAIR
ALI KENNEY
SCOTT MOODY
ANDY VOTA, VICE CHAIR
BRIAN WILLIAMS
 AGENDA
 Regular Meeting of the Board of Electric Commissioners
 Wednesday, May 13, 2026 – 5:00 PM


1. Agenda (5 min.)

2. Minutes of April 8, 2026 Meeting (5 min.)

3. Public Forum (10 min.)

4. Monthly Impact Minute (discussion) (5 min.)

5. Commissioners’ Corner (discussion) (5 min.)

6. GM Update (oral update) (10 min.)

7. Financials: March FY26 (discussion): Emily Stebbins-Wheelock (10 min.)

8. Line of credit extension (discussion): Emily Stebbins-Wheelock (15 min.)

9. FY27 general obligation borrowing (discussion and vote): Emily Stebbins-Wheelock (15 min.)

10. FY27 rate change (discussion and vote): Emily Stebbins-Wheelock (15 min.)

11. FY27 budget (discussion and vote): Emily Stebbins-Wheelock (15 min.)

12. Release of federal interest for BED’s EDA Revolving Loan Fund Award #01-79-14206

(discussion and vote): Chris Burns (15 min.)

13. Executive Session - Power supply contract (discussion): James Gibbons (10 min.)

14. Power supply contract (discussion and vote): James Gibbons (10 min.)

15. Community EV Charging Permanent Rate Approval (Discussion & Vote) James Gibbons (10 min.)

16. Commissioners’ Check-In (5 min.)


 Attest: _________________________________________
 Elena Alexander, Board Clerk
If anyone from the public wishes to speak during the public forum portion of the Commission Meeting and/or wishes to be present for the
Meeting of the Board of Electric Commission via Microsoft Teams, please email ealexander@burlingtonelectric.com to receive a link to the


Note: Members of the public may speak during the Public Forum, or when recognized by the Chair during consideration of a specific agenda item.
Meeting.




Note: Members of the public may speak during the Public Forum, or when recognized by the Chair during consideration of a specific agenda item.
 DRAFT
 MINUTES OF REGULAR MEETING
 BURLINGTON ELECTRIC COMMISSION

 Wednesday, April 8, 2026

The regular meeting of the Burlington Electric Commission was convened at 5:00 pm on
Wednesday, April 8, 2026, at Burlington Electric Department, 585 Pine Street, Burlington, Vermont,
and on Microsoft Teams.

Attendance
  Channel 17 was present to record this meeting.
  Commissioners Lara Bonn, Ali Kenney, Scott Moody, Andy Vota and Brian Williams were
 present.
  Staff members Elena Alexander, Paul Alexander, Xander Briggs, Chris Burns, Munir Kasti,
 Tom Lyle, Darren Springer, and Emily Stebbins-Wheelock were present at 585 Pine Street.
  Staff members Erica Ferland and James Gibbons were present via Microsoft Teams.
  Public member Pike Porter was present via Microsoft Teams.

1. Agenda
General Manager Springer proposed the removal of Agenda item #4 Monthly Impact Minute and
#11 Proposed Renewable Wind Energy Contract.

Commissioner Vota moved to accept the agenda as amended. Commissioner Moody seconded the
motion. Vote: 5 ayes 0 nays.

2. Meeting Minutes
Commissioner Bonn provided an updated version of the March 11, 2026 draft meeting minutes,
replacing the version that was distributed in the packet.

Commissioner Vota moved to accept the amended March 11, 2026 minutes as presented.
Commissioner Kenney seconded the motion. Vote: 5 ayes 0 nays.

3. Public Forum
No public comments were presented.

5. Commissioners’ Corner
Commissioner Kenney asked for an update on the RFP for the battery storage at McNeil. General
Manager Springer shared that the battery proposal is currently ranked as third priority for the
power supply team, behind short-term energy needs and replacing expiring contracts. The primary
 1
goal is to advance a tangible battery proposal to the Commission and City Council this year.
Progression of the battery project is strictly contingent on the economic favorability of the
proposals. Several solar proposals are also in the queue but will only be reviewed after the battery
project has been addressed. Once a proposal is successfully advanced and approved, the project will
move forward into the permitting process.

6. General Manager’s Update
General Manager Springer shared the following:
  BED has secured a ive-year renewal extension with Shef ield for wind energy.
  Legislation H.940, which extends pilot authority for the expanded use of TEPF funds, has
 passed the House and is currently moving through the Senate Finance Committee.
  The Principal Counsel position has been reposted with modi ied requirements, with the goal
 of starting interviews within the next month.
  The FY26 rate case was of icially approved at a 4.33% level, and a refund plan for the
 previous surcharge difference has been submitted to the PUC for feedback.
  The Jim Reardon Public Service Award presentation is scheduled for Wednesday, April 15th
 at 12:00 PM in the Spark Space.
  The Electrify Vermont Summit featuring keynote speaker Jigar Shah will take place this
 Monday at the UVM Davis Center.
  An updated Net Zero Energy roadmap including weather-normalized thermal data will be
 presented to the City Council later this month and to the Commission in May.
  The $20 million Net Zero Energy & Grid Reliability revenue bond has been issued through
 the Vermont Bond Bank and will begin funding the FY26 capital budget.
  A meeting is scheduled for this week with the Department of Public Service to initiate a
 broad review of iscal health and operational reliability.

7. February 2026 Financial Review
Emily Stebbins-Wheelock, CFO and Manager of Strategy & Innovation, presented inancial results
for February 2026.
  The actual net income for February 2026 was $1,460,000, outperforming the budgeted
 target of $1.2 million.
  The iscal year-to-date net income reached over $3.5 million, creating a favorable variance of
 $992,000 compared to the budget.
  Power supply revenues were lower than budgeted by $104,000 because of lower production
 from renewable resources and a decrease in available renewable energy certi icates (RECs).
  Operating expenses for power supply showed an unusually precise variance of only $1,000
 on a $3.2 million line item.
  Rising diesel prices are impacting wood chip procurement costs via a contract pricing
 structure that adjusts based on fuel prices.
  Management warned that entering into short-term energy contracts would currently expose
 the company to high market volatility caused by events in the Persian Gulf.
 2
  Capital spending for the iscal year-to-date is $5.4 million, which is signi icantly lower than
 the budgeted $11.3 million for this period.
  The company reported 148 days of cash on hand, a debt service coverage ratio of 4.86, and
 an adjusted debt service coverage ratio of 1.22.

8. FY27 Preliminary Budget
Emily Stebbins-Wheelock, CFO and Manager of Strategy and Innovation presented the following:

  The draft budget will be presented to the Board of Finance on April 29, followed by a inal
 review and separate votes on the budget and rate change during the May Commission
 meeting.
  Management has successfully reduced an initial $5.5 million budget de icit to a current gap
 of approximately $2 million through ongoing adjustments.
  A proposed rate increase of 3% to 4% is estimated to take effect on bills rendered starting
 September 1st.
  The expiration of the Hancock wind contract and lower production volumes are
 contributing to a $750,000 shortfall in REC revenue.
  Transmission costs are projected to increase by $673,000, driven by regional structural
 shifts and a FERC ruling that negatively impacts Vermont utilities’ transmission costs.
  Major capital investments for FY27 include the relicensing of the Winooski 1 dam and the
 replacement of core inancial and asset management software systems.
  Labor and bene it costs are budgeted to rise by $573,000, with the IBEW union contract set
 to expire on June 30 amid ongoing negotiations.
  Total interest expenses will increase by $672,000 as the utility takes on a new revenue bond
 to fund its capital plan.
  Despite the installation of over 3,200 heat pumps, overall kilowatt-hour sales are forecast to
 remain lat, making it more dif icult to absorb rising structural costs.
  BED is budgeting electri ication rebates at 1.8 times the state compliance requirement to
 proactively support local net-zero roadmap goals.

9. Energy Efficiency Update
Chris Burns, Director of Energy Services, provided the following:

  The current energy ef iciency performance period runs from 2024 through 2026.
  Program activity for 2024 and 2025 is currently described as sluggish, particularly within
 the commercial sector.
  The most signi icant declines in activity are occurring in commercial existing buildings and
 commercial new construction.
  Sluggish commercial performance is a statewide trend affecting all three Energy Ef iciency
 Utilities (EEUs), including partners like Ef iciency VT and VGS.
  Utilities are held to speci ic minimum performance requirements and quanti iable
 performance indicators that are largely standardized across the state.
  A potential study is currently underway to prepare for the 2027-2029 Demand Resource
 Plan.
 3
10. Executive Session – Proposed Renewable Wind Energy Contract Terms
Commissioner Vota moved to find that premature general public knowledge of the Commission’s
discussion regarding the proposed Renewable Energy Wind Contract would clearly place the
Burlington Electric Department at a substantial disadvantage per Title 1, Section 313 (a)(1) of the
Vermont Statutes. Commissioner Kenney seconded the motion. Vote: 5 ayes 0 nays

Commissioner Vota moved that the Commission and staff members enter into executive session to
discuss the proposed Renewable Energy Wind Contract under the provisions of Title 1, Section
313(a) (1) (A) of the Vermont Statutes. Commissioner Moody seconded the motion. Vote: 5 ayes 0
nays. Executive Session start time: 6:31pm.

Commissioner Vota moved to exit executive session at 6:56pm, the motion was seconded by
Commissioner Williams. Vote: 5 ayes 0 nays.

11. Commissioners’ Check-in
No topics discussed.

Adjourn
Commissioner Moody made a motion to adjourn; the motion was seconded by Commissioner
Williams. Vote: 4 ayes 0 nays (Commissioner Kenney was not in attendance).

The meeting of the Burlington Electric Commission adjourned at 6:58p.m.

Microsoft Teams transcript used to draft minutes prepared by Elena Alexander then amended by Emily
Stebbins-Wheelock.

Attest: ______________________________________________
 Elena Alexander, Board Clerk




 4
To: Burlington Board of Electric Commissioners

From: Darren Springer, General Manager

Date: May 8, 2026

Subject: April 2026 Highlights of Department Activities


General Manager – Darren Springer
  Budget and Rates – BED is pleased to have finalized our FY27 rate change at 2.99%, our lowest
 since the pandemic and requiring significant efforts from our team on the budget and cost
 reductions. See Center for Innovation report for important context on transmission cost changes
 that are negatively impacting BED and all of Vermont, and mitigation steps.
  Electrify Vermont Summit – BED, REV and UVM co-hosted a successful second Electrify Vermont
 Summit on April 13th. Check out the NZE Podcast from the Summit with Jen Green speaking with
 Jigar Shah and Navneet Trivedi, following their excellent keynote session:
 www.burlingtonelectric.com/pod
  Net Zero Roadmap 2025 update – Check out the slides presenting the 2025 Net Zero Energy
 Roadmap update here: https://www.burlingtonelectric.com/wp-content/uploads/NZE-2025-
 Roadmap-Update-4.27.26.pdf. Highlights for 2025 include a 24.3 percent reduction in ground
 transportation fossil fuel use since 2019 due to more EVs/PHEVs and less gasoline vehicles
 registered. Colder weather in 2025 (relative to 2023 and 2024) meant a moderate rebound in
 thermal sector emissions. This is first year Synapse has also shared weather normalized data,
 included in the slides.
  New Fast Chargers – BED has two new DC Fast Chargers located at St. Paul and Bank Street near
 the new AC Hotel. They can charge at speeds up to 125 kW, making them the fastest currently in our
 public charging network.
  New BED AI Customer Support – BED has a new AI customer chatbot available on our website by
 clicking the green tab at the bottom. The chatbot can provide granular rebate information for
 customers. Test it out and share feedback with us!
  H. 940 – Is with Governor, as of May 7th.

Center for Innovation – Emily Stebbins-Wheelock
  On March 19, 2026, the Federal Energy Regulatory Commission (FERC) issued an order related to
 the return on equity (ROE) allowed for New England Transmission Owners (NETOs). The order
 resolves four complaints filed beginning in 2011 arguing that transmission costs were too high due
 to the allowable rate of return for transmission owners on investments made to grid infrastructure.
 The recent order reduces the NETOs’ ROE from 10.57% to 9.57% and requires refunds be issued,
 with interest, to transmission customers for a portion of costs incurred since 2011.
  For most of New England, this order will reduce transmission costs for utilities and their
 ratepayers. In Vermont, however, the state transmission operator, VELCO/Transco, is owned by the
 distribution utilities (DUs). Therefore, this order’s effect on DUs, including BED, will be a decrease
 in ISO-NE transmission costs, but an increase in VELCO transmission costs (because per the 1991
 April 2026 – Department Highlights



 VT Transmission Agreement, VELCO is allowed to recover from the DUs whatever portion of its
 expenses are not covered by the region).
 All of the NETOs except VELCO have filed a motion for FERC to reconsider its Order, challenging
 FERC’s authority to require interest during the entire refund period. It is expected that this request
 will be denied, but it is a required step before filing a court action.
 VELCO separately filed a motion for reconsideration noting Vermont’s unique situation and that
 FERC’s action would increase costs for Vermont ratepayers.
 On April 30, the Participating Transmission Owners Administrative Committee filed a motion with
 FERC to set the going-forward ROE at 11.39%. VELCO chose not to participate in the filing but to
 intervene.
 BED staff have been participating actively in regular, continuing discussions with VELCO to evaluate
 and mitigate the financial impacts of this order. The order will affect BED in two ways: (1)
 transmission costs will increase going forward (in FY27, by an estimated $36,000) and (2) BED as a
 VELCO owner will need to contribute to paying the refund and interest. VELCO currently estimates
 that it will need to refund $121 million to ISO-NE and that 35% of this, or $40 million, will be
 returned to the Vermont DUs as a credit on their ISO-NE transmission bills, leaving a net cost to the
 DUs of over $80 million. Refunds are currently expected to be paid between September 2026 and
 May 2027. VELCO and the DUs are discussing possible mechanisms to spread this cost. The current
 thinking is for VELCO to borrow the money and seek FERC approval to create a regulatory asset to
 invoice DUs the $80M net cost of the refund plus loan interest over a 10-year period, smoothing the
 impact on VT ratepayers.
 Hired Ying Liu (formerly McNeil Sr. Staff Accountant) as Operating Sr. Staff Accountant
 Successfully recruited for Systems and Support Analyst (start date 6/8)
 Began issuing FY25 rate case refunds to customers as bill credits on April 20
 Finalizing FY27 budget
 Sourcing short-term and long-term renewable energy contracts
 Public Utility Commission approved BED’s request for extension for filing 2026 IRP
 Due to a judicial stay, McNeil Q4 2025 RECs remain CT-1 eligible
 Met with Department of Public Service re the “health assessment” DPS is conducting of all VT
 municipal and cooperative utilities
 Toured Highgate converter as part of VELCO’s Advisory Team exploring options to refurbish,
 upgrade, or replace the converter
 Achieved CIS implementation major milestone of data conversion 2.1
 Selected FlexEnergi as distributed energy resource management system (DERMS) vendor
 Podcast interview with Electrify Vermont Summit keynote speaker Jigar Shah.
 Coordinating May 13 City Council presentation of Mayor’s Climate Advisors’ report
 CEDO, VGS and BED re: collaborative support to small businesses.
 Co-hosted Earth Day 2026 event at NNE Fletcher Free Library. Displayed F150 Lightning and a
 Mustang Mach-E.
 In partnership with Communication and Technology Specialist, planned a more robust social media
 campaign to generate additional customer engagement.




 Page 2
 April 2026 – Department Highlights



Center for Safety and Risk Management – Paul Alexander
Safety
  The Safety Team conducted weekly Tuesday morning safety briefings with operations personnel.
 PreJob tailboards are covered, as well as weekly assignments for Operations with Engineering
 Support. System Operations gives weekly SCADA updates.
  The Safety Team performed annual maintenance on all Operation fire extinguisher to include gas
 Turbine and all substations.
  The Safety Team completed weekly OSHA 300 reporting.
  The Safety Team replaced and updated all AED Pads at 585 Pine Street.
  The Safety Team completed the annual mandatory OSHA 1910.179 Crane & Hoist Inspections and
 Preventative Maintenance (PM) on at all BED locations. The inspection encompassed operational
 testing of all the equipment as well as a detailed inspection per OSHA 1910.179 and ASMEB30
 requirements.

Environmental
  The McNeil REC team completed the 1st quarter 2026 CT Class I renewable energy source
 compliance filing related to orders 1 and 4 of docket 08-01-03 for McNeil. Confirmation receipt was
 received 04/28/2026. Compliance deadline is 45 days from the end of the reporting period.
  The Environmental Team conducted the bimonthly meetings with McNeil Operations. Air & Water
 weekly reports are covered with emphasis on water chemistry and emissions compliance.
  The Environmental Team completed the Q1 2026 Air Emissions Report for the VTDEC thus meeting
 the compliance deadline of 30 days from the end of the reporting period.
  The Environmental Team organized various Vactor truck cleaning activities for the McNeil annual
 outage that began in April.
  The Environmental Team met with Engineering firm and Clarity Water consultants to map out an
 improved water chemistry program for the McNeil boiler.

Risk Management
  Continued extensive effort on reviewing and revising both the FY’26 and FY’27 Expense and Capital
 Budgets for the Center for Safety (C4S)
  Received reimbursement from our Auto Insurance company (Travelers) re: stolen tools from line
 truck (#C-3)
  Begin creation of a Request-for-Proposal (RFP) Process Policy for Purchasing area
  Joined City of Burlington’s (COB’s) Inland Marine/Transit policy for shipped product
  Conducted/chaired monthly BED Safety Committee (BSC)
  Updated 2026 version of the “Local Emergency Management Plan” (LEMP) for the Burlington Fire
 Department (BFD)
  Created BED’s 585 Pine Street mail run policy document for coverage issues

Purchasing/General Services
  Passing of Shawn Lowell FMS III
  Working on RFP process, templates, LawVu,
  McNeil Spring Outage started getting parts staged & forklift from Pine St to McNeil for electric
 motor out & load for delivery to vendor for repair & service



 Page 3
 April 2026 – Department Highlights



  McNeil RSCR Heatsink arranged delivery & trailer to hold product until installed
  McNeil RSCR Catalyst & Heatsink installed by Cormetech getting crane & testing done on Heatsink
 to find out it is non-hazardous material
  Worked on modifying FY26 & FY27 Expense & Capital Budgets

Center for Operations & Reliability – Munir Kasti
Engineering, Grid Services & Operations
 Completed overhead rebuilds on Austin Drive, Woodlawn Road, Woodbury Road and Staniford Road.
 Replaced two overloaded distribution transformers.
 Replaced fifteen condemned poles.
 Completed customer service upgrades on Pine Street and Mansfield Avenue.
 Line crews were made aware of Osprey making a nest on two poles near the McNeil Generating Station.
 Crews performed a power outage to distribution circuits at McNeil to build an extension and platform
 for Osprey to safely re-build the nest away from power lines. Osprey successfully relocated nest to new
 platform.

SAIFI & CAIDI Outage Metrics:
BED’s distribution system experienced 18 outages in April 2026 (2 unscheduled and 16 scheduled). BED’s
SAIFI for the Month of April was 0.02 interruptions per customer and CAIDI was 0.54 hours per
interruption. BED's YTD SAIFI is 0.07 interruptions per customer and YTD CAIDI is 1.58 hours per
interruption.

The following figure shows BED’s historical YTD SAIFI and CAIDI:




The following figure shows BED’s historical April SAIFI and CAIDI:




 Page 4
 April 2026 – Department Highlights




The following figure shows BED’s historical Unplanned Outages:




Generation

McNeil Generating Station
Month Generation: 10,516 MWh
YTD Generation: 84,206 MWh
Month Capacity Factor: 29.2%
Month Availability: 47.8 %
Hours of Operation: 344 hours

Winooski One Hydroelectric Station
Monthly Generation: 3,768.9 MWh
YTD Generation: 9,455.2 MWh
Month Capacity Factor: 71%
Annual Capacity Factor: 44.37%
Month Availability: 100%

Burlington Gas Turbine
Month Generation: 0 MWh
YTD Generation: 571.7 MWh
Month Capacity Factor: 0%
Month Availability: 100%

Solar (Pine Street 107 kW)
Month Generation: 11.18 MWh (-10% from previous year)
YTD Generation: 20.50 MWh
Month Capacity Factor: 14.5%
Month Availability: 100%

Solar (Airport 499 kW)
Month Generation: 59.81 MWh (+41% from previous year)
YTD Generation: 108.89 MWh


 Page 5
 April 2026 – Department Highlights



Month Capacity Factor: 16.6%
Month Availability: 100%

Center for Energy Services – Chris Burns
 UVM & UVMMC
 UVM Medical Center – East Pavilion 3 and Old Hall Level 4 Lighting Upgrades - BED has developed
 savings estimates for both of these LED lighting projects.
 UVM Rowell / Classroom Lighting Retrofit – UVM is gathering information on a basement nursing
 classroom lighting retrofit involving QTY=24 T8 fixtures to be replaced one-for-one with LED.
 UVM Library Research Annex / Conversion from Steam Boilers to Hot Water – The University is
 planning replacing steam boilers with hot water units. The humidification system will need to be
 upgraded to a different technology. Included will be VFD’s added to AHU-1 and AHU-2 supply and
 return fans. BED is in the process of confirming expected savings and developing an incentive offer for
 this project.

