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i • SANITARY SEWER REIMBURSEMENT AGREEMENT This Sanitary Sewer Reimbursement Agreement ("Agreement") is entered into this 164"day of MANI , 2003, by and between the Town of Los Altos Hills, a municipal corporation of the State of California ("Town") and Firooz Ghaffari and Giti Ghaffari (sometimes jointly "Ghaffari") and Ravikanth Ganesan and Jayashree Rangarajan (sometimes jointly "Ganesan). Ghaffari and Ganesan are sometimes herein referred to jointly as "Property Owners". RECITALS: A. Property Owners constructed a sanitary sewer extension commonly known as the Purissima Road Sewer Extension within the Town as more particularly shown on Exhibit A, attached hereto ("Sanitary Sewer Extension"). B. Section 6-4.503 of the Town's Municipal Code allows the Town to enter into a reimbursement agreement with a property owner so that the property owner may be reimbursed for some of the costs of a sanitary sewer extension by future users of the extension. C. After due consideration of all relevant factors such as the location and nature of the Sanitary Sewer Extension, the area to be served by the Sanitary Sewer Extension, the developable areas potentially served by the Sanitary Sewer Extension and the volumes of sewage, the City Engineer has found and determined, after proper application by Property Owners, that the Sanitary Sewer Extension will benefit not only the lands of Property Owners, but also other lands which may be served by the Sanitary Sewer Extension at a future date ("Benefiting Lands"). The Benefiting Lands are more particularly set forth in Exhibit B, attached hereto. The current and future owners of Benefiting Lands who later request a hook-up to the Sanitary Sewer Extension, or who are required by the Town to connect to the Sanitary Sewer Extension, shall be hereinafter collectively referred to as "Future Users". 1 L:\engineering\mcheng\Report CC\2003\0515\SwrRmbGhff.doc