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<br />service units (SU) determined by using the City's wastewater impact fee service unit calculations <br />formula in effect as of September 30, 2002: <br /> <br />Party Reserved Capacity (SU) <br />Bennett 1,100 <br />Blanco 1,080 <br /> <br />It is expressly understood and agreed that the Phase 2 Reserved Capacity is not in addition to the Phase <br />1 Reserved Capacity, but is the same amount of Reserved Capacity, and that the total Reserved Capacity <br />in the Phase 1 and Phase 2 Projects under the terms of this Agreement is 1,100 SUs for Bennett and <br />1,080 SUs for Blanco. The Phase 2 Reserved Capacity for Bennett and Blanco in this table is <br />preliminary in nature. Bennett and Blanco each agree to make any final adjustments to their respective <br />Phase 2 Reserved Capacities by written notice to the Phase 2 Engineer and the other Phase 2 Parties no <br />later than October 10,2003. The Phase 2 Engineer will modify the table and the attached Exhibit C-2 <br />with respect to the cost-sharing percentages of the Parties, and provide a copy of the modified table and <br />Exhibit C-2 to all of the Parties. The Phase 2 Reserved Capacity for Bennett or Blanco will be reduced <br />for each City wastewater impact fee service unit issued by the City to that Party for use of tlle Phase 2 <br />Facilities, and the resulting Phase 2 Reserved Capacity will be deemed the "Adjusted Phase 2 Reserved <br />Capacity" for that Party. The City agrees to honor requests by Bennett or Blanco to connect to the Phase <br />2 Facilities to the extent of the Adjusted Phase 2 Reserve Capacity for the respective Party. In order <br />to protect the right of Bennett and Blanco to its respective Phase 2 Reserved Capacity in the Phase 2 <br />Facilities, the City agrees to verify that sufficient Adjusted Phase 2 Reserve Capacity for the City <br />remains in the Phase 2 Facilities to serve a request to connect to the Phase 2 Facilities by a non-party <br />to this Agreement, or by Bennett or Blanco to the extent the request exceeds the Adjusted Phase 2 <br />Reserved Capacity for the respective Party, before approving the request. To the extent that any such <br />request exceeds the City's Adjusted Phase 2 Reserve Capacity, the City agrees to deny the request. The <br />City may provide alternative means for wastewater service for persons whose wastewater service <br />requests are denied under this paragraph in any manner that does not reduce the amount of the Adjusted <br />Reserve Capacity for either Bennett or Blanco. In the event that either Bennett or Blanco withdraws <br />:fi:om the Phase 2 portion of this agreement under Paragraph 2.6.A or Paragraph 2.8.A, and the City pays <br />-the withdrawing party's share of the Phase 2 Project costs, then the City will be entitled to the <br />withdrawing Party's Phase 2 Reserved Capacity (in addition to that shown for the City in Exhibit C-2), <br />and the references to the City's treatment of Phase 2 Reserved Capacity for Bennett and Blanco in this <br />paragraph will apply only to the Phase 2 Party that did not withdraw from the Phase 2 portion of this <br />Agreement. <br /> <br />2.8. Contingency for Development Approvals - Phase 2 Project. <br />A. The Bennett property and the Blanco Property intended to be served by the Phase 2 Facilities are <br />vacant and undeveloped, and is subject to subdivision platting and, upon aImexation, zoning <br />approvals by the City that will affect the use of the property aIld the need for utility facilities. <br />Bennett and Blanco each agree to fIle all required applications for such approvals, aIld to pursue the <br />approval of the applications with their best efforts. The City agrees to process these applications in <br />accordance with applicable laws and ordinances and to render decisions on the applications in a <br />timely manner. In the event that a platting or zoning approval requested by Belmett or Blanco is <br />finally denied or not approved by the City prior to completion ofthe Phase 2 Project, that Phase 2 <br />Party may exercise one of the following options: <br /> <br />10 <br />