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<br />/--:'~" <br /> <br />operation of any other facilities which are hydraulically connected to the Pipeline <br />interfere with the intended operation of the Pipeline, Allottee shall cease operation <br />of those facilities upon receiving written notification of interference by the SwSP <br />Enterprise until modifications can be made to elininate any interference. Except as <br />provided in paragraph 2.c. above, Allottee shall not construct or install any <br />modifications to facilities which are hydraulically connected to the Pipeline without <br />first obtaining prior technical approval for such modifications in writing from the <br />SWSP Enterprise to ensure that such facilities do not interfere with the hydraulic <br />characteristics or operations of the Pipeline, or otherwise potentially damage the <br />Pipeline. <br /> <br />5. Cost Allocation Methodoloav. All costs for planning, design, right-of-way acquisition, <br />construction, administration, operation, maintenance, repair and rehabilitation of the Pipeline will be divided <br />into three categories: General Pipeline Costs, Individual Segment Specific Costs and Non-Segment Specific <br />Costs. <br /> <br />a. General Pipeline Costs will be those costs which cannot be specifically related to an <br />individual Segment and which shall be allocated based upon the Participants' percentages in <br />Segment Fl, as set forth on Schedule B. <br /> <br />b. Individual Se<jIent Specific Costs will be those costs ~hich relate only to an individual <br />specific Segment of the Pipeline including, but not limited to, costs for right-of-way, the <br />costs of designing, purchasing and installing the Pipeline SC.IDA system and construction. <br />There will be a Segment Specific Cost category for each Segment of the Pipeline. Individual <br />Segment Specific Costs will be allocated based upon each Participant's share of the capacity <br />of the individual Segment allocated to all Participants as set forth on Schedule B. <br /> <br />c. Hon-Se<jIent Specific Costs will be those costs which cannot be specifically related to an <br />individual Segment, but which can be allocated based on Pipeline length. Non-Segment Specific <br />Costs include, but are not limited to, design, engineering and administration costs and will <br />be allocated to each Segment of the Pipeline based on the length of that Segment as a <br />proportion of the total length of the Pipeline. The percentages established for the sharing <br />of these costs for each Segment are as set forth on Schedule 3. <br /> <br />d. Allottee's Construction Costs shall be a collective reference to the amounts determined to be <br />due hereunder from Allottee after calculating the Allottee's share oi General Pipeline costs, <br />Individual Segment Specific Costs and Non-Segment Specific Costs, minus preconstruction costs, <br />as defined herein (excluding any costs for operation and ~aintenancei. <br /> <br />6. Charqes and Costs. <br /> <br />a. Allottee has previously agreed to pay $519,600.00 as its ?ro :ata share of the Pipeline pre- <br />construction costs incurred for administration, preliminary and final design, environmental <br />evaluations and other necessary items. Of this amount, Allottee has already paid $519,600.00. <br /> <br />b. In return for the perpetual, exclusive allocation and use of Pipeline capacity as described <br />in this Contract, subject to the terms and conditions of chis Contract and as provided in <br />C.R.S. Is 37-45-101 et seq., as amended, Allottee shall pac to ~he SWSP Enterprise Allottee's <br />Construction Costs in the total amount of $4,864,400,00, uoon the execution of this Contract <br />by Allottee. <br /> <br />7 <br />