WHEREAS:

1. The Implementation Policy for the Small Communities Grant Program was adopted by the State Water Resources Control Board on January 23, 1997, and amended on April 30 and May 14, 1997;

2. The State Water Resources Control Board, on May 14, 1997, adopted the Small Communities Grant Program Priority List which included the Clearlake Oaks County Water District, Facilities Improvements and Effluent Pipeline Project in Priority Class A;

3. The Division of Clean Water Programs approved the Facilities Plan, which includes the project report, environmental documents, and draft revenue program, on February 4, 1998, for the Clearlake Oaks County Water District, Facilities Improvements and Effluent Pipeline Project;

4. The Division of Clean Water Programs approved the plans and specifications, on April 21, 1998, and the District submitted a written agreement with the Division's decisions on May 4, 1998; and

5. The Clearlake Oaks County Water District adopted a Mitigated Negative Declaration for the proposed project (State Clearinghouse No. 96122079) which has been reviewed and considered, and it has been determined that the proposed project will not result in significant negative environmental impacts.

THEREFORE BE IT RESOLVED THAT:

The State Water Resources Control Board approves a Small Communities Grant of $2,719,584 to the Clearlake Oaks County Water District for construction of the Facilities Improvements and Effluent Pipeline Project.

The undersigned, Administrative Assistant to the Board, does hereby certify that the foregoing is a full, true, and correct copy of a resolution duly and regularly adopted at a meeting of the State Water Resources Control Board held on June 18, 1998.

/s/

Maureen Marché

Administrative Assistant to the Board