Government Affairs Report

The following updates are included in the attached report:

IOWA
* NOI-98-3 Small volume gas transportation - MidAm urges IUB to drop the
idea

KANSAS
* Kansas Ad Valorem Tax Refunds - Settlement language being finalized

MICHIGAN
* U-12550 Final order exempts Xcel and Peninsular from customer choice
plan filing requirements

MINNESOTA
* E,G999/DI-99-1073 "Keeping the Lights On" legislative initiative -- NNG
comments filed stressing ability to serve gas fired generation

WISCONSIN
* 6650-CG-194 Wisconsin Gas' Guardian lateral - PSC approval in economic
phase