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· . 'A~eement <br />Page 8 <br /> <br />City Council. At the end of the aforesaid five year <br />period, any unused capacity in excess of 135,000 GPD <br />shall be removed from the reserve and made available <br />for any other project or projects approved by the City <br />Council. Thereafter at the end of each year for the <br />next six (6) years, any amount in excess of that shown <br />in the schedule below shall be removed from the reserve <br />and made available for any project or projects approved <br />by the City Council: <br /> <br />,6th year 125,000 <br />7th year 110,000 <br />8th year 90,000 <br />9th year 60,000 <br />10th year 30,000 <br />llth year 0 <br /> <br />UNRESERVED CAPACITY <br />The remainder of the capacity resulting from the <br />contemplated expansion is not specifically reserved <br />for Owner and may be allocated by the City Council <br />to any properties in the City at Council's discretion. <br />Prior to becoming eligible to apply for any of the <br />remaining capacity not specifically reserved for <br />Owner, Owner must have exhausted all capacity remaining <br />in Owner's reserve. <br /> <br />INTERIM CAPACITY <br />After cor~encement of construction for the expansion <br />of the DSRSD plant and the expansion of the LA~MA <br />export pipeline, the City may, at its sole discretion, <br />provide capacity to Owner. Any capacity allocated <br />shall be deducted fro~ Owner's total reserve pursuant <br />to paragraph III B, as if used in the first year <br />following the construction of the project. <br /> <br />SURCHARGE <br />The City shall collect from all properties receiving <br />industrial and non-retail commercial sewer capacity <br />made available as a result of this Agreement a <br />surcharge for each dwelling unit equivalent based <br />on the following formula: <br /> <br />Direct and Indirect Cos~ o~ ExPansion1 Surcharge <br />No. o~ D.U.~s. ma~e available <br /> <br /> Surcharge shall be increased annually on the anni- <br /> Versary of this agreemenk by a percentage equal to <br /> prime interest rate on the anniversary date. <br />1Direct and Indirect Cost of Expansion includes: <br /> a) cost to determine extent of environmental studies necessary <br /> and complete those studies (Paragraph II B) <br /> b) cost to design and prepare plans and specifications <br /> (Paragraph II C) <br /> c) cost of construction of projects (Paragraph II G) <br /> d) preliminary costs including election costs, if necessary. <br /> <br />7 ? <br /> <br /> <br />