SCH3 - Page 597 of 640 006292

Schedule Q-8.9 0 of 12 Sponsor: Luth

2021 TX Rate Case SOUTHWESTERN PUBLIC SERVICE COMPANY

BILL COMPARISONS

Laree School Service - Secondarv A,eragc Mont}ily Consuniplion 20,000 kWh. 84 LW

Line Current Pioposed No Rates Rates Difference

1 Service Ai allabilit) Charge S 30 40 $ 32 73 233

Energ Charge per kWh S 0013964 $ 0019416 0 005452

3 Demmid Charge per LW Summer S 1] 90 S 17 68 5 78 4 Dcmatid Charge pcr kWr Wlnter 9 993 S 14 73 4 80

Energr Efficicnc) Cogl Recover Factor per kU'h S 0001327 S 0 00]327

6 Rate Case E,pcnse (RCF) Rider II percent of Base Rate 0 198192% 0 198192%

7 Fuel Factor per kWh Summer $ 0019683 $ 0014159 (0005524) 8 Fuel Factor per kWh U~ln[er $ 0019683 S 0014159 (0 005524) 9 TCRF per kW S - S - -

kWh Level 1000 2500 5000 7500 10000 15000 20000 30000 kW Level 10 10 20 30 40 60 84 120

]0 LW mimmum for LSS Current T]ll:

10 Sen ice A, Eulabihty Charge $3{140 S 30 40 S 30 40 S 3040 $ 30 40 S 3040 S 30 40 $ 3(} 40 11 Demand Charge (Summcr) S 11900 S 119 00 S 238 00 S 357 00 S 476 00 $ 714 00 S 999 60 S I 428 00 12 Demand Charge (Winter) S 9930 $ 9930 S 198 60 $ 297 90 $ 397 20 S 595.80 S 834 12 S ] ]91 60 13 Energ) Charge S 13 96 S 349] $ 69 82 S 104 73 $ 139 64 S 209 46 $ 279 28 $ 418 92 14 TIRE S-S-S - S -S - S .9 .S . 15 Base Rate Subtotal - Summer S 163 36 S 184 31 S 338.22 S 492 13 S 646.04 S 953.86 S 1.309.28 S 1,877.32 16 Base Rate Subtotal - Winter S 14366 S 164 61 S 298.82 $ 433.03 S 567.24 S 835.66 S 1,143.80 S 1,640.92 17 Annualized Rase Rate Total S 150 23 S 17118 S 31195 S 452 73 S 593 51 S 875 06 S 1,198 96 S 1,719.72 18 RCE Rldcr H (Summcr) $ 032 $ 0 37 9 0 67 $ 098 S 128 $ 189 S 2 59 $ 3 72 19 RCE Rider II (Winter) $ 028 $ 0 33 $ 0 59 S 0 86 S / ]2 $ 166 $ 2 27 $ 3 25 20 Energ E fficienc) Cost Reco, en' Factor 9 133 $ 3 32 9 664 $ 995 S 13 27 S 19 91 S 26 54 S 39 8 l 21 Current Fuel Factor (Summer) $ [9 68 S 49 21 $ 98 41 1 147 62 S 196 &3 $ 295 24 $ 393 66 $ 590 48 22 Current Fuel Factor (U,intcr) S 19 68 $ 49 2] $ 98 41 S 147 62 $ 196 83 $ 295 24 $ 393 66 $ 590 48 23 Total Cost (Summer) S 18469 $ 23721 S 443 94 $ 650 68 $ 857 42 S 127090 S 1.73207 $ 2 51133 24 Total Cost (Wmter) $ !64 95 $ 21747 $ 404 ·16 S 59146 $ 778 46 $ 1152 47 S 1 566 27 $ 2 274 46 25 Total Cost (Annualizcd) $ 171 53 9 22405 $ 417 62 S 61]20 $ 804 72 S I.19195 S 162154 $ 2353 42

Proposed Bill: 26 Sen ice Ai mlab,l,t) Charge S 32 73 S 32 73 S 32 73 $ 32 73 S 32 73 S 32 73 $ 32 73 S 32 73 27 Dema],d Charge (Summer) i 176 80 $ 176 80 $ 353 60 S 53040 S 70720 S 1060 80 $ 1.485 12 S 2 t 2]60 28 Demand Charge (Wlntcr) S ]47 30 $ 147 30 $ 294 60 9 44] 90 $ 589 20 $ 883 80 9 1237 32 $ 1 767 60 29 Enere Charge S ]942 S 48 54 S 97 08 S 145 62 S 19416 S 291 24 S 388 32 S 58248 30 TCRF S-$-$ - S - S - S -S-/-31 Base Rate Subtotal -Summer S 228.95 S 258.07 S 483.41 S 708.75 S 934.09 S 1,384 77 S 1,906.17 S 2,736 81 32 Base Rate Subtotai - Winter S 19945 S 228.S7 S 424.41 S 620.25 S 816.09 S 1,207 77 S 1,658 37 S 2381 St 33 Annuahzed Base Rate Total S 209 28 S 238 40 S 444.08 S 649.75 $ 85542 S 1,266 77 S I,740 97 S 2,50081 34 RCE Rider II (Summer) S 045 $ 051 $ 096 $ ]40 $ l 85 S 2 74 $ 378 $ 5 42 33 RCE Rider II (Winter) S 040 S 045 S 0 34 9 123 S 162 9 2 39 S 3 29 $ 472 36 Energy Efficienc) Cosl Recover, Factor $ 133 $ 3 32 $ 6 64 $ 995 $ 13 27 S I991 $ 26 54 S 39 R 1 37 Current Fuel Factor (Summer) S 1416 $ 3540 S 70 80 S 10619 $ 141 59 S 2!2 39 S 283 18 $ 424 77 38 Current Fuel Factor (Winter) S 1416 $ 35 40 S 70 80 S 106 19 S 14159 S 2 I 2 39 S 283 18 $ 424 77 39 Total Cost (Summer) $ 244 89 S 297 30 $ 561 81 $ 826 29 $ 1090 80 $ 1,619 81 $ 2 219 67 $ 3 206 81 40 Total Cost (Winter) S 215 34 $ 267 74 $ 502 69 $ 737 62 S 972 57 S ] 442 46 S ] 971 38 S 2 852 1 l 41 Total Cost (Annuatizcd) $ 225]9 $ 277 59 $ 522 40 S 76718 S 1 OIl 98 $ 150] 58 S 2054 14 $ 297034

Total Bill 42 Dollar Change (Summer) S 60 20 S 60 09 S 117 87 S 175 61 $ 233 38 $ 348 91 S 487 60 S 695 48 43 Dollar Change (Winter) S 5039 S 5027 S 98 23 S 14616 $ 194 ]] S 289 99 $ 405 11 $ 577 65 44 Dollar Change (Annuali,cd) S 53 66 S 33 54 S 104 78 S 155 98 9 207 20 S 309 63 S 432 61 $ 616 93

45 Perce„t Change (Summer) 32 60% 25 33% 2655% 26 99% 2722% 27 45% 28]5% 2769% 46 Percent Change (Winter) 30 55% 23 12% 24 29% 24 71% 24 94% 25 I 6% 35 86% 25 40% 47 Percent Change (Annualiycd) 3128% 23 90% 25 09% .5 52% 25 75% 25 98% 26 68% 26 21%

Base Rates 48 Dollar Change (Summer) S 65 59 S 73 76 $ 145 19 S 21662 $ 288 05 1 430 91 S 596 89 $ 859 49 49 Dollar Change (Winter) $ 55 79 $ 63 96 $ ]25 59 $ 187 22 $ 248 85 S 37211 S 514 57 $ 741 89 50 Dollar Change (Annualucd) S 39 06 9 67 23 S [ 33 12 S 197 02 S 26192 1 391 71 S 542 OI $ 78] 09

5 I Percent Change (Sumn~cr) 40 ] 5% 40 02% 42 93% 44 02% 4459% 45 ]8% 45 59% 45 78% 52 Percciit Chmge (Wmter) 38 83% 38 86% 42 03% 43 23% 43 87% 44 53% 44 99% 45 21% 33 Percent Change (Annuali?cd) 3931% 39 27% 42 35% 43 52% 44 13% 44 76% 45 2]% 45 42%

SCH3 - Page 597 of 640 006292

Schedule Q-8.9 Page 11 of 12 Sponsor: Luth

2021 TX Rate Case

SOUTHWESTERN PUBLIC SERVICE COMPANY

BILL COMPARISONS

Municipal and State Street Lighting Service Average Monthly Consumption 3,620 Lights, 275,000 kWh (Fuel Only)

Line Current Proposed No. Rate Rates Difference

] Aveiage Monthly Charge pet Light $ 7 57 $ 9 76 219

2 Eneigy Charge per kWh Summei $-$ 3 Energy Charge per kWh Winter $-$

4 Eneigy Efficiency Cost Recovery Factor pei kWh $ - $

5 Rate Case Expense (RCE) Rider II percent of Base Rate 0 198117% 0198117%

6 Fuel Factor per kWh Summer $ 0 019683 $ 0014159 (0 005524) 7 Fuel Factor per kWh Winter $ 0 019683 $ 0014159 (0 005524) 8 TCRF per kWh $- $-

