Williston Basin Interstate Pipeline Co.

Second Revised Volume No. 1

Effective Date: 07/10/2004, Docket: RP04-331-000, Status: Effective

Second Revised Sheet No. 356 Second Revised Sheet No. 356 : Effective

Superseding: First Revised Sheet No. 356

GENERAL TERMS AND CONDITIONS (Continued)

39. TRANSITION COST RECOVERY MECHANISMS (Continued)

transportation throughput to which the base rate GSR unit

cost was applied during that same period.

39.3.3.5 Accounting Procedures for GSR Costs.

Transporter shall maintain separate principal and interest

subaccounts in Account No. 186 to record all GSR Costs for

each recovery mechanism implemented under this Subsection

39.3.3. The principal subaccounts for the reservation

charge surcharges and/or base rate GSR unit costs will be

debited with Transporter's applicable GSR Costs permitted to

be included in rates pursuant to order(s) of FERC. Each

month the principal subaccounts shall be credited with an

amount determined by applying the principal portion of the

reservation charge surcharges to the actual applicable Rate

Schedule FT-1 billing quantities under Service Agreements

with Applicable Firm Shippers experienced during the month,

and an amount determined by applying the principal portion

of the base rate GSR unit costs to the actual total Rate

Schedule IT-1 interruptible transportation throughput which

was billed the base rate GSR unit cost during the month.

The balance is the result of applying the current month's

credits as calculated above against the prior month's

balance. The interest subaccounts will be debited and/or

credited monthly, as applicable, for interest accrued or

owed at the current FERC published interest rate, and

credited with an amount determined by applying the interest

portion of the reservation charge surcharges to the actual

applicable Rate Schedule FT-1 billing quantities under

Service Agreements with Applicable Firm Shippers during the

month and an amount determined by applying the interest

portion of the base rate GSR unit costs to the actual total

Rate Schedule IT-1 interruptible transportation throughput

which was billed the base rate GSR unit cost during the

month.