Other Services
 Continued Decline in New Development and Energy Efficiency Activity
  As previously reported, over the past year and a half few new construction zoning applications have
 been submitted to Department of Permitting and Inspections (DPI), indicating a decline in near
 term new development. High lending costs and construction costs continue to slow this market.
  As previously reported, ES also continues to see an overall slowdown in EEU and Tier 3 activity
 with customers. Challenging, and uncertain, economic conditions are influencing customer
 decision-making. Customers continue to face economic headwinds where discretionary energy
 efficiency, and beneficial electrification improvements, are understandably not a priority even
 when utility incentives are available. VGS and EVT have reported similar market conditions. BED
 and VGS continue to work with the Burlington 2030 District and CEDO’s Business Support Servies
 team to get the word out about our services and that we are here to help. BED, VGS and CEDO will
 be meeting in April to brainstorm business outreach approaches.

 ES continues to:
  Work on several projects continues including Consolidated Communications Central
 Telecommunications Hub / Chiller System upgrade, Rhino Foods cooler & freezer upgrade to CO2
 refrigerant, GBYMCA / HVAC Re-Commissioning, and Hill Gardens Apartments LED lighting retrofit.
  Support the customer care team with a number of residential and commercial customer high bill
 concerns.
  Partner with the VGS ES team on a number of residential weatherization and heat pump projects
 and commercial retrofit projects.

Electric Vehicles & Charging Stations
 The EVSE (ChargePoint, Flo & AmpUp) dispensed a total of 40.3 MWh and supported 2,112 sessions.
 The ChargePoint EVSE served 836 unique drivers.
 The top 3 sales on the ChargePoint network were 110kWh, 119kWh, and 139kWh and occurred at the
 Pease Lot DCFC, Pine St L2, and the Marketplace Garage.



 Page 6
 April 2026 – Department Highlights



 Approximately 50.5% (or 20.3MWh) of the energy sold from the entire network is attributed to the
 DCFC’s. The Pine St. DCFC dispensed the most energy.
 The BE11 (Champlain College Summit St.) was removed because it was in the way of construction
 planned for this spring/summer.
 DCFC’s BE20 and BE21 (Bank St. & St. Paul St.) were commissioned on April 8th. Stations were placed in
 service on April 10 and then hidden from view on the driver app on April 28. The road in front of the
 chargers is being paved. Paving should be completed this week.
 EV and PHEV rebates to date – 1,272 (of this 275 LMI rebates to date)
 Customers currently participating in the EV Charging Rate- 449
 Single-family & multifamily home EV charging stations rebates to date – 445 (of this 24 LMI rebates to
 date).

Heat Pump Installations to Date
Total Heat Pump Technology Installations including Multi-Family New Construction Projects &
Installations in existing buildings since the September 2019 NZEC announcement – 3,267 installations (of
this 256 LMI rebates to date)

Center for Customer Care & Communications – Mike Kanarick
  Call Answer Time (75% in 20 seconds): April 2026 81.0%, March 81.7%, February 80.6%, January 90.4%,
 December 2025 91.4%, November 80.3%. April 2025 86.1%, March 90.3%, February 89.6%, January 86.4%,
 December 2024 83.4%, November 84%.

 April 2026 Stats: please see dashboard for additional metrics categories.




 Page 7
 April 2026 – Department Highlights




 Complaints to DPS about Customer Care Team
 20
 15



 # of Complaints
 14
 15
 9 9
 10
 5
 5 1
 0 0 0 0 0 0 0 0 0 0 0
 0




 Calendar Year


Communications and Marketing

 Earth Day: we celebrated Earth Day in fine style at the New North End Branch of the Fletcher Free Library at
 Ethan Allen Shopping Center on April 22. We were set up in the parking lot with BED electric fleet vehicles,
 including a Ford F-150 Lightning, a Mustang Mach-E, and an electric bicycle. We were proud to show community
 members our EVs and to have conversations about BED rebates for EVs. We thank FFL for presenting a selection
 of books on energy, the environment, and electrification.

 Lake Monsters Customer Appreciation Nights: BED will be on the Centennial Field concourse again this season
 with our friends from VGS on Tuesday, June 9 to cheer on our Vermont Lake Monsters as they face the Worcester
 Bravehearts and again on Tuesday, July 28 as they face the Westfield Starfires (VGS will not be joining us on July
 28, but will be at the July 2 game). On July 28, we plan to demonstrate a special induction cooking range, which
 uses a regular 120-volt plug and has battery backup power. To show appreciation for our customers, BED will
 give away baseball caps to the first 250 Burlingtonians each night (please show us your online or paper bill). Also,
 we will provide expert energy advice before and during the game.

 Net Zero Energy Podcast: we invite you to listen to our latest podcast episodes, featuring Jigar Shah, co-founder of
 Multiplier and former Department of Energy Loan Program Office Director, and Navneet Trivedi, co-founder of
 Vrinda, discussing Vermont’s path to a sustainable future; and Deb Sachs, director of Net Zero Vermont and
 project manager of the Walk to Shop program, discussing sustainable transit. burlingtonelectric.com/podcast

 Full website visits for April 2026




 Page 8
 April 2026 – Department Highlights




Top-performing Facebook & Instagram posts

 Podcast with Jigar Shah and Navneet Trivedi & with VHFA.
 National Transgender Visibility Day.




 Page 9
 BED 2025-2026
 Strategic Direction Dashboard


 2026 Yearly Apr 2026 Mar 2026 Feb 2026 Jan 2026 2024 Yearly 2023 Yearly 2022 Yearly 2021 Yearly 2020 Yearly 2019 Yearly
 Target Actuals Actuals Actuals Actuals Actuals 2025 Yearly Actuals Actual Actual Actual Actual Actual Actual
Engage Customers and Community
Call answer time 75% within 20 seconds 75% 83% 81% 82% 81% 90% avg 81% avg 81% avg 82% avg 82% avg 82% avg 81%
Delinquent accounts >$500 0 320 320 330 333 298 avg 280 avg 223 avg 168 avg 188 avg 529 avg 201
Disconnects for non-payment 0 127 95 24 0 8 351 308 224 12 0 45
Energy Assistance Program Customers (program lifetime) NA 964 964 949 942 936 929 843 234
Energy Assistance Program Customers (currently enrolled) 300 787 787 782 777 771 772 770 219
# of residential weatherization completions 10 1 - 1 0 0 3 7 11 5 5 3 11
Weatherization completions in rental properties - - 0 0 0 0 3 8 6 0 0 TBD
# or % of homes or SF weatherized TBD TBD TBD TBD TBD 0 0 TBD TBD TBD TBD 0
# of commercial building with improved thermal envelopes - - 0 0 0 1 5 6 4 5 5 0
Total annual mWh saved via the EE programs (annual goal) 4,039 1058 1058 982 952 506 1,674 1,116 2,940 4053 3057
Total residential annual mWh saved via the EE programs (cumulative for year) 702 59 59 56 37 22 233 333 494 862 917
Total commercial sector annual mWh saved via the EE programs (cumulative for year) 3,337 999 999 926 915 484 1,441 783 2,447 3191
 2140
% of EEU charge from LMI customers spent on EE services for LMI customers (cumulative $ 322,387 $ 277,854
 $ 297,026 $ 322,387 $ 306,434 $ 290,691 $ 282,343 $ 164,186 $ 504,942 $ 335,234 TBD TBD TBD
for 2024- 2026 3-year EEU performance period)
# of pageviews, overall website-wide 84,962 23,199 21,286 18,276 22,201 267,394
# of unique website homepage views 21,316 4,414 8,400 3,986 4,516 53,579
Strengthen Reliability
SAIFI (AVG interruptions/customer) (annual target) < 2.1 0.02 0.02 0.05 0.00 0.00 0.35 1.63 0.56 1.05 0.17 1.48 1.01
CAIDI (AVG time in hrs to restore service) (annual target) < 1.2 1.63 0.54 1.93 2.99 1.04 1.44 0.94 0.67 1.49 0.55 0.75
Distribution System Unplanned Outages (annual target) 82 5 2 2 0 1 58 69 39 61 44 90 98
McNeil Forced Outages 0 5 1 2 1 1 11 10 5 14 5 21 TBD
W1H Forced Outages 0 0 0 0 0 0 2 3 2 6 9 2 TBD
GT Forced Outages 0 3 0 0 1 2 3 2 9 6 2 3 TBD
Invest in Our People, Processes, and Technology
Avg. # of days to fill positions under recruitment 120 163 149 147 129 228 282 253 219 100 68 179
# of budgeted positions vacant 0 10 12 11 10 7 avg 10 avg 12 avg 12 avg 9 avg 9 6 NA
 BED 2025-2026
 Strategic Direction Dashboard


 2026 Yearly Apr 2026 Mar 2026 Feb 2026 Jan 2026 2024 Yearly 2023 Yearly 2022 Yearly 2021 Yearly 2020 Yearly 2019 Yearly
 Target Actuals Actuals Actuals Actuals Actuals 2025 Yearly Actuals Actual Actual Actual Actual Actual Actual
Innovate to Reach Net Zero Energy
Tier 3 Program
# of residential heat pump installs 35 2 6 13 14 217 176 186 255 315 203 10
# of commercial heat pump installs 2 - 2 0 0 1 5 8 4 4 13 0
# of residential hot water heat pump installs 1 1 0 0 0 30 28 31 26 14 6 4
# of commercial hot water heat pump installs 0 - 0 0 0 - 0 0 0 0 0 0
Heat pump rebates 37 2 8 13 14 232 185 206 271 328 212 0
Heat pump hot water heater rebates 0 - 0 0 0 30 28 47 18 15 3 0
LMI heat pump rebates 3 3 0 0 0 42 35 21 43 28 6 4
Heat pump technology installs in rental properties 0 - 0 0 0 - 3 8 10 14 9 TBD
LMI heat pump hot water heater rebates 3 1 0 0 2 24 2 6 1 2 0 1
EV rebates - new 15 9 4 1 1 127 125 103 53 67 14 36
EV rebates - pre-owned 14 3 4 4 3 32 23 16 18 7 8 2
 See NZE
LMI EV rebates 9 3 3 3 0 26 50 26 9 11 7 7
 Roadmap
PHEV rebates - new 4 1 0 0 3 33 44 25 27 41 10 17
 Goals below
PHEV rebates - preowned 4 3 0 0 1 15 8 6 12 6 5 3
LMI PHEV rebates 0 - 0 0 0 3 11 5 15 13 6 2
Public EV chargers in BTV (total) 40 ports 40 ports 41 ports 41 ports 41 ports 41 ports 40 ports 32 ports 30 ports 27 ports 27 ports 14
Public EV charger energy dispensed (kWh) 160,600 40,200 39,600 40,800 40,000 483,500 355500 244,300 151,360 86,570 35,690 78,000
Home EV charging station rebates 16 3 4 0 9 148 82 72 70 32 20 12
EV charging rate customers (total) 1,780 449 447 443 441 425 347 246 157 40 40 28
Level 2 charger rebates - - - 0 0 86 22 10 11 10 0 1
Level 1 charger rebates - - - 0 0 1 0 0 - 0 1 0
E-bike rebates 43 30 7 6 0 263 169 147 152 88 36 65
E-mower rebates 8 6 1 0 1 88 109 135 159 154 95 142
E-forklift rebates - - - 0 0 - 0 0 1 0 0 0
MWE of Tier 3 measures installed 12,854 911 766 9,890 1,287 45,276 26,120 22,374 22,837 23,763 35,112 3,342
% Tier 3 obligation met with program measures 100% 49% 49% 45% 42% 5% 187% 122% 117% 131% 159% 283% 31%
Net Zero Energy Roadmap Goals
# of solar net metering projects installed 4 - 2 1 1 26 13 32 33 29 24 33
No. of homes receiving NZE Home Roadmaps - - - 0 0 - 0 - 7 10 7
Residential heat pumps for space heating (no. of homes) 2026: 15,424 NA NA NA NA NA 2,580, 18% of goal 2,320 1,952 1,749 1,448 1,112 925
Commercial heat pumps for space heating (1000 SF floor space served) 2026: 8,411 NA NA NA NA NA 602, 8% of goal 487 431 411 405 374 374
Residential heat pumps for water heating (no. of homes) 2026: 12,803 NA NA NA NA NA 416, 4% of goal 344 289 243 224 208 203
Commercial heat pumps for water heating (1000 SF floor space served) 2026: 4,287 NA NA NA NA NA 17, 1% of goal 6 0 0 0 0 -
EV registrations in BTV (light-duty) 2026: 9,266 NA NA NA NA NA 1,465, 20% of goal 1,285 829 699 549 361 296
Greenhouse gas emissions (1000 metric tons CO2) 2026: 87 NA NA NA NA NA 176, 78% above target 173 179 193 188 185 214
Fossil fuel consumption (billion BTU) 2026: 1,337 NA NA NA NA NA 3,038, 97% above target 2,939 3,044 3,319 3,169 3,185 3,660
 BED 2025-2026
 Strategic Direction Dashboard


 2026 Yearly Apr 2026 Mar 2026 Feb 2026 Jan 2026 2024 Yearly 2023 Yearly 2022 Yearly 2021 Yearly 2020 Yearly 2019 Yearly
 Target Actuals Actuals Actuals Actuals Actuals 2025 Yearly Actuals Actual Actual Actual Actual Actual Actual
Demand Response
Manage Budget and Risks Responsibly
Safety & Environmental
No. of workers' compensation/accidents per month 0 5 2 1 1 1 6 7 8 16 4 8
Total Paid losses for workers’ compensation accidents (for the month) annual 206,011 $ 178,933 $ 9,338 $16,758 $982 $ 186,754 $272,353 $98,393 $ 145,102 $ 93,612 $ 165,402 $38,288
Lost Time Incident Rate (days/year) (Dec numbers reflect annual results) <= 3.5 annual N/A N/A N/A N/A N/A 0.95 0.99 2.0 1.99 0.0 0.93 0.89
Lost Time Severity Rate (days/year) (Dec numbers reflect annual results) <= 71 annual N/A N/A N/A N/A N/A 25.52 9.90 107.4 112.63 0.0 41.71 78.2
Lost work days per month 0 - 0 0 0 0 27 avg 10 avg 12 avg 9 0.0 45
NOx reporting levels to EPA (Quarterly) (lbs/mmbtu) <0.075 0.065 0.062 0.066 0.066 0.065 0.071 0.06 0.06 0.06 0.07 0.07
# of reported spills, waste water incidents (monthly) 0 3 1 0 1 1 0 4 2 6 4 4
Phosphorus levels to DEC in lbs (monthly/yearly total) <0.8/37 .075/1.274 0.147/1.253 0.162/1.280 0.155/1.283 1.256 1.87 0.705 0.688 2.028 1.169
# of new power outage claims reported (monthly) 1 1 0 0 0 1 2 6 3 5 7 4
# of new auto/property/other liability claims reported (monthly) 2 11 3 2 5 1 19 24 36 27 18 27
Purchasing & Facilities
# of Purchase Orders for Inventory (Target: avg for winter months) 42 67 78 68 63 58 891 738 541 636 644 593
$ value of Purchase Orders for Inv. (Target: avg dollars spent during winter) $78,000 $ 849,026 $ 2,654,966 $ 494,031  $151,176 $95,931 $ 8,244,846 $ 6,613,883 $2,481,531 $ 4,861,023 $ 3,278,620 975,531
# of stock issued for Inventory (Target: avg during winter months) 320 602 668 547 536 657 8361 7,207 6,777 6,187 4,402 4,545
$ value of stock issued for Inventory (Target: avg. during winter) $ 65,000 $ 199,308 $ 140,716 $ 125,646 $ 136,890 $ 393,980 $ 2,032,594 $ 2,352,360 $ 1,925,781 $ 2,200,233 855,456 1,086,478
# of posters pulled from poles monthly (Target: goal to remove each month) 58 0 0 0 0 0 917 351 592 900 2,728 627
# of Spark Space and Auditorium setup/breakdowns monthly (Target: Covid impact) 3 55 16 18 15 6 166 199 207 132 88 87
Finance
Debt service coverage ratio (avg of previous 12-months) 1.25 4.67 4.88 4.86 4.27 50.7 FY25  4.10 FY24  3.81 FY23 4.61 FY22 4.26 FY21 3.77 FY20 3.56 FY19
Adjusted debt service coverage ratio (avg of previous 12-months) 1.5 1.17 1.26 1.22 1.04 1.29 FY25  1.25 FY24  1.29 FY23 1.22 FY22 1.08 FY21 0.93 FY20 0.90 FY19
Days unrestricted cash on hand (incl line of credit) >90 145 147 148 140 144 FY25 146 FY24 93 FY23 120 FY22 121 FY21 120 FY20 109 FY19
Arrearages >60 days $ 630,709 $ 645,560 $ 647,690 $ 619,506 $ 610,081 $ 627,497 $ 470,940 $ 392,196 $ 408,903 $ 1,087,769 $ 749,054
Regulatory
Open PUC dockets 38 40 38 37 37 33
Open PUC dockets with deadlines in next 3 months 7 7 7 6 8 10
Power Supply
McNeil generation (MWH) (100%) per budget 84,206 10,516 28,803 22,779 22,108 209,276 197,044 184,798 228,981 273,355 192,696
McNeil availability factor 100% 68% 48% 84% 75% 63% 60% 66% 84% 67% 80%
McNeil capacity factor per budget 58% 29% 77% 68% 59% 48% 45% 42.3% 52.4% 62.4%
Winooski One generation (MWH) per budget 9,456 3,769 2,756 982 1,949 17,075 29,498 36,318 25,350 24,752 21,194
Winooski One availability factor 100% 90% 100% 90% 100% 70% 53% 98% 97.2% 98.3% 97%
Winooski One capacity factor per budget 40% 71% 36% 20% 35% 26% 48% 56% 41.7% 37%
Gas Turbine generation (MWH) NA 566 - 13 26 527 682 484 475 356 373 441
Gas Turbine availability factor 100% 99% 100% 99% 99% 99% 96% 98% 46.7% 54.5% 96%
Gas Turbine capacity factor NA 4% 0% 1% 12% 3% 1% 0.1% 0.2% 0.2% 0.21%
BTV solar PV production (mWh) 1,139 472 394 135 138 4,905 5,020 4,681 5,260 5,015 5,182
Cost of power supply - gross ($000) $ 3,382 $3,570 $3,208 $3,368 $ 34,980 $34,858 $30,002 $36,755 $30,285 $31,081
Cost of power supply - net ($000) $ 2,731 $3,570 $1,256 $3,368 $ 27,131 $27,984 $22,710 $27,487 $22,134 $23,388
Average cost of power supply - gross $/KWH $0.12 $0.13 $0.12 $0.11 $ 0.12 $0.11 $0.09 $0.11 $0.09 $0.10
Average cost of power supply - net $/KWH $0.10 $0.13 $0.05 $0.11 $ 0.09 $0.08 $0.07 $0.08 $0.07 $0.08
 FY 2026
Financial Review
 March




 May 6, 2026
 Burlington Electric Department
 Financial Review

 FY 2026



Table of Contents:

● Financial Highlights 1-2


● Revenues and Expenses

 o KWH Sales – Total 3
 o Cooling/Heating Degree Days 4
 o KWH Sales – Residential & Commercial 5
 o Net Power Supply Costs 6-11
 o Operating & Maintenance Expense 12
 o Labor Overhead 13
 o Net Income 14


● Capital Spending 15 - 17


● Cash 18
 FINANCIAL HIGHLIGHTS – BUDGET VS ACTUAL as of March FY26


 Full Yr CURRENT MONTH YEAR TO DATE
($000) Budget Budget  Actual Variance Budget Actual Variance
 Sales to Customers 56,090 5,143  5,262 119 45,302  46,511 1,209
 Other Revenues 3,881 341 207 (134) 3,193 2,541 (653)
 Power Supply Revenues 7,631 0 0 0 6,754 6,101 (652)
Total Operating Revenues 67,602 5,485  5,469 (16) 55,249  55,153 (96)
 Power Supply Expense (Net) 35,540 3,688  3,570 119 30,442  29,663 779
 Operating Expense 22,912 1,894  2,020 (126) 17,616  18,128 (512)
 Depreciation & Amortization 5,832 495 558 (63) 4,457 4,798 (340)
 Taxes 3,615 303 288 15 2,754 2,612 143
Sub-Total Expenses 67,899 6,380  6,435 (55) 55,269  55,200 69
Operating Income (298) (896)  (966) (71) (20) (47) (27)
Other Income & Deductions 6,855 626 509 (116) 4,365 5,160 795
Interest Expense 3,204 256 333 (77) 2,318 2,357 (39)
Net Income (Loss) 3,354 (526)  (790) (265) 2,028 2,755 728

Year-to-Date Results:
  Sales to Customers up $1,208,800 (2.67%). Residential Sales up $514,900 and Non-Residential Sales up
 $693,900.

