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Sellers' Cancellation Right under Section 8.1, the County will promptly proceed with the <br />filing of the Change Application as herein provided. <br />5.2 'hange Application Jl'iling nncl Fe . The County will prepare and <br />deliver to Sellers one or more counterpart applications (collectively, "the Change <br />Application"), in the form prescribed by Ecology, for the change of the entire Water <br />Right to the State Trust Water Rights Program. Sellers shall duly sign all counterparts of <br />the Change Application and deliver to the County original signed counterparts of the <br />Application. The County will file the Change Application with Ecology. The County and <br />Sellers will split evenly the processing costs associated with the Change Application or <br />its approval by Ecology, commencing on the Effective Date, including the costs of <br />retaining Aspect Consulting to assist in the completion of the processing of the Change <br />Application, EXCEPT that total Change Application expenses allocated to Sellers, <br />including Aspect Consulting expenses, shall not exceed Fifteen Thousand Dollars <br />($15,000.00). <br />The County and Sellers will cooperate in all aspects of the Change Application <br />process. The parties understand that Ecology will issue the final decision on the Change <br />Application. If the change decision issued by the Department of Ecology is appealed by a <br />third party, the County has the right to terminate this Agreement. <br />S.3 Sellers' Reserved Quantity. The Change Application will request <br />approval for future use of Sellers' Reserved Quantity on Kittitas County parcel numbers <br />18-20-18000-0030, 18-20-18000-0031 and l 8-20-18000-006 for domestic use in one or <br />more homes, non-commercial lawn and garden irrigation and livestock watering. Sellers' <br />Reserved Quantity shall not be exercised prior to termination of any irrigation water <br />leaseback arrangements as may be entered into between County and Sellers pursuant to <br />Section 10 ofthis Agreement. <br />6. Ecology Dch:rminnHon of Trust Water Right. The Sale Quantity to be purchased <br />by the County will be that portion of the Water Right that Ecology determines to be valid <br />and available for transfer to the Trust Water Rights Program, less Sellers' Reserved <br />Quantity, as stated by Ecology in its report of examination or other statement of factual <br />findings (collectively, "the Report of Examination"). The County and Sellers understand <br />that: (i) the amount of the Trust Water Right will be based upon the actual historical use <br />of water pursuant to the Water Right, (ii) in quantifying the Trust Water Right, various <br />factors such as consumptive use, conveyance losses, and return flows are taken into <br />account by Ecology, and (iii) the Trust Water Right will include a smaller area of use and <br />a lesser quantity of water than is included within the entire Water Right. <br />7. Ecology Review, A. sumption of the Risk, and Hold Haa·mless. Sellers recognize <br />that part of the water right change application process requires Ecology to make a <br />tentative determination of the extent and validity of the Water Right. Sellers also <br />recognize that Ecology, in processing the change of the Water Right, follows certain <br />Purchase and Sale Agreement <br />Between Kittitas County and <br />James and Hazel Treat <br />Page 3 of 13