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Section 3.2 Membership. Subject to restrictions on future Cascade water rights, or to <br />limitations upon place of use of water supply imposed by contract or permit, any city, town, county, <br />water -sewer district, public utility district, other special purpose district, municipal corporation, or other <br />unit of local government of this or another state that provides utility services, and any Indian tribe <br />recognized as such by the United States government (or as may be allowed by amendments to the Act) <br />may be admitted as a member of Cascade. The decision to admit new Members rests with the sole <br />discretion of the Board, which shall determine whether to extend a membership offer taking into <br />consideration the audit findings (as described in this Section 3.2), Cascade water resources, and any other <br />factors the Board deems advisable. <br />When an entity that is eligible for membership under the Act, applies for membership, Cascade <br />shall conduct a water supply audit according to the methodology and within the period determined by the <br />Board. Audit results shall be provided to the Board and to the applicant. <br />If a membership offer is extended, it shall address the nature of the Water Supply Assets being <br />transferred or retained and the "value" of those assets in terms of the calculation of an applicant's <br />Demand Share, RCFCs and other matters relating to the rights and obligations of the applicant and <br />Cascade, which must be recorded in the form that the Board determines and which will constitute, along <br />with this Agreement, the conditions under which an applicant becomes a Member of Cascade. An <br />applicant for membership shall be admitted by adoption of a Resolution of the Board accepting the <br />application for membership and incorporating the terms and conditions of membership. <br />Each membership application must be accompanied by a nonrefundable application fee based on <br />the estimated cost of the audit and other costs related to the admission of a new Member or a request for <br />new supply. The Board shall set the application fee for each applicant based on the estimated cost of <br />processing the application, including the cost of the audit. <br />As a condition of membership, each new Member admitted to Cascade shall, in addition to any <br />other applicable fees, rates, charges or assessments, pay to Cascade the membership fee, as established by <br />the Board. <br />If an applicant's planning process or plans are materially out of compliance with the requirements <br />of applicable state law, the Board may condition an offer of membership upon the applicant's compliance <br />with that state law. <br />Section 3.3 Purposes. Cascade's purposes include those related to water resources, or any <br />other utility service as allowed under the Act, as authorized by a unanimous vote of the Board, and do not <br />include the provision of other general services to the public, and are to: <br />a. provide a safe, reliable and high quality drinking water supply to meet the current and <br />projected demands of Cascade Members, and for non - Members as determined by Cascade, <br />and to carry out this task in a coordinated, cost - effective, and environmentally sensitive <br />manner; <br />Joint Municipal Utility Services Agreement 6 March 28, 2012 <br />