Marysville, PUD, Tulalip Tribes 8/16/2021

of 1991 which terminated July 1, 2020, and has been extended to July 1, 2021. That contract states that the Participants shall have the right to renew the contract for an extended term of similar duration and for a quantity of water consistent with the demands projected by the CWSP. NOW,THEREFORE, for the mutual benefits to be derived,the parties agree as follows: 1. Delivery of Water. Everett hereby agrees to deliver and sell to the Participants, and the Participants hereby agree to purchase from Everett,a maximum of twenty million gallons of water per day (20 MGD). The Participants will pay Everett for the delivery and treatment of such water, to be used as one of Participants' sources of supply, in accordance with Everett's usual and accustomed rates and conditions for customers similarly situated and as provided in Section 5 hereof. 2. Point of Delivery. Everett shall deliver water to the Participants at the connection point located at 87th Ave SE and 20th St SE. This connection point is referred to in this Contract as the "Everett connection point." Since this tap is owned by Marysville, Everett will coordinate any operational issues with Marysville as well as the PUD. Other future connection points to serve multiple Participants shall be subject to mutual agreement. The actual point of delivery at the connection point shall be the upstream flange of the valve downstream of the master meter and check valve. 3. Quantity of Water. Marysville constructed the Phase I JOA Pipeline from the Everett connection point as Phase 1 of the preliminary CWSP and JOA. Everett and Participants agree that each have, and will continue to make, significant capital investments in water supply facilities which are interdependent, and that coordinated planning will be required throughout the term of this Contract-to maximize public benefits and minimize costs. In the design of future Participants' water supply projects, Everett shall not be responsible for storage beyond Everett's existing storage at Chaplain Reservoir. Everett agrees to use best efforts, subject to meeting the requirements of all Everett customers and subject to Section 10 and Section 11 below, to provide a regular and uninterrupted supply of water at the Everett connection point. Everett will exercise best efforts to operate so as to supply water at a hydraulic head of not less than 440' mean sea level at the Everett connection point throughout the term of this Contract as long as parties are in compliance with the Operating Plan (Exhibit B). It is understood that the Participants may reach peak demands of 20 million gallons per day (MGD) through the Phase I JOA Pipeline before the expiration of this Contract and that additional facilities, including a second pipeline connection to Everett and a regional reservoir, may be required to meet long range demands. A second pipeline connection will require a separate water contract between Everett, Marysville and as many of the other Participants who choose to participate in this second pipeline connection. Estimated average daily demands and peak day demands of the Participants are shown in the Participants' individual Comprehensive Water System Plans. Everett's facilities have, or will have in the future, the capacity to supply the Participants' water quantity demands at the Everett connection point of a peak of 20 MGD. The PUD and Tribes have other points of