6.10.9.2.1NextEra Energy Transmission New York, Inc. Formula Rate Template

Index

Rate Formula Template

Utilizing FERC Form 1 Data

NextEra Energy Transmission New York, Inc.

Appendix A Main body of the Formula Rate
Attachment 1  Detail of the Revenue Credits

Projected Annual Transmission Revenue Requirement
 For the 12 months ended 12/31/____

Attachment 2 Monthly Plant and Accumulated Depreciation balances

Attachment 3 Cost Support Detail

Attachment 4 Calculations showing the revenue requirement by Investment, including any Incentives,

Attachment 5 True-Up calculations

Attachment 6a-6e Detail of the Accumulated Deferred Income Tax Balances

Attachment 7 Depreciation Rates

Attachment 8 Workpapers

Appendix A
Page 1 of 5

Formula Rate - Non-Levelized Rate Formula Template

Utilizing FERC Form 1 Data Projected Annual Transmission Revenue Requirement

For the 12 months ended 12/31/____

NextEra Energy Transmission New York, Inc.

(1) (2) (3)

Line Allocated

No. Amount

1 GROSS REVENUE REQUIREMENT (page 3, line 75) 12 months $ -

REVENUE CREDITS Total Allocator

2 Total Revenue Credits Attachment 1, line 6 - TP - -

3 Net Revenue Requirement (line 1 minus line 2) -

4 True-up Adjustment (Attachment 5, line 3, col. G) - DA 1.00000 -

5 NET ADJUSTED REVENUE REQUIREMENT (line 3 plus line 4) $ -

Appendix A
Page 2 of 5

Formula Rate - Non-Levelized Rate Formula Template

Utilizing FERC Form 1 Data

For the 12 months ended 12/31/____

NextEra Energy Transmission New York, Inc.

(1) (2)

Line Source

No. RATE BASE:

GROSS PLANT IN SERVICE (Note M)

6 Production (Attach 2, line 75)

7 Transmission (Attach 2, line 15)

8 Distribution (Attach 2, line 30)

9 General & Intangible (Attach 2, lines 45 + 60)

10 TOTAL GROSS PLANT (sum lines 6-9) (If line 7>0, GP= line 10 column 5 / line 10 column 3.  If

line 7=0, GP=0)

11 ACCUMULATED DEPRECIATION & AMORTIZATION  (Note M)

12 Production (Attach 2, line 151)

13 Transmission (Attach 2, line 91)

14 Distribution (Attach 2, line 106)

15 General & Intangible (Attach 2, lines 121 + 136

16 TOTAL ACCUM. DEPRECIATION (sum lines 12-15)

17 NET PLANT IN SERVICE

18 Production (line 6- line 12)

19 Transmission (line 7- line 13)

20 Distribution (line 8- line 14)

21 General & Intangible (line 9- line 15)
22  TOTAL NET PLANT (sum lines 18-21)

(3)

Company Total

- NA

- TP

- NA

- W/S

- GP=

- NA

- TP

- NA

- W/S

-

-

-

-

-

- NP=

(4) (5)

Transmission

Allocator (Col 3 times Col 4)

- -

- -

- -

- -

- -

- -

- -

- -

- -

-

-

-

-

-

- -

(If line 19>0, NP= line 22, column 5 / line 22, column 3.  If

line 19=0, NP=0)

23 ADJUSTMENTS TO RATE BASE (Note A)

24 ADIT (Attach 6a proj., line 8, Column E or Attach 6e True-up - line 8, c - TP - -

25 Account No. 255 (enter negative) (Note F) (Attach 3, line 153) - NP - -

26 CWIP (Attach 8, line 8, col.u) - DA 1.0000 -

26a Unamortized portion of lumpsum lease payment (Note P) - DA 1.0000 -

27 Unfunded Reserves (enter negative) (Attach 3, line 170a, col. h) (Note O) - DA 1.0000 -

28 Unamortized Regulatory Assets (Attach 8, line 2, col. y) (Note L) - DA 1.0000 -

29 Unamortized Abandoned Plant (Attach 8, line 4, col. y) (Note K) - DA 1.0000 -

30 TOTAL ADJUSTMENTS  (sum lines 24-29) - -

31 LAND HELD FOR FUTURE USE (Attach 8, line 6, column q) - TP - -

32 WORKING CAPITAL  (Note C)

33 CWC (1/8 * (Line 45  less Line 44b) - -

34 Materials & Supplies  (Note B) (Attach 3, line 189, column C) - TP - -

35 Prepayments (Account 165 - Note C) (Attach 3, line 170, column B) - GP - -

36 TOTAL WORKING CAPITAL (sum lines 33-35) - -

37 RATE BASE  (sum lines 22, 30, 31, & 36) - -

Appendix A
Page 3 of 5

Formula Rate - Non-Levelized Rate Formula Template

Utilizing FERC Form 1 Data

For the 12 months ended 12/31/____

NextEra Energy Transmission New York, Inc.

