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N. NEWPORT BEACH is agreeable to contribute toward the Project construction <br />and make a lump sum payment in the amount of ONE MILLION, FIVE -HUNDRED <br />THOUSAND DOLLARS ($1,500,000), as denoted in Exhibit Cl. <br />0. COSTA MESA is agreeable to contribute toward Project design, construction, <br />and O&M. COSTA MESA agrees to make one lump sum payment for it proportionate share in <br />the costs for the design, construction, and long-term O&M costs in an aggregate amount not to <br />exceed SIX -HUNDRED THOUSAND DOLLARS ($600,000), as denoted in Exhibit Cl. <br />COSTA MESA agrees to accept certain ownership, O&M responsibilities, in accordance with <br />the terms herein, for the Facility pipelines located outside of OCFCD, COUNTY and/or JWA <br />right-of-way. <br />P, IRWD discharges pumped groundwater to the Channel from wells pursuant to <br />certain permits issued by COUNTY. In consideration of the effect of the quantity of such <br />discharges upon the design and capacity of the Project, IRWD is willing to contribute one lump <br />sum payment in the amount of ONE HUNDRED AND NINETY-FIVE THOUSAND <br />DOLLARS ($195,000), as denoted in Exhibit Cl as its share of Project design and construction. <br />IRWD shall not contribute to O&M costs. <br />Q. The Parties contemplated statewide trash amendments by the State Board <br />currently approved "Armendment to the Water Quality Control Plan for the Ocean Waters of <br />California to Control Trash and Part 1 Trash Provisions of the Water Quality Control Plan for <br />Inland Surface Waters, Enclosed Bays, and Estuaries of California," which in the future would <br />be reflected in stormwater MS4 Permits. It is intent of the Parties to collaborate efforts in order <br />for the Project to qualify as an implementation plan, or portion thereof, under such requirements. <br />R. After the Diversion Structure and the Facilities become operational and at any <br />point establish an additional regulatory benefit or credit which may be allocated among the <br />Parties, and/or traded or sold to an outside third party at market-based rates, the Parties desire to <br />clarify herein how a Party might receive its fair share of the economic value generated and <br />realized. <br />S. The Parties further desire that the Agreement address how the Parties may amend <br />their respective financial commitments as specified in Exhibit C2a and C2b by revising the <br />percentages representing then proportionate share to include requiring the contribution from <br />future, additional point source dischargers who benefit from the Project Facilities. <br />T. Therefore, the Parties mutually desire to enter into this Agreement to set forth <br />their respective rights and obligations with respect to the Project development, and the possible <br />construction, and long-term O&M of the Facilities. <br />Santa Ana -Delhi Channel Diversion Project Agreement D15-013 Page 10 of 69 <br />20C-16 <br />