Trailblazer Pipeline Company

Fourth Revised Volume No. 1

Effective Date: 12/28/2007, Docket: RP08-168-000, Status: Effective

Original Sheet No. 265 Original Sheet No. 265 : Effective

GENERAL TERMS AND CONDITIONS

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(iii) Adjustments to prior months' revenue.

(iv) Transfers of any unamortized amounts

remaining in an expansion deferral subaccount of Account No. 182.3

after the related surcharge amortization period has expired.

(v) The expansion-related portion of all refunds

or revenue credits, including any out-of-period billing adjustments.

(vi) Carrying charges on the expansion current

deferral and amortizing subaccounts.

(b) The amount to be included in the current deferral

subaccounts shall be calculated as follows:

(i) Trailblazer shall determine the actual

Expansion Fuel incurred that month. That volume is multiplied by the

average AMIP for that month to determine the dollar amount for

Expansion Fuel.

(ii) Trailblazer shall then determine the amount

of Expansion Fuel Reimbursement recovered, as follows: the amount of

Expansion Fuel Reimbursement recovered shall be determined by

multiplying the Expansion Fuel Reimbursement Percentage, as set forth

on Tariff Sheet No. 11, in effect during the deferral Month, by the

appropriate actual quantities of Receipt Quantities during the month.

The quantities of Expansion Fuel Reimbursement recovered in-kind will

be valued at Trailblazer's AMIP during the month.

(iii) The monthly expansion deferral cost amount

shall be determined by taking the difference between the dollar amounts

derived in Section 41.5(b)(1) and Section 41.5(b)(2), herein. The

resulting amounts shall be reflected in Trailblazer's expansion current

deferral subaccount.

(iv) Trailblazer shall determine the monthly

change in deferral associated with Expansion Fuel Reimbursement as

follows:

(1) Trailblazer shall debit the expansion

current deferral account in the event the current month actual cost

amounts for Expansion Fuel exceeds the total value of the Expansion

Fuel Reimbursement that Trailblazer recovered hereunder.