(1) (2) (3) (4) (5)

Transmission

Source Company Total Allocator (Col 3 times Col 4)

38 O&M

39 Transmission 321.112.b - TP= - -

40 Less Account 565 321.96.b - TP= - -

41 A&G 323.197.b - W/S - -

42 Less EPRI & Reg. Comm. Exp. & Other  Ad. (Note D & Attach 3, line 171, column A) - DA 1.0000 -

43 Plus Transmission Related Reg. Comm.  Exp. (Note D & Attach 3, line 172, column C) - TP= - -

44 PBOP expense adjustment (Attach 3, line 197, col. b) - TP= - -

44a Less Account 566 321.97.b - DA 1.0000 -

44b Amortization of Regulatory Assets (Attach 8, line 2, column h) - DA 1.0000 -

44c Account 566 excluding amort. of Reg Assets (line 44a less line 44b) - DA 1.0000 -

45 TOTAL O&M   (sum lines 39, 41, 43, 44, 44b, 44c less lines 40 & 42, 44a) (Note D) - -

46 DEPRECIATION EXPENSE

47 Transmission 336.7.f (Note M) - TP - -

48 General and Intangible 336.1.f + 336.10.f (Note M) - W/S - -

49 Amortization of Abandoned Plant (Attach 3, line 155) (Note K) - DA 1.0000 -

50 TOTAL DEPRECIATION (Sum lines 47-49) - -

51 TAXES OTHER THAN INCOME TAXES  (Note E)

52 LABOR RELATED

53 Payroll 263._.i (enter FN1 line #) - W/S - -

54 Highway and vehicle 263._.i (enter FN1 line #) - W/S - -

55 PLANT RELATED

56 Property 263._.i (enter FN1 line #) - GP - -

57 Gross Receipts 263._.i (enter FN1 line #) - NA - -

58 Other 263._.i (enter FN1 line #) - GP - -

59 TOTAL OTHER TAXES  (sum lines 53-58) - -

60 INCOME TAXES (Note F)

61 T=1 - {[(1 - SIT) * (1 - FIT)] / (1 - SIT * FIT * p))} = -

62 CIT=(T/1-T) * (1-(WCLTD/R)) = -

63 where WCLTD=(line 92) and R= (line 95)

64 and FIT, SIT, p, & n are as given in footnote F.

65 1 / (1 - T) = (T from line 61) -

66 Amortized Investment Tax Credit (Attachment 4, line 14) -

67 Permanent Differences Tax Adjustment (Attach 3, line 173a * line 65) - NP - -

68 Income Tax Calculation = line 62 * line 72 - -

69 ITC adjustment (line 65 * line 66) - NP - -

70 Total Income Taxes (Sum lines 67 to 69) - -

71 RETURN

72 [ Rate Base (line 37) * Rate of Return (line 95)] - NA -

73 Rev Requirement before Incentive Projects  (sum lines 45, 50, 59, 70, 72) - -

74 Incentive Return and Income Tax and Competitive Bid Concessions for Projects - DA 1.0000 -

(Attach 4, line 70, cols. h, j & less p)

75 Total Revenue Requirement  (sum lines 73 & 74) - -

Appendix A
Page 4 of 5

Formula Rate - Non-Levelized Rate Formula Template

Utilizing FERC Form 1 Data

For the 12 months ended 12/31/____

NextEra Energy Transmission New York, Inc.
SUPPORTING CALCULATIONS AND NOTES

76 TRANSMISSION PLANT INCLUDED IN ISO RATES

77 Total transmission plant (line 7, column 3) -

78 Less transmission plant excluded from ISO rates (Note H) (Attachment 3, line 175) -

79 Less transmission plant included in OATT Ancillary Services (Note H) (Attachment 3, line 175) -

80 Transmission plant included in ISO rates  (line 77 less lines 78 & 79) -

81 Percentage of transmission plant included in ISO Rates (line 80 divided by line 77) [If line 77 equal zero, enter 1) TP= -

82 WAGES & SALARY ALLOCATOR   (W&S) (Note I)

83 Form 1 Reference $ TP Allocation

84 Production 354.20.b - - -

85 Transmission 354.21.b - - -

86 Distribution 354.23.b - - - W&S Allocator

87 Other 354.24,25,26.b - - - ($ / Allocation)

88 Total (sum lines 84-87) [TP equals 1 if there are no wages & salaries] - - = - = WS

89 RETURN (R) (Note J)

90

91 $ % Cost Weighted

92 Long Term Debt (Attach 3, lines 249 & 270) (Note G) - - - - =WCLTD

93 Preferred Stock (Attachment 3, lines 251 & 273) - - - -

94 Common Stock (Attachment 3, line 257) - - 9.65% -

95 Total (sum lines 92-94) - - =R

Development of Base Carrying charge and Summary of Incentive and Non-Incentive Investments (a) (b) (c)

Non-incentive Incentive

Investments from Investments from

Attachment 4 Attachment 4

Source of Total Column (Note N) (Note N) Total

96 Net Transmission Plant in Service (Line 19 and Transmission CIACs) - - -

97 CWIP in Rate Base (Line 26) - - -

98 Unamortized Abandoned Plant (Line 29) - -

99 Project Specific Regulatory Assets (Line 28) - -

100 Development of Base Carrying charge and Summary of Incentive and Non-Incentive Investments - - -

101 Return and Taxes (Lines 69 & 71) -

102 Total Revenue Credits -

103 Base Carrying Charge (used in Attach 4, Line 65) (Line 100 - Line 101)/ Line 99 -

Appendix A
Page 5 of 5

SUPPORTING CALCULATIONS AND NOTES

Formula Rate - Non-Levelized Rate Formula Template

Utilizing FERC Form 1 Data

For the 12 months ended 12/31/____

NextEra Energy Transmission New York, Inc.

General Note:  References to pages in this formulary rate are indicated as:  (page#, line#, col.#)

References to data from FERC Form 1 are indicated as: #.y.x (page, line, column)

Note

Letter

A The balances in Accounts 190, 281, 282 and 283, as adjusted by any amounts in contra accounts identified as regulatory assets or liabilities related

to FASB 106 or 109. Balance of Account 255 is reduced by prior flow throughs and excluded if the utility chose

to utilize amortization of tax credits against taxable income as discussed in Note F.  Account 281 is not allocated.

B Identified in Form 1 as being only transmission related.