7,000 MV Count of Lights 1 kWh Level 68

Current Bill: 9 Monthly Lighting Charge $ 7 57 10 Enei gy Charge(Summei) $ -11 Eneigy Chalge (Wmtei) $ -12 Eneigy Efficiency Cost Recovery Factor $ -13 RCE Ridet II $ 0 01 14 Cui i ent Fuel Factoi (Summer) $ 1 34 15 Current Fuel Factor (Winter) $ 1 34 16 TCRF $ -17 Total Cost (Summer) S 8 92 18 Total Cost (Winter) $ 8 92 ] 9 Total Cost (Annualized) $ 8 92

Proposed Bill: 20 Monthly Lighting Charge $ 9 76 21 Energy Chatge(Summer) $ -22 Energy Charge (Winter) $ -23 Enei gy Efficiency Cost Recover·y Factor $ -24 RCE Rider II $ 0 02 25 Pi oposed Fuel Factoi (Summer) 0 96 26 Pioposed Fuel Factoi (Winter) $ 0 96 27 TCRF $ -28 Total Cost (Summer) $ 10 74 29 Total Cost (Winter) $ 10 74 30 Total Cost (Annualized) $ 10 74

31 Dollar Change (Summer) $ 182 32 Dollar Change (Wintei) $ 1 82 33 Dollar Change (Annualized) $ 1 82

34 Percent Change (Summei ) 20 40% 35 Pei cent Change (Winter) 20 40% 36 Percent Change (Annualtzed) 20 40%

SCH3 - Page 598 of 640 006293

Schedule Q-8.9 Page 12 of 12 Sponsor: Luth

2021 TX Rate Case

SOUTHWESTERN PUBLIC SERVICE COMPANY

BILL COMPARISONS

Guard and Area Lighting Sen'ice Average Monthly Consumption 18 Lights, 2,200 kWh (Fuel Only)

Line Current Proposed No. Rate Rates Difference

1 Average Monthly Charge per Light $ 14 06 $ 11 69 (2 37)

2 Eneigy Charge per kWh Summei $-$ 3 Energy Charge per kWh Winter $-$

4 Eneigy Efficiency Cost Recovery Factor per kWh $ - $

5 Rate Case Expense (RCE) Rider II percent of Base Rate 0 198168% 0 198168%

6 Fuel Factor per kWh Summer $ 0 019683 $ 0 0]4159 (0 005524) 7 Fuel Factoi pei kWh Winter $ 0 019683 $ 0014159 (0 005524) 8 TCRFper kWh $- $- -

15,000 HPS Count of Lights 1 kWh Level 56

Current Bill: 9 Monthly Lighting Charge $ 14 06 10 Energy Charge(Summer) $ -11 Enei gy Charge (Winter) $ -12 Eneigy Efficiency Cost Recovery Factor $ -13 RCE Rider II $ 0 03 14 Cunent Fuel Factor (Summer) $ 1 10 15 Current Fuel Factor (Winter) $ 1 10 16 TCRF $ -17 Total Cost (Summei ) $ 15 19 18 Total Cost (Winter) $ 1519 19 Total Cost (Annuahzed) $ 1519

Proposed B]11: 20 Montlily Lighting Charge $ 1169 21 Energy Charge(Summer) $ -22 Energy Charge (Winter) $ -23 Enei gy Efficiency Cost Recovery Factor -24 RCE Rider II $ 0 02 25 Current Fuel Factor (Summer) $ 0 79 26 Cunent Fuel Factor (Winter) $ 0 79 27 TCRF $ -28 Total Cost (Summei) $ 12 50 29 Total Cost (Winter) $ 12 50 30 Total Cost (Annualized) $ 12 50

31 Dollar Change (Summer) $ (2 69) 32 Dollar Change (Wintel ) $ (2 69) 33 Dollar Change (Annualized) $ (2 69)

34 Peicent Change (Summet) -17 71% 35 Pei cent Change (Winter) -17 71% 36 Percent Change (Annualized) -17 71%

SCH3 - Page 599 of 640 006294

Schedule R (all) Page 1 of l

Sponsor: Grant 2021 TX Rate Case

Southwestern Public Service Company

Financial Information (G & T Cooperatives)

Schedules: R Financial Information (G & T Cooperatives)

R-1 Plant Additions and Retirements R-2 Construction Work Plan R-3 REA/CFC Financing Terms R-4 Debt Summary R-5 Weighted Average Cost of Debt R-6 REA Notes: REA Form 41 R-7 Scheduled Debt Service R-8 Patronage Capital R-9 Capital Credit Rotation Policy R--10 General Fund Investments R--11 Description of Other Non-Operating Income R--12 G&T and Other Capital Credit Allocations R-13 Historical Financial Ratios R-14 REA Form 12 Reports R-15 Capital Requirements and Financial Ratio Projections R-16 Long-Range Financial Forecast R-17 Financial Policy It-18 Computer Models

As a vertically integrated, investor owned utility, the R schedules are not applicable to Southwestern Public Service Company.

SCH3 - Page 600 of 640 006295

Schedule S Page 1 o f 10


Deloitte© Suite 2800 Deloitte & Touche LLP

50 South Sixth Street Minneapolis, MN 55402-1538 USA

Tel: +1 612 397 4000 Fax: +1 612 397 4450 www.deloitte.com

INDEPENDENT ACCOUNTANTS' REPORT

To the Board of Directors of Southwestern Public Service Company Amarillo, Texas

We have reviewed the historical financial information included in Schedules A through S, (the "Schedules") in the Electric Utility Rate Filing Package for Generating Utilities ("Rate Filing Package" or "RFP') of Southwestern Public Service Company (the "Company" or"SPS") for the twelve months ended September 30,2020. The Company's management is responsible for presenting the Schedules and the Rate Filing Package in accordance with Section 22.243(b) of the Rules of Practice & Procedure of the Public Utility Commission of Texas (the "Commission" or 'PUCT"). Our responsibility is to express a conclusion on the Schedules based on our review.

Our review was conducted in accordance with the attestation standards established by the American Institute of Certified Public Accountants and with the "Test Year Review" procedures established by the Public Utility Commission of Texas ("PUCT") pursuant to the PUCT Instructions for Completing Electric Utility Rate Filing Package For Generating Utilities, (the "Instructions") for Schedule S governed by Section 22.243(b) of the Procedural Rules of the PUCT. Those standards require that we plan and perform the review to obtain limited assurance about whether any material modifications should be made to the Schedules in order for them to be in accordance with Section 22.243(b). The Schedules were prepared solely for inclusion in the Rate Filing Package and are not intended to be a presentation in conformity with accounting principles generally accepted in the United States of America. A review is substantially less in scope than an examination, the objective of which is to obtain reasonable assurance about whether the Schedules are in accordance with Section 22.243(b) of the Rules of Practice & Procedure of the PUCT, in all material respects, in order to express an opinion, Accordingly, we do not express such an opinion. We believe that our review provides a reasonable basis for our conclusion.

The pro forma adjustments, as adjusted amounts, estimates, non-accounting, and non-financial information included in the Schedules in the Rate Filing Package were not reviewed by us and, accordingly, we do not express an opinion or any other form of assurance on such information.

Based on our review, we are not aware of any material modifications that should be made to the historical financial information included in the Schedules in the Rate Filing Package of the Company for the test year ended September 30,2020, in order for it be in accordance with the provisions of the Instructions governed by Section 22.243(b) of the Procedural Rules of the PUCT.

This report is intended solely for the information and use of the management and Board of Directors of Southwestern Public Service Company, and the PUCT, and is not intended to be and should not be used by anyone other than these specified parties.

-D·elooji 4 -3«ht L\_*D February 5, 2021

SCH3 - Page 601 of 640 006296

Schedule S Page 2 of 10


Schedule S-1 Rate Filing Package

SCOPE OF REVIEW Southwestern Public Service Company For the Test Year Ended September 30,2020

Deloitte & Touche LLP ("D&T" or "we" or "us" or "our") has reviewed, in accordance with standards established by the American Institute of Certified Public Accountants and the "Test Year Review" procedures established by the Public Utility Commission of Texas ('PUCT") pursuant to the PUCT Instructions for Completing Electric Utility Rate Filing Package For Generating Utilities, (the 'Instructions") for Schedule S, governed by Section 22.243(b) of the Procedural Rules of the PUCT, the historical financial information included in Schedules A through S, (the 'Schedules") in the Electric Utility Rate Filing Package for Generating Utilities ('Rate Filing Package" or 'RFP") of SPS for the test year ended September 30,2020,

Except for the audit of the consolidated financial statements of SPS as of and for the year ended December 31, 2019, included in Schedule J-2, D&T did not audit and does not express an opinion on any financial and accounting information included in the RFP. The references detailed below refer to D&T's working papers documenting the review of the Schedules. Schedule S-6 provides contact information with respect to how the PUCT staff may request access to review our workpapers.

Certain items included in the Minimum Procedures Required for the Test Year Review ("Minimum Procedures"), which are set forth in Schedule S of the Instructions, contain subjective terminology such as 'perform adequate tests," "prepare workpapers which adequately document," and 'perform sufficient procedures.' We have limited the responses below to the specific procedures we performed for purposes of our review of the RFP Schedules. It should be understood that we make no representation regarding questions of legal interpretation or regarding the sufficiency of the procedures we performed for the purposes of SPS or the PUCT in connection with the RFP review. Such procedures would not necessarily reveal any material misstatement of the historical financial information included in the RFP.

