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Resolution No. 098581 2 3 4 5 6 7 8 9 10 11 12 13 I= 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 9858 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON SUPPORTING THE THIRD AMENDMENT TO THE CENTRAL BASIN GROUNDWATER ADJUDICATION TO PROVIDE FOR STORAGE AND RECOVERY OF GROUNDWATER AND AUTHORIZING THE CITY TO DO ALL ACTIONS DEEMED NECESSARYIOR ADVISABLE CONCERNING LITIGATION REGARDING THE AMENDMENT WHEREAS, the City of Vernon (the "City"') operates a city municipal water distribution system serving a majority of the retail water users located within the City; and WHEREAS, this City overlies a groundwater basin commonly known as the "Central Groundwater Basin," a subsurface water basin or reservoir, from which the City derives a significant portion of its water for delivery to its citizens and businesses; and WHEREAS, in view of the current statewide emergency and recent severe restriction of water available for import, it is imperative that this City take prudent steps to access and make use of imported supplies of water as and when they become available; and WHEREAS, since 1965, rights to extract and use groundwater within the Central Groundwater Basin have been governed by the terms of the adjudication rendered by the court in the matter of Central and West Basin Water Replenishment District v. Charles E. Adams, et al, LASC Case No. �86,,656 (the "Central Basin Judgment"); and WHEREAS, there exists within the Central Basin a substantial amount of space which has not been optimally utilized for basin management and for storage of native and imported waters; and such space can be prudently used for (i) more efficient procurement and management of water imported to replenish supplies, and for (ii) the 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Norm 18 19 20 21 22 23 24 25 26 27 28 reasonable storage and recovery of water for the benefit of individual parties to the Central Basin Judgment, including this City; and WHEREAS, through a mediated process sponsored and encouraged by the California Department of Water Resources over a period of several years, a significant number of water rights holders, groundwater agencies and other interested parties have developed an agreed framework that, if approved by the court, could provide for better utilization of such storage space for the benefit of the regionf including an orderly process for the management thereof; and WHEREAS, various parties contemplate presenting to the Court a proposed Third Amended Judgment for the Court's consideration, which Amended Judgment would allow for storage and recovery of water 1consistent with the agreed framework; and WHEREAS, the Director of Community Services & Water has recommended that it is in the best interests of the City and the citizens and businesses thereof to support such effort and to encourage the Court to so amend the Central Basin Judgment. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE: CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the recitals contained hereinabove are true and correct. SECTION 2: The City Council of the City of Vernon hereby supports the efforts of the parties to the Central Basin Judgment to implement the Third Amended Judgment and to provide a comprehensive program for meaningful storage and recovery of groundwater. SECTION 3: The City Council of the City of Vernon hereby approves and authorizes the City's participation with other cities and - 2 - 1 2 3 4 5 6 V 8 9 10 11 12 13 14 15 16 Norm 18 19 20 21 22 23 24 25 26 27 28 agencies in proceedings before the Court relating to the Third Amended Judgment, subject to the.City Council's 1 ater approval of any costs involved relating to such participation. SECTION 4: The City Council of the City of Vernon hereby directs the Director of Community Services & Water, or his designee, to advise the appropriate.parties of the City's support respecting the Third Amended Judgment and the City's desire to participate in any court proceeding respecting the Third Amended Judgment. SECTION 5: The City Council of the City of Vernon hereby authorizes the City Administrator, or his designee, to execute any Idocuments necessary to implement and carry out the purposes of any court proceeding and to take such actions deemed necessary or advisable concerning any court proceeding relating to the Third Amended Judgment. SECTION 6: The City Clerk of the City of Vernon shall certify to the passage of this resolution, and thereupon and thereafter the same shall be in full force and effect. APPROVED AND ADOPTED this 9th day of February, 2009 ATTEST: )1�� At"tnL MANUELA GIRON,-Ci-t�y Clerk Leonis 'C. Malburg Name: Title: Mayor / -MajLe-r--PT-e--T-e4:R- - 3 - 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES I, MANUELA GIRON, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 9858, was duly adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Monday, February 9, 2009, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. (S EAL) )�� A,,L M!�NUELA GIROT�—, C--Ay Clerk - 4 - CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: February 17, 2009 TO: Kevin Wilson, Director of Community Services & Water FRO Nelly Giron, City Clerk M: RE: Resolution No. 9858 - A Resolution of the City Council of the City of Vernon Supporting the Third Amendment to the Central Basin Groundwater Adjudication to Provide for Storage and Recovery of Groundwater and Authorizing the City to Do All Actions Deemed Necessary or Advisable Concerning Litigation Regarding the Amendment Transmitted herewith is a copy of Resolution No. 9858 referenced above, which was approved by City Council on February 9, 2009. Thank you. NG: dj C: Resolution No. 9858 April 6, 2009 OFFICE OF THE CITY ATTORNEY Jeff A. Harrison, City Attorney 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 Fax (323) 826-1438 Via Federal ExiDress Edward J. Casey, Esq. Alston and Bird LLP 333 S. Hope St., 16 th Floor Los Angeles, California 90071 Re:, Central and West Basin Water Replenishment District, etc'., v. Charles E. Adams, et al. Los Angeles Superior Court Case No. 786,-656 Dear Edward: Pursuant to your request, enclosed please find a master Joint Prosecution and Coordination Agreement, Central Basin Joint Prosecution and Coordination Agreement and Stipulation to Amend the Central Basin Judgment that have been executed by the City Attorney on behalf of the City of Vernon with respect to the above -referenced matter. If you have any questions, please do not hesitate to call me. Sincerel f A Harrison 1 C itv zj � or " y A ornevy Enclosures cc: Manuela Giron (Resolution No. 9858) Ex,crusivery Industriar OF V CITY ATTORNEY'S OFFICE INTER -DEPARTMENT MEMORANDUM DATE: April 2), 2009. TO: Eric T. Fresch, City Administrator FROM: Jeff A. Harrison, City Attorne�o RE: Central Basin Groundwater Adjudication Central and West Basin Water Replenishment District r. Charles E. Adams, et al., LASC CASE NO. 786,656 (the "'Central Basin Judgment") Dear Eric: On February 9, 2009, the City Council adopted Resolution No. 9858 supporting the efforts of parties in the Central Basin Judgment to present to the Court a Third Amended Judgment for the storage and recovery of groundwater; authorizing the City's participation in any court proceeding relating to the Third Amended Judgment, subject to the City Council's approval of any costs relating to such participation; and authorizing the City Administrator, or his designee,. to execute any documents regarding any court proceeding relating to the Third Amended Judgment. I recommend that the following documents be executed by the City of Vernon as soon as possible once you designate who will be signing them: 1. A master Joint Prosecution and Coordination Agreement providing a framework wherein the parties intend to file and prosecute two consistent and complimentary motions to amend judgments adjudicating the rights and management of the West Basin and the Central Basin. 2. Joint Prosecution and Coordination Agreement for the Central Basin providing the framework wherein the parties will file and prosecute a motion to amend the Second Amended Judgment entered in the action. 3. Stipulation to Amend the Central Basin Judgment. After execution, the documents need to be delivered by overnight mail to the following so that moving papers can be filed by April 10, 2009: Edward J. Casey, Esq., Alston & Bird LLP, 333 S. Hope Street, 16 th Floor, Los Angeles, CA 90071, (213) 576-1005. Enclosures cc: Kevin Wilson (w/o Encls.) PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT JOINT PROSECUTION AND COORDINATION AGREEMENT, This Joint Prosecution and Coordination Agreement ("Agreement") is made by and between the Water Replenishment District of Southern California ("WRD"), the West Basin Municipal Water District ("WBMWD"), City of Los Angeles ("Los Angeles"), City of.Lakewood ("Lakewood"), City of Torrance ("Torrance"), City of Huntington Park ("Huntington Park"), City of Long Beach ("Long Beach"), City of Manhattan Beach ("Manhattan Beach"), City of Inglewood ("Inglewood"), City of Lomita ("Lomita"), City of Vernon ("Vernon"), California Water Service Company ("Cal Water"), and Golden State Water Company ("GSWC"), (each a "Party" and collectively the "Parties"), with respect to the following facts: RECITALS A. The Parties intend to file and prosecute two consistent and complimentary motions ("Motions") to amend the judgments respectively adjudicating the rights and management of the We$t Coast Groundwater Basin ("West Basin") and the Central Groundwater Basin ("Central Basin"). The West Basin and Central Basin adjoin each other in southwest Los Angeles County. The West Basin Judgment was entered in California Water Service Co. et al. v. City of Compton, et al., Superior Court of Los Angeles County, No. 506,806. The Central Basin Judgment was entered in Central and West Basin Water Replenishment District v. Charles Adams, Superior Court of Los Angeles County, No. 786,656. B. Each of the,above-ref6renced judgments reserves jurisdiction to the- court to amend the operable judgment. The Motions will seek to amend the respective judgments to address, among other things, groundwater management and storage in the West and Central Basins (collectively, the "Proceedings"). C. The Parties acknowledge that their interests are aligned with respect to the Proceedings and further acknowledge their. mutual interest in communicating and sharing information to facilitate the efficient preparation and prosecution of the Proceedings. D. The Parties intend to jointly share in the fees and costs incurred for the services provided by certain expert witnesses retained to provide testimony in support of the Motion,, including the fees and costs associated with the services provided by Dr. David Sunding ("Sunding"). E. The Parties desire to preserve the confidentiality of all documents and information otherwise protected by a legal privilege (including the attorney -client privilege and the attorney work product privilege), which they may provide to one another and their respective counsel, subject to the further provisions of this Agreement. SB 497177 0:010625,0002 3/30/09 F. The Parties enter into this Agreement to preserve the confidentiality of exchanged information, and to set forth the terms of their agreement for joint prosecution of the Motion. NOW THEREFORE, in consideration of the mutual covenants contained herein, and for other good -and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the Parties agree as follows: 1. CONFIDENTIALITY 1.1 Confidential Information. The Parties agree that,, in furtherance of their common interests, they may share confidential information protected by the attorney - client privilege, the work product doctrine, the common interest