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sole discretion, to make its delivery of any Reclaimed Wastewater under this Agreement at a Delivery Point other than Hite, and if delivery at such alternative Delivery Point(s) results in reduced transit loss, Aurora shall be entitled to retain such avoided transit loss with no credit to Lessee in water, money or otherwise. Aurora shall maintain and provide to Lessee a monthly accounting and report of daily deliveries at the Delivery Point(s). If Aurora elects to deliver some or all of the Reclaimed Wastewater at alternative Delivery Point(s), then the foregoing reports shall include the calculated amount of avoided transit loss and the amount of water physically delivered at such alternative Delivery Point(s). For purposes of calculating any such avoided transit loss, the Parties hereby agree that the volume of Reclaimed Wastewater required to be delivered by Aurora in accordance with the Delivery Schedule shall be discounted by an amount equal to one-half of one percent(0.5%) of such volume during the April through September irrigation season,or one-fourth of one percent (0.25%) of such volume during the October through March non-irrigation season, for each river mile in distance between Hite and such alternative Delivery Point(s) (such distance calculated to the nearest one-tenth of a mile), or by such other amount as determined by the Division Engineer for Water Division No. I (such office or its replacement the "Division Engineer") or as specified in an applicable statute or decree from a court of applicable jurisdiction►. The product of this calculation shall represent the amount of avoided transit loss in acre-feet,which Aurora shall be entitled to retain. 4. Source and Ounlit y of Reclaimed Wastewater. The Reclaimed Wastewater to be provided by Aurora under this Agreement shall, at Aurora's discretion,consist of Aurora's reusable municipal return flows to the South Platte River, any fully consumable portion of changed irrigation water rights owned by,or available to Aurora, fully consumable water diverted pursuant to decrees entered in 03CW414,03CW415 and 06CW104, and any other legal source of Reclaimed Wastewater available to Aurora. Under no circumstances shall this Agreement be interpreted to mean that Aurora must supply potable water should the sources set forth in this paragraph be unavailable. Aurora does not warrant or guaranty any water quality standards with respect to the Reclaimed Wastewater to be delivered as provided for under this Agreement and Lessee hereby waives any such warranty or guaranty. 5. Use of Reclaimed Wastewater. Lessee shall have the right to use and reuse to extinction the Reclaimed Wastewater delivered under this Agreement for water supply purposes, including replacement and exchange purposes in connection with any substitute water supply plan approved by the Colorado State Engineer's Office, and augmentation and exchange purposes in accordance with any augmentation plan decreed by the Colorado Water Court; provided that such use is consistent with the terms of this Agreement and all applicable laws, rules and regulations. Notwithstanding the foregoing provision,however, this entire Agreement shall be void if the Reclaimed Wastewater is used in any manner that benefits United Water and Sanitation District,East Cherry Creek Valley Water and Sanitation District or Farmers Reservoir and Irrigation Company. 6. Water Rights Accounting. Lessee will be solely responsible for any and all reporting and accounting required by the Colorado State Engineer,the Division Engineer for Water Division 1, the Water Commissioner for Water Commissioner District 2, or any other lawful authority after Aurora makes its delivery of the Reclaimed Wastewater as provided for under this Agreement. This responsibility includes, but is not limited to, Lessee's withdrawal of the Reclaimed Wastewater from the South Platte River(if any) and Lessee's use of the Reclaimed 3 009411\03 1 0\1811961.3