Document gap8nKmDeq2ng1pw0xL6ZMkNN

UNITED STATES ENVIRONMENTAL PROTECTION AGENCY REGION 5 77 WEST JACKSON BOULEVARD CHICAGO, ILLINOIS 60604 SUBJECT: FROM: THRU: TO: CLEAN AIR ACT INSPECTION REPORT The Home City Ice Company, Chicago, Illinois Matthew Walters, Environmental Engineer AECAB (MN/OH) Sarah Marshall, Section Supervisor AECAB (MI/WI) File BASIC INFORMATION Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 EPA Inspector(s): 1. Matthew Walters, Environmental Engineer 2. Manojkumar Patel, Environmental Engineer Other Attendees: 1. Bob Rusthoven, Zone Manager, The Home City Ice Company 2. Anthony Havel, Service Technician, F.E. Moran (former Lang Ice Company employee) 3. Chris Boger, Service Technician, F.E. Moran 4. Shawn Corrigan, Engineer, The Home City Ice Company (via phone on 08/31/2023 only) Contact Email Address: brusthoven@homecityice.com, scorrigan@homecityice.com Purpose of Inspection: Compliance with the Prevention of Accidental Releases found in Section 112(r) of the Clean Air Act (CAA), 42 U.S.C. 7412(r) Facility Type: Ice manufacturing plant with ammonia refrigeration Regulations Central to Inspection: The Chemical Accident Prevention Provisions at 40 C.F.R. Part 68, commonly referred to as the Risk Management Program Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 Arrival Time: 8/30/2023- 9:40 a.m., 8/31/2023- 9:15 a.m. Departure Time: 8/30/2023- 4:45 pm, 8/31/2023- 2:15 p.m. Inspection Type: Unannounced Inspection Announced Inspection OPENING CONFERENCE Presented Credentials Stated authority and purpose of inspection Provided Small Business Resource Information Sheet Small Business Resource Information Sheet not provided. Reason: Not a Small Business Provided CBI warning to facility The following information was obtained verbally from The Home City Ice Company (Home City Ice) personnel or F.E. Moran contractors unless otherwise noted. Company Ownership: Home City Ice purchased the facility from Lang Ice Company in October 2021. Process Description: The Home City Ice West 59th Street facility manufactures, packages, and distributes ice. Ammonia refrigeration is used for ice making and to provide cooling to the "House" where ice is stored and packaged. There are two engine rooms at the plant with in-service ammonia refrigeration equipment, designated as the Middle Engine Room and West Engine Room. The east portion of the facility contains a decommissioned block ice plant. At the time of the inspection, only compressors in the West Engine Room were operating, which facility personnel stated was normal practice. West Engine Room compressors RC1 (125 HP) and RC2 (250 HP) supply approximately 10 psi ammonia to run the House evaporators and compressors RC3 (250 HP) and GEA (600 HP) supply approximately 25 psi ammonia to run the ice makers. Other equipment in the West Engine Room includes two pressure vessels for ammonia accumulation designated as the Vogt Accumulator (low temperature) and the Evaporator Accumulator (high temperature), an ammonia/glycol heat exchanger designated as GC-2, and ice makers. The Middle Engine Room equipment includes three compressors, two accumulators, and ice makers. The Middle Engine Room equipment is interconnected to the West Engine Room and contained ammonia at the time of the inspection. Fresh ammonia deliveries are made to the Middle Engine Room. Page 2 of 17 Staff Interview: Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 Prior to the site inspection, Inspectors reviewed news media and a Chicago Fire Department (CFD) Incident Report related to an ammonia release from the facility. The Incident Report states that CFD was dispatched to Home City Ice at 4:32 a.m. on July 27, 2023. Inspectors interviewed facility personnel to collect information on the release, the facility's emergency response procedures, and the facility's process safety and risk management practices. The Home City Ice Zone Manager provided the following information: x Home City Ice believed that the ammonia refrigeration system was operating under the 10,000-pound ammonia threshold. x The person responsible for Risk Management Plan (RMP) implementation under previous ownership departed the company at the time of ownership change. x Home City Ice contracts F.E. Moran to maintain the ammonia refrigeration process, but there is no formal scope of work or other agreement currently in place. Previously, Home City Ice contracted Dual Temp for similar services. x Home City Ice employees turn ammonia refrigeration equipment on or off, but they do not operate the process per se. Home City Ice does not provide equipment-specific training on the ammonia refrigeration process to its employees at the plant. x Home City Ice does not regularly monitor ammonia refrigeration process operating parameters. The Zone Manager and Plant Manager periodically monitor the engine rooms to ensure equipment is running. x The plant is not a responding facility and relies on outside agencies (primarily CFD) for emergency response. After the ammonia release on July 27, 2023, Home City Ice performed coordination activities with CFD. Prior to this recent activity, Home City Ice had not coordinated with CFD since purchasing the facility in 2021. x Three employees (baggers) were on shift at the time of the ammonia release. The employees were unaware that the release was occurring until being notified by CFD. No injuries were reported. o Home City Ice is not aware of the activation of any alarms or other indications that the release was occurring. The ammonia detection system at the plant was out of date and untested at the time of the release. o A new ammonia detection system was installed following the release with visual and audible alarms. x At the time of the inspection, Home City Ice was receiving bids to update its Process Safety Management (PSM) program for the plant. F.E. Moran Service Technicians provided the following information: x Historically, three compressors in the West Engine Room all operated at the same discharge pressure (approximately 20-35 psig). Home City Ice contracted Dual Temp to modify the system after purchasing the facility. The modifications included installing a Page 3 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 new compressor in the West Engine Room (GEA screw compressor) and operating the House evaporators at a lower ammonia pressure than the ice makers. x F.E. Moran discovered a near-miss event following the GEA screw compressor project modifications where the GEA compressor was found to be off and the pressure gauge pointer for the low temperature ammonia suction line was pegged against the stop pin (150 psig). o F.E. Moran relieved the pressure by opening a manual valve located above the Vogt Accumulator and instructed Home City Ice management on the use of the valve in response to high pressure on the low temperature ammonia suction line. o F.E. Moran determined that there was a system design issue and developed a plan to address the issue. The plan had not been implemented as of July 27, 2023. x F.E. Moran was notified of the release on the morning of July 27, 2023. The F.E. Moran Service Technician who arrived at the facility while the release was ongoing indicated that: o A visible cloud was coming from the relief stack on the roof of the West Engine Room. Inspectors subsequently verified this observation by viewing news footage of the release. o CFD was formulating a plan to make entry into the building when the Service Technician arrived. F.E. Moran advised against entering the building due to the potential for a flammable atmosphere and informed CFD that an E-stop button was in the Fireman's Dump panel on the building exterior. o After CFD hit the E-stop, the visible release stopped within approximately five minutes. CFD also opened ammonia valves from the Fireman's Dump, which mixes process ammonia with water from the fire department connection and dumps the mixture to the sewer. o The building was ventilated, and F.E. Moran made entry with CFD to check for ongoing ammonia leaks. The entry team wore full suits with supplied air. CFD detection equipment indicated the ammonia concentration within the building was approximately 600 ppm.1 No additional releases were discovered inside the building. x F.E. Moran and Home City Ice started investigating the incident immediately and determined: o An evaporative condenser water pump was shut down for maintenance prior to the release, causing high head pressure. This high pressure tripped the GEA screw compressor offline. o Because the ice maker was still harvesting, the GEA compressor was offline, and the manual valve to the Vogt Accumulator was closed, high pressure developed on the low temperature ammonia suction line. 1 The National Institute for Safety and Health (NIOSH) lists the immediately dangerous to life or health (IDLH) level for ammonia as 300 ppm. Page 4 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 o Backpressure developed at the GC-2 glycol chiller, which has an ammonia pressure relief valve (PRV). At the time of the release, the PRV discharge was routed to the West Engine Room ammonia relief header. o The high backpressure caused the PRV on GC-2 to lift, and ammonia was released through the relief header and out the relief stack on top of the West Engine Room. x Post-release modifications performed by F.E. Moran included re-routing certain PRV discharge lines and installing a pressure regulator on the ammonia piping. Data Collected and Observations: The following observations were made during the records review process: Risk Management Program Applicability Inspectors requested information on the quantity of ammonia in the