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TARIFF

TABLE OF CONTENTS

Page Sheet

RULES AND REGULATIONS

I. Technical Words, Phrases, Terms and Abbreviations 1 1

1.01 Abbreviations 1 1

1.02 Billing Period 1 1

1.03 British Thermal Unit 1 1

1.04 Cubic Foot of Gas 1 1

1.05 Customer 2 1

1.06 2 1

1.07 Day, Daily or Delivery Gas Day 2 1

1.08 District 2 1

1.09 Florida Agriculture 2 1

1.10 Gas 2 1

1.11 Gas Service 2 1

1.12 Gas Service Facilities 2 1

1.13 Heat Only Customer 2 1

1.14 High Pressure 2 1

1.15 Main 2 1

1.16 Meter 2 1

1.17 Normal Business Hours 2 1

1.18 Point of Delivery 3 1

1.19 Request for Service 3 1

1.20 Rate Schedule 3 1

1.21 Service or Service Line 3 1

1.22 Standard Delivery Pressure 3 1

1.23 Therm 3 1

II. Initiation of Service 3 2

2.01 Request for Service 3 2

2.02 Acceptance of Request for Service 3 2

2.03 Obligation of Customer and District 3 2

2.04 Turn On and Connection Charges 3 2

2.05 Withholding of Gas Service 3 2

2.06 Discontinuance of Gas Service for Unauthorized Use 4 2

2.07 Limitation of Use 4 2

2.08 Pressure 4 2

2.09 High Pressure 4 2

III. 4 3

3.01 General 4 3

3.02 4 3

3.03 5 3

3.04 Ownership of Property 5 3

3.05 Right of Way 5 3

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3.06 5 3

3.07 Access to Premises 5 3

3.08 5 3

3.09 Indemnity 5 3

3.10 Service Charges 5 3

3.11 Excess Flow Valves 6 3

IV. Deposits 6 4

4.01 Establishment of Credit 6 4

4.02 New or Additional Deposits 7 4

4.03 Receipt for Cash Deposit 7 4

4.04 Record of Deposit 7 4

4.05 Interest on Deposit 7 4

4.06 Refund of Deposit When Gas Service Is Disconnected 8 4

4.07 Dishonored Checks 8 4

V. Billing 8 5

5.01 Billing Periods 8 5

5.02 Receipt of Bills 8 5

5.03 Non-Receipt of Bills 8 5

5.04 Initial or Final Bills 8 5

5.05 Customer Discontinuance of Service 8 5

5.06 Calculation of Bill 8 5

5.07 Delinquent Bills 9 5

5.08 Discontinuance of Service for Non-Payment of Bills 9 5

5.09 Adjustment of Bills for Meter Error 9 5

VI. Measurement 10 6

6.01 Measuring Equipment 10 6

6.02 Residential Metering 10 6

6.03 Meter Tests 10 6

6.04 Meter Tests by Request 10 6

6.05 Measurement Standards 11 6

VII. Main and Service Extensions 12 7

7.01 Main Extensions 12 7

7.02 Service Extensions From Existing Mains 13 7

7.03 Relocation of Gas Service Facilities 13 7

7.04 Main and Service Extensions Amortization Surcharge 13 7

VIII. Force Majeure 14 8

8.01 Suspension of Obligation 14 8

8.02 Definition 14 8

IX. End Use Curtailment or Interruption Plan 15 9

9.01 Application 15 9

9.02 Definitions 15 9

9.03 Curtailment Priorities 15 9

9.04 Curtailment of Customer-Owned Gas 15 9

9.05 Curtailment Notice 16 9

9.06 Overrun Penalties and Charges 16 9

9.07 Withholding of Gas Service 16 9

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9.08 Liability 16 9

X. Housing Development Incentives 16 10

10.01 Application 16 10

10.02 Value Rating Chart 17 10

10.03 Time 17 10

RATE SCHEDULES

DLM District Labor and Material Charges 17 20

RSS Residential Sales Service 18 21

RSAC Residential Gas Air Conditioning Sales Service 19 22

CSS Commercial Sales Service 19 23

ISS Interruptible Sales Service 20 24

TS Transportation Service 21 25

NCR Negotiated Contract Rate Service 27 26

PGCR Purchased Gas Cost Recovery Provisions 28 27

FORMS

I Request for Service, Residential 28 40

II Request for Service, Commercial Sales 30 41

PRO FORMA CONTRACTS

I Transportation Service 31 70

II Marketer-Lang Customer Contract 50 71

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RULES AND REGULATIONS

First Revised Sheet No. 1

ARTICLE I

TECHNICAL WORDS, PHRASES, TERMS AND ABBREVIATIONS

Except where the context requires another meaning, the following words, phrases, terms

and abbreviations shall be construed to have the following meanings:

1.01 Abbreviations.

(01) Btu British thermal unit

(02) CCF One hundred cubic feet

(03) CFM Cubic feet per minute

(04) CF Cubic feet

(05) CFH Cubic feet per hour

(06) CSS Commercial Sales Service Rate Schedule

(07) DLM District Labor and Material Rate Schedule

(08) DNQ Daily Nominated Quantity

(09) FERC Federal Energy Regulatory Commission

(10) FGT Florida Gas Transmission Company

(11) ISS Interruptible Sales Service Rate Schedule

(12) MCF One thousand cubic feet

(13) MDSQ Maximum Daily Standby Quantity

(14) MDTQ Maximum Daily Transportation Quantity

(15) NCR Negotiated Contract Rate Service Rate Schedule

(16) PGCR Purchased Gas Cost Recovery Provisions

(17) psi Pounds per square inch

(18) psia Pounds per square inch absolute

(19) psig Pounds per square inch gauge

(20) RSS Residential Sales Service Rate Schedule

(21) RACSS Residential Air Conditioning Sales Service Rate Schedule

(22) TS Transportation Service Rate Schedule

1.02 Billing Period. The Billing Period is each month, based on regularly scheduled meter

readings which are approximately 30 days apart.

1.03 British Thermal Unit. The quantity of heat required to raise the temperature of one

pound of water from 59.0 degrees Fahrenheit to 60.0 degrees Fahrenheit at a constant pressure of

14.73 p.s.i.a.

1.04 Cubic Foot of Gas. For gas delivered at the Standard Delivery Pressure, a cubic foot of

gas is the volume of gas which, at the temperature and pressure existing in the meter, occupies

one cubic foot. For gas delivered at other than the Standard Delivery Pressure, a cubic foot of gas

is that volume of gas which, at a temperature of 60 degrees Fahrenheit and at absolute pressure

of 14.98 pounds per square inch, occupies one cubic foot

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1.05 Customer. Any person (i.e., individual, firm, partnership, district, corporation,

municipality, cooperative organization, association, governmental agency, or similar

organization) supplied with Gas Service by the District.

1.06 All pipe, fittings, appliances and apparatus of every type

(except metering, regulating and other similar equipment which remains the property of the

District) located on the Customer's side of the Point of Delivery and used in connection with or

forming a part of an installation for utilizing Gas for any purpose.

1.07 Day, Daily or Delivery Gas Day. When capitalized, a twenty-four (24) hour period

beginning and ending at 10:00 a.m. Eastern Time (or such other time as may be provided for a

rence date for any Day shall be the

calendar date upon which said period commences. When not capitalized, day or business day

shall mean a civil day other than Saturday, Sunday, or holiday resulting in the close of business

for the District.

1.08 District. Lake Apopka Natural Gas District, an independent special district created by

the legislature of the State of Florida by Chapter 59-556, Laws of Florida, 1959, and

subsequently modified and reauthorized by Chapter 74-553, Laws of Florida, 1974, and Chapter

99-454, Laws of Florida, 1999.

1.09 Florida Agriculture. Agricultural business within the service territory of the District, as

demonstrated by current annual assessment from the County Property Appraiser of bona fide

agricultural classification for the business location within the District.

1.10 Gas. Natural gas or a mixture of gases suitable for fuel, delivered through the District's

distribution system, having a heating value of not less than 950 Btu's per cubic foot.

1.11 Gas Service. The supplying of Gas or the transportation of Gas by the District to a

Customer.

1.12 Gas Service Facilities. The service line, meter, and all appurtenances thereto necessary

to convey Gas from the District's Main to the Point of Delivery and which are owned by District.

1.13 Heat Only Customer. A residential Customer who receives Gas Service from the

District for no purposes other than air space heating and operating a gas grill and gas lights.

1.14 High Pressure. Gas delivered at any pressure above the Standard Delivery Pressure.

1.15 Main. The pipe and appurtenances installed in an area to convey Gas to other mains or

to service areas.

1.16 Meter. Any device or instrument used to measure and indicate volumes of Gas which

flow through it.

1.17 Normal Business Hours. 8 a.m. to 5 p.m. Monday through Friday, excluding

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holidays.

1.18 Point of Delivery. The point at which District's Gas Service Facilities are connected to

the Customer's Installation, normally the outlet side of the Meter.

1.19 Request for Service. A request for Gas Service submitted to the District by a

1.20 Rate Schedule. A statement of the rates or charges for a particular classification of all

classes of Customers for Gas Service and the provisions, terms, conditions, classifications,

practices and rules and regulations affecting such rates or charges.

1.21 Service or Service Line. The pipes, regulators, meters and similar equipment installed

1.22 Standard Delivery Pressure. The Standard Delivery Pressure is seven inches of water

column above atmospheric pressure. Normal atmospheric pressure throughout the District's

service area is assumed to be 14.73 p.s.i.a. No adjustment will be made for variations from the

normal atmospheric pressure at the Customer's meter.

1.23 Therm.

Second Revised Sheet No. 2

ARTICLE II

INITIATION OF SERVICE

2.01 REQUEST FOR GAS SERVICE. Gas Service may be requested by a prospective

Customer by submitting to District a completed Request For Gas Service and establishing

creditworthiness pursuant to section 4.01, below.

2.02 ACCEPTANCE OF REQUEST FOR GAS SERVICE . A Request For Gas Service shall

be deemed to be accepted by the District when Gas Service pursuant thereto is initiated.

2.03 OBLIGATION OF CUSTOMER AND District. The terms and conditions of the

Customer's Request For Gas Service, these Rules and Regulations, and the applicable Rate

Schedules shall become binding upon the Customer and District upon acceptance by the District

of the Customer's Request For Gas Service.

2.04 TURN ON AND CONNECTION CHARGES. Whenever Gas Service is established or

reestablished at any location, the charges set forth in rate schedule DLM will be made:

2.05 WITHHOLDING OF GAS SERVICE. District will not provide Gas Service:

(1) to any Customer where it finds that providing Gas Service will create an unsafe or

hazardous condition;

(2) to an existing or prospective Customer where such Customer's use of Gas is or will

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be detrimental or hazardous to, or jeopardize, the Gas Service supplied to other Customers;

(3) to any Customer when that Customer is in arrears in payment for Gas Service at that

location or another location in the District's service area.

2.06 DISCONTINUANCE OF GAS SERVICE FOR UNAUTHORIZED USE OF GAS.

District will discontinue Gas Service without notice in the event of tampering with regulators,

valves, meters or other facilities furnished and owned by District, or other unauthorized or

fraudulent use of Gas Service. Whenever Gas Service is discontinued for unauthorized or

fraudulent use thereof, the District, before restoring Gas Service, will require Customer to make,

at Customer's expense, all changes in piping or equipment necessary to eliminate the

unauthorized or fraudulent use, and to pay an amount reasonably estimated as the deficiency in

District's revenue and all costs incurred by District resulting from such unauthorized or

fraudulent use.

2.07 LIMITATION OF USE. Gas delivered to a Customer shall be for such Customer's own

use and shall not be resold by such Customer, either by submetering or otherwise. In case of

any unauthorized submetering, sale, or disposition of Gas by a Customer, Gas Service to such

Customer shall be discontinued and will not be restored until such unauthorized activities have

ceased and all bills outstanding have been paid in full. Billings for Gas sold or disposed of by the

Customer shall be recalculated under appropriate rate schedules and, in addition, a bill will be

rendered to the Customer for all expenses incurred by the District for clerical work, testing, and

inspections in connection with such recalculation.

2.08 PRESSURE. District shall make reasonable efforts to maintain its Standard Delivery

Pressure of 14 .98 p. s. I. a. (14. 73 plus .25 p. s. I. g. ) (seven inches water column) at the Point

of Delivery. Where delivery pressure higher than Standard Delivery Pressure is supplied, District

will make reasonable efforts to maintain such higher delivery pressure.

2.09 HIGH PRESSURE. The District does not undertake to deliver Gas at a pressure higher

than the Standard Delivery Pressure throughout its service areas. Prospective industrial and large

commercial Customers who desire to utilize Gas at pressures higher than the Standard Delivery

Pressure should inquire of the District to determine the pressure that the District can make

available at any given location in its service territory before obtaining any equipment requiring

pressures higher than the Standard Delivery Pressure.

Original Sheet No. 3

ARTICLE III

CUSTOMER'S INSTALLATION

3.01 GENERAL. Customer's Installation shall be constructed, installed and maintained, at

governmental codes and ordinances applicable thereto, these Rules and Regulations and other

applicable governmental requirements.

3.02 INSPECTION OF CUSTOMER'S INSTALLATION. Where governmental inspection of

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a Customer's Installation is required, District will not supply Gas Service to such installation

until all governmental authorities having jurisdiction have inspected and approved the

thereof, is in viol

Installation and Gas Service will be restored only when the noncomplying condition has been

corrected..

3.03

Installation which will affect the operation of any portion of the distribution system of the

District shall be made without written consent of the District. The Customer will be liable for

any damage to the District resulting from a violation of this rule.

3.04 OWNERSHIP OF PROPERTY. The District will own, operate and maintain all service

pipes, regulators, vents, meters, meter connections, valves and other apparatus from District

Main to the outlet side of the Meter.