doctrine, the joint prosecution/defense. doctrine, and/or any other similar doctrine or privilege ("Confidential Information"). Such Confidential Information, whether oral or in writing, may include, without limitation, confidential client information; mental impressions; factual and legal analyses; memoranda of law, fact or strategy; factual investigations; witness interviews; consultant's reports; expert witness materials; draft pleadings and court filings; and information arising from the consultations among the Parties. When used in relation to Confidential Information, . the term "Party" or "Parties" shall encompass each Party's legal counsel and any liaison counsel that one or more of the Parties may designate to coordinate between and among the Parties. The Parties further agree and acknowledge that: (a) The attorney -client privilege, work product protection, or any other privilege or protection that may apply as it relates to Confidential Information covered by this Agreement may not be waived except with the written consentof all Parties. (b) All Confidential Information shared and disclosed between and among the Parties will be deemed to be undertaken pursuant to their common interest; (c) Confidential Information will be protected from disclosure by the attorney -client privilege, the work product doctrine, the common interest doctrine, the joint prosecution/defense doctrine, or any other applicable doctrine or privilege even if it is shared among the Parties; (d) The full privileged statu's that may be asserted as to any Confidential Information shared pursuant to this Agreement shall be of the same privileged legal force and effect as if no sharing had occurred; and (e) The protections and privileges associated with any Confidential Information shared pursuant to this Agreement may not be waived by any of the Parties without the prior written consent of the privilege holder, provided, however, that if any Party or its counsel (or any Party's or counsel's consultants) receives any valid legal or judicially imposed request or demand, by subpoena or otherwise, for any Confidential Information that is received from any of the other Parties or their counsel or counsel's Page 2 of 20 SB 497177 v4:010625.0002 3/30/09 consultants, the first Party shall, within five (5) business days, notify the other Parties of the request or demand. Each Party will take all reasonable Steps necessary to permit the assertion of all applicable rights and privileges with respect to privileged communications, memoranda and documents, and shall fully cooperate with the other Parties or their counsel to prevent such disclosure or waiver of any privilege. (f) The contents of consultations among the Parties and all Confidential Information will be maintained in strictest confidence and used only for purposes of the Proceedings. No Confidential Information may be used by any Party'.mi a manner adverse to any other Party regardless of whether this Agreement has otherwise ,terminated or the Party has withdrawn from the Agreement, except that nothing herein shall restrict the use of any information or materials which were in fact or which would be capable of being independently derived by a Party (or its consultants or experts). Further, nothing herein is intended to limit or prohibit: (a) any Party from using or developing for -its own separate use, any information, technical, legal, or other work product; or (b) retaining its own consultants or experts. Further, nothing in the Agreement shall preclude any of the Parties from communicating confidentially with their own counsel, consultants, and experts. 1.2 Disclosure of Confidential Information'. The Parties agree to exercise good faith efforts not to give, show, make available, or communicate in any way Confidential Information to anyone other than: (a) counsel representing the Parties to this Agreement and their staff; (b) employees of the Parties to the Agreement; and (c) consultants hired by counsel or the Parties to as authorized under this Agreement for the purpose of prosecuting the Proceedings. All persons permitted access to Confidential Information shall be specifically advised of the terms of this Agreement and that they must abide by its terms and take all steps reasonably necessary to protect the confidentiality of,the Confidential Information. 1.3. No Duty to Share Confidential Information. Nothing in this Agreement obligates any.Party or its respective counsel to communicate or share any privileged or confidential materials or information with any other Party, counsel or anyone else. 1.4 No Restriction on Disclosing Party's Own Documents or Information. Nothing in this Agreement precludes any Party or its counsel from disclosing the Party's own independently developed or controlled documents or information to a third party regardl ess of whether such documents or information have previously been disclosed to another Party as Confidential Information, except to the extent,that such documents or the information contained in such documents are based upon the Confidential Information provided by another Party to thi's Agreement. Page 3 of 20 SB 497177 0:010625.0002 3/30/09 2. JOINT PROSECUTION 2.1 Term, Termination, Withdrawal, and Return of Confidential Information. This, Agreement shall remain in effect until terminated, which shall occur upon termination of the Proceedings, by mutual agreement of the Parties, or as to a withdrawing Party, by the withdrawal of a Party from this Agreement (collectively "Termination"). The withdrawal of one Party shall not cause a termination of the Agreement among the remaining (non -withdrawing) Parties,. Moreover, the withdrawal from this Agreement by a Party shall not relieve the withdrawing Party, or its agents or counsel, from the'continuing obligation under this Agreement to maintain the privileged nature and confidentiality of all Confidential Information obtained pursuant to this Agreement. Any Party may withdraw from this Agreement upon written notice to the other Parties' counsel. In such event, the Parties and their counsel shall: (1) immediately (a) return all Confidential Information to counsel of the Party providing the same without retaining copies thereof, or, (b) at the option of the Party who made such Confidential Information avail ' able, destroy such materials and, in either case, certify in writing that all such materials have. been returned or destroyed, as the case may be; and (2) continue to be bound by this Agreement with regard to any information learned or obtained pursuant to this Agreement. Any such withdrawal will be solely on a prospective basis, and any Confidential Information made available by any Party prior to such Party's receipt of such a notice of withdrawal shall continue to be governed by the terms of this Agreement. 2.2 No Obligation to Pursue Proceeding; Independent Representation. Nothing in this ' Agreement shall create any obligation to pursue the Proceedings or prevent any Party from withdrawing from the Proceedings. Further, nothing in this Agreement shall be construed to affect the separate and independent representation of each Party by its respective counsel, nor shall anything contained in this Agreement be deemed to create an attorney -client relationship between any attorney and anyone. Each Party represents that it is represented exclusively by its own counsel. Each counsel participating in thi ' s Agreement on behalf of a Party is obligated to maintain the confidentiality of information as specified in this Agreement, but each counsel does not act on behalf of any person other than his or her client. No Party shall have authority to waive any applicable privilege or doctrine on behalf of another Party; nor shall any waiver of an applicable privilege or doctrine by the conduct of a Party be construed to apply to the other Parties. The fact that any attorney or law firm has entered into this Agreement shall not be used as a basis for seeking to disqualify any counsel or law firm from representing any Party in this or any other proceeding. No attorney or law firm that has entered into this� Agreement shall be disqualified from examining or cross-examining ,any person who appears as a witness at a deposition, trial or other proceeding in the Proceedings, whether under a grant of immunity or otherwise, because of such attorney's or law firm's participation in this Agreement. 2.3 Future Adversarial Relationships. Before entering into this Agreement, each Party has been fully advised by its counsel of the possibility that a Party may later become a witness against other Parties or take positions adverse to other Parties. Each Page 4 of 20 SB 497177 v4:010625,0002 3/30/09 Party acknowledges that, while the precise nature of each:possiblo conflict of interest cannot be currently identified, its counsel has informed it of the general nature of the conflicts that might arise. The joint defense privilege described herein and recognized by this Agreement, and any and all other applicable privileges and protections, shall not be destroyed or impaired as to any Confidential Information exchanged pursuant to this Agreement and, in fact, is specifically preserved as to any Confidential Information exchanged pursuant to this Agreement if adversarial relationships subsequently arise between the Parties. 3. COSTS 3.1 Expert Witnes& Costs. All fees and costs incurred for the services provided by the expert witnesses retained either jointly by the Parties, or in coordination with counsel for VVRD, and in furtherance of the Proceedings, including the fees and costs associated with the retention of Sunding (collectively "Expert Witness Costs") (estimated to be $192,700 for the Motions) shall be apportioned between and among the Parties to this Agreement as follows: (a) Los Angeles, Lakewood, Huntington Park, Long Beach, Vernon, Cal Water, and GSWC ("Central Basin Parties") shall bear seventy-three percent (73%) of the Expert Witness Costs. The proportionate division of responsibility for the Expert Witness Costs between and among the Central Basin Parties is more particularly described in the separate Joint Prosecution and Coordination Agreement for the Central Basin concurrently entered into by VVRD, Los Angeles, Lakewood, Huntington Park, Long Beach, Vernon, Cal Water, and GSWC, effective January 1, 2009. The Central Basin Parties shall pay their share of the Expert Witness Costs within thirty (30) days of the receipt of the invoice from WRD. (b) Los Angeles, Torrance, Manhattan Beach, Inglewood, Lomita, Long Beach, WBMVVD, Cal Water, and GSWC ("West Basin Parties") shall bear twenty- seven percent (27%) of the Expert Witness Costs, as more particularly described in the separate Joint Prosecution and Coordination Agreement for the West Coast Basin concurrently entered into by Los Angeles, Torrance, Manhattan Beach, Inglewood, Lomita,Long Beach, VVBMWD, Cal Water, and GSWC, effective January 1, 2009. The West Basin Parties 'shall pay their share of the Expert Witness Costs within thirty (30) days of the receipt of the invoice from VVRD. 3.2 Filing Costs. The costs associated with filing the Motions (estimated to be $37,300), including: (1) assembling, copying, printing, labeling and binding the Motions and all associated exhibits, supporting declarations and related pleadings; (2) court filing fees and attorney service fees; and (3).service on all parties (collectively, "Filing Costs"); shall be apportioned between and among the Parties to this Agreement in the same manner as Expert Witness Costs. 3.3 Cap on Costs. No party shall be responsible for its share of any amount of costs (Expert Witness Costs and Filing Costs) in excess of $250,000 unless all of the Page 5 of 20 SB 497177 v4:010625.0002 3/30/09 Central Basin Parties and all of the West Basin Parties have provided written consent to that amount. 