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k' ■ KLEINFELDER the contract as well as an increase in our fees in the event that the terms and conditions are significantly different. FEE AND SCHEDULE Kleinfelder can perform the described scope of work for the expedited fee of$12,575 on a time and expense basis, and will be completed in approximately 6 weeks from the date we receive your acceptance of this proposal. If additional investigative efforts or sampling and analysis are recommended based upon our research, a separate scope of work, schedule, and budget will be submitted for your approval. AUTHORIZATION A signed original proposal, returned to us, will serve as our formal authorization to proceed. If there is a need for any change in the proposal, 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. The proposal will remain in effect for 90 days from the date shown on the proposal and therefore shall be null and void unless our original proposal for the work performed has been accepted using the acceptance signature block by an authorized client representative and one of the entire proposal returned to Kleinfelder. 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. Therefore, the client will be contractually bound to make any said disclosures in lieu of Kleinfelder, its owners, principals, employees or subcontractors. LIMITATIONS The proposed scope of work requested by HCB is limited to evaluating environmental concerns associated with the potential presence of hazardous substances in conjunction with the transfer or financing of the referenced property. This limited environmental evaluation does not include sampling and analysis or other services not described. Other environmental or geotechnical investigative services can be provided for additional fees. The scope of services described here is not intended to be inclusive, to identify all potential concerns, or to eliminate the possibility of environmental problems. Within current technology, no level of assessment can show conclusively that a property or its structures are completely free of hazardous substances. Therefore, Kleinfelder cannot offer a certification that the property is clear of environmental liability. Kleinfelder will assume no responsibility or liability whatsoever for any claim, loss of property value, damage, or injury which results from pre-existing hazardous substances being encountered 02001 PROP.ENV/ST04P 165/DGD:ss Page 5 of 6 Copyright 2004,Kleinfelder, Inc. April 19,2004