Plaintiff’s Responsibilities. 8.2.1 Plaintiffs will be responsible for the planning, development, design, permitting, construction, installation, operation and maintenance of the Project, Q2 Treatment System, and Replacement ▇▇▇▇▇ & Associated Pipelines and Distribution Pipelines consistent with generally accepted industry standards and practices, and subject to review of Project Capital Costs and Project O&M Costs as provided in Articles 4 and 5 of this Agreement, review of Q2 Treatment System as provided in Article 4 of this Agreement, and review of Replacement ▇▇▇▇▇ & Associated Pipelines and Distribution Pipelines as provided in Article 4 of this Agreement, and resolution of disputed items or costs as provided in Articles 6 and 7 of this Agreement. 8.2.2 ▇▇▇▇▇▇▇▇▇ and AISLIC have previously approved of U.S. Filter as the initial Resin Service Contract Vendor for the Project, and the Q2 Treatment System which has already commenced operations. ▇▇▇▇▇▇▇▇▇ and AISLIC shall participate with Plaintiffs in the negotiation of the initial Resin Service Contract with U.S. Filter for the Project, and shall be participants in Plaintiffs’ negotiation of any renewal or substitute Resin Service Contract(s) for the Project prior to payment of the Lump Sum. Prior to an arbitration determination of the Lump Sum, all Plaintiff/▇▇▇▇▇▇▇▇▇/AISLIC negotiations on Resin Service Contract(s) will include consideration and negotiation of insurance that the Vendor is able to obtain for Plaintiffs and Defendants and obtaining Vendor Labor in connection with operations, monitoring, sampling and maintenance of the Project, and comparison with alternative options of Plaintiffs’ costs for substantially same Labor and insurance, liability exposure considerations, and all associated costs. The Parties agree that Plaintiffs will have the option of performing all or certain of the operations, monitoring, sampling and maintenance of the Project and to secure their own insurance policies in accordance with Article 11 “Project Insurance”, provided, however, that Defendants’ Project O&M payment obligations for such labor and insurance costs will be limited to the cost of reasonably comparable, efficient and effective alternatives available by means of a bid for a resin service contract selected through a competitive bidding process in accordance with CLWA bid procedures and applicable law. 8.2.3 The Project shall be designed, constructed and installed in accordance with Exhibit F (subject to Project Modification pursuant to Article 9 of this Agreement) and all applicable state, federal and local government laws, regulations, ordinances and other applicable legal requirements.
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Sources: Litigation Settlement Agreement, Litigation Settlement Agreement