3.4 Parties Individually Responsible for Separate Legal Costs. With the exception of the Expert Witness Costs and Filing Costs, provided for herein, each Party s I hall be solely and exclusively responsible for any cost, expense, or fee. arising from a Party's separate legal counsel, expert witnesses, or other independent legal expense. 4. JOINDER OF ADDITIONAL PARTIES TO THIS AGREEMENT. 4.1 Following the Effective Date of this Agreement, asthat term is defined in Section 5.9 of this Agreement, this Agreement may be am -ended to join additional Parties who will join in one or both of the Motions. Any party to the West Basin Judgment or the Central Basin Judgment possessing an adjudicated water right may become a Party to this Agreement. Parties wishing to join this Agreement after the Effective Date must: (1) send written notice to counsel for all then -existing Parties to this Agreement, representing that the new Party has agreed to be bound by all terms and conditions of this Agreement; and (2) execute this Agreement. I I 5. OTHER PROVISIONS 5.1 Conflict of Interest Waiver. Each of the Parties has had full opportunity to consult with its separate counsel concerning the terms and conditions of this Agreement, is fully'informed of those terms and conditions, and has concluded that the risk of any potential conflict of interest is outweighed by the benefits of cooperation and shared information in the preparation for, and prosecution of, the Proceedings. Accordingly, each Party waives any potential conflict of interest with respect to the arrangements created under this Agreement and agrees that the sharing of confidential information and cooperation in the preparation for, and prosecution of, the Proceedings shall not. constitute grounds for seeking disqualification of counsel in the Proceedings or any other action. 5.2 Authority. The individuals signing this Agreement in their respective capacity warrant that they have the authority to do so on behalf of the entities they represent. 5.3 Binding Effect. This Agreement shall both inure to the benefit of and be binding upon each of the Parties and their respective officers, partners, members, directors, employees, agents, parents, subsidiaries, attorneys, affiliates, successors, and assigns. 5.4 Form of Notice. Any notices to be made under this Agreement shall be made by facsimile and U.S. mail to legal counsel for the Parties. . Page 6 of 20 SB 497177 v4:010625.OG02 3/30/09 5.5 Form of Execution. This Agreement may be executed by facsimile and in any number of counterparts, each of which shall be deemed ari original, and all of which together shall constitute one instrument. 5.6 Modification. Any modification or amendment to this Agreement shall be of no force and effect unless it is in writing and signed by all Parties to the Agreement. 5.7 Severability. If any provision of this Agreement is invalid, illegal or unenforceable, such provision shall be deemed to be severed, or deleted from this Agreement and the balance of this Agreement shall remain in full force and -effect notwithstanding such invalidity, illegality or unenforceability. 5.8 Further Assurances. At any time and from time to time after the date hereof, each Party agrees. to take such actions and to execute and deliver such documents as the other Party may reasonably request to effectuate the purposes of this Agreement. 5.9 Specific Performance. In addition to any remedy available in law or equity, the obligations of each Party under this Agreement shall be subject to a court order requiring specific performance, which order can be applied for by any other Party on an ex parte basis; 5.10 Effective Date. Upon the full execution of this Agreement by the Parties, the Effective Date of this Agreement shall be January 1, 2009. [Signatures on the following pages] Page 7 of �20 SB 497177 v4:010625.0002 3/30/09 Water Replenishment District of Southern California By: (Name) Its: (Title) Page 8 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: City of Los Angek's By: (Name) Its: (Title) Page 9 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: City of Lakewood By: (Name) Its: (Title) Page 10 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: City of Torraifice By: (Name) Its: (Title) Page 11 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497 177 v4:010625.0002 3/30/09 DATED: City of Long Beach By: (Name) Its: (Title) Page 12 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: DATED: Golden State Water Company By: (Name) Its: (Title) APPROVED AS TO, FORM BROWNSTEIN HYATT FARBER SCHRECK, LLP By: Stephanie Osler Hastings Attorneys for Golden State Water Company Page 13 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: City of Huntington Park By: Greg Korduner City Manager DATED: APPROVED AS TO FORM LEAL-TREJO, LLP By: Hugo Franc'isco Leal Attorneys for City of Huntington Park Page 14 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: California Water Service Company By: (Name) Its: (Title) DATED: APPROVED AS TO FORM NOSSAMAN LLP By: Frederic Fudacz Attorneys for California Water Service Company Page 15 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: West Basin Municipal Water District., By: (Name) Its: (Title) Page 16 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 930/09 DATED: City of Manhattan Beach By: (Name) Its: (Title) Page 17 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: DATED: City of Inglewood By: Roosevelt Dom Mayor APPROVED AS TO FORM OFFICE OF THE CITY ATTORNEY CITY OF INGLEWOOD By: Cal Saunders City Attorney for City of Inglewood Page 18 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4.010625.0002 3/30/09 DATED: City of Lomita By: (Name) Its: (Title) Page 19 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 DATED: April 6, 2009 City of Vernon. By: me)JVf A. Harrison Its: titly Attorney (Title) ATT48T: Byll�Zb,w,tjl�) /(r - 1,L4 Manu�ia di`ron�,-Ci Clerk ' Page 20 of 20 JOINT PROSECUTION AND COORDINATION AGREEMENT SB 497177 v4:010625.0002 3/30/09 PRMLEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN, 1. BACKGROUND AND THE PARTIES This Joint Prosecution Agreement (this "Agreement") is made by and between the City of Long Beach ("Long Beach"), the City of Lakewood ("Lakewood"), the City of Los Angeles ("L.A.") ' the City of Huntington Park ("H.P."), the City of Vernon ("Vernon"), Golden State Water Company ("GSWC"), California Water Service Company ("Cal Water") and the Water Replenishment District of Southern California ("WRD") (each a "Party" and collectively the "Parties"), with respect to anticipated legal proceedings before the Los Angeles Superior Court (the "Court") in Case No. 786,656 (the "Action") that will involve the filing and prosecution of a motion ("Motion") to amend the Second Amended Judgment entered in the Action (the "Central Basin Judgment") to address, among other things, groundwater storage (die "Proceedings"). II. MUTUALITY OF INTEREST A. The Parties acknowledge that their interests are aligned with respect to the Proceedings and further acknowledge their mutual interest in communicating and sharing information to facilitate the efficient preparation and prosecution of the Proceedings. Accordingly, the P arties agree to preserve the confidentiality of all documents and information otherwise protected by a legal privilege (including the attorney -client privilege and the attorney work product privilege) that they may provide to one another. Disclosure of the documents and information shall be limited to the Parties, their respective counsel ("Counsel"), and employees of Counsel, subject to the furtlier provisions of this Agreement. B. All d ' isclosures of documents and information among the Parties are and will be made solely for purposes of furthering the interests of the Parties in the Proceedings. Ill. MAINTENANCE OF PRIVILEGE C. The exchange of documents and information and any communications or discussions among Counsel concerning the Proceedings will not constitute a waiver of any privilege from. disclosure, including the attorney -client privilege and the work product. , The Parties and their Counsel agree that any consultations among Counsel or their clients, and an I y sharing or pooling of work product or other confidential documents concerning the Proceedings, are reasonably necessary for the accomplishment of the purpose described in Section II-B, above. D. The Parties and their respective Counsel agree that the contents of consultations among the Parties or Counsel as w . ell as databases.or other attomeymork product will be maintained in strictest confidence and used only for purposes of the Proceedings. LEGAL02/31235924v3 3/30/09 E. Absent an order of the Court compelling disclosure, documents and information exchanged pursuant to this Agreement shall not be disclosed to any other person without the written consent of all Parties to this Agreement. The Parties and their respective Counsel agree that the attorney -client privilege, work product protection, or any other privilege or protection that may apply as it relates to- the consultations, information, databases, and other documents covered by this Agreement may not be waived except with the written consent of all Parties. The Parties to this Agreement shall make all appropriate objections and motions with respect to any subpoenas or other discovery requests that purport to seek documents or information covered by this Agreement. F. Nothing in this Agreement shall obligate any Party to exchange documents or information, withany other Party. IV. COSTS G. Expert Witness Costs The Parties intend to jointly share in the costs associated with the preparation of expert testimony, both written and verbal, which the Parties intend to offer during the Proceedings ("Expert Witness Costs"), including the costs associated with the retention of Dr. David Sunding ("Sunding") (estimated to be $192,700'for the Motion and the West Basin Motion, defined.below), an expert witness originally retained by VVRD. The Parties agree that the information developed by such experts shall,remain privileged and confidential as provided under this Agreement. 