Resolution No. 8677
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RESOLUTION NO. 8677
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION OF
AN AMENDMENT NO. ONE TO THE AGREEMENT BETWEEN THE
CITY OF VERNON AND CENTRAL BASIN MUNICIPAL WATER
DISTRICT REGARDING THE BUYING AND -SELLING OF
RECYCLED WATER AND REPEALING RESOLUTION NO. 8420
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8 WHEREAS, the City of Vernon ("City") is proceeding at this
9 time to develop a 134 MW Combined Cycle Power Plant officially named
10 the Malburg Generating Station (the "Malburg Project") for the purpose
11 of installing additional generating capacity that will yield an
12 efficient, cost-effective, and reliable source of electric generation
13 to the City of Vernon; and
14 WHEREAS, City staff has determined that the cooling water
15 supply for the Malburg Project must be provided by reclaimed water that
16 will require the construction of a pipeline extension as well as a pump
17 station and associated pressure reducing facilities on the Central
18 Basin Municipal Water District ("CBMWD") system; and
19 WHEREAS, on May 22, 2002, the City Council of the City of
20 Vernon adopted Resolution No. 7973 approving an Agreement Between the
21 City and CBMWD Regarding the Buying and Selling of Recycled Water to
22 the Malburg Project (the "Agreement"); and
23 WHEREAS, the City and CBMWD desire to amend the Agreement to
24 clarify the intent of the parties with respect to the Hollydale Pump
25 Station and to clarify the amount of r~claimed water the CBMWD provides
26 to the City; and
27 WHEREAS, on April 7, 2004, the City Council of the City of
28 Vernon adopted Resolution No. 8420 approving Amendment No. One to the
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1 Agreement, in form, (the ~Draft Amendment") with CBMWD; and
2 WHEREAS, following the City Council's approval of the Draft
3 Amendment, but before an actual Agreement was signed by the parties,
4 various issues arose regarding indemnification and cost sharing; and
5 WHEREAS, substantial modifications to the Draft Amendment
6 have been made; and
7 WHEREAS, by letter dated February 24, 2005, Bruce V.
8 Malkenhorst, City Administrator/City Clerk, recommended that an
9 amendment to the Agreement with CBMWD be approved and executed; and
10 WHEREAS, on February 28, 2005, the CBMWD Board approved for
11 execution the revised amendment.
12 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
13 CITY OF VERNON AS FOLLOWS:
14 SECTION 1: The City Council of the City of Vernon hereby
15 finds and determines that the recitals contained hereinabove are true
16 and correct.
17 SECTION 2: The City Council of the City of Vernon hereby
18 repeals Resolution No. 8420 and specifically rescinds the Draft
19 Amendment, it being the intent of the City Council that the revised
20 Amendment No. One to the Agreement with CBMWD supersede the Draft
21 Amendment.
22 SECTION 3: The City Council of the City of Vernon hereby
23 approves the revised Amendment No. One to the Agreement Between the
24 City of Vernon and Central Basin Municipal Water District Regarding
25 the Buying and Selling of Recycled Water in substantially the same
26. form as the copy which is attached hereto as Exhibit A and
27 incorporated by reference.
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SECTION 4:
The City Council of the City of Vernon hereby
2 authorizes the Mayor to execute the revised Amendment for, and on
3 behalf of, the City of Vernon and the City Clerk is hereby authorized
4 to attest thereto.
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SECTION 5:
The City Council of the City of Vernon hereby
directs the City Clerk, or his designee, to send one fully executed
revised Amendment to:
Central Basin Municipal Water District
Attn. General Manager
17140 S. Avalon Blvd., Ste. 210
Carson, CA 90746-1296
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SECTION 6:
The City Clerk of the City of Vernon shall
12 certify to the passage of this resolution, and thereupon and
13 thereafter the same shall be in full force and effect.
14 APPROVED AND ADOPTED this 2nd day of March, 2005.
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AT~ p;
BRUCE V. MALKENHORST, City Clerk
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/~ LEONIS C. MA URG, ayor
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1 STATE OF CALIFORNIA
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COUNTY OF LOS ANGELES
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I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do
hereby certify that the foregoing Resolution, being Resolution No.
