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1934 IID & CVWD Agreement of CompromiseAGREEMENT OF COMPROMISE BETWEEN IMPERIAL IRRIGATION DISTRICT AND COACHELLA VALLEY COUNTY WATER DISTRICT Dated February 14, 1934 AGREEMENT OF COMPROMISE B E PWFEN IMPERIAL IRRIGATION DISTRICT AND COACHELLA VALLEY COUNTY WATER DISTRICT Sec. 1. THIS AGREEMENT, Made the 14th day of February, 1934, by and between IMPERIAL IRRIGATION DISTRICT, an irrigation district organized and existing under and by virtue of the California Irrigation District Act of the State of California and acts emendatory thereof or supplementary thereto, with its principal office at E1 Centro, Imperial County, California, said District being hereinafter sometimes styled "Imperial District", and COACHELLA. VALLEY COUNTY WATER DISTRICT, a County Water District organized and existing under and by virtue of the County Water Dis- trict Aet of tho State of California and acts amendatory thereof or supplementary thereto, and having its office at Coachella, Riverside County, California, said Disc trict being heroinafter sometimes styled "Coachella District", WITNESSETH: RECITALS. Soc. 2. THAT, WHEREAS, Pursuant to tho terms of the Boulder Canyon Project Act, approvod December 21, 1928 (45 Stat • 1057) , tho Secretary of the Interior is author- ized to construct a main canal and appurtenant structuros locatod entirely within the United Statos, connecting Laguna Dam or other suitable diversion dam, which said Secretary is authorizod to construct, with Imperial find- Coachella Valleys in California; and Soc. 3. 'a• S, Tho Secretary of tho Intorior has dotorminoa upon ongineoring and economic considorations to construct a new diversion dam on the Colorado Rivor approximatloy four and ono -half miles abovo Laguna Dan, which new diversion dam has -1- horotoforo boon and is dosipnatod Imporial Dam; and Soc. 4. WHEREAS, Pursuant to tho Bouldor Canyon Projoct Act, a contract, dated Docambor 1, 1932, hereinafter styled "Imporial Contract", has horotoforo boon oxo- cutod botwoon tho Unitod Status and Imporial District for the construction of said , Imporial Dam, main canal and appurtenant structures, which said main canal and appur- tonant structures aro horoinnftor styled "All-Aznorican Canal", and for tho ro- payment of the cost thoroof as providod by law; and Soc. 5. Wf tUB, By said Imporial Contract, cortdin lands in Coachella Valloy, and within Coachella District and lands ad jacont to said District may, by petition, bo included within tho boundaries of Imporial District, and if said lands aro not so includod, then tho works and capacity to sorvo said lands shall not bo constructod under said contract; and Soc. 6. W%iEREAS,.Said Coachella District through its Board of Directors has dotorminod that said lands will not became a part of Imporial District pursuant -to said contract, and that.Coacholla District dosiros to obtain a contract, heroinafter stylod "Coacholla Contract", with tho Unitod Statos, separately from Imporial' Dis- trict, for capacity in said Imporial Dam and A11. American Canal to be provided for tho bonofit of said Coachella District, in addition to tho capacity thorein provided for Imporial District, and to pay tho proper cost of such capacity; and Soc. 7. WHEREAS, Under date of August 18, 1931, an agroomont was mado botwoon cartain interostod agoncios in California, including the parties to this agroamont, for tho apportionment of tho Colorado Rivor wator available for use within tho State Of Ctlifornia undor the Colorado Rivor Compact and tho,Bouldor Canyon Project Act, a portion of which agreement is sot out in Artic10 17 of 'said Imporial Contract as being a rocommendation of :the Chief of tho ,Division of Vlator Rosoureos Of tho Stato of California; and Sec. 8. WHEREAS, Water for irrigation and domestic uses in the areas to be served under or'from the All -American Canal in Imperial and Coachella Valleys will be supplied pursuant to the third and sixth priorities of said recommendation of the Chief of the Division of Water Resources of the State of California; and Sec. 9. WHEREAS, Imperial District has certain prior rights to the use of the waters of the Colorado River, and the extent of said rights is in dispute as between the parties hereto, and each of said parties makes certain claims as to the use of said waters; and Sec. 10. WHEREAS, The parties hereto, upon their respective contracts with the United States becoming effective and said All -American Canal being constructed, will respectively have certain power possibilities on the All -American Canal, which it is desired to have developed, operated and controlled as a unified project; and' Sec.`11. WHEREAS, Controversy has arisen and now exists between the parties hereto as to the extent and relation of their respective present and future rights to water and power on and from said All -American Canal, which controversy it is desired to have compromised and settled by this agreement; NOW, THEREFORE, In consideration of the premises and the mutual obligations and convenants of the parties hereto and as a compromise and settlement of their said respective rights, privileges and claims respecting the matters herein contained, it is agreed: COACHELLA CONTRACT Sec. 12. Coachella District will forthwith apply to the proper governmental authorities for a contract between itself and the United,States for the construction by the United States of the portion of the Imperial Dam and All -American Canal which will serve said District, and for the payment of.its proper proportion of construction and other costs and for delivery of water; said contract to be in harmony with the provisions of the Imperial Contract and this agreement. The draft of said proposed Coachella Contract attached hereto and marked "Annex An has been examined by .3. Imperial District and tho substance of said draft is approved by the parties hereto. Imperial District agroos that said draft, or such other draft as may be acceptable to tho United Status and in harmony with tho provisions of the Imperial Contract and of this agreement, may bo executed between tho Coachella District and the United States. Inporial District will actively assist Coachella District in obtaining execution of such contract by the United Status. VALIDATION ACTION Sec. 13. That forthwith upon the execution of this agreement Coachella Dis- trict will cause to be dismissed on behalf of itself and A. B. Cliff, 'John H. Colbertp R. C.. Egnew, T. C. Jones and Washington McIntyre, with the stipulation that remit- titure issue forthwith and that each party pay his or its own costs, their appeal now pending in the Supreme Court of California, in that certain action entitled; "Yn the Matter of the validation of a Contract Dated Dec. 1, 1932, Entitled 'Contract for Construction of Diversion Dam, Main Canal and Appurtenant Structures, and for Delivery of Water', between the United States of America and Imperial Irrigation District. ,John L. Dubois, et al., Plaintiffs and Respondents, vs. All Persons, Defendants; Coachella Valley County Water District et al., I)efende,nts and Appellants", being L.A. No. 14487, and this agreement shall not become effective for any purpose unless and until said appeal is so dismissed on behalf of all of said parties within ten (10) days from the execution hereof. Coachella District will actively assist in bringing said action to an early and final conclusion to the end that the present judgment be sustained. GENERAL PROVISIONS Sec. 14. The provisions of this agreement hereinafter set forth shall be effec- tive and binding upon the parties hereto only in the event that the Coachella con- tract above mentioned is executed by and between the United States and said Coachella District prior to the transfer of constructed works to Imperial District for operation and maintenance, as provided by said Imperial Contract, and such Coachella Contract prior to such transfer or thereafter becomes binding upon the parties therto, pursuant to law. After this agreement becomes effective, it, to- gether with the lease herein provided for, shall terminate in the event Coachella District shall be relieved of all obligations under the Coachella Contract, by reason of failure of the United States to complete the works to be constructed thereunder. WATER Sec. 15. As a full and complete compromise and settlement of the controversy existing between the parties hereto as to the extent and priority of their respective rights and claims to the use of the waters of the Colorado River, it is agreed, as between said parties, that: Imperial Irrigation District shall have the prior right for irrigation and pota- ble purposes only, and exclusively for use in the Imperial Service Area, as herein- after defined, or hereunder modified, to all waters apportioned to said Imperial Irrigation District and other lands under or that will be served from the A11-. American Canal in Imperial and Coachella Valleys as provided in the third and sixth priorities set out in the recommendation of the Chief of the Division of Water Re- sources of the State of California, as contained in Article 17 of the Imperial Con- tract. Subject to said prior right of Imperial Irrigation District, Coachella Valley County Water District shall have the next right, for irrigation and potable purposes only and exclusively for use in the Coachella Service Area, as hereinafter defined, or hereunder modified, to all waters so apportioned to said Imperial Irrigation Dis- trict and other lands under or that will be served from the All -American Canal in the Imperial and Coachella Valleys, as provided in said third and sixth priorities. The use of water for generation of electric energy shall be, in all respects, secondary and subservient to all require:hents of said two district for irrigation and potable Purposes As above limited, I -5- As hereinabove used, the term °Imperial Service Area° shall comprise all lands within the boundaries of Imperial Irrigation District as said District was consti- tuted on June 23, 1931, and all lands in Imperial and San Diego Counties, California, shown on map marked Exhibit °A", attached to said Imperial contract, and included within hatched border lines indicated on said map by legend as "Boundary of Addition- al Areas in Proposed Enlarged Imperial Irrigation District", other than (a) such of said lands as are labeled "Dos Palmas Area" and (b) such of said lands as lie West of Salton Sea and North of the Northerly boundary line of Township 11, South of the San Bernardino Base Line. The term "Coachella Service Area° shall comprise all lands described on statements hereto attached and marked "Exhibits" "B", "C", "D" and °E", respectively, being approximately, but not exactly, the lands within said hatched border lines shown on said Exhibit °A", other than those included in said Imperial Service Area. Upon application of either district and with the written consent of the Secretary of the Interior, the boundaries of the service area which such district is entitled hereunder to serve may at any time or from time to time be changed, but may not be so changed as, in the aggregate, to add more than 5000 acres to, nor to subtract more than 5000 acres from such service area, as herein defined, without the written consent of the district entitled hereunder to serve the other service area. Coachella District shall not participate in any revenues received by Imperial Dis- trict for diverting, carrying and delivering at or near Pilot Knob, water for irri- gation or domestic use for any person or agency other than the parties hereto, and Coachella District shall perform no such service at or near Pilot Knob. APPLICATIONS TO APPROPRIATE WATER Sec. 16d The parties hereto agree .that their respective applications to appro- priate water from the Colorado River for irrigation and domestic purposes heretofore filed with the Division Of Water Resources of the State of California be deemed amended to conform with the foregoing provisions of this agreement and stipulate -6- that permitsbeiisucd to them, respectively, in accordance herewith and agree to ma with said Division all necessary papers and stipulations to that end. Except as between the parties hereto the provisions of this agreement shall not affect nor impair any rights of either party to the waters of the Colorado River. LEASE OR POWER RIGHTS Sec. 17. As a compromise and settlement of the controversy existing between the parties hereto as to all power possibilities, power rights, power resources and power privileges upon the whole of said All -American Canal in both Imperial and Riverside Counties, now or hereafter held, owned, or possessed by said parties, or either of them, including all ,those at or near Pilot Knob, which said power possibilities, power rights, power resources and power privileges are hereinafter styled "power rights", and to combine and co-ordinate all of said power rights as a unified project so as to produce the maximum benefits to the parties hereto and to the United States, it is agreed that the parties hereto will, within a reasonable time after the ex- ecution of said Coachella Contract, execute a good and sufficient lease agreement, wherein Coachella District shall demise to Imperial District all of said power rights which the Coachella District may now have or hereafter obtain. Said lease, among other reasonable provisions, shall provide: (a) That the term of said lease shall commence with the date thereof and ter- minate on January 1, 2033; provided, that should the term herein or in said lease fixed exceed that permitted by law at the date of said lease, then said term shall be deemed reduced to the longest period permitted by law; (b) That said lease shall vest in Imperial District the entire and exclusive operation, management, development and control of all said power rights and the use, sale and control of power produced therefrom; (c) That subject to the conditions hereinafter contained, Imperial District shall pay, on March first of each year, as rental for said demised power rights, eight per cent of the net proceeds, as defined in sub -section (f) hereof, received by Imperial District during the preceding calendar year from all said power rights held, owned or possessed by both parties hereto and from all power works and power facilities by or in connection with which Imperial District utilizes said power rights; (d) That said rentals shall be paid by Imperial District to the United States and credited on the Coachella Contract until Coachella District's obligations to the United States under said contract are fully paid, and thereafter Imperial District shall pay said rentals to Coachella District; (e) That no rentals shall be due or payable unless and until capacity in the All -American Canal shall have been provided for Coachella District down to Pilot Knob; (f) That in determining said net proceeds, as between the parties hereto, there shall be taken into consideration all items of cost of production and disposal of power, including, but not necessarily limited to amortization of and interest on capital investment for power purposes, improvements, operation and maintenance, and depreciation, and any other proper factor of cost not herein expressly enumerated; (g) That the determination of said net proceeds for the purpose of ascertaining rentals payable under said lease shall be made without reference to the fact that as to Imperial District said rentals will constitute a part of the cost of doing business; (h) That on March first of each year Imperial District shall furnish to Coachella District a statement of account showing the computation of said rental; (i) That Coachella District shall not be required to contribute in any manner to the cost of construction, operation or maintenance of any power works or facil- ities on or in connection with the All -American Canal, except indirectly, as said -8- items may be taken into consideration in determing rentals to be paid under said lease; (j) That said lease shall terminate upon Coachella District being relieved of obligations as provided in Section 14 hereof and/or at the option of Coachella Dis- trict, in the event of default in any payment of rentals by Imperial District for a period of two years; (k) That any overdue rental shall bear interest at the rate of one-half of one per cent per month until paid; • (1) That when Imperial District is ready to undertake construction of facilities to serve electrical energy (herein designed "power") in Coachella Valley, Coachella District shall obtain for Imperial District signed contracts or applications for power as provided in