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Originally Approved by the Board of Directors, January 1, 1983, as Amended to October 4, 1985

Please note that this document has been scanned from a paper original and may contain errors. The original is available as a PDF file. In the event of any conflict between this scanned document and the original, the original shall control.

NOTE: These Rules and Regulations are subject to change by the Board of Directors without notice.

WILLOW BROOK METROPOLITAN DISTRICT

TO SERVE THE RUBY RANCH

1. GENERAL

1.1 Policy and Purpose: It is hereby declared that the Rules and Regulations hereinafter set forth will serve a public use and are necessary to insure and protect the health, safety, and security and general welfare of the inhabitants of the Willow Brook Metropolitan District.

The purpose of these Rules and Regulations is to provide for the control, management and operation of the water distribution system of the Willow Brook Metropolitan District including additions, extensions and connections thereto.

1.2 Definitions: Unless the context specifically indicates otherwise, the meaning of terms used herein shall be as follows:

1.2.1 "Board" and "Board of Directors" shall mean the governing body of the Willow Brook Metropolitan District.

1.2.2 "Customer" shall mean any person, company, corporation or governmental authority or agency authorized to purchase water under a permit issued by the Board of Directors.

1.2.3 "District" shall mean Willow Brook Metropolitan District.

1.2.4 "Inspector" shall mean the person or persons duly authorized by the Board to enforce these Rules and Regulations.

1.2.5 "Kitchen" shall mean any separate area containing a minimum of one hot plate, one stove or one microwave oven and a sink which may be used in conjunction with a living unit separate from the main living quarters in a dwelling.

1.2.6 "Permit" shall mean written permission of the Board of Directors to connect to a water main of the District pursuant to the Rules and Regulations of the District.

1.2.7 "Person" shall mean any individual, firm, company, association, society, corporation or group.

1.2.8 "Service Line" shall mean the pipe, line or conduit from the water main, including the connection material to the main, to an individual house or other structure.

1.2.9 "Shall" is mandatory; "May" is permissive.

1.2.10 "Superintendent" shall mean the superintendent of the District, or in his absence, his duly authorized deputy.

1.2.11 "Unit" shall mean a dwelling having at least one bath and one kitchen facility. Non-residential buildings shall be considered a unit for tap fee purposes for each 3,000 sq. ft. of floor space or portion thereof.

1.2.12 "Water Main" shall mean any water pipe, line or portion thereof, owned by the District.

1.2.13 "Water Tap" shall mean the act of connecting a service line to a water main.

1.2.14 Other terms not herein defined shall be defined as present in the Glossary -- Water and Wastewater Control Engineering, APHA, AWWA, ASCE, and WPCF latest editions.

1.3 District Responsibilities: The District is responsible for the distribution of water for domestic use to residents within the District, and the maintenance, repair and replacement of all wells, mains, hydrants, valves, and service facilities owned by the District, but shall not be liable or responsible for inadequate pressure or interruption of service brought about by circumstances beyond its control. The District is also responsible for the operation and maintenance of the water system in accordance with these Rules and Regulations, those of Summit County and the Colorado State Department of Public Health.

The District may, as conditions and financial ability permit, repair and maintain roads and roadways within the District, including snow plowing and sanding.

1.4 Liability: It is expressly stipulated that no claim for damage shall be made against the District by reason of the following:

• Breaking of any service or supply pipe or cock or meter by any employee of the District; failure of the water supply; shutting off or turning on water in the water mains; the making of connections or extensions; damage caused by water running or escaping from open or defective faucets; burst service pipes or other facilities not owned by the District; damage to water heaters, boilers, or other appliances resulting from shutting water off, or not turning it on, or from inadequate or sporadic pressures; or
• for doing anything to the water system of the District deemed necessary by the Board of Directors or its agents. The District hereby reserves the right to cut off the water supply at any time, for any reason deemed appropriate, and has the obligation to restore service as quickly as possible.

1.5 Powers and Authority of Inspectors: The Superintendent, Inspector, and other duly authorized employees of the District, bearing proper credentials and identification, shall be permitted to enter upon all properties for the purpose of inspection, observation, measurement, sampling, and testing, in accordance with the provisions of these Rules and Regulations.

1.6 Interpretation: Any dispute as to the interpretation of these Rules and Regulations or as to their application in any given case shall be submitted to the Board of Directors and their decision shall be final. These Rules and Regulations are subject to change without notice.

