Common use of OTHER DECISION-MAKING BODIES Clause in Contracts

OTHER DECISION-MAKING BODIES. None 1. Scope of Activities Funded through the ERO Funding Mechanism Texas RE shall include in its annual budget submission to NERC amounts for costs it will incur in performing its delegated functions and related activities as described in Sections 5, 6 and 7 of the Agreement. These activities shall include:  Reliability Standard Development  Compliance Monitoring and Enforcement  Organization Registration and Certification  Reliability Assessment and Performance Analysis (including necessary data gathering activities)  Event Analysis and Reliability Improvement  Training and Education  Situation Awareness  Infrastructure Security 2. Preparation of Annual Business Plan and Budget (a) NERC and Texas RE, in conjunction with the other Regional Entities, shall collaboratively develop an annual schedule for the development, submission, review and approval of Texas RE’s business plan and budget. The annual schedule for the preparation of business plans and budgets shall require Texas RE (i) to submit to NERC draft(s) of Texas RE’s proposed business plan and budget and other preliminary documents and information, and (ii) to submit a final proposed business plan and budget that has been approved by Texas RE Board of Directors to NERC by July 1 or such other agreed date as provides sufficient time for NERC’s review, approval and submission of Texas RE’s business plan and budget to the Commission 130 days in advance of the beginning of each fiscal year. The Texas RE business plan and budget submission shall include supporting materials, including Texas RE’s complete business plan and organization chart, explaining the proposed collection of all assessments, dues, fees and charges, and the proposed expenditure of the funds to be collected in sufficient detail to justify the requested budgeted expenditures and assessments. Texas RE’s business plan and budget and proposed assessments shall provide for reasonable reserve mechanisms for unforeseen and extraordinary expenses and other contingencies, consistent with generally accepted accounting principles. (b) NERC shall review and approve Texas RE’s proposed business plan and budget and proposed assessments for performing the delegated functions and related activities described in Sections 5, 6 and 7 of this Agreement and listed above in Section 1 of this Exhibit E, or shall direct Texas RE to make such revisions as NERC deems appropriate prior to approval. NERC shall submit Texas RE’s approved business plan and budget and proposed assessments to the Commission for approval as part of NERC’s overall business plan and budget submission, in accordance with the ERO Regulations.

OTHER DECISION-MAKING BODIES. None. 1. Scope of Activities Funded through the ERO Funding Mechanism Texas RE ReliabilityFirst shall include in its annual budget submission to NERC amounts for costs it will incur in performing its delegated functions and related activities as described in Sections 5, 6 and 7 of the Agreement. These activities shall include:  • Reliability Standard Development  • Compliance Monitoring and Enforcement  • Organization Registration and Certification  • Reliability Assessment and Performance Analysis (including necessary data gathering activities)  • Event Analysis and Reliability Improvement  • Training and Education  • Situation Awareness  • Infrastructure Security 2. Preparation of Annual Business Plan and Budget (a) NERC and Texas REReliabilityFirst, in conjunction with the other Regional Entities, shall collaboratively develop an annual schedule for the development, submission, review and approval of Texas REReliabilityFirst’s business plan and budget. The annual schedule for the preparation of business plans and budgets shall require Texas RE ReliabilityFirst (i) to submit to NERC draft(s) of Texas REReliabilityFirst’s proposed business plan and budget and other preliminary documents and information, and (ii) to submit a final proposed business plan and budget that has been approved by Texas RE ReliabilityFirst Board of Directors Trustees to NERC by July 1 or such other agreed date as provides sufficient time for NERC’s review, approval and submission of Texas REReliabilityFirst’s business plan and budget to the Commission 130 days in advance of the beginning of each fiscal year. The Texas RE ReliabilityFirst business plan and budget submission shall include supporting materials, including Texas REReliabilityFirst’s complete business plan and organization chart, explaining the proposed collection of all assessments, dues, fees and charges, and the proposed expenditure of the funds to be collected in sufficient detail to justify the requested budgeted expenditures and assessments. Texas REReliabilityFirst’s business plan and budget and proposed assessments shall provide for reasonable reserve mechanisms for unforeseen and extraordinary expenses and other contingencies, consistent with generally accepted accounting principles. (b) NERC shall review and approve Texas REReliabilityFirst’s proposed business plan and budget and proposed assessments for performing the delegated functions and related activities described in Sections 5, 6 and 7 of this Agreement and listed above in Section 1 of this Exhibit E, or shall direct Texas RE ReliabilityFirst to make such revisions as NERC deems appropriate prior to approval. NERC shall submit Texas REReliabilityFirst’s approved business plan and budget and proposed assessments to the Commission for approval as part of NERC’s overall business plan and budget submission, in accordance with the ERO Regulations.

