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A. Estimates and Duration. The enclosed Exhibit A estimate is valid for 90 days and may be revised
<br />after that time if the installation of gas facilities for the Project has not begun. Once SoCalGas
<br />begins the installation, the estimated cost will remain in effect for twelve (12) months. If at the
<br />end of the twelve (12) months the work is not complete, SoCalGas reserves the right to calculate its
<br />costs for the work completed, less applicable allowances, and issue a new project and Line Extension
<br />Contract for the remaining installation work. Applicants who submit a new application for gas line
<br />extension(s) on or after July 1, 2023 must pay SoCalGas the actual cost, but the estimated amount is
<br />due and payable in advance. Because of unforeseen contingencies and other factors, the actual cost may
<br />be considerably higher or lower than this estimate. Therefore, the estimate is not a warranty by
<br />SoCalGas of the actual cost. If additional monies are due, Applicant agrees to pay them within 30 days
<br />after invoice. Applicant will be responsible for costs of engineering, planning, surveying, right of
<br />way acquisition and other associated costs. Estimated and actual cost excludes Betterments and Utility
<br />Convenience.
<br />B. Allowances. Applicant(s) receiving allowances as an offset to the installation costs are
<br />responsible for these costs and may be billed subject to the following: line extension(s) where
<br />allowances have been granted to the Applicant based on future gas load(s) must have the gas meter(s)
<br />installed and turned on with bona fide load within six (6) months for main/main and service(s)
<br />installations and twelve (12) months for service(s) only installations. These time frames commence
<br />from the date SoCalGas completed the installation of gas facilities. If Applicant fails to comply, the
<br />Applicant will be billed for the difference between estimated allowances and authorized allowances, as
<br />described in Tariff Rule Nos. 20 and/or 21. The bill amount will include Income Tax Component
<br />Contribution and Advances (ITCCA/CIAC) Tax. Applicant requested temporary service(s) are fully
<br />collectible. Refunds shall be made and calculated in accordance with Rule No. 22.
<br />C Attorneys Fees and Offset. If SoCalGas is required to bring an action to collect monies due or to
<br />enforce any other right or remedy, Applicant agrees that SoCalGas is entitled to recover its
<br />reasonable attorneys' fees and costs. SoCalGas may withhold from any payments due Applicant any
<br />amounts Applicant owes SoCalGas.
<br />II. INDEMNITY
<br />A. General. Applicant shall indemnify and hold SoCalGas harmless from and against all liability
<br />(excluding only Pre -Existing Environmental Liability) connected with or resulting from injury to or
<br />death of persons, including but not limited to employees of SoCalGas or Applicant, injury to property
<br />of SoCalGas, Applicant or a third party, or violation of local, state or federal laws or regulations
<br />(excluding environmental laws or regulations) (including attorneys' fees) arising out of the
<br />performance of this Contract, except only for liability to the extent it is caused by the negligence
<br />or willful misconduct by SoCalGas.
<br />B. Environmental. Applicant shall indemnify and hold SoCalGas harmless from and against any and all
<br />liability (including attorneys' fees) arising out of or in any way connected with the violation or
<br />compliance with of any local, state, or federal environmental law or regulation as a result of pre-
<br />existing conditions at the Project site, release or spill of any pre-existing hazardous materials or
<br />waste, or out of the management and disposal of any pre-existing contaminated soils or groundwater,
<br />hazardous or nonhazardous, removed from the ground as a result of SoCalGas's work performed ("Pre -
<br />Existing Environmental Liability"), including, but not limited to, liability for the costs, expenses,
<br />and legal liability for environmental investigations, monitoring, containment, abatement, removal,
<br />repair, cleanup, restoration, remedial work, penalties, and fines arising from the violation of any
<br />local, state, or federal law or regulation, attorneys' fees, disbursements, and other response costs.
<br />As between Applicant and SoCalGas, Applicant agrees to accept full responsibility for and bear all
<br />costs associated with Pre -Existing Environmental Liability. Applicant agrees that SoCalGas may stop
<br />work, terminate it, redesign the gas facilities to a different location, or take other action
<br />reasonably necessary to complete its work without incurring any Pre -Existing Environmental Liability.
<br />C. Withhold Rights. In addition to any other rights to withhold, SoCalGas may withhold from payments
<br />due Applicant such amounts as, in SoCalGas's reasonable opinion, are necessary to provide security
<br />against all loss, damage, expense and liability covered by the foregoing indemnity provisions.
<br />III. WARRANTY
<br />SoCalGas requires that Applicant warrant all materials and workmanship performed by Applicant
<br />(directly or through a contractor other than SoCalGas) shall be free of all defects and fit for their
<br />intended purpose. A one-year warranty on any materials and a two-year warranty on any installation
<br />work provided are required. If Applicant's work or materials fail to conform to the warranty,
<br />Applicant shall reimburse SoCalGas for the total cost of repair and/or replacement or SoCalGas may
<br />give Applicant the opportunity to fix within a reasonable time such defect(s). Such reimbursements are
<br />non-refundable and the amount of such reimbursements may be withheld by SoCalGas and offset against
<br />refundable amounts owed Applicant, when applicable.
<br />IV. TARIFF RULES / COMMISSION
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