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FROM . 1 804 225 8356 01-29-96 02:37PM TO 18049703523 =115 P.5/5 • Diem Charge, and the Net Debt Service for other parts of the project is collected from the Member Jurisdictions in equal shares. For example, if 65% of the total Capital Expense is determined to be attributable to the cells and prisoner housing areas, then the Per Diem Charge for Member Jurisdictions shall be calculated to include 65% of the annual Net Debt Service, with the remaining 35% of Net Debt Service being collected equally from the Member Jurisdictions through the Additional Charges for Debt Service. (d) Payment for Costs of Discontinued Capital Project. if for any reason any capital project previously approved by the Member Jurisdictions is not constructed, the Member Jurisdictions shall reimburse the Authority, in shares determined as provided in paragraph (b) of this section, for any Capital Expenses the Authority has already incurred in connection with such discontinued project; provided, however, that the payment required by any Member Jurisdiction under this subsection will be subject to the appropriation of funds for such purpose by the governing body of the Member Jurisdiction. (e) Additional Payments to Cover Debt Service Shortfalls. After the issuance of the Bonds, if the Authority lacks sufficient funds to pay scheduled debt service on the Notes, the Authority will promptly notify the Member Jurisdictions of the • amount of such insufficiency. Upon such notification, the Member Jurisdictions each agree to pay, subject to the conditions contained in this paragraph, a portion of such deficit equal to its Debt Service Component percentage then in effect pursuant to Section 5.1 (a) (3). Any such payment under this paragraph will be subject to the appropriation of funds by the governing body of each Member Jurisdiction and shall constitute a moral, non-binding payment obligation. The obligations of the Members under this paragraph shall expire only upon the payment of the Notes. In no event shall the obligation of any Member Jurisdiction under this paragraph (e) or the immediately preceding paragraph (d) be deemed to constitute a debt within the meaning of the Constitution of Virginia. 11 B. Paragraph (b) of Section 6.6 of the Service Agreement is deleted in its entirety, and paragraph (e) thereof is re -numbered as paragraph (b). C. In all other respects the Service Agreement shall remain in full force and effect. III. EXECUTION OF AMENDED AGREEMENT Upon adoption of these amendments by the Member Jurisdictions and the Authority, their respective chief administrative officials are authorized to execute a conformed copy of the entire Service Agreement, incorporating the foregoing amendments into the original document. 4