Valero Interstate Transmission Company

First Revised Volume No. 1

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Effective Date: 11/01/1991, Docket: GT91- 42-000, Status: Effective

Original Sheet No. 27 Original Sheet No. 27 : Superseded

RATE SCHEDULE FTS-1

Firm Transportation Service

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(continued)

10. WAIVER

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No waiver by either party of any one or more defaults by the other

in the performance of any provisions of any service agreement under

this rate schedule shall operate or be construed as a waiver of any

future default or defaults, whether of a like or a different character.

11. CONTROLLING LAW

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The interpretation and performance of any service agreement under

this rate schedule shall be in accordance with the laws of the

State of Texas, without recourse to the principles of conflict of

laws.

12. GENERAL TERMS AND CONDITIONS

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The General Terms and Conditions of Vitco's FERC Gas Tariff, First

Revised Volume No. 1, as such may be superseded or revised from time

to time, are applicable to this rate schedule and made a part hereof.