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FIRST AMENDMENT TO INTERLOCAL COOPERATION AGREEMENT <br />BETWEEN THE CITY OF SAN MARCOS AND TEXAS STATE UNIVERSITY <br />CONCERNING EXCHANGE OF RECLAIMED WATER FOR <br />SURFACE WATER RIGHTS <br />This First Amendment to the Interlocal Cooperation Agreement (the "Agreement") is <br />made effective as of , A,, sae',- (the "Effective Date") by and between the <br />CITY OF SAN MARCOS (the "CITY"), 630 East Hopkins Street, San Marcos, Texas 78666 <br />and TEXAS STATE UNIVERSITY ("TEXAS STATE"), 601 University Drive, San Marcos, <br />Texas 78666. The CITY and TEXAS STATE are each referred to hereinafter as a "Party" and <br />collectively as the "Parties." <br />WHEREAS, TEXAS STATE and the CITY, entered into an Interlocal Cooperation <br />Agreement concerning the exchange of Reclaimed Water for Surface Water Rights executed <br />December 2, 2015 and December 3, 2015, (the "Agreement"); and <br />WHEREAS, TEXAS STATE and the CITY desire to amend the Agreement to correct <br />TCEQ permit numbers and the stated acre feet of surface water for withdrawal; <br />NOW, THEREFORE, the Parties agree to be legally bound to this First Amendment to <br />Interlocal Cooperation Agreement as follows: <br />Article II AGREEMENT, Section 1 b. Allocation of Water Rights. This section of <br />the Agreement is revised to correctly reflect the acre feet of water permitted to be <br />withdrawn and TCEQ permits numbers. Section 1 b is deleted in its entirety and replaced <br />with the following: <br />"Concurrent with the start of the CITY's delivery of reclaimed water to TEXAS STATE, <br />TEXAS STATE will forego its rights to withdraw surface water that flows through the <br />San Marcos River and hereby allocates its rights to the CITY to withdraw, 1,117 (One <br />Thousand One Hundred Seventeen) acre feet of water from the San Marcos River under <br />TCEQ permits numbered 3865, Seq #1, Amendment D (513 ac ft, municipal/domestic <br />use); 3865, Seq #2, Amendment D (534 ac ft, industrial use); and 3865, Seq #4, <br />Amendment D (70 ac ft, consumptive use)." <br />2. Article II AGREEMENT, Section 1 f Texas State Credit for Unused Water. This <br />section of the Agreement is revised to correctly reflect the maximum acre feet of surface <br />water rights made available to the CITY. Section 1 f is deleted in its entirety and <br />replaced with the following: <br />"The CITY will provide a credit to TEXAS STATE for amounts of surface water <br />rights made available to the CITY at a minimum of 400 (Four Hundred) acre feet, up to <br />1,117 (One Thousand One Hundred Seventeen) acre feet, annually, which credit will be <br />applied against any charges for CITY water or wastewater utilities of any type provided <br />to TEXAS STATE as explained in this paragraph. The credit will be calculated by: i) <br />multiplying the current reclaimed water rate by the amount of surface water rights used <br />