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5.4.1.1 No Financial Obligation SAC Credit is an MCES measurement of sewer capacity(in SAC units)that has been or is permanently freed up within the jurisdiction of a Community, on which MCES will forego future SAC.This does not constitute a financial obligation on the part of MCES. Communities may not barter, sell or otherwise treat SAC Credits as a commodity,except as described in these procedures. MCES will not honor any agreements between Communities and third parties that purport to barter, sell or otherwise treat SAC Credits as a commodity, except as described in these procedures. 5.4.1.2 Sale of Credits Prohibited Communities may not sell SAC Credits, and SAC Credits may not be exchanged in any manner unless part of an approved SAC Credit Transfer,as described in Section 5.7. 5.4.1.3 Credits and Assigned SAC Baseline are for Informational Purposes Credits and Assigned SAC Baselines are for the information of MCES and the Community only and imply no benefit of any type whatsoever for particular property owners or any other third parties. 5.4.2 Use of Credits 5.4.2.1 Generation of Credits Net Credits will be generated for Communities where the Credits are not needed on the Site for a New Use and the SAC was actually paid. In addition,Credit may also be assigned for a New Use on a Site up to the demand of the New Use on that Site if and when records are provided for a Site which indicates either: a)a Grandparent Demand that has been in existence when SAC started(1973, with evidence from 198-1978)which has not been subsequently reduced, or b)a Long Continuous Demand from the Site for 10 or more years prior to the current Determination and within 0-3 years of the current Determination and permit issuance. The greater of SAC paid or either type of Non- Conforming Demand is the max Credit available on the Site. Only paid SAC may generate Net Credits and be used Community-Wide. If SAC Credits from a Site were previously used off-Site by a Community those Credits are no longer available to offset the current or future SAC. 5.4.2.2 Existing Community-Wide Credits All Community-Wide Credits that were generated prior to January 1,2010,will remain available, until depleted,to the Community to offset other SAC at other Sites within the Community.No SAC may be paid to MCES if there are existing Community-Wide Credits that must first be used(i.e. such Credits are required to be used by the Community at the next charge(s)of SAC.) 5.4.2.3 Existing Site-Specific Credits Any Site-Specific Credits on MCES books that were generated prior to January 1,2010,will be honored for use on the specific Site where they were generated.Demolitions reported are not considered Site-Specific Credits, only a potential for Credit. If Site-Specific Credits exist,they must be used to offset SAC payment due to MCES for a New Use on the Site. 5.4.3 Phased Developments The potential SAC Credits for approved Phased Developments will be available for the full term of an approved MCES Credit Determination and Phased Development Plan(with the MCES Phased Development-A form). When the Phased Development term is completed,any Credits that have not been used that originated from SAC actually paid to MCES may be taken Community-Wide or left Site-Specific(on the actual site,not anywhere within the area). Those Credits that came from Non- Page 131