Section 18 hereof, and be otherwise subject to the provisions of said Section 18; (m) That when Imperial District is ready to serve power from the All -American Canal in Coachella Valley, then, if and while said lease is in effect, Imperial Die- trict will furnish such power in Coachella District at the rates and upon the con- ditions provided in Section 19 hereof; (n) That Coachella District shall, by its officials or designated represent- atives, have the right of ingress to and egress from all power works and facilities of Imperial District for the purpose of inspection thereof, and full and free access to and the right during office hours to inspect and copy all books and records of Imperial District relating to its power operations; (o) That the interest of Imperial District under said lease shall not,nor shall any part thereof nor interest therein, be assigned, nor shall Imperial District sub- let any part of nor interest in said demised power rights without the written consent of Coachella District; (p) That at the termination of said lease the rights and privileges of the -9- A 1 parties thereto shall be segregated and/or adjusted as may be equitable and just, having in view the business, interests and investments of the parties and their re- pective legal and equitable rights in said power rights, works and facilities on or in connection with the All -American Canal; (q) That in the event the parties cannot agree upon such segregation or adjust- ment, then the same shall be made by a board of arbitration, consisting of five per- sons, one to be selected by Imperial District, one by Coachella District, and three by the Secretary of the Interior and the decision of said board of arbitration shall be final and binding upon the parties to said lease; (r) That nothing contained in said lease shall be construed as in any manner abridging, limiting, or depriving either of the parties thereto of any means of en- forcing any remedy, either at law or in equity, for the breach of any of the pro- visions of said lease which it would otherwise have; (s) That the waiver oI a breach of any of the provisions of said lease shall not be deemed to be a waiver of any other provision thereof or of a subsequent breach of such provision. POWER CONTRACTS Sec. 18. When the lease provided for in Section 17 hereof has been executed and Imperial District is ready to undertake construction of facilities to serve electrical energy, (herein styled "power") in Coachella Valley it shall notify Coachella District of said fact in writing and it shall thereupon be the duty of Coachella District to obtain for Imperial District, within six months after service of such notice, contracts or applications for power signed by consumers using at the time of service of such notice not less than eighty per cent of the power load then being be in among consumed in the Coachella Service Area. Such contracts or applications shall such form and substance as reasonably required by Imperial District and shall other things.bind the consumer to take from Imperial, District all power that i i he may require in Coachella District for a period of three years. In the event of disagreement between the parties as to whether or not Coachella District has complied with the foregoing provisions of this aectirn on its part to be complied with, then the Secretary of the Interior may, at the written request of either party, determine said fact and notify the parties hereto of such determination in writing, and such determination shall be final and binding upon the parties hereto. Notwithstanding anything herein or in said lease contained, there shall be no obligation on the part of the Imperial District for rentals under said lease during the time, if any, after said six months period that said signed contracts or applications for said eighty per cent of power load have not been so delivered. POWER RATES Sec. 19. When the lease provided for in Section 17 hereof has been executed and Imperial District is ready to servo power from the All -American Canal in Coachella Valley then, and while said lease remains in effect, Imperial District will furnish such power in Coachella District upon the.following terms: A. To Coachella District, for use by itself for project purposes within said Coachella Service Area as such project purposes are hereinafter defined, at rates in no case exceeding the cost of power delivered in Coachella Valley, plus fifteen per cent, and in no event at rates higher than are charged by Imperial District to itself for like uses with such additional charges as may be necessary to offset difference in costs of transmitting power as between Imperial and Coachella Valleys. Subject to the foregoing provisions, Coachella District agrees that, for a period of five years from and after the service of the notice provided for in•Section 18 hereof said Coachella District will purchase from Imperial District and pay for all power Coachella District may require for project purposes within the Coachella Service Area, and for which Imperial District has sufficient facilities and is prepared to serve. Imperial District shall not be required to furnish power to Coachella District for -11- i project purposes at points where Imperial District does not then have sufficient facilities for such power service. 'Project Purposes" as used in this section shall be understood to mean con- struction, operation and maintenance of Coachella District's irrigation and drainage system within the Coachella Service Area, where such construction, operation, or maintenance is of a general public nature and not individual or private in character., B. To all consumers within Coachella District, other than to Coachella District, for project purposes, at no higher rates than those charged, and under the same con- ditions and regulations as those prescribed, by Imperial District for like service to consumers within Imperial District with such additional charges as may be necessary to offset difference in costs of transmitting power as between Imperial and Coachella Valleys. In no event shall such rates to such consumers exceed seventy-five per cent of the rates paid for like service by individual consumers in Coachella District on January 1, 1934, based upon the purchasing power of the dollar on said date. Imperial District shall make such further reduction in rates to such consumers as may be necessary to meet competitive rates for like service of any public utility, at the time authorized by the Railroad Commission of the State of California, or other authority succeeding to its functions, and able to serve such consumers, but in no $vent shall Imperial District be required to charge rates that will return less than the cost of service. POWER PERMITS Sec. 20. The parties hereto agree to cooperate to the end that all necessary and proper permits and licenses to appropriate water for power purposes and con- struct power facilities may be obtained from the Division of Water Resources of the State of California and/or Federal Power Commission as may be authorized by law and hereby stipulate that 'such permits and licenses issue to the parties hereto, as follows, to -wits r -12- 1. To Imperial District, as to all such permits and licenses on the portion of the All -American Canal shown on said Exhibit "A" and marked "Main (All American) Canal to Imperial Valley" lying west of the southerly end of the "Main (All American) Canal to Coachella Valley" as same is shown on said Exhibit "A"; 2. To Coachella District, as to all such permits and licenses on the portion of the All -American Canal shown on said Exhibit "A" and marked "Main (All American) Canal to Coachella Valley" lying North of the Northerly boundary line of Township 11, South of the San Bernardino Base Line; 3. To Imperial District and Coachella District, as their respec- tive privileges to utilize power possibilities may appear from their said contracts with the United States, as to all such privileges on all portions of the Imperial Dam and All - American Canal, including Pilot Knob, not hereinabove spedified. AGREEMENT VOID IF CERTAIN LANDS INCLUDED IN IMPERIAL DISTRICT Sec. 21. In the event lawful petition or petitions sufficient in all respects for inclusion within Imperial District of ninety per cent (90%) of the lands shown on said Exhibit "A" lying north of the northerly boundary line of Township Eleven (11), South of the San Bernardino Base Line and bounded by the lines indicated on said Exhibit "A" as "Boundary of Additional Areas in Proposed Enlarged Imperial Irrigation District", exclusive of the Dos Palmas Area and exclusive of Indian lands and public lands of the United States, shall be filed pursuant to and within the time limited by said Imperial Contract, and said lands shall be thereafter included within said Imperial District pursuant to such petition or petitions, then, as of the date of such inclusion, this agreement shall terminate and be at an end. REMEDIES UNDER AGREEMENT NOT EXCLUSIVE Sec. 22. Nothing contained in this agreement shall be construed as in any manner abridging, limiting, or depriving either of the parties hereto of any means of enforcing any remedy, either at law or in equity, for the breach of any of the pro- visions hereof which it would otherwise have. The waiver of a breach of any of the. provisions of this agreement shall not be deemed to be a waiver of any other pro- vision hereof or of a subsequent breach of such provision. Sec, 23. This agreement shall not be interpreted nor construed so as to amend, modify or change said Imperial Contract in any particu],ar, and no provision hereof in conflict with said Imperial Contract shall be of any force or effect. As to any provisions hereof in which the United States is interested this agreement shall be deemed to be made expressly for the benefit of the United States, as well as of the parties hereto. Sec. 24. This agreement shall inure to and be binding upon the parties hereto, their and each of their respective successors and assigns. IN WITNESS WHEREOF, Said parties have executed this agreement in triplicate original by their respective officers, ther•eunto duly authorized by resolutions of their respective Boards of Directors, the day and year first above written. IMPERIAL IRRIGATION DISTRICT (SEAL) By Evan T. Hewes (Signed) ,'Its President (SEAL) ATTEST: W. W. Goodson (Signed) Its Secretary. COACHELLA VALLEY BOUNTY WATER DISTRICT By Harry W. Forbes (Signed) Its President ATTEST: Helen F. Runjen 5 Sijned) Its Secretary -14- EXHIBIT 1B" DESCRIPTION OF LANDS WITHIN COACHELLA VALLEY COUNTY WATER DISTRICT AND ITS IMPRO o' DISTRICT NO.'1 AND WITHIN THE COACHELLA SERVICE AREA. All that certain tract of land situate in the County of Riverside, State of California, and in. the Townships (designated "T") hereinafter mentioned South, and Ranges (designated "R") hereinafter mentioned East, of the San Bernardino Base Line and Meridian, particularly described as follows, to -wit: Beginning at the S.W. corner of the S.E. of Section 31, Township 8 South, Range 9 East, which is a point in the South boundary line of said Coachella Valley County Water District and thence along straight lines 1. To the S.W. corner of Sec. 10, T. 8, R. 8) thence 2. To the S.W. corner of the S.E. of Sec. 33, T. 7, R. 8, thence . 3. To the S.W. corner of the N.W. of said Sec. 33, thence 4• To the S.W. corner of the N.E.i of Sec. 19, T. 7, R. 8, thence 5. .To the S.W. corner of the N.W.i of said Sec. 19, thence ,along the West line of said Sec. 19 6. To the N.W. corner of said Sec. 19, thence along the South line of Sec. 13, T.7,R.7. 7. To the S.W. corner of said Sec. 13, thence along the West line of said Sec. 13 8. To the N.W. corner of said Sec. 13, thence 9. To the S.W. corner of the N.E.i of Sec, 11, T. 7, R. 7, thence 10. To the S.W. corner of the N.W. of said Sec. 11, thence along the West line of 'said Sec. 11 11. To the N.W. corner of said Sec. 11, thence along the South line of Sec. 3 in said Township and Range 12. To the S.W. corner of said Sec. 3, thence along the West line of said Sec. 3 13. To the N.W. corner of said Sec., 3, thence along the South line of Secs. 34 and 33, T. 6 South, R: 7 East 14. To the S.W. corner of the S.E.},: of Sec. 33, T. 6, R. 7, thence 15. To the S.W. corner of the N.E. of Sec. 28, T. 6, R. 7, thence 16. To the S.W. corner of the NOP14 of said Sec. 28, thence 17. To the S.W. corner of the S.E. of Sec. 20, T. 6, R. 7, thence 18. To the S.W. corner of the N.Ej of said Sec. 20, thence • 19. To the S.W. corner of the S.E.i of the N.W. of said Sec. 20, thence 20. To the N.W. corner of the N.E.i of the N.W., of said Sec. 20, thence 21. To the S.W. corner of the S.E. of Sec. 17, T. 6, R. 7, thence 22. To the S.W. corner of the N.E. of Sec. 8, T. 6, R. 7, thence 23. To the S.W. corner of the S.E.. .of the N.W.i of •said Sec. 8, thence 24. To the S.W. corner of the N.E. of the N.W.i of said Sec. 8, thence ' 25. To the S.W. corner of the N.W. of the N.W.i of said Sec. 8, thence 26. To the N.W. corner of said Sec. 8, thence 27. To the N.W. corner of the N.E. of the N.E. of Sec. 7, T. 6, R. 7, thence 28. To the S.W. corner of the N.E.} of the N.E. of said Sec. 7, thence 29. To the S.W. corner of the N.E. of the N.W.1 of said Sec. 7, thence 30. To the S.E. corner of the S.W4 of the NaT4 of said Sec. 7, thence 31. To the S.W. corner of the N.W.i of•said Sec..7, thence along the West line of said Sec. 7 32. To the S.E. corner of Sec. 1, T. 6, R. 6, thence along the South line of said Sec. 1 • 33. To the S.W. corner of the 8.E4 of said Sec. 1, thence 34. To the N.W. Corner of the N.E.t of said Sec. 1, thence along the North line of said Sec. 1 • 35. To the S.W. corner of the S.E.t of the S.E.i of Sec. 36, T. 5, R. 6, thence 36. To the N.W. corner of the N.E.t of the S.E.i of said Sec. 36, thence 37. To the S.W. corner of the N.E.t of Sec. 31, T. 5, R. 7, thence 38. To the S.W. corner of the N.E.t of Sec. 19, T. 5, R. 7, thence 39. To the S.W. corner of the N;114 of said Sec. 19, thence 40. North along the West line of said T. 5, South to a point in the North- easterly line of the right-of-way of the State Highway commonly known as "U. S. High- way 99", thence 41. Northwesterly along said Northeasterly line of said right-of-way of said Highway to the intersection of said line with the Westerly line of the E.i of Sec• 19, T. 4, R. 6, thence 42. To the N.W. corner of the S.E,? of Sec. 18, T. 4, R. 6, thence 43. To the N.E. corner of the S.E.t of Sec. 15, T. 4, R. 6, thence 44. To the S.W. corner of the N.W.: of Sec. 23, T. 4, R. 6, thence 45. To the N.E►'corner of the S.E.4 of Sec. 24, T. 4, R. 6', thence 46. To the S. W. corner of the S,E.t of Sec. 34, T. 4, R. 7, thence 47. To the N.E. corner of Sec. 3, T. 5, R. 7, thence 48. To the S.W. corner of the N.W.: of the 14.104 of Sec. 2, T. 5, R. 7, thence 49. To the S.E. corner of the N.E.; of the N.W.t of said Sec. 2, thence 50. To the S.W. corner of the N.E.t of said Sec. 2, thence 51. To the S.W. corner of the N.W.t of Sec. 1, T. 5, R. 7, thence 52. To the S.W. corner of the S,E.t of said Sec,'1, thence 53. To the S.W. corner of Sec. 6, T. 5, R. 8, thence 54. To the S.W. corner of Sec. 15, T. 5, R. 8, thence along the West line of Sec. 22, T. 5, R. 8 55. To the S.W. corner of said Sec. 22, thence ..3- 56. 57. 58. 59. 60. To the S.W. corner of the S.E. of Sec. 27, T. 5, R. 8, thence To the S.W. corner of the N.W.}z, of the N.E. of Sec. 34, T. 5, R. 8, thence To the S.W. corner of the N.E.4 of the N.E4 of said Sec. 34, thence To the S.W. corner of the N.E. of the S.E.; of said Sec. 34, thence To the S.E. corner of the N.EA of the S.E4 of Sec. 34, T. 5, R. 8, thence along the East line of said Sec. 34 61. To the S.E. corner of said Sec. 34, thence along the North line of Sec. 2, T. 6, R. 8 62. To the N.E. corner of the N.W. of the N.W4 of said Sec. 2, thence 63. To the S.E. corner of the N.W. of the N.W.4 of said Sec. 2, thence 64. To the S.E. corner of the N.E.1 of tho NA.4 of said Sec. 2, thence 65. To the S.W. corner of the N.E.} Of said Sec. 2, thence 66. To the N.E. corner of the N.W4 of the S.E4 of said Sec. 2, thence 67. To the S.W. corner of the N.E..1 of the S.E.