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File No. 20-3978-02.E01 in KLEINFELDER October 30, 1996 AUTHORIZATION Our standard contract for environmental services is attached for your review and, in addition to the scope of services proposed herein, is the basis for the proposed fee. Signed contracts returned to us will serve as our formal authorization to proceed. We will return an executed contract to you for your records. If there is a need for any change in the scope of services or schedule described in the revised proposal or in the standard contract, please call us immediately. Changes may require revision of the proposed fee which will be communicated to you upon assessment of the requested changes' effect on the fee. All terms and conditions indicated in this revised proposal and our attached contract will be considered by both parties to be in effect from the effective date of the executed contract through completion of the project. The revised proposal will remain in effect for 30 days from the date shown on the revised proposal and therefore shall be null and void unless our contract has been signed for the work performed. All information gathered during the study by Kleinfelder is considered confidential and will be released only upon written authorization of the client or as required by law. California law requires a person to inform the state if a situation is encountered that can be considered an immediate endangerment to the public's health or welfare and/or to the environment. LIMITATIONS The proposed scope of work requested by Spreckels Development Company and is limited to the work proposed in specific areas of the above-referenced site. The proposed work does not include sampling and analysis or other services not specifically described. Other environmental or geotechnical investigative services can be provided for additional fees. Kleinfelder offers a range of investigative and engineering services to suit the varying needs of our clients. Although risk can never be eliminated, more detailed and extensive investigations yield more information, which may help understand and manage the degree of risk. Since such detailed services involve greater expense, our clients participate in determining the level of service which provide adequate information for their purposes at an acceptable level of risk. Acceptance of this revised proposal will indicate that Spreckels Development Company has reviewed the scope of service and determined that it does not need or want more services than are being proposed at this time. Any exceptions should be noted and may result in a change in fees. 20-3978-02.E0//MR960/24 Page 5 of 01996. Kleinfelder, Inc.