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Southwest Power Pool
REGIONAL TARIFF WORKING GROUP MEETING
July 24, 2014
AEP Office Dallas, TX
Summary of Motions
Agenda Item 3 Consent Agenda Tom Hestermann (Sunflower) motioned and Tom Littleton (OMPA) seconded to approve the RTWG June 25 26, 2014 Minutes and MPRR 188 Turn-Around Ramp Rate Factor Clarification. The motion passed with no opposition and no abstentions.
Agenda Item 6 MPRR 190 Start-Up Offer Recovery Eligibility Clarifications Tom Littleton (OMPA) motioned and Robert Pennybaker (AEP) seconded to approve MPRR 190 as amended. The motion passed with no opposition and two abstentions (Xcel) and (GSEC).
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Southwest Power Pool
REGIONAL TARIFF WORKING GROUP MEETING
July 24, 2014
AEP Office Dallas, TX
M I N U T E S
Agenda Item 1Call to Order, Proxies, Agenda Discussion
Chair Dennis Reed (Westar) called the meeting to order at 1:00 p.m. and asked for a round of
introductions. The attendance was recorded and the following proxies were announced: (Attachment 1
RTWG Attendance and Proxies)
Paul Malone (NPPD) gave his proxy to Robert Pick (NPPD).
David Kays (OG&E) gave his proxy to Bernie Liu (Xcel).
Bary Warren (Empire) gave his proxy to Dennis Reed (Westar).
Agenda Item 2 Review of Agenda and Additional Agenda Items
The group reviewed the agenda (Attachment 2RTWG Agenda July 24, 2014). There were no
changes or additions to the agenda. (Attachment 2 RTWG July 24, 2014 Agenda)
Agenda Item 3 Consent Agenda Dennis Reed (Westar) asked for feedback on the items listed on the Consent Agenda (Attachment 3
Consent Agenda). Tom Hestermann (Sunflower) motioned and Tom Littleton (OMPA) seconded to
approve the RTWG June 25 26, 2014 Minutes and MPRR 188 Turn-Around Ramp Rate Factor
Clarification. The motion passed with no opposition and no abstentions.
Agenda Item 4 RTWG Action Items Brenda Fricano (SPP) presented a brief update to the RTWG Action Items as follows (Attachment 4 Review of Action Items):
1) Action Item 66 Update OASIS Definition This Action Item is complete and will be removed.
2) Action Item 78 Roll-In methodology Tariff revisions to be reviewed and filed at FERC. Assigned
to the CPTF.
Agenda Item 5 RRR Update Alfred Busbee (SPP) gave an update to the RRR files noting two updates were posted to SPP.org. The July 1, 2014 files included updated revenue requirements and rates for AEP/AEP Transcos and Empire. The August 1, 2014 files included updated revenue requirements and rates for GRDA and OPPD.
Agenda Item 6 MPRR 190 Start-Up Recovery Eligibility Clarifications
Micha Bailey (SPP) presented MPRR 190 Start-Up Recovery Eligibility Clarifications (Attachment 6 MPRR 190 Start-Up Recovery Eligibility). The eligibility rules regarding recovery of Start-Up Offer costs allowed recovery of certain Start-Up Offer costs which should not have been eligible for recovery. The revisions in MPRR 190 allow for changes to be made to the SPP Settlement System to properly include Start-Up Offer recovery by adding key language that states Start-Up costs are eligible for recover as long as SCUC (Both DA Market and RUC) considered those costs in making the commitment decision. Tom Littleton (OMPA) motioned and Robert Pennybaker (AEP) seconded to approve MPRR 190 as amended. The motion passed with no opposition and two abstentions (Xcel) and (GSEC).
Agenda Item 7 TRR 119 Attachment H Voluntary Refunds for New or Amended Revenue Requirements
Matt Harward (SPP) presented TRR 119 Attachment H revisions (Attachment 7 TRR 119 Attachment H). A new paragraph 5A has been added to Section 1 to provide if a complaint is filed or a proceeding initiated by the Commission against a Transmission Owner regarding its revenue requirement, the Transmission Owner, if not otherwise required to provide refunds pursuant to the Federal Power Act, shall voluntarily agree to provide refunds with interest from the refund effective date established by the Commission until the effective date of rates revised pursuant to the complaint or Commission-initiated proceeding, or the maximum period of time authorized for refunds under Section 206, whichever is shorter.
After a group discussion, it was suggested Staff remove the language regarding the voluntary refund commitment in Section 6 and Section 9 of Attachment H. TRR 119 will be rescheduled for the RTWG August 28, 2014 meeting.
