Common use of Operations and Maintenance Clause in Contracts

Operations and Maintenance. Pursuant to Section 10.5 of this Agreement, Developer shall pay the reasonable expenses (including overheads) for the operation, maintenance, repair and replacement of Transmission Owner’s Attachment Facilities and incremental operating and maintenance expenses incurred in association with System Upgrade Facilities, if and to the extent provided for under Attachment S. For Transmission Owner’s Attachment Facilities, such expenses are calculated as follows: a. Contractor expenses for labor, equipment and materials. These expenses shall be invoiced as the actual amount of the Contractors’ invoices, plus, Transmission Owner shall also be entitled to a fee of 5 % of such amount(s). b. Transmission Owner’s labor, craft and salaried personnel directly working on the operation, maintenance or repair of the Transmission Owner Attachment Facilities. These expenses shall be invoiced on the basis of Transmission Owner’s standard labor rate times the number of hours worked (including adjustment for overtime hours, if applicable). Such standard rate is subject to change in accordance with Transmission Owner’s normal budgeting practices. c. Equipment and materials purchased by the Transmission Owner (other than those covered under subsection (a), above). These expenses shall be invoiced on the basis of the actual cost of such material. Transmission Owner shall also be entitled to a fee of 15% of such amount(s). d. Use of vehicles and construction equipment. These expenses shall be invoiced at Transmission Owner’s cost. Transmission Owner shall also be entitled to a fee of 10% of such amount(s). e. Miscellaneous expenses (e.g. local utility charges for power; local telephone/communication fees; other fees such as FAA licenses). These expenses shall be invoiced at Transmission Owner’s cost. Transmission Owner shall also be entitled to a fee of 5% of such amount(s).