STATE OF CALIFORNIA THE RESOURCES AGENCY OF CALIFORNIA DEPARTMENT OF WATER RESOURCES WATER SUPPLY CONTRACT BETWEEN THE STATE OF CALIFORNIA DEPARTMENT OF WATER RESOURCES AND SAN BERNARDINO VALLEY MUNICIPAL WATER DISTRICT Disclaimer: This document integrates San Bernardino Valley Municipal Water District’s State Water Project water supply contract and amendments to the contract entered into since December 30, 1960. It is intended only to provide a convenient reference source, and the Department of Water Resources is unable to provide assurances that this integrated version accurately represents the original documents. For legal purposes, or when precise accuracy is required, users should direct their attention to original source documents rather than this integrated version. (Incorporates through Amendment No. 17, executed May 28, 2003) (No other amendments through 2017) EXPLANATORY NOTES This symbol encloses material not contained in < > the original or amended contract, but added to assist the reader. Materials that explain or provide detailed Exhibits information regarding a contract provision. Materials that implement provisions of the basic Attachments contract when certain conditions are met. Amendments have been incorporated into this Amendments consolidated contract and are indicated by footnote. This Water Supply Contract used the term District Name “District” in the original contract for this contractor. Some amendments may not have retained the same nomenclature. This consolidated contract uses the term “District” to be consistent with the original contract. It does not change the content meaning. This Water Supply Contract used the term “State” in the original contract for this contractor. Some Department Name amendments may not have retained the same nomenclature. This consolidated contract uses the term “State” throughout to be consistent with the original contract. It does not change the content meaning. ii Contents EXPLANATORY NOTES ........................................................................................................... ii A. INTRODUCTORY PROVISIONS ........................................................................................ 2 1. Definitions. ..................................................................................................................... 2 (a) “Bond Act” ........................................................................................................... 2 (b) “System” .............................................................................................................. 2 (c) “Delta” .................................................................................................................. 2 (d) “Contractor” ......................................................................................................... 2 (e) “Project facilities” ................................................................................................ 2 (f) “Project conservation facilities” ......................................................................... 2 (g) “Initial project conservation facilities” ............................................................... 2 (h) “Additional project conservation facilities” ....................................................... 3 (i) “Project transportation facilities” ....................................................................... 4 (j) “East Branch Aqueduct” ..................................................................................... 5 (k) “Project water” ..................................................................................................... 5 (l) “Minimum Project Yield” ..................................................................................... 5 (m) “Annual Table A Amount” ................................................................................... 6 (n) “Maximum Annual Table A Amount”.................................................................. 6 (o) “Supplemental conservation facilities” .............................................................. 6 (p) “Supplemental water” ......................................................................................... 6 (q) “Year” ................................................................................................................... 6 (r) “Year of initial project water delivery” ............................................................... 6 (s) “Project interest rate” .......................................................................................... 6 (t) “Capital costs” ..................................................................................................... 7 (u) Project revenues” ................................................................................................ 8 (v) “Project repayment period” ................................................................................ 8 (w) “Municipal use” ................................................................................................... 8 (x) “Manufacturing use” ........................................................................................... 8 (y) “Agricultural use” ................................................................................................ 8 (z) “Subject to approval by the State” ..................................................................... 8 (aa) “Area of origin statutes” ..................................................................................... 8 <(bb) No Such Subarticle Exists.> ............................................................................... 8 (cc) “Water system revenue bonds” .......................................................................... 8 <(dd) No Such Subarticle Exists.> ............................................................................... 8 <(ee) No Such Subarticle Exists.> ............................................................................... 8 <(ff) No Such Subarticle Exists.> ............................................................................... 8 iii <(gg) No Such Subarticle .............................................................................................. 8 (hh) “Water System Facilities” ................................................................................... 9 (ii) “Carry-over Entitlement Water” .......................................................................... 9 (jj) “Interruptible water” ............................................................................................ 9 (kk) “Nonproject water” .............................................................................................. 9 (ll) “Monterey Amendments” ...................................................................................10 2. Term of Contract. .........................................................................................................10 3. Validation. .....................................................................................................................10 4. Option for Continued Service. .....................................................................................10 5. Pledge of Revenues. ....................................................................................................11 B. WATER SERVICE PROVISIONS ......................................................................................11 6. Annual Entitlements. ....................................................................................................11 (a) <Year of Initial Water Delivery>..........................................................................11 (b) District’s Annual Table A Amounts ...................................................................11 (c) <Obligation of State to Complete Facilities> ....................................................11 7. Change in Annual Entitlements; Maximum Annual Entitlement. ..............................13 (a) Changes in Annual Entitlements. ......................................................................13 (b) <Maximum Annual Entitlement of District> ......................................................13 (c) <Proposed Annexations> ...................................................................................13 8. Option to Increase Maximum Annual Entitlement. .....................................................13 9. Obligation to Deliver Water Made Available. ..............................................................14 10. Delivery Structures. ..................................................................................................14 (a) <Determination of Size and Location of Delivery Structures> .........................14 (b) <District Requests for Initial Delivery Structures> ...........................................14 (c) <Requests by District for Additional Delivery Structures> ..............................14 (d) <District to Advance Funds for Additional Delivery Structures> ....................15 11. Measurement of Water Delivered. ............................................................................15 (a) <Measurement by State> ....................................................................................15 (b) <District to Advance Funds for Measuring Devices> .......................................15 12. Priorities, Amounts, Times, and Rates of Delivery. ................................................15 (a) <Procedure for Determining Water Delivery Schedule> ..................................15 (b) <Limit on Peak Deliveries of Water>