1. Review of the PUCT Regulations, Orders and Reports [Workpaper series 13910]

We read the portions of the following documents which relate to financial and accounting matters: (a) the Public Utility Regulatory Act (as amended) effective as of September 1, 2019, (b) the Procedural Rules of the Public Utility Commission of Texas, (c) the Substantive Rules of the Public Utility Commission of Texas and (d) the Final Order and Proposal for Decision SPS's last rate case (Docket No. 49831)

2. Documentation of Materiality [Workpaper series 13100]

We performed the review, including the Minimum Procedures, using a materiality level of $50 million. Materiality was based on four benchmarks based on the Instructions of profit before tax, total assets, revenue, and other revenue requirements.

3. Consistency of RFP Schedules with Audited Financials and Annual Reports [Workpaper series 28500]

The completed portions of the RFP schedules that contain historical financial or accounting information are consistent with any similar data or disclosures included in the Company's audited financial statements, annual and interim reports.

4. Compliance of RFP Schedules with the Instructions [Workpaper series 28500]

In the course of performing our review of the RFP Schedules, we reviewed each RFP Schedule that relates to historical financial and accounting matters for compliance with the Instructions for preparation. We noted the following discrepancies between the Schedules and the Instructions.

2

SCH3 - 02 of 640 006297



Schedule Schedule Discrepancy # D-7 Summary of Book Salvage The Company included additional columns in

the schedule that are not required by the Instructions.

E-3.1 Fuel Oil Burns The Company included additional columns in the schedule that are not required by the Instructions.

H-5.3b Fossil Production Plant The Company did not include descriptions of Capital Costs projects listed in the schedule as required by the

Instructions. I-7 Natural Gas Storage The Company did not include monthly injections

Description and withdrawals in dollars as required by the Instructions.

5, Propriety of RFP Schedules Classified as "Not Applicable' Mbrkpaper 13900A]

We reviewed the propriety of the classification of all RFP Schedules related to financial and accounting matters classified as 'Not Applicable.'

6. Consistency of Workpapers with the Filed RFP [Workpaper series 28500]

We compared the historical financial and accounting information in the RFP Schedules subject to our review with the production ready version expected to be filed with the PUCT.

7. Procedural and Internal Control Documentation [Workpaper series 13900] In the course of performing our annual audit of SPS for the year ended December 31, 2020, D&T updated its documentation of the Company's accounting procedures and internal controls procedures through September 30, 2020

8. Update Permanent File Information [Workpaper series 14102]

In the course of performing our interim review for the three, six, and nine months periods ended March 31, June 30, and September 30,2020 and annual audit of SPS for the year ended December 31, 2020, we updated permanent file information.

9, The Minutes of the Board of Directors of the Company [Workpaper series 21010]

We read the minutes of meetings of the Board of Directors of the Company that were available.

10. Management Representations Mbrkpaper series 30100]

We received a management representation letter for the test year ended September 30,2020,

11. Attorney's Letters [Workpaper series 30100]

3

SCH3 - Page 603 of 640 006298



We obtained correspondence from the Company's legal department for any outstanding litigation, claims, and assessments.

12. Cut-Off Procedures [Workpaper series 22120]

We performed cut-off procedures for balances at the beginning and end of the test year.

13. Working Capital Fluctuation Analysis [Workpaper series 22130]

We analyzed and documented all material monthly fluctuations during the test year period of working capital accounts and other items of invested capital that had fluctuations in account balances that met the following criteria: 1) greater than 20% of the recorded balance and 2) greater than $25 million. Working capital accounts consisted of all current assets and current liabilities as defined by the Federal Energy Regulatory Commission's Uniform System of Accounts ("FERC USOA')

14. Income Statement Fluctuation Analysis [Workpaper series 221401

We analyzed and documented all material annual fluctuations for the test year ended September 30,2020 of all revenue and expense accounts related to utility operations that had fluctuations in account balances that met the following criteria: 1) greater than 20% of the recorded balance and 2) greater than $25 million.

15. Cost of Service Fluduation Analysis [Workpaper series 22150]

We analyzed and documented all material monthly fluctuations during the test year period of cost of service accounts that had fluctuations in account balances that met the following criteria: 1) greater than 20% of the recorded balance and 2) greater than $25 million.

16. Balance Sheet Accounts Included in Invested Capital [Workpaper series 22160]

We performed procedures on balance sheet accounts included in invested capital as of September 30,2020.

17. Revenue and Expense Accounts Related to Utility Operations [Workpaper series 22170]

In the course of performing our annual audit procedures for the year ended December 31, 2019 and interim review for the three, six, and nine months ended March 31, June 30, and September 30,2020, respectively, related to the financial statements of the Company, D&T performed analytical procedures on revenue and expense accounts related to utility operations for such periods.

18. Balance Sheet Accounts Related to Capital Structure Mbrkpaper series 221801

We performed procedures on balance sheet accounts related to capital structure as of September 30,2020.

19. Deferred Cost Analysis [Workpaper series 22190]

We performed procedures on deferred cost accounts and related amortization as of September 30,2020.

20. Analysis of Deferred Fuel Accounts

4

SCH3 - Page 604 of 640 006299



Mbrkpaper series 22200]

We performed an analysis of deferred fuel accounts as of September 30,2020. We also reviewed deferred fuel entries for each month during the test year and for each month from October 2020 to December 2020 to analyze the propriety of the deferred fuel entries.

21. Historical Financial and Accounting Matters Included in RFP Schedules [Workpaper series 28500]

In the course of performing our review of the RFP Schedules, we compared test-year historical financial and accounting information to SPS's accounting records, which include the general Iedger, sub-Iedgers, and other accounting records,

22. Mathematical Accuracy of RFP Schedules [Workpaper series 28500]

We tested the mathematical accuracy of financial information included in the RFP Schedules that relate to historical financial and accounting matters.

23. Compliance with PUCT Final Orders [Workpaper series 28500]

We read the Final Order and Proposal for Decision from SPS's last rate case (Docket No. 49831) to identify whether there were any matters that SPS should take into consideration in reporting the historical financial information in the RFP Schedules to comply with the Commission Final Order; no such matters came to our attention.

24. Compliance with PUCT Rules [Workpaper series 28500]

We compared the amounts related to historical financial and accounting matters that are presented in the RFP Schedules for consistency with the Company's books and for presentation in accordance with applicable commission rules.

25. Compliance with System of Accounts [Workpaper series 222501

On a test basis, we compared SPS's account classifications for compliance with the PUCT-approved system of accounts.

26. RFP Workpapers [Workpaper series 30000]

We documented the nature, scope and results of the review procedures performed, including the evaluation and conclusion as to the disposition of all errors, exceptions, and omissions noted during the course of the review as noted herein on Schedules S-1, S-2, S-3, S-4, and S-5.

5

SCH3 - Page 605 of 640 006300




ERRORS AND EXCEPTIONS NOTED BY INDEPENDENT ACCOUNTANTS Southwestern Public Service Company For the Test Year Ended September 30,2020

No uncorrected errors, exceptions, or omissions related to the historical financial and accounting information were identified by Deloitte & Touche LLP during our review of the RPF Schedules for the test year period ended September 30,2020,

Discrepancies identified between the Schedules and the Instructions in conjunction with the Minimum Procedures for SPS's Rate Filing Package for the twelve months ended September 30,2020, are outlined in procedure 4 of Schedule S-1.

6

SCH3 - Page 606 of 640 006301




COMMUNICATIONS FROM INDEPENDENT ACCOUNTANTS Southwestern Public Service Company For the Test Year Ended September 30,2020

PCAOB Auditing Standard No , 2201 , An Audit of Internal Control Over Finandal Reporting That Is Integrated with An Audi ' t of Financial Statements . PCAOB Auditing Standard No . 2201 , defines the term « significant deficiency " and requires the auditor to communicate all significant deficiencies, in writing, to management and those charged with governance as a part of each audit, including significant deficiencies and material weaknesses that were communicated to management and those charged with governance in previous audits and have not yet been remediated.

There were no such communications regarding significant deficiencies or material weaknesses in SPS's internal control over financial reporting from the annual audit of SPS's financial statements as of and for the year ended December 31, 2019, nor from the interim reviews of SPS's interim financial information for the periods ended March 31,2020, June 30, 2020, and September 30, 2020

1

SCH3 - Page 607 of 640 006302




ADJUSTING JOURNAL ENTRIES Southwestern Public Service Company For the Test Year Ended September 30,2020

No adjusting journal entries were identified by Deloitte & Touche LLP and provided to management to post to the Company's general Iedger in conjunction with the audit of the financial statements of the Company for the year ended December 31, 2019 and the interim reviews for the three, six, and nine months periods ended March 31, June 30, and September 30,2020.

8

SCH3 - Page 608 of 640 006303




PASSED ADJUSTING JOURNAL ENTRIES Southwestern Public Service Company For the Test Year Ended September 30,2020

There were no passed adjusting journal entries that were identified by Deloitte & Touche LLP, but not recorded by management, during the course of the audit of the Company's financial statements forthe year ended December 31, 2019 and the interim reviews for the three, six, and nine months periods ended March 31, June 30, and September 30,2020.

