---------------------------------------------------------------------------

    \990\ E.g., EEI, ELCON, Morgan Stanley, Nevada Companies,
Northwest IOUs, Progress Energy, PNM-TNMP, Sempra Global, Southern,
and TDU Systems.
    \991\ E.g., EEI, Nevada Companies, Northwest IOUs, Progress
Energy, PNM-TNMP, Sempra Global, and Southern.
---------------------------------------------------------------------------

    1737. Some commenters oppose the requirement for a nexus between
the OATT violation and the entity's market-based rate authority because
the Commission has not stated what facts would be sufficient to show
such a nexus.\992\ EPSA and NRECA (in reply comments) contend that if
the Commission does not remove the ``nexus'' condition, it should
clarify what constitutes a ``nexus'' between an OATT violation and an
entity's market-based rate authority. Similarly, PNM-TNMP argues that
such a nexus must be clear and fact-specific, consistent with the
Policy Statement on Enforcement. TDU Systems contend in reply

comments that, at a minimum, a transmission provider or its affiliate
that has market-based rate authority must overcome a rebuttable
presumption that its OATT violation has the requisite ``nexus'' to
support revocation of such authority.
---------------------------------------------------------------------------

    \992\ E.g., APPA.
---------------------------------------------------------------------------

    1738. Other commenters argue that a serious OATT violation removes
the mitigation of transmission market power provided by adherence to an
OATT, thereby eviscerating one of the essential requirements for
market-based rate authority.\993\ EEI and PNM-TNMP reply that not every
OATT violation diminishes the availability of transmission service so
as to establish vertical market power.
---------------------------------------------------------------------------

    \993\ E.g., APPA, EPSA, and TAPS.
---------------------------------------------------------------------------

    1739. APPA and TDU Systems suggest in reply comments that the
proposed nexus condition would unduly limit any sanctions, because the
shareholders of the violator could still reap the benefits of such a
violation if an affiliate that did not have any knowledge of the OATT
violation could continue to engage in transactions under market-based
rate authority. According to APPA, this possibility could lessen the
incentive for senior management over a transmission provider and
affiliates to make OATT compliance a high priority. As such, APPA and
TAPS suggest that the Commission consider revoking a transmission
provider's market-based rate authority for a ``material'' OATT
violation that effectively denies, delays, or diminishes a customer's
access to transmission service essential to mitigating transmission
market power.
    1740. TDU Systems caution that revocation of market-based rate
authority may not be sufficient to deter OATT violations if reversion
to cost-based rates may provide a transmission provider with the
ability to recover all costs and receive higher revenues than
competitive markets might otherwise produce. Therefore, TDU Systems ask
that the Commission consider assessment of civil penalties in addition
to revocation of market-based rate authority.
    1741. The majority of commenters disagree, however, with the
Commission's proposal to revoke the market-based rate authority of all
affiliates of a transmission provider to the same extent that we revoke
that transmission provider's market-based rate authority.\994\ These
commenters assert that affiliates that have no knowledge of, or
involvement in, their affiliated transmission provider's unlawful
activities should not lose their market-based rate authority as a
result of the transmission provider's OATT violation. NRECA replies
that market-based rate authority is a privilege, not a right, and
asserts that the Commission should revoke market-based rate authority
in response to an OATT violation that indicates that a public utility
possesses market power.
---------------------------------------------------------------------------

    \994\ E.g., EEI, Nevada Companies, Northwest IOUs, Progress
Energy, PNM-TNMP, Sempra Global, and Southern.
---------------------------------------------------------------------------

    1742. APPA also suggests that, short of revocation of a
transmission provider's market-based rate authority in response to an
OATT violation, the Commission could condition that authority, or the
market-based rate authority of the transmission provider's affiliates.
APPA provides the following examples of such conditions: A requirement
to participate in joint planning of transmission facilities with the
transmission provider's network customers and offer these customers
appropriate credits under OATT section 30.9; an offer of joint
transmission ownership opportunities to LSEs for new transmission
facilities on reasonable terms and conditions; and an offer to network
service customers to participate in the ownership of the transmission
provider's existing transmission system on a load ratio share basis.
Commission Determination
    1743. We adopt the NOPR proposal to revoke an entity's market-based
rate authority in response to an OATT violation only upon a finding of
a specific factual nexus between the violation and the entity's market-
based rate authority. We believe that the ``nexus condition'' is
required in order to ensure that our actions are not arbitrary or
capricious or based on an inadequate factual record. We note that in
this context the Commission has the burden to show a factual nexus. We
do not assign a burden on the violator to show the lack of this nexus.
    1744. Determining what would be a sufficient factual nexus between
an OATT violation and revocation of the violator's market-based rate
authority is best left to a case-by-case consideration. The wide range
of positions among commenters on how to define a sufficient factual
nexus itself suggests that this finding is best made after review of a
specific factual situation. Some commenters assert that a finding of a
``serious'' or ``material'' violation of the OATT would be sufficient.
We disagree. While an entity's inconsequential OATT violation would not
serve as a basis for revoking that entity's market-based rate
authority, our view is that the nexus condition requires us to find
both that a substantial OATT violation has occurred and that the
violation either related to the exercise of the violator's market-based
rate authority or violated a specific condition of that authority.
    1745. The Commission emphasizes that we have discretion to fashion
remedies for OATT violations that relate to the violator's market-based
rate authority in instances in which we do not find a factual nexus
justifying revocation of that authority. For example, in appropriate
circumstances, we may modify or add additional conditions to the
violator's market-based rate authority or impose other requirements to
help ensure that the violator does not commit future, similar
misconduct. Nor is revocation of market-based rate authority the only
action we may take to respond to an OATT violation that meets the nexus
condition. We will consider whether to impose sanctions such as
assessment of civil penalties for particularly serious OATT violations
in addition to revocation of the violator's market-based rate
authority.
    1746. We do not adopt our proposal from the NOPR to revoke the
market-based rate authority of each affiliate of a transmission
provider that loses its market-based rate authority within a particular
market as a result of an OATT violation. Rather, we will create a
rebuttable presumption that all affiliates of a transmission provider
should lose their market-based rate authority in each market in which
their affiliated transmission provider loses its market-based rate
authority as a result of an OATT violation. We will allow an affiliate
of a transmission provider to retain its market-based rate authority in
a market area if the affiliate overcomes the rebuttable presumption
with respect to that market area.
    1747. We expect that the issue of potential revocation of market-
based rate authority will arise as a result of an OATT violation in a
market in which the transmission provider possesses transmission market
power through the ownership of transmission facilities in that market.
For these markets, we have evaluated whether a transmission provider
should receive authority to make sales of electric power for resale at
market-based rates using a four-prong analysis. In this analysis we
consider whether the transmission provider and its affiliates have
adequately mitigated market power in generation and transmission,
whether the transmission provider or its affiliates can erect other
barriers to entry, and whether there is evidence that the transmission
provider and its affiliates have engaged in

affiliate abuse or reciprocal dealing.\995\ In particular, we have long
held that the existence of an OATT is deemed to mitigate vertical
market power and transmission market power held by a transmission
provider and its affiliates in a particular market. An OATT violation
by a transmission provider in a market in which it possesses
transmission market power that merits revocation of the transmission
provider's market-based rate authority may call into question whether
the transmission provider's affiliates continue to qualify for market-
based rates in that market under the standards that we have
established.\996\ As a result, we believe that it is appropriate to
establish a presumption in this circumstance that if we find that a
transmission provider should lose its market-based rate authority in a
market in which it possesses transmission market power, we will revoke
the market-based rate authority in that market of all affiliates of the
transmission provider.
---------------------------------------------------------------------------

    \995\ In our recent NOPR on market-based rates for wholesale
sales of electricity, the Commission proposed to discontinue
referring to affiliate abuse among a transmission provider and its
affiliates as a separate ``prong'' of our analysis of whether to
grant market-base rate authority. The Commission instead proposed to
address affiliate abuse by requiring that transmission providers and
their affiliates comply with restrictions and conditions set forth
in the regulations we propose in that proceeding. Market-Based Rates
for Wholesale Sales of Electric Energy, Capacity and Ancillary
Services by Public Utilities, 71 FR 33102 (Jun. 7, 2006), FERC
Stats. & Regs. ] 32,602 at P 13 (2006).
    \996\ We observe that specific situations in which transmission
providers have agreed to resolve staff allegations that they engaged
in OATT violations have involved transactions with affiliates. See
Idaho Power (settlement of, among other issues, an Enforcement staff
allegation that a transmission provider permitted its merchant
function to request non-firm transmission to enable the merchant
function to make off-system sales that by definition were not used
to serve native load, so that the transmission did not qualify for
the ``native load'' priority specified in section 28.4 of the
transmission provider's OATT); Cleco Corp., 104 FERC ] 61,125 (2003)
(settlement between Enforcement staff and a utility holding company
and its subsidiaries relating, in part, to the provision by a
transmission provider of a unique type of transmission service that
was neither made available to non-affiliates nor included in its
FERC tariff); Tucson Electric Power Co., 109 FERC ] 61,272 (2004)
(operational audit in which staff found that, among other matters, a
transmission provider permitted its wholesale merchant function to
purchase hourly non-firm and monthly firm point-to-point
transmission service using an off-OASIS scheduling procedure while
the transmission provider did not post on its OASIS the availability
of capacity on these paths); South Carolina Electric & Gas Co., 111
FERC ] 61,217 (2005) (settlement of Enforcement staff allegation
that a transmission provider made available firm point-to-point
transmission service to its affiliated merchant function that did
not submit transmission schedules with specific receipt points for
the service as required by section 13.8 of the transmission
provider's OATT); and MidAmerican Energy Co., 112 FERC ] 61,346
(2005) (operational audit in which staff found, among other things,
that a transmission provider permitted its wholesale merchant
function to (a) use network transmission service to bring short-term
energy purchases onto its system while it simultaneously made off-
system sales, inconsistently with the preamble to Part III of the
transmission provider's OATT and section 28.6 of its OATT; and (b)
confirm firm network transmission service requests without
identifying a designated network resource or acquiring an associated
network resource, in some instances using this service to deliver
short-term energy purchases used to facilitate off-system sales,
inconsistent with section 29.2 or section 30.6 of the transmission
provider's OATT). See also Commission orders cited in note 989
supra.
---------------------------------------------------------------------------

    1748. We are mindful, however, that the circumstances of a
particular affiliate may not always justify the imposition of a remedy
so severe as revocation of market-based rate authority in a particular
market when its affiliated transmission provider loses its market-based
rate authority in that market as a result of an OATT violation. To
afford due process to a transmission provider's affiliates in that
situation, and to ensure that a determination to revoke market-based
rate authority in a particular market for a transmission provider and
all of its affiliates that possess such authority is adequately based
upon record evidence and not arbitrary or capricious, we will allow an
opportunity for each such affiliate to make a showing that it should
retain its market-based rate authority or that enforcement action
against it should be less severe than revocation. The determination
whether an affiliate has overcome the rebuttable presumption depends on
an analysis of specific facts in the record. Relevant facts would
include, but are not limited to, whether: (1) The transmission provider
and the affiliate were under the same control; (2) the affiliate knew
of, participated in or was an accomplice to the OATT violation; (3) the
affiliate assisted the transmission provider in exercising market
power; or (4) the affiliate benefited from the violation.
c. Whether Certain OATT Violations Should Be Considered Market
Manipulation Under Section 222 of the FPA
NOPR Proposal
    1749. The Commission proposed in the NOPR to decline to identify in
the pro forma OATT specific conduct that constitutes per se market
manipulation. The Commission proposed to consider on a case-by-case
basis, if and when they arise, whether specific circumstances relating
to OATT violations constitute market manipulation under the standards
set forth in Order No. 670.
Comments
    1750. All commenters on this issue concur with a case-by-case
approach to it.\997\ Southwestern Coop suggests that, as the Commission
gains sufficient experience to describe particular misconduct as market
manipulation per se, it should identify such misconduct in the OATT.
While contending that the Commission should act with caution in listing
behaviors that constitute per se market manipulation in view of the
dynamic nature of markets, TDU Systems urge the Commission to specify
in the OATT that transmission planning misconduct could constitute a
form of market manipulation or abuse.
---------------------------------------------------------------------------