  Other Revenues down $653,000 (20.4%)
 a. DSM billable (customer driven).

  Power Supply Revenues down $652,000 (9.7%) due to lower production in CY 2025.
 a. McNeil REC revenue of $3,450,000 compared to a budget of $3,617,000.
 b. Wind REC revenue of $2,311,000 compared to a budget of $2,560,000.
 c. Hydro REC revenue of $340,000 compared to a budget of $576,000.

  Power Supply Expenses (Net) down $778,300 (2.6%)
 a. Fuel down $1,511,900 (25.4%).
 b. Purchased Power up $792,700 (17.5%).
 c. Transmission down $59,100 (3.1%).

  Other Operating Expenses up $512,400 (2.9%)
 a. Timing: various items were less than budget including outside services ($64,700), materials & supplies
 ($247,500), and RES Compliance ($269,000); offset by items higher than budget including labor and
 labor overhead, $428,600; maintenance contracts, $123,000; uncollectible accounts, $188,300; and
 rentals/leases, $57,800.

  Taxes down $142,500 (5.2%)
 a. Actual Payment in Lieu of Tax (PILOT) is $162,300 lower than budget assumption for the year.
 b. Actual Winooski One Property Tax is $29,700 lower than budget assumption for the year.

  Other Income & Deductions up $795,000 (18.6%)
 a. Timing; favorable gain/loss on disposition of plant, $288,100.
 b. Interest/investment income up $154,800.
 c. Timing; favorable customer contribution/grant proceeds $451,800.
 d. Timing; favorable miscellaneous non-operating income $79,000.
 e. Offset by timing of jobbing ($170,500).

 1
 FINANCIAL HIGHLIGHTS – BUDGET VS ACTUAL as of March FY26


 Capital Spending – March YTD
 ($000s)
 Plant Type Full Yr. Budget Budget Actual % Spent
 Production $4,481 $3,564 $1,716 38%
 Other 868 634 132 15%
 Transmission 222 222 230 103%
 Distribution 6,419 5,306 3,369 52%
 General 3,228 2,803 877 27%

 Total $15,218 $12,528 $6,323 42%

(1) Production – Timing; projects at McNeil and W1 are under budget including NOx system
 catalyst replacement ($72,000), well ($185,000), woodchip dryer ($627,000), voltage regulator
 ($136,000), relay engineering study ($92,500) and plate torque/embankment repair ($403,600).
 Also, budget assumed $50,000 for replacement rail cars in July vs $0.

(2) Distribution – Transformers under budget due to availability ($723,000); timing of St. Paul
 Street underground ($358,000), Deforest Rd ($105,600), underground replacements ($209,400),
 overhead rebuilds ($135,000), GIS Pro upgrade ($189,000) and ADMS ($396,000) projects.

(3) General & Other – Timing of IT Forward projects ($1,080,000), VELCO Computer Hardware
 ($263,000), Distributed Energy Resources Management System ($244,000), EV charger
 installations ($260,000), and electric forklift ($137,700).



 As of March 31, 2026
 Operating Cash and Investments
 Operating Funds $10,796,531
 Operating Funds – CDs $989,120
 CD/Money Market - GOB $2,672,973
 Total Operating Cash $14,458,625




 Credit Rating Factors – March 2026
 3 Year
 "A" "Baa" Current Average
 Debt Service Coverage Ratio 1.25 1.25  4.88 4.59
 Adjusted Debt Service Coverage Ratio 1.50 1.10  1.26 1.31
 Cash Coverage - Days Cash on Hand 90 30
 - With $10M Line of Credit 147 143
 - Without Line of Credit 90


 2
 Burlington Electric Department
 Fiscal Year Ending June 30, 2026


 Total Sales to Customers - KWH
 Monthly

 35,000




 30,000




  KWH (000)
 25,000




 20,000
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Budget 32,855 30,319 26,899 25,256 24,532 27,238 28,518 25,711 26,620 24,405 24,403 25,950
 Actual 32,740 29,621 25,937 25,167 25,102 28,524 29,363 26,695 26,197




 KWH Sales to Customers (YTD)
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Budget 32,855 63,173 90,073 115,329 139,861 167,098 195,617 221,328 247,949 272,354 296,757 322,708
 Actual 32,740 62,361 88,298 113,465 138,567 167,091 196,454 223,149 249,345



 3
 FY 2026
 Cooling Degree Days (CDD)
 350

 300

 250

 200

 150

 100

 50

 0
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Budget CDD 278 222 86 8 1 0 0 0 0 2 53 138
 Actual CDD 306 190 39 21 0 0 0 0 0



 Heating Degree Days (HDD)
 1,600
 1,400
 1,200
 1,000
 800
 600
 400
 200
 0
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Budget HDD 2 7 96 384 769 1,066 1,307 1,152 968 571 213 44
 Actual HDD 1 19 59 386 827 1,295 1,385 1,265 877

 Average Monthly Temperature
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Budget 74 72 65 53 39 30 23 24 34 46 60 68
Actual 75 70 64 53 37 23 20 20 36

CDD/HDD definition per National Weather Service : Degree days are based on the
assumption that when the outside temperature is 65°F, we don't need heating or cooling to
be comfortable. Degree days are the difference between the daily temperature mean (high
temperature plus low temperature divided by two) and 65°F. If the temperature mean is
above 65°F, we subtract 65 from the mean and the result is Cooling Degree Days. If the
temperature mean is below 65°F, we subtract the mean from 65 and the result is Heating
Degree Days.

 4
 Burlington Electric Department
 Fiscal Year Ending June 30, 2026
 KWH Sales


 Residential Customers


 10,000


 9,000


 8,000


 KWH (000) 7,000


 6,000


 5,000
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Budget 9,514 8,313 6,733 6,475 6,932 8,616 9,028 7,941 7,858 6,569 5,990 6,737
 Actual 9,524 8,228 6,431 6,503 7,418 9,227 9,628 8,554 7,773




 Commercial & Industrial Customers


 25,000


 22,500


 20,000


 KWH (000) 17,500


 15,000


 12,500
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Budget 23,340 22,006 20,166 18,780 17,601 18,622 19,490 17,770 18,762 17,837 18,413 19,213
 Actual 23,216 21,392 19,506 18,664 17,684 19,297 19,735 18,140 18,424




Street Lighting is included with Commercial & Industrial Customers.




 5
 Net Power Supply Costs
 March - FY 2026
 ($000)
 Current Month Year-to-Date
 Budget Actual Variance Budget Actual Variance
Expenses:
 Fuel (p. 7) $862 $1,081 ($219) (1) $8,620 $7,108 $1,512 (1)
 Purchased Power (p.11) 1,682 1,379 303 (2) 12,362 13,155 (793) (2)
 Purchased Power Adjustment (p 11) 43 43 (0) 390 390 (0)
 Transmission Fees - ISO-NE 759 805 (46) (3) 6,878 7,140 (262) (3)
 Transmission Fees - VELCO 243 172 72 (4) 1,451 1,179 271 (4)
 Transmission Fees - Other 98 89 9 (5) 741 690 50 (5)
Total Expenses 3,687 3,570 118 30,441 29,663 778

Revenues:
 Renewable Energy Certificates - McNeil 0 0 0 3,618 3,450 (167)
 Renewable Energy Certificates - Wind 0 0 0 2,560 2,311 (249)
 Renewable Energy Certificates - Hydro 0 0 0 576 340 (236)
 Renewable Energy Certificates - Other 0 0 0 0 0 0
Total Revenues 0 0 0 6,754 6,101 (652) (6)

Net Power Supply Costs $3,687 $3,570 $118 $23,687 $23,561 $126

Load (MWh) 27,537 27,140 (397) 255,724 256,501 777
$/MWh $133.91 $131.52 ($2.38) $92.63 $91.86 ($0.77)

Current Month:
(1) See detail on page 7.
(2) See detail on page 11.
(3) ISO-NE Peak Load over Budget.
(4) VELCO Common charges under Budget.
(5) NYPA Transmission under Budget.

YTD:
(1) See detail on page 7.
(2) See detail on page 11.
(3) ISO-NE Peak Load over Budget.
(4) VELCO Common charges under Budget.
(5) NYPA Transmission under Budget.
(6) REC sales under budget due to lower production in CY25.




 6
 Net Power Supply Costs
 March - FY 2026
 ($000)
 Current Month Year-to-Date
 Budget Actual Variance Budget Actual Variance
FUEL:

McNeil 855 1,049 (194) (1) 8,444 6,613 1,831 (1)

Gas Turbine 6 31 (25) (2) 175 495 (320) (2)

Total Fuel 862 1,081 (219) 8,620 7,108 1,512




Current Month:
(1) McNeil production 18% over Budget. Wood Price Per Ton 6% under Budget. (p. 8)
(2) GT production (40 MWh) 159% over Budget. Primarily ran for reserve auditing.

YTD:
(1) McNeil production 21% under Budget. Wood Price Per Ton 6% under Budget. (p. 8)
(2) GT production (1,048 MWh) 249% over Budget. Budget includes $50,000 in July for R99 testing.




 7
 Burlington Electric Department
 McNeil Plant - MWH Production (50%)
 FY 2026
 25,000




 20,000




 15,000




 10,000




  5,000




 0
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Budget 15,353 13,749 6,000 6,573 11,538 16,538 17,347 15,544 12,227 4,199 3,875 8,431
Actual 13,005 14,717 11,344 0 4,265 10,671 11,054 11,390 14,402
Maximum 18,600 18,600 18,000 18,600 18,000 18,600 18,600 16,800 18,600 18,000 18,600 18,000




 8
 Burlington Electric Department
 Winooski One - MWH Production
 FY 2026
  8,000

  7,000

  6,000

  5,000

  4,000

  3,000

  2,000

  1,000

 0

 (1,000)
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Budget 2,650 1,246 832 1,541 1,942 3,216 2,531 1,587 2,032 4,503 3,575 3,643
Actual 468 (13) 23 425 2,536 1,863 1,947 981 2,759
Maximum 5,506 5,506 5,328 5,506 5,328 5,506 5,506 4,973 5,506 5,328 5,506 5,328




 9
 Burlington Electric Depatment
 Fiscal Year 2026


 Woodchips Price Per Ton
 Monthly Variance


 30%
 25%
 20%
 15%
 10%
 5%
 $/Ton
 0%
 -5%
 -10%
 -15%
 -20%
 -25%
 -30%
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Actual -5% -5% -6% -6% -4% -4% -8% -5% -6%




 Woodchips Price Per Ton
 Year-to-Date Variance


 30%
 25%
 20%
 15%
 10%
 5%
 $/Ton
 0%
 -5%
 -10%
 -15%
 -20%
 -25%
 -30%
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Actual -5% -5% -5% -6% -5% -5% -5% -5% -6%




* Wood only. Does not include other costs.




 10
 Net Power Supply Costs
 March - FY 2026
 ($000)
 Current Month Year-to-Date
 Budget Actual Variance Budget Actual Variance

PURCHASED POWER:

Non-Energy (capacity) 75 42 33 (1) 743 206 537 (1)

Energy:
 Georgia Mountain Wind 284 302 (18) (2) 2,553 2,382 171 (2)
 Hancock Wind 354 297 56 (3) 2,325 2,089 236 (3)
 VT Wind 296 229 67 (4) 1,922 1,298 625 (4)
 Brookfield 0 0 0 0 449 (449) (5)
 Hydro Quebec 341 330 11 (5) 2,849 2,796 53 (6)
 In City Solar Generators 84 68 16 (6) 571 551 20
 NYPA 7 8 (1) 56 60 (4)
 ISO Exchange (76) (331) 254 (7) (1,008) 2,001 (3,009) (7)
 ISO Exchange Adjustment 43 43 (0) (**) 390 390 (0) (**)
 FirstLight 0 0 0 1,015 475 539 (8)
 Velco Exchange 0 (1) 1 0 (8) 8
 Relevate 0 162 (162) (8) 0 162 (162) (9)
Total Energy 1,332 1,109 224 10,674 12,646 (1,972)

Ancillary Charges (8) (76) 67 (9) (1) (667) 666 (10)

VT RES Tier 1 Compliance Expense 262 286 (24) 785 752 32
Renewable Energy Credit Purchase 0 0 0 0 0 0
Miscellaneous-Other 64 62 2 553 609 (56) (11)

Total Purchased Power Expense 1,726 1,423 303 12,753 13,545 (793)

Special Note (**)
Adjustment to reduce expense and create regulatory asset by amount of ISO Exchange excess winter energy revenue shortfall ($4,162,233) and
record one-eighth ($520,279) as amortization in FY24.

Current Month:
(1) Capacity Obligation under Budget.
(2) Production 6% over Budget.
(3) Production 16% under Budget.
(4) Production 23% under Budget.
(5) Rate 3% under Budget.
(6) Production under Budget.
(7) Production (McNeil (18%) and Winooski One (36%)) over Budget.
(8) New Contract not in Budget.
(9) Reserve revenues over Budget.

YTD:
(1) Includes credit from Pay for Performance events.
(2) Production 7% under Budget.
(3) Production 10% under Budget.
(4) Production 27% under Budget. Financial Settlements under Budget.
(5) Short-Term purchase not in Budget.
(6) Rate 2% under Budget.
(7) Production (McNeil (21%), Winooski One (37%), FirstLight (53%), and Wind (15%)) under Budget.
(8) Production 53% under Budget.
(9) New Contract not in Budget.
(10) Reserve revenues over Budget.
(11) ISO-NE Misc. over Budget.




 11
Burlington Electric Department
Operating and Maintenance Expense by Spending Category
FY 2026 - March YTD
 %
 Budget Actual Variance Variance *
Labor-Regular 6,960,267 7,168,668 (208,401) 3% a
Labor-Overtime 333,331 467,731 (134,400) 40% b
Labor-Temporary 19,500 42,610 (23,110) 119% c
Labor-Overhead 3,003,503 3,066,169 (62,665) 2% d
Outside Services 2,338,578 2,273,882 64,696 3%
DSM (rebates & outside services) 1,544,474 1,602,134 (57,660) 4% e
Materials & Supplies 838,274 590,790 247,484 30% f
Insurance 562,394 485,202 77,192 14%
A & G Clearing (936,834) (563,828) (373,005) 40% g
Other - RES Tier 3 Compliance 780,553 511,650 268,903 34%
Other 2,171,657 2,483,131 (311,474) 14% h
  Operating & Maintenance Expense 17,615,698 18,128,139 (512,441) 3%



(a) Labor is impacted by the amount of capital (vs. expense) work.

(b) McNeil, $121,283, Dispatch, $14,811, and Engineering, $14,281 higher than planned.

(c) Temporary help at McNeil Plant, in Customer Care and in Finance.


(d) See page 13.


(e) Projects are driven almost entirely by customer decisions. The budget is based on information on specific
projects or seasonal variations; otherwise the amount is spread evenly across the year.


(f) Timing of various projects.


(g) The credit for A&G ("Admin and General Expenses") charged to Capital projects was less than planned.

(h) Various areas are higher than budget including Maintenance Contracts ($123,000), Rentals and Leases
($57,800), Uncollectible Accounts ($188,300), and other miscellaneous ($160,000); offset by areas lower than
budget including Education & Training ($69,400), Transportation Clearing ($160,500), and Advertising
($19,000).




 12
 Burlington Electric Department
 Budget vs Actual Spending Analysis
 FY 2026 - March YTD


 (000's)
Labor - Overhead Budget Actual Variance %
 Pension $1,385 $1,336 $49 4% (a)
 Medical Insurance $1,826 $1,763 62 3% (b)
 Social Security Taxes $842 787 54 6% (c)
 Workers Compensation Ins. $331 331 0 0% (b)
 Dental Insurance $73 71 1 2% (b)
 Life Insurance $16 14 2 15% (b)
 Childcare Contribution Tax $48 42 7 14% (d)
 $4,521 $4,345 $176 4%



Rates Table: Budget

Pension (a) 12.58%

Social Security (c) 7.65%

Childcare Payroll Tax 0.44%



(a) Function of labor cost. Budget includes pension per City, $1,760,100 and amortization
of IBEW Pension back payment, $87,041.
(b) Budget provided by the City during budget development.
(c) Function of labor cost.
(d) New tax as of July 1, 2024 is 0.44% of wages.




 13
 Net Income
 FY 2026 - March ($000)

 Current Month Year - To - Date
 Ref Budget Actual Variance Budget Actual Variance
Operating Revenues
 Sales to Customers p.3 5,143 5,262 119 45,302 46,511 1,209
 Other Revenues 341 207 (134) (a) 3,193 2,541 (653) (a)
 Power Supply Revenues p.6 0 0 0 6,754 6,101 (652) (b)
 Total Operating Revenues 5,485 5,469 (16) 55,249 55,153 (96)

Operating Expenses
 Fuel p.6 862 1,081 (219) 8,620 7,108 1,512
 Purchased Power p.6 1,726 1,423 303 12,753 13,545 (793)
 Transmission p.6 1,100 1,066 34 9,069 9,010 59
 Operating and Maintenance p.12 1,894 2,020 (126) 17,616 18,128 (512)
 Depreciation & Amortization 495 558 (63) 4,457 4,798 (340)
 Revenue Taxes 55 54 1 517 522 (6)
 Property Taxes Winooski One 27 25 2 (b) 246 224 22 (c)
 Payment In Lieu of Taxes 221 209 12 (c) 1,992 1,866 126 (d)
 Total Operating Expenses 6,379 6,435 (56) 55,268 55,200 68

Other Income and Deductions
 Interest/Investment Income 36 59 23 346 501 155
 Dividends 375 376 1 3,369 3,368 (1)
 Customer Contributions/Grant Proceeds 207 50 (157) (d) 957 1,409 452 (e)
 Gain/(Loss) on Disp of Plant 0 0 0 (336) (48) 288
 Other 8 24 17 28 (70) (99) (f)
 Total Other Income & Deductions 626 509 (116) 4,365 5,160 795

Interest Expense 256 333 (77) 2,318 2,357 (39)

Net Income (526) (790) (265) 2,028 2,755 728

Current Month:
(a) Energy Efficiency Program cost reimbursement was lower than planned, ($150,000). Timing of $15,300 Winooski One fish
 billing, budgeted for $12,000 in February.
(b) Actual Winooski One tax bill is lower than budget assumption by $29,700 for the year.
(c) Actual Payment in Lieu of Tax (PILOT) is lower than budget assumption by $162,300 for the year.
(d) Budget includes customer contributions for Great Street-Main Street ($111,300) and OH/UG billable ($31,900); grant income
 for Building GIANTS ($31,000) and Distributed Energy Resources Management System project ($33,000). Actual includes $0
 in customer constribution and grant income for Building GIANTS ($1,400), Distributed Energy Resources Management
 System ($4,700), and APPA ($44,000).