00 As set forth in the Master Joint Prosecution and Coordination Agreement, the Parties acknowledge that 27% (twenty-seven percent) of the Expert Witness Costs, shall be paid by parties to the judgment (the "West Basin Judgment") entered in Los Angeles Superior Court (Case No. 506,806) concerning a similar motion to amend the West Coast Groundwater Basin Judgment (the 'West Basin Motion") pursuant1to other agreements. The remaining share, specifically 73% (seventy-three percent), of the Expert Witness Costs that are not paid by the parties to the West Basin Judgment shall be referred to for purposes of this Agreement as the "Central Basin's Share of Expert Witness Costs." The contribution of each Party to this Agreement to the "Central Basin's Share . of Expert Witness Costs shall be determined pursuant to a cost -sharing formula to be based on the rights to extract water from the Central Groundwater Basin, which water rights are described in the Central Basin Judgment. The existing water rights held by Long Beach, Lakewood, L.A., H.P., Vernon, Cal Water and GSWC are set forth in Exhibit A to this Agreement. More specifically, each Party's contribution shall be.equal to (1) the, dollar -2-, LEGAL02/31235924v3 3/30/09 amount of the Central Basin's Share of Expert Witness Costs, multiplied by (2) a fraction, the numerator of which shall -be the water rights held by the Party in the Central Basin and the deriominator of which shall be the total amount of the water rights held by all of the Parties to this Agreement in the Central Basin. (iii) Within twenty (20) calendar days after the fall execution of this Agreement, WRD shall send to all other Parties copies of Ihe invoices that have been submitted by Sunding. Within thirty (30) calendar days of their receipt of those invoices, the Parties, except for Long Beach, shall submit their reimbursement check for their respective share of those Sunding invoices to Long Beach, Within fifteen (15) calendar days of its receipt of the last'of those reimbursement checks, Long Beach shall submit a single check to WRD in an amount e4ual to Long Beach's share of the past Sunding invoices plus the iotal of the reimbursement checks that Long Beach received from all other Parties for the past Sunding *invoices. The Parties shall follow the same reimbursement and payment procedure for all invoices submitted by Sunding to WRD subsequent to the date of the full execution of this Agreement. VVRD shall use all funds received from -the Parties pursuant to the above process solely for the purpose of paying Sunding. (iv) In the event the Parties to this Agreement seek to retamit an expert witness subsequent to the Effective Date of this Agreement, the costs of such expert shall be borne by the Parties in accordance with the cost sharing formula provided for in paragraph G (ii), provided, however, that any Party may decline to ' share in the costs of any future. expert. Any such Party who so declines, shall notbe responsible to pay for the costs of said expert and shall not be entitled to receive any information developed by said expert. The remaining Parties shall share in the costs of said expert according the cost -sharing formula provided in paragraph G (ii), but as adjusted for the non-inc ' lusion of the declining Party. Any such subsequent retained expert shall be paid in the manner described in Section G (iii), above. H. Filing Costs (i), The costs associated with filing the Motion (estimated to be $37,300 for the Motion and the West Basin Motion), including: (1) assembling, copying, printing, labeling and binding the Motion and all associated exhibits, supporting declarations and related pleadings; (2) court filing fees and attorney service fees; and (3) service on all parties (collectively, "Filing Costs"); shall be apportioned between and among the Parties to this Agreement in the same manner as Expert Witness Costs'. The billing procedures -3- LEGAL02/31235924v3 3/30/09 for the Filing Costs shall be the same as for the Central Basin's Share of Expert Witness Costs. (ii) No Party shall be responsible for its share of any amount of the Central Basin's Share of Expert Witness Costs and Filing Costs that exceed $182,500 unless all Parties have provided written consent to that amount. L Joinder of Additional Parties (i) As provided in Section V, below, any party to the Central Basin Judgment possessing an adjudicated water right may become a Party to this Agreement after the full execution of this Agreement by the Parties identified in Section 1, above. Any future Party to this Agreement shall'reimburse the then existing Parties for the previously incurred Expert Witness Costs in an amount equal to the (1) the dollar amount of the previously incurred Expert Witness costs, multiplied by (2) a fraction, the numerator of which shall be the amount of water rights held in the Central Basin by the new Party and the denominator of which shall be the total amount of water rights held in the Central Basin by the existing Parties to this Agreement and the new Party. V. OTHER PROVISIONS J. After the Effective Date of this Agreement (as defined in paragraph U, below), any party to the Central Basin Judgment possessing an adjudicated water right thereunder may become a Party to this Agreement by sending written notice to Counsel for all then existing Parties to this Agreement that represents that the new Party has agreed to be bound by all terms and conditions of this Agreement. Within twenty (20) 1 calendar days after the date of that notice, the existing Parties shall inform the new Party of the amount of reimbursement owed under the cost -sharing formula provided in Section IV (G) (ii), above. Upon the new Party making that reimbursement payment, the existing Parties shall promptly provide the new Party with copies of all confidential and privileged documents and other written information that had been distributed among the existing Parties pursuant to this Agreement. K. Nothing in this Agreement shall be construed to create an attorney -client relationship between any Party and Counsel for another Party. Each Party represents that it is represented exclusively by its own Counsel. Each Counsel participating in this Agreement is obligated to maintain the confidentiality of information as specified in this Agreement, but each Counsel does not act on behalf of any person other than his or her client. M LEGAL02/31235924v3 3/30/09 L. Each, of the Parties has had full opportunity to consult with its separate Counsel concerning the terms and conditions of this Agreement, is fully informed of those terms and conditions,. and has concluded that the risk of any potential conflict of interest is outweighed by the benefits of cooperation and shared information in the preparation for, and prosecution of, the Proceedings. Accordingly, each Party waives any potential conflict of interest with respect to the arrangements created under this Agreement and agrees that the sharing of confidential information and cooperation in the 'preparation for, , and prosecution of, the Proceedings shall not constitute grounds for seeking disqualification of Counsel in the Proceedings or any other action. M. The individuals signing this Agreement in their resp I ective capacity warrant that they have the authority to do so on behalf of the entities they represent. N. This Agreement may be executed in counterparts with the same force and effect of all of the others. 0. This Agreement shall both inure to the benefit of and be binding upon each of the Parties and their respective officers, partners, members, directors, employees, agents, parents, subsidiaries, attorneys, affiliates, successors, and assigns. P. Any notices to be made under this Agreement shall be made by facsimile and mail to each legal.Counsel for the Parties. This Agreement may be executed by facsimile and in any number of counterparts, each of which shall be deemed an original, and all of which together shall constitute one instrument. R. Any modification or amendment to this Agreement shall -be of no force and effect. unless it is in writing and signed by all Parties to the Agreement. S. This Agreement shall remain in effect until terminated, which shall occur upon ' termination of the Proceedings, by mutual agreement of the Parties, or as to a withdrawing Party, by the withdrawal of a Party from this Agreement (collectively "Termination"). The withdrawal of one- Party shall not cause a Termination of the Agreement as among the r . emaining (non -withdrawing) Parties. Moreover, the withdrawal from this Agreement by a Party shall not relieve the withdrawing Party, or its agents or Counsel, from the continuing obligation under this Agreement to maintain the privileged nature and confidentiality of all confidential information obtained pursuant to this Agreement. Any Party may withdraw from this Agreement upon written notice to the other Parties' LEGAL02/31235924v3 3/30/09 Counsel. In such event, the Parties and their Counsel shall: (1) immediately (a) return all confidential information to Counsel of the Party providing the same without retaining copies thereof, or, (b) at the option of the Party who made such confidential information available�, destroy such materials and, in either case, shall certify in writing that all such materials have been returned or destroyed, as the case may be--,., and (2) continue to be bound by this Agreement with regard to any information learned or obtained pursuant to this Agreement. Any such withdrawal will be solely on a prospective basis and any confidential information made available by any Party prior to such Party's receipt of such a notice of withdrawal shall continue to be governed by the terms of this Agreement. T. The obligations of each Party under this Agreement shall be subject to a court order requiring specific performance, which order can be applied for by any other Party on an ex parte basis. U. Upon the full execution of this Agreement by the Parties identified in Section I, above, the Effective Date of this Agreement shall be January 1, 2009. [Signatures continued on the next page.] LEGAL02/31235924v3 3/30/09 DATED: PRMLEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT CITY OF LONG BEACH By: (Name) Its: (Title) -7- JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN LEGAL02/31235924v3 3/30/09 DATED: PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT CITY OF LAKEWOOD By: (Name) Its: (Title) -7A- JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN LEGAL02/31235924v3 3/30/09 DATED: a PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT CITY OF LOS ANGELES By: (Name) Its: (Title) 7B — JOINT PROSECUTION AND COORDINATION AGREEMENT FOR T14E CENTRAL BASIN LEGAL02/31235924v3 3/30/09 PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT DATED: CITY OF HUNTINGTON PARK By: (Name) Its: (Title) - 7C - JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN LEGAL02/31235924v3 3/30/09 PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT DATED: April 6, 2009 CITY OF VERNON ATTE)�T: ByXMZa'6nude1a Giro , Ci C er�k m fl By: _ �Im, k f A. Harrison tt�ef Its: ney (Title) -7D- JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN LEGAL02/31235924v3 3/30/09 DATED: PRMLEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT GOLDEN STATE WATER COMPANY By: (Name) Its: (Title) -7E- JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN LEGAL02/31235924v3 3/30/09 PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT DATED.: CALIFORNIA WATER SERVICE -- COMPANY By: (Name) Its: (Title) -7F- JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN LEGAL02/31235924v3 3/30/09 PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT DATED: WATER REPLENISHMENT DISTRICT 'OF SOUTHERN CALIFORNIA By: (Name) Its: (Title) -7G- JOINT PROSECUTION AND COORDINATION AGREEMENT FOR THE CENTRAL BASIN LEGAL02/31235924v3 3/30/09 Central Basin Joint Prosecution And Coordination Agreement Exhibit A Califomia Water Service rights 18,254. acre-feet City of Long Beach water rights 32,684 acre-feet City of Lakewood water rights 9,423 acre-feet City of Los AngeJes water rights 15,000 acre-feet City of Huntington Park water rights 3,853 acre-feet City of Vemon water rights 8,039 acre-feet Golden State Water Company water rights 16,439.20 acre-feet LEGAL02131235924v3 3/30/09 Privileged & Confidential Attorney Work -Product 1 WILLIAM F. KRUSE (State Bar No. 09023 1) LAGERLOF, SENECAL, GOSNEY & KRUSE, LLP 2 301 N. Lake Avenue, 10tH Floor Pasadena, CA 91101-4108 3 Tel ephone: (626) 793-9400 Facsimile: (626) 793-5900 4 Attorneys for Cross -Complainant 5 City of Lakewood 6 7 8 SUPERIOR COURT OF THE STATE OF CALIFORNIA 9 FOR THE COUNTY OF LOS ANGELES 10 11 CENTRAL AND WEST BASIN WATER REPLENISHMENT DISTRICT, etc., 12 Plaintiff, 13 V., 14 CHARLES E. ADAMS, et al., 15 Defendants.. 