    \997\ APPA, Nevada Companies, PNM-TNMP, Southwestern Coop, and
TDU Systems.
---------------------------------------------------------------------------

Commission Determination
    1751. We adopt the NOPR proposal for a case-by case approach to
considering whether OATT violations may constitute market manipulation.
Without reference to a specific factual pattern developed in an
investigation or on-the-record proceeding, the Commission is not in a
position to identify market manipulation relating to OATT
violations.\998\
---------------------------------------------------------------------------

    \998\ Similarly, in issuing the Anti-manipulation Rule, we
declined to provide specific examples of what would constitute
market manipulation. Order No. 670 at P 64-67.
---------------------------------------------------------------------------

VI. Information Collection Statement

    1752. The Office of Management and Budget (OMB) regulations require
that OMB approve certain reporting, record keeping, and public
disclosure (collections of information) imposed by an agency.\999\
Pursuant to OMB regulations, the Commission is providing notice of its
proposed information collections to OMB for review under section
3507(d) of the Paperwork Reduction Act of 1995.\1000\
---------------------------------------------------------------------------

    \999\ 5 CFR 1320.11.
    \1000\ 44 U.S.C. 3507(d).
---------------------------------------------------------------------------

    1753. The Commission identifies the information provided under Part
35 subpart C as contained in FERC-516 and Part 37 as contained in FERC-
717. The Commission solicited comments on the need for this
information, whether the information will have practical utility, ways
to enhance the quality, utility, and clarity of the information to be
collected, and any suggested methods for minimizing respondents'
burden, including the use of automated information exchanges. The
Commission did not receive any specific comments regarding its burden
estimates. Where commenters raised concerns that specific information
collection requirements would be burdensome to implement, the

Commission has address those concerns elsewhere in the rule.
    1754. The Commission estimates the burden for complying with the
Final Rule is as follows: \1001\
---------------------------------------------------------------------------

    \1001\ These burden estimates applied only to the Final Rule and
do not reflect upon all of FERC-516 or FERC-717.

----------------------------------------------------------------------------------------------------------------
                                                     Number of       Number of       Hours per     Total annual
                 Data collection                    respondents      responses       response          hours
----------------------------------------------------------------------------------------------------------------
                                               Part 35 (FERC-516)
----------------------------------------------------------------------------------------------------------------
Conforming tariff changes.......................             116               1              25           2,900
Revision of Imbalance Charges...................             116               1               5             580
ATC revisions...................................             116               1              40           4,640
Planning (Attachment K).........................             116               1             200          23,200
Congestion studies..............................             116               1             300          34,800
Attestation of network resource commitment......             116               1               1             116
Capacity reassignment...........................             116               1             100          11,600
Operational Penalty annual filing...............             116               1              10           1,160
Creditworthiness--include criteria in the tariff             116               1              40           4,640
                                                 ---------------------------------------------------------------
    Sub Total Part 35...........................  ..............  ..............  ..............          83,636
----------------------------------------------------------------------------------------------------------------
                                               Part 37 (FERC-717)
----------------------------------------------------------------------------------------------------------------
ATC-related standards:
    NERC/NAESB Team to develop..................               1               1           1,920           1,920
    Review and comment by utility...............             116               1              20           2,320
    Implementation by each utility..............             116               1              40           4,640
Mandatory data exchanges........................             116               1              80           9,280
Explanation of change of ATC values.............             116               1             100          11,600
Reevaluate CBM and post quarterly...............             116               1              20           2,320
Post OASIS metrics; requests accepted/denied....             116               1              90          10,440
Post planning redispatch offers and reliability              116               1              20           2,320
 redispatch data................................
Post curtailment data...........................             116               1              10          11,160
Post Planning and System Impact Studies.........             116               1               5             580
Posting of metrics for System Impact Studies....             116               1             100          11,600
Post all rules to OASIS.........................             116               1               5             580
    Sub Total (Part 37).........................  ..............  ..............  ..............          68,760
                                                 ---------------------------------------------------------------
        Total (Part 35 + Part 37)...............  ..............  ..............  ..............         140,476
                                                 ---------------------------------------------------------------
Recordkeeping...................................             116               1              40           4,640
----------------------------------------------------------------------------------------------------------------

    1755. Information Collection Costs: No comments were received
regarding the Commission's estimate of costs to comply with these
requirements. The Commission has projected costs of compliance as
follows:
    Total Annual Hours for Collection:
    Reporting + recordkeeping hours = 152,396 + 4,640 = 157,036 hours.
    Cost to Comply:

Reporting = $17,373,144
hour), consultant ($150), technical ($80), and administrative support
($25))
Recordkeeping = $7,478,888
$78,880
    Storage 8,000 sq. ft. x $925 (off site storage) = $7,400,000
Total costs = $24,852,024
    Labor $ ($17,373,144 + $78,880) + Recordkeeping Storage Costs
($7,400,000)

    Title: FERC-516, Electric Rate Schedules and Tariff Filings; FERC-
717 Standards for Business Practices and Communication Protocols for
Public Utilities.
    Action: Proposed Collections.
    OMB Control Nos. 1902-0096 and 1902-0173.
    Respondents: Business or other for profit.
    Frequency of responses: On occasion.
    Necessity of the Information: The Federal Energy Regulatory
Commission adopts these amendments to its regulations adopted in Order
Nos. 888 and 889, and to the pro forma open access transmission tariff,
to ensure that transmission services are provided on a basis that is
just, reasonable and not unduly discriminatory or preferential. The
purpose of this rulemaking is to strengthen the pro forma OATT to
ensure that it achieves its original purpose--remedying undue
discrimination--not to create new market structures. We propose to
achieve this goal by increasing the clarity and transparency of the
rules applicable to the planning and use of the transmission system and
by addressing ambiguities and the lack of sufficient detail in several
important areas of the pro forma OATT. The lack of specificity in the
pro forma OATT creates opportunities for undue discrimination as well
as making the undue discrimination that does occur more difficult to
detect. To accomplish this we are proposing five objectives: (1) To
improve transparency and consistency in several critical areas, by
providing for greater consistency in the calculation of ATC, (2) to
reform the transmission planning requirements of the pro forma OATT to
eliminate potential undue discrimination and support the construction
of adequate transmission facilities to meet the needs of all LSEs, (3)
to remedy certain portions of the pro forma OATT that may have
permitted utilities to

discriminate against new merchant generation, including intermittent
generation, (4) to provide for greater transparency in the provision of
transmission service to allow transmission customers better access to
information to make their resource procurement and investment
decisions, as well as to increase the Commission's ability to detect
any remaining incidents of undue discrimination; and (5) to reform and
provide greater clarity in areas that have generated recurring disputes
over the past 10 years, such as rollover rights, ``redirects,'' and
generation redispatch. The reforms proposed in this Final Rule are
intended to address deficiencies in the pro forma OATT that have become
apparent since the implementation of Order No. 888 in 1996 and to
facilitate improved planning and operation of transmission facilities.
    1756. Interested persons may obtain information on the reporting
requirements by contacting the following: Federal Energy Regulatory
Commission, 888 First Street, NE., Washington, DC 20426, Attention:
Michael Miller, Office of the Executive Director, Phone: (202) 502-
8415, fax:<PHONE_NUMBER>, e-mail<EMAIL_ADDRESS>    1757. For submitting comments concerning the collections of
information and the associated burden estimate(s), please send your
comments to the contact listed above and to the Office of Information
and Regulatory Affairs, Office of Management and Budget, 725 17th
Street, NW., Washington, DC 20503 Attention: Desk Officer for the
Federal Energy Regulatory Commission, phone<PHONE_NUMBER>, fax: (202)
395-7285. Due to security concerns, comments should be sent
electronically to the following e-mail address:
<EMAIL_ADDRESS>Please reference the docket number of this

rulemaking in your submission.

VII. Environmental Analysis

    1758. The Commission is required to prepare an Environmental
Assessment or an Environmental Impact Statement for any action that may
have a significant adverse effect on the human environment.\1002\ The
Commission concludes that neither an Environmental Assessment nor an
Environmental Impact Statement is required for this Final Rule under
section 380.4(a)(15) of the Commission's regulations, which provides a
categorical exemption for approval of actions under sections 205 and
206 of the FPA relating to the filing of schedules containing all rates
and charges for the transmission or sale subject to the Commission's
jurisdiction, plus the classification, practices, contracts and
regulations that affect rates, charges, classifications and
services.\1003\
---------------------------------------------------------------------------

    \1002\ Regulations Implementing the National Environmental
Policy Act, Order No. 486, 52 FR 47897 (Dec. 17, 1987), FERC Stats.
& Regs. ] 30,783 (1987).
    \1003\ 18 CFR 380.4(a)(15).
---------------------------------------------------------------------------

VIII. Regulatory Flexibility Act Analysis

    1759. The Regulatory Flexibility Act of 1980 (RFA) \1004\ generally
requires a description and analysis of final rules that will have
significant economic impact on a substantial number of small entities.
This rule applies to public utilities that own, control or operate
interstate transmission facilities other than those that have received
waiver of the obligation to comply with Order Nos. 888 and 889. The
total number of public utilities that, absent waiver, would have to
modify their current OATTs by filing the revised pro forma OATT is
116.\1005\ Of these only six public utilities, or less than two
percent, have output of four million MWh or less per year.\1006\ The
Commission does not consider this a substantial number and, in any
event, each of these entities retains its rights to waiver of these
requirements.\1007\ The criteria for waiver that would be applied under
this rulemaking for small entities is unchanged from that used to
evaluate requests for waiver under Order Nos. 888 and 889. Accordingly,
the Commission certifies that the Final Rule will not have a
significant economic impact on a substantial number of small entities.
---------------------------------------------------------------------------

    \1004\ 5 U.S.C. 601-612.
    \1005\ The Commission has identified 116 transmission providers
with tariffs on file. We note that this figure is lower than our
initial estimate in the NOPR, based on FERC Form No. 1 and FERC Form
No. 1-F data.
    \1006\ Id.
    \1007\ The Regulatory Flexibility Act defines a ``small entity''
as ``one which is independently owned and operated and which is not
dominant in its field of operation.'' See 5 U.S.C. 601(3) and
601(6); 15 U.S.C. 632(a)(1). In Mid-Tex Elec. Coop. v. FERC, 773
F.2d 327, 340-43 (D.C. Cir. 1985), the court accepted the
Commission's conclusion that, since virtually all of the public
utilities that it regulates do not fall within the meaning of the
term ``small entities'' as defined in the Regulatory Flexibility
Act, the Commission did not need to prepare a regulatory flexibility
analysis in connection with its proposed rule governing the
allocation of costs for construction work in progress (CWIP). The
CWIP rules applied to all public utilities. The revised pro forma
OATT will apply only to those public utilities that own, control or
operate interstate transmission facilities. These entities are a
subset of the group of public utilities found not to require
preparation of a regulatory flexibility analysis for the CWIP rule.
---------------------------------------------------------------------------

IX. Document Availability

    1760. In addition to publishing the full text of this document in
the Federal Register, the Commission provides all interested persons an
opportunity to view and/or print the contents of this document via the
Internet through the Commission's Home Page (http://www.ferc.gov) and

in the Commission's Public Reference Room during normal business hours
(8:30 a.m. to 5 p.m. Eastern time) at 888 First Street, NE., Room 2A,
Washington DC 20426.
    1761. From the Commission's Home Page on the Internet, this
information is available in the Commission's document management
system, eLibrary. The full text of this document is available on
eLibrary in PDF and Microsoft Word format for viewing, printing, and/or
downloading. To access this document in eLibrary, type ``RM05-25'' or
``RM05-17'' in the docket number field.
    1762. User assistance is available for eLibrary and the
Commission's website during normal business hours. For assistance,
please contact the Commission's Online Support at 1-866-208-3676 (toll
free) or<PHONE_NUMBER> (e-mail at FERCOnlineSupport@FERC.gov), or the
Public Reference Room at<PHONE_NUMBER>, TTY<PHONE_NUMBER> (e-mail at
public.referenceroom@ferc.gov).

