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1.7 "Distribution Allocation" means that portion of the Distribution Capacity in the <br />Treated Water Transmission Facilities measured in MGD which a Participant is allowed to take in <br />an hourly period. <br />1.8 "Distribution Capacity" means the maximum rate at which the Treated Water <br />Transmission Facilities can deliver. The Distribution Capacity equals 250 MGD, expressed as peak <br />hour transmission rate. <br />1.9 "Distribution Allocation Factor" is the percentage of the Treated Water Transmission <br />Facilities, which a Participant is entitled to taking during an hourly period. <br />1.10 "Fiscal Year" means the Managing Participant's fiscal year, which currently runs from <br />July 1 to June 30. <br />1.11 "Interest Rate" means the 20 City Municipal Bond Index at the beginning of the Fiscal <br />Year. <br />1.12 "Major Replacement" means any single repair or replacement for the Plant requiring <br />the expenditure of $100,000 or more. <br />1.13 "Managing Participant Director" means the Director of Managing Participant's <br />Department of Public Works and Engineering. <br />1.14 "MGD" is an abbreviation for the flow rate of a million gallons of water per day. <br />1.15 "Modification Project Cost" includes: <br />.1 Cost for facilities to increase the reliable capacity of the Plant to 120 MGD, <br />including engineering, testing, construction, construction management, legal, <br />AAEWB 10975.RV I <br />L.D. File No. M99146.01 <br />3 <br />February 9. 2000 <br />