OTHER DECISION-MAKING BODIES. None. 1. Scope of Activities Funded through the ERO Funding Mechanism Texas RE ReliabilityFirst shall include in its annual budget submission to NERC amounts for costs it will incur in performing its delegated functions and related activities as described in Sections 5, 6 and 7 of the Agreement. These activities shall include:  Reliability Standard Development  Compliance Monitoring and Enforcement  Organization Registration and Certification  Reliability Assessment and Performance Analysis (including necessary data gathering activities)  Event Analysis and Reliability Improvement  Training and Education  Situation Awareness  Infrastructure Security 2. Preparation of Annual Business Plan and Budget (a) NERC and Texas REReliabilityFirst, in conjunction with the other Regional Entities, shall collaboratively develop an annual schedule for the development, submission, review and approval of Texas REReliabilityFirst’s business plan and budget. The annual schedule for the preparation of business plans and budgets shall require Texas RE ReliabilityFirst (i) to submit to NERC draft(s) of Texas REReliabilityFirst’s proposed business plan and budget and other preliminary documents and information, and (ii) to submit a final proposed business plan and budget that has been approved by Texas RE ReliabilityFirst Board of Directors Trustees to NERC by July 1 or such other agreed date as provides sufficient time for NERC’s review, approval and submission of Texas REReliabilityFirst’s business plan and budget to the Commission 130 days in advance of the beginning of each fiscal year. The Texas RE ReliabilityFirst business plan and budget submission shall include supporting materials, including Texas REReliabilityFirst’s complete business plan and organization chart, explaining the proposed collection of all assessments, dues, fees and charges, and the proposed expenditure of the funds to be collected in sufficient detail to justify the requested budgeted expenditures and assessments. Texas REReliabilityFirst’s business plan and budget and proposed assessments shall provide for reasonable reserve mechanisms for unforeseen and extraordinary expenses and other contingencies, consistent with generally accepted accounting principles. (b) NERC shall review and approve Texas REReliabilityFirst’s proposed business plan and budget and proposed assessments for performing the delegated functions and related activities described in Sections 5, 6 and 7 of this Agreement and listed above in Section 1 of this Exhibit E, or shall direct Texas RE ReliabilityFirst to make such revisions as NERC deems appropriate prior to approval. NERC shall submit Texas REReliabilityFirst’s approved business plan and budget and proposed assessments to the Commission for approval as part of NERC’s overall business plan and budget submission, in accordance with the ERO Regulations.

OTHER DECISION-MAKING BODIES. NoneIf [Regional Entity] uses other decision-making bodies within its compliance program, provide here a description of the function of that body to the extent not described elsewhere in the Agreement or exhibits, how the members of that body are selected, and the qualifications to be selected for that body.] 1. Scope of Activities Funded activities funded through the ERO Funding Mechanism Texas RE funding mechanism [Regional Entity] shall include in its annual budget submission to NERC amounts for costs it will incur in performing its delegated functions and related activities as described in Sections 5, 6 and 7 of the Agreement. These activities shall include:  • Reliability Standard Development  • Compliance Monitoring and Enforcement  • Organization Registration and Certification  • Reliability Assessment and Performance Analysis (including necessary data gathering activities)  • Event Analysis and Reliability Improvement  • Training and Education  • Situation Awareness  • Infrastructure Security 2. Preparation of Annual Business Plan and Budget (a) NERC and Texas RE[Regional Entity], in conjunction with the other Regional Entities, shall collaboratively develop an annual schedule for the development, submission, review and approval of Texas RE’s [Regional Entity’s] business plan and budget. The annual schedule for the preparation of business plans and budgets shall require Texas RE [Regional Entity] (i) to submit to NERC draft(s) of Texas RE[Regional Entity]’s proposed business plan and budget and other preliminary documents and information, and (ii) to submit a final proposed business plan and budget that has been approved by Texas RE [Regional Entity] Board of Directors Trustees to NERC by July 1 or such other agreed date as provides sufficient time for NERC’s review, approval and submission of Texas RE[Regional Entity]’s business plan and budget to the Commission 130 days in advance of the beginning of each fiscal year. The Texas RE [Regional Entity] business plan and budget submission shall include supporting materials, including Texas RE[Regional Entity]’s complete business plan and organization chart, explaining the proposed collection of all assessments, dues, fees and charges, and the proposed expenditure of the funds to be collected in sufficient detail to justify the requested budgeted expenditures and assessments. Texas RE[Regional Entity]’s business plan and budget and proposed assessments shall provide for reasonable reserve mechanisms for unforeseen and extraordinary expenses and other contingencies, consistent with generally accepted accounting principles. (b) NERC shall review and approve Texas RE[Regional Entity]’s proposed business plan and budget and proposed assessments for performing the delegated functions and related activities described in Sections 5, 6 and 7 of this Agreement and listed above in Section 1 of this Exhibit E, or shall direct Texas RE [Regional Entity] to make such revisions as NERC deems appropriate prior to approval. NERC shall submit Texas RE[Regional Entity]’s approved business plan and budget and proposed assessments to the Commission for approval as part of NERC’s overall business plan and budget submission, in accordance with the ERO Regulations.

