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<br />APPENDIX 6 <br /> <br />PERFORMANCE GUARANTEES <br /> <br />The Authority shall at all times operate the Facilities to meet the following Performance Guarantees: <br /> <br />1. Water Treatment Guarantee - <br />The Authority shall operate the Facilities to produce Finished Water from the Plant in compliance <br />with the requirements of Applicable Law and the Enhanced Standards (whichever is more stringent) <br />set forth below. The City will provide the Authority with advance notice of its intention to undertake <br />a Capital Modification of the Facilities. The Authority must inform the City within a time frame to be <br />agreed upon by the parties as to whether such proposed Capital Modification will adversely affect the <br />ability of the Authority to meet a Performance Guarantee. <br />Chlorine residuals less than 2.5 mg/l but high enough to ensure 0.2 mg/l minimum at all <br />points in the City's distribution system; <br />TTHMIHAA levels below 75% of regulatory compliance levels (as measured at the Plant); <br />Fluoride levels at 0.7 - 1.0 mg/l; <br />TOC removal in compliance with regulatory requirements or alternate compliance criteria; <br />Chlorite ion levels below levels that cause taste/odor in the distribution system; <br />Turbidity below 75% of regulatory limit on average monthly basis with no spikes to or above <br />regulatory level; and <br />· Stable, non-corrosive water with verified no pipe material etching/damage or color. <br /> <br />2. Water Availability Guarantee- <br />The Authority shall, at all times, operate the Facilities to maintain storage tank levels in accordance <br />with the Water Availability Requirement set forth in Section 7.3. <br /> <br />The Authority shall maintain and/or monitor measuring devices in such Finished Water reservoirs <br />sufficient for determining the level of Finished Water in such reservoirs on a continuous basis. Such <br />requirement will assure the availability of Finished Water to the System in the event an extended <br />power outage disables the Facilities or if needed for fire fighting purposes. <br /> <br />3. Production Efficiency Guarantee- <br />The Authority shall operate the Plant to achieve a treatment process loss (Raw Water to Finished <br />Water production) of no more than 5% on an annual average basis over the course of each Contract <br />Year following the Commencement Date. <br /> <br />4. Water Pressure and Flow Guarantee- <br />The Authority shall, at all times, operate the Facilities such that the normal System water pressure <br />range is 35 to 115 PSI at the highest to lowest pressure zone elevations, respectively. The preferred <br />pressure range is 50-80 PSI where and when conditions allow. Pressures outside the stated range will <br />not be the responsibility of the Authority if due to malfunctions in the distribution system, such as <br />leaks, closed valves or localized water hammer effects not caused by pump operation effects. <br /> <br />5. Water Quantity Guarantee- <br />The Authority shall furnish Finished Water on demand to the City's service recipients, and meet <br />emergency fire flow capacity requirements in accordance with Applicable Law. In addition, the <br />Authority shall furnish Finished Water in the quantities required under the City's agreement to <br />provide Finished Water to the City of Kyle and other customers designated by the City during the <br />Term of the Service Contract. <br /> <br />16 <br />