3. Discussion

The application includes a copy of the Credit Agreement and the related Deed of Trust. Because we have previously approved the terms of the Credit Agreement, the sole question for decision is whether Applicant should be permitted to encumber the Line 600 and Line 700 assets to secure further advances under the Credit Agreement. Applicant represents that such advances are necessary to maintain and improve the encumbered assets.

Crimson represents that it is unaware of any basis on which any person could be, or could claim to have been, injured or otherwise negatively affected by the proposed transaction. Applicant further represents that following the encumbrance of these assets, pipeline operations will be maintained (i) in a manner consistent with existing authorized uses; (ii) in compliance with all applicable federal, state and local laws; and (iii) in accordance with the rates, terms and conditions currently applicable under existing tariffs.

For the foregoing reasons, Applicant is authorized to encumber its public utility assets pursuant to the Credit Agreement and Deed of Trust attached to the application as Exhibits C and D.