refrigeration process to determine applicability of the Chemical Accident Prevention Provisions as set forth by 40 C.F.R. 68.10. An owner or operator of a stationary source with more than a threshold quantity of a regulated substance in a process must comply with the provisions of 40 C.F.R. Part 68. The threshold quantity of ammonia listed in Table 1 to 40 C.F.R. 68.130 is 10,000 pounds. During the inspection, the facility was unable to provide documentation on the quantity of ammonia in the refrigeration system at the time of the release on July 27, 2023. The active RMP for the facility lists the ammonia quantity as 20,000 pounds. Home City Ice provided documentation showing that 6,933 pounds of ammonia were removed from the process on July 31, 2023, 10,145 pounds of ammonia were added to the process on August 8, 2023, and an additional 3,129 pounds of ammonia were added to the process on August 9, 2023. Management System for Implementing Elements of Risk Management Program Inspectors requested documentation of the management system for implementing elements of the Risk Management Program, as specified in 40 C.F.R. 68.15(a). The facility was unable to provide records of a Risk Management Program management system at the time of the inspection. Hazard Assessment Inspectors requested documentation of the worst-case release scenario and alternative release scenario that are reported in the active RMP for the facility. The facility was unable to provide the records of the offsite consequence analyses specified in 40 C.F.R. 68.39 at the time of the inspection. Program 3 Prevention Program Inspectors requested documentation on the Program 3 requirements specified at 40 C.F.R. Part 68, Subpart D. The facility produced a series of numbered "PSM" binders that contained various procedures and documentation. Inspectors reviewed the binders and made the following observations: Page 5 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 x Process Safety Information Binder: The revision date for the first 98 pages of the binder was 2012. The process flow diagrams were dated 2005 and did not reflect the current equipment configuration. U1 forms for pressure vessels were included within the binder. Piping and Instrumentation Diagrams (P&IDs) were separate from the binder and did not reflect the current equipment configuration. x Process Hazard Analysis (PHA) Binder: The binder contained a 2003 PHA and a revised 2004 PHA. The facility conducted these PHAs using the "What-If" method. There were also two sheets of paper within the binder that indicated a PHA team met in 2015, but the facility was unable to provide more recent PHAs at the time of the inspection. 40 C.F.R. 68.67 specifies that a PHA for an existing covered process should have been first performed no later than 1999 and then updated or revalidated at least every five years. x Operating Procedures Binder: The binder contained a table of contents and general information on the operating procedure program. The table of contents lists 94 standard operating procedures for the ammonia refrigeration process. The facility was unable to provide any of the standard operating procedures at the time of the inspection. x Training Binder: Inspectors did not review the training procedures because the facility stated that the training procedures contained within the binder were not in use and did not reflect current training material. x Mechanical Integrity Binder: Inspectors found the binder to be empty. The facility was unable to provide mechanical integrity procedures or records at the time of the inspection. x Management of Change (MOC) Binder: The binder contained an MOC procedure. At the time of the inspection, the facility was unable to provide documentation to demonstrate that the procedure was followed for the GEA screw compressor project or for piping modifications made in response to the ammonia release on July 27, 2023. x Pre-startup Safety Review (PSSR) Binder: The binder contained a PSSR procedure. At the time of the inspection, the facility was unable to provide documentation to demonstrate that the procedure was followed for the GEA screw compressor project or for piping modifications made in response to the ammonia release on July 27, 2023. x Compliance Audits Binder: The binder contained a compliance audit procedure. At the time of the inspection, the facility was unable to provide any compliance audit reports that had been performed for the ammonia refrigeration process. x Incident Investigation Binder: The binder contained an incident investigation procedure. At the time of the inspection, the facility was unable to provide an incident investigation report for the ammonia release that occurred on July 27, 2023. x Hot Work Binder: The binder contained a procedure for hot work and blank hot work permits. x Contractor Binder: The binder contained a contractor management procedure and contractor qualifications for Dual Temp. At the time of the inspection, the facility was unable to provide contractor qualifications for F.E. Moran, or other contractors that it currently uses for the ammonia refrigeration process. Page 6 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 Emergency Response Inspectors requested emergency response documentation for the plant. The facility provided a five-page Emergency Action Plan (EAP) that covers fires, severe weather, and ammonia leaks. Inspectors noted that the EAP provided limited details on responding to an ammonia leak and appeared to be inconsistent with current plant practices. The facility does not know if it is included in the community emergency response plan, as required at 40 C.F.R. 68.90(b)(1) for non-responding stationary sources with a regulated toxic substance held in a process above the threshold quantity. The facility did not have the records specified by 40 C.F.R. 68.93 for coordination with local authorities within the year prior to the release because Home City Ice did not coordinate with local emergency planning and response organizations between purchasing the facility in October 2021 and the ammonia release on July 27, 2023. TOUR INFORMATION EPA Tour of the Facility: Yes Photos and/or Videos: were taken during the inspection. See Appendix A for Digital Image Log Field Measurements: were not taken during this inspection. Tour Observations: EPA inspectors observed post-release modifications that included new ammonia detection equipment, re-routed PRV discharge piping, and a new pressure relief valve on the ammonia dry suction piping. Corrosion was visible on exposed piping and piping components (e.g., drain valve on Vogt Accumulator level control device). The safety shower and eyewash in the West Engine Room was non-functional, and the eyewash in the Middle Engine Room was nonfunctional. RECORDS REVIEW The following records were viewed by EPA during the inspection. Records that were copied at the facility and provided to Inspectors are indicated with an asterisk. 1. PSM Binder 2- Process Safety Information (Building ventilation system documents within binder*) 2. PSM Binder 4- Pre-Startup Safety Review 3. PSM Binder 5- Operating Procedures* 4. PSM Binder 7- Management of Change 5. PSM Binder 8- Hot Work 6. PSM Binder 10- Contractors Page 7 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 7. PSM Binder 11- Incident Investigation 8. PSM Binder 12- Compliance Audits 9. PSM Binder- Process Hazard Analysis 10. SDS Binder 11. P&ID R-9 12. Emergency Action Plan 13. Lang Ice Company Ammonia Log 14. F.E. Moran Invoices* 15. Airgas Ammonia Delivery Receipts* CLOSING CONFERENCE Provided U.S. EPA point of contact to the facility Requested documents: The following request list, grouped by regulatory reference from 40 C.F.R. Part 68, was sent to Home City Ice on September 1, 2023: x 68.10 Applicability of Risk Management Program o Records of all ammonia delivered to the refrigeration system in pounds since October 2021 o Records of all ammonia removed from the refrigeration system in pounds since October 2021 o Records that demonstrate that the refrigeration system operated with less than a threshold quantity of ammonia (10,000 pounds) since October 2021 o Copy of the "Lang Ice Company Ammonia Log" binder x 68.39 Documentation of Offsite Consequence Analyses o Documentation of Worst Case and Alternative Release scenarios reported in the RMP submitted by Lang Ice Company on September 6, 2019 x 68.65 Process safety information. o Copy of the first 98 pages of PSM Binder 2 o Copy of the two cover pages for the U1 forms in PSM Binder 2 o Copies of the U1 forms for the Vogt Accumulator (West room light blue vessel), Evaporator Accumulator (West room dark blue vessel), and GC-2 glycol chiller o Copy of the block flow diagrams in PSM Binder 2 Page 8 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 o The newly issued, revised, and/or redlined P&IDs prepared by Home City Ice or contractor (F.E. Moran) that accurately reflect the current configuration of the ammonia refrigeration system o The relief system design and design basis that accurately reflect the current pressure relief configuration on the ammonia refrigeration system x 68.67 Process hazard analysis. o All process hazard analyses and updates or revalidations that have been performed for the ammonia refrigeration process since 1999. o Copy of all documents in the PHA binder x 68.69 Operating procedures. o Copy of any pages missing from PSM Binder 5, if they exist. x 68.71 Training. o Training records for employees who work with or around the ammonia refrigeration system (e.g., Maintenance Men and Baggers) o Training materials that cover specific safety and health hazards, emergency operations