EXHIBIT 17-B

Rule 11 Defined Terms Used in Ordinance No. 156

ACRE-FOOT – “Acre-Foot” shall mean an amount of water equal to 325,851 gallons. One fixture unit shall be deemed to have an annual Water Use Capacity equivalent to 0.01 Acre-Foot.

CHANGE OF USE – “Change of Use” means, in the case of commercial, industrial or public authority structures, a change in the use to which the structure was previously devoted, to a substantially different use, as uses are categorized by Table No. 2 of Rule 24.

CISTERN – “Cistern” shall mean an artificial reservoir (e.g., an underground tank) for storing water (i.e. Groundwater or rainwater).

CONNECTION – Connection” means the point of intersection where a User gains access to the Water Distribution System. Where a Water-Measuring Device is installed, the Water Distribution System shall include the Water-Measuring Device and the Connection shall be the nearest point of User access beyond the Water-Measuring Device. Where a Water-Measuring Device is removed for a period exceeding 36 months, or is relocated or resized, the former Connection shall cease to exist. Where any Permit is transferred in contravention of Rule 28, the Connection(s) affected by said Permit shall cease to exist. For the purpose of these Rules and Regulations, access for fire protection and/or access for short-term use through a hydrant meter installed with the consent of the Water Distribution System Operator shall not be deemed a Connection. Each new Connection, based upon projected quantity of water use, shall be categorized as either “Residential” or “Non-Residential.”

DEDICATED IRRIGATION METER – Dedicated Irrigation Meter” shall mean a water meter exclusively used to measure outdoor water consumption.

ESTIMATED TOTAL WATER USE – Estimated Total Water Use” is determined based upon the area of Landscaping and the types of plant material used in the Landscaping (as determined by Water Use Classification of Landscape Species (WUCOLS) classifications). The sum of the ETWU calculated for all hydrozones shall not exceed MAWA.

EVAPOTRANSPIRATION – “Evapotranspiration” or “ET” shall mean the loss of water from a vegetative surface through the combined processes of plant transpiration and soil evaporation. ET is equivalent to and frequently referred to as consumptive use.

FLOW RESTRICTOR – “Flow Restrictor” shall mean a device placed into the Water Distribution System by the distribution system Operator, or put into the output of a private Well, that restricts the volume of flow to the User.

HIGH EFFICIENCY TOILET – “High Efficiency Toilet” or “HET” shall mean a toilet that is designed to flush at 20 percent below a 1.6-gallons-per-flush Ultra-Low Flush Toilet. A High Efficiency Toilet shall have a maximum average flush of 1.3 gallons.

INTENSIFICATION OF USE – “Intensification of Use” shall mean an increase either in the number of fixture units served or an increase in the projected Capacity for water use per annum, which may occur through an existing Connection.

IRRIGATION SYSTEM – Irrigation System” shall mean a device or combination of devices having a hose, pipe or other type of conduit installed in the Landscape which transmits water, and through which device or combination of devices, water is drawn and applied to Residential, industrial or commercial lawns, Landscapes or green space.

LANDSCAPE IRRIGATION AUDITOR – “Landscape Irrigation Auditor” shall mean a Person certified by the Irrigation Association to perform Landscape Water Audits and assign Landscape Water Budgets.

LANDSCAPE WATER AUDIT – “Landscape Water Audit” shall mean an action taken by a Landscape Irrigation Auditor certified by the Irrigation Association to determine reasonable outdoor water use.

LANDSCAPE WATER BUDGET – “Landscape Water Budget” shall mean a maximum annual water allowance in gallons per year, determined upon completion of a Landscape Water Audit by a Landscape Irrigation Auditor certified by the Irrigation Association. The Landscape Water Budget shall take into consideration the types of plants, soil condition, Evapotranspiration rates and Irrigation System.

LANDSCAPING – “Landscaping” shall mean the arrangement of plants and other materials that may result in outdoor water use.

LARGE BATHTUB – “Large Bathtub” shall be any bathtub or whirlpool bathtub with a Capacity of greater than 55 gallons to overflow as indicated in the manufacturer’s product specifications or as detailed by the custom designer. A Large Bathtub may have a single Showerhead that sprays into the bathtub.

LAWN – “Lawn” shall mean an area of land planted with live, healthy grass which is regularly maintained, irrigated and groomed at a low, even height.

LARGE RESIDENTIAL USER – “Large Residential Water User” shall mean any Residential Water User consuming at least 384 units (287,232 gallons) in the previous Water Year (or an average of 32 units per month).

MOBILE WATER DISTRIBUTION SYSTEM – “Mobile Water Distribution System” means any Potable or Sub-potable Water delivery that originates at a location apart from the Site of use and that is delivered via a truck or other movable container. This definition includes, but is not limited to, trucked water. This definition shall not apply to deliveries of water by commercial companies in volumes less than or equal to 55 gallons per container.

