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i • Revision 12-14-11 3. OPERATION AND MAINTENANCE. Long Lake agrees to continually supply water to and accept sewer flow from the Glendale Cove Service Area so long as systems are maintained and operable to allow such service. Orono agrees to maintain, at its sole cost, that portion of the water/sewer system that is located within the boundaries of City of Orono, Long Lake agrees to maintain, at its sole cost,•that portion of the water/sewer system that is located within the boundaries of the City of Long Lake. 4. USAGE CHARGES. a. Properties with Sewer Only. All existing Category 1 and 2 developed properties in the Glendale Cove Service Area have connected to available municipal water, and all undeveloped Category 1 properties have municipal water available and will be required to connect to municipal water at the time of development. In the event that any Category 3 properties or other properties currently not within but which later become part of the Glendale Cove Service Area connect to municipal sewer but do not connect to municipal water("Sewer Only Properties"),the use of water billing flows for sanitary sewer billing purposes will not be feasible. Also, the use of sanitary sewer flow metering is not practical or feasible based on the limited number of residences which may become Sewer Only Properties. Therefore, for sanitary sewer billing purposes for the Sewer Only Properties, Long Lake will quarterly invoice Orono a standard flat rate sanitary sewer charge based upon the average calendar first quarter municipal water usage for properties in the Glendale Cove Service Area for each property connected to Long Lake's sanitary sewer system. Orono will provide notification to Long Lake with the number of Sewer Only Properties and shall pay the flat rate for each such Sewer Only Property within thirty (30)days of receipt of the invoice. b. Properties with Water and Sewer. For water and sewer billing purposes, Orono will read the water meters for those properties connected to Long Lake's water system in the Glendale Cove Service Area on a quarterly basis and forward the water usage information to Long Lake. Long Lake will quarterly invoice Orono for such usage at the same billing rate for both water and sewer that is charged Long Lake customers. Orono shall pay the invoice within thirty(30) days of receipt of the invoice. 5. LONG LAKE SEWER CONNECTION CHARGES. Long Lake will bill Orono a sanitary sewer connection charge for each property designated as a Category 3 property in Exhibit A that connects to sanitary sewer in the Glendale Cove Service Area. At any time upon request of Long Lake, Orono will provide Long Lake with the total number of properties connected to the sanitary sewer system, and will also notify Long Lake at the time each new connection occurs. The sewer connection charge will be as indicated.in Long Lake's fee schedule for the current year, and shall consist only of a hookup fee. The hookup fee shall be the same rate as that charged to Long Lake residents. Orono shall pay the invoice within thirty(30) days of receipt of the invoice. Long Lake, with assistance from Orono, shall have the right to audit the number of homes within the Glendale Cove Service Area that have sewer connections. The following applies to the properties within each Category: Category 1 Properties: The Long Lake sewer hookup fee for all Category 1 properties was paid to Long Lake at the time those properties were platted (or in the case of 190 North Willow, was paid to Orono at the time of connection, for pass-through to Long Lake) but no sewer tap fee was paid. The Cities agree that no tap fees will be due for Category 1 properties. 2