Common use of External Affairs Clause in Contracts

External Affairs. Provide services in support of corporate strategies for managing relationships with federal, state and local governments, agencies and legislative bodies. Formulate and assist with public relations, advertising, and external/internal communications programs and with the administration of corporate contribution and community affairs programs. EXHIBIT II SERVICES THE COMPANY AGREES TO RECEIVE FROM DRS SERVICE YES NO 1. Accounting _____ _____ 2. Auditing _____ _____ 3. Legal and Regulatory 4. Information Technology, Electronic Transmission and Computer Services _____ _____ 5. Software Pooling _____ _____ 6. Employee Benefits/Pension Investment _____ _____ 7. Human Resources _____ _____ 8. Operations _____ _____ 9. Executive and Administrative _____ _____ 10. Business and Operations Services _____ _____ 11. Exploration and Development _____ _____ 12. Risk Management _____ _____ 13. Marketing _____ _____ 14. Medical _____ _____ 15. Corporate Planning _____ _____ 16. Supply Chain _____ _____ 17. Rates _____ _____ 18. Research _____ _____ 19. Tax _____ _____ 20. Corporate Secretary _____ _____ 21. Investor Relations _____ _____ 22. Environmental Compliance _____ _____ 23. Customer Services _____ _____ 24. Energy Marketing _____ _____ 25. Treasury/Finance _____ _____ 26. External Affairs _____ _____ EXHIBIT III METHODS OF ALLOCATION FOR DRS DRS shall allocate costs among companies receiving service from it under this and similar service contracts using the following methods: I The costs of rendering service by DRS will include all costs of doing business including interest on debt but excluding a return for the use of equity capital for which no charge will be made to Dominion Companies. II A. DRS will maintain a separate record of the expenses of each department. The expenses of each department will include: 1. those expenses that are directly attributable to such department, and 2. an appropriate portion of those office and housekeeping expenses that are not directly attributable to a department but which are necessary to the operation of such department.

External Affairs. Provide services in support of corporate strategies for managing relationships with federal, state and local governments, agencies and legislative bodies. Formulate and assist with public relations, advertising, relations and external/internal communications programs and with the administration of corporate contribution and community affairs programs. EXHIBIT II SERVICES THE RECEIVING COMPANY AGREES TO RECEIVE FROM DRS PROVIDING COMPANY SERVICE YES NO 1. Accounting Accounting, Treasury and Finance _____ _____ 2. Auditing Legal and Regulatory _____ _____ 3. Legal and Regulatory 4. Information Technology, Electronic Transmission and Computer Services _____ _____ 54. Software Pooling _____ _____ 6. Employee Benefits/Pension Investment _____ _____ 7. Human Resources _____ _____ 85. Operations _____ _____ 96. Executive and Administrative _____ _____ 107. Business and Operations Services _____ _____ 118. Exploration and Development _____ _____ 12. Risk Management _____ _____ 139. Marketing _____ _____ 14. Medical _____ _____ 1510. Corporate Planning _____ _____ 1611. Supply Chain Purchasing _____ _____ 1712. Rates _____ _____ 1813. Research _____ _____ 1914. Tax _____ _____ 20. Corporate Secretary _____ _____ 21. Investor Relations _____ _____ 2215. Environmental Compliance _____ _____ 2316. Customer Services _____ _____ 2417. Energy Marketing _____ _____ 25. Treasury/Finance _____ _____ 2618. External Affairs _____ _____ EXHIBIT III METHODS OF ALLOCATION FOR DRS DRS PROVIDING COMPANY Providing Company shall allocate costs independently to Receiving Company, or, as the case may be, among companies receiving service from it under this and similar service contracts Ancillary Service Agreements using the following methods: I : I. The costs of rendering service by DRS Providing Company will include all costs of doing business including interest on debt but excluding a return for the use of equity capital for which no charge will be made to Dominion CompaniesReceiving Company. II A. DRS Providing Company will maintain a separate record of the expenses of each department. The expenses of each department will include: 1. those expenses that are directly attributable to such department, and 2. an appropriate portion of those office and housekeeping expenses that are not directly attributable to a department but which are necessary to the operation of such department. B. Expenses of the department will include salaries and wages of employees, rent and utilities, materials and supplies, depreciation, and all other expenses attributable to the department. The expenses of a department will not include: 1. those incremental out-of-pocket expenses that are incurred for the direct benefit and convenience of an individual company or group of companies, 2. Providing Company overhead