WASTEWATER MASTER AGREEMENT FOR CCN EXPANSION.PDF

Casitas Bonitas Wastewater CC&N

WASTEWATER MASTER AGREEMENT FOR CC&N EXPANSION

This WASTEWATER MASTER AGREEMENT FOR CC&N EXPANSION
(“Agreement’’), dated , 2022, is made between Liberty Utilities
(Litchfield Park Water & Sewer) Corp., an Arizona public service corporation, its successors and
assigns (“Liberty”), and Casitas Bonitas Sanitary Sewer Improvement District, its successors and
assigns ("CBID"), (“District” or “Applicant”) to have Liberty expand its current wastewater
Certificate of Convenience and Necessity (“CC&N”) with the Arizona Corporation Commission
(“ACC”) in order for Liberty to provide wastewater service to the CBID located in Maricopa
County, Arizona. Applicant and Liberty may be referred to individually as a “Party” or collectively
as “Parties” in this Agreement.

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WHEREAS, Liberty is a public service corporation, and holds wastewater CC&N granted
by the ACC, as well as other required permits and governmental approvals authorizing it to serve
the public with wastewater utility service in Maricopa County, Arizona; and

WHEREAS, CBID, is the current owner of the sewer system that serves the 137 residential
lots in the Casitas Bonitas development (see Exhibit A) (“CBID” or “Development”) and has
requested Liberty to provide wastewater service to CBID; and

WHEREAS, the Development is currently outside Liberty’s wastewater CC&N areas; and

WHEREAS, Liberty intends to file with the ACC and use its best efforts to pursue an
expansion of its CC&N to include the Development (“CC&N Expansion”).

NOW, THEREFORE, Liberty and Applicant mutually covenant and agree as follows:
AGREEMENT

1. Incorporation of Recitals. | The Parties hereby incorporate Recitals set forth
above as part of this Agreement.

2. CC&N Expansion. Subject to compliance by Applicant with (i) any and all
obligations under this Agreement, (ii) Liberty’s approved tariffs, and (iii)
applicable laws, rules and regulations, Liberty agrees to use its best efforts to
promptly file an application for the CC&N expansion with the ACC and thereafter
use best efforts to pursue approval of such application.

3. CC&N Expansion Costs. Applicant shall be responsible for paying any and all
costs incurred by Liberty to file, prepare, pursue and complete the necessary CC&N
Expansion. The current estimate of Liberty’s associated costs for the CC&N
Expansion is $25,000 to $30,000. Applicant understands that such amount is an
estimate only. Upon Applicant’s execution of this Agreement, Applicant shall

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Casitas Bonitas Wastewater CC&N

submit a $7,500.00 deposit (“Deposit”), and an amount equal to Applicant’s share
of applicable income taxes for Liberty’s state and federal tax liability on such funds
paid by Applicant. Liberty shall periodically invoice CBID (not more than once a
month) on behalf of the Applicant with reimbursement to be made within thirty
(30) days from the date of receipt of the invoice. Liberty shall submit invoices to
Applicant by mail and/or email at the following address:

Casitas Bonitas Sanitary Sewer Improvement District
Maricopa County Department of Transportation
ATTN: Office of the Superintendent of Streets

2901 W. Durango Street

Phoenix, Arizona 85009

Telephone: (602) 506-6292

Email: Alana.Lewicki@maricopa.gov

Applicant understands and agrees that Liberty will not pursue the CC&N
Expansion until the deposit is received.

. Applicant’s Responsibility. Liberty will not make the CC&N Expansion filing
with the Arizona Corporation Commission until Liberty has received any and all
necessary items from the Applicant to make such filing. Applicant shall work with
Liberty, at Applicant’s sole expense, to provide any and all necessary
documentation requested by the ACC and to answer any inquires Liberty may
receive from the ACC. Applicant also shall provide any and all information
requested by Liberty for the CC&N Expansion, including issuance of a request for
service letter.

. Additional Conditions, The following conditions shall apply to the CC&N
Expansions or the provision of wastewater or utility service to the Development:

a) Applicant/and or developers shall enter into necessary Line Extension
Aercament (“LXA”) as required by Liberty.

b) Liberty may not approve development construction plans pa ior to execution
of necessary LXAs for the Development.

c) If necessary, Applicant shall pay Liberty for the costs of the completed
MAG 208 Amendment (for undeveloped property) to bring the
Development into Liberty’s MAG 208 service territory. These costs shall
be part of each LXA.

d) Liberty does not reserve wastewater capacity until an LXA is executed and
Applicant and/or developer has paid any and all fees and/or charges under
Liberty’s approved tariffs. The provision of wastewater service to the
Development is subject to Liberty’s tariffs as approved by the ACC. Such
tariffs are subject to change as requested by Liberty, in its sole discretion,

and approved by the ACC.
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IN WITNESS
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Casitas Bonitas Wastewater CC&N

Dispute. Each Party will use good faith efforts to resolve, through negotiation,
disputes arising hereunder without resorting to mediation, arbitration or litigation.
However, to the extent that a dispute arises which cannot be resolved through
negotiation, the prevailing party in any litigation or other proceeding concerning or
related to this Agreement, or the enforcement of thereof, shall be entitled to recover
its legal costs and reasonable attorneys’ fees.

Sunset date. In the event that the CC&N Expansion application is not filed with
the ACC within 12 months from execution of this Agreement, this Agreement shall
automatically terminate, unless otherwise agreed to by Liberty in writing.

Miscellaneous. This Agreement may not be modified or amended except by a
writing signed by both Parties. This Agreement shall be governed by and construed
in accordance with the laws of the State of Arizona. This Agreement constitutes the
entire agreement and understanding between the Parties with respect to the subject
matter hereof.

Cancelation. This Agreement is subject to cancelation pursuant to A.RS. 21 38-
511.

WHEREOF, the Parties hereto have executed this Agreement by their authorized
the day, month, and year first above written.

Liberty Utilities
(Litchfield Park Water & Sewer) Corp.
an Arizona Corporation

Crystal Gon

Secretary/Treasurer

Casitas Bonitas Sanitary Sewer Improvement District

By:

Bill Gates

Chairman, Board of Directors

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