ORANGE, COUNTY;ORANGE COUNTY FLOOD CONTROL DISTR.; IRVINE RANCH WATER DISTR., (2)

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3.5.2 During construction OCFCD, COUNTY and JWA, their agents, employees and contractors, shall have adequate access to Project areas, to perform their responsibilities pursuant to any issued CPP, this Agreement, and activities authorized under the Orange County Flood Control Act. OCFCD and COUNTY shall assign the Oversight Inspector to verify that construction .of the Diversion Strac ure and other Facilities on OCFCD and .COUNTY right -of: _ way_ are accomplished in a_good,__workman-good, in_accordazace_with the Approved.. - Plans per OCFCD and COUNTY standard. The Oversight Inspector shall notify JWA and SANTA ANA's Project inspector of any issue with construction per the terms of the CPP. 3.5.3 Upon receipt of notification by SANTA ANA that the Facilities (including the Diversion Structure) have been substantially completed, the CPP Inspector shall conduct a walk-through to provide a list of outstanding items, if any, needed to close out the construction permit. The Oversight Inspector shall communicate his/her concerns on all matters related to construction of Facilities within, or affecting OCFCD and/or COUNTY's right-of-way through SANTA ANA's Project inspector. Upon completion of the construction and satisfaction of all outstanding items, the Director shall provide SANTA ANA with written approval that construction of the Diversion Structure has been completed per the Approved Plans and the related CPP shall be signed off. Upon sign -off of all related CPP at completion of Project construction according to the Approved Plan, OCFCD/COUNTY shall take ownership and long-term O&M. 3.5.4 OCFCD/COUNTY costs associated with the Oversight Inspector, CPP, and any other independent inspection of the Project construction are a Project cost in Exhibit C3. SANTA ANA shall receive invoices accordingly through CPP for payment of said costs. SANTA ANA shall pay invoices as they become due from the Project Fund. OCFCD/COUNTY shall keep appropriate records and accounts supporting amounts invoiced. Said records and accounts shall be subject to reasonable inspection by Project Representatives at their expense and by any Grant funding authorities. 3.6 Grant 3.6.1 OCFCD/COUNTY acknowledges the Project is made possible by virtue of certain Grants and agrees to make every effort to assist and cooperate with SANTA ANA, the Grant Administrator, for the Project to remain in full compliance with the terms of the Grant. 3.7 Operation and Maintenance 3.7.1 Upon OCFCD/COUNTY acceptance of Facilities within OCFCD/COUNTY and/or JWA right-of-way, OCFCD shall either perforin Facility O&M or alternatively, OCFCD shall enter into a contract for a third party ("O&M Contractor") to perform the Facilities O&M. The Facilities shall be operated and maintained in accordance with the terms approved by the Director as set forth in the O&M Manual. An approved O&M Manual pursuant to Section 2.7 above and O&M contracts covering the entire Facilities shall be provided to OCFCD/COUNTY, JWA and COSTA MESA by SANTA ANA prior to completion of Project construction to ensure long-term Facility O&M. In the case where OCFCD or COSTA MESA has chosen to perform their respective O&M duties without the aid of an independent contractor, an O&M contract may not be required. Santa Ana -Delhi Channel Diversion Project Agreement D15-013 Page 19 of 69