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<br />ARTICLE VII <br />PERFORMANCE <br /> <br />SECTION 7.1. FACILITIES PERFORMANCE GENERALLY. (A) Reliance. The <br />Authority acknowledges that the City, in serving water supply needs of the Service Territory, is <br />providing an essential public service, and in complying with its obligations under Applicable <br />Law is relying on the performance by the Authority of its obligations hereunder. Except to the <br />extent relieved by Uncontrollable Circumstances or a specific provision of this Service Contract <br />relieving the Authority of its obligations, the Authority shall operate the Facilities on a <br />continuous, uninterrupted 24-hour per day, 7-day per week basis. <br />(B) Maximum Capacity Utilization. Within the capacity limits of the Plant <br />and the Wells, the Authority shall utilize the Facilities to supply the amount of Finished Water <br />and Well Water required by the City. The Authority shall not be required by the City to <br />produce Finished Water or Well Water in quantities that exceed such capacities or which <br />produce Finished Water or Well Water that exceeds the quality requirements of any <br />Govemmental Body. The Authority shall not intentionally reduce the level of water treatment <br />capable of being achieved by the Facilities in an effort to reduce its operating and maintenance <br />expenses. <br /> <br />(C) Curtailments and Shutdowns. If the operation of the Facilities is <br />temporarily reduced, curtailed or shut down so that the Authority is unable to collect, receive, <br />treat or to deliver Finished Water, in accordance herewith, the Authority shall promptly advise <br />the City as to the nature and probable duration of such reduction, curtailment or shutdown <br />and the expected effect on the operation of the Facilities, and take the steps necessary to <br />remedy the reduction, curtailment or shutdown and to resume full performance hereunder as <br />soon as possible. <br />(D) Limitations on Authority Rights. The Authority shall not use the <br />Facilities for any purpose other than the purposes contemplated in this Service Contract. The <br />only compensation payable by the City to the Authority for providing the Contract Services <br />under this Contract shall be the Service Fee payable by the City hereunder, as that Service Fee <br />is adjusted and may be amended from time to time pursuant to this Service Contract. <br />(E) Selection of Raw Water. The City shall have at all times the right to <br />determine the quantities of raw water from each raw water source to be utilized in the System. <br />The City will regularly communicate to the Facilities Manager the quantities and sources of <br />Raw Water desired by the City. The Authority will manage withdrawals from the Wells to <br />comply with regulatory and contract requirements of the Edwards Aquifer Authority applicable <br />to the City. The Authority shall have at all times the right to determine the quantities of raw <br /> <br />49 <br />