16 17 CITY OF LAKEWOOD, a municipal corporation, 18 Cross -Complainant, 19 V. 20 CHARLES E. ADAMS, et al., 21 22 Cros s-Defendanfs. Case No. 786 656 STIPULATION TO AMIEND THE CENTRAL BASIN JUDGMENT 23 24 1. INTRODUCTION 25 The parties to this Stipulation ("Stipulating Party" or "Stipulating Parties," depending on the 26 context).are the Water Replenishment District of Southern Californ ia ("AIRD"), and those certain 27 parties to the judgment entered in this matter governing use of water resources in the Central Basin, 28 as last amended on May 6, 1 1991 ("Judgment"), which have executed this Stipulation. The 1 1. STIPULATION TO AMEND THE CENTRAL BASIN JUDGMENT LEGAL02/31235933vl 1 Stipulating Parties include: (1) those entities that originally executed this Stipulation, consisting of 2 WRD, City of Los Angeles, City of Huntington Park, City of Long Beach, City of Lakewood, City 3 of Vernon, City of Compton, Golden State Water Company, California Water Company, and 4 Maywood Mutual Water Co. No. 2; and (2) th ose. entities that have subsequently stipulated to this 5 Stipulation by executing one of the signature pages attached hereto. collectively as Exhibit "A." 6 With theexception of WRD, each Stipulating Party holds an Allowed Pumping Allocation, as that 7 term is defined by the Judgment. The Court has retained continuing jurisdiction over this matter as 8 set forth in Paragraph IV of the Judgment. - The Stipulating Parties will move the Court for further 9 amendment of the Judgment pursuant to the Court's retained ju I risdiction and as provided herein, 10 and a separate Order Re Amendment to the Central Basin Second Amendment Judgment is being 11 lodged with the Court concurrently herewith. 12 H. PARTIES 13 1 . The Water Replenishment District of Southern California is a public agency 14 organized and operating under the Water Replenishment District Act, Cal. Water Code §60000 et. 15 seq. (the "Enabling.Act"). 16 2. The City of Los Angeles is a municipal corporation organized under the laws of the 17 State of California and its City Charter in the County of Los Angeles. Through its Los Angeles 18 Department of Water and Power, the City provides water and power to its residents and it holds 19 adjudicated rights in and to both the West Coast and Central Basins. 20 3. The City of Huntington Park is a municipal corporation in the County of Los 21. Angeles. 22 4. The City of Lakewood is a municipal corporation in the County of Los Angeles. 23 5. The City of Long Beach is a municipal corporation organized under the laws of the 24 State of California and its City Charter in the County of Los Angeles. 25 6. The City of Vernon is a municipal corporation in the County of Los Angeles. 26 7. The City of Compton is a municipal corporation in the County of Los Angeles. 27 8. Golden State Water Company ("GSWC") is an investor -owned public utility subject 28 to the jurisdiction of the California Public Utilities Commission. GSWC provides retail water 2 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vt 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 service, to customers in part or all of the cities of Bell, Bell Gardens, Cudahy, Carson, Compton, El - Segundo, Gardena, Torrance, Huntington Park, South Gate, Vernon., Hawthome,-higlewood, 11 Lawndale, Artesia, Hawaiian Gardens, Lakewood, Long Beach, Downey, Santa Fe Springs, -La --- Mirada, South Gate, Paramount, Cerritos, and within unincorporated areas of Los Angeles C I ounty. GSWC holds adjudicated rights in and to both the West Coast Basin and the Central Basin. 9. California Water Service Company ("CWSC") is an investor -owned public utility subject to the jurisdiction of the California Public Utilities Commission.. CWSC provides retail -water service to 463,400 customers in 83 California communities through 24 regulated and 2 non - regulated districts. CSWC holds adjudicated rights in and to both the West Coast Basin and the Central Basin. '10, Maywood Mutual Water Co. No. 2 is a California corporation, which provides water service to a defined service area. within the City of Maywood. 11. The description of the Stipulating Parties that have subsequently executed this Stipulation is set forth in their respective signature pages, collectively attached hereto as Exhibit 111. STIPULATION The Stipulating Parties agree as follows: 1. The Stipulating Parties will seek amendment of theJudgment in a manner and form necessary to accomplish their mutual interests as provided herein (the "Amendments"). The Amendments shall be substantially similar to the proposed amendments to the Judgment dated March 30, 2009. 2. The Stipulating Parties have mutual interests in, among other things: (a) avoiding the time, expense and uncertainty associated with renewed litigation or legislative efforts regarding actual and potential disputes between and among the Stipulating Parties regarding the quantity of water flowing beneath and between the Central Basin and the adjacent West Coast Basin (collectively, the. "Basins"), and the uniformity of the replenishment assessment imposed by WRD on the production of groundwater from the Basins; (b) creating incentives, predictability and long- term certainty — for at least the next twenty years as necessary to promote beneficial use of the 3 LEGAL02/31235933vl STIPULATION TO AMEND CENTRAL BASIN JUDGMENT 2 3 4 5 6 7 8 9 10 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27. 28 Basins' water resources to the fullest extent prac ticable and for the greatest public benefit, including additional groundwater storage in the Basins; (c) obtaining state and local funding as may be available to promote greater development and beneficial use of the Basins' water resources; and (d) securing- a reliable and cost-effective water supply to serve the Stipulating Parties' constituencies and communities. I The Amendments are necessary to effectuate the mutual interests of the Stipulating I Parties. 4. The Amendments are necessary to, assure the State of California and other local agencies that a durable legal framework is in, place to provide for the' effective management of the Central Basin. 5. The Amendments are beneficial to all parties to the Judgment--fo r the following I reasons: (a) The Amendments are the product of su I bstantial negotiation,, with the assistance of a professional mediator, among the parties to the Judgment, the parties to the judgment entered in the matter of California Water Service' Company v. City of Compton, Los Angeles County Superior Court Case No. 506 806, as last amended on March 22, 1984 ("West Coast Basin Judgment"), YVRD, and other local and regional water stakeholders. (b) The Amendments encourage greater use of available storage capacity within the Central Basin, investment in infrastructure in the Central Basin and inter - basin transfers, thereby promoting optimal management of the Basins. (c) The Amendments promote. beneficial use of the Central Basin resource to the fullest extent practicable and for the greatest public benefit at a time of historic state and local water shortages. (d) The Amendments provide a physical solution that protects the Central Basin resource and the rights and interests of all parties to the Judgment. (e) The Amendments provide flexibility to adapt to changing conditions within the Central Basin, locally and throughout the State, thereby facilitating 4 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl optimal. management of the Central Basin resource and improv'ing Water 2 supply reliability over time. 3 (f) The Amendments create a durable legal framework, -with transparent rules, 4 for management of the Central Basin resource, thereby creating the 5 predictability and long-term certainty necessary to facilitate investment in the 6 Central Basin resource. 7 (g) The Amendments provide for judicial supervision over management of the 8 Central Basin resource through continuing jurisdiction of the Court. 9 The Amendments will provide substantial economic and social benefits to 10 Southern California and the region in the form of reduced water supply costs and improved reliability. 12 (i) The Amendments avoid the time, expense and uncertainty associated with -13 renewed litigation or legislative efforts regarding actual andpotential issues 14 of dispute between and among the parties, including but not limited to issues 15 related to quantification of the quantity of Water flowing beneath and between the Central Basin and the adjacent West Coast Basin, and the uniformit of y 17 assessments imposed on the parties' extraction of groundwater from the Central Basin and the West Coast Basin. 19 The Amendments are consistent with, and are designed to work harmoniously 20 with, the amendments developed for the West Coast Basin through the 21 above -referenced mediated negotiation. 22 6. The Stipulating Parties will cooperate,and coordinate their efforts with certain parties 23 to the West Coast Basin Judgment ("Stipulating West Coast B asin- Parties"), which parties 24 concurrently seek amendment of the West Coast Basin Judgment in a formsubstantially similar to 25 the proposed amendments to the West Coast Basin Judgment dated March 30, 2009 ("West Coast 26 B as in Amendments 27 7. U pon satisfaction of each and all of the following conditions precedent, the 28 Stipulating Parties, or some of them, will move the Court for amendment to the Judgment ("Motion 5 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 for Amendment to Amended Judgment" or "Motion"), solely and exclusively as provided herein: (a) Parties holding at least a simple majority (51%) of the "Allowed Pumping Allocations" under the Judgment shall have executed this Stipulation. "Allowed Pumping Allocations" has the meaning set forth in, Part I of the Central Basin Judgment. (b) Parties holding at least a simple majority (5 1 01o) of the "Adjudicated Rights" under the judgment in the West Coast Basin shall have stipulated to amendment of the West Coast Basin Judgment in a form substantially the same as this Stipulation. "Adjudicated Rights" has the meaning set forth in Part III of the West Coast Basin Judgment. 8. The.Motion will request amendment of the Judgment in a form substantially the same as the Amendments. 9. The Motion will request adoption of certain Rules and Regulations to accompany and operate consistent with the Amendments in a form substantially the same as the proposed Rules and Regulations dated March 30, 2009. 10. The Stipulating Parties, or some of them, will file the Motion concurrently with the related motion to be filed by some or all Stipulating West Coast Basin Parties ("West Coast Basin Motion") and as soon as practicable. 11. The Stipulating Parties, or some of them, will file a Notice of Related Case apprising the Court, having continuing jurisdiction over both Basins, of the interrelationship of the Motion and West Coast Basin Motion. 12. The Stipulating Parties will cooperate in good faith and take any and all necessary and appropriate actions to'support the Motion (an d will not take actions adverse to the Motion) including but not limited to the production of evidentiary testimony and documentation in support thereof, and to seek entry of a final order in a form. substantially the same as the [Proposed] Order Re Amendment to the Central Basin Second Amended Judgment lodged concurrently with,this Stipulation ("Order"). In theevent that the trial court in this matter enters the Order, and the Order becomes 6 STEPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl 13, 2 3 4-- 5 6 7 8 9 10 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 final - and a trial court in California Water Service Company v. City of Compton, Los Angeles County Superior Court Case No. 506 806, enters a final order that is substantially similar to the Order ("West Coast Basin Order"), and the West Coast Basin Order becomes final, the Stipulating Parties, and each. of them, further agree as follows: (a) For a period of twenty,,(20) years following entry of the final Order, no Stipulating Party shall seek further amendment of the amended Judgment in a manner inconsistent with this Stipulation or the Order, nor shall any Stipulating Party: (i) seek modification of VMD's replenishment assessment in a manner that would result in the imposition of a replenishment assessment that is not uniform as between the Central Basin and the West Coast Basin, or (ii) seek to quantify, adjudicate or otherwise determine the amount of water flowing beneath or b etween the Basins. (b) . For a period of twenty (20) years following entry of the final Order, the Stipulating Parties will cooperate in good faith and take any and all reasonable and necessary actions in furtherance of this Stipulation and in support of the Order. (c) No later than the nineteenth (19th) year following entry of the final Order, the Stipulating Parties will meet and confer regarding renewal of this Stipulation and perpetuation 'of the Amendments provided herein. 