8677, was duly adopted by the City Council of the City of Vernon at a
regular meeting of the City Council duly held on Wednesday, March 2,
2005, and thereafter was duly signed by the Mayor of the City of
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Vernon.
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BRUCE V. MALKENHORST, City Clerk
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EXHIBIT
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AMENDMENT NO. ONE TO THE AGREEMENT BETWEEN THE CiTY OF VERNO
AND CENTRAL BASiN
MUNiCiPAL ~TER DiSTRiCT
REGARDiNG THE BUYiNG AND SELLiNG OF RECYCLED ~TER
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5 THIS AMENDMENT is made, entered into and executed in
6 duplicate originals, either copy of which may be considered and used as
7 the original hereof for all purposes, as of this
day of March,
8 2005, in the City of Vernon, County of Los Angeles, California
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16 RECITALS
BY AND BETWEEN
THE CITY OF VERNON, a municipal
corporation (hereinafter referred to
as "City")
4305 Santa Fe Avenue
Vernon, CA 90058
AND
CENTRAL BASIN MUNICIPAL WATER
DISTRICT (hereinafter referred to as
"District" )
17140 S. Avalon Blvd., Ste. 210
Carson, CA 90746-1296
17 City and District enter into this Amendment No. One to the
18 Agreement between the City of Vernon and Central Basin Municipal Water
19 District Regarding the Buying and Selling of Recycled Water (the
20 "Amendment") in recognition of the following:
21 A. On July 15, 2002, City and District entered into an
22 Agreement Regarding the Buying and Selling of Recycled Water (the
23 "Agreement").
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B.
The Agreement was entered into in order to 1) establish
25 the terms and conditions under which recycled water would be provided by
26 District and purchased by City for operation of the Malburg Generating
27 Station (the "Project"), being constructed by City; and 2) to establish
28 a framework for future recycled water sales within the City.
1 C. The Agreement provided that District would be
2 responsible for construction management and inspection for the
3 Hollydale Pump Station, including retaining a firm to provide
4 construction management services.
5 D. City and District want to clarify that their
6 intent in the Agreement is that, although District is responsible
7 for the construction management and inspection services for the
8 Hollydale Pump Station, City shall pay for such capital costs and
9 be reimbursed by District pursuant to the Agreement.
10 E. The Agreement requires City to pay for the cost of
11 power for the booster pump station that needed to be constructed in
12 order to serve City with Reclaimed water.
13 F. City and District want to make clear their intent
14 that City shall not be required to pay for the Hollydale Pump
15 Station power costs that are incurred for serving new customers to
16 the District system beyond the Point-of-Connection as defined in
17 the Agreement.
18 G. The Agreement provides that District will be
19 required to provide City with reclaimed water to meet a peak demand
20 of 1,000 gallons per minute at a minimum pressure of thirty (30)
21 pounds per square inch (PSI).
22 H. City and District desire to amend the agreement to
23 provide that District will be required to provide City with
24 reclaimed water to meet a peak demand of 1,000 gallons per minute
25 at a minimum pressure of forty (40) pounds per square inch (PSI).
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1 NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS SET
2 FORTH HEREIN:
3 SECTION 1: Section 3.B. of the Agreement shall be amended to
4 read as follows:
5 Design, construct, own, operate, and maintain the
6 recycled water distribution system within CITY water
7 department boundaries as shown on the revised Exhibit
8 A, dated July 31, 2003, which is attached hereto and
9 made a part hereof as though fully set forth at
10 length, and in compliance with applicable State
11 guidelines. The boundary for operation and maintenance
12 purposes of the recycled water pipeline shall be at Sta.
13 57+95.768 on Drawing PP-6 of the Recycled Water Pipeline
14 Extension Project as depicted on the revised Exhibit A,
15 dated July 31, 2003. The recycled water pipeline north
16 of this point will be operated and maintained by City
17 and south of this point by District as depicted on the
18 revised Exhibit A.
