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substitute water supply plan approved by the Colorado State Engineer's Office, augmentation and <br />exchange purposes in accordance with any augmentation plan or appropriative right of exchange <br />decreed by the Colorado Water Court, and any other lawful exchanges; provided that such use is <br />consistent with the terms of this Agreement and all applicable laws, rules and regulations. <br />Notwithstanding the foregoing provision, however, this entire Agreement shall be void if the <br />Reclaimed Wastewater is used in any manner that benefits United Water and Sanitation District, <br />East Cherry Creek Valley Water and Sanitation District or Farmers Reservoir and Irrigation <br />Company. <br />6. Water Rights Accounting. Lessee will be solely responsible for any and all reporting <br />and accounting required by the Colorado State Engineer, the Division Engineer for Water <br />Division 1, the Water Commissioner for Water Commissioner District 2, or any other lawful <br />authority after Aurora makes its delivery of the Reclaimed Wastewater as provided for under this <br />Agreement. This responsibility includes, but is not limited to, Lessee's withdrawal of the <br />Reclaimed Wastewater from the South Platte River (if any) and Lessee's use of the Reclaimed <br />Wastewater. Aurora will provide any and all reporting and accounting required by the Colorado <br />State Engineer, the Division 1 Engineer, or any other lawful authority concerning proof of the <br />reusability of the Reclaimed Wastewater and conveyance of the Reclaimed Wastewater to the <br />Delivery Point. <br />7. Subordination Clause. This Agreement shall be made expressly subordinate to any <br />present or future use of effluent by Aurora for the purposes of augmentation, exchange, or any <br />other use which is or will be of greater direct benefit to Aurora and the users of its water delivery <br />system, as well as to the water supply obligations which Aurora has incurred or will incur <br />through any of the following: (a) the March 2, 1981, Water Agreement with the City of Arvada, <br />Colorado and any renewals thereof, (b) the October 25, 1993, Effluent Agreement with the State <br />of Colorado, Division of Parks and Outdoor Recreation and any renewals thereof; (c) its <br />obligation pursuant to the Substitute Water Supply Plan for Upper Cherry Creek Management <br />Association approved March 19, 1998, and any renewals thereof; (d) its obligations pursuant to <br />Water Division 1, Case Nos. 95CW226 & 227, Case No. 99CW158, Case No. OICW284 and <br />Case No. 02CW341; (e) the April 23, 2001, Agreement for Reclaimed Wastewater with Calpine <br />Corporation; (f) the May 20, 2003, Water Rights Purchase and Sale Agreement with the City of <br />Thornton, Colorado; (g) the May 19, 2006, Reusable Water Agreement with the Central <br />Colorado Water Conservancy District, and (h) any and all obligations resulting from any firm <br />delivery annual lease or delivery contract of Reclaimed Wastewater executed prior to the date of <br />this Agreement. The foregoing subordination does not, in and of itself, create an excuse for <br />Aurora's failure to deliver the Reclaimed Wastewater under this Agreement. However, Aurora <br />and Lessee agree that the purpose and effect of the foregoing subordination is to establish a <br />priority among and between Aurora's obligations under this Agreement and Aurora's other <br />obligations with respect to its Reclaimed Wastewater in the event of a force majeure event <br />causing delay or interruption in Aurora's delivery of the Reclaimed Wastewater. <br />8. Consideration. Lessee agrees to pay to Aurora the amount of Three Hundred dollars <br />($300.00) per acre-foot ("Unit Rate") for all Reclaimed Wastewater delivered under this <br />Agreement in 2015. Starting with the calendar year 2016 and for each calendar year through the <br />end of the term of this Agreement, the Unit Rate applicable to each calendar year shall be <br />102.5% of the Unit Rate for the previous calendar year. <br />009411 \03 10 116885 12.6 4 <br />