Public Service Company of New Mexico

OATT FORMULA RATE 2015 ANNUAL UPDATE

TRI-STATE GENERATION AND TRANSMISSION ASSOCIATION, INC.

DATA/INFORMATION REQUEST NO. 1

June 11, 2015 The following questions pertain to the spreadsheet file “Attachment_H-1_Formula_Rate_2015_- Run_1_posted_05-01-15_(effective_06-01-15)”: TSGT 1-1. Refer to PNM’S 2014 FERC Form 1 page 207, line 50, Account 353 – Station Equipment, please provide a description of significant projects ($5 million or more) contributing to the increase of approximately $34.2 million, or 12%, above the 2013 balance. TSGT 1-2. Refer to PNM’S 2014 FERC Form 1 page 207, line 52, Account 355 – Poles and Fixtures, please explain and provide supporting documentation for the increase of approximately $13.2 million, or 9%, above the 2013 balance. TSGT 1-3. Refer to PNM’S 2014 FERC Form 1 page 321, line 97, Account 566 – Miscellaneous Transmission Expenses, please provide a detailed tabulation of every entry booked to this account during 2014, including name, description of cost item and amount. TSGT 1-4. Please identify any regulatory assets reported in the 2014 Form 1 that now or in the future are expected to affect the charges under the Attachment H-1 Formula as a result of amortization through expenses, if and when approved by the appropriate regulatory body. TSGT 1-5. Please identify the FERC Account where NERC Fees are recorded and the total amount booked for 2014. In addition, please indicate whether the NERC Fees have been excluded from the transmission revenue requirement under the Formula. TSGT 1-6. Please specify the FERC account number(s) in which PNM’S records monetary penalties for violations of NERC Reliability Standards, and explain whether these accounts and the costs of any such monetary penalties are included in the Formula rates. To the extent there were any monetary penalties for violations of NERC Reliability Standards during 2014, please provide the following information for each year: a. the amount of the penalties; b. the FERC accounts where such penalties were recorded; c. the nature of the alleged violation that gave rise to the penalty; and d. the amount of the penalties included in the Formula. TSGT 1-7. Refer to Schedule 9 O&M, Line 57 of PNM’S 2015 Annual Update Formula, FERC 421 Miscellaneous Non-operating income, please explain and provide supporting documentation for the decrease of approximately $4.0 million, or 62%, below the 2013 costs.

1 Public Service Company of New Mexico

OATT FORMULA RATE 2015 ANNUAL UPDATE

TRI-STATE GENERATION AND TRANSMISSION ASSOCIATION, INC.

DATA/INFORMATION REQUEST NO. 1

June 11, 2015 TSGT 1-8. Refer to Schedule 10 TOTI, Line 23 of PNM’S 2015 Annual Update Formula, Property Related Costs, please explain and provide supporting documentation for the increase of approximately $2.0 million, or 9%, above the 2013 costs.