19 SECTION 2: Section 3.C. of the Agreement shall be amended to
20 read as follows:
21 Design and construct a recycled water distribution
22 pipeline extension as shown on revised Exhibit A,
23 dated July 31, 2003, a booster pump station and the
24 pressure reducing facilities that are outside of CITY
25 water department's service area in compliance with
26 applicable State guidelines. City will be the
27 contracting agency for the construction of the
28 Hollydale Pump Station and will pay for the costs of
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construction pursuant to the Agreement.
SECTION 3: Section 3.E. of the Agreement shall be amended to
3 read as follows:
4 Pay for power at the booster pump station identified
5 in Section 3.C. until the construction and operation
6 of DISTRICT'S potential recycled water pipeline from
7 the City of Pico Rivera connects to the pipeline in
8 CITY identified in Section 3.C., also referred to as
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the Montebello Loop. If DISTRICT adds new customers
to its system beyond the Point-of-Connection which
will utilize the new Hollydale P~mp Station, the City
shall only be required to pay for its proportionate
share of the Hollydale Pump Station monthly power
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costs in accordance with following formula:
City Share = Project Units + (Project Units + New
Customer Units) [Each "Unit" is defined
as 100 cubic feet, or 1 ccf.]
The power charges for new booster pump station
specified in Section 4.1.2 of the Agreement will be
replaced by the City Share in the event new customers
are added beyond the Point-of-Connection.
SECTION 4: Section 3.F. of the Agreement shall be
amended to change all references to "Newell Street" to
"Hollenbeck Street".
SECTION 5: Section 4.C. of the Agreement shall be amended to
read as follows:
Provide recycled water, except during circumstances
beyond its control, to CITY at the PROJECT site to
meet a peak demand of one-thousand (1,000) gallons per
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1 minute and at a minimum pressure of forty (40) pounds
2 per square inch (PSI). The normal flow is expected to
3 be from eight-hundred (800) to nine-hundred (900)
4 gallons per minute. The actual flow will depend upon
5 the operation of the PROJECT.
6 SECTION 6: Section 4.F. of the Agreement shall be amended to
7 read as follows:
8 District will be responsible for the construction
9 management and inspection for the Hollydale Pump
10 Station, including retaining a firm to provide
11 construction management services for the
12 construction activities of the contractor
13 performing the work.
14 SECTION 7: Section 15.B. of the Agreement shall be amended
15 to read as follows:
16 CITY shall indemnify, defend, protect and hold
17 DISTRICT and METROPOLITAN WATER DISTRICT OF
18 SOUTHERN CALIFORNIA and its officers, agents and
19 employees free and harmless from and against any
20 and all claims, demands, losses, damages,
21 liabilities, fines, charges, penalties, orders,
22 judgments and all costs and expenses incurred in
23 connection therewith, including reasonable
24 attorney's fees and costs of defense arising out of
25 the negligent acts by CITY, its contractors or
26 agents, in the performance of this Agreement,
27 except to the extent arising from or caused by the
28 negligence or willful misconduct of DISTRICT,
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1 METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA
2 and its officers, agents or employees.
3 SECTION 8: All of the terms and conditions of the Agreement
4 that are in conflict with this Amendment are hereby repealed. All
5 other provisions of the Agreement and the MOU shall remain' in full
6 force and effect.
7 SECTION 9: This Amendment shall be governed by the laws of
8 the State of California.
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1 IN WITNESS WHEREOF, the parties have caused this Amendment to
2 be executed by and through their authorized officers on the date, month
3 and year first written above.