- of said Sec. 2, thence 68. To the S.E. corner of the N.E. of the 8.E.1 of said Sec. 2, thence along the East line of said Sec. 2 69. To the S.E. corner of. said Sec. 2, thence 70. To the S.E. corner of Sec. 13, T. 6, R. 8, thence 71. To the S.E. corner of Sec. 3, T. 7, R. 9, thence along the South lines of Sections 2 and 1 in said Township and Range 72. To the N.E. corner of the Na4 of the N.IN4 of Sec. 12, T. 7, R. 9, thence 73. To the S.E. corner of the N.W.w of the N.W. of said Sec. 12, thence 74. To the N.E. corner of the S.E.4z of the N.W. of said Sec. 12, thence 75. To the S.W. corner of'the N.E. of said Sec. 12, thence 76. To the N.E. corner of the S.E,•of said Sec. 12, being a point on the East boundary line of said Coachella Valley County Water District, thence 77. South along said boundary line to the S.E. corner of Sec. 25, T. 7, R. 9, -4- thence along the South lines of said Sec. 25 and of Sea. 26 in said Township and Range 78. To the S.W. corner of said Sec. 26, thence 79. To the N.E. corner of the S.E.? of the S.E.* of Sec. 27, T. 7, R. 9, thence 80. To the N.W. corner of the S.W.* of the S.E.* of said Sec. 27, thence 81, To the N.E. corner of the S.W.* of said Sec. 27, thence 82. To the N.W. corner of the S.W.* of said Sec. 27, thence 83. To the N.E. corner of the S.E.1 of the N.E.* of Sec. 28, T. 7, R. 9, thence 84. To the N.W. corner of the S.W.* of the N.E.* of said Sec. 28, thence 85. To the N.E. corner of the N.W.* of said Sec. 28, T. 7, R. 9, thence along the North lines of said Sec. 28 and of Sec, 29 in said Township and Range 86. To the N.W. corner of the N.E. of said Sec. 29, thence 87. To the S.W. corner of the N.W. of the N.E.} of said Sec. 29, thence 88. To the N.W.'corner of the S.E.* of the N.W.* of said Sec. 29, thence 89. To the S.E. corner of the S.W.* of the N.W.* of said Sec. 29, thence 90. To the S.W. corner of the S.E.* of the N.W.* of Sec. 30, T. 7, R. 9, thence 91. To the S.E. corner of the N.W.* of the N.W.? of said Sec. 30, thence 92. To the S.W. corner of the N.E.* of the N.E.* of Sec. 25, T. 7, R. 8,thence 93. To the S.W. corner of the S,E, of the N.E.* of said Sec. 25, thence 94. To the S.W. corner of the N.E.} of said Sec. 25, thence 95. To the S.E. corner of the N.E.* }of the S.W.* of said Sec. 25, thence 96. To the N.E. corner of the S.W.} of the S.W.* of said Sec. 25, thence 97, To the S.E. corner of the S.W.* of the N.W.* of Sec. 36, T. 7, R. 8, thence 98. To•the N.E. corner of the S,W. of said Sec. 36, thence 99. To the S.E. corner of the N.E.* of the S.W.* of said Sec. 36, thence 100. To the. N.E. corner of the S.E,* of the S.E.* of said Sec. 36, thence along the East line of said Sec, 36 101. To the S.E. corner of said Sec. 36,'thence 102. To the N.E. corner of the Nal4 of the N.W4 of Sec.. 6, T. 8, R. 9, thence 103. To the N.E. corner of the S.W.i of the S:W4 of Sec. 7, T. 8, R. 9, thence To the N.W. corner of the S.W. " of the S.W.i of said Sec. 7, thence along 104. the West lines of said Sec. 7 and of Sec. 18 in said Township and Range 105. To the 106. To the 107. To the 108. To the 109. To the 110. To the S.W. corner of the N.W4 of the N.W. of said Sec. S.E. corner of the N.W,i of the N.W4 of said Sec. S.E. corner of the S.W4 of the N.W4 of said Sec. S.E. corner of the Nal4 of said Sec. 18, thence S.E. corner of the N.E. of the'S.W4 of said Sec. N.E. corner of the S.E4 of the S.E.i of said Sec. 18,.thence 18, thence 18, thence 18, thence 18, thence along the East lines of said Sec. 18 and of Sec. 19 in said Township and Range 111. To the S.W. corner of the N.W. of the N.IN4 of Sec. 20, T. 8, R. 9, thence 112. To the,N.E. corner of the S.W. of the N.W.iof said Sec. 20, thence 113. To the S.E. corner of the S.W4 of the N.w4 of said Sec. 20, thence 114. To the S.E. corner of the N.E4 of said Sec. 20, thence 115. To the N.W. corner of the S.W. of the S.W. of Sec. 21, T. 8, R. 9, thence 116. To the N.E. corner of the S.W4 of the S.W.k of said Sec. 21, thence 117. 118. 119. 120. 121. To.the S.E. corner of the S.W.i of the S.W.}. of said Sec. 21, thence To the N.E. corner of the N.W. of Sec. 28, T. 8, R. 9, thence To the S.E. corner of the N.W4 of said Sec:, 28, thence To the N.E. corner of the N.W4 of the'S.E4 of said Sec. 28, thence To the N.W. corner of the N.E.i of the N.E.t of Sec. 33, T. 8, R. 9, thence along the North line of said Sec. 33 122. To the N.E. corner of said Sec. 33, thence along the East line of said Sec. 33 123. To the S.E. corner of said Sec. 33, being a point in the Southerly bound— ary line of said Coachella Valley County Water Dietriot and of said County of Riverside, thence 124. West along said District and County boundary lines to the point of begin- EXHIBIT "C" DESCRIPTION OF LANDS OUTSIDE COACHELLA VALLEY COUNTY WATER DISTRICT AND WITHIN THE COACHELLA SERVICE AREA, DESIGNATED THE SALTON AREA. All that certain tract of land situate in the County of Riverside, State of California, and in the Townships (designated "T") hereinafter mentioned South, and Ranges (designated "R") hereinafter mentioned East, of the San Bernardino Base Line and Meridian, particularly described as follows, to -wit: Beginning at the N.W. corner of Section 18, Township 7 South, Range 10 East, which is a point' in the East boundary line of said Coachella Valley County Water Dis- trict, and running thence along the Northerly boundary lines of said Section 18 and of Section 17 in said Township and Ranges 1. To the N.E. corner of Sec. 17, T. 7, R. 10, thence 2. To the N.W. corner of Sec. 26, T. 7, R. 10, thence 3. To the S.W. corner of the S.E.}. of the S.E. of said Sec. 26, thence 4. To the S.W. corner of the N.W. of Sec. 36, T. 7, R. 10, thence 5. To the S.E. corner'of said Sec. 36, thence 6. To the S.E. corner. of Sec. 6, T. 8, R. 11, thence 7. To the S.W. corner of the S.E.i of said Sec. 6, thence 8. To the S.E. corner of the N.W. of Sec, 7, T. 8, R. 11, thence 9. To the S.W. corner Of the S.E. of the N.W4 of said Sec. 7, thence 10, To the S.E. corner of the S.W. of the S.W.} of said Sec. 7, thence 11. To the N.E, corner of the N.W. of Sec. 18, T. 8, R. 11, thence 12. To the S.E. corner of the N,W.} of said Sce. 18, thence ' 13. Along the Southerly line of .the N.W. of said Sec. 18, and the Westerly projection of said Southerly line to an intersection with the Northeasterly line of the Southern Pacific main line railroad right-of-way running through the N.E4 of Sec. 13, T. 8, R. 10, thence t 14. Northwesterly along said Northeasterly line of said railroad right-of-way to the intersection of said Northeasterly line with the South line of Sec. 28, T. 7, R. 10, or the Easterly projection thereof, thence along the Southerly lines of said Seo. 28 and of Sec. 29 and Sec. 30 in said Township and Range, 15. To the S.W. oorner of said Sec. 30, being a point in the East boundary line of said Coachella Vaile3 County Water District, thence 16. North along said Distriot.boundary line to the -point of beginning. 1 EXHIBIT "D"+ DESCRIPTION OF LANDS OUTSIDE COACHELLA VALLEY COUNTY WATER DISTRICT AND WITHIN THE COACHELLA SERVICE AREA, DESIGNATED THE DOS PALMAS AREA. All that certain tract of land situate in the Counties of Riverside and Imperial, State of California, and in the Townships (designated ++T+n) hereinafter mentioned South, and Ranges (designated ++R"+) hereinafter mentioned East, of the San Bernar- ''dino Base Line and Meridian, particularly described as follows, to -wit; Beginning at the S.E. corner of Sec. 33) T. 8 South, R. 12 East, which is a point in the Southerly boundary line of said County of Riverside, and running thence along the Easterly boundary line of said Sec. 33: 1. To the N.E. corner of the S.E of the S.E.4 of said Sec. 33, thence 2. To the N.W. corner of the S..W'.k of the S.L.} of said Sec. 33, thence 3. To the N.E. corner of the S.W,i of said Sec. 33, thence 4. To the S.W. corner of the S.E.. of the N.W.4, of said Sec. 33, thence 5. To the N.E. corner of the S.W.z of the N.W.i of said Sec. 3, thence 6. To the S.W. corner of the N.W. of the N.E.1 of Sec. 32, T. 8, R. 12, thence 7. To the N.W. corner of the N.E. of said Sec. 32, thence 8. Along the Northerly line of said Sec. 32 to the N.W. corner of the N.E. of the N4r4 of said Sec. 32, thence 9. To the N.E. corner of the S.W. of the S.W. of.Sec. 29, T. 8, R. 12, thence 10. To the N,W. corner of said SAM of the S.W.831.4st of said Sec. 29, thence 11. Along the Westerly boundary line of said Sec. 29 to the N.W. corner of the 8431.4 of said Sec. 29, thence 12. To the S.W. corner of the N.E.} of Sec. 30, T. 8, R. 12, thence 1 13. To the N.E. corner of the N.W. of said Sec. 30, thence 14. Along the Northerly boundary line of said Sec. 30 to the N.W. corner of said Sec. 30, thence 15. Along the Westerly boundary line of Sec. 19, T. 8, R. 12, to the N.W. cor- ner of said Soc. 19, thence 16. Along the Southerly boundary line of Sec. 13,,T. 8, R. 11, to the S.W. cor- ner of the S.E. of the S.E. of said Sec. 13, thence 17. To the N.W. corner of the S.E, of the N.E.4 of Sec. 12, T. 8, R. 11, thence 18. To the N.E. corner of the S.E. of the N.E4 of Sec. 7, T. 8A R. 12, thence 19. Along the Easterly boundary line of said Sec. 7 to the S.E, corner of said Sec. 7, thence 20. To the S.E. corner of Sec. 17, T. 8, R. 12, thence 21. Along the Westerly boundary lino of Sec. 21, T. 8, R. 12, to the S.W, cor- ner of ,the N,W. of said Section, thence 22. To the N.E. corner of the'S.M of said Sec. 21, thence 23. To the N.W. corner of the S.W. of the S.E4 of said Sec. 21, thence 24. To Lhe N.E. corner of the S.E. of the S.E. of said Sec.. 21, thence 25. Along the Easterly boundary line of said Sec. 21 to the S.E.corner of said Sec. 21, thence 26. Along the Northerly boundary line of Sec. 27, T. 8, R. 12, to the N.E. cor- of the N.W. of said Sec. 27, thence 27. To the'S.E. corner of Sec. 26, T. 8, R. 12, thence. 28. Along a straight line between the N,W. corner and the S.E. corner of Sec. 36, T. 8, R. 12, to a point where said straight line intersects a projection Northerly of the East line of Sec. 2, T. 9, R. 12; thence 29• Along said last -.named projected line and the East line of said Sec. 2 to L -2- the S.E. corner of the N.E.4. of said Sec. 2, thence 30. To the S.V. corner of the N.E. of said Sec. 2, thence 31. To the S.E. corner of the S.W. of said Sec. 2, thence 32. Along the Southerly boundary line of said Sec. 2 to the S.W. corner bf the S.E. of the S.W.i of said Sec. 2, thence 33. To the S.E. corner of the N,W.4 of the N.W.k of Sec. 11, T. 9, R. 12, thence 34. To the S.W. corner of the N.W. of the N.W.?: of Sec. 10, T, 9, R. 12, thence 35. Along the West line of Sec. 10 to the N.W. corner of said Sec. 10, thence 36. Along the South line of Sec. 4, T. 9, R. 12, to the`S,W. corner of the i.E4 of the S.E4 of said Sec. 4, thence 37. To the N.W. corner of the S.E. of the S.E. of said Sec. 4, thence '38. To the S.W. corner of the N.W.* of the S.E.k of said Sec. 4, thence 39. To the N.W. corner of the N,E,?t of said Sec. 4, being a point `in the South- erly boundary line of said County of Riverside, thence 40. Along said boundary line and the Northerly boundary line of said Sec. 4 to the point of beginning. EXHIBIT "EH DESCRIPTION OF LANDS OUTSIDE.COACHELLA VALLEY COUNTY WATER DISTRICT AND WITHIN THE COACHELLA SERVICE AREA, , DESIGNATED THE FISH SPRINGS AREA All that certain tract of land situate in the County of Imperial, State of California, and in the Townships (designated HT") hereinafter mentioned South, and tinges (designated HRH) hereinafter mentioned East, of the San Bernardino Base Line and Meridian, particularly described as follows, to -wit: Beginning at the N.E. corner of the MA of Sec. 4, T. 9, R. 9, which is a point in the South boundary line of Coachella Valley County Water District and of the County of Riverside and the North Boundary line of the County of Imperial and run- ning thence along said boundary line, and along the Northerly boundary lines of eaid Sec. 4 and of Sec. 5, T. 9, R. 91 1. .To the N.E. corner of the N.W.i of the N.W.k of said Sec. 5, thence 2. To the S.E. corner of the Sala of the N.W.k:of Sec. 8, T. 9, R. 9, thence 3. To the S.E. corner of the N.W.i of said Sec. 8, thence 4. To the S.E. corner of the S.W4 of said Sec. 8,, thence 5. To the S.E. corner of Sec. 17, T. 9, R. 9, thence 6. To the S.E. corner of Sec. 21, T. 9, R. 9, thence 7..To the S.W. corner of Sec. 12, T. 10, R. 9, thence 8+ Along the Southerly boundary line of said Sco. 12 to the S.E.`corner of said See. 12, thence 9. L To the S.E. corner of Sec. 6, T. 10, R. 10,, thence To the N.E. corner of the N.W. of said Sec. 6, thence To the S.!y.. corner of the N.E.e of the 14E4 Of, Sec. 16, T. 9, R. 9, • • thence 12; To the N.E. corner of the Neu4 of the S,E.t of Sec, 4, T. 9, R. 9) thence 13;' To the Sat: corder of the N.E t of said Sec. 4➢ thence to the point of beginning. r Annex "A" UNITED STATES DEPARTMENT OF THE INTERIOR Bureau of. Reclamation BOULDER CANYON PROJECT ALL-AMERICAN CANAL COACHELLA VALLEY COUNTY WATER DISTRICT Contract for Construction of Capacity in Diversion Dam, Main Canal and Appurtenant Structures and for Delivery of Water. Article 1. THIS CONTRACT, made this day of , nine- teen hundred thirty-four, pursuant to the Act of Congress approved June 17, 1902 (32 Stat., 388), and acts amendatory thereof or supplementary thereto, all of which acts are commonly known and referred to as the Reclamation Law, and particularly pursuant to the Act of Congress approved December 21, 1928 (45 Stat., 1057), desig- nated the Boulder Canyon Project Act, and the Act of Congress approved June 16, 1933 (48 Stat., 195), designated the National Industrial Recovery Act, between THE UNITED STATES OF Ar!E,;RICA, hereinafter referred to as the United States, acting for this purpose by Harold L. Ickes, Federal Emergency Administrator of Public Works and Secretary of the Interior, hereinafter styled the Secretary, and COACHELLA VALLEY COUNTY WATER DISTRICT, a County Water District created, organized and existing under and by virtue of the County Water District Act of the State of California, and acts amendatory thereof or supplementary thereto, with its principal place of business at Coachella, Riverside County, California, hereinafter referred to as the District; WITNESSETH: ExRlanatory Recitals Article 2. WHEREAS, for the purpose of controlling the floods, improving navi- gation and regulating the flow of the Colorado River, providing for storage and for the delivery of the stored waters for reclamation of public lands and other benefi. cial uses exclusively within the United States, the Secretary, subject to the terms r of the Colorado River Compact, is authorized to construct, operate and maintain a dam and incidental works in the main stream of the Colorado River at Black Canyon or Boulder Canyon, adequate to create a storage reservoir of a capacity of not less than twenty -million acre-feet of water, and a main canal and appurtenant structures located entirely within the United States connecting the Laguna Dam, or other suit- able diversion dam, which the Secretary is also authorized to construct if deemed necessary or advisable by him upon engineering or economic considerations, with the Imperial and Coachella Valleys in California, the expenditures for said main canal and appurtenant structures to be reimbursable as provided in the reclamation law; and Article 3. WHEREAS, after full consideration of the advantages of both the Black Canyon and Boulder Canyon dam sites, the Secretary has determined upon Black Canyon as the site of the aforesaid dam, hereinafter styled the Boulder Darn, creating thereby a reservoir to be hereinafter styled the Boulder Canyon Reservoir; and Article 4. WHEREAS, (a) there are included within the boundaries of the Dis- trict areas of private and public lands and additional private and public lands will, by appropriate proceedings, be added to the District and to the Coachella Service Area, defined in Article 17 hereof; and (b) There has been executed under date of December 1, 1932, a contract, herein styled Imperial Contract, between the United States and Imperial Irrigation District, an irrigation district created, organized and existing under and by virtue of the laws of the State of California, which contract provides for the construction of a suitable diversion dam and main canal and appurtenant structures, therein and herein after respectively styled "Imperial Dam" and "All -American Canal", located entirely within the United States, connecting with the Imperial and Coachella Valleys, and for the delivery to said Imperial Irrigation District of stored water from Boulder Can- yon Reservoir; and (c) Certain controversies between said two districts relating to their respec- tive interests in water and power on said All -American Canal have been settled and w2. compromised by an agreement executed between said two districts, dated February 14th, 1934, a triplicate original of which said agreement was on 1934, filed with the Secretary; and (d) The District is desirous of entering into a contract for the construction of certain capacity for it in said Imperial Dam and All -American Canal and for