X. Effective Date and Congressional Notification

    1763. These regulations are effective May 14, 2007. The Commission
has determined, with the concurrence of the Administrator of the Office
of Information and Regulatory Affairs of OMB, that this rule is not a
``major rule'' as defined in section 351 of the Small Business
Regulatory Enforcement Fairness Act of 1996. The Commission will submit
the Final Rule to both houses of Congress and to the General Accounting
Office.

List of Subjects

18 CFR Part 35

    Electric power rates, Electric utilities, Reporting and
recordkeeping requirements.

18 CFR Part 37

    Conflict of interests, Electric power plants, Electric utilities,
Reporting and recordkeeping requirements.

    By the Commission.
Magalie R. Salas,
Secretary.

0
In consideration of the foregoing, the Commission amends parts 35 and
37,

Chapter I, Title 18 of the Code of Federal Regulations, as follows:

PART 35--FILING OF RATE SCHEDULES AND TARIFFS

0
1. The authority citation for part 35 continues to read as follows:

    Authority: 16 U.S.C. 791a-825r, 2601-2645; 31 U.S.C. 9701; 42
U.S.C. 71-7352.

0
2. Amend Sec.  35.28 as follows:
0
a. Paragraph (c) is revised.
0
b. Paragraphs (d)(i) and (d)(ii) are redesignated as paragraphs (d)(1)
and (d)(2).
0
c. Newly redesignated paragraph (d)(1) is revised.
0
d. Paragraph (e)(1) introductory text is revised.
0
e. Paragraph (e)(1)(ii) is revised.

Sec.  35.28  Non-discriminatory open access transmission tariff.

* * * * *
    (c) Non-discriminatory open access transmission tariffs. (1) Every
public utility that owns, controls, or operates facilities used for the
transmission of electric energy in interstate commerce must have on
file with the Commission a tariff of general applicability for
transmission services, including ancillary services, over such
facilities. Such tariff must be the open access pro forma tariff
contained in Order No. 888, FERC Stats. & Regs. ] 31,036 (Final Rule on
Open Access and Stranded Costs), as revised by the open access pro
forma tariff contained in Order No. 890, FERC Stats. & Regs. ] 31,241
(Final Rule on Open Access Reforms), or such other open access tariff
as may be approved by the Commission consistent with Order No. 888,
FERC Stats. & Regs ] 31,306 and Order No. 890, FERC Stats. & Regs. ]
31,241.
    (i) Subject to the exceptions in paragraphs (c)(1)(ii),
(c)(1)(iii), (c)(1)(iv) and (c)(1)(v) of this section, the pro forma
tariff contained in Order No. 888, FERC Stats. & Regs. ] 31,036, as
revised by the open access pro forma tariff contained in Order No. 890,
FERC Stats. & Regs. ] 31,241, and accompanying rates, must be filed no
later than 60 days prior to the date on which a public utility would
engage in a sale of electric energy at wholesale in interstate commerce
or in the transmission of electric energy in interstate commerce.
    (ii) If a public utility owns, controls, or operates facilities
used for the transmission of electric energy in interstate commerce as
of May 14, 2007, it must file the revisions to the pro forma tariff
contained in Order No. 890, FERC Stats. & Regs. ] 31,241, pursuant to
section 206 of the FPA and accompanying rates pursuant to section 205
of the FPA in accordance with the procedures set forth in Order No.
890, FERC Stats. & Regs ] 31,241.
    (iii) If a public utility owns, controls, or operates transmission
facilities used for the transmission of electric energy in interstate
commerce as of May 14, 2007, such facilities are jointly owned with a
non-public utility, and the joint ownership contract prohibits
transmission service over the facilities to third parties, the public
utility with respect to access over the public utility's share of the
jointly owned facilities must file no later than May 14, 2007 the
revisions to the pro forma tariff contained in Order No. 890, FERC
Stats. & Regs. ] 31,241, pursuant to section 206 of the FPA and
accompanying rates pursuant to section 205 of the FPA.
    (iv) Any public utility whose transmission facilities are under the
independent control of a Commission-approved ISO or RTO may satisfy its
obligation under paragraph (c)(1) of this section, with respect to such
facilities, through the open access transmission tariff filed by the
ISO or RTO.
    (v) If a public utility obtains a waiver of the tariff requirement
pursuant to paragraph (d) of this section, it does not need to file the
pro forma tariff required by this section.
    (vi) Any public utility that seeks a deviation from the pro forma
tariff contained in Order No. 888, FERC Stats. & Regs. ] 31,036, as
revised in Order No. 890, FERC Stats. & Regs. ] 31,241, must
demonstrate that the deviation is consistent with the principles of
Order No. 888, FERC Stats. & Regs ] 31,036 and Order No. 890, FERC
Stats. & Regs. ] 31,241.
    (vii) Each public utility's open access transmission tariff must
include the standards incorporated by reference in part 38 of this
chapter.
    (2) Subject to the exceptions in paragraphs (c)(2)(i) and
(c)(3)(iii) of this section, every public utility that owns, controls,
or operates facilities used for the transmission of electric energy in
interstate commerce, and that uses those facilities to engage in
wholesale sales and/or purchases of electric energy, or unbundled
retail sales of electric energy, must take transmission service for
such sales and/or purchases under the open access transmission tariff
filed pursuant to this section.
    (i) For sales of electric energy pursuant to a requirements service
agreement executed on or before July 9, 1996, this requirement will not
apply unless separately ordered by the Commission. For sales of
electric energy pursuant to a bilateral economy energy coordination
agreement executed on or before July 9, 1996, this requirement is
effective on December 31, 1996. For sales of electric energy pursuant
to a bilateral non-economy energy coordination agreement executed on or
before July 9, 1996, this requirement will not apply unless separately
ordered by the Commission.
    (ii) [Reserved.]
    (3) Every public utility that owns, controls, or operates
facilities used for the transmission of electric energy in interstate
commerce, and that is a member of a power pool, public utility holding
company, or other multi-lateral trading arrangement or agreement that
contains transmission rates, terms or conditions, must have on file a
joint pool-wide or system-wide open access transmission tariff, which
tariff must be the pro forma tariff contained in Order No. 888, FERC
Stats. & Regs. ] 31,036, as revised by the pro forma tariff contained
in Order No. 890, FERC Stats. & Regs. ] 31,241, or such other open
access tariff as may be approved by the Commission consistent with
Order No. 888, FERC Stats. & Regs. ] 31,036 and Order No. 890, FERC
Stats. & Regs. ] 31,241.
    (i) For any power pool, public utility holding company or other
multi-lateral arrangement or agreement that contains transmission
rates, terms or conditions and that is executed after May 14, 2007,
this requirement is effective on the date that transactions begin under
the arrangement or agreement.
    (ii) For any power pool, public utility holding company or other
multi-lateral arrangement or agreement that contains transmission
rates, terms or conditions and that is executed on or before May 14,
2007, a public utility member of such power pool, public utility
holding company or other multi-lateral arrangement or agreement that
owns, controls, or operates facilities used for the transmission of
electric energy in interstate commerce must file the revisions to its
joint pool-wide or system-wide contained in Order No. 890, FERC Stats.
& Regs. ] 31,241, pursuant to section 206 of the FPA and accompanying
rates pursuant to section 205 of the FPA in accordance with the
procedures set forth in Order No. 890, FERC Stats. & Regs ] 31,241.
    (iii) A public utility member of a power pool, public utility
holding company or other multi-lateral arrangement or agreement that
contains transmission rates, terms or conditions and that is executed
on or before July 9, 1996 must take transmission service under a joint
pool-wide or system-wide open access transmission tariff filed pursuant
to this section for wholesale trades among the pool or system members.

    (4) Consistent with paragraph (c)(1) of this section, every
Commission-approved ISO or RTO must have on file with the Commission a
tariff of general applicability for transmission services, including
ancillary services, over such facilities. Such tariff must be the pro
forma tariff contained in Order No. 888, FERC Stats. & Regs. ] 31,036,
as revised by the pro forma tariff contained in Order No. 890, FERC
Stats. & Regs. ] 31,241, or such other open access tariff as may be
approved by the Commission consistent with Order No. 888, FERC Stats. &
Reg. ] 31,036 and Order No. 890, FERC Stats. & Regs. ] 31,241.
    (i) Subject to paragraph (c)(4)(ii) of this section, a Commission-
approved ISO or RTO must file the revisions to the pro forma tariff
contained in Order No. 890, FERC Stats. & Regs. ] 31,241, pursuant to
section 206 of the FPA and accompanying rates pursuant to section 205
of the FPA in accordance with the procedures set forth in Order No.
890, FERC Stats. & Regs ] 31,241.
    (ii) If a Commission-approved ISO or RTO can demonstrate that its
existing open access tariff is consistent with or superior to the
revisions to the pro forma tariff contained in Order No. 888, FERC
Stats. & Regs. ] 31,036, as revised by the pro forma tariff in Order
No. 890, FERC Stats. & Regs. ] 31,241, or any portions thereof, the
Commission-approved ISO or RTO may instead set forth such demonstration
in its filing pursuant to section 206 in accordance with the procedures
set forth in Order No. 890, FERC Stats. & Regs ] 31,241.
    (d) Waivers. * * *
    (1) No later than May 14, 2007, or
* * * * *
    (e) Non-public utility procedures for tariff reciprocity
compliance. (1) A non-public utility may submit a transmission tariff
and a request for declaratory order that its voluntary transmission
tariff meets the requirements of Order No. 888, FERC Stats. & Regs. ]
31,036 and Order No. 890, FERC Stats. & Regs. ] 31,241.
* * * * *
    (ii) If the submittal is found to be an acceptable transmission
tariff, an applicant in a Federal Power Act (FPA) section 211 or 211A
proceeding against the non-public utility shall have the burden of
proof to show why service under the open access tariff is not
sufficient and why a section 211 or 211A order should be granted.
* * * * *

PART 37--OPEN ACCESS SAME-TIME INFORMATION SYSTEMS

0
3. The authority citation for part 37 continues to read as follows:

    Authority: 16 U.S.C. 791-825r, 2601-2645; 31 U.S.C. 9701; 42
U.S.C. 7101-7352.

0
4. Amend Sec.  37.6 as follows:
0
a. Paragraph (a)(1) is revised.
0
b. Paragraph (b) introductory text is revised.
0
c. Paragraphs (b)(1)(v) through (b)(1)(viii) are added.
0
d. Paragraphs (b)(2)(i) through (b)(2)(iii) are revised.
0
e. Paragraph (b)(3) is revised.
0
f. Paragraphs (c)(2) and (c)(5) are revised.
0
g. Paragraphs (e)(1) and (e)(2)(ii) are revised.
0
h. Paragraph (e)(3)(ii) is revised.
0
i. Paragraphs (h), (i) and (j) are added.

Sec.  37.6  Information to be posted on the OASIS.