9

SCH3 - Page 609 of 640 006304




WORKPAPER REVIEW Southwestern Public Service Company For the Test Year Ended September 30,2020

In order to make arrangements with Deloitte & Touche LLP to obtain access to the workpapers that support our review of the RFP Schedules, please contact:

Mr. Jeffrey Savage Xcel Energy, Inc. 414 Nicollet Mall Minneapolis, Minnesota 55401

Phone: (612) 330-5658

If electronic access to workpapers is not acceptable to the Commission, arrangements can be made for access to take place in the Deloitte & Touche LLP, Austin, Texas office.

10

SCH3 - Page 610 of 640 006305

Schedule T Page 1 of 3


Proposed Form of Notice

Notice of Rate Change Request

Public Notice of Filing by Southwestern Public Service Company, doing business as Xcel Energy Inc., of

Statement of Intent and Application for Authority to Change Rates

On February 8, 2021, Southwestern Public Service Company ("SPS"), doing business as Xcel Energy Inc., filed a statement of intent and application for authority to change rates ("Application") with the Public Utility Commission of Texas ("Commission") and with each Texas municipality that has original jurisdiction over SPS's electric rates.

SPS has 271,393 Texas retail customers. All customers in each of SPS's Texas retail customer classes will be affected by the relief requested in this Application.

Statement of Intent to Change Rates

SPS requests that the Commission approve an overall increase in annual base rate revenues of $143,365,836 which represents an increase of 23% in base rate revenues (the portion of the bill not including fuel costs and rate riders) and an increase of 9.2% in overall adjusted revenues. The effect of the proposed rate change on individual customer classes is set forth in the section entitled "Effect on Customer Classes" below. SPS's proposed effective date for this rate change is 35 days after the date of this filing, which is March 15, 2021. That proposed effective date is subject to suspension and extension by actions ofthe Commission or other regulatory authorities.

Effect on Customer Classes

The average Residential Service customer using 1,000 kilowatt-hours of energy per month will see an increase in base rates (the portion of the bill not including fuel costs and rate riders) of $13.22 per month, or 13.57%, which results in an overall increase of 6.71%, compared to the rates established in SPS's last base rate case.

The following table presents the percentage annual revenue increases, by type of service, under the proposed rates in this proceeding:

SCH3 - Page 611 of 640 006306



$143,365,787 Increase

Applicable Service Base Rate Increase/(Decrease)

($)

Base Rate Overall Bill Increase/(Decrease) Increase/(Decrease)

(%) (04)*

Residential Service $ 30,652,441 12.81% 6.7%

Small General Service 3,101,151 13.35% 5.6%

Secondary General Service 21,098,228 17.38% 5.9%

Primary General Service 16,849,292 24.68% 6.0%

Large General Service - 63,322,103 44.56% 11.7% Transmission

Small Municipal and School 552,080 43.24% 25.1% Service

Large Municipal Service 3,218,571 38.0% 17.8%

Large School Service 4,099,552 45.17% 27.0%

Municipal and State Street 1,194,019 25.09% 20.7% Lighting

Guard and Flood Lighting (7215~50) -17.02%

Total $143,365,787 23.04%

* Includes fuel factor and energy efficiency cost recovery factor revenues.

-17.7%

Contact Information

Persons with questions or who want more information on this Application may contact SPS at 790 S. Buchanan St., Amarillo, Texas 79101, or call 1-800-895-4999 during normal business hours. A complete copy ofthis Application is available for inspection at the address listed in the previous sentence.

SCH3 - Page 612 of 640 006307



Persons who wish to intervene in or comment upon these proceedings should notify the Commission as soon as possible, as an intervention deadline will be imposed. The deadline for intervention in the proceeding is 45 days after the date the Application was filed with the Commission, which makes the intervention deadline Thursday, March 25, 2021. A request to intervene or for further information should refer to Docket No. . A request to intervene or for further information should be mailed to the Public Utility Commission of Texas, P.O. Box 13326, Austin, Texas 78711-3326. Further information also may be obtained by calling the Public Utility Commission at (512) 936-7120 or (888) 782-8477. Hearing- and speech-impaired individuals with text telephones (TTY-) may contact the Commission at (512) 936-7136.

Due to the COVID-19 pandemic, the preferred method for you to file your request for intervention or comments on the Application is electronically, and you will be required to serve the request on other parties by email. Therefore, please include your email address (and/or fax number if available) on the intervention request. Instructions for electronic filings via the "PUC Filer" on the Commission's website can be found at: https://interchange.puc.texas.gov/filer. Instructions for using the PUC Filer are available at: http://www.puc.texas.gov/industry/filings/New_PUC_Web_Filer_Presentation.pdf. Once you obtain a tracking sheet associated with your filing from the PUC Filer, you may email the tracking sheet and the document you wish to file to: [email protected]. For assistance with your electronic filing, please contact the Commission's Help Desk at (512) 936-7100 or [email protected]. You can review materials filed in this docket on the PUC Interchange at: http://interchange.puc.texas.gov/.

SCH3 - Page 613 of 640 006308

Southwestern Public Se]·vice Company

Compliance with PUC Orders

Line Docket/Project Summary of Requirements to be Addressed in No. No. Reference the Utility's Next Rate Case Proceeding

1 Docket No 49831 SPS must suspend the collection from customers of the historical-period expense related to Attachment Z2 of the Southwest Power Pool Open Access Transmission Tariff and must maintain the current iegulatory asset with a balance of $4,402,191 55 as of September 12, 2019, adjusted for the resolution of the related, currently pending cases at FERC SPS must include a proposal to addiess this regulatory asset in its next base-iate proceeding following the resolution of the htigation at FERC regaiding Attachment Z2 [Final Order, Section III, Ordering Paragraph 9]

2 Docket No 47527 SPS must continue to unwind its excess accumulated deferred income tax and net operating loss-related balances resulting fi om the change in tax rates under the Tax Cuts and Jobs Act (TCJA) [Final Ordei, Section IV, Oidenng Paragraph 8]

3 Docket No 47527 SPS must continue to unwind the acess accumulated deferred income tax balances associated with pi otected plant items based on the average i ate assumption method [Final Order, Section IV, Ordering Paiagraph 9]

4 Docket No 47527 SPS must addiess its excess accumulated deferred income tax balances and the unwinding of those balances, associated with protected and unprotected plant items, non-plant items, and net opeiating loss-related balances that may have accrued from the end of the updated test year in Docket No 47527 (June 30, 2017) through December 31, 2017 [Final Order, Section IV, Ordering Paragiaph 10]

Schedule U Page 1 of 1


Reference to Parts of RFP Addressing Requirement

Direct Testimony of William B Grant

Direct Testimony of Mark P Moeller (Revenue Requirements Phase) Direct Testimony of Arthur P Fieitas (Revenue Requirements Phase) Direct Testimony ofNaomi Koch (Revenue Requirements Phase)

Direct Testimony of Mai k P Moeller (Revenue Requirements Phase) Direct Testimony of Arthui P Fieitas (Revenue Requirements Phase) Direct Testimony ofNaomi Koch (Revenue Requirements Phase)

Direct Testimony of Matk P Moeller (Revenue Requliements Phase) Direct Testimony of Arthur P Fieitas (Revenue Requliements Phase) Direct Testimony ofNaomi Koch (Revenue Requirements Phase)

SCH3 - Page 614 of 640 006309

Schedule V Page 1 of 4



Request for Waiver of Rate Filing Package Requirements

A. Fuel Reconciliation-Related Schedules As discussed in the Direct Testimony of William A. Grant Southwestern Public Service Company ("SPS") has not filed a fuel reconciliation with its current base rate case in accordance with the Order in Project No. 41905 and 16 Tex. Admin. Code § 25.236 ("TAC") as revised in that project. Accordingly, SPS is not seeking a change in its fuel factor under 16 TAC § 25.237. SPS therefore requests waiver of providing projected or Rate Year information or Reconciliation Period information (as indicated below) for all or a portion of the following schedules:

Line No. Schedule Description Specific Waiver

l H-12.1 Supply and Load Data Information for Rate Year and Reconciliation Period

2 H-12.2a Summary of Production by Unit Data Information for Rate Year and Reconciliation Period

3 H-12.2b Summary ofProduction by Unit Data Information for Rate Year and Reconciliation Period

4 H-12.2C Summary ofProduction by Unit Data Information for Rate Year and Reconciliation Period

5 H-12.3a Summary of Generating Unit Data Information for Rate Year and Reconciliation Period

6 H-12.4a & c Summary of Purchased Power Data Information for Rate Year and Reconciliation Period

7 H-12.5a-12.5f

Summary of System Sales Data Information for Rate Year and Reconciliation Period

8 I-7 Natural Gas Storage Description Information for Rate Year

9 I-11 Fuel and Purchased Power Assumptions Information for Rate Year Narrative

10 I-12 Fossil Fuel Mix Information for Rate Year

11 Q-2 Power Cost Recovery Information for Rate Year

SCH3 - Page 615 of 640 006310



Some information contained in the following schedules relates to costs not at issue in this base rate case proceeding, therefore SPS requests waiver of providing certain information on reconcilable fuel costs in the following schedules:

Line No. Schedule Description Specific Waiver 12 I-4 Fuel and Fuel Related Contracts Contract summaries for fuel

and fuel-related contracts that do not contain costs recovered through base rates.

