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<br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br /> <br />',1;h.ich 3.r~ ~YC:3.'..1:":C~Y ,:~n:1e':~ed to !:..he P~peUne !.nterfere ')''1t..'1 :...I-:e <br />intended 'Jpera~on of :..,l-;e ?:pe:Jne, Al!ottee shall cease operatlon :Jf ':...~Jse <br />facIU~es upon ~~Ce!\1:cg '..:ntWl nouncauon of Interference by the SWS? <br />Enterprise un::l moc.:.f:.catlons can :e mace to eliIrJnate any lnterferer.ce. <br />Except as provided :n paragr:lph 2.c. above. Allottee shall not const..~Jct <br />or lnstall any rrlod!!:caUons to fac:UUes which are hydraullcally <br />cor_":ected to l..'1e ?Ipeline ,,>.,t.'1out flrst obtalnmg :mor techn,cal appr:val <br />:':r such rrloc:!1!ca~0r.s 1Il wr.u:cg from the SWS? Enterpr.se to er.sure <br />L~at SL:ch facti~t!es do :lot lnterfere \Iw'1th L~e hydraulic character:stcs :r <br />operations of the PipeUne. or oL'1erw1se potentially damage :..':e P!pel:r.e. <br /> <br />5. Cost .'Jloca~on ~ethoc:!olo\!V. All costs for planning, design. nght-of-way <br />acquisition. construction. administr;:!Jon. operation. maJntenance. rep3.lr and rehab1Utat!cn of <br />the Pipeline wtj! be divided into three categories: General ?lpeline Costs. Ind1vidual Segment <br />Speculc Costs and :-.Ion-Segment Specific Costs. <br /> <br />a. General Pipellne Costs will be those costs whIch cannot be speclfjcally related <br />to an indMdual Segment and wh1ch shall be allocated based upon the <br />PartJcipants' percentages in Segment 01. as set forth on Schedule B. Such <br />costs will include, but not be 1Im1ted to, cost of preparation of the envtrorunenta! <br />assessment for the P1peline. <br /> <br />b. IndIvtdual Segment Speclflc Costs will be those costs which relate only to an <br />ind1vidual specific Segment of the Pipeline including. but not 1Im1ted to. costs <br />for right-of-way, the costs of designing, purchasing and installing the Pipeline <br />SCADA system and construction. There will be a Segment SpeciJlc Cost <br />category for each Segment of the P1peline. IndJvidual Segment SpeciJlc Costs <br />will be allocated based upon each PartJclpanrs share of the capacity of the <br />individual Segment allocated to all PartJcipants as set forth on Schedule 8. <br /> <br />c. Non-Segment Specl.Bc Costs will be those costs which relate tD the Pipeline <br />. downstream of the Carter Lake Outlet Works Modiflcatlon but cannot be <br />specifically related to an mdJvidual Segment. Non-Segment Specific Costs <br />Include. but are not 1Im1ted to, des1gn. engineertng and adm1n.1stratlon costs <br />and will be allocated to each Segment of the ?lpeline based on the length of that <br />Segment as a proportion of the total length of the Pipeline downstream of the <br />Carter Lake Outlet Works Modification. The percentages establJshed for the <br />shartng of these costs for each Segment are as set forth on Schedule B. <br /> <br />d. Allottee'. COnstruCUOD Cost. shall be a collectiVe reference to the amounts <br />determlned to be due hereunder from Allottee after calculating the Allottee's <br />share of General Plpe1lne Costs. Ind1v1dual Segment Specific Costs and :-.Ion- <br />Segment Specific Costs. minus pre-construction costs. as defined herem <br />(excludJng any costs for operation and maintenance). <br /> <br />6. Charl!es and Costs. <br /> <br />a. Allottee has previously agreed to pay $394.500 as Its prD rata share of the <br />Pipeline pre-construction costs Incurred for admJn1.stratlon. prelim1nary and <br />final deSign. envtronmental evaluations and other necessary Items. Of this <br />amount, Allottee has already pald $323,740. <br /> <br />8 <br />