1.7 Revisions: The Board of Directors may from time to time enlarge upon, delete, change or amend these Rules and Regulations at any time, at a regular or specially called meeting of the Board. The Superintendent shall have the authority to make interim decisions on matters not covered by these Rules and Regulations. Such interim decision shall be binding until confirmed or altered by the Board of Directors at its next meeting.

1.8 Additional Wells and Access: Certain lots in Filing 1 and Filing 2 will require additional wells for water service. These wells shall be provided and maintained by the District and subject to these Rules and Regulations in all respects. Ingress and egress rights for District personnel shall automatically be granted for the purpose of facilities operation, maintenance, construction, service and reading of meters on all properties.

2. APPLICATION FOR SERVICE

2.1 Use of Water Service Required: All residential buildings in the District must use the water supplied by the District and none other unless a specific waiver of this requirement is granted by the Board of Directors.

2.2 Application Required: Application for service must be filed with the District on forms provided by the District and be accompanied by appropriate fees at least seven days prior to connection.

2.3 Denial of Application: The District reserves the right to deny application for service on any grounds that the connection of the system of the applicant's existing plumbing would constitute a cross-connection to an unsafe water supply; or the service applied for would create an excessive seasonal, or other, demand on the facilities, or for misrepresentation as to the property and fixtures contained in the property, or in the use to be made of the water supply.

2.4 Taps Not Assignable: Water taps, when purchased, are for use only on the property designated at the time of purchase of taps. Taps shall be sold and/or transferred by the owner of a property to a subsequent owner of the same property.

Except with written approval of the Board of Directors, no taps shall be transferred from one property to another.

2.5 Cancellation of Application and Refund of Fees: The District reserves the right to revoke any application previously granted, before service has been provided. Application for water service does not bind the applicant to "use the service". Such applications shall be retained, along with fees paid, by the District, for a period of twelve (12) months. If the applicant has not then requested service, the Board, at its discretion, may cancel the application and refund a portion of the fees paid.

2.6 Emergency Allocations: The Board of Directors may adopt appropriate allocation and priority policies in emergency instances involving a shortage of water capacity. Such procedures shall consider the needs of all present and future customers, and copies of the policies shall be distributed to all customers affected.

2.7 Taps for Live-In Units: A live-in unit, whether called "guest quarters" or "maid's quarters" or any other name, which contains a kitchen in addition to the kitchen in the main living quarters) shall be charged a tap fee as an additional unit. Said fee shall be a percentage of the tap charged for the main living quarters, based on the percentage the square feet of floor space contained in such live-in unit is to the square feet contained in the total residential building, excluding the garage. In no case shall the charge be less than 30% of that charged for the main living quarters.

3. CONSTRUCTION OF SERVICE LINES

3.1 Permit Required: No unauthorized person shall uncover, make any connection with, or opening into, use, alter, or disturb any District-owned water or appurtenances, without first obtaining a written permit from the District.

3.2 License Required: All water service lines installed within the District under jurisdiction of the Board shall be done only by contractors licensed to do work within Summit County and the Town of Silverthorne.

3.3 Insurance and Bond Required: A performance bond shall be furnished to the Board on a per-job basis, in an amount set by the Superintendent. Insurance shall be carried in favor of the Board in the amount of $150,000 per person injured and $400,000 per occurrence, and $150,000 per person incurring property damage, and $400,000 per property damage occurrence. Certificates of insurance shall be filed with the Board when applying for bond. Workmens' Compensation insurance shall be carried in accordance with the provisions of the Workmens' Compensation Act, as amended, of the State of Colorado.

3.4 Revocation of Licenses: The violation of any of these Rules and Regulations, or the District's installation instructions or specifications, shall constitute grounds for dismissal from the work. Whenever it appears a violation has been committed, the contractor shall be sent a written notice.

3.5 Licenses Not Transferable: No licensed plumber shall permit his license to be used by any other plumber or contractor, but plumbing work contracted for by a licensed plumber may be performed by him through journeyman plumbers or apprentices, under his direct supervision. Work performed through journeyman plumbers or apprentices shall not relieve the licensed plumber from any responsibility.

