FIRST AMENDMENT TO THE SECOND AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT OF DCP SOUTHERN HILLS PIPELINE, LLC

EX-10.6 5 mlp-2015331_exhibit106.htm EXHIBIT 10.6 MLP-2015/3/31_Exhibit 10.6

Exhibit 10.6

FIRST AMENDMENT TO

THE SECOND AMENDED AND RESTATED

LIMITED LIABILITY COMPANY AGREEMENT OF

DCP SOUTHERN HILLS PIPELINE, LLC

This First Amendment to the Second Amended and Restated Limited Liability Company Agreement of DCP Southern Hills Pipeline, LLC (this "Amendment"), is adopted, executed and entered into as of March 31, 2014, and by and among DCP Pipeline Holding LLC, a Delaware limited liability company, as successor in interest to DCP LP Holdings, LLC (the "DCP Member"), Spectra Energy Southern Hills Holding, LLC, a Delaware limited liability company (the "Spectra Member") and Phillips 66 Southern Hills LLC, a Delaware limited liability company (the "Phillips !Member"). DCP Member, Spectra Member and Phillips Member may be referred to herein, collectively, as the "Members" or each, individually, as a "Member".

RECITALS


A.	Reference is made to that certain Second Amended and Restated Limited Liability Company Agreement of DCP Southern Hills Pipeline, LLC by and among the Members dated as of September 3, 2013 (the "Agreement") (capitalized terms used but not defined herein shall have the meaning given thereto in the Agreement).


B.	The Members desire to amend the Agreement as provided herein.

FOR GOOD AND VALUABLE CONSIDERATION, the receipt and sufficiency of which is hereby acknowledged, the Members hereby agree as follows:


1.	Section 5.2(e) of the Agreement shall be deleted and replaced in its entirety with the following:

"(e) The Members agree that no holder of any Equity Interest in the DCP Member shall Transfer all or any portion of such Equity Interest to any Person other than to a direct or indirect wholly-owned Subsidiary of DCP Midstream Partners, LP that is a disregarded entity for tax purposes, unless such Transfer has first been approved in writing by both the Spectra Member and the Phillips Member."


2.	Section 5.4 (Transfers to Wholly-Owned Subsidiaries) of the Agreement shall be deleted and replaced in its entirety with the following:

"Section 5.4 Transfers to Wholly Owned Subsidiaries. A Member may Transfer all (but not less than all) of its Company Interest to a direct or indirect wholly-owned Subsidiary (i) of the Parent of the Spectra Member (in the case of the Spectra Member), (x) of the Parent of the Phillips Member (in the case of the Phillips Member), or (iii) of DCP Midstream Partners, LP (in the case of the DCP Member), and such Subsidiary shall be admitted as a substitute Member, all without the consent of the other Members, provided that (x) reasonable advance notice of such Transfer is provided to all of the other Members, including for purposes of effecting the provisions of Section 10.3(a), (y) such Subsidiary becomes a party to this Agreement by executing an assumption and adoption agreement in a form reasonably acceptable to all of the other Members, and (z) such Member remains fully liable for the fulfillment of its obligations hereunder. In the case of the DCP

Member, the Subsidiary referenced to in clause (iii) above must be a disregarded entity for tax purposes."


1.	Section 10.5(c) (Notice provisions to the DCP Member) of the Agreement shall be deleted in its entirety and replaced with the following:

"(c) If to DCP Member:

DCP Pipeline Holding LLC

370 17^th Street, Suite 2500

Denver, Colorado 80202

Attention: Chief Executive Officer Fax No.: (303) 605-2225

With a copy to (which shall not constitute notice):

DCP Midstream Partners, LP

370 17^th Street, Suite 2500

Denver, Colorado 80202 Attention: General Counsel Fax No.: (303) 605-2226"


2.	Exhibit A (Delegation of Authority Policy) to the Agreement shall be amended with respect to item 2 under the heading "General Guidelines" by deleting such item 2 and replacing it in its entirety with the following:

"2. Limits stated in this Delegation of Authority apply to matters that will be funded within the Company's Annual Budget. Matters outside of the applicable Approved Annual Budget require approval of the Management Committee, except as expressly delegated to the Delegate under the headings "Leases" and "Disposition of Assets" below."


3.	Exhibit B (concerning Percentage Interests) to the Agreement is hereby replaced with the Exhibit B that is attached hereto as Attachment I.


4.	Except as modified and amended herein, the terms and provisions of the Agreement shall remain in full force and effect.


5.	This Amendment may be signed in any number of counterparts, all of which together shall constitute a single signed original. Facsimiles and photocopies of this Amendment shall have the same force and effect as a signed original.

{REMAINDER OF PAGE INTENTIONALLY LEFT BLANK. SIGNATURE PAGE FOLLOWS.}

IN WITNESS WHEREOF, each of the undersigned has executed this First Amendment to the Second Amended and restated Limited Liability Company Agreement as of the date first forth above.

SPECTRA ENERGY SAND HILLS HOLDING, LLC


By:	/s/ William T. Yardley

Name: William T. Yardley

Title: President

PHILLIPS 66 SAND HILLS LLC


By:	/s/ Diana Santos

Name: Diana Santos

Title: Vice President

DCP PIPELINE HOLDING LLC


By:	/s/ Stephen W. Van Hooser

Name: Stephen W. Van Hooser

Title: Vice President and Deputy General Counsel

ATTACHMENT I

EXHIBIT B

TO SECOND AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT OF

DCP SOUTHERN HILLS PIPELINE, LLC

AMONG DCP PIPELINE HOLDING LLC AND

PHILLIPS 66 SOUTHERN HILLS LLC AND

SPECTRA ENERGY SOUTHERN HILLS HOLDING, LLC

Dated as of March 31, 2014

PERCENTAGE INTERESTS



MEMBER	PERCENTAGE INTEREST
Phillips 66 Sand Hills LLC	33.335%
Spectra Energy Sand Hills Holding, LLC	33.335%
DCP Pipeline Holding LLC	33.330%