3.05 RIGHT OF WAY. Customer shall grant to District, without cost to District, all rights,

easements, permits and privileges which in District's opinion are necessary for the rendering of

Gas Service. Customer will furnish to District, without charge, an acceptable location for

District's Meter.

3.06

District's property on Customer's premises, and shall permit no one but District's agents or

employees, or persons authorized by law, to have access to District's piping, meters or apparatus.

In the event of any loss or damage to District's property caused by or arising out of carelessness

or misuse thereof by Customer, Customer shall pay to District the cost of replacing such loss or

repairing such damage.

3.07 ACCESS TO PREMISES. Customer shall give District's authorized agents and

employees access to Customer's property at all reasonable hours for the purpose of installing,

inspecting, maintaining or removing its facilities on Customer's premises, reading Meters and

performing such other actions as are incidental to furnishing or terminating Gas Service to

Customer.

3.08

operate, change or tamper with any of the District's facilities.

3.09 INDEMNITY. Customer shall indemnify, hold harmless, and defend the District from

and against any and all liability, proceedings, suits, cost or expense for loss, damage or injury to

persons or property, in any manner directly or indirectly connected with or growing out of the

Delivery.

3.10

request, Customer shall pay the District the service charges for such work set forth in Rate

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Schedule DLM.

3.11 EXCESS FLOW VALVES. Prior to, or immediately after, installing a new Customer

Service Line or replacing an existing Service Line, the District will notify the Customer of the

availability of an excess flow valve, the safety benefits of these valves and the costs of their

installation. Excess flow valves meeting the performance standards prescribed by the United

States Department of Transpiration will be made available upon request of the Customer and, if

requ

pays all the costs of installation, including the cost of the valve itself. In addition, the Customer

shall pay all costs of maintenance and repair on the excess flow valve regardless of where it may

Second Revised Sheet No. 4

ARTICLE IV

DEPOSITS

4.01 ESTABLISHMENT OF CREDIT. Each prospective Customer shall establish credit prior

to the commencement of Gas Service by District as follows:

(1) Residential Customers shall establish credit by making a cash deposit in the sum of

$125.00; provided, however, if Gas Service to a residential Customer has been discontinued for

non-payment of bills rendered by the District, the deposit requirement for restoration of Gas

Service shall be $175.00.

(2) All non-residential Customers shall establish credit by making a cash deposit with the

District equal to two times the estimated average monthly bill to be rendered by the District

during periods of peak Gas usage.

(3) As an alternative to making a cash deposit, a non-residential Customer shall have the

option of establishing credit by one of the following methods:

(a) Furnishing an irrevocable letter of credit from a bank, or a surety bond, issued

by a company with an A.M. Best Rating Service rating of B/VI or higher for bonds up to

$50,000 in amount and a rating of A-/VII or higher for bonds over $50,000 in amount. The

amount of such deposit, letter of credit or surety bond shall be equal to two times the estimated

average monthly bill during periods of peak Gas usage.

(b) By possessing and maintaining a Standard & Poor's Long Term Debt Rating

of A- ,or better, or by possessing and maintaining a Moody's rating of A3 or better. Comparable

ratings will be considered from other nationally recognized rating organizations acceptable to

the District.

(c) If the Customer's debt is not rated and the Customer's aggregate annual usage

is 500,000 Therms or more, credit may be established by demonstrating adequate financial

strength and stability. Upon request of a Customer whose annual usage is 500,000 Therms or

more, the District will evaluate the Customer's creditworthiness by reviewing the Customer's

audited financial statements for at least the two most recently completed fiscal years. These

audited financial statements must be furnished by the Customer and must be accompanied by

the opinion of independent certified public accountants or chartered accountants of recognized

national or regional standing. In evaluating the Customer's creditworthiness, the District will

consider the following financial factors: the Customer's tangible net worth, the interest coverage

ratio, the ratio of long term debt to tangible net worth, and the Customer's net cash flow. In

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evaluating the Customer's credit-worthiness, the District may also consider other known factors

relating to the Customer's creditworthiness. Accounts for which credit is established pursuant to

this section (3) are subject to periodic review by the District to assure that no material changes

adversely affecting the Customer's credit-worthiness have occurred. Each Customer for whom

credit is established pursuant to this section (3) shall annually furnish audited financial

statements, together with the opinion of independent certified public accountants or chartered

accountants of recognized national or regional standing, to the District within 90 days following

the conclusion of the Customer's fiscal year. In the event (i) the debt rating or audited financial

statements are unacceptable to the District, or become unacceptable, or (ii) the Customer pays

with a check dishonored by a bank, or (iii) the Customer fails to comply with the District's Rules

and Regulations, credit may be established by either a cash deposit, a letter of credit or a surety

bond.

(4) A parent company may serve as a guarantor for a subsidiary company to secure the

payment of bills for Gas Service provided the parent company can meet the requirements for

establishing credit as stated in subsections (2) or (3), above.

4.02 NEW OR ADDITIONAL DEPOSITS. Whenever a non-

usage increases for reasons likely to recur (such as, for instance, installation of additional gas

appliances or increased work schedules) to the extent that the actual or estimated charges for Gas

Service for two peak Gas usage Billing Periods will exceed the amount of the cash deposit, or

other security, made or furnished by the Customer, the District will require, upon thirty (30) days

written notice delivered to Customer separate and apart from any bill for Gas Service, an

Section 4.01, above, so that the amount of the cash deposit, or other security, is equal to the then

current actual or estimated charges for Gas Service for two peak Gas usage Billing Periods. If

Customer has received Gas Service continuously during the 12 month period immediately prior

to the date of notice, actual Gas consumption shall be used. If Customer has received Gas

Service for less than 12 months, then District will base the amount of the new or additional cash

deposit, or other security, upon estimated Gas usage when actual Gas usage is not available.

The 30 day notice shall not apply when Gas Service is being reestablished after discontinuance

of service for non-payment.

4.03 RECEIPT FOR CASH DEPOSIT. A non-transferable receipt will be issued to a

Customer for any cash deposit and means provided so that such Customer may claim the deposit

if the receipt is lost.

4.04 RECORD OF DEPOSIT. With respect to a cash deposit, District will keep-records to

show:

(1) The name of the Customer making the deposit;

(2) The premises occupied by the Customer;

(3) The date and amount of the deposit; and

(4) Each transaction concerning the deposit.

4.05 INTEREST ON CASH DEPOSIT. District will not pay interest on cash deposits for Gas

Service.

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4.06 REFUND OF DEPOSIT WHEN GAS SERVICE IS DISCONNECTED. Upon

termination of Gas Service, a cash deposit may be credited against the final account and the

balance, if any, shall be returned to the Customer within fifteen (15) days after Gas Service is

discontinued.

4.07 DISHONORED CHECKS. Customer shall pay a service charge in accordance with

Section 832.07, Florida Statutes, as may be amended from time to time, of $25, if the face value

does not exceed $50, $30, if the face value exceeds $50 but does not exceed $300, $40, if the

face value exceeds $300, or an amount of up to 5 percent of the face amount of the check,

whichever is greater, for each check delivered to the District which is dishonored by the bank

upon which it is drawn. Gas Service will be terminated for failure to pay such dishonored check

charge.

First Revised Sheet No. 5

ARTICLE V

BILLING

5.01 BILLING PERIODS. The District will render bills for Gas Service each month at

intervals of approximately 30 days; provided, however, if a Customer is, or during the past six

(6) months has been, in arrears in the payment of bills for Gas Service, the District, as an

alternative to discontinuance of Gas Service, may initiate more frequent billing and payment

periods as a means of eliminating, or avoiding recurrence of, an arrearage in payment.

5.02 RECEIPT OF BILLS. Bills shall be considered received by Customer when mailed to

the most recent billing address supplied by Customer to District.

5.03 NON-RECEIPT OF BILLS. Failure of Customer to receive a bill shall not relieve

Customer of its obligation to pay the bill.

5.04 INITIAL OR FINAL BILLS. When the period of Gas Service for which an initial or

final bill is rendered is less than a normal Billing Period, the Customer shall be charged the

normal customer charge multiplied by the result of the number of days Gas Service was rendered

during the Billing Period divided by thirty (30); provided, however, when the period of Gas

Service is seventy-five (75) percent, or more, of a normal Billing Period, there shall be no

reduction in the normal customer charge.

5.05 CUSTOMER DISCONTINUANCE OF SERVICE. Unless otherwise provided in the

specific Rate Schedule under which Customer receives Gas Service, a Customer intending to

discontinue Gas Service shall furnish notice of such intent to District not less than five business

days prior to the desired date of such discontinuation. Customer shall be responsible for all Gas

Service provided to the premises at which discontinuance is desired until the expiration of five

business days following District's receipt of the notice required above. District will

automatically terminate Gas Service to a Customer after acceptance by District of a Request For

Gas Service of a succeeding occupant of the premises previously occupied by the Customer

requesting termination of Gas Service.

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5.06 CALCULATION OF BILL. If a Customer takes Gas Service under more than one Rate

Schedule at a single Delivery Point, the bill shall be calculated separately for the Gas Service

provided under each such Rate Schedule. If a Customer takes Gas Service under one or more

Rate Schedules at two or more Points of Delivery, a bill shall be calculated separately for Gas

Service provided under each Rate Schedule at each Point of Delivery. If District must, for

reasons of its convenience, establish more than one Point of Delivery at a single premise, the

readings of the Meters for like classes of service will be combined.

5.07 DELINQUENT BILLS. A bill shall be considered delinquent upon the expiration of

fifteen (15) days from the date of mailing or other delivery thereof by District. Charges for

services due and rendered which are unpaid as of the past due date are subject to a Late Payment

Charge of $5.00 or 1.5% of the balance , whichever is greater, except the accounts of federal,

state, and local governmental entities, agencies, and instrumentalities. A Late Payment Charge

shall be applied to the accounts of federal, state, and local governmental entities, agencies, and

instrumentalities at a rate no greater than allowed, and in a manner permitted by applicable law.

5.08 DISCONTINUANCE OF SERVICE FOR NON-PAYMENT OF BILLS. Gas Service

will be discontinued for non-payment of bills but only after District has made a diligent attempt

to have the Customer make payment, including at least five (5) business days' written notice to

Customer, such notice being separate and apart from any bill for Gas Service, unless the

controversy over the nonpayment has been resolved through mutual agreement, or successfully

disputed by Customer.

5.09 ADJUSTMENT OF BILLS FOR METER ERROR. If a Meter is found to be in error,

bills will be adjusted in the following manner:

(1) Whenever a Meter is found to have an average error of more than two percent (2%)

fast (

the period since the last meter test. This one half period will not exceed twelve (12) months

unless it can be shown that the error was due to some cause, the date of which can be fixed, in

which case the overcharge shall be computed back to, but not beyond, such date based on

available records. If the Meter has not been tested, the period for which it has been in service

beyond the regular test period will be added to the twelve (12) months in computing the refund.

The refund will not include any part of any customer charge.

(2) Whenever a Meter tested is found to have an average error of more than two-percent

l Customer an amount equal to the unbilled

error. If District has required a meter test deposit, Customer will be billed only for the portion of

the unbilled error which is in excess of the deposit retained by District.

(3) District will back bill Customer if a Meter is found to be slow, non-registering or

partially registering. District will not back bill for any period greater than twelve (12) months

from the date it removes the meter of a Customer, which Meter is later found by District to be

slow, non-registering or partially registering. If it can be ascertained that the Meter was slow,

nonregistering or partially registering for less than twelve (12) months prior to removal, then

District will back bill only for the lesser period of time. Customer may extend the payments of

the back bill over the same amount of time for which District issued the back bill.

(4) In the event of a non-registering or a partially-registering Meter, Customer will be

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billed on an estimate based on previous bills for similar usage. When a Meter is found to be in

error in excess of the prescribed limits of two percent (2%) fast or slow, the figure to be used for

calculating the amount of refund or charge shall be that percentage of error as determined by the

test.

(5) In the event of unauthorized use, Customer will be billed on an estimate of the Gas

ther facts and

during the period of unauthorized use.

Original Sheet No. 6

ARTICLE VI

MEASUREMENT

6.01 MEASURING EQUIPMENT. District will provide, install, own, operate and maintain at

its expense the Meters, recording devices and regulating or measuring equipment needed to

accurately measure the quantity of Gas provided to Customer, except for specialty equipment

needed for Customers who elect to receive transportation service from the District. All

Customers receiving transportation service shall be responsible for all costs associated with the

purchase, installation and maintenance of metering devices and, if required, telemetering

equipment; however, the metering equipment shall be the property of the District. The

expense such check measuring equipment as desired provided that such equipment shall be so

installed as no

6.02 RESIDENTIAL METERING. Except as hereinafter provided, each separate residential

occupancy unit shall be individually metered. Individual meters shall not be required, and

master metering permitted, for separate residential occupancy units:

(1) where dimensions or physical configurations of the units are subject to alteration;

(2) where Gas is used in central heating, water heating, ventilating and air conditioning

systems, or gas back up service to storage heating and cooling systems;

(3) in specialized-use housing accommodations such as hospitals and other health care

facilities, college dormitories, convents, sorority or fraternity houses, motels, hotels and similar

facilities;

(4) in specially designated areas for overnight occupancy at trailer, mobile home and

recreational vehicle parks where permanent residency is not established;

(5) in marinas where living aboard is prohibited by permanent means; or

(6) where individual Gas Service would otherwise be required above the second story.

6.03 METER TESTS. District will periodically test Meters to ensure they properly and

accurately measure the Gas Service provided to Customer.

6.04 METER TEST BY REQUEST. Customer may request the Meter be tested pursuant to

the following conditions and provisions:

(1) Upon written request of a Customer, District shall, without charge, make a test of the

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accuracy of the Meter in use at Customer's premises; provided (i) that the Meter has not been

tested by District within 12 (twelve) months previous to such request and (ii) that Customer

agrees to accept the results of such test as the basis for the adjustment of disputed charges.