C Cash Working Capital assigned to transmission is one-eighth of O&M allocated to transmission minus the amortization of any Regulatory Asset.

Prepayments are the electric related prepayments booked to Account No. 165 and reported on Pages 110-111 line 57 in the Form 1. D Line 42 removes EPRI Annual Membership Dues listed in Form 1 at 353._.f (enter FN1 line #),

any  EPRI Lobbying expenses included in line 42 of the template and all Regulatory Commission Expenses itemized at 351.h

Line 42 removes all advertising  included in Account 930.1, except safety, education or out-reach related advertising

Line 42 removes all EEI and EPRI research, development and demonstration expenses and NEET NY will not participate in EEI or EPRI.

Line 43 reflects all Regulatory Commission Expenses directly related to transmission service, ISO filings, or transmission siting itemized at 351.h
 Line 39 or Line 41 and thus Line 45 shall include any NYISO charges other than penalties, including but not limited to administrative costs.
E Includes only FICA, unemployment, highway, property, gross receipts, and other assessments charged in the current year.
 Taxes related to income are excluded.  Gross receipts taxes are not included in transmission revenue requirement in the Rate Formula Template,
 since they are recovered elsewhere.

F  The currently effective income tax rate,  where FIT is the Federal income tax rate; SIT is the State income tax rate, and p =

"the percentage of federal income tax deductible for state income taxes".  If the utility is taxed in more than one state it must attach a
work paper showing the name of each state and how the blended or composite SIT was developed.  Furthermore, a utility that
elected to utilize amortization of tax credits against taxable income, rather than book tax credits to Account No. 255 and reduce

rate base, must reduce its income tax expense by the amount of the Amortized Investment Tax Credit (266.8.f)

multiplied by (1/1-T).  Excess Deferred Income Taxes reduce income tax expense by the amount of the expense multiplied by (1/1-T).

Inputs Required: FIT = -

SIT= - (State Income Tax Rate or Composite SIT from Attach 3)

p = - (percent of federal income tax deductible for state purposes)

For each Rate Year (including both Annual Projections and True-Up Adjustments) the statutory income tax rates utilized in the Formula Rate shall reflect the weighted average rates

actually in effect during the Rate Year.  For example, if the statutory tax rate is 10% from January 1 through June 30, and 5% from July 1 through December 31, such rates would be weighted 181/365 and 184/365, respectively, for a non-leap year.

G  Prior to obtaining any debt, the cost of debt will be LIBOR plus 1.5%.  Once any debt is obtained, the formula will use the actual cost of long term debt determined in Attachment 3.  The capital structure will be 60% equity and 40%

debt until NextEra Energy Transmission New York, Inc.'s first transmission project enters service, after which the capital structure will be the actual capital structure.  LIBOR refers to the London Inter Bank Offer Rate from the

Federal Reserve Bank of St. Louis's https://fred.stlouisfed.org/. The capital structure and cost of debt will be the weighted for the year if the first debt is obtained or first project is placed into service midyear using the

H Removes dollar amount of transmission plant included in the development of OATT ancillary services rates and generation

step-up facilities, which are deemed to included in OATT ancillary services.  For these purposes, generation step-up

facilities are those facilities at a generator substation on which there is no through-flow when the generator is shut down.

I Enter dollar amounts

J ROE will be supported in the original filing and no change in ROE may be made absent a filing with FERC under FPA Section 205 or 206.

K Recovery of Regulatory Assets is permitted only for pre-commercial expenses incurred prior to the date when NEET New York may first recover costs under the NYISO Tariff, as authorized by the Commission.  Recovery of any other regulatory

assets (e.g., project specific) requires authorization from the Commission. A carrying charge equal to the weighted cost of capital calculated pursuant to this formula will be applied to the Regulatory Asset prior to the rate year when costs are first

recovered.

L Unamortized Regulatory Assets, consisting of all expenses incurred but not included in CWIP prior to the date the rate is charged to customers, is included at line 28

Carrying costs equal to the weighted cost of capital on the balance of the regulatory asset will accrue until the rate is charged to customers

M Balances exclude Asset Retirement Costs

N Non-incentive investments are investments without ROE incentives and incentive investments are investments with ROE incentives

O Unfunded Reserves are customer contributed capital such as when employee vacation expense is accrued but not yet incurred.  Also, pursuant to Special Instructions to Accounts 228.1 through 228.4,

no amounts shall be credited to accounts 228.1 through 228.4 unless authorized by a regulatory authority or authorities to be collected in a utility’s rates.

P In the event that leased tranmission assests or right of ways involve a lumpsum upfront payment, it will be amortized over the life of the lease to Account No. 567 and the unamortized balance will be included here.

In the event such a lease involves monthly or annual payments, the payments will be booked to Account 567.

Attachment 1 - Revenue Credit Workpaper*

NextEra Energy Transmission New York, Inc.

Account 454 - Rent from Electric Property  (300.19.b) Notes 1 & 3

1 Rent from FERC Form No. 1 -

Account 456 (including 456.1) (300.21.b and 300.22.b) Notes 1 & 3

2 Other Electric Revenues (Note 2) -

3 Professional Services -

4 Revenues from Directly Assigned Transmission Facility Charges (Note 2) -

5 Rent or Attachment Fees associated with Transmission Facilities -

6 Total Revenue Credits Sum lines 2-5 + line 1 -

Note 1  All revenues booked to Account 454 that are derived from cost items classified as transmission-related will be included as a revenue credit.  All revenues booked to Account

456 (includes 456.1) that are derived from cost items classified as transmission-related, and are not derived from rates under this transmission formula rate will be included as a revenue credit.   Work papers will be included to properly classify revenues booked to these accounts to the transmission function.  A breakdown of all Account 454 revenues by subaccount will be provided below, and will be used to derive the proper calculation of revenue credits.  A breakdown of all Account 456 revenues by subaccount and
customer will be provided and tabulated below, and will be used to develop the proper calculation of revenue credits.

