Re: Filing of an Executed Large Generator Interconnection Agreement Among the
New York Independent System Operator, Inc., the New York Power Authority,
and CPV Valley, LLC; Request for Waiver of the 60-Day Notice Period; and
Request for Critical Energy Infrastructure Information Designation; Docket No.
ER15-____-000

Dear Ms. Bose:

Pursuant to Section 205 of the Federal Power Act1 and Section 35.12 of the

Commission’s regulations,2 the New York Independent System Operator, Inc. (“NYISO”) and

the New York Power Authority (“NYPA”) (together, the “Joint Filing Parties”) hereby tender for filing an executed Large Generator Interconnection Agreement entered into by the NYISO,
NYPA, as the Connecting Transmission Owner, and CPV Valley, LLC (“CPV Valley”), as the
Developer (the “CPV Valley Agreement”).3 The CPV Valley Agreement is labelled as Service
Agreement No. 2214.

The Joint Filing Parties respectfully request that the Commission accept the CPV Valley
Agreement for filing. With the limited exceptions described in Part I of this letter, the CPV
Valley Agreement conforms to the NYISO’s pro forma Large Generator Interconnection
Agreement (“Pro Forma LGIA”) that is contained in Attachment X to the NYISO’s Open Access
Transmission Tariff (“OATT”). Further, as described in Part II of this letter, the Joint Filing
Parties respectfully request a waiver of the Commission’s prior notice requirements4 to make the
CPV Valley Agreement effective as of May 28, 2015, which is the date of its execution. Finally,
as described in Part III of this letter, NYPA requests that certain figures included in the
appendices of the CPV Valley Agreement be protected from disclosure as Critical Energy
Infrastructure Information (“CEII”).

1 16 U.S.C. § 824d (2014).

2 18 C.F.R. § 35.12 (2014).

3 Capitalized terms that are not otherwise defined in this filing letter shall have the meaning
specified in Attachments S or X of the NYISO OATT, and if not defined therein, in the NYISO Open
Access Transmission Tariff and NYISO Market Administration and Control Area Services Tariff.

4 See Prior Notice and Filing Requirements Under Part II of the Federal Power Act, 64 FERC ¶ 61,139, clarified, 65 FERC ¶ 61,081 (1993).

Honorable Kimberly D. Bose June 10, 2015

Page 2

I.Discussion

A.Background

CPV Valley is constructing a nominal 680 MW combined-cycle generating facility that
will be located in Orange County, New York (“Facility”). The Facility will have a net summer
capability of approximately 685 MW and a net winter capability of approximately 761 MW.
Additional details regarding the Facility can be found in Appendix C of the CPV Valley
Agreement.

The Facility will interconnect to certain transmission facilities of NYPA that are part of the New York State Transmission System. The Point of Interconnection will be the bus tap of a new three breaker ring bus (“Dolson Avenue Substation”) on NYPA’s transmission line # 42, approximately 31.8 miles from the Coopers Corners Substation and 14.7 miles from the Rock Tavern Substation. Figures A-1 and A-2 of Appendix A of the CPV Valley Agreement provide a one-line diagram showing the Point of Interconnection.

The NYISO Class Year 2011 Interconnection Facilities Study (“Class Year 2011 Study”)
determined that the interconnection will also have impacts on the transmission systems of the
New York State Electric & Gas Corporation (“NYSEG”) and Central Hudson Gas & Electric
Corporation (“Central Hudson”), which are part of the New York State Transmission System.
The Class Year 2011 Study identified certain System Upgrade Facilities that must be constructed
on NYSEG’s and Central Hudson’s systems for the Facility to interconnect reliably to the New
York State Transmission System. The NYISO and CPV Valley have entered into two
engineering, procurement, and construction agreements for the construction of these System
Upgrade Facilities - an agreement with NYSEG and an agreement with Central Hudson.5

The Class Year 2011 Study also determined that certain System Deliverability Upgrades
are required for the Large Generating Facility to receive Capacity Resource Interconnection
Service (“CRIS”). The System Deliverability Upgrades identified and cost allocated to CPV
Valley in the Class Year 2011 Study involve upgrades to portions of the New York State
Transmission System operated by Affected System Operators - Central Hudson and Niagara
Mohawk Power Corporation d/b/a National Grid (“National Grid”). Pursuant to Section 25.7.12
of Attachment S to the OATT, CPV Valley accepted its System Deliverability Upgrade Project
Cost Allocation in the Final Decision Round of the Class Year 2011 Study and posted the
required Security for same. CPV Valley is eligible for CRIS when the Facility begins
Commercial Operation. The System Deliverability Upgrades, to the extent they are constructed
pursuant to Section 25.7.12 of Attachment S to the NYISO OATT, will be designed, procured,
and constructed pursuant to separate engineering, procurement, and construction agreements by
and among the NYISO, the Developer, Central Hudson, and National Grid.6

5 The NYISO is separately filing with the relevant Transmission Owner these engineering, procurement, and construction agreements for the Commission’s acceptance.

