Horizon Pipeline Company, L.L.C.

Original Volume No. 1

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Effective Date: 02/22/2009, Docket: RP09-246-000, Status: Effective

Second Revised Sheet No. 192 Second Revised Sheet No. 192

Superseding: First Revised Sheet No. 192





(c) If a Replacement Shipper or Subreplacement Shipper

does not make payment to Horizon of the reservation portion of the charges

due as set forth in its Released Firm Transportation Agreement, Horizon

shall bill the Releasing Shipper(s) from whom such Replacement or

Subreplacement Shipper received the capacity for the amount(s) due,

including all applicable late charges authorized by Horizon's Tariff, and

such amount shall be paid by such Releasing Shipper within ten (10) days of

the receipt of such billing, or interest shall continue to accrue. In the

event that the Replacement or Subreplacement Shipper has not paid such

amount(s) due by the end of such ten (10) day period, then: (1) the

Releasing Shipper has the right to recall the capacity; and (2) Horizon's

rights against the delinquent Replacement/ Subreplacement Shipper shall be

subrogated to the related rights of the Releasing Shipper. Horizon shall

make a reasonable effort to collect from the Replacement/Subreplacement

Shipper the amount(s) due. Such reasonable effort shall not include

incurring costs from outside attorneys, collection agents or other third



(d) All payments received from a Replacement or

Subreplacement Shipper shall first be applied to reservation charges, then

to late charges on reservation charges, then to scheduling charges and

cashout amounts, then to late charges not on the reservation charges, and

then last to commodity-based charges. Except as may otherwise be provided

pursuant to Section 33.4 of these General Terms and Conditions, payments by

Replacement or Subreplacement Shippers in excess of the total amount(s) due

for the Released Firm Transportation Agreement capacity shall be a credit

applied to any outstanding balance owed under any contract with Horizon, or

a refund if requested in writing and no such outstanding balance exists.




If Horizon is obligated to refund any amounts

attributable to reservation charges for capacity which has been released,

Horizon shall make the applicable refund to the Replacement Shipper to the

extent that Horizon has actually received reservation charge amounts from

the Replacement Shipper in excess of the amounts assessable under the

revised maximum reservation charge rates (which amounts are credited to the

account of the Releasing Shipper under Section 15.13(d) above). Except as

may otherwise be provided pursuant to Section 33.4 of these General Terms

and Conditions, Horizon shall make a corresponding adjustment to the

capacity release credit provided to the Releasing Shipper, and may reflect

the reduced capacity release credit in a lower refund or adjusted billings

to the Releasing Shipper. Any other applicable reservation charge refunds

shall go to the Releasing Shipper. Except as may otherwise be provided

pursuant to Section 33.4 of these General Terms and Conditions, commodity

rate refunds shall go to the party which paid the commodity charge.