expenses, including expenses of the corporate secretary's department that are attributable to maintaining the corporate existence of Providing Company, and all other incidental overhead expenses including those auditing fees, internal auditing department expenses and accounting department expenses attributable to Providing Company. C. Providing Company will establish annual budgets for controlling the expenses of each department and for determining estimated costs. A. Employees in each department will be divided into two groups: 1. Group A will include those employees rendering service to Receiving Company, and 2. Group B will include those office and general service employees, such as secretaries, file clerks and administrative assistants, who generally assist employees in Group A or render other housekeeping services and who are not engaged directly in rendering service to Receiving Company or a group of Receiving Companies. B. Expenses set forth in Section II. above will be separated to show: 1. salaries and wages of Group A employees, and 2. all other expenses of the department. C. There will be attributed to each dollar of a Group A employee's salary or wage, that percentage of all other expenses of his department (as defined in B above), that his salary or wage is to the total Group A salaries and wages of that department. D. Group A employees in each department will maintain a record of the time they are employed in rendering service to Receiving Company or group of Receiving Companies. An hourly rate will be determined by dividing the total expense attributable to a Group A employee as determined under subsection C above by the productive hours reported by such employee. IV. The charge to Receiving Company for a particular service will be determined by multiplying the hours reported by Group A employees in rendering such service to Receiving Company by the hourly rates applicable to such employees. When such employees render service to a group of Receiving Companies, the charge to each Receiving Company will be determined by multiplying the hours attributable to Receiving Company under the allocation formulas set forth in Section IX of this Exhibit by the hourly rates applicable to such employees. V. To the extent appropriate and practical, the foregoing computations of hourly rates and charges may be determined for groups of employees within reasonable salary range limits. VI. Those expenses of Providing Company that are not included in the annual expense of a department under Section II. above will be charged to Receiving Company as follows: A. Incremental out-of-pocket costs incurred for the direct benefit and convenience of Receiving Company or group of Receiving Companies will be charged directly to such company or group of companies. Such costs incurred for a group of Receiving Companies will be allocated on the basis of an appropriate formula. B. Providing Company overhead expenses referred to in Section II. above will be charged to Receiving Company in the proportion that the charges made to the Receiving Company for costs, other than those set forth in this Section VI, are to total costs incurred by Receiving Company or, as the case may be, to the total of such charges to all Receiving Companies receiving such service. VII. Notwithstanding the foregoing basis of determining cost allocations for billing purposes, cost allocations for certain services involving machine operations and production units will be determined on an appropriate basis established by the Providing Company relating to the direct use of machine equipment or production units. VIII. Monthly bills will be issued for the services rendered to the Receiving Company on an actual or estimated basis. Estimates will normally be predicated on service department budgets and estimated productive hours of employees for the year. At the end of each year, estimated figures will be revised to reflect actual experience during such year and adjustments will be made in amounts billed to give effect to such revision. IX. When Group A employees render services to a group of Receiving Companies, and direct charging of cost is not appropriate, the following formulas shall be used to allocate the time of such employees to the individual companies receiving such service: A. The Service Department or Function formulas to be used when employees render services to all Receiving Companies participating in such service, for the services indicated are set forth below. Service Department Basis of Allocation or Function Corporate Planning: - Capital Budgets Total investment in plant recorded at preceding December 31st. - Operating & Maintenance Budgets Total operating expenses, excluding purchased gas expense, purchased power expense (including fuel expenses), other purchased products and royalties, for the preceding year ended December 31st. Business and Operations Throughput gas and/or electricity load for Services the preceding year ended December 31st.