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JDK:bc: 10/10/88 determine in their discretion that Project Water is available and that the Project Facilities can accommodate the new or future landscape irrigation or industrial water customer of RETAILER. For purposes of Section 5.4 of this Agreement, the use of Project Water for landscape irrigation or industrial uses shall be presumed "appropriate" if the use of Project Water by a new or future Project Customer for landscape irrigation or industrial applications will neither violate any minimum water quality or health standards established by any federal, state or local agency having jurisdiction over the quality of Project Water, nor significantly and adversely affect either the Project Customer's plantings or the industrial processes or products served by the Project Water. 5.6 In connection with RETAILER's adoption of the Project Rules as part of its rules and regulations, and at the request of RETAILER, OCWD shall cooperate with and assist RETAILER in obtaining from the State of California Water Resources Control Board any necessary certifications, findings or orders authorized under Sections 13550 and 13551 of the California Water Code to require the use of Project Water for landscape irrigation uses within the service boundaries of RETAILER. 5.7 The parties understand and agree that Project Water delivered and sold by OCWD to RETAILER pursuant to the terms of this Agreement has limited uses, and OCWD shall deliver and sell to RETAILER Project Water only for those uses and purposes which are legally permissible under the laws of the 25B-21 -19- EXHIBIT 1