4 CITY OF VERNON
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By: tf~r~~u~ <
~ LEONIS C. BUR , Mayor
Date:
ATTEST:
11 BRUCE V. MALKENHORST, City Clerk
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APPROVED AS TO FORM:
ERIC T. FRESCH, City Attorney
CENTRAL BASIN MUNICIPAL WATER
DISTRICT
17 Dated:
, 2005
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By:
19 Dated:
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RICH NAGEL, Co General Manager
, 2005
By:
ART AGUILAR, Co General Manager
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Dated:
, 2005
By:
23 ROBERT APODACA, President
24 APPROVED AS TO FORM AND CONTENT:
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STEVEN P. O'NEILL
Lemieux & O'Neill
Attorneys for Central Basin Municipal
Water District
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SUPPORTING
DOCUMENTS
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AMENDMENT NO. ONE TO THE AGREEMENT BETWEEN THE CITY OF VERNO
AND CENTRAL BASIN
MUNICIPAL WATER DISTRICT
REGARDING THE BUYING AND SELLING OF RECYCLED WATER
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5 THIS AMENDMENT is made, entered into and executed in
6 duplicate originals, either copy of which may be considered and used as
7 the original hereof for all purposes, as of this ot~ day of March,
8 2005, in the City of Vernon, County of Los Angeles, California
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BY AND BETWEEN
THE CITY OF VERNON, a municipal
corporation (hereinafter referred to
as "City")
4305 Santa Fe Avenue
Vernon, CA 90058
AND
CENTRAL BASIN MUNICIPAL WATER
DISTRICT (hereinafter referred to as
"District" )
17140 S. Avalon Blvd., Ste. 210
Carson, CA90746-1296
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16 RECITALS
17 City and District enter into this Amendment No. One to the
18 Agreement between the City of Vernon and Central Basin Municipal Water
19 District Regarding the Buying and Selling of Recycled Water (the
20 "Amendment") in recognition of the following:
21 A. On July 15, 2002, City and District entered into an
22 Agreement Regarding the Buying and Selling of Recycled Water (the
23 "Agreement").
24
B.
The Agreement was entered into in order to 1) establish
25 the terms and conditions under which recycled water would be provided by
26 District and purchased by City for operation of the Malburg Generating
27 Station (the "Project"), being constructed by City; and 2) to establish
28 a framework for future recycled water sales within the City.
1 C. The Agreement provided that District would be
2 responsible for construction management and inspection ~or the
3 Hollydale Pump Station, including retaining a firm to provide
4 construction management services.
5 D. City and District want to clarify that their
6 intent in the Agreement is that, although District is responsible
7 for the construction management and inspection services for the
8 Hol~ydale Pump Station, City shall pay for such capital costs and
9 be reimbursed by District pursuant to the Agreement.
10 E. The Agreement requires City to pay for the cost of
11 power for the booster pump station that needed to be constructed in
12 order to serve City with Reclaimed water.
13 F. City and District want to make clear their intent
14 that City shall not be required to pay for the Hollydale Pump
15 Station power costs that are incurred for serving new customers to
16 the District system beyond the Point-of-Connection as defined in
17 the Agreement.
18 G. The Agreement provides that District will be
19 required to provide City with reclaimed water to meet a peak demand
20 of 1,000 gallons per minute at a minimum pressure of thirty (30)
21 pounds per square inch (PSI).
22 H. City and District desire to amend the agreement to
23 provide that District will be required to provide City with
24 reclaimed water to meet a peak demand of 1,000 gallons per minute
25 at a minimum pressure of forty (40) pounds per square inch (PSI).
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1 NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS SET
2 FORTH HEREIN:
3 SECTION 1: Section 3.B. of the Agreement shall be amended to
4 read as follows:
5 Design, construct, own, operate, and maintain the
6 recycled water distribution system within CITY water
7 department boundaries as shown on the revised Exhibit
8 A, dated July 31, 2003, which is attached hereto and
9 made a part hereof as though fully set forth at
10 length, and in compliance with applicable State
11 guidelines. The boundary for operation and maintenance
12 purposes of the recycled water pipeline shall be at Sta.
13 57+95.768 on Drawing PP-6 of the Recycle9 Water Pipeline
14 Extension Project as depicted on the revised Exhibit A,
15 dated July 31, 2003. The recycled water pipeline north
16 of this point will be operated and maintained by City
17 and south of this point by District as depicted on the
18 revised Exhibit A.
19 SECTION 2: Section 3.C. of the Agreement shall be amended to
20 read as follows:
21 Design and construct a recycled water distribution
22 pipeline extension as shown on revised Exhibit A,
23 dated July 31, 2003, a booster pump station and the
24 pressure reducing facilities that are outside of CITY
25 water department's service area in compliance with
26 applicable State guidelines. City will be the
27 contracting agency for the construction of the
28 Hollydale Pump Station and will pay for the costs of
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construction pursuant to the Agreement.