Year - To - Date:
(a) Energy Efficiency Program cost reimbursement was lower than planned, $623,800.
(b) REC sales under budget due to lower McN, wind, and hydro production in CY 2025.
(c) Actual Winooski One tax bill is lower than budget assumption by $29,700 for the year.
(d) Actual Payment in Lieu of Tax (PILOT) is lower than budget assumption by $162,300 for the year.
(e) Budget includes customer contributions for Champlain Pkwy ($238,100), OH/UG billable ($148,900), and Great Street-Main
 Street ($111,300); and grant income for Building GIANTS ($255,200), and Distributed Energy Resources Management
 ($203,700). Actual includes customer contribution for Champlain Parkway ($186,500), and OH & UG billable ($384,000); and
 grant income for Building GIANTS ($22,400), Distributed Energy Resources Management, and various other grant income
 ($588,800).
(f) Timing of jobbing unfavorable, ($170,500). Miscellaneous non-operating income favorable, $79,000.



 14
 March ($000)
 Full Yr
Capital Projects - FY26 Budget Budget Actual Variance
 McNeil Plant (BED 50% Share)
 Analyzer Upgrades for Chemical Treatment 9 9 9
 Appliances 1 1 1
 Ash Silo Pug Mill/Auger Upgrade (312) 13 13 4 9
 Augers Replaced 30 15 15
 Catalyst Replacement for Nox System (312) 150 150 78 72
 CEMS Server Upgrade (312) 15 0 15 -15
 Cooling Tower Timber Replacement 84 84 109 -25
 Demineralization Resin 20 0 0
 Disk Screen 15 15 15
 Energy Efficiency Improvements (311) 3 2 2
 ESP Mechanical Field Rebuild 300 60 12 48
 Farmhouse Improvements (311) 9 0 0
 Freight Elevator Geared Equipment and Controls (311) 180 0 0 0
 Furniture-Farmhouse (391) 1 1 1
 Furniture-McNeil (391) 1 1 1
 IT Forward - FIS Replacement (McNeil) 37 19 19
 IT Forward - Work & Asset Management (McNeil) 22 11 11
 Live Bottom Rebuild 139 139 177 -38
 Major Turbine Overhaul 0 0 1 -1
 McNeil Relay Engineering Study (315) 134 94 1 92
 Network Infrastructure - McNeil Switches 7 7 2 5
 Opacity Replacement (312) 20 0 13 -13
 Perimeter Fence Upgrade (311) 2 1 3 -1
 Portable Radio Upgrade 0 0 0
 Reclaimer Rebuild (312) 0 0 12 -12
 Replacement Rail Cars (312) 50 50 50
 Replacement Scale PC in Swanton 2 2 2
 Rigging Equipment (316) 5 4 1 3
 Routine Station Improvements 1 187 112 3 109
 Routine Station Improvements 2 0 0 8 -8
 RSCR Heat Sink Replacement 0 0
 Safety Valve Replacements (312) 25 19 19
 Shredder Upgrade (312) 100 0 0
 Station Tools & Tool Boxes (312) 8 6 5 1
 Switchgear & Station Upgrades (315) 2 0 1 -1
 Transportation Equipment 0 0 2 -2
 Turbine Blade Payment 0 44 -44
 Well New (311) 185 185 185
 Woodchip Dryer (1 of 3) (312) 626 626 -1 627
McNeil Plant (BED 50% Share) Total 2,380 1,624 488 1,136
 Hydro Production Plant 1,926 1,796 1,195 601
 Gas Turbine Plant 175 144 33 110
 Other
 585 Fleet EV Chargers 115 115 3 112
 585 Fleet EV Charging Design Study 25 25 25
 Direct Current Fast Chargers (Level 3) 159 40 72 -32
 Distributed Energy Resources 34 29 29
 Distributed Energy Resources Management System 244 244 244
 EV Charger Installations (Level 2) 264 159 11 148
 EV Chargers/Staging Plan 0 0 46 -46
 P&P R&D 26 23 23
Other Total 868 634 132 502


 15
 March ($000)
 Full Yr
Capital Projects - FY26 Budget Budget Actual Variance
  Transmission Plant 222  222 230 -8
  Distribution Plant - Aerial
 Bayview St Rcndt P896-851 0 0 0 0
 Crombie St Rebuild 0 0 0 0
 Curtis Ave Rebuild 0 0 1 -1
 Deforest Road Rebuild 493 493 388 106
 Dunder Road Rebuild 0 0 22 -22
 Foster St. Secondary Replacement P133-142 0 0 1 -1
 Ledge Rd Rebuild 0 0 0 0
 NZE Transfer Load Between 1L1 to L14 210 105 33 73
 Rebuild 1L4 from Poles P838 to P2795 173 173 38 135
 Rebuild Howard Street Pole P655 to P836 41 41 1 41
 Rebuild Plattsburgh Ave Poles P3762 to P3752 40 40 20 20
 Rebuild St Paul Street Pole P1004 to P1011 27 27 2 25
 Rebuild Wells Street Pole P191 to P183 25 25 2 23
 Replace Condemned Poles 210 126 115 11
 S Cove Rd East Rebuild 0 0 81 -81
 South Cove Road West Rebuild 0 0 95 -95
Distribution Plant - Aerial Total 1,220 1,031 798 234
  Distribution Plant - Underground
 621/622CB Cap Bank Repair 0 0 30 -30
 Battery Street Replacement 0 0 2 -2
 Given Transfer Switch 0 0 8 -8
 Rebuild UG St. Paul Street (Bank St to Cherry St) 358 358 358
 Replace 2L3 from UH303 to 929S 698 698 488 209
 Replace UG to UVM Aiken Center 18 18 18
 St. Paul St. Rebuild (Bank to ) 0 0 1 -1
Distribution Plant - Underground Total 1,073 1,073 529 544
  Distribution Plant - Customer Driven/City Projects
 Champlain Parkway (CAFC) -340 -238 -187 -52
 Champlain Parkway-Billable 400 280 114 166
 City Place Streetlighting 195 0 41 -41
 City Place Streetlighting (CAFC) -104 0 0
 Great Street-Main Street 621 124 491 -366
 Great Street-Main Street (CAFC) -557 -111 -111
 Intervale Rd Ut Relocation 0 0 3
 Winooski Bridge Rebuild 34 0 7 -7
 Winooski Bridge Rebuild (CAFC) -34 0 0
Distribution Plant - Customer Driven/City Projects Total 215 55 469 -411
  Distribution Plant - Other
 774R Transformer Recloser replace 0 0 4 -4
 861S Switch Sensor Install 0 0 15 -15
 Communication Equipment Emergency Repair 16 13 9 5
 Distribution Transformers-Install 11 8 27 -18
 Distribution Transformers-Purchase 1,445 1,445 723 723
 Fiber Optical Time Domain Reflectometer Unit (OTDR) 12 12 12
 Lake Street Battery Bank Replacement 41 41 24 18
 Replace Failed 920S/921S/922S Switch 63 0 0
 Replace Fiber Optic Cable East Ave Sub 0 0 18 -18
 SCADA ADMS Upgrade (Phases 3/4) 1,204 843 447 396
 SCADA Equipment 0 0 1 -1
 SCADA Field Equipment Replacement 64 54 37 17
 SCADA Servers, PCs and Monitors 0 0 16 -16
 SCADA Video Display 0 0 0 0
 Upgrade ArcFM to GIS Pro 318 191 2 189
 USAmp Upgrade 7 7 6 1
Distribution Plant - Other Total 3,181 2,615 1,329 1,287


 16
 March ($000)
 Full Yr
Capital Projects - FY26 Budget Budget Actual Variance
  Distribution Plant - Blanket - Aerial 105 82 114 -33
  Distribution Plant - Blanket - Underground 189  111 -166 277
  Distribution Plant - Blanket - Meters 133  109 58 51
  Distribution Plant - Blanket - Lighting 217  153 203 -50
  Distribution Plant - Blanket - Other
 SCADA Field Equipment 12 10 0 10
 Substation Camera Replacement 15 15 15
 Substation Maintenance 18 15 15
 Tools & Equipment - Distribution/Technicians 40 36 35 1
Distribution Plant - Blanket - Other Total 85 76 35 41
  General Plant - Computer Equipment/Software 2,724 2,298 702 1,596
  General Plant - Vehicle Replacements 309 309 150 159
  General Plant - Buildings & Grounds 179 179 23 156
  General Plant - Other
 Office Furniture 0 0 1 -1
General Plant - Other Total 0 0 1 -1
  General Plant - Other Equipment
 AED Purchase (5) 11 11 11
 Gas Detectors (4) 6 6 6
General Plant - Other Equipment Total 16 16 16
Grand Total 15,218 12,528 6,323 6,208




 17
 Operating Cash - FY 2026
 Monthly Ending Balance
 16,000

 14,000

 12,000

 10,000

 $000 8,000

 6,000

 4,000

 2,000

 0
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
 Budget 11,796 12,786 13,998 13,397 12,763 12,585 13,665 14,922 13,431 12,560 14,123 13,221
 Actual 11,713 12,126 15,199 9,842 8,335 12,649 13,189 14,993 14,459




Notes: Operating Cash = Operating + GOB Funding




 18
To: Burlington Electric Commission

From: Emily Stebbins-Wheelock, CFO and Manager of Strategy & Innovation

Date: May 13, 2026

Re: Agenda items 8-11


8. Line of credit extension (discussion)

The Department intends to extend its $10 million line of credit with M&T Bank for 2 years. This
would extend the line’s maturity from June 24, 2027 to June 24, 2028. M&T Bank has offered to
extend the line at the same terms and conditions, with the exception of an increase of 2.5 basis
points in the unused line fee (from 0.10% to 0.125%). This would increase BED’s cost of the line
by approximately $2,500 annually. Per the line of credit agreement, the Chief Administrative
Officer may approve the renewal.

9. FY27 general obligation bond borrowing (discussion and vote)

Per City charter, the City may issue up to $3 million in general obligation bonds annually for
electric plant capital improvements, contingent on the Electric Commission approval. Once
approved, the proposal goes to the City Council for inclusion in the City’s annual general
obligation bond issuance, which usually occurs in the fall. The Department has assumed issuance
of $3 million in general obligation bonds in the FY27 budget.

Motion: To recommend to the Board of Finance and the City Council to authorize and direct the
Chief Administrative Officer to pledge the credit of the City by issuing general obligation bonds
or a bond anticipation note in the amount of $3,000,000 for the 2027 fiscal year for capital
improvements, additions, and replacements for the efficient and economical operation of the
electric department.

10. FY27 rate change (discussion and vote)

The Department is proposing a 2.99% across-the-board rate increase as part of the FY27 budget.
Staff will present additional information about BED’s rates relative to inflation and other utilities
and the estimated impact on customer bills at the meeting.

Motion: To recommend that the Board of Finance and the City Council authorize the
Department to file an across-the-board rate case with the Vermont Public Utility Commission in
the amount of 2.99% on bills rendered on or after September 1, 2026.



 Burlington Electric Department
 585 Pine Street Burlington, VT 05401
 burlingtonelectric.com
 Phone (802) 865-7300
11. FY27 budget (discussion and vote)

Your packet includes a detailed FY27 budget presentation. Staff will present a high-level
summary of the budget at the meeting.

Motion: To approve the Department’s Fiscal Year 2027 Capital and Operating Budgets as
presented.




 2 of 2
Proposed Budget
 Fiscal Year 2027
July 1, 2026 to June 30, 2027



 Burlington Electric Commission
 May 13, 2026
 Table of Contents

 Section Type Document Page
Key Assumptions Doc Summary 3
Income Statement Sch Income Statement 4
Sales to Customers Sch Sales to Customers 5
Sales to Customers Graph Sales Revenues & kWh 6
Sales to Customers Graph Rate Filing History 7
Sales to Customers Sch Misc. Electric Revenues 8-9
Power Supply Doc Sources of Power 10
Power Supply Doc Net Power Supply - Assumptions 11-18
Power Supply Sch Production Fuel Expense 19
Power Supply Sch Purchased Power 20
Power Supply Sch Net Power Supply Costs 21
Operating Expense graph Controllable Expenses 22
Operating Expense Sch Operational Expense 23
Operating Expense analysis Operational Expense - Notes 24
Operating Expense Sch Outside Services Detail 25
Other Revenues/Expenses Sch Depreciation & Amortization 26
Other Revenues/Expenses Sch Taxes 27
Other Revenues/Expenses Sch Dividend Income 28
Other Revenues/Expenses Sch Interest Income 29
Other Revenues/Expenses Sch Other Income, net 29
Other Revenues/Expenses Sch Interest Expense 30
Other Revenues/Expenses graph Outstanding Long Term Debt 31
LOH/Payments to the City Sch & Graph Labor Overhead 32-33
Capital Projects graph Capital Spending net of CAFC 34
Capital Projects Sch Capital Projects - Listing 35-38
Financial Indicators Sch Debt Coverage Ratios 39
Financial Indicators Sch Cash Flow 40
Financial Indicators Sch Cash Coverage 41
 Burlington Electric Department
 Budget for the Year Ending June 30, 2027

 Key Assumptions


Revenues Capital
  Rate increase of 2.99%, effective on bills  Total capital budget of $10.6 million
 rendered September 1, 2026 (net of $267,500 of anticipated
  No increase in kWh sales customer contributions):
  Total sales to customers up $2.9 million o Distribution, $5.7 million
  Renewable Energy Credit (REC) revenues o McNeil Plant, $1.5 million
 $749,000 lower than FY26 primarily due to o Other generation, $1.4 million
 lower volumes o IT software and hardware, $1.7 million
 o McNeil RECs, $4.4 million o EV charging, $496,000
 (FY26 - $4.9 million) o Other general plant, $224,000
 o Wind RECs, $2.9 million
 (FY26 - $3.5 million)
 Cash/Financing
Expenses   Beginning cash balance of $13.4 million
 Wood fuel cost down $670,000 compared to   $3 million general obligation bond
 FY26 due to decreased production; price/ton   $9.5 million from 2026 revenue bond
 of $33.25 (FY26 budgeted avg. was $33.22) Construction Fund
 Purchased power expenses down $531,800  $834,800 in anticipated grant income
 compared to FY26; assumes replacement  Projected ending cash balance of $16.1
 10-year renewable energy contract starting million
 7/1/26 at levelized forward energy prices
 with VT-1 RECs included Net Income & Credit Rating Metrics
 o Includes PUC-approved annual  Net operating loss of $2.3 million
 amortization of shortfall between the  Net income of $722,400
 winter 2022-23 forward vs. actual  3.93 Revenue Debt Service Coverage Ratio
 energy prices of $4.16 million over Target = >1.25
 eight years  1.14 Adjusted Debt Service Coverage Ratio
 Transmission costs up $801,900 compared to Target = 1.5
 FY26; includes impact of FERC ROE order  149 Days Cash on Hand, including $10
 Labor assumes COLA, merit increases, and million Line of Credit
 tiering adjustments Target = 90
 Year-end pension liability adjustment of
 $1,000,000




 p. 3
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Income Statement (000s)

 Actual Actual Actual Budget Budget
 FY 23 FY 24 FY 25 FY 26 FY 27

OPERATING REVENUES:
  Sales to Customers $50,533 $54,017 $57,195 $58,940 $61,823
  Misc Revenues - Power Supply 7,470 6,778 7,441 9,397 8,648
  Misc Revenues - Other 4,934 3,314 3,191 4,331 3,311
 Total Operating Revenues 62,937 64,108 67,827 72,668 73,783

OPERATING EXPENSES:

  Fuel 8,416 7,105 7,747 10,165 9,494
  Purchased Power 13,585 16,818 18,661 17,432 16,900
  Transmission Expense 9,336 9,653 10,458 11,993 12,794
  Operation and Maintenance 22,639 23,139 22,534 24,692 26,279
  Depreciation & Amortization 6,176 6,398 6,779 5,943 6,516
  Gain/Loss on Disp of Plant 116 129 62 346 443
  Taxes 3,207 3,396 3,437 3,660 3,643
 Total Operating Expenses 63,476 66,638 69,677 74,230 76,071

NET OPERATING INCOME (538) (2,530) (1,850) (1,562) (2,288)


OTHER INCOME & DEDUCTIONS:
  Dividends 4,400 4,533 4,505 4,494 4,695
  Interest Income 502 812 664 466 920
  Grants/Capital Contributions 721 1,283 2,080 1,847 1,102
  Other Income, Net 6 497 153 34 52
 Total Other Income/Deductions 5,628 7,125 7,402 6,841 6,769

INCOME BEFORE INTEREST EXPENSE 5,089 4,596 5,552 5,279 4,482

INTEREST EXPENSE 3,450 3,345 3,151 3,087 3,759

NET INCOME (LOSS) $1,639 $1,251 $2,401 $2,192 $722




 p. 4
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Sales to Customers

 Actual Actual Actual Budget Budget
 (000s) FY 23 FY 24 FY 25 FY 26 FY 27
Revenue:
Residential $15,215 $16,266 $17,693 $18,251 $19,033

Commercial / Industrial 34,505 36,894 38,590 39,743 41,828

Streetlights 683 724 777 805 822

Private Area Lighting 129 132 135 141 140
 Total Sales to Customers $50,533 $54,017 $57,195 $58,940 $61,823

KWH:
Residential 86,758 88,300 91,543 90,707 90,707

Commercial / Industrial 227,500 231,039 228,852 229,339 229,339

Streetlights 2,054 2,057 2,066 2,084 2,004

Private Area Lighting 623 592 602 577 566

  Total Sales to Customers - KWH 316,935 321,988 323,062 322,708 322,616

Revenue Per KWH:
Residential $0.18 $0.18 $0.19 $0.20 $0.21
Commercial / Industrial 0.15 0.16 0.17 0.17 0.18
Streetlights 0.33 0.35 0.38 0.39 0.41
Private Area Lighting 0.21 0.22 0.22 0.24 0.25
 Total Sales to Customers - Revenue Per KWH 0.16 0.17 0.18 0.18 0.19

Assumptions:
● "Average" weather conditions based on last 10 years of actuals.
● Rate increase of 2.99%, effective bills rendered September 1, 2026.
 p. 5
 Total Sales to Customers Revenues
 $70,000,000

 $60,000,000

 $50,000,000

 $40,000,000

 $30,000,000

 $20,000,000

 $10,000,000

 $-
 FY26 FY27
 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25
 Budget Budget
  Sales $ (000) $47,529 $46,702 $46,934 $44,700 $44,822 $48,494 $50,533 $54,016 $57,194 $58,940 $61,823




 Total kWh Sales
350,000,000

300,000,000

250,000,000

200,000,000

150,000,000

100,000,000

 50,000,000

 0
 FY26 FY27
 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25
 Budget Budget
 KWH (000) 335,473, 329,876, 330,327, 314,138, 315,844, 319,772, 316,934, 321,988, 323,061, 322,707, 322,615




 p. 6
 Burlington Electric Department
 Rate Filing History

 35


 30


 25
 P
 e
 20
 r
 c
 e 15
 n 12 Years without a rate increase
 t
 10


 5


 0
 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27
 Rate Change 7.19 0.00 22.8 0.00 0.00 11.3 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 7.50 3.95 5.50 5.50 4.33 2.99


7.19% January 2004; 22.86% May 2006; 11.33% June 2009; 7.5% August 2021; 3.95% August 2022; 5.5% September 2023; 5.5%
September 2024; 4.33% September 2025; 2.99% proposed September 2026.




 p. 7
Burlington Electric Department
Budget for the Year Ending June 30, 2027
 Actual Actual Actual Budget Budget
Miscellaneous Electric Revenues FY 23 FY 24 FY 25 FY 26 FY 27

Forfeited Discounts
 Late Payment Fees $90,728 $54,550 $43,358 $64,300 $47,700

Miscellaneous Service Revenues
 Initial Service Fees 181,260 173,085 176,146 179,900 55,900
 Reconnection Fees 3,595 4,475 9,735 3,000 6,600
 Power Problem Investigation Fees 0 1,200
 Solar/Grid Meter Fees 5,100 3,400 1,950 4,400 2,400
 Disco/Reco Fees 150,000
 Returned Check Fees 1,740 1,860 1,900 1,800 3,900
 Temporary Service Fees 535 0 535 1,600 1,800
 Meter Removal/Replacement Fees 380 670 475 900 6,600

 Total Misc Service Revenues (1) 192,610 183,490 190,741 191,600 228,400


Rent from Electric Property
 Pole Attachments (2) 39,114 69,701 69,608 69,528 72,072
 Conduit Rental (3) 26,283 26,283 78,029 78,030 80,760

 Total Rent from Electric Property 65,397 95,984 147,637 147,558 152,832

* Note, a three-year average is used for most revenue projections.

