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�� _ • K L E i N F E L D E R Management Company. Services rendered by Kleinfelder to repair them will be billed at cost. Underground Service Alert (USA) at 1-800-642-2444 provides a partial location service free of charge for major utility lines. It is important that the Sims-Grupe Management Company understand that subsurface under private property will not be marked by the public utility companies contacted by USA. Kleinfelder can make contact with USA for a site visit, if requested. • Two copies of our report of findings will be supplied to the client, additional copies will be provided on a time and expense basis. AUTHORIZATION Please review the enclosed Proposal, Typical Kleinfelder Field Protocol, Cost Estimate, Master Services Agreement, and Work Order. If the proposal is acceptable to you, we can begin work as soon as we receive the signed originals of the Master Service Agreement and Work Order. We would, of course, have to approve any requested changes before proceeding. Please send both originals of the Master Service Agreement and Work Order. We will sign and return a fully executed original for your records. If there is a need for any change in the scope of services described in this proposal, please contact us immediately. Changes may require revision of the proposed fee, which will be communicated to you upon assessment of the requested changes. All terms and conditions indicated in this proposal will be considered by both parties to be in effect from the effective date of the executed contract through completion of the project. Separate proposals for future phases of work can be provided as the development process moves forward. LIMITATIONS Kleinfelder prepared this proposal in accordance with generally accepted standards of care which exist in San Joaquin County, California at this time. It should be recognized that definition and evaluation of geologic and environmental conditions are a difficult and inexact science. Judgments leading to conclusions and recommendations are generally made with incomplete knowledge of the subsurface conditions present. More extensive studies, including subsurface investigations, may be performed to reduce uncertainties. If the client wishes to reduce the uncertainties beyond the level associated with this proposal Kleinfelder can be notified for additional consultation. No warranty, expressed or implied, is made. Kleinfelder offers various levels of investigative and engineering services to suit the varying needs of different clients. Although risk can never be eliminated, more-detailed and extensive investigations yield more information, which may help understand and manage the level of risk. Since detailed investigation and analysis involves greater expense, our clients participate in determining levels of service which provide adequate information for their purposes at acceptable levels of risk. Acceptance of this proposal 02001 PROP.ENV/ST07P271/DGD:ly/ra Page 6 of S ©2007 Kleinfelder October 31,2007