Res 2016-177/approving an amended and restated Interconnection Agreement with the LCRA Transmission Services Corporation (“LCRA TSC”) to, among other things, clarify the transmission and distribution functions of the parties, provide metering to be gover

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to which the Party is interconnected. The Parties agree that all Points of Interconnection will be operated and maintained in conformance with operating guidelines of ERCOT and the ERCOT Protocols, as the same may be amended hereafter. 6.2 Operational responsibility for facilities owned by one Party, but installed in another Party's substation or transmission line will be identified in the Facility Schedule for that particular Point of Interconnection. 6.3 During the term of this Agreement, the Parties will, consistent with maintaining good operating practices, coordinate their operations to maintain continuity of services to their respective customers to the extent practicable. Planned facility maintenance by either Party that will cause a deviation from the normal power and energy flow at a Point of Interconnection will be scheduled at a mutually agreeable time. No changes will be made in the normal operation of a Point of Interconnection without the mutual agreement of the Parties. The Parties will, to the extent necessary to support continuity of operations, coordinate the operation of protective devices on the facilities they operate in the proximity of the Points of Interconnection which might reasonably be expected to affect the operation of facilities on the other Party's system. 6.4 Each Party will provide the reactive requirements for its own system in accordance with the operating guides as established from time to time by ERCOT or its successor. Each Party will provide the reactive requirements for its own system so as not to impose a burden on the other system. 6.5 The City designates LCRA TSC to perform the functions of an "ERCOT Transmission Operator" on the City's behalf as described in the ERCOT Protocols. As the ERCOT Transmission Operator acting on behalf of the City, LCRA TSC shall have full authority to perform any necessary load shedding, switching, and other transmission activities that are deemed necessary to reliably maintain the electric system. 6.6 The City shall ensure that its operators designated to carry out dispatch instructions from LCRA TSC are properly authorized and trained to comply with all reliability directives issued by LCRA TSC, including shedding firm load, unless such actions would violate safety, equipment, regulatory or statutory requirements. Under these circumstances, the City's operators shall immediately inform LCRA TSC of the inability to perform the directive so that LCRA TSC can implement alternate remedial actions. 6.7 During periods of emergency conditions declared by the ERCOT Independent System Operator, or its successor, or as necessary to restore customer service, either Party may operate equipment that is normally operated by the other Party, provided that authorization to do so must first be received from the Party that normally operates the equipment, such authorization not to be unreasonably withheld or delayed. It shall be considered reasonable for the Party that normally operates such equipment to deny such a request by the other Party if the withholding Party will provide such operation within the time frame called for in the circumstances. Such operations by the other Party will be at no cost to the owner or normal operator of the equipment. LCRA TSC — San Marcos Electric Utility Page 7 of 39