(1) Budget is based on 3-year historical average information as available, using updated rates effective 4/1/2026.
(2) Budget is based on current billing. Rates effective as of 10/1/2020.
(3) Budget based on current billing and rates effective 7/1/24 per agreements with VELCO and Burlington Telecom.




 p. 8
Burlington Electric Department
Budget for the Year Ending June 30, 2027
 Actual Actual Actual Budget Budget
Miscellaneous Electric Revenues FY 23 FY 24 FY 25 FY 26 FY 27

Electric Revenues - Other
 Miscellaneous (1) 68,687 20,016 109,806 29,400 66,200
 EEU Program Cost Reimbursement (2) 4,516,180 2,926,075 2,682,636 3,449,800 2,801,900
 Winooski One Hydro - Fish Passage/Water Sales 0 32,708 16,895 12,000 14,500
 Water Sales from Sugarbush 706
 Total Electric Revenues - Other 4,584,867 2,979,505 2,809,337 3,491,200 2,882,600


Electric Revenues - Power Supply
 Renewable Energy Credits - McNeil (3) 3,570,994 3,157,978 3,756,750 4,954,277 4,450,685
 Renewable Energy Credits - Wind (4) 3,017,739 2,437,682 2,724,148 3,489,594 2,921,970
 Renewable Energy Credits - Hydro (5) 696,657 1,007,220 814,697 755,914 1,085,924
 Renewable Energy Credits - Solar (6) 184,939 175,382 145,830 197,388 189,635
 Total Electric Revenues - Power Supply 7,470,329 6,778,262 7,441,425 9,397,172 8,648,213

 Total $12,403,931 $10,091,791 $10,632,498 $13,291,830 $11,959,745


(1) Includes reimbursement for scrap metal.
(2) Energy Efficiency Charge funded for State energy efficiency programs effective January 2003.
(3) FY27 assumes $36/MWh; FY26 assumed $39/MWh.
(4) FY27 assumes $38/MWh; FY26 assumed $39/MWh.
(5) FY27 assumes $29/MWh; FY26 assumed $27/MWh.
(6) FY27 assumes $38/MWh; FY26 assumed $39/MWh.




 p. 9
 BURLINGTON ELECTRIC DEPARTMENT
 FY 2027 BUDGET
 SOURCES OF POWER
PURCHASED POWER
 Contract Nominal Market % of Type of Delivery
Source Expires MW (1) MW (2) MWH Load Served Generation Point Comments

Vermont Wind 2031 16.000 2.812 26,464 8.0% wind Northeast VT Began operation in October 2011
 Contract extended for additional 5 years in 2026

ISO Exchange n/a n/a 27.31 (18,177) exchange VT Zone Net purchases from (sales to) ISO-NE

GMC Wind 2037 10.000 1.825 26,281 7.9% wind Milton/Georgia Production began 12/31/12

NYPA - St. Law. 2032 0.059 0.054 338 0.1% lg hydro NY-NE Border Low-cost contract through the Vermont Dpt of Public Svc
NYPA - Niagara 2025 2.558 2.340 14,674 4.4% lg hydro NY-NE Border Low-cost contract through the Vermont Dpt of Public Svc

Relevate 2036 2.780 0.000 11,187 3.4% hydro Hub Purchase of energy & RECs & capacity from Connecticut hydro plant

BED Solar (3) n/a 3.574 n/a 4,958 1.5% solar Burlington BTV parking garage began production February, 2015
 BED roof production began October 2015
 South 40 Solar began January 2018

Prospective Contract 2026 5.420 n/a 47,450 14.3% n/a Hub Additional Market priced renewables assumed to bein June 1, 2026

Hancock Wind 2025 13.500 0.000 11,489 3.5% wind VT Zone Partial year (Contract ends December 2026).

Hydro-Québec 2038 9.000 0.000 52,560 15.8% lg hydro Highgate Deliveries commenced November 2015
 Entitlement increased to 9 MW in November 2020

HQ Interconnection Credit n/a 6.346 2.919 0 0.0% n/a n/a

 Landfill Gas: Initial contract ends in 2005, seller has option to extend contract for 2 additional 5 year periods. Public Works saves approximately $1.25M by not disposing of the
GENERATION
 Contract Nominal Market % of Type of Delivery
Source Expires MW (1) MW (2) MWH Total MWh Generation Point Comments

McNeil Generating Station N/A 25.000 26.000 125,911 37.8% wood McNeil Sub Projected to continue operation for forecast period

BED Gas Turbine (4) N/A 25.000 18.183 227 0.1% oil Burlington Projected to continue operation for forecast period

Winooski One Hydro N/A 7.400 2.890 29,297 8.8% small hydro Burlington Projected to continue operation for forecast period


GRAND TOTAL SOURCES 84.333 350,836
BUDGET ISO-NE LOAD 327,701
BUDGET LOAD INCLUDING INTERNAL SOLAR 332,659 105.5%

(1) Nominal MW represents the nameplate of or entitlement to the resource
(2) Market MW represents the average monthly MW for the resource in the Forward Capacity Market (allowing for rating, reliability, partial periods and intermittent resource adjustments).
(3) BED Solar does not have a market capacity rating. It reduces BED's load at peak hours.
(4) GT output will be excess to BED’s own needs.

 p. 10
 Burlington Electric Department FY27 Budget
 Net Power Supply – Key Assumptions

OVERALL COMMENTS AND NOTES

The most significant changes between the FY27 budget and the FY26 budget are:

 - Changes in transmission charges related to FERC Opinion 594.
 - Increase in net Day-Ahead Ancillary Services revenues.
 - Start of Relevate contract; end of FirstLight contract.
 - Vermont Wind contract extension.

ENERGY MARKETS & RESOURCES

Spot Market Energy Prices

 - BED has revised its wholesale energy price projection in all periods covered by
 the five-year budget to reflect current (higher) market expectations.

 - Expected baseload (around-the-clock) power price forecasts:

 FY26 Budget FY27 Budget
 FY27 $64.73 $81.23
 FY28 $58.51 $69.01
 FY29 $55.52 $64.32
 FY30 $54.52 $58.96
 FY31 $55.64

Hedge (Planned) Purchases

 - Potential renewable replacement contract at 10-year levelized forward
 energy prices with VT1 RECs was included.

 - There are currently no short-term hedge contracts due to planned new
 purchases removing the need for such transactions.

 - Additional hedge purchases can be made if needed.

 - Based on McNeil’s assumed operation, existing resources, and already
 executed contracts, BED expects to have contracted resources to meet the
 following percentages of BED’s projected loads:

 FY26 Budget FY27 Budget
 FY27 79.3% 105.5%
 FY28 73.4% 101.4%
 FY29 73.2% 100.8%
 FY30 72.5% 99.9%
 FY31 99.7%



 p. 11
McNeil Generating Station

 - 50% Ownership – 25 MW of 50 MW plant

 - McNeil is assumed to operate at a 57% capacity factor for FY27.

 - McNeil is projected to provide energy equal to approximately 38% of BED’s
 load in FY27.

 - Wood prices are assumed to average $33.25 per ton in FY27, with +3%
 escalation per year thereafter.

 - McNeil qualifies for the Vermont Tier 1 and Maine Class 1 REC markets in
 FY27+.

 - Residual RECs (RECs not already sold) are priced at $37.75 for FY27.

 - Average ISO-NE payments received for McNeil energy are budgeted to be 17%
 greater than those paid for load.

 - REC sales are assumed for budget period.

BED Gas Turbine

 - Not a significant energy source. BED’s Gas Turbine is expected to provide
 energy equal to 0.1% of BED’s load for FY27 and this energy is expected to be
 excess to BED’s needs assuming expected purchases occur.

 - This unit provides significant value in non-energy markets (capacity and
 Day-Ahead Ancillary Services).

 - Average ISO-NE payments received for the Gas Turbine’s energy are budgeted
 to be 10% greater than those paid for load.

 - Gas Turbine currently fueled with B20; FY27 budget assumes conversion to
 R99 renewable fuel. Impacts of conversion to R99 (potential REC value and
 RGGI savings) are not assumed at this point.

New York Power Authority (NYPA)

 - Two contracts (Niagara and St. Lawrence) continue through 2032.

 - Niagara is by far the larger resource.

 - 66% capacity factor (i.e., no non-firm deliveries) assumed.

 - NYPA is expected to provide energy equal to 4.5% of Burlington Electric’s load
 for FY27.
 p. 12
 - This resource qualifies for VT Renewable Energy Standard Tier 1.

 - Average ISO-NE payments received for the NYPA energy are budgeted to be
 9% less than those paid for load.

 - BED pays transmission fees to VELCO and NYPA to access this resource.

 - The RECs from this resource will be retained by Burlington
 Electric for renewability purposes.

Vermont Wind (Sheffield, VT)

 - Vermont Wind became commercial on October 19, 2011. The original contract
 would have expired October 18, 2021. The contract now expires October 18,
 2031.

 - BED is entitled to 16 MW (40%) of 40 MW project.

 - Vermont Wind is budgeted to operate at a 19% capacity factor for FY27.

 - Vermont Wind is expected to provide energy equal to 8.0% of Burlington
 Electric’s load for FY27.

 - Vermont Wind qualifies for VT Tier 1 and 4, and CT, MA, ME, and RI
 Class 1 REC markets.

 - Average ISO-NE payments received for Vermont Wind energy are budgeted to
 be 17% less than those paid for load.

 - REC sales assumed for budget period.

Relevate

 - The Relevate contract is for 100% of the output of the 2.78 MW Wyre Wynd
 Hydro Station through February 2036.

 - Relevate is expected to provide energy equal to 3.4% of Burlington Electric’s load
 for FY27.

 - Relevate is budgeted to operate at a 46% capacity factor for FY27.

 - This resource qualifies for VT Renewable Energy Standard Tier 1 and CT Class 1
 REC Markets.

 - Average ISO-NE payments received for the Relevate energy are budgeted to
 be 4% less than those paid for Load.

 - REC sales assumed for the Budget period.


 p. 13
Solar Generation

 - Currently, BED contracts to purchase 2,968 kW of output from nine solar
 generators around the city of Burlington.

 - The solar generation owned by BED totals 606 kW (499 kW on the airport
 garage roof and 107 kW at BED’s Pine Street offices).

 - Solar generation is projected to provide energy equal to 1.5% of Burlington
 Electric’s load for FY27.

 - The solar resources are budgeted to operate at a 16% capacity factor (average)
 for FY27.

 - Solar qualifies for all major New England REC markets. In addition, Pine
 Street Solar, Airport Solar, BHS F-Building, C. P. Smith, and South Forty
 Solar qualify as Tier 2 and Tier 4 resources in Vermont.

 - Average ISO-NE payments received for BED’s solar energy are budgeted to be
 14% less than those paid for load.

 - REC sales assumed for budget period.

 Georgia Mountain Community Wind (GMCW)

 - GMCW began commercial output on December 31, 2012.

 - GMCW is budgeted to operate at a 30% capacity factor.

 - GMCW is projected to provide energy equal to 7.9% of Burlington Electric’s
 load for FY27.

 - GMCW qualifies for VT Tier 1, VT Tier 4, and CT, MA, and RI Class 1 REC
 markets.

 - Average ISO-NE payments received for GMCW energy are budgeted to be
 4% less than those paid for load.

 - REC sales assumed for budget period.

 Winooski One Hydro

 - BED attained full ownership of the facility beginning September 1, 2014.

 - Winooski One is projected to provide energy equal to 8.8% of Burlington
 Electric’s load for FY27.

 - Winooski One is budgeted to operate at a 45% capacity factor for FY27.

 - Winooski One qualifies to sell Massachusetts Class II (non-waste) RECs and as
 a VT Tier 1 resource.
 p. 14
 - Average ISO-NE payments received for Winooski One energy are budgeted to
 be 5% less than those paid for load.

 - REC sales assumed for budget period.

Hydro-Québec

 - The 5 MW BED portion of the Hydro-Québec contract began in November
 2015.A n additional 4MW has been delivered starting in November 2020.

 - At 9 MW, Hydro-Québec is expected to provide energy equal to 15.8% of
 Burlington Electric’s load for FY27.

 - Hydro Quebec is budgeted to operate at a 67% capacity factor for FY27.

 - 99%+ of this resource is expected to qualify for VT Tier 1.

 - Average ISO-NE payments received for the Hydro-Québec energy are
 budgeted to be 5% less than those paid for load.

 - The RECs from this resource will be retained by Burlington
 Electric for renewability purposes.

Hancock Wind

 - Commercial operations began in December 2016. The contract expires on
 December 10, 2026.

 - BED is entitled to 13.5 MW of the project.

 - Capacity factor is budgeted to operate at a 19% FOR FY27 (partial year and lower
 wind production months).

 - Hancock Wind is expected to provide energy equal to 3.5% of Burlington
 Electric’s load for FY27.

 - Hancock qualifies for VT Tier 1, VT Tier 4, and CT, MA, ME, and RI Class 1 REC
 markets.

 - Average ISO-NE payments received for Hancock energy are budgeted to be
 23% than those paid for load.

 - REC sales assumed for budget period.




 p. 15
CAPACITY MARKET

Capacity Market Prices

 - The projected weighted average capacity rate for each kW-month for the period
 are:

 Fiscal
 Year $/kW-month Notes
 FY27 2.67 Known
 11 months known
 FY28 3.58 & 1 month
 forecast
 FY29 3.64 FY27 forecast
 FY29 3.73 FY27 forecast
 FY31 3.82 FY27 forecast

 - BED is a net purchaser of capacity (i.e., total charges for load exceed resource
 payments) – see capacity position below.

Projected Capacity Position

BED expects to buy 30-40% of its capacity needs from the ISO-NE market over the next
five fiscal years:
 FY27 FY28 FY29 FY30 FY31
 McNeil 26.0 26.0 26.0 26.0 26.0
 BED Gas Turbine 18.2 18.2 18.2 18.2 18.2
 NYPA 2.4 2.4 2.4 2.4 2.4
 Vermont Wind 2.8 2.6 2.5 2.5 2.5
 GMCW 1.8 1.8 1.8 1.8 1.8
 Winooski One 2.9 2.9 2.9 2.9 2.9
 HQICC 2.9 3.0 3.0 3.0 3.0
 Market Purchase 27.5 28.3 28.3 29.0 30.0

 MW REQUIREMENT 84.3 85.2 85.1 85.9 86.5
 Hedged 67.4% 66.8% 66.8% 66.2% 65.3%




 p. 16
 RENEWABLE ENERGY CREDITS (RECs)

 FY27 benefits from a relatively strong REC market. REC revenues are forecasted to
 remain a significant offset to BED’s power costs over the forecast period. Historical and
 projected values are as follows:

 Avg.  Actual
 FY26 FY27 Notes
 $/REC Revenues Budget Budget
FY08 0
 Partial Year - McNeil Qualified Q4-2008
FY09 23 1,648,484
FY10 23 1,624,454 ** See Note Below
 McNeil only - VT Wind delayed
FY11 22 3,211,612
 REC price falls, VT Wind partial year
FY12 24 3,555,352
 Recovery in REC prices - full year VT Wind
FY13 42 7,123,448
FY14 51 11,237,165 Increased REC prices
 Winooski One partial year
FY15 46 10,968,226
FY16 49 11,912,108 Winooski One full year
 REC Price Drop, Hancock partial year
FY17 36 8,766,988
 Hancock full year, No Standard Offer RECs
FY18 35 7,903,446
 Full year South Forty; REC price falls
FY19 29 7,359,815
FY20 30 7,524,454 REC price increased
 34 High REC prices
FY21 8,051,813
 High REC prices
FY22 33 7,895,705
 High REC prices
FY23 32 7,470,329
FY24 32 High REC prices with some low production
 6,778,263
FY25 34 High REC Prices
 7,441,375
FY26 37 9,397,172 FY26 Budget
FY27 37 8,367,521 8,794,735 FY27 Forecast - slightly lower average REC Price
FY28 35 5,875,521 7,515,119 FY27 Forecast – No RECs from a Hancock replacement
 assumed and lower price
FY29 30 4,353,498 6,433,271 FY27 Forecast – lower price
FY30 27 4,302,080 5,766,236 FY27 Forecast – lower price
FY31 27 5,760,489 FY27 Forecast

 ** A change from recording REC revenues from when the power is generated to when the REC is
 delivered caused a one-time loss of REC income (but did not change cash flow). The change is estimated
 to have resulted in $1,200,000 of REC revenue that would have been recorded in FY10 on a REC delivery
 basis being recorded in FY09.




 p. 17
TRANSMISSION

Transmission charges, particularly ISO-NE transmission charges for use of the New
England transmission system, continue to be a significant expense (though this is by no
means unique to BED).

Past and projected transmission charges in this forecast are:

 ISO-NE VELCO GMP Other Total Notes
 FY05 $1,354,865 $329,616 $333,696 $55,606 $2,073,783 Actual
 FY06 $1,317,881 $438,484 $333,696 $67,746 $2,157,806 Actual
 FY07 $1,492,208 $165,659 $333,696 $69,383 $2,060,946 Actual
 FY08 $1,727,499 $1,138,279 $259,589 $68,569 $3,193,937 Actual
 FY09 $2,513,582 $584,002 $329,270 $49,406 $3,476,260 Actual
 FY10 $3,220,858 $838,421 $277,204 $58,268 $4,394,751 Actual
 FY11 $3,584,512 $108,169 $1,351 $54,108 $3,748,140 Actual
 FY12 $3,341,192 $1,340,648 $16,630 $4,940 $3,748,140 Actual
 FY13 $3,990,748 $758,461 $125,710 $5,233 $4,880,153 Actual
 FY14 $4,621,302 $1,626,381 $316,841 $431 $6,564,955 Actual
 FY15 $4,810,330 $1,172,223 $291,645 $26,052 $6,300,250 Actual
 FY16 $5,077,900 $1,042,605 $301,783 $246,245 $6,668,533 Actual
 FY17 $5,328,860 $1,249,872 $321,998 $289,639 $7,190,369 Actual
 FY18 $5,673,053 $757,542 $335,364 $296,026 $7,061,985 Actual
 FY19 $5,668,802 $1,899,717 $336,125 $358,390 $8,263,034 Actual
 FY20 $5,339,679 $1,840,447 $338,314 $370,774 $7,889,213 Actual
 FY21 $6,299,655 $983,078 $361,375 $378,025 $8,022,133 Actual
 FY22 $7,003,913 $1,065,175 $349,732 $497,537 $8,916,356 Actual
 FY23 $7,010,849 $1,460,591 $336,512 $518,139 $9,326,091 Actual
 FY24 $7,252,076 $1,694,692 $412,169 $283,470 $9,642,406 Actual
 FY25 $8,075,156 $1,512,632 $464,430 $283,470 $10,499,472 Actual
 FY26 $8,868,723 $2,134,314 $473,240 $516,327 $11,992,604 FY26 Budget
 FY27 $8,600,991 $2,994,806 $508,989 $585,372 $12,701,638 FY27 Budget
 FY28 $8,901,809 $2,774,989 $521,713 $575,952 $12,785,945 FY27 Forecast
 FY29 $9,588,638 $2,703,534 $534,756 $581,404 $13,419,813 FY27 Forecast
 FY30 $10,238,540 $2,562,554 $548,125 $584,019 $13,944,719 FY27 Forecast
 FY31 $10,793,983 $2,324,676 $561,828 $574,380 $14,266,347 FY27 Forecast




 p. 18
Burlington Electric Department
Budget for the Year Ending June 30, 2027

 Budget Budget Budget Budget Budget
Production Fuel Expense FY 23 FY 24 FY 25 FY 26 FY 27

COST OF FUEL (McNeil @ 50%)

McNeil - Fuel Purchases
 Wood (1) $6,658,440 $6,303,012 $5,923,702 $7,049,573 $6,384,474
 Gas for Start-up (2) 81,846 57,756 59,352 59,352 59,352
 Gas for NOx Reduction (2) 9,450 2,190 2,250 2,250 0
 Oil for Loaders, other (3) 86,544 148,633 92,269 92,269 91,323
 Sub-Total 6,836,280 6,511,591 6,077,573 7,203,444 6,535,149

