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restricted fund as referenced in Section VIII A., excluding its proportionate share of the restricted fund <br />that has been spent or encumbered. <br />C. The County agrees that upon receipt of such written notice pursuant to Paragraph B above, it will <br />promptly repay the Party requesting such repayment. <br />D. "Adjusted Financial Interest" shall mean a value determined as follows: <br />1. An "Initial Party Investment" shall be the amount specified in Section VII A. of this <br />Agreement. <br />2. Upon the issuance of the certificate of occupancy for the HMM Facility, the County shall <br />provide evidence of the total cost of constructing the HMM Facility. The Parties shall <br />review such evidence and agree on the percentage of the total costs of construction <br />contributed by each Party (the "Investment Percentage "). <br />3. A Party's Adjusted Financial Interest shall equal the then - existing fair market value of <br />the HMM Facility multiplied by the Party's Investment Percentage. <br />E. If the Parties cannot agree on the fair market value of the HMM Facility, its fair market value will <br />be determined by an appraisal. The appraiser shall be selected jointly by the Parties and shall be a <br />Member of the Appraisal Institute (M.A.I.) or a person with equivalent professional expertise. The cost <br />of the appraisal shall be borne equally by the County and those Parties seeking the return of their <br />Adjusted Financial Interest. <br />To the greatest extent practicable, the fair market value of the HMM Facility shall not include any <br />sums attributable to Significant Improvements to the HMM Facility made solely by the County after its <br />initial construction. A "Significant Improvement" shall mean a permanent alteration, addition, or <br />enhancement to the HMM Facility that increased its fair market value by ten percent or more as of the <br />time of the valuation required by the Agreement. <br />Maintenance expenses and expenditures to preserve or strengthen the structural integrity of the <br />HMM Facility, such as, for example, new roofing, siding or windows, or to bring the HMM Facility into <br />compliance with County building, electrical, plumbing, fire and similar codes shall not be considered to <br />be Significant Improvements. <br />Appraisal of the HMM Facility shall only be of the capital improvements funded by the Parties <br />and shall not include any appreciation or depreciation of the land upon which the HMM Facility is <br />constructed. <br />The County shall be responsible for maintaining sufficient records to enable an appraiser to <br />determine whether a particular expenditure for the HMM Facility constituted a Significant Improvement. <br />If sufficient contemporaneous records are unavailable to clearly establish that a particular expenditure <br />constituted a Significant Improvement and to establish the amount by which the fair market value of the <br />HMM Facility should be reduced because of that expenditure, then it may not be considered to be a <br />Significant Improvement. <br />F. If the County defaults before the City of Boulder or the City of Louisville has paid its full Initial <br />Party Investment, its Adjusted Financial Interest shall be recalculated to reflect only its actual payments to <br />the County Recycling Sales and Use Tax Fund and its liability for any future payments pursuant to <br />Section VII A. shall be extinguished. <br />9 <br />