King-Murray Company Operating LLC — Pipeline Safety Interpretation

Page 1U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration 1200 New Jersey Ave, S.E. Washington, D.C. 20590 SEP 0 6 2016 Mr. Frank M. Murray General Manager King-Murray Company Operating LLC 29760 Hillbrook Street Livonia, MI 48152 Dear Mr. Murray: In an April 1, 2016, letter to the Pipeline and Hazardous Materials Safety Administration, (PHMSA), you requested an interpretation of PHMSA regulations to be used in ongoing litigation. You stated King-Murray Operating Company, LLC ("King-Murray") is the defendant in a lawsuit brought by Florida Power and Light Company ("FPL") in the U.S. District Court for the Southern District of Florida. You further stated FPL is seeking an order to require King- Murray to tum over training records and that King-Murray has brought counterclaims. In addition, you stated King-Murray believes that under PHMSA regulations and the rules of the Florida Public Services Commission King-Murray is required to retain these records. You asked for a "written or verbal opinion from PHMSA upon which King-Murray can rely upon for clarification of the regulations in the Case." On April 12, 2016, PHMSA received a letter from Charles L. Schlumberger, counsel for FPL and NextEra Energy Pipeline Services, LLC ("NEPS"). Mr. Schlumberger requested that PHMSA refrain from providing the opinion you requested. Alternatively, he requested he be able to respond on behalf of FPL and NEPS should PHMSA decide to "move forward" on your request. PHMSA interprets your request for a "written or verbal opinion from PHMSA upon which King- Murray can rely upon for clarification of the regulations in the Case" as a request for a PHMSA employee to provide expert testimony in the ongoing litigation between King-Murray and FPL. However, 49 C.F.R. § 9.9(c) prohibits any DOT employee from testifying in legal proceedings between private litigants "as an expert or opinion witness with regard to any matter arising out of the employee's official duties or functions of the Department." See also 49 C.F.R. § 9.3 (defining "testimony" as "any written or oral statement by a witness"). Accordingly, PHMSA cannot grant your request at this time.#

Page 22 U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration 1200 New Jersey Ave, S.E. Washington, D.C. 20590 Should you have any questions, please contact Aaron Glaser, an Attorney-Advisor in my office, at (202) 366-6318 or aaron.glaser@dot.gov. Teresa A. Gonsalves Chief Counsel cc: Charles L. Schlumberger, Senior Litigation Counsel, Florida Power & Light Company, 700 Universe Boulevard, Juno Beach, Florida, 33408-0420#

Page 3K-M KING-MURRAY COMPANY OPERATING LLC Fuel Infrastructure Operations & Maintenance PHYSICAL ADDRESS: 29760 HILLBROOK ST LIVONIA, MI 48152 PHONE: 313-617-5771 29760 HILLBROOK ST MAILING ADDRESS: LIVONIA, MI 48152 April 1, 2016 Mr. Wayne T. Lemoi National Safety Coordinator U.S. Department of Transportation PAMSA 233 Peachtree Street NE, Suite 600 Atlanta, Georgia 30303 Via e-mail: wayne.lemoi@dot.gov Re: Operator Qualification Records Mr. Lemoi, King-Murray Operating Company, LLC ("King-Murray"), OPID 38917, is providing operations and maintenance services as a contractor for NRG Energy's Osceola Pipeline in Florida. Until October 2015, King-Murray provided pipeline operations and maintenance services as a contractor for Florida Power and Light Company ("FPL."), at which time FPL allegedly terminated King-Murray's contract and had FPL's affiliate company Nextera Energy Pipeline Services LLC ("Nextera") begin performing the operations and maintenance services. FPL has sought an injunction against King-Murray in the US District Court, Southern Florida, West Palm Beach Division in Case Number 9:16-cv-80259-DMM ("Case") in order to take possession of all of King-Murray Operator Qualification Training Records. King-Murray has counter-sued FPL to retain its training records, as well as for violation of affiliate rules, breach of contract, fraud, negligence, conspiracy and other infractions. These are training and qualification records for King-Murray personnel that perform work on the NRG owned pipeline and previously performed work on the FPL owned facilities. Attached is an example of information that King- Murray has provided to FPL and is willing to provide to FPL, however, FPL has declared that this is insufficient even though FPL accepts similar reports from other contractors.#

