The Kansas Power Pool Board of Directors, in December 2012, approved a cash reserve policy that requires an unrestricted year-end balance of cash and cash equivalents equal to or exceeding the total average daily operating expenditures for a minimum of 90 days. This policy formalizes a financial objective to demonstrate to bond rating agencies and investors the resolve of the Kansas Power Pool membership to develop sustainable financial strength for the agency. The chart below demonstrates the KPP’s success in meeting this important objective. Cash reserves have grown from 51 expense days at the end of 2012 to 169 days in the ensuing seven years. If KPP’s credit agreement level of $6 million is included in the calculation, the coverage increases to 211 days.