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<br />sole direction and control. <br /> <br />LCRA, therefore, shall be indivi- <br /> <br />dually liable for any judgments, awards or other legal or <br /> <br />administrative action arising out of or in anywise connected <br /> <br />with claims and lawsuits whe~ein it is alleged that any part of <br />the basis of the cause of action arises out of the activities <br /> <br />of LCRA under this Agreement. <br /> <br />LCRA agrees to indemnify and <br /> <br />hold harmless CITY from any such judgments, awards or expenses <br /> <br />of any nature whatsoever incurred as a result of such claims <br />and lawsuits and agrees to defend CITY at its sole expense, <br /> <br />including attorneys' fees and other costs. <br /> <br />ARTICLE 9 <br />RATES AND CHARGES <br /> <br />9.1 <br /> <br />The rates and charges applicable to wholesale <br /> <br />power and energy purchased from LCRA by CITY shall be at rates <br />for 138kV service as set forth in the Exhibit B attached to the <br /> <br />Wholesale Power Agreement. <br /> <br />For the purpose of calculating the <br /> <br />"Delivery System Charge" under such rates, LCRA will calculate <br /> <br />the metered kw demands at the 138/12.SkV stepdown substations <br />listed in Exhibit A to the Wholesale Power Agreement as though <br /> <br />delivery was at a single 138kV point of delivery during the <br />term of the Operating Agreement. <br /> <br />-28- <br />