Common use of Collection of Funding Clause in Contracts

Collection of Funding. (a) NERC and WECC agree that WECC shall act as the billing and collection agent on behalf of NERC to xxxx and collect the NERC, WECC, and WIRAB assessments from load-serving entities and designees (or such other entities as agreed by NERC and WECC). WECC agrees that it shall (i) issue all invoices to each load-serving entity or Balancing Authority (depending on the Balancing Authority’s choice of Option 1 or 2 above) in a prompt and timely manner after receipt from NERC of the information needed to issue the invoices, but no later than November 15th of each year; (ii) exercise commercially reasonable efforts to collect invoices that are not paid as of the due date(s); and (iii) transfer all funds collected to NERC in a timely manner, as follows: Once per week until all xxxxxxxx are collected, WECC will electronically transfer to NERC, in immediately available funds, all payments received by WECC from load-serving entities or other entities for payment of the NERC, WECC, and WIRAB assessments billed on the annual invoices. In the event that (1) a payment received is less than the total amount billed for the NERC, WECC, and WIRAB assessments; and (2) WECC does not know and, after due inquiry with the entity submitting the underpayment and consultation with NERC, is unable to determine which invoiced item accounts for the shortfall, WECC shall be permitted to prorate the shortfall among all assessments received from that entity. On the same day that WECC makes each electronic transfer of funds to NERC, WECC shall send an e-mail to the Chief Financial Officer or Controller of NERC detailing the collections being transmitted, including a listing of the load-serving entities or other entities from which payments were collected and the amount collected from each entity and the breakdown of the total payments collected among NERC statutory funding, WECC statutory funding, and WIRAB statutory funding. WECC agrees that it shall not in any way use its position as billing and collection agent for NERC to attempt to influence NERC’s policies or decisions on matters relating to adoption of Reliability Standards (including Regional Reliability Standards and Regional Variances), administration of the compliance monitoring and enforcement program and other compliance and enforcement matters, determination and imposition of penalties and sanctions, budgeting matters including review and approval of WECC’s budgets and business plans, or any other NERC decisions, including by issuing invoices, engaging in collection activities or transferring funds collected to NERC in an untimely manner or other than in accordance with this Agreement. To the extent WECC uses another entity as collection agent, it will incorporate these safeguards in the arrangements with the collection agent. Within three (3) business days following receipt of an electronic transfer of collected assessments from WECC in accordance with Section 4(a) of this Exhibit E, NERC will electronically transfer (i) to WECC, in immediately available funds, the portion of the payment received from WECC constituting WECC statutory funding, and (ii) to WIRAB, in immediately available funds, the portion of the payment received from WECC constituting WIRAB statutory funding. (b) NERC shall pursue any non-payments of assessment amounts constituting NERC, WECC, and WIRAB statutory funding and shall request assistance from Applicable Governmental Authorities as necessary to secure collection. To the extent reasonably practicable, WECC shall assist NERC in pursuing and collecting any non-payments. Notwithstanding the foregoing, WECC is not responsible and does not assume any liability for recovering non-payments or underpayments of assessment amounts. NERC shall retain sole responsibility for recovering non-payments or underpayments of assessment amounts constituting NERC, WECC, and WIRAB statutory funding. NERC shall add the amount of any non-payments by end-users or designees within WECC’s region, that are reasonably determined to be uncollectible, to NERC’s assessments for a subsequent year with the amount of such non-payments to be allocated to end-users within WECC’s region.