Note 2

If the facilities associated with the revenues are not included in the formula, the revenue is shown below, but not included in the total above and explained in the Attachment 3.

Note 3 All Account 454, 456, and 456.1 Revenues must be itemized below and tie to FERC Form No. 1 cites set forth below.

Line No.

1 Accounts 456 and 456.1 (300.21.b plus 300.22.b) TOTAL NY-ISO Other 1 Other 2

1a - - - -

… - - - -

1x - - - -

2 - - - -

3 Total - - - -

4 Less:

5 Revenue for Demands in Divisor - - - -

6 Sub Total Revenue Credit - - - -

7 Prior Period Adjustments - - - -

8 Total (must tie to 300.21.b plus 300.22.b) - - - -

9 Account 454 (300.19.b) $

9a -

9b -

9c -

9d -

9e -

9f -

9g -

…

9x -

10 Total (must tie to 300.19.b) -

Attachment 2 - Cost Support

NextEra Energy Transmission New York, Inc.

Plant in Service Worksheet

1 Calculation of Transmission  Plant In Service Source (Less ARO, see Note M) Year Balance

2 December p206.58.b 2015 -

3 January company records 2016 -

4 February company records 2016 -

5 March company records 2016 -

6 April company records 2016 -

7 May company records 2016 -

8 June company records 2016 -

9 July company records 2016 -

10 August company records 2016 -

11 September company records 2016 -

12 October company records 2016 -

13 November company records 2016 -

14 December p207.58.g 2016 -

15 Transmission Plant In Service (sum lines 2-14) /13 -

16 Calculation of Distribution Plant In Service Source (Less ARO, see Note M)

17 December p206.75.b 2015 -

18 January company records 2016 -

19 February company records 2016 -

20 March company records 2016 -

21 April company records 2016 -

22 May company records 2016 -

23 June company records 2016 -

24 July company records 2016 -

25 August company records 2016 -

26 September company records 2016 -

27 October company records 2016 -

28 November company records 2016 -

29 December p207.75.g 2016 -

30 Distribution Plant In Service (sum lines 17-29) /13 -

31 Calculation of Intangible Plant In Service Source (Less ARO, see Note M)

32 December p204.5.b 2015 -

33 January company records 2016 -

34 February company records 2016 -

35 March company records 2016 -

36 April company records 2016 -

37 May company records 2016 -

38 June company records 2016 -

39 July company records 2016 -

40 August company records 2016 -

41 September company records 2016 -

42 October company records 2016 -

43 November company records 2016 -

44 December p205.5.g 2016 -

45 Intangible Plant In Service (sum lines 32-44) /13 -

46 Calculation of General Plant In Service Source (Less ARO, see Note M)

47 December p206.99.b 2015 -

48 January company records 2016 -

49 February company records 2016 -

50 March company records 2016 -

51 April company records 2016 -

52 May company records 2016 -

53 June company records 2016 -

54 July company records 2016 -

55 August company records 2016 -

56 September company records 2016 -

57 October company records 2016 -

58 November company records 2016 -

59 December p207.99.g 2016 -

60 General Plant In Service (sum lines 47-59) /13 -

61 Calculation of Production Plant In Service Source (Less ARO, see Note M)

62 December p204.46b 2015 -

63 January company records 2016 -

64 February company records 2016 -

65 March company records 2016 -

66 April company records 2016 -

67 May company records 2016 -

68 June company records 2016 -

69 July company records 2016 -

70 August company records 2016 -

71 September company records 2016 -

72 October company records 2016 -

73 November company records 2016 -

74 December p205.46.g 2016 -

75 Production Plant In Service (sum lines 62-74) /13 -

76 Total Plant In Service (sum lines 15, 30, 45, 60, & 75) -

Accumulated Depreciation Worksheet

Appendix A Line #s, Descriptions, Notes, Form 1 Page #s and Instructions

77 Calculation of Transmission Accumulated Depreciation Source (Less ARO, see Note M) Year Balance

78 December Prior year p219.25.c 2015 -

79 January company records 2016 -

80 February company records 2016 -

81 March company records 2016 -

82 April company records 2016 -

83 May company records 2016 -

84 June company records 2016 -

85 July company records 2016 -

86 August company records 2016 -

87 September company records 2016 -

88 October company records 2016 -

89 November company records 2016 -

90 December p219.25.c 2016 -

91 Transmission Accumulated Depreciation (sum lines 78-90) /13 -

92 Calculation of Distribution Accumulated Depreciation Source (Less ARO, see Note M)

93 December Prior year p219.26.c 2015 -

94 January company records 2016 -

95 February company records 2016 -

96 March company records 2016 -

97 April company records 2016 -

98 May company records 2016 -

99 June company records 2016 -

100 July company records 2016 -

101 August company records 2016 -

102 September company records 2016 -

103 October company records 2016 -

104 November company records 2016 -

105 December p219.26.c 2016 -

106 Distribution Accumulated Depreciation (sum lines 93-105) /13 -

107 Calculation of Intangible Accumulated Amortization Source (Less ARO, see Note M)

108 December Prior year p200.21.c 2015 -

109 January company records 2016 -

110 February company records 2016 -

111 March company records 2016 -

112 April company records 2016 -

113 May company records 2016 -

114 June company records 2016 -

115 July company records 2016 -

116 August company records 2016 -

117 September company records 2016 -

118 October company records 2016 -

