**Exhibit 33.1**

 

REPORT ON ASSESSMENT OF COMPLIANCE WITH SERVICING CRITERIA FOR ASSET-BACKED ISSUERS

 

The undersigned hereby certifies that she is the duly elected and acting Assistant Treasurer-Corporate Finance and Cash Management of Public Service Company of New Hampshire, as servicer (the “Servicer”) under the Servicing Agreement, dated as of May 8, 2018, (the “Servicing Agreement”), between the Servicer and PSNH Funding LLC 3 (the “Issuing Entity”), and further certifies on behalf of the Servicer that:

 

1.             In my capacity as Assistant Treasurer-Corporate Finance and Cash Management of the Servicer, I am responsible for assessing the Servicer’s compliance with the servicing criteria set forth in Item 1122(d) of Regulation AB (the “Servicing Criteria”);

 

2.             With respect to each of the Servicing Criteria, the undersigned has made the following assessment of the Servicing Criteria in accordance with Item 1122(d) of Regulation AB, with such discussion regarding the performance of such Servicing Criteria during the fiscal year ended December 31, 2018, and for the period from May 8, 2018 (the “Closing Date”) to December 31, 2018, covered by the Issuing Entity’s annual report on Form 10-K:

 
| **Regulation AB    Reference** | ** ** | **Servicing Criteria**                                                                                                                                                                                                                                               | ** ** | **Applicable    Servicing Criteria** | ** ** | **Inapplicable    Servicing Criteria** |
|------------------------------------------|------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------|------------------------------------------------|------------|--------------------------------------------------|
|                                     | ** ** | **General   Servicing Considerations**                                                                                                                                                                                                                                    |       |                                           |       |                                             |
| 1122(d)(1)(i)                            |       | Policies   and procedures are instituted to monitor any performance or other triggers   and events of default in accordance with the transaction agreements.                                                                                                              | ** ** | **X**                                          |       |                                             |
| 1122(d)(1)(ii)                           |       | If   any material servicing activities are outsourced to third parties, policies   and procedures are instituted to monitor the third party’s performance and   compliance with such servicing activities.                                                           | ** ** | ** **                                     | ** ** | **X**                                            |
| 1122(d)(1)(iii)                          |       | Any   requirements in the transaction agreements to maintain a back-up servicer for   the pool assets are maintained.                                                                                                                                                     |       |                                           | ** ** | **X**                                            |
| 1122(d)(1)(iv)                           |       | A   fidelity bond and errors and omissions policy is in effect on the party   participating in the servicing function throughout the reporting period in   the amount of coverage required by and otherwise in accordance with the terms   of the transaction agreements. |       |                                           | ** ** | **X**                                            |
| 1122(d)(1)(v)                            |       | Aggregation   of information, as applicable, is mathematically accurate and the information   conveyed accurately reflects the information.                                                                                                                               | ** ** | **X**                                          |       |                                             |
|                                     | ** ** | **Cash   Collection and Administration**                                                                                                                                                                                                                                  |       |                                           |       |                                             |
| 1122(d)(2)(i)                            |       | Payments   on pool assets are deposited into the appropriate custodial bank accounts and   related bank clearing accounts no more than two business days following   receipt, or such other number of days specified in the transaction   agreements.                     | ** ** | **X**                                          | ** ** | ** **                                       |
| 1122(d)(2)(ii)                           |       | Disbursements   made via wire transfer on behalf of an obligor or to an investor are made   only by authorized personnel.                                                                                                                                                 | ** ** | **X**                                          | ** ** | ** **                                       |
| 1122(d)(2)(iii)                          |       | Advances   of funds or guarantees regarding collections, cash flows or distributions,   and any interest or other fees charged for such advances, are made, reviewed   and approved as specified in the transaction agreements.                                           |       |                                           | ** ** | **X**                                            |
| 1122(d)(2)(iv)                           |       | The   related accounts for the transaction, such as cash reserve accounts or   accounts established as a form of overcollateralization, are separately   maintained (e.g., with respect to commingling of cash) as set forth in the transaction   agreements.             | ** ** | **X**                                          | ** ** | ** **                                       |

 

