BUNNELL-LAMMONS ENGINEERING, INC.

GEOTECHNICAL, ENVIRONMENTAL AND CONSTRUCTION MATERIALS CONSULTANTS

June 26, 2013

Macon County Solid Waste Management Department 109 Sierra Drive Franklin, NC 28734 Attention: Mr. M. Chris Stahl Director Contract for a Design Hydrogeologic Investigation & Report (DHR) Phase 2, Cell 3 Waste Unit Macon County Landfill, Permit #57-03 Franklin, North Carolina BLE Contract No. P12-0527

Subject:

Dear Mr. Stahl: Bunnell-Lammons Engineering, Inc. (BLE) is pleased to submit this contract to Macon County to provide geological and hydrogeological services as part of the application for the Permit to Construct the proposed Phase 2, Cell 3 waste unit at the Macon County Municipal Solid Waste Landfill. This contract addresses relevant siting requirements for a municipal solid waste landfill as set forth by the North Carolina Division of Waste Management (NCDWM) for a Design Hydrogeologic Report (DHR).

PROJECT INFORMATION The project information below was obtained from a request for qualifications (RFQ) issued by Macon County and from data in our project records from previous work performed by BLE at the site. Additional information was provided by Mr. Mark Cathey, P.E. of McGill Associates (McGill) who is the engineer of record for the MSW landfill. Macon County owns and operates a recycling center and solid waste disposal facility at 1448 Lakeside Drive in Franklin, North Carolina. The facility includes a Subtitle D municipal solid waste (MSW) landfill, convenience centers, transfer station, material recycling facility, and recycling and educational programs. The MSW facility includes an inactive Phase 1 Cell 1waste unit (6.6 acres) and an active Phase 2 Cell 2 waste unit (14.2 acres). The county intends to expand the existing MSW landfill facility by constructing the next planned expansion, identified as Phase 2, Cell 3. The expansion area is approximately 22 acres and is located east of the recycling center. We understand that site suitability for the subject expansion area was obtained as the result of a study conducted by Westinghouse Environmental and Geotechnical Services, Inc. (Westinghouse) in 1989 and reported on January 17, 1990.

6004 PONDERS COURT GREENVILLE, SOUTH CAROLINA 29615

PHONE (864) 288-1265 FAX (864) 288-4430

Design Hydrogeologic Investigation & Report (DHR) Phase 2, Cell 3 Macon County, North Carolina

June 26, 2013 BLE Contract Number P12-0527

As part of the landfill expansion project, Macon County has requested that BLE prepare a proposal to perform borings, install piezometers, conduct testing and geotechnical engineering, and to prepare a DHR for submittal to the NCDWM. We understand that the DHR will be included as part of the application for a Permit to Construct which will be prepared by McGill.

PROPOSED SCOPE OF SERVICES The objective of this project is to collect information from the site to prepare a DHR for the proposed MSW landfill Phase 2, Cell 3 (22-acre) expansion area as outlined in the North Carolina Department of Environment and Natural Resources (DENR) Solid Waste Management Rules, Title 15A Section 13B .1623(b)(1-3). To fulfill these requirements, our scope of services will include the following: Consulting services of a Senior Hydrogeologist will be provided to assist in selection of locations for the piezometers based on data provided by McGill. The actual number of piezometers may be changed based on DENR requirements and/or field observations. Based on information reviewed to date, we anticipate that up to 23 borings will be required.

Rule .1623(b)(1) BLE will mobilize an ATV-mounted drilling rig and truck-mounted drilling rig to the site to perform borings and install the required piezometers. BLE will perform 23 (twenty-three) soil test borings and perform rock coring or rock drilling at up to 17 of the locations. Piezometers will be installed in up to 23 of the borings. For budgeting purposes, we have assumed a total of 1,014 linear feet of soil test boring, 293 linear feet of rock coring/rock drilling, and 1,308 linear feet of piezometer installation. The actual well depths will be dependent on site conditions. Drilling and piezometer installation will be performed in general accordance with the procedures in Appendices A and B, respectively. BLE will provide oversight during the drilling operation. Each piezometer will include a surface completion consisting of a bentonite seal with 3-foot tall (approximate) PVC stickup riser with slip cap cover. The piezometer locations and elevations will be surveyed and the data will be provided to BLE by McGill (working under separate contact with Macon County).

