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~~ (""l 2. Allocation of Caoacitv. a. SWSP Enterprise covenants that Allottee shall have the perpetual, exclusive right to use 1.03 million GPD of capacity in the Pipeline from its point of delivery on the Carter Lake to Broomfield Pipeline to the delivery point described in Schedule A attached hereto, upon completion of construction thereof. Allottee's water will be delivered to Allottee by SWSP Enterprise through the Pipeline at ~llottee's request and on a year-round, continuous basis except for disruptions specifically permitted herein and disruptions resulting from emergencies. Allottee shall not have the right to use capacity in the Pipeline allotted to any other Participant without the express permission of the Participant whose capacity is being utilized. b. SWSP Enterprise shall provide Allottee with eighty (80) days' prior written notice of any scheduled disruption in the delivery rights of Allottee described herein. . Such eighty (80) day notice shall include the date scneduled for initiation and termination of the disruption. Allottee shall respond within thirty (30) days of receipt of the eighty (80) day notice and such thirty (30) day response notice shall notify SWSP Enterprise as to whether the disruption is acceptable or unacceptable. If the scheduled disruption is unacceptable, Allottee shall state conditions under which the disruption would be acceptable to Allottee and provide a minimUII disruption of seven (7) consecutive days. SWSP Enterprise shall not proceed in permitting the scheduled disruption unless and until issues raised in the response notice have been addressed to reasonably assure unimpaired delivery to Allottee's service users. c. Allottee's delivery point from the pipeline set out above and the minimUII hydraulic elevation at the delivery point described in Schedule B shall not be changed by the SWSP Enterprise without the written consent of Allottee. The Allottee at its sole discretion may designate one or more alternate points for delivery from its delivery point described in Schedule A to another point upstream on the Pipeline without the consent of SWSP Enterprise so long as the change redesignation does not adversely affect the hydraulic characteristics or operation of the Pipeline; provided, however, illottee shall pay all costs of design, engineering, construction and administration of cbanging its delivery point(s). d. In the event that the Pipeline, after completion of construction, has capacity in excess of the initially allocated capacity ('Excess Capacity'), Allottee shall have the perpetual, exclusive right to use a pro rata share of the Excess Capacity at Allottee's point of delivery. The Allottee's pro rata share of the Excess Capacity shall be the Allottee's percentage of the total Individual Segment Specific Costs and Non-Segment Specific Costs of the Pipeline for all segments. Allottee's perpetual, exclusive right to use Excess Capacity hereunder shall be at no increased cost and shall be subject to Allottee's full compliance with all the terms, conditions and obligations hereinafter set forth. Allottee shall have the right, at its written request, to have the Excess capacity allocated in one (1) or more additional Allotment Contracts. e. The allocation of capacity pursuant to this Contract constitutes a vested property right for which the Allottee has paid fair and adequate consideration. Said allocation is not in any way executory in nature and it is the parties' intent and the economic substance of this transaction that upon the payment of Allottee's Construction Costs, the Allottee shall have totally performed all obligations requisite to the allocation of capacity by the SWSP Enterprise. It is the parties' intent and belief that the prepaid vested right to capacity in the Pipeline is neither an executory contract nor an unexpired lease and the parties intend that the Allottee's right to capacity is not a species of property that is subject to the 3