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TERMS AND CONDITIONS <br />Western Weather Consultants, LLC is hereinafter referred to as the "Permit Holder" and Southwestern <br />Water Conservation District, Pagosa Area Water & Sanitation District, Pine River Irrigation District, <br />City of Durango, and the Florida Water Conservancy District will be hereinaller referred to as the <br />` {Project Sponsors ". This permit is limited by and subject to the following terms and conditions. <br />1. The State of Colorado (State), Department of Natural Res (Dl' R) and the Colorado <br />Water Conservation Board (CWCB) reserve the right to revoke, suspend and investigate <br />weather modification operations at any or all generator sites roared in this Permit for any <br />region. <br />2. The State, DHR„ and CWCB reserve the right to reopen and amend this permit to address any <br />unforeseen concerns or issues related to operations related to the stern San Juan Mountains <br />Weather codification permit. <br />3. The Permit Holder and Project Sponsors release the State, DNR, and CWCB of all liability <br />related to all cloud seeding operations. Adequate safeguards are provided in this Permit to help <br />permit holders to operate within the natural variability of the local climate. Operations should <br />only augment snowpa+ck to near normal levels in order to protect health, safety, and welfare of <br />the environment and Colorado's citizenry. <br />4. The target area shall be the Eastern half of the San Juan Mountains. `The Permit Holder is <br />approved for up to eighteen generators for this Permit. <br />5. Any Subsequent major changes to the number and location of generators shall wire the prior <br />written approval by the CWCB. <br />6. The Permit Helder is required to attend and present information on its cloud seeding operations <br />at any of the CWCB Board meetings if requested by the CWCB Director and/or CWCB Stag'. <br />7. The Permit Holder and Project Sponsors may not change the Operational Plan, develop <br />moments with out -cif -state water agencies, or receive out-of-state water agency funding <br />without prior written approval from the CWCB. <br />8. Cloud seeding; operations must be carried out in conformity with the Operational Plan,, except <br />for those operatic that are modif ed by the terms and conditions in this Permit. This Permit is <br />also subject to state statutes for weather modification in Colorado 36-24 -101 through 36-20 <br />127 C.R.S. A new Operational flan must be submitted to the CWCB and Project Sponsors <br />prior to seeding each year. <br />9. The permitted project is a commercial operation and the Permit Holder will pay a 2% <br />commercial fee to the CWCB, which is 2i°o of the base contract between the Permit Molder and <br />the Project Sponsors for each year of operations. <br />2 <br />