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review and approval of the Parties which are to participate in the proposed right-of-way and /or interest transaction. 2.4.2 Prior to commencing Project construction, SANTA ANA shall work with OCFCD and JWA to obtain from the Irvine Company written concurrence that the proposed Project will not unreasonably interfere with their respective rights or interest in the subject property. 2.4.3 The Parties acknowledge the primary purpose of the OCFCD /COUNTY right -of -way for the proposed Diversion Structure is for flood control purposes and operation of the Channel. If future circumstances necessitate relocation of the Diversion Structure, or if design requires additional right -of -way for the Project beyond that anticipated to be provided, the Parties shall meet and confer in good faith to identify a preferred location or other alternatives which would not impede flood control operations. Costs of relocation shall be the responsibility of the Parties and shall be allocated among the Parties, other than OCWD and IRWD, based on Sponsorship shares as specified in Exhibit C2a attached herein. 2.5 Construction 2.5.1 SANTA ANA shall be responsible for bidding, awarding, and administering the construction contract(s) of the Project in accordance with the terms of this Agreement. 2.5.2 Upon compliance with CEQA, (and NEPA if applicable), certification and approval of all necessary environmental documents, approval by all of the Project Representatives of associated mitigation requirements, receipt of all regulatory agency approvals, final approval of the PS &E and Approved Plans, and acquisition of right -of -way necessary for all work necessary for the Project, then SANTA ANA shall advertise a contract for construction of the Project for formal bids per applicable sections of the California Public Contract Code. The Project Representatives shall have the opportunity to review all bids. If the lowest responsive and responsible bid would cause the Estimated Cost shown in Exhibit C3 (which includes the 20% contingency amount) to be exceeded, then the Project Representatives shall meet and confer and mutually agree by unanimous vote whether (i) SANTA ANA should award a contract for construction of the Project to the lowest responsive and responsible bidder, (ii) SANTA ANA should reject all bids and re -bid the Project, or (iii) the Parties shall terminate or amend this Agreement. If all conditions precedent to construction of the Project set forth in this Agreement have been satisfied, SANTA ANA shall award a construction contract to the lowest responsive, responsible bidder and enter into that contract with the Contractor. SANTA ANA shall obtain advance written approval from Parties Representatives for any construction contract change orders and the implementation thereof. 2.5.3 The Parties agree to cooperate in good faith and exercise best efforts in order to meet grant(s) requirements set forth in Exhibit F, to the best of their knowledge, and to assist the Project in complying with a project schedule established by SANTA ANA to meet the requirements of Project permits and approvals. In addition, certain activities necessary to complete the Project may result in delays, such as securing environmental certifications /approvals, permitting, securing rights -of -way, Force Majeure Events, and /or obtaining necessary approvals of the Parties relative to design and construction of the Project. Santa Ana -Delhi Channel Diversion Project Agreement D15 -013 25G -18 Page 14 of 74