Agenda Item 8TRR 120 Attachment AI
Matt Harward (SPP) presented TRR 120 Attachment AI (Attachment 8 TRR 120 Attachment AI). Matt noted the revisions in TRR 120 replaces the current Section IV with language that provides a review process by SPP of initial rate filings to be made by Transmission Owners (or by SPP on behalf of Transmission Owners) to incorporate Transmission Owner revenue requirements and protocols into Attachment H. After a group review and discussion, it was suggested Staff remove the language regarding the Transmission Facility criteria but retain revisions implementing the pre-filing review process. TRR 120 will be rescheduled for review at the RTWG August 28, 2014 meeting. Agenda Item 9 Ten Year Forecast of Allocated Transmission Costs Dan Jones (SPP) presented the Ten Year Forecast of Allocated Transmission Costs (Attachment 9 Ten Year Forecast of Allocated Transmission Costs). This forecast estimates the impact of Upgrades built in SPP from 2006 2022. Dan highlighted the changes from the January, 2014 Forecast and outlined what was included in this update of the Ten Year Forecast of Allocated Transmission Costs.
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The following Action Items were assigned by the RTWG: Action Item 79 Describe if the Balancing Transfers are completely offset between Base Plan Zonal reductions and Base Plan Regional increases in the OATT Schedule 11 Rates. Action Item 80 Provide all future 10 year Forecasts of Allocated Transmission Costs to include integrated Systems (IS) parties: WAPA, Basin Electric and Heartland Electric.
Agenda Item 10 Z2 Crediting Project Update
Dena Giessmann (SPP) gave an update to the Z2 Crediting Project. The SPP project team continues to
work with the vendor on two critical issues: (1) Lack of Revenue Neutrality A specific scenario is
causing negative COPs to occur and (2) Incorrect processing for multiple entities on one upgrade Input
template for upgrades has a single TC field; upgrades can have multiple TCs. A multiple TC input causes
multiple TCs to be placed on a single XML file output. A meeting is scheduled with the vendor to discuss
resolving issues and meeting deadlines.
Agenda Item 11 TRR 132 Prevention of Pancaking Due to NITS with GFA
John Varnell (TPS) presented TRR 132 Prevention of Price Pancaking Due to NITS with GFA (Attachment 11 TRR 132). John explained these revisions would subtract a Network Customers GFA reserved capacity from a Network Customers monthly peak Network Load. He stated a NITS customer is overcharged for NITS service due to a GFA.
The group directed John to continue working with SPP in researching options and solutions.
Agenda Item 12 RTWG Task Force Updates
Crediting Practices Task Force David Kays (OG&E) stated the CPTF had a conference call on July 23, 2014 to focus on RTWG Action Item No. 78. This action item was directed to SPP Staff requesting clarification on FERCs Deficiency letter. A face to face meeting has been scheduled on August 27, 2014 at AEP in Dallas, TX. David Kays (OG&E) stated the goal of the CPTF is to have the policy and Tariff revisions to MOPC and the Board by the first quarter of 2015. Billing Determinants Task Force Luke Haner (OPPD) informed the group the BDTF had a conference call on July 18, 2014. The RTWG had previously asked the BDTF to review Tariff requirements regarding the calculation of the monthly Demand Charge defined in Section 34 of the Southwest Power Pool (SPP) Tariff and the Base Plan Zonal Charge and Region-wide Charge defined in Schedule 11. A survey was sent to the members and the BDTF is currently reviewing the responses. The goal of the group is to have to have Tariff revisions to RTWG no later than September, 2014.
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Agenda Item 13 - RTWG 2015 Meeting Dates Dennis Reed (Westar) presented the RTWG 2015 meeting dates (Attachment 13 RTWG 2015 Meeting Dates). Bernie Liu (Xcel) motioned and Tom Littleton seconded to accept the RTWG meeting dates as approved. Motion passed with no abstentions and no opposition.
Agenda Item 14Future Meetings
Dennis Reed (Westar) reviewed the future meetings with the group. Due to scheduling conflicts, the meeting date for October, 2014 was changed from October 23, 2014 to October 29, 2014. .
August 28, 2014 Dallas, TX (9:00 A.M. 3:00 P.M.)
September 25, 2014 - Dallas, TX - (9:00 A.M. 3:00 P.M.)
October 29, 2014 Dallas, TX - (9:00 A.M. 3:00 P.M.)
November 20, 2014 Dallas, TX (9:00 A.M. 3:00 P.M.)
December 18, 2014 Dallas, TX (9:00 A.M. 3:00 P.M.)
Agenda Item 15Adjournment
Dennis Reed (Westar) adjourned the meeting at 2:55 P.M. Respectfully Submitted, Brenda Fricano Secretary Attachments Attachment 1 RTWG Attendance July 24, 2014 Attachment 1 - RTWG Proxies *Attachment 2 - RTWG Agenda July 24, 2014 *Attachment 3 - Consent Agenda *Attachment 4 - RTWG Action Items Attachment 6 MPRR 190 Start-Up Offer Recovery Eligibility Clarifications Attachment 7 TRR 119 Attachment H Attachment 8 TRR 120 Attachment AI *Attachment 9 Cost Allocation Forecast