    (a) * * *
    (1) Make requests for transmission services offered by Transmission
Providers, Resellers and other providers of ancillary services, request
the designation of a network resource, and request the termination of
the designation of a network resource;
* * * * *
    (b) Posting transfer capability. The available transfer capability
on the Transmission Provider's system (ATC) and the total transfer
capability (TTC) of that system shall be calculated and posted for each
Posted Path as set out in this section.
    (1) * * *
    (v) Available transfer capability or ATC means the transfer
capability remaining in the physical transmission network for further
commercial activity over and above already committed uses, or such
definition as contained in Commission-approved Reliability Standards.
    (vi) Total transfer capability or TTC means the amount of electric
power that can be moved or transferred reliably from one area to
another area of the interconnected transmission systems by way of all
transmission lines (or paths) between those areas under specified
system conditions, or such definition as contained in Commission-
approved Reliability Standards.
    (vii) Capacity Benefit Margin or CBM means the amount of TTC
preserved by the Transmission Provider for load-serving entities, whose
loads are located on that Transmission Provider's system, to enable
access by the load-serving entities to generation from interconnected
systems to meet generation reliability requirements, or such definition
as contained in Commission-approved Reliability Standards.
    (viii) Transmission Reliability Margin or TRM means the amount of
TTC necessary to provide reasonable assurance that the interconnected
transmission network will be secure, or such definition as contained in
Commission-approved Reliability Standards.
    (2) * * *
    (i) Information used to calculate any posting of ATC and TTC must
be dated and time-stamped and all calculations shall be performed
according to consistently applied methodologies referenced in the
Transmission Provider's transmission tariff and shall be based on
Commission-approved Reliability Standards as well as current industry
practices, standards and criteria.
    (ii) On request, the Responsible Party must make all data used to
calculate ATC, TTC, CBM, and TRM for any constrained posted paths
publicly available (including the limiting element(s) and the cause of
the limit (e.g., thermal, voltage, stability), as well as load forecast
assumptions) in electronic form within one week of the posting. The
information is required to be provided only in the electronic format in
which it was created, along with any necessary decoding instructions,
at a cost limited to the cost of reproducing the material. This
information is to be retained for six months after the applicable
posting period.
    (iii) System planning studies, facilities studies, and specific
network impact studies performed for customers or the Transmission
Provider's own network resources are to be made publicly available in
electronic form on request and a list of such studies shall be posted
on the OASIS. A study is required to be provided only in the electronic
format in which it was created, along with any necessary decoding
instructions, at a cost limited to the cost of reproducing the
material. These studies are to be retained for five years.
    (3) Posting. The ATC, TTC, CBM, and TRM for all Posted Paths must
be posted in megawatts by specific direction and in the manner
prescribed in this subsection.
    (i) Constrained posted paths.--(A) For firm ATC and TTC.
    (1) The posting shall show ATC, TTC, CBM, and TRM for a 30-day
period. For this period postings shall be: by the hour, for the current
hour and the 168 hours next following; and thereafter, by the day. If
the Transmission Provider charges separately for on-peak and off-peak
periods in its tariff, ATC, TTC, CBM, and TRM will be posted daily for
each period.

    (2) Postings shall also be made by the month, showing for the
current month and the 12 months next following.
    (3) If planning and specific requested transmission studies have
been done, seasonal capability shall be posted for the year following
the current year and for each year following to the end of the planning
horizon but not to exceed 10 years.
    (B) For non-firm ATC and TTC. The posting shall show ATC, TTC, CBM
and TRM for a 30-day period by the hour and days prescribed under
paragraph (b)(3)(i)(A)(1) of this section and, if so requested, by the
month and year as prescribed under paragraph (b)(3)(i)(A) (2) and (3)
of this section. The posting of non-firm ATC and TTC shall show CBM as
zero.
    (C) Updating posted information for constrained paths.
    (1) The capability posted under paragraphs (b)(3)(i)(A) and (B) of
this section must be updated when transactions are reserved or service
ends or whenever the estimate for the path changes by more than 10
percent.
    (2) All updating of hourly information shall be made on the hour.
    (3) When the monthly and yearly capability posted under paragraphs
(b)(3)(i)(A) and (B) of this section are updated because of a change in
TTC by more than 10 percent, the Transmission Provider shall post a
brief, but specific, narrative explanation of the reason for the
update. This narrative should include, the specific events which gave
rise to the update (e.g., scheduling of planned outages and occurrence
of forced transmission outages, de-ratings of transmission facilities,
scheduling of planned generation outages and occurrence of forced
generation outages, changes in load forecast, changes in new
facilities' in-service dates, or other events or assumption changes)
and new values for ATC on the path (as opposed to all points on the
network).
    (4) When the monthly and yearly capability posted under paragraphs
(b)(3)(i)(A) and (B) of this section remain unchanged at a value of
zero for a period of six months, the Transmission Provider shall post a
brief, but specific, narrative explanation of the reason for the
unavailability of ATC.
    (ii) Unconstrained posted paths.
    (A) Postings of firm and nonfirm ATC, TTC, CBM, and TRM shall be
posted separately by the day, showing for the current day and the next
six days following and thereafter, by the month for the 12 months next
following. If the Transmission Provider charges separately for on-peak
and off-peak periods in its tariff, ATC, TTC, CBM, and TRM will be
posted separately for the current day and the next six days following
for each period. These postings are to be updated whenever the ATC
changes by more than 20 percent of the Path's TTC.
    (B) If planning and specific requested transmission studies have
been done, seasonal capability shall be posted for the year following
the current year and for each year following until the end of the
planning horizon but not to exceed 10 years.
    (iii) Calculation of CBM.
    (A) The Transmission Provider must reevaluate its CBM needs at
least every year.
    (B) The Transmission Provider must post its practices for
reevaluating its CBM needs.
    (iv) Daily load. The Transmission Provider must post on a daily
basis, its actual daily peak load for the prior day.
    (c) * * *
    (2) Transmission Providers must provide a downloadable file of
their complete tariffs in the same electronic format as the tariff that
is filed with the Commission. Transmission Providers also must provide
a link to all of the rules, standards and practices that relate to
transmission services posted on the Transmission Providers' public Web
sites.
* * * * *
    (5) Customers choosing to use the OASIS to offer for resale
transmission capacity they have purchased must post relevant
information to the same OASIS as used by the Transmission Provider from
whom the Reseller purchased the transmission capacity. This information
must be posted on the same display page, using the same tables, as
similar capability being sold by the Transmission Provider, and the
information must be contained in the same downloadable files as the
Transmission Provider's own available capability.
* * * * *
    (e) Posting specific transmission and ancillary service requests
and responses.
    (1) General rules.
    (i) All requests for transmission and ancillary service offered by
Transmission Providers under the pro forma tariff, including requests
for discounts, and all requests to designate or terminate a network
resource, must be made on the OASIS and posted prior to the
Transmission Provider responding to the request, except as discussed in
paragraphs (e)(1)(ii) and (iii) of this section. The Transmission
Provider must post all requests for transmission service, for ancillary
service, and for the designation or termination of a network resource
comparably. Requests for transmission service, ancillary service, and
to designate and terminate a network resource, as well as the responses
to such requests, must be conducted in accordance with the Transmission
Provider's tariff, the Federal Power Act, and Commission regulations.
    (ii) The requirement in paragraph (e)(1)(i) of this section, to
post requests for transmission and ancillary service offered by
Transmission Providers under the pro forma tariff, including requests
for discounts, prior to the Transmission Provider responding to the
request, does not apply to requests for next-hour service made during
Phase I.
    (iii) In the event that a discount is being requested for ancillary
services that are not in support of basic transmission service provided
by the Transmission Provider, such request need not be posted on the
OASIS.
    (iv) In processing a request for transmission or ancillary service,
the Responsible Party shall post the same information as required in
paragraphs (c)(4) and (d)(3) of this section, and the following
information: the date and time when the request is made, its place in
any queue, the status of that request, and the result (accepted,
denied, withdrawn). In processing a request to designate or terminate
the designation of a network resource, the Responsible Party shall post
the date and time when the request is made.
    (v) For any request to designate or terminate a network resource,
the Transmission Provider (at the time when the request is received),
must post on the OASIS (and make available for download) information
describing the request (including: name of requestor, identification of
the resource, effective time for the designation or termination,
identification of whether the transaction involves the Transmission
Provider's wholesale merchant function or any affiliate; and any other
relevant terms and conditions) and shall keep such information posted
on the OASIS for at least 30 days. A record of the transaction must be
retained and kept available as part of the audit log required in Sec.
37.7.
    (vi) The Transmission Provider shall post a list of its current
designated network resources and all network customers' current
designated network resources on OASIS. The list of network resources
should include the name of the resource, its geographic and electrical
location, its total installed capacity, and the amount of capacity to
be designated as a network resource.
    (2) * * *

    (ii) Information to support the reason for the denial, including
the operating status of relevant facilities, must be maintained for
five years and provided, upon request, to the potential Transmission
Customer and the Commission's Staff.
* * * * *
    (3) * * *
    (ii) Information to support any such curtailment or interruption,
including the operating status of the facilities involved in the
constraint or interruption, must be maintained and made available upon
request, to the curtailed or interrupted customer, the Commission's
Staff, and any other person who requests it, for five years.
* * * * *
    (h) Posting information summarizing the time to complete
transmission service request studies. (1) For each calendar quarter,
the Responsible Party must post the set of measures detailed in
paragraph (h)(1)(i) through paragraph (h)(1)(vi) of this section
related to the Responsible Party's processing of transmission service
request system impact studies and facilities studies. The Responsible
Party must calculate and post the measures in paragraph (h)(1)(i)
through paragraph (h)(1)(vi) of this section separately for requests
for short-term firm point-to-point transmission service, long-term firm
point-to-point transmission service, and requests to designate a new
network resource and must be calculated and posted separately for
transmission service requests from Affiliates and transmission service
requests from Transmission Customers who are not Affiliates. The
Responsible Party is required to include in the calculations of the
measures in paragraph (h)(1)(i) through paragraph (h)(1)(vi) of this
section all studies the Responsible Party conducts of transmission
service requests on another Transmission Provider's OASIS.
    (i) Process time from initial service request to offer of system
impact study agreement.
    (A) Number of new system impact study agreements delivered during
the reporting quarter to entities that request transmission service,
    (B) Number of new system impact study agreements delivered during
the reporting quarter to entities that request transmission service
more than thirty (30) days after the Responsible Party received the
request for transmission service,
    (C) Mean time (in days), for all requests acted on by the
Responsible Party during the reporting quarter, from the date when the
Responsible Party received the request for transmission service to when
the Responsible Party changed the transmission service request status
to indicate that the Responsible Party could offer transmission service
or needed to perform a system impact study,
    (D) Mean time (in days), for all system impact study agreements
delivered by the Responsible Party during the reporting quarter, from
the date when the Responsible Party received the request for
transmission service to the date when the Responsible Party delivered a
system impact study agreement, and
    (E) Number of new system impact study agreements executed during
the reporting quarter.
    (ii) System impact study processing time.
    (A) Number of system impact studies completed by the Responsible
Party during the reporting quarter,
    (B) Number of system impact studies completed by the Responsible
Party during the reporting quarter more than 60 days after the
Responsible Party received an executed system impact study agreement,
    (C) For all system impact studies completed more than 60 days after
receipt of an executed system impact study agreement, average number of
days study was delayed due to transmission customer's actions (e.g.,
delays in providing needed data),
    (D) Mean time (in days), for all system impact studies completed by
the Responsible Party during the reporting quarter, from the date when
the Responsible Party received the executed system impact study
agreement to the date when the Responsible Party provided the system
impact study to the entity who executed the system impact study
agreement, and
    (E) Mean cost of system impact studies completed by the Responsible
Party during the reporting quarter.
    (iii) Transmission service requests withdrawn from the system
impact study queue.
    (A) Number of transmission service requests withdrawn from the
Responsible Party's system impact study queue during the reporting
quarter,
    (B) Number of transmission service requests withdrawn from the
Responsible Party's system impact study queue during the reporting
quarter more than 60 days after the Responsible Party received the
executed system impact study agreement, and
    (C) Mean time (in days), for all transmission service requests
withdrawn from the Responsible Party's system impact study queue during
the reporting quarter, from the date the Responsible Party received the
executed system impact study agreement to date when request was
withdrawn from the Responsible Party's system impact study queue.
    (iv) Process time from completed system impact study to offer of
facilities study.
    (A) Number of new facilities study agreements delivered during the
reporting quarter to entities that request transmission service,
    (B) Number of new facilities study agreements delivered during the
reporting quarter to entities that request transmission service more
than thirty (30) days after the Responsible Party completed the system
impact study,
    (C) Mean time (in days), for all facilities study agreements
delivered by the Responsible Party during the reporting quarter, from
the date when the Responsible Party completed the system impact study
to the date when the Responsible Party delivered a facilities study
agreement, and
    (D) Number of new facilities study agreements executed during the
reporting quarter.
    (v) Facilities study processing time.
    (A) Number of facilities studies completed by the Responsible Party
during the reporting quarter,
    (B) Number of facilities studies completed by the Responsible Party
during the reporting quarter more than 60 days after the Responsible
Party received an executed facilities study agreement,
    (C) For all facilities studies completed more than 60 days after
receipt of an executed facilities study agreement, average number of
days study was delayed due to transmission customer's actions (e.g.,
delays in providing needed data),
    (D) Mean time (in days), for all facilities studies completed by
the Responsible Party during the reporting quarter, from the date when
the Responsible Party received the executed facilities study agreement
to the date when the Responsible Party provided the facilities study to
the entity who executed the facilities study agreement,
    (E) Mean cost of facilities studies completed by the Responsible
Party during the reporting quarter, and
    (F) Mean cost of upgrades recommended in facilities studies
completed during the reporting quarter.
    (vi) Service requests withdrawn from facilities study queue.
    (A) Number of transmission service requests withdrawn from the
Responsible Party's facilities study queue during the reporting
quarter,
    (B) Number of transmission service requests withdrawn from the