OTHER DECISION-MAKING BODIES. NoneSPP has engaged the SERC Reliability Corporation (SERC) to oversee the compliance monitoring and enforcement responsibility within the SPP region as related to SPP’s compliance with Reliability Standards requirements that are applicable to the functions for which SPP is a Registered Entity. 1. Scope of Activities Funded through the ERO Funding Mechanism Texas RE SPP shall include in its annual budget submission to NERC amounts for costs it will incur in performing its delegated functions and related activities as described in Sections 5, 6 and 7 of the Agreement. These activities shall include:  Reliability Standard Development  Compliance Monitoring and Enforcement  Organization Registration and Certification  Reliability Assessment and Performance Analysis (including necessary data gathering activities)  Event Analysis and Reliability Improvement  Training and Education  Situation Awareness  Infrastructure Security 2. Preparation of Annual Business Plan and Budget (a) NERC and Texas RESPP, in conjunction with the other Regional Entities, shall collaboratively develop an annual schedule for the development, submission, review and approval of Texas RESPP’s business plan and budget. The annual schedule for the preparation of business plans and budgets shall require Texas RE SPP (i) to submit to NERC draft(s) of Texas RESPP’s proposed business plan and budget and other preliminary documents and information, and (ii) to submit a final proposed business plan and budget that has been approved by Texas RE SPP Board of Directors Trustees to NERC by July 1 or such other agreed date as provides sufficient time for NERC’s review, approval and submission of Texas RESPP’s business plan and budget to the Commission 130 days in advance of the beginning of each fiscal year. The Texas RE SPP business plan and budget submission shall include supporting materials, including Texas RESPP’s complete business plan and organization chart, explaining the proposed collection of all assessments, dues, fees and charges, and the proposed expenditure of the funds to be collected in sufficient detail to justify the requested budgeted expenditures and assessments. Texas RESPP’s business plan and budget and proposed assessments shall provide for reasonable reserve mechanisms for unforeseen and extraordinary expenses and other contingencies, consistent with generally accepted accounting principles. (b) NERC shall review and approve Texas RESPP’s proposed business plan and budget and proposed assessments for performing the delegated functions and related activities described in Sections 5, 6 and 7 of this Agreement and listed above in Section 1 of this Exhibit E, or shall direct Texas RE SPP to make such revisions as NERC deems appropriate prior to approval. NERC shall submit Texas RESPP’s approved business plan and budget and proposed assessments to the Commission for approval as part of NERC’s overall business plan and budget submission, in accordance with the ERO Regulations.

