Mark Parkinson, Governor
	William R. Thornton,  Secretary
	KansasCommerce.com

June 10, 2010

Sarah Hill-Nelson

The Bowersock Mills and Power Company

P.O. Box 66

500 South Powerhouse Road

Lawrence, Kansas  66044

RE: Qualified Energy Conservation Bond

Dear Sarah:

I am pleased to inform you the Bowersock Mills and Power Company Qualified Energy Conservation Bond project, for the construction of a new hydroelectric powerhouse, has been approved for bond issuance in the amount of $8,721,000.

Please note, the bonds must be issued through the City of Lawrence on or before December 31, 2010 and must follow the guidelines provided in IRS Notice 2009-29. In addition, this approval is contingent upon licensure of the plant facility and FERC certification. A $250.00 administration fee, to the Kansas Department of Commerce Bond Fee Fund, is due and payable at the time of bond issuance.

Thank you for your interest in the Qualified Energy Conservation Bond program. If you have questions, please contact me by phone at (785) 296-6080 or by email at: mtucker@kansascommerce.com.

Sincerely,

Mari Tucker

Marketing Specialist

cc: Robert North

      Gina Riekhof