6 CPV Valley has elected to enter Class Year 2015 to pursue a deliverability retest pursuant to
Section 25.7.12.4 of Attachment S of the OATT. Section 25.7.12.4 allows a Developer that accepted a
System Deliverability Upgrade Project Cost Allocation in a prior Class Year Study to enter a subsequent

Honorable Kimberly D. Bose June 10, 2015

Page 3

In parallel with the NYISO’s performance of the Class Year 2011 Study, NYPA

performed System Impact Studies for two unrelated projects: (i) Coopers Corner Shunt Reactor
(NYISO Interconnection Queue No. 373) and (ii) Marcy South Reinforcement (NYISO
Interconnection Queue No. 380). The NYISO, NYPA, and CPV Valley anticipate that these
projects will go in-service prior to the Facility and, once completed, could impact the need for
certain System Upgrade Facilities on the transmission facilities of NYPA, NYSEG, and Central
Hudson that were identified in the Class Year 2011 Study and are included in Appendix A of the
CPV Valley Agreement. The NYISO, NYPA, and CPV Valley have agreed that they will
evaluate, in consultation with NYSEG and Central Hudson, the continued need for and any
modifications to the System Upgrade Facilities identified in the CPV Valley Agreement and will
amend the agreement if the System Upgrade Facilities identified through their evaluation differ
in any material way from those currently specified in the agreement.7

B. The CPV Valley Agreement Closely Conforms to the Pro Forma LGIA

Contained in Attachment X of the NYISO OATT

The CPV Valley Agreement was executed on May 28, 2015, by the NYISO, NYPA, and
CPV Valley. The CPV Valley Agreement closely follows the language in the Pro Forma LGIA
contained in Attachment X of the NYISO OATT. However, the CPV Valley Agreement does
contain limited variations from the Pro Forma LGIA that are described in this Part I.B. These
variations are necessary because of: (i) NYPA’s unique legal status as a public authority
governed under the New York Public Authorities Law, and (ii) the unique circumstances of CPV
Valley’s project. The Joint Filing Parties submit that these changes specified below satisfy the
Commission’s standard for variations from the Pro Forma LGIA, because unique circumstances
exist that require a non-conforming agreement.8 Therefore, the Joint Filing Parties respectfully
request that the Commission accept the CPV Valley Agreement with these limited non-
conforming changes.

1. Variations to Reflect NYPA’s Unique Legal Status

(a) Modifications to Ensure Compliance with New York’s Labor Laws

Section 5.2 of the Pro Forma LGIA lists the general conditions applicable to the

Developer’s Option to Build. The parties have agreed to amend this list of conditions by adding
a statement that the Developer must comply with Section 220 of New York’s labor law, which

Class Year Study to be retested for deliverability. As a result, and as specifically contemplated by

Section 25.7.12.4, if CPV Valley’s Facility is found to be deliverable without the System Deliverability Upgrades identified in the Class Year 2011 Study, its corresponding System Deliverability Upgrades Security posting from Class Year 2011 would be terminated.

7 The parties memorialized this approach in Section 7 of Appendix A of the CPV Valley Agreement.

8 See, e.g., PJM Interconnection, LLC, 111 FERC ¶ 61,163 at PP 10-11, reh’g denied, 112 FERC ¶ 61,282 (2005).

Honorable Kimberly D. Bose June 10, 2015

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requires that for work performed on NYPA’s existing facilities, workman, laborers, and

mechanics must be paid at least the prevailing wage set forth in that statute. Section 220 also addresses pay supplements, work hours, and payroll findings. The Commission has previously accepted this change to the Pro Forma LGIA.9