OTHER DECISION-MAKING BODIES. NoneIf [Regional Entity] uses other decision-making bodies within its compliance program, provide here a description of the function of that body to the extent not described elsewhere in the Agreement or exhibits, how the members of that body are selected, and the qualifications to be selected for that body.] 1. Scope of Activities Funded activities funded through the ERO Funding Mechanism Texas RE funding mechanism [Regional Entity] shall include in its annual budget submission to NERC amounts for costs it will incur in performing its delegated functions and related activities as described in Sections 5, 6 and 7 of the Agreement. These activities shall include:  Reliability Standard Development  Compliance Monitoring and Enforcement  Organization Registration and Certification  Reliability Assessment and Performance Analysis (including necessary data gathering activities)  Event Analysis and Reliability Improvement  Training and Education  Situation Awareness  Infrastructure Security 2. Preparation of Annual Business Plan and Budget (a) NERC and Texas RE[Regional Entity], in conjunction with the other Regional Entities, shall collaboratively develop an annual schedule for the development, submission, review and approval of Texas RE’s [Regional Entity’s] business plan and budget. The annual schedule for the preparation of business plans and budgets shall require Texas RE [Regional Entity] (i) to submit to NERC draft(s) of Texas RE[Regional Entity]’s proposed business plan and budget and other preliminary documents and information, and (ii) to submit a final proposed business plan and budget that has been approved by Texas RE [Regional Entity] Board of Directors Trustees to NERC by July 1 or such other agreed date as provides sufficient time for NERC’s review, approval and submission of Texas RE[Regional Entity]’s business plan and budget to the Commission 130 days in advance of the beginning of each fiscal year. The Texas RE [Regional Entity] business plan and budget submission shall include supporting materials, including Texas RE[Regional Entity]’s complete business plan and organization chart, explaining the proposed collection of all assessments, dues, fees and charges, and the proposed expenditure of the funds to be collected in sufficient detail to justify the requested budgeted expenditures and assessments. Texas RE[Regional Entity]’s business plan and budget and proposed assessments shall provide for reasonable reserve mechanisms for unforeseen and extraordinary expenses and other contingencies, consistent with generally accepted accounting principles. (b) NERC shall review and approve Texas RE[Regional Entity]’s proposed business plan and budget and proposed assessments for performing the delegated functions and related activities described in Sections 5, 6 and 7 of this Agreement and listed above in Section 1 of this Exhibit E, or shall direct Texas RE [Regional Entity] to make such revisions as NERC deems appropriate prior to approval. NERC shall submit Texas RE[Regional Entity]’s approved business plan and budget and proposed assessments to the Commission for approval as part of NERC’s overall business plan and budget submission, in accordance with the ERO Regulations. 3. Allocation of Costs Assessments to fund the costs of [REGIONAL ENTITY]’s delegated functions and related activities pursuant to the Agreement shall be allocated among all load-serving entities on the basis of Net Energy for Load, unless a different method(s) of allocating and calculating such assessments has been submitted to and approved by NERC and the Commission in accordance with Section 9(b) of the Agreement. [Regional Entity] shall submit to NERC annually at the same time it submits its budget request a list of the load-serving entities or designees within its geographic boundaries that shall be responsible for paying [Regional Entity’s] assessment and the load-serving entities’ proportionate Net Energy for Load, and such other data and information as is necessary to allocate and calculate the allocation of [Regional Entity’s] assessment to the load-serving entities or designees under the method(s) of allocation and calculation that will be used. 4. Collection of Funding [IF NERC WILL XXXX AND COLLECT ASSESSMENTS DIRECTLY FROM LOAD- SERVING ENTITIES IN REGIONAL ENTITY’S REGION, USE THE FOLLOWING TEXT FOR SECTION 4(a):] (a) NERC shall submit invoices to the load-serving entities or designees identified by [Regional Entity] covering the NERC and [Regional Entity] assessments approved for collection. [IF THE REGIONAL ENTITY WILL ACT AS THE BILLING AND COLLECTION AGENT ON BEHALF OF NERC TO XXXX AND COLLECT ASSESSMENTS FROM LOAD-SERVING ENTITIES IN REGIONAL ENTITY’S REGION, USE THE FOLLOWING TEXT FOR SECTION 4(a):] (a) NERC and [Regional Entity] agree that [Regional Entity] shall act as the billing and collection agent on behalf of NERC to xxxx and collect [Regional Entity]’s assessments from load-serving entities and designees (or such other entities as agreed by NERC and [Regional Entity]). [Regional Entity] agrees that it shall (i) issue all invoices to load-serving entities and other entities in a prompt and timely manner after receipt from NERC of the information needed to issue the invoices; (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: Prior to the start of each calendar quarter, and once per week thereafter until all xxxxxxxx for the quarter are collected, [Regional Entity] will electronically transfer to NERC, in immediately available funds, all payments received by [Regional Entity] from load-serving entities or other entities for payment of invoices. On the same day that [Regional Entity] makes each electronic transfer of funds to NERC, [Regional Entity] 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. [Note: If NERC and Regional Entity have a different collection and payment arrangement, the preceding two sentences will be modified accordingly to describe it.] [Regional Entity] 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 [Regional Entity’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. (b) NERC shall pursue any non-payments of assessment amounts and shall request assistance from ERO Applicable Governmental Authorities as necessary to secure collection. To the extent reasonably practicable, [Regional Entity] shall assist NERC in pursuing and collecting any non-payments. Notwithstanding the foregoing, [Regional Entity] 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. NERC shall add the amount of any non-payments by end-users or designees within [REGIONAL ENTITY]’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 [Regional Entity]’s region. (c) Upon approval by Applicable ERO Governmental Authorities of [Regional Entity]’s annual assessment to fund the costs of its delegated functions and related activities, NERC shall pay [Regional Entity’s] annual assessment to Regional Entity in four equal quarterly payments on January 15, April 15, July 15 and October 15 of the budget year.