Collection of Funding. (a) NERC and WECC agree that WECC shall act as the billing and collection agent on behalf of NERC to xxxx and collect the NERC, WECC, and WIRAB assessments from load-serving entities and designees (or such other entities as agreed by NERC and WECC). WECC agrees that it shall (i) issue all invoices to each load-serving entity or Balancing Authority (depending on the Balancing Authority’s choice of Option 1 or 2 above) in a prompt and timely manner after receipt from NERC of the information needed to issue the invoices, but no later than November 15th of each year; (ii) exercise commercially reasonable efforts to collect invoices that are not paid as of the due date(s); and (iii) transfer all funds collected to NERC in a timely manner, as follows: Once per week until all xxxxxxxx are collected, WECC will electronically transfer to NERC, in immediately available funds, all payments received by WECC from load-serving entities or other entities for payment of the NERC, WECC, and WIRAB assessments billed on the annual invoices. In the event that (1) WECC includes Peak Reliability assessments (or assessments of a differently named company performing the same functions) on the annual invoices; (2) a payment received is less than the total amount billed for the NERC, WECC, WIRAB, and WIRAB Peak Reliability assessments; and (23) WECC does not know and, after due inquiry with the entity submitting the underpayment and consultation with NERC, is unable to determine which invoiced item accounts for the shortfall, WECC shall be permitted to prorate the shortfall among all assessments received from that entity. On the same day that WECC makes each electronic transfer of funds to NERC, WECC shall send an e-mail to the Chief Financial Officer or Controller of NERC detailing the collections being transmitted, including a listing of the load-serving entities or other entities from which payments were collected and the amount collected from each entity and the breakdown of the total payments collected among NERC statutory funding, WECC statutory funding, and WIRAB statutory funding. WECC agrees that it shall not in any way use its position as billing and collection agent for NERC to attempt to influence NERC’s policies or decisions on matters relating to adoption of Reliability Standards (including Regional Reliability Standards and Regional Variances), administration of the compliance monitoring and enforcement program and other compliance and enforcement matters, determination and imposition of penalties and sanctions, budgeting matters including review and approval of WECC’s budgets and business plans, or any other NERC decisions, including by issuing invoices, engaging in collection activities or transferring funds collected to NERC in an untimely manner or other than in accordance with this Agreement. To the extent WECC uses another entity as collection agent, it will incorporate these safeguards in the arrangements with the collection agent. Within three (3) business days following receipt of an electronic transfer of collected assessments from WECC in accordance with Section 4(a) of this Exhibit E, NERC will electronically transfer (i) to WECC, in immediately available funds, the portion of the payment received from WECC constituting WECC statutory funding, and (ii) to WIRAB, in immediately available funds, the portion of the payment received from WECC constituting WIRAB statutory funding. (b) NERC shall pursue any non-payments of assessment amounts constituting NERC, WECC, and WIRAB statutory funding and shall request assistance from Applicable Governmental Authorities as necessary to secure collection. To the extent reasonably practicable, WECC shall assist NERC in pursuing and collecting any non-payments. Notwithstanding the foregoing, WECC is not responsible and does not assume any liability for recovering non-payments or underpayments of assessment amounts. NERC shall retain sole responsibility for recovering non-payments or underpayments of assessment amounts constituting NERC, WECC, and WIRAB statutory funding. NERC shall add the amount of any non-payments by end-users or designees within WECC’s region, that are reasonably determined to be uncollectible, to NERC’s assessments for a subsequent year with the amount of such non-payments to be allocated to end-users within WECC’s region.

