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AGREEMENT TO EXCHANGE ENTITLEMENT WATER This water entitlement exchange agreement ("Agreement") is made and entered into this 21" day of January, 2025 ("Effective Date"), by and between the City of Redlands, a municipal corporation ("City") and Christopher and Kimberlin Dominguez ("Owners"). City and Owners are sometimes individually referred to herein as a "Party" and, together, as the "Parties." RECITALS WHEREAS, the City and the Redlands Water Company have entered into an agreement dated August 6, 1996, to exchange irrigation water, a copy of which is attached hereto as Exhibit "A;" and WHEREAS, Owners are a shareholder of record of One (1) share of Redlands Water Company stock identified as No. 1565 (the "Shares"); and WHEREAS, Owners wish to take advantage of the opportunity to receive water from the City's domestic water system in exchange for Owner's assignment of the Shares to the City; NOW, THEREFORE, in consideration of the mutual promises contained herein, the City of Redlands and Mr. and Mrs. Dominguez agree as follows: AGREEMENT 1. Owners hereby assign and shall cause all irrigation water entitlement derived from Owner's Share to be delivered to a City water treatment facility. In exchange, Owners will receive an equal amount of potable water from City through City's domestic water system. 2. Owners shall comply with the provisions of City's agreement with Redlands Water Company. 3. City agrees to furnish water under the conditions and in the amount indicated in compliance with City's agreement with Redlands Water Company. 4. This Agreement constitutes the entire agreement between the Parties regarding the subject matter hereof. Any prior written or verbal agreements or representations respecting the subject matter of this Agreement not expressly set forth herein are null and void. 5. In the event any action is commenced to enforce or interpret the terms or conditions of this Agreement the prevailing Party shall, in addition to any costs and other relief, be entitled to the recovery of its reasonable attorneys' fees, including fees for use of in-house counsel by a Party.