119 November company records 2016 -

120 December p200.21.c 2016 -

121 Accumulated Intangible Amortization (sum lines 108-120) /13 -

122 Calculation of General Accumulated Depreciation Source (Less ARO, see Note M)

123 December Prior year p219.28.c 2015 -

124 January company records 2016 -

125 February company records 2016 -

126 March company records 2016 -

127 April company records 2016 -

128 May company records 2016 -

129 June company records 2016 -

130 July company records 2016 -

131 August company records 2016 -

132 September company records 2016 -

133 October company records 2016 -

134 November company records 2016 -

135 December p219.28.c 2016 -

136 Accumulated General Depreciation (sum lines 123-135) /13 -

137 Calculation of Production Accumulated Depreciation Source (Less ARO, see Note M)

138 December p219.20.c to 24.c (prior year) 2015 -

139 January company records 2016 -

140 February company records 2016 -

141 March company records 2016 -

142 April company records 2016 -

143 May company records 2016 -

144 June company records 2016 -

145 July company records 2016 -

146 August company records 2016 -

147 September company records 2016 -

148 October company records 2016 -

149 November company records 2016 -

150 December p219.20.c to 24.c 2016 -

151 Production Accumulated Depreciation (sum lines 138-150) /13 -

152 Total Accumulated Depreciation and Amortization (sum lines 91, 106, 121, 136, & 151) -

Attachment 3 - Cost Support

NextEra Energy Transmission New York, Inc.

Details

Numbering continues from Attachment 2 Beginning of Year End of Year Average Balance

153 Account No. 255 (enter negative) 267.8.h - - -

154 Unamortized Abandoned Plant Attachment 8, line 4, col. (v) -

(recovery of abandoned plant requires a FERC order approving the amount and recovery period) Amortization Expense

155 Amortization of Abandoned Plant Attachment 8, line 4, col. (h) -

156 Prepayments (Account 165) A B

(Prepayments exclude Prepaid Pension Assets) Year Balance

157 December 111.57.d - -

158 January company records - -

159 February company records - -

160 March company records - -

161 April company records - -

162 May company records - -

163 June company records - -

164 July company records - -

165 August company records - -

166 September company records - -

167 October company records - -

168 November company records - -

169 December 111.57.c - -

170 Prepayments (sum lines 157-169) /13 -

Reserves

170a (b) (c) (d) (e) (f) (g) (h)

Enter the percentage

Enter 1 if NOT in a Enter 1 if the accrual account paid for by customers, 1

trust or reserved is included in the formula less the percent

account, enter zero (0) rate, enter (0) if  O if the associated with an Amount Allocated,

if included in a trust or accrual account is NOT offsetting liability on the Allocation (Plant or col. c x col. d x col. e

Amount reserved account included in the formula rate balance sheet Labor Allocator) x col. f x col. g

Reserve 1 - - - - - -

Reserve 2 - - - - - -

Reserve 3 - - - - - -

Reserve 4 - - - - - -

… - - - - - -

… - - - - - -

Total -

All unfunded reserves will be listed above, specifically including (but not limited to) all subaccounts for FERC Account Nos. 228.1 through 228.4.  "Unfunded reserve" is defined as an accrued balance (1) created and
increased by debiting an expense which is included in this formula rate (column (e), using the same allocator in column (g) as used in the formula to allocate the amounts in the corresponding expense account)  (2) in
advance of an anticipated expenditure related to that expense (3) that is not deposited in a restricted account (e.g., set aside in an escrow account, see column (d)) with the earnings thereon retained within that account.
Where a given reserve is only partially funded through accruals collected from customers, only the balance funded by customer collections shall serve as a rate base credit, see column (f).  The source of monthly
balance data is company records.

EPRI Dues Cost Support

EPRI & EEI Costs to be Excluded Details

Allocated General & Common Expenses

EPRI Dues (A)

171 EPRI and EEI Dues to be excluded from the formula rate p353._.f (enter FN1 line #) -

Regulatory Expense Related to Transmission Cost Support

Transmission

Form 1 Amount Related Other Details*

Directly Assigned A&G (A) (B) C (Col A-Col B)

172 Regulatory Commission Exp Account 928 p323.189.b - - -

* insert case specific detail and associated assignments here

Multi-state Workpaper

New York State 2 State 3 State 4 State 5 Weighed Average

Income Tax Rates

Weighting 1

173 SIT=State Income Tax Rate or Composite 0.0710 0.07

Multiple state rates are weighted based on the state apportionment factors on the state income tax returns and the number of days in the year that the rates are effective (see Note F)

173a  The Tax Effect of Permanent Differences captures the differences in the income taxes due under the Federal and State calculations and the income taxes calculated in Appendix A that are not the result of a timing difference. If any, a workpaper showing the calculation will be attach

Safety Related and Education and Out Reach Cost Support

Safety Related,

Education, Siting &

Form 1 Amount Outreach Related Other Details

Directly Assigned A&G (A) (B) C (Col A-Col B)

174 General Advertising Exp Account 930.1 company records -

Safety advertising consists of any advertising whose primary purpose is to educate the recipient as to what is safe or is not safe.