Collection of Funding. (a) NERC and WECC agree that WECC shall act as the billing and collection agent on behalf of NERC to xxxx and collect the NERC, WECC, and WIRAB assessments from load-serving entities and designees (or such other entities as agreed by NERC and WECC). WECC agrees that it shall (i) issue all invoices to each load-serving entity or Balancing Authority (depending on the Balancing Authority’s choice of Option 1 or 2 above) in a prompt and timely manner after receipt from NERC of the information needed to issue the invoices, but no later than November 15th of each year; (ii) exercise commercially reasonable efforts to collect invoices that are not paid as of the due date(s); and (iii) transfer all funds collected to NERC in a timely manner, as follows: Once per week until all xxxxxxxx are collected, WECC will electronically transfer to NERC, in immediately available funds, all payments received by WECC from load-serving entities or other entities for payment of the NERC, WECC, and WIRAB assessments billed on the annual invoices. In the event that (1) WECC includes Peak Reliability assessments (or assessments of a differently named company performing the same functions) on the annual invoices; (2) a payment received is less than the total amount billed for the NERC, WECC, and WIRAB WIRAB, and Peak Reliability assessments; and (223) WECC does not know and, after due inquiry with the entity submitting the underpayment and consultation with NERC, is unable to determine which invoiced item accounts for the shortfall, WECC shall be permitted to prorate the shortfall among all assessments received from that entity. On the same day that WECC makes each electronic transfer of funds to NERC, WECC shall send an e-mail to the Chief Financial Officer or Controller of NERC detailing the collections being transmitted, including a listing of the load-serving entities or other entities from which payments were collected and the amount collected from each entity and the breakdown of the total payments collected among NERC statutory funding, WECC statutory funding, and WIRAB statutory funding. WECC agrees that it shall not in any way use its position as billing and collection agent for NERC to attempt to influence NERC’s policies or decisions on matters relating to adoption of Reliability Standards (including Regional Reliability Standards and Regional Variances), administration of the compliance monitoring and enforcement program and other compliance and enforcement matters, determination and imposition of penalties and sanctions, budgeting matters including review and approval of WECC’s budgets and business plans, or any other NERC decisions, including by issuing invoices, engaging in collection activities or transferring funds collected to NERC in an untimely manner or other than in accordance with this Agreement. To the extent WECC uses another entity as collection agent, it will incorporate these safeguards in the arrangements with the collection agent. Within three (3) business days following receipt of an electronic transfer of collected assessments from WECC in accordance with Section 4(a) of this Exhibit E, NERC will electronically transfer (i) to WECC, in immediately available funds, the portion of the payment received from WECC constituting WECC statutory funding, and (ii) to WIRAB, in immediately available funds, the portion of the payment received from WECC constituting WIRAB statutory funding. (b) NERC shall pursue any non-payments of assessment amounts constituting NERC, WECC, and WIRAB statutory funding and shall request assistance from Applicable Governmental Authorities as necessary to secure collection. To the extent reasonably practicable, WECC shall assist NERC in pursuing and collecting any non-payments. Notwithstanding the foregoing, WECC is not responsible and does not assume any liability for recovering non-payments or underpayments of assessment amounts. NERC shall retain sole responsibility for recovering non-payments or underpayments of assessment amounts constituting NERC, WECC, and WIRAB statutory funding. NERC shall add the amount of any non-payments by end-users or designees within WECC’s region, that are reasonably determined to be uncollectible, to NERC’s assessments for a subsequent year with the amount of such non-payments to be allocated to end-users within WECC’s region.

Collection of Funding. NERC, Texas RE, and Electric Reliability Council of Texas, Inc. (a“ERCOT”) NERC and WECC agree have agreed that WECC ERCOT shall act as the billing and collection agent on behalf of NERC to xxxx bill and collect assessments for the NERC, WECC, and WIRAB assessments costs of activities under the Act from load-serving entities and designees entities, ERCOT Qualified Scheduling Entities (QSEs), or such other entities as agreed by NERC NERC, Texas RE, and WECC)ERCOT. WECC agrees ERCOT and Texas RE agree that it shall ERCOT shall: (i) issue all invoices to each load-serving entity entities, QSEs, or Balancing Authority (depending on the Balancing Authority’s choice of Option 1 or 2 above) other agreed entities in a prompt and timely manner after receipt from NERC of the information needed to issue the invoices, but no later than November 15th of each yearinvoice; (ii) exercise commercially reasonable efforts to collect invoices that are not paid as of the due date(s); and (iii) transfer all funds collected to NERC quarterly, in a timely manner. Texas RE shall confirm that ERCOT complies with these obligations, as follows: Once per week until all xxxxxxxx are collectedand shall notify NERC promptly of any compliance failures. NERC shall submit invoices on a quarterly basis to ERCOT covering the NERC and Texas RE budgets approved for collection for the ERCOT region. Within ten (10) business days after receiving this quarterly invoice, WECC XXXXX will electronically transfer to NERCNERC the amount reflected in the invoice, in immediately available funds, all payments received by WECC unless ERCOT has been unable to collect and does not reasonably believe it can collect such amount from load-serving entities entities, QSEs, or other entities for payment of the NERC, WECC, and WIRAB assessments billed on the annual invoices. In the event that (1) a payment received is less than the total amount billed for the NERC, WECC, and WIRAB assessments; and (2) WECC does not know andagreed entities, after due inquiry with the entity submitting the underpayment and consultation with NERC, is unable to determine which invoiced item accounts for the shortfall, WECC shall be permitted to prorate the shortfall among all assessments received from that entityexercise of commercially reasonable efforts. On the same day that WECC as ERCOT makes each electronic transfer of funds to NERC, WECC shall ERCOT or Texas RE will send an e-mail to the Chief Financial Officer or Controller of NERC detailing either (i) confirming that the collections being transmittedfull invoiced amount has been electronically transmitted to NERC or (ii) stating that ERCOT is unable to collect the full amount of the NERC invoice and reasonably believes that it will not be able to collect the full amount of the NERC invoice from load-serving entities, including QSEs, or other agreed entities after exercise of commercially reasonable efforts and confirming the amount that has been transmitted to NERC. In the event ERCOT is unable to transfer to NERC the full invoiced amount, ERCOT shall also send to NERC and Texas RE a listing of the any load-serving entities entity, QSE or other agreed entity that has not fully paid its load ratio share and an itemization of the collections that ERCOT received, by entity and amount. ERCOT will maintain a detailed list of the entities from which payments were collected and the amount collected from each entity entity. ERCOT and the breakdown of the total payments collected among NERC statutory funding, WECC statutory funding, and WIRAB statutory funding. WECC agrees Texas RE agree that it they shall not in any way use its their position as billing and or collection agent for NERC to attempt to influence NERC’s policies or decisions on matters relating to adoption of Reliability Standards reliability standards (including Regional Reliability Standards regional standards and Regional Variancesdifferences), administration of the compliance monitoring and enforcement program and other compliance and enforcement matters, determination and imposition of penalties and sanctions, budgeting matters including review and approval of WECCTexas RE’s budgets and business plans, or any other NERC decisions, including by issuing invoices, engaging in collection activities or transferring funds collected to NERC in an untimely manner or other than in accordance with this Agreementagreement. To the extent WECC uses another entity ERCOT’s confirmation of its agreements as collection agent, it will incorporate these safeguards set forth in the arrangements with the collection agentthis Paragraph 3 is attached hereto as Attachment 1. Within three (3) business days following receipt of an electronic transfer of collected assessments from WECC in accordance with Section 4(a) of this Exhibit E, NERC will electronically transfer (i) to WECC, in immediately available funds, the portion of the payment received from WECC constituting WECC statutory funding, and (ii) to WIRAB, in immediately available funds, the portion of the payment received from WECC constituting WIRAB statutory funding. (b) NERC shall pursue any non-payments of assessment amounts constituting NERC, WECC, and WIRAB statutory funding and shall request assistance from Applicable Governmental Authorities applicable governmental authorities as necessary to secure collection. To Upon approval of the extent reasonably practicableannual funding requirements by applicable governmental authorities, WECC shall assist NERC in pursuing and collecting any non-payments. Notwithstanding the foregoing, WECC is not responsible and does not assume any liability for recovering non-payments or underpayments of assessment amounts. NERC shall retain sole responsibility fund Texas RE’s costs for recovering non-payments or underpayments of assessment amounts constituting NERCStatutory Functions, WECCas identified in the approved budget attached hereto, and WIRAB statutory funding. NERC shall add on a quarterly basis in four equal payments, within ten (10) business days after receiving the amount of any non-payments by end-users or designees within WECC’s region, that are reasonably determined to be uncollectible, to NERC’s assessments for a subsequent year with the amount of such non-payments to be allocated to end-users within WECC’s regionremittance from ERCOT.