1. WPPI – Member Reliability Standards Compliance 2007 APPA National Conference Given by Mike Stuart June 25, 2007

2. WPPI – Member Compliance Agreement  Applies only to Members (10) subject to NERC Compliance.  Provides for WPPI to: – Register on behalf of Members for certain functions. – Assume compliance responsibility for certain standards on behalf of Members. – Provides for Members to retain responsibility for compliance with applicable standards where responsibility not assumed by WPPI.

3. Other Agreement Provisions  NERC / MRO Standards Monitoring  Designation of WPPI and Member Representatives  Annual Meetings  Term / Termination – Either party can terminate on 60 days notice. – If terminated, each party directly responsible to NERC / MRO for compliance.

4. Appendices to WPPI – Member Compliance Agreement  Appendix A – NERC Statement of Compliance Registry.  Appendix B – Matrix of Functions and Standards.  Appendix C: – C-1 – WPPI Direct Registration and Compliance – C-2 – Member Direct Registration and Compliance – C-3 – WPPI Registration and Compliance on behalf of Member – C-4 – Joint Registration and Division of Compliance Responsibility

6. WPPI/Member Under Frequency Load Shedding (UFLS) Program An Example of WPPI taking Compliance Responsibility on Behalf of Members

7. Applicable NERC Standards (Effective June 4, 2006 – apply to LSE’s and DP’s) PRC-007 Assuring consistency with regional UFLS program requirements. PRC-008 Implementation and documentation of UFLS equipment maintenance programs. PRC-009 Performance assessment following UF event.

8. MRO Regional UFLS Programs  In Former MAIN Area: MAIN Guide 1B  In Former MAPP Area: MAPP UFLS Program  These UFLS programs may be replaced in the future, but not likely soon.

9. UFLS Agreement Summary  Separate WPPI/Member UFLS Agreement.  WPPI assumes responsibility to NERC/MRO.  WPPI plans and coordinates programs.  Members responsible for relays and associated equipment.  WPPI pays any NERC/MRO penalties.  Member reimburses WPPI if penalty due to member non- compliance.

10. WPPI Activities  Plan and coordinate UFLS program.  Monitor requirements and compliance.  Keep records of installations and capability.  Conduct annual review of installation, operation, maintenance, testing, reporting, and record keeping.  Evaluate results of program activations.  Designate a responsible employee (Program Coordinator).

11. Member Obligations  Member pays for UFLS equipment installation (unless installed solely to meet UFLS needs).  Member pays for maintenance, repair, setting, and testing of relays.  Member keeps records documenting installation, maintenance, repair, setting, and testing of relays (copy to WPPI).  Members pay for any penalty for non-compliance by member.  Member designates a responsible employee.

12. What’s next?  Develop recipe for compliance  Standardize reports  Annual meeting to improve process