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and Exhibit C attached hereto. <br />1.06 Utilities <br />A. An Out of City Utility Connection 1 Extension application will not be required for the <br />development of this Property provided that the terms of this Agreement are met. <br />B. The Owner shall be responsible for the payment of all costs associated with the <br />extension and improvements of the infrastructure required to properly serve <br />development of the Property, subject to the terms of the Whisper South Public <br />Improvement District, including Owner's right to receive reimbursement as may be <br />allowed in connection with such district. <br />C. Provisions for providing Water Service to the Property <br />1. Maxwell Special Utility District ("Maxwell SUD") is the water service provider <br />and has the necessary CCN to serve the Property. <br />D. Provisions for providing Wastewater Service to the Property <br />1. The Owner has previously requested to opt into the City's Wastewater CCN, <br />to the extent the Property is not already within such CCN in a written request <br />provided to City of San Marcos. <br />E. Provisions for providing Electric Service to the Property <br />1. The Property is not currently within the City of San Marcos Electric Utility <br />Service Area; however, the San Marcos Electric Utility Roadway Lighting <br />Standards will apply. <br />1.07 Public Facilities Schedule and Financing <br />Public facilities and services will be provided as ordinarily allowed for development <br />subject to the SMDC. The Owner intends to finance such public facilities and <br />services, in whole or in part, pursuant to the Whisper South Public Improvement <br />District. <br />1.08 Annexation <br />Upon approval of this Agreement and subject to the terms and conditions of this <br />Agreement, Owner agrees to full purpose annexation of the Property. Concurrent <br />with annexation of the Property, the Owner shall initiate a request for a zoning <br />change to establish a zoning district(s) that is (are) consistent with the terms and <br />conditions of this Agreement. Owner has previously submitted applications for <br />Annexation and Zoning of the entire 379.84 -acre Property. Approval of ordinances <br />granting annexation and zoning districts consistent with the Agreement as set forth <br />herein are discretionary; provided that however, failure to so annex and zone the <br />Property consistent with this Agreement shall result in a failure to adhere to the terms <br />of annexation agreed to by the parties. The draft ordinance annexing the Property <br />