Capacity and Dedication Clause Samples

Capacity and Dedication. The Town represents that it has access to approximately 2 million GPD treatment capacity at the WWTP and currently uses approximately 1.4 million GPD. Upon (a) DRH’s execution of this Agreement, and (b) approval by NCDEQ, the Town will (a) dedicate the Sewer Capacity sufficient to serve the Project from the WWTP; and (b) reserve the Sewer Capacity for DRH’s use and protect it from competing sources. Subject to the Town’s obligations to reserve the Sewer Capacity for DRH, DRH agrees that the Town may and will allocate sewer and/or sewer capacity to other users.
Capacity and Dedication. The Town represents that it has access to 1.775 million gallons per day (“mgd”) through intergovernmental agreements with the Water Suppliers (the “Water Capacity”). Upon execution of this Agreement, the Town will (a) dedicate the Water Capacity from the Water Suppliers to provide for the Project; and (b) protect the Water Capacity from future competing sources. Subject to the Town’s obligations to reserve the Water Capacity for DRH, DRH agrees that the Town may and will allocate water and/or water capacity to other users.