Common use of Compliance with Membership Requirements Clause in Contracts

Compliance with Membership Requirements. Compliance monitoring of Members and Staff shall be performed to ensure compliance with all requirements of Membership. Certain SPP compliance monitoring and enforcement functions, as detailed in Section 9.0, shall be performed in concert with related ERO programs, and will be overseen by the Regional Entity Trustees. Other monitoring functions shall be provided by appropriate SPP staff under the oversight of the Oversight Committee and the Board of Directors. Compliance monitoring shall be an after-the-fact investigative and assessment function. Monitoring functions shall include but are not limited to: (a) Investigation of all reports or discoveries of non-compliance with approved Bylaws, Regional Criteria, OATT, and agreements between SPP and its Members; (b) Obtaining all information needed to investigate all facets of possible non-compliance with Membership requirements; (c) Performance of in-depth reviews of operations in order to investigate non-compliance with Membership requirements upon approval from the Oversight Committee; (d) Comprehensive audits when recurring issues covering a broad spectrum of violations of Membership requirements are determined and documented; (e) Imposition of financial penalties and/or sanctions for non- compliance associated with the results of investigations or audits pursuant to approved standards, policies and/or Criteria; (f) Confirmation that SPP is conforming to its own Regional Criteria, OATT, business practices, and reliability operations in a manner that does not stifle the efficiency of the energy markets; (g) Utilization of dispute resolution procedures as necessary to resolve conflicts or appeals; and (h) Coordination of policy modifications to clearly define requirements and penalties in order to objectively monitor compliance with Membership requirements. Effective Date: 8/5/2010 - Docket #: ER10-2145

Compliance with Membership Requirements. Compliance monitoring of Members and Staff shall be performed to ensure compliance with all requirements of Membership. Certain SPP compliance monitoring and enforcement functions, as detailed in Section 9.0, shall be performed in concert with related ERO programs, and will be overseen by the Regional Entity Trustees. Other monitoring functions shall be provided by appropriate SPP staff under the oversight of the Oversight Committee and the Board of Directors. Compliance monitoring shall be an after-the-fact investigative and assessment function. Issued by: Xxxxxxx X. Xxxxxxx, Manager, Regulatory Policy Effective: September 30, 2009 Issued on: May 21, 2009 Southwest Power Pool, Inc. Substitute Second Revised Sheet No. 20 Bylaws Superseding Second Revised Sheet No. 20 Original Volume No. 4 Monitoring functions shall include but are not limited to: (a) Investigation of all reports or discoveries of non-compliance with approved Bylaws, Regional Criteria, OATT, and agreements between SPP and its Members; (b) Obtaining all information needed to investigate all facets of possible non-compliance with Membership requirements; (c) Performance of in-depth reviews of operations in order to investigate non-compliance with Membership requirements upon approval from the Oversight Committee; (d) Comprehensive audits when recurring issues covering a broad spectrum of violations of Membership requirements are determined and documented; (e) Imposition of financial penalties and/or sanctions for non- non-compliance associated with the results of investigations or audits pursuant to approved standards, policies and/or Criteria; (f) Confirmation that SPP is conforming to its own Regional Criteria, OATT, business practices, and reliability operations in a manner that does not stifle the efficiency of the energy markets; (g) Utilization of dispute resolution procedures as necessary to resolve conflicts or appeals; and (h) Coordination of policy modifications to clearly define requirements and penalties in order to objectively monitor compliance with Membership requirements. Effective DateIssued by: 8/5/2010 - L. Xxxxxxx Xxxxxx, Director – Regulatory Policy Issued on: November 3, 2008 Effective: April 5, 2008 Filed to comply with order of the Federal Energy Regulatory Commission, Docket #: ER10No. ER08-21451380-000, Letter Order, Issued October 6, 2008. Southwest Power Pool, Inc. First Revised Sheet No. 20A Bylaws Superseding Original Sheet No. 20A Original Volume No. 4

Compliance with Membership Requirements. Compliance monitoring Monitoring of Members and Staff shall be performed to ensure compliance with all requirements of Membership. Certain SPP compliance monitoring and enforcement functions, as detailed in Section 9.0, shall be performed in concert with related ERO programs, and will be overseen by the Regional Entity Trustees. Other monitoring functions shall be provided by appropriate SPP staff under the oversight of the Oversight Committee and the Board of Directors. Compliance monitoring shall be an after-the-fact investigative and assessment functionfunction performed by appropriate SPP staff. Monitoring functions shall include but are not limited to: (a) Investigation of all reports or discoveries of non-compliance with approved Bylaws, Regional Criteria, OATT, and agreements between SPP and its Members; (b) Obtaining all information needed to investigate all facets of possible non-non- compliance with Membership requirements; (c) Performance of in-depth reviews of operations in order to investigate non-non- compliance with Membership requirements upon approval from the Oversight Committee; (d) Comprehensive audits when recurring issues covering a broad spectrum of violations of Membership requirements are determined and documented; (e) Imposition of financial penalties and/or sanctions for non- non-compliance associated with the results of investigations or audits pursuant to approved standards, policies and/or Criteria; (f) Confirmation that SPP is conforming to its own Regional Criteria, OATT, business practices, and reliability operations in a manner that does not stifle the efficiency of the energy markets; (g) Utilization of dispute resolution procedures as necessary to resolve conflicts or appeals; and (h) Coordination of policy modifications to clearly define requirements requirements, and penalties in order to objectively monitor compliance with Membership requirements. Effective Date: 8/5/2010 - Docket #: ER10-2145.

Compliance with Membership Requirements. Compliance monitoring of Members and Staff shall be performed to ensure compliance with all requirements of Membership. Certain SPP compliance monitoring and enforcement functions, as detailed in Section 9.0, shall be performed in concert with related ERO programs, and will be overseen by the Regional Entity Trustees. Other monitoring functions shall be provided by appropriate SPP staff under the oversight of the Oversight Committee and the Board of Directors. Compliance monitoring shall be an after-the-fact investigative and assessment function. Monitoring functions shall include but are not limited to: (a) Investigation of all reports or discoveries of non-compliance with approved Bylaws, Regional Criteria, OATT, and agreements between SPP and its Members; (b) Obtaining all information needed to investigate all facets of possible non-compliance with Membership requirements; (c) Performance of in-depth reviews of operations in order to investigate non-compliance with Membership requirements upon approval from the Oversight Committee; (d) Comprehensive audits when recurring issues covering a broad spectrum of violations of Membership requirements are determined and documented; (e) Imposition of financial penalties and/or sanctions for non- compliance associated with the results of investigations or audits pursuant to approved standards, policies and/or Criteria; (f) Confirmation that SPP is conforming to its own Regional Criteria, OATT, business practices, and reliability operations in a manner that does not stifle the efficiency of the energy markets; (g) Utilization of dispute resolution procedures as necessary to resolve conflicts or appeals; and (h) Coordination of policy modifications to clearly define requirements and penalties in order to objectively monitor compliance with Membership requirements. Effective Date: 8/5/2010 - Docket #: ER10-2145.