13 I-15 Fuel Contract Analyses - Reconciliation Fuel and fuel-related Period contracts that do not contain

costs recovered through base rates.

Additionally, information contained in the following schedules relates to costs not at issue in this base rate case proceeding. Therefore, SPS requests a waiver of all of the following schedules:

Line No. Schedule Description Specific Waiver 14 H-12.4b Firm Purchased Power Energy Costs Costs recovered through fuel

factor

15 H-12.4d Firm Purchased Power Energy Cost per MWh

Costs recovered through fuel factor

16 H-12.4e Non-Firm Purchased Power Costs recovered through fuel factor

17 H-12.4f Non-Firm Purchased Power Energy Costs Costs recovered through fuel factor

18 H-12.4g Non-Firm Purchased Power Energy Costs Costs recovered through fuel Per MWh factor

19 I-16 Reconcilable Fuel Costs Costs recovered through fuel factor

20 I-16.1 Fossil Fuel Mix (Burned) Costs recovered through fuel factor

SCH3 - Page 616 of 640 006311




21 I-162 Fossil Fuel Mix (Purchased) Costs recovered through fuel factor

22 I-16.3 Competitive Spot Fossil Fuel Purchases Costs recovered through fuel factor

23 I-16.4 Other Spot Fossil Fuel Purchases Costs recovered through fuel factor

24 I-22 Fuel Costs Over/Under Recovery Costs recovered through fuel factor

25 O-5 Variability ofAverage Fuel Costs with Costs recovered through fuel kWh Sales factor

B. Updated Test Year Data in Lieu of Test Year Data As discussed in the Direct Testimony of William A. Grant and Richard M. Luth, SPS is using billing determinants for the Updated Test Year, rather than from the Test Year, to allocate costs among the Texas retail classes and to design rates. Therefore, SPS requests a waiver to provide Updated Test Year data (January 1,2020 through December 31, 2020) rather than Test Year data in the following schedules:

Line No. Schedule Description

26 O-1.1 Test Year Data by Rate Class

27 O-1.7 Adjustments to Billing Demand

28 O-3.3 Other Customer Adjustment Information

29 0-4.1 kWh Sales and kW Demand

3 O O-6.1 Unadjusted kWh Sales by Month ofthe Test Year

31 O-6.2 Adjusted kWh Sales Data

32 p-10 Payroll Expense Distribution

33 p-11 Distribution Plant Study

SCH3 - Page 617 of 640

Specific Waiver

Does not provide information for the full Test Year; provides nine months of Test Year information and the three months o f the Update Period

006312



Line No. Schedule Description Specific Waiver 34 Q-1 Revenue Summary

35 Q-7 Proo f o f Revenue Statement

C. Confidentiality Disclosure Agreement (Schedule W) As discussed in the Direct Testimony of William A. Grant, SPS requests a waiver so it can use the current version of a Commission-approved protective order rather than the confidentiality disclosure agreement specified in the Schedule W, which is from 1992. Specifically, and as explained in Schedule W, SPS proposes to use the protective order from its most recent rate case, Docket No. 49831, updated with the style and blanks in place of the docket number, and refined citations to the Public Utility Regulatory Act and the Texas Government Code.


36 W Confidentiality Disclosure Agreement Requirement to use the 1992 Confidentiality Disclosure Agreement

SCH3 - Page 618 of 640 006313

Schedule W Page l of 21



Confidentiality Disclosure Agreement

In lieu ofthe confidentiality disclosure agreement set out in the rate filing package, Southwestern Public Service Company ("SPS") proposes to use the Public Utility Commission's Standard Protective Order, approved in SPS's last rate case , Docket No. 49831, as the basis for the protective order in this new docket. The protective order that starts on the next page of this schedule is identical to the Protective Order proposed and adopted in Docket No. 49831, with the exception of the style and blanks in place of the docket number, and refined citations to the Public Utility Regulatory Act and the Texas Government Code. Commission Staff is in agreement with the use of the Commission's most recent Standard Protective Order.

SCH3 - Page 619 of 640 006314

Schedule W Page 2 of 21


DOCKET NO.

APPLICATION OF SOUTHWESTERN § PUBLIC UTILITY COMMISSION PUBLIC SERVICE COMPANY FOR § AUTHORITY TO CHANGE RATES § OF TEXAS

PROTECTIVE ORDER

This Protective Order governs the use of all information deemed confidential

(Protected Materials) or highly confidential (Highly Sensitive Protected Materials), including

information whose confidentiality is currently under dispute, by a party providing information to the Public Utility Commission of Texas (Commission) or to any other party to this proceeding.

It is ORDERED that:

1. Desienation of Protected Materials. Upon producing or filing a document, including,

but not limited to, records on a computer disk or other similar electronic storage medium in this proceeding, the producing party may designate that document, or any portion of it, as confidential pursuant to this Protective Order by typing or stamping on its face

"PROTECTED PURSUANT TO PROTECTIVE ORDER ISSUED IN DOCKET

NO. " (or words to this effect) and consecutively Bates Stamping each page.

Protected Materials and Highly Sensitive Protected Materials include the documents so

designated, as well as the substance of the information contained in the documents and any description, report, summary, or statement about the substance of the information

contained in the documents.

2. Materials Excluded from Protected Materials Designation. Protected Materials must

not include any information or document contained in the public files of the Commission

or any other federal or state agency, court, or local governmental authority subject to the Public Information Act. 1 Protected Materials also must not include documents or

information which at the time of, or prior to disclosure in, a proceeding is or was public

' Tex. Gov't Code § 552.001-.353.

SCH3 - Page 620 of 640 006315



knowledge, or which becomes public knowledge other than through disclosure in

violation ofthis Protective Order.

3. Reviewing Party. For the purposes of this Protective Order, a "Reviewing Party" is any

party to this docket.

4. Procedures for Designation of Protected Materials. On or before the date the

Protected Materials or Highly Sensitive Protected Materials are provided to the

Commission, the producing party is required to file with the Commission and deliver to

each party to the proceeding a written statement, which may be in the form of an objection, indicating: (a) any exemptions to the Public Information Act claimed to apply

to the alleged Protected Materials; (b) the reasons supporting the producing party's claim

that the responsive information is exempt from public disclosure under the Public

Information Act and subject to treatment as protected materials; and (c) that counsel for

the producing party has reviewed the information sufficiently to state in good faith that

the information is exempt from public disclosure under the Public Information Act and

merits the Protected Materials designation.

5. Persons Permitted Access to Protected Materials. Except as otherwise provided in

this Protective Order, a Reviewing Party may access Protected Materials only through its

"Reviewing Representatives" who have signed the Protective Order Certification Form

(see Attachment A). Reviewing Representatives of a Reviewing Party include its counsel

of record in this proceeding and associated attorneys, paralegals, economists, statisticians, accountants, consultants, or other persons employed or retained by the Reviewing Party

and directly engaged in this proceeding. At the request of the PUC Commissioners,

copies of Protected Materials may be produced by Commission Staff. The

Commissioners and their staff must be informed of the existence and coverage of this

Protective Order and will observe the restrictions ofthe Protective Order.

6. Hiehlv Sensitive Protected Material Described. The term "Highly Sensitive Protected

Materials" is a subset of Protected Materials and refers to documents or information that

a producing party claims is of such a highly sensitive nature that making copies of such

SCH3 - Page 621 of 640 006316

Schedule W Page 4 of21


documents or information or providing access to such documents to employees of the

Reviewing Party (except as specified herein) would expose a producing party to

unreasonable risk of harm. Highly Sensitive Protected Materials include but are not

limited to: (a) customer-specific information protected by § 32.101(c) of the Public

Utility Regulatory Act;2 (b) contractual information pertaining to contracts that specify

that their terms are confidential or that are confidential pursuant to an order entered in

litigation to which the producing party is a party; (c) market-sensitive fuel price forecasts,

wholesale transactions information and/or market-sensitive marketing plans; and (d)

business operations or financial information that is commercially sensitive. Documents

or information so classified by a producing party must bear the designation "HIGHLY

SENSITIVE PROTECTED MATERIALS PROVIDED PURSUANT TO PROTECTIVE

ORDER ISSUED IN DOCKET NO. (or words to this effect) and must be consecutively Bates Stamped. The provisions of this Protective Order pertaining to

Protected Materials also apply to Highly Sensitive Protected Materials, except where this

Protective Order provides for additional protections for Highly Sensitive Protected

Materials. In particular, the procedures herein for challenging the producing party's

designation of information as Protected Materials also apply to information that a

producing party designates as Highly Sensitive Protected Materials.

