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SECTION 2. AGREEMENT <br />NOW THEREFORE, in consideration of the above recitals and the covenants and <br />permits hereinafter set forth, the parties agree as follows: <br />1. General: <br />1.1 GRE agrees to comply in all material respects with all valid and enacted laws, <br />statutes, regulations and ordinances applicable to the discharge of Wastewater to <br />the WWTP. <br />1.2 .The conditions of this Permit supersede any other arrangements or requirements <br />by City pertaining to discharges from GRE to the WWTP. GRE must also <br />comply with any terms and requirements of the City's Municipal Code in relation <br />to sanitary sewer that are not modified by this Permit. <br />1.3 The terms and conditions of this Permit may be modified by City during the term <br />of the Permit if deemed necessary by City to protect the ability of the WWTP to <br />function and to meet the terms of its State permits. City shall notify GRE of any <br />such modification to this Permit at least sixty (60) days prior to the effective date <br />of the modification. <br />2. Term of the Permit. <br />The term of this Permit shall commence on the date of execution by both parties, which shall be <br />the Effective Date. The Permit shall remain in effect for a term of one year. The Permit shall <br />automatically renew annually unless written notification of termination is given by either party <br />as provided herein. The Permit may be terminated during the term as provided in Section 6.4 <br />hereof, or by mutual written agreement of both parties. All automatic renewals shall be on the <br />same terms and conditions. <br />3. Payments. <br />3.1 GRE agrees to pay charges for treatment of Wastewater as follows: <br />3.1.1 GRE shall pay one Sewer Availability Charge (SAC) charge prior to <br />connection to the WWTP. The SAC charge shall be $3,885. <br />3.1.2 Monthly charges for Wastewater treatment service shall be based on <br />volume. <br />3.1.3 Volume Charge: Charges for Wastewater flow volumes per month shall <br />be the monthly total measured volume discharged in 1,000 gallon units <br />times $25.00 per 1000 gallons. <br />3.1.4 Penalties: The City shall reserve the right to charge a penalty for <br />exceeding any of the Flow or Discharge Parameters set forth in Sections 4 <br />and 5 of this Permit. The rate for exceeding specific limits will be as <br />2 <br />