(2) Should Customer request a meter test more frequently than once a year, District will

require a deposit to defray the cost of testing not to exceed $100.00 for each test. If the Meter is

found to be more than two percent (2%) fast, the deposit shall be refunded, but if below this

accuracy limit the deposit will be retained by District as a service charge for conducting the test.

(3) Customer may witness the Meter test. A written report, giving the results of the test,

shall be furnished to Customer upon request.

6.05 MEASUREMENT STANDARDS. For purposes of measurement of Gas, the following

standards shall be applied.

(1) Base Conditions. The following base conditions shall apply:

(a) A standard cubic foot for measurement purposes shall be the volume of such

cubic foot at a temperature of 60 degrees Fahrenheit and an absolute pressure of 14.73 psia

(b) The average atmospheric pressure shall be assumed to be fourteen and seventy

three hundredths pounds per square inch absolute (14.73 psia) irrespective of actual elevation or

location of the point of measurement or of variations in such atmospheric pressure from time to

time.

(2) Volumetric Measurement. The following standards and assumptions shall apply to

measurement of volume:

(a) The Standard Delivery Pressure shall be 14.98 psia and the standard delivery

temperature shall be 60 degrees Fahrenheit.

(b) For purposes of billing computations a Cubic Foot of Gas shall be that

quantity which, at a pressure of 14.98 psia and a temperature of 60 degrees Fahrenheit, occupies

one cubic foot.

(c) When deliveries are made at flowing pressures in excess of the Standard

Delivery Pressure, metered volumes shall be corrected for such variation through utilization of

recorded flowing pressure data, correction devices which are an integral part of the Meter

installation, or by correction factors for fixed pressure deliveries.

(d) With respect to Gas delivered at High Pressure, flowing gas temperature shall

be assumed to average 60 degrees Fahrenheit for all measurement, unless the Customer and the

District agree otherwise. When an assumed flowing temperature of 60 degrees Fahrenheit is not

used, the temperature shall be determined as the arithmetic average of flowing temperatures as

recorded by a temperature recorder, if such a recorder is utilized, or through the use of correcting

indices or temperature compensating meters. Where recording or compensating devices are not

installed, the temperature of the Gas shall be assumed to be the climatological 30 year average

monthly temperature as established by the nearest National Oceanic and Atmospheric

Administration Weather Bureau, and published by the Department of Commerce.

(e) Unless determined to be otherwise by a gravity balance the specific gravity of

the flowing gas shall be assumed to be 0.6.

(f) When sales or transportation volumes are metered at pressures of 10 psig

(pounds per square inch gauge) and over, and where such volumes are also corrected for flowing

temperatures other than assumed 60 degrees Fahrenheit, such volumes shall be corrected for

deviations from Boyles Law by use of the appropriate supercompressibility factor.

(3) Billing Units. For purposes of billing, the unit shall be determined as follows:

12

(a) The billing unit of Gas shall be the Therm. The number of Therms billed to a

Customer shall be determined by multiplying the number of Cubic Feet of Gas delivered at 14.98

psia and 60 degrees Fahrenheit, by the total heating value of such gas and dividing the product

by 100,000.

(b) The total heating value of the Gas delivered to the Customer shall be

determined as that reported monthly by the District's gas supplier, provided such value is

applicable to the Gas delivered to the Customer, or such value shall be determined by the District

by use of a calorimeter or other instrument suitable for heating value determination. The total

heating value shall be corrected to and expressed as that contained in the unit of sales and

transportation volume defined above.

(4) Quality. The District shall deliver Gas which is free of dangerous or objectionable

quantities of impurities such as hydrogen sulphide or other impurities which may cause

excessive corrosion of Mains or piping or from noxious or harmful fumes when burned in a

properly designed and adjusted burner. This provision is intended to protect the health and safety

of the public and in no manner does it guarantee compatibility with the operation of delicate or

sensitive machinery, instruments, or other types of apparatus which my be damaged by moisture,

grit, chemicals or other foreign substances which may be present in the Gas but which are

nevertheless within limits recognized as allowable in good practice.

First Revised Sheet No. 7

ARTICLE VII

MAIN AND SERVICE EXTENSIONS

7.01 MAIN EXTENSIONS. Whenever a prospective Customer or other person, such as a real

estate developer, municipality, township, county, or other authority (hereinafter referred to as

"Depositor") , requests gas service at a location where the District does not have a Main, the

District will extend its Mains and Gas Service to serve the prospective Customer or Customers

under the following conditions:

(1) The extension of gas service to the prospective Customer will not jeopardize gas

service to existing Customers.

(2) The District determines, in its sole discretion, that it has sufficient capital resources

available for Main extension purposes to finance its obligations under the Main extension

policies.

(3) The maximum capital cost to be incurred by the District for an extension of Main and

service facilities shall be defined as the Maximum Allowable Construction Cost (hereinafter

seven times the estimated annual revenue

to be derived from the facilities less the cost of Gas. Where the District, in its reasonable

discretion, believes that there is significant uncertainty regarding the revenues to be derived from

sales made from the requested extension of Main and service facilities, the District shall use

reasonable efforts to calculate the MACC giving due consideration to such uncertainty.

(4) Where the facilities to be installed will require an investment by the District in excess

of the MACC, the District will construct the necessary facilities provided the Customer or

Depositor deposits with the District an amount equal to the excess of the estimated actual

construction cost over the MACC. In this case, the District and the Depositor will then enter into

ding for

13

receipt of the deposit by the District, the respective obligations of the parties in connection with

the Main extension and the terms and conditions for a refund, if any, to the Depositor. The

deposit will be used by the District to finance the cost of extending the Mains and related

facilities and will not bear interest.

(5) Refund of Deposits. Deposits shall be refunded to Depositors in accord with the

following procedures:

(a) As new Customers connect to the extended Main or service facilities, and no

less often than on each of the first seven anniversaries of the date on which the deposit is made to

the District, the District shall refund to the Depositor an amount equal to (I) the actual or

estimated annual revenue, less the cost of gas, derived from sales to Customers served by the

extended facilities, less (ii) the MACC as determined in paragraph 7.01(3), above, divided by

seven (7).

(b) For each additional Customer taking gas service from any point on the

extended Main or service facilities within a period of seven (7) years from the date of

construction, the District shall refund to the Depositor the amount by which the MACC of the

new Customer exceeds the cost of connecting such new Customer, provided that an additional

Main extension shall not have been necessary to serve such additional Customer. Where the

Depositor and the District agree that new Customers are likely to connect to the extended

facilities over a period longer or shorter than seven years, the Depositor and the District may

agree, within the Construction Deposit Agreement, to provide for refunds over such longer or

shorter period as the parties agree is reasonable and appropriate under the circumstances.

(c) The aggregate refund to any Depositor made through the provisions of (a) and

(b) above shall not exceed the original deposit of such Depositor.

(d) The extension shall at all times be the property of the District, and any

unrefunded portion of said deposit at the end of seven (7) years, or such longer or shorter period

as may be agreed by the Depositor and District pursuant to subsection (5)(b) above, shall accrue

to the District.

7.02 SERVICE EXTENSIONS FROM EXISTING MAINS. The District will install, at no

charge to the Customer, the Gas Service facilities, commencing from an existing Main, necessary

to serve a Customer applying for gas service, where the cost of such Service extension does not

exceed the MACC as defined in section 7.01(3), above. Customers not meeting the above criteria

will be required to make a contribution in aid of construction based on the difference between the

cost of the required Service facilities and the MACC as calculated for each respective Customer.

7.03 RELOCATION OF GAS SERVICE FACILITIES. When alterations or additions to

structures or improvements on premises to which the District renders Gas Service necessitate the

relocation of District's metering equipment, or when such relocation is requested by the

Customer for whatever reason, Customer may be required to reimburse the District for all or any

part of the costs incurred by the District in the performance of such relocation.

7.04 MAIN AND SERVICE EXTENSIONS AMORTIZATION SURCHARGE. In cases

where (i) the estimated actual cost of extending necessary Main and Service facilities exceeds the

MACC; (ii) the District, in its reasonable discretion, determines that there is a reasonable

likelihood that such extension will produce sufficient revenue to justify the necessary investment

14

in such facilities; and (iii) the District determines that the credit-worthiness of the party or parties

requesting the extension is satisfactory to assure recovery of the additional investment above the

MACC, the District will only provide the facilities subject to a Main and Service Extension

Agreement. In such cases, in lieu of a Construction Deposit Agreement, the party or parties

requesting an extension shall enter into a Main and Service Extension Agreement with the

District by which said party or parties guarantee, by payment or otherwise, that the District will

recover the costs in excess of the MACC.

Original Sheet No. 8

ARTICLE VIII

FORCE MAJEURE

8.01 SUSPENSION OF OBLIGATIONS. In the event of either District or Customer being

rendered unable wholly or in part by force majeure to carry out its obligations under an

application acceptance of which has been made, other than to make payments due thereunder, it

is agreed that on such party giving notice and full particulars of such force majeure to the other

party as soon as possible after the occurrence of the cause relied on, then (except as otherwise

provided or permitted herein) the obligations of the party giving such notice so far as they are

affected by such force majeure, shall be suspended during the continuance of any inability so

caused but for no longer period, and such cause shall as far as possible be remedied with all

reasonable dispatch.

8.02

strikes, lockouts, or other industrial disturbance, acts of the public enemy, wars, blockades,

insurrections, riots, epidemics, landslides, lightning, earthquakes, fires, storms, floods, washouts,

arrests and restraints of the governments and people, civil disturbances, explosions, breakage or

accident to machinery or lines of pipe, the necessity for making repairs or alterations to

machinery or lines of pipe, freezing of wells or lines to pipe, partial or entire failure of source of

supply, any event which is declared to be a force majeure event by the Dis

suppliers, and any other cause, whether of the kind herein enumerated or otherwise, not within

the control of the party claiming suspension and which by the exercise of due diligence such

party is unable to prevent or overcome. Such term shall likewise include (a) in those instances

where either party is required to obtain servitude, rights-of-way grants, permits or licenses to

enable such party to fulfill its obligations hereunder, the inability of such party to acquire, or the

delays on the part of such party in acquiring, at reasonable cost and after the exercise of

reasonable diligence, such servitude, rights-of-way grants, permits or licenses, and (b) in those

instances where either party is required to furnish materials and supplies for the purpose of

constructing or maintaining facilities or is required to secure grants or permissions from any

governmental agency to enable such party to fulfill its obligations hereunder, the inability of

such party to acquire, or the delays on the part of such party in acquiring, at reasonable cost and

after the exercise of reasonable diligence, such materials and supplies, permits and permissions.

It is understood and agreed that the settlement of strikes or lockouts shall be entirely within the

discretion of the party having the difficulty, and that the above requirement that any force

majeure shall be remedied with all reasonable dispatch shall not require the settlement of strikes

or lockouts by acceding to the demands of opposing party when such cause is inadvisable in the

15

discretion of the party having the difficulty.

Original Sheet No. 9

ARTICLE IX

END USE CURTAILMENT OR INTERRUPTION PLAN

9.01 APPLICATION. This curtailment/interruption plan is applicable to all Gas Service and

will be invoked by the District in the event of a supply or a capacity constraint to insure system

integrity is maintained and the priority of service requirements set forth below are met. Prior to

or in conjunction with curtailment, the District will request voluntary usage reductions on the

part of industrial and commercial Customers.

9.02 DEFINITIONS. The following definitions shall apply in any curtailment:

(1) Essential Human Needs: Includes residences, apartments, hotels, motels, dormitories,

hospitals, nursing homes, schools, police, and other institutions essential to the public welfare.

(2) Plant Protection Use: Minimum volumes of natural Gas required to prevent physical

n cannot be

afforded through the use of an alternate fuel. Plant protection requirements include volumes

necessary for the protection of such material in process as would otherwise be destroyed, but

does not include Gas deliveries required to maintain production.

9.03 CURTAILMENT PRIORITIES. Curtailment to the extent necessary as determined by

the District, up to and including complete curtailment, shall be done in accordance with the

following list of priorities, starting with the lowest priority, priority # 6, i.e.:

Priority 1: Essential human needs as defined in Section 401 of the Natural Gas Policy

Act of 1978.

Priority 2: Essential agricultural use requirements as determined under Section 401 of

the Natural Gas Policy Act of 1978 , and approved by the most recent Data Verification

Committee of Florida Gas Transmission Company.

Priority 3: Essential industrial requirements for processing food or feedstock use as

determined under Section 402 of the Natural Gas Policy Act of 1978, and approved by the most

recent Data Verification Committee of Florida Gas Transmission Company.

Priority 4: Commercial Sales Customers using an average of 4000 Therms or less per

month.

Priority 5: Commercial Sales Customers using an average of more than 4000 Therms per

month.

schedules.

9.04 CURTAILMENT OF CUSTOMER-OWNED GAS. If adequate supply to priority

16

gement, Customer-owned

transportation gas will be curtailed in addition to system supply and in same order of priorities.

In the event that Customer-owned gas is diverted for use by higher priority customers, the

District will reimburse the Customer by paying the cost of the Customers alternative fuel; or, if

the Customer has no alternative fuel, reimbursement will be for the delivered cost of the Gas at

9.05 CURTAILMENT NOTICE. Whenever curtailment or interruption of Gas Service is

required, District shall issue a curtailment order to Customer specifying the delivery point, the

quantity of gas to be curtailed and the time at which such curtailment is to be made. When

restoration of service is permissible, District shall similarly issue a restoration order specifying

the delivery point, the quantities of gas to be restored and the time at which such restoration is to

be made. A curtailment order shall be issued at least two (2) hours in advance of its effective

time; provided, however, that if curtailment or interruption is occasioned by an event of Force

Majeure affecting the District's system the District shall be obligated to give only such notice as

is practicable under the circumstances. If delivered orally, the notices shall be confirmed in

writing at the earliest practicable time. The notices may be delivered or confirmed by telephonic

facsimile transmission.

