BC 1989 04 19 - Laserfiche WebLink

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9O CABARRUS hereby designates CONCORD as a customer of the Reservoir and reserves and grants to CONCORD a right of first refusal to three million five hundred thousand (3,500,000) gallons per day of the available yield (the "Historic Floor Amount" for CONCORD) at the AME rate set forth in Paragraph 8(a), but such amount shall not be accumulated. 7. Additional Raw Water Authorization. Upon the Completion Date, in addition to its Historic FloorAmount, CABARRUS grants to CONCORD, together with other customers, if any, the non-exclusive, continuing right and authority to withdraw, consume and receive raw water from the Reservoir, to the extent of the net available yield thereof, subject to and limited only as follows: (a) In the event of the existence of maximum use conditions, drought conditions (but only for the drought rationing period), or similar objective restrictive conditions requiring the rationing of the net available yield, CABARRUS may limit the withdrawal, consumption and receipt of raw water by CONCORD to a proportionate quota of the net available yield computed as follows: CONCORD's average daily consumption of the net available yield from the Reservoir over the twelve (12) month period immediately preceding the declaration of the existence of such condition or conditions shall be divided by the total average daily consumption of all customers of the net available yield from the Reservoir, and the quotient thereof shall be multiplied by the ReservoirWs net available yield, but such amount shall not be accumulated. (b) In any event, CABARRUS shall not be liable to CONCORD, in damages or otherwise, for the failure to furnish raw water to CONCORD from the Reservoir as set forth in Paragraphs 6 or 7 of this Agreement, or for the quality of same, arising from the existence of any or all of the restrictive conditions defined in Paragraph 3(n) that objectively preclude the delivery of any or all raw water from the Reservoir, e.g. contamination, structural or mechanical failure, act of God, or like conditions beyond the control of CABARRUS. 8. Raw Water Charge. While CONCORD and CABARRUS acknowledge that the Raw Water Charge may increase or decrease due to debt service, capital outlays, maintenance and operation costs for the Reservoir, for any and all raw water drawn or received by CONCORD from the Reservoir, the Raw Water Charge to CONCORD shall be no more than the lowest/best raw water rate, (whether denominated bulk, industrial, institutional, commercial, residential or otherwise) which CABARRUS charges to any of its customers from the Reservoir, PROVIDED THAT: (a) for any Historic Floor Amount which CABARRUS establishes or acknowledges in this Agreement or otherwise, the Raw Water Charge therefor shall not be considered as a "lowest/best raw water rate" as identified in this paragraph; (b) for the Historic Floor Amount of CONCORD, the Raw Water Charge to CONCORD shall not exceed the AME as defined in Paragraph 3(a), which CABARRUS may charge as a rate expressed in cents per thousand gallons, billed pursuant to Paragraph 8(e); (c)CABARRUS may establish an Historic Floor Amount for the Kannapolis Water Company, any charge for the withdrawal of which shall not be considered as a Raw Water Charge or rate pursuant to this paragraph; (d) CABARRUS shall notify CONCORD of any rate changes at least thirty (30) days prior to the effective date thereof; and (e) CABARRUS shall bill CONCORD in accordance with its established billing cycle based upon readings from the metering station identified in Paragraph 10. CONCORD shall pay said bills within thirty (30) days of receipt. Upon failure of payment, CABARRUS may discontinue supplying raw water from the Reservoir upon ten (10) days' written notice to CONCORD. 9. Leasing, Operation and Protection of the Existing Pump Station During Construction. From and after the Closing Date until the Completion Date, CABARRUS shall lease the Existing Pump Station site to CONCORD for the sum of One Dollar ($1.00), and CONCORD shall continue to operate the Existing Pump Station and pump raw water through the Existing Raw Water Line. CABARRUS