Rule .1623(b)(2) Perform a field reconnaissance to observe springs, streams, drainage features, existing or abandoned wells, rock outcrops, and other geologic features that may affect site suitability or the ability to effectively monitor the site. Perform field permeability (slug) tests in 10 piezometers on site. Slug testing procedures are described in Appendix C.

Design Hydrogeologic Investigation & Report (DHR) Phase 2, Cell 3 Macon County, North Carolina

June 26, 2013 BLE Contract Number P12-0527

Select soil samples for laboratory analyses. The soil sampling and analysis will be performed in general accordance with standard ASTM procedures. The laboratory analyses for this phase will include: 1. Twelve undisturbed samples (grain size with hydrometer, Atterberg limits, permeability, total porosity, moisture content) one sample will be tested for consolidation, and one sample will be tested for triaxial shear; 2. Three bag samples (Standard Proctor, remolded permeability, grain size with hydrometer, Atterberg limits, moisture content); 3. One bag sample (Standard Proctor, triaxial shear, grain size with hydrometer, Atterberg limits, moisture content); and 4. Fifteen split-spoon samples (grain size with hydrometer, moisture content, Atterberg limits).

Prepare geologic cross-sections that depict the hydrogeologic conditions encountered at the site. Obtain 12 rounds of monthly water level measurements from the piezometers installed on site. Water level measurements will be obtained to identify the seasonal high water table (typically winter & spring). Provide soil boring logs, field logs, and field notes with the DHR. Prepare a groundwater elevation contour map to show the occurrence and direction of groundwater flow in the uppermost aquifer. A photogrammetric topographic map of the site will be prepared and supplied to BLE by McGill (working under separate contact with Macon County). BLE will perform geotechnical analysis including settlement and slope stability calculations. Geotechnical analyses will include slope stability of the cap and base liner configurations, settlement of the foundation soils and flexible membrane liner stability. The post-settlement profile of the leachate collection pipes will be estimated. The slope stability analysis of the cap and base liner will include both circular and block analyses. Prepare a written report (DHR) describing the geologic and hydrogeologic conditions observed at the site including geologic maps (water table, auger refusal, surficial geology) and crosssections.

Design Hydrogeologic Investigation & Report (DHR) Phase 2, Cell 3 Macon County, North Carolina

June 26, 2013 BLE Contract Number P12-0527

Rule .1623(b)(3) BLE will prepare a Water Quality Monitoring Plan (WQMP). The plan will include the following: 1) proposed number of groundwater monitoring wells; 2) proposed monitoring well locations; 3) proposed monitoring well depths; and 4) detailed monitoring well construction diagrams.

FEE ESTIMATE Our charges for the proposed Scope of Services will be computed from actual quantities of work performed at the unit rates shown on the attached Fee Schedule. We propose to complete this project on a time and materials basis. Our estimated fee for the scope outlined above is $176,200. A cost breakdown is summarized on the table below. Boring layout Soil test borings, rock drilling, piezometer installation, field personnel, per diem Field permeability (slug) testing 10 wells Field observations Monthly water level measurements (12 months) Laboratory testing of soil samples Preparation and review of the DHR (text, geotechnical evaluation, boring logs, plan view maps, cross-sections, tables, appendices), project management Preparation of a Water Quality Monitoring Plan (WQMP) COST ESTIMATE $7,200 $94,700 $4,300 $7,200 $13,200 $11,300 $31,800 $6,500 $176,200

No contingency is included in this budget estimate to cover unexpected difficulties, delays beyond our control, or scope changes, etc. Work that exceeds the previously defined Scope of Services will not be performed without written confirmation from Macon County. Expanded or additional scopes of work will be billed on a time and material basis at the rates described of the attached Fee Schedule, or as provided by BLEs subcontractors. Expanded work may include retention of a subcontract grading company to clear and grade boring locations, if those services cannot be provided by Macon County.

