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(C) Prior Approvals

1) NEPA

The National Environmental Policy Act (NEPA) requires the DOE to

consider the impact of the project on the environment. Due to the

NEPA requirement the Participant will be required to supply to DOE

certain environmental information and design information before

detailed design work can start.

No DOE funds may be expended by the

Participant on detailed design, construction or operation unless and

until DOE notifies the participant that all NEPA requirements have

been satisfied.

2) Phase Overlap Activities

(a) Overlap activities included in current budget.

Notwithstanding that funds may have been obligated in the current

budget period for phase overlap activities, the Participant shall not

incur costs for any of these activities until prior approval has been

given by the DOE Contracting Officer.

(b) Overlap activities not included in current budget.

The Participant may request DOE approval for revision of a budget for the current budget period to allow for other phase overlap activities not already included in the budget for that period. This request shall include a revised budget for the current period which specifically identifies such activities and shall provide a written explanation of the benefits to accrue by their early initiation.

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All program income (including royalties, revenues during the period of performance, net revenues following the period of performance, and proceeds from the sale of project assets) earned from the activities performed under this Cooperative Agreement or resulting from the supported work, shall inure to the parties in proportion to their relative cost-share contributions. The Government's right to such income shall continue until it has recouped all of its expenditure for the project, or until 20 years have elapsed from the end of the project period, whichever comes first. The Participant shall submit to the DOE a report describing program income and payment of the Government's share on at least an annual basis.

("Revenue," "net revenue," and other program income will be further specifically defined in the Cooperative Agreement to reflect the attributes of the specific project using the principles contained in Section VI.4 of the PON.]

(E) Additional Funds

If at any time during the performance of this Cooperative Agreement the

Participant has reason to believe that the total estimated project costs for

any budget period are insufficient to cover the completion of all work to be

performed under such period, the Participant shall provide the DOE Contract

ing Officer immediate written notice.

Such written notice shall, as a mini

mum, set forth (1) a detailed explanation of the facts and rationale support

ing such determination, (2) a proposed budget detailing the amount of additional funds needed to enable the completion of such period, and (3) the specific amount requested from DOE if DOE is being asked to cost-share in the

additional funds.

Under no circumstance shall the Participant incur any additional costs to be

cost-shared by DOE under this Cooperative Agreement without the prior written

approval of the DOE Contracting Officer.

(F). DOE/Participant Share of Additional Funds

If the use of additional DOE funds are approved by DOE for any phase, and

unless the agreement for additional funds provides for a lesser cost-share by

the Government, the parties to this Cooperative Agreement shall share in any

additional authorized costs in excess of those estimated as of the date of

award in amounts proportional to their respective shares of total project

costs under this Cooperative Agreement.

DOE shall under no circumstances provide additional funds in excess of twenty

five (25) percent (%) of its share of the total estimated project cost as

shown on the initial award document in block 17 of the initial "Notice of

Final Assistance Award."

(G) Total Estimated Project Cost

The DOE and the Participant shall share in the total estimated project costs

of performance of this Cooperative Agreement under each Phase in accordance

with their respective shares as defined below.

The Participant's respective share of total estimated project costs shall

commence on the first day of authorized performance under any Phase and

continue until Phase completion(s) or project termination, whichever occurs

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The amount which Participant will expend for Phase I is:

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(2) Phase II

The amount which DOE will expend for Phase II is:

Amount

DOE Share

$

The amount which Participant will expend for Phase II is:

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The amount which DOE will expend for Phase III is:

Amount

DOE Share

$

The amount which Participant will expend for Phase III is:

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