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<br />, . <br /> <br />. <br /> <br />. <br /> <br />pumping levels and well efficiency reductions due to normal wear and tear. <br /> <br />2.6. Payment for Water Extracted from' Storage. The Operating Party is <br />responsible for payment of water delivered from the MWD storage account and potential <br />penalties for failure to do so. However, as between the Program Agency and Member Agency, <br />the Program Agency shall be responsible for payment to Member Agency of all charges and <br />other applicable fees for water delivered from MWD's storage account, including but not limited <br />to, scheduled extractions, penalties for failure of the Operating Party to extract the scheduled <br />amount of stored water upon proper notice, and , in the event of cancellation of the MWD <br />Agreement by any party, the charges for the full amount of water remaining in the MWD storage <br />account pursuant to Section XIII. B and XIII. C ofthe MWD Agreement. <br /> <br />2.7. Appointment of Representative to Operating Committee. The Program <br />Agency shall appoint one of the two representatives to the Operating Committee as provided in <br />Section VI of the MWD Agreement. The Program Agency will closely coordinate with, <br />routinely meet with, and actively advocate the needs and desires of the Operating Party. <br /> <br />2.8. Well Operation and Maintenance Cost. The Program Agency will work <br />with the Operating Committee established with the MWD Agreement to develop the typical <br />operation and maintenance cost of the new program well. <br /> <br />2.9. Well Energv Cost. The Program Agency will work with the Operating <br />Committee established with the MWD Agreement and the Operating Party to develop the actual <br />energy cost of the new program well. <br /> <br />2.10. Insurance. Endorsements evidencing general liability and automobile <br />liability insurance showing the Operating Party as additional insured during the construction <br />phase of the Contract shall be furnished by the Program Agency. <br /> <br />SECTION 3. OBLIGATIONS OF THE MEMBER AGENCY. <br /> <br />3.1. Assistance of the Program Agencv. The Member Agency shall assist the <br />Program Agency in fulfilling the terms of the MWD Agreement. In this capacity, the Member <br />Agency will assist the Program Agency to prepare any documents allowing for and certifying the <br />delivery of MWD water to be stored in the groundwater basin under the MWD Agreement, and <br />the delivery ofMWD Stored Water. <br /> <br />3.2. Processing of MWD Billing. The Member Agency shall forward the <br />MWD invoices for water extracted out of the storage account to the Program Agency. Member <br />Agency shall receive operation and maintenance, and energy power cost reports from Program <br />Agency and submit them to MWD, pursuant to Section VI. E of the MWD Agreement, and shall <br />pass through the MWD credit to Program Agency. <br /> <br />3.3. Appointment of Representative. The Member Agency shall appoint one <br />ofthe two representatives to the Operating Committee as provided for in Section VI of the MWD <br />Agreement. The Member Agency will closely coordinate with, routinely meet with, and actively <br />advocate the needs and desires ofthe Operating Party. <br /> <br />131/022499-0028 <br />388856.01 aDS/la/03 <br /> <br />-3- <br />