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development of the Parties' Recommendation is the assumption that the <br />United States will reduce the quantity of water allotted to Mexico in years <br />in which the Secretary imposes shortages in deliveries of water from Lake <br />Mead in the United States. The Basin States' Preliminary Proposal of <br />February 3, 2006, proposed that total shortages of 400,000, 500,000 and <br />600,000 acre-feet per year should be imposed within the United States and <br />Mexico at certain Lake Mead elevations. In accordance with the Preliminary <br />Proposal, Arizona and Nevada have executed a Shortage Sharing Agreement <br />premised upon the imposition by the Secretary of shortages within the United <br />States of 333,OD0, 417,OD0 and 500,000 acre-feet per year at the same Lake <br />Mead elevations contained in the Preliminary Proposal. The DEIS <br />substantially incorporates these assumptions into its consideration and <br />analysis of the Basin States' alternative. For the first 600,DDD acre-feet per <br />year of any reductions in deliveries in any year due to a declared shortage, the <br />Basin States have agreed that Arizona and Nevada will not take more than <br />500,000 acre-feet per year in aggregate and California will not take any <br />reductions. The Parties recognize that there may be other circumstances in <br />which the United States may reduce the amount of water allotted to Mexico <br />under the 1944 Treaty. <br />B. Each of the Parties to this Agreement takes the affirmative position that in <br />years in which the Secretary imposes shortages in deliveries of water from <br />Lake Mead in the United States, the United States must reduce the quantity of <br />water allotted to Mexico under Article 10(a) of the Mexican Water Treaty of <br />1944. In the event that any Party becomes concerned that there may be a <br />claim or controversy regarding the United States' delivery of water allotted to <br />Mexico under Article IO{a) of the Mexican Water Treaty of 1944, such Party <br />shall notify all other Parties in writing. Pursuant to such notification, the <br />Parties shall in good faith meet to consult and formulate a uniform position <br />regarding such claim or controversy. If the Parties are successful in <br />formulating a uniform position regarding such claim or controversy, then the <br />Parties shall cooperate in taking any and all actions appropriate to the <br />resolution of such claim or controversy. <br />C. Once consultation and any subsequent actions agreed by each Party to be <br />taken following completion of such consultation are completed, any Party <br />may initiate litigation or other appropriate challenge against the United States <br />relative to any action or inaction of the United States pursuant to the Mexican <br />Water Treaty of 1944 or the modification of the ROD. Any adverse position <br />taken by any Party to any position taken by any other Party under this <br />Paragraph 11. C. shall not constitute a breach of this Agreement, and all of the <br />other terms and conditions contained in this Agreement shall remain in full <br />farce and effect. <br />12. Reservation of Ri hg_ts. Notwithstanding the terms of this Agreement and the <br />Parties' Recommendation, in the event that for any reason this Agreement is terminated, <br />11 <br />