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| **Regulation AB    Reference** | ** ** | **Servicing Criteria**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | ** ** | **Applicable    Servicing Criteria** | ** ** | **Inapplicable    Servicing Criteria** |
|------------------------------------------|------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------|------------------------------------------------|------------|--------------------------------------------------|
| 1122(d)(2)(v)                            |       | Each   custodial account is maintained at a federally insured depository institution   as set forth in the transaction agreements. For purposes of this criterion,   “federally insured depository institution” with respect to a foreign   financial institution means a foreign financial institution that meets the   requirements of Rule 13k-1(b)(1) under the Exchange Act.                                                                                                                                                                                                                                                                                                                                         | ** ** | **X**                                          | ** ** | ** **                                       |
| 1122(d)(2)(vi)                           |       | Unissued   checks are safeguarded so as to prevent unauthorized access.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |       |                                           | ** ** | **X**                                            |
| 1122(d)(2)(vii)                          |       | Reconciliations   are prepared on a monthly basis for all asset-backed securities related bank   accounts, including custodial accounts and related bank clearing accounts.   These reconciliations are: (A) mathematically accurate;   (B) prepared within 30 calendar days after the bank statement cutoff   date, or such other number of days specified in the transaction agreements;   (C) reviewed and approved by someone other than the person who prepared   the reconciliation; and (D) contain explanations for reconciling items.   These reconciling items are resolved within 90 calendar days of their   original identification, or such other number of days specified in the   transaction agreements. | ** ** | **X**                                          |       |                                             |
|                                     | ** ** | **Investor   Remittances and Reporting**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |       |                                           |       |                                             |
| 1122(d)(3)(i)                            |       | Reports   to investors, including those to be filed with the SEC, are maintained in   accordance with the transaction agreements and applicable SEC requirements.   Specifically, such reports: (A) are prepared in accordance with   timeframes and other terms set forth in the transaction agreements;   (B) provide information calculated in accordance with the terms   specified in the transaction agreements; (C) are filed with the SEC as   required by its rules and regulations; and (D) agree with   investors’ or the trustee’s records as to the total unpaid principal balance   and number of pool assets serviced by the servicer.                                                      | ** ** | **X**                                          |       |                                             |
| 1122(d)(3)(ii)                           |       | Amounts   due to investors are allocated and remitted in accordance with timeframes,   distribution priority and other terms set forth in the transaction   agreements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | ** ** | **X**                                          | ** ** | ** **                                       |
| 1122(d)(3)(iii)                          |       | Disbursements   made to an investor are posted within two business days to the servicer’s   investor records, or such other number of days specified in the transaction   agreements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    | ** ** | **X**                                          | ** ** | ** **                                       |
| 1122(d)(3)(iv)                           |       | Amounts   remitted to investors per the investor reports agree with cancelled checks,   or other form of payment, or custodial bank statements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | ** ** | **X**                                          | ** ** | ** **                                       |
|                                     | ** ** | **Pool   Asset Administration**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |       |                                           |       |                                             |
| 1122(d)(4)(i)                            |       | Collateral   or security on pool assets is maintained as required by the transaction   agreements or related pool asset documents.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | ** ** | **X**                                          | ** ** | ** **                                       |
| 1122(d)(4)(ii)                           |       | Pool   assets and related documents are safeguarded as required by the transaction   agreements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | ** ** | **X**                                          |       |                                             |
| 1122(d)(4)(iii)                          |       | Any   additions, removals or substitutions to the asset pool are made, reviewed and   approved in accordance with any conditions or requirements in the transaction   agreements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | ** ** | ** **                                     | ** ** | **X**                                            |
| 1122(d)(4)(iv)                           |       | Payments   on pool assets, including any payoffs, made in accordance with the related   pool asset documents are posted to the servicer’s obligor records maintained   no more than two business days after receipt, or such other number of days   specified in the transaction agreements, and allocated to principal, interest   or other items (e.g., escrow) in accordance with the related pool asset   documents.                                                                                                                                                                                                                                                                                                                 | ** ** | **X**                                          |       |                                             |
| 1122(d)(4)(v)                            |       | The   servicer’s records regarding the pool assets agree with the servicer’s records   with respect to an obligor’s unpaid principal balance.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |       |                                           | ** ** | **X**                                            |
| 1122(d)(4)(vi)                           |       | Changes   with respect to the terms or status of an obligor’s pool assets (e.g., loan   modifications or re-agings) are made, reviewed and approved by authorized   personnel in accordance with the transaction agreements and related pool   asset documents.                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ** ** | **X**                                          |       |                                             |

 

