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SUPPAGR.DOC 900101 Audit No. 154641 Form Approved, A VP-Law Folder No. 1363-66 SUPPLEMENTAL AGREEMENT TIllS SUPPLEMENTAL AGREEMENT is made as of the 22nd day of December , 199L by and between UNION PACIFIC RAll..ROAD COMPANY, a Delaware corporation, (hereinafter the Licensor) and CITY OF SAN MARCOS, a municipal corporation with a mailing address at 630 E. Hopkins Street, San Marcos, Texas 78666 (hereinafter the Licensee). RECITALS: By instrument dated January 29, 1991, the parties hereto or their predecessors in interest (if any), entered into an agreement (herein the "Basic Agreement") identified as Audit No. 154641, covering a water pipeline crossing located at or near San Marcos, Texas. The parties now desire to modify the Basic Agreement by changing the pipe size to 20" and substituting a new Exhibit A.. AGREEMENT: NOW, THEREFORE, IT IS AGREED by and between the parties hereto as follows: SECTION 1 .. SUBSTITUTION OF PRINT The print dated November 13,1998, attached hereto as Exhibit A-I, shall be and hereby is substituted for the print dated August 6, 1990 attached to the Pipeline Crossing Agreement, and from and after the effective date herein whenever the term Pipeline is used in the Basic Agreement, or any amendment or supplement thereto (if any), such reference shall be deemed to refer to the Pipeline as shown on Exhibit A-I, hereto attached. SECTION2-AMENDMENTOFARTICLE 2 OFBAmCAGREEMENT Effective as of 1- / ~ ~c¡ r , Article 2 of the Basic Agreement shall be, and hereby is amended to read as follows: ...."and operate a 20" potable water pipeline crossing" SECTION 3 - ADMINISTRATIVE HANDLING CHARGE Upon execution and delivery of this Supplemental Agreement, the Licensee shall pay to the Licensor an administrative handling charge of FIVE HUNDRED DOLLARS ($500.00). 136366.sup Articles of Agreement November 16, 1998 Page 1 of2