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FORM 722;37 <br />7-77 <br />PAGE 4 OF 6 <br />12. The COMPANY has determined that the method to be used in developing the relocation <br />or adjustment cost shall be as specified for the method checked and described hereafter: <br />XX (a) Actual and related indirect costs accumulated in accordance with a work order <br />accounting procedure prescribed by the applicable Federal or State regulatory body. <br />(b) Actual and related indirect costs accumulated in accordance with an established <br />accounting procedure developed by the COMPANY and approved by the <br />DEPARTMENT. <br />(c) An agreed lump sum$ , as supported by a detail analysis of <br />estimated cost attached hereto. (Note: This method is not applicable where the <br />estimated cost of the proposed adjustment exceeds $10,000.) <br />13. The installation and/or adjustment of the COMPANY'S facility as planned (lrtUX will not) <br />involve additional work over and above the minimum reimbursable requirements of the DEPART- <br />MENT. (If upgrading and/or nonreimbursable work is involved at the option of the COMPANY, then <br />credit against the cost of the project is required and will be governed by the method checked and <br />described hereafter): <br />(a) % will be applied to the final billing of work actually accomplished to <br />determine required credit for (betterment) and/or (expired service life) and/or <br />(nonreimbursable segments). <br />(b) All work involving nonreimbursable segments will be performed by special COMPANY <br />work or job order number apart and separate from the reimbursable portion of the <br />work; such work or job order number to be . The COMPANY further <br />agrees to clearly indentify such additional work areas in the COMPANY'S plans and <br />estimates for the total work covered by this Agreement. <br />__(c) $ credited for (betterment) and/or (expired service life) <br />and/or (nonreimbursable segments) in accord with Article 12.(c) herein above. <br />14. It is specifically agreed by and between the DEPARTMENT and the COMPANY that the <br />DEPARTMENT shall receive fair and adequate credit for any salvage which shall accrue to the <br />COMPANY as a result of the above adjustment work. <br />15. It is further agreed that the cost of all improvements made during this adjustment work <br />shall be borne by the COMPANY, subject only to the DEPARTMENT bearing such portion of this <br />cost as represents the cost of adjustment of previously existing facility, less salvage credit as set forth <br />in the immediately preceding paragraph. <br />16. Upon completion of the work the COMPANY shall, within one hundred eighty <br />(180) days, furnish the DEPARTMENT with two (2) copies of its final and complete billing of all <br />costs incurred in connection with the work performed hereunder, such statement to follow as closely <br />as possible the order of the items contained in the estimate attached hereto. The totals for labor, <br />overhead, travel expense, transportation, equipment, material and supplies, handling costs and other <br />