Responsible Party's facilities study queue during the reporting quarter
more than 60 days after the Responsible Party received the executed
facilities study agreement, and
    (C) Mean time (in days), for all transmission service requests
withdrawn from the Responsible Party's facilities study queue during
the reporting quarter, from the date the Responsible Party received the
executed facilities study agreement to date when request was withdrawn
from the Responsible Party's facilities study queue.
    (2) The Responsible Party is required to post the measures in
paragraph (h)(1)(i) through paragraph (h)(1)(vi) of this section for
each calendar quarter within 15 days of the end of the calendar
quarter. The Responsible Party will keep the quarterly measures posted
on OASIS for three calendar years.
    (3) The Responsible Party will be required to post on OASIS the
measures in paragraph (h)(3)(i) through paragraph (h)(3)(iv) of this
section in the event the Responsible Party, for two consecutive
calendar quarters, completes more than twenty (20) percent of the
studies associated with requests for transmission service from entities
that are not Affiliates of the Responsible Party more than sixty (60)
days after the Responsible Party delivers the appropriate study
agreement. The Responsible Party will have to post the measures in
paragraph (h)(3)(i) through paragraph (h)(3)(iv) of this section until
it processes at least ninety (90) percent of all studies within 60 days
after it has received the appropriate executed study agreement. For the
purposes of calculating the percent of studies completed more than
sixty (60) days after the Responsible Party delivers the appropriate
study agreement, the Responsible Party should aggregate all system
impact studies and facilities studies that it completes during the
reporting quarter. The Responsible Party must calculate and post the
measures in paragraph (h)(3)(i) through paragraph (h)(3)(iv) of this
section separately for requests for short-term firm point-to-point
transmission service, long-term firm point-to-point transmission
service, and requests to designate a new network resource and must be
calculated and posted separately for transmission service requests from
Affiliates and transmission service requests from Transmission
Customers who are not Affiliates.
    (i) Mean, across all system impact studies the Responsible Party
completes during the reporting quarter, of the employee-hours expended
per system impact study the Responsible Party completes during
reporting period;
    (ii) Mean, across all facilities studies the Responsible Party
completes during the reporting quarter, of the employee-hours expended
per facilities study the Responsible Party completes during reporting
period;
    (iii) The number of employees the Responsible Party has assigned to
process system impact studies;
    (iv) The number of employees the Responsible Party has assigned to
process facilities studies.
    (4) The Responsible Party is required to post the measures in
paragraph (h)(3)(i) through paragraph (h)(3)(iv) of this section for
each calendar quarter within 15 days of the end of the calendar
quarter. The Responsible Party will keep the quarterly measures posted
on OASIS for five calendar years.
    (i) Posting data related to grants and denials of service. The
Responsible Party is required to post data each month listing, by path
or flowgate, the number of transmission service requests that have been
accepted and the number of transmission service requests that have been
denied during the prior month. This posting must distinguish between
the length of the service request (e.g., short-term or long-term
requests) and between the type of service requested (e.g., firm point-
to-point, non-firm point-to-point or network service). The posted data
must show:
    (1) The number of non-Affiliate requests for transmission service
that have been rejected,
    (2) The total number of non-Affiliate requests for transmission
service that have been made,
    (3) The number of Affiliate requests for transmission service that
have been rejected, and
    (4) The total number of Affiliate requests for transmission service
that have been made.
    (j) Posting redispatch data.
    (1) The Transmission Provider must allow the posting on OASIS of
any third party offer to relieve a specified congested transmission
facility.
    (2) The Transmission Provider must post on OASIS (i) its monthly
average cost of planning and reliability redispatch, for which it
invoices customers, at each internal transmission facility or interface
over which it provides redispatch service and (ii) a high and low
redispatch cost for the month for each of these same transmission
facilities. The transmission provider must post this data on OASIS as
soon as practical after the end of each month, but no later than when
it sends invoices to transmission customers for redispatch-related
services.

0
5. In Sec.  37.7, paragraph (b) is revised to read as follows:

Sec.  37.7  Auditing Transmission Service Information.

* * * * *
    (b) Audit data must remain available for download on the OASIS for
90 days, except ATC/TTC postings that must remain available for
download on the OASIS for 20 days. The audit data are to be retained
and made available upon request for download for five years from the
date when they are first posted in the same electronic form as used
when they originally were posted on the OASIS.

    Note: The following appendices will not be published in the Code
of Federal Regulations.

Appendix A: Summary of Compliance Filing Requirements

    For a more detailed description of compliance obligations please
refer to the Final Rule paragraph number. For further information
related to the Final Rule, such as electronic versions of the pro forma
OATT showing tariff changes adopted in the Final Rule in redline/
strikeout format, and further information regarding docketing of
compliance filings and specific filing instructions, please visit our
Web site at the following location http://www.ferc.gov/industries/electric/indus-act/oatt-reform.asp
.

----------------------------------------------------------------------------------------------------------------
  Deadline (days after publication in Federal                                                       Final rule
                   Register)                                    Compliance action                  paragraph No.
----------------------------------------------------------------------------------------------------------------
30............................................  Optional Implementation FPA section 205 filings            P 139
                                                 allowing transmission providers to propose
                                                 previously approved variations from the pro
                                                 forma OATT that have been affected by pro forma
                                                 OATT Final Rule reforms to remain in effect
                                                 subject to a demonstration that such variations
                                                 continue to be consistent with or superior to
                                                 the revised Final Rule pro forma OATT (non RTO/
                                                 ISO transmission providers). Such optional
                                                 filings must request a 90 day effective date to
                                                 facilitate Commission review under section 205.

60............................................  Non-ISO/RTO transmission providers submit FPA              P 135
                                                 section 206 filings that contain the non-rate
                                                 terms and conditions set forth in Final Rule.
                                                 These filings need only contain the revised
                                                 provisions adopted in the Final Rule.
                                                 Transmission providers utilizing the optional
                                                 Implementation FPA section 205 filing described
                                                 above, need only submit tariff sheets necessary
                                                 to implement the remaining modifications
                                                 required under the Final Rule, i.e.,
                                                 modifications related to tariff provisions that
                                                 did not implicate previously-approved
                                                 variations.
75............................................  Transmission Providers must post a ``strawman''            P 443
                                                 proposal for compliance with each of the nine
                                                 planning principles adopted in the Final Rule.
                                                 This may be posted on the Transmission
                                                 Providers Web site or its OASIS site.
90............................................  NERC/NAESB status report and work plan for                 P 223
                                                 completion of ATC related business practices
                                                 and standards.
                                                NAESB status report and work plan for completion           P 141
                                                 of OASIS functionality or uniform business
                                                 practices (other than those related to ATC).
120...........................................  Transmission Providers must submit redesigned              P 263
                                                 transmission charges that reflect the Capacity
                                                 Benefit Margin set-aside through a limited
                                                 issue section 205 rate filing as part of their
                                                 initial ATC related compliance filings.
180...........................................  Submit compliance filings with Attachment C                P 140
                                                 (ATC) of the pro forma OATT.
210...........................................  ISOs and RTOs, and transmission providers           P 157, P 161
                                                 located within an ISO/RTO footprint, submit FPA
                                                 section 206 filings that contain the non-rate
                                                 terms and conditions set forth in the Final
                                                 Rule. These filings need only contain the
                                                 revised provisions adopted in the Final Rule or
                                                 a demonstration that previously approved
                                                 variations continue to be consistent with or
                                                 superior to the revised pro forma OATT.
210...........................................  Submit compliance filings with Attachment K         P 140, P 442
                                                 (Planning) of the pro forma OATT or RTOs and
                                                 ISOs file a demonstration that their planning
                                                 processes are consistent with or superior to
                                                 the planning principles in the Final Rule.
N/A...........................................  Transmission Providers must file a revised                 P 325
                                                 Attachment C to incorporate any changes to
                                                 NERC's and NAESB's reliability and business
                                                 practice standards to achieve consistency in
                                                 ATC within 60 days of completion of the NERC
                                                 and NAESB processes.
N/A...........................................  After the submission of FPA section 206                    P 135
                                                 compliance filings, transmission providers may
                                                 submit FPA section 205 filings proposing rates
                                                 for the services provided for in the tariff, as
                                                 well as non-rate terms and conditions that
                                                 differ from those set forth in the Final Rule
                                                 if those provisions are ``consistent with or
                                                 superior to'' the pro forma OATT.
----------------------------------------------------------------------------------------------------------------

Appendix B: Commenting Party Acronyms

                           Initial Commenters
------------------------------------------------------------------------
           Abbreviation                      Initial commenters
------------------------------------------------------------------------
Alberta Intervenors...............  Alberta Intervenors (TransCanada
                                     Energy Ltd., ENMAX Energy
                                     Marketing, Inc.; EPCOR Merchant and
                                     Capital, LP; and TransAlta
                                     Corporation).
Alcoa.............................  Alcoa Inc. and Alcoa Power
                                     Generating Inc.
Allegheny.........................  Allegheny Power and Allegheny Energy
                                     Supply Company, LLC.
Ameren............................  Ameren Services Company.
American Transmission.............  American Transmission Company LLC.
AMP-Ohio..........................  American Municipal Power-Ohio, Inc.
Anaheim...........................  Cities of Anaheim, Azusa, Banning,
                                     Colton, Pasadena, and Riverside,
                                     California.
APPA..............................  American Public Power Association.
ARC...............................  Alliance for Retail Choice.
Arkansas Commission...............  Arkansas Public Service Commission.
Arkansas Municipal................  Arkansas Municipal Power
                                     Association.
AWEA..............................  American Wind Energy Association.
Barrick...........................  Barrick Goldstrike Mines Inc.
BART..............................  San Francisco Bay Area Rapid Transit
                                     District.
Bonneville........................  Bonneville Power Administration.
BP Energy.........................  BP Energy Company.
Bureau of Reclamation.............  U.S. Bureau of Reclamation.
CAC/EPUC..........................  Cogeneration Association of
                                     California (Coalinga Cogeneration
                                     Co., Mid-Set Cogeneration Co., Kern
                                     River Cogeneration Co., Sycamore
                                     Cogeneration Co., Sargent Canyon
                                     Cogeneration Co., Salinas River
                                     Cogeneration Co., Midwest Sunset
                                     Cogeneration Co. and Watson
                                     Cogeneration Co.) and Energy
                                     Producers and Users Coalition (Aera
                                     Energy LLC, BP American, Inc.,
                                     Chevron USA, Inc., ConocoPhilips
                                     Co., ExxonMobil Power and Gas
                                     Services, Inc., Shell Oil Products,
                                     US, THUMS Long Beach Co.,
                                     Occidental Elk Hills, Inc., and
                                     Valero Refining Co.--California).
CAISO.............................  California Independent System
                                     Operator Corporation.
California Commission.............  Public Utilities Commission of the
                                     State of California.
Calpine...........................  Calpine Corporation.
Chandley-Hogan....................  John D. Chandley and William W.
                                     Hogan.