the delivery to the District, for the benefit of the lands under or that will be served from the All -American Canal in Coachella Valley, now or hereafter within the District and lying within said Coachella Service Area, of stored water from Boulder Canyon Reservoir, such contract to be in harmony with the provisions of said Imperial Contract and those of said agreement dated February 14th, 1934; and Article 5. WHEREAS, The Secretary has determined, upon engineering and economic considerations, that it is advisable to provide for the construction of such Imperial Dam and All -American Canal, and has determined that the revenues provided for by this contract are adequate in his judgment to insure payment of all expenses of construction, operation and maintenance of the capacity in said Imperial Dam and All - American Canal to be constructed hereunder, in the manner provided in the reclamation law; Article 6. NOW, THEREFOFf, in consideration of the mutual covenants herein contained, the parties hereto agree as follows, to -wit: Construction by United States Article 7. The United States will construct the Imperial Dam in the main stream of the Colorado River at the approximate location indicated on the reap marked Exhibit "A" attached hereto and by this reference made a part hereof, and will also construct the All -American Canal to the Imperial and Coachella Valleys, the approxi- mate location of said canal to be as shown on the aforesaid Exhibit "A11. Said canal shall be so constructed as to provide a designed capacity of one thousand five hundred (1500) cubic feet of water per second, to be used by the District for the benefit of -3- the lands now or hereafter within the District and lying within said Coachella service Area, from and including the diversion and desilting works at said dam to the southerly end of that portion of the All -American Canal designated on said Exhibit "A" as "Main (All -American) Canal to Coachella Valley" (hereinafter styled "Coachella Main Canal"),. Said Coachella Main Canal shall be constructed with such capacities as the Secretary may conclusively determine to be necessary or advisable upon engineering or economic considerations to accomplish the ends contemplated by this contract; provided, however, that changes in capacities, locations, lengths and alignments, may be made during the progress of the work as may, in the opinion of the Secretary, whose opinion shall be final and binding upon the parties hereto, be expedient, economical, necessary or advisable, except the capacity above indicated from and including the diversion and desilting works at Imperial Dam to the Southerly end of said Coachella Main Canal, which capacity may be changed only by mutual agree- ment between the Secretary and the District. The ultimate cost to said two districts of the Imperial Dam and All -American Canal shall in no event exceed the aggregate sum of thirty-eight million, five hundred thousand dollars (338,500,000.00). Such cost shall include all expenses of whatsoever kind heretofore or hereafter incurred by the United States from the Reclamation Fund or the Colorado River Dam fund in connec- tion with, growing out of, or resulting from the construction of said Imperial Dam and All -American Canal, including but not limited to the cost of labor, materials, equipment, engineering, legal work, superintendence, administration, overhead, any and all costs arising from operation and maintenance of said Imperial Dam and All - American Canal prior to the time that said costs are assumed respectively by the said two districts, damage of all kinds and character and rights -of -way as herein- after provided. The District hereby agrees to re -pay to the United States its share of all expenditures incurred on account of any and all damages due to the existence, operation or maintenance of the diversion dam and main canal, the incurrence of which increases expenditures by the United States beyond said sum of $38,500,000.00. The bistrict shall re -pay the same sharp of said expenditures as the share to be paid by the District under Article 10 (b) hereof of the capital cost of the particu- lar part of said works causing such damage. The United States will invoke all legal and valid reservations of rights -of -way under acts of Congress, or otherwise reserved or held by it, without cost to the District, except that the United States reserves the right where rights -of -way are thus acquired to reimburse the owners of such lands for the value of improvements which may be destroyed, and the District agrees that the United States may include such disbursements in the cost of the Imperial Dam and All -American Canal. If rights -of -way are required over an existing project of the Bureau of Reclamation, such sum or sums as may be necessary to reimburse the United States on account of the construction charges allocated to irrigable areas absorbed in such rights -of -way shall also be considered as a part of and be included with other costs of the Imperial Dam and All -American Canal. The District agrees to convey to the United States without cost, unencumbered fee simple title to any and all lands now owned by it which, in the opinion of the Secretary, may bd required for right-of-way purposes for the Imperial Dam and All -American Canal; and the District agrees that Imperial Irrigation District may convey to the United States, unencumbered fee simple title to any and all lands now owned by it which, in the opinion of the Secretary, may be required for right-of-way purposes for those por- tions of the Imperial Dam and All -American Canal to be used in common by said two districts, at the fair market value thereof, to be determined by the Secretary, such value to be considered (as to the District) as a part of and included with other costs of the Imperial Dam and All -American Canal. Where rights -of -way within the State of California are required for the construction of Imperial Dam and All - American Canal, and such rights of way are not reserved to the United States under Acts of Congress, or otherwise, or the lands over which such rights of way are re- quired are not then owned by either of said two districts, then the District agrees, -5. f (a) that it will, upon request of the Secretary, acquire title to such lands required for such purposes as lie north of the lowest turnout for East Mesa on said Coachella Main Canal, and in turn convey unencumbered fee simple title thereto to the United States at the actual cost thereof to the District, subject to the approval of such cost by the Secretary; and (b) agrees that Imperial Irrigation District, upon request of the Secretary, may acquire title to any such lands required for such Purposes as lie south of the Northerly boundary line of Township Eleven (11), South of the San Bernardino Base Line, and likewise convey unencumbered fee simple title thereto to the United States at the actual cost thereof to the Imperial Irrigation District, subject to the approval of such cost by the Secretary, Assumption of Operation and Maintenance of Common and Separate Works. Article 8. (a). Imperial Dam and All -American Canal and Laguna Dam except (i) that portion of said Coachella Main Canal lying North of the Lowest turnout for East Mesa and (ii) that portion of the All --American Canal lying West of the Southerly end of said Coachella Main Canal and designated on said Exhibit "A" as "Main (All Ameri- can) Canal to Imperial Valley" are herein styled "common works". Upon sixty (60) days written notice from the Secretary of the completion of construction of the Imperial Dam and All -American Canal, or of any major unit thereof useful to said two districts or either of them, as determined by the Secretary, whose determination thereof shall be final and binding upon the parties hereto, said Imperial Irrigation District may assume the care, operation and maintenance of said common works, or major units thereof, and thereafter said Imperial Irrigation District may care for, operate and maintain the same in such manner that such works shall remain in as good and efficient condition and of equal capacity for the diversion, transportation and distribution of water as when received from the United States, reasonable wear and damage by the elements excepted. The United States may, from time to time, in the discretion of the Secretary, resume operation and maintenance of said Imperial Dam 1 -6+ upon not less than sixty (60) days written notice and require reassumption thereof by said Imperial Irrigation District on like notice, During such times, after comple- tion, as the Imperial Dam is operated and maintained by the United States, the District shall on March first of each year advance to the United States its share of the estimated cost of operation and maintenance for the following twelve months, upon estimates furnished therefor on or before September first next preceding, Such share to be advanced by the District shall be in the proportion that the capacity provided for the District in common works above Syphon Drop bears to the total capacity thereof. (b) From and after the assumption of operation and maintenance of said common works or any major unit thereof, by Imperial Irrigation District, the District shall bear such proportion of the cost of operation and maintenance (including repairs and replacements and any charges made by the United States under Article Nine (9) hereof) of each component part of said common works, as the capacity provided for the District in such component part bears to the total capacity thereof. The District agrees, expressly for the benefit of Imperial Irrigation District, to advance to Imperial Irrigation District on or before January first of each year its said proportionate share of the estimated cost for that year of such operation and maintenance in accordance with a written notice to be issued to it by Imperial Irrigation District, provided that payment shall in no event be due until thirty (30) days after receipt of such notice. Prior to March first of each year Imperial Irrigation District shall provide the District with a written statement showing in detail the cost for the previous year for operation and maintenance of the works on account of which the District has made advances. Differences between actual coats and estimated costs shall be adjusted in next succeeding notices. Upon request of the District, both the advance notice of estimated costs and the subsequent statement of actual costs for each year shall be reviewed by the Secretary and his determination of proper A -7., 1. 140. charges shall be final. Such review shall not change the due date for advance pay- ments as herein provided and the cost of such review shall be borne equally by said two districts. The Imperial Irrigation District may at its option withhold delivery of water from the District until its proportionate share of the costs of operation and maintenance has been advanced or paid, as in this article provided and until all sums due Imperial Irrigation District under Article 10 (c) hereof have been paid. (c) Upon sixty (60) days written notice from the Secretary of the completion of construction of the Coachella Main Canal and appurtenant structures or of any major unit thereof useful to the District, as determined by the Secretary, whose determination thereof shall be final and binding on the parties hereto, the District shall assume the care, operation and maintenance of all such works north of the lowest turnout for East Mesa on said Coachella Main Canal, and thereafter the Dis- trict shall, at its own cost and without expense to the United States, care for, operate and maintain the same in such manner that such works shall remain in as good and efficient condition and of equal capacity for the transportation and distribu- tion of water as when received from the United States, reasonable wear and damage by the elements excepted. Upon like notice Imperial Irrigation District may assume the care, operation and maintenance, at its own cost, of all works designated on said Exhibit "A" as "Main (All American) Canal to Imperial Valley", lying west of the southerly end of the Coachella Main Canal. (d) After the care, operation and maintenance of any of the aforesaid works have been assumed by the District, the District shall save the United States, its officers, agents and employees harmless as to any and all injury and damage to persons and property which may arise out of the care, operation and maintenance thereof. In the event the United States fails to complete the works herein contem- plated and the District fails to elect to make use of works theretofore partially or wholly constructed, the District shall be fully relieved of any and all responsibil- ity for any further operation and maintenance of any vrorks theretofore taken over by the District for that purpose and thereupon the District shall no longer be re- sponsible for said maintenance or operation or damnge to person Or property which may arise therefrom. Keening Diversion Dam, Main Canal and Appurtenant Structures in Repair Article 9. Except in case of emergency no substantial change in any of the works to be constructed by the United States and transferred to either of said two districts under the provisions hereof or under said Imperial Contract shall be made by such district, without first having had and obtained the written consent of the Secretary and the Secretary's opinion as to whether any change in any such works is or is not substantial shall be conclusive and binding upon the parties hereto. Such district shall promptly make any and all repairs to and replacements of all said works transferred to it under the terms and conditions hereof or under said Imperial Contract which, in the opinion of the Secretary, are deemed necessary for the proper operation and maintenance of such works, In case of neglect or failure of such district to make such repairs, the United States may, at its option, after reasonable notice to such district, cause such repairs to be made and charge the actual cost thereof, plus fifteen per centum (15%) to cover overhead and general. expense to such district operating the works so repaired. On or before September first of each calendar yoar tho United States shall give written notice to such district operating such works of the amount expended by the United States for re- pairs under this article during the twelve-month period immediately preceding. Such cost, plus overhead and general expense as stated above, shall be repaid by such district operating such works on March first immediately succeeding, .9. Agreement T bar District to pay for Works Constructed by the United States Article 10. (a) The District agrees to pay the United States its share, as defined in sub article (b) of this Article, of the actual coat, not exceeding thirty- eight million five hundred thousand dollars ($38,500,000.00), incurred by the United States 'on account of the Imperial. Dam and All -American Canal, subject, however, to the provisions of Article seven (7) hereof; provided, that should Congress and other Governmental financing authorities fail to make necessary appropriations or alloca- tions of money to complete the work herein provided for, then the Secretary may, at such reasonable time as he may consideradvisable, after Congress and such other Governmental authorities shall have failed for five (5) consecutive years to make the necessary appropriations or allocations which shall have been annually requested by the Secretary, give the District notice of the termination of work by the United States and furnish a statement of the amount actually expended by the United States thereon. Upon the receipt of such notice by the District, thz District shall be given two (2) years from and after such receipt of notices to elect whether it will utilize said works theretofore constructed hereunder, or some particular part there of. Such election on the port of the District shall be expressed by re.5oliition of the Board of Directors submitted to the electorate of the District for approval or rejection in the manner provided by law for submission of contracts with the United States. If the District elects not to utilize, or fails within said two-year period to eloct to utilize said works constructed hereunder, or soma portion thereof, then the District shall have no further rights therein and no obligations therefor. If the District elects to utilize said works or a portion thereof, then tho reasonable value to the District of the works so utilized, not exceeding the actual cost there- of to the United States, shall be paid by the District