SECTION 3: Section 3.E. of the Agreement shall be amended to
3 read as follows:
4 Pay for power at the booster pump station identified
5 in Section 3.C. until the construction and operation
6 of DISTRICT'S potential recycled water pipeline from
7 the City of Pico Rivera connects to the pipeline in
8 CITY identified in Section 3.C., also referred to as
the Montebello Loop. If DISTRICT adds new customers
to its system beyond the Point-of-Connection which
will utilize the new Hollydale Pump Station, the City
shall only be required to pay for its proportionate
share of the Hollydale Pump Station monthly power
costs in accordance with following formula:
City Share = Project Units + (Project Units + New
Customer Units) [Each "Unit" is defined
as 100 cubic feet, or 1 ccf.]
The power charges for new booster pump station
specified in Section 4.1.2 of the Agreement will be
replaced by the City Share in the event new customers
are added beyond the Point-of-Connection.
SECTION 4: Section 3.F. of the Agreement shall be
amended to change all references to "Newell Street" to
"Hollenbeck Street".
SECTION 5: Section 4.C. of the Agreement shall be amended to
read as follows:
Provide recycled water, except during circumstances
beyond its control, to CITY at the PROJECT site to
meet a peak demand of one-thousand (1,000) gallons per
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:
1 minute and at a minimum pressure of forty (40) pounds
2 per square inch (PSI). The normal flow is expected to
3be from eight-hundred (800) to nine-hundred (900)
4 gallons per minute. The actual flow will depend upon
5 the operation of the PROJECT.
6 SECTION 6: Section 4.F. of the Agreement shall be amended to
7 read as follows:
8 District will be responsible for the construction
9 management and inspection for the Hollydale Pump
10 Station, including retaining a firm to provide
11 construction management services for the
12 construction activities of the contractor
13 performing the work.
14 SECTION 7: Section 15.B. of the Agreement shall be amended
15 to read as follows:
16 CITY shall indemnify, defend, protect and hold
17 DISTRICT and METROPOLITAN WATER DISTRICT OF
18 SOUTHERN CALIFORNIA and its officers, agents and
19 employees free and harmless from and against any
20 and all claims, demands, losses, damages,
21 liabilities, fines, charges, penalties, orders,
22 judgments and all costs and expenses incurred in
23 connection therewith, including reasonable
24 attorney's fees and costs of defense arising out of
25 the negligent acts by CITY, its contractors or
26 agents, in the performance of this Agreement,
27 except to the extent arising from or caused by the
28 negligence or willful misconduct of DISTRICT,
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'" '
1 METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA
2 and its officers, agents or employees.
3 SECTION 8: All of the terms and conditions of the Agreement
4 that are in conflict with this Amendment are hereby repealed. All
5 other provisions of the Agreement and the MOU shall remain in full
6 force and effect.
7 SECTION 9: This Amendment shall be governed by the laws of
8 the State of California.
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;,8 1
1 IN WITNESS WHEREOF, the parties have caused this Amendment to
2 be executed by and through their authorized officers on the date, month
3 and year first written above.
4 CITY OF VERNON
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ATTEST:
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By: '. . ~
,- LEONIS C. MAL URG, M yor
Da te : 1fj (tit J / -$j 6L-I/'O 0-
11 BRUCE V. MALKENHORST, City Clerk
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APPROVE~
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ERIC T. FRE H, City Attorney
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17 Dated: mAt.-e-A L, 2005
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19 Dated: /JJtfllcA 1, 2005
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CENTRAL BASIN MUNICIPAL WATER
~~rr;/J_ ,()
BY:,-~~
RICH NAGEL, Co General Manager
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24 APPROVED AS TO FORM AND
By:
Dated: fJ1tiv reA L, 2005
By:
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--.-')) dfr
STEVEN P~ILL .
Lemieux & O'Neill
Attorneys for Central Basin Municipal
Water District
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BY:
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