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Docusign Envelope ID:75DE1 COA-9ED13-46135-8348-98EEHE7136513 <br /> AGREEMENT <br /> NOW, THEREFORE, in consideration of the foregoing recitals and the representations, <br /> warranties, covenants, and agreements contained in this Agreement and for other good and <br /> valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, the <br /> Parties hereby agree to the following terms and conditions. <br /> 1. Declaration of a Metropolitan Allocation <br /> Should Metropolitan's Board of Directors take action to declare an allocation and set an <br /> allocation amount to be in effect("Allocation Period")under its Water Supply Allocation Plan, <br /> OCWD and MWDOC will confer with MWDOC's member retail water agencies that pump <br /> water from the Orange County Groundwater Basin, and Anaheim, Fullerton, and Santa Ana <br /> (hereinafter the"Groundwater Producers"). The purpose of this consultation will be, among <br /> other things, for OCWD to discuss the amount of SARCCUP Water it has in storage and to <br /> obtain information regarding the Groundwater Producers' need for Extraordinary Supply from <br /> the SARCCUP program to comply with Metropolitan's imported water allocation. <br /> 2. Pumping of Stored SARCCUP Water <br /> A. Based upon the consultation with the Groundwater Producers and MWDOC, and <br /> prior to the commencement of Metropolitan's Allocation Period, OCWD may act to <br /> incrementally increase its groundwater Basin Production Percentage (hereinafter"BPP") to <br /> incentivize the pumping of SARCCUP Water in storage by the Groundwater Producers. OCWD <br /> may also incentivize additional pumping of SARCCUP Water by the Groundwater Producers <br /> through other basin management tools authorized under the OCWD Act, including, but not <br /> limited to, the use of the Basin Equity Assessment,production limitations, and surcharges. <br /> AO-5296 6 <br />