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89 <br />2021 Amended and Restated WSA 17162043.1 <br />4. Conduct of Wholesale Customer review of SFPUC’s calculation of annual <br />Wholesale Revenue Requirement/Change in Balancing Account described in Section 7.06; <br />5. Approval of an adjustment to Wholesale Revenue Coverage as described <br />in Section 6.06. <br />B. A majority of the Wholesale Customers may, without amending this Agreement, <br />delegate additional administrative functions to BAWSCA. To be effective, such expanded <br />delegation must be evidenced by resolutions adopted by the governing bodies of a majority of <br />the Wholesale Customers. In 2014, all twenty-six Wholesale Customers adopted resolutions <br />delegating authority to BAWSCA to initiate, defend and settle arbitration for the matters that, <br />pursuant to Section 8.01 of this Agreement, are subject to mandatory, binding arbitration. <br />C. Unless otherwise explicitly stated, the administrative authority delegated to <br />BAWSCA may be exercised by the General Manager/CEO of BAWSCA, rather than requiring <br />action by the BAWSCA Board of Directors. In addition, the Wholesale Customers may, with the <br />consent of BAWSCA, delegate to BAWSCA the initiation, defense, and settlement of arbitration <br />proceedings provided for in Section 8.01. <br />8.05. Preservation of Water Rights; Notice of Water Rights Proceedings <br />A. It is the intention of San Francisco to preserve all of its water rights, irrespective <br />of whether the water held under such water rights is allocated under this Agreement. Nothing in <br />this Agreement shall be construed as an abandonment, or evidence of an intent to abandon, <br />any of the water rights that San Francisco presently possesses. <br />B. San Francisco shall use its best efforts to give prompt notice to BAWSCA of any <br />litigation or administrative proceedings to which San Francisco is a party involving water rights <br />to the Regional Water System. The failure of San Francisco to provide notice as required by <br />this section, for whatever reason, shall not give rise to any monetary liability. <br />8.06. SFPUC Rules and Regulations <br />The sale and delivery of all water under this Agreement shall be subject to such of the <br />“Rules and Regulations Governing Water Service to Customers” of the Water Enterprise <br />adopted by the Commission, as those rules and regulations may be amended from time to time, <br />as are (1) applicable to the sale and delivery of water to the Wholesale Customers, (2) <br />reasonable, and (3) not inconsistent with either this Agreement or with an Individual Water