Education advertising consists of any advertising whose primary purpose is to educate the recipient as about transmission related facts or issues Outreach advertising consists of advertising whose primary purpose is to attract the attention of the recipient about a transmission related issue Siting advertising consists of advertising whose primary purpose is to inform the recipient about locating transmission facilities
Lobbying expenses are not allowed to be included in account 930.1

Excluded Plant Cost Support

Transmission plant

included in OATT

Excluded Ancillary Services

Transmission and not otherwise

Facilities excluded Description of the Facilities

Adjustment to Remove Revenue Requirements Associated with Excluded Transmission Facilities

175 Excluded Transmission Facilities - - General Description of the Facilities

A worksheet will be provided if there are ever any excluded transmission plant or transmission plant in OATT Ancillary Services

Add more lines if necessary

Materials & Supplies

Stores Expense Transmission Materials &

Undistributed Supplies Total

Note:  for the projection, the prior year's actual balances will be used p227.16 p227.8

Form No.1 page (A) (B) C (Col A+Col B)

176 December Column b - - -

177 January Company Records - - -

178 February Company Records - - -

179 March Company Records - - -

180 April Company Records - - -

181 May Company Records - - -

182 June Company Records - - -

183 July Company Records - - -

184 August Company Records - - -

185 September Company Records - - -

186 October Company Records - - -

187 November Company Records - - -

188 December Column c - - -

189 Average sum line 176 to 188 divided by 13 -

PBOPs

Details

Calculation of PBOP Expenses

(a) (b)

190 Total

191 Total PBOP expenses (Note A) $0.00

192 Labor dollars (total labor under PBOP Plan, Note A) $0.00

193 Cost per labor dollar (line 191 / line 192) -

194 labor expensed (labor not capitalized) in current year, 354.28.b. -

195 PBOP Expense for current year (line 193 * line 194) -

196 PBOP amount included in Company's O&M and A&G expenses included in FERC Account Nos. 500-935

197 PBOP Adjustment (line 195 - line 196) -

A  Lines 191-192 cannot change absent approval or acceptance by FERC in a separate proceeding.

B  The source of the amounts from the Actuary Study supporting the numbers in Line 2 and 3 is -

Attachment 3 - Cost Support

COST OF CAPITAL NextEra Energy Transmission New York, Inc.

Form No.1

Line No. Description Reference December January February March April May June July August September October November December 13 Month Avg.

Col. (a) Col. (b) Col. (c) Col. (d) Col. (e) Col. (f) Col. (g) Col. (h) Col. (i) Col. (j) Col. (k) Col. (l) Col. (m) Col. (n)

198 Long Term Debt (3):

199 Acct 221 Bonds 112.18.c,d - - - - - - - - - - - - - -

200 Acct 223 Advances from Assoc. Companies 112.20.c,d - - - - - - - - - - - - - -

201 Acct 224 Other Long Term Debt 112.21.c,d - - - - - - - - - - - - - -

202 Less  Acct 222 Reacquired Debt 112.19 c, d enter negative - - - - - - - - - - - - - -

203 Total Long Term Debt Sum Lines 199 - 202 - - - - - - - - - - - - - -

204

205 Preferred Stock (1) 112.3.c,d - - - - - - - - - - - - - -

206

207 Common Equity- Per Books 112.16.c,d - - - - - - - - - - - - - -

208 Less Acct 204 Preferred Stock 112.3.c,d - - - - - - - - - - - - - -

209 Less Acct 219 Accum Other Compre. Income 112.15.c,d - - - - - - - - - - - - - -

Less Acct 216.1 Unappropriated Undistributed

210 Subsidiary Earnings 112.12.c,d - - - - - - - - - - - - - -

211 Adjusted Common Equity Ln 207 - 208 - 209 - 210 - - - - - - - - - - - - - -

212

213 Total (Line 203 plus Line 205 plus Line 211) - - - - - - - - - - - - - -

214

215 Cost of Debt (3)

216 Acct 427 Interest on Long Term Debt 117.62.c -

217 Acct 428 Amortization of Debt Discount and Expense 117.63.c -

218 Acct 428.1 Amortization of Loss on Reacquired Debt 117.64.c -

Acct 430 Interest on Debt to Assoc. Companies (LTD

219 portion only) (2) 117.67.c -

220 Less:  Acct 429 Amort of Premium on Debt 117.65.c enter negative -

221 Debt 117.66.c enter negative -

222 Total Interest Expense Sum Lines 216 - 221 -

223

224 Average Cost of Debt (Line 222, col. n / Line 203, col. n) 0.00%

225

226 Cost of Preferred Stock

227 Preferred Stock Dividends 118.29.c

228

229 Average Cost of Preferred Stock (Line 227, col. n / Line 205, col. n) -

Note 1.  If and when the Company issues preferred stock, footnote will indicate the authorizing regulatory agency, the docket/case number, and the date of the Note 2.  Interest on Debt to Associated Companies (FERC 430) will be populated with interest related to Long-Term Debt only.

Note 3.  In the event there is a construction loan, line 222 will also include the outstanding amounts associated with any short term construction financing, prior to the issuance of long term debt.

Rate Formula Template
Project Worksheet

Attachment 4 For  the 12 months ended 12/31/2021

Utilizing Appendix A Data

The calculations below calculate that additional revenue requirement for 100 basis points of ROE and 1 percent change in the equity component of the capital structure.

These amounts are then used to valuate the actual increase in  revenue in the table below (starting on line 66) associated with the actual incentive authorized by the Commission The use of the 100 basis point calculations do not presume any particular incentive (i.e., 100 basis points) being granted by the Commission.

NextEra Energy Transmission New York, Inc.

Base ROE and Income Taxes Carrying Charge

Allocator Result

1 Rate Base -

2 BASE RETURN CALCULATION:

$ % Cost Weighted

3 Long Term Debt (Appendix A, Line 91) - - - -

4 Preferred Stock (Appendix A, Line 92) - - - -

5 Common Stock (Appendix A, Line 93) - - 9.65% -

6 Total  (sum lines 3-5) - -

7 Return multiplied by Rate Base (line 1 * line 6) -

8 INCOME TAXES

9 T=1 - {[(1 - SIT) * (1 - FIT)] / (1 - SIT * FIT * p)} =  (Appendix A, line 61) -

10 CIT=(T/1-T) * (1-(WCLTD/R)) = -

11 where WCLTD=(line 3) and R= (line 6)

12 and FIT, SIT & p are as given in footnote F on Appendix A.