7. Restrictions on Copvine and Inspection of Highly Sensitive Protected Material.

Except as expressly provided herein, only one copy may be made of any Highly Sensitive

Protected Materials except that additional copies may be made to have sufficient copies

for introduction of the material into the evidentiary record if the material is to be offered

for admission into the record. The Reviewing Party is required to maintain a record of all

copies made of Highly Sensitive Protected Material and must send a duplicate of the

record to the producing party when the copy or copies are made. The record must specify

the location and the person possessing the copy. Highly Sensitive Protected Material

must be made available for inspection only at the location or locations provided by the

producing party, except as specified by Paragraph 9. Limited notes may be made of

2 Public Utility Regulatory Act, Tex. Util. Code §§ 11.001-66.016 (PURA).

SCH3 - Page 622 of 640 006317



Highly Sensitive Protected Materials, and such notes must themselves be treated as

Highly Sensitive Protected Materials unless such notes are limited to a description of the

document and a general characterization of its subject matter in a manner that does not state any substantive information contained in the document.

8. Restricting Persons Who Mav Have Access to Highly Sensitive Protected Material.

With the exception of Commission Staff, the Office of the Attorney General (OAG), and

the Office ofPublic Utility Counsel (OPC), and except as provided herein, the Reviewing

Representatives for the purpose of access to Highly Sensitive Protected Materials may be

persons who are (a) outside counsel for the Reviewing Party, (b) outside consultants for

the Reviewing Party working under the direction of Reviewing Party's counsel, or (c)

employees of the Reviewing Party working with and under the direction of Reviewing

Party's counsel who have been authorized by the presiding officer to review Highly

Sensitive Protected Materials. The Reviewing Party must limit the number of Reviewing

Representatives that review Highly Sensitive Protected Materials to the minimum number

of persons necessary. The Reviewing Party is under a good faith obligation to limit

access to each portion of any Highly Sensitive Protected Materials to two Reviewing

Representatives whenever possible. Reviewing Representatives for Commission Staff,

OAG, and OPC, for the purpose of access to Highly Sensitive Protected Materials, must

consist of their respective counsel of record in this proceeding and associated attorneys,

paralegals, economists, statisticians, accountants, consultants, or other persons employed

or retained by them and directly engaged in these proceedings.

9. Copies Provided of Hiehlv Sensitive Protected Material. A producing party is

required to provide one copy of Highly Sensitive Protected Materials specifically

requested by the Reviewing Party to the person designated by the Reviewing Party who

must be a person authorized to review Highly Sensitive Protected Material under

Paragraph 8. Representatives of the Reviewing Party who are authorized to view Highly

Sensitive Protected Material may review the copy of Highly Sensitive Protected

Materials at the office of the Reviewing Party's representative designated to receive the

information. Any Highly Sensitive Protected Materials provided to a Reviewing Party

SCH3 - Page 623 of 640 006318



may not be copied except as provided in Paragraph 7. The restrictions contained herein

do not apply to Commission Staff, OPC, and the OAG when the OAG is a representing a

party to the proceeding.

10. Procedures in Para!!raphs 10-14 Applv to Commission Staff, OPC, and the OAG

and Control in the Event of Conflict. The procedures in Paragraphs 10 through 14

apply to responses to requests for documents or information that the producing party

designates as Highly Sensitive Protected Materials and provides to Commission Staff,

OPC, and the OAG in recognition of their purely public functions. To the extent the

requirements of Paragraphs 10 through 14 conflict with any requirements contained in

other paragraphs ofthis Protective Order, the requirements ofthese Paragraphs control.

11. Copv of Hiehlv Sensitive Protected Material to be Provided to Commission Staff,

OPC and the OAG. When, in response to a request for information by a Reviewing

Party, the producing party makes available for review documents or information claimed

to be Highly Sensitive Protected Materials, the producing party is required to also deliver

one copy of the Highly Sensitive Protected Materials to the Commission Staff, OPC (if

OPC is a party), and the OAG (if the OAG is representing a party) in Austin, Texas.

Provided however, that in the event such Highly Sensitive Protected Materials are

voluminous, the materials will be made available for review by Commission Staff, OPC

(if OPC is a party), and the OAG (if the OAG is representing a party) at the designated

office in Austin, Texas. The Commission Staff, OPC (if OPC is a party) and the OAG (if

the OAG is representing a party) may request such copies as are necessary of such

voluminous material under the copying procedures specified herein.

12. Delivery of the Copv of Highly Sensitive Protected Material to Commission Staff

and Outside Consultants. The Commission Staff, OPC (if OPC is a party), and the

OAG (if the OAG is representing a party) may deliver the copy of Highly Sensitive

Protected Materials received by them to the appropriate members of their staff for review,

provided such staff members first sign the certification specified by Paragraph 15. After

obtaining the agreement of the producing party, Commission Staff, OPC (if OPC is a

party), and the OAG (if the OAG is representing a party) may deliver the copy of Highly

SCH3 - Page 624 of 640 006319



Sensitive Protected Materials received by it to the agreed, appropriate members of their

outside consultants for review, provided such outside consultants first sign the certification in Attachment A.

13. Restriction on Copying bv Commission Staff, OPC and the OAG. Except as allowed

by Paragraph 7, Commission Staff, OPC and the OAG may not make additional copies of

the Highly Sensitive Protected Materials furnished to them unless the producing party

agrees in writing otherwise, or, upon a showing of good cause, the presiding officer directs otherwise. Commission Staff, OPC, and the OAG may make limited notes of

Highly Sensitive Protected Materials furnished to them, and all such handwritten notes

will be treated as Highly Sensitive Protected Materials as are the materials from which

the notes are taken.

14. Public Information Requests. In the event of a request for any of the Highly Sensitive

Protected Materials under the Public Information Act, an authorized representative of the

Commission, OPC, or the OAG may furnish a copy of the requested Highly Sensitive

Protected Materials to the Open Records Division at the OAG together with a copy of

this Protective Order after notifying the producing party that such documents are being

furnished to the OAG. Such notification may be provided simultaneously with the

delivery ofthe Highly Sensitive Protected Materials to the OAG.

15. Required Certification. Each person who inspects the Protected Materials must, before

such inspection, agree in writing to the following certification found in Attachment A to

this Protective Order:

I certify my understanding that the Protected Materials are provided to me pursuant to the terms and restrictions of the Protective Order in this docket, and that I have been given a copy of it and have read the Protective Order and agree to be bound by it. I understand that the contents of the Protected Materials, any notes, memoranda, or any other form of information regarding or derived from the Protected Materials must not be disclosed to anyone other than in accordance with the Protective Order and unless I am an employee ofthe Commission or OPC will be used only for the purpose of the proceeding in Docket No.

. I acknowledge that the obligations imposed by this certification are pursuant to such Protective Order. Provided, however, if the

SCH3 - Page 625 of 640 006320



information contained in the Protected Materials is obtained from independent public sources, the understanding stated herein must not apply.

In addition, Reviewing Representatives who are permitted access to Highly Sensitive

Protected Material under the terms of this Protective Order must, before inspection of

such material, agree in writing to the following certification found in Attachment A to

this Protective Order:

I certify that I am eligible to have access to Highly Sensitive Protected Material under the terms ofthe Protective Order in this docket.

The Reviewing Party is required to provide a copy of each signed certification to Counsel

for the producing party and serve a copy upon all parties of record.

16. Disclosures between Reviewing Representatives and Continuation of Disclosure

Restrictions after a Person is no Longer Engaged in the Proceeding. Any Reviewing

Representative may disclose Protected Materials, other than Highly Sensitive Protected

Materials, to any other person who is a Reviewing Representative provided that, if the

person to whom disclosure is to be made has not executed and provided for delivery of a

signed certification to the party asserting confidentiality, that certification must be

executed prior to any disclosure. A Reviewing Representative may disclose Highly

Sensitive Protected Material to other Reviewing Representatives who are permitted

access to such material and have executed the additional certification required for persons

who receive access to Highly Sensitive Protected Material. In the event that any

Reviewing Representative to whom Protected Materials are disclosed ceases to be

engaged in these proceedings, access to Protected Materials by that person must be

terminated and all notes, memoranda, or other information derived from the protected material must either be destroyed or given to another Reviewing Representative of that

party who is authorized pursuant to this Protective Order to receive the protected

materials. Any person who has agreed to the foregoing certification is required to

continue to be bound by the provisions of this Protective Order so long as it is in effect,

even if no longer engaged in these proceedings.

SCH3 - Page 626 of 640 006321



17. Producing Party to Provide One Copv of Certain Protected Material and

Procedures for Making Additional Copies of Such Materials. Except for Highly

Sensitive Protected Materials, which must be provided to the Reviewing Parties under

Paragraph 9, and voluminous Protected Materials, the producing party is required to

provide a Reviewing Party one copy of the Protected Materials upon receipt of the signed

certification described in Paragraph 15. Except for Highly Sensitive Protected Materials,

a Reviewing Party may make further copies of Protected Materials for use in this

proceeding according to this Protective Order, but a record must be maintained as to the

documents reproduced and the number of copies made, and upon request the Reviewing

Party is required to provide the party asserting confidentiality with a copy ofthat record.

18. Procedures Reearding Voluminous Protected Materials. 16 Texas Administrative

Code (TAC) § 22.144(h) will govern production of voluminous Protected Materials.

Voluminous Protected Materials will be made available in the producing party's

voluminous room, in Austin, Texas, or at a mutually agreed upon location, Monday

through Friday, 9:00 a.m. to 5:00 p.m. (except on state or Federal holidays), and at other

mutually convenient times upon reasonable request.

