ORANGE COUNTY WATER DISTRICT - 2014

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A- 2014 -226 CL r., �j LU GREEN ACRES PROJECT RESERVOIR AND CITY OF SANTA ANA RESERVOIR 0 PERIMETER SITE IMPROVEMENT AGREEMENT BETWEEN ORANGE COUNTY 1 WATER DISTRICT AND CITY OF SANTA ANA This GREEN ACRES PROJECT RESERVOIR AND CITY OF SANTA ANA RESERVOIR O PERIMETER SITE IMPROVEMENT AGREEMENT ( "AGREEMENT ") is entered as of SE 1.7 ' 2014 by and between the ORANGE COUNTY WATER DISTRICT, a special governme4al district organized and existing pursuant to the Orange County Water District Act, Chapter 924, Statutes of 1933, as amended ( "OCWD "), and the CITY OF SANTA ANA, a municipal corporation organized and existing under the laws of the State of California ("CITY"). RECITALS A. Approximately two - thirds of all drinking water currently used within northern and central Orange County is provided from groundwater managed and replenished by OCWD. Inasmuch as Orange County is located in a semi -arid area, it is essential that all reasonable efforts be put forth to protect the quality of groundwater supplies and to provide for maximum utilization of that resource. The OCWD Act empowers OCWD to conserve and reclaim water within or outside the boundaries of OCWD, to sell or otherwise put to beneficial use any water or reclaimed wastewater in order to conserve groundwater resources, and to distribute water to persons in exchange for ceasing or reducing the extraction of groundwater from the groundwater basin. B. CITY is a municipal corporation organized and existing pursuant to the laws of the State of California. The CITY is the exclusive retail water purveyor, including water for residential, industrial, commercial, public agency, agricultural and other uses, within the CITY's boundaries. The CITY currently distributes potable water in part produced frorn groundwater within its boundaries. C. OCWD and CITY entered into an agreement on September 21, 1988 entitled AGREEMENT BETWEEN ORANGE COUNTY WATER DISTRICT AND CITY OF SANTA ANA REGARDING DISTRIBUTION AND SALE OF GREEN ACRES PROJECT WATER ( "GAP AGREEMENT"), The GAP AGREEMENT provides for the distribution and sale of recycled water to the CITY through OCWD's Green Acres Project. The CITY in turn sells the recycled water to end - users. OCWD and CITY mutually acknowledge that the use of recycled water for landscape irrigation and other non - potable uses is of mutual benefit to OCWD and the CITY in fulfilling their joint responsibilities for the conservation of water resources in accordance with Sections 13550 and 13551 of the California Water Code. D. OCWD purchased an existing potable water reservoir from CITY in 1995. OCWD converted this reservoir to serve the Green Acres Project recycled water distribution system. The OCWD Green Acres Project reservoir is located adjacent to a CITY potable water reservoir. The two reservoirs share a perimeter fence.