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XI. PARTICIPATION OF NEW CITIES <br /> A. After full execution of this AGREEMENT, cities not a PARTY to this AGREEMENT (either <br /> new cities or cities previously a PARTY to this AGREEMENT whose AGREEMENT has terminated) <br /> may be added to the COUNTY's Animal Care Services program at the discretion of and under terms <br /> deemed acceptable by the COUNTY. If such new or returning city requests to participate in the Animal <br /> Care Services program, and COUNTY elects to provide Animal Care Services to such city, such city will <br /> be required to pay all, or, if such expansion is necessitated by the participation of multiple new and/or <br /> returning cities, its pro rata portion, of the costs of any SHELTER expansion attributable to such city's <br /> anticipated use of the SHELTER. If the COUNTY determines, at its sole discretion, that no expansion is <br /> required to accommodate a new or returning city, said city or cities shall be required to pay, in addition to <br /> actual annual costs, 5% of its Notice of Intent (see Exhibit A, Section ILA) for shelter maintenance and <br /> repair which shall be used by COUNTY to defray the cost of capital projects for the current PARTIES to <br /> this Agreement whose contracts did not terminate. CITY payment of 5% above annual Notice of Intent <br /> shall be limited to the term of this AGREEMENT. For the sake of clarity and avoidance of <br /> misunderstanding, new or returning cities will not be offered the option to lease SHELTER facilities <br /> pursuant to the"USE OF SHELTER UPON DISCONTINUANCE OF USE BY COUNTY"paragraph of <br /> this AGREEMENT. <br /> XII. GOVERNING LAW AND VENUE <br /> This AGREEMENT has been negotiated and executed in the State of California and shall be governed <br /> by and construed under the laws of the State of California. In the event of any legal action to enforce or <br /> interpret this AGREEMENT, the sole and exclusive venue shall be a court of competent jurisdiction <br /> located in Orange County, California, and the PARTIES hereto agree to and hereby submit to the <br /> jurisdiction of such court, notwithstanding Code of Civil Procedure Section 394. Furthermore, the <br /> PARTIES specifically agree to waive any and all rights to request that an action be transferred for trial to <br /> another county. <br /> XIIL ATTORNEY'S FEES <br /> In any action or proceeding to enforce or interpret any provision of this AGREEMENT, or where <br /> any provision hereof is validly asserted as a defense, each PARTY shall bear its own attorney's fees, <br /> costs and expenses. <br /> XIV. APPROPRIATIONS <br /> During the term of this AGREEMENT, for each fiscal year, CITY shall make reasonable efforts to <br /> adopt all necessary budgets and make all necessary appropriations for all payments due hereunder. To <br /> the extent COUNTY has not terminated this AGREEMENT as provided hereunder, the CITY shall <br /> continue to make reasonable efforts to make all payments required hereunder. <br /> CITY OF SANTA ANA 8 Of 10 <br />