9.06 OVERRUN PENALTIES AND CHARGES. In the event a Customer uses more gas than

allocated during a period of complete or partial curtailment or interruption of Gas Service, and

by reason thereof District is charged by its suppliers or transporters with overrun charges or

penalties, Customer shall be billed for the amount of such charges or penalties due to Custome

failure to comply with such curtailment notices. The payment of an overrun penalty shall not be

considered as giving the Customer the right to take unauthorized overrun gas nor shall such

payment be considered to exclude or limit any other remedies available to District for the

9.07 WITHHOLDING OF GAS SERVICE. If a Customer fails to voluntarily comply with a

complete or partial curtailment or interruption order, and it is deemed necessary by the District to

part of the curtailment or interruption period.

9.08 LIABILITY. The District shall not be liable for any damages, loss of product, or other

business losses suffered by Customers as a result of curtailed or interrupted Gas Service. If the

curtailment is a result of action by a governmental agency having jurisdiction to regulate,

allocate or control gas supplies or over rendition of service or public safety, the District shall not

be liable for losses suffered by Customers as a result of such curtailment regardless of the

legality or illegality of the action by the governmental agency.

Original Sheet No. 10

ARTICLE X.

HOUSING DEVELOPMENT INCENTIVE

10.01 APPLICATION. As an incentive to developers of residential subdivisions to influence

17

them to provide for gas usage in the infrastructure and houses constructed in the subdivision,

when the developer of a residential subdivision having at least 10 residential units, by requiring

all or a part of the houses be equipped for gas usage, by aid in construction, by other means or by

a combination of the foregoing means, guarantees the District its MACC for extending its Mains

and Services to and within the subdivision shall equal to no more than five times the estimated

annual revenue to be derived from the Customers in the subdivision less the cost of Gas, for each

residential unit which is piped for Gas usage the District will furnish the developer, or the

of $350.00, or a percentage thereof not to exceed 100 per cent, equal to the percentage derived

by dividing the total Value Rating, as set forth in Section 10.02, below, of the gas appliances

installed therein by 550.

10.02 VALUE RATING CHART. The Value Rating Chart set forth below, in which the

following Gas operated appliances are assigned a Value Rating, shall be used for the purpose of

computing the amount of the incentive provided for in Section 10.01, above,

Ratable Appliance Value Rating

Water heater, 40 gallon or larger 300

275

Cooking range with oven 140

Cook top only 110

Clothes dryer 80

Fireplace log 80

Swimming pool or spa heater 80

Gas fired air conditioner 550

Infrared radiant heater 135

Wall space heater 135

Other appliances -0-

10.03 TIME. Whether or not a residential unit qualifies for the incentive provided for in

Sections 10.01 and 10.02, above, shall be determined at the time a certificate of occupancy is

issued for the residential unit and at no other time.

RATE SCHEDULES

Fourth Revised Sheet No. 20

LAKE APOPKA NATURAL GAS DISTRICT

District Labor, Equipment and Material Rate Schedule

I. District Labor Schedule

A. Connection Fees, for new or changed customer, when meter must be turned on:

For Residential service $50.00

For Non-residential service $50.00

B. Read in/Read out Fee, when meter is not turned off: $50.00

18

C. Re-connection after disconnection for non-payment: $50.00

D. Temporary connection Fee $50.00

E. Trip Charges, applied to all services except those stated in sub-sections A-D, above:

For use of a service vehicle, per vehicle $50.00

For use of a distribution vehicle, per vehicle $75.00

F. Charges for all other labor performed during Normal Business Hours, per employee:

First one hour, or portion thereof $75.00

Each additional one-half hour $37.50

G. Charges for all other labor performed outside Normal Business Hours, per employee:

(1) During weekdays, Monday through Friday, before 8:00 a.m. or after 5:00

p.m.:

First one hour, or portion thereof $100.00

Each additional one-half hour labor $50.00

(2) During weekends, Saturday or Sunday, and holidays:

First one hour, or portion thereof $125.00

Each additional one-half hour labor $62.50

II. District Materials Charge Schedule

Acquisition Cost Times (x) Percent = Sale Price

$ 0.00 to $ 0.99 Times (x) 250 % = Sale Price

$ 1.00 to $ 9.99 Times (x) 200 % = Sale Price

$ 10.00 to $49.99 Times (x) 150 % = Sale Price

$ 50.00 up Times (x) 130 % = Sale Price

III. District Equipment Charge Schedule

For use of back hoe/trencher equipment, per hour at job site $50.00

For use of arc welding or air compressor equipment, per hour at job site $40.00

Fifth Revised Sheet No 21

LAKE APOPKA NATURAL GAS DISTRICT

Residential Sales Service

I. Availability

Service under this tariff is available for all residential purposes in an individual private

dwelling or an apartment. In the case of a multiple dwelling in which gas is measured by a

master meter, the total consumption shall be divided by the number of apartments being served

by such meter. The arithmetic quotient shall then be used to calculate the current billing as if

each apartment was being served by an individual meter.

II. Character of Service

19

Sales Service: Under this service, the District will supply, when available, the full

requirement of the customer to the limit of the capacity of installed service.

III. Rates and Charges for Residential Sales Service.

A. The monthly rates and charges are as follows:

Customer Charge $ 11.25

Distribution Charge Per Therm:

(1) If heat only residential customer, the sum of 92.17 cents per Therm of gas

consumed during the billing period ; and

(2) In the case of all other residential customers , the sum of 86.55 cents per

Therm of gas consumed during the billing period.

B. Purchased Gas Cost Recovery. In addition to the rates and charges set forth in

subsection A, above, all Residential Sales Service is subject to the Purchased Gas Cost Recovery

Provisions of this Tariff.

C. Taxes and Assessments. In addition to the rates and charges set forth in subsection A,

above, the Customer shall pay any franchise fees, gross receipts taxes, sales and use taxes, public

utility taxes, or any other taxes or fees levied by any political authority having jurisdiction and

fees or assessments imposed by the Public Service Commission of the State of Florida on any

Gas transported, or bought or sold or upon the act of transporting, buying or selling any Gas

under this tariff.

IV. Force Majeure: Shall apply as provided in the tariff.

Third Revised Sheet No 22

LAKE APOPKA NATURAL GAS DISTRICT

Residential Air Conditioning Sales Service

Deleted

Sixth Revised Sheet No 23

LAKE APOPKA NATURAL GAS DISTRICT

Commercial Sales Service

I. Availability

Service under this tariff is available for all commercial customers.

II. Character of Service

Sales Service: Under this service, the District will supply, when available, the full

20

requirement of the customer to the limit of the capacity of installed service.

III. Rates and Charges for Sales Service

A. The monthly rates and charges are as follows:

Customer Charge:

(1) When use is less than an average of 4000 Therms per month: $ 28.00

(2) When use is more than an average of 4000 Therms per month: $ 30.00

Distribution Charge Per Therm:

(1) If their average actual (or estimated) consumption of gas during the previous

twelve billing periods was (or would have been) an average of 4,000 Therms or less, per month,

the sum of 68.38 cents per Therm of gas consumed during the billing period, and

(2) If their average annual (or estimated ) consumption of gas during the previous

twelve billing periods was (or would have been) an average of 4,000 Therms or more, per month,

the sum of 62.59 cents per Therm of gas consumed during the billing period.

(3) If their average annual (or estimated) consumption of Gas during the previous

twelve Billing Periods was (or would have been) for Florida Agriculture, upon presentation of a

current annual assessment from the County Property Appraiser of bona fide agricultural

classification for the business location within the District, the sum of 26.9 cents per Therm,

through September 30, 2019, and after September 30, 2019, the sum of 29.45 cents per Therm, of

Gas consumed during the Billing Period.

B. Purchased Gas Cost Recovery. In addition to the rates and charges set forth in

subsection A, above, all Commercial Sales Service is subject to the Purchased Gas Cost

Recovery Provisions of this Tariff.

C. Taxes and Assessments. In addition to the rates and charges set forth in subsection A,

above, the Customer shall pay any franchise fees, gross receipts taxes, sales and use taxes, public

utility taxes, or any other taxes or fees levied by any political authority having jurisdiction and

fees or assessments imposed by the Public Service Commission of the State of Florida on any

Gas transported, or bought or sold or upon the act of transporting, buying or selling any Gas

under this tariff.

IV. Force Majeure: Shall apply as provided in the tariff.

Fourth Revised Sheet No 24

LAKE APOPKA NATURAL GAS DISTRICT

Interruptible Sales Service

I. Availability

Service under this tariff is available for all non-residential customers who have the

capacity to switch to an alternate fuel.

II. Character of Service

21

Interruptible Sales Service: Under this service, the District will supply, when available,

the full requirement of the customer to the limit of the capacity of installed service .

III. Rates and Charges for Interruptible Sales Service

A. The monthly rates and charges are as follows:

Customer Charge:

(1) If use is an average of 1000 Therms per day or less $ 45.00

(2) If use is an average of more than 1000 Therms per day $ 55.00

Distribution Charge Per Therm:

(1) If their average actual (or estimated) consumption of Gas during the previous

twelve billing periods was (or would have been) an average of 1000 or less, Therms per day, the

sum of 60.32 cents per Therm of Gas consumed during the Billing Period, and

(2) If their average annual (or estimated ) consumption of Gas during the

previous twelve billing periods was (or would have been) an average of more than 1000 Therms

per day, the sum of 48.72 cents per Therm of Gas consumed during the Billing Period.

B. Purchased Gas Adjustment. In addition to the rates and charges set forth in subsection

A, above, all Interruptible Sales Service is subject to the Purchased Gas Cost Recovery

Provisions of this Tariff.

C. Taxes and Assessments. In addition to the rates and charges set forth in subsection A,

above, the Customer shall pay any franchise fees, gross receipts taxes, sales and use taxes, public

utility taxes, or any other taxes or fees levied by any political authority having jurisdiction and

fees or assessments imposed by the Public Service Commission of the State of Florida on any

Gas transported, or bought or sold or upon the act of transporting, buying or selling any Gas

under this tariff.

V. Force Majeure: Shall apply as provided in the tariff.

Seventh Revised Sheet No 25

LAKE APOPKA NATURAL GAS DISTRICT

Transportation Service

I. Availability

A. Service under this tariff is available for non-residential Customers individually

consuming a minimum of 24,000 Therms per year and for all Florida Agriculture Business

Customers, as defined at Section 1.09 of Article I of this tariff.

B. This tariff is applicable to all gas purchased by a Customer from a third party

producer or marketer. Transportation g

via an interstate or intrastate pipeline. Once third party gas has been received by the District, the

y

available to those Customers who, annually on or before August 31st, execute or renew a 12-

month contract for the service provided herein.

22

C. An optional Standby Sales Service is also offered in conjunction with the

transportation service. Customers opting not to purchase standby service shall have no right or

claim to Gas provided by the District. Those transportation Customers who do not elect to

receive Standby Sales Service must acknowledge in writing that they are declining the service

and understand they may be unable to obtain a supply of Gas if the District is unable to provide

Gas from its system supply.

D

service is interruptible and is mandatory to all Customers on this tariff. Under this service, the

District will sell Gas to the Customer, if available from system supply, when under-deliveries of

Gas occur and will buy Gas from the Customer when over-deliveries of Gas occur, as the terms

over-delivery and under-delivery are defined herein, in accordance with the provisions of

Sections VI and VII, hereof.

II. Character of Service

This service provides for the transportation of third party gas delivered to the District on

behalf of a transportation Customer. This transportation service will be provided, in the sole

discretion of the District, only to the extent that the third party gas is delivered to the District and

the third party delivering the gas has picked up all pipeline capacity allocated to the Customer by

the District.

III. Transportation Service Contract Requirements

A. The customer shall execute a Service Agreement with the district which specifies,

among other things, the Maximum Daily Quantities of Gas (MDTQ) to be transported, and a

Co

months, and shall specify that the customer has requested transportation rates as provided in the

B. As a condition of receiving transportation service under this tariff, Customers shall be

devices and if required telemetering equipment, as are acceptable to the District for the purpose

of accurately measuring the flow of Gas to the Customer and determining imbalances as that

term is defined herein. Telemetry shall be required for all customers consuming in excess of

15,000 Therms in any month.

C. Marketers serving district transportation customers shall execute a Contract between

marketer qualification by the pipeline for a minimum period of twelve (12) prior consecutive

months, transparent posting and bidding of capacity releases, capacity recall and operational

requirements.

IV. Rates and Charges for Transportation Service

A. The monthly rates and charges are as follows:

Customer Charge:

(1) If use is between an average of 65.75 and not more than

23

an average of 130 Therms per day $33.00

(2) If use is between an average of 130 and 400 Therms per day $44.00

(3) If use is between an average of 400 and 685 Therms per day $55.00

(4) If use is between an average of 685 and 1370 Therms per day $66.00

(5) If use is between an average of 1370 and 2055 Therms per day $76.00

(6) If use is between an average of 2055 and 2740 Therms per day $87.00

(7) If use is more than an average of 2740 Therms per day $98.00

Transportation Charge:

(1) If their average actual (or estimated) consumption of Gas during the previous

twelve Billing Periods was (or would have been ) an average of 65.75 to 130, or less, Therms per

day, the sum of 64.60 cents per Therm of Gas consumed during the Billing Period; and

(2) If their average actual (or estimated) consumption of Gas during the previous

twelve Billing Periods was (or would have been) an average of 131, or more, Therms per day,

and less than an average of 400 Therms per day, the sum of 59.10 cents per Therm of Gas

consumed during the billing period; and

(3) If their average annual (or estimated ) consumption of Gas during the

previous twelve Billing Periods was (or would have been) an average of 400, or more, Therms

per day, and less than an average of 685 Therms per day, the sum of 59.10 cents per Therm of

Gas consumed during the Billing Period; and

(4) If their average annual (or estimated ) consumption of Gas during the

previous twelve Billing Periods was (or would have been) an average of 685, or more, Therms

nd less than an average of 1370 Therms per day, the sum of 59.10 cents per Therm of Gas

consumed during the Billing Period; and

(5) If their average annual (or estimated ) consumption of Gas during the

previous twelve Billing Periods was (or would have been) an average of 1370, or more, Therms

per day, and less than an average of 2055 Therms per day, the sum of 59.10 cents per Therm of

Gas consumed during the Billing Period; and

(6) If their average annual (or estimated ) consumption of Gas during the

previous twelve Billing Periods was (or would have been) an average of 2055, or more, Therms

per day, and less than an average of 2740 Therms per day, the sum of 59.10 cents per Therm of

gas consumed during the Billing Period; and

(7) If their average annual (or estimated ) consumption of Gas during the

previous twelve Billing Periods was (or would have been) an average of 2740, or more, Therms

per day, the sum of 59.10 cents per Therm of Gas consumed during the Billing Period.

