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produced from the Orange County groundwater basin above the BPP formula (with exemptions described further below for pumping that OCWD determines will provide water quality and other benefits) and is intended to increase the cost of producing groundwater in amounts above the BPP formula so that it equals the cost of importing water, thereby encouraging groundwater pumping agencies to supplement their groundwater production with imported water for the portion of their water use that exceeds the BPP. The BEA is a surcharge to discourage, yet still allow for, the production of groundwater in excess of the BPP formula. The BEA for Fiscal Year 2024- 25 is equal to an additional $599 per acre foot for groundwater pumped in excess of the BPP formula Despite the financial disincentive of the BEA, the fact that the City has the ability to pump as much groundwater as the Water System can accommodate provides a reliable source of alternate water supply in the event that MWD water purchases are disrupted. Based on OCWD's methodology, the City paid approximately $11.8 million for Fiscal Year 2018-19, $12.5 million for Fiscal Year 2019-20, $12.7 million for Fiscal Year 2020-21, $12.8 million for Fiscal Year 2021- 22, $12.7 million for Fiscal Year 2022-23, and $16.5 million for Fiscal Year 2023-24 and is projected to be $18.5 million for Fiscal Year 2024-25. Replenishment Assessment. In addition to adjusting the BPP and the BEA annually, OCWD also annually increases the pump tax or Replenishment Assessment (the "RA"), which is the cost that groundwater producers must pay to pump water from the Basin. The RA provides OCWD with the necessary revenue to construct capital improvement projects to enhance Basin production, to protect the water quality of the Basin's supply, and to purchase replenishment water from MWD when available. The RA for Fiscal Year 2023-24 is set at $624 per acre-foot, and for Fiscal Year 2024-25 it is estimated to be approximately $688 per acre-foot. With the energy costs and operational maintenance costs for pumping the groundwater added to the OCWD RA costs, the City pays approximately $1,500 for each acre-foot of groundwater produced. OCWD faces various challenges in managing the Orange County groundwater basin. A description of these challenges, as well as a variety of other operating information with respect to OCWD, is included in certain disclosure documents prepared by OCWD. OCWD periodically prepares official statements and other disclosure documents in connection with its bonds and other obligations. OCWD has also entered into certain continuing disclosure agreements pursuant to which OCWD is contractually obligated for the benefit of owners of certain of its outstanding obligations to file certain annual reports, including audited financial statements and notice of certain events, pursuant to Rule 15c2-12. Such official statements, other disclosure documents, annual reports and notices (collectively, the "OCWD Information") are filed with EMMA at http://emma.msrb.org. The OCWD Information is not incorporated herein by reference thereto, and the District makes no representation as to the accuracy or completeness of such information. OCWD HAS NOT ENTERED INTO ANY CONTRACTUAL COMMITMENT WITH THE CITY, THE TRUSTEE OR THE OWNERS OF THE SERIES 2024 BONDS TO PROVIDE OCWD INFORMATION TO THE DISTRICT OR THE OWNERS OF THE SERIES 2024 BONDS. OCWD HAS NOT REVIEWED THIS OFFICIAL STATEMENT AND HAS NOT MADE REPRESENTATIONS OR WARRANTIES WITH RESPECT TO THE ACCURACY OR COMPLETENESS OF THE INFORMATION CONTAINED OR INCORPORATED HEREIN, INCLUDING INFORMATION WITH REGARD TO OCWD. OCWD IS NOT CONTRACTUALLY OBLIGATED, AND HAS NOT UNDERTAKEN, TO UPDATE SUCH INFORMATION FOR THE BENEFIT OF THE CITY OR THE OWNERS OF THE SERIES 2024 BONDS UNDER RULE 15c2-12. PFAS Miti ag tion. By 2023, the City detected perfluoroalkyl substances ("PFAS") in 16 of the City's groundwater production wells. Impacted Wells are 16, 18, 21, 24, 26, 27, 28, 29, 31, 33, 35, 36, 38, 39, 40, and 41. The levels of PFAS detected in the Impacted Wells were above and below the respective notification and response levels established by the State Water Resources Control Board's Division of Drinking Water ("DDW") at the time. The wells that had detections above the response level were placed on operational standby and the City is currently pursuing the installation of wellhead treatment facilities at six (6) locations. The City, along with other Orange County cities and water districts initiated lawsuits against certain manufacturers over the contamination of water resources with PFAS and is currently involved in multidistrict 21