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(b) Have at their own expense constructed and conveyed to you water stains. to serve properties being developed by them subject to refund of the cost pursuant to the rules and regulations of the Water Company, The amount subject to refund pursuant to such contracts, less the amount of refunds heretofore paid shall be credited to said purchase price of Two Million Five Hundred Thousand Dollars ($2,500,000.00). Said contracts will be assigned to the District and the District will assume all liabilities under said contracts. The amount of such credit shall be determined and the assumption of such liabilities shall be as of the date of consummation of the sale of the properties. Said purchase price shall be paid to you in cash or in such other medium of payment as you may designate. It is understood that in order to finance this purchase it is necessary that the undersigned be authorized to issue bonds pursuant to the Statute under which the undersigned was created and is acting. Therefore, one of the conditions of this offer is that it shall not be binding upon the undersigned until its bonds so to be authorized are sold and the money therefrom is available. This offer shall remain in effect 7