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<br />3. Joint Rights and Duties: <br /> <br />a. In the event that expended costs for the PROJECT exceed funds listed in <br />Exhibit "A", SANTA ANA shall be solely responsible for obtaining the <br />additional funding for the increased costs occurring within the jurisdictional <br />boundary of SANTA ANA and ORANGE shall be solely responsible for <br />obtaining the additional funding for the increased costs occurring within the <br />jurisdictional boundary of ORANGE. ORANGE shall be responsible for 50% <br />of the cost for eligible items under the AHRP program and 100% of the cost <br />for non-eligible items as listed in Exhibit "A". <br /> <br />b. ORANGE and SANTA ANA shall be responsible for maintenance and <br />operations within their jurisdictional boundaries for the work done under this <br />PROJECT. <br /> <br />c. Mutual Indemnity Provision: <br /> <br />1. Upon completion of the PROJECT, SANTA ANA shall accept <br />maintenance responsibility for the PROJECT within SANTA ANA <br />jurisdictional limits, and ORANGE within ORANGE jurisdictional <br />limits. <br /> <br />11. Pursuant to Section 8546.7 of the California Government Code, in <br />the event that this Agreement involves expenditures of State funds <br />aggregating in excess of Ten Thousand Dollars ($10,000), both <br />parties shall be subject to the examination and audit of the Auditor <br />General of the State of California for a period of three (3) years <br />after final payment under this Agreement. <br /> <br />111. That neither SANTA ANA nor any officer or employee thereof <br />shall be responsible for any damage or liability occurring by reason <br />of anything done or omitted to be done by ORANGE under or in <br />connection with any work, authority, or duties delegated to <br />ORANGE under this Agreement. It is also understood and agreed <br />that, pursuant to Government Code Section 895.4, ORANGE shall <br />fully indemnify, defend, and hold SANTA ANA harmless from <br />any liability imposed for injury (as defined by Government Code <br />Section 810.8), occurring by reason of anything done or omitted to <br />be done by ORANGE under or in connection with any work, <br />authority, or duties delegated to ORANGE under this Agreement. <br /> <br />IV. That neither ORANGE nor any officer or employee thereof shall be <br />responsible for any damage or liability occurring by reason of <br />anything done or omitted to be done by SANTA ANA under or in <br />connection with any work, authority, or duties delegated to <br />SANTA ANA under this Agreement. It is also understood and <br />agreed that pursuant to Government Code Section 895.4, SANTA <br /> <br />3 <br /> <br />