ColumbiaGrid......................  ColumbiaGrid Members (Bonneville
                                     Power Administration; Avista Corp.;
                                     Public Utility District No. 1 of
                                     Chelan County, Washington; Public
                                     Utility District No. 2 of Grant
                                     County, Washington; Puget Sound
                                     Energy, Inc.; Seattle City Light;
                                     and Tacoma Power.
Community Power Alliance..........  Community Power Alliance Members
                                     (Entergy, Progress Energy, Salt
                                     River Project Agricultural
                                     Improvement and Power District, and
                                     Southern Co.).
Constellation.....................  Constellation Energy Group, Inc.
CREPC.............................  Committee on Regional Electric Power
                                     Corp.
Dominion..........................  Dominion Resources Services, Inc.
                                     (Armstrong Energy Limited
                                     Partnership, LLLP; Dominion Energy
                                     Marketing, Inc.; Elwood Energy,
                                     LLC; Fairless Energy, LLC;
                                     Pleasants Energy, LLC and Virginia
                                     Electric and Power Co. d/b/a
                                     Dominion Virginia Power).
Dow...............................  Dow Chemical Corp.
Duke..............................  Duke Energy Corp.
E.ON..............................  E.ON U.S. LLC.
East Texas Cooperatives...........  East Texas Electric Cooperative,
                                     Inc.; Northeast Texas Electric
                                     Cooperative, Inc.; Sam Rayburn
                                     Generation and Electric
                                     Cooperative, Inc. and Tex-La
                                     Electric Cooperative of Texas, Inc.
Eastern North Carolina............  Eastern NC Towns (Towns of Black
                                     Creek, NC; Lucama, NC;
                                     Stantonsburg, NC).
EEI...............................  Edison Electric Institute.
ELCON.............................  Electricity Consumers Resource
                                     Council, American Iron and Steel
                                     Institute, and American Forest &
                                     Paper Institute.
Emerald...........................  Emerald People's Utility District.
Entegra...........................  Entegra Power Group LLC and LS Power
                                     Associates, L.P.
Entergy...........................  Entergy Services, Inc.
EPSA..............................  Electric Power Supply Association.
Exelon............................  Exelon Corporation.
Fayetteville......................  Public Works Commission of the City
                                     of Fayetteville, North Carolina.
Fertilizer Institute..............  Fertilizer Institute.
FirstEnergy.......................  FirstEnergy Service Company (First
                                     Energy Solutions; American
                                     Transmission Systems, Inc.; Jersey
                                     Central Power and Light Co.;
                                     Metropolitan Edison Co.; and
                                     Pennsylvania Electric Co.).
Flathead..........................  Flathead Electric Cooperative.
Florida Commission................  Florida Public Service Commission.
Florida Industrial Cogeneration     Florida Industrial Cogeneration
 Association.                        Association.
FMPA..............................  Florida Municipal Power Agency and
                                     Midwest Municipal Transmission
                                     Group.
Geothermal Producers..............  CE Generation, LLC; Ormat
                                     Technologies, Inc.; Caithness
                                     Energy, LLC; and Geothermal Energy
                                     Association.
Grant.............................  Grant County PUD, Chelan County PUD
                                     and Pend Oreille County PUD.
Great Northern....................  Great Northern Power Development,
                                     L.P.
Imperial..........................  Imperial Irrigation District.
Indianapolis Power................  Indianapolis Power & Light Co.
Indicated New York Transmission     Central Hudson Gas & Electric Corp.;
 Owners.                             Consolidated Edison Co. of New
                                     York, Inc.; LIPA; New York Power
                                     Authority; New York State Electric
                                     & Gas Corp.; Orange and Rockland
                                     Utilities, Inc.; and Rochester Gas
                                     and Electric Corp.
International Transmission........  International Transmission Co. d/b/a
                                     ITCTransmission and Michigan
                                     Electric Transmission Co., LLC.
IRH Management....................  IRH Management Committee and the
                                     Schedule 20A Service Providers.
ISO New England...................  ISO New England, Inc. and New
                                     England Power Pool.
ISO/RTO Council...................  ISO/RTO Council.
Lassen............................  Lassen Municipal Utility District.
LDWP..............................  City of Los Angeles Department of
                                     Water and Power.
LPPC..............................  Large Public Power Council.
Manitoba Hydro....................  Manitoba Hydro.
MDEA..............................  Mississippi Delta Energy Agency,
                                     Clarksdale Public Utilities
                                     Commission, and Public Service
                                     Commission of Yazoo City.
MidAmerican.......................  MidAmerican Energy Company and
                                     PacifiCorp.
MISO..............................  Midwest Independent Transmission
                                     System Operator, Inc.
MISO Transmission Owners..........  Midwest ISO Transmission Owners.
MISO/PJM States...................  Organization of MISO States and
                                     Organization of PJM States, Inc.
Morgan Stanley....................  Morgan Stanley Capital Group Inc.
NAESB.............................  North American Energy Standards
                                     Board.
NARUC.............................  National Association of Regulatory
                                     Utility Commissioners.
National Grid.....................  National Grid USA.
NCEMC.............................  North Carolina Electric Membership
                                     Corporation.
NCPA..............................  Northern California Power Agency.
NERC..............................  North American Electric Reliability
                                     Corporation.
Nevada Commission.................  Public Utilities Commission of
                                     Nevada.
Nevada Companies..................  Nevada Power Company and Sierra
                                     Pacific Power Company.
New Jersey Board..................  New Jersey Board of Public
                                     Utilities.
New Mexico Attorney General.......  New Mexico Attorney General.
New York Commission...............  New York State Public Service
                                     Commission.

Newfoundland......................  Newfoundland and Labrador Hydro.
Newmont Mining....................  Newmont USA Limited, dba Newmont
                                     Mining Corp.
Northeast Utilities...............  Northeast Utilities Service Company
                                     (Connecticut Light and Power Co.;
                                     Western Massachusetts Electric Co.;
                                     Public Service Co. of New
                                     Hampshire; Holyoke Water Power Co.;
                                     and Holyoke Power and Electric
                                     Co.).
Northwest IOUs....................  Northwest Investor-Owned Utilities
                                     (Avista Corp., Portland General
                                     Electric Co., and Puget Sound
                                     Energy, Inc.).
Northwest Parties.................  Northwest Parties (Avista Corp.,
                                     Bonneville Power Administration,
                                     PacifiCorp, PNGC Power, Portland
                                     General Electric Co., Public Power
                                     Council, Public Utility Commission
                                     of Oregon and Puget Sound Energy,
                                     Inc.).
NorthWestern......................  NorthWestern Corporation.
NPPD..............................  Nebraska Public Power District.
NRECA.............................  National Rural Electric Cooperative
                                     Association.
NRG...............................  NRG Energy, Inc.
NYAPP.............................  New York Association of Public
                                     Power.
Occidental........................  Occidental Chemical Corporation.
Oklahoma Commission...............  Oklahoma Corporation Commission.
Old Dominion......................  Old Dominion Electric Cooperative.
Oversight Resources...............  Oversight Resources, LLC.
PGP...............................  Public Generating Pool and Chelan
                                     County PUD.
Pinnacle..........................  Pinnacle West Capital Corporation;
                                     Arizona Public Service Company; and
                                     APS Energy Services Company, Inc.
PJM...............................  PJM Interconnection, LLC.
PNM-TNMP..........................  Public Service Company of New Mexico
                                     and Texas-New Mexico Power Company.
Powerex...........................  Powerex Corp.
PPL...............................  PPL Companies.
PPM...............................  PPM Energy, Inc.
Progress Energy...................  Progress Energy, Inc. (Carolina
                                     Power & Light Co. d/b/a Progress
                                     Energy Carolinas and Florida Power
                                     Corp., d/b/a Progress Energy
                                     Florida; and Progress Ventures,
                                     Inc.).
Project for Sustainable FERC        Project for Sustainable FERC Energy
 Energy Policy.                      Policy (American Wind Energy
                                     Association, Delaware Division of
                                     the Public Advocate, Environmental
                                     Law & Policy Center, Illinois
                                     Citizens Utility Board, Natural
                                     Resources Defense Council,
                                     Northwest Energy Coalition, Office
                                     of the Ohio Consumers' Counsel,
                                     Pace Energy Project, Project for
                                     Sustainable FERC Energy Policy,
                                     Renewable Northwest Project, West
                                     Wind Wires, and Wind on the Wires).
PSEG..............................  Public Service Electric and Gas
                                     Company; PSEG Power LLC; and PSEC
                                     Energy Resources & Trade LLC (PSEG
                                     Companies).
Public Power Council..............  Public Power Council.
Reliant...........................  Reliant Energy, Inc.
Sacramento........................  Sacramento Municipal Utility
                                     District.
Salt River........................  Salt River Project Agricultural
                                     Improvement and Power District.
San Diego G&E.....................  San Diego Gas & Electric Company.
Santa Clara.......................  City of Santa Clara, California d/b/
                                     a Silicon Valley Power.
Santee Cooper.....................  South Carolina Public Service
                                     Authority.
SCE...............................  Southern California Edison.
Seattle...........................  City of Seattle--City Light
                                     Department.
Sempra Global.....................  Sempra Global.
South Carolina E&G................  South Carolina Electric & Gas
                                     Company.
South Carolina Regulatory Staff...  South Carolina Office of Regulatory
                                     Staff.
Southern..........................  Southern Company Services, Inc.
Southwest Transmission............  Southwest Area Transmission Sub-
                                     Regional Planning Group.
Southwestern Coop.................  Southwestern Electric Cooperative,
                                     Inc.
SPP...............................  Southwest Power Pool, Inc.
Steel Manufacturers Association...  Steel Manufacturers Association.
Suez Energy NA....................  Suez Energy North America, Inc.
Tacoma............................  Tacoma Power.
TANC..............................  Transmission Agency of Northern
                                     California.
TAPS..............................  Transmission Access Policy Study
                                     Group.
TDU Systems.......................  Transmission Dependent Utilities
                                     Systems.
TransAlta.........................  TransAlta Energy Marketing (US) Inc.
TranServ..........................  TranServ International, Inc.
Tucson............................  Tucson Electric Power Company.
TVA...............................  Tennessee Valley Authority.
Utah Municipals...................  Utah Associated Municipal Power
                                     Systems.
WAPA..............................  Western Area Power Administration.
WECC..............................  Western Electricity Coordinating
                                     Council.
WestConnect.......................  WestConnect Companies.
Western Governors.................  Western Governors' Association.
Williams..........................  Williams Power Company, Inc.
Wisconsin Electric................  Wisconsin Electric Power Company.
WSPP..............................  Western Systems Power Pool, Inc.