Page 4King-Murray is vigorously defending the action brought against it. King-Murray believes that it must retain those Operator Qualifications for the personnel that were trained by King-Murray, both present and former King-Murray personnel since King-Murray is still providing services for NR Energy and must retain its records for a minimum five-year period as specified in FPSC Rule 25-12 and 49 CFR Part 192.807 and 49 CFR Part 195.507 for services provided to FPL.. FPL's latest filing in the Case and arguments before the US District Court, leads King- Murray to believe that FPL and Nextera are suing King-Murray for possession of its operator qualification records because FPL and Nextera did not train or qualify their personnel, some of which were former King-Murray personnel, when FPL and Nextera began operations of the FPL owned facilities in October 2015. Rather than train their new employees, FPL and Nextera are presently relying solely upon the personnel's work history with King-Murray Operating in violation of the 0Q requirements contained in 49 CFR Part 192.809. King-Murray has provided FPL with a summary of qualifications for each of King-Murray's current and former employees, listing the person, the covered tasks and the date upon which the qualification will expire. King-Murray is requesting clarification and affirmation that as an operator providing operations and maintenance services to an owner that it must retain these records or be in violation of FPSC Rule 25-12 and 49 CFR Part 192. King- Murray has informed FPL that it would make its records available to PHMSA or other regulatory agency for inspection during an audit if requested. A written or verbal opinion from PHMSA upon which King-Murray can rely upon for clarification of the regulations in the Case on or before April 18, 2016 would be greatly appreciated. Sincerely, Frank M. Murray General Manager Attachment Cc: Mr. Rick Moses, FPSC, Bureau of Safety Chief RMoses@PSC.STATE.FL.US#

