Whereas the Sanitary District levied water system special assessments in 1995 for initial water system construction of $3,637 per property equivalent unit ("PEU") based on the following net costs:

Whereas the Sanitary District has received a report from its engineers (Exhibit A hereto) that $2,560,200 of the cost of the initial water system construction was related to the supply and storage facilities and $1,026,513 was related to transmission facilities and further it has been determined that all properties to be served initially or in the future by the water system will benefit by the installation of the costs associated with storage and supply and by 50% of the cost of the transmission main, resulting in $3,073,500 of the initial water system costs (40% of the total) being assignable to both initially assessed and future users; and

Whereas the owners of certain properties (described in Exhibit B hereto) not included in the 1995 special assessment have entered into development agreements providing for the private installation of water mains, water services and water meters and consenting to pay a special assessment and/or impact fee to defray other water system costs assignable to their properties.

Be it hereby resolved that a special assessment is levied against the properties described in Exhibit B in the amount of 40% of the 1995 special assessment for water system costs assignable to those properties, subject to an increase each January 1 (beginning January 1, 1996) equal to an amount times the prior years special assessment times 5.25%;

Be it further resolved that said special assessments shall be due in full at the time of the application for each individual building connection to the water system.

Adopted this 20 day of September, 1999.

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President

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Secretary