14. In the event any of the following events occur, this Stipulation shall terminate automatically and be null and void: (a) the trial court denies the Motion, in whole or in part; (b) a trial court denies the West Coast Basin Motion, in whole or in part; (c) a final Order is not entered; or (d) a final West Coast Basin Order is not entered. 15. The provisions of this Stipulation are related, dependent and not severable. This Stipulation is executed upon the understanding that each paragraph is in consideration of all of the others. 16. This Stipulation may be executed in counterparts with the same force and effect as if executed in complete documents. 7 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl 2 13 4 5 -6 7 8 9 10 11 1 �2 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 17. Nothing in this Stipulation shall be deemed to affect or limit the authority of any Stipulating Party to fulfill its statutory, regulatory or contractual responsibilities under all applicable laws. IT IS SO STIPULATED. [Signatures on following pages] LEGAL02/31235933vl STEPULATION TO AMEND CENTRAL BASIN JUDGMENT 3 4 5 6 7 8 9 to 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 DATED: Water Replenishment District of Southern California By: (Name) Its: (Title) 9 STEPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933v] 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 PATED: City of Huntington-lRark By: (Name) Its: (Title) 10 STEPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl DATED: City of Lakewood 2 3 By: (Name) 4 Its: (Title) 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 STEPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 I DATED: City of Long Beach By: (Name) Its: (Title) 12 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEG'AL02/31235933vl 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 DATED: City of Los Afigeles By: (Name) Its: (Title) 13 STIPULATION TO AMEND CENTRAL BASIN JMGMENT LEGAL02/31235933vl 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 '19 20 22 23 24 25 26 27 28 DATED: April 6, 2009 City of Vernon By: Jeff A. Harrison torney (Title) 14 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933v] I 2 3 4 5 6 7 8 9 10 11 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 City of Compton By: (Name) Its: (Title) 15 LEGAL02/31235933vl STIPULATION TO AMEND CENTRAL BASIN JUDGMENT DATED: Golden State Water Company 2 By: (Name) 41 Its: (Title) 5 6 7 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 16 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAU2/31235933vl 2 DATED: California Water Sekvice Company By: 3 (Name) 4 Its: i (Title) 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 17 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933v] 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 DATED: Maywood Mutual Water —Co. No. 2 By: (Name) Its: (Title) STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl 1 Exhibit A 2 Additional Stipulating Parties 3 4 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 M 26 27 28 19 STEPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl 1 2 3 4 5 6 7 8 9 to 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Stipulation of is a which provides water service to By execution of this signature page, which is to be attached hereto, stipulates to the matter set forth in the Stipulation to Amend the Central Basin Judgment. DATED: By: (Name) Its: (Title) Represented by: [Add Law Firm Information] 20 STIPULATION TO AMEND CENTRAL BASIN JUDGMENT LEGAL02/31235933vl .Aarj — . OFFICE OF THE CITY ATTORNEY Jeff A., Harrison, City Attorney 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 Fax (323) 826-1438 April 14, 2009 Tammy Jones, Esq. Alston & Bird LLP 333 S. Hope Street, 16 th Floor Los Angeles, CA 90071 Re: Central and West Basin Water Replenishment District, etc., v. Charles.-E. Adams, et al. Los Angeles Superior Court Case No. 786,656 Dear Tammy: Pursuant to your request, enclosed please.find an originally executed Master Joint Prosecution and Coordination Agreement with respect tothe above -referenced matter. If you have any questions, please contact me. Very truw yours, A. arrison i Cit Att rney JH: em Enclosure CC: Ms. Nelly Giron, City Clerk (w/ encls.) (Resolution No. 9858) E.Xcfusivefy Industriaf PRIVILEGED & CONFIDENTIAL ATTORNEY WORK -PRODUCT JOINT PROSECUTION AND COORDINATION AGREEMIENT This Joint Prosecution and Coordination Agreement ("Agreement") is made by and between the Water Replenishment District of Southern California ("WRD"), the West Basin Municipal Water District ("WBMWD"), City of Los Angeles ("Los Angeles"), City ofLakewood ("Lakewood"), City of Torrance ("Torrance"), City of Huntington Park ("Huntington Park"), City of Long Beach ("Long Beach"), City of Manhattan Beach ("Manhattan Beach"), City of Inglewood ("Inglewood"), City of Vernon ("Verrion"),'Califomia Water Service Company ("Cal Water"), and Golden State Water Company ("GSWC"), (each a "Party" and collectively the "Parties"), with respect to the following facts: RECITALS A. The Parties intend to file and prosecute two consistent and complimentary motions ("Motions") to amend the judgments respectively adjudicating the rights and management of the West Coast Groundwater Basin ("West Basin") and the Central Groundwater Basin ("Central Basin"). The West Basin and Central Basin, adjoin each other in southwest Los Angeles County. The West Basin Judgment was entered in California Water Service Co. et al. v. City of Compton, et al., Superior Court of Los Angeles County, No. 506,806. The Central Basin Judgment was entered in Central and West Basin Water Replenishment District v. Charles Adams, Superior Court of Los Angeles County, No. 786,656. B. Each of the above -referenced judgments reserves jurisdiction to the court to amend the operable judgment. The Motions will seek to amend the respective judgments to address, among other things, groundwater managenient and storage in the West and Central Basins (collectively, the. "Proceedings"). C. The Parties acknowledge that their interests are aligned with respect to the Proceedings and further acknowledge their mutual interest in communicating and sharing information to facilitate the efficient preparation and prosecution of the Proceedings. D. The Parties intend to jointly share in the fees and costs incurred for the services provided by certain expert witnesses retained to provide testimony in support of the Motion, including the fees and costs associated with the services provided by Dr. David Sunding ("Sunding"). . - E. -- The Parties desire to preserve the-- confidentiality of all documents and information otherwise protected by a legal privilege (including the attomey-client Page I of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 privilege and the, attorney work product privilege), which they may provide. to one another and their respective counsel, subject to the further provisions of this Agreement. F. The Parties enter into this Agreement to preserve the confidentiality of exchanged information, and to set forth the terms.of their agreement for joint prosecution of the Motion. NOW THEREFORE, in consideration of the mutual covenants contained herein, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the Parties agree as follows: 1. CONFIDENTIALITY 1.1 Confidential Information. The Parties agree that, in furtherance of their common interests, they may share confidential information protected by the attorney - client privilege, the work product doctrine, the common interest doctrine, the joint prosecution/defense doctrine, and/or any other similar doctrine or privilege ("Confidential Information"). Such Confidential Information, whether oral or in writing, may include, without limitation, confidential client information; mental impressions; factual and legal analyses; memoranda of law, fact or strategy; factual investigations; witness interviews; consultant's reports; expert witness materials; draft pleadings and -court filings; and information arising from the consultations among the Parties. When used in relation to . Confidential Information, the term "Party" or "Parties" shall encompass each Party's legal counsel and any liaison counsel that one or more of the Parties may designate to coordinate between and among the Parties. The Parties further agree and acknowledge that: I . (a) The attorney -client privilege, work product 'protection, or any other privilege or protection that may apply as it relates.to Confidential Information covered by this Agreement may not be waived except with the written consent of all Parties. (b) All Confidential Information shared and disclosed between and among the Parties will be deemed to be undertaken pursuant to their common interest; (c) Confidential Information will be protected from disclosure by the attorney -client privilege, the work product doctrine, the common interest doctrine, the joint prosecution/defense doctrine, or any other applicable doctrine or privilege even if it is shared among the Parties; (d) The full privileged status that may be asserted as to any Confidential Information shared pursuant to this Agreement shall be of the same privileged legal force and effect as if no sharing had occurred; and (e) The protections and privileges associated with any Confidential Information shared pursuant to this Agreement may not be wa . ived by any of the Parties Page 2 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 without the prior written consent of the privilege, holder, provided, however, that if any Party or its counsel (or any Party's or counsel's consultants) receives any valid legal or judicially imposed request or demand, by subpoena or otherwise, for any Confidential Information that is received from any of the other Parties or their counsel or counsel's consultants, the first Party shall, within five (5) business days, notify the other Parties of the request or demand. Each Party will take all reasonable steps necessary to permit the assertion of all applicable rights and privileges with respect to privileged communications, memoranda and documents, and shall fully cooperate with the other Parties or their counsel to prevent such disclosure or waiver of any privilege. (f) I The contents of consultations among the Parties and all Confidential Information will be maintained in strictest confidence and used only for purposes of the Proceedings. No Confidential Information may be used by any Party in a manner adverse to any other Party regardless of whether this Agreement has otherwise terminated or the Party has withdrawn from the Agreement, except that nothing herein shall restrict the use of any information or materials which were in fact or which would be capable of being independently derived by a Party (or its consultants or experts). Further, nothing herein is intended to limit or prohibit: (a) any, Party from using or developing for its 'own separate use, any information, technical,, legal, or other work product; or (b) retaining its own consultants or experts, Further, nothing in the Agreement shall preclude any of the Parties from communicating confidentially with their own counsel, consultants, and experts. 