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2010 - 2012 CUSTOMIZED SOLUTIONS AGREEMENT TERMS AND CONDITIONS FOR LOCAL GOVERNMENT AND INSTITUTIONAL PARTNERSHIPS This Customized Solutions Agreement ( "Agreement") is entered Into by Southern California Edison Company ( "SCE ") and the Customer or the Customer's Authorized Agent, as identified on page 1 above (each deemed an "Applicant" for purposes of this Agreement). Applicant agrees to review these terms and conditions. Any Implementation of a project hereunder will be deemed to be acceptance by the Applicant of such termd and conditions, and such terms and conditions shall be binding on the Applicant (both Customer and Authorized Agent, N applicable). If these terms and conditions are not acceptable to Applicant, then Applicant must notify SCE and refrain from any Implementation of the project, otherwise will proceed at their own risk. SCE and Applicant may be individually referred to as a "Party" and collectively as the "Parties." 1.0 PROJECT DESCRIPTION This Agreement Is limited to those projects and /or solutions described in the applicable 2010 -2012 Energy Management Solutions - Incentive Application for Business Customers (together with all forms attached thereto; and referred to herein as the "Application "). As stated in the Application, SCE shall pay incentives to Applicant, or such other party property authorized to receive payment, In accordance with the terms and conditions of this Agreement. The Customized Solutions Program ( "Program's is further described In the 2010 Customized Statewide Procedures Manual for Business ( "Program Manual ") and at www.sce.com /customized solutions. 2.0 DOCUMENTS INCORPORATED BY REFERENCE The following documents are hereby Incorporated by reference and made part of this Agreement: (i) Applicants completed, signed and submitted Application, (i1) SCE acceptance letter(s) based on the energy saving solutions proposed in the Application, and (ill) the agreement (or. memorandum of understanding, as applicable) to Jointly deliver the 2010 -12 Energy Efficiency Partnership Program applicable to the Parties (the "Partnership Agreement°): 3.0 E!QIBI TY Program funding Is limited and is available on a first -come, first - served basis. Funds will be reserved only upon both SCE's written approval of the Application and SCE's execution of tiiis Agreement. Projects must meet the following requirements to be eligible for payment of Program Incentives ("incentive(s) "): (1) Project site must be a nonresidential facility located within SCE's service territory; (2) SCE Customers must pay the Public Goods Charge CPGC ") on the SCE electric meter where the energy efficient equipment is installed; (3) Projects will be evaluated using the Calculated Approach and /or the Measured Savings Approach (also known as measurement and verification ("M &V"); (4) Energy savings and demand reduction resulting from the project must be above and beyond baseline energy performance, which include state - mandated codes, federal- mandated codes, industry-accepted performance standards or other baseline energy performance standards as determined by SCE; (5) Projects must meet all other Program requirements, terms and conditions; (6) Applicant certifies that Applicant will not apply for or receive rebates, Incentives, or services covered by this Agreement in an amount greater than the total cost of the project or solution(s) (including labor and materials); and (7) The Applicant certifies that the solutions covered by this Agreement have not and will not receive any funds from any other utility, state or local program funded by the PGC surcharge. 4.0 SUBMITTAL REQUIREMENTS FOR PAYMENT Applicant shall submit to SCE the documents described below -prior to being eligible-for payment.of Incentives.. Requirsid._documents_lnclude, .but.ace not.limited.to,;_(1)- This_.._ Agreement, fully executed and with the attached documents referenced In item 2.0 above; (2) Complete engineering calculations to demonstrate energy savings and documentation, if applicable (including archival diskette, CD, etc.); (3) Schematic drawings and /or manufacturer specification sheets, if applicable; (4) Invoices and/ordocumentation to support solution costs, at SCE's request; (5) Project installation Report; (6) Operating Report, if M &V is required; and (7) Any other documents related to the project, project site, solutions, energy savings or otherwise requested by SCE in its sole discretion, in connection with the Program. 6.0 INSPECTIONS Applicant is solely responsible fdr ensuring that SCE has reasonable access for all inspections, Including but not limited to: (1) Pre- Installatlon equipment Inspection to examspa the existing/baseline equipment and to check the accuracy of Applicant's equipment survey; (2) Post installatlori'squipment Inspection to check installed equipment and to verify accuracy of Applicant's equipment survey; (3) Post-operation Inspection to verify energy savings of the solutions after installed equipment has been operating, if requested by SCE; and (4) Inspection for any other Program- related reason that SCE, in its sole discretion, deems necessary. 6.0 REVIEW AND DISCLAIMER SCE's AND /OR ITS CONSULTANTS' REVIEW OF THE DESIGN, CONSTRUCTION, OPERATION OR MAINTENANCE OF THE PROJECT OR ENERGY EFFICIENCY SOLUTIONS SHALL NOT CONSTITUTE ANY REPRESENTATION AS TO THE ECONOMIC OR TECHNICAL