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16 <br />EBDA/LAVWMA Master Agreement July 1, 2021 <br />case-by-case basis subject to a separate agreement between the Parties. LAVWMA’s share of the <br />costs are identified in Exhibit B. <br />6.2 Capital Project Costs. LAVWMA is responsible for its share of costs for any capital <br />project that is intended to replace or repair any EBDA facility, except those costs specifically <br />associated with UEPS, HEPS and their associated force main sections, as well as facilities owned <br />by the City of San Leandro. Projects covered by this section do not include those projects covered <br />under Section 6.1. Costs attributable to LAVWMA are exclusive of funds received from insurance <br />or state or federal relief. LAVWMA’s cost sharing allocation is identified in Exhibit B. <br />6.3 Capital Buy-in. LAVWMA previously paid to EBDA: (a) the sum of approximately <br />six million dollars ($6,000,000) under the Prior Agreements, which included 10.43% of the actual <br />construction costs of the EBDA pipelines and dechlorination station north of OLEPS, 10.43% of <br />replacement costs, as well as indirect costs and industrial recovery cost, and (b) the sum of ten <br />million dollars ($10,000,000) under the Master Agreement, which was paid in full as of August <br />11, 2018, to “buy-in” to the EBDA System. These capital buy-in charges represented a fair and <br />equitable share of project development and capital costs to expand the EBDA System to <br />accommodate LAVWMA’s flow for the life of the EBDA System. LAVWMA shall have no <br />additional buy-in obligations attributable to LAVWMA’s use of and capacity rights in the EBDA <br />System. <br />7. Mutual Indemnification <br />Each Party shall operate and maintain its systems so as not to damage the other Party’s <br />system. Each Party shall hold the other free and harmless from all liability or damages incurred <br />by the other as a direct and proximate result of any failure by such Party to properly operate and <br />maintain its system. <br />DocuSign Envelope ID: 2015A7A9-8BAE-4CD6-9738-D2CFBB077285