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as specified in Exhibit B; and <br />H. WHgREAS, COSTA MESA shall reimburse SANTA ANA without interest the Advanced <br />Expended Funds on or before January 31, 2017, and <br />I. WHEREAS, the Diversion Channel Project is being designed by SANTA ANA, including <br />that portion to be constructed and installed by COSTA MESA'S contractor on the Bristol <br />Street Median Project, as shown in Exhibit "A," attached hereto and incorporated by this <br />reference, and <br />J. WHEREAS, for purposes of regulatory environmental review, SANTA ANA is the lead <br />agency on the Diversion Channel Project and COSTA MESA is the lead agency on the <br />Bristol Street Median Project, and <br />K. WHEREAS, that portion of the Diversion Channel Project that is being constructed and <br />installed by COSTA MESA'S contractor as part of the Bristol Street Median Project is <br />declared by SANTA ANA to be categorically exempt under Section 15301 of the <br />California Environmental Quality Act (CEQA) Guidelines — Class 1(c), (Existing <br />Highways and Streets, Sidewalks, Gutters, Bicycle and Pedestrian Trails, and similar <br />Facilities). <br />NOW, THEREFORE, the parties agree as follows: <br />A. COSTA MESA Rights and Duties: <br />COSTA MESA shall be the lead agency for construction of the Bristol Median Project <br />and shall incorporate into said project, construction of that portion of the Diversion <br />Channel Project to be constricted and installed by COSTA MESA'S contractor on the <br />Bristol Street Median Project, as shown in Exhibit "A" ("Forced Sewer Main <br />Pipeline") COSTA MESA shall provide all construction management. COSTA <br />MESA shall be solely responsible for the administration and performance of the <br />contract awarded to the contractor for the construction of the Bristol Median Project <br />and Forced Sewer Main Pipeline. <br />COSTA MESA shall use the Advanced Expended Funds, in the amount not to exceed <br />$1,100,000.00, for the sole purpose of paying for construction and construction <br />management costs associated with installation of the Forced Sewer Main Pipeline. No <br />work on the Forced Sewer Main Pipeline shall commence until the Santa Ana -Delhi <br />Channel Diversion Project Agreement D15-013 has been approved by all of the <br />Funding Partners, within that agreement. In the event that the Agreement D15-13 is not <br />approved by all of the Funding Partners or, after approval it is later determined that the <br />Diversion Channel will not go forward for any reason, COSTA MESA shall reimburse <br />SANTA ANA the $1,100,000.00 within forty five (45) calendar days of said <br />determination; provided however, if such a determination is made after COSTA <br />MESA's contractor has already completed work on the Forced Sewer Main Pipeline, <br />then COSTA MESA shall withhold from reimbursement the actual costs of <br />Page 2 of 12 <br />