NEW STRUCTURE – “New Structure” shall mean construction or replacement of a structure or use that requires a Water Permit.

NON-RESIDENTIAL – “Non-Residential” shall mean water uses not associated with Residential use. These uses include Commercial, Industrial, Public Authority, Golf Course, Other Use, Non-Revenue Metered Use, and Reclaimed Water.

ON-SITE – On-Site” shall mean located on the same Site.

OPEN SPACE – “Open Space” shall mean public land area left in an un-built state as defined in the California Government Code, Section 65560. Open Space includes plazas, parks, and cemeteries.

PERMIT – “Permit” shall mean any written approval by the staff or Board of the Monterey Peninsula Water Management District, based on an application, request, or appeal. This term shall include, but shall not be limited to, approvals referenced in Regulation II, “Permits”, Regulation VI, “Fees”, Regulation VII, “Appeals”, and/or Regulation IX, “Variances.”

QUALIFYING DEVICE – “Qualifying Devices” shall mean fixtures and/or appliances that meet the criteria for a Rebate.

QUALIFYING PROPERTY – “Qualifying Property” shall mean a property where there has been no requirement to install the Qualifying Devices for which the Rebate is requested. Properties that do not meet this definition include: (1) properties subject to Rule 144, (2) properties for which a Water Permit was issued between 1985 and 1987, and/or (3) properties required to retrofit as a condition of a water rationing variance.

REBATE – “Rebate” shall mean a payment to an Applicant for the purchase and installation of Qualifying Devices on a Qualifying Property.

RESIDENTIAL – “Residential” shall mean water used for household purposes, including water used on the premises for irrigating lawns, gardens and shrubbery, washing vehicles, and other similar and customary purposes pertaining to Single and Multi-Family Dwellings.

SHOWER, SEPERATE STALL – “Shower, Separate Stall” shall mean an enclosure that contains one Showerhead and is neither a Standard Bathtub nor a Large Bathtub.

SHOWERHEAD – “Showerhead” shall mean a fixture in which water is sprayed or flows on the bather.

SITE – “Site” shall mean any unit of land which qualifies as a Parcel or lot under the Subdivision Map Act, and shall include all units of land: (1) which are contiguous to any other Parcel (or are separated only by a road or easement), and (2) which have identical owners, and (3) which have an identical present use. The term “Site” shall be given the same meaning as the term “Parcel”.

STANDARD BATHTUB – “Standard Bathtub” shall mean a tub for bathing that holds no more than 55 gallons of water to the overflow drain. A Standard Bathtub may have a single Showerhead that sprays into the bathtub. Manufacturer’s specifications shall be acceptable evidence of the water Capacity of the tub for the purpose of this definition. (See Large Bathtub for bathtubs holding more than 55 gallons of water.)

ULTRA LOW CONSUMPTION TECHNOLOGY – “Ultra-Low Consumption Technology” shall mean technology specifically designed to permanently and mechanically reduce water use below conventional levels.

ULTRA-LOW FLUSH TOILET – Ultra-Low Flush Toilet” or “ULF Toilet” shall mean a toilet that is designed to flush with no more than 1.6 gallons-per-flush.

USER – “User” means a customer or consumer of water delivered by a Water Distribution System. User does not include any Owner or Operator of a Water Distribution System. Each residence, commercial enterprise, or industrial enterprise shall be deemed a separate and distinct User, except that a User may extend incidental water use (e.g. a single Bar Sink) to another for convenience.

WATER CREDIT – Water Credit” shall mean a record allowing reuse of a specific quantity of water upon a specific Site. A Water Credit differs from a Water Use Credit in that it is not characterized by a Permanent Abandonment of Use, but may be the result of a temporary cessation of use.

WATER DISTRIBUTION SYSTEM – Water Distribution System” means all works within the District used for the collection, storage, transmission or distribution of water from the Source of Supply to the Connection of a system providing water service to any Connection including all Water-Gathering Facilities and Water-Measuring Devices. In systems where there is a water meter at the point of Connection, the term “Water Distribution System” shall not refer to the User’s piping; in systems where there is no water meter at the point of Connection, the term “Water Distribution System” shall refer to the User’s piping.

WATER MEASURING DEVICE – “Water-Measuring Device” means any water meter or other measuring device intended to measure water usage by a User of the Water Distribution System.

WATER MEASURING DEVICE – “Water-Measuring Device” means any water meter or other measuring device intended to measure water usage by a User of the Water Distribution System.

WATER PERMIT – “Water Permit” shall mean a document issued by the MPWMD that authorizes a specific amount and type of water use on a Site.

WATER USE CREDIT – “Water Use Credit” shall mean a limited entitlement by a Person to use a specific quantity of water upon a specific Site. Water Use Credits shall be limited by time, and by other conditions as set forth in the District’s Rules and Regulations.

WATER YEAR – “Water Year” shall mean the period from October 1 of one year to September 30 of the succeeding year.

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