GVEA Board Meeting Recap | June 23, 2026

Board Organization

The board certified the results for the District 1, 2 and 3 director election and bylaw amendments, which were all approved by the membership. Directors Phil Wight, Dave Messier and Rick Solie were officially sworn into office.

GVEA legal counsel, Andy Leman, then presided over the election of board officers in accordance with GVEA's policy and bylaws.

The following officers were elected:

• Chair: Dave Messier, District 1

• Vice Chair: Krista Zappone, District 7

• Secretary: Gary Newman, District 4

• Treasurer: Rick Solie, District 3

The board also recognized and thanked outgoing Board Chair Tom Delong for his 21 years of service and leadership.

Member Education & Comments

Two members shared concerns regarding the potential purchase of a second LM6000, specifically related to GVEA's debt and air quality impacts. Another member voiced support for installing solar generation and questioned why Golden Valley hadn't pursued installing solar on company buildings to reduce costs for the utility.

CEO & Financial Report- Travis Million, President & CEO

Resource Adequacy & Generation Planning

Travis shared that management is not requesting board action on a second LM6000 at this time. Instead, a half-day special board meeting will be scheduled for mid-July or early August to continue discussions and review additional information before any future decision is brought forward.

Federal Funding Update

Travis shared that funding for the PACE project is nearing the finish line and staff is currently working through final approvals. New ERA funding remains a work in progress, with carbon reduction requirements continuing to shape project planning. Staff are evaluating multiple scenarios to maximize eligibility for available funding.

Delta Wind & Investment Tax Credit Update

Travis provided an update on recent changes affecting federal Investment Tax Credits (ITCs) for wind projects.

Following changes made by the Trump administration in August 2025, safe harbor provisions for wind and solar projects were removed, creating significant challenges for projects attempting to qualify for federal tax credits. GVEA worked with Ameresco at that time to determine whether the Delta Wind project could meet the physical construction requirements, but supply chain delays and eagle take permitting made that timeline unlikely.

More recently, a federal court ruled that the removal of the safe harbor provisions was unlawful, restoring the option for projects to qualify for tax credits by meeting the 5% safe harbor investment threshold. However, after consulting with tax attorneys and conducting a thorough analysis, staff reported they do not currently see a clear path for the Delta Wind project to qualify for the available tax credits. To qualify under the 5% safe harbor provision, the equipment would have had to be paid for to meet the 5% investment threshold and delivered within 105 days of payment - a requirement that would be impossible to meet given the turbines' estimated 12-month lead time.

Strategic Plan Update

Travis provided an update on GVEA's Strategic Plan, highlighting progress across each goal and strategy.

The board discussed and asked questions on the goals of strengthening GVEA's culture of safety and updating key performance metrics and implementation timelines.

Travis also discussed the goal of building trust with members. Staff recommended postponing the planned 2026 member survey to allow additional time to implement several new member-facing programs before requesting feedback.

While board members expressed concern about foregoing the survey in 2026, they ultimately supported staff's recommendation. Travis also asked directors for feedback on how they would like to receive future strategic plan updates.

Financial Report

During the financial report, directors discussed operating margins and cash flow projections for 2026.

Travis explained that GVEA typically experiences stronger margins during the early months of the year due to winter energy demand and expects financial performance to normalize as the year progresses. Kathryn added that higher fuel costs, cold weather and the timing of operations projects have also influenced current results, but those trends are not expected to continue throughout the remainder of the year.

Directors also discussed the annual Form 7 financial report. Staff shared that a dedicated board work session on Form 7 is being planned, but has not yet been scheduled.

New Business

Banking Agreements

The board completed its annual review and approved GVEA's banking agreements.

APA Board Appointment

The board appointed Travis Million to serve as GVEA's representative on the Alaska Power Association Board of Directors. Phil Wight will serve as first alternate and Krista Zappone will serve as second alternate.

Petro Star Fuel Supply Contract Amendment - Presented by Abbigail Dillard, Chief Administrative Officer, and Naomi Morton-Knight, Chief Power Supply Officer

Abby Dillard and Naomi Morton-Knight presented proposed amendments to GVEA's fuel supply agreement with Petro Star.

The proposed changes update pricing for one of GVEA's most commonly used fuels by taking advantage of the new fuel storage tanks in North Pole. Staff estimate the new pricing structure could save approximately $2.4 to $3.5 million annually, reduce fuel price volatility and generate overall savings of about $2.7 million based on current fuel usage.

The amendment also updates outdated contract language, revises fuel specifications, extends the agreement for an additional five years and includes an opportunity to renegotiate fuel pricing in 2027. The changes are expected to improve reliability, increase flexibility and help offset fuel and power costs for members.

The board approved the fuel supply contract amendment.

Board Actions

• Certified the District 1, 2 & 3 election results and bylaw amendments.

• Elected board officers for the coming year.

• Approved GVEA's annual banking agreements.

• Appointed GVEA representatives to the APA Board of Directors.

• Approved the Petro Star Fuel Supply Amendment.

The slide decks and member book are available online HERE.

To learn more about upcoming board meetings and how to attend, visit the Board of Directors page on GVEA's website.