IN THE UNITED STATES BANKRUPTCY COURT

FOR THE DISTRICT OF PUERTO RICO

In re:

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO RICO,

as representative of

THE COMMONWEALTH OF PUERTO RICO, et 

al.

Debtors.1

PROMESA

Title III

Case No. 17 BK 3283-LTS

(Jointly Administered)

In re:

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO RICO

as representative of

PUERTO RICO ELECTRIC POWER 

AUTHORITY,

Debtor.

PROMESA

Title III

Case No. 17 BK 4780-LTS

JOINT RESPONSE TO (A) NOTICE OF MEDIATION TEAM’S PROPOSED 

AMENDED ORDER ESTABLISHING TERMS AND CONDITIONS OF MEDIATION, 

and (B) PROPOSED AMENDED ORDER ESTABLISHING THE TERMS

1 The Debtors in these Title III Cases, along with each Debtor’s respective Title III case number and the 

last four (4) digits of each Debtor’s federal tax identification number, as applicable, are the (i) 

Commonwealth of Puerto Rico (Bankruptcy Case No. 17 BK 3283-LTS) (Last Four Digits of Federal Tax 

ID: 3481); (ii) Puerto Rico Sales Tax Financing Corporation (“COFINA”) (Bankruptcy Case No. 17 BK 

3284-LTS) (Last Four Digits of Federal Tax ID: 8474); (iii) Puerto Rico Highways and Transportation 

Authority (“HTA”) (Bankruptcy Case No. 17 BK 3567-LTS) (Last Four Digits of Federal Tax ID: 3808); 

(iv) Employees Retirement System of the Government of the Commonwealth of Puerto Rico (“ERS”) 

(Bankruptcy Case No. 17 BK 3566-LTS) (Last Four Digits of Federal Tax ID: 9686); and (v) Puerto Rico 

Electric Power Authority (“PREPA”) (Bankruptcy Case No. 17 BK 4780-LTS) (Last Four Digits of Federal 

Tax ID: 3747). (Title III case numbers are listed as Bankruptcy Case numbers due to software limitations.)

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TO THE HONORABLE DISTRICT COURT:

COME NOW Unión de Trabajadores de la Industria Eléctrica y Riego, Inc. (“UTIER”) 

and Sistema de Retiro de Empleados de la Autoridad de Energía Eléctrica (“SREAEE”) duly 

represented by the undersigned counsel and respectfully state as follows: 

1. UTIER and SREAEE hereby jointly respond to the (a) Notice of Mediation Team’s Proposed 

Amended Order Establishing Terms and Conditions of Mediation, and the (b) Proposed 

Amended Order Establishing Terms and Conditions of Mediation.

2. Before addressing the Mediation Team’s filings, UTIER and SREAEE reiterate their request 

that the Court reduce the pace in these proceedings to account for the difficult circumstances 

in Puerto Rico following Hurricane Fiona. The undersigned, like most of the country, are still 

struggling with lack of power and water, and the incidental difficulties the lack of those 

essential services pose. Moreover, as the Court may be aware, there is an availability crisis of 

gas and diesel, necessary fuels to run backup power plants. Moreover, internet and cellphone 

reception are intermittent and not reliable. 

3. That said, UTIER and SREAEE jointly file this brief response to object to the Proposed 

Amended Order Establishing Terms and Conditions of Mediation [Case No. 17-03283-LTS, 

Docket No. 22350] The mediation process has failed. Rather than provide a holistic process to 

move forward the Puerto Rico Electric Power Authority’s (“PREPA”) restructuring, the 

mediation process committed to the same blind spot of prior negotiations: to negotiate solely 

with bondholders. The mediation process has been little more than a repetition of the same 

negotiations dating back to the beginning of PREPA’s bankruptcy, with the added expense of 

the Mediation Team’s financial advisors. 

4. To continue the mediation would duplicate costs and efforts for all the parties. The burden 

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would outweigh the potential benefits. Additionally, providing the Mediation Team the 

authority to pause the ongoing litigation is excessive and would defeat the purpose of 

reinitiating it. 

5. Moreover, the proposal of a “Toggle Plan” stands to unfairly influence this Court and vitiate 

the mediation process. By forcing the Oversight Board to provide a Plan of Adjustment 

Alternative that ignores the issues being litigated and relies only on capacity of payment, the 

mediation process will continue to revolve around the bondholders' contention that rates should 

be raised to secure their payment. Meanwhile the validity and nature of the bonds and the 

priority of that debt vis-à-vis the debt owed to the PREPA employees’ pension plan, which are

central to this bankruptcy proceeding, are not being addressed. As the Court knows, SREAEE 

and UTIER have asserted that PREPA’s retirement system and current expenses have priority 

over the bond debt, as provided by the 1974 Trust Agreement. 

WE HEREBY CERTIFY that on this same date we electronically filed the foregoing with 

the Clerk of the Court using the CM/ECF system, which will send notification of such filing to all 

participants and Standard Parties. A courtesy copy of this Motion will be delivered to the Court by 

email to SwainDPRCorresp@nysd.uscourts.gov as provided in First Amended Standing Order.

In Ponce, Puerto Rico, this 23rd day of September 2022.

ORTIZ MENDOZA & FARINACCI FERNÓS, LLC

Edificio Banco Cooperativo Plaza 

623 Ponce de León Ave., Suite 701-B

San Juan, PR 00917-4820

Tel: 787-963-0404

BUFETE EMMANUELLI, C.S.P.

P.O. Box 10779

Ponce, Puerto Rico 00732

Tel.: 787-848-0666

Fax: 1-787-841-1435

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/s/Rafael A. Ortiz-Mendoza 

Rafael A. Ortiz-Mendoza, Esq. 

USDC-PR: 229103

1st. Cir.: 1192182

rafael.ortiz.mendoza@gmail.com

/s/Rolando Emmanuelli-Jiménez 

Rolando Emmanuelli-Jiménez, Esq.

USDC: 214105

rolando@emmanuelli.law

Co-counsel to SREAEE

/s/Jessica E. Méndez-Colberg 

Jessica E. Méndez-Colberg, Esq.

USDC: 302108

jessica@emmanuelli.law

/s/ Zoé C. Negrón-Comas

Zoé C. Negrón-Comas, Esq. 

USDC: 308702

zoe@emmanuelli.law

Counsel to UTIER & Co-counsel to 

SREAEE

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