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1 AGREEMENT <br /> 2 CONCERNING THE "DONUT HOLE" <br /> 3 <br /> 4 THIS AG EEiMENT CONCERNING THE "DONUT HOLE" (hereafter the <br /> "Agreement`), is by and between the County of San Bernardino (hereafter the <br /> "COUNTY") and the City of Redlands (hereafter the "CITY"), County Service Area 70, <br /> 7 Improvement Zone EV-1 (hereafter "CSA 70 EV-1"), collectively referred to herein as <br /> 8 the "Parties", and is effective as of the date last approved by the 'Parties (the "Effective <br /> 9 Date"). <br /> 1'q <br /> 11 WITHESSETH: <br /> 12 <br /> 13 WHEREAS, the geographic area known as the "Donut Hole" (more fully <br /> 14 described on Exhibit "A" DONUT HOLE DESCRIPTION, hereto) is located in the <br /> 15 unincorporated area of the COUNTY but is completely surrounded on all sides by the <br /> 16 incorporated CITY; and, <br /> 17 <br /> 18 WHEREAS, both the COUNTY and the CITY have an interest in developing, <br /> 19 promoting and maximizing the beneficial use of the Donut Hole as an emerging regional <br /> 20 business center; and, <br /> 21 <br /> 22 WHEREAS, businesses seeking locations in the Donut Hole should not become <br /> 23 entangled in disputes between the COUNTY and the CITY over water and sewer <br /> 24 services, police and fire services„ tax revenue allocations and other jurisdictional issues; <br /> 25 and, <br /> 26 <br /> 27 WHEREAS, the CITY has engaged in litigation against the COUNTY as well as <br /> 28 property owners within the Donut Hole for the purpose of asserting jurisdiction over the <br /> Pagel RAH 185733.10 0110812002 <br />