McNeil - Other Costs
 Labor - Yardworkers 290,133 279,758 327,057 354,117 386,933
 Labor - Foresters 285,389 313,395 326,217 348,959 305,464
 Swanton Yard/NECRR (train deliveries) 1,686,786 1,806,541 1,664,916 1,628,812 1,578,445
 Wood Ash Removal 32,250 65,165 66,603 66,603 66,603
 Other (4) 375,235 407,120 359,615 368,353 420,973
 Total Other Costs 2,669,794 2,871,979 2,744,407 2,766,843 2,758,419


 Total McNeil Fuel 9,506,074 9,383,569 8,821,980 9,970,287 9,293,568


Gas Turbine (Oil) (3) 153,748 162,247 146,946 194,276 200,862


 Total Production Fuel Expense $9,659,822 $9,545,816 $8,968,926 $10,164,563 $9,494,430

 (1) Wood
 # Tons: 198,846 198,847 177,527 200,345 192,014
 Average Price/Ton $: $33.49 $31.70 $33.37 $34.69/$35.76 $33.25
 MWh Production: 106,955 113,254 116,411 131,374 125,911

 (2) Gas
 # MCF: 7,501 5,000 5,000 5,000 5,000
 Price $: $9.00 $8.75 $8.75 $9.00 $9.00

 (3) Oil (per gallon) $3.50 $3.17 $3.17 $3.75 $3.75
 GT MWh Production: 70 284 284 346 227



(4) Includes fuel assessment, oil tank integrity testing, aerial survey, general maintenance, unloading trestle lease, railcar storage,
RR switching/repair, and emission fees.




 p. 19
Burlington Electric Department
Budget for the Year Ending June 30, 2027

 Actual Actual Actual Budget Budget
Purchased Power
 FY 23 FY 24 FY 25 FY 26 FY 27

Energy Charges
Hancock Wind (1) $2,939,428 $2,664,134 $2,871,919 $3,037,145 $1,042,734
Georgia Mountain Wind 3,106,777 3,183,389 3,701,178 3,414,456 3,405,556
Hydro Quebec 3,294,744 3,592,721 3,577,552 3,849,320 4,099,383
VT Wind 1,981,978 2,115,377 2,665,537 2,517,365 2,275,030
Great River Hydro 2,162,389 2,164,831 1,158,900 0 0
In City Solar Generators 875,802 779,347 836,211 839,048 839,048
NYPA 83,627 87,962 86,409 73,916 73,860
First Light Hydro 1,872,352 1,014,656 0
Relevate Hydro 950,771
Prospective renewable energy contract (2) 0 2,964,676
VELCO Exchange (3,360) (3,294) (5,068) 0 0
ISO Exchange (5,211,966) (184,198) (1,528,205) (542,618) (1,977,886)
ISO Exchange - Accounting Order (3) 520,279 520,279 520,284 520,279 520,279
 Subtotal Energy Charges 9,749,698 14,920,548 15,757,068 14,723,567 14,193,452

Capacity Charges
ISO Settlement 2,411,945 988,497 342,857 852,407 887,477
NYPA 127,795 127,795 124,781 127,788 127,788
VT Wind (119,357) (76,214) (93,256) 0 0
Hancock Wind (1) (1,212) (5,153) 0 0
DERMS 18,412
 Subtotal Capacity Charges 2,420,383 1,038,866 369,229 980,195 1,033,676

 Net Ancillary Services 188,163 (81,984) (96,131) (42,539) (393,331)

Miscellaneous
VT RES Tier 1/5 Compliance Expense 629,597 333,178 1,899,519 1,046,147 1,190,797
Miscellaneous-Other (4) 596,859 607,655 730,975 724,658 875,617
 Miscellaneous 1,226,456 940,833 2,630,494 1,770,805 2,066,414


 $13,584,700 $16,818,263 $18,660,660 $17,432,028 $16,900,211


(1) Contract expires 12/10/26.

(2) Assumed 10-year renewable energy contract including VT-1 RECs beginning 7/1/26.

(3) PUC-approved regulatory accounting treatment to amortize over 8 years the shortfall between the winter 2022-
23 forward energy prices and the actual winter 2022-23 energy prices.

(4) Includes day-ahead ancillary services market, ISO-NE dispatch, administration, and misc/other charges.




 p. 20
Burlington Electric Department
Budget for the Year Ending June 30, 2027

 Actual Actual Actual Budget Budget
Net Power Supply Costs (000s) FY 23 FY 24 FY 25 FY 26 FY 27

Expenses:

 Fuel (p. 19) $8,416 $7,105 $7,747 $10,165 $9,494
 Purchased Power (p. 20) 13,585 16,818 18,661 17,432 16,900
 Transmission Fees 9,336 9,653 10,458 11,993 12,794
Total Power Supply - Expenses 31,337 33,577 36,865 39,589 39,189

Revenues:

 Renewable Energy Credits - McNeil (1) 3,571 3,158 3,757 4,954 4,451
 Renewable Energy Credits - Wind (2) 3,018 2,438 2,724 3,490 2,922
 Renewable Energy Credits - Hydro (3) 697 1,007 815 756 1,086
 Renewable Energy Credits - Standard Offer/Solar (4) 185 175 146 197 190
Total Power Supply - Revenues 7,470 6,778 7,441 9,397 8,648

Net Power Supply Costs $23,866 $26,798 $29,424 $30,192 $30,541


(1) FY27 assumes $36/MWh; FY26 assumed $39/MWh.

(2) FY27 assumes $38/MWh; FY26 assumed $39/MWh.

(3) FY27 assumes $29/MWh; FY26 assumed $27/MWh.

(4) FY27 assumes $38/MWh; FY26 assumed $39/MWh.




 p. 21
 Controllable Expenses, FY16-FY27
 $35,000


 $30,000


 $25,000


 $20,000

 $000s
 $15,000


 $10,000


 $5,000


 $0



 Actual (A) or Budget (B) Projection Based on 10-Year Growth Rate Prior to FY16



Controllable Expenses = Total O&M expense (-)EEC Expense (-) Transmission Exp (-) Tier 3/5 RES
Compliance (-)A&G Capitalized.
Continued fiscal discipline since FY16 has moderated annual increases in controllable expenses to 5.22%
on average, compared to 5.84% between FY07-FY16.
 p. 22
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Operational Expense

 Actual Actual Actual Budget Budget
 FY 23 FY 24 FY 25 FY 26 FY 27
Labor Expense
 Labor-Regular $8,074,308 $8,809,252 $9,040,472 $9,317,664 $10,046,189 (1)
 Labor-Overtime 486,218 486,928 501,760 437,874 485,499
 Labor-Temporary 77,778 27,624 22,611 19,500 25,600 (2)
 Sub-Total Labor 8,638,304 9,323,804 9,564,843 9,775,039 10,557,288

 Labor-Overhead 4,463,776 5,620,423 5,296,521 5,001,980 5,605,507 (3)
 Total Labor w/ Overhead 13,102,080 14,944,227 14,861,364 14,777,019 16,162,795

Non-Labor Expense
 Office Supplies 7,158 5,758 4,343 8,370 12,220
 Materials & Supplies 852,461 724,373 712,814 1,099,073 1,279,159
 Publications 1,552 858 1,709 3,570 3,470
 Training 59,842 47,209 54,673 115,856 110,150 (4)
 Education 40,167 28,582 28,514 45,056 19,520 (5)
 Business Meetings 6,602 3,746 5,747 9,711 7,023
 Phones 35,650 30,807 29,629 31,578 42,825
 Maintenance Contracts 750,362 682,006 980,152 1,206,637 1,445,001 (6)
 Dues and Fees 125,002 104,590 117,726 147,643 147,967
 Advertising 33,270 31,873 33,590 42,820 33,810
 Building Clearing 296,827 259,571 299,842 309,958 328,384
 Transportation Clearing 258,900 257,679 145,202 329,479 314,404 (7)
 Admin & General Capitalized (697,581) (683,757) (883,644) (1,224,640) (896,580) (8)
 Allocations to McNeil (20,358) (19,542) (16,404) (19,180) (22,888) (9)
 Outside Services (p. 24) 4,159,795 2,977,874 2,597,244 3,429,286 3,308,342
 Transmission 9,335,775 9,652,699 10,458,202 11,992,604 12,794,462
 Rentals & Leases 62,475 135,078 105,716 95,596 119,729
 Group Insurance 747,287 807,413 761,988 748,243 769,789
 Printing and Forms 9,298 10,952 11,200 17,353 17,785
 Computer Supplies 21,383 21,102 16,398 23,044 32,614
 Computer Software 1,418 2,333 4,509 4,320 4,128
 Postage 66,223 86,652 91,421 94,336 101,410
 Utilities 182,078 201,699 223,456 240,869 238,775
 DSM Rebates 1,767,430 1,407,170 1,198,106 1,728,627 1,422,483 (10)
 Uncollectible Accounts 120,427 325,302 141,818 108,000 300,000 (11)
 Claims Settlements 118,982 119,025 120,264 119,261 119,689
 OPEB (9,021) (57,542) (95,826) 0 0
 CO2 Credit GT 13,450 0 0 0 0
 Other - RES Tier 3 & 5 Compliance 554,725 624,423 792,181 1,148,527 826,810 (12)
 Other (28,915) 60,588 190,330 54,797 30,304 (13)
 Total Non-Labor Expense 18,872,664 17,848,521 18,130,900 21,910,793 22,910,787

 Total Operational Expense $31,974,744 $32,792,748 $32,992,264 $36,687,812 $39,073,582

 Less EEC Expenses (reimbursed) (4,516,180) (2,926,075) (2,682,636) (3,456,446) (2,801,900)
 Less Power Supply - Transmission (9,335,775) (9,652,699) (10,458,202) (11,992,604) (12,794,462)
 Less RES Tier 3/5 Compliance (554,725) (624,423) (792,181) (1,148,527) (826,810)
 Less Admin & General Capitalized 697,581 683,757 883,644 1,224,640 896,580
 Controllable Cost $18,265,645 $20,273,308 $19,942,889 $21,314,876 $23,546,990

 See notes on page 24

 p. 23
 Budget for the Year Ending June 30, 2027
 Operational Expense Notes


(1) Labor–Regular – FY27 includes 3.5% cost-of-living adjustment and merit pay
 assumptions. Also, labor impacted by the amount of capital (vs. expense) work.
 FY26 assumed 14% of labor allocated to capital projects and FY27 assumes
 10%.

(2) Labor–Temporary – FY27 includes temporary Customer Care position. FY26
 included temporary McNeil position. FY23 and FY24 included temporary position for
 System Operations.

(3) Labor-Overhead – Pension and benefits expenses per City of Burlington. FY27
 assumes year-end adjustment for pension liability of $1,000,000.

(4) Training - includes personnel development for all areas of the Department as
 well as specific safety and skills training.

(5) Education – The Department’s Qualified Degree Program and Apprentice
 Lineworker Program costs.

(6) Maintenance Contracts – Hardware and software support and maintenance.

(7) Transportation Clearing – Vehicle maintenance and gasoline provided by the
 Department of Public Works. Impacted by the amount of capital (vs. expense)
 work and by the amount of work we use contractors for.

(8) Admin & General Capitalized – Contingent on capital projects.

(9) Allocations to McNeil – Certain incidental BED administrative costs are allocated
 to McNeil joint owners. (Most costs directly charged.)

(10) DSM Rebates – FY27 includes $2,801,900 in “Other Revenues” to cover these
 and other costs.

(11) Uncollectible Accounts – Customer accounts written-off for non-collection.


(12) Other – RES Tier 3 & Tier 5 Compliance – Based on annual compliance
 obligation under VT Renewable Energy Standard and unit cost of inventoried
 Tier 3 & Tier 5 credits.


(13) Other – FY23 included adjustment for obsolete equipment ($32,200). FY25
 included expenses for Energy Services subgrant activities with Efficiency
 Vermont through Vermont Department of Public Service.




 p. 24
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Operational Expense

 Actual Actual Actual Budget Budget
Outside Services FY 23 FY 24 FY 25 FY 26 FY 27

Equipment Maintenance $426,210 $343,034 $300,779 $613,773 $796,688
Legal Services 55,497 67,576 86,338 45,500 25,000
Temporary Help 6,898 14,704 11,091 2,145 4,255 (1)
Technical 699,777 857,479 628,935 1,266,365 1,174,321
City of Burlington 445,325 403,783 412,108 417,626 378,626 (2)
Buildings & Grounds 35,900 30,458 28,660 75,195 78,845
Financial Audit 166,451 166,500 175,000 193,500 203,175 (3)
Financial/Banking 447,931 407,480 204,212 274,700 130,400 (4)
Energy Efficiency Utility 1,745,059 590,884 610,330 320,508 259,500 (5)
Other 130,747 95,976 139,791 219,973 257,533

Total Outside Services $4,159,795 $2,977,874 $2,597,244 $3,429,286 $3,308,342

(1) For McNeil Plant.

(2) Indirect cost allocation for general government, city attorney, human resources, and racial equity,
inclusion and belonging.

(3) Beginning in FY26, budget includes Uniform Guidance single audit expenses.

(4) FY23-FY24 included monthly fees for customer eCheck and credit card payments. FY26 includes NZE
& Grid Reliability revenue bond issuance costs.

(5) Offsetting revenues are included in "Other Revenues" to cover these and other related costs.




 p. 25
Burlington Electric Department
Budget for the Year Ending June 30, 2027

 Actual Actual Actual Budget Budget
Depreciation & Amortization FY23 FY24 FY25 FY26 FY27

Depreciation:
  Distribution $2,535,278 $2,298,200 $2,403,323 $2,419,400 $2,627,000
  General 328,642 426,373 482,520 324,791 381,891
  Transmission 72,754 72,754 72,359 74,100 69,300
  Gas Turbine, Wind & Solar 283,281 360,213 373,129 380,100 381,100
  McNeil 832,876 866,768 886,508 900,900 940,700
  Winooski One Hydro 371,289 256,325 251,015 254,200 257,900

 Subtotal 4,424,120 4,280,633 4,468,854 4,353,491 4,657,891

 Deferred Depreciation Adjustment (1) 1,167,249 1,277,053 656,704 743,771 847,112

 Total Depreciation 5,591,369 5,557,686 5,125,558 5,097,262 5,505,003

(1) Sinking fund amortization varies based on bond principal payments.


Amortization:
 Intangible Assets (Software) 41,190 281,421 261,036 262,500 268,400
 Winooski One Hydro (1) 496,910 509,410 521,910 534,410 546,910
 Regulatory Asset (2) 46,593 49,039 49,039 49,038 30,985
 Regulatory Liability (3) 821,720 164,344
 Total Amortization 584,693 839,870 1,653,705 845,948 1,010,639

 Total Depreciation & Amortization $6,176,062 $6,397,556 $6,779,263 $5,943,210 $6,515,642

(Gain)/Loss on Disposition of Plant $116,431 $129,310 $61,736 $345,940 $443,350

(1) Plant acquisition adjustment ($12M) for the life of the bond. This represents market value (paid) over book value.
(2) Uncapitalized labor due to COVID19; per PUC accounting order.
(3) McNeil 2019 Turbine Overhaul included in rates.
 p. 26
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Taxes

Taxes Actual Actual Actual Budget Budget
(000s) FY 23 FY 24 FY 25 FY 26 FY 27

Property Taxes

 Payment in Lieu of Taxes - BED $1,347 $1,441 $1,586 $1,700 $1,708
 Payment in Lieu of Taxes - McNeil 787 825 902 956 935

 Property Taxes - Winooski One (1) 485 507 309 328 304

 Subtotal - Property Taxes 2,619 2,773 2,797 2,983 2,947
 PILOT Tax Rates (2) $2.11 $2.21 $2.42 $2.56 $2.51
Revenue Taxes

 Gross Revenue Tax (.525%) (3) 331 336 356 382 387

 Gross Receipts Tax (.5%) (4) 248 272 285 295 309

 Subtotal - Revenue Taxes 579 608 641 676 696


Over/Under Allocation of Social Security Taxes 9 14 (7) 0 0
Childcare Taxes 5

 Total Taxes $3,207 $3,396 $3,437 $3,660 $3,643

(1) Based on $15.1M value.
(2) FY27 assumes updated values for City grand list and an estimated increase of 6% .
(3) Tax to finance operations of Public Service Department and Public Utility Commission. Effective
for all utilities (electric, phone, gas, water, and cable). Tax applies to total revenues less resales.
Increased to .525% effective FY20.
(4) Effective July 1, 1990 for deposit to State of VT "Home Weatherization Assistance Fund." Charged
to sellers of heating oil, electricity, gas, and coal (phone, cable, and water excluded). Tax applies to
"Sales to Customers" revenue only.




 p. 27
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Dividend Income

 Actual Actual Actual Budget Budget
 FY 23 FY 24 FY 25 FY 26 FY 27


VT TRANSCO LLC (1) $ 4,223,991 $ 4,233,600 $ 4,299,758 $ 4,326,594 $ 4,526,562

VELCO (2) 165,945 166,089 165,945 166,224 166,224

VELCO VETCO (3) 1,013 1,206 1,257 900 1,200

Other (4) 8,562 132,097 37,975 0 0

 Total Dividend Income $ 4,399,511 $ 4,532,992 $ 4,504,935 $ 4,493,718 $ 4,693,986



(1) FY27 includes net settlement credit from equity purchases financed through VPPSA.

(2) Assumes quarterly dividend of $2.88/share on 14,038 shares of Class B and 392 shares of Class C Common Stock.

(3) VELCO Class C Preferred Stock, dividend $0.04 on 7,464 shares.

(4) Cash distributed to VT Transco, LLC members related to non-utility operations.




 p. 28
Burlington Electric Department
Budget for the Year Ending June 30, 2027



Other Income, Deductions & Actual Actual Actual Budget Budget
Capital Contributions FY 23 FY 24 FY 25 FY 26 FY 27

Interest Income - Operating
 Checking Accounts $156,913 $267,848 $314,480 $223,375 $207,533
 Debt Service Reserve Fund-Zions 49,625 61,382 147,265 $108,000 $109,500
 Renewal & Replacement Fund-Zions 30,643 55,118 48,620 $35,700 $31,914
 Investments (Key Bank & Zions) 257,162 408,108 135,733 $81,483 $559,559
 Customer Loans/Other 7,424 19,329 17,547 $17,883 $11,536
Total Interest Income - Operating (1) 501,767 811,785 663,645 466,441 920,042

(1) FY27 assumes slightly lower interest rates, and higher construction fund balance for 2026A Revenue Bond issued in FY26.



Other Income
Miscellaneous Non-Operating Income
  CSWD (Waste Wood Yard) (1) 30,000 30,000 30,000 15,000 30,000
  City Franchise Fee Admin Billing (2) 17,426 17,754 4,459 5,000 5,000
  VELCO Director 19,000 19,000 24,500 30,000 30,000
  VPPSA Staff Sharing 1,275 0 0 0
 Sub-total Misc. Non-Operating Income 67,701 66,754 58,959 50,000 65,000

Other Deductions (-)
 BED Donation - Warmth Program (3) (10,000) (10,000) (10,000) (10,000) (10,000)
 BED Donation - Defeat the Peak (3,000) (3,000) (3,000) (6,000) (3,000)
 Sub-total Other Deductions (13,000) (13,000) (13,000) (16,000) (13,000)

Total Other Income, Net 54,701 53,754 45,959 34,000 52,000

(1) Agreement with Chittenden Solid Waste District. (Annual payments to BED in consideration of BED's operation and maintenance
of the site.)
(2) City payment to BED for the cost of processing the franchise fee.
(3) This is BED's donation (in addition to us forwarding customer donations on billing payments).


Capital Contributions/Grants
  Customer Contributions (1) 735,644 633,230 316,089 1,247,317 267,491
  General Grants (14,996) 650,061 1,702,930 0 0
  U.S. DOE Building GIANTS Grant 15,332 347,669 421,403
  VT DPS ESAP DERMS Grant 45,769 251,978 413,355

 Total Capital Contributions/Grants 720,648 1,283,291 2,080,119 1,846,964 1,102,250

(1) FY27 includes Winooski Bridge Rebuild, Cherry Street-Great Streets, & UG OH billable.


