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Approved on May 23, 2018



                                                   BYLAWS OF THE

                 YUCAIPA SUSTAINABLE GROUNDWATER MANAGEMENT AGENCY

                              (Department of Water Resources Sub-Basin No. 8-02.07)



               ARTICLE I - NAME, ORGANIZATION, REPRESENTATIVES, PRINCIPAL OFFICE


               Section 1.1    Name.  The name of this organization is the Yucaipa Sustainable Groundwater

                              Management Agency (hereinafter referred to as the “Yucaipa-SGMA”).

               Section 1.2    Organization.  The Yucaipa-SGMA was formed by a Memorandum of Agreement

                              (“MOA”) in 2017 which remains in full force and effect, by and among: South Mesa
                              Water  Company,  South  Mountain  Water  Company,  Western  Heights  Water
                              Company and Yucaipa Valley Water District, herein collectively referred to as the

                              “Water Purveyors”; and the City of Calimesa, the City of Redlands, and the City of
                              Yucaipa,  herein  collectively  referred  to  as  the  “Municipalities”;  and  the  San
                              Bernardino  Valley  Municipal Water  District, and the  San Gorgonio  Pass Water

                              Agency, herein collectively referred to as the “Regionals.”  Each of the above-
                              described entities is individually referred to as a “Party” and collectively referred to

                              as the “Parties”.

               Section 1.3    Board  of  Directors.    Each  Party  shall  appoint  a  principal  representative  and

                              alternative  representative,  who  may  be  changed  from  time  to  time  at  the  sole
                              discretion of the designating Party.  The principal representative appointed to the

                              Yucaipa-SGMA shall be a senior executive management level employee of each
                              designating  Party.    In  the  event  that  the  appointed  representative(s)  is/are  no
                              longer  employed  by  the  appointing  Party,  the  individual  will  be  removed  as  a

                              member of the Board of Directors of the Yucaipa-SGMA.  Written confirmation from
                              the governing board shall be provided to the Yucaipa-SGMA at the Principal Office
                              following any change in representation.


               Section 1.4    Principal Office.  The principal office of the Corporation is hereby fixed and located
                              at  the  offices  of  the  San  Bernardino  Valley  Municipal  Water  District,  380  East





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