3.6 Comply With County Regulations: All contractors, plumbers and others doing work on any water main, service lines, or structures, in the District, shall comply with Summit County regulations regarding excavation, backfill, compaction and restoration of surfacing.

3.7 On-Site Briefing: The general contractor and excavator must attend an on-site briefing with the Willow Brook Metropolitan District Superintendent, and such other persons as the District Superintendent may deem appropriate, prior to excavation or tree removal. Items discussed will include trees to be removed, route of water lines, location of water taps, water meter location and others.

3.8 Pay Fees Before Construction: All permits, fees and licenses shall be paid for by the contractor, plumber or others doing work in the District, prior to the start of construction.

3.9 Notification Required: The District Superintendent must be notified at least 48 hours before any excavation is begun.

3.10 District Personnel to Tap: The Superintendent or employees or authorized agents of the District are the sole persons authorized to make taps on the District water mains.

3.11 Separate Service or Multiple Meter: Water service must be provided by individual meter per unit. A curb box and shut-off valve must be provided for each meter. A pressure reducing valve will be required ahead of the meter and all water services shall be taken after the meter, including any exterior faucets, water troughs, stable or barn services, etc.

3.12 Excavation Period Limited: No excavation shall be allowed in rights-of-way from November 1 through April 30 of each year. The Superintendent may modify these dates, depending upon weather and temperature, at his discretion.

3.13 Copper Water Lines: The water service line shall be soft, Type K copper, minimum sizes as listed in the current application for service.

3.14 Cover Over Water Lines: The water service shall be brought to the building at a depth to allow for at least nine (9) feet of cover. No service shall be laid parallel to, and within five (5) feet of any bearing wall which might be thereby weakened. The water service shall be laid at uniform grade, and in straight alignment, as plans allow.

3.15 Curb Stop Location: Water curb stops shall be located in the road or access right-of-way within three (3) feet of the property me or in a utility easement.

3.16 Open Trench: All excavations required for the installation of water service shall be open-trench work unless otherwise approved by the Superintendent. Trenching, pipe laying and compacted backfill shall be performed in accordance with the Superintendent's instructions, the specifications of Summit County, or the specifications of the Town of Silverthorne, as appropriate.

3.17 Notify Superintendent: The applicant for water service or his contractor shall notify the Superintendent 24 hours before the service is ready for inspection and connection to the public water main. All discrepancies found by the Superintendent shall be corrected and reinspected prior to the connection.

3.18 Contractor to Supply As-Built Plans: Upon completion of water line installation, the contractor must provide to the District as-built plans showing all curb stops, line locations, manholes, curb cuts, fire hydrants and other facilities. No Certificate of Occupancy shall be approved and no service shall be provided until the as-built plans are received by the District.

3.19 Withholding Approval of Certificate of Occupancy: If a customer has not provided the District with As-Built plans, or if a customer owes the District money for unpaid tap fees, connection charges, service charges, late fees or any other matter, and that customer has applied for a certificate of occupancy, the District shall withhold approval of the granting of that certificate of occupancy until such time as the plans are provided and the amounts owed have been paid.

3.20 Curb Stop Verification: A representative of the customer or water line contractor shall verify with the District Superintendent or is representative that the water tap valve on the main line has been turned on, and that the curb stop and valve sleeve or box has been properly installed and is operational by signing a tap report form. District Superintendent shall inspect water tap valve, curb stop and valve sleeve or box before and after backfilling, and shall either accept or reject the work done to the date of inspection. If subsequent construction work renders the curb stop inoperative, the customer shall be responsible for costs for correction of the problem.

4. WATER METER REQUIREMENTS

4.1 Customer Furnishes Meter Location: The customer shall furnish a warm, accessible meter location, usually in the basement or a closet or compartment near the point where the water service line enters the building. The customer shall also furnish an outside location for the remote gauge to be mounted so that it is easily accessible for reading. All locations shall be approved by the District prior to installation of the meter.

4.2 District Ownership of Meters: The cost of water meters, including outside remote gauges, shall be paid by the customer as part of the connection fees. Immediately upon payment by the customer, the District shall own the meter and gauges, and shall have the responsibility for the repair and/or replacement of them.

Customers shall pay the costs, plus 10%, of repairing meters, and for replacing meters, if damaged by the customer.

The cost of each meter shall be the actual cost paid by the District to its supplier, plus ten percent to cover the cost of transportation, storage, etc.

