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53. Canyon Regional Water Authority Amendment No.2 to Carrizo-Wilcox Groundwater Feasibility St~ 262006 Interlocal Cooperation Agreement This is Amendment No. 2 to the Carrizo-Wilcox Groundwater Feasibility Study Interlocal Cooperation Agreement (the "Agreement"). RECITALS: 1. The Agreement was originally entered into between Canyon Regional Water Authority, Polonia Water Supply Corporation, Martindale Water Supply Corporation, Crystal Clear Water Supply Corporation, Tecon Water Inc., McMahan Water Supply Corporation, the City of Kyle, Maxwell Water Supply Corporation, County Line Water Supply Corporation, the City of Lockhart, Tri-Community Water Supply Corporation, the City of Buda, the City of San Marcos, and Creedmoor-Maha Water Supply Corporation. 2. The Agreement has as its purpose the conducting of a study of water sources termed the "Carrizo- Wilcox Groundwater Feasibility Study" (the "Study"), to be performed by Lockwood, Andrews & Newnam, Inc. (the "Consultant") on behalf of the parties in a joint effort to facilitate and/or implement the development, acquisition and storage of Non-Edwards groundwater resources in order to reduce the present dependence upon the Edwards Aquifer within the central Texas Region. The Study potentially involves three distinct phases: Phase I - Feasibility, Phase II - Groundwater Acquisition Plan, and Phase III - Plumbing Plan. 3. The Canyon Regional Water Authority ("CRW A"), the City of Kyle (Kyle"), the City of Lockhart ("Lockhart"), and the City of San Marcos ("San Marcos") (collectively, the "Parties"), have pursued the Study further as described in Amendment No. 1 to the Agreement. 4. The Agreement provides, in Section 1.2.C, that the scope of work and cost participation by the Parties in Phase 3 of the Study will be agreed to as an addendum to the Agreement. 5. The Parties wish to authorize the Consultant to perform certain Initial Phase 3 Tasks of the Study, as described in the attached Letter Agreement dated February 27,2006 (the "Initial Phase 3 Tasks"), through approval of this Amendment No.2 as an addendum to the Agreement. AMENDMENT NOW, THEREFORE, in consideration of the mutual promises, obligations, and benefits to be derived by the Parties pursuant to this Amendment, Ten and No/I00th Dollars ($10.00), and other good and valuable consideration, the receipt and sufficiency of which is hereby expressly acknowledged by the Parties, the Canyon Regional Water Authority ("CRW A"), the City of Kyle (Kyle"), the City of Lockhart ("Lockhart"), and the City of San Marcos ("San Marcos") (collectively, the "Parties") agree to amend the Agreement as follows: A. The Parties agree to amend the Agreement by approving, as an addendum to the Agreement, the Consultant's performance of the Initial Phase 3 Tasks, inclusive of the services 1