13 1 / (1 - T)  = (T from line 9) -

14 Amortized Investment Tax Credit (266.8f) (enter negative) -

15 Permanent Differences Tax Adjustment = (Appendix A, line 67) -

16 Income Tax Calculation (line 10 * line 7) -

17 ITC adjustment (line 13 * line 14) - NP - -

18 Total Income Taxes (Sum lines 15 to 17) - -

19 Base Return and Income Taxes Sum lines 7 and 18 -

20 Rate Base Line 1 -

21 Return and Income Taxes at Base ROE Line 19 / line 20 -

100 Basis Point Incentive ROE and Income Taxes Carrying Charge Attachment 4

Result

22 Rate Base -

23 100 Basis Point Incentive Return impact on

$ % Cost Weighted

24 Long Term Debt (line 3) - - - -

25 Preferred Stock (line 4) - - - -

26 Common Stock (line 5 plus 100 basis points) - - 10.65% -

27 Total  (sum lines 24-26) - -

28 100 Basis Point Incentive Return multiplied by Rate Base (line 22 * line 27) -

29 INCOME TAXES

30 T=1 - {[(1 - SIT) * (1 - FIT)] / (1 - SIT * FIT * p)} =  (Appendix A, line 61) -

31 CIT=(T/1-T) * (1-(WCLTD/R)) = -

32 where WCLTD=(line 24) and R= (line 27)

33 and FIT, SIT & p are as given in footnote F on Appendix A.

34 1 / (1 - T)  = (T from line 30) -

35 Amortized Investment Tax Credit (line 14) -

36 Permanent Differences Tax Adjustment = (line 15) -

37 Income Tax Calculation (line 31 * line 28) -

38 ITC adjustment (line 34 * line 35) - NP - -

39 Total Income Taxes (Sum lines 36 to 38) - -

40 Return and Income Taxes with 100 basis point increase in ROE Sum lines 28 and 39 -

41 Rate Base Line 22 -

42 Return and Income Taxes with 100 basis point increase in  ROE Line 40 / line 41 -

43 Difference in Return and Income Taxes between Base ROE and 100 Basis Point Incentive Line 42 - Line 21 -

Effect of 1% Increase in the Equity Ratio

Results

44 Rate Base -

45 100 Basis Point Incentive Return

% Cost Weighted

46 Long Term Debt (line 3 minus 1% in equity ratio) 0.99 0.00% 0.00%

47 Preferred Stock (line 4) - 0.00% 0.00%

48 Common Stock (line 5 plus 1% in equity ratio)) 0.01 9.65% 0.10%

49 Total  (sum lines 46-48) 0.10%

50 Line 49 x line 44 -

51 INCOME TAXES

52 T=1 - {[(1 - SIT) * (1 - FIT)] / (1 - SIT * FIT * p)} =  (Appendix A, line 61) -

53 CIT=(T/1-T) * (1-(WCLTD/R)) = -

54 where WCLTD=(line 46) and R= (line 49)

55 and FIT, SIT & p are as given in footnote F on Appendix A.

56 1 / (1 - T)  = (T from line 52) -

57 Amortized Investment Tax Credit (line 14) -

58 Permanent Differences Tax Adjustment = (line 15) -

59 Income Tax Calculation (line 53 * line 50) -

60 ITC adjustment (line 56 * line 57) - NP - -

61 Total Income Taxes (Sum lines 58 to 60) - -

62 Return and Income Taxes with 1% Increase in the Equity Ratio Sum lines 50 and 61 -

63 Rate Base Line 44 -

64 Return and Income Taxes with 1% Increase in the Equity Ratio Line 62 / line 63 -

65 Difference between Base ROE and 1% Increase in the Equity Ratio Line 64 - Line 21 -

Attachment 4

66  Revenue Requirement per project including incentives

67 Expense Allocator [Appendix A, lines 45 and 59, less Appendix A, line 44b (project specific) / Gross Transmission Plant In Service Column (l).  If Gross Transmission Plant is zero, then the Expense Allocator should be zero] (Note B) -

68 Base Carrying Charge Line 103 Appendix A -

The table below  breaks out the total revenue requirement on Appendix A separately  for each investment.  The total of Column (p) must equal the amount shown on Appendix A, Line 3.

(a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) (m) (n) (o) (p) (q)

ROE ROE Base Equity % in Capital Impact of Equity

Authorized by (From Incentive % Structure (% above Component of Capital Expense O&M, Taxes Other Competitive Bid Total Revenues

FERC (Note Appendix A, Authorized by Col (e) / .01 x Incentive $ (Col base %, -% below base Structure(Col (b) x (i) Base Return and Tax (Line 68 x Gross Plant In Allocator (line than Income Depreciation/Amort Concession (Col. (h) + (j) + (k)

Line Description Net Investment (Note A) D) line 94) FERC Line 43 Col (f) (b) x Col (g) %)(1 equals 1%) x Line 65 Col (b) Service (Note B) 67) (Col. (l) x Col. (n) ization Expense (Note C) +(n) +(o) -(p))

69 - - - 9.65% - - - - - - - - - - - -

69a - - - 9.65% - - - - - - - - - -

69b 9.65% - - - - - - - - -

69c - 9.65% - - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

… 9.65% - - - - - - - -

9.65% - - - - - - -

70 Total $0.00 - - - $0 - - - -

71 Check Sum Appendix A Line 3 -

72 Difference (must be equal to zero) -

Note:

A Column (b), Net Investment includes the Net Plant In Service, unamortized regulatory assets, unamortized abandoned plant and CWIP B Column (l), Gross Plant in Service excludes Regulatory Assets, CWIP, and Abandoned Plant.

