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1.14  “SGMA”  refers  to  the  Sustainable  Groundwater  Management  Act  as  defined  in  the
              Recitals.

                     1.15  “State” means the State of California.

                     1.16  “Supermajority Vote” means five (5) affirmative votes.

                                                        ARTICLE 2.
                                            CREATION OF THE AUTHORITY
                     2.1    Creation  of  Authority.  There  is  hereby  created  pursuant  to  the  Act  a  joint  powers
              authority, which shall be a public entity separate from the Members to this Agreement.  This Agreement
              terminates the MOU and the joint powers authority hereby assumes the role of the SCV-GSA and shall
              be known as the SCV-GSA. Within ten (10) days after the Effective Date of this Agreement, the SCV-
              GSA  shall  cause  a  statement  of  the  information  concerning  the  SCV-GSA,  required  by  Government
              Code section 53051, to be filed with the office of the California Secretary of State and with the County
              Clerk for the County of Los Angeles, setting forth the facts required to be stated pursuant to Government
              Code section 53051(a).  Within thirty (30) days after the Effective Date of this Agreement and after any
              amendment, the SCV-GSA shall cause a notice of this Agreement or amendment to be prepared and
              filed  with  the  office  of  the  California  Secretary  of  State  containing  the  information  required  by
              Government Code section 6503.5. Within thirty (30) days after the Effective Date, the SCV-GSA shall
              send a copy of this Agreement to DWR.

                     2.2    Purpose of the Joint Powers Authority. Each Member to this Agreement has in common
              the power to study, plan, develop, finance, acquire, construct, maintain, repair, manage, operate, control,
              and  govern  water  supply  projects  and  exercise  groundwater  management  authority  within  the  Basin
              either  alone  or  in  cooperation  with  other  public  or  private  non-member  entities,  and  each  is  a  local
              agency eligible to serve as the GSA, either alone or jointly through a joint powers agreement as provided
              for  by  SGMA.  This  Agreement  is  being  entered  into  in  order  to  jointly  exercise  some  or  all  of  the
              foregoing common powers, as appropriate, and for the exercise of such additional powers as may be
              authorized by law in the manner herein set forth, in order to effectuate the purposes of this Agreement.
              The purpose of the SCV-GSA is to serve as the GSA for the Basin and to develop, adopt, and implement
              the GSP for the Basin pursuant to SGMA and other applicable provisions of law.


                                                        ARTICLE 3.
                                                           TERM

                     This Agreement shall become effective upon its execution by each of the Members and shall
              remain in effect until terminated pursuant to the provisions of Article 16 (Withdrawal of Members) of
              this Agreement.

                                                        ARTICLE 4.
                                                         POWERS

                     The SCV-GSA shall possess the power in its own name to exercise any and all common powers
              of its Members reasonably related to the purposes of the SCV-GSA, including but not limited to the
              following powers, together with such other powers as are expressly set forth in SGMA and as it may be
              amended in the future. For purposes of Government Code section 6509, the powers of the SCV-GSA


              55396.00001\31178779. 1                     6



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