Page 5Course Type Certificate Description Certificate Score Date Expiration Date User Name Employee Id TNG 195-0000 Documentation & Reporting MEA1363 8/13/14 8/12/17 Zeiszler, Mike 9 TNG 195-0060 (CT60) e-TNG General Abnormal Operating Conditions MEA1485 8/13/14 8/12/17 Zeiszler, Mike 9 KNT 195-0060 (CT60) KNT General Abnormal Operating Conditions MEA1484 8/13/14 8/12/17 Zeiszler, Mike 9 KNT & TNG 195-0060 CT-60 General Abnormal Operating Conditions MEA11862 8/13/14 8/12/17 Zeiszler, Mike 9 KNT 195-0403 Corrosion Monitoring - Internal MEA1243 11/7/14 11/6/17 Zeiszler, Mike 9 TNG 195-0403 Corrosion Monitoring - Internal MEA1358 11/7/14 11/6/17 Zeiszler, Mike 9 TNG 195-0404 Prevention of Atmospheric Corrosion MEA1359 12/15/14 12/14/17 Zeiszler, Mike 9 KNT 195-0405 MEAsure Wall Thickness Of Pipe MEA1245 12/16/14 12/15/17 Zeiszler, Mike 9 TNG 195-0405 MEAsure Wall Thickness Of Pipe MEA1360 12/16/14 12/15/17 Zeiszler, Mike 9 KNT 195-0406 Inspect Internal Pipe Surfaces MEA1246 12/16/14 12/15/17 Zeiszler, Mike 9 TNG 195-0406 Inspect Internal Pipe Surfaces MEA1361 12/16/14 12/15/17 Zeiszler, Mike 9 PEF 195-0407 Application & Repair of External Coatings MEA1198 11/13/14 11/12/17 Zeiszler, Mike 9 KNT 195-0407 Application & Repair of External Coatings MEA1247 8/15/14 8/14/17 Zeiszler, Mike 9 TNG 195-0407 Application & Repair of External Coatings MEA1362 8/15/14 8/14/17 Zeiszler, Mike 9 TNG 195-0501 Cathodic Protection Systems: Rectifier Maintenance And Repair MEA1364 1/16/15 1/15/18 Zeiszler, Mike 9 KNT 195-0501 Cathodic Protection: Rectifier Maintenance And Repair MEA1248 1/16/15 1/15/18 Zeiszler, Mike 9 KNT 195-0503 Cathodic Protection Systems MEA1249 1/19/15 1/18/18 Zeiszler, Mike 9 TNG 195-0503 Cathodic Protection Systems: Maintain Test Leads MEA1365 1/19/15 1/18/18 Zeiszler, Mike 9 TNG 195-0505 Cathodic Protection Systems: Inspect Cathodic Protection Rectifier MEA1366 11/6/14 11/5/17 Zeiszler, Mike 9 KNT 195-0505 Cathodic Protection Systems: Inspect Rectifier MEA1250 11/6/14 11/5/17 Zeiszler, Mike 9 TNG 195-0515 Cathodic Protection Systems: Conduct Cathodic Protect. Remediation MEA1369 1/14/15 1/13/18 Zeiszler, Mike 9 KNT 195-0515 Cathodic Protection Systems: Conduct Cathodic Protection Remediation MEA1253 1/14/15 1/13/18 Zeiszler, Mike 9 KNT 195-0721 CT-0721 KNT Joining of Pipe: Threaded Joints MEA11859 1/19/15 1/18/18 Zeiszler, Mike 9 KNT 195-0804 Inspection After Excavation Activities & Leak Survey After Blasting MEA1255 5/11/15 5/10/18 Zeiszler, Mike 9 TNG 195-0804 Inspection After Excavation Activities & Leak Survey After Blasting MEA1371 5/5/15 5/4/18 Zeiszler, Mike 9 PEF 195-0808 Inspect Buried Pipe When Exposed MEA1209 1/30/15 1/29/18 Zeiszler, Mike 9 KNT 195-0808 Inspect Buried Pipe When Exposed MEA1258 11/19/14 11/18/17 Zeiszler, Mike 9 TNG 195-0808 Inspect Buried Pipe When Exposed MEA1374 11/19/14 11/18/17 Zeiszler, Mike 9 PEF 195-0809 Inspect, Test and Calibrate Overfill Protective Devices MEA1210 1/30/15 1/29/18 Zeiszler, Mike 9 KNT 195-0809 Inspect, Test and Calibrate Overfill Protective Devices MEA1259 11/7/14 11/6/17 Zeiszler, Mike 9 TNG 195-0809 Inspect, Test and Calibrate Overfill Protective Devices MEA1375 11/7/14 11/6/17 Zeiszler, Mike 9 PEF 195-1301 Conduct Pressure Test MEA1215 1/31/15 1/30/18 Zeiszler, Mike 9 KNT 195-1301 Conduct Pressure Test MEA1264 11/7/14 11/6/17 Zeiszler, Mike 9 TNG 195-1301 Conduct Pressure Test MEA1380 11/7/14 11/6/17 Zeiszler, Mike 9 PEF 195-1402BF Backfilling a Trench Following Maintenance MEA1217 11/20/14 11/19/17 Zeiszler, Mike 9 KNT 195-1402BF Backfilling a Trench Following Maintenance MEA1266 11/19/14 11/18/17 Zeiszler, Mike 9 TNG 195-1402BF Backfilling a Trench Following Maintenance MEA1382 11/19/14 11/18/17 Zeiszler, Mike 9 PEF 195-1414PS Operations of a Pipeline System (Pipeline) MEA1223 1/30/15 1/29/18 Zeiszler, Mike 9 KNT 195-1414PS Operations of a Pipeline System (Pipeline) MEA1272 1/30/15 1/29/18 Zeiszler, Mike 9 TNG 195-1414PS Operations of a Pipeline System (Pipeline) MEA1388 1/30/15 1/29/18 Zeiszler, Mike 9 PEF 195-1806 Inspect, Test and Calibrate Pressure Limiting Devices MEA1233 1/29/15 1/28/18 Zeiszler, Mike 9 KNT 195-1806 Inspect, Test and Calibrate Pressure Limiting Devices MEA1282 11/7/14 11/6/17 Zeiszler, Mike 9 TNG 195-1806 Inspect, Test and Calibrate Pressure Limiting Devices MEA1398 11/7/14 11/6/17 Zeiszler, Mike 9 PEF 195-1807 Inspect, Test and Calibrate Pressure Switches and Transmitters MEA1234 1/31/15 1/30/18 Zeiszler, Mike 9 KNT 195-1807 Inspect, Test and Calibrate Pressure Switches and Transmitters MEA1283 10/27/14 10/26/17 Zeiszler, Mike 9 TNG 195-1807 Inspect, Test and Calibrate Pressure Switches and Transmitters MEA1399 10/27/14 10/26/17 Zeiszler, Mike 9 KNT 195-1808 Programmable Logic Controllers MEA1284 11/6/14 11/5/17 Zeiszler, Mike 9 TNG 195-1808 Programmable Logic Controllers MEA1400 11/6/14 11/5/17 Zeiszler, Mike 9#