including shutdown, and safe work practices applicable to the employee's job tasks. x 68.73 Mechanical integrity. o Any mechanical integrity procedures for the ammonia refrigeration system (which may have previously been contained within the empty Mechanical Integrity binder). o Records of the most recent inspection and testing of process equipment that has been performed in accordance with the Mechanical Integrity program. x 68.75 Management of change. o Copy of PSM Binder 7 o All engineering documentation, including management of change documentation, on ammonia refrigeration equipment decommissioning that has occurred since October 2021 o All engineering documentation, including management of change documentation, on the GEA Screw Compressor project o All engineering documentation, including management of change documentation, on the equipment modifications made following the July 27, 2023 ammonia release x 68.77 Pre-startup review. o Copy of PSM Binder 4 o Documentation of the pre-startup safety review performed for the GEA Screw Compressor project Page 9 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 o Documentation of the pre-startup safety review performed following the July 27, 2023 ammonia release equipment modifications x 68.79 Compliance audits. o Copy of PSM Binder 12 o Most recent compliance audit report x 68.81 Incident investigation. o Copy of PSM Binder 11 o All work product from the investigation of the July 27, 2023 ammonia release o Documentation of any resolutions and corrective actions taken in response to the July 27, 2023 ammonia release x 68.85 Hot work permit. o Copy of PSM binder containing hot work procedures. x 68.87 Contractors. o Copy of the contractor procedure contained within PSM Binder 10 o Information regarding the contract owner or operator's safety performance and programs for any contractor who has worked on the ammonia refrigeration system (including safety systems) in the past year. o All invoices, purchase orders, contracts, scope of work documents, or other agreements between Home City Ice and F.E. Moran or Dual Temp from October 2021 to present x 68.93 Emergency response coordination activities. o Copy of the Emergency Action Plan (and the floor plans included with the EAP) o Documentation of the most recent coordination activity with the Chicago Fire Department that includes the names of individuals involved and their contact information (phone number, email address, and organizational affiliations); dates of coordination activities; and nature of coordination activities. o Documentation of any communication with the Chicago Local Emergency Planning Committee since October 2021. Compliance Assistance: x Inspector Walters emailed the facility point of contact links to EPA RMP guidance documents on change of ownership and ammonia refrigeration systems. A link to the Chicago LEPC website was also provided. Concerns: x Lack of adherence to the facility's Risk Management Plan once Home City Ice purchased the facility in 2021. Page 10 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 x Contractors appear to be operating and maintaining the ammonia refrigeration process without oversight or a defined scope of work. x No Home City Ice employees at the plant are trained or qualified to operate and maintain the ammonia refrigeration process. x Ammonia delivery invoices and facility process safety information indicate that the process contains greater than 10,000 pounds of ammonia, but Home City Ice believed that the ammonia inventory was below the 10,000-pound threshold. DIGITAL SIGNATURES MATTHEW Digitally signed by MATTHEW WALTERS WALTERS Date: 2023.10.13 10:33:53 -05'00' Report Author: _________________________________ Section Supervisor: SARAH Digitally signed by SARAH MARSHALL MARSHALL Date: 2023.10.13 10:42:16 -05'00' __________________________________ Page 11 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 APPENDICES A. Digital Image Log ATTACHMENTS 1. RMP Program Level 3 Process Checklist Page 12 of 17 Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 APPENDIX A: DIGITAL IMAGE LOG 1. Inspector Name: Matthew Walters 2. Archival Record Location: R5 Electronic Record Center (AECAB Library/Enf_Home City Ice Chicago_IL_23/Inspection_2023.08.30/Photos) Image Number 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 File Name MSW_2023.08.31 (1).JPG MSW_2023.08.31 (2).JPG MSW_2023.08.31 (3).JPG MSW_2023.08.31 (4).JPG MSW_2023.08.31 (5).JPG MSW_2023.08.31 (6).JPG MSW_2023.08.31 (7).JPG MSW_2023.08.31 (8).JPG MSW_2023.08.31 (9).JPG MSW_2023.08.31 (10).JPG MSW_2023.08.31 (11).JPG MSW_2023.08.31 (12).JPG MSW_2023.08.31 (13).JPG MSW_2023.08.31 (14).JPG MSW_2023.08.31 (15).JPG MSW_2023.08.31 (16).JPG MSW_2023.08.31 (17).JPG MSW_2023.08.31 (18).JPG Date and Time (CDT) 2023:08:31 10:18:42 2023:08:31 10:18:56 2023:08:31 10:19:01 2023:08:31 10:19:09 2023:08:31 10:19:18 2023:08:31 10:19:22 2023:08:31 10:20:20 2023:08:31 10:20:29 2023:08:31 10:20:39 2023:08:31 10:20:52 2023:08:31 10:20:57 2023:08:31 10:27:10 2023:08:31 10:27:17 2023:08:31 10:27:25 2023:08:31 10:27:40 2023:08:31 10:32:34 2023:08:31 10:32:39 2023:08:31 10:33:41 Description of Image Fireman's Dump panel on the southwest side of the facility Interior of Fireman's Dump panel E-stop and emergency ventilation buttons in the Fireman's Dump panel Instruction sheet and ammonia valve stem in the Fireman's Dump panel Ammonia valve handwheel in the Fireman's Dump panel Emergency contact list in the Fireman's Dump panel Plant entrance on Southwest side of building facing 59th Street Ammonia detection alarms on building exterior Warning sign on plant entrance door Fire department connection and ammonia detection monitor on plant exterior Ammonia detection monitor on building exterior showing 0 ppm ammonia Exterior door to the West Engine Room Ammonia detector control panel located near the West Engine Room exterior door E-stop and emergency ventilation buttons near the West Engine Room exterior door Spare parts stored outside the West Engine Room Interior door to the West Engine Room Ammonia detection alarms above interior door to the West Engine Room GC-2 Glycol Chiller P&ID with pen tip pointing to PRV that lifted during the ammonia release on July 27, 2023 Page 13 of 17 Image Number 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 File Name MSW_2023.08.31 (19).JPG MSW_2023.08.31 (20).JPG MSW_2023.08.31 (21).JPG MSW_2023.08.31 (22).JPG MSW_2023.08.31 (23).JPG MSW_2023.08.31 (24).JPG MSW_2023.08.31 (25).JPG MSW_2023.08.31 (26).JPG MSW_2023.08.31 (27).JPG MSW_2023.08.31 (28).JPG MSW_2023.08.31 (29).JPG MSW_2023.08.31 (30).JPG MSW_2023.08.31 (31).JPG MSW_2023.08.31 (32).JPG MSW_2023.08.31 (33).JPG MSW_2023.08.31 (34).JPG MSW_2023.08.31 (35).JPG MSW_2023.08.31 (36).JPG MSW_2023.08.31 (37).JPG MSW_2023.08.31 (38).JPG MSW_2023.08.31 (39).JPG Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 Date and Time (CDT) 2023:08:31 10:33:53 2023:08:31 10:34:04 2023:08:31 10:34:15 2023:08:31 10:35:24 2023:08:31 10:35:35 2023:08:31 10:37:47 2023:08:31 10:37:56 2023:08:31 10:38:35 2023:08:31 10:41:02 2023:08:31 10:43:02 2023:08:31 10:45:14 2023:08:31 10:45:27 2023:08:31 10:45:50 2023:08:31 10:45:55 2023:08:31 10:46:09 2023:08:31 10:47:08 2023:08:31 10:47:18 2023:08:31 10:47:23 2023:08:31 10:47:30 2023:08:31 10:47:35 2023:08:31 10:47:43 Description of Image PRV on GC-2 Glycol Chiller in West Engine Room PRV on GC-2 Glycol Chiller in West Engine Room PRV on GC-2 Glycol Chiller in West Engine Room PRV on GC-2 Glycol Chiller in West Engine Room PRV on GC-2 Glycol Chiller in West Engine Room Control panel and analog pressure gauges in West Engine Room Analog pressure gauge for the low temperature suction line indicating an ammonia pressure of approximately 30 psig Electrical disconnects for condensate pumps in the West Engine Room Glycol piping and pump to the GC-2 Glycol Chiller in the West Engine Room Low temperature ammonia suction piping entering and exiting the GC-2 Glycol Chiller in the West Engine Room High pressure liquid and low temperature suction lines running east/west along the ceiling of the West Engine Room Low temperature suction line to the GEA screw compressor in the West Engine Room Suction side of the GEA screw compressor with pressure switch GEA screw compressor GEA screw compressor nameplate GEA screw compressor pressure relief valves GEA screw compressor pressure relief valves GEA screw compressor pressure relief valves GEA screw compressor pressure relief valves GEA screw compressor pressure relief valves Isolation valve for GEA screw compressor pressure relief valves Page 14 of 17 Image Number 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 File Name MSW_2023.08.31 (40).JPG MSW_2023.08.31 (41).JPG MSW_2023.08.31 (42).JPG MSW_2023.08.31 (43).JPG MSW_2023.08.31 (44).JPG MSW_2023.08.31 (45).JPG MSW_2023.08.31 (46).JPG MSW_2023.08.31 (47).JPG MSW_2023.08.31 (48).JPG MSW_2023.08.31 (49).JPG MSW_2023.08.31 (50).JPG MSW_2023.08.31 (51).JPG MSW_2023.08.31 (52).JPG MSW_2023.08.31 (53).JPG MSW_2023.08.31 (54).JPG MSW_2023.08.31 (55).JPG MSW_2023.08.31 (56).JPG MSW_2023.08.31 (57).JPG MSW_2023.08.31 (58).JPG MSW_2023.08.31 (59).JPG MSW_2023.08.31 (60).JPG Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 Date and Time (CDT) 2023:08:31 10:48:09 2023:08:31 10:48:23 2023:08:31 10:48:48 2023:08:31 10:50:11 2023:08:31 10:50:26 2023:08:31 10:50:34 2023:08:31 10:50:58 2023:08:31 10:52:14 2023:08:31 10:53:27 2023:08:31 10:53:51 2023:08:31 10:54:10 2023:08:31 10:54:23 2023:08:31 10:54:30 2023:08:31 10:56:13 2023:08:31 10:56:22 2023:08:31 10:56:47 2023:08:31 10:56:53 2023:08:31 10:59:17 2023:08:31 10:59:34 2023:08:31 11:00:17 2023:08:31 