55B - RESO - GRANT ALT ENERGY PROJECTS

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Contract No. ML12014 A. CONTRACTOR commits to ensuring fast-fill refuelng stations remain operational and accessible to public and/or fleets for a period of no less than five (5) years from the date the station begins dispensing fuel in either its initial or expanded capacity. Should CONTRACTOR desire to deviate from this obligation, for reasons other than those stated in Clause 8.B, above, CONTRACTOR shall reimburse AQMD for a prorated share of the funds provided for fueling facilities as indicated in the table below: 5 year Operational Availability Obligation Percentage of MSRC Funds to be Termination Occurs Reimbursed I Within Year 1 ----- Between Years 1-2 _ 1 Between Years 2-3 ?- 80°% Between Years 3-4 - 40 /o Belwaen Years 4-5 20% __ After Year 5 B. The appropriate reimbursable amount shall be paid to AQMD within sixty (60) days from the date the station ceases operation. CONTRACTOR shall not be responsible for any reimbursement to AQMD if the obligation is terminated as a result from one or more reasons set forth in Clause 8.B. C. The obligations of this section shall survive the expiration of the Contract and continue in full force and effect until the applicable operational availability period set forth above has been satisfied 15. ACCRUAL OF MILEAGE WITHIN SOUTH COAST AIR QUALITY DISTRICT - CONTRACTOR is obligated to comply with the geographical restriction requirements as follows: A. Each of the vehicles funded under this Contract must accrue at least 85% of its annual mileage or engine hours of operation within the geographical boundaries of the South Coast Air Quality Management District for a period of no less than five (5) years from the date the vehicle enters service (new vehicles) or returns to service (repowered vehicles). Should CONTRACTOR deviate from or fail to comply with this obligation, for reasons other than those stated in Clause 8.A., CONTRACTOR shall reimburse AQMD for a prorated share of the funds provided for the vehicle as indicated in the table below: 5 year Operations Obligation Percentage of MSRC Funds Termination Occurs ! to be Reimbursed Between Years 1-2 Between Years 2-3 60% I Between Years 3-4 40% I Between Years 4-5 20% 0% B. The appropriate reimbursable amount shall be paid to AQMD within sixty (60) days from the date the vehicle ceases to operate in accordance with the geographical restriction. CONTRACTOR shall not be responsible for any reimbursement to AQMD if the obligation is terminated as a result from one or more reasons set forth in Clause 8.A. C. Should CONTRACTOR sell, lease, transfer, assign or otherwise divest itself of the vehicles during the five year period referred to in clause 15.A, notice shall be provided to AQMD no less than 30 days preceding the sale, lease, transfer, or assignment is effectuated. The agreement effectuating the sale, lease, transfer or assignment shall state that the AQMD is an intended third-party beneficiary of the 55B-10