(8) If their average annual (or estimated) consumption of Gas during the previous

twelve Billing Periods was (or would have been) for Florida Agriculture, upon presentation of a

current annual assessment from the County Property Appraiser of bona fide agricultural

classification for the business location within the District, the sum of 26.9 cents per Therm,

through September 30, 2019, and, after September 30, 2019, the sum of 29.45 cents per Therm,

of Gas consumed during the Billing Period.

B. Taxes and Assessments. In addition to the rates and charges set forth in subsection A,

above, the Customer shall pay any gross receipts taxes, sales and use taxes, public utility taxes,

or any other taxes levied by any political authority having jurisdiction and any fees or

assessments imposed by the Public Service Commission of the State of Florida on any Gas

transported, bought or sold or upon the act of transporting, buying or selling any Gas under this

tariff.

24

C. Pipeline Penalties. In addition to the rates and charges set forth in subsection A,

above, the Customer shall reimburse the District in the event of its payment of, and indemnify

the District against loss from, any penalties assessed directly or indirectly by FGT or other

pipelines for imbalances or failure to comply with pipeline operational or curtailment orders

which are reasonably attributable to volumes of Gas transported by Customer. When notified by

the District, Customers will be required to schedule natural gas in accordance with the Maximum

Daily Transportation Quantity (MDTQ or MTQ) as specified in Exhibit A, which will be

updated annually, of the Gas Transportation Service Agreement between the District and

avoid pipeline penalties. Failure to comply with this requirement by the Marketer will result in a

penalty for the volumetric diffe

scheduled quantity at the rate of two times the FGT Citygate Price, as posted in the Gas Daily

publication for that day, or the FGT Alert Day penalty price, whichever is greater.

D. Costs. The Customer shall be responsible to the District for administrative and

transitional costs necessary to facilitate operations. Existing Customers changing from sales to

transportation service or from transportation to sales service may create transitional costs which

the District shall recover, as a condition of providing service, from the Customer on a case by

case basis in a manner that reasonably balances the equitable interests of the Customer and the

(1) Any existing sales Customer who migrates to transportation service shall pay

the stranded costs incurred by the District as a result of such Customer exiting the merchant

function in order to prevent remaining Customers from absorbing such stranded costs. The

District shall only assess reasonable stranded costs including, but not limited to, pipeline

capacity charges and under recovery of Gas supply costs. The District shall be obligated to take

all reasonable actions available to mitigate such stranded costs; and

(2) Any existing Customer who migrates to transportation service and

applicable tariff rate and the incremental cost of furnishing such sales service.

V. Receipt and Delivery of Transportation Gas

A. The Customer shall be responsible for securing delivery of Customer-owned Gas to

VI. Balancing Requirements for Transportation Customers

A. Mandatory Balancing Service. A balancing service whereby the District will accept

-deliveries of transported Gas and provide the Customer Gas to

compensate for its daily under-deliveries of transported Gas, on an interruptible basis, shall be

mandatory for all Customers under this tariff. The cumulative daily imbalances shall be settled

between the Customer and the District each Billing Period in accordance with the provision of

Section VII, hereof. The Customer shall pay a net under-delivery and the District shall give the

Customer a credit for a net over-delivery.

B. Customer Nominations and Gas Deliveries. The Customer shall promptly advise the

District of its daily nominated quantity of gas (DNQ), i.e.- the amount of Gas the Customer

intends to deliver to the District on certain day . Daily nominations shall be furnished to the

District by 10:00 a.m. (Eastern Standard Time) at least two (2) business days prior to the date

that a change in the daily nomination is intended to become effective. The District shall

acknowledge the receipt and acceptance of the daily nomination information prior to 11:00 a.m.

25

on the day that the nomination or change is delivered. Customer shall provide the District with

pipeline daily confirmation reports reflecting the actual amount of Gas delivered to the District

each day on behalf of the Customer within 24 hours after receipt of same.

C. Balancing Requirement. The Customer is obligated to balance , i.e. - maintain in

equilibrium, the amount of Gas nominated with the amount of Gas actually transported to the

hereinafter provided or, upon failure to do so , incur the charges for imbalances provided for in

Section VII, hereof.

D.

the difference between the amount of Gas actually received by the District each day on behalf of

t (adjusted for losses) as determined

-delivery or negative imbalance

shall be deemed to occur whenever daily deliveries on behalf of the Customer are less than the

tion throughput as determined from daily meter readings at the

-delivery or positive imbalance shall be deemed to occur

as dete -nomination

shall be deemed to occur whenever daily deliveries are more than the amount nominated for the

day.

E. e shall be equal

to (1) the difference between the amount of Gas actually received by the District each month on

as determined from meter readings at the Custo

carryover from a previous month.

VII. Charge for Imbalances: The District shall impose two charges for imbalances . The

charges are as follows:

A. Charge for Daily Imbalances: In addition to the transportation charges provided for in

Section IV, hereof, on all volumes of Gas actually delivered to the District in excess of the

charge equal to the sum of the transportation and usage charges (including, but not limited to,

transportation surcharge, usage surcharges, taxes, assessments and fees) paid to transporting

rate currently in effect.

B. Charge for Monthly Imbalances: At end of each calendar month the District shall

determine the cumulative imbalance as determined in Section VI, above. If there is a negative

imbalance, the District shall sell to the Customer (and Customer shall buy from the District) the

Gas represented by the negative imbalance, and if there is a positive imbalance, the District shall

buy from the Customer (and the Customer shall sell to the District) the Gas represented by the

positive imbalance at the percent of Index Price for the tier in which the imbalance falls as set

forth in the following schedules:

(1) Monthly Under-delivery or negative imbalance:

Percent of Imbalance Percent of Index Price

0 to 10 100

11 to 15 115

16 to 20 130

26

21 to 25 140

Over 25 150

(2) Monthly Over-delivery or positive imbalance:

Percent of Imbalance Percent of Index Price

0 to 10 100

11 to 15 85

16 to 20 70

21 to 25 60

Over 25 50

C. The Index Price. The Index Price for all imbalance over-deliveries shall be the simple

average of the weekly spot prices published in Gas Daily for gas delivered into the FGT pipeline

system at either FGT Zone 1, Zone 2, or Zone 3, whichever is lower. The Index price for

imbalance under-deliveries shall be the simple average of the weekly spot prices published in

Gas Daily at either FGT Zone 1, Zone 2, or Zone 3, whichever is higher. Gas Daily is published

by the Oil Daily, Inc. Suite 500, 1401 New York Avenue, N.W. Washington, D.C. 20005.

VIII. Standby Sales Service

A. This service is optional. For customers subscribing to this service, the District agrees

to provide firm gas sales service to the Customer.

B. Maximum Daily Standby Quantity. The Customer and the District must agree to a

Maximum Daily Standby Quantity (MDSQ). The Customer must designate a portion up to one

hundred per cent (100%) of its MDTQ as its MDSQ. This MDSQ will remain in effect for the

term of transportation contract between the Customer and the District. In the event that the

be immediately be increased to the actual level of standby sales Gas consumed, up to but not in

transportation contract between the Customer and the District unless the District determines that

the incremental increase in quantity is unavailable and notifies the Customer that a lower amount

is the maximum MDSQ allowable. Gas taken in excess of the maximum allowable MSDQ shall

be subject to penalties as listed in Subsection D, below.

C. Rates for Standby Sales Service. There shall be a two part rate for Standby Sales

Service as follows:

(1) Reservation Charge. The reservation charge for standby sales service, which

shall be paid to the District regardless of usage, shall be the Distri

currently in effect at the time of each Billing Period.

(2) Commodity Charge. The rate for standby sales Gas consumed by the

n

monthly transportation quantity, and any applicable usage and transportation costs to deliver said

Gas to the Customer.

D. Penalties. A penalty shall be imposed on the Customer for any standby sales service

greater of : (1) any penalty imposed on the District by FGT reasonably attributable to the excess

27

volumes of standby sales service Gas taken by the Customer, or (2) $1.00 per therm.

IX. Force Majeure: Force Majeure shall apply as provided in the tariff.

Original Sheet No. 26

LAKE APOPKA NATURAL GAS DISTRICT

Negotiated Contract Rate Service

I. Purpose

The District is offering this negotiated contract tariff provision to enable the District to

respond to Customer needs and the increasingly competitive forces in the energy services

market. This contract tariff provision shall be used by the District as a vehicle for responding to

competitive pricing situations resulting from but not limited to fuel switching, facility relocation

or expansion, partial or complete plant production shifting and potential bypass. This tariff

authorizes the District to offer either sales or transportation rates and terms and conditions to

respond to competitive forces.

II. Eligibility

A. This contract tariff is available to any qualifying Customer as specified herein.

Customer qualification shall be based upon meeting each of the following criteria as determined

solely by the District:

(1) The Customer has an economic competitive alternative to full or partial service from

(2) The Customer is likely to select said alternative if the District does not provide a

negotiated contract rate offer; and

(3) The price to the Customer will provide net revenue above the incremental costs to

provide service under this rate offer.

B. The District shall determine eligibility on a case by case basis based upon information

economics of the competitive alternative, as well as the practical aspects of securing that

alternative (e.g., ability to secure environmental permitting, feasibility studies, switching ability,

ability to secure required capital).

III. Service Options

Customer meets all the eligibility requirements listed above, the District shall enter into

negotiations with the Customer for the purpose of offering such services as are believed to meet

Customer with increased choices for service. A menu of service options differentiated by

contract term, quantity, pricing options, and service attributes may be made available to the

qualifying Customer. The agreed upon services shall be specifically described within the

Customer Service Agreement.

IV. Contract

28

Eligible Customers requesting this service classification will execute a Customer Service

Agreement, which specifies the terms and conditions of the contractual agreement between the

District and the Customer and shall be of a minimum term of one year.

V. Force Majeure: Shall apply as provided in the tariff.

First Revised Sheet No. 27

LAKE APOPKA NATURAL GAS DISTRICT

Purchased Gas Cost Recovery Provisions

I. Purchased Gas Cost Recovery Charge

In addition to the Customer Charge and the Distribution Charges provided for in the Gas

Service Rate Schedules, all sales customers shall be charged for the cost to the District of the Gas

consumed by the customer.

Such cost of Gas shall be the expected average volumetric weighted cost per Therm of

Gas purchased by, and delivered to, the District during the calendar month next preceding the

date of billing.

the transp

facilities charges and fees, surcharges or cost recovery mechanisms and any other costs in the

nature of a demand charge imposed by the supplier, fuel manager or transporter. The costs in the

nature of demand charges shall be converted to a weighted per Therm cost by applying a

capacity reservation expense and all other costs in the nature of a demand charge incurred during

the most recent 12 months divided by the total Gas Therms sold by the District during the

corresponding 12 month period.

II. Cost Recovery True-Up

Any over recovery or under recovery of purchased Gas costs by the District shall be

-

subsequent billings as more accurate or certain information regarding the costs becomes

available.

FORMS

First Revised Sheet No. 40

No. 000000

LAKE APOPKA NATURAL GAS DISTRICT

29

1320 Winter Garden-Vineland Road - Post Office Box 783007

Winter Garden, Florida, 34787

(407) 656-2734

Request for Residential Service

and Deposit Receipt

Date:

Name(s) of Customer:

LAST FIRST MI

Service Address:

Mailing Address:

Telephone: Home ; Work Ext.

Customer I. D. No(s):

I: Own Rent Home; Landlord:

I Have: Heat Only ; Heat and Other Gas Appliances , consisting

of:

Occupants of Home:

DEPOSIT: $ ; Paid by: Cash or Check

The undersigned hereby request(s) that Lake Apopka Natural Gas District (District)

furnish [heat only] [regular] residential Gas Service at the above service address and

agree(

which is hereby incorporated by reference, shall be the agreement pursuant to which such

Gas Service is furnished by the District to the undersigned.

Receipt of Deposit is hereby

______________________________________ acknowledged by Lake Apopka

30

Natural Gas District

______________________________________ ______________________________

C By:

First Revised Sheet No. 41

No. 000000

LAKE APOPKA NATURAL GAS DISTRICT

1320 Winter Garden-Vineland Road - Post Office Box 783007

Winter Garden, Florida, 34787

(407) 656-2734

Request for Commercial Sales Service

and Deposit Receipt

Date:_______________

Name of Customer: _____________________________________

Type of Entity:_________________________________________

Name and Address of Owner, General Partner, Trustee or Principal

Officer:

______________________________________________________

Contact Person:_________________________________________

Service Address:________________________________________

Mailing Address:________________________________________

Telephone No.: Employer I. D. No:______________

DEPOSIT: $ By: Cash ; Letter of Credit ;

Surety Bond ; or Other .

The above named Customer (if a legal entity, through its undersigned officer or agent

thereunto duly authorized) hereby requests that Lake Apopka Natural Gas District

(District) furnish Commercial Gas Sales Service to it at the above service address and

which is hereby incorporated by reference, shall be the agreement pursuant to which such

Gas Service is furnished by the District to Customer.