11:11:09 Description of Image GEA screw compressor pressure relief valves discharge vent Vertical high discharge stage (HDS) line (left) and vertical GEA screw compressor pressure relief valves discharge vent (right) Low temperature/high pressure Vogt Accumulator vessel in the West Engine Room Closed manual valve on low temperature suction piping leading to the Vogt Accumulator GEA compressor control panel GEA compressor control panel screen Level control device on the Vogt Accumulator PRVs on the Vogt Accumulator RC #1 compressor in the West Engine Room RC #2 compressor in the West Engine Room RC #3 compressor in the West Engine Room Drain valve on Vogt Accumulator level control device Drain valve on Vogt Accumulator level control device Vertical relief stack to roof of West Engine Room Vertical relief stack to roof of West Engine Room Ammonia detectors is West Engine Room Ammonia detectors is West Engine Room Low temperature suction pressure gauge in the West Engine Room Pressure tap for the low temperature suction pressure gauge and local pressure gauge on the low temperature suction ammonia line Non-functional eyewash and safety shower in the West Engine Room Ammonia piping above the Vogt Accumulator Page 15 of 17 Image Number 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 File Name MSW_2023.08.31 (61).JPG MSW_2023.08.31 (62).JPG MSW_2023.08.31 (63).JPG MSW_2023.08.31 (64).JPG MSW_2023.08.31 (65).JPG MSW_2023.08.31 (66).JPG MSW_2023.08.31 (67).JPG MSW_2023.08.31 (68).JPG MSW_2023.08.31 (69).JPG MSW_2023.08.31 (70).JPG MSW_2023.08.31 (71).JPG MSW_2023.08.31 (72).JPG MSW_2023.08.31 (73).JPG MSW_2023.08.31 (74).JPG MSW_2023.08.31 (75).JPG MSW_2023.08.31 (76).JPG MSW_2023.08.31 (77).JPG MSW_2023.08.31 (78).JPG MSW_2023.08.31 (79).JPG MSW_2023.08.31 (80).JPG MSW_2023.08.31 (81).JPG Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 Date and Time (CDT) 2023:08:31 11:11:15 2023:08:31 11:11:26 2023:08:31 11:11:34 2023:08:31 11:11:51 2023:08:31 11:29:06 2023:08:31 11:29:11 2023:08:31 11:29:16 2023:08:31 11:29:46 2023:08:31 11:31:12 2023:08:31 11:31:26 2023:08:31 11:31:32 2023:08:31 11:31:47 2023:08:31 11:32:21 2023:08:31 11:32:26 2023:08:31 11:34:29 2023:08:31 11:36:59 2023:08:31 11:37:25 2023:08:31 11:37:43 2023:08:31 11:37:54 2023:08:31 11:38:00 2023:08:31 11:38:44 Description of Image Pressure regulator to relieve the low temperature suction line to the Evaporator Accumulator Vogt Accumulator and Evaporator Accumulator in the West Engine Room Evaporator Accumulator and high temperature suction line in the West Engine Room Building ventilation on the ceiling of the West Engine Room Entrance to Middle Engine Room E-stop button, emergency ventilation button, and ammonia detection monitor at entrance to Middle Engine Room Ammonia detection alarms at entrance to Middle Engine Room Ammonia detectors in the Middle Engine Room Low Pressure Receiver in the Middle Engine Room High Pressure Receiver in the Middle Engine Room High Pressure Receiver nameplate Low Pressure Receiver nameplate Morris ice maker in the Middle Engine Room Screen on Morris Ice Maker Ice collection bin in the House Middle Engine Room roof West Engine Room roof Pressure relief stacks on West Engine Room roof GEA compressor pressure relief stack (left) and West Engine Room common pressure relief header stack (right) Ammonia detectors on West Engine Room pressure relief stacks Pressure relief stacks on West Engine Room roof Page 16 of 17 Image Number 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 File Name MSW_2023.08.31 (82).JPG MSW_2023.08.31 (83).JPG MSW_2023.08.31 (84).JPG MSW_2023.08.31 (85).JPG MSW_2023.08.31 (86).JPG MSW_2023.08.31 (87).JPG MSW_2023.08.31 (88).JPG MSW_2023.08.31 (89).JPG MSW_2023.08.31 (90).JPG MSW_2023.08.31 (91).JPG MSW_2023.08.31 (92).JPG MSW_2023.08.31 (93).JPG MSW_2023.08.31 (94).JPG MSW_2023.08.31 (95).JPG MSW_2023.08.31 (96).JPG Facility Name: The Home City Ice Company Facility Location: 3600 West 59th Street, Chicago, IL 60629 Date of Inspection: August 30-31, 2023 Date and Time (CDT) 2023:08:31 11:39:26 2023:08:31 11:39:54 2023:08:31 11:40:00 2023:08:31 11:42:14 2023:08:31 11:42:28 2023:08:31 11:42:34 2023:08:31 11:45:52 2023:08:31 11:56:06 2023:08:31 12:01:26 2023:08:31 12:01:56 2023:08:31 12:02:00 2023:08:31 12:02:22 2023:08:31 12:02:30 2023:08:31 12:02:54 2023:08:31 14:27:56 Description of Image Southwest-facing picture showing windsock on roof and CFD Engine Company No. 88 across 59th Street Building ventilation exhaust on West Engine Room roof Building ventilation exhaust on West Engine Room roof Pressure relief stack on Middle Engine Room roof Ammonia detector on Middle Engine Room pressure relief stack Ammonia detector on Middle Engine Room pressure relief stack Thermometer in House showing a temperature of approximately 20F Trapdoor and ammonia receiving line used to add fresh ammonia to the system in the Middle Engine Room Fireman's Dump valves with valve stems extending through wall to Fireman's Dump panel Fireman's Dump valves with valve stems extending through wall to Fireman's Dump panel Fireman's Dump valves with valve stems extending through wall to Fireman's Dump panel Locked and tagged drain valve above Fireman's Dump valve Locked and tagged drain valve above Fireman's Dump valve Tag on drain valve above Fireman's Dump valve Damaged trees at CFD Engine Company No. 88 across 59th Street from the facility Page 17 of 17 $WWDFKPHQW5033URJUDP/HYHO3URFHVV&KHFNOLVW *HQHUDO)DFLOLW\,QIRUPDWLRQ )DFLOLW\1DPH Home City Ice Company (f/k/a Lang Ice Compnay) 0DLOLQJ$GGUHVV 6WUHHW&LW\6WDWH=LS 3600 West 59th Street Chicago, IL 60629 3K\VLFDO$GGUHVV 6WUHHW&LW\6WDWH=LS 3600 West 59th Street Chicago, IL 60629 /DWLWXGH/RQJLWXGH 6RXUFH 41.786281, -87.714267 (Address Matching - House Number) &RXQW\ Cook 5031XPEHU)561XPEHU 1000082354 )DFLOLW\&RQWDFW1DPH7LWOH Bob Rusthoven, Zone Manager )DFLOLW\&RQWDFW3KRQH1R 773-908-6099 )DFLOLW\&RQWDFW(PDLO brusthoven@HomeCityIce.com 5HSRUWHG1$,&6&RGHV 312113 ,QVSHFWLRQ,QIRUPDWLRQ ,QVSHFWLRQ%HJLQ'DWH $UULYDO7LPH 8/30/2023 9:40 am (8/30), 9:15 am (8/31) ,QVSHFWLRQ(QG'DWH 'HSDUWXUH7LPH 8/31/2023 4:45 pm (8/30), 2:15 pm (8/31) /HDG,QVSHFWRU 1DPH Manoj Patel 2UJDQL]DWLRQ AECAB 3KRQH1R(PDLO 312-353-3565 Matthew Walters AECAB patel.manojkumar@epa.gov 312-353-4724 walters.matthew@epa.gov 3DUWLFLSDWLQJ,QVSHFWRUV 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB 6XESDUW$*HQHUDO>@ *HQHUDOUHTXLUHPHQWVIROORZHGDQGLPSOHPHQWHGDVLQ&)5" &RPPHQWVACME Ice Company filed first RMP in 1999, Home City Ice did not take ownership of RMP after acquiring facility in 2021 General: $SSOLFDELOLW\>@ +DVWKHRZQHURURSHUDWRURIDVWDWLRQDU\VRXUFHWKDWKDVPRUHWKDQDWKUHVKROGTXDQWLW\RIDUHJXODWHGVXEVWDQFHLQD SURFHVVDVGHWHUPLQHGXQGHUFRPSOLHGZLWKWKHUHTXLUHPHQWVRIWKLVSDUWQRODWHUWKDQWKHODWHVWRIWKH IROORZLQJGDWHV>D@ -XQH">D@ 7KUHH\HDUVDIWHUWKHGDWHRQZKLFKDUHJXODWHGVXEVWDQFHLVILUVWOLVWHGXQGHU">D@ 7KHGDWHRQZKLFKDUHJXODWHGVXEVWDQFHLVILUVWSUHVHQWDERYHDWKUHVKROGTXDQWLW\LQDSURFHVV">D@ RU )RUDQ\UHYLVLRQVWRWKLVSDUWWKHHIIHFWLYHGDWHRIWKHILQDOUXOHWKDWUHYLVHVWKLVSDUW">D@ <11$ +DVWKHRZQHURURSHUDWRUFRPSOLHGZLWKWKHHPHUJHQF\FRRUGLQDWLRQDFWLYLWLHVLQDFFRUGDQFHZLWKE\ 6HSWHPEHU">E@6HH,WHPVWKURXJKRI6XESDUW( <11$ +DVWKHRZQHURURSHUDWRUGHYHORSHGDQGLPSOHPHQWHGDQHPHUJHQF\UHVSRQVHSURJUDPLQDFFRUGDQFHZLWK ZLWKLQWKUHH\HDUVRIZKHQWKHRZQHURURSHUDWRUGHWHUPLQHGWKDWWKHVWDWLRQDU\VRXUFHLVVXEMHFWWRWKHHPHUJHQF\ UHVSRQVHSURJUDPUHTXLUHPHQWVRI">F@6HH,WHPVEERI6XESDUW( +DVWKHRZQHURURSHUDWRUGHYHORSHGSODQVIRUFRQGXFWLQJHPHUJHQF\UHVSRQVHH[HUFLVHVLQDFFRUGDQFHZLWK E\'HFHPEHU">G@6HH,WHPVEEDQGRI6XESDUW( <11$ <11$ +DVWKHRZQHURURSHUDWRUFRPSOLHGZLWKWKHSXEOLFPHHWLQJUHTXLUHPHQWLQEZLWKLQGD\VRIDQ\503 UHSRUWDEOHDFFLGHQWDWWKHVWDWLRQDU\VRXUFHZLWKNQRZQRIIVLWHLPSDFWVVSHFLILHGLQDWKDWRFFXUVDIWHU 0DUFK">H@6HH,WHPRI6XESDUW+ $IWHU'HFHPEHUKDVWKHRZQHURURSHUDWRUUHSRUWHGLQWKH503VXEPLVVLRQ>I@ $SXEOLFPHHWLQJDIWHUDQ503UHSRUWDEOHDFFLGHQWXQGHUE">I@ (PHUJHQF\UHVSRQVHSURJUDPLQIRUPDWLRQXQGHUD">I@ (PHUJHQF\UHVSRQVHSURJUDPLQIRUPDWLRQXQGHUDDQG">I@DQG (PHUJHQF\UHVSRQVHSURJUDPDQGH[HUFLVHVLQIRUPDWLRQXQGHUEDVDSSOLFDEOH",QFOXGLQJVXEPLWWDO RIWKHIROORZLQJ>I@ 'DWHVRIWKHPRVWUHFHQWQRWLILFDWLRQ 'DWHVRIILHOGDQGWDEOHWRSH[HUFLVHVLQWKHULVNPDQDJHPHQWSODQ 'DWHVIRUH[HUFLVHVFRPSOHWHGDVUHTXLUHGXQGHUDWWKHWLPHWKHULVNPDQDJHPHQWSODQLVHLWKHU VXEPLWWHGXQGHUERURULVXSGDWHGXQGHU <11$ <11$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB General: 3URJUDP(OLJLELOLW\>JL@ 'RHVWKHFRYHUHGSURFHVVPHHWWKHHOLJLELOLW\UHTXLUHPHQWVRI3URJUDP"6SHFLILFDOO\>J@ 'RHVWKHFRYHUHGSURFHVVPHHWDOORIWKHIROORZLQJUHTXLUHPHQWV )RUWKHILYH\HDUVSULRUWRWKHVXEPLVVLRQRIDQ503WKHSURFHVVKDVQRWKDGDQDFFLGHQWDOUHOHDVHRID UHJXODWHGVXEVWDQFHZKHUHH[SRVXUHWRWKHVXEVWDQFHLWVUHDFWLRQSURGXFWVRYHUSUHVVXUHJHQHUDWHGE\DQ H[SORVLRQLQYROYLQJWKHVXEVWDQFHRUUDGLDQWKHDWJHQHUDWHGE\DILUHLQYROYLQJWKHVXEVWDQFHOHGWRDQ\RIWKH IROORZLQJRIIVLWH">J@ 'HDWK>JL@ ,QMXU\>JLL@RU 5HVSRQVHRUUHVWRUDWLRQDFWLYLWLHVIRUDQH[SRVXUHRIDQHQYLURQPHQWDOUHFHSWRU>JLLL@DQG 7KHGLVWDQFHWRDWR[LFRUIODPPDEOHHQGSRLQWIRUDZRUVWFDVHUHOHDVHDVVHVVPHQWFRQGXFWHGXQGHUVXESDUW% DQGLVOHVVWKDQWKHGLVWDQFHWRDQ\SXEOLFUHFHSWRUDVGHILQHGLQ>J@DQG (PHUJHQF\UHVSRQVHSURFHGXUHVKDYHEHHQFRRUGLQDWHGEHWZHHQWKHVWDWLRQDU\VRXUFHDQGORFDOHPHUJHQF\ SODQQLQJDQGUHVSRQVHRUJDQL]DWLRQV>J@ 'RHVWKHFRYHUHGSURFHVVPHHWWKHHOLJLELOLW\UHTXLUHPHQWVRI3URJUDP"6SHFLILFDOO\>L@ 7KHSURFHVVGRHVQRWPHHWWKHHOLJLELOLW\UHTXLUHPHQWVRI3URJUDP>L@DQG ,VWKHFRYHUHGSURFHVVDQ\RIWKHIROORZLQJ1$,&6FRGHV>L@ RURU ,VWKHSURFHVVVXEMHFWWRWKH26+$SURFHVVVDIHW\PDQDJHPHQWVWDQGDUG&)5">L@ <11$ <11$ 'RHVWKHFRYHUHGSURFHVVIDLOWRPHHWWKHHOLJLELOLW\UHTXLUHPHQWVRI3URJUDPDQG3URJUDPLHLVWKHFRYHUHG SURFHVVD3URJUDP">K@ <11$ General: 0DQDJHPHQW>@ +DVWKHRZQHURURSHUDWRU 'HYHORSHGDPDQDJHPHQWV\VWHPWRRYHUVHHWKHLPSOHPHQWDWLRQRIWKHULVNPDQDJHPHQWSURJUDPHOHPHQWV" >D@ < 1 1$ $VVLJQHGDTXDOLILHGSHUVRQRUSRVLWLRQWKDWKDVWKHRYHUDOOUHVSRQVLELOLW\IRUWKHGHYHORSPHQWLPSOHPHQWDWLRQDQG LQWHJUDWLRQRIWKHULVNPDQDJHPHQWSURJUDPHOHPHQWV">E@ 'RFXPHQWHGRWKHUSHUVRQVUHVSRQVLEOHIRULPSOHPHQWLQJLQGLYLGXDOUHTXLUHPHQWVRIWKHULVNPDQDJHPHQWSURJUDP DQGGHILQHGWKHOLQHVRIDXWKRULW\WKURXJKDQRUJDQL]DWLRQFKDUWRUVLPLODUGRFXPHQW">F@ < 1 1$ < 1 1$ 6XESDUW% -+D]DUG$VVHVVPHQW>@ +D]DUGDVVHVVPHQWFRQGXFWHGDQGGRFXPHQWHGDVSURYLGHGLQ&)5" &RPPHQWVAssessment conducted by Lang Ice, Home City did not have documentation at time of inspection so below items left blank 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB +D]DUG$VVHVVPHQW2IIVLWHFRQVHTXHQFHDQDO\VLVSDUDPHWHUV>@ 8VHGWKHIROORZLQJHQGSRLQWVIRURIIVLWHFRQVHTXHQFHDQDO\VLVIRUDZRUVWFDVHVFHQDULR>D@ )RUWR[LFVWKHHQGSRLQWVSURYLGHGLQ$SSHQGL[$RI&)53DUW">D@ )RUIODPPDEOHVDQH[SORVLRQUHVXOWLQJLQDQRYHUSUHVVXUHRISVL">DL@RU )RUIODPPDEOHVDILUHUHVXOWLQJLQDUDGLDQWKHDWH[SRVXUHRINZPIRUVHFRQGV">DLL@ )RUIODPPDEOHVDFRQFHQWUDWLRQUHVXOWLQJLQDORZHUIODPPDELOLW\OLPLWDVSURYLGHGLQ1)3$GRFXPHQWVRU RWKHUJHQHUDOO\UHFRJQL]HGVRXUFHV">DLLL@ < 1 1$ 8VHGWKHIROORZLQJHQGSRLQWVIRURIIVLWHFRQVHTXHQFHDQDO\VLVIRUDQDOWHUQDWLYHUHOHDVHVFHQDULR>D@ )RUWR[LFVWKHHQGSRLQWVSURYLGHGLQ$SSHQGL[$RI&)53DUW">D@ )RUIODPPDEOHVDQH[SORVLRQUHVXOWLQJLQDQRYHUSUHVVXUHRISVL">DL@ )RUIODPPDEOHVDILUHUHVXOWLQJLQDUDGLDQWKHDWH[SRVXUHRINZPIRUVHFRQGV">DLL@ )RUIODPPDEOHVDFRQFHQWUDWLRQUHVXOWLQJLQDORZHUIODPPDELOLW\OLPLWDVSURYLGHGLQ1)3$GRFXPHQWVRU RWKHUJHQHUDOO\UHFRJQL]HGVRXUFHV">DLLL@ < 1 1$ 8VHGDSSURSULDWHZLQGVSHHGVDQGVWDELOLW\FODVVHVIRUWKHUHOHDVHDQDO\VLV">E@ < 1 1$ 8VHGDSSURSULDWHDPELHQWWHPSHUDWXUHDQGKXPLGLW\YDOXHVIRUWKHUHOHDVHDQDO\VLV">F@ < 1 1$ 8VHGDSSURSULDWHYDOXHVIRUWKHKHLJKWRIWKHUHOHDVHIRUWKHUHOHDVHDQDO\VLV">G@ < 1 1$ 8VHGDSSURSULDWHVXUIDFHURXJKQHVVYDOXHVIRUWKHUHOHDVHDQDO\VLV">H@ < 1 1$ 'RWDEOHVDQGPRGHOVXVHGIRUGLVSHUVLRQDQDO\VLVRIWR[LFVXEVWDQFHVDSSURSULDWHO\DFFRXQWIRUGHQVHRUQHXWUDOO\ EXR\DQWJDVHV">I@ < 1 1$ :HUHOLTXLGVRWKHUWKDQJDVHVOLTXHILHGE\UHIULJHUDWLRQRQO\FRQVLGHUHGWREHUHOHDVHGDWWKHKLJKHVWGDLO\ PD[LPXPWHPSHUDWXUHEDVHGRQGDWDIRUWKHSUHYLRXVWKUHH\HDUVDSSURSULDWHIRUDVWDWLRQDU\VRXUFHRUDWSURFHVV WHPSHUDWXUHZKLFKHYHULVKLJKHU">J@ < 1 1$ +D]DUG$VVHVVPHQW:RUVWFDVHUHOHDVHVFHQDULRDQDO\VLV>@ $QDO\]HGDQGUHSRUWHGLQWKH503RQHZRUVWFDVHUHOHDVHVFHQDULRHVWLPDWHGWRFUHDWHWKHJUHDWHVWGLVWDQFHWRDQ HQGSRLQWUHVXOWLQJIURPDQDFFLGHQWDOUHOHDVHRIDUHJXODWHGWR[LFVXEVWDQFHIURPFRYHUHGSURFHVVHVXQGHUZRUVW FDVHFRQGLWLRQV">DL@ < 1 1$ $QDO\]HGDQGUHSRUWHGLQWKH503RQHZRUVWFDVHUHOHDVHVFHQDULRHVWLPDWHGWRFUHDWHWKHJUHDWHVWGLVWDQFHWRDQ HQGSRLQWUHVXOWLQJIURPDQDFFLGHQWDOUHOHDVHRIDUHJXODWHGIODPPDEOHVXEVWDQFHIURPFRYHUHGSURFHVVHVXQGHU ZRUVWFDVHFRQGLWLRQV">DLL@ < 1 1$ $QDO\]HGDQGUHSRUWHGLQWKH503DGGLWLRQDOZRUVWFDVHUHOHDVHVFHQDULRVIRUDKD]DUGFODVVLIWKHZRUVWFDVH UHOHDVHIURPDQRWKHUFRYHUHGSURFHVVDWWKHVWDWLRQDU\VRXUFHSRWHQWLDOO\DIIHFWVSXEOLFUHFHSWRUVGLIIHUHQWIURP WKRVHSRWHQWLDOO\DIIHFWHGE\WKHZRUVWFDVHUHOHDVHVFHQDULRGHYHORSHGXQGHUDLRUDLL" >DLLL@ < 1 1$ +DVWKHRZQHURURSHUDWRUGHWHUPLQHGWKHZRUVWFDVHUHOHDVHTXDQWLW\WREHWKHJUHDWHURIWKHIROORZLQJ>E@ < 1 1$ ,IUHOHDVHGIURPDYHVVHOWKHJUHDWHVWDPRXQWKHOGLQDVLQJOHYHVVHOWDNLQJLQWRDFFRXQWDGPLQLVWUDWLYHFRQWUROV WKDWOLPLWWKHPD[LPXPTXDQWLW\">E@ ,IUHOHDVHGIURPDSLSHWKHJUHDWHVWDPRXQWKHOGLQWKHSLSHWDNLQJLQWRDFFRXQWDGPLQLVWUDWLYHFRQWUROVWKDW OLPLWWKHPD[LPXPTXDQWLW\">E@ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB D +DVWKHRZQHURURSHUDWRUIRUWR[LFVXEVWDQFHVWKDWDUHQRUPDOO\JDVHVDWDPELHQWWHPSHUDWXUHDQGKDQGOHGDVDJDVRUOLTXLGXQGHU SUHVVXUH D $VVXPHGWKHZKROHTXDQWLW\LQWKHYHVVHORUSLSHZRXOGEHUHOHDVHGDVDJDVRYHUPLQXWHV">F@ < 1 1$ D $VVXPHGWKHUHOHDVHUDWHWREHWKHWRWDOTXDQWLW\GLYLGHGE\LIWKHUHDUHQRSDVVLYHPLWLJDWLRQV\VWHPVLQ SODFH">F@ < 1 1$ E +DVWKHRZQHURURSHUDWRUIRUWR[LFJDVHVKDQGOHGDVUHIULJHUDWHGOLTXLGVDWDPELHQWSUHVVXUH E $VVXPHGWKHVXEVWDQFHZRXOGEHUHOHDVHGDVDJDVLQPLQXWHVLIQRWFRQWDLQHGE\SDVVLYHPLWLJDWLRQ V\VWHPVRULIWKHFRQWDLQHGSRROZRXOGKDYHDGHSWKRIFPRUOHVV">FL@ < 1 1$ E,IUHOHDVHGVXEVWDQFHZRXOGEHFRQWDLQHGE\SDVVLYHPLWLJDWLRQV\VWHPVLQDSRROZLWKDGHSWK!FP $VVXPHGWKHTXDQWLW\LQWKHYHVVHORUSLSHDVGHWHUPLQHGSHUEZRXOGEHVSLOOHG LQVWDQWDQHRXVO\WRIRUPDOLTXLGSRRO">FLL@ &DOFXODWHGWKHYRODWLOLW\UDWHDWWKHERLOLQJSRLQWRIWKHVXEVWDQFHDQGDWWKHFRQGLWLRQVVSHFLILHGLQ G">FLL@ < 1 1$ F +DVWKHRZQHURURSHUDWRUIRUWR[LFVXEVWDQFHVWKDWDUHQRUPDOO\OLTXLGVDWDPELHQWWHPSHUDWXUH F $VVXPHGWKHTXDQWLW\LQWKHYHVVHORUSLSHZRXOGEHVSLOOHGLQVWDQWDQHRXVO\WRIRUPDOLTXLGSRRO" >G@ < 1 1$ F 'HWHUPLQHGWKHVXUIDFHDUHDRIWKHSRROE\DVVXPLQJWKDWWKHOLTXLGVSUHDGVWRFPGHHSLIWKHUHLVQRSDVVLYH PLWLJDWLRQV\VWHPLQSODFHWKDWZRXOGVHUYHWRFRQWDLQWKHVSLOODQGOLPLWWKHVXUIDFHDUHDRULISDVVLYH PLWLJDWLRQLVLQSODFHZDVWKHVXUIDFHDUHDRIWKHFRQWDLQHGOLTXLGXVHGWRFDOFXODWHWKHYRODWLOL]DWLRQUDWH" >GL@ < 1 1$ F 7DNHQLQWRDFFRXQWWKHDFWXDOVXUIDFHFKDUDFWHULVWLFVLIWKHUHOHDVHZRXOGRFFXURQWRDVXUIDFHWKDWLVQRWSDYHG RUVPRRWK">GLL@ < 1 1$ F 'HWHUPLQHGWKHYRODWLOL]DWLRQUDWHE\DFFRXQWLQJIRUWKHKLJKHVWGDLO\PD[LPXPWHPSHUDWXUHLQWKHSDVWWKUHH < 1 1$ \HDUVWKHWHPSHUDWXUHRIWKHVXEVWDQFHLQWKHYHVVHODQGWKHFRQFHQWUDWLRQRIWKHVXEVWDQFHLIWKHOLTXLGVSLOOHG LVDPL[WXUHRUVROXWLRQ">G@ F 'HWHUPLQHGWKHUDWHRIUHOHDVHWRDLUIURPWKHYRODWLOL]DWLRQUDWHRIWKHOLTXLGSRRO">G@ < 1 1$ F 'HWHUPLQHGWKHUDWHRIUHOHDVHWRDLUE\XVLQJWKHPHWKRGRORJ\LQWKH5032IIVLWH&RQVHTXHQFH$QDO\VLV *XLGDQFHDQ\RWKHUSXEOLFO\DYDLODEOHWHFKQLTXHVWKDWDFFRXQWIRUWKHPRGHOLQJFRQGLWLRQVDQGDUHUHFRJQL]HG < 1 1$ E\LQGXVWU\DVDSSOLFDEOHDVSDUWRIFXUUHQWSUDFWLFHVRUSURSULHWDU\PRGHOVWKDWDFFRXQWIRUWKHPRGHOLQJ FRQGLWLRQVPD\EHXVHGSURYLGHGWKHRZQHURURSHUDWRUDOORZVWKHLPSOHPHQWLQJDJHQF\DFFHVVWRWKHPRGHO DQGGHVFULEHVPRGHOIHDWXUHVDQGGLIIHUHQFHVIURPSXEOLFO\DYDLODEOHPRGHOVWRORFDOHPHUJHQF\SODQQHUVXSRQ UHTXHVW">G@ :KDWPRGHOLQJWHFKQLTXHGLGWKHRZQHURURSHUDWRUXVH">J@BBBBBBBBBBBBBBBBBBBBBB G +DVWKHRZQHURURSHUDWRUIRUIODPPDEOHJDVHV G $VVXPHGWKHTXDQWLW\LQDYHVVHOVRIIODPPDEOHJDVKHOGDVDJDVRUOLTXLGXQGHUSUHVVXUHLVUHOHDVHGDVDJDV RYHUPLQXWHVUHVXOWLQJLQDYDSRUFORXGH[SORVLRQ">H@ < 1 1$ G)RUJDVKDQGOHGDVUHIULJHUDWHGOLTXLGWKDWLVQRWFRQWDLQHGE\SDVVLYHPLWLJDWLRQV\VWHPVDVVXPHGWKHWRWDO TXDQWLW\LQDYHVVHOVRIUHIULJHUDWHGOLTXLGLVUHOHDVHGDVDJDVRYHUPLQXWHVUHVXOWLQJLQDYDSRUFORXG H[SORVLRQ">HL@ < 1 1$ G )RUJDVKDQGOHGDVUHIULJHUDWHGOLTXLGUHOHDVHGWRDFRQWDLQHGDUHDDVVXPHGWKHTXDQWLW\YRODWLOL]HGLQ PLQXWHVUHVXOWVLQDYDSRUFORXG">HLL@ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB G $VVXPHGD\LHOGIDFWRURIRIWKHDYDLODEOHHQHUJ\LVUHOHDVHGLQWKHH[SORVLRQIRUGHWHUPLQLQJWKHGLVWDQFH WRWKHH[SORVLRQHQGSRLQWLIWKHPRGHOXVHGLVEDVHGRQ717HTXLYDOHQWPHWKRGV">H@ < 1 1$ H +DVWKHRZQHURURSHUDWRUIRUIODPPDEOHOLTXLGV H$VVXPHGWKHHQWLUHTXDQWLW\LQWKHYHVVHORUSLSHWDNLQJLQWRDFFRXQWDGPLQLVWUDWLYHFRQWUROVWKDWOLPLWWKH PD[LPXPTXDQWLW\ZRXOGEHVSLOOHGLQVWDQWDQHRXVO\WRIRUPDOLTXLGSRRO">I@ < 1 1$ H)RUOLTXLGVDWWHPSHUDWXUHVEHORZWKHLUDWPRVSKHULFERLOLQJSRLQWFDOFXODWHGWKHYRODWLOLW\UDWHDWWKHERLOLQJ < 1 1$ SRLQWRIWKHVXEVWDQFHDQGDWWKHFRQGLWLRQVVSHFLILHGLQGDQGDVVXPHGWKDWWKHTXDQWLW\ZKLFKEHFRPHV YDSRULQWKHILUVWPLQXWHVLVLQYROYHGLQWKHYDSRUFORXGH[SORVLRQ" >I@ H$VVXPHGD\LHOGIDFWRURIRIWKHDYDLODEOHHQHUJ\LVUHOHDVHGLQWKHH[SORVLRQIRUGHWHUPLQLQJWKHGLVWDQFH WRWKHH[SORVLRQHQGSRLQWLIWKHPRGHOXVHGLVEDVHGRQ717HTXLYDOHQWPHWKRGV">I@ < 1 1$ 8VHGWKHSDUDPHWHUVGHILQHGLQWRGHWHUPLQHGLVWDQFHWRWKHHQGSRLQWV">J@ < 1 1$ 'HWHUPLQHGWKHUDWHRIUHOHDVHWRDLUE\XVLQJWKHPHWKRGRORJ\LQWKH5032IIVLWH&RQVHTXHQFH$QDO\VLV*XLGDQFH < 1 1$ DQ\RWKHUSXEOLFO\DYDLODEOHWHFKQLTXHVWKDWDFFRXQWIRUWKHPRGHOLQJFRQGLWLRQVDQGDUHUHFRJQL]HGE\LQGXVWU\DV DSSOLFDEOHDVSDUWRIFXUUHQWSUDFWLFHVRUSURSULHWDU\PRGHOVWKDWDFFRXQWIRUWKHPRGHOLQJFRQGLWLRQVPD\EHXVHG SURYLGHGWKHRZQHURURSHUDWRUDOORZVWKHLPSOHPHQWLQJDJHQF\DFFHVVWRWKHPRGHODQGGHVFULEHVPRGHOIHDWXUHV DQGGLIIHUHQFHVIURPSXEOLFO\DYDLODEOHPRGHOVWRORFDOHPHUJHQF\SODQQHUVXSRQUHTXHVW">J@ :KDWPRGHOLQJWHFKQLTXHGLGWKHRZQHURURSHUDWRUXVH">J@BBBBBBBBBBBBBBBBBBBBB (QVXUHGWKDWWKHSDVVLYHPLWLJDWLRQV\VWHPLIFRQVLGHUHGLVFDSDEOHRIZLWKVWDQGLQJWKHUHOHDVHHYHQWWULJJHULQJWKH VFHQDULRDQGZLOOVWLOOIXQFWLRQDVLQWHQGHG">K@ < 1 1$ &RQVLGHUHGDOVRWKHIROORZLQJIDFWRUVLQVHOHFWLQJWKHZRUVWFDVHUHOHDVHVFHQDULRV>L@ 6PDOOHUTXDQWLWLHVKDQGOHGDWKLJKHUSURFHVVWHPSHUDWXUHRUSUHVVXUH">L@ 3UR[LPLW\WRWKHERXQGDU\RIWKHVWDWLRQDU\VRXUFH">L@ < 1 1$ +D]DUG$VVHVVPHQW$OWHUQDWLYHUHOHDVHVFHQDULRDQDO\VLV>@ ,GHQWLILHGDQGDQDO\]HGDWOHDVWRQHDOWHUQDWLYHUHOHDVHVFHQDULRIRUHDFKUHJXODWHGWR[LFVXEVWDQFHKHOGLQDFRYHUHG SURFHVVHVDQGDWOHDVWRQHDOWHUQDWLYHUHOHDVHVFHQDULRWRUHSUHVHQWDOOIODPPDEOHVXEVWDQFHVKHOGLQFRYHUHG SURFHVVHV">D@ < 1 1$ 6HOHFWHGDVFHQDULR>E@ 7KDWLVPRUHOLNHO\WRRFFXUWKDQWKHZRUVWFDVHUHOHDVHVFHQDULRXQGHU">EL@ 7KDWZLOOUHDFKDQHQGSRLQWRIIVLWHXQOHVVQRVXFKVFHQDULRH[LVWV">ELL@ < 1 1$ &RQVLGHUHGUHOHDVHVFHQDULRVZKLFKLQFOXGHGEXWDUHQRWOLPLWHGWRWKHIROORZLQJ>E@ 7UDQVIHUKRVHUHOHDVHVGXHWRVSOLWVRUVXGGHQKRVHXQFRXSOLQJ">EL@ 3URFHVVSLSLQJUHOHDVHVIURPIDLOXUHVDWIODQJHVMRLQWVZHOGVYDOYHVDQGYDOYHVHDOVDQGGUDLQVRUEOHHGV" >ELL@ 3URFHVVYHVVHORUSXPSUHOHDVHVGXHWRFUDFNVVHDOIDLOXUHRUGUDLQEOHHGRUSOXJIDLOXUH">ELLL@ 9HVVHORYHUILOOLQJDQGVSLOORURYHUSUHVVXUL]DWLRQDQGYHQWLQJWKURXJKUHOLHIYDOYHVRUUXSWXUHGLVNV" >ELY@ 6KLSSLQJFRQWDLQHUPLVKDQGOLQJDQGEUHDNDJHRUSXQFWXULQJOHDGLQJWRDVSLOO">EY@ < 1 1$ 8VHGWKHSDUDPHWHUVGHILQHGLQWRGHWHUPLQHGLVWDQFHWRWKHHQGSRLQWV">F@ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB 'HWHUPLQHGWKHUDWHRIUHOHDVHWRDLUE\XVLQJWKHPHWKRGRORJ\LQWKH5032IIVLWH&RQVHTXHQFH$QDO\VLV*XLGDQFH < 1 1$ DQ\RWKHUSXEOLFO\DYDLODEOHWHFKQLTXHVWKDWDFFRXQWIRUWKHPRGHOLQJFRQGLWLRQVDQGDUHUHFRJQL]HGE\LQGXVWU\DV DSSOLFDEOHDVSDUWRIFXUUHQWSUDFWLFHVRUSURSULHWDU\PRGHOVWKDWDFFRXQWIRUWKHPRGHOLQJFRQGLWLRQVPD\EHXVHG SURYLGHGWKHRZQHURURSHUDWRUDOORZVWKHLPSOHPHQWLQJDJHQF\DFFHVVWRWKHPRGHODQGGHVFULEHVPRGHOIHDWXUHV DQGGLIIHUHQFHVIURPSXEOLFO\DYDLODEOHPRGHOVWRORFDOHPHUJHQF\SODQQHUVXSRQUHTXHVW">F@ :KDWPRGHOLQJWHFKQLTXHGLGWKHRZQHURURSHUDWRUXVH">J@BBBBBBBBBBBBBBBBBBBB (QVXUHGWKDWWKHSDVVLYHDQGDFWLYHPLWLJDWLRQV\VWHPVLIFRQVLGHUHGDUHFDSDEOHRIZLWKVWDQGLQJWKHUHOHDVHHYHQW WULJJHULQJWKHVFHQDULRDQGZLOOEHIXQFWLRQDO">G@ < 1 1$ &RQVLGHUHGWKHIROORZLQJIDFWRUVLQVHOHFWLQJWKHDOWHUQDWLYHUHOHDVHVFHQDULRV>H@ 