(b) Modification to Address NYPA’s Eminent Domain Authority

NYPA is a corporate municipal instrumentality and a political subdivision of the State of New York, organized under the laws of New York, and operating pursuant to Title 1 of Article 5 of the New York Public Authorities Law (“PAL”). Under Section 1007 of the PAL, NYPA has the right to take real property through eminent domain when the NYPA Trustees, in their
discretion, deem an eminent domain taking necessary or convenient to acquire real property for the purposes described in this statute. The parties have agreed to modify Section 5.13 of the
CPV Valley Agreement to make it clear that NYPA can only use efforts to acquire property by
eminent domain if and to the extent consistent with New York law (i.e., PAL Section 1007).
NYPA must retain the right to have its Trustees review, on a case-by-case basis, each request for NYPA to exercise its power of eminent domain and to exercise their discretion to approve or
deny such request, consistent with the requirements of New York law. The Commission has
previously accepted this change to the Pro Forma LGIA.10

2. Modifications to Clarify the Facility’s Capacity Resource Interconnection
Service and Existing Energy Resource Interconnection Service

In the Class Year 2011 Study, CPV Valley’s Facility was studied at a maximum summer net electrical output of 678 MW for purposes of its Energy Resource Interconnection Service
(“ERIS”) value. During the interconnection agreement negotiations, CPV Valley requested that the NYISO approve a seven (7) MW increase in the Facility’s ERIS level to 685 MW due to
engineering refinements in the proposed equipment for the Facility, with a corresponding
increase along the Facility’s temperature curve. The NYISO evaluated the requested increase
and determined that it did not constitute a Material Modification that would trigger the need for a new Interconnection Request because the increase was within the permissible threshold included in Section 30.3.1 of Attachment X to the OATT.

Section 30.3.1 permits an increase in capacity to a Large Facility if such increase is not
associated with any material equipment changes and is not more than ten (10) MW or five (5)
percent greater than the Large Facility’s existing ERIS value. For purposes of Section 30.3.1 of
Attachment X, the existing ERIS for CPV Valley’s Facility is the maximum megawatt electrical
output versus temperature curve for the Facility, consistent with the maximum summer net
output evaluated in the Class Year 2011 Study - 678 MW. While the NYISO approved the
seven (7) MW increase to the Facility’s existing ERIS, the increase in approved ERIS does not

9 See New York Independent System Operator, Inc., Letter Order, Docket No. ER11-2654-000

(February 9, 2011); New York Independent System Operator, Inc. and New York Power Authority, Letter Order, Docket No. ER08-1507-000 (November 4, 2008).

10 See id.

Honorable Kimberly D. Bose June 10, 2015

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increase the baseline ERIS (or “existing ERIS” as that term is used in Section 30.3.1 of

Attachment X). The Joint Filing Parties memorialized this in Section 3(a) of Appendix C of the CPV Valley Agreement.

The Joint Filing Parties also revised Section 4.1.1 of the CPV Valley Agreement and

Section 3(a) of Appendix C to indicate that the Facility will receive 680 MW CRIS, which was the value studied in the Class Year 2011 Study, unless the value is subsequently increased pursuant to an applicable provision of the NYISO OATT.

3.Additional Figures

Appendix C includes a number of figures illustrating the design of the Dolson Avenue

Substation and the related facilities required to interconnect the Facility, including: (i) a one-line
diagram illustrating the relay equipment for the Dolson Avenue Substation (Figure C-1), (ii) a
Dolson Avenue Substation building and elevation plan (Figure C-2), (iii) a Dolson Avenue
Substation building layout (Figure C-3), (iv) a rendering of the Dolson Avenue Substation
building (Figure C-4), and (v) a real estate drawing concerning the Dolson Avenue Substation
(Figure C-5). The Joint Filing Parties propose to include these figures in the CPV Valley
Agreement to memorialize certain variations from NYPA’s design criteria in the design of the
Dolson Avenue Substation and related facilities. These variations were agreed upon by NYPA
and CPV Valley to take into account unique features present at the substation site.