31

Receipt of Deposit is hereby

acknowledged by Lake Apopka

Natural Gas District

______________________________________ _____________________________

Signature of Customer or its Authorized Agent By:

PRO FORMA CONTRACTS

Second Revised Sheet No.70

(PRO FORMA)

GAS TRANSPORTATION SERVICE AGREEMENT

This Gas Transportation Service Agreement, made and entered into by and between

LAKE APOPKA NATURAL GAS DISTRICT, an independent special district existing under the

laws of the State of Florida, with its principal office at 1320 South Vineland Road, Winter

, hereinafter referred

Witnesseth:

Whereas, Shipper owns and operates a facility which

(he

Whereas, Shipper intends to acquire its own supply of Gas from various gas suppliers

Whereas, Shipper intends to arrange for the interstate transportation of its Gas to the

the Gas del

Whereas, Shipper [did] [did not] formerly purchase Gas from the District and the District

[will] [will not] have stranded costs as a result of Shipper acquiring and transporting its own Gas

Supply;

32

Whereas, Shipper also may from time to time desire that the District furnish Gas sales

service or standby sales service; and

Whereas, District is willing to provide such services (subject to stranded costs, if any,

being recovered) in accordance with its Tariff and this Agreement;

Now, therefore, in consideration of the mutual covenants and agreements herein

contained, the parties agree as follows:

ARTICLE I

DEFINITIONS

As used herein, unless the context clearly requires otherwise, the following terms, words,

phrases and abbreviations shall have the following meanings:

1.01 Abbreviations. If used herein:

Btu shall mean British thermal unit;

CCF shall mean one hundred cubic feet;

CFM shall mean cubic feet per minute;

CF shall mean cubic feet;

CFH shall mean cubic feet per hour;

CS&T shall mean Commercial Sales and Transportation Rate Schedule;

FERC shall mean Federal Energy Regulatory Commission;

FGT shall mean Florida Gas Transmission Company, Inc.;

IS&T shall mean Interruptible Sales and Transportation Rate Schedule;

MCF shall mean one thousand cubic feet;

MDTQ shall mean Maximum Daily Transportation Quantity;

MDSQ shall mean Maximum Daily Standby Sales Service;

NCR shall mean Negotiated Contract Rate Service Rate Schedule;

psi shall mean pounds per square inch;

psia shall mean pounds per square inch absolute;

psig shall mean pounds per square inch gauge.

1.02

y during a specified period of time.

1.03

Schedules and Appendices attached hereto, as the same may from time to time be amended.

1.04

scheduled meter readings which are approximately 30 days apart.

33

1.05 the quantity of heat required to raise the temperature

of one pound of water from 59.0 degrees Fahrenheit to 60.0 degrees Fahrenheit at a constant

pressure of 14.73 psia.

1.06 hall mean a civil day other than Saturday, Sunday, or holiday resulting

in the close of business for District.

1.07

volume of gas which, at the temperature and pressure existing in the meter, occupies one cubic

foot and for gas delivered at other than the Standard Delivery Pressure, the volume of gas which,

at a temperature of 60 degrees Fahrenheit and at absolute pressure of 14.98 pounds per square

inch, occupies one cubic foot.

1.08

Gas Service by the District.

1.09 -four (24) hour period beginning and

ending at 10:00 a.m. Eastern Time (or such other time as may be provided for a Delivery Gas

ar date upon

which said period commences.

1.10 Schedule B attached

hereto, or as it may hereafter be amended, at which Gas will be delivered to Shipper for use at

the Facility.

1.11

hereto, or as it may hereafter be amended, at which Transporter will deliver and the District will

receive Gas for Shippers account.

1.12

number established by the District.

1.13 -approved Gas Tariff on and after the

Effective Date, as the same may be lawfully revised and be in effect from time to time.

1.14

District's distribution system, having a heating value of not less than 950 Btu's per cubic foot.

1.15

34

to a Shipper or Customer.

1.16

Throughput or Scheduled Quantity for such time, as the context requires.

1.17

mean the maximum quantity of Gas that Shipper may tender, or cause to be tendered, to the

District, and that the District shall be obligated to receive on account of the Shipper, pursuant to

1.18

1.19

Gas which flow through it.

1.20

content set forth in Appendix 3. To nominate shall mean to deliver a Nomination.

1.21

holidays.

1.22

1.23 the rates or charges for

a particular classification of all classes of Customers for Gas Service and all provisions, terms,

conditions, classifications, practices and rules and regulations affecting such rates or charges.

1.24 ean the amounts of Gas nominated by Shipper and

confirmed by the District for transportation on behalf of, and/or for purchase by, Shipper during

a specified period of time.

1.25 on service.

1.26

of Commissioners of the District on September 28, 1998, as the same may be lawfully revised

and in effect from time to time.

1.27

1.28

35

behalf of Shipper for use in the Facility.

1.29

ARTICLE II

NATURE AND QUANTITY OF GAS SERVICE PROVIDED

2.01 Transportation Service. Shipper hereby engages the District and the District hereby

edule B attached hereto Gas on

behalf of Shipper in the quantities and upon the conditions hereinafter stated.

2.02 Quantity of Transportation Service. The maximum quantity of Gas that Shipper may

tender, or cause to be tendered, to the District on any g

the Maximum Daily Transportation Quantity set forth on Exhibit A, Capacity Allocation,

attached hereto, and the same shall be updated and executed annually. If the Maximum Daily

Transportation Quantity is changed by mutual agreement of the parties, the agreement shall be

expressed in writing by an amendment to Exhibit A, signed by the parties.

2.03 Nature of Transportation Service. Subject to the other provisions of this Agreement,

upon the delivery by Transpor

Receipt Point, the District shall deliver on a firm basis an equivalent quantity of Gas, less

furnished under this Agreement shall be subject to the provisions of Article IX hereof regarding

curtailment or interruption and Article X regarding Force Majeure.

2.04 Standby Sales Service. Shipper has elected to [receive] [not receive] Standby Sales

Service. If Shipper has elected to receive Standby Sales Service, the terms and conditions under

which the service will be received and furnished, and the quantities to be furnished, are stated on

Appendix 1 attached hereto.

2.05 Sales Service. If Shipper has an agreement for Gas sales service in effect with the

District contemporaneously with this Agreement for transportation service, the terms and

conditions of such sales service agreement and its relationship to this Agreement shall be stated,

36

or referred to, on Appendix 2 attached hereto.

2.06 Point of Delivery. For all gas transported or sold hereunder, the Point of Delivery, at

which possession of Gas transported or title to Gas sold by the District shall pass to Shipper,

shall be at the point on the outlet side of the Meter at which District's gas service facilities are

connected to the Customer's installation at the Delivery Point stated on Schedule B.

2.07 Technical Conditions. Any additional technical requirements with respect to the

transportation of Gas by the District for Shipper, if any, are stated in Appendix 3, attached

hereto.

ARTICLE III

RATES

3.01 Rates and Other Conditions. Transportation Gas Service under this Agreement shall be

provided in accordance with the rates and other terms and conditions of the TS Rate Schedule of

3.02 Stranded Costs. Stranded costs, including but not limited to, pipeline capacity charges

and under recovery of gas supply costs shall be recovered by the District.

ARTICLE IV

NOMINATIONS AND CONFIRMATIONS

4.01 Daily Nomination. For each Day on which Shipper desires to receive Gas transportation

service pursuant to this Agreement, Shipper shall provide a Nomination to the District specifying

District prior to 10:00 a.m. two (2) Business Days prior to the Day on which the Gas will be

4.02 Confirmation of Nomination. The District shall confirm that the nominated quantity has

Nomination will be deemed to have been confirmed by the District unless the District Notifies

37

the Shipper otherwise prior to 11:00 a.m. on the Day the Nomination is delivered.

4.03 Confirmation of Delivery. The Shipper shall promptly provide the District with Pipeline

daily confirmation reports reporting the actual amount of Gas delivered to the District each Day

on the account of the Shipper.

ARTICLE V

LOAD BALANCING AND IMBALANCE PENALTIES

5.01 Load Balancing. The Shipper shall be obligated to balance the amount of Gas tendered

Throughput each Day. Charges and penalties shall be imposed for Imbalances as follows.

5.02 Scheduled Quantity Imbalance Penalties. Shipper shall reimburse the District for any

imbalance penalties assessed against the District, either directly or indirectly, by FGT which are

attributable to imbalances between the Scheduled Quantity and the amount of Gas tendered at the

Point for the account of Shipper. When notified by the District, Shippers will

be required to schedule natural gas in accordance with the Maximum Daily Transportation

Quantity (MDTQ) as specified in Exhibit A of this Gas Transportation Service Agreement

as necessary to avoid pipeline penalties. Failure to comply with this requirement by the

Marketer will result in a penalty for the volumetric difference bet

MDTQ and actual scheduled quantity at a rate of two (2) times the FGT Citygate Price as posted

in the Gas Daily publication for that day, or the FGT Alert Day penalty, whichever is greater.

5.03 Actual Throughput Imbalance Charges. Imbalances between the amount of Gas tendered

Tariff, as the same now exists or may hereafter be amended.

5.04 Load Balancing Service. The District will provide Shipper with interruptible daily and

Deliveries and supply and sell Shipper Gas in the case of Under Deliveries. The cumulative

daily Over Deliveries and Under Deliveries shall be cashed out each Month in the manner

38

may hereafter be amended.

ARTICLE VI

MEASUREMENT

6.01 Quality

meet the minimum quality specifications established for Gas tendered for transportation to FGT

6.02 Btu Content. In order to determine the Btu content of gas delivered pursuant to this

Agre

Tariff shall be used.

6.03 Pressure. Gas transported or sold pursuant to this Agreement shall be delivered to

Shipper at the following pressure: . Normal atmospheric pressure

throughout the District's service area is assumed to be 14.73 psia and no adjustment will be made

6.04 Metering t, shall install, operate and maintain continuously

for the measurement of all gas delivered hereunder. Ownership of the equipment shall remain in

the District. Shipper shall allow District free and unimpeded access to any equipment installed

e AC electrical

outlet and the electrical power used by the measuring equipment, in addition to telephone lines

and equipment required for telemetry. All installations of measuring equipment applying to or

affecting deliveries hereunder shall be made in such manner as to permit an accurate

determination of the quantity and heating value of gas delivered and ready verification of the

accuracy of measurement. Reasonable care shall be exercised by the parties in the installation,

maintenance and operation of meter pressure regulating equipment so as to avoid, so far as

practicable, any inaccuracy in the determination of the quantity and heating value of gas

39

delivered hereunder.

6.05 Inspection. Each Party shall have the right to be present at the time of any installing,

reading, cleaning, changing, repairing, inspecting, calibrating or adjusting done in connection

such measuring equipment shall remain the property of the owner of the equipment who, upon

request, will submit to the other such records and charts, together with calculations therefrom,

thereof.

6.06 Meter Error

Parties except where the meter is defective or fails to register. If a meter is defective or fails to

register, District shall repair or replace the meter and the quantity of gas delivered while the

meter was out of order or failed to register shall be estimated: (1) by using the registration of a

check meter if installed and accurately registering, or in the absence of (1); (2) by correcting the

error if the percentage of error is ascertainable by calibration, test or mathematical calculation,

or, in the absence of both (1) and (2); (3) by estimating the quantity or delivery from deliveries

during periods under similar conditions when the meter was registering accurately. District shall

make appropriate billing adjustments for the period during which the meter was defective or

failed to register.

6.07 Maintenance and Testing. District will maintain its meter or meters in good order and to

this end will make periodic tests of its meter or meters at intervals no less frequent than annually.

If Shipper is dissatisfied with the accuracy of a meter at any time, Shipper may require District to

have the meter tested. If the meter has not been tested within the previous three (3) months,

District will make such tests without charge. If the meter has been tested within the previous

three months, District will nevertheless make the test required but, if the meter when tested is

proved to be accurate within two percent (2%) or less, Shipper will pay District the reasonable

cost of the test. If the test demonstrates that the meter registration is in error exceeding two per

cent (2%), District will correct the two (2) previous monthly billings to the extent it appears

probable that they were affected by the inaccuracy. If the test demonstrates an error of two

percent (2%) or less, no adjustment shall be made in previous registrations or bills.

40

ARTICLE VII

BILLING, PAYMENT AND DEFAULT IN PAYMENT

7.01 Time. Bills will be rendered and delivered by District to Shipper on or before the tenth

(10th) day of each month, or as soon thereafter as the billing information is available, for all gas

transported during the preceding month. Shipper shall pay District by the fifteenth (15th) day of

the same month unless presentation of a bill by District is delayed after the tenth (10th) day of

the month, in which case the time for payment shall be extended accordingly. If any amount

billed hereunder is not paid when due, then, absent a bona fide dispute res

favor, interest on the unpaid amount shall accrue at the rate of twelve per cent (12%) per annum

from the due date until the date of payment. If a due date falls on a Saturday, Sunday or legal

holiday, the due date shall be extended until the next business day. Shipper shall be responsible

7.02 Disputed Bills. In the event Shipper disputes a bill rendered by District, the following

procedure shall be employed:

(1) Shipper shall promptly notify District of any disputed amount of any billing

and all reasonable efforts shall be made to resolve the dispute as quickly as possible before the

date payment is due.

(2) If the dispute cannot be resolved before the due date, Shipper shall

nevertheless make full payment subject to later correction as provided below and the Parties shall

continue their efforts to resolve the dispute.

(3) Upon final resolution of any such dispute, District shall provide Shipper with

complete and mathematically accurate invoices and, if applicable, supporting documentation

reflecting the resolution of the dispute. If it is determined that Shipper overpaid District, District

shall either refund the overpayment or credit

with interest thereon at the rate of twelve per cent (12%) per annum from the date of

overpayment to the date of refund or credit.

