Common use of Cost of Operation and Maintenance Clause in Contracts

Cost of Operation and Maintenance. Owner shall pay to Operator all direct costs incurred by Operator relating to Operation and Maintenance Services for the Generation Facilities (including all costs identified in Section 9.3 and any costs incurred by Operator as a consequence of termination hereunder). Such costs shall include all payments made to Operator employees (including payment of wages, salaries, workmen's compensation and other benefits) relating to work performed by such employees while on the premises of any of the Generation Facilities. Operator and Owner acknowledge that all such payments made to Operator employees, relating to work performed by such employees while on Generation Facility premises, are effectively made by Owner, since Owner is responsible for such payments and they are made from funds placed on deposit by Owner for those purposes. Owner shall also pay to Operator the Generation Facility allocated share of other of Operator's costs. Allocation of costs to Operation and Maintenance Services shall be performed in accordance with the methodology agreed-upon from time to time by Owner and Operator.

Appears in 4 contracts

Samples: Operating Agreement (Gulf Power Co), Operating Agreement (Gulf Power Co), Operating Agreement (Gulf Power Co)

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