Agmt 2003 Oro Loma Sanitary District

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shall not be changed without the prior written approval of the governing body of each of the parties hereto. 3. PAYMENT TO DISTRICT. CITY agrees to pay DISTRICT an amount based upon the revenue generated from the SUBJECT AREA as follows: A. Seventy-five percent (75°l0) of the total CITY sewer user charges billed andlor levied to users located in the SUBJECT AREA, or seventy-five percent (75%) of the DISTRICT'S prevailing sewer user charges, whichever is greater. For purposes of this section, sewer user charges are defined as those fees typically charged to users for all costs related to sewer collection, treatment, capital administration, billing, etc., and which are collected on the water bill, by direct billing, or on the Alameda County property tax bill. Should the DISTRICT'S prevailing sewer user charges exceed that charged by the CITY, in no case shall the amount charged to the CITY exceed 85% of the CITY's user charges. Example: As of March 2003, the CITY'S residential sewer service charge is $203 and the DISTRICT'S is $113. Therefore, pursuant to Section IILB (based on current rates), the CITY would remit to the DISTRICT $76.13 for each 6-month period for every residence within the subject area. This amount will increase as rates increase. B. A statement of total sewer user charges for each six (6) month period from January 1 to June 30 and from July 1 to December 31 of each year shall be prepared by the CITY and paid to the DISTRICT on or before July 20 and January 20 of each year. C. All records upon which statements are to be based shall be available for inspection by the DISTRICT at any time during normal business hours and CITY agrees to make said records available to the DISTRICT during said time. 4. CONNECTION TO SEWERAGE SYSTEM. A. CITY shall have the right of connection for existing commercial and residential development within the SUBJECT AREA, to DISTRICT'S existing sanitary sewerage facilities. Agreement For Transportation, Treatment And Disposal Of Sewage between Page 2 of 6 City of San Leandro and Oro Loma Sanitary District