7.03 Correction of Errors. If either party shall discover any error or inaccuracy in statements,

bills, metering, calculations, payments, credits or determinations, the error shall be promptly

41

reported to the other party and a proper adjustment, and correction thereof shall be made as soon

as practicable thereafter with interest at twelve per cent (12%) per annum on any funds paid,

unpaid, credited or uncredited as a result of such error; provided, however, if no such errors or

inaccuracies are identified and reported to the other party within twenty-four (24) months from

the date of a statement, bill, meter reading, payment or credit, it shall be deemed, in the absence

of fraud, conclusively correct.

7.04 Delivery of Bills. Bills shall be sent to Shipper at the following address:

Attn: __________________________

Address: __________________________

__________________________

7.05 Payment. Payment shall be made by check drawn on local funds or by wire transfer. In

the case of payment by check, unless hereafter notified otherwise, Shipper shall mail or deliver

-Vineland Road, Post

Office Box 783007, Winter Garden, Florida, 34787. In the case of payment by wire transfer,

unless hereafter Notified otherwise, Shipper shall transfer the funds to:

Lake Apopka Natural Gas District

1320 Winter Garden-Vineland Road, Winter Garden, FL, 34787

% Regions Bank

Account Number: 3720755589

Routing Transit Number: 062005690

Taxpayer I.D. Number: 59-1021867

7.06 Default in Payment. In addition to any other remedy District may have under this

than thirty (30) days after payment is due, District may suspend further delivery of gas until such

amount is paid without terminating this Agreement or may terminate this Agreement, at its

option, without recourse by Shipper.

ARTICLE VIII

42

DEPOSITS AND ESTABLISHMENT OF CREDIT

8.01 Establishment of Creditworthiness. Shipper has established its creditworthiness by the

following method: .

8.02 Continuation of Creditworthiness. Shipper shall maintain its creditworthiness, and may

guaranty, letter of credit or surety bond in accordance with the provisions of Article IV of the

District

ARTICLE IX

INTERRUPTION AND CURTAILMENT

9.01

which renders it impossible for the District to meet all or part of its delivery commitments, the

District will curtail deliveries to its Customers, including Shipper, in accordance with its

curtailment policy (which generally provides that among firm gas customers, human needs have

a priority over industrial uses) and shall not be liable to Shipper for any damages, direct,

consequential or otherwise, that may be sustained by Shipper by reason of any such curtailment

or interruption of gas service hereunder; provided, however, if any Gas delivered at the Receipt

her Customers, the District shall reimburse Shipper

its cost for any such Gas diverted to other Customers.

ARTICLE X

FORCE MAJEURE

10.01 Suspension of Obligation. If either party is rendered unable, wholly or in part, by Force

Majeure to perform its obligations under this Agreement, other than the obligation to make

payments then or thereafter due, it is mutually agreed that performance of the respective

obligations of the parties, so far as they are affected by such Force Majeure, shall be suspended

without liability from the inception of any such inability until it is corrected but for no longer

period. The party claiming Force Majeure shall (1) promptly furnish oral, followed by written,

Notice to the other party containing reasonably full particulars and (2) expeditiously attempt to

43

correct the inability to the extent it may be corrected through the exercise of due diligence. No

party shall, however, be required against its will to adjust or settle any labor disputes.

10.02 Definition. The term Force Majeure shall mean any cause not reasonably within the

control of the party claiming suspension and which, by the exercise of due diligence, such party

is unable to prevent or overcome. These events include, but are not limited to: acts of God,

landslides, lightning, earthquakes, hurricanes, tornadoes, freeze-ups, fires, storms, floods,

epidemics, washouts, explosions; strikes, lockouts, arrests and restraints of governments and

people, civil disturbances, acts of the public enemy, wars, blockades, insurrections, riots;

breakage or accidents to machinery, equipment, or pipelines; any event declared by FGT or any

other transporter necessary to effect deliveries hereunder to be a Force Majeure situation; and

any event of the foregoing nature which affects

Gas requirements.

10.03 Exception. Neither District nor Shipper will be entitled to the benefit of the provisions of

this Article to the extent that: (1) the inability to perform was caused by the party claiming

suspension having failed to remedy or overcome the condition by taking all reasonable acts short

of litigation (if such remedy requires litigation); or (2) the inability to perform was caused by a

lack of funds or nonpayment of amounts owing to a third party on the part of the party claiming

suspension.

ARTICLE XI

WARRANTY OF TITLE AND INDEMNIFICATION

11.01 By Shipper. Shipper warrants that it will have good title to all Gas delivered to the

hat such Gas will be free and clear of any

liens, encumbrances and claims whatsoever. Shipper will, and hereby does, indemnify the

District and save it harmless from all suits, actions, debts, accounts, damages, costs, losses and

expenses arising from or out of adverse claims of any and all persons to said Gas.

11.02 By District. The District:

Point for the account of Shipper in unencumbered condition to become encumbered by any claim

44

or demand against the District and the District will, and, to the extent provided and limited by

Section 768.28, Florida Statutes, hereby does, indemnify Shipper and save it harmless from all

suits, actions, debts, accounts, damages, costs, losses and expenses arising from or out of adverse

person as a result of any act or omission of the District; and

Point, have title to all Gas provided to Shipper in connection with any load balancing services

furnished by the District commensurate with the title conveyed to the District by Shipper at the

liens, encumbrances and claims whatsoever and will, and, to the extent provided and limited by

Section 768.28, Florida Statutes, hereby does, indemnify the Shipper and save it harmless from

all suits, actions, debts, accounts, damages, costs, losses and expenses arising from or out of

adverse claims of any and all persons to said Gas.

ARTICLE XII

NOTICES

12.01 Notice. Unless otherwise provided, all Notices required hereunder shall be rendered in

writing. Any written Notice shall be sent to the other Party by first-class mail, by same-Day or

overnight delivery service or facsimile. Until a Party is hereafter notified otherwise, Notice shall

be sent to the other Party at the addresses listed below. Such Notice shall be deemed given at the

time it is received. Any oral notification provided for herein shall be promptly followed-up by

written Notice.

If to District: Lake Apopka Natural Gas District

Attn: Samuel Davis, Jr., General Manager

1320 Winter Garden-Vineland Road

Winter Garden, FL, 34787

Telephone Number: (407) 656-2734

Facsimile Number: (407) 656-9371

If to Shipper:

45

Attn: _____________________________

Address: __________________________

Telephone Number: _________________

Facsimile Number: _________________

12.02 Effective Time. A Notice shall be deemed effective upon its receipt, except that Notices

sent by telex or facsimile and received after Normal Business Hours shall be deemed to be

received on the following Business Day.

ARTICLE XIII

TERM

13.01 Term . This Agreement shall be in effect from the Effective Date for a term of ___

Months. All obligations that have accrued prior to expiration or termination will survive

expiration or termination.

13.02 Renewal Term. This Agreement will renew automatically at the expiration of the Term

unless it is terminated in writing by either party at least Sixty (60) days prior to such renewal

date.

ARTICLE XIV

EFFECTIVE DATE AND IN SERVICE DATE

14.01 Effective Date. The Effective Date shall be the date on which this Agreement was last

signed a party thereto as stated on the signatory page beside the signature of such party.

14.02 In Service Date. The In Service Date, if different from the Effective Date, is the date the

transportation of which it will be obligated pay as specified herein, commences. The In Service

Date of this Agreement shall be .

ARTICLE XV

MISCELLANEOUS PROVISIONS

46

15.01 Headings. All article headings, section headings and subheadings are inserted for

convenience only and shall not affect any construction or interpretation of this Agreement.

15.02 Independent Parties. The District and Shipper shall perform hereunder as independent

parties and neither the District or Shipper is in any way or for any purpose, by reason of this

Agreement or otherwise, a partner, joint venturer, agent, employer or employee of the other.

15.03 Third Party Beneficiaries. Nothing in this Agreement shall be for the benefit of any third

person for any purpose, including without limitation, the establishment of any type of duty,

standard of care or liability with respect to any third person.

15.04 Successors and Assigns. This Agreement shall be binding upon and inure to the benefit

of the respective successors and assigns of the parties.

15.05 Assignment. Shipper may make an assignment this Agreement to an affiliate (provided

the affiliate can establish creditworthiness) but shall not make an assignment to an unaffiliated

person or entity without having obtained the prior written consent of the District, which consent

shall not be unreasonably withheld

15.06 Severability. This Agreement and the rights and obligations of the parties hereunder are

subject to all applicable present and future laws, rules, regulations, and orders of any regulatory

or legislative body or other duly constituted authority having jurisdiction over the District or

Shipper. Should any provision of this Agreement violate any applicable and valid law, rule, or

regulation of any governmental body having jurisdiction, or should any provision of this

Agreement become or be declared by a court of competent jurisdiction to be illegal,

unenforceable or void, this Agreement will continue in full force and effect without such

provision; provided, however, that if the deletion of the provision materially changes the

economic benefits of the Agreement to either party, Shipper and the District shall renegotiate in

good faith the affected provisions as well as any other provisions of this Agreement as may be

necessary to maintain the balance of the rights and obligations of the parties as established in this

Agreement. Should the parties be unable to agree upon such renegotiation, either party may

15.07 Applicable Law. This Agreement, and all amendments hereto and waivers and consents

thereunder shall be governed by and construed in accordance with the laws of the State of

47

Florida.

15.08 Entire Agreement. This Agreement, including the exhibits, appendices and schedules

attached hereto, sets forth the full and complete understanding of the parties as of the Effective

Date and it supersedes any and all prior negotiations, agreements and understandings with

respect to the subject matter hereof. No party shall be bound by any other obligations, conditions

or representations with respect to the subject matter of this Agreement.

15.09 Amendments. This Agreement shall not be amended, terminated, supplemented, waived

or modified except by an instrument in writing signed by the party against which the

enforcement of the amendment, termination, supplement, waiver or modification is sought.

15.10 Counterparts. This Agreement may be executed in two or more counterparts, all of which

taken together shall constitute one and the same instrument and each of which shall be deemed

an original instrument as against any party who signed it.

In Witness Whereof, the parties have caused these presents to be executed by their proper

officers or agents thereunto duly authorized on the day and year set beside their signature.

(Signature page follows)

48

SHIPPER/ CUSTOMER LAKE APOPKA NATURAL GAS DISTRICT

By: By:______________________________

Print Name:_______________________ Print Name:_______________________

Date: Date:

____________________________

Witness:__________________________ Witness:___________________________

Print Name:_______________________ Print Name:________________________

Witness:__________________________ Witness:___________________________

Print Name:_______________________ Print Name:________________________

49

50

Original Sheet No. 71

MARKETER-LANG CUSTOMER CONTRACT

BY AND BETWEEN

_________________________, _________________________AND

LAKE APOPKA NATURAL GAS DISTRICT

This agreement is entered into and shall be effective this ___ day of, 2012, by and

between Lake Apopka Natural Gas District (refe

MARKETER

address is ______________________________, a ___________________(identify type of

business organization), duly registered to do business in the State of Florida, and MARKETER-

-LANG

____________________________________(identify type of business organization), duly

registered to do business in the State of Florida.

WHEREAS

, LANG is a municipal gas district serving, among others, the natural gas

and

WHEREAS

, MARKETER is a natural gas marketer serving wholesale and retail customers

within the state of Florida; and

WHEREAS

, MARKETER has entered into contracts, or desires to enter into contracts,

with LANG Commercial Customers to provide such customers natural gas supply service under a

variety of pricing options not currently available from LANG, including, without limitation, long

term fixed price offerings; and

WHEREAS

, MARKETER-LANG Customer is a new or existing LANG Commercial

Customer that has, or intends to, enter into a natural gas contract with MARKETER.

NOW THEREFORE

, for and in consideration of the mutual benefits and promises

contained herein, and other good and valuable consideration, the receipt and sufficiency of which

is hereby acknowledged, MARKETER, LANG, and MARKETER-LANG Customer agree as

follows:

PART I

CONTRACTS AND INVOICING

51

1.

MARKETER-LANG Customers.

As conditions precedent to the execution of

this agreement, MARKETER-LANG Customer shall have executed

a contract with

MARKETER and a Gas Transportation Service Agreement with LANG.

2.

MARKETER Charges.

MARKETER will invoice MARKETER-LANG

Customer for all MARKETER charges, as set forth in the contract between MARKETER and

the MARKETER-LANG Customer, including, without limitation, all commodity charges and

any costs resulting from MARKETER failing to pick up pipeline capacity as designated by LANG,

unless MARKETER agrees to be responsible for said costs.

3.

LANG Administrative Charges.

MARKETER will invoice MARKETER-

LANG Customer for its proportionate share, as determined by LANG, of any incremental

costs incurred by LANG and reported to MARKETER to administer this program.

PART II

TECHNICAL REQUIREMENTS

4.

Meter Reads

. LANG will provide MARKETER with meter reads for

MARKETER-LANG Customer at the end of each month.

5.

Consumption History.

MARKETER-LANG Customer shall provide LANG a

signed Letter of Authorization on MARKETER-LANG Customer letterhead authorizing release of

records to MARKETER. Thereafter, LANG shall provide MARKETER with available

consumption history upon request.

6.

Customer Service.

MARKETER shall provide first call customer service for

MARKETER-LANG Customer related to natural gas supply costs. MARKETER shall comply with

protocols established by LANG for resolving issues requiring the services of LANG. In the

absence of established protocol MARKETER will refer MARKETER-LANG Customer to

LANG for resolution.

7.

Tariff Charges and Taxes

. LANG shall invoice MARKETER-LANG Customer for all

applicable LANG gas

consumption.

8.

Marketer Qualified By Pipeline

. MARKETER must provide proof of satisfactory

minimum period of Twelve (12) consecutive months, as a condition prior to entering into this agreement

with LANG. MARKETER is required to provide proof of continuing qualification by FGT on August

31

st

of each year, unless earlier requested by LANG.

PART III

CAPACITY

52

9. LANG Capacity

. In order to provide service to all of its customers, LANG maintains

certain interstate capacity contracts on the FGT pipeline. As a part of

capacity to provide service to its other customers will be reduced by an amount equivalent to that

needed to serve MARKETER-LANG Customer. The amount of capacity allocated to the

MARKETER-LANG Customer, incorporated

herein, shall be deemed MARKETER-LANG Customer Transport Capacity.

