,. • • " t,. __ ' .. J t.;;!C: 4FtATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. x THIRD REVISED RATE SCHEDULE NM-SE-3 ECONOMIC DEVELOPMENT RATE x x Effective January 1, 2007 (Superseding Second Revised Rate Schedule NM-SE-3, Effective January I, 2003) • 1.0 DESCRIPTION: A special wholesale rate offered to Tri-State Members to promote and attract growth in the Tri-State service area. 2.0 PURPOSE: To assist in safeguarding the territorial integrity of Tri-State's Members, improve resource utilization, enhance rate stability, and promote growth. 3.0 AVAILABILITY: This rate schedule shall be available to each Tri-State Member for use in facilitating growth, promoting strategic load expansion, and counteracting loss ofload due to loss of service territory. 4.0 ELI(;I1JILITY: 4.1 Any Member's single-metered commercial, industrial or wholesale load whose non-coincident peak demand is at least 150 kW in size and which is not served by any Tri-State Member at the time the Member enters into a contract with the customer as provided herein. Eligibility shall be confirmed by a Certificate of Eligibility completed by the Member Manager and approved by Tri-State prior to execution of the contract between the Member and the customer. otice No. 11 • Executive Vice President and General Manager Page 1 of 11 • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. x THIRD REVISED RATE SCHEDULE NM-SE-3 ECONONOCDEVELOPMffiNTRATE 4.2 5.0 • • x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1, 2003) X All loads to be served under this Rate Schedule must be approved by X the Tri-State Board of Directors. X CHARGE: 5.1 Charge: Loads which are approved by Tri-State to receive service under this tariff will be billed monthly using a mills per kilowatt-hour charge. This charge will be negotiated between Tri-State and the Member and between the Member and the Customer and set forth in a contract between Tri-State and the Member. 5.2 6.0 Effective January 1,2007 Billing Adjustment: Billings under this Rate Schedule NM-SE-3 may be increased by an amount equal to any new or any increase in existing taxes, fees or other charges incurred by Tri-State and levied, assessed or required by any governmental authority on the service rendered. CONDITIONS: The rate granted pursuant to this Rate Schedule NM-SE-3 shall be supported by a Contract, between Tri-State and the Member, and a contract between the Executive Vice President and General Manager Page 2 of 11 • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. x THIRD REVISED RATE SCHEDULE NM-SE-3 ECONOMIC DEVELOPMENT RATE • x X Member and the customer, which shall have a term of no less than three (3) years, nor more than ten (10) years. The contract between the Member and the customer and any amendment or modification thereto shall be reviewed by Tri-State for eligibility and compliance with the terms and conditions contained in the Member's contract(s) with Tri-State and this Rate Schedule NM-SE-3 prior to execution of the contract between the Member and the Customer. New Mexico Members have been furnished a confidential schedule SE-3 which sets forth specific details and conditions which are applicable to service under this schedule NM-SE-3 and which shall control in case of conflict herewith. 6.1 • Effective January 1, 2007 (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1, 2003) Cost Recovery: The Member shall not add on more than ten percent (10%) of the effective rate charged by Tri-State under this Rate Schedule NM-SE-3. However, the Member's rate to the customer may include, where appropriate, a capital recovery factor to compensate the Member for facilities installed in order to serve the load subject to this Rate Schedule NM-SE-3. Such capital recovery factor shall be added only with the prior approval of Tri-State as to amount and duration. Executive Vice President and General Manager Page 3 of 11 X X X X X X X • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. 