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<br />. <br /> <br />. <br /> <br />2.5. üperation and OwnershiD ResDonsibilities. After completion of <br />construction of the Program Wells, and review of the Operating Party's distribution system, the <br />Program Agency and Operating Party shall establish a monthly operating yield for the Program <br />Wells, which shall be used in the calculations required under the MWD Agreement. Calculation <br />of the monthly opcrating yield shall consider well performance tests performed by the Southern <br />California Edison Company, the local utility company or The Gas Company (if applicable) and <br />reasonablc load factors. At any time during the term of this agreement the Operating Party may <br />request a new wcll perfonnance test by Southern California Edison Company, the local utility, or <br />the Gas Company (if applicable) to reestablish the program wells operating yields. Changes to <br />the operating yields are intended to account for changes in groundwater pumping levels and well <br />cfficiency reductions due to normal wear and tear. <br /> <br />2.6. Pavrnent for Water Extracted from Storal!e. The Operating Party is <br />responsiblc for payment for water dclivered !Tom the MWD Storage Account and potential <br />penalties for failure to do so pursuant to Section 4.6 of this Contract. However, as between the <br />Program Agency and Member Agency, the Program Agency shall be responsible for payment to <br />Member Agency of all charges and other applicable fees for water delivered !Tom MWD's <br />Storage Account, including but not limited to, scheduled extractions, penalties for failure of the <br />Operating Party to extract the scheduled amount of Stored Water upon proper notice, in the <br />event of cancellation of the MWD Agreement by any party, the charges for the full amount of <br />water remaining in the MWD Storage Account pursuant to Section XIII. B and XIII. C of the <br />MWD Agreement. <br /> <br />2.7. ApDointment 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 wiIl closely coordinate with, <br />routinely meet with, and actively advocate the needs and desires of the Operating Party. <br /> <br />2.8. Well Ooeration 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 Wells. <br /> <br />2.9. Well Energy Cost. The Program Agency wiIl work with the Operating <br />Committee established with the MWD Agreement and the Operating Party to develop the actual <br />energy cost ofthe new Program Wells. <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, as set forth in Paragraph 6.2 below, shall be furnished by the Program <br />Agency. <br /> <br />2.11. In-lieu Storage Deliveries. If requested by Operating Party, during those <br />periods when water is being stored into the MWD storage account by an in-lieu operation, <br />Program Agency and Member Agency wiIl notify and provide Operating Party the option of <br />taking a portion of the in-lieu deliveries in the same percentage as their extraction requirements <br />for the program. <br />