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Exhibit B
Unit No. 1 - Lots 1, 45 , 78 .
Unit No. 2 -- Lots 1159 1269 153, 1691 172 , 176 , 220 .
Unit No . 3 - Lots 2249 2259 226 , 2279 - 2322 233 , 2349 2359 2369
2449 2459 246 , 247 , 258 , 2590 2609 2679 2729 2769
277 , 278, 2792 2809 2819 2832 2879 2889 2899 2900
291 , 292 , 293 , 2949 295, 2969 2979 3049 3055 3069
307 , 3099 3109 3119 3130 314 , 315 , 3169 317 , 3189
323, 3249 3299 3303, 3319 3329 3359 3369, 337 .
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Exhibit B
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AGREEMENT BETWEEN TRUCKEE-DONNER PUBLIC UTILITY DISTRICT
AND LAKEWORLD DEVELOPMENT COMPANY RESPECTING WATER FOR
RECREATIONAL LAKES ON TAHOE NORTHWOODS DEVELOPMENT
THIS AGREEMENT, made and entered into this 23rd day of
July , 1970 , by and between Truckee-Donner Public
Utility District , a local public agency of the State of
California hereinafter referred to as "the District ," and
LakeWorld Development Corporation, a California corporation,
hereinafter referred to as "LakeWorld" ;
W I T N E S S E T H:
WHEREAS , F. W. Valley, LakeWorld's President, has
options to buy certain property located within the District in
Nevada County , California, which LakeWorld plans to subdivide
and develop into a recreational-residential subdivision, to be
known as "Tahoe Northwoods ," hereinafter called "the project" ;
and
WHEREAS ,, the District and LakeWorld have previously
ent
ered into two agreements , one dated March 199 19 70 , and the
other dated May 89 1970 , the first providing for water service
to residential lots, commercial areas , clubhouse and a golf*
course on the project, and the second providing for electric
power service to the project ; and
WHEREAS , LakeWorld is planning the construction as
part of the project of recreational lakes having a total surface
area of approximately 85 acres , a total capacity of approximately
1,500 acre-feet, and ,an expected total annual evaporation loss
of approximately 200 acre-feet, and desires to purchase from the
District a sufficient amount of water for the initial filling
of said recreational lakes and thereafter for rep lacing water
lost from said lakes through evaporation; and
WHEREAS , the District is willing to agree to sell
water to LakeWorld for the initial filling of said recreational
lakes and the offsetting of evaporation losses thereafter
pursuant to the terms and conditions hereinafter set forth ;
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NOW, THEREFORE, the parties mutually agree as follows :
1. After completion by LakeWorld pursuant to the
agreement_ between the parties dated March 190 19 70 , of the
initial supply facilities and the portion of the distribution
system required to deliver water to said recreational lakes on
the project , the District shall, upon receiving written reghes t
therefor from LakeWorld, deliver to said recreational lakes the
amount of water necessary for initial filling of said recreational
lakes not to exceed 1,500 acre-feet. The water for such initial
filling shall be delivered at such rate of delivery as requested
by LakeWorld in such written notice within the capacity of the
initial supply facilities and distribution system facilities
required ,to accomplish such delivery.
2. After initial filling of said recreational lakes
has been accomplished, the District shall, pursuant to written
request by LakeWorld, provide water in such amounts, not to exceed
200 acre-feet per year, at such times and at such rates of delivery
,..,, within the capacity of the. initial supply facilities and distri-
bution system facilities required to accomplish such delivery , as
requested by LakeWorld for the purpose of replacing evaporation
losses from said recreational lakes.
3. The amount of water delivered in accordance with
the preceding paragraphs shall, be measured at the point of delivery
to said recreational lakes by suitable measuring devices installed
at the expense of LakeWorld and thereafter maintained, operated
.
and replaced as part of the distribution system by the District.
The District shall keep accurate records of the amounts of water
delivered to said recreational lakes as measured by such said
measuring devices , and LakeWorld shall have the right to inspect and
test the accuracy of said measuring devices. The District shall keep
said measuring devices in good and accurate working condition and
shall make any necessary corrections in the records of measure-
ment in order to accurately reflect the amounts of water actually
delivered. The District shall have no obligation with respect to
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operation, maintenance or repair of said recreational lakes ,
such obligation being entirely that of LakeWorld or its suc-
cessors, and assigns.
4. LakeWorld shall pay for water so delivered to
said recreational lakes at the rate of eight cents ($ .08) per
thousand gallons , and shall make payment to the District therefor
within thirty days after receiving bills from the District setting
forth the amount of water delivered during the billing period.
The District shall bill for water delivery periodically but not
oftener than monthly.
5. This agreement shall become operative on October 1,
1971, and shall terminate on September 30, 1976 ; provided, that this
agreement shall be automatically renewed for additional periods
of one year beginning on July 1, 19 76 , unless the District gives
written notice to LakeWorld not less than sixty days prior to
the termination of each succeeding one-year extension that the
District will not have sufficient water available to offset
evaporation losses from said recreational lakes during the
r.
succeeding year after taking into account the District 's obli-
gations to provide water within its boundaries for domestic
and irrigation purposes.
6. Supply and usage of water hereunder shall be in
accordance with the duly adopted or hereinafter enacted rules ,
regulations, ordinances , or resolutions of the District. In the
event of litigation to recover or to collect any sums due and
payable hereunder by LakeWorld or any successor in interest of
LakeWorld to the District, and should the District prevail therein,
the District shall be entitled to recover such sums as the Court
deems reasonable as and for attorneys ' fees in any such suit or
suits , together with all reasonable costs of litigation.
7. Notices or requests from either party to the other
shall be in writing and shall be delivered or mailed, postage
prepaid, to the following address , or any change thereof of
which the other party is given notice , and shall be effective
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upon delivery or upon mailing: LakeWorld Development Company,
3055 Alvarado Street, San Leandro, California 94577; Truckee-
Donner Public Utility District, Truckee, California 95734. ,
8. This agreement shall be binding upon and inure to
the benefit of the successors and assigns of both parties.
LakeWorld shall not assign any of its rights , duties or obliga-
tions under this agreement without the prior written consent
of the District , which consent shall not be unreasonably with-
. held; provided, that LakeWorld may assign its rights and obli-
gations under this agreement, without prior consent of the
District, to a homeowners' association made- up of owners of
property on the project which is expected to be formed in the
near future.
9. Should the District be enjoined by a court of
competent jurisdiction from performing this agreement, its
obligation to deliver water as provided herein shall be suspended
as long as such injunction remaind in effect.
10. District Powers - Severability. Nothing herein
contained shall be deemed to .limit, restrict , or modify any
right , duty or obligation given, granted, or imposed upon the
District by the laws of the State of California now in effect , or
hereafter adopted, nor to limit or restrict the power or authority
of the District , including the enactment of any rules , regulations,
f
resolutions, or ordinances , including without limitation creation
of service zones and ,rate differentials applicable within the project
area which may not be applicable elsewhere , and in the event that
any part or provision herein contained in this agreement or in-
corporated
herein, be found to be i llegal' o r unconstitutional by a
court of competent jurisdiction, such findings shall not affect
portions,the remaining parts , , or Provisions hereof .
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IN WITNESS WHEREOF, the parties hereto have executed .
this agreement on the day and year first above written.
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TRUCKEE-DONNER PUBLIC UTILITY DISTRICT
By
President
[SEAL]
ATTEST:
(!a
Secretary
• LAKEWORLD DEVELOPMENT CORPORAT ON
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