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� 07/28/2014 ORIGINAL RESOLUTION NO. 15358 A RESOLUTION OF THE CITY OF REDWOOD CITY AUTHORIZING THE BAY AREA WATER SUPPLY AND CONSERVATION AGENCY TO INITIATE, DEFEND AND SETTLE ARBITRATION RELATED TO THE WATER SUPPLY AGREEMENT WITH THE CITY AND COUNTY OF SAN FRANCISCO WHEREAS, in April 2003, the City of Redwood City (City) and other water suppliers in Alameda, San Mateo and Santa Clara counties established the Bay Area Water Supply and Conservation Agency (BAWSCA) as authorized by Water Code Section 81300 et seq. pursuant to State legislation enacted in 2002 (AB 2058); and WHEREAS, the City is represented on the BAWSCA Board of Directors; and WHEREAS, the City Council has previously approved the Water Supply Agreement between the City and County of San Francisco and Wholesale Customers in Alameda County, San Mateo County and Santa Clara County (Agreement); and WHEREAS, the Agreement specifically delegates, pursuant to Section 8.04.A., Wholesale Revenue Requirement review to BAWSCA; and WHEREAS, all questions and disputes related to the Agreement are subject to judicial determination, except for the following matters, specified in Section 8.01.A., which are subject to mandatory, binding arbitration: (1) the determination of the Wholesale Revenue Requirement, (2) San Francisco Public Utilities Commission's (SFPUC's) adherence to accounting practices and conduct of the Compliance Audit, and (3) the SFPUC's classification of new assets for the purposes of determining the Wholesale Revenue Requirement and WHEREAS, the Agreement, pursuant to Section 8.04.C., provides that the Wholesale Customers may, with the consent of BAWSCA, delegate the authority to initiate, defend and settle arbitration of the matters provided for in Section 8.01.A. set forth above; and REV:07-01-14 MLG RESO.#15358 ATTY/RE50.2999/CC RWC-WSA AUTHORITY TO ARBITRATE MUFF#304 ^---, _��