Correspondence among

FYI ... | spoke with Fonger this morning and this is his story. | had asked him to confirm with Ed Kurtz, but apparently he didn’t want to wait. for gov rick_snyder.html xxxEND_PAGE:treasury01_b04_0379_0503_125

Sent from my iPhone Begin forwarded message:

Nat that ’rm aware of and believe this stl stands. Double checking on this end just in case.

The permits for KWA are already issued. I’ve got our folks working up some talking points on the DEQ-related issues this week, but our role here is not what the news really cares about. b Brad Wurfel Communications Director Michigan Department of Environmental Quality 517-241-7395 - office 517-230-8006 - cell

All, Steve Carmody has asked for some information on this. | will follow up with him based on the general info below. Any other "updates" at this point? Thanks, Terry Begin forwarded message:

Here is the start of some topline messages for Flint ... | don’t think that we need to get too deep into the specifics on the deal, we can leave that to Ed and others to discuss. Please let me know of any suggestions and additions that you have. | plan to also put together some background information that we can have on hand when discussing the topic. As | mentioned before, it likely won’t be until the week of Apr 8" that we discuss this publicly. e This is a decision made by the City of Flint and is a local decision that affects their local water supply. e Flint Emergency Manager Ed Kurtz has heavily involved the city’s elected officials throughout the decision-making process and all agree that this is best for the citizens and businesses in Flint. e = This will save Flint at least $100 million over the next 25 years, and possibly as much as $300 million. © The Departments of Treasury and Environmental Quality have approved the financial and environmental soundness of KWA’s plan. e Flint accounts for only 2% of DWSD’s capacity. Thanks, Caleb xxxEND_PAGE:treasury01_b06_0561_0924_363 ha Lamphier, Wendy (Ti reasury)

The article is correct, we will be meeting with both proponents and opponents of the potential pipeline project. There isn’t much to say at this point, Treasury dees not have an opinion yet, as we will be getting the full briefing tomorrow. Here is what we know: xxxEND_PAGE:executiveofficeemails20_b0274_1146_1150_1 -A group Is proposing a water pipeline from Lake Huron to the Flint Metro area, which would eliminate the nead to purchase water from Detroit Water and Sewer Department (DW5D)_ -The design and cost estimates have yet to be completed. ~The City of Flint has contributed about $25-30k towards the costs of the studies. -DWSD is opposed to the plan for the obvious reason that they would lose custorners. DWWSD officials have pointed out that a study was dorie in the 90's that concluded that a project of this nature would not be cost effective. -This would allow Flint to contrat their own water costs and quality and provide apnortunities for industrial growth. Since Treasury officials have not heen briefed on all the information yet, | would keap the statement from the Governor rather high-level, something like: Treasury officials are meating ternorrow to get the details of the prapased pipeline pian. Until the ultimate costs are known and the various studies have been conducted, the benefits to the citizens of Flint and Genesee County cannot be determined, Feel free to call rne if you have any crestions. Caleb

Follow Up Flag: Follow up Flag Status: Completed The article is correct, we will be meeting with both proponents and opponents of the potential pipeline project. There isn’t much to say at this point, Treasury does not have an opinion yet, as we will be getting the full briefing tomorrow. Here is what we know: -A group is proposing a water pipeline from Lake Huron to the Flint Metro area, which would eliminate the need to purchase water from Detroit Water and Sewer Department (DWSD). -The design and cost estimates have yet to be completed. -The City of Flint has contributed about $25-30k towards the costs of the studies. -DWSD is opposed to the plan for the obvious reason that they would lose customers. DWSD officials have pointed out that a study was done in the 90’s that concluded that a project of this nature would not be cost effective. -This would allow Flint to control their own water costs and quality and provide opportunities for industrial growth. Since Treasury officials have not been briefed on all the information yet, | would keep the statement from the Governor sather high-level, something like: Treasury officials will be meeting with Genesee County and Detroit officials tomorrow to get the details of the proposed pipeline plan. Until the ultimate costs are known and the various studies have been conducted, the benefits to the citizens of Flint and Genesee County cannot be determined. Feel free to call me if you have any questions. Caleb

Importance: High Per our quick conversation, Caleb. Any update you can provide ASAP from Treasury role and perspective will be great.

Importance: High Per our quick conversation earlier, Caleb. Any update you can provide ASAP from Traasury role and perspective will be great.