Installation of the meter and gauges shall be performed under supervision of District personnel, at customer's cost and with work performed by a licensed plumber hired by the customer. No water meter shall be installed of a size less than three-quarters of an inch in diameter.

District shall, as a condition to service, have access to each lot and unit served for the purpose of exercising its authority under this section 4.2

5. CHARGES AND BILLING

5.1 Water Tap Fee Schedule: The cost of the water tap fee to amortize the development of water rights, treatment and distribution, is established by the Board and can be changed by the Board, at any time, without notice. In recognition of anticipated future costs based on past costs and increases of same, tap fees shall be automatically increased by 10 percent on January 1 of each succeeding year, or as determined by the Board. Current tap fees are contained in an "Application for Water Service" available from the District Superintendent or from the bookkeeper for the District.

5.2 Included in Tap Fee: The tap fee includes the materials and labor to connect the service line to the water main, excluding excavation. The excavation shall be arranged and paid for by the customer, using a licensed contractor approved by the Superintendent.

5.3 Not Included in Tap Fee: The tap fee does not include the service line to the meter, or beyond the meter, or the water curb stop assembly, or excavation for same. The District may require all excavations in public rights-of-way or utility easements to be done by District personnel and equipment, with piping and valves in these areas to be provided by the District and paid for by the customer at cost plus 10 percent.

5.4 Connection Fees: Charges for water connections, including water meter with remote readers, road resurfacing, curb stop valves and other materials, shall be billed at cost plus 10 percent by the District prior to start of the work. Current Connection Charges are contained in the "Application for Water Service

5.5 Pay Fees in Advance: Tap fees and connection fees for connecting water lines must be paid in advance of issuance of Building Permit. At least seven 7 working days notice is required to the District prior to the date that a water tap can be made.

5.6 Notice of Tap Status: A letter to Summit County may be sent by the District stating that water capacity is available provided that such capacity does in fact exist and provided the applicant has received architectural approval from the Ruby Ranch Owners Association. Notification that water capacity has been irrevocably reserved for a project may be sent after water tap and connection fees have been paid in full. This second notice is required prior to issuance of a building permit.

5.7 Water Charges: All permanent water service shall be metered. Current rates for water service are available in the "Application for Water Service

5.8 Construction Water: Commencing at the time a tap is purchased, unmetered water used for construction purposes only will be billed at the rate of one-half the minimum rate for water per month per unit. At such time as either unit in the building receives a certificate of occupancy, or at the end of six months, whichever comes sooner, both units in the building will begin paying the full minimum charge for water, or actual charges if meters are connected, regardless of whether or not a certificate of occupancy has been issued.

5.9 Commence Charges. Water service charges for buildings shall commence on the first of the month following the month during which a certificate of occupancy is issued or six months after the purchase of a tap, whichever occurs first.

5.10 Deposit Required: A deposit equivalent to two months estimated billing shall be charged all customers unless waived by the District.

5.11 Meter Readings: There shall be no charge for periodic meter readings within the District for regular billing. The District shall charge a fee for any final or special meter readings. See the "Application for Water Service" for current charges for any final or special meter reading.

5.12 "Turn Off" Fee: If services are discontinued at the request of the customer, or due to delinquency, a "turn off" fee will be charged, which will also cover a subsequent turning on of the same service. See the "Application for Water Service" for current fees.

5.13 Penalty for "Unauthorized Turn On": It shall be illegal for any person other than employees or officials of the District to turn on a water main service line. The District shall make charges of this violation in Court, and all costs relating thereto shall be paid by the violator.

5.14 Change of Customer's Equipment or Service: Prior to making any change in water service or meter installation, a customer shall file an amended application with the District at least forty-eight (48) hours prior to making the proper change.

5.15 Quarterly Service Billing: Statements for all metered water shall be rendered by the District on a quarterly basis in arrears. Bills will be mailed the same week of each quarterly period, and shall be payable within fifteen (15) days from date of statement. Charges for late payments shall be added to the quarterly bills. Other charges may be added to billing or invoiced separately.

5.16 Delinquency penalties. A five percent (5%) delinquency penalty per month shall be added to the unpaid balance of all water bills which have not been paid within thirty (30) days from the date of mailing. When such statements are ninety (90) days delinquent, they shall be declared "overdue" and a turn off notice shall be mailed by return receipt mail, advising that payment must be made within ten (10) days, or service will be disconnected.