II. Proposed Effective Date and Request for Wavier of the 60-Day Notice Period

The Joint Filing Parties request an effective date of May 28, 2015, for the CPV Valley
Agreement, which is the date of its execution. The Joint Filing Parties respectfully request that
the Commission waive its prior notice requirement to permit the requested effective date. The
Commission has previously permitted interconnection agreements to become effective upon the
date of execution.11

III. Request for CEII Treatment

Pursuant to the Commission’s regulations at 18 C.F.R. §388.112 and 18 C.F.R. §

388.113, NYPA requests that the following figures included with the CPV Valley Agreement be protected from disclosure as CEII:

 Figure A-1 - This diagram contains a detailed, one-line schematic of the Dolson Avenue
Substation and the interconnected transmission lines and attachment facilities;

11 See, e.g., New York Independent System Operator, Inc. and New York State Electric & Gas

Corporation, Docket No. ER11-2953-000 (April 7, 2011) (accepting interconnection agreement effective as of date of execution); see also New York Independent System Operator, Inc. and Niagara Mohawk Power Corp., Letter Order, Docket No. ER08-985-000 (June 26, 2008) (same); New York Independent System Operator, Inc. and New York Power Authority, Letter Order, Docket No. ER08-861-000 (May 27, 2008) (same); New York Independent System Operator, Inc. and New York Power Authority, Letter
Order, Docket No. ER08-699-000 (May 16, 2008) (same).

Honorable Kimberly D. Bose June 10, 2015

Page 6

 Figure C-1 - This diagram contains a detailed, one-line schematic of the protection,
control, and communication schemes at the Dolson Avenue Substation; and

 Figure C-3 - This diagram illustrates the detailed physical layout of the Dolson Avenue
Substation’s connections to the transmission system and generator tap.

These diagrams provide more than simply the general location of critical infrastructure.
Unlike publicly available maps of power transmission lines and generation and substation
facilities, the diagrams shows the exact nature and specific location of facilities and transmission
lines used to maintain the reliability of the New York State bulk power system. In NYPA’s
assessment, these diagrams reveal critical information related to the facilities and transmission
depicted therein that, if disclosed, could be useful to a person seeking to disable the power grid.
Therefore, the disclosure of these CEII figures would pose a threat to the reliability of the New
York State bulk power system and to the health and safety of New York residents. Moreover,
the information revealed in these figures reveal CEII, which the Commission has determined to
be exempt from mandatory disclosure under 5 U.S.C. § 552(b)(7)(F). The figures have been
omitted from the Public version of the CPV Valley Agreement included in this filing. The
figures are included only in the CEII version of the CPV Valley Agreement in the filing. All
communications relating to this request for CEII treatment should be addressed to the following:

Andrew Sumner

Vice President, Project Management New York Power Authority
123 Main Street

White Plains, New York 10601 Tel: (914) 287-3026

Andrew.Sumner@nypa.gov

IV. Communications and Correspondence

Communications regarding this filing should be directed to:
For the NYISO12

Fax: (518) 356-4702
skeegan@nyiso.com

Justin E. Driscoll, General Counsel

*Michael J. Messonnier Jr. Hunton & Williams LLP 951 East Byrd Street

Richmond, VA 23219
Tel: (804) 788-8200
Fax: (804) 344-7999

mmessonnier@hunton.com

For NYPA:

*Andrew F. Neuman, Assistant General Counsel New York Power Authority

123 Main Street

White Plains., New York 10601 Tel: (914) 390-8028

Andrew.neuman@nypa.gov

*Designated to receive service.

V.Documents Submitted

The NYISO submits the following documents:  this filing letter;

 a clean Public version of the CPV Valley Agreement (Attachment I);

 a blacklined Public version of the CPV Valley Agreement showing the changes from
the body of the Pro Forma LGIA (Attachment II);

 a clean CEII version of the CPV Valley Agreement (Attachment III); and
 the signature pages for the CPV Valley Agreement (Attachment IV). VI. Service

The NYISO will send an electronic link to this filing to the official representative of each
of its customers, to each participant on its stakeholder committees, to the New York Public
Service Commission, and to the New Jersey Board of Public Utilities. In addition, a complete
copy of the Public documents included with this filing will be posted on the NYISO’s website at
www.nyiso.com.

Honorable Kimberly D. Bose June 10, 2015

Page 8

VII. Conclusion

Wherefore, the Joint Filing Parties respectfully request that the Commission accept the CPV Valley Agreement for filing with an effective date of May 28, 2015.

Respectfully submitted,

/s/ Sara B. Keegan

Sara B. Keegan
Counsel for the

New York Independent System Operator, Inc.

/s/_Andrew F. Neuman_____________

Andrew F. Neuman

Assistant General Counsel
New York Power Authority

cc:Michael Bardee

Gregory Berson
Anna Cochrane
Morris Margolis
David Morenoff
Daniel Nowak
Kathleen Schnorf
Jamie Simler

Kevin Siqveland