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I-3. LIBERTY PARK IMPROVEMENT DISTRICT TYPE 2 WATER RIGHT SUBLEASE AGREEMENT Approve a Type 2 Water Right Sublease Agreement between Aspen Liberty, L.L.C. and the Liberty Park Improvement District, a county improvement district, through Maricopa County Superintendent of Streets Office, for the purpose of providing a temporary legal water right lease in the name of the Liberty Park Improvement District, in accordance with Arizona Department of Water Resources' (ADWR) requirements for issuance of water delivery service rights for new providers. This Agreement is non-financial and is effective from August 20, 2008 until December 31, 2010. The district was established December 15, 2007 and is located in the vicinity of Jackrabbit Trail and MC85. As part of the ADWR's Assured Water Supply program, all new subdivisions within the Phoenix area must prove a 100-year legal water supply. For Liberty Park , the water provider is required to obtain a "service area right" from ADWR. Pursuant to ADWR policy, a new provider must obtain a temporary water right before ADWR will issue a new service area right. To comply with this requirement, Owner/Developer has leased a water right to be subleased to the improvement district until water service is commenced at Liberty Park and ADWR issues a new service area right to the improvement district. The water right sublease does not obligate the improvement district to make any financial payments. All payment obligations under the water right lease remain with the developer. If for some reason, the improvement district does not ultimately serve water to the subdivision or the developer's prime lease terminates, the result will be that the sublease will automatically terminate and ADWR will not issue the improvement district any service area rights. There will be no on-going responsibility under the sublease for the improvement district. Supervisor District No. 4 (C-91-09-020-3-00)