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10.1.3. Partner Budget Adiustment: The Parties acknowledge that <br />this Program is offered in furtherance of the Commission's strategic <br />energy efficiency goals for California and is based on the City's <br />commitment to attain such goals and its desire to provide leadership <br />to its community. To this end, in the event that SCE determines, in <br />its sole discretion and through the tracking mechanism set forth in <br />10.12 above, that the City is not performing in accordance with the <br />goals and objectives set forth in Section 4.2 hereof, then SCE shall <br />have the unilateral right to reduce, eliminate, or otherwise adjust the <br />Partner Budget for the remaining Program year or years (other than <br />for Program Expenditures previously approved by SCE) by amending <br />Exhibit B and providing the amended Exhibit to the City. Pursuant to <br />this Section, any such amended Exhibit B shall automatically be <br />incorporated into this Agreement and take effect immediately upon <br />delivery from SCE to the City. <br />10.1.4. Partner Budget Categories <br />a. Non-Incentive Budget: The Partner Budget is comprised of a <br />non-incentive portion which includes separate categories for <br />Marketing, Education & Outreach, Technical Assistance [and <br />Direct Implementation], all of which are more fully described <br />in the Program Implomentation Plan {Exhibit C). <br />b. Incentive Budget: As part of the Partner Budget, the City shall <br />be eligible to receive certain enhanced Incentives through <br />partnership participation in SCE core programs, as well as <br />additional incentives consistent with the City's tier level of <br />program participation, including completion of municipal <br />retrofit projects further described in this Agreement and in the <br />Program Implementation Plan. The additional Incentives will <br />be made available as the City reaches higher Energy <br />Leadership Partnership Levels in accordance with Exhibit A. <br />10.2. Proarain Expenditures of Cit_v. The City, with SCE's prior approval, shall be <br />entitled to spend PGC funds, within the limits of the Partner Budget, on Program <br />Expenditures. The City shall not be entitled to reimbursement of Program <br />Expenditures for any item (i) not specifically identifiable to the Program, (ii) not <br />previously approved by SCE, {iii) not expended within the term of this Agreement, <br />or (iv) not otherwise reimbursable under this Agreement. <br />10.3. Payment to the Cif. In order for the City to be entitled to PGC funds for <br />Program Expenditures: <br />10.3.1. The City shall submit monthly activity reports to SCE in a format <br />acceptable to SCE and containing such information as may be <br />required for the reporting requirements set forth in Section 9 above <br />ENERGY LEADER PARTNERSHIP PROGRAM AGREEMENT I 1 <br />