u.ndor the terms of this contract; the first payment to be due and payable on the first day of March following the first day or August next succeeding the .final determination of the reasonable 1.10- value to the District of such works, in case no further work is done by the District. Should the District elect to complete the work contemplated by this contract, or some portion thereof,, the first payment shall be due and payable on the first day of March following the first day of August next succeeding the date of final completion of the work by the District as determined by the Secretary. In determining the value of such works to the District there shall be taken into account, among other things, the method of financing required and cost of money, so that in no event shall all of the works contemplated by this Contractcost the District more than they would have cost the District had they all been constructed by the United States under the terms of this contract. In the event of failure of the parties to agree as to the reason- able value to the District of the works which the District elects to use,.the same shall be determined as provided in Article twenty-six (26) hereof. (b) The amounts heroin agreed to be paid by the District to the United States shall be in accordance with the following proportions, which proportions the Secre- tary hereby determines to be equitable and just, to -wit: i. That proportion of the, total cost of that part of said common works above Syphon Drop, excepting Laguna Dam, that the capacity provided for the District there- in bears to the total capacity thereof less the capacity to be provided without cost ,to and for the Yuma Project, ii. That proportion of the total cost of each component part of all said common works, other than the part above Syphon Drop, that the capacity provided ,for the District in such part of said works bears to the total capacity thereof. iii. The entire cost of all works North of the, lowest turnout for East Mesa on the Coachella Main Canal. (c) The District' agrees to pay to the United Status on the 31st day of December of each year commencing December 31, 1935, a portion (computed in the same manner as its share of costs of common works above Syphon Drop as agreed in Article 10 (b) i hereof) of each of the annual payments (together with interest required thereon)) then or thereafter required to be made by Imperial Irrigation District to the United States for a connection with Laguna Dam, under its contract dated October 23, 1918, and under Article sixteen (16) of said Imperial Contract, or otherwise. The Secretary hereby determines that it is equitable and just that the District pay, and the District agrees, expressly for the benefit of Imperial Irrigation District, to pay Imperial Irrigation District the same proportion of the aggregate sum which shall have been paid by Imperial Irrigation District to the United States prior to December 31, 1935, for a connection with Laguna Dam, as aforesaid, as the proportion herein agreed to be paid by the District to the United States of payments hereafter to be made for said connection with Laguna Dam. The aggregate sum to be paid by the District to Imperial Irrigation District shall be divided into ten equal installments, payable annually on March first of each year, commencing on or before the year 1939, with interest from data hereof on unpaid balances at the rate of six per centum (6%) per annum, payable March 1st, 1936, and annually thereafter. At its option, the District may at any time pay any amount on principal of said aggregate sum in advance of the due date and interest on the amount so paid shall thereupon cease, (d) The lands now in the District, which are also situate in the Coachella Service Area, as defined in Article seventeen (17) hereof, are 'designated and described in statement hereto attached, marked Exhibit "gar and by this reference made a part hereof. The Board of Directors of the District does hereby declare, determine and find, and has by the ordinance by which it authorized the execution of this contract, declared, determined and found that only that 'portion of the District with— in said area described in said Exhibit "B" is susceptible for service with water from the waterworks contemplated under this contract and that said area shall be and constitute improvement District No. 1 of the District. Said Board of Directors does further declare, determine and find and has, by Said ordinance, declared, determined and found that that portion of said Coachella Service Area not now in the District, of which description is hereto attached, marked Exhibit "C" and by this reference made a part hereof, (hereinafter styled "Salton Area"), is also sudccptib_le of service from said water works, and that if and when said area described in Exhibit "C" is added to the District, said area shall also be added to, and entitled to the some benefits and subject to the same obligations as the lands in said Improvement District No. 1. Said Board of Directors does further declare, determine and find and has, by said ordinance, declared, determined and found, that those certain lands in said Coachella Service Area and not now in the District, (i) shown on said Exhibit "A" as enclosed within a hatched border line and marked "Dos Palmas Area", of which description is hereto attached, marked Exhibit "D" and by this reference made a part hereof, and (ii) shown on said Exhibit "A" as bounded on the East, South and West by a like hatched border line and on the North by the North boundary line of Imperial County and lying West of Salton Sea, (herein styled "Fish Springs Area") of which description is hereto attached, marked Exhibit "E" and by this reference made a part hereof, are also susceptible of service from said waterworks and that if and when said Dos Palmas Area, or any part thereof, is added to the District, it shall be and constitute improvement District No. 2 of the District,, and that if and when said Fish Springs Area, or any part thereof, is added to the District, it shall be and constitute Improvement District No. 3 of the District. All lands now or hereafter situate both in said Coachella Service Area and in the District are, as a whole, obligated to pay to the United States the full amount herein agreed upon, regardless of the default or failure of any tract, or of any landowner, in the payment of the taxes levied by the District against such tract or landowner, and the District shall, when necessary, levy and collect appropriate taxes to make up for the default or dolinauency of any such tract of land or of any such landowner in the payment of taxes, so that in any event, and regardless of any 1 r defaults or delinquencies in the payment of any tax or taxes, the amounts due or to become due the United States shall be paid to the United States by the District when due. No lands in the District shall be charged with any taxes or assessments under this contract except those situate within said Coachella Service Area, as defined in Article seventeen (17) hereof, or as thereunder modified. The Improvement Districts above mentioned are hereby required to be constituted and created as'nearly as may be, in the manner prescribed in said County Water District Act for creation of Improvement Districts in County Water Districts in case of ordinary issuance of bonds, Changes in Boundaries of Coachella Service Area Article 11. After the date of this contract no change shall, be made in the boundaries of the Coachella Service Area as defined in Article seventeen (17) hereof and the Board of Directors shall make no order changing the boundaries of said Coachella Service Area except as provided in said Article seventeen (17); provided, however, that the Secretary hereby consents to the inclusion in said Coachella Service Area of all of the lands described on Exhibits "B", "C", "Dn and "Ell hereto attached. Terms of Payment Article 12. The amount herein agreed to be paid to the United States shall be due and payable in not more than forty (40) annual installments commencing with the calendar year next succeeding the year when notice of completion of all work provided for herein is given to the ,District ;or under the provisions of Article 10 (a) hereof upon termination of work through failure of Congress and other Governmental author.. ities to make necessary appropriations or allocations therefor? The first five (5) of such annual installments shall each be one per centum (1;$) of the amount herein agreed to be paid to the United States; the next ten (10) of such installments' shall each,be two per centum (2%)°or;the amount herein agreed to be paid to the United 1 States, and the remainder of such annual installments shall each be three per centum (3%) of the amount herein agreed to be paid to the United States. The sums payable annually as set forth above shall be divided into two (2) equal semi-annual payments, payable on March first and September first of each year; provided, however, that if notice of the completion of work is given to the District subsequent to August first of any year the first semi-annual installment of charges hereunder shall be due and payable on March first of the second succeeding year. Operation and Maintenance Costs Article 13. Each agency which hereafter contracts for capacity to be provided for it in Imperial Dam and All. -American Canal and for which agency capacity is so provided shall bear such proportionate part of the cost of operation and maintenance (including repairs and replacements) of the component parts of Imperial Dam and All - American Canal and of the Laguna Dam as may be determined by the Secretary to be equitable and just, but not less than an amount in proportion to the total amount as are the relative capacities provided in each component part for such agency and for all other agencies, including the District. Each such agency shall advance to each district operating any works provided to be used in common by such district and such agency on or before January first of each year, its proportionate share of the estimated cost for that year of operation and maintenance in accordance with a notice to be issued by such district, provided that payment shall in no event be due until thirty (30) days after receipt of notice. Prior to March 1st of each year each such district shall provide each agency with a statement showing in detail the costs for the previous year for operation and maintenance of the works on account of which such agency has made advances. Differences between actual costs and estimated costs shall be adjusted in next succeeding notices. Upon request of any agency, both the advance notice of estimated costs and the subsequent statement of actual costs for each year shall be reviewed by the Secretary and his determination of proper charges .15- shall be final. Such review shall not change the duo date for advance payments as herein provided, and the cost of such review shall be borne equally by the requesting agency and such district. Such district may, at its option, withhold the delivery of water from any agency until its proportionate share of the costs of operation and maintenance have beon advanced or paid, as in this article provided. Power Possibilities Article 14. The power possibilities on the All -American Canal down to and including Syphon Drop with water carried for the benefit of the Yuma Project as provided for in Article fifteen (15) hereof, are hereby reserved to the United States. Subjegt to this reservation and the participation by other agencies as pro- vided for in Article twenty-one (21) hereof, the District shall have the privilege of utilizing by contract or otherwise, by means of the capacity to be provided for the District hereunder, such power possibilities, including those at or near Pilot Knob, as may exist upon said canal at points where and to the extent that water diverted and/or carried for the District contributes to'the development of power; provided, that such privilege shall not interfere with tho utilizing by Imperial Irrigation District of such power possibilities at or near Pilot Knob, by moans of. the capacity to be provided for Imperial Irrigation District in the All -American Canal from Syphon Drop to Pilot Knob, in excess of 8,500 cubic feet of water per second. The net proceeds as hereinafter defined in Article thirty. -one (31) hereof, and as determined by the Secretary for each calendar year, from any power develop- ment which the District is hereunder authorized to make, shall be paid into the Colorado River Dam fund on March first of the next succeeding calendar year and be credited to the District on this contract until the District shall have paid thereby and/or otherwise an amount of money a"uivalent to that herein agreed to be paid to the United States, Thereafter' such net power proceeds shall b4long to the District. It is agreed that in the event the net power preceods in any calendar year, creditable to the District, shall exceed the annual installment of charges payable under this contract during the then current calendar year, the excess of such net power proceeds shall be credited on the next succeeding unpaid installment to be- come due from the District under this contract. Diversion and Delivery of Water for Yuma Pro'eet Article 15. The District hereby consents that there bo diverted at the Impe- rial Dam, and transported and delivered at Syphon Drop and/or such intermediate points as may be designated by the Secretary, the available water to which the Yuma project (situated entirely within the United States and not exceeding in area 120,000 acres plus lands lying between the project levees and the Colorado River as such levees were located in 1931) is entitled, not exceeding two thousand (2,000) ' second -feet of water in the aggregate, or such part thereof as the Secretary may direct, for the use and benefit of said project, including the development of power at Syphon Drop, such water to be diverted, transported and delivered continuously in so far as reasonable diligence will permit; provided, however, that water shrlllnatbo diverted, transported or delivered for the Yuma Project whoa the Secretary notifies' Imperial Irrigation District that said project for any reason may not be entitled thereto; provided, further, that there may be diverted, transported and delivered such water in excess of requirements for irrigation or potable purposes, as determined by the Secretary, on the Yuma Project as so limited, only when such water is not required by the District for irrigation or potable purposes. The diversion, transportation and delivery of water for the Yuma Project as aforesaid shall be without expense to the United States or; its successors in control of said project, as to capita) investment required to provide facilities for such diversion and transportation of water except such checks, turnouts and other structures required for delivery from said canal, Contract of October 23; 1918 Article 16. That certain contract between the United States of America and Imperial Irrigation District, bearing date of October 23, 1918, providing for a connection with Laguna Dam, having been terminated, except as to the provisions of Article nine (9) thereof, by said Imperial Contract, the District hereby consents to such partial termination of said first mentioned contract. The District hereby consents that there be furnished to the United States or its successors in interest in the control, operation and maintenance of the Yuma Project, from any power development on the All -.American Canal at or near Pilot Knob, up to but not to exceed four thousand horsepower of electrical energy for use by the agency in charge of project operations for irrigation and drainage pumping purposes and necessary incidental use on said Yuma Project, such power to be furnished at cost (including overhead and general expense) plus ten per cent; provided, however, that such power at or near Pilot Knob shall not be required to be furnished except at such times as all power feasible of development at Syphon Drop or developed elsewhere within a radius of 40 miles from the City of Yuma for the benefit of the Yuma Project is being used for project operations as in this article specified. Delivery of Water by United States Article 17. The United States shall, from storage available in the reservoir created by Boulder Dam, deliver to or for the District, for the benefit of the lands under or that will be served from the All -American Canal in Coachella Valley, now or, hereafter within the District and lying within the Coachella Service Area, herein- after