MEMORANDUM OF UNDERSTANDING WESTERN LEHIGH SEWER PARTNERSHIP SEWER CAPACITY ASSURANCE AND IffiHABILITATIONPROGRAMINVESTIGATION AND EVALUATION PHASE

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MEMORANDUM OF UNDERSTANDING WESTERN LEHIGH SEWER PARTNERSHIP SEWER CAPACITY ASSURANCE AND IffiHABILITATIONPROGRAMINVESTIGATION AND EVALUATION PHASE THIS MEMORANDUM OF UNDERSTANDING ("MOU") is made this -----, 2010, by and among '.the following municipal parties (hereinafter of collectively referred to as the "Western Lehigh Sewer Partnership.orPartners.orWl.Sl'"): 1. LEHIGH COUNTYAu1:HORITY. 2. (LCA) UPPER MILFORD TOWNSHIP 3. WEISENBERG TOWNSHIP 4. LOWER MACUNGIE TOWNSHIP.. 5. UPPER MACUNGIE TOWNSHIP 6. UPPER MACUNGIE TOWNSHIP AUTHORITY 7, LOWHILL TOWNSHIP 8. BOROUGH OF ALBURTIS 9. BOROUGHOFALBURTISSEWERAUTHORITY 10. BOROUGH OF MACUNGIE. The background of this.memorandum of Understanding is as.follows: 1. The Partners have previously entered.into various agreements, including, without limitation, the. January 22, 197() Agreement and the Wastewater.Treatment.Capacity Agreement. (Post..1985 Allocation) establishing detailsof-the.western (all jointly Allocation referred to as. the'.'wliagreements") Lehigh Interceptor System and theconditions.under which wastewater will be conveyed to the City of Allentown (City) Kline's Island TreatmentPlant. 2. The Partners desire to continue to have their wastewater conveyed to the Kline's Island Treatment Plant by the Western Lehigh Interceptor System, owned and operated by LCA. 3. Peak flow issues in the Western Lehigh Interceptor System Service Area, which includes the LCA sewer conveyance systems and thecollectionssystems Milford Township,Weisenberg Township,Lowhill Township, Lower Macungie Township, Upper Macungie Township, Borough of Alburtis, and Borough of Macungie) have caused C:\Documents And Settings\Mandes]I\LocaISettings\Temporarylnternet (7).Docx connected to it (namely, Upper. Ftles'(Content.Outlookv V3Fl1CAW\MOlJ-IE Phase Final Page 1.

\ the Pennsylvania Department of Environmental Protection (PADEP) to begin reviewing sewer system extensions in each of these communities. Pursuant to communications with. PADEP and in accordance with Chapter 94 of the Pennsylvania Code requirements, LCA and the above municipalities prepare and implement and, where applicable, their wastewater authorities, have elected to a corrective action plan to collectively address the problems within each of these sanitary sewer systems. 4. LCA owns and operates certain collection systems in Weisenberg Township and Upper Milford Township and will be responsible for all work in these Townships related to the investigation of possible sources of inflow and infiltration and flow impediments using the Sewer Capacity Assurance and Rehabilitation Program ("SCARP") Program Approach Outline; therefore, LCA shall sign this Memorandum of Understanding in regard to those two townships. 5. The Partners have formed the WLSP as an extension of the relationship established between LeA and the municipal parties in the various WLI Agreements to jointly investigate and develop an appropriate corrective action plan. 6. Since initial formation of the WLSP, the United States Environmental Protection Agency ("USEPA") issued its Compliance Order CWA-03-2009-0313DN, the "Compliance Order" to all municipal dischargers to the City's Kline's Island Treatment Plant. 7. A plan, called the Sewer Capacity Assurance and Rehabilitation Program (SCARP), addressing both PADEP and USEP A concerns and other related long-term wastewater needs for the WLSP Partners. (Partners), has been jointly prepared. 8. The Partners have adopted the SCARP Program Approach Outline as part of the their respective Act 537 Plans as their governing plan with the following program objectives: a. Controlling infiltration flows to help keep baseline flows below a yet to be defined rate that avoids, delays, or limits having infiltration trigger expensive treatment expansions/upgrades; b. Supporting the City's efforts to reduce peak flows at the Kline's Island Treatment Plant to eliminate bypasses; c. Controlling peak flows below a yet-to-be defined rate such that expensive treatment expansions/upgrades are avoided, delayed or limited; C:\Documents And Settings\Mandes_Pl\Local Settings\ Temporary Internet Files\Content.Outiook\ V3FIICAW\MOU-IE Phase Final (7).Docx Page 2

