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D. Since 2012,K-C has closed and demolished its Everett Mill. At the time of entering into the <br /> Joint Use Agreement, K-C and the City intended that the City would have the right to assume control from <br /> K-C of the operation of the Joint Use Facilities at such time as the K-C site ceases to be used as <br /> manufacturing facilities, or otherwise by mutual agreement between K-C and the City. Accordingly, the <br /> purpose of this Amendment is to formalize the City's assumption of control of the Joint Use Facilities <br /> pursuant to Section 17.5 of the Joint Use Agreement. In order to allow the City to assume from K-C the <br /> operation of the Joint Use Facilities,K-C and the City have agreed to transfer the ownership of the Joint Use <br /> Facilities and the Capacity owned by K-C(the"K-C Capacity")to the City. <br /> AGREEMENT <br /> NOW,THEREFORE,for good and valuable consideration,the receipt and sufficiency of which are <br /> hereby acknowledged,the parties agree as follows: <br /> 1. City Assumption of Control of Joint Use Facilities. As of the Transfer Effective Date <br /> (which is defined in Section 4 below), the City hereby assumes control of the Joint Use Facilities pursuant to <br /> Section 17.5 of the Joint Use Agreement. K-C hereby consents to the City assuming such control and K-C <br /> and the City agree as follows: <br /> A. Transfer of Ownership of Joint Use Facilities and Capacity. In consideration for the <br /> City's assumption of control of the operation of the Joint Use Facilities and as required by Sections 17 and <br /> 21.5 of the Joint Use Agreement, K-C hereby transfers and conveys to the City, and the City accepts and <br /> assumes, all of K-C's right, title, and interest in the K-C Capacity and the Joint Use Facilities. The transfer <br /> and conveyance of the K-C Capacity and Joint Use Facilities to the City shall be effective as of the Transfer <br /> Effective Date. Concurrently with the execution of this Amendment, K-C shall execute and deliver to the <br /> City a Bill of Sale in the form attached hereto as Exhibit B and such other documents as K-C and the City <br /> agree may be necessary to transfer and convey the K-C Capacity and the Joint Use Facilities and all existing <br /> property rights known at the time of the execution of this Amendment to vest in the City the ownership of, <br /> and all rights to operate,the Joint Use Facilities. <br /> B. Amendment of Joint Use Agreement. In accordance with Section 21.4 of the Joint <br /> Use Agreement and in addition to the other amendments to the Joint Use Agreement set forth in this <br /> Amendment, K-C and the City agree as of the Transfer Effective Date to the amendments to the Joint Use <br /> Agreement set forth in Exhibit C to this Amendment. <br /> C. Assignment and Assumption of K-C Marysville Agreement. As of the Transfer <br /> Effective Date, K-C assigns and delegates to the City, and the City accepts and assumes, all of K-C's rights <br /> and obligations under the K-C Marysville Agreement. <br /> D. Assignment and Assumption of Tri-Party Agreement. As of the Transfer Effective <br /> Date, K-C assigns and delegates to the City, and the City accepts and assumes, all of K-C's rights and <br /> obligations under the Tri-Party Agreement. <br /> E. Assignment and Assumption of BNSF License. As of the Transfer Effective Date, <br /> K-C assigns and delegates to the City, and the City accepts and assumes, all of K-C's rights and obligations <br /> under the BNSF License. <br /> F. Assignment and Assumption of DNR Easement. As of the Transfer Effective Date, <br /> K-C assigns and delegates to the City, and the City accepts and assumes, all of K-C's rights and obligations <br /> under the DNR Easement. <br /> 2 <br />