Xcel..............................  Xcel Energy Services, Inc.
------------------------------------------------------------------------

                            Reply commenters
------------------------------------------------------------------------
           Abbreviation                       Reply commenters
------------------------------------------------------------------------
Alberta Intervenors...............  Alberta Intervenors (TransCanada
                                     Energy Ltd., ENMAX Energy
                                     Marketing, Inc.; EPCOR Merchant and
                                     Capital, LP; and TransAlta
                                     Corporation).
Anaheim...........................  Cities of Anaheim, Azusa, Banning,
                                     Colton, Pasadena, and Riverside,
                                     California.
APPA..............................  American Public Power Association.
Barrick...........................  Barrick Goldstrike Mines Inc.
Bonneville........................  Bonneville Power Administration.
CAISO.............................  California Independent System
                                     Operator Corporation.
California Commission.............  Public Utilities Commission of the
                                     State of California.
Canadian Electricity Association..  Canadian Electricity Association.
Chandley-Hogan....................  John D. Chandley and William W.
                                     Hogan.
CMUA..............................  California Municipal Utilities
                                     Association.
ColumbiaGrid......................  ColumbiaGrid Members (Bonneville
                                     Power Administration; Avista Corp.;
                                     Public Utility District No. 1 of
                                     Chelan County, Washington; Public
                                     Utility District No. 2 of Grant
                                     County, Washington; Puget Sound
                                     Energy, Inc.; Seattle City Light;
                                     and Tacoma Power.
Community Power Alliance..........  Community Power Alliance Members
                                     (Entergy, Progress Energy, Salt
                                     River Project Agricultural
                                     Improvement and Power District, and
                                     Southern Co.).
Detroit Edison....................  Detroit Edison Co.
Duke..............................  Duke Energy Corp.
Dynegy............................  Dynegy Power Marketing, Inc.
East Texas Cooperatives...........  East Texas Electric Cooperative,
                                     Inc.; Northeast Texas Electric
                                     Cooperative, Inc.; Sam Rayburn
                                     Generation and Electric
                                     Cooperative, Inc. and Tex-La
                                     Electric Cooperative of Texas, Inc.
EEI...............................  Edison Electric Institute.
ElectriCities.....................  ElectriCities of North Carolina,
                                     Inc.
Entegra...........................  Entegra Power Group LLC and LS Power
                                     Associates, L.P.
Entergy...........................  Entergy Services, Inc.
EPSA..............................  Electric Power Supply Association.
Exelon............................  Exelon Corporation.
Fayetteville......................  Public Works Commission of the City
                                     of Fayetteville, North Carolina.
Fertilizer Institute..............  Fertilizer Institute.
FMPA..............................  Florida Municipal Power Agency and
                                     Midwest Municipal Transmission
                                     Group.
Great Northern....................  Great Northern Power Development,
                                     L.P.
Hoosier...........................  Hoosier Energy Rural Electric
                                     Cooperative, Inc.
H.Q. Energy.......................  H.Q. Energy Services (U.S.), Inc.
Indianapolis Power................  Indianapolis Power & Light Co.
Industrial Customers of Northwest   Industrial Customers of Northwest
 Utilities.                          Utilities (Air Liquide; Air
                                     Products; BPB Gypsum, Inc.; Blue
                                     Heron Paper Company; Boeing; Boise
                                     Cascade; CNC Containers, Northwest;
                                     Chemi-Con Materials Corporation;
                                     Dyno Nobel, Inc.; ConAgra Foods;
                                     Eka Chemicals, Inc.; Evanite Fiber;
                                     Georgia-Pacific; Grays Harbor
                                     Paper, L.P.; Hewlett-Packard;
                                     Inland Empire Paper Co.; Intel;
                                     J.R. Simplot; Kimberly-Clark
                                     Corporation; Longview Fibre;
                                     Microsoft Corporation; Norpac
                                     Foods; Noveon Kalama, Inc.; Oregon
                                     Steel Mills; PCC Structurals, Inc.;
                                     Ponderay Newsprint Co; Shell Oil
                                     Products US; Simpson Paper; Simpson
                                     Timber; Solar Grade Silicon LLC; SP
                                     Newsprint Co.; Tesoro Refining and
                                     Marketing Co.; Wah Chang; West Linn
                                     Paper Company; Weyerhaeuser).
International Transmission........  International Transmission Co. d/b/a
                                     ITCTransmission and Michigan
                                     Electric Transmission Co., LLC.
ISO/RTO Council...................  ISO/RTO Council.
Lassen............................  Lassen Municipal Utility District.
LPPC..............................  Large Public Power Council.
MAPP..............................  Mid-Continent Area Power Pool.
Mark Lively.......................  Mark B. Lively.
MDEA..............................  Mississippi Delta Energy Agency,
                                     Clarksdale Public Utilities
                                     Commission, Public Service
                                     Commission of Yazoo City, Arkansas
                                     Electric Cooperative Corporation,
                                     Municipal Energy Agency of
                                     Mississippi, and Lafayette
                                     Utilities System*.\1008\
MidAmerican.......................  MidAmerican Energy Company and
                                     PacifiCorp.
MISO..............................  Midwest Independent Transmission
                                     System Operator, Inc.
Morgan Stanley....................  Morgan Stanley Capital Group Inc.
NARUC.............................  National Association of Regulatory
                                     Utility Commissioners.
NC Transmission Planning            North Carolina Transmission Planning
 Participants.                       Collaborative Participants.
NCPA..............................  Northern California Power Agency.
Newmont Mining....................  Newmont USA Limited, dba Newmont
                                     Mining Corp.
North Carolina Commission.........  North Carolina Utilities Commission;
                                     Public Staff of the North Carolina
                                     Utilities Commission; and the
                                     Attorney General of the State of
                                     North Carolina.

Northwest IOUs....................  Northwest Investor-Owned Utilities
                                     (Avista Corp., Portland General
                                     Electric Co., and Puget Sound
                                     Energy, Inc.).
NorthWestern......................  NorthWestern Corporation.
NRECA.............................  National Rural Electric Cooperative
                                     Association.
Occidental........................  Occidental Chemical Corporation.
OG&E..............................  Oklahoma Gas and Electric Company.
Ohio Power Siting Board...........  Ohio Power Siting Board, American
                                     Municipal Power-Ohio, Inc. and
                                     Buckeye Power, Inc.
Old Dominion......................  Old Dominion Electric Cooperative;
                                     Southern Maryland Electric
                                     Cooperative, Inc.; Allegheny
                                     Electric Cooperative, Inc.; and
                                     North Carolina Electric Membership
                                     Corporation.
Omaha Public Power................  Omaha Public Power District.
Pennsylvania Commission...........  Pennsylvania Public Utility
                                     Commission.
PJM...............................  PJM Interconnection, LLC.
PNM-TNMP..........................  Public Service Company of New Mexico
                                     and Texas-New Mexico Power Company.
Powerex...........................  Powerex Corp.
PPM...............................  PPM Energy, Inc.
Progress Energy...................  Progress Energy, Inc. (Carolina
                                     Power & Light Co. d/b/a Progress
                                     Energy Carolinas and Florida Power
                                     Corp., d/b/a Progress Energy
                                     Florida; and Progress Ventures,
                                     Inc.).
Project for Sustainable FERC        Project for Sustainable FERC Energy
 Energy Policy.                      Policy (Delaware Division of the
                                     Public Advocate, Environmental Law
                                     & Policy Center, Fresh Energy,
                                     Natural Resources Defense Council,
                                     Northwest Energy Coalition, Pace
                                     Energy Project, Project for
                                     Sustainable FERC Energy Policy,
                                     Renewable Northwest Project, West
                                     Wind Wires, and Wind on the
                                     Wires).*
Public Power Council..............  Public Power Council.
Sacramento........................  Sacramento Municipal Utility
                                     District.
Salt River........................  Salt River Project Agricultural
                                     Improvement and Power District.
Santa Clara.......................  City of Santa Clara, California d/b/
                                     a Silicon Valley Power.
Seattle...........................  City of Seattle--City Light
                                     Department.
Seminole..........................  Seminole Electric Cooperative, Inc.
South Carolina E&G................  South Carolina Electric & Gas
                                     Company.
Southern..........................  Southern Company Services, Inc.
SPP...............................  Southwest Power Pool, Inc.
Steel Manufacturers Association...  Steel Manufacturers Association.
Strategic Energy..................  Strategic Energy, L.L.C.
TANC..............................  Transmission Agency of Northern
                                     California.
TAPS..............................  Transmission Access Policy Study
                                     Group.
TDU Systems.......................  Transmission Dependent Utilities
                                     Systems.
Transparent Dispatch Advocates....  PJM Interconnection, LLC; Electric
                                     Consumers Resource Council;
                                     Electric Power Supply Association;
                                     Natural Resources Defense Council;
                                     Renewable Northwest Project;
                                     Project for Sustainable FERC Energy
                                     Policy; Center for Energy
                                     Efficiency & Renewable
                                     Technologies; Shell Trading Gas and
                                     Power Company; American Wind Energy
                                     Association; and Exelon.
Utah Municipals...................  Utah Associated Municipal Power
                                     Systems.
WestConnect.......................  WestConnect Companies.
Williams..........................  Williams Power Company, Inc.
Wolverine.........................  Wolverine Power Supply Cooperative,
                                     Inc.
WPS Companies.....................  WPS Companies (Wisconsin Public
                                     Service Corporation and Upper
                                     Peninsula Power Company).
WSPP..............................  Western Systems Power Pool, Inc.
Xcel..............................  Xcel Energy Services, Inc.
------------------------------------------------------------------------

                     Technical Conference Commenters
------------------------------------------------------------------------
           Abbreviation                Technical conference commenters
------------------------------------------------------------------------
APPA*.............................  American Public Power Association.
APS*..............................  Arizona Public Service Company.
Bonneville*.......................  Bonneville Power Administration.
Constellation*....................  Constellation Energy Group, Inc.
EEI*..............................  Exelon Corporation on behalf of
                                     Edison Electric Institute (EEI).
EPSA*\1009\.......................  Electric Power Supply Association.
Exelon*...........................  Exelon.
NAESB*............................  North American Energy Standards
                                     Board.
NARUC*............................  National Association of Regulatory
                                     Utility Commissioners.
National Grid*....................  National Grid USA.
National Grid/Central Hudson......  National Grid USA, Central Hudson
                                     Gas & Electric Corporation, and
                                     American Wind Energy.
NERC*.............................  Prague Power, LLC, on behalf of the
                                     North American Electric Reliability
                                     Corporation.

New York Parties..................  Consolidated Edison Co. of New York,
                                     Inc., Orange and Rockland
                                     Utilities, Inc., New York Power
                                     Authority, and Independent Power
                                     Producers of New York, Inc.
NRECA*............................  Great River Energy on behalf of
                                     National Rural Electric Cooperative
                                     Association (NRECA).
NRG on behalf of EPSA*............  NRG Energy, Inc. on behalf of
                                     Electric Power Supply Association
                                     (EPSA).
PacifiCorp........................  PacifiCorp.
PJM*..............................  PJM Interconnection, LLC.
AWEA*.............................  PPM Energy, Inc. on behalf of
                                     American Wind Energy Association
Progress Energy*..................  Progress Energy, Inc. (Carolina
                                     Power & Light Company, d/b/a.
                                     Progress Energy Carolinas, Inc. and
                                     Florida Power Corporation, d/b/a
                                     Progress Energy Florida, Inc.).
Renewable Northwest Project*......  Renewable Northwest Project.
San Diego G&E.....................  San Diego Gas & Electric Company.
TAPS*.............................  Southern Minnesota Municipal Power
                                     Agency and Transmission Access
                                     Policy Study Group.
TDU Systems.......................  Transmission Dependent Utilities
                                     Systems.
South Carolina Regulatory Staff...  South Carolina Office of Regulatory
                                     Staff.
Southern*.........................  Southern Company Services, Inc.
WECC*.............................  Western Electricity Coordinating
                                     Council.
Williams*.........................  Williams Power.
Williams*.........................  Williams Power Company, Inc.
Xcel*.............................  Xcel Energy Services, Inc.
------------------------------------------------------------------------

                         Supplemental Commenters
------------------------------------------------------------------------
           Abbreviation                    Supplemental commenters
------------------------------------------------------------------------
Alabama Commission................  Alabama Public Service Commission.
Ameren............................  Ameren Services Company.
APPA..............................  American Public Power Association.
Barrick...........................  Barrick Goldstrike Mines Inc.
Bonneville........................  Bonneville Power Administration.
BP Energy.........................  BP Energy Company.
California Commission.............  Public Utilities Commission of the
                                     State of California.
Community Power Alliance..........  Community Power Alliance Members
                                     (Entergy, Progress Energy, Salt
                                     River Project Agricultural
                                     Improvement and Power District, and
                                     Southern Co.).
Constellation.....................  Constellation Energy Group, Inc.
Duke..............................  Duke Energy Corp.
E.ON..............................  E.ON U.S. LLC.
EEI...............................  Edison Electric Institute.
Entergy...........................  Entergy Services, Inc.
EPSA and AWEA.....................  Electric Power Supply Association
                                     and American Wind Energy
                                     Association.
Florida Commission................  Florida Public Service Commission.
Georgia Commission................  Georgia Public Service Commission.
LPPC..............................  Large Public Power Council.
Mark Lively.......................  Mark B. Lively.
MISO..............................  Midwest Independent Transmission
                                     System Operator, Inc.
Nevada Companies..................  Nevada Power Company and Sierra
                                     Pacific Power Company.
North Carolina Commission.........  North Carolina Utilities Commission;
                                     Public Staff of the North Carolina
                                     Utilities Commission; and the
                                     Attorney General of the State of
                                     North Carolina.
NRECA.............................  National Rural Electric Cooperative
                                     Association.
OG&E..............................  Oklahoma Gas and Electric Company.
Pacific Coast Parties.............  Pacific Coast Parties (Avista
                                     Corporation, Bonneville Power
                                     Administration, PacifiCorp,
                                     Portland General Electric Company,
                                     Puget Sound Energy, Inc., the
                                     Sacramento Municipal Utility
                                     District and the Transmission
                                     Agency of Northern California).
PGP...............................  Public Generating Pool.
Southwest Utilities...............  Pinnacle West Companies, Public
                                     Service Company of New Mexico,
                                     Texas-New Mexico Power Company, and
                                     UniSource Energy Corporation.
PNM-TNMP..........................  Public Service Company of New Mexico
                                     and Texas-New Mexico Power Company.
Powerex...........................  Powerex Corp.
PPL...............................  PPL Companies.
PPM...............................  PPM Energy, Inc.
Progress Energy...................  Progress Energy, Inc. (Carolina
                                     Power & Light Company, d/b/a.
                                     Progress Energy Carolinas, Inc. and
                                     Florida Power Corporation, d/b/a
                                     Progress Energy Florida, Inc.).
Progress Energy and MidAmerican...  Progress Energy, Inc. and
                                     MidAmerican Energy Company.
Public Power Council..............  Public Power Council.
SEARUC............................  Southeastern Association of
                                     Regulatory Utility Commissioners.
South Carolina E&G................  South Carolina Electric & Gas
                                     Company.
South Carolina Regulatory Staff...  South Carolina Office of Regulatory
                                     Staff.