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| **Regulation AB    Reference** | ** ** | **Servicing Criteria**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | ** ** | **Applicable    Servicing Criteria** | ** ** | **Inapplicable    Servicing Criteria** |
|------------------------------------------|------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------|------------------------------------------------|------------|--------------------------------------------------|
| 1122(d)(4)(vii)                          |       | Loss   mitigation or recovery actions (e.g., forbearance plans, modifications and   deeds in lieu of foreclosure, foreclosures and repossessions, as applicable)   are initiated, conducted and concluded in accordance with the timeframes or   other requirements established by the transaction agreements.                                                                                                                                                                                                                                                                                                            | ** ** | **X**                                          |       |                                             |
| 1122(d)(4)(viii)                         |       | Records   documenting collection efforts are maintained during the period a pool asset   is delinquent in accordance with the transaction agreements. Such records are   maintained on at least a monthly basis, or such other period specified in the   transaction agreements, and describe the entity’s activities in monitoring   delinquent pool assets, including, for example, phone calls, letters and   payment rescheduling plans in cases where delinquency is deemed temporary (e.g.,   illness or unemployment).                                                                                        | ** ** | **X**                                          |       |                                             |
| 1122(d)(4)(ix)                           |       | Adjustments   to interest rates or rates of return for pool assets with variable rates are   computed based on the related pool asset documents.                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |       |                                           | ** ** | **X**                                            |
| 1122(d)(4)(x)                            |       | Regarding   any funds held in trust for an obligor (such as escrow accounts):   (A) such funds are analyzed, in accordance with the obligor’s pool asset   documents, on at least an annual basis, or such other period specified in the   transaction agreements; (B) interest on such funds is paid, or credited,   to obligors in accordance with applicable pool asset documents and state   laws; and (C) such funds are returned to the obligor within 30 calendar   days of full repayment of the related pool assets, or such other number of   days specified in the transaction agreements. |       |                                           | ** ** | **X**                                            |
| 1122(d)(4)(xi)                           |       | Payments   made on behalf of an obligor (such as tax or insurance payments) are made on   or before the related penalty or expiration dates, as indicated on the   appropriate bills or notices for such payments, provided that such support   has been received by the servicer at least 30 calendar days prior to these   dates, or such other number of days specified in the transaction agreements.                                                                                                                                                                                                                 |       |                                           | ** ** | **X**                                            |
| 1122(d)(4)(xii)                          |       | Any   late payment penalties in connection with any payment to be made on behalf of   an obligor are paid from the servicer’s funds and not charged to the obligor,   unless the late payment was due to the obligor’s error or omission.                                                                                                                                                                                                                                                                                                                                                                       |       |                                           | ** ** | **X**                                            |
| 1122(d)(4)(xiii)                         |       | Disbursements   made on behalf of an obligor are posted within two business days to the   obligor’s records maintained by the servicer, or such other number of days   specified in the transaction agreements.                                                                                                                                                                                                                                                                                                                                                                                                      |       |                                           | ** ** | **X**                                            |
| 1122(d)(4)(xiv)                          |       | Delinquencies,   charge-offs and uncollectible accounts are recognized and recorded in   accordance with the transaction agreements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | ** ** | **X**                                          |       |                                             |
| 1122(d)(4)(xv)                           |       | Any   external enhancement or other support, identified in Item   1114(a)(1) through (3) or Item 1115 of Regulation AB, is maintained   as set forth in the transaction agreements.                                                                                                                                                                                                                                                                                                                                                                                                                             |       |                                           | ** ** | **X**                                            |

 

3.             To the best of the undersigned’s knowledge, based on such review, the Servicer is in compliance in all material respects with the applicable Servicing Criteria set forth above as of December 31, 2018, and for the period from the Closing Date to December 31, 2018, covered by the Issuing Entity’s annual report on Form 10-K.

 

4.             Deloitte & Touche LLP, an independent registered public accounting firm, has issued an attestation report on its assessment of the Servicer’s compliance with the applicable Servicing Criteria as of December 31, 2018, and for the period from the Closing Date to December 31, 2018, covered by the Issuing Entity’s annual report on Form 10-K.

 

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Executed as of this 29th day of March 2019.

 

 
|   | **PUBLIC   SERVICE COMPANY OF NEW HAMPSHIRE** |
|--------|-----------------------------------------------|
|   |                                          |
|   |                                          |
|   | By:                                           | /s/ Emilie G. O’Neil |
|   |                                          | Name: Emilie G. O’Neil |
|   |                                          | Title: Assistant Treasurer- Corporate Finance and Cash Management |

 

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