19. Reviewing Period Defined. The Protected Materials may be reviewed only during the

Reviewing Period5 which will commence upon entry of this Protective Order and

continue until the expiration of the Commission's plenary jurisdiction. The Reviewing

Period will reopen ifthe Commission regains jurisdiction due to a remand as provided by

law. Protected materials that are admitted into the evidentiary record or accompanying

the evidentiary record as offers of proof may be reviewed throughout the pendency of this

proceeding and any appeals.

20. Procedures for Making Copies of Voluminous Protected Materials. Other than

Highly Sensitive Protected Materials, Reviewing Parties may take notes regarding the

information contained in voluminous Protected Materials made available for inspection

or they may make photographic, mechanical or electronic copies of the Protected

Materials, subject to the conditions in this Protective Order; provided, however, that

before photographic, mechanical or electronic copies may be made, the Reviewing Party

SCH3 - Page 627 of 640 006322



seeking photographic, mechanical or electronic copies must provide written confirmation

of the receipt of copies listed on Attachment B of this Protective Order identifying each

piece of Protected Materials or portions thereofthe Reviewing Party will need.

21. Protected Materials to be Used Solely for the Purposes of These Proceedings. All

Protected Materials must be made available to the Reviewing Parties and their Reviewing

Representatives solely for the purposes of these proceedings. Access to the Protected

Materials may not be used in the furtherance of any other purpose, including, without

limitation: (a) any other pending or potential proceeding involving any claim, complaint,

or other grievance ofwhatever nature, except appellate review proceedings that may arise

from or be subject to these proceedings; or (b) any business or competitive endeavor of whatever nature. Because of their statutory regulatory obligations, these restrictions do

not apply to Commission Staff or OPC.

22. Procedures for Confidential Treatment of Protected Materials and Information

Derived from Those Materials. Protected Materials, as well as a Reviewing Party' s

notes, memoranda, or other information regarding or derived from the Protected

Materials are to be treated confidentially by the Reviewing Party and must not be

disclosed or used by the Reviewing Party except as permitted and provided in this

Protective Order. Information derived from or describing the Protected Materials must

be maintained in a secure place and must not be placed in the public or general files of the Reviewing Party except in accordance with the provisions ofthis Protective Order. A

Reviewing Party must take all reasonable precautions to insure that the Protected

Materials including notes and analyses made from Protected Materials that disclose

Protected Materials are not viewed or taken by any person other than a Reviewing

Representative of a Reviewing Party.

23. Procedures for Submission of Protected Materials. If a Reviewing Party lenders for

filing any Protected Materials, including Highly Sensitive Protected Materials, or any

written testimony, exhibit, brief, motion or other type of pleading or other submission at

the Commission or before any other judicial body that quotes from Protected Materials or

discloses the content of Protected Materials, the confidential portion of such submission

SCH3 - Page 628 of 640 006323



must be filed and served in sealed envelopes or other appropriate containers endorsed to

the effect that they contain Protected Material or Highly Sensitive Protected Material and

are sealed pursuant to this Protective Order. If filed at the Commission, such documents

must be marked "PROTECTED MATERIAL" and must be filed under seal with the

presiding officer and served under seal to the counsel of record for the Reviewing Parties.

The presiding officer may subsequently, on his/her own motion or on motion of a party,

issue a ruling respecting whether or not the inclusion, incorporation or reference to

Protected Materials is such that such submission should remain under seal. If filing

before a judicial body, the filing party: (a) must notify the party which provided the

information within sufficient time so that the producing party may seek a temporary

sealing order; and (b) must otherwise follow the procedures in Rule 76a, Texas Rules of

Civil Procedure.

24. Maintenance of Protected Status of Materials during Pendencv of Appeal of Order

Holding Materials are not Protected Materials. In the event that the presiding officer

at any time in the course of this proceeding finds that all or part of the Protected

Materials are not confidential or proprietary, by finding, for example, that such materials

have entered the public domain or materials claimed to be Highly Sensitive Protected

Materials are only Protected Materials, those materials will nevertheless be subject to the

protection afforded by this Protective Order for three (3) full working days, unless

otherwise ordered, from the date the party asserting confidentiality receives notice of the

presiding officer's order. Such notification will be by written communication. This

provision establishes a deadline for appeal of a presiding officer's order to the

Commission. In the event an appeal to the Commissioners is filed within those three (3)

working days from notice, the Protected Materials must be afforded the confidential

treatment and status provided in this Protective Order during the pendency of such

appeal. Neither the party asserting confidentiality nor any Reviewing Party waives its

right to seek additional administrative or judicial remedies after the Commission' s denial

of any appeal.

SCH3 - Page 629 of 640 006324



25. Notice of Intent to Use Protected Materials or Change Materials Desienation.

Parties intending to use Protected Materials must notify the other parties prior to offering

them into evidence or otherwise disclosing such information into the record of the

proceeding. During the pendency of Docket No. at the Commission, in the

event that a Reviewing Party wishes to disclose Protected Materials to any person to

whom disclosure is not authorized by this Protective Order, or wishes to have changed

the designation of certain information or material as Protected Materials by alleging, for

example, that such information or material has entered the public domain, such

Reviewing Party must first file and serve on all parties written notice of such proposed

disclosure or request for change in designation, identifying with particularity each of such

Protected Materials. A Reviewing Party will at any time be able to file a written motion

to challenge the designation of information as Protected Materials.

26. Procedures to Contest Disclosure or Change in Designation. In the event that the

party asserting confidentiality wishes to contest a proposed disclosure or request for change in designation, the party asserting confidentiality must file with the appropriate

presiding officer its objection to a proposal, with supporting affidavits, if any, within five

(5) working days after receiving such notice of proposed disclosure or change in

designation. Failure ofthe party asserting confidentiality to file such an objection within

this period will be deemed a waiver of objection to the proposed disclosure or request for

change in designation. Within five (5) working days after the party asserting

confidentiality files its objection and supporting materials, the party challenging

confidentiality may respond. Any such response must include a statement by counsel for

the party challenging such confidentiality that he or she has reviewed all portions of the materials in dispute and, without disclosing the Protected Materials, a statement as to

why the Protected Materials should not be held to be confidential under current legal

standards, or that the party asserting confidentiality for some reason did not allow such

counsel to review such materials. If either party wishes to submit the material in question

for in camera inspection, it must do so no later than five (5) working days after the party

challenging confidentiality has made its written filing.

SCH3 - Page 630 of 640 006325



27. Procedures for Presiding Officer Determination Regarding Proposed Disclosure or

Change in Designation. If the party asserting confidentiality files an objection, the

appropriate presiding officer will determine whether the proposed disclosure or change in designation is appropriate . Upon the request of either the producing or Reviewing Party

or upon the presiding officer's own initiative, the presiding officer may conduct a

prehearing conference. The burden is on the party asserting confidentiality to show that

such proposed disclosure or change in designation should not be made. If the presiding

officer determines that such proposed disclosure or change in designation should be

made, disclosure must not take place earlier than three (3) full working days after such

determination unless otherwise ordered. No party waives any right to seek additional

administrative or judicial remedies concerning such presiding officer's ruling.

28. Maintenance of Protected Status during Periods Specified for Challenging Various

Orders. Any party electing to challenge, in the courts of this state, a Commission or

presiding officer determination allowing disclosure or a change in designation will have a

period of ten (10) days from: (a) the date of an unfavorable Commission order; or (b) if

the Commission does not rule on an appeal of an interim order, the date an appeal of an

interim order to the Commission is overruled by operation of law, to obtain a favorable

ruling in state district court. Any party challenging a state district court determination

allowing disclosure or a change in designation will have an additional period of ten (10)

days from the date of the order to obtain a favorable ruling from a state appeals court. Finally, any party challenging a determination of a state appeals court allowing disclosure

or a change in designation will have an additional period of ten (10) days from the date of

the order to obtain a favorable ruling from the state supreme court, or other appellate court. All Protected Materials must be afforded the confidential treatment and status

provided for in this Protective Order during the periods for challenging the various orders

referenced in this paragraph. For purposes of this paragraph, a favorable ruling of a state

district court, state appeals court, Supreme Court or other appellate court includes any

order extending the deadlines in this paragraph.

SCH3- Page 631 of 640 006326



29. Other Grounds for Objection to Use of Protected Materials Remain Applicable.

Nothing in this Protective Order precludes any party from objecting to the use of

Protected Materials on grounds other than confidentiality, including the lack of required

relevance. Nothing in this Protective Order constitutes a waiver of the right to argue for

more disclosure, provided, however, that unless the Commission or a court orders such

additional disclosure, all parties will abide by the restrictions imposed by the Protective

Order.

30. Protection of Materials from Unauthorized Disclosure. All notices, applications,

responses or other correspondence must be made in a manner which protects Protected

Materials from unauthorized disclosure.