defined, each year, at a point in the Colorado River immediately above Imperial Dam, so much water as may be necessary to supply the District a total quantity, including all other waters diverted for use within the District from the Colorado River, in the amounts and with priorities in accordance with the recommendation of the Chief of the Division of Water Resources of the State of California, as follows: (Subject to availability thereof for use in California under the Colorado River Compact and the Boulder Canyon Project Act): The waters of the Colorado River available for use within the State of California under the Colorado River Compact and the Boulder Canyon Project Act shall be apportioned to the respective interests below named and in amounts and with priorities therein named and set forth, as follows: Section 1. A first priority to Palo Verde Irrigation District for bene- ficial use exclusively upon lands in said District as it now exists and upon lands between said District and the Colorado River, aggregating (within and without said District) a gross area of 104,500 acres, such waters as may be required by said lands. Section 2. A second priority to Yuma Project of the United States Bureau of Reclamation for beneficial use upon not exceeding a gross area of 25,000 acres of land located in said project in California, such waters as may be required by said lands. Section 3. A third priority (a) to Imperial Irrigation District and other lands under or that will be served from the All -•American Canal in Imperial and Coachella Valleys, and (b) to Palo Verde Irrigation District for use exclu. sively on 16,000 acres in that area known as the ”Lower Palo Verde Mesa,'t adjacent to Palo Verde Irrigation District, for beneficial consumptive use, 3,850,000 acre-feet of water per annum less the beneficial consumptive use under the priorities designated in Sections 1 and 2 above, The rights designated (a) and (b) in this section are equal in priority. The total beneficial con- sumptive use under priorities stated in Sections 1, 2 and 3 of this article shall not exceed 3,850,000 acre feet of water per annum. Section 4. A fourth priority to the Metropolitan Water District of South- ern California and/or the City of Los Angeles, for beneficial consumptive use, by'themselves and/or others, on the Coastal Plain of Southern California, 550,000 acre-feet of water perannum. Section 5. A fifth priority (a) to The Metropolitan Water District of Southern California and/or the City of Los Angeles, for beneficial consumptive use, by themselves and/or others, on the Coastal Plain of Southern California, 550,000 acme -feet of water per annum and (b) to the City of San Diego and/or County of San Diego, for beneficial consumptive use, 112,000 acre-feet of water per annum. The rights designated (a) and (b) in this section are equal in priority. Section 6. A sixth priority (a) to Imperial Irrigation District and other land under or that will be served from the All -American Canal in Imperial and Coachella Valleys, and (b) to Palo Verde Irrigation District for use exclusively on 16,000 acres in that .urea known as the "Lower Palo Verde Mosel', adjacent to Palo Verde I 'igation District, for beneficial consumptive use, 300,000 acre- feet of water per annum. The rights designated (a) and (b) in this section an! equal in priority, Section 7. A seventh priority of all remaining water available for use within California, for agricultural use in the Colorado River Basin in Califor- nia, as said basin is designated on Map No. 23000 of the Department of the Interior, Bureau of Reclamation. Section B. So far as the rights of the allottees named above are concerned, the Metropolitan Water District of Southern California and/or the City of Los Angeles shall have the exclusive right to withdraw and divert into its aqueduct any water in Boulder Canyon Reservoir accumulated to the individual credit of said District and/or said City (not exceeding at any one time 4,750,000 acre- feet in the aggregate) by reason of reduced diversions by said District and/or said City; provided, that accumulations shall be subject to such conditions as to accumulation, retention, release and withdrawal as the Secretary of the Interior may from time to time prescribe in his discretion, and his determina- tion thereof shall be final; provided further, that the United States of America reserves the right to „sake similar arrangements with users in other . States without distinction in priority, and to determine the correlative rela- tions between said District and/or said City and such users resulting therefrom. Section 9. In addition, so far as the rights of the allottees named above are concerned, the City of San Diego and/or County of San Diego shall have the exclusive right to withdraw and divlDrt into an aqueduct any water in Boulder Canyon Reservoir accumulated to the individual credit of said City and/or said County (not exceeding at any ono time 250,000 acre-feet in the aggregate) by mason of reduced diversions by said City and/or said County; provided, that accumulations shall be subject to such conditions as to accumulations, reten- tion, release and withdrawal as the Secretary of the Interior may from time to time prescribe in his discretion, and his determination thereof shall be final; provided further, that the United States of America reserves the right to make similar arrangements with users in other States without distinction in priority, and to determine the correlative relations between the said City and/or said County and such users resulting therefrom. Section 10. In no event shall the amounts allotted in this ;agreement to the Metropolitan Water District of Southern California and/or the City of Los Angeles be increased on account of inclusion of a supply for both said District end said City, and either or both may use said apportionments as may be agreed by and between said District and said City. Section 11. In no event shall the amounts allotted in this agreement to the City of San Diego and/or to the County of San Diego be increased on account cif inclusion of a supply for both said City and said County, and either or both may use said apportionments as may be agreed by and between said City and said County. Section 12. The priorities hereinbefore set forth shall be in no wise affected by the relative dates of water contracts executed by the. Secretary of the Interior with the various parties. :The Secretary reserves the right to, and the District agrees that he may, con. tract with any of the allottees above named in accordanco.with the above stated recommendation, or, in the event that such recommendation as to Palo Verde Irrigation District is superseded by an agreement between all the above allottees or by a final judicial determina.tion,.to contract with the Palo Verde Irrigation District in ac- cordance with such agreement or determination; Provided, that priorities numbered fourth and fifth shall not thereby be disturbed. The use of water by the District shall be in conformity to the following provi- sions of that' certain agreement executed between the District and Imperial Irrigation District dated February 14th, 1934, hereinabove in Article 4 (c) referred to to -wit: ' "Imperial Irrigation District shall have the prior right for irrigation and potable purposes only, and exclusively for use in the Imperial Service Area, as hereinafter defined or hereunder modified, to all waters apportioned to said Imperial Irrigation District and other lands under or that will be served from the All -American Canal in Imperial and Coachella Valleys as pro- vided in the third and sixth priorities set out in the recommendation of the Chief of the Division of Water Resources of the State of California, as con- tained in Article 17 of the Imperial Contract. Subject to said prior right of Imperial Irrigation District, Coachella Valley County Water District shall have the next right, for irrigation and potable purposes only and exclusively for use in the Coachella Service Area, as hereinafter defined or hereunder modified, to all waters so apportioned to said Imperial Irrigation District and other lands under or that will be served from the All. American Canal in the Imperial and Coachella Valleys, as provided in said third and sixth priorities. The use of water for generation of electric energy shall be, in all respects, secondary and subservient to all requirements of said two districts for irrigation and potable purposes as above limited. As hereinabove used, the term 'imperial Service Area' shall comprise all lands within the boundaries of Imperial. Irrigation District as said District was constituted on June 25, 1931, and all lands in Imperial and San Diego Counties, California, shown on Map marked Exhibit 'A', attached to said Impe- rial Contract, and included within hatched border lines indicated on said map by legend as 'Boundary of Additional Areas in Proposed Enlarged Imperial Irrigation District', other than (a) such of said lands as are labeled 'Dos Palmas Areal and (b) such of said lands as lie West of Salton Sea and North of the Northerly boundary line of Township 11, South•of the San Bernardino Base Line. The term 'Coachella Service Areal shall comprise all lands de- scribed on statements hereto attached and marked Exhibits 'B', 'C', 'D' and 'E', respectively," (said Exhibits "B", "C", "D" and "E" being identical with Exhibits "B", "C", "D" and "E" attached to this contract between the District and the United States), "being approximately, but not exactly, the lands within said hatched border lines shown on said Exhibit !Al, othr than those included in said Imperial Service Area. Upon aeeqcation of either District and with the written consent of the Secretary of the Interior, the boundaries of the service area which such dis- trict is entitled hereunder to serve may at any time or from time to time be -21-- 1 changed, but may not be so changed as, in the aggregate, to add more than 5000 acres to, nor to subtract more than 5000 acres from such service area, as herein defined, without the written consent of the district entitled hereunder to serve the other service area." As far as reasonable diligence will permit said water shall be delivered as ordered by the District, and as reasonably required for potable and irrigation pur- poses within said Coachella Service Area. This contract is for permanent water service but is subject to the condition that Boulder Dam and Boulder Canyon Reservoir shall be used; first, for river regulation, improvement of navigation, and flood control; second, for irrigation and domestic uses and satisfaction of perfected rights in pursuance of Article VIII of the Colorado River Compact; and third, for power. This contract is made upon the express condition and with the express covenant that the District and the United States shall observe and be subject to, and controlled by said Colorado, River Compact, win the construction, management and operation of Boulder Dam, Imperial Dam, All -American Canal, and other works and the storage, diver- sion, delivery and use of water for the generation of power, irrigation, and other purposes. The United States reserves the right to temporarily discontinue or reduce the amount of water to be delivered for the purpose of investigation, inspection, maintenance, repairs, replacements or installation of eouipment and/or machinery at Boulder Dam, but as far as feasible the United States will give the District reason- able notice in advance of such temporary discontinuance or reduction. The United States, its officers, agents and employees shall not be liable for damages when, for any reason whatsoever, suspension or reductions in delivery of water occur. This contract is without prejudice to any other or additional rights which the District may now have not inconsistent with the foregoing provisions of this article, or may hereafter acquire in or to the waters of the Colorado River. Subject to the provi- 4! sions of Article fourteen (14) hereof, nothing in this contract shall be construed to prevent the diversion by or for the District of water to the full capacity herein provided for it in the A11»American Canal if and when water over and above the quantity apportioned to it hereunder is available, and no power development at Imperial and/or Laguna Dam shall be permitted to interfere with such diversion by or for said District, but, except as provided in Article twenty-one (21) hereof, water shall not be diverted, transported nor carried by or through Imperial Dam or All - American Canal for any agency other than the District or Imperial Irrigation District, except by written consent of the Secretary. Measurement of Water Article 18. The water which the District receives under the apportionment'as provided in Article seventeen (17) hereof shall be measured at such point or points on the canal as may be designated by the Secretary. Measuring and controlling devices shall be furnished and installed by the United States as a part of the work provided for herein, but shall be operated and maintained by and at the expense of the district, or districts, operating the works, They shall be and remain at all times under the complete control of the United States, whose authorized representa- tives may at all times have access to them over the lands and right s-uf.'way of the • District. Record of Water Diverted Article 19. The District shall make full and complete written reports as directed by the Secretary, on forms to be supplied by the United States, of all water diverted from the Colorado giver, and delivered to the District, and the dispo- sition thereof. Tho records and data .from which such reports are made shall be accessibly; to the United States on demand of the Secretary. Refusal of Water in Case of Default Article 20. The United States reserves the right to refuse to deliver water to the District it „0o event of defeat for a period of more than twelve (12) months in any payment due the United States under this contract, or in the discretion of the Secretary to reduce doliveries in such proportion as the amount in .default by the -23 . District bears to the total amount due. It is understood, however, that the provi- sions of this article shall not relieve the District of its obligation hereunder to divert, transport and deliver water for the use and benefit of other agencies with whom the United States may contract for the diversion, transportation and delivery of water through or by the works to be constructed under the terms hereof. The United States further reserves the right to forthwith assume control of all or any part of the works to be constructed hereunder and to care for, operate and maintain the same, so long as the Secretary deems necessary or advisable, if, in his opinion, which shall be final and binding upon the parties hereto, the District does not carry out the terms and conditions of this contract to their full extent and meaning. In such event, the District's pro rata share of the actual cost of such care, operation and maintenance by the United States shall be repaid to the United States, plus fifteen per centum (15%) to cover overhead and general expense, on March first of each year immediately succeeding the calendar year during which said works are operated and maintained by th0 United States. Nothing herein contained shall relieve the District of the obligation to pay in any event all installments and penalties provided in this contract, Use of Works by the United States and Others Article 21. The United States also reserves the right to, and the District agrees that it may, at any time prior to the transfer of constructed works to the District or Imperial Irrigation District for operation and maintenance) increase the capacity of such works and contract for such increased capacity with other agencies for the delivery of water for use in the United States; provided, however, that such other agencies shall not thereby be entitled to participate in power development on said A11-Americ49 Canal, except at points where and to the extent that the water diverted and/or carried for them contributes to the development of power. In the event other agencies thus contract with the United States, each of such agencies shall assume such proportion of the total cost of said works to be used jointly by such agency and the District, including Laguna Dam, as the Secretary may determine to be equitable and just but not less than the proportion that the capacity provided for such agency in such works bears to the total capacity thereof (except in that part thereof above Syphon Drop including Laguna Dam, in