10. LANG Capacity Release.

LANG shall release, on a recallable basis, the MARKETER-

LANG Customer Transport Capacity on 365 day release cycle at the then applicable FGT Max

Rate for such capacity. MARKETER will bid the FGT Max Rate for the MARKETER-LANG

Customer Transport Capacity. In the event that there is more than one bidder for the released

MARKETER-LANG Customer Transport Capacity, the allocation among the successful bidders

e for the MARKETER-

LANG Customer Transport Capacity. In the event MARKETER is outbid for capacity,

MARKETER must secure its own pipeline capacity in sufficient quantity to meet the Maximum

Daily Transportation Quantity (MDTQ) as established prior to August 31st, and as stated on

11. Capacity Recall.

In the event it is determined by LANG that LANG needs to recall any

capacity for the purpose of serving its customer base, LANG shall notify MARKETER of such

recalled amount on or before the monthly last day settle. In the event of any such recall,

Marketer will be responsible for securing adequate FGT capacity from sources other than

LANG to meet the maximum usage as established prior to August 31st, and as stated on Exhibit

PART IV

TERM AND TERMINATION

12. MARKETER-LANG Customer Contract Term

. The MARKETER-LANG Customer

Contract, with Exhibit A adjusted and executed annually to reflect changes in the amount of

capacity required, must be executed on or before August 31

st

, by both MARKETER and by

MARKETER-LANG Customer, in order to nominate transportation servic

e

for the upcoming

term commencing October 1

st

and ending September 30

th

. Additionally, the Gas Transportation

Service Agreement between MARKETER-LANG Customer and LANG must be kept current.

This MARKETER-LANG Customer Contract shall be in effect for a term of Twelve (12) months,

and will automatically renew at the expiration of the term unless it is terminated in writing by

either party at least Sixty (60) days prior to such renewal date, or unless it is terminated earlier for

breach, default or disqualification, pursuant to the terms of this Contract.

13.

Tariff

.

from time to time, are a part of this

agreement. This agreement shall be for a term expiring September 30, ____.

53

PART V

OPERATIONAL REQUIREMENTS

14. Election

. In order to participate in the transportation program, MARKETER must notify

LANG of all LANG Commercial Customers electing transportation services by August 31

st

for

the subsequent one year period commencing October 1

st

and ending September 30

th

the

following year. Additionally, MARKETER, MARKETER-LANG Customer and LANG must

execute annually, on or before August 31

st

, an updated capacity allocation, Exhibit A.

MARKETER-LANG customers may not enter or exit the transportation program after the

annual August 31

st

election date, unless provided for herein or for reason of disqualification of

MARKETER.

15. Threshold

. MARKETER-LANG Customer will be required to demonstrate that it will

consume a minimum of 24,000 Therms per year. If, during the annual contract period,

MARKETER-LANG Customer falls below consumption of a minimum of 24,000 Therms,

MARKETER-LANG Customer will not be entitled to participate in the transportation program

for the following year. Current MARKETER-LANG customers with monthly consumption

below the 24,000 Therms per year threshold will be grandfathered until September 30, 2012,

after which time they will revert to LANG Commercial Customer status and invoicing

according to LANG tariff.

16. Telemetry

. MARKETER-LANG customers with monthly consumption in excess of

15,000 Therms in any given month are required, within thirty (30) days of notification by

LANG, to purchase and maintain properly operational telemetry equipment provided by and /or

approved by LANG.

17. Balancing

. When notified by LANG, MARKETER will, for purposes of imbalance

resolution, schedule supply up to the total released capacity, or MDTQ, as established prior to

18. Peak Supply

. If unable to schedule supply pursuant to the above required

BALANCING provision, MARKETER may elect to purchase Supply from LANG, herein

referred to as Peak Supply, if available on a quoted basis.

19. Imbalances

. MARKETER will be notified of all imbalances, and MARKETER shall

be responsible for payment to LANG for all imbalance charges imposed by the pipeline on

LANG in accordance with the applicable pipeline tariff rates.

20. Penalties.

Failure to schedule supply as designated by LANG will result in penalties for

quantity at a rate of two-times the FGT Citygate Price, as posted in the

Gas Daily

publication

for that day, or the FGT Alert Day penalty price, whichever is greater.

54

PART VI

INVOICING

21. General

. Bills will be rendered and delivered, on or before the tenth (10

th

) day of each

month, or as soon thereafter as the billing information is available, by LANG to MARKETER-

LANG Customer for Customer Charges and Transportation Charges, and by LANG to

MARKETER for all Peak Supply Charges, Imbalance Charges, Penalties and Administrative

Charges for service during the preceding month. All invoices shall be due and payable by the

fifteenth (15

th

) day of the same month, unless presentation of a bill by LANG is delayed after

the tenth (10

th

) day of the month, in which case the time for payment shall be extended

accordingly. If any amount billed hereunder is not paid when due, then, absent a bona fide

dispute resolved in favor of MARKETER-LANG Customer and/or MARKETER, interest on

the unpaid amount shall accrue at the rate of twelve per cent (12%) per annum from the due date

until the date of payment. If a due date falls on a Saturday, Sunday or legal holiday, the due

date shall be extended until the next business day.

22. Delinquent Accounts.

MARKETER and MARKETER

-

LANG Customer shall be

individually and severally liable for payment to LANG of all invoices remitted by LANG,

delinquent greater than Thirty (30) days, may be terminat

serve MARKETER-

invoices when due. Additionally, MARKETER may, upon providing proof to LANG that

MARKETER- ty (60) days, and

subject to applicable law and the agreement with between MARKETER and its customer,

advise LANG that it is terminating service to MARKETER-LANG Customer. In the event that

-LANG Customers is terminated, or MARKETER

terminates service to MARKETER-LANG Customer for non-payment of account,

MARKETER-LANG Customer shall, contingent on paying all applicable outstanding amounts

due, automatically revert to LANG Commercial Customer status, and continue to receive

natural gas service for the remaining term of the Agreement, subject to all terms and conditions

23. Security Deposit

. Prior to the effective date of this agreement, and prior to the effective

date of all subsequent agreements or renewals, on or before August 31

st

of each year,

MARKETER shall post with LANG a security deposit, security bond or parent guaranty,

acceptable to LANG, in an amount equal to FGT demand charges for the calendar first quarter

Ninety-day period on the released capacity for MARKETER-LANG Customer, as set forth in

PART VII

MISCELLANEOUS

55

24. Representations, Warranties, Indemnification and Breach.

a.

MARKETER represents and warrants that the services

MARKETER is providing to MARKETER-LANG Customer are compliant with

b.

LANG shall, to the extent provided and limited by Florida law,

Section 768.28, Florida Statutes, be responsible for its own acts or omissions

associated with this contract, provided however, nothing herein is intended, nor

shall be

c.

MARKETER shall indemnify and hold LANG harmless from (i) any

and all liability, claims, expenses, damages and costs, from or in conjunction with

any and all acts, errors, omissions, misrepresentations or default of MARKETER

or any of its employees; (ii) any and all losses and damages resulting from,

relating to, or arising out of any misrepresentation or breach by MARKETER or any

of its employees of any warranty, covenant or agreement made or contained in

this contract.

d.

MARKETER-LANG Customer shall indemnify and hold LANG

harmless from (i) any and all liability, claims, expenses, damages and costs, from or

in conjunction with any and all acts, errors, omissions, misrepresentations or

default of MARKETER-LANG Customer or any of its employees; (ii) any and all

losses and damages resulting from, relating to, or arising out of any

misrepresentation or breach by MARKETER-LANG Customer or any of its

employees of any warranty, covenant or agreement made or contained in this

contract.

e.

Breach of any requirement of this Contract by MARKETER

and/or MARKETER-LANG Customer will result in disqualification of the

MARKETER and/or MARKETER-LANG Customer from further participation

in the transportation program. In addition, breach of any provision of this

contract for which an express remedy or measure of damages is provided, such

express remedy or measure of damages shall be the sole and exclusive remedy.

limited to direct actual damages only. Neither party shall be liable for

consequential, incidental, punitive, exemplary or indirect damages, lost profits or

other business interruption damages, by statute, in tort or contract, under any

indemnity provision or otherwise. It is the intent of the parties that the limitations

herein imposed on remedies and the measure of damages be without regard to the

cause or causes related thereto, including the negligence of any party, whether

such negligence be sole, joint or concurrent, or active or passive.

56

25. Independence.

The parties agree that nothing herein shall be deemed to create an

employment agreement, partnership or joint venture between the parties.

26. Assignment.

The terms and conditions of this Agreement shall extend to and be

binding upon the respective successors and assigns of the parties; provided, however, that no party

not

be unreasonably withheld, and any purported assignment without such consent shall be void.

Notwithstanding the foregoing, any party may assign this agreement to any entity that purchases

27. Amendment, Waiver.

The Agreement may not be modified, changed, or amended,

except by a writing signed by all parties. No provision in this Agreement may be waived except by

written consent of all parties. It is further understood and agreed that no failure or delay by any

party in exercising any right, power or privilege hereunder will operate as a waiver thereof, nor

will any single or partial exercise or waiver of a right, power or privilege preclude any other or

further exercise thereof.

28. Change in Legal/Regulatory Environment.

If any provision in this Agreement is

determined to be invalid, void or unenforceable by any court having jurisdiction, such determination

shall not invalidate, void or make unenforceable any other provision, agreement or covenant of this

Agreement. Should an order, ruling or directive of any government entity of competent jurisdiction

materially change the terms of or regulations governing the sale, purchase, transportation or

distribution of natural gas or services related thereto during the term of this contract, any party may

reopen the related contractual provisions for good faith negotiations.

29. Choice of Law, Venue.

This Agreement shall be governed by the laws of the State of

Florida, without regard to the conflict of law principles thereof, and that any action regarding this

Agreement shall be subject to the exclusive jurisdiction and venue of the local, state and federal

courts of Orange County, Florida.

30. Force Majeure.

No party shall be liable for any failure to perform its obligations where such

failure is a result of Acts of God, including fire, flood, earthquake, storm, hurricane or other natural

disaster, war, invasion, act of foreign enemy, hostilities, whether war is declared or not, terrorist

activities, strike, lockout or interruption or failure of power sources. The party whose performance is

prevented by force majeure must provide notice to the other party. Initial notice may be given

orally; however, written notice with reasonably full particulars of the event or occurrence is

required as soon as reasonably possible. Upon providing written notice of force majeure to the

other party, such party shall not be liable to any other party for failure to perform its obligations

under this Agreement due to such causes to the extent and for the duration of force majeure.

57

WHEREFORE

, by the signatures of their authorized representatives below, LANG,

MARKETER and MARKETER-LANG Customer, do each, hereby, agree to the foregoing

Natural Gas Marketing Agreement.

(Signature page follows)

58

IN WITNESS WHEREOF,

Signed, sealed and delivered in our presence:

LAKE APOPKA NATURAL GAS DISTRICT

________________________________________

By:_____________________________________

Print Name: ______________________________

Official Capacity: _________________________

Witness Name:____________________

Print Name:_______________________

Witness Name:____________________

Print Name:_______________________

STATE of ________________________

COUNTY of ______________________

I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State

aforesaid and in the County aforesaid, to take acknowledgements, personally appeared

_____________________________ as ___________________________ of LAKE APOPKA

NATURAL GAS DISTRICT, to me personally known to be the person(s) described in or who has

produced _______________________ as identification, and who did take an oath and who executed

the foregoing Natural Gas Marketing Agreement, consisting of eleven (11) pages, and he/she/they

acknowledged before me that he/she/they executed same.

WITNESS my hand and official seal in the County and State last aforesaid this __________ day of

____________________, 2012.

_________________________________

Notary Public

Print Name:_______________________

My Commission Expires:____________

Commission Number:_______________

59

IN WITNESS WHEREOF,

Signed, sealed and delivered in our presence:

_______________________________________

(MARKETER)

________________________________________

By:_____________________________________

Print Name: ______________________________

Official Capacity: _________________________

Witness Name:____________________

Print Name:_______________________

Witness Name:____________________

Print Name:_______________________

STATE of ________________________

COUNTY of ______________________

I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State

aforesaid and in the County aforesaid, to take acknowledgements, personally appeared

_____________________________ as ___________________________ of

_____________________________, as MARKETER, to me personally known to be the person(s)

described in or who has produced _______________________ as identification, and who did take

an oath and who executed the foregoing Natural Gas Marketing Agreement, consisting of eleven

(11) pages, and he/she/they acknowledged before me that he/she/they executed same.

WITNESS my hand and official seal in the County and State last aforesaid this __________ day of

____________________, 2012.

_________________________________

Notary Public

Print Name:_______________________

My Commission Expires:____________

Commission Number:_______________

60

IN WITNESS WHEREOF,

Signed, sealed and delivered in our presence:

________________________________________

(MARKETER-LANG CUSTOMER)

________________________________________

By:_____________________________________

Print Name: ______________________________

Official Capacity: _________________________

Witness Name:____________________

Print Name:_______________________

Witness Name:____________________

Print Name:_______________________

STATE of __________________________

COUNTY of ________________________

I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State

aforesaid and in the County aforesaid, to take acknowledgements, personally appeared

_____________________________ as ___________________________ of

_____________________________, as MARKETER-LANG Customer, to me personally known

to be the person(s) described in or who has produced _______________________ as identification,

and who did take an oath and who executed the foregoing Natural Gas Marketing Agreement,

consisting of eleven (11) pages, and he/she/they acknowledged before me that he/she/they executed

same.

WITNESS my hand and official seal in the County and State last aforesaid this __________ day of

____________________, 2012.

_________________________________

Notary Public

Print Name:_______________________

My Commission Expires:____________

Commission Number:_______________

61

TARIFF 092214.doc