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Subject to the provisions of Section 5.2.2, a Founding Member pays no RCFCs with <br />respect to the number of CERUs served as of January 31, 2003, or other such later date as <br />determined by Resolution of the Board. <br />A new Member with adequate supply shall commence paying RCFCs fifteen (15) <br />years prior to the date that its Water Supply Assets are projected to be insufficient to provide <br />for its needs as determined by the Board (taking into consideration the results of the Water <br />Supply Audit). <br />A Member that joins with Water Supply Assets that are projected to be insufficient to <br />provide for its needs for fifteen (15) years shall immediately pay RCFCs for the number of <br />CERUs representing the deficit as determined by the Board. <br />RCFCs shall be calculated according to the RCFC Methodology, which shall define <br />the analytical steps required to calculate the RCFCs according to the greater o£ (a) the <br />incremental difference between the average unit cost of expanding the system (i.e., the <br />marginal cost of new capacity) and the average unit cost of the existing system; or (b) the <br />average unit cost of past construction of the existing system plus then planned Supply System <br />improvements. The methodology shall provide for an annual escalator, recalculation and <br />update not less frequently than every fifth year, and a methodology for determining CERUs. <br />The RCFCs shall be imposed on the Member for each new CERU of that Member in <br />accordance with the terms of this Contract. Amendments to the RCFC Methodology shall <br />require a 65% Dual Majority Vote. <br />If a Founding Member owns Water Supply Assets or transfers Water Supply Assets to <br />Cascade under Section 5. 1, to the extent the audited capacity of those assets (including Seattle <br />Cascade Interlocal Contract -25 <br />Amended and Restated <br />October 26, 2011 <br />