d. Supporting the City's efforts to prevent Sanitary Sewer Overflows ("SSOs") in interceptors between the Park Pump Station ("PPS") and the Kline's Island Treatment Plant; e. Minimizing SSOs in Western Lehigh Interceptor.("WLI") and Little Lehigh Interceptors ("LLI"); f. MinimizingSSOs in individual collection systems; and g. Providing aging collection systems with consistent and effective asset management practices that provide long. term sustainability. 9. The SCARP Program Approach Outline defines a formal methodology for planning, evaluating, prioritizing;. and conducting sewer rehabilitation., conveyance expansion, and/or storage construction in a coordinated and consistent manner. 10, The SCARP establishes thattheev~luation of alternatives begins with investigations conducted in a comprehensive and un.ifiedmanner. 11. The Partners recognize that restorationorconveyancecapacitythrougha combination of infiltration and inflow removal, storage, and conveyance capacity enhancements is necessary to help.protect.the..environment,. address..padep and. USEPA.concerns, and foster economic growth and development for western Lehigh County, and that these efforts. must be based on a common understanding <and appreciation of the nature, extent, and sources of inflow and infiltration and flow impediments. 12.The purpose of this MOU is to establish an agreement amongallofthe Partners to jointly investigate possible sources of inflow and infiltration and flow impediments using the SCARP Program Approach Outline. 13.ThisMOUprovides for coordination and cooperation between the Partners during investigative and evaluation activities... A second memorandum of understanding will be negotiated, if appropriate, for the design and implementation phasesofthe SCARP. NOW THEREFORE, the Partners hereto agreeas follows: C:\Documents And Setting~\Mandes_PI\LocaISettiIlgs\'femporary Internet Files\Content.Outlook\V3FlICAW\MOU-IE (7).Docl'. Phase Final Page 3

ARTICLE 1 The Partners agree that: 1. The SCARP will be the mechanism by which the Partners achieve mutually agreed upon objectives and meet regulatory requirements in a timely, fiscally responsible, and cost effective manner. 2. The Partners will jointly develop and approve a Program Management Plan for the Investigation and Evaluation Phase (PMP-I&E) that identifies resources contributed and required by each of the Partners for all work performed through the completion of development of the Capital Improvement Planes) and Long-term Asset Management Planes). 3. Each of the Partners will support investigation of sources of inflow and infiltration as per the PMP-I&E. Investigations will be conducted in accordance with the procedures, techniques, methodologies, data capture and management tools, analysis methods, and quality assurance/quality control steps developed by LCA and approved by all of the Partners, with LCA approving in regard to the Upper Milford and. Weisenberg Township collection systems. 4. All of the Partners will support the development and evaluation of storage, source removal, rehabilitation, and conveyance altematives to meet the SCARP objectives as per the PMP- I&E. 5. The WLI agreements currently in effect or as amended in the future will continue to be the basis for setting conditions for conveyance and treatment of wastewater and allocation of wastewater capacities. ARTICLE 2 The Partners agree that: 1. Each of the Partners will perform inflow and infiltration investigation activities within their respective sewer systems as outlined in the PMP-I&E, with LCA doing so in regard to the Upper Milford and Weisenberg Township collection systems. 2. The Partners will communicate any issues or obstacles preventing investigation activities, as outlined by the PMP-I&E, to LCA. C:\Documents And Settings\Mandes_PI\Local Settings\ Temporary Internet Files'(Content.Outlookv V3FlICAW\MOU-IE Phase Final (7).Docx. Page 4

ARTICLE 3 LCA agrees that: 1. LCA will assist each of the Partners as requested in investigative activities by providing equipment and manpower as outlined in the PMP- I&E 2. LCA will act as administrator for the PMP-I&E, keeping written accounts and records of all. work costs, revenues, and progress associated with activities based on information as provided by each of the Partners and as required by the USEP A Compliance Order. 3. LCA will provide a summary report of the progress of the PMP-I&E to the Partners. ARTICLE 4 1. The term of this agreement will continue until the Capital Improvement Planes) and Longterm Asset Management Planes) have been accepted by PAD EP. ARTICLE 5 1. This Agreement was approved pursuant to resolutions/ordinances of the governing body of each of the Partners, except that the LCA signature shall cover the Upper Milford and Weisenberg Township collection systems,': as evidenced tn the attached resolutions/ordinances. LEHIGH COUNTY AUTHORITY_---'----;-_-'-----.,-,-----.,-,---~- (On its behalf and as owner of the sewer collection systems in UpperMilford and Weisenberg Townships) LOWER MACUNGIE TOWNSHIP --'------:-'--_----: --'--_ UPPER MACUNGIE TOWNSHIP ----'-_-----_--------.UPPER MACUNGIE TOWNSHIP AUTHORITY ------~~------------------ C:\Documents And Settings\Mandes_PI\Local Settings', TemporaryInternet Files\Content.Outlook\ V3FIICAW\MOU IE Phase Final m ~ '"...... ~5

'. LOWHILL TOWNSHIP _ BOROUGH OF ALBURTIS _ BOROUGH OF ALBURTIS SEWER AUTHORITY _ BOROUGHOFMACUNGIE _ C:\Documents And Settings\Mandes_Pl\Local Settings'(Temporary Internet Files\Content.Outlook\ V3FllCAW\MOU-IE Phase Final (7).Docx Page 6