PENNINGTON PERFORMANCE GROUP 1A - 2008

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June 25, 2008 Ms. Catherine Standiford Assistant City Manager City of Santa Ana Post Office Box 1988 Santa Ana, CA 92702 Dear Cathy: I am pleased that we will be continuing our work to define and grow the Santa Ana Way. It is an honor to work with you and the staff at the City of Santa Ana. This letter confirms the next steps of our work together and represents an amendment to our previous agreement. This amendment would extend the previous contract to June 30, 2009. It expands the scope of services to provide additional consultation and program development for the Santa Ana Experience training modules. Based on our previous conversations, the fees for completing this next phase of our work will not exceed $25,000. The next step in our development is conducting focus group with City of Santa Ana employees to gather feedback and refine the meaning of the Santa Ana Way. This will take place on July 1 - 2, 2008. Following the completion of this activity, we will do the following: • Finalize the Santa Ana Experience expectations with the leadership team • Finalize the goals and scope of the Santa Ana Experience training modules • Move forward on program development and planning We are proposing that all terms and conditions of our existing contract stay in force for this phase of our work. We anticipate that we should be able to proceed to the roll out of the Santa Ana Experience training modules in the fall of 2008 and that any fees for training delivery, instructor certification, and materials licensing will be addressed separately. I look forward to our next conversation and moving forward. All the best, ..1 Pennington performance group 4004 Winter Park Lane Addison, TX 75001 972.980.9857 Sent electronically Randy G. Pennington President Accepted by: Catherine Standiford Date: EXHiBI~ ~~;