which part the proportion which such other agency shall assume shall be not less than the proportion that the capac- ity provided for such agency therein bears to the total capacity thereof less the capacity to be provided without cost to and for the 'Yuma Project) and the Districts financial obligations under this contract shall be adjusted accordingly, In no event shall construction costs chargeable to the District be increased by reason of additlonal capacity being provided for any such agency or agencies or contract or contracts having been made with same, Any such agency thus contracting shall also be required to reimburse the District in such antounts and at such times as the Secre- tary may determine to be equitable and just for payments theretofore made by the District for the right to use Laguna Dam. Title to Remain in the United States Article 22. Title to the aforesaid Imperial Dam and All -American Canal shall be and remain in the United States notwithstanding transfer of the care, operation and maintenance thereof to said two districts, or either of them; provided, however, that the Secretary may, in his discretion, when repayment to the United States of all moneys advanced shall have been made,. transfer the title to said main canal and ap- purtenant structures, except the diversion dam and the main canal and appurtenant structures down to and including Syphon Drop, to the districts or other agencies of the United States having a beneficial interest therein in proportion to their re- spective capil investments under such foam of organization as may be acceptable to him, J ..25. Rules and Regulations Article 23. There is reserved to the Secretary the right to prescribe and enforce rules and regulations not inconsistent with this contract governing the diver- sion and delivery of water hereunder to or for the District and to other contractors. Such rules and regulations may be modified, revised and/or extended from time to time after notice to the District and opportunity for it to be heard, as may be deemed proper, necessary or desirable by the Secretary to carry out the true intent and moaning of the law and of this contract, or amendments thereof, or to protect the interests of the United States. The District hereby agrees that in the operation and maintenance of the Imperial Dam and All -American Canal, all such rules and regula- tions will be fully adhered to by it. Inspection by the United States Article 24. The Secretary may cause to be made from time to time a reasonable inspection of the works constructed by the United States to the end that he may ascertain whether the terms of this contract are being satisfactorily executed by the District. Such proportion of the actual expense of such inspection in any calen- dar year, as shall be found by the Secretary to be equitable and just, shall be paid by the District to the United States on March first of each year immediately follow ing the year in which such inspection is made, and upon statement to be furnished by the Secretary. The Secretary or his representative shall at all times have the right of ingress to and egress from all works of the District for the purpose of inspection, repairs and maintenance of works of the United States, and for all other purposes. Access to Books and Records Articl4 25. The officials or designated representatives of the District shall have full and free access to the books and records of the United States, so far an they relate to the matters covered by this contract, with the right at any time during office hours to make copies of and from the same; and the Secretary shall have the same right in respect of the books and records of the District. Disputes or Disagreements Article 26. Disputes or disagreements as to the interpretation or performance of the provisions of this contract, except as otherwise provided herein, shall be determined either by arbitration or court proceedings, the Secretary being author- ized to act for the United States in such proceedings. Whenever a controversy arises out of this contract, and the parties hereto agree to submit the matter to arbitration, the District shall name one arbitrator and the Secretary shall name one arbitrator, and the two arbitrators thus chosen shall elect three other arbi- trators, but in the event of their failure to name all or any of the three arbitrators within thirty (30) days after their first meeting,, such arbitrators not so elected, shall be named by the Senior Judge of the United States Circuit Court of Appeals for the Ninth Circuit. The decision of any throe of such arbitrators shall be a valid and binding award of the arbitrators. Interest and Penalties Article 27. No interest shall be charged on any installments of charges due from the District hereunder except that on all such installments or any part thereof, which may remain unpaid by the District to the United States after the same become due, there shall be added to the amount unpaid a penalty of one-half of one per centum (%) and a like penalty of one-half of one per centum (N) of the amount un- paid shall be added on the first day of each month thereafter so long es such default shall continue. Agreement Subject to Colorado River Compact Articlog28. This contract is made upon the express condition and with the express understanding that all rights based upon this contract shall be subject,to acid controlled by the Colorado River. Compact, being the compact or agreement signed -27- A l at Santa Fe, New Mexico, November 24, 1922, pursuant to i."t of Congress approved August 19, 1921, entitled "An Act to permit a compact or agreement between the States of Arizona, California, Colorado, Nevada, New Mexico, Utah, and Wyoming, , respecting the disposition and apportionment of the waters of the Colorado River, and for other purposes," which compact was approved by the Boulder Canyon Project Act. Application of Fledlamation, ;aw Article 29. Except as provided by the Boulder Canyon Pro jedt Act, the recla+ oration law shall govern the construction, operation and maintenance of the works to be constructed hereunder, Article 30. Contract to be Authorized by Election and Confirmed by Court The execution of this contract by the District shall be author- ized by the qualified electors of the District at an election held for that purpose. Thereafter, without delay, the District shall prosecute to judgment proceedings in court for a judicial confirmation of the authorization and validity of this contract, The United States shall not,be in any manner bound under the terms and conditions of this contract unless and until a confirmatory final judgment in such proceedings shall have been rendered, including final decision, or pending appellate action if ground for appeal be laid. The District shall without delay and at its own cost and expense furnish the United States for its files, copies of proceedings relating to the election upon this contract and the confirmation proceedings in connection therewith, which said copies shall be properly certified by the Clerk of the Court in, which confirmatory judgment is obtained. Method of Determining Net Power Proceeds Article 31. In determining the net proceeds for each calendar year from any power development which the district is hereunder authorized to make, on the All - American Canal, to be paid into the Colorado River Dam fund as provided in Article -28- fourteen (14) hereof, there shall be taken into consideration all items of cost of production of power, including but not necessarily limited to amortization of and interest on capital investment in power development, replacements, improvements, and operation and maintenance, if any. Any other proper factor of cost not here expressly enumerated' may be taken into account in determining the net proceeds. Contingent upon Appropriations Article 32. This contract is subject to appropriations or allocations being made by Congress or other Governmental financing authority from year to year of moneys sufficient to do the work provided for herein, and to there being sufficient moneys available in the Colorado River Dam fund to permit allotments to be made for the performance of such work. No liability shall accrue against the United States, its officers, agents or employees, by reason of sufficient moneys not being so appropriated nor on account of there not being sufficient moneys in the Colorado River Dam fund to permit of said allotments. If more than three years elapse after this contract becomes effective.and before appropriations or allocations are avail- able to per,nit the United States to make expenditures hereunder, the District may, at its option, upon giving sixty (60) days written notice to the Secretary, cancel this contract. Suc12 option shall be expressed by vote of the electors of the Dis- trict with the same formalities as required for the authorization of contracts with the United States. Addition of Lands to District Article 33. (a) The District agrees to change its boundaries, subject to pre.. sentation to its Board of Directors before January 1, 1940, of lawful and sufficient petition or petitions therefor and the approval,of the electors, so as to add to the District and to its Improvement District No. 1 all lands lying within the Salton Area, referred to in Article 10 (d) hereof. (b) Whenever any of said lands within the Coachella Service Area are added to the Dantri.ct, the Secretary, on behalf of the United States, hereby consents to -29- 4 such addition. Nothing contained in this contract shall impair any right or remedy of any person entitled to object or protest against the addition to the District of any particular tract or tracts of land, nor impair the power of the Board to hear and determine any such objections or protests. (c) Notwithstanding anything herein contained, the District may, at its option, change its boundaries to as to add to the District all or any part of the Dos Palmas Area, and/or of the Fish Springs Area, referred to in Article 10 (d) hereof. In the event any lands within said Dos Palmaa Area or Fish Springs Area shall be added to the District such addition shall be made upon conditions substantially as herein- after contained and as and when authorized by law, and the Secretary on behalf of the United States hereby requires and consents to such conditions, to -wits CONDITION NO.,1 Contribution to Capital Costs The lands within each Improvement District shall collectively bear that proms portion of all costs of the Imperial Dam, and All -American Canal, including Laguna Dam, herein agreed to be borne by the District, which the area within such Improve- ment District bears to the total area of the Coachella Service Area from time to time within the District. CONDITION NO. 2 Contribution to Costs Paid by District Each Improvement District, other than Improvement District No. 1 shall bear, in the proportion set out in Condition No. 1, its share of all capital costs of the Imperial Dam and All -American Canal, including Laguna Dam, paid by the District prior to the first District tax collection from the lands within such Improvement District and shall pay such share to the District in such installments and at such times as shall be determined by resolution of the Board of Directors of the District to be just and equitable, Upon collection of said sums by the District, the -30- portions of the Coachella Service Area.by which said sums were originally paid shall thereupon be entitled to reimbursement or credit in such manner as may be deter- mined by said Board. CONDITION NO. 3 Dibtrib ution System Each improvement District shall bear the entire capital cost of any distri- bution system which may be constructed by or under the authority of the District to serve the lands within such Improvement District but shall not be required to bear any part of the capital post of. any distribution system to serve the lands within any other Improvement District. CONDITION NO. 4 Taxation All charges hereunder to be borne by each Improvement District unless other- wise collected from the lands therein, shall be a part of but in addition to the annual taxes upon said lands for other District purposes and shall constitute an additional annual charge upon said lands, to be levied upon an ad valorem or other basis as now.or hereafter provided by law. Rights Reserved under Section 3737 Revised Statutes Article 34. All rights of action for breach of any of the provisions of this contract are reserved to the United States as provided,in Section 3737 of the Revised Statutes of the United.States. Remedies Under Contraot not Exclusive Article 35. Nothing contained in this contract shall be construed as in any manner abridging, limiting or depriving the United States, the District or Imperial Irrigation District of any means of enforcing any remedy either at law or in equity for the breach Of any of the provisions hereof which it would otherwise have. The waiver of a breach of any of the provisions of this contract shall not be deemed to -31» be a waiver, of any other provision hereof or of a subsequent breach of such provision. Interest in Contract not Transferable Article 36. No interest in this contract is transferable by the District to any other party, and any such attempted transfer shall cause this contract to become subject to annulment at the option of the United States. Member of Congress Clause , Article 37. No Member of or Delegate to Congress or Resident Commissioner shall be admitted to any share or part of this contract, or to any benefit that may arise therefrom. Nothing, however, herein contained shall be construed to extend to this contract if made with a corporation for it3 general benefit. Contract Void If Certain Lands Included in Imperial I.rr1.ec.,tion District Article 38. In the event lawful petition or petitions sufficient in all respects for inclusion within Imperial Irrigation District of ninety per centum (90%) of the lands shown.on said Exhibit "A" lying North of the Northerly boundary line of Township Eleven (11), South of the San Bernardino Base Line and bounded by the lines indicated on said Exhibit "A" as "Boundary of Additional Areas in Prq- posed Enlarged Imperial Irrigation District", exclusive of the Dos Palmas area and exclusive of Indian lands and public lands of the United States shall be filed pur- suant to and within the time limited by said Imperial Contract, and said lands shall be thereafter inoluded within said Imperial Irrigation District pursuant to such petition or petitions, then, as of the date of such inclusion, this contract shall terminate and be at an end, N IA WITNESS WHEREOF, the parties hereto have caused this contract to be exe- cuted the day and 'year first above written. Attest: Secretary. THE UNITED STATES OF AMERICA By Federal Emergency Administrator of Public Works and Secretary of the Interior. COACIBELLA VALLEY COUNTY WATER DISTRICT By President. EXHIBIT HP' DESCRIPTION OF LANDS WITHIN COACHELLA VALLEY COUNTY WATER DISTRICT AND ITS IMPROVEMENT DISTRICT NO. 1 AND WITHIN THE COACHELLA SERVICE AREA. All that certain tract of land situate in the County of Riverside, State of California, and in the Townships (designated hereinafter mentioned South, and Ranges (designated ”R") hereinafter mentioned East, of the San Bernardino Base Line and Meridian, particularly described as follows, to -wit: Beginning at the S.W. corner of the S.E. of Section 31, Township 8 South, Range 9 East, which is a point in the South boundary line of said Coachella Valley County Water District and thence along straight lines 1. To the S.W. corner of Sec. 10, T. 8, R. 8, thence 2. To the S.W. corner of the S.E. of Sec. 33, T. 7, R. 8, thence 3. To the S.W. corner of the N.W. of said Sec. 33, thence 4. To the S.W. corner of the N.E. of Sec. 19, T. 7, R. 8, thence 5. To the S.W. corner of the N.W. of said Sec. 19, thence along the West line of said Sec. 19 6. To the N.W. corner of said Sec. 19, thence along the South line.of Sec. 13) T. 7, R. 7. 7. To the S.W. corner of said Sec. 13, thence along the West line of said Sec. 13 8. To the N.W. corner of said Sec. 13, thence 9. To the S.W. corner of the N.E.i of Sec. 11, T. 7, R. 7, thence _ 10, To the S.W. corner of the N.W4 of said Sec. 11, thence along the West line of said Sec. 11 11. To tho N.W. corner of said Sec. 11," thence along the South line of Sec, 3 in said Township and Range 12. To the S.W. corner of said Sec. 3, thence along the West line of said Sec. 3 13. To the N.W. corner of said Sec. 3, thence along the South line of Secs. 34 and 33, T. 6 South, R. 7 East 14. To the S.W. corner of the S.E. of Sec. 33, T. 6, R. 7, thence 15. To the S.W. corner of the N.E. of Sec. 28, T. 6, R. 7, thence 16. To the S.W. corner of the N.W. of said Sec. 28, thence 17. To the S.W. corner of the S.E. of Sec. 20, T. 6, R. 7, thence 18. To the S.W. corner of the N.E. of said Sec. 20, thence 19. To the S.W. corner of the S.E. of the N.W.4 of said Sec. 20, thence 20. To the N.W. corner of the N.E. of the N.W. of said Sec. 20, thence 21. To the S.W. corner of the S.E..h of Sec. 17) T. 6, R. 7, thence 22. To the S.W. corner of the N.E. of Sec. 8, T. 6, R. 7, thence 23. To the S.W.