31. Return of Copies of Protected Materials and Destruction of Information Derived

from Protected Materials. Following the conclusion of these proceedings, each

Reviewing Party must, no later than thirty (30) days following receipt of the notice

described below, return to the party asserting confidentiality all copies of the Protected Materials provided by that party pursuant to this Protective Order and all copies

reproduced by a Reviewing Party, and counsel for each Reviewing Party must provide to

the party asserting confidentiality a letter by counsel that, to the best of his or her knowledge, information, and belief, all copies of notes, memoranda, and other documents regarding or derived from the Protected Materials (including copies of Protected

Materials) that have not been so returned, if any, have been destroyed, other than notes,

memoranda, or other documents which contain information in a form which, if made

public, would not cause disclosure of the substance of Protected Materials. As used in

this Protective Order, "conclusion of these proceedings" refers to the exhaustion of

available appeals, or the running of the time for the making of such appeals, as provided

by applicable law. If, following any appeal, the Commission conducts a remand

proceeding, then the "conclusion of these proceedings" is extended by the remand to the exhaustion of available appeals ofthe remand, or the running of the time for making such appeals ofthe remand, as provided by applicable law. Promptly following the conclusion

of these proceedings, counsel for the party asserting confidentiality will send a written

SCH3 - Page 632 of 640 006327



notice to all other parties, reminding them of their obligations under this Paragraph.

Nothing in this Paragraph prohibits counsel for each Reviewing Party from retaining two

(2) copies of any filed testimony, brief, application for rehearing, hearing exhibit or other

pleading which refers to Protected Materials provided that any such Protected Materials

retained by counsel will remain subject to the provisions of this Protective Order.

32. Applicabilitv of Other Law. This Protective Order is subject to the requirements of the

Public Information Act, the Open Meetings Act,3 the Texas Securities Act4 and any other

applicable law, provided that parties subject to those acts will notify the party asserting

confidentiality, if possible under those acts, prior to disclosure pursuant to those acts.

Such notice is not required where the Protected Materials are sought by governmental

officials authorized to conduct a criminal or civil investigation that relates to or involves

the Protected Materials, and those governmental officials aver in writing that such notice

could compromise the investigation and that the governmental entity involved will

maintain the confidentiality ofthe Protected Materials.

33. Procedures for Release of Information under Order. If required by order of a

governmental or judicial body, the Reviewing Party may release to such body the

confidential information required by such order; provided, however, that: (a) the

Reviewing Party must notify the producing party of the order requiring the release of

such information within five (5) calendar days of the date the Reviewing Party has notice

of the order; (b) the Reviewing Party must notify the producing party at least five (5)

calendar days in advance of the release of the information to allow the producing party to

contest any release of the confidential information; and (c) the Reviewing Party must use

its best efforts to prevent such materials from being disclosed to the public. The terms of

this Protective Order do not preclude the Reviewing Party from complying with any valid

and enforceable order of a state or federal court with competent jurisdiction specifically

requiring disclosure of Protected Materials earlier than contemplated herein. The notice

specified in this section is not required where the Protected Materials are sought by

3 Tex. Gov't Code § 551.001-.146. 4 Tex. Rev. Civ. Stat. Ann. arts. 581-1 to 581-43.

SCH3 - Page 633 of 640 006328



governmental officials authorized to conduct a criminal or civil investigation that relates

to or involves the Protected Materials, and those governmental officials aver in writing

that such notice could compromise the investigation and that the governmental entity

involved will maintain the confidentiality ofthe Protected Materials.

34. Best Efforts Defined. The term "best efforts" as used in the preceding paragraph

requires that the Reviewing Party attempt to ensure that disclosure is not made unless

such disclosure is pursuant to a final order of a Texas governmental or Texas judicial

body, the written opinion of the Texas Attorney General sought in compliance with the

Public Information Act, or the request of governmental officials authorized to conduct a

criminal or civil investigation that relates to or involves the Protected Materials. The

Reviewing Party is not required to delay compliance with a lawful order to disclose such

information but is simply required to timely notify the party asserting confidentiality, or

its counsel, that it has received a challenge to the confidentiality of the information and

that the Reviewing Party will either proceed under the provisions of §552.301 of the

Public Information Act, or intends to comply with the final governmental or court order.

Provided, however, that no notice is required where the Protected Materials are sought by

governmental officials authorized to conduct a criminal or civil investigation that relates

to or involves the Protected Materials, and those governmental officials aver in writing

that such notice could compromise the investigation and that the governmental entity

involved will maintain the confidentiality ofthe Protected Materials.

35. Notify Defined. "Notify" for purposes of Paragraphs 32,33 and 34 means written notice

to the party asserting confidentiality at least five (5) calendar days prior to release;

including when a Reviewing Party receives a request under the Public Information Act.

However, the Commission, OAG, or OPC may provide a copy of Protected Materials to

the Open Records Division ofthe OAG as provided herein.

36. Requests for Non-Disclosure. If the producing party asserts that the requested

information should not be disclosed at all, or should not be disclosed to certain parties

under the protection afforded by this Protective Order, the producing party must tender

the information for in camera review to the presiding officer within ten (10) calendar

SCH3 - Page 634 of 640 006329

Schedule W Page 17 o f 21


days of the request. At the same time, the producing party is required to file and serve on

all parties its argument, including any supporting affidavits, in support of its position of non-disclosure. The burden is on the producing party to establish that the material should

not be disclosed. The producing party must serve a copy of the information under the

classification of Highly Sensitive Protected Material to all parties requesting the

information that the producing party has not alleged should be prohibited from reviewing

the information.

Parties wishing to respond to the producing party's argument for non-disclosure must do

so within five working days. Responding parties should explain why the information

should be disclosed to them, including why disclosure is necessary for a fair adjudication of the case if the material is determined to constitute a trade secret. If the presiding

officer finds that the information should be disclosed as Protected Material under the

terms of this Protective Order, the presiding officer will stay the order of disclosure for

such period of time as the presiding officer deems necessary to allow the producing party

to appeal the ruling to the Commission.

37. Sanctions Available for Abuse of Designation. If the presiding officer finds that a

producing party unreasonably designated material as Protected Material or as Highly

Sensitive Protected Material, or unreasonably attempted to prevent disclosure pursuant to

Paragraph 36, the presiding officer may sanction the producing party pursuant to 16 TAC

§22.161.

38. Modification of Protective Order. Each party will have the right to seek changes in this

Protective Order as appropriate from the presiding officer.

39. Breach of Protective Order. In the event of a breach ofthe provisions ofthis Protective

Order, the producing party, if it sustains its burden of proof required to establish the right

to injunctive relief, will be entitled to an injunction against such breach without any

requirements to post bond as a condition of such relief. The producing party will not be

relieved of proof of any element required to establish the right to injunctive relief. In

SCH3 - Page 635 of 640 006330



addition to injunctive relief, the producing party will be entitled to pursue any other form ofreliefto which it is entitled.

SCH3 - Page 636 of 640 006331



ATTACHMENT A

Protective Order Certification

I certify my understanding that the Protected Materials are provided to me pursuant to the

terms and restrictions of the Protective Order in this docket and that I have received a copy of it

and have read the Protective Order and agree to be bound by it. I understand that the contents of

the Protected Materials, any notes, memoranda, or any other form of information regarding or

derived from the Protected Materials must not be disclosed to anyone other than in accordance

with the Protective Order and unless I am an employee of the Commission or OPC will be used

only for the purpose of the proceeding in Docket No. . I acknowledge that the

obligations imposed by this certification are pursuant to such Protective Order. Provided,

however, if the information contained in the Protected Materials is obtained from independent

public sources, the understanding stated here will not apply.

Signature Party Represented

Printed Name Date

I certify that I am eligible to have access to Highly Sensitive Protected Material under the terms

ofthe Protective Order in this docket.


Printed Name Date

SCH3 - Page 637 of 640 006332



ATTACHMENT B

I request to view/copy the following documents:

Document Requested

Protected Materials and/or Highly # of Copies Non-Confidential Sensitive Protected

Materials


Printed Name Date

SCH3 - Page 638 of 640 006333



ATTACHMENT 1

Schedules Designated as Confidential or Highly Sensitive

• E-2.4(CONF); • G-5.1(CONF; ' G-5.4(CONF); • G-7.1(HS); • G-7.la(HS); • G-7.9*HS); • H-6.2®HS); • I-1.3(CONF); • I-10(V)(CONF); • I-17.1(CONF); ' O-2(all)(CONF)(CD); ' 0-7.1; and, • O-9(all)(CONF)(CD)

Schedule Workpapers Designated as Confidential or Highly Sensitive

• WP/E-4(CONF)(CD); • WP/G-2.3(CONF)(CD); • WP/G-7.1(HS)(CD); • WP/G-7.la(HS)(CD); ' WP/G-7.6a(HS)(CD); • WP/G-7.9a(HS)(CD); • WP/G-7.13(HS)(CD); • WP/I-4(CONF)(CD); and, • WP/K-6(CONF)(CD).

Please also refer to SPS's Index of Documents Containing Confidential or Highly Sensitive Protected Materials Included in its Rate Filing Package.

SCH3 - Page 639 of 640 006334

Schedule WP(CD) Page 1 of 1

2021 TX Rate Case


Workpapers to RFP Schedules

2021 TX Rate Case

APPLICATION OF SOUTHWESTERN PUBLIC SERVICE COMPANY

FOR AUTHORITY TO CHANGE RATES

WORKPAPERS TO RFP SCHEDULES(CD)

SCH3 - Page 640 of 640 006335

SCH3 - Page 597 of 640 006292

Documents

Transcript of SCH3 - Page 597 of 640 006292