6.2 • THIRD REVISED RATE SCHEDULE NM-SE-3 X ECONOMIC DEVELOPMENT RATE Effective January 1,2007 x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1,2003) X Metering/Docnmentation: Member shall install, or cause to be installed, a single metering and recording device, or equivalent, at the Point(s) of Delivery to each customer where Member is providing service under this Rate Schedule. Such metering and recording device(s) shall be of a type and accuracy acceptable to Tri-State. Such metering and recording device(s) shall: (a) be capable of measuring and registering energy delivered; (b) be capable of measuring and recording thirty (30) minute integrated demand for each thirty (30) minute time interval; and (c) shall have sufficient recording capability or memory to store at least thirty-six (36) days of thirty (30) minute integrated demand data. Data from such metering and recording device(s) shall be provided to Tri-State in a format that can be readily imported into Tri-State's MV90 meter data acquisition system. If telephone lines or other acceptable communications are reasonably available and economically feasible, such metering and recording device(s) shall be capable of being interrogated remotely for data acquisition. Such metering and recording device(s) shall be read no less frequently than once a month. Metering data shall be provided to Tri-State monthly. Upon request, copies of any bills which the Member has sent to the customer for any month shall be provided to Tri-State. Advice Notice No. 11 ~&~ . Shafer Executive Vice President and General Manager J • Page 4 of 11 • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. THIRD REVISED RATE SCHEDULE NM-SE-3 x ECONOMIC DEVELOPMENT RATE Effective January 1,2007 x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1, 2003) 6.3 • 6.4 Auditable: Tri-State shall have the right, upon reasonable notice to the Member to: (a) inspect facilities for metering of and interconnection with the customer; (b) review all billing and metering records for the customer; and (c) test the meter(s) at Tri-State's expense. Duration: The Economic Development Rate Schedule NM-SE-3 is guaranteed through December 31, 2007 and will continue thereafter until a new X tariff is adopted. Once a contract has been executed under this Rate Schedule NM-SE-3, that contract shall define the rate for that load for the entire term of the contract. 6.5 Non-Performance: 6.5.1 In order to maintain eligibility for the rate level granted pursuant to this Rate Schedule NM-SE-3, the customer's monthly metered non-coincident peak demand ofthe load must equal or exceed 150 kW: Executive Vice President and General Manager • X Page 5 of 11 • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. x THIRD REVISED RATE SCHEDULE NM-SE-3 ECONOMIC DEVELOPMENT RATE Effective January 1,2007 x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1, 2003) X • • Once during the first twelve (12) months of operation and Nine (9) months of each twelve (12) month period thereafter The qualifying load will become ineligible for the rate level granted pursuant to this Rate Schedule NM-SE-3, when it is determined that the customer does not comply with the above requirements. • 6.5.2 6.6 When this Rate Schedule NM-SE-3 is applicable only to the customer's new/additional load the customer's twenty-four (24) month average kW usage is to be excluded in determining the non-coincident peak demand eligibility requirements in paragraph 6.4.1. Dual Service: This Rate Schedule NM-SE-3 shall be applicable only to a load, or portion thereof, not currently being served by a Tri-State Member. Where a customer currently receives service from a Tri-State Member, that customer's loads currently being served are excluded. Such exclusion shall be deemed, each month, to be equal to the average ~;;~1l . . Shafer-~ Executive Vice President and General Manager • Page 6 of 11 • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. x THIRD REVISED RATE SCHEDULE NM-SE-3 ECONONnC DEVELOPMENT RATE Effective January 1,2007 x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1, 2003) X monthly kilowatt-hour and kilowatt sales to said customer over the twenty-four (24) months prior to the addition of the new load and agreed to in the contract for this load, deemed the Customer Base Load (CBL). 6.7 • 7.0 • Other: New Mexico Members have been furnished a confidential schedule SE-3 which sets forth specific details and conditions which are applicable to service under this schedule NM-SE-3, and which shall control in case of conflict herewith. ADJUSTMENTS 7.1 Adjustment for Character and Conditions of Service: If the delivery of that portion of service purchased by Tri-State from the Western Area Power Administration (WAPA) is made over the facilities of a third party and the costs for that transmission were borne by the Member prior to the effective date of this Rate Schedule, then the cost of such transmission service as applicable to deliveries of WAPA power shall continue to be borne by the Member. Executive Vice President and General Manager Page 70f11 • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. x THIRD REVISED RATE SCHEDULE NM-SE-3 ECONOMIC DEVELOPMENT RATE Effective January 1,2007 (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1, 2003) • 8.0 • 7.2 Adjustments for Transformer Losses: Transfonner losses shall be detennined pursuant to Board of Directors Policy 109. 