Common use of Budget and Funding Clause in Contracts

Budget and Funding. for WECC’s Non-Statutory Activities In addition to its delegated functions and related activities, as specified in Sections 5, 6 and 7 of the Agreement and in Section 1 of this Exhibit E (such delegated functions and activities referred to in this Section 6 as “statutory activities”), WECC performs the following other functions and activities (such other functions and activities being referred to in this Section 6 as "non-statutory activities"): Western Renewable Generation Information System (“WREGIS”). WECC shall employ the following methods and procedures to (i) keep its funding mechanisms for its statutory activities separate from its funding mechanisms for its non- statutory activities, and (ii) record the costs it incurs in the performance of its non-statutory functions separately from the costs it incurs in the performance of its statutory functions: WECC utilizes a fund accounting system with capabilities to segregate receipts and expenses based on function or activity. WECC has segregated non-statutory activities by assigning a separate fund code to those receipts and expenses. All expenditures or receipts that are entered into WECC’s accounting system must include a fund code identifying whether the transaction is related to statutory or non-statutory activities. General and administrative costs are allocated to non-statutory activities based on an FTE ratio that is consistent with NERC’s accounting methodology for allocation of overhead to statutory activities. For these reasons, time records are not necessary for WECC to properly allocate costs between statutory and non-statutory activities. WECC shall provide its budget for such non-statutory activities to NERC at the same time that WECC submits its proposed annual business plan and budget for statutory activities to NERC pursuant to Section 9 of the Agreement. WECC’s budget for non-statutory activities that is provided to NERC shall contain a detailed list of WECC’s non-statutory activities and a description of the funding sources for the non-statutory activities. WECC agrees that no costs (which shall include a reasonable allocation of WECC’s general and administrative costs) of non-statutory activities are to be included in the calculation of WECC’s assessments, dues, fees, and other charges for its statutory activities.

Budget and Funding. for WECCSERC’s Non-Statutory Activities In addition to its delegated functions and related activities, as specified in Sections 5, 6 and 7 of the Agreement and in Section 1 of this Exhibit E (such delegated functions and activities referred to in this Section 6 as “statutory activities”), WECC SERC performs the following other functions and activities (such other functions and activities being referred to in this Section 6 as "non-statutory activities"): Western Renewable Generation Information System (“WREGIS”)None. WECC SERC shall employ the following methods and procedures to (i) keep its funding mechanisms for its statutory activities separate from its funding mechanisms for its non- statutory activities, and (ii) record the costs it incurs in the performance of its non-statutory functions separately from the costs it incurs in the performance of its statutory functions: WECC utilizes a fund accounting system with capabilities to segregate receipts and expenses based on function or activityNot applicable. WECC has segregated non-statutory activities by assigning a separate fund code to those receipts and expenses. All expenditures or receipts that are entered into WECC’s accounting system must include a fund code identifying whether the transaction is related to statutory or non-statutory activities. General and administrative costs are allocated to non-statutory activities based on an FTE ratio that is consistent with NERC’s accounting methodology for allocation of overhead to statutory activities. For these reasons, time records are not necessary for WECC to properly allocate costs between statutory and non-statutory activities. WECC SERC shall provide its budget for such non-statutory activities to NERC at the same time that WECC SERC submits its proposed annual business plan and budget for statutory activities to NERC pursuant to Section 9 of the Agreement. WECCSERC’s budget for non-statutory activities that is provided to NERC shall contain a detailed list of WECCSERC’s non-statutory activities and a description of the funding sources for the non-statutory activities. WECC SERC agrees that no costs (which shall include a reasonable allocation of WECCSERC’s general and administrative costs) of non-statutory activities are to be included in the calculation of WECCSERC’s assessments, dues, fees, and other charges for its statutory activities. Costs associated with Cross-Regional Compliance Monitoring. The costs associated with any Cross-Regional Compliance Monitoring performed by SERC pursuant to section 6(j) of this Agreement with respect to registered functions of another Regional Entity are to be funded by payments from the NERC or the Regional Entity contracting with SERC for such services, in accordance with the contract between SERC and NERC or the other Regional Entity. Where such a contract has been entered into SERC will include a description of the resources it has budgeted to perform such services, and its estimated costs (including an appropriate allocation of SERC’s General and Administrative costs) to perform such services, in each budget year, in SERC’s annual business plan and budget that is submitted to NERC and to the Commission for approval.

Budget and Funding. for WECCSERC’s Non-Statutory Activities In addition to its delegated functions and related activities, as specified in Sections 5, 6 and 7 of the Agreement and in Section 1 of this Exhibit E (such delegated functions and activities referred to in this Section 6 as “statutory activities”), WECC SERC performs the following other functions and activities (such other functions and activities being referred to in this Section 6 as "non-statutory activities"): Western Renewable Generation Information System (“WREGIS”)None. WECC SERC shall employ the following methods and procedures to (i) keep its funding mechanisms for its statutory activities separate from its funding mechanisms for its non- statutory activities, and (ii) record the costs it incurs in the performance of its non-statutory functions separately from the costs it incurs in the performance of its statutory functions: WECC utilizes a fund accounting system with capabilities to segregate receipts and expenses based on function or activityNot applicable. WECC has segregated non-statutory activities by assigning a separate fund code to those receipts and expenses. All expenditures or receipts that are entered into WECC’s accounting system must include a fund code identifying whether the transaction is related to statutory or non-statutory activities. General and administrative costs are allocated to non-statutory activities based on an FTE ratio that is consistent with NERC’s accounting methodology for allocation of overhead to statutory activities. For these reasons, time records are not necessary for WECC to properly allocate costs between statutory and non-statutory activities. WECC SERC shall provide its budget for such non-statutory activities to NERC at the same time that WECC SERC submits its proposed annual business plan and budget for statutory activities to NERC pursuant to Section 9 of the Agreement. WECCSERC’s budget for non-statutory activities that is provided to NERC shall contain a detailed list of WECCSERC’s non-statutory activities and a description of the funding sources for the non-statutory activities. WECC SERC agrees that no costs (which shall include a reasonable allocation of WECCSERC’s general and administrative costs) of non-statutory activities are to be included in the calculation of WECCSERC’s assessments, dues, fees, and other charges for its statutory activities. Costs associated with Cross-Regional Compliance Monitoring. The costs associated with any Cross-Regional Compliance Monitoring performed by SERC pursuant to Section 6(f) of this Agreement with respect to registered functions of another Regional Entity are to be funded by payments from the NERC or the Regional Entity contracting with SERC for such services, in accordance with the contract between SERC and NERC or the other Regional Entity. Where such a contract has been entered into SERC will include a description of the resources it has budgeted to perform such services, and its estimated costs (including an appropriate allocation of SERC’s General and Administrative costs) to perform such services, in each budget year, in SERC’s annual business plan and budget that is submitted to NERC and to the Commission for approval.