06-A Tenaska III Water Contract Assignment

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COUNTY OF LAMAR ~ ~ ~ KNOW ALL MEN BY THESE PRESENTS: STATE OF TEXAS WATER SERVICE CONTRACT WHEREAS, the City of Paris and Tenaska ill Texas Partners have previously entered into an Agreement dated March 13, 1989 (the Original Water Service Contract) whereby the CITY would sell and supply and the PARTNERSHIP would receive and pay for potable water for use at the PAR lNERSHIP' S co-generation plant (the "Plant") located within the city limits of the City of Paris; and, WHEREAS, the aforesaid Original Water Service Contract, since its original approval, has been amended and extended, the latest such extension dated August 8, 2005; and, WHEREAS, the CITY and the PARTNERSHIP desire to enter into an entirely new Water Service Contract to replace the aforesaid Original Water Service Contract, including the most recent extension thereof, the purpose of said new Water Service Contract to more accurately reflect the needs and demands of PAR lNERSHIP for a supply of water and to implement a revised methodology for assessing rates charged to PARTNERSHIP for receipt of said water; and, WHEREAS, the CITY and the PAR lNERSHIP agree that a new Water Service Contract, as the same is embodied herein is in the best interest of the respective parties. This Agreement, made and entered into this 12th day of December, 2005, and executed in multiple originals, each executed copy constituting an original, by and between the City of Paris, a municipal corporation of Lamar County, Texas, hereinafter referred to as CITY and Tenaska III Texas Partners, a Texas General Partnership, with its principal place of business located at 301 Lake Crook Road, Lamar County, Texas, hereinafter referred to as PARTNERSHIP, WITNESSETH: 1. Service to be furnished 1.1 The CITY agrees to furnish and PARTNERSHIP agrees to purchase and take a supply of water in accordance with the terms and conditions hereof. Said supply of water shall be taken through an existing service by means of a 4-inch ISCO Magnetic Flow Tube, which includes a flow versus time recording device and a pressure versus time recording device connected to the CITY'S 33-inch potable water transmission line approximately 2.2 miles south of CITY'S Water Treatment Plant. Should PARTNERSHIP request that the meter herein described be replaced by a substitute meter, such replacement meter and all costs for the installation of the same shall be borne by PARTNERSHIP. If the meter herein described, or any replacement meter, shall by CITY be deemed to need replacement or repair, then the cost of such shall be borne equally by CITY and PARTNERSHIP. In either case, such meter replacement shall be accomplished without amendment to this Agreement by giving notice of the manufacturer's name, model and meter number of the new Tenaska III Water Service Contract - Page 1 EXHIBIT A