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DEP vs. Indian River County Settlement Agreement, OGC No. 22-0150 Page 6 Duration), Respondent shall not transfer or use funds obtained by the Respondent from the collection of sewer rates for any purpose not related to the management, operation, or maintenance of the Sewer System or to any capital improvement needs of the Sewer System (hereinafter, Prohibited Transfer). Respondent shall annually certify to the Department using the Annual Certification Form located on Exhibit B to this Settlement that no Prohibited Transfer has occurred. In the event of any Prohibited Transfer, the In - Kind project option shall be forfeited, and entire civil penalty shall immediately become due and owing to the Department irrespective of any expenditures by the Respondent in furtherance of the In -Kind project. If Respondent elects to implement an in-kind project as provided in this paragraph, then Respondent shall comply with all the requirements and time frames in Exhibit A entitled In -Kind Projects. 12. Pollution Prevention Option for Offset of Penalties or Stipulated Penalties: In lieu of making cash payment of $29,995.00 in civil penalties as set forth in Paragraph 8, Respondent may elect to offset this amount by implementing a Pollution Prevention (P2) Project, which must be approved by the Department. P2 is a process improvement that reduces the amount of pollution that enters the environment; by conserving resource (including water, raw materials, chemicals, and energy) use, or by minimizing waste generation (including domestic and industrial wastewater, solid and hazardous waste, and air emissions). A P2 Project must reduce pollution or waste within the process beyond what is required by federal, state, or local law, in order to be eligible for civil penalty offset under this Agreement. If Respondent chooses to implement a P2 Project, Respondent shall notify the Department of its election by certified mail within 15 days of the effective date of this Agreement. Notwithstanding the election to implement a P2 Project, payment of the remaining $500.00 in costs must be paid within 30 days of the effective date of the Settlement Agreement. If Respondent elects to implement a P2 Project, Respondent shall submit a completed P2 Project Plan (Plan) within 60 days of the effective date of this Agreement. The Plan must be