5.17 Lien on Property: If payment is not made within ten (10) days of mailing of turn off notice, the Superintendent of the District shall be instructed to "turn off" the water service. The deposit for service, if any, shall be applied against the outstanding bill. Until paid, all rates, tolls, fees and charges shall constitute a first and perpetual lien on and against the property served, and any such lien may be foreclosed in the manner provided by the appropriate State law. The turn off fees shall be among those fees which constitute a first and perpetual lien and they shall all be paid prior to the service being returned.

5.18 Liability for Payment: The property, the property owner, and the occupant are hereby deemed equally liable for charges of the District. The District assumes no responsibility hereby for any agreements between landlords and tenants, regardless of how made, or of the District having been notified of such agreements. The District will hold the water user, occupant, property owner and the property jointly liable for all charges appurtenant to water service at the address of use. Regardless of ownership, or of the failure of the District to collect tap charges at the time of the issuance of permits, or any other act or omission of the District, unpaid tap charges shall constitute a first and perpetual lien and may be foreclosed as is provided in paragraph 5.18.

5.19 Penalties for Foreclosure Proceedings: At any time it becomes necessary for the District, following efforts to collect tardy payments of any fee or charge assessed by the District under these rules and Regulations and/or Colorado law, to initiate foreclosure proceedings as allowed by C.R.S. Section 32-1-100I-(1)(j), the District shall in each such case assess a foreclosure fee against each unit on the property or, if no units exist, then against the subject property, in the amount of $5,000 which fee shall be payable in full upon assessment and shall be included in the amount then being foreclosed. Payment of said foreclosure fee and any and all other fees outstanding against the subject property shall be a precondition to the resumption of service to that property.

6. RESPONSIBILITIES OF THE CUSTOMER

6.1 Defective Meters: It shall be the duty of all customers to notify the District office if their water meters are operating defectively. If the District has reason to believe a water meter is not functioning properly, it may proceed to repair or replace the meter, whether or not the District has received notice that the meter is defective.

6.2 Customers Must Repair Service Lines: Each customer shall be responsible for maintaining the entire length of his water service line from the main. Upon a leak or break in a service line, the District shall have the authority to immediately turn off water service as necessary to prevent depletion of water supplies. Leaks or breaks in the service lines shall be repaired by the customer within twenty-four (24) hours from the time of notification of such conditions by the District, or the District may proceed to repair the leak and charge the full cost to the customer, plus ten percent (10%).

6.3 District Employees Prohibited from Private Property Plumbing: Employees of the District are expressly forbidden to manipulate the stop and waste valve on private property beyond the mains, or do any other plumbing work whatsoever. It is expressly stipulated that the District will assume that every property is equipped with a stop and waste valve, and failure of any property owner to so equip his property will, under no circumstances, alter the liability of the District.

6.4 Pressure Variations; Clear Curb Boxes: it shall be the duty of all those connected to the water system to keep advised of varying pressures and conditions of service so as to properly protect their persons and property from injury by water furnished through the District's facilities. They shall also take note that there is no waste-way in the shut-off at the curb box, nor at the main, and that any water standing in the pipes when water is turned off at the meter shut-off or main will remain there unless drained out by the user by means of a stop or waste valve.

6.5 Pressure Safety Devices: All persons having boilers or other appliances on their premises depending on pressure of water in pipes, or on a continual supply of water, shall provide, at their own expense, suitable safety appliances to protect themselves and their property against a stoppage of water supply or loss of pressure.

6.6 Pressure Reducing Valve Required: All customers shall install and maintain a pressure reducing valve in the service line where it enters the building or other facility ahead of the water meter.

6.7 Pressure Control Devices Mandatory: Unless specifically waived by the Board, it is mandatory that all customers install and maintain a bladder-type pressure/storage tank and pump system at the water service entrance to each residential unit, and such other pressure control and boosting devices as may be required by the Board to assure proper pressure. A minimum storage of 100 gallons is required. Each storage tank shall be installed with a check valve to prevent water from flowing back into the water system from the pressure storage tank. This tank shall be installed after the water meter and before any exterior faucets and service lines.

