Capacity Improvement Projects Sample Clauses

Capacity Improvement Projects. (a) Notwithstanding anything to the contrary herein, each Member (the "Sponsoring Member") may require the Company to perform all acts necessary in order to effectuate the construction of a Capacity Improvement Project. In order to initiate such construction, the Sponsoring Member may require the Company to perform a capacity model to determine the expected addition to capacity that would result from the construction of the specified Capacity Improvement Project, such capacity to be measured in the number of potential additional new overhead train movements permitted by such specified Capacity Improvement Project ("New Overhead Train Starts") and/or additional local train movements ("Local Train Starts"). (b) If the Capacity Improvement Project will result in only additional capacity through Local Train Starts, only the KCS Member may cause the Company to construct such Capacity Improvement Project, and such Capacity Improvement Project shall be constructed solely through a capital contribution of the KCS Member. (c) If the Capacity Improvement Project will result in additional capacity through New Overhead Train Starts, then the Member that is not the Sponsoring Member ("Non-Sponsoring Member") shall have the right to require the Company to allocate to such Non-Sponsoring Member up to its share of the New Overhead Train Starts (up to two-thirds to KCSR through the KCSR Joint Use Agreement, if KCSR is the Non-Sponsoring Member or up to one-third to NSR through the NSR Joint Use Agreement, if NSR is the Non-Sponsoring Member),provided, however, that the Sponsoring Member shall always be entitled to at least one New Overhead Train Start. If the Non-Sponsoring Member elects to receive an allocation of New Overhead Train Starts as provided herein, the Capacity Improvement Project shall be constructed through a capital contribution of both Members in proportion to the number of New Overhead Train Starts allocated to each Member. Otherwise, the Capacity Improvement Project shall be constructed solely through a capital contribution of the Sponsoring Member. If either Member declines all or part of its allocation from one or more Capacity Improvement Projects, it may make up the resulting deficit in New Overhead Train Starts in any subsequent Capacity Improvement Project or Projects.