 Total $1,277,116 $2,148,830 $2,789,723 $2,347,405 $2,074,292




 p. 29
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Interest Expense

 Actual Actual Actual Budget Budget
 FY 23 FY 24 FY 25 FY 26 FY 27

General Obligation Bonds (1) $1,799,732 $2,000,998 $1,900,423 $1,881,577 $1,831,046

Revenue Bonds 1,812,616 1,518,279 1,436,314 1,380,039 2,112,046

 Total Long Term Debt Interest 3,612,348 3,519,277 3,336,737 3,261,615 3,943,092



Amortization of Debt Discount 114,269 133,942 144,377 150,992 155,616
Amortization of Deferred Debt Costs - Loss 43,415 46,499 42,704 45,313 41,043
Amortization of Deferred Debt Costs - Gain 0 0 0 0 (17,076)
Amortization of Debt Premium (342,580) (364,501) (379,625) (375,940) (367,140)
Moran Promissory Note (2) 17,867 7,201 6,030 4,848 3,654
Other Interest (3) 4,977 2,593 1,121 12 0

 Total Interest Expense $3,450,296 $3,345,011 $3,151,344 $3,086,841 $3,759,188

Debt Outstanding Long Term - Y/E
General Obligation Bonds (1) $46,985,000 $45,945,000 $44,765,000 $43,320,000 $41,740,000
Revenue Bonds (4) $35,370,000 $33,435,000 $31,435,000 $50,095,000 $48,634,000

(1) Assumes $3M annual GO Bond.
(2) Payment to City of Burlington for remediation expense per 2022 MOU, expiring FY30.
(3) Capital Lease from Key Bank for MDMS, expired in FY26.
(4) Issued $20M Net Zero Energy and Grid Reliability Revenue Bond in FY26.

 p. 30
 Burlington Electric Department
 Outstanding Long-Term Debt
 100

 95

 90

 85

 80


 $Million
 75

 70

 65

 60

 55

 50
 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27

(1) FY13 forward includes $3M annual GO bond. (Voters approved March 2012.)
(2) At the end of FY14 all revenue bonds and GO bonds issued prior to 2004 were paid off.
(3) FY15 includes $12M Revenue Bond for Winooski One Hydro.
(4) FY22 includes $20M Net Zero Energy Revenue Bond.
(5) 2014A Revenue Bond matured in FY25.
(6) FY26 includes issuance of $20M Net Zero Energy and Grid Reliability Revenue Bond and refunding of 2014A
Revenue Bond.
 p. 31
Burlington Electric Department
Budget - FY2027

 Actual Actual Actual Budget Budget
Labor Overhead FY 23 FY 24 FY 25 FY26 FY27

TOTAL LABOR (1) $12,626,149 $13,027,967 $13,926,966 $14,666,800 $15,008,900

LABOR OVERHEAD
 Medical Insurance (2) 1,437,496 1,772,325 1,930,820 2,434,000 2,683,800
 Dental Insurance (2) 74,747 84,306 87,130 96,700 112,000
 Life Insurance (2) 19,768 19,684 20,444 21,200 18,700
 Social Security Taxes 906,224 943,751 988,101 1,122,000 1,148,200
 Workers Compensation Ins. (2) 329,114 323,880 416,504 441,900 623,900
 Childcare Contribution Tax (3) 52,350 64,534 66,039
 Pension (2) 1,592,317 1,573,738 1,770,402 1,760,100 1,901,200
 Amortization of IBEW pension back payment (4) 87,041 87,041 87,041 87,041 0
Sub-total Labor Overhead 4,446,707 4,804,724 5,352,792 6,027,475 6,553,839

 Health Care Buyout (5) 13,063 14,389 15,240 13,000 9,250

Total Labor Overhead $4,459,770 $4,819,113 $5,368,032 $6,040,475 $6,563,089

Labor Overhead Rate 35.32% 36.99% 38.54% 41.18% 43.73%
Pension Rate 12.61% 12.08% 12.71% 12.58% 13.29%


(1) Includes Overtime and McNeil @ 100%.
(2) FY27 per City assumptions.
(3) New tax as of July 1, 2024 is 0.44% of wages.
(4) Regulatory accounting treatment approved by PUC. Amortization period ended in FY26.
(5) $1,000 for non-union employees; $1,250 for IBEW employees per 2022-2026 contract.




 p. 32
 Burlington Electric Department
 Budget for the Year Ending June 30, 2027
 $6,563,089 Labor Overhead




 Pension
 29.0%


 Medical Insurance
 41.0%


Workers Comp. Ins.
 9.5%

 Social Security &
 Childcare Taxes
 18.5%
 Dental Insurance
 1.7%
 Life Insurance
 0.3%

 p. 33
 Burlington Electric Department
 Capital Spending -
 Net of Capital Contributions


 18,000

 15,218
 15,000


 12,000
 10,325 10,636
 9,773

($000) 9,000
 7,608
 8,037
 6,705 7,049

 6,000 5,183 5,170
 4,020

 3,000


 0
 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 Budget FY27 Budget



 Budget Budget
 Plant Type FY 17 FY 18 FY 19 FY 20 FY 21 FY 22 FY 23 FY 24 FY25 FY 26 FY 27
 Production 1,363 778 928 1,156 1,816 936 2,101 1,310 3,053 4,481 2,898
 Other 51 53 6 127 260 345 868 134
 Distribution 3,390 1,873 2,791 1,670 1,413 3,191 3,774 4,547 4,941 6,419 5,680
 Transmission 3,012 3,020 2,696 671 1,074 0 634 0 577 222 0
 General 2,560 1,034 1,193 471 827 1,037 1,400 932 857 3,228 1,924
 Total $10,325 $6,705 $7,608 $4,020 $5,183 $5,170 $8,037 $7,049 $9,773 $15,218 $10,636




 p. 34
 Burlington Electric Department
 Capital Projects - FY2027


 Customer
 Project Contribution/ Net
Project Description Total Grants Cost


McNeil Plant (BED 50% Share)
Farmhouse Level 2 EVSE 8,936 8,936
Analyzer Upgrades for Chemical Treatment 8,750 8,750
Ash Handling Vehicle 75,000 75,000
AWS Scale Software 7,500 7,500
Boiler Mapping and Tube Replacement 150,045 150,045
Char Ash Conveyor 15,044 15,044
McNeil Controls Server Upgrade 40,037 40,037
ESP Mechanical Field Rebuild 325,074 325,074
Farmhouse Improvements 15,001 15,001
Forestry Vehicle 32,500 32,500
Protection Relays Upgrade 75,092 75,092
Replacement Railcars 25,000 25,000
Rigging Equipment 5,000 5,000
 1
Routine Station Improvements 190,204 190,204
Safety Valve Replacements 17,506 17,506
Station Tools and Toolboxes 7,501 7,501
Stormwater System Upgrades 15,001 15,001
Truck Dumper Repair 16,636 16,636
Tubular Airheater Expansion Joint Replacements 27,545 27,545
Wood Handling Front End Loader 375,000 375,000
Perimeter Fence Upgrades 2,502 2,502
Well #2 Recasing 25,038 25,038
Oracle NetSuite FIS Implementation 43,527 43,527
Work & Asset Management System Implementation 10,480 10,480
 Total McNeil Plant 1,513,918 0 1,513,918


(1) (311) Structures-$80k, (312) Boiler-$95k, (314) Turbine-$90k, (315) Accessory Equipment-$90k (316) Plant
Equipment-$20k (391) Office Equipment-$5k



Transmission Plant
VT Transco 0 0
 Total Transmission Plant 0 0 0



Hydro Production Plant
WIN 1 Trash Rack Repair 50,018 50,018
WIN 1 Routine Station Improvements 1 62,075 62,075
WIN 1 Rigging Equipment 5,150 5,150
WIN 1 Lavatory Replacement 30,018 30,018
WIN 1 Fish Lift Repair 60,056 60,056
WIN 1 Turbine Overhaul 30,043 30,043
WIN 1 Headgate Seals and Channels 50,055 50,055
WIN 1 FERC Relicensing 640,638 640,638
 Total Hydro Production Plant 928,053 0 928,053


(1) (331) Structures-$17k, (332) Reservoirs, Dam, and Waterway-$17k, (333) Waterwheel, Turbines, and
Generators - $10k (334) Accessory Electric Equipment - $8k (335) Misc Power Plant Equpiment - $10k (335)




 p. 35
 Burlington Electric Department
 Capital Projects - FY2027


 Customer
 Project Contribution/ Net
Project Description Total Grants Cost


Gas Turbine Plant
GT Exhaust Stack Replacement 375,597 375,597
GT Outlet Bucket Replacement Phase 2/4 50,011 50,011
GT Routine Station Improvements 1 16,142 16,142
GT Rigging Equipment 9,011 9,011
GT Exhaust Expansion Joint 5,602 5,602
 Total Gas Turbine Plant 456,364 0 456,364


(1) Turbines & Generators-$6k, Accessory Electrical Equipment-$5k, Miscellaneous Power Plant Equipment-
$5,000



Other
Battery Operated Cable Reel Mover 21,060 21,060
BED Fleet EV Chargers (5) 60,942 60,942
Distributed Energy Resource Management System Implementation 51,975 51,975
 Total Other 133,978 0 133,978



Distribution Plant


Aerial
634CB Switched Bank 57,007 57,007
636CB Switched Bank 42,135 42,135
Bayview St Rebuild P896-P851 17,837 17,837
Chase Street Rebuild 156,960 156,960
Crombie Street Rebuild 29,472 29,472
Curtis Avenue Rebuild 42,321 42,321
Front Street Rebuild 109,142 109,142
Shore Road Rebuild P3209 to P3194 27,619 27,619
Oak Drive Rebuild 49,712 49,712
Elmwood Ave Rebuild 143D to 917D 126,437 126,437
 658,642 0 658,642


Underground
Level 2 EV Chargers 181,837 181,837
Level 3 EV Chargers 253,472 253,472
Northshore Drive Rebuild Phase 1 636,156 636,156
Rebuild 2L3 from 927S to Sub #7 179,294 179,294
Rebuild Oakledge Drive 94,378 94,378
Replace #125S/219S/310S Switch 74,264 74,264
Replace UG St. Paul St (Bank to Cherry) 141,410 141,410
Sub #7 Switchgear Replacement 326,514 326,514
 Total Underground 1,887,325 0 1,887,325


Other
ArcFM UN Upgrade 458,925 458,925
Distribution Transformer - Engineering 16,886 16,886
Distribution Transformer - Purchase 725,000 725,000
Megger S1-1068 Replacement 8,605 8,605
Pine Street Radio Antenna Replacement 59,700 59,700




 p. 36
 Burlington Electric Department
 Capital Projects - FY2027


 Customer
 Project Contribution/ Net
Project Description Total Grants Cost


Queen City Substation SCADA Upgrade 87,737 87,737
Replace Condemned Poles 331,028 331,028
SCADA ADMS Phase IV 603,543 603,543
Siemens NMS System 90,235 90,235
 Total Other 2,381,659 0 2,381,659



Customer Driven/City Projects
Winooski Bridge Rebuild 35,426 35,426
Winooski Bridge Rebuild (CAFC) 0 (35,426) (35,426)
Great Streets - Cherry Street 26,732 26,732
Great Streets - Cherry Street (CAFC) 0 (17,474) (17,474)


 Total Customer Driven/City Projects 62,158 (52,900) 9,258


  Total Distribution Plant - General 4,989,783 (52,900) 4,936,883



Distribution Plant - Blanket
Meters
Single Phase Meter Purchase 85,000 85,000
Three Phase Meter Installation 16,244 16,244
Three Phase Meter Purchase 10,000 10,000
Single Phase Meter Installation 9,662 9,662


  Total Meters 120,906 0 120,906


Underground
UG Replacement 77,420 77,420
Replace Utility Holes and Handholes 105,622 105,622
UG Construction - New 19,152 19,152
UG Construction - Billable 144,287 144,287
UG Construction (CAFC) 0 (144,287) (144,287)


  Total Underground 346,481 (144,287) 202,194


Aerial
Overhead Replacement 84,643 84,643
Overhead Construction - New 18,950 18,950
Overhead Construction - Billable 70,304 70,304
Overhead Construction (CAFC) 0 (70,304) (70,304)


  Total Aerial 173,897 (70,304) 103,593


Lighting
Street Lighting 207,892 207,892
Private Area Lighting 15,558 15,558


  Total Lighting 223,450 0 223,450




 p. 37
 Burlington Electric Department
 Capital Projects - FY2027


 Customer
 Project Contribution/ Net
Project Description Total Grants Cost


Other
Substation Maintenance 18,148 18,148
Replace Failed SCADA Field Equipment 12,371 12,371
Communication Equipment Emergency Repair 15,944 15,944
SCADA Field Equipment Replacement 26,396 26,396
Tools & Equipment - Distribution/Technicians 20,000 20,000
  Total Other 92,859 0 92,859



 Total Distribution Plant - Blanket 957,593 (214,591) 743,002


 Total Distribution Plant 5,947,376 (267,491) 5,679,885



General Plant
Vehicle Replacements
EV Bucket Truck "Make Ready" Work 76,637 76,637
Forklift EV 147,109 147,109
  Total Vehicle Replacements 223,746 0 223,746



Computer Equipment/Software
AMI Network Switch Replacements 48,537 48,537
AMI/Certicom Server Replacement 60,507 60,507
IT Forward - FIS Implementation (Operating) 399,042 399,042
IT Forward - Integrated Voice Response (IVR) System 16,412 16,412
IT Forward - MDMS Phase 3 62,476 62,476
IT Forward - SpryCIS-CIS Implementation 549,832 549,832
IT Forward - SpryEngage Customer Portal 59,024 59,024
IT Forward - SpryMobile Work Management Implementation 72,248 72,248
IT Forward - Work & Asset Management Implementation (Operating)173,296 173,296
Pine Street Network Switch Replacement 25,620 25,620
PMR Replacement Batteries 14,420 14,420
WinooskiOne Wi-fi Extension Project 22,595 22,595
Tablets for Distribution 24,010 24,010
UPS Replacement Hardware 19,698 19,698
WiFi Access Point Replacement FY27 12,984 12,984
Substation Network Switch Replacement 22,595 22,595
Stockroom Network Switch Replacement 25,620 25,620
Laptop/Desktop Replacements 67,690 67,690
Monitoring and Domain Controller Servers 15,063 15,063
Conference Room Videoconferencing 8,820 8,820
  Total Computer Equipment/Software 1,700,487 0 1,700,487


 Total General Plant 1,924,233 0 1,924,233



Total Plant $10,903,922 ($267,491) $10,636,431




 p. 38
Burlington Electric Department
Budget for the Year Ending June 30, 2027

Debt Coverage Budget Budget
($000) FY23 FY24 FY25 FY26 FY27

Total Operating Revenues 62,937 64,108 67,827 72,668 73,783

Total Operating Expenses 61,998 64,322 68,130 73,138 74,771

 Less: Depreciation & Amortization (1) (6,176) (6,398) (6,779) (5,943) (6,516)
 Less: Gain/Loss (116) (129) (62) (346) (443)
 Less: Payment in Lieu of Taxes (2,134) (2,266) (2,488) (2,656) (2,643)

Total Operating Expenses - Adjusted 53,571 55,530 58,801 64,193 65,169

Net Operating Income - Adjusted 9,366 8,579 9,026 8,475 8,614

Total Other Income 5,628 7,125 7,402 6,841 6,769
(Less) Grant/Customer Income (721) (1,283) (2,080) (1,847) (1,102)

Net Income Available for Revenue Debt Service 14,273 14,421 14,348 13,469 14,281

Debt Service on Revenue Bonds 3,748 3,518 2,831 2,825 3,633

Revenue Debt Service Coverage Ratio (2) 3.81 4.10 5.07 4.77 3.93

Net Income Available for Other Debt Service 14,273 14,421 14,348 13,469 14,281
 Deduct: Payment in Lieu of Taxes (2,134) (2,266) (2,488) (2,656) (2,643)

Adjusted Net Income Available for Other Debt Service 12,139 12,155 11,860 10,814 11,638

Debt Service
 Revenue Bonds 3,748 3,518 2,831 2,825 3,633
 General Obligation Bonds 5,625 6,181 6,345 6,417 6,488
 Other 18 7 6 140 128
Total Debt Service 9,390 9,706 9,183 9,381 10,249

Adjusted Debt Service Coverage Ratio 1.29 1.25 1.29 1.15 1.14

(1) Deduct as non-cash expense.
(2) Revenue bond covenants require a minimum debt service coverage ratio of 1.25. p. 39
Burlington Electric Department
Budget for the Year Ending June 30, 2027
Cash Flow (000s)
 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Budget
 Source 2026 2026 2026 2026 2026 2026 2027 2027 2027 2027 2027 2027 FY 27

BEGINNING BALANCE $13,412 $14,047 $15,337 $14,599 $17,712 $17,063 $17,717 $19,196 $20,500 $19,066 $17,839 $17,437 $13,412

SOURCES OF FUNDS:

Total Operating Revenues 6,524 8,457 5,476 4,944 6,599 5,711 5,867 7,646 5,591 4,770 6,724 5,473 73,783

Other Income
 Dividends 1,084 0 42 1,084 0 42 1,084 0 42 1,084 0 234 4,694
 Interest and Other Income 85 88 75 99 80 85 92 67 74 84 66 76 972
 Customer Contribution/Grant Income 93 104 159 162 108 108 60 60 64 64 68 52 1,102
Total Other Income 1,262 192 276 1,344 188 235 1,236 128 180 1,232 134 362 6,768

Other Sources of Funds
 GOB Annual/BAN 3,000 3,000
 Revenue Bond 2026 - capital 735 1,132 1,088 1,074 807 722 430 469 440 502 471 138 8,009
 Revenue Bond 2026 - T3 rebates 74 62 64 58 87 119 103 95 114 136 117 437 1,465

Total Other Sources of Funds 808 1,194 1,151 4,132 895 841 533 564 554 638 588 575 12,474

TOTAL SOURCES OF FUNDS 22,006 23,889 22,240 25,019 25,394 23,850 25,354 27,534 26,825 25,706 25,284 23,847 106,437

USES OF FUNDS:

Total Operating Expenses 5,642 5,611 5,505 5,214 5,727 4,320 4,530 4,583 5,504 5,322 4,857 5,088 61,905

Tier 1 REC Purchase 0 0 0 0 0 0 0 832 0 0 832 0 1,665
Tier 3 Total-RES Compliance Cash Total 74 62 64 58 87 119 103 95 114 136 117 437 1,465

McNeil Turbine Blade for FY28 overhaul 385 385
Small Dam Procurement FY28 overhaul 150 150

Taxes - Gross 31 765 26 23 759 27 28 101 687 410 99 686 3,643

Net Operations Expenses 5,747 6,438 5,595 5,295 6,573 4,466 4,660 5,612 6,305 5,869 5,905 6,747 69,213

Capital Spending
  BED 746 1,267 1,164 1,155 875 817 527 550 535 817 766 171 9,390
  McNeil 502 8 43 17 36 5 125 27 73 337 331 12 1,514
  VT Transco, LLC 0 0 0 0 0 0 0 0 0 0 0 0 0
Total Capital Spending 1,249 1,275 1,207 1,172 911 822 652 577 608 1,153 1,097 183 10,904

Debt Service
 G.O. Bonds 536 536 536 536 543 543 543 543 543 543 543 543 6,488
 Revenue Bonds 303 303 303 303 303 303 303 303 303 303 303 303 3,633
 Other (Lease & Moran Frame ) 125 0 0 0 0 0 0 0 0 0 0 0 128
Total Debt Service 964 840 840 840 846 846 846 846 846 846 846 846 10,249

TOTAL USES OF FUNDS 7,960 8,552 7,641 7,307 8,331 6,133 6,158 7,034 7,759 7,868 7,848 7,775 90,366

ENDING BALANCE - OPERATING $14,047 $15,337 $14,599 $17,712 $17,063 $17,717 $19,196 $20,500 $19,066 $17,839 $17,437 $16,072 $16,072




 p. 40
Burlington Electric Department
Budget for the Year Ending June 30, 2027


 Actual Actual Actual Budget Budget
Cash Coverage FY23 FY24 FY25 FY26 FY27

Cash Accounts - Operating 7,978,811 11,568,638 12,497,092 13,221,009 16,071,768
Cash Accounts - McNeil (1) 641,987 571,758 628,972 492,434 614,239
(Plus) Line-of-Credit Available 5,000,000 10,000,000 10,000,000 10,000,000 10,000,000

Unrestricted Cash and Investments 13,620,798 22,140,396 23,126,064 23,713,443 26,686,007


Total Operating Expenses 61,997,702 64,322,454 68,130,038 73,137,531 74,770,706
 (less) Depreciation/Amortization Exp (6,176,061) (6,397,556) (6,779,263) (5,943,210) (6,515,642)
 (less) Gain/Loss (116,431) (129,310) (61,736) (345,940) (443,350)
 (less) PILOT (2,133,939) (2,265,941) (2,487,854) (2,655,520) (2,642,884)
Adjusted Operating Expenses 53,571,271 55,529,647 58,801,185 64,192,861 65,168,830

Days Cash on Hand (with LOC) 93 146 144 135 149

(1) Budget based on 3-year average actual balances.




 p. 41
 585 Pine Street • Burlington, VT 05401-4891


May 13, 2026

Ms. Jennifer Sloms
Economic Development Administration
United States Department of Commerce
Philadelphia Regional Office
Robert Nix Federal Building
900 Market Street, Suite 602
Philadelphia, Pennsylvania 19107

RE: Burlington Board of Electric Commissioners Letter of Support for the City of Burlington
Vermont Electric Department’s Request for EDA Release of Federal Interest in Award # 01-79-
14206

Dear Ms. Sloms:

The purpose of this letter is to provide the Burlington Board of Electric Commissioners support
for Burlington Electric Department’s (BED) request to the Economic Development
Administration (EDA) to release its federal interest in BED’s Revolving Loan Fund (RLF) award
# 01-79-14206.

