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ORDER NO. PSC -2019 -0265 -PAA -EQ
<br />DOCKET NO. 20190082 -EQ
<br />PAGE 15
<br />FLORIDA POWER & LIGHT COMPANY
<br />Attachment A
<br />Ninth Revised Sheet No, 9.037
<br />Cancels Eighth Revised Sheet No. 9.037
<br />(Continued from Shoot No. 9.036)
<br />"Moody's" means Moody's Investors Service, Inc. or its successor.
<br />"S&P' means Standard & Poor's Ratings Group (a division of The McGraw-Hill Companies, Inc.) or its successor.
<br />9.2 The specific security instrument provided for purposes of this Contract is:
<br />) Letter of Credit.
<br />O Bond.
<br />( ) Cash Collateral.
<br />9.3 FPL shall have the right to monitor (a) the financial condition of the issuer of a Letter of Credit in the event any Letter of
<br />Credit is provided by the. QS, and (b) the insurer, in the case of any Bond. In the event the issuer of a Letter of Credit no longer qualifies as
<br />Qualified Issuer or the issuer of a Bond is no longer financially sound, PPL may require the QS to replace the Letter of Credit or the Bond, as
<br />applicable. Such replacement Letter of Credit or bond must be issued by a Qualified Issuer or a financially issues, as applicable, within
<br />ten (10) business days following written notification to the QS of the requirement to replace. Failure by the QS to comply with the
<br />requirements of this Section 9.3 shall be grounds for FPL to draw in full on the existing Letter 'of Credit or bond and to exercise any other
<br />remedies it may have hereunder.
<br />9,4 Notwithstanding the foregoing provisions of this Section 9, pursuant to FPSC Rule 25-17.091(4), F.A.C., a QS
<br />qualifying as a "Solid Waste Facility" pursuant to Section 377.709(3) or (5), F.S., respectively, may use an unsecured written Commitment or
<br />promise to pay in a Mitt reasonably acceptable to FPI., by the local goys i musnt which owns 1lie,Facility or on whose behalf the QS operates
<br />the Facility, to secure its obligation to achieve on a timely basis the Capacity Delivery Date and the satisfactory performance of its
<br />obligations hereunder,
<br />9.5 FPL shall be entitled to draw the Completion/Perforntance Security to satisfy any obligation or liability of QS arising
<br />pursuant to this Contract.
<br />9.5.1 if the QS fails to achieve the Capacity Delivery Date on or before the in-service date of the Avoided Unit or such later
<br />date as permitted by FPL pursuant to Section 5.6, FPL shall be entitled immediately to receive, draw upon, or retain, as the case may be, one -
<br />hundred (100%) of the Completion Performance Security as liquidated damages free from any claim or right of any nature whatsoever of the
<br />QS, including any equity or right of redemption by the QS. The Patties acknowledge that the injury that FPL will suffer as a result of delayed
<br />availability of Committed Capacity and energy is ditiioult to ascertain and that FPL may'accept such sums as liquidated damages and resort
<br />to any other remedies Which rosy be aaaitable to it under law or in equity.
<br />9.5.2 In the event that FPL requires the QS to perform one or more Comniitted Capacity Test(s) at any time on or before the
<br />first anniversary of the Capacity Delivery Date pursuant to Section 5.3 and, in connection with any such Committed CapacityTest(s), the QS
<br />fails to demonstrate a Capacity of at least one -hundred percent (100%) of the Contn fitted Capacity set fords in Section 5.1, FPL shall be
<br />entitled immediately to receive, draw upon, or retain, as the case may be, one -hundred percent (100%) of the.Conpletion/Performance
<br />Securityas liquidated damages free from any claim or right of any:natuue whatsoever of the QS, including any equity.or right of redemption
<br />by the QS.
<br />9.5.3 QS shall promptly, but in rro event more tram five (5) business days following any draws on the Completion/Performance
<br />Security, replenish the Completion/Pcrfomtance Security to the amounts required herein.
<br />9.6 The QS, as the Pledgor of the Completion/Performance Security, herchy pledges to FPL, as the secured Party, as security
<br />for the achievement of the Capacity Delivery Date and satisfactory performance of its obligations hereunder, and grants to FPL a first priority
<br />continuing security interest in, hen On and right of act -of against all Completion/Porforrnancc Security transferred to or received by FPL
<br />hereunder. Upon the transfer or return by FPL to the QS of Completicm/Perforritance Security, the security interest and lien granted
<br />hereunder on that Completion/Performance Security will be relcascd imiricdiatcly snit, to the estcutt Feasible, without any further action by
<br />either party.
<br />(Continued on Sheet No, 9.038)
<br />Issued by: Tiffany Cohen, Director, Rates and Tariffs
<br />Effective: June 5, 2018
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