•eorner of the S.E.1 of the N.W.i of said Sec. 8, thence 24. To the S.W. corner of the N.E. of the N.W.i of said Sec. 8, thence 25. To the S.W. corner of the N.W. of the N.W.b of said Sec. 8, thence 26. To the N.W. corner of said Sec. 8, thence 27. To the N,W. corner of the N.E.; of the N.E4 of Sec. 7, T. 6, R. 7, thence 28. To the S.W. corner of the N.E.it of the N.E. of said Sec. 7, thence 29. To the S.W. corner of the N.E. of the N.W. of said Sec. 7, thence 30. To the S.E. corner of the S.W..h of the Mei., of said Sec. 7, thence 31. To the S.W. corner of the N.W. of said Sec. 7, thence along the West line of said Sec. 7 32. To the S.E. corner of Sec. 1, T. 6, R. 6, thence along the South line of said Sec. 1 33. To the S.W. corner of the S.E. of said Sec. 1, thence 34. To the N.W. corner of the N.E. of said Sec. 1, thence along the North line of said Sec. 1 35. To the S.W. corner of the S.E. of the S.E. of Sec. 36, T. 5, R. 6, thence 36. To the N.W. corner of the N.E. of the S.E. of said Sec. 36, thence 37. To the S.W. corner of the N.E. of Sec. 31, T. 5, R. 7, thence 38. To the S.W. corner of the N.E. of Sec. 19, T. 5, R. 7, thence 39. To the S.W. corner of the N.W. of said Sec. 19, thence 40. North along the West line of said T. 5, South to a point in the North- easterly line of the right-of-way of the State Highway commonly known as "U.. S. High- way 99", thence 41. Northwesterly along said Northeasterly line of said right-of-way of said Highway to the intersection of said line with the Westerly line of the E.i of Sec. 19, T. 4, R. 6, thence 42. To the N.W. corner of the S.E.? of Sec. 18, T. 4, R. 6, thence 43. To the N.E. corner of the S.E.w.of Sec. 15, T. 4, R. 6, thence 44. To the S.W. corner of the N.W. of Sec. 23, T. 4, R. 6, thence 45. To the N.E. corner of the S.E. of Sec. 24, T. 4, R. 6, thence 46. To the S. W. corner of the S.E.w of Sec. 34, T. 4, R. 7, thence 47. To the N.E. corner of Sec. 3, T. 5, R. 7, thence 48. To the S.W. corner of the of the N.W. of Sec. 2, T. 5, R. 7, thence 49. To the S.E. corner of the N.E. of the N.W. of said Sec. 2, thence 50. To the S.W. corner/of the N.E. of said Sec. 2, thence 51. To the S.W. corner of the N.W. of Sec. 1, T. 5, R. 7, thence 52. To the S.W. corner of the S.E. of said Sec. 1, thence 53. To the S.W. corner of Sec. 6, T. 5, R. 8, thence 54. To the S.W. corner of Sec. 15, T. 5, R. 8, thence along the West line of Sec. 22, T. 5, R. 8 55. To th S.W. corner of said Sec. 22, thence . 56. To the S.W. corner of the S.E.i; of Sec. 27, T. 5, R. 8, thence 57. To the S.W. corner of the N.W. of the N.E. of Sec. 34, T. 5, R. 8, thence 58. To the S.W. corner of the N.E. of the N.E. of said Sec. 34, thence 59. To the S.W. corner of the N.E. of the S.E.i of said Sec. 34, thence 60. To the S.E. corner of the N.E. of the S.E. of Sec. 34,"T. 5, R. 8, thence along the East line of said Sec. 34 61. To the S.E. corner of said Sec. 34, thence along the North line of Sec. 2, T. 6, R. 8 62. To the N.E. corner of the N.W. of the M.W.w of said Sec. 2, thence 63. To the S.E. corner of the N.1`J.4 of the N.W.w of said Sec. 2, thence 64. To the S.E. corner of the N.E. of the N.W. of said Sec. 2, thence 65. To the S.W. corner of the N.E. Of said Sec. 2, thence 66. To the N.E. corner of the N.W. of the S.E.i of said Sec. 2, thence 67. To the S.W. corner of the N.E. of the S.E. of said Sec. 2, thence 68. To the S.E. corner of the N.Ea of the S.E. of said Sec. 2, thence along the East line of said Sec. 2 69. To the S.E. corner of said Sec. 2, thence 70. To the S.E. corner of Sec. 13, 'T. 6, R. 8, thence 71. To the S.E. corner of Sec. 3, T. 7, R. 9, thence along the South lines of Sections 2 and 1 in said Township and Range 72. To the N.E. corner of the N.W. of the N.Wa of Sec. 12, T. 7, R. 9, thence 73. To the S.E. corner of the N.W.w of the N.Wa of said Sec. 12, thence 74. To the N.E. corner of the S.E.i of the N.W. of said Sec. 12, thence 75, To the S.W. corner of the N.Ea of said Sec. 12, thence 76. To the N.E. corner of the S.Ea of said Sec. 12, being a point on the East boundary line of said Coachella Valley County Water District, thence 77. South along said boundary line to the S.E. corner of Sec. 25, T. 7, R. 9, —4— thence along the South lines of said Sec. 25 and of Sec. 26 in said Township and Range 78. To the S.W. corner of said Sec. 26, thence 79. To the N.E. corner of the S.E,w of the S.E. of Sec. 27, T. 7, R. 9, thence 80. To the N.W. corner of the S.W. of the S.E. of said Sec. 27, thence 81. To the N.E. corner of the S.W. of said Sec. 27, thence 82. To the N.W. corner of the S.W. of said Sec. 27, thence 83. To the N.E. corner of the S.E.w of the N.E. of Sec. 28, T. 7, R. 9, thence 84. To the N.W. corner of the S.W. of the N.E. of said Sec. 28, thence 85. To the N.E. corner of the.N.W.} of said Sec. 28, T. 7, R. 9, thence along the North lines of said Sec. 28 and of Sec, 29 in said Township and Range 86. To the N.W. corner of the N.E. of said Sec. 29, thence 87. To the S,W. corner of the N.W. of the N.E. of said Sec. 29, thence 88. To the N.W. corner of the S.E. of the N.W. of said Sec. 29, thence 89. To the S.E. corner of the S.W. of the N.W. of said Sec. 29, thence 90. To the S.W. corner of the S.E. of the N.W4 of Sec. 30, T. 7, R. 9, thence 91. To the S.E. corner of the N.W. of the N.W. of said Sec. 30, thence 92. To the S.W. corner of the N.E.- of the N.E. of Sec. 25, T. 7, R. 8, thence 93. To the S.W. corner of the S.E. of the N.E.w of said Sec. 25, thence 94. To the S.W. corner of the N.E. of said Sec. 25, thence 95. To the S.E. corner of the N.E,1 of the S.W. of said Sec. 25, thence 96. To the N.E. corner of the S.W.- of the S.W. of said Sec. 25, thence 97, To the S.E. corner of the S.W. of the N.W. of Sec. 36, T. 7, R. 8, thence 98. To the N.E. corner of the S.VJ. of said Sec. 36, thence 99. To the S.E. corner of the N.E.4 of the S.W. of said Sec. 36, thence 100. To the N.E. corner of the S.E, of the S.E, of said Sec. 36, thence along the East line of said Sec. 36 101. To the S.E. corner of said Sec. 36, thence 102. To the N.E. corner of the N.W. of the N.W.t of Sec. 6, T. 8, R. 9, thence 103. To the N.E. corner of the S.W. of the S.W.1 of Sec. 7, T. 8, R. 9, thence 104. To the N.V.. corner of the S.W. of the S.W4 of said Sec. 7, thence along the West lines of said Sec.'7 and of Sec. 18 in said Township and Range 105). To the S.W.-corner of the N.W. of the N.144 of said Sec. 18, thence 106.. To the.S.E.,corner of.the of the N.W. -of said Sec. 18, thence 107. To the S.E..corner of the S.W. of the N.W4 of said Sec. 18, thence 108. , To the S.E. corner of the N,W.t of said Sec. I8, thence 109. To the S.E. corner of the N.Ea of the S.W.1 of said Sec. 18, thence 110. .To the N.E. corner of the S.E. .of the S.E4 of said Sec. 18, thence along the East lines of said Sec. 18 and of Sec. 19 in said Township and Range ill. To the S.W. corner of the N.W4 of the N.W. of Sec. 20, T. 8, R. 9, • thence 112. To the N.E. corner of the S.W.'of the N.W4 of said See. 20, thence 113. To the S.E. corner of the S.W. of the N.w. of said Sec. 20, thence 114. To the S.E. corner of the N.E.}. of said Sec. 20, thence 115. To the N.W. corner of the S.W.? of the S.W. of Sec. 21, T. 8, R. 9, thence 116. To the N.E. corner of the S.W.i of the 5.114 of said Sec. 21, thence 117. To the S.E. corner of the S.W. of the S.W.} of said Sec. 21, thence 118. To the N.L. corner of the N.W4 of Sec. 28, T. 8, R. 9, thence* 119. To the S.E. corner of the NONj of said Sec. '28, thence 120. To the N.E. corner of the N.W. of the S.E.i of said Sec. 28, thence 121. To the N.W. corner of the N.E. of the N.E4 of Sec. 33, T. 8, R. 9, thence along the North line of said Sec. 33 122. To the N.E. corner of said Sec. 33, thence along the East line of said Sec. 33 123. To the S.E. corner of said Sec. 33, being a point in the Southerly bound— ary line of said Coachella Valley County Water District and of said County of Riverside, thence 124. West along said District and County boundary lines to the point of begin- ning. 1 EXHIBIT "C" DESCRIPTION OF LANDS OUTSIDE COACHELLA VALLEY COUNTY WATER DISTRICT AND WITHIN THE COACHELLA SERVICE AREA, DESIGNATED THE SALTON AREA. All that certain tract of land situate in the County of Riverside, State of California, and in the Townships (designated "T") hereinafter mentioned South, and Ranges (designated "R") hereinafter mentioned East, of the San Bernardino Base Line and Meridian, particularly described as follows, to wit; Beginning at the N.W. corner of Section 18, Township 7 South, Range 10 East, which is a point in the East boundary line of said Coachella Valley County Water Dis— trict, and running thence along the Northerly boundary linos of said Section 18 and of Section 17 in said Township and Prange; 1. To the N.E. corner of Sec. 17, T. 7, R. 10, thence 2. To the N.W. corner of Sec. 26, T. 7, R. 10, thence 3. To the S.W. corner of the S.E. of the S.E.i of said Sec. 26, thence 4. To the S.W. corner of the N.W. of Sec. 36, T. 7, R. 10, thence 5. To the S.E. corner of said Sec. 36, thence 6. To the S.E. corner of Sec. 6, T. 8, R. 11, thence 7. To the S.W. corner of the S.E. of said Sec. 6, thence 8. To the S.E. corner of the N.W. of Sec. 7, Ti 8, R. 11, thence 9. To the S.W. corner of the S.E. of the N.W.i of said Sec. 7, thence 10. To the S.E. corner of the S.W. of the S.W. of said Sec. 7, thence 11. To the N.E. corner of the N.W. of Sec. 18, T. 8, R. 11, thence 12. To the S.E. corner of the N.W. of said Sec. 18, thence 13. Along the Southerly line of the 11.4. of said Sec ► 18, and the Westerly projection of said Southerly line to an intersection with the Northeasterly line of the Southern Pacific main line railroad right-of-way running through the N.E. of Sao. 13, T. 8, R. 10, thence 14. Northwesterly along said Northeasterly line of said railroad right-of-way to the intersection of said Northeasterly line with the South line of Sec. 28, T. 7, R. 10, or the Easterly projection thereof, thence along the Southerly lines of said See. 28 and of Sec. 29 and Sec. 30 in said Township and Range,, 15. To the S.W. corner of said Sec. 30, being a point in the East boundary line of said Coachella Valley County Water District, thence 16. North along said District boundary line to the point of beginning. -2- EXHIBIT 8D" DESCRIPTION OF LANDS OUTSIDE COACHELLA VALLEY COUNTY WATER DISTRICT AND WITHIN THE COACHELLA SERVICE AREA, DESIGNATED THE DOS PALMAS AREA. All that certain tract of land situate in the Counties of Riverside and Imperial, State of California, and in the Townships (designated "T") hereinafter mentioned South, and Ranges (designated 8R8) hereinafter mentioned East, of the San Bernar- dino Base Line and Meridian, particularly described as follows, to -wit: Beginning at the S.E. corner of Sec. 33, T. 8 South, R. 12 East, which is a point in the Southerly boundary line of said County of Riverside, and running thence along the Easterly boundary line of said Sec. 33: 1. To the N.E. corner of the S.E of the S.E.k of said Sec. 33, thence 2. To the N.W. corner of the S.W.}; of the S.E. of said Sec. 33, thence 3. To the N.E. corner of the S.W.; of said Sec. 33, thence 4. To the S.W. corner of the S.E.} of the N.W. of said Sec. 33, thence 5. To the N.E. corner of the S.W. of the N.W.1- of said Sec. 33, thence 6. To the S.W. corner of the N.W. of the N.E. of Sec. 32, T. 8, R. 12, thence 7. To the N.W. corner of the N.E. of said Sec. 32, thence 8. Along the Northerly line of said Sec. 32 to the N.W. corner of the N.E. of the N.W. of said Sec. 32, thence 9. To the N.E. corner of the S.W. of the S.W. of Sec. 29, T. 8, R. 12, thence 10. To the N.W. corner of said S.W. of the S.W. of said Sec. 29, thence 11. Along the Westerly boundary line of said Sec. 29 to the Nal. corner of the S,W.- of said Scc. 29, thence 12. To the S.W. corner of the N.F.} of ^oc. 30, T. 8, R. 12, thence 13. To the N,E. corner of the N.W. of said Sec. 30, thence 14. Along tho Northerly boundary line of said Sec. 30 to the N.W. corner of said Sec. 30, thence 15. Along the Westerly boundary lino of Sec. 19, T. 8, R. 12, to the N.W. cor- ner of said Soc. 19, thence 16. Along the Southerly boundary line of Sec. 13, T. 8, R. 11, to the S.W. cor- ner of the S.E.w of the S.E. of said Soc. 13, thence 17. To the N.W. corner of the S.E. of the N.E4 of Sec. 12, T. 8, R. 11, thence 18. To the N.E. corner of the S.E. of the N.E. of Sec. 7, T. 84 R. 12, thence 19. Along the Easterly boundary line of said Sec. 7 to the S.E. corner of said Sec. 7, thence 20. the S.E. corner of Soc. 17, T. 8, R. 12, thence 21. Along the Westerly boundary line of Sec. 21, T. 8, R. 12, to the S.W. cor- ner of the N.W. of said Section, thence 22. To the N.E. corner of the S.W.i of said Sec. 21, thence 23. To the N.W. corner of the S.W.1 of the S.E. of said Sec. 21, thence 24. To the N.E. corner of the S.E. of tho S.E.l of said Sec. 21, thence 25. Along the Easterly boundary line of said Sec. 21 to the S.E.corner of said Sec. 21, thence 26. Along the Northerly boundary line of Sec. 27, T. 8, R. 12, to the N.E. eor- 0C the N.W. of said Sec. 27, thence 27. To the S.E. corner of Sec. 26, T. 8, R. 12, thence 28. Along a straight line between the N.V. corner and the S.E. corner of Sec. 36, T. 8, R. 12, to a point where said straight line intersects a projection Northerly of the East line of Sec. 2, T. 9, R. 12, thence 29. Along said last-named projected line and the East line of said Sec. 2 to -2- ti i r the S.E. corner of the N.E. of said Sec. 2, thence 30. To the S.W. corner of the N.E.1- of said Sec. 2, thence 31. To the S.E. corner of the S.W. of said Sec. 2, thence 32. Along the Southerly boundary line of said Sec. 2 to the S.W. corner of the S.E.? of the S.W. of said Sec. 2, thence 33. To the S.E. corner of the N.W.i of the N.W. of Sec. 11, T. 9, R. 12, thence 34. To the S.W. corner of the N.W. of the N.Y4 of Sec. 10, T. 9, R. 12, thence 35. Along the West line of Sec. 10 to the N.W. corner of said Sec. 10, thence 36. Along the South line of Sec. 4, T. 9, R. 12, to the S.W. corner of the S.E. of the S.E.22t. of said Sec. 4, thence 37. To the N.W. corner of the S.E. of the S.E. of said Sec. 4, thence 38. To the S.W. corner of the N.W. of the S.E. of said Sec. 4, thence 39. To the N.W. corner of the N.E.1 of said Sec. 4, being a point in the South— erly boundary line of said County of Riverside, thence 40. Along said boundary line and the Northerly boundary line of said Sec. 4 to the point of beginning. • 11 EXHIBIT "En DESCRIPTION OF LANDS OUTSIDE COACHELLA VALLEY COUNTY WATER DISTRICT AND WITHIN THE COACHELLA SERVICE AREA, DESIGNATED THE FISH SPRINGS AREA' All that certain tract of land situate in the County of Imperial, State of California, and in the Townships (designated hereinafter mentioned South, and hanges (designated "R") hereinafter mentioned East, of the San Bernardino Base Line and Meridian, particularly described as follows, to —wit: Beginning at the N.E. corner of the N.W. of Sec. 4, T. 9, R. 9, which is a point in the South boundary line of Coachella Valley County Water District and of the County of Riverside and the North Boundary line of the County of Imperial and run— ning thence along said boundary line, and along the Northerly boundary lines of said Sec. 4 and of Sec. 5, T. 9, R. 9: 1. To the N.E. corner cf the N.W.} of the N.W4 of said Seq. 5, thence 2. To the S.E. corner of the S.W. of the N.W. =of Sec. 8, T. 9, R. 9, thence 3. To the S.E. corner of the N.W. of said Sec. 8, thence 4. To the S.E. corner of the S.V:r4 of said Sec. 8, thence 5. To the S.E. corner of Sec. 17, T. 9, R. 9, thence 6. To the S.E. corner of Sec. 21, T. 9, R. 9, thence 7. To the S.W. corner of Sec. 12, T. 10, R. 9, thence 8. Along the Southerly boundary line of said Sec. 12 to the S.E. corner of said Seo. 12, thence 9. To the S.E. corner of Sec. 6, T. 10, R. 10, thence 10. To the N.E. corner of the N.W. of said Sec. 6, thence 11. To the S.W. corner of the N.E.4t of the N.E.i of Sec. 16, T. 9, R. 9, thence J � 12. To the N.E. corner of the N.W.1., of the S.B4 of Sec. 4, T. 9, R. 9, thence, 4. To the S.W. corner of the'N.E..h of said See. 4, thence to the point of beginning.