7.3 Adjustments for Transmission Losses: If metering is remote from the Point of Delivery, appropriate increases to the demand and energy readings will be agreed upon between the Member and Tri-State. 7.4 Adjustments for Power Factor: None. The Member will nonnally be required to maintain a power factor at the Point of Delivery of between ninety-five percent (95%) lagging and ninety-five percent (95%) leading. DEFINITIONS: 8.1 Point of Delivery: A point at which Tri-State is obligated to deliver electric power and energy to a Member. Each Point of Delivery shall be as specified in Schedule B of Tri-State's Contract for Electric Service with a Member. . . Shafer Executive Vice President and General Manager Page 8 of 11 x x • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. THIRD REVISED RATE SCHEDULE NM-SE-3 x ECONOMIC DEVELOPMENT RATE Effective January 1, 2007 x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January \,2003) 8.2 • 8.3 Tri-State Peak PeriodlMember Coincident Peak (TPPIMCP) Billing Demand: The Member's highest thirty (30) minute integrated total demand measured in each monthly billing period during the Tri-State Summer Peak Period or the Winter Peak Periods. For Members receiving service at more than one Point of Delivery, the demand shall be the maximum coincident peak demand for all of the Member's Points of Delivery, the same as if the service were provided to the Member at one Point of Delivery. X X X X X X X Total Variable Cost of Supplying Power: Tri-State's total variable cost of supplying power is the greater of: (a) total fuel cost expenses (coal, natural gas, and fuel oil) plus other variable operation and maintenance expenses associated with power production or, (b) total short-term market purchase expenses excluding firm power purchases from Western Area Power Administration and Basin Electric; both stated in mills per kilowatt hour. X X X X X X X X ~ Notice No. 11 J • X .. ~~ . Shafer Executive Vice President and General Manager Page 9 of 11 X • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. • 9.0 THIRD REVISED RATE SCHEDULE NM-SE-3 x ECONOMIC DEVELOPMENT RATE Effective January 1, 2007 x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1, 2003) X 8.4 Tri-State Summer Peak Period: The summer peak period is from 7:00 AM through 10:00 PM (the billing 'l2 hour period ending 7:30 AM through the billing 'l2 hour period ending at 10:00 PM) daily during the months of April through September. X X X X X 8.S Tri-State Winter Peak Periods: The winter peak periods are from 5:30 AM through 12:00 PM (the billing Y2 hour period ending 6:00 AM through the· billing 'l2 hour period ending at 12:00 PM) and from 4:30 PM through 10:30 PM (the billing 'l2 hour period ending 5:00 PM through the billing 'l2 hour ending at 10:30 PM) daily during the months of October through March. X X X X X X BILLING MECHANISM: 9.1 If for any qualifying load, the monthly demand does not achieve the levels specified in Section 6.4, the Member's demand for the customer's load shall be deemed to be zero and the Member shall be billed at Tri-State's Class A rate. Advice Notice No. 11 ~ei+ • Executive Vice President and General Manager Page 10 of 11 • RATE SCHEDULE TRI-STATE NM-SE-3 Generation and Transmission Association, Inc. x THIRD REVISED RATE SCHEDULE NM-SE-3 ECONOMIC DEVELOPMENT RATE 9.2 • 10.0 Effective January 1, 2007 x (Superseding Second Revised Rate Schedule NM-SE-3, Effective January 1,2003) X The customer's contribution to the Member's demand, relative to the load receiving Rate Schedule NM-SE-3 billing, at the time of TPP/MCP will be subtracted, without losses, from the Member's X TPP/MCP Billing Demand. X EXCLUSIVE BENEFIT: A load which qualifies for this rate shall not qualify for any other special rate, energy efficiency credit or discount from Tri-State while this rate is in effect. Advice Notice No. 11 J~~?d • Executive Vice President and General Manager Page 11 of 11