C150317 Resolutions and Agreements

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. ...... . ....... ....... 123 14 Page 1 of 19 AGREEMENT BETWEEN THE LA PLATA WEST WATER AUTHORITY AND THE LAKE DURANGO WATER AUTHORITY This Agreement is entered into this L1 day of , 2014, by and between the La Plata West Water Authority ("LPWWA") and the Lake Durango Water Authority ("LDWA") (collectively "Parties") RECITALS A. LPWWA has a 20.6% ownership interest in the Intake Structure on Lake Nighthorse and is the Licensee under a License Agreement with the Bureau of Reclamation to utilize land in the Animas-La Plata Project for the construction and operation of a water system intake structure ("Intake Structure") and LPWWA will acquire an ownership interest in a raw water pipeline, utilities, pump station, and access road from the Intake Structure on Lake Nighthorse to County Road 210 ("210 Pipeline")(together the "Water Conveyance System" (which reference includes all accompanying interests including but not limited to licenses, easements, and rights-of-way). B. The Southern Ute Indian Tribe ("SUIT") and the Ute Mountain Ute Tribe ("UMUT") also have an ownership interest in the Water Conveyance System. The SUIT has a 52.9% interest and the UMUT has a 26.5% interest. C. LPWWA, the SUIT, and the UMUT have entered into an Agreement that establishes a framework for designing and constructing the 210 Pipeline and for operating the Water Conveyance System pending use of the Water,Conveyance System by either the SUIT or the UMUT(the"Three Party Agreement"). D. The Three Party Agreement acknowledges that LPWWA will permit LDWA to utilize a portion of LPWWA's capacity in the Intake Structure and in the 210 Pipeline and that LPWWA and LDWA intend to develop a pipeline that extends down County Road 210 and County Road 141 to the intersection of County Road 125 and County Road 141 ("125 Pipeline") (which reference includes all accompanying interests including, but not limited to licenses, easements, and rights-of-way). E. LPWWA and LDWA also anticipate designing and constructing a pipeline from County Road 141 to the Lake Durango Reservoir ("Lake Durango Pipeline") (which reference includes all accompanying interests including, but not limited to licenses, easements, and rights-of-way).