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(b) Member's Unique Deliverv Costs. The Parties further recognize <br />that Member and each of the Participating Members require delivery of the Energy by the <br />Designated Agent(s) from the Facility Owners Delivery Point to their respective <br />Member's Delivery Points, the cost of which may vary between Participating Members <br />based on a number of factors, including, but not limited to, distance from the Facility <br />Owners Point of Delivery, differing zones into which Energy shall be delivered, different <br />tariffs that may change from time to time as ordered by Regulatory Authorities, loss of <br />Energy during transmission, and differing contractual arrangements that must be made to <br />effect the delivery of Energy to the required points of delivery. In this connection, CAPP <br />shall, as agent for Participating Members (including Member) (i) enter into one or more <br />contracts with Designated Agent(s) for delivery of the Products to all Participating <br />Members from the Facility Owners Delivery Point to each of their respective Member's <br />Delivery Points, and (ii) require the Designated Agent(s) to separately account to and bill <br />each Participating Member for the unique costs that are associated with delivery of the <br />Energy from the Facility Owners Point of Delivery. Commencing on the Service <br />Commencement Date, and continuing during each Delivery Month during the Term, but <br />subject to annual appropriation therefore by Member during such Member's Fiscal Year, <br />Member shall pay to CAPP or to the Designated Agent(s) from time-to-time designated <br />by it the Member's Unique Delivery Costs. The Member's Unique Delivery Costs shall <br />be due and payable at the same time that the Member's Aggregated Monthly Energy <br />Payment is due. <br />(c) Governmental Charges and New Governmental Charges. Member <br />shall pay or cause to be paid all Governmental Charges on or with respect to the Product <br />at and from the Facility Owners' Delivery Points. In the event CAPP and/or the <br />Designated Agent(s) are required by Law to remit or pay Governmental Charges which <br />are Member's responsibility hereunder, or in the event that CAPP must remit or pay to <br />Facility Owners for Governmental Charges that it may pass through to CAPP for <br />reimbursement under the PPA, CAPP shall notify Member of the amount of <br />Governmental Charges owed, whether such payment is to Facility Owners or to the <br />governmental entities that made such Governmental Charges, on Member's behalf. Such <br />notice shall be provided in a commercially practicable manner and may be provided by a <br />Designated Agent. Notwithstanding any other provision of this Contract to the contrary, <br />if a New Governmental Charge (as defined in the PPA) is passed through to CAPP for <br />reimbursement, including but not limited to New Governmental Charges imposed on all <br />coal and lignite generating facilities in ERCOT, including the Product, and CAPP's share <br />of any such New Governmental Charge is greater than the Materiality Threshold set forth <br />in the PPA (after taking into account the application of any entitlements and the extent of <br />old charges that are replaced by the New Governmental Charge), such charges shall be <br />treated as though they were incurred by CAPP for the benefit of all Participating <br />Members (including Member). All Governmental Charges and New Governmental <br />Charges shall be apportioned between Member and the Participating Members as an <br />energy charge reflected on monthly bills from a Designated Agent. If, as, and when <br />CAPP pays Governmental Charges and New Governmental Charges, it shall be deemed <br />to have paid same on behalf of Member and all Participating Members in the proportion <br />stated immediately above, and Member shall pay CAPP and/or the Designated Agent(s) <br />16 <br />~ ~~~0 0 4a. <br />