1.2 Disclosure of Confidential Information. The Parties agree to exercise good faith efforts not to give, show, make available, or communicate in any way Confidential Information to anyone other than: (a) counsel representing the Parties to this Agreement and their staff; (b) employees of the Parties to the Agreement; and (c) consultants hired by counsel or the Parties to as authorized under this Agreement for the purpose of prosecuting the Proceedings. All persons permitted access to Confidential Information shall be specifically advised of the terms of this Agreement and that they must abide by its terms and take all steps reasonably necessary to protect the confidentiality of the Confidential Information. 1.3 No Duty to Share Confidential Information. Nothing in this Agreement obligates any Party or its respective counsel to communicate or share any privileged or confidential materials or information with any other Party, counsel or anyone else. 1.4 No Restriction on Disclosing Party's Own Documents or Information. Nothing in this Agreement precludes any Party or its counsel from disclosing the Party's own independently 'developed- or controlled documents or information to a third party regardless of whether such documents or information have previously been disclosed to another Party as Confidential Information, except to the extent that such documents. or the Page 3 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 information contained in such documents are based upon the Confidential Information provided by another Party to this Agreement. 2. JOINT PROSECUTION 2.1 Term, Termination, Withdrawal, and Return of Confidential Information. This Agreement shall remain in effect until terminated, which shall occur upon termination of the Proceedings, by mutual agreement of the Parties, or as to a withdrawing Party,. by the withdrawal of a Party from this Agreement (collectively "Termination"). The withdrawal of one Party shall not cause a termination of the Agreement among the remaining (non -withdrawing) Parties. Moreover, the withdrawal from this Agreement by a Party shall not relieve the withdrawing Party, or its agents or counsel, from the continuing obligation under this Agreement to maintain the privileged nature and confidentiality of all Confidential Information obtained pursuant to this Agreement. Any Party may withdraw from this Agreement upon, written notice to the other Parties' counsel. In such event, the Parties and their counsel shall: (1) immediately (a) return all Confidential Information to counsel of the Party providing the same without retaining copies thereof, or, (b) at the option of the Party who made such Confidential Information available, destroy such materials and, in either case, certify in writing that all such materials have been returned or destroyed, as the case may 'be; and (2). continue to be bound by this Agreement with regard to any information learned or obtained pursuant to this Agreement. ' Any such withdrawal will be solely on a prospective basis, and any Confidential Information made available by any Party prior to such Party's receipt of such, a notice of withdrawal shall continue to be governed by the terms of this Agreement. 2.2 No Obligation to Pursue Proceeding; Independent Representation. Nothing in this Agreement shall create any obligation to pursue the Proceedings or prevent any Party from withdrawing from the Proceedings. Further, nothing in this Agreement shall be construed to affect the separate and independent representation of each Party by its re ' spective counsel, nor shall anything contained in this Agreement be deemed to create an attorney -client relationship between any attorney and anyone. Each Party represents that it is represented ex ' clusively by its own counsel. Each counsel participating in this Agreement on behalf of a Party is obligated to maintain the confidentiality of information as specified in this Agreement, but each counsel does not act on behalf of any person other than his or her client. No, Party.shall have authority to waive any applicable privilege or doctrine on behalf of another Party; nor shall any waiver of an applicable privilege or doctrine by the conduct of a Party be construed to apply to the other Parties. The fact that any attorney or law firm has entered into this Agreement shall not be used as a basis for seeking to disqualify any counsel or law firm from representing any Party in this or any other proceeding. No attorney or law firm that has entered into this Agreement shall be disqualified from examining or cross-examining any person who appear s as a witness at a deposition, trial or other proceeding in the Proceedings, whether under a grant of immunity or otherwise, because of such attorney's or law firm's participation in this Agreement. Page 4 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 2.3 Future Adversarial Relationships. Before entering into this Agreement, each Party has been fully advised by its counsel of the possibility that a Party may later become a witness against other Parties or take positions adverse to other Parties. Each Party acknowledges that, while the precise nature of each possible conflict of 'interest cannot be currently identified, its counsel has informed it of the general nature of the conflicts that might arise. The joint defense privilege described herein and recognized by this Agreement, and any and all other applicable privileges and protections, shall not be destroyed or impaired as to any Confidential Information exchanged pursuant to this Agreement and, in fact, is specifically preserved as to any Confidential Information exchanged pursuant to this Agreement if adversarial relationships subsequently arise between the Parties. 3. COSTS 3.1 Expert Witness Costs. All fees and costs incurred for the services provided by the expert witnesses retained either jointly by the Parties, or in coordination with counsel for WRI), and in furtherance of the. Proceedings, including the fees and costs associated with the retention of Sunding (collectively "Expert Witness Costs") (estimated to be $192,700 for the Motions) shall be apportioned between and among the Parties to this Agreement as follows: (a) Los Angeles, Lakewood, Huntington Park, Long Beach, Vernon, Cal Water, and GSWC ("Central Basin Parties") shall bear seven , ty-three percent (73%) of the Expert Witness Costs. The proportionate division of responsibility for the Expert Witness Costs between and among the Central Basin Parties, is more particularly described in the separate Joint Prosecution and Coordination Agreement for the Central Basin concurrently entered into by WRD, Los Angeles, Lakewood, Huntington Park, Long Beach, Vernon, Cal Water, and GSWC, effective January 1, 2009. The Central Basin Parties shall pay their share of the Expert Witness Costs within thirty (30) days of the receipt of the invoice from WRI). (b) Los Angeles, Torrance, Manhattan Beach, Inglewood, Long Beach, WBMWD, Cal Water, and GSWC ("West Basin Parties") shall bear twenty-seven percent (27%) of the Expert Witness Costs, as more particularly described in the separate Joint Prosecution and Coordination Agreement for the West Coast Basin concurrently entered into by Los Angeles, Torrance, Manhattan Beach, Inglewood, Long Beach, WBMV,/D, Cal Water, and GSWC, effective January 1, 2009. The West Basin Parties shall pay their share of the Expert Witness Costs within thirty (30) days of the receipt of the invoice from WRI). 3.2 Filing Costs. The costs associated with filing the Motions (estimated to be $37,300), including: (1) assembling, copying, printing, labeling and, binding the Motions and all associated exhibits, supporting declarations and related pleadings; (2) court filing fees and attorney service fees; and (3) service on all parties (collectively, Page 5 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 "Filing Costs"); shall be apportioned between and among the Parties to this Agreement in the same manner as Expert Witness Costs. 3.3 Cap on Costs. No party shall be responsible for its share of any amount of costs (Expert Witness Costs and Filing Costs) in excess of $250,000 unless all of the Central Basin Parties and all of the West Basin Parties have provided written consent to that amount. . 3.4 Parties Individually Responsible for Separate Legal Costs. With the exception of the Expert Witness Costs and Filing Costs, provided for herein, each Party shall be solely and exclusively responsible for any cost, expense,' or fee arising from a Party's separate legal counsel, expert witnesses, or other independent legal expense. 4. JOINDER OF ADDITIONAL PARTIES TO THIS AGREEMENT. 4.1 Following the Effective Date of this Agreement, as that term is defined in Section 5.9 of this Agreement, this Agreement may be amended to join additional Parties who will join in one or both of the Motions. Any party to the West Basin Judgment or the Central Basin Judgment possessing an adjudicated water right may become a Party to this Agreement. Parties wishing to join this Agreement after the Effective Date must: (1) send written notice to counsel for all then -existing Parties to this Agreement, representing that the new Party has- agreed to be bound by all terms and conditions of this Agreement; and (2) execute this Agreement. 5. OTHER PROVISIONS 5.1 Conflict of Interest Waiver. Each of the Parties has had full opportunity to consult with its - separate counsel concerning the terms and conditions of this Agreement, is fully informed of those terms and conditions, and has concluded that the risk of any potential conflict of interest is outweighed by the benefits of cooperation and shared information in the preparation for, and prosecution of, the Proceedings. Accordingly, each Party waives any potential conflict of interest with respect to the arrangements created under this Agreement and agrees that the sharing of confidential information and cooperation in the preparation for, and prosecution of, the Proceedings shall not constitute grounds for seeking disqualification of counsel in the Proceedings or any other action. 5.2 Authority. The individuals signing this Agreement in their respective capacity warrant that they have the authority to do so on behalf of the entities they represent. 5.3 Binding Effect. This Agreement shall both inure to the benefit of and be binding upon each of the Parties and their respective officers, partners, members, directors, employees, agents, parents, subsidiaries, attorneys, affiliates, successors, and assigns. Page 6 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 5.4, Form of Notice. Any notices to be made under this Agreement shall be made by facsimile and U.S. mail to legal counsel for the Parties. 5..5 Form of Execution. This Agreement may be executed by facsimile and in any number of counterparts, each of which shall be deemed an original, and all of which together shall constitute one instrument. 5.6 Modification. Any modification or amendment to this Agreement shall be of no force and effect unless it is in writing and signed by all Parties to the Agreement. 5.7 Severability. If any �rovision of this Agreement is invalid, illegal or unenforceable, such provision shall be deemed to be severed or deleted from this Agreement and the balance of this Agreement shall remain in full force and effect notwithstanding such invalidity, illegality or unenforceability. 5.8 Further Assurances. At any time and from time to time after the date hereof, each Party agrees to tal�e such actions and to execute and deliver such documents as the other Party may reasonably request to effectuate the purposes of this Agreement. 5.9 Specific Performance. In addition to any remedy available in law or equity, the obligations of each Party under this Agreement shall be subject to a court order requiring specific performance, which order can be applied for by any other Party on an exparte basis. 