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conveyances of undivided interests in the Plant upon completion of construction and payment of <br />the cost of such expansions. <br />Section 5. Design Construction Operation and Maintenance and Ownership of the Raw <br />Water Delivery System. <br />(1) Raw Water Deliver System Design and Construction <br />GBRA shall design, acquire, construct, operate and maintain the Raw Water Delivery <br />System. The Raw Water Delivery System shall be designed, acquired and constructed in phases. <br />The initial phase shall consist of a pipeline or pipelines with a minimum capacity to convey 9 <br />MGD of raw water and a pump station or stations at the Point of Diversion on the Guadalupe <br />River with an installed capacity of 6 MGD designed for the addition of pumps to easily increase <br />the pumping capacity, and the necessary real property interests for purposes of constructing, <br />operating and maintaining such facilities, unless such initial parameters are enlarged as set forth <br />below, or unless the Parties agree otherwise. If GBRA desires to construct a larger diameter <br />pipeline and/or an additional pipeline as part of the initial phase, it shall give notice of such <br />enlargements to the City by not later than July 1, 1998. The initial pumping capacity may be <br />increased by 1 MGD ("Minimum Pump Expansion") or a multiple thereof. After construction of <br />the initial phase, GBRA shall expand the installed pumping capacity from time to time at the <br />request of either Party. The amount of any such expansion shall be the Minimum Pump <br />Expansion or a multiple thereof. <br />(2) Raw Water Delivery System Operation and Maintenance <br />GBRA shall be responsible for the operation and maintenance of the Raw Water Delivery <br />System. <br />(3) Raw Water Delivery System Ownership <br />GBRA shall hold legal title to the Raw Water Delivery System, including all properties, <br />rights of way, easements and any other interest in real property acquired for the Raw Water <br />Delivery System, during the existence of any Project Debt Instruments issued by GBRA for the <br />acquisition and construction of the initial phase of the Raw Water Delivery System. After such <br />Project Debt Instruments have been fully paid, redeemed, or defeased, such that GBRA has no <br />outstanding debt on the initial phase of the Raw Water Delivery System, GBRA shall convey to <br />the City, at no cost to the City, legal title to an undivided interest in the Raw Water Delivery <br />System equal to the City's percentage interest in the total capacity of the Raw Water Delivery <br />System at that time. If GBRA constructs a pipeline or pipelines with a conveying capacity <br />greater than 9 MGD and/or a pumping capacity greater than 6 MGD in the initial phase of the <br />Raw Water Delivery System, then, after such Project Debt Instruments have been fully paid, <br />redeemed, or defeased, such that GBRA has no outstanding debt on the initial phase of the Raw <br />Water Delivery System, GBRA shall convey to the City, at no cost to the City, legal title to an <br />undivided interest in the Raw Water Delivery System equal to the City's percentage interest in <br />the total capacity of the Raw Water Delivery System at that time. Such conveyance shall be by <br />written instrument in recordable form. After the transfer of legal title contemplated in this <br />-8-