BED commits to using the RLF for one or more activities that continue to carry out the economic
development purposes of Public Works and Economic Development Act (PWEDA). At this
time, BED plans to continue operation of the existing RLF program, which supports the
economic development purposes of PWEDA. BED’s long-standing energy services programs
will continue to support business customers with technical assistance and incentives to improve
efficiency and help customers to reduce operating expenses. BED will use the RLF funds as
described in the terms of the Defederalization Release Agreement.



Sincerely,



Lara Bonn,Chair
On behalf of the Burlington Board of Electric Commissioners

MINUTES OF REGULAR MEETING
 BURLINGTON ELECTRIC COMMISSION

 Wednesday, May 13, 2026

The regular meeting of the Burlington Electric Commission was convened at 5:00 pm on
Wednesday, May 13, 2026, at Burlington Electric Department, 585 Pine Street, Burlington, Vermont,
and on Microsoft Teams.

Attendance
  Channel 17 was present to record this meeting.
  Commissioners Lara Bonn, Ali Kenney, Scott Moody, Andy Vota, and Brian Williams were
 present.
  Staff members Elena Alexander, Paul Alexander, Chris Burns, Mike Kanarick, Munir Kasti,
 Lincoln Sprague, Darren Springer, Emily Stebbins-Wheelock, and Amber Widmayer were
 present at 585 Pine Street.
  Staff members Chris Burns and James Gibbons were present via Microsoft Teams.
  Public member Pike Porter was present via Microsoft Teams.
  Public members Leendert Huisman, Stuart Lindsay, Peter MacAusland and Polly Mangan
 were present at 585 Pine Street.

1. Agenda
No changes to the agenda.

2. Meeting Minutes
Commissioner Vota moved to accept April 8, 2026 minutes as presented. Commissioner Williams
seconded the motion. Vote: 5 ayes 0 nays.

3. Public Forum
Stuart Lindsay proposed expanding the current electric vehicle rebate program to include Level 1
(120V) charging. Mr. Lindsay stated that existing incentives focus on Level 2 systems, which are
often financially or logistically inaccessible for renters, apartment dwellers, and low-income
residents. Using his 2021 Toyota RAV4 Prime as an example, he noted that Level 1 charging is
sufficient for many users and has reduced his annual fuel costs by $1,000. Mr. Lindsay suggested
using a $59 Wi-Fi-enabled pass-through monitor to track energy consumption, allowing Level 1
users to claim the 8-cent per kilowatt-hour rebate, which could save households approximately $24
monthly. While commissioners acknowledged the importance of democratizing EV adoption, James
Gibbons, Director of Policy & Planning, raised concerns regarding verification. He noted that unlike
Level 2 systems, Level 1 power draws are indistinguishable from other household appliances,
potentially allowing the rebate to be applied to non-EV electricity use. Mr. Lindsay suggested an
 1
honor system or a variance to encourage used plug-in hybrid adoption. BED officials agreed to
review the proposed hardware while considering the technical challenges of usage verification.

Leendert Huisman challenged the City of Burlington’s strategy of replacing fossil fuels with wood-
based renewable energy, specifically critiquing the Burlington Electric Department’s (BED) reliance
on biomass. Mr. Huisman argued that "renewable" does not guarantee emission reductions, as
BED’s carbon cycle model ignores the long duration carbon remains in the atmosphere before
sequestration. Mr. Huisman presented data showing that while the City achieved a 9,000-ton CO2
reduction in transportation and thermal sectors over six years, the McNeil Station remains
Burlington’s largest emitter, producing over 300,000 tons annually. Mr. Huisman emphasized that
year-to-year fluctuations in McNeil's emissions can exceed 40,000 tons, effectively neutralizing any
progress made in other sectors. After providing the board with a two-page supporting document,
he asserted that rational decisions regarding the plant’s future are impossible if officials continue to
ignore these figures. He concluded by urging the City and BED to integrate these facts into their
energy planning rather than relying on misleading graphics that hide the true environmental cost of
continuous wood-burning operations.

Pike Porter acknowledged Commissioner Bonn’s recent resolution but criticized the initiative to
limit public written comments. He offered several proposals to improve BED’s direction, noting that
BED has not constructed new clean energy assets since 2015. Mr. Porter urged the Commission to
reaffirm the 2019 Burlington City Council climate resolution targeting zero carbon electricity by
2030, matching Green Mountain Power’s current goals. Mr. Porter criticized BED’s continued
funding of the 42-year-old McNeil plant without a retirement plan or an independent third-party
cost-benefit analysis as fiscally irresponsible. Referring to a previous comment by General Manager
Springer, Mr. Porter argued that issuing RFPs for such analyses is inexpensive and should be a
prerequisite for budget approval. Mr. Porter called for the Commission to provide a clear strategic
direction for BED to address these gaps, protect public interests, and meet the City’s environmental
commitments by the 2030 deadline.

Peter MacAusland thanked BED staff, Chris Burns for his guidance and Laurie Lemieux and Elena
Alexander for their professional correspondence and Commissioners Moody and Vota for
encouragement e and prompt responses, respectively. While acknowledging General Manager
Springer’s assistance with questions regarding Quantified Ventures, Mr. MacAusland suggested the
Commission consider appointing a dedicated spokesperson—similar to Alan Yandow’s previous
role under Bob Young—rather than relying on the General Manager. Representing the advocacy
group Third Act, Mr. MacAusland reaffirmed his opposition to BED’s position on the McNeil plant.

4. Monthly Impact Minute
Amber Widmayer, Legislative and Regulatory Specialist gave an overview of the 2026 legislative
session. Ms. Widmayer noted that Governor Phil Scott signed Bill H.940, which grants BED
 2
continued flexibility to use TEPF funds for enhanced EV incentives and geothermal test wells. Ms.
Widmayer explained that since Vermont has a staff-less citizen legislature, BED serves as a critical
subject matter expert for committees such as House Energy and Senate Natural Resources &
Energy. Key discussions included a mileage-based user fee for EV drivers, which will now be
collected through annual registration rather than utility billing to ensure equity. Ms. Widmayer also
highlighted S.202, an active bill regarding portable solar panels that was expanded to include
appliance efficiency standards. While Ms. Widmayer monitored approximately 40 bills this session,
many have stalled, including proposals for utility disconnection protections during extreme heat
and the implementation of AMI opt-out fees. The session also involved tracking data privacy and
data center legislation to ensure government exemptions remain. Ms. Widmayer noted that while
this year was less intensive than previous Renewable Energy Standard (RES) updates, BED remains
proactive in advocating for policies that maintain grid safeguards and utility interests.

5. Commissioners’ Corner
No topics discussed.

6. General Manager’s Update
General Manager Springer addressed Mr. Lindsay’s presentation by explaining the technical
challenges in finding Level 1 chargers while mentioning the enactment of H.940, which sustains EV
incentives and geothermal programs while introducing an income-qualified panel upgrade program
for the 2027-2029 budget. General Manager Springer shared that BED launched "Sparky," a
specialized AI chatbot, and expanded its fast-charger network to five units with two new 125kW
chargers downtown. The second-annual April 13th Electrify Vermont Summit, featuring keynote
speaker Jigar Shah, was a success. BED will be proposing a 2.99% rate increase for FY27, the lowest
since the pandemic, despite regional FERC transmission cost pressures. Mr. Springer shared results
from the 2025 Net Zero Roadmap report, highlighting a 17.8% total emissions reduction since
2018. While thermal emissions rose due to cold weather, residential and commercial emissions
remained down 11.7% and 17.4%, respectively, from the baseline. Ground transportation
emissions fell 24.3% since 2019, supported by a 521% increase in plug-in vehicles, which now
represent over 6% of Burlington’s fleet. General Manager Springer addressed Mr. Huisman’s
question regarding carbon accounting for the McNeil plant, noting BED's 50% ownership and the
distinction between energy sector and land-use sector emissions.

7. March 2026 Financial Review
Emily Stebbins-Wheelock, CFO and Manager of Strategy & Innovation, presented March 2026
 inancial results.

BED reported a monthly net loss of $790,000, which was $265,000 unfavorable to the budgeted loss
of $526,000. Year-to-date net income remains strong at approximately $2.8 million, exceeding the
budget by $728,000. Key variances included favorable sales of $119,000 and power supply expenses
 3
of $119,000, offset by unfavorable operating & maintenance expense costs, other income, and
interest expenses. Capital spending reached $6.3 million, or 42% of the annual budget. Discussion
focused on the McNeil plant, where the wood chip dryer project was canceled but the NOX catalyst
and heatsink replacements are being completed to restore full production capacity. Commissioner
Kenney raised concerns regarding the impact of delayed capital projects on operating labor
expenses; Ms. Stebbins-Wheelock clari ied that many McNeil projects utilize outside contractors,
mitigating internal labor risks. As of March 31, operating cash stood at $14.5 million with 147 days
of cash on hand. The debt service coverage ratio was 4.88 and the adjusted debt service coverage
ratio was 1.26. Commissioner Williams requested data on remaining revenue bond funds.

8. Line of Credit Extension
Ms. Stebbins-Wheelock informed the Commission that BED will be its $10 million line of credit with
M&T Bank for an additional two years. The current maturity, set for June 24, 2027, will be pushed to
June 24, 2028. While most terms will remain unchanged, the unused line fee will increase by 2.5
basis points, from 0.1% to 0.125%. This adjustment represents an additional annual cost of
approximately $2,500. The credit line hasn't been tapped in at least six years, with its last known
use dating back to the 2008-2009 inancial crisis. The line agreement utilizes an evergreen
structure to ensure at least one year always remains on the term to support Moody’s credit rating
guidelines for scorecard eligibility.

9. FY27 General Obligation Borrowing
Ms. Stebbins-Wheelock asked the Commission to approve the City’s issuance of $3 million in annual
General Obligation (GO) bonds for Fiscal Year 2027 for capital improvements to the municipal
electric plant. This recurring borrowing is allowed under City charter and is traditionally integrated
into the City’s larger annual GO bond issuance in the fall. This borrowing is assumed in the FY27
budget.

Commissioner Williams made the motion to recommend to the Board of Finance and the City
Council to authorize and direct the Chief Administrative Of icer to pledge the credit of the City by
issuing general obligation bonds or a bond anticipation note in the amount of $3,000,000 for the
2027 iscal year for capital improvements, additions, and replacements for the ef icient and
economical operation of the electric department. Commissioner Moody seconded the motion. Vote:
5 ayes 0 nays.

10. FY27 Rate Change
Ms. Stebbins-Wheelock and General Manager Springer presented slides outlining a proposed 2.99%
rate increase for FY27. BED’s cumulative rate increases over 28.7% remain signi icantly below the
national average of 38.9%. Referencing a recent Rocky Mountain Institute case study, BED’s rates
are relatively stable compared to those of utilities such as Eversource that rely on natural gas and
are subject to its price volatility. Since 2010, BED’s rates have tracked lower than the cost of
 4
housing, healthcare, and in lation. BED’s residential rates continue to be below New England and
Vermont averages, with commercial rates also below the New England average and roughly on par
with the rest of Vermont. The proposed rate change would increase average monthly residential
bills by $2.75 and small general service bills by roughly $3.50. The Energy Assistance Program
credit for the average EAP customer will rise from $12.09 to $12.45 per month. Additionally, BED is
restructuring payment fees, moving from lat charges of $3.50 to a 3% variable credit card fee and a
reduced $1 ACH fee.

Commissioner Moody made the motion to recommend that the Board of Finance and the City
Council authorize the Department to ile an across-the-board rate case with the Vermont Public
Utility Commission in the amount of 2.99% on bills rendered on or after September 1, 2026.
Commissioner Kenney seconded the motion. Vote: 5 ayes 0 nays.

11. FY27 Budget
Ms. Stebbins-Wheelock and General Manager Springer provided the following:
BED proposes a 2.99% rate increase, the lowest since the pandemic. To maintain affordability, BED
cut $2.7 million in operating expenses and assumed $435,000 in vacancy savings in preparing its
FY27 budget. Operating expenses are budgeted to increase 2.5% over FY26 levels. The department
is budgeting for a $722,000 net income and 149 days of cash on hand. A significant discussion
involved a transmission refund from VELCO to the New England region resulting from a recent
FERC order. This is estimated to be a $3 million net exposure that VELCO hopes to gain FERC
approval to amortize over ten years, which would in turn spread the costs to BED and other utilities
over ten years. The budget also assumes expiration of the Sheffield and Hancock wind contracts,
with replacement contracts modeled based on levelized current energy forwards. The $11 million
capital budget, funded by revenue and general obligation bonds, prioritizes grid distribution and
fleet electrification. General Manager Springer warned that stagnant kilowatt-hour sales may
necessitate higher future rate increases. The budget sustains Tier 3 electrification efforts, though
heat pump incentives may decline due to state policy changes.

Commissioner Vota moved to approve the Department’s Fiscal Year 2027 Capital and Operating
Budgets as presented. Commissioner Moody seconded the motion. Vote: 5 ayes 0 nays.

12. Release of Federal Interest for BED’s EDA Revolving Loan Fund Award #01-79-14206
Chris Burns, Manager of Energy Services, presented a proposal to request the release of federal
interest for the Economic Development Administration (EDA) Revolving Loan Fund Award. This
fund currently provides on-bill inancing for commercial energy ef iciency improvements. Mr. Burns
explained that because the program has operated for over seven years, it is eligible for
defederalization. This shift would provide signi icant bene its, including increased lexibility in the
types of loans offered to support business development and job growth, the ability to set interest
rates independent of the Wall Street Journal prime rate, the removal of a 50% local match
 5
requirement, and the elimination of annual administrative reporting. Mr. Burns emphasized that
federal partners encouraged this move and that there are no downsides, as the organization intends
to maintain and improve the loan package.

Commissioner Vota made a motion to authorize Commission Chair Bonn to sign the necessary letter
to the EDA on behalf of Burlington Electric Commission. Commissioner Kenney seconded the
motion. Vote 5 ayes 0 nays.

13. Executive Session – Power Supply Contract
Commissioner Williams moved to find that premature general public knowledge of the
Commission’s discussion regarding the proposed Renewable Energy Contract would clearly place
the Burlington Electric Department at a substantial disadvantage per Title 1, Section 313 (a)(1) of
the Vermont Statutes. Commissioner Vota seconded the motion. Vote: 5 ayes 0 nays

Commissioner Moody moved that the Commission and staff members enter into executive session
to discuss the proposed Renewable Energy Contract under the provisions of Title 1, Section 313(a)
(1) (A) of the Vermont Statutes. Commissioner Williams seconded the motion. Vote: 5 ayes 0 nays.
Executive Session start time: 6:31pm.

Commissioner Vota moved to exit executive session at 7:40pm, the motion was seconded by
Commissioner Williams. Vote: 5 ayes 0 nays.

14. Power Supply Contract
James Gibbons, Director of Policy and Planning, provided background on an energy purchase
decision following an executive session, noting that while the organization is covered for 2026, a
supply gap exists for 2027 due to a contract expiring at the end of this year. Achieving 100%
renewable status post-2026 is currently threatened by historic price surges; 2027 power costs have
risen from $60 to the $75-$80 range following Persian Gulf disruptions. The proposed contract
involves delivery of energy and RECs from a Maine hydro facility, where prices per MWh historically
trend $2 to $4 lower than the Massachusetts trading hub. Mr. Gibbons explains the team is weighing
the risks of delivery locations against paying premiums for Vermont-speci ic delivery. Although this
con idential contract would close the immediate 2027 energy gap, it provides minimal surplus for
low-production hydro or wind years. Consequently, additional contracts may be required later to
establish a margin.

Commissioner Williams made a motion that the Electric Commission authorizes the General
Manager to enter a contract for Energy and RECs with Brook ield White Pine Hydro at a price not to
exceed the price discussed in the Executive Session, or an equivalent contract with another
counterparty, for a period of up to ive years beginning January 1, 2027. Commissioner Moody
seconded the motion. Vote: 5 ayes 0 nays.
 6
15. Community EV Charging Permanent Rate Approval
James Gibbons, Director of Policy and Planning, outlined BED’s proposal to transition its
Neighborhood EV charging pilot rate to a permanent structure. The pilot rate applies to ive pole-
mounted chargers funded by a state grant and located in residential, income-eligible neighborhoods
to assist residents without access to private, off-street parking. Usage data con irms these chargers
are primarily used overnight by local residents, mirroring residential charging patterns. To align
with the current home EV charging credit, BED is requesting to increase the off-peak discount from
8 cents to 9 cents per kWh, rounded for technical compatibility with charger hardware. A signi icant
discussion point involved "occupancy fees"; while most public chargers incur a $1 per hour fee after
a certain duration, this remains waived for the ive neighborhood chargers to ensure residents can
charge overnight without lifestyle disruption. While there has been one reported 210-hour
continuous occupancy incident, BED decided not to change idle fees as part of this iling to avoid
complicating the 45-day Public Utility Commission notice window. Instead, BED plans a future rate
 iling to address occupancy and idle fees across all public charging locations simultaneously.

Commissioner Vota made the motion to move to approve and recommend to the City Council for its
approval the iling of necessary tariff and other documents by Burlington Electric Department at the
Public Utility Commission to make the pilot Neighborhood EV Charging Rate a permanent tariff
offering. Commissioner Williams seconded the motion. Vote: 5 ayes 0 nays

16. Commissioners’ Check-in
Commissioner Moody re lected on his 16-year tenure, expressing regret over a 12-year period
where no rate increases were implemented. While the board was proud of the freeze at the time,
Commissioner Moody noted that in hindsight, it was a mistake that created a signi icant inancial
gap. Commissioner Moody wondered whether if the board had simply kept up with the Cost of
Living Adjustment (COLA)—estimated at roughly 2% to 2.5% annually—the current need for a
major "catch-up" adjustment would have been avoided. General Manager Springer shared that
unless sales growth matches rising costs, the organization must commit to moderate, incremental
annual changes. This strategy ensures that adjustments compound over time, preventing the need
for drastic, situational corrections. Commissioner Moody emphasized that minor annual increases
are more sustainable than long-term freezes, hoping that the future commission continues this
balanced approach to maintain inancial stability.

Adjourn
Commissioner Moody made a motion to adjourn; the motion was seconded by Commissioner Vota.
Vote: 4 ayes 0 nays.

The meeting of the Burlington Electric Commission adjourned at 8:01p.m.

 7
Microsoft Teams transcript used to draft minutes prepared by Elena Alexander and edited by Emily
Stebbins-Wheelock, CFO and Manager of Strategy & Innovation.

Attest: Elena Alexander, Board Clerk
 (Reviewed and approved by Emily Stebbins-Wheelock)




 8