EXHIBIT 3-A

Draft

RESOLUTION NO. 2012-XX – ALTERNATIVE A

A Resolution of the Board of Directors

of the Monterey Peninsula Water Management District

Directing Collection and Remittance

Of the Annual Water Use Fee To Fund Water Supply

Services, Facilities, and Activities That Benefit The

Calfornia-American Water Distribution System

in Accord with District Ordinance No. 152

FINDINGS

1. On June 12, 2012, the MPWMD Board approved the District’s 2012-13 budget and set the aggregate amount to be raised by annual water use fees for properties connected to the California-American Water Distribution System at $3,700,000. Ordinance No. 152 was approved at second reading on June 12, 2012 and a Notice of Exemption to the California Environmental Quality Act was subsequently filed with the Monterey County Clerk. The MPWMD annual water user fee authorized by Ordinance No. 152 takes effect on July 1, 2012.

2. Ordinance No. 152 authorized this resolution to implement the method used to collect the annual water use fee from affected properties.

3. The annual fee is due and payable July 1 of each year. By this resolution, the District exercises its election to authorize fee payment in installments during the fiscal year, provided full payment is tendered prior to the end of that fiscal year.

4. The Findings stated in Ordinance No. 152 are incorporated here as if set forth in full, and form the basis for this resolutions.

5. The annual water use fee needed to fund District activities for water supply facilities and other related water supply expenditures pursuant to Ordinance No. 152 is $3,700,000

6. Levy and collection of the annual water use fee enabled by Ordinance No. 152 is required for sufficient funds to meet the purposes of that ordinance pay for water supply facilities and other related water supply expenditures.

NOW, THEREFORE, BE IT RESOLVED AND ORDERED by the Monterey Peninsula Water Management District Board of Directors:

Section One. The Findings set forth above are incorporated into this Resolution as if set forth in full.

Section Two. The General Manager, through his or her own staff or via a third party, shall directly collect and remit the annual water use fee required by Ordinance No. 152 during

the fiscal year.

Section Three. A. The General Manager, or his or her agent, shall bill the annual water use fee in two or more (but no greater than six) equal installments to the persons and/or properties required to pay by Ordinance No. 152. Payment in full shall be required during that fiscal year.

B. If the bill is not paid in full on or before it is due, that payment shall be delinquent and the property shall be subject to default. In such case the General Manager may (a) discontinue any or all District services or facilities for which the bill is rendered; (b) impose a basic penalty of 10 percent for each delinquent payment; (c) impose a penalty of one-half of 1 percent per month for nonpayment of the charges and the basic penalty; and (d) collect the delinquent charge and penalties as a lien upon the real property and collectible at the same time and in the same manner as taxes and assessments are so collected upon such real property in accord with District law. Remedies for collection and enforcement are cumulative, and may be pursued alternatively or consecutively by the General Manager.

Section Four. The General Manager is directed and authorized to execute all documents and to perform all necessary acts to implement the effect of this Resolution.

Section Five. This Resolution shall take immediate effect.

Section Six. If any subdivision, paragraph, sentence, clause or phrase of this Resolution is, for any reason, held to be invalid or unenforceable by a court of competent jurisdiction, such invalidity shall not affect the validity or enforcement of the remaining portions of this Resolution. It is the District’s express intent that each remaining portion would have been adopted irrespective of the fact that one or more subdivisions, paragraphs, sentences, clauses, or phrases be declared invalid or unenforceable.

On a motion by Director ________________ and second by Director __________________ the foregoing resolution is duly adopted this 12^th day of June 2012 by the following votes.

Ayes:

Nays:

Absent:

I, David J. Stoldt, Secretary to the Board of Directors of the Monterey Peninsula Water Management District, hereby certify that the foregoing is a resolution duly adopted on the 12^th day of June 2012.

Witness my hand and seal of the Board of Directors this ___day of June 2012.

___________________________________

David J. Stoldt, Secretary to the Board

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