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2016 FIRST AMENDMENT TO INTERLOCAL AGREEMENT SEWER EXTENSION FIRST AMENDMENT TO INTERLOCAL AGREEMENT SEWER MAIN EXTENSION TO SUGARBEET ROW This First Amendment to Interlocal Agreement(Agreement)related to sewer main extension to Sugarbeet Row is entered into this´┐Żl'day of September, 2016, and is between Jefferson County Montana (Jefferson County), and the Town of Whitehall,Montana(Whitehall and collectively with the Town,the Parties). RECITALS: A. On January 29,2015, Jefferson County and Whitehall entered into an Interlocal Agreement Regarding Sewer Extension to Sugarbeet Row, dated as of January 29, 2015 (Original Agreement); B. The Parties seek to amend the Original Agreement in accordance with section 9 of the Original Agreement,which requires a properly noticed public hearing identifying the proposed amendment to be undertaken by Jefferson County and Whitehall and approval of the amendment by the Commissioners of Jefferson County and the Council Members of Whitehall; and, C. Terms used with an initial capital letter in the Original Agreement but not defined in this Agreement shall have the meaning(s) provided in the Original Agreement. In order for the Project to be constructed, the Parties enter into this Agreement and agree as follows: 1. Ownership. Jefferson County will own the Project and Whitehall has no obligation to accept the conveyance of, or ownership of the Project. Section 9 of the Original Agreement is therefore amended and all references to Whitehall accepting the conveyance of,and being the owner of the Project, are hereby null and void. 2. Maintenance and Operation. The Parties agree Jefferson County will own, operate, and maintain the Project,and Whitehall will treat the sewage originating from Sugarbeet Row. The Parties agree the maintenance assessment for the first assessment year will be$539.68 per year per user for operation and maintenance of the Project and for the treatment of sewage. $400.08 of the assessment shall be payable to Whitehall for treating the sewage from Sugarbeet Row. The remainder($139.60)shall be retained by Jefferson County for maintaining the Project and administering the Maintenance District. Jefferson County will ensure payment for the treatment of sewage is made to the Town in the amount of$33.34 per month,per active user, commencing 45 days after the sewer extension to Sugarbeet Row is completed and sewage and effluent is turned into the system for treatment by the Town. Provided however, in no event will Jefferson County ensure payment past November 2017. Thereafter, it is expected the first payment of assessments for the users will be on the first half property tax payment due on November 30, 2017. Payment from Jefferson County to Whitehall will be in accordance with Section 8, Maintenance Assessment, of the Original Agreement. Pursuant to Section 9 of the Original Agreement, the Original Agreement is amended and supplemented by this paragraph (2. Maintenance and Operation). 3. Easement. The Parties acknowledge a portion of the sewer extension infrastructure will be routed through real property owned by the Town. To accommodate placement of the sewer extension infrastructure, the Town agrees to grant to Jefferson County a perpetual easement for the construction,placement, and maintenance of the sewer extension infrastructure. The easement shall consist of a 50 foot temporary construction easement, a permanent 20 foot sewer line and maintenance easement, and an easement to connect the Sugarbeet Row sewer main extension to the Town sewage treatment system. Granting of the easement shall be by separate recorded instrument executed by the Town in favor of Jefferson County. Pursuant to Section 9 of the Original Agreement, the Original Agreement is amended and supplemented by this paragraph(2. Maintenance and Operation). 3. Sugarbeet Row RSID. The Parties agree this Agreement shall not affect the creation of Sugarbeet Row RSID,and it is acknowledged the assessment amounts and benefits conferred on the lots,parcels, or tracts in the Sugarbeet Row RSID are not affected by this Agreement. 4. Effects of this Agreement. Except as provided in this Agreement, all provisions of the Original Agreement are not altered by this Agreement. This Agreement shall be effective as of the date of its execution and the Original Agreement as amended hereby continues in full force and effect. 5. Public Hearing. This Agreement is entered into following the public hearings described in Section 9 of the Original Agreement and was approved by a majority of the Jefferson County Commission and of the Whitehall Town Council. 6. Counterparts. This Agreement may be executed in counterparts, all of which,when taken together,will constitute the same agreement. Dated this I day of September, 2016. Jefferson County,Montana Bob Mullen, Chair Jefferson County Commission First Amendment to Interlocal Agreement -Page 7 Attest: Bonnie Ramey Jefferson County Clerk and Reco Town of Whitehall Dale Dav' Mayor own of Whitehall Montana A test: Summer Fellows,Town Clerk First Amendment to Interlocal Agreement-Page 3