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METROPOLITAN WATER DISTRICT 3
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METROPOLITAN WATER DISTRICT 3
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Last modified
1/3/2012 2:37:28 PM
Creation date
9/8/2005 12:14:45 PM
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Contracts
Company Name
Metropolitan Water Distric of Southern California
Contract #
N-2005-079
Agency
Public Works
Expiration Date
12/31/2015
Destruction Year
2020
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<br />7.3 Member Agency agrees that all users ofthe Metropolitan conveyance and distribution <br />system should support the LRP, CCP, and SDP, that such projects provide benefits to <br />Metropolitan and the users ofthe system by making existing distribution and conveyance <br />capacity available for additional delivery, and that under Existing Rate Structure, the <br />Water Stewardship Rate is an element of charges properly adopted by the Metropolitan <br />Board and properly applied to water wheeled through the Metropolitan conveyance and <br />distribution system. <br /> <br />7.4 Should Member Agency file or support litigation, or sponsor or support legislation, that <br />would challenge or be adverse to Existing Rate Structure, as described in Paragraph (a) of <br />Section 7.2, Metropolitan's Chief Executive Officer may file a 90-day notice of intent to <br />terminate this Agreement with Metropolitan's Executive Secretary, with copies to all <br />members of Metropolitan's Board of Directors, and contemporaneously provide Member <br />Agency with a copy of the notice. Within 30 days ofreceipt of such notice, Member <br />Agency shall have the right to request, in writing, mediation of the dispute by a neutral <br />third party with expertise in finance and rate setting. The mediator shall be selected by <br />agreement of the parties, or failing agreement within 60 days of such request for <br />mediation, a mediator shall be selected by the Metropolitan Board of Directors from a list <br />of at least four candidates, one each from Member Agency, and two of which will be <br />supplied by Metropolitan's Chief Executive Officer. The cost of the mediation shall be <br />borne equally by the parties. The request for mediation shall also serve to stay the 90-day <br />notice of intent to terminate, but for no more than 90 days beyond the filing of the notice <br />of request for mediation, unless otherwise agreed in writing by the parties. If mediation <br />does not result in an agreement acceptable to each party to this Agreement within the <br />time provided herein, the notice of intent to terminate shall be reinstated. The <br />Metropolitan Board of Directors shall act to approve or disapprove termination ofthis <br />Agreement, and all of Metropolitan's obligations hereunder shall terminate if approved, <br />on or before the ninetieth day following filing of the notice to terminate or, if mediation <br />has been requested as described above, the ninetieth day following the request for <br />mediation (or other date agreed in writing by the parties.) <br /> <br />7.5 Metropolitan and Member Agency agree that should litigation or legislation brought forth <br />or sponsored by third parties result in changes to Existing Rate Structure, this Agreement <br />will continue in effect unless mutually agreed in writing by the parties. <br /> <br />7.6 Should Metropolitan and its member agencies agree on an alternative rate and revenue <br />structure that obviates the need for this section on Rate Structure Integrity, this section <br />shall be amended or deleted to conform to such action. <br /> <br />7.7 The effective date ofthis Section is April 15, 2005. If Metropolitan's Board of Directors <br />adopts provisions regarding rate structure integrity for inclusion in LRP, CCP and SDP <br />agreements, which differs from that contained above in this Section, the Parties agree that <br />the new provisions shall apply to this Agreement. <br /> <br />Section 8: Notice <br /> <br />8.1 Any communication required to administer this Agreement shall be in writing and will be <br />deemed received upon personal delivery or 48 hours after deposit in any United States <br /> <br />City of Santa Ana <br /> <br />-6- <br /> <br />Agreement No. 66657 <br />
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