7KHILYH\HDUDFFLGHQWKLVWRU\SURYLGHGLQ">H@ )DLOXUHVFHQDULRVLGHQWLILHGXQGHU">H@ < 1 1$ +D]DUG$VVHVVPHQW'HILQLQJRIIVLWHLPSDFWV3RSXODWLRQ>@ (VWLPDWHGSRSXODWLRQWKDWZRXOGEHLQFOXGHGZLWKLQDFLUFOHZKHUHLWVFHQWHULVWKHSRLQWRIWKHUHOHDVHDQGDUDGLXV GHWHUPLQHGE\WKHGLVWDQFHWRWKHHQGSRLQW">D@ < 1 1$ ,GHQWLILHGWKHSUHVHQFHRILQVWLWXWLRQVSDUNVDQGUHFUHDWLRQDODUHDVPDMRUFRPPHUFLDORIILFHDQGLQGXVWULDO EXLOGLQJVLQWKH503">E@ < 1 1$ 8VHGPRVWUHFHQW&HQVXVGDWDRURWKHUXSGDWHGLQIRUPDWLRQWRHVWLPDWHWKHSRSXODWLRQ">F@ < 1 1$ (VWLPDWHGWKHSRSXODWLRQWRWZRVLJQLILFDQWGLJLWV">G@ < 1 1$ +D]DUG$VVHVVPHQW'HILQLQJRIIVLWHLPSDFWV(QYLURQPHQW>@ ,GHQWLILHGHQYLURQPHQWDOUHFHSWRUVZLWKLQDFLUFOHZKHUHLWVFHQWHULVWKHSRLQWRIWKHUHOHDVHDQGDUDGLXVGHWHUPLQHG < 1 1$ E\WKHGLVWDQFHWRWKHHQGSRLQW">D@ 5HOLHGRQLQIRUPDWLRQSURYLGHGRQORFDO86*6PDSVRURQDQ\GDWDVRXUFHFRQWDLQLQJ86*6GDWDWRLGHQWLI\ HQYLURQPHQWDOUHFHSWRUV">6RXUFHPD\KDYHXVHG/DQG9LHZWRREWDLQLQIRUPDWLRQ@>E@ < 1 1$ +D]DUG$VVHVVPHQW5HYLHZDQGXSGDWH>@ 5HYLHZHGDQGXSGDWHGWKHRIIVLWHFRQVHTXHQFHDQDO\VHVDWOHDVWRQFHHYHU\ILYH\HDUV">D@ < 1 1$ &RPSOHWHGDUHYLVHGDQDO\VLVDQGVXEPLWDUHYLVHG503ZLWKLQVL[PRQWKVRIDFKDQJHLQSURFHVVHVTXDQWLWLHV VWRUHGRUKDQGOHGRUDQ\RWKHUDVSHFWWKDWPLJKWUHDVRQDEO\EHH[SHFWHGWRLQFUHDVHRUGHFUHDVHWKHGLVWDQFHWRWKH HQGSRLQWE\DIDFWRURIWZRRUPRUH">E@ < 1 1$ +D]DUG$VVHVVPHQW'RFXPHQWDWLRQ>@ +DVWKHRZQHURURSHUDWRUPDLQWDLQHGWKHIROORZLQJUHFRUGVRQWKHRIIVLWHFRQVHTXHQFHDQDO\VHV D )RUZRUVWFDVHVFHQDULRVDGHVFULSWLRQRIWKHYHVVHORUSLSHOLQHDQGVXEVWDQFHVHOHFWHGDVVXPSWLRQVDQG SDUDPHWHUVXVHGWKHUDWLRQDOHIRUVHOHFWLRQDQGDQWLFLSDWHGHIIHFWRIWKHDGPLQLVWUDWLYHFRQWUROVDQGSDVVLYH PLWLJDWLRQRQWKHUHOHDVHTXDQWLW\DQGUDWH">D@ < 1 1$ E )RUDOWHUQDWLYHUHOHDVHVFHQDULRVDGHVFULSWLRQRIWKHVFHQDULRVLGHQWLILHGDVVXPSWLRQVDQGSDUDPHWHUVXVHGWKH UDWLRQDOHIRUWKHVHOHFWLRQRIVSHFLILFVFHQDULRVDQGDQWLFLSDWHGHIIHFWRIWKHDGPLQLVWUDWLYHFRQWUROVDQG PLWLJDWLRQRQWKHUHOHDVHTXDQWLW\DQGUDWH">E@ < 1 1$ F 'RFXPHQWDWLRQRIHVWLPDWHGTXDQWLW\UHOHDVHGUHOHDVHUDWHDQGGXUDWLRQRIUHOHDVH">F@ < 1 1$ G 0HWKRGRORJ\XVHGWRGHWHUPLQHGLVWDQFHWRHQGSRLQWV">G@ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB H 'DWDXVHGWRHVWLPDWHSRSXODWLRQDQGHQYLURQPHQWDOUHFHSWRUVSRWHQWLDOO\DIIHFWHG">H@ < 1 1$ +D]DUG$VVHVVPHQW)LYH\HDUDFFLGHQWKLVWRU\>@ +DVWKHRZQHURURSHUDWRULQFOXGHGDOODFFLGHQWDOUHOHDVHVIURPFRYHUHGSURFHVVHVWKDWUHVXOWHGLQGHDWKVLQMXULHVRU < 1 1$ VLJQLILFDQWSURSHUW\GDPDJHRQVLWHRUNQRZQRIIVLWHGHDWKVLQMXULHVHYDFXDWLRQVVKHOWHULQJLQSODFHSURSHUW\ GDPDJHRUHQYLURQPHQWDOGDPDJH">D@ +DVWKHRZQHURURSHUDWRUUHSRUWHGWKHIROORZLQJLQIRUPDWLRQIRUHDFKDFFLGHQWDOUHOHDVH>E@ 'DWHWLPHDQGDSSUR[LPDWHGXUDWLRQRIWKHUHOHDVH">E@ &KHPLFDOVUHOHDVHG">E@ (VWLPDWHGTXDQWLW\UHOHDVHGLQSRXQGVDQGSHUFHQWDJHZHLJKWLQDPL[WXUHWR[LFV">E@ 1$,&6FRGHIRUWKHSURFHVV">E@ 7KHW\SHRIUHOHDVHHYHQWDQGLWVVRXUFH">E@ :HDWKHUFRQGLWLRQVLINQRZQ">E@ 2QVLWHLPSDFWV">E@ .QRZQRIIVLWHLPSDFWV">E@ ,QLWLDWLQJHYHQWDQGFRQWULEXWLQJIDFWRUVLINQRZQ">E@ :KHWKHURIIVLWHUHVSRQGHUVZHUHQRWLILHGLINQRZQ">E@ 2SHUDWLRQDORUSURFHVVFKDQJHVWKDWUHVXOWHGIURPLQYHVWLJDWLRQRIWKHUHOHDVH">E@ < 1 1$ 6XESDUW' -3URJUDP3UHYHQWLRQ3URJUDP>@ ,PSOHPHQWHGWKH3URJUDPSUHYHQWLRQUHTXLUHPHQWVDVSURYLGHGLQ&)5" &RPPHQWV 3UHYHQWLRQ3URJUDP:3URFHVVVDIHW\LQIRUPDWLRQ>@ +DVWKHRZQHURURSHUDWRUFRPSLOHGZULWWHQSURFHVVVDIHW\LQIRUPDWLRQZKLFKLQFOXGHVLQIRUPDWLRQSHUWDLQLQJWRWKH < 1 1$ KD]DUGVRIWKHUHJXODWHGVXEVWDQFHVXVHGRUSURGXFHGE\WKHSURFHVVLQIRUPDWLRQSHUWDLQLQJWRWKHWHFKQRORJ\RIWKH SURFHVVDQGLQIRUPDWLRQSHUWDLQLQJWRWKHHTXLSPHQWLQWKHSURFHVVEHIRUHFRQGXFWLQJDQ\SURFHVVKD]DUGDQDO\VLV UHTXLUHGE\WKHUXOH">D@ 'RHVWKHSURFHVVVDIHW\LQIRUPDWLRQFRQWDLQWKHIROORZLQJIRUKD]DUGVRIWKHVXEVWDQFHV>E@ 7R[LFLW\LQIRUPDWLRQ">E@ 3HUPLVVLEOHH[SRVXUHOLPLWV">E@ 3K\VLFDOGDWD">E@ 5HDFWLYLW\GDWD">E@ &RUURVLYLW\GDWD">E@ 7KHUPDODQGFKHPLFDOVWDELOLW\GDWD">E@ +D]DUGRXVHIIHFWVRILQDGYHUWHQWPL[LQJRIPDWHULDOVWKDWFRXOGIRUHVHHDEO\RFFXU">E@ 1RWH6DIHW\'DWD6KHHWV6'6PHHWLQJWKHUHTXLUHPHQWVRIWKH26+$+D]DUG&RPPXQLFDWLRQ6WDQGDUG>&)5 J@PD\EHXVHGWRFRPSO\ZLWKWKLVUHTXLUHPHQWWRWKHH[WHQWWKH\FRQWDLQWKHLQIRUPDWLRQUHTXLUHGE\ E 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB 'RHVWKHSURFHVVVDIHW\LQIRUPDWLRQFRQWDLQLQIRUPDWLRQSHUWDLQLQJWRWHFKQRORJ\RIWKHSURFHVV>F@" 'RHVWKHLQIRUPDWLRQFRQFHUQLQJWKHWHFKQRORJ\RIWKHSURFHVVLQFOXGHWKHIROORZLQJ>F@ < 1 1$ $EORFNIORZGLDJUDPRUVLPSOLILHGSURFHVVIORZGLDJUDP">FL@ 3URFHVVFKHPLVWU\">FLL@ 0D[LPXPLQWHQGHGLQYHQWRU\">FLLL@ 6DIHXSSHUDQGORZHUOLPLWVIRUVXFKLWHPVDVWHPSHUDWXUHVSUHVVXUHVIORZVRUFRPSRVLWLRQV">FLY@ $QHYDOXDWLRQRIWKHFRQVHTXHQFHVRIGHYLDWLRQ">FLY@ 'RHVWKHSURFHVVVDIHW\LQIRUPDWLRQFRQWDLQLQIRUPDWLRQSHUWDLQLQJWRWKHHTXLSPHQWLQWKHSURFHVV">G@ 'RHVWKHLQIRUPDWLRQSHUWDLQLQJWRWKHHTXLSPHQWLQWKHSURFHVVLQFOXGHWKHIROORZLQJ>G@ 0DWHULDOVRIFRQVWUXFWLRQ"GL@ 3LSLQJDQGLQVWUXPHQWDWLRQGLDJUDPV>GLL@ (OHFWULFDOFODVVLILFDWLRQ">GLLL@ 5HOLHIV\VWHPGHVLJQDQGGHVLJQEDVLV">GLY@ 9HQWLODWLRQV\VWHPGHVLJQ">GY@ 'HVLJQFRGHVDQGVWDQGDUGVHPSOR\HG">GYL@ 0DWHULDODQGHQHUJ\EDODQFHVIRUSURFHVVHVEXLOWDIWHU-XQH">GYLL@ 6DIHW\V\VWHPV">GYLLL@ < 1 1$ +DVWKHRZQHURURSHUDWRUGRFXPHQWHGWKDWHTXLSPHQWFRPSOLHVZLWKUHFRJQL]HGDQGJHQHUDOO\DFFHSWHGJRRG HQJLQHHULQJSUDFWLFHV">G@ < 1 1$ +DVWKHRZQHURURSHUDWRUGHWHUPLQHGDQGGRFXPHQWHGWKDWH[LVWLQJHTXLSPHQWGHVLJQHGDQGFRQVWUXFWHGLQ DFFRUGDQFHZLWKFRGHVVWDQGDUGVRUSUDFWLFHVWKDWDUHQRORQJHULQJHQHUDOXVHLVGHVLJQHGPDLQWDLQHGLQVSHFWHG WHVWHGDQGRSHUDWLQJLQDVDIHPDQQHU">G@ < 1 1$ 3UHYHQWLRQ3URJUDP:3URFHVVKD]DUGDQDO\VLV>@ +DVWKHRZQHURURSHUDWRUSHUIRUPHGDQLQLWLDOSURFHVVKD]DUGDQDO\VLV3+$DQGKDVWKLVDQDO\VLVLGHQWLILHG HYDOXDWHGDQGFRQWUROOHGWKHKD]DUGVLQYROYHGLQWKHSURFHVV">D@ < 1 1$ +DVWKHRZQHURURSHUDWRUGHWHUPLQHGDQGGRFXPHQWHGWKHSULRULW\RUGHUIRUFRQGXFWLQJ3+$VDQGZDVLWEDVHGRQ DQDSSURSULDWHUDWLRQDOH">D@ < 1 1$ +DVWKHRZQHUXVHGRQHRUPRUHRIWKHIROORZLQJWHFKQRORJLHVWRFRQGXFWSURFHVV3+$>E@ :KDWLI">E@ &KHFNOLVW">E@ :KDWLI&KHFNOLVW">E@ +D]DUGDQG2SHUDELOLW\6WXG\+$=23>E@ )DLOXUH0RGHDQG(IIHFWV$QDO\VLV)0($>E@ )DXOW7UHH$QDO\VLV">E@ $QDSSURSULDWHHTXLYDOHQWPHWKRGRORJ\">E@ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB 'LGWKH3+$DGGUHVV 7KHKD]DUGVRIWKHSURFHVV">F@ ,GHQWLILFDWLRQRIDQ\LQFLGHQWWKDWKDGDOLNHO\SRWHQWLDOIRUFDWDVWURSKLFFRQVHTXHQFHV">F@ (QJLQHHULQJDQGDGPLQLVWUDWLYHFRQWUROVDSSOLFDEOHWRKD]DUGVDQGLQWHUUHODWLRQVKLSV">F@ &RQVHTXHQFHVRIIDLOXUHRIHQJLQHHULQJDQGDGPLQLVWUDWLYHFRQWUROV">F@ 6WDWLRQDU\VRXUFHVLWLQJ">F@ +XPDQIDFWRUV">F@ $TXDOLWDWLYHHYDOXDWLRQRIDUDQJHRIWKHSRVVLEOHVDIHW\DQGKHDOWKHIIHFWVRIIDLOXUHRIFRQWUROV">F@ :DVWKH3+$SHUIRUPHGE\DWHDPZLWKH[SHUWLVHLQHQJLQHHULQJDQGSURFHVVRSHUDWLRQVDQGGLGWKHWHDPLQFOXGHDW OHDVWRQHHPSOR\HHZKRKDVH[SHULHQFHDQGNQRZOHGJHVSHFLILFWRWKHSURFHVVEHLQJHYDOXDWHGDQGDWOHDVWRQH PHPEHURIWKHWHDPZKRLVNQRZOHGJHDEOHLQWKHVSHFLILFSURFHVVKD]DUGDQDO\VLVPHWKRGRORJ\EHLQJXVHG"" >G@ +DVWKHRZQHURURSHUDWRUFRPSOHWHGWKHIROORZLQJ>H@ (VWDEOLVKHGDV\VWHPWRSURPSWO\DGGUHVVWKHWHDPVILQGLQJVDQGUHFRPPHQGDWLRQV" $VVXUHGWKDWWKHUHFRPPHQGDWLRQVDUHUHVROYHGLQDWLPHO\PDQQHUDQGGRFXPHQWHG" 'RFXPHQWHGZKDWDFWLRQVDUHWREHWDNHQ" &RPSOHWHGDFWLRQVDVVRRQDVSRVVLEOH" 'HYHORSHGDZULWWHQVFKHGXOHRIZKHQWKHVHDFWLRQVDUHWREHFRPSOHWHG"DQG &RPPXQLFDWHGWKHDFWLRQVWRRSHUDWLQJPDLQWHQDQFHDQGRWKHUHPSOR\HHVZKRVHZRUNDVVLJQPHQWVDUHLQWKH SURFHVVDQGZKRPD\EHDIIHFWHGE\WKHUHFRPPHQGDWLRQV" +DVWKH3+$EHHQXSGDWHGDQGUHYDOLGDWHGE\DWHDPHYHU\ILYH\HDUVDIWHUWKHFRPSOHWLRQRIWKHLQLWLDO3+$WR DVVXUHWKDWWKH3+$LVFRQVLVWHQWZLWKWKHFXUUHQWSURFHVV">I@ +DVWKHRZQHURURSHUDWRUUHWDLQHG3+$VDQGXSGDWHVRUUHYDOLGDWLRQVIRUHDFKSURFHVVFRYHUHGDVZHOODVWKH UHVROXWLRQRIUHFRPPHQGDWLRQVIRUWKHOLIHRIWKHSURFHVV">J@ 3UHYHQWLRQ3URJUDP:2SHUDWLQJSURFHGXUHV>@ +DVWKHRZQHURURSHUDWRUGHYHORSHGDQGLPSOHPHQWHGZULWWHQRSHUDWLQJSURFHGXUHVWKDWSURYLGHLQVWUXFWLRQVRU VWHSVIRUFRQGXFWLQJDFWLYLWLHVDVVRFLDWHGZLWKHDFKFRYHUHGSURFHVVFRQVLVWHQWZLWKWKHVDIHW\LQIRUPDWLRQ" >D@ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB . 'RWKHSURFHGXUHVDGGUHVVWKHIROORZLQJ>D@ 6WHSVIRUHDFKRSHUDWLQJSKDVH>D@ ,QLWLDO6WDUWXS">DL@ 1RUPDORSHUDWLRQV">DLL@ 7HPSRUDU\RSHUDWLRQV">DLLL@ (PHUJHQF\VKXWGRZQLQFOXGLQJWKHFRQGLWLRQVXQGHUZKLFKHPHUJHQF\VKXWGRZQLVUHTXLUHGDQGWKH DVVLJQPHQWRIVKXWGRZQUHVSRQVLELOLW\WRTXDOLILHGRSHUDWRUVWRHQVXUHWKDWHPHUJHQF\VKXWGRZQLV H[HFXWHGLQDVDIHDQGWLPHO\PDQQHU">DLY@ (PHUJHQF\RSHUDWLRQV">DY@ 1RUPDOVKXWGRZQ">DYL@ 6WDUWXSIROORZLQJDWXUQDURXQGRUDIWHUHPHUJHQF\VKXWGRZQ">DYLL@ 2SHUDWLQJOLPLWV>D@ &RQVHTXHQFHVRIGHYLDWLRQV>DL@ 6WHSVUHTXLUHGWRFRUUHFWRUDYRLGGHYLDWLRQ">DLL@ 6DIHW\DQGKHDOWKFRQVLGHUDWLRQV>D@ 3URSHUWLHVRIDQGSK\VLFDOKD]DUGVSUHVHQWHGE\WKHFKHPLFDOVXVHGLQWKHSURFHVV>DL@ 3UHFDXWLRQVQHFHVVDU\WRSUHYHQWH[SRVXUHLQFOXGLQJHQJLQHHULQJFRQWUROVDGPLQLVWUDWLYHFRQWUROVDQG SHUVRQDOSURWHFWLYHHTXLSPHQW">DLL@ &RQWUROPHDVXUHVWREHWDNHQLISK\VLFDOFRQWDFWRUDLUERUQHH[SRVXUHRFFXUV">DLLL@ 4XDOLW\FRQWUROIRUUDZPDWHULDOVDQGFRQWURORIKD]DUGRXVFKHPLFDOLQYHQWRU\OHYHOV">DLY@ $Q\VSHFLDORUXQLTXHKD]DUGV">DY@ 6DIHW\V\VWHPVDQGWKHLUIXQFWLRQV">D@ < 1 1$ $UHRSHUDWLQJSURFHGXUHVUHDGLO\DFFHVVLEOHWRHPSOR\HHVZKRDUHLQYROYHGLQDSURFHVV">E@ < 1 1$ +DVWKHRZQHURURSHUDWRUFHUWLILHGDQQXDOO\WKDWWKHRSHUDWLQJSURFHGXUHVDUHFXUUHQWDQGDFFXUDWHDQGWKDW < 1 1$ SURFHGXUHVKDYHEHHQUHYLHZHGDVRIWHQDVQHFHVVDU\WRDVVXUHWKDWWKH\UHIOHFWFXUUHQWRSHUDWLQJSUDFWLFHLQFOXGLQJ FKDQJHVWKDWUHVXOWIURPFKDQJHVLQSURFHVVFKHPLFDOVWHFKQRORJ\DQGHTXLSPHQWDQGFKDQJHVWRVWDWLRQDU\ VRXUFHV">F@ +DVWKHRZQHURURSHUDWRUGHYHORSHGDQGLPSOHPHQWHGVDIHZRUNSUDFWLFHVWRSURYLGHIRUWKHFRQWURORIKD]DUGV GXULQJVSHFLILFRSHUDWLRQVVXFKDVORFNRXWWDJRXWFRQILQHGVSDFHHQWU\RSHQLQJSURFHVVHTXLSPHQWRUSLSLQJDQG FRQWURORYHUHQWUDQFHLQWRDVWDWLRQDU\VRXUFHE\PDLQWHQDQFHFRQWUDFWRUODERUDWRU\RURWKHUVXSSRUWSHUVRQQHO" >G@ < 1 1$ 3UHYHQWLRQ3URJUDP:7UDLQLQJ>@ . +DVHDFKHPSOR\HHLQYROYHGLQRSHUDWLQJDSURFHVVDQGHDFKHPSOR\HHEHIRUHEHLQJLQYROYHGLQRSHUDWLQJDQHZO\ < 1 1$ DVVLJQHGSURFHVVEHHQLQLWLDOO\WUDLQHGLQDQRYHUYLHZRIWKHSURFHVVDQGLQWKHRSHUDWLQJSURFHGXUHV">D@ 'LGLQLWLDOWUDLQLQJLQFOXGHHPSKDVLVRQVDIHW\DQGKHDOWKKD]DUGVHPHUJHQF\RSHUDWLRQVLQFOXGLQJVKXWGRZQDQG VDIHZRUNSUDFWLFHVDSSOLFDEOHWRWKHHPSOR\HHVMREWDVNV">D@ < 1 1$ ,QOLHXRILQLWLDOWUDLQLQJIRUWKRVHHPSOR\HHVDOUHDG\LQYROYHGLQRSHUDWLQJDSURFHVVRQ-XQHDQRZQHURU < 1 1$ RSHUDWRUPD\FHUWLI\LQZULWLQJWKDWWKHHPSOR\HHKDVWKHUHTXLUHGNQRZOHGJHVNLOOVDQGDELOLWLHVWRVDIHO\FDUU\RXW WKHGXWLHVDQGUHVSRQVLELOLWLHVDVVSHFLILHGLQWKHRSHUDWLQJSURFHGXUHV>D@ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB +DVUHIUHVKHUWUDLQLQJEHHQSURYLGHGDWOHDVWHYHU\WKUHH\HDUVRUPRUHRIWHQLIQHFHVVDU\WRHDFKHPSOR\HH LQYROYHGLQRSHUDWLQJDSURFHVVWRDVVXUHWKDWWKHHPSOR\HHXQGHUVWDQGVDQGDGKHUHVWRWKHFXUUHQWRSHUDWLQJ SURFHGXUHVRIWKHSURFHVV">E@ < 1 1$ +DVRZQHURURSHUDWRUDVFHUWDLQHGDQGGRFXPHQWHGLQUHFRUGWKDWHDFKHPSOR\HHLQYROYHGLQRSHUDWLQJDSURFHVV KDVUHFHLYHGDQGXQGHUVWRRGWKHWUDLQLQJUHTXLUHG">F@ < 1 1$ 'RHVWKHSUHSDUHGUHFRUGFRQWDLQWKHLGHQWLW\RIWKHHPSOR\HHWKHGDWHRIWKHWUDLQLQJDQGWKHPHDQVXVHGWRYHULI\ WKDWWKHHPSOR\HHXQGHUVWRRGWKHWUDLQLQJ">F@ < 1 1$ 3UHYHQWLRQ3URJUDP:0HFKDQLFDOLQWHJULW\>@ +DVWKHRZQHURURSHUDWRUHVWDEOLVKHGDQGLPSOHPHQWHGZULWWHQSURFHGXUHVWRPDLQWDLQWKHRQJRLQJLQWHJULW\RIWKH SURFHVVHTXLSPHQWOLVWHGLQD">E@ < 1 1$ +DVWKHRZQHURURSHUDWRUWUDLQHGHDFKHPSOR\HHLQYROYHGLQPDLQWDLQLQJWKHRQJRLQJLQWHJULW\RISURFHVV HTXLSPHQW">F@ < 1 1$ +DVWKHRZQHURURSHUDWRUSHUIRUPHGLQVSHFWLRQVDQGWHVWVRQSURFHVVHTXLSPHQW">G@ < 1 1$ +DVWKHRZQHURURSHUDWRUIROORZHGUHFRJQL]HGDQGJHQHUDOO\DFFHSWHGJRRGHQJLQHHULQJSUDFWLFHVIRULQVSHFWLRQV DQGWHVWLQJSURFHGXUHV">G@ < 1 1$ +DVWKHRZQHURURSHUDWRUHQVXUHGWKHIUHTXHQF\RILQVSHFWLRQVDQGWHVWVRISURFHVVHTXLSPHQWLVFRQVLVWHQWZLWK DSSOLFDEOHPDQXIDFWXUHUVUHFRPPHQGDWLRQVJRRGHQJLQHHULQJSUDFWLFHVDQGSULRURSHUDWLQJH[SHULHQFH" >G@ < 1 1$ +DVWKHRZQHURURSHUDWRUGRFXPHQWHGHDFKLQVSHFWLRQDQGWHVWWKDWKDGEHHQSHUIRUPHGRQSURFHVVHTXLSPHQWDQG LGHQWLILHGWKHIROORZLQJ>G@ 7KHGDWHRIWKHLQVSHFWLRQRUWHVW" 7KHQDPHRIWKHSHUVRQZKRSHUIRUPHGWKHLQVSHFWLRQRUWHVW" 7KHVHULDOQXPEHURURWKHULGHQWLILHURIWKHHTXLSPHQWRQZKLFKWKHLQVSHFWLRQRUWHVWZDVSHUIRUPHG" $GHVFULSWLRQRIWKHLQVSHFWLRQRUWHVWSHUIRUPHG"DQG 7KHUHVXOWVRIWKHLQVSHFWLRQRUWHVW" < 1 1$ +DVWKHRZQHURURSHUDWRUFRUUHFWHGGHILFLHQFLHVLQHTXLSPHQWWKDWZHUHRXWVLGHDFFHSWDEOHOLPLWVGHILQHGE\WKH SURFHVVVDIHW\LQIRUPDWLRQEHIRUHIXUWKHUXVHRULQDVDIHDQGWLPHO\PDQQHUZKHQQHFHVVDU\PHDQVZHUHWDNHQWR DVVXUHVDIHRSHUDWLRQ">H@ < 1 1$ +DVWKHRZQHURURSHUDWRUDVVXUHGWKDWHTXLSPHQWDVLWZDVIDEULFDWHGLVVXLWDEOHIRUWKHSURFHVVDSSOLFDWLRQIRU ZKLFKLWZLOOEHXVHGLQWKHFRQVWUXFWLRQRIQHZSODQWVDQGHTXLSPHQW">I@ < 1 1$ +DVWKHRZQHURURSHUDWRUSHUIRUPHGDSSURSULDWHFKHFNVDQGLQVSHFWLRQVWRDVVXUHWKDWHTXLSPHQWZDVLQVWDOOHG SURSHUO\DQGFRQVLVWHQWZLWKGHVLJQVSHFLILFDWLRQVDQGWKHPDQXIDFWXUHUVLQVWUXFWLRQV">I@ < 1 1$ +DVWKHRZQHURURSHUDWRUDVVXUHGWKDWPDLQWHQDQFHPDWHULDOVVSDUHSDUWVDQGHTXLSPHQWZHUHVXLWDEOHIRUWKH SURFHVVDSSOLFDWLRQIRUZKLFKWKH\ZRXOGEHXVHG">I@ < 1 1$ 3UHYHQWLRQ3URJUDP:0DQDJHPHQWRIFKDQJH>@ +DVWKHRZQHURURSHUDWRUHVWDEOLVKHGDQGLPSOHPHQWHGZULWWHQSURFHGXUHVWRPDQDJHFKDQJHVWRSURFHVVFKHPLFDOV < 1 1$ WHFKQRORJ\HTXLSPHQWDQGSURFHGXUHVDQGFKDQJHVWRVWDWLRQDU\VRXUFHVWKDWDIIHFWDFRYHUHGSURFHVV">D@ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB 'RSURFHGXUHVDVVXUHWKDWWKHIROORZLQJFRQVLGHUDWLRQVDUHDGGUHVVHGSULRUWRDQ\FKDQJH>E@ 7KHWHFKQLFDOEDVLVIRUWKHSURSRVHGFKDQJH">E@ ,PSDFWRIFKDQJHRQVDIHW\DQGKHDOWK">E@ 0RGLILFDWLRQVWRRSHUDWLQJSURFHGXUHV">E@ 1HFHVVDU\WLPHSHULRGIRUWKHFKDQJH">E@ $XWKRUL]DWLRQUHTXLUHPHQWVIRUWKHSURSRVHGFKDQJH">E@ :HUHHPSOR\HHVLQYROYHGLQRSHUDWLQJDSURFHVVDQGPDLQWHQDQFHDQGFRQWUDFWHPSOR\HHVZKRVHMREWDVNVZRXOG EHDIIHFWHGE\DFKDQJHLQWKHSURFHVVLQIRUPHGRIDQGWUDLQHGLQWKHFKDQJHSULRUWRVWDUWXSRIWKHSURFHVVRU DIIHFWHGSDUWVRIWKHSURFHVV">F@ ,IDFKDQJHUHVXOWHGLQDFKDQJHLQWKHSURFHVVVDIHW\LQIRUPDWLRQZDVVXFKLQIRUPDWLRQXSGDWHGDFFRUGLQJO\" >G@ ,IDFKDQJHUHVXOWHGLQDFKDQJHLQWKHRSHUDWLQJSURFHGXUHVRUSUDFWLFHVKDGVXFKSURFHGXUHVRUSUDFWLFHVEHHQ XSGDWHGDFFRUGLQJO\">H@ 3UHYHQWLRQ3URJUDP:3UHVWDUWXSVDIHW\UHYLHZ>@ +DVWKHRZQHURURSHUDWRUSHUIRUPHGDSUHVWDUWXSVDIHW\UHYLHZIRUQHZVWDWLRQDU\VRXUFHVDQGIRUPRGLILHG VWDWLRQDU\VRXUFHVZKHQWKHPRGLILFDWLRQLVVLJQLILFDQWHQRXJKWRUHTXLUHDFKDQJHLQWKHSURFHVVVDIHW\ LQIRUPDWLRQ">D@ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ 'RHVWKHSUHVWDUWXSVDIHW\UHYLHZFRQILUPWKHIROORZLQJSULRUWRWKHLQWURGXFWLRQRIDUHJXODWHGVXEVWDQFHWRD SURFHVV>E@ &RQVWUXFWLRQDQGHTXLSPHQWZDVLQDFFRUGDQFHZLWKGHVLJQVSHFLILFDWLRQV">E@ 6DIHW\RSHUDWLQJPDLQWHQDQFHDQGHPHUJHQF\SURFHGXUHVZHUHLQSODFHDQGZHUHDGHTXDWH">E@ )RUQHZVWDWLRQDU\VRXUFHVDSURFHVVKD]DUGDQDO\VLVKDGEHHQSHUIRUPHGDQGUHFRPPHQGDWLRQVKDGEHHQ UHVROYHGRULPSOHPHQWHGEHIRUHVWDUWXS">E@ 0RGLILHGVWDWLRQDU\VRXUFHVPHHWWKHUHTXLUHPHQWVFRQWDLQHGLQPDQDJHPHQWRIFKDQJH">E@ 7UDLQLQJRIHDFKHPSOR\HHLQYROYHGLQRSHUDWLQJDSURFHVVKDGEHHQFRPSOHWHG">E@ 3UHYHQWLRQ3URJUDP:&RPSOLDQFHDXGLWV>@ +DVWKHRZQHURURSHUDWRUFHUWLILHGWKDWWKHVWDWLRQDU\VRXUFHKDVHYDOXDWHGFRPSOLDQFHZLWKWKHSURYLVLRQVRIWKH SUHYHQWLRQSURJUDPDWOHDVWHYHU\WKUHH\HDUVWRYHULI\WKDWWKHGHYHORSHGSURFHGXUHVDQGSUDFWLFHVDUHDGHTXDWHDQG EHLQJIROORZHG">D@ +DVWKHDXGLWEHHQFRQGXFWHGE\DWOHDVWRQHSHUVRQNQRZOHGJHDEOHLQWKHSURFHVV">E@ $UHWKHDXGLWILQGLQJVGRFXPHQWHGLQDUHSRUW">F@ +DVWKHRZQHURURSHUDWRUSURPSWO\GHWHUPLQHGDQGGRFXPHQWHGDQDSSURSULDWHUHVSRQVHWRHDFKRIWKHILQGLQJVRI WKHDXGLWDQGGRFXPHQWHGWKDWGHILFLHQFLHVKDGEHHQFRUUHFWHG">G@ +DVWKHRZQHURURSHUDWRUUHWDLQHGWKHWZRPRVWUHFHQWFRPSOLDQFHUHSRUWV">H@ 3UHYHQWLRQ3URJUDP:,QFLGHQWLQYHVWLJDWLRQ>@ +DVWKHRZQHURURSHUDWRULQYHVWLJDWHGHDFKLQFLGHQWWKDWUHVXOWHGLQRUFRXOGUHDVRQDEO\KDYHUHVXOWHGLQD FDWDVWURSKLFUHOHDVHRIDUHJXODWHGVXEVWDQFH">D@ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB :HUHDOOLQFLGHQWLQYHVWLJDWLRQVLQLWLDWHGQRWODWHUWKDQKRXUVIROORZLQJWKHLQFLGHQW">E@ < 1 1$ :DVDQDFFLGHQWLQYHVWLJDWLRQWHDPHVWDEOLVKHGDQGGLGLWFRQVLVWRIDWOHDVWRQHSHUVRQNQRZOHGJHDEOHLQWKH SURFHVVLQYROYHGLQFOXGLQJDFRQWUDFWHPSOR\HHLIWKHLQFLGHQWLQYROYHGZRUNRIDFRQWUDFWRUDQGRWKHUSHUVRQV ZLWKDSSURSULDWHNQRZOHGJHDQGH[SHULHQFHWRWKRURXJKO\LQYHVWLJDWHDQGDQDO\]HWKHLQFLGHQW">F@ < 1 1$ :DVDUHSRUWSUHSDUHGDWWKHFRQFOXVLRQRIHYHU\LQYHVWLJDWLRQ">G@ < 1 1$ 'RHVHYHU\UHSRUWLQFOXGH>G@ 'DWHRILQFLGHQW">G@ 'DWHLQYHVWLJDWLRQEHJDQ">G@ $GHVFULSWLRQRIWKHLQFLGHQW">G@ 7KHIDFWRUVWKDWFRQWULEXWHGWRWKHLQFLGHQW">G@ $Q\UHFRPPHQGDWLRQVUHVXOWLQJIURPWKHLQYHVWLJDWLRQ">G@ < 1 1$ +DVWKHRZQHURURSHUDWRUHVWDEOLVKHGDV\VWHPWRSURPSWO\DGGUHVVDQGUHVROYHWKHLQFLGHQWUHSRUWILQGLQJVDQG UHFRPPHQGDWLRQVDQGDUHWKHUHVROXWLRQVDQGFRUUHFWLYHDFWLRQVGRFXPHQWHG">H@ < 1 1$ :DVWKHUHSRUWUHYLHZHGZLWKDOODIIHFWHGSHUVRQQHOZKRVHMREWDVNVDUHUHOHYDQWWRWKHLQFLGHQWILQGLQJVLQFOXGLQJ FRQWUDFWHPSOR\HHVZKHUHDSSOLFDEOH">I@ < 1 1$ +DVWKHRZQHURURSHUDWRUUHWDLQHGLQFLGHQWLQYHVWLJDWLRQUHSRUWVIRUDWOHDVWILYH\HDUV">J@ < 1 1$ 3UHYHQWLRQ3URJUDP:(PSOR\HHSDUWLFLSDWLRQ>@ 55. +DVWKHRZQHURURSHUDWRUGHYHORSHGDZULWWHQSODQRIDFWLRQUHJDUGLQJWKHLPSOHPHQWDWLRQRIWKHHPSOR\HH SDUWLFLSDWLRQUHTXLUHGE\WKLVVHFWLRQ">D@ < 1 1$ 56 +DVWKHRZQHURURSHUDWRUFRQVXOWHGZLWKHPSOR\HHVDQGWKHLUUHSUHVHQWDWLYHVRQWKHFRQGXFWDQGGHYHORSPHQWRI SURFHVVKD]DUGVDQDO\VHVDQGRQWKHGHYHORSPHQWRIWKHRWKHUHOHPHQWVRISURFHVVVDIHW\PDQDJHPHQWLQFKHPLFDO DFFLGHQWSUHYHQWLRQSURYLVLRQV">E@ < 1 1$ 57 +DVWKHRZQHURURSHUDWRUSURYLGHGWRHPSOR\HHVDQGWKHLUUHSUHVHQWDWLYHVDFFHVVWRSURFHVVKD]DUGVDQDO\VHVDQGWR < 1 1$ DOORWKHULQIRUPDWLRQUHTXLUHGWREHGHYHORSHGXQGHUWKHFKHPLFDODFFLGHQWSUHYHQWLRQUXOH">F@ 3UHYHQWLRQ3URJUDP:+RWZRUNSHUPLW>@ 58 +DVWKHRZQHURURSHUDWRULVVXHGDKRWZRUNSHUPLWIRUHDFKKRWZRUNRSHUDWLRQFRQGXFWHGRQRUQHDUDFRYHUHG SURFHVV">D@ < 1 1$ 59 'RHVWKHSHUPLWGRFXPHQWWKDWWKHILUHSUHYHQWLRQDQGSURWHFWLRQUHTXLUHPHQWVLQ&)5DKDYHEHHQ LPSOHPHQWHGSULRUWREHJLQQLQJWKHKRWZRUNRSHUDWLRQV">E@ < 1 1$ 60 'RHVWKHSHUPLWLQGLFDWHWKHGDWHVDXWKRUL]HGIRUKRWZRUNDQGWKHREMHFWVXSRQZKLFKKRWZRUNLVWREH SHUIRUPHG">E@ < 1 1$ 61 $UHWKHSHUPLWVEHLQJNHSWRQILOHXQWLOFRPSOHWLRQRIWKHKRWZRUNRSHUDWLRQV">E] < 1 1$ 3UHYHQWLRQ3URJUDP:&RQWUDFWRUV>@ 62 +DVWKHRZQHURURSHUDWRUREWDLQHGDQGHYDOXDWHGLQIRUPDWLRQUHJDUGLQJWKHFRQWUDFWRZQHURURSHUDWRUVVDIHW\ SHUIRUPDQFHDQGSURJUDPVZKHQVHOHFWLQJDFRQWUDFWRU">E@ < 1 1$ 63 +DVWKHRZQHURURSHUDWRULQIRUPHGFRQWUDFWRZQHURURSHUDWRURIWKHNQRZQSRWHQWLDOILUHH[SORVLRQRUWR[LF UHOHDVHKD]DUGVUHODWHGWRWKHFRQWUDFWRUVZRUNDQGWKHSURFHVV">E@ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB 64 +DVWKHRZQHURURSHUDWRUH[SODLQHGWRWKHFRQWUDFWRZQHURURSHUDWRUWKHDSSOLFDEOHSURYLVLRQVRIWKHHPHUJHQF\ UHVSRQVHRUWKHHPHUJHQF\DFWLRQSURJUDP">E@ < 1 1$ 65 +DVWKHRZQHURURSHUDWRUGHYHORSHGDQGLPSOHPHQWHGVDIHZRUNSUDFWLFHVFRQVLVWHQWZLWKGWRFRQWUROWKH < 1 1$ HQWUDQFHSUHVHQFHDQGH[LWRIWKHFRQWUDFWRZQHURURSHUDWRUDQGFRQWUDFWHPSOR\HHVLQWKHFRYHUHGSURFHVVDUHDV" >E@ 66 3HULRGLFDOO\HYDOXDWHGWKHSHUIRUPDQFHRIWKHFRQWUDFWRZQHURURSHUDWRULQIXOILOOLQJWKHLUREOLJDWLRQVDVGHVFULEHG < 1 1$ DWFF">E@ 6XESDUW( (PHUJHQF\5HVSRQVH>@ 'HYHORSHGDQGLPSOHPHQWHGDQHPHUJHQF\UHVSRQVHSURJUDPDVSURYLGHGLQ&)5" &RPPHQWVResponse activities coordinated after July 2023 release ,VWKHIDFLOLW\GHVLJQDWHGDVDUHVSRQGLQJVWDWLRQDU\VRXUFH" < D,IWKHIDFLOLW\LVQRWDUHVSRQGLQJVWDWLRQDU\VRXUFHLWQHHGQRWFRPSO\ZLWKLIWKHIROORZLQJFRQGLWLRQVDUHPHW D )RUVWDWLRQDU\VRXUFHVZLWKDQ\UHJXODWHGVXEVWDQFHVKHOGLQDSURFHVVDERYHWKUHVKROGTXDQWLWLHVLVWKHVRXUFH < LQFOXGHGLQWKHFRPPXQLW\HPHUJHQF\UHVSRQVHSODQGHYHORSHGXQGHU86&">E@ D )RUVWDWLRQDU\VRXUFHVZLWKRQO\UHJXODWHGIODPPDEOHVXEVWDQFHVKHOGLQDSURFHVVDERYHWKUHVKROGTXDQWLWLHV < KDVWKHRZQHURURSHUDWRUFRRUGLQDWHGUHVSRQVHDFWLRQVZLWKWKHORFDOILUHGHSDUWPHQW">E@ D $UHDSSURSULDWHPHFKDQLVPVLQSODFHWRQRWLI\HPHUJHQF\UHVSRQGHUVZKHQWKHUHLVQHHGIRUDUHVSRQVH" < >E@ D $VRI6HSWHPEHUKDVWKHRZQHURURSHUDWRUSHUIRUPHGWKHDQQXDOHPHUJHQF\UHVSRQVHFRRUGLQDWLRQ < DFWLYLWLHVUHTXLUHGXQGHU">E@6HH,WHPVWKURXJK D +DVWKHRZQHURURSHUDWRUSHUIRUPHGWKHDQQXDOQRWLILFDWLRQH[HUFLVHVUHTXLUHGXQGHUDEHIRUH < 'HFHPEHU">E@6HH,WHPVDQG )RUQRQUHVSRQGLQJVWDWLRQDU\VRXUFHVZKHUHDDUHDOOPDUNHGDV<SURFHHGWR6XESDUW(,WHP E ,IWKHIDFLOLW\LVDUHVSRQGLQJVWDWLRQDU\VRXUFH E+DVWKHRZQHURURSHUDWRUGHYHORSHGDQGLPSOHPHQWHGDQHPHUJHQF\UHVSRQVHSURJUDPWKDWLQFOXGHVWKH < HOHPHQWVUHTXLUHGLQD">D@6HH,WHPVEE 1 1$ 1 1$ 1 1$ 1 1$ 1 1$ 1 1$ 1 1$ E $QHPHUJHQF\UHVSRQVHSODQLVPDLQWDLQHGDWWKHVWDWLRQDU\VRXUFHDQGFRQWDLQVWKHIROORZLQJ">D@ 3URFHGXUHVIRULQIRUPLQJWKHSXEOLFDQGWKHDSSURSULDWH)HGHUDOVWDWHDQGORFDOHPHUJHQF\UHVSRQVH DJHQFLHVDERXWDFFLGHQWDOUHOHDVHV">DL@ 'RFXPHQWDWLRQRISURSHUILUVWDLGDQGHPHUJHQF\PHGLFDOWUHDWPHQWQHFHVVDU\WRWUHDWDFFLGHQWDOKXPDQ H[SRVXUHV">DLL@ 