5.10 Effective Date. Upon the full execution of this Agreement by the Parties, the Effective Date of this Agreement shall be January 1, 2009. [Signatures on the following pages] Page 7 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: Water Replenishment District of Southern California' By: (Name) Its: (Title) Page 8 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: City of Los Angeles By: (Name) Its: (Title) Page 9 of 20 MASTER JOINT PROSECUI�ION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: ity of Lakewood By: (Name) Its: (Title) Page 10 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: City of Torrance M. (Name) (Title) Page 11 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: City of Long Beach By: (Name) Its - (Title) Page 12 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: Golden State Water Company By: (Name) Its: (Title) DATED: APPROVED AS TO FORM BROWNSTEIN HYATT FARBER SCHRECK, LLP By: Stephanie Osler Hastings Attorneys for Golden State Water Company Page 13 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: City of Huntington Park By: Greg Korduner City Manager DATED: APPROVED AS TO FORM LEAL-TREJO, LLP By: Hugo Francisco Leal Attorneys for City of Huntington Park Page 14 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:OI0625.0002 DATED: California Water Service Company DATED: By: (Name) Its: (Title) APPROVED AS TO FORM NOSSAMAN LLP By: Frederic Fudacz Attorneys for California Water Service Company Page 15 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: West Basin Municipal Water District By: (Name) Its: (Title) Page 16 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: City of Manhattan Beach By: (Name) Its: (Title) Page 17 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/69 SB 497177 v5:010625.0002 DATED: City of Inglewood Roosevelt Dom Mayor DATED: APPROVED AS TO FORM OFFIC E OF THE CITY ATTORNEY CITY OF INGLEWOOD By: Cal Saunders City Attorney for City of Inglewood Page 18 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: DATED: 0 City of Vernon By: Leonis C. Malburg Mayor By: Bruce Malkenhorst Jr. City Clerk APPROVED AS TO FORM OFFICE OF THE CITY ATTORNEY CITY OF VERNON By: Jeffrey Harrison Attorneys for City of Vernon Page 19 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 DATED: DA TED: City of Vernon By: A�,� Hilario Gonzales Mayor Pro Tern By: — . Xf-�� - Ay i 4r ell . ' c6) City Clerk APPROVED AS TO FORM BY: Oyf Af/14arrison City Attorney . Page 19 of 20 MASTER JOINT PROSECUTION AND COORDINATION AGREEMENT 3/30/09 SB 497177 v5:010625.0002 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 June 8, 2009 VIA U.S. MAIL Mr. James Glancy Director of Water Resources City of Lakewood P.O. Box 158 Lakewood, CA 90714 Re: Central and West Basin Water Replenishment District, etc. v. Charles E. Adams, et al. LASC No. C786656 Dear James: Enclosed please find a check payabl e to the City of Lakewood in the sum of $24,111.00, which represents Vernon's share of attorney fees in the above -referenced matter. Thank you for your cooperation and courtesy in this matter. Very tru yoursf JOA Harrison C A orney JH:em Enclosures -Check No. 325881 xi cc: Nelly Giron, City Clerk (w/ encls.) (Resolution No,. 9858) E�Ccfusivefy Industfid -CITY OF VERNON-------- ------ACCOUNTS PAYABLE -CHECK ----NO�--- 325881--____ . . . . ......... .. 052809-1 05/28/2009 GROUNDWATER STORAGE LITIGATION 0.00 24,111.00 24,111.00 FLLA6L Ut: I AUH ULFUHL UL:I'Ubi I INU _A — . 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 June 16, 2009 Kevin Wattier City of Long Beach 1800 E. Wardlow Road Long Beach, CA 90807 VIA U.S. MAIL Re: Central and West Basin Water Replenishment District, etc. v. Charles E. Adams, et al. LASC No. C7866S6 Dear Kevin: In response to your email and attachments sent on June 11, 2009, enclosed please find a check payable to the City of Long Beach in the sum of $13,042.98, which represents Vernon's share of filing and expert witness fees in the above -referenced matter. Please note check number 325881 in the amount of $24,111.00 was mailed -,to James Glancy of the City of Lakewood on June 8, 2009. Thank you for your cooperation and courtesy in this matter. I Very tru# yours, J�* A Harrison , C tv f to ty A torney JH: em Enclosures -Check No. 325969 cc: Nelly Giron, City Clerk (w/ encls.) (Resolution No. 9858) E,�cfusivefy industhaf CITY OF VERNON ACCOUNTS PAYABLE CHECK NO. 325969 061509-1 06115/2009 FILING & EXPER T FEES 0.00 13,042.98 13,042.98 PLEASE DETACH BEFORE DEPOSITING !I .4jr, A6 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 July 14, 2009 VIA U.S. MAIL Mr. Charles Parkin Principal DeputyCity Attorney Office of the Long Beach City Attorney 333 W. Ocean Blvd. , llth Floor Long Beach, CA 90802 Re: City of Cerritos, etc. v. Water Replenishment District, et al. LASC Case BS120643 Dear Charles: Enclosed please find a check payable to Meyers Nave in the sum of $1,683.79, which represents Vernon's share of attorney fees in the above -referenced matter. Thank you for your cooperation and courtesy in this matter. Very tru r JH: em Enclosures -Check No. 326356 yours, rrison cc: Nelly Giron, City Clerk (w/ encls.) (Resolution No. 9858) E�Cchusivefy Industriaf CITY OF VERNON ACCOUNTS PAYABLE CHECK NO. 326356 UNEWRO14 M 0909wr"- a-WRT-M uk m�m 607-77", 070909-1 07/09/2009 LEGAL SERVICES CASE# BS120643 0.00 1,683.79 1,683.79 rLtAbt Ut I AUH btt-L)Ht Utt'UZ51 I INU .005 — . , 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 July 21, 2009 Via Federal Express Deborah J. Fox, Esq. Meyers Nave 333 S. Grand, Suite 1670 Los Angeles, California 90071 Re: Central and West Basin Water Replenishment District, etc., v. Charles E. AcZams, et al. Los Angeles Superior Court Case No. 786,656 Dear Deborah: Pursuant to your request, enclosed please find the certification relevant to the documents constituting the complete Administrative Record before the City of Vernon concerning the proposed Third Amendment with respect to the above -referenced matter. If you have any questions, please do not hesitate to call me. Sincerel A Harris i w:: on JH: j 1 Enclosure Cc: Nelly Giron, City Clerk (Resolution No. 9858) E,-�cfusive(y Industriaf 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25. 26 27 28 I I hereby certify that the following documents constitutes the complete Administrative Record of the proceedings before respondent City of Vernon in connection with the proposed Amendment.to the Central Basin Groundwater Adjudication to Provide for Storage and Recovery of Ground water filed in the case of Central and West Basin Water Replenishment District v. Charles Adams, Los Angeles County Superior Court Case No. C786656: 1 . Agenda, February 9, 2009 2. Minutes, February 9, 2009 3. Resolution No. 9858 of the City Council of the City of Vernon Supporting the Third Amendment to the Central Basin Groundwater Adjudication to Provide for Storage and Recovery of Groundwater and Authorizing the City to do all Actions Deemed Necessary or Advisable Concerning Litigation Regarding the Amendment, February 9, I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Executed on &�day of July 2009, at California. Dated 2009 1261535.1 1284.003 : . 1;; 4'ui_1 A,_� Nelly G" City 6A CITY OF VERNON 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 September 16, 2009 VIA U.S. MAIL Mr. Charles Parkin Principal Deputy City Attorney Office of the Long Beach City Attorney 333 W. Ocean Blvd., 11th Floor Long Beach, CA 90802 Re: City of Cerritos, etc. v. - Water Replenishment District, et al. LASC Case BS120643 Dear Charles: Enclosed please find a check payable to Meyers Nave in the sum of $4,383.29, which represents Vernon's share of attorney fees in the above -referenced matter. Thank you for your cooperation and courtesy in this matter. Very truly yours, Jeff A. Harrison JH: em Enclosures -Check No. 327027 cc: Nelly Giron, City Clerk (w/ encls.) (Resolution No. 9858) EXchtsively 1-ndustriaf CITY OF VERNON ACCOUNTS PAYABLE CHECK NO. 327027 M 7 OF M m 7mg; WALW - M 7 WMMtWoo4rWMW WoMp M� prQ7, TTI� 2009070887 09/08/2009 7/09 LEGAL SERVICES 0.00 4,383.29 4,383.29 PLEASE DETACH BEFORE DEPOSITING COPY 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 De.c6mber 3, 2009 Via U.S. mail Charles Parkin, Esq. Principal Deputy City Attorney Office.,of the Long Beach City Attorney 333 W. Ocean Blvd., 11th Floor Long Beach, CA 90802 Re: Cit_y of Ce-rritos, etc. v. Water Replenishment Districct, et al.; LASC Case No. BS120643 Dear Charles: Enclosed please find a check payable to Meyers Nave Ln the sum of.$2,358.64, which represents Vernon's share of fees for legal services -rendered during October 2009 in the above -'referenced matter. If you have any questions, please do not hesitate to call me. Ver truly yours, Jeff A. Harrison JH-jl Enclosure -Check No. 328122 cc: Nelly Giron, City Clerk (Resolutior-, lqo. 9858) E,,�cfusivefy Industrid KFff 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 January 6, 2010 VIA U.S. MAIL Mr. Jim Glancy Director of Water Resources City of Lakewood P.O. Box 220 Lakewood, CA 90714 Re: Central and West Basin Water Replenishment District, etc. v. Charles E. Adams, et al. LASC No. C786656 Dear Jim: Enclosed please find a check payable to the City of Lakewood in the sum of $620.89, which represents Vernon's share of attorney fees in the above -referenced matter. Thank you for your cooperation and courtesy in this matter. Very truly yours, Jeff A. Harrison JH: em Enclosures -Check No. 328519 cc: Nelly Giron, City Clerk (w/ encls.) (Resolution No. 9858) Ex,,chusively Industn�af CITY OF VERNON ACCOUNTS PAYABLE CHECK NO. 328519 an 010510-1 01/05/2010 GROUNDWATER STORAGE LITIGATION 0.00 620.89 620.89 PLEASE DETACH BEFORE DEPOSITING E ri I COPY 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 February 10, 2010 Via U.S. Mail Charles Parkin, Esq. Principal Deputy City Attorney Office of the Long Beach City Attorney 333 W. Ocean Blvd., 1 1th Floor Long Beach, CA 90802 Re: City of Cerritos, etc. v. Water Replenishment District, et al.; LASC Case No. BS120643 Dear Charles: Enclosed please find a check payable to Meyers Nave in the sum of $3,977.51, which represents Vernon's share of fees for legal services rendered during December 2009 ($2,959.26) and January 2010 ($1,018.25) in the above -referenced matter. If you have any questions, please do not hesitate to call me. Vejy truly yours, WILLARD G. YA AG CH V tt Chief Deputy y Attornev WY: j 1 Enclosure -Check No. 328853 cc: Nelly Giron, City Clerk (Resolution No. 9858) E,-�Cc(usivefy Industriaf CITY OF� VERNON ACCOUNTS PAYABLE CHECK mr) 14 1) A A rl 14 2009120987 12/31/2009 LEGAL SERVICES 12/09 0.00 2,959.26 2010010252 01/31/2010 LEGAL SERVICES 01/10 0.00 1,018.25 3,977.51 P1 I=A-qF= nPT&r'W Pr-g:r)DP n�DnQlTlkf� -AV. - - 4305 Santa Fe Avenue, Vemon, Califomia 90058 Telephone (323) 583-8811 April 19, 2010 Mr. Charles Parkin Principal Deputy City Attorney Office of the Long Beach City Attorney 333 W. Ocean Blvd., 11th Floor Long Beach, CA 90802 VIA U.S. MAIL Re: Cit_y of Cerritos, etc. v.-, Water Replenishment District, et al.; LASC Case BS120643 Dear Charles: Enclosed please find a check payable to Meyers Nave in the sum of $37.90, which represents Vernon's share of fees for legal services rendered during March 2010 in the above -referenced matter. .If you have any questions, V ry truly yours, WILLARD G. M UC t PYG ity ttorr Chief Deput . ty Attorney WY: em Enclosure -Check No. 329651 please do not hesitate to call me. cc: City Clerk (Resolution No. 9858) E�ccfusivef Industfiaf Y CITY OF VERNON ACCOUNTS PAYABLE CHECK NO. 329651 W lffimft�u IMIMMUWAMMIUMMM 041210-1 04/12/2010 LEGAL SERVICES 03/10 0.00 37.90 37.90 r�cmac