C Competitive Bid Concession, if any, will reflect outcome of competitive developer selection process and will be computed on a workpaper that will be provided as supporting documentation

for each Annual Update and will be zero or a reduction to the revenue requirement.  The amount in Column (p) above equals the amount by which the annual revenue requirement is reduced from the ceiling rate. D Column (e), for each project with an incentive in column (e), note the docket No. in which FERC granted the incentive>

Project Docket No. Note

Empire State Line Project - 100 BP ROE Adder and Cost Cap Docket Nos. ER16-2719, ER18-125 Pursuant to the settlement agreement approved in Docket No. ER16-2719, a 100 bp ROE adder will apply to project investment

incurred up to the Cost Cap.  A 100 bp ROE adder shall also apply to Unforeseeable Costs in excess of five (5) percent of the Cost
Cap, Empire Third Party Costs, and Project Development Costs.  Empire Third Party Costs are costs that result from: (i) NYISO
modifications or further NYISO requirements, including interconnection costs and upgrades resulting from the NYISO
interconnection study process; or (ii) real estate-related costs incurred in any lease arrangements or purchases related to the
acquisition of rights-of-way or access to rights-of-way or purchases of rights to access utility facilities; (iii) all taxes; or (iv) Empire
Upgrades. These Empire Third Party Costs are not included in the Capital Cost Bid , are not subject to the Cost Cap or Cost
Containment Mechanism, and are recoverable in the formula rate.  Project Development Costs are costs incurred for the Empire
State Line Project prior to the selection of one or more transmission developer(s) by the NYISO Board of Directors and are not
included in the Capital Cost Bid submitted to the NYISO, and are not subject to the Cost Cap or Cost Containment Mechanism, are
to be included in Construction Work in Progress (“CWIP”) in accordance with the FERC Uniform System of Accounts, and are
recoverable in the formula rate.  The Cost Cap is the sum of the following:  (A) the Capital Cost Bid, defined as the amount
submitted by NEET NY in response to the NYISO's solicitation on the Western New York Public Policy Transmission Need, but
excluding Empire Third Party Costs; (B) contingency of 18% will be applied to the Capital Cost Bid; (C) the sum of the Capital
Cost Bid and the contingency of 18%, multiplied by an inflation factor of 2.0% per year for the period of time from the submission
in response to the NYISO’s Solicitation to the date that is one year prior to the Commercial Operation Date; and (D) Allowance for
Funds Used During Construction.

Empire State Line Project - Cost Containment Mechanism Docket Nos. ER16-2719, ER18-125 Pursuant to the settlement agreement approved in Docket No. ER16-2719, 20% of any prudently incurred project costs above the

Cost Cap that are subject to the Cost Containment Mechanism will not earn an equity return, but NEET NY will be allowed to

recover the associated depreciation and debt cost.  In addition, 80% of any prudently incurred costs above the Cost Cap that are

subject to the Cost Containment Mechanism will not earn any ROE Incentive Adders on the equity portion of such costs, but NEET NY will be allowed to earn the Base ROE, associated depreciation, and debt cost.

Empire State Line Project - Unforeseeable Costs Docket Nos. ER16-2719, ER18-125 Unforeseeable Costs in an aggregate amount up to 5% of the Cost Cap shall be considered project costs that are part of the

contingency and subject to the Cost Containment Mechanism. Unforeseeable Costs that are more than 5% of the amount of the

Cost Cap are not subject to the Cost Cap or Cost Containment Mechanism and are recoverable in the formula rate, and are subject to
the base ROE of 9.65%. NEET NY will provide updates of Unforeseeable Costs as part of project cost updates in its annual June
informational filing, including information demonstrating how such costs were determined to be Unforeseeable Costs.

Empire State Line Project - Additional ROE Adder for Certain Costs Below the Cost Cap Docket Nos. ER16-2719, ER18-125

Table A Docket Nos. ER16-2719, ER18-125

Pursuant to the settlement agreement approved in Docket No. ER16-2719, NEET NY may utilize an additional ROE adder when
the actual project costs are below the “Adjusted Cost Cap.”The Adjusted Cost Cap shall be comprised of the sum of the following:

(a) the Capital Cost Bids for the Empire State Line Project and the AC Transmission Project, respectively; (b) the Capital Cost Bid
multiplied by 5% (“5% Adder”); (c) the sum of the Capital Cost Bid and the 5% Adder, multiplied by an inflation factor of 2.0% per
year for the period of time from when the Capital Cost Bid was established and until the date when the project starts commercial

operations; and (d) any AFUDC.  NEET NY will receive an additional ROE adder as set forth in Table A below when the Eligible Project costs, inclusive of Unforeseeable Costs in an amount up to 5% of the Adjusted Cost Cap, are less than the Adjusted Cost Cap, as set forth in Table A below.

Table A

Actual Costs Below Adjusted ROE Adder

Cost Cap

0% to <=5% 0.05%

>5% to <=10% 0.17%

>10% to <=15% 0.30%

>15% to <=20% 0.45%

>20% to <=25% 0.62%

>25% 0.71%

Attachment 5 - Example of True-Up Calculation

NextEra Energy Transmission New York, Inc.

Year Annual True-Up Calculation

1

A B C D E F G

Net

Adjusted Under/(Over) Interest Total True-Up

Project Net Revenue Collection Income Adjustment

Identification Project Name Requirement1 Revenue Received2 (C-D) (Expense) (E + F)

2 - - - - -

2a - - - - -

2b - - - - -

2c - - - - -

2d - - - - -