3URFHGXUHVDQGPHDVXUHVIRUHPHUJHQF\UHVSRQVHDIWHUDQDFFLGHQWDOUHOHDVHRIDUHJXODWHGVXEVWDQFH" >DLLL@ E 'RHVWKHHPHUJHQF\UHVSRQVHSURJUDPFRQWDLQVSURFHGXUHVIRUWKHXVHRIHPHUJHQF\UHVSRQVHHTXLSPHQWDQG IRULWVLQVSHFWLRQWHVWLQJDQGPDLQWHQDQFH">D@ E 'RHVWKHHPHUJHQF\UHVSRQVHSURJUDPLQFOXGHWUDLQLQJIRUDOOHPSOR\HHVLQUHOHYDQWSURFHGXUHV">D@ E 'RHVWKHHPHUJHQF\UHVSRQVHSURJUDPLQFOXGHSURFHGXUHVWRUHYLHZDQGXSGDWHDVDSSURSULDWHWKHHPHUJHQF\ UHVSRQVHSODQWRUHIOHFWFKDQJHVDWWKHVWDWLRQDU\VRXUFHDQGHQVXUHWKDWHPSOR\HHVDUHLQIRUPHGRIFKDQJHV" >D@ < 1 1$ < 1 1$ < 1 1$ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB E 'RHVWKHHPHUJHQF\UHVSRQVHSURJUDPLQFOXGHDZULWWHQSODQWKDWFRPSOLHVZLWKRWKHU)HGHUDOFRQWLQJHQF\SODQ < 1 1$ UHJXODWLRQVRULVFRQVLVWHQWZLWKWKHDSSURDFKLQWKH1DWLRQDO5HVSRQVH7HDPV,QWHJUDWHG&RQWLQJHQF\3ODQ *XLGDQFH2QH3ODQ",IVRGRHVWKHSODQLQFOXGHWKHHOHPHQWVSURYLGHGLQSDUDJUDSKDRIDQGDOVR FRPSOLHVZLWKSDUDJUDSKFRI">E@ E +DVWKHHPHUJHQF\UHVSRQVHSODQEHHQFRRUGLQDWHGZLWKWKHFRPPXQLW\HPHUJHQF\UHVSRQVHSODQGHYHORSHG XQGHU(3&5$">F@ < 1 1$ E +DVWKHRZQHURURSHUDWRUGHYHORSHGDQGLPSOHPHQWHGDQH[HUFLVHSURJUDPIRULWVHPHUJHQF\UHVSRQVH SURJUDPLQFOXGLQJWKHHPHUJHQF\SODQUHTXLUHGXQGHUD" >E@ < 1 1$ E'RWKHH[HUFLVHVLQYROYHIDFLOLW\HPHUJHQF\UHVSRQVHSHUVRQQHODQGDVDSSURSULDWHHPHUJHQF\UHVSRQVH FRQWUDFWRUV">E@ < 1 1$ E :KHQSODQQLQJHPHUJHQF\UHVSRQVHILHOGDQGWDEOHWRSH[HUFLVHVKDVWKHRZQHURURSHUDWRUFRRUGLQDWHGZLWK ORFDOSXEOLFHPHUJHQF\UHVSRQVHRIILFLDOVDQGLQYLWHWKHPWRSDUWLFLSDWHLQWKHH[HUFLVH">E@ < 1 1$ E 'RHVWKHHPHUJHQF\UHVSRQVHH[HUFLVHSURJUDPLQFOXGH>E@ (PHUJHQF\UHVSRQVHILHOGH[HUFLVHV">E@ 7DEOHWRSH[HUFLVHV">E@ 'RFXPHQWDWLRQ">E@ < 1 1$ E $VSDUWRIFRRUGLQDWLRQZLWKORFDOHPHUJHQF\UHVSRQVHRIILFLDOVKDVWKHRZQHURURSHUDWRUFRQVXOWHGZLWK WKHVHRIILFLDOVWRHVWDEOLVKDQDSSURSULDWHIUHTXHQF\IRUILHOGH[HUFLVHV" >EL@ < 1 1$ E)LHOGH[HUFLVHVVKDOOLQYROYHWHVWVRIWKHVRXUFHVHPHUJHQF\UHVSRQVHSODQLQFOXGLQJGHSOR\PHQWRIHPHUJHQF\ < 1 1$ UHVSRQVHSHUVRQQHODQGHTXLSPHQW'RILHOGH[HUFLVHVLQFOXGH>ELL@ 7HVWVRISURFHGXUHVWRQRWLI\WKHSXEOLFDQGWKHDSSURSULDWH)HGHUDOVWDWHDQGORFDOHPHUJHQF\UHVSRQVH DJHQFLHVDERXWDQDFFLGHQWDOUHOHDVH" 7HVWVRISURFHGXUHVDQGPHDVXUHVIRUHPHUJHQF\UHVSRQVHDFWLRQVLQFOXGLQJHYDFXDWLRQVDQGPHGLFDO WUHDWPHQW" 7HVWVRIFRPPXQLFDWLRQVV\VWHPV" 0RELOL]DWLRQRIIDFLOLW\HPHUJHQF\UHVSRQVHSHUVRQQHOLQFOXGLQJFRQWUDFWRUVDVDSSURSULDWH" &RRUGLQDWLRQZLWKORFDOHPHUJHQF\UHVSRQGHUV" (PHUJHQF\UHVSRQVHHTXLSPHQWGHSOR\PHQW" $Q\RWKHUDFWLRQLGHQWLILHGLQWKHHPHUJHQF\UHVSRQVHSURJUDPDVDSSURSULDWH" E $VSDUWRIFRRUGLQDWLRQZLWKORFDOHPHUJHQF\UHVSRQVHRIILFLDOVKDVWKHRZQHURURSHUDWRUFRQVXOWHGZLWK WKHVHRIILFLDOVWRHVWDEOLVKDQDSSURSULDWHIUHTXHQF\IRUWDEOHWRSH[HUFLVHVDQGFRQGXFWHGDWDEOHWRSH[HUFLVH EHIRUH'HFHPEHUDQGDWDPLQLPXPRIDWOHDVWRQFHHYHU\WKUHH\HDUVWKHUHDIWHU" >EL@ < 1 1$ E7DEOHWRSH[HUFLVHVVKDOOLQYROYHGLVFXVVLRQVRIWKHVRXUFHVHPHUJHQF\UHVSRQVHSODQ'RWKHH[HUFLVHVLQFOXGH GLVFXVVLRQVRI>ELL@ 3URFHGXUHVWRQRWLI\WKHSXEOLFDQGWKHDSSURSULDWH)HGHUDOVWDWHDQGORFDOHPHUJHQF\UHVSRQVHDJHQFLHV" 3URFHGXUHVDQGPHDVXUHVIRUHPHUJHQF\UHVSRQVHLQFOXGLQJHYDFXDWLRQVDQGPHGLFDOWUHDWPHQW" ,GHQWLILFDWLRQRIIDFLOLW\HPHUJHQF\UHVSRQVHSHUVRQQHODQGRUFRQWUDFWRUVDQGWKHLUUHVSRQVLELOLWLHV" &RRUGLQDWLRQZLWKORFDOHPHUJHQF\UHVSRQGHUV" 3URFHGXUHVIRUHPHUJHQF\UHVSRQVHHTXLSPHQWGHSOR\PHQW" $Q\RWKHUDFWLRQLGHQWLILHGLQWKHHPHUJHQF\UHVSRQVHSODQDVDSSURSULDWH" < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB E+DVWKHRZQHURURSHUDWRUSUHSDUHGDQHYDOXDWLRQUHSRUWZLWKLQGD\VRIHDFKILHOGDQGWDEOHWRSH[HUFLVH ZKLFKLQFOXGHG>E@ $GHVFULSWLRQRIWKHH[HUFLVHVFHQDULR" 1DPHVDQGRUJDQL]DWLRQVRIHDFKSDUWLFLSDQW" $QHYDOXDWLRQRIWKHH[HUFLVHUHVXOWVLQFOXGLQJOHVVRQVOHDUQHG" 5HFRPPHQGDWLRQVIRULPSURYHPHQWRUUHYLVLRQVWRWKHHPHUJHQF\UHVSRQVHH[HUFLVHSURJUDPDQG HPHUJHQF\UHVSRQVHSURJUDPDQGDVFKHGXOHWRSURPSWO\DGGUHVVDQGUHVROYHUHFRPPHQGDWLRQV" E+DVWKHRZQHURURSHUDWRUVDWLVILHGWKHUHTXLUHPHQWWRFRQGXFWQRWLILFDWLRQILHOGDQGRUWDEOHWRSH[HUFLVHV WKURXJKDOWHUQDWLYHPHDQVVXFKDV>F@ ([HUFLVHVFRQGXFWHGWRPHHWRWKHU)HGHUDOVWDWHRUORFDOH[HUFLVHUHTXLUHPHQWVSURYLGHGWKHH[HUFLVH PHHWVWKHUHTXLUHPHQWVRISDUDJUDSKVDDQGRUERIWKLVVHFWLRQDVDSSURSULDWH>F@ 5HVSRQVHWRDQDFFLGHQWDOUHOHDVHSURYLGHGWKHUHVSRQVHLQFOXGHVWKHDFWLRQVLQGLFDWHGLQSDUDJUDSKVD DQGRUERIWKLVVHFWLRQDVDSSURSULDWH:KHQXVHGWRPHHWILHOGDQGRUWDEOHWRSH[HUFLVHUHTXLUHPHQWV WKHRZQHURURSHUDWRUVKDOOSUHSDUHDQDIWHUDFWLRQUHSRUWFRPSDUDEOHWRWKHH[HUFLVHHYDOXDWLRQUHSRUW UHTXLUHGLQSDUDJUDSKERIWKLVVHFWLRQZLWKLQGD\VRIWKHLQFLGHQW >F@ )RUDOOUHVSRQGLQJDQGQRQUHVSRQGLQJVWDWLRQDU\VRXUFHV +DVWKHRZQHURURSHUDWRURIDVWDWLRQDU\VRXUFHFRRUGLQDWHGUHVSRQVHQHHGVZLWKORFDOHPHUJHQF\SODQQLQJDQG UHVSRQVHRUJDQL]DWLRQVWRGHWHUPLQHKRZWKHVWDWLRQDU\VRXUFHLVDGGUHVVHGLQWKHFRPPXQLW\HPHUJHQF\UHVSRQVH SODQDQGWRHQVXUHWKDWORFDOUHVSRQVHRUJDQL]DWLRQVDUHDZDUHRIWKHUHJXODWHGVXEVWDQFHVDWWKHVWDWLRQDU\VRXUFH WKHLUTXDQWLWLHVWKHULVNVSUHVHQWHGE\FRYHUHGSURFHVVHVDQGWKHUHVRXUFHVDQGFDSDELOLWLHVDWWKHVWDWLRQDU\VRXUFH WRUHVSRQGWRDQDFFLGHQWDOUHOHDVHRIDUHJXODWHGVXEVWDQFH" >D@ +DVFRRUGLQDWLRQRFFXUUHGDWOHDVWDQQXDOO\DQGPRUHIUHTXHQWO\LIQHFHVVDU\WRDGGUHVVFKDQJHV$WWKHVWDWLRQDU\ VRXUFHLQWKHVWDWLRQDU\VRXUFH VHPHUJHQF\UHVSRQVHDQGRUHPHUJHQF\DFWLRQSODQDQGRULQWKHFRPPXQLW\ HPHUJHQF\UHVSRQVHSODQ">D@ +DVFRRUGLQDWLRQLQFOXGHGSURYLGLQJWRWKHORFDOHPHUJHQF\SODQQLQJDQGUHVSRQVHRUJDQL]DWLRQV">E@ 7KHVWDWLRQDU\VRXUFH VHPHUJHQF\UHVSRQVHSODQLIRQHH[LVWV" (PHUJHQF\DFWLRQSODQ" 8SGDWHGHPHUJHQF\FRQWDFWLQIRUPDWLRQ" 2WKHULQIRUPDWLRQQHFHVVDU\IRUGHYHORSLQJDQGLPSOHPHQWLQJWKHORFDOHPHUJHQF\UHVSRQVHSODQ" )RUUHVSRQGLQJVWDWLRQDU\VRXUFHVKDVIDFLOLW\FRQVXOWHGZLWKORFDOHPHUJHQF\UHVSRQVHRIILFLDOVWRHVWDEOLVK DSSURSULDWHVFKHGXOHVDQGSODQVIRUILHOGDQGWDEOHWRSH[HUFLVHVUHTXLUHGXQGHUE"6HH,WHPVE EEDQGE $VRI6HSWHPEHUKDVWKHRZQHURURSHUDWRUGRFXPHQWHGFRRUGLQDWLRQZLWKORFDODXWKRULWLHVLQFOXGLQJ >F@ 7KHQDPHVRILQGLYLGXDOVLQYROYHGDQGWKHLUFRQWDFWLQIRUPDWLRQSKRQHQXPEHUHPDLODGGUHVVDQG RUJDQL]DWLRQDODIILOLDWLRQV" 'DWHVRIFRRUGLQDWLRQDFWLYLWLHV" 1DWXUHRIFRRUGLQDWLRQDFWLYLWLHV" +DVWKHRZQHURURSHUDWRURIDVWDWLRQDU\VRXUFHZLWKDQ\3URJUDPRU3URJUDPSURFHVVFRQGXFWHGDQH[HUFLVHRI WKHVWDWLRQDU\VRXUFHVHPHUJHQF\UHVSRQVHQRWLILFDWLRQPHFKDQLVPVEHIRUH'HFHPEHUDQGDQQXDOO\ WKHUHDIWHU">D@ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ < 1 1$ 2ZQHUVRURSHUDWRUVRIUHVSRQGLQJVWDWLRQDU\VRXUFHVPD\SHUIRUPWKHQRWLILFDWLRQH[HUFLVHDVSDUWRIWKHWDEOHWRS DQGILHOGH[HUFLVHV 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB +DVWKHRZQHURSHUDWRUPDLQWDLQHGDZULWWHQUHFRUGRIHDFKQRWLILFDWLRQH[HUFLVHFRQGXFWHGRYHUWKHODVWILYH\HDUV" >D@ < 1 1$ 6XESDUW*5LVN0DQDJHPHQW3ODQ>&)5@ 'RFXPHQWHGD5LVN0DQDJHPHQW3ODQDVSURYLGHGLQ&)5" &RPPHQWVH ome City did not take ownership of the active RMP when the facility was acquired from Lang Ice, Subpart G left blank 'RHVWKHVLQJOHUHJLVWUDWLRQIRUPLQFOXGHIRUHDFKFRYHUHGSURFHVV>E@ 7KHQDPHDQG&$6QXPEHURIHDFKUHJXODWHGVXEVWDQFHKHOGDERYHWKHWKUHVKROGTXDQWLW\LQWKHSURFHVV" 7KHPD[LPXPTXDQWLW\RIHDFKUHJXODWHGVXEVWDQFHRUPL[WXUHLQWKHSURFHVVLQSRXQGVWRWZRVLJQLILFDQW GLJLWV" 7KHILYHRUVL[GLJLW1$,&6FRGHWKDWPRVWFORVHO\FRUUHVSRQGVWRWKHSURFHVV" 7KHFRUUHFWSURJUDPOHYHORIWKHSURFHVV" < 1 1$ 'RHVWKHUHJLVWUDWLRQIRUPLQFOXGHZKHWKHUDSXEOLFPHHWLQJKDVEHHQKHOGIROORZLQJDQ503UHSRUWDEOHDFFLGHQW SXUVXDQWWRE">E@ < 1 1$ 'RHVWKHRZQHURURSHUDWRUSURYLGHLQWKH503>D@ < 1 1$ 1DPHSKRQHQXPEHUDQGHPDLODGGUHVVRIORFDOHPHUJHQF\SODQQLQJDQGUHVSRQVHRUJDQL]DWLRQVZLWKZKLFK WKHVWDWLRQDU\VRXUFHODVWFRRUGLQDWHGHPHUJHQF\UHVSRQVHHIIRUWVSXUVXDQWWRJRU" >D@ 7KHGDWHRIWKHPRVWUHFHQWFRRUGLQDWLRQZLWKWKHORFDOHPHUJHQF\UHVSRQVHRUJDQL]DWLRQVSXUVXDQWWR" >D@ $OLVWRI)HGHUDORUVWDWHHPHUJHQF\SODQUHTXLUHPHQWVWRZKLFKWKHVWDWLRQDU\VRXUFHLVVXEMHFW">D@ )RUQRQUHVSRQGLQJVWDWLRQDU\VRXUFHVGRHVWKHRZQHURURSHUDWRULGHQWLI\>E@ )RUVWDWLRQDU\VRXUFHVZLWKDQ\UHJXODWHGWR[LFVXEVWDQFHKHOGLQDSURFHVVDERYHWKHWKUHVKROGTXDQWLW\ ZKHWKHUWKHVWDWLRQDU\VRXUFHLVLQFOXGHGLQWKHFRPPXQLW\HPHUJHQF\UHVSRQVHSODQGHYHORSHGXQGHU 86&SXUVXDQWWRE">EL@ )RUVWDWLRQDU\VRXUFHVZLWKRQO\UHJXODWHGIODPPDEOHVXEVWDQFHVKHOGLQDSURFHVVDERYHWKHWKUHVKROG TXDQWLW\WKHGDWHRIWKHPRVWUHFHQWFRRUGLQDWLRQZLWKWKHORFDOILUHGHSDUWPHQWSXUVXDQWWRE" >ELL@ :KDWPHFKDQLVPVDUHLQSODFHWRQRWLI\WKHSXEOLFDQGHPHUJHQF\UHVSRQGHUVZKHQWKHUHLVDQHHGIRU HPHUJHQF\UHVSRQVH">ELLL@ 7KHGDWHRIWKHPRVWUHFHQWQRWLILFDWLRQH[HUFLVHDVUHTXLUHGLQD">ELY@ < 1 1$ )RUUHVSRQGLQJVWDWLRQDU\VRXUFHVGRHVWKHRZQHURURSHUDWRULGHQWLI\WKHGDWHRIWKHPRVWUHFHQW>E@ 5HYLHZDQGXSGDWHRIWKHHPHUJHQF\UHVSRQVHSODQSXUVXDQWWRD">EL@ 1RWLILFDWLRQH[HUFLVHDVUHTXLUHGLQD">ELL@ )LHOGH[HUFLVHDVUHTXLUHGLQE">ELLL@ 7DEOHWRSH[HUFLVHDVUHTXLUHGLQE">ELY@ < 1 1$ 3DJHRI 5HY 5033URJUDP/HYHO3URFHVV&KHFNOLVW )DFLOLW\1DPHBHBoBmBBeBBCBiBtyBBIcBeBBCBoBmBBpBaBnByBB(fB/kBBBBBBBBBBBBB +DVWKHRZQHURURSHUDWRUUHYLHZHGDQGXSGDWHGWKH503DQGVXEPLWWHGLWWR(3$IRUWKHIROORZLQJ>D@" )LYH\HDUXSGDWH>E@ :LWKLQWKUHH\HDUVRIDQHZO\UHJXODWHGVXEVWDQFHOLVWLQJ>E@ $WWKHWLPHDQHZUHJXODWHGVXEVWDQFHLVILUVWSUHVHQWLQDQDOUHDG\UHJXODWHGSURFHVVDERYHWKUHVKROG TXDQWLWLHV>E@ $WWKHWLPHDUHJXODWHGVXEVWDQFHLVILUVWSUHVHQWLQDQQHZSURFHVVDERYHWKUHVKROGTXDQWLWLHV>E@ :LWKLQVL[PRQWKVRIDFKDQJHUHTXLULQJUHYLVHG3+$RUKD]DUGUHYLHZ>E@ :LWKLQVL[PRQWKVRIDFKDQJHUHTXLULQJDUHYLVHG2&$DVSURYLGHGLQ>E@ :LWKLQVL[PRQWKVRIDFKDQJHWKDWDOWHUVWKH3URJUDPOHYHOWKDWDSSOLHVWRDQ\FRYHUHGSURFHVV>E@ ,IWKHRZQHURURSHUDWRUH[SHULHQFHGDQDFFLGHQWDOUHOHDVHWKDWPHWWKHILYH\HDUDFFLGHQWKLVWRU\UHSRUWLQJFULWHULD DVGHVFULEHGDWVXEVHTXHQWWR$SULOGLGWKHRZQHURURSHUDWRUVXEPLWWKHLQIRUPDWLRQUHTXLUHGDW MDQGOZLWKLQVL[PRQWKVRIWKHUHOHDVHRUE\WKHWLPHWKH503ZDVXSGDWHGDVUHTXLUHGDW ZKLFKHYHUZDVHDUOLHU>D@ ,IWKHHPHUJHQF\FRQWDFWLQIRUPDWLRQUHTXLUHGDWEKDVFKDQJHGVLQFH-XQHGLGWKHRZQHURU RSHUDWRUVXEPLWFRUUHFWHGLQIRUPDWLRQZLWKLQWKLUW\GD\VRIWKHFKDQJH">E@ 6XESDUW+2WKHU5HTXLUHPHQWV>&)5@ < 1 1$ < 1 1$ < 1 1$ ,PSOHPHQWHG2WKHU5HTXLUHPHQWVDVSURYLGHGLQ&)5" &RPPHQWV +DVWKHRZQHURURSHUDWRUPDLQWDLQHGUHFRUGVVXSSRUWLQJWKHLPSOHPHQWDWLRQRIWKLVSDUWDWWKHVWDWLRQDU\VRXUFHIRU ILYH\HDUVXQOHVVRWKHUZLVHSURYLGHGLQ6XESDUW'3URJUDP3UHYHQWLRQ3URJUDP">@ 'LGWKHRZQHURURSHUDWRUKROGDSXEOLFPHHWLQJWRSURYLGHLQIRUPDWLRQUHTXLUHGXQGHUEQRODWHUWKDQ GD\VDIWHUDQ\503UHSRUWDEOHDFFLGHQWDWWKHVWDWLRQDU\VRXUFHZLWKDQ\NQRZQRIIVLWHLPSDFWVSHFLILHGLQ D">E@ < 1 1$ < 1 1$ 3DJHRI 5HY