1. WMS UPDATE CMWG n CMWG has completed their data collection and evaluation of congestion n Based on this evaluation WMS recommends that the same CSCs with the addition of a N to W CSC using the same elements as the W to N CSC and the same number of zones that exist in 2004 for 2005

2. WMS UPDATE Proposed Motion TAC recommends that, with the addition of a N to W CSC using the same elements as the current W to N CSC, the same CSCs and number of zones that currently exist for 2004 be approved for 2005

4. WMS UPDATE ADAM n 9/03Last day for bidders to submit RFP questions n 9/10Bidders Submit Proposals (no extensions, no exceptions) n 9/17 Team Meeting (CLOSED TO TEAM MEMBERS) n 9:30 to 2:00 (Austin Met Center, Room 168) n Identify Bidder short list n Discuss Bidder proposals n Develop questions for Bidder Presentations

5. WMS UPDATE n 9/27Bidder Presentations (OPEN MEETING) n 8:30 to 5:00 Austin Met Center n General PresentationsRoom 206A n Technical DiscussionsRoom 206B n 9/28Team Meeting (CLOSED TO MEMBERS) n 8:30 to 12:00 (AmeriSuites near ERCOT Austin) n Discuss presentations n Forced ranking within each criteria n Recommend bidder

6. WMS UPDATE n 10/1Team Meeting (if needed) (CLOSED TO TEAM MEMBERS) n 9:30 to 2:00 (Austin – Room 168) n Continue forced ranking within each criteria n Recommend bidder n 10/4Final selection (ERCOT begins contract negotiations) n 10/19ERCOT Board Meeting n 11/1Implementation begins

7. WMS UPDATE DEWG n WMS approved the DEWG Charter n WMS recommends that the DEWG be moved under the COPS and that the DEWG become part of the COPS charter when approved by TAC

8. WMS UPDATE 2005 AS Methodology ERCOT Operations submitted the methodology for AS procurement –The methodology contains a marked increase in the amount of regulation procured for 0600 and 2200 periods. –This is necessary due to frequency is deviating faster than ERCOT can deploy under the calculated ramp rate. n WMS had a lengthy discussion on the cause of needing this additional regulation

9. WMS UPDATE n WMS recommended that ERCOT continue to procure the amounts they feel is necessary on a case by case basis and not make this a part of ERCOT policy until WMS can evaluation the causes and potential alternatives. n ERCOT was willing to postpone taking this to TAC until the Oct. Meeting

10. WMS UPDATE PRR 476 Ramp Rate During Local Congestion TAC remanded the PRR back to WMS to evaluate methods of implementationTAC remanded the PRR back to WMS to evaluate methods of implementation WMS determined that under the current design there is no real fixWMS determined that under the current design there is no real fix ERCOT indicated the only real fix is unit specific bidding and unit specific deploymentERCOT indicated the only real fix is unit specific bidding and unit specific deployment

11. WMS UPDATE ERCOT commented that the current system is very complex due to the “fixes” to date and there are currently unintended consequencesERCOT commented that the current system is very complex due to the “fixes” to date and there are currently unintended consequences WMS has asked ERCOT to step in from an operations view point and assemble a concise list of issues and gapsWMS has asked ERCOT to step in from an operations view point and assemble a concise list of issues and gaps Based on these complexities, WMS agrees there is no easy method of implementation and would like guidance from TAC on next stepsBased on these complexities, WMS agrees there is no easy method of implementation and would like guidance from TAC on next steps