The Allocation Sample Clauses

The Allocation. So long as ASLD is not in default hereunder (and upon satisfaction of the conditions precedent in Section 2 herein), the Town hereby allocates to ASLD up to 2,000 acre-feet per year of Town Water for use solely on Area Trust Land (“Allocation”). This Allocation is subject to the following: A. The Allocation is subject to reduction (i) in accordance with the provisions in Section 4 herein; and (ii) in an equivalent percentage to any percentage reduction in Town Water (available or deliverable) due to any legislation, change-of- law/rule/regulation, un-appealable court or administrative judgment, binding settlement or for any reason outside the control of the Town; provided, however, that the Town commits in good faith to use its best efforts to defend and protect its rights to the Town Water and to preserve the full Allocation from any reduction. B. The Allocation does not include any portion of the PAD Water Interests. C. The Allocation does not include any right to effluent, if any, produced by use of the Allocation on Area Trust Land. The Town shall hold all right and interest in any such effluent (including any long-term storage credits, groundwater or other rights associated with the direct use or recharge and recovery of such effluent). D. The Allocation is neither real or personal property, nor is it a service but rather a sole and exclusive contractual right to assert the availability of 2,000 acre-feet per year of Town Water to support one or more applications to (i) ADWR for approval of a CAWS, or (ii) the Town for approval of an alternative use. Without limiting the generality of the foregoing, the Allocation does not entitle ASLD to the transfer or physical delivery of any water. Rather, the Parties expressly acknowledge that (i) the physical delivery of any Town Water must be effectuated through a separate application process by the end user to the Town’s utility department; and (ii) any water delivered by the Town may either be treated effluent (i.e., for certain types of alternative uses such as golf courses or ponds, etc.) or groundwater, as determined by the Town.

The Allocation