Southern..........................  Southern Company Services, Inc.
Tacoma............................  Tacoma Power.
TAPS..............................  Transmission Access Policy Study
                                     Group.
TDU Systems.......................  Transmission Dependent Utilities
                                     Systems.
Transparent Dispatch Advocates....  Transparent Dispatch Advocates
                                     (American Wind Energy Association;
                                     Center for Energy Efficiency &
                                     Renewable Technologies; Electric
                                     Consumers Resource Council;
                                     Electric Power Supply Association;
                                     Exelon Corporation; Natural
                                     Resources Defense Council; PJM
                                     Interconnection, LLC; PPM Energy;
                                     Project for Sustainable FERC Energy
                                     Policy; Renewable Northwest
                                     Project; and Shell Trading Gas and
                                     Power Company)*\1010\
Western Governors.................  Western Governors' Association.
Williams..........................  Williams Power Company, Inc.
WIRES.............................  WIRES.
Xcel..............................  Xcel Energy Services, Inc.
------------------------------------------------------------------------

Appendix C: Pro Forma Open Access Transmission Tariff
---------------------------------------------------------------------------

    \1008\ A ``*'' indicates that the composition of this group has
altered in the reply comment filing.
    \1009\ A ``*'' indicates that this party submitted speaker
materials at the October 12 Technical Conference.
    \1010\ A ``*'' indicates that the composition of this group has
altered in this filing.
---------------------------------------------------------------------------

Table of Contents

I. Common Service Provisions
    1 Definitions
    1.1 Affiliate
    1.2 Ancillary Services
    1.3 Annual Transmission Costs
    1.4 Application
    1.5 Commission
    1.6 Completed Application
    1.7 Control Area
    1.8 Curtailment
    1.9 Delivering Party
    1.10 Designated Agent
    1.11 Direct Assignment Facilities
    1.12 Eligible Customer
    1.13 Facilities Study
    1.14 Firm Point-To-Point Transmission Service
    1.15 Good Utility Practice
    1.16 Interruption
    1.17 Load Ratio Share
    1.18 Load Shedding
    1.19 Long-Term Firm Point-To-Point Transmission Service
    1.20 Native Load Customers
    1.21 Network Customer
    1.22 Network Integration Transmission Service
    1.23 Network Load
    1.24 Network Operating Agreement
    1.25 Network Operating Committee
    1.26 Network Resource
    1.27 Network Upgrades
    1.28 Non-Firm Point-To-Point Transmission Service
    1.29 Non-Firm Sale
    1.30 Open Access Same-Time Information System (OASIS)
    1.31 Part I
    1.32 Part II
    1.33 Part III
    1.34 Parties
    1.35 Point(s) of Delivery
    1.36 Point(s) of Receipt
    1.37 Point-To-Point Transmission Service
    1.38 Power Purchaser
    1.39 Pre-Confirmed Application
    1.40 Receiving Party
    1.41 Regional Transmission Group (RTG)
    1.42 Reserved Capacity
    1.43 Service Agreement
    1.44 Service Commencement Date
    1.45 Short-Term Firm Point-To-Point Transmission Service
    1.46 System Condition
    1.47 System Impact Study
    1.48 Third-Party Sale
    1.49 Transmission Customer
    1.50 Transmission Provider
    1.51 Transmission Provider's Monthly Transmission System Peak
    1.52 Transmission Service
    1.53 Transmission System
    2 Initial Allocation and Renewal Procedures
    2.1 Initial Allocation of Available Transfer Capability
    2.2 Reservation Priority for Existing Firm Service Customers
    3 Ancillary Services
    3.1 Scheduling, System Control and Dispatch Service
    3.2 Reactive Supply and Voltage Control From Generation or Other
Sources Service
    3.3 Regulation and Frequency Response Service
    3.4 Energy Imbalance Service
    3.5 Operating Reserve--Spinning Reserve Service
    3.6 Operating Reserve--Supplemental Reserve Service
    3.7 Generator Imbalance Service
    4 Open Access Same-Time Information System (OASIS)
    5 Local Furnishing Bonds
    5.1 Transmission Providers That Own Facilities Financed by Local
Furnishing Bonds
    5.2 Alternative Procedures for Requesting Transmission Service
    6 Reciprocity
    7 Billing and Payment
    7.1 Billing Procedure:
    7.2 Interest on Unpaid Balances
    7.3 Customer Default
    8 Accounting for the Transmission Provider's Use of the Tariff
    8.1 Transmission Revenues
    8.2 Study Costs and Revenues
    9 Regulatory Filings
    10 Force Majeure and Indemnification
    10.1 Force Majeure
    10.2 Indemnification
    11 Creditworthiness
    12 Dispute Resolution Procedures
    12.1 Internal Dispute Resolution Procedures
    12.2 External Arbitration Procedures
    12.3 Arbitration Decisions
    12.4 Costs
    12.5 Rights Under the Federal Power Act
II. Point-to-Point Transmission Service
    13 Nature of Firm Point-to-Point Transmission Service
    13.1 Term
    13.2 Reservation Priority
    13.3 Use of Firm Transmission Service by the Transmission
Provider
    13.4 Service Agreements
    13.5 Transmission Customer Obligations for Facility Additions or
Redispatch Costs
    13.6 Curtailment of Firm Transmission Service
    13.7 Classification of Firm Transmission Service
    13.8 Scheduling of Firm Point-To-Point Transmission Service
    14 Nature of Non-Firm Point-to-Point Transmission Service
    14.1 Term
    14.2 Reservation Priority
    14.3 Use of Non-Firm Point-To-Point Transmission Service by the
Transmission Provider
    14.4 Service Agreements
    14.5 Classification of Non-Firm Point-To-Point Transmission
Service
    14.6 Scheduling of Non-Firm Point-To-Point Transmission Service
    14.7 Curtailment or Interruption of Service
    15 Service Availability
    15.1 General Conditions
    15.2 Determination of Available Transfer Capability
    15.3 Initiating Service in the Absence of an Executed Service
Agreement
    15.4 Obligation to Provide Transmission Service that Requires
Expansion or Modification of the Transmission System, Redispatch or
Conditional Curtailment

    15.5 Deferral of Service
    15.6 Other Transmission Service Schedules
    15.7 Real Power Losses
    16 Transmission Customer Responsibilities
    16.1 Conditions Required of Transmission Customers
    16.2 Transmission Customer Responsibility for Third-Party
Arrangements
    17 Procedures For Arranging Firm Point-to-Point Transmission
Service
    17.1 Application
    17.2 Completed Application
    17.3 Deposit
    17.4 Notice of Deficient Application
    17.5 Response to a Completed Application
    17.6 Execution of Service Agreement
    17.7 Extensions for Commencement of Service
    18 Procedures for Arranging Non-Firm Point-to-Point Transmission
Service
    18.1 Application
    18.2 Completed Application
    18.3 Reservation of Non-Firm Point-to-Point Transmission Service
    18.4 Determination of Available Transfer Capability
    19 Additional Study Procedures For Firm Point-to-Point
Transmission Service Requests
    19.1 Notice of Need for System Impact Study
    19.2 System Impact Study Agreement and Cost Reimbursement
    19.3 System Impact Study Procedures
    19.4 Facilities Study Procedures
    19.5 Facilities Study Modifications
    19.6 Due Diligence in Completing New Facilities
    19.7 Partial Interim Service
    19.8 Expedited Procedures for New Facilities
    19.9 Penalties for Failure to Meet Study Deadlines
    20 Procedures if the Transmission Provider is Unable to Complete
New Transmission Facilities for Firm Point-to-Point Transmission
Service
    20.1 Delays in Construction of New Facilities:
    20.2 Alternatives to the Original Facility Additions
    20.3 Refund Obligation for Unfinished Facility Additions
    21 Provisions Relating to Transmission Construction and Services
on the Systems of Other Utilities
    21.1 Responsibility for Third-Party System Additions
    21.2 Coordination of Third-Party System Additions
    22 Changes in Service Specifications
    22.1 Modifications On a Non-Firm Basis
    22.2 Modification On a Firm Basis
    23 Sale or Assignment of Transmission Service
    23.1 Procedures for Assignment or Transfer of Service
    23.2 Limitations on Assignment or Transfer of Service
    23.3 Information on Assignment or Transfer of Service
    24 Metering and Power Factor Correction at Receipt and Delivery
Points(s)
    24.1 Transmission Customer Obligations
    24.2 Transmission Provider Access to Metering Data
    24.3 Power Factor
    25 Compensation for Transmission Service
    26 Stranded Cost Recovery
    27 Compensation for New Facilities and Redispatch Costs
III. Network Integration Transmission Service
    28 Nature of Network Integration Transmission Service
    28.1 Scope of Service
    28.2 Transmission Provider Responsibilities
    28.3 Network Integration Transmission Service
    28.4 Secondary Service
    28.5 Real Power Losses
    28.6 Restrictions on Use of Service
    29 Initiating Service
    29.1 Condition Precedent for Receiving Service
    29.2 Application Procedures
    29.3 Technical Arrangements to be Completed Prior to
Commencement of Service
    29.4 Network Customer Facilities
    29.5 Filing of Service Agreement
    30 Network Resources
    30.1 Designation of Network Resources
    30.2 Designation of New Network Resources
    30.3 Termination of Network Resources
    30.4 Operation of Network Resources
    30.5 Network Customer Redispatch Obligation
    30.6 Transmission Arrangements for Network Resources Not
Physically Interconnected With the Transmission Provider
    30.7 Limitation on Designation of Network Resources
    30.8 Use of Interface Capacity by the Network Customer
    30.9 Network Customer Owned Transmission Facilities
    31 Designation of Network Load
    31.1 Network Load
    31.2 New Network Loads Connected With the Transmission Provider
    31.3 Network Load Not Physically Interconnected With the
Transmission Provider
    31.4 New Interconnection Points
    31.5 Changes in Service Requests
    31.6 Annual Load and Resource Information Updates
    32 Additional Study Procedures for Network Integration
Transmission Service Requests
    32.1 Notice of Need for System Impact Study
    32.2 System Impact Study Agreement and Cost Reimbursement
    32.3 System Impact Study Procedures
    32.4 Facilities Study Procedures
    32.5 Penalties for Failure to Meet Study Deadlines
    33 Load Shedding and Curtailments
    33.1 Procedures
    33.2 Transmission Constraints
    33.3 Cost Responsibility for Relieving Transmission Constraints
    33.4 Curtailments of Scheduled Deliveries
    33.5 Allocation of Curtailments