High Island Offshore System, L.L.C.

Third Revised Volume No. 1

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Effective Date: 11/01/2010, Docket: RP10-1229-000, Status: Effective

Eleventh Revised Sheet No. 170 Eleventh Revised Sheet No. 170

Superseding: Tenth Revised Sheet No. 170

GENERAL TERMS AND CONDITIONS

(Continued)

21. NEW FACILITY COSTS

HIOS shall be entitled to submit filings under Section 4 of the Natural Gas Act and the

Commission's Regulations and to recover other capital costs of new facilities incurred as

a result of the restructuring of Transporter's services pursuant to the provisions of

Order Nos. 636, et seq.

Such costs shall include, but not be limited to, electronic measurement and communication

facilities; flow control equipment; and other facility costs (including pre-tax rate of

return times net rate base; depreciation; and an allowance for ad valorem taxes).

22. ORDER OF DISCOUNTING SURCHARGES

HIOS does not have any rate surcharge components for which to establish an order of

discounting.

23. PERIODIC REPORTS

HIOS is required to file no periodic reports pursuant to Commission order or to a settlement

in a proceeding initiated under Parts 154 or 284 of the regulations of the Federal Energy

Regulatory Commission.

24. NORTH AMERICAN ENERGY STANDARDS BOARD (NAESB) STANDARDS

Compliance with 18 CFR, Section 284.12 - HIOS has adopted all of the Business Practices and

Electronic Communications Standards which are required by the Commission in 18 CFR, Section

284.12(a), as amended from time to time, in accordance with Order No. 587, et al. In

addition to the NAESB WGQ Standards referenced elsewhere in the Tariff, HIOS specifically

incorporates by reference the following NAESB WGQ Version 1.9 Standards, Definitions and

Data Sets:

Additional Standards:

General:

Principles: 0.1.1, 0.1.2, 0.1.3

Standards: 0.3.1, 0.3.2, 0.3.16, 0.3.17

Gas/Electric Operational Communications:

Definitions: 0.2.1, 0.2.2, 0.2.3

Standards: 0.3.11, 0.3.12, 0.3.13, 0.3.14, 0.3.15

Storage Information:

Data Sets: 0.4.1

Nominations Related Standards:

Principles: 1.1.1, 1.1.2, 1.1.3, 1.1.4, 1.1.5, 1.1.7, 1.1.9, 1.1.10, 1.1.11,

1.1.12, 1.1.13, 1.1.14, 1.1.15, 1.1.16, 1.1.17, 1.1.18, 1.1.20, 1.1.21, 1.1.22

Definitions: 1.2.1, 1.2.2, 1.2.3, 1.2.4, 1.2.5, 1.2.6, 1.2.8, 1.2.9, 1.2.10,

1.2.11, 1.2.12, 1.2.13, 1.2.14, 1.2.15, 1.2.16, 1.2.17, 1.2.18, 1.2.19

Standards: 1.3.1, 1.3.2(vi), 1.3.3, 1.3.4, 1.3.5, 1.3.6, 1.3.7, 1.3.8, 1.3.9,

1.3.11, 1.3.13, 1.3.14, 1.3.15, 1.3.16, 1.3.17, 1.3.18, 1.3.19, 1.3.20, 1.3.21,

1.3.22, 1.3.23, 1.3.24, 1.3.25, 1.3.26,

1.3.27, 1.3.28, 1.3.29, 1.3.30, 1.3.31, 1.3.32, 1.3.33, 1.3.34, 1.3.35, 1.3.36,

1.3.37, 1.3.38, 1.3.39, 1.3.40, 1.3.41, 1.3.42, 1.3.43, 1.3.44, 1.3.45, 1.3.46,

1.3.47, 1.3.48, 1.3.49, 1.3.50,1.3.51, 1.3.52, 1.3.53, 1.3.54, 1.3.55, 1.3.56,

1.3.57, 1.3.58, 1.3.59, 1.3.60, 1.3.61, 1.3.62, 1.3.63, 1.3.64, 1.3.65, 1.3.66,

1.3.67, 1.3.68, 1.3.69, 1.3.70, 1.3.71, 1.3.72, 1.3.73, 1.3.74, 1.3.75, 1.3.76,

1.3.77, 1.3.79, 1.3.80

Data Sets: 1.4.1, 1.4.2, 1.4.3, 1.4.4, 1.4.5, 1.4.6, 1.4.7