Page 52 - Yucaipa Valley Water District

Director Memorandum No. 18-022 Page 6 of 22

Municipal Water District of Riverside County v. East San Bernardino County Water District et al.
(Riverside County Superior Court Case No. 78426, April 17, 1969), but which shall not be a
considered Parties to this Agreement.

1.1.10 “Cost Share” shall mean that portion of the overall annual
operating costs of the GC, assigned to a Party pursuant to the Equitable Allocation, as determined
in the annual budget of the GC.

2. TERM

2.1 This Agreement shall become operative on the Effective Date. If an eligible
Party has not executed this Agreement by june 30, 2018, such party may join this GC Agreement
only as an additional member of the GC, pursuant to Section 3.5, below.

2.2 This Agreement shall remain in effect for a period of five (5) years
following the Effective Date, unless earlier terminated by the unanimous written consent of all
then-active Parties, provided, however, that this Agreement shall remain in effect during the term
of any contractual obligation or indebtedness of the GC that was previously approved by the GC.

2.3 Any Party shall have the ability to withdraw from this Agreement upon
serving written notice of its intention to withdraw on all other Parties at least twelve (12) months
before that Party’s withdrawal becomes effective. Such notice shall be served on the GC at a
regularly scheduled meeting and on each of the Parties to this Agreement separately. The
withdrawing Party may withdraw upon eighty percent (80%) approval of the voting members of
the GC.

2.4 Any Ex Oficio participant in the GC shall have the ability to withdraw from
participation in the GC upon thirty (30) days written notice to the Parties.

3. COUNCIL CREATION AND PURPOSE

3.1 Creation of the GC. There is hereby created the Upper Santa Ana Valley
Bunker Hill Basin Groundwater Council. The GC shall be, to the extent permitted by law, the
forum within which the Parties shall coordinate the access to and utilization of imported water
supplies for application to the recharge and replenishment of the Basin, and for the maintenance,
and repair of recharge and conveyance facilities for both native and imported supplies to replenish
the Basin, consistent with applicable law and judicial decrees.

3.2 Purpose of the Agreement. The purpose of this Agreement, and the creation
of the GC, is to provide for the funding, integration, and coordination of the management of
imported water and associated groundwater replenishment facilities of the Basin. The purpose is
also the facilitation of implementation of policies and initiatives through the legal authorities of
one or more Parties, for the purpose of cooperatively managing certain aspects of the Basin,
including but not limited to accessing and applying imported water supplies to augment and
complement native water supplies, toward the goal of maintaining the long-term yield of the Basin
and ensuring that overdraft or other negative impacts are prevented in the future and eliminated
over time; and undertaking imported water replenishment activities that are approved by the GC
and included in the annual approved budget.

Yucaipa Valley Water District - February 6, 2018 - Page 52 of 175