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5.A. - Page 15 of 29 <br />1. Purpose. The purpose of this MOU is to establish the terms and conditions for the <br />sharing of costs and responsibilities among the Parties for the construction, operation and maintenance <br />of the Project, which entails completing Project design; securing all permits not secured under the Design <br />MOU; and securing and assigning all necessary property rights; completing construction; and, for five <br />(5) years following completion of construction, conducting operations and maintenance of the new <br />Project facilities ("Operation and Maintenance Activities"), and monitoring, implementing, and <br />reporting on mitigation actions required by environmental regulatory permits ("Mitigation Activities"), <br />as described in Exhibit "A" attached to this MOU and incorporated by this reference ("Scope of Work"). <br />2. Term of MOU and Withdrawal by a Party. <br />A. Term. This MOU is effective upon the day and date last signed and executed <br />by the duly -authorized representative of each Party ("Effective Date") and shall remain in full force and <br />effect until five (5) years after construction of the Project is completed and accepted ("Term"). <br />B. Withdrawal by Party. Any Party may withdraw from this MOU, with or <br />without cause, at any time during the Term upon 90 days written notice to all other Parties ("Notice of <br />Withdrawal"), and such withdrawal shall take effect 90 days after the date of the Notice of Withdrawal <br />("Effective Date of Withdrawal"). A withdrawing Party will be responsible for its entire percentage <br />share of all Project expenses through completion of the Project construction,l�us its entire share of the <br />cost of Operation and Maintenance Activities and Mitigation Activities for the 5 -year period following <br />completion of the Project construction, as provided in Paragraphs 4 (Responsibilities of the Parties) and <br />5 (Project Costs and Payment Calculations) below; provided, however, that if bids for construction of <br />the Project are higher than estimated, the Parties shall meet and confer to determine how and whether to <br />proceed with the Project. Under this scenario, if any Party withdraws due to the increase in Project costs <br />that would also impact its financial contribution, the Party may withdraw without being responsible for <br />any further payment beyond what has already been incurred before the Effective Date of Withdrawal. <br />As the District is the awarding body for the Project, the District may not withdraw from the MOU before <br />completion and acceptance of construction of the Project, once awarded. <br />C. Survival. Any Party that withdraws from this MOU shall remain subject to the <br />provisions of this Paragraph 2 and Paragraph 8.A. (Indemnification) with respect to any event or <br />occurrence taking place before the Effective Date of Withdrawal. <br />3. Authorizations. The Chief Executive Officer of the District, City Managers of the <br />City of Redwood City, City of Menlo Park, and the Town of Atherton, and County Manager of the <br />County of San Mateo, or their respective designees, are authorized to extend the Term, modify due dates, <br />resolve conflicts, or otherwise grant approvals on behalf of their respective agencies, provided such <br />approvals are not vested in the authority of the agency's governing board, and provided that any approval <br />requiring payment of funds in excess of appropriated funds shall require governing board approval of <br />the appropriations of such additional funds. All such requests and approvals shall be in writing. <br />4. Responsibilities of the Parties. <br />A. District As Lead Agency. The District will serve as the Lead Agency under <br />CEQA for the purpose of environmental permitting compliance and, unless otherwise agreed by the <br />Parties, will be the contracting agency for all consultants and contractors ("Vendors") to be retained to <br />perform work on the Project as set forth in the Scope of Work. The District will also manage on behalf <br />of the Parties the day-to-day work associated with planning, permitting, design, construction, and <br />mitigation of the Project and communication with the Vendors. All costs associated with District's <br />18 <br />ATTY/AGR.2020.270/FSLRRD, Atherton, Menlo Park and County (MEMORANDUM OF UNDERSTANDING) (Page 2 of 15) <br />