6.8 Pools: The District shall be notified before swimming pools, tubs or other devices holding more than 100 gallons of water are to be drained or filled. The Superintendent or authorized District representative shall make arrangements for such operations, depending upon conditions of the water system, and shall set the date and hours these operations may be accomplished.

6.9 Horse Troughs: Troughs may not exceed 50 gallons of water in size and shall be equipped with proper float shut-off valves, service line shut-off valve, service line insulation and thermostatically controlled heaters for service lines and floats as may be approved by the Board.

6.10 Watering of Lawns and Vegetation, Exterior Uses: The domestic system for Filings 1 and 2 are not designed to include watering of lawns or vegetation on a continuing basis from hoses or sprinkler systems, and these activities will not be permitted. Water conservation practices may be set by the Board as necessary, and may ban the use of treated water for any use except interior domestic consumption.

6.11 Possession of Valve Shut-Off Keys Unlawful: It shall be unlawful for any person other than authorized personnel to have in their possession a valve shut-off key, and any law enforcement officer or authorized District or Fire Department representative is hereby authorized to confiscate any valve shut-off key found in the possession of unauthorized persons.

6.12 Damage Unlawful: No unauthorized person shall maliciously, willfully, or negligently, break, damage, destroy, uncover, deface or tamper with any structure, appurtenance or equipment which is part of the water works, including fire hydrants. Any person violating this provision shall be subject to immediate arrest and prosecution.

6.13 Prosecution and Payment. Any person who shall continue any violation of these Rules and Regulations shall be charged, and upon conviction thereof, shall be fined in an amount as established by the courts for each violation. Any person violating any of the provisions of these Rules and Regulations shall become liable to the Board for any expense, loss or damage occasioned by reason of such violation.

7. ROADS

7.1 Repair, Maintenance, Snow Plowing and Sanding: The District may, subject to the conditions of this section, and as conditions and financial ability permit, repair, maintain, snow plow and sand roads and access roads as platted within Filings 1 and 2 of the Ruby Ranch. In the case of access roads, this activity is conditional upon the owner of the property at the terminal end of the access road providing an area sufficient for the turn-around of the snow plow equipment. The size and location of the turn-around area is at the sole discretion of the Superintendent of the District.

Any access roads which the District may maintain shall be kept as one-lane access roads only.

7.2 Snow-stacking Areas Required: All lot owners whose property is crossed or accessed by access roads are required to provide snow stacking areas as necessary.

B. OUTSIDE DISTRICT AREAS

8.1 Inclusion in the District: Water service will be furnished only to persons whose property is included within and subject to the Rules and Regulations and taxation by the District, unless authorized by a specific contract for service outside the District. It shall be incumbent upon the applicant to furnish satisfactory evidence of inclusion whenever such evidence is requested by the District. Satisfactory evidence shall consist of tax receipt, or certification in lieu thereof, of the inclusion proceeding.

8.2 Inclusion Procedure: A formal request for inclusion in the District shall be made by the applicant to the District, accompanied by a non-refundable estimated payment for legal fees and the estimated costs of publication. Additional costs which may occur shall be paid prior to approval from the Board. Any overpayment shall be refunded upon conclusion of the inclusion proceeding. A person who desires service for land he owns within or outside the exterior boundaries of the District must include all of his land contiguous to the parcel for which service is desired unless the District permits otherwise.

8.3 Service Outside the District: The District may, if it seems advantageous to the District, furnish water service to properties located outside the boundaries of the District, but under no circumstances, shall the District construct any water mains at its own expense to service such properties.

8.4 Charges for Outside Service: Charges for furnishing water service outside of the District shall be at the discretion of the Board of Directors, but no service shall be furnished to properties outside of the District unless the charge therefor equals at least the cost of service, plus the estimated Property Tax Revenue for which such property would be responsible it it were a part of the District.

8.5 Rules and Regulations Apply: These Rules and Regulations shall be applicable to all property owners outside the District who are furnished water service by the District, and no connection to the District's water mains shall be permitted until the property owner shall have agreed to abide by the Rules and Regulations, provided, however, that the Board of Directors, in its discretion, may charge a higher connection fee, inspection fee and user fee for properties not located within the District.

8.6 Outside Service Revocable: In every case where the District furnished water service to properties outside the District, such service shall be considered a revocable license. The District reserves the right to discontinue the service when, in the judgment of the Board of Directors, it is in the best interest of the District to do so.