Design Hydrogeologic Investigation & Report (DHR) Phase 2, Cell 3 Macon County, North Carolina

June 26, 2013 BLE Contract Number P12-0527

SCHEDULE Based on our present schedule, we can begin work on this project within two weeks after we receive your authorization to proceed. The following completion schedule is anticipated: Field observations and boring layout Soil test borings, rock coring, piezometer installation, field personnel, per diem Field permeability (slug) testing wells and data reduction Monthly water level measurements Laboratory testing of soil samples Survey of borings and/or piezometers (performed by others) Preparation and review of report (text, boring logs, plan view maps, cross-sections, tables, appendices), project management APPROXIMATE DURATION 1 week 4 weeks 1 week 1 day each 4 weeks 4 weeks 6 weeks

20 weeks, plus monthly water level measurements

To expedite the project, we may perform many of the aforementioned tasks concurrently, where practicable. The anticipated project duration can be completed in 20 weeks assuming that the project does not have delays due to inclement weather, site access, survey data acquisition, or other delays beyond our control. This schedule does not include review time by Macon County and/or McGill. Additionally, water level measurements will be performed for a 12 month period after piezometer installation. Please note that the DHR cannot be completed and submitted until after the final water level measurements have been obtained. If requested, we will provide draft versions of text, tables, and figures for your use as soon as they are prepared. The WQMP will be completed approximately two weeks after the DHR is submitted.

Design Hydrogeologic Investigation & Report (DHR) Phase 2, Cell 3 Macon County, North Carolina

June 26, 2013 BLE Contract Number P12-0527

AUTHORIZATION As our written authorization for the above scope of services, please execute the attached acceptance sheet and return the acceptance copy of this contract to BLE. Any exceptions to this contract or special requirements not covered in this document should be attached to the returned acceptance copy for the mutual consideration of both parties. Please note that the Terms and Conditions are a part of this contract. Any Purchase Order issued to authorize this project should reference this document (P12-0527). We appreciate the opportunity to serve as your hydrogeological and geotechnical consultant at this site. If you have any questions, please do not hesitate contacting us at (864) 288-1265. Sincerely, BUNNELL-LAMMONS ENGINEERING, INC.

Andrew W. Alexander, P.G. Senior Hydrogeologist Geological Services Manager

Attachments: Appendices A through C Fee Schedule Acceptance Sheet

Mark S. Preddy, P.G. Senior Hydrogeologist Director of Solid Waste Facility Siting

c:\awa\active projects\mcgill\macon county landfill\p12-0527 phase 3 dhr\proposal for dhr phase 2 cell 3 macon county p12-0527.doc

APPENDIX A DRILLING PROCEDURES

Soil Test Boring Soil test borings will be advanced by mechanically twisting continuous flight steel hollow-stem augers into the soil. Soil sampling and penetration testing will be performed in general accordance with ASTM D 1586. At regular intervals, soil samples will be obtained using a standard 1.375-inch inside diameter (ID), 2-inch outside diameter (OD), steel split-tube sampler. The sampler will first be seated 6-inches to penetrate any loose cuttings, and then driven an additional 12 inches with blows of a 140-pound hammer falling 30 inches. The number of hammer blows required to drive the sampler the final 12 inches will be recorded and designated the penetration resistance. Representative portions of the soil samples will be placed in glass jars. The samples will be examined by a geologist and soil test boring logs will be prepared. Rock Coring Core drilling will be required to determine the character and vertical continuity of refusal materials. Refusal to soil drilling equipment may result from hard cemented soil, soft weathered rock, coarse gravel or boulders, thin rock seams, or the upper surface of solid continuous rock. Prior to coring, a permanent 3-inch diameter PVC casing may be grouted in place through the overburden soils. A cement/bentonite grout will be used. Refusal materials will then be cored in general accordance to ASTM D 2113 or other appropriate methodology using a diamond-studded bit fastened to the end of a hollow, double-tube core barrel. NQ or other appropriate size rock core will be collected. The NQ size designates a bit which obtains rock cores 1-7/8 inches in diameter. Upon completion of each drill run the core is recovered and measured, and the core samples are placed in boxes for storage. The core samples will be returned to our laboratory where the refusal material will be identified and the percent core recovery and rock quality designation (RQD) will be determined by a geologist. The percent core recovery is the ratio of the core length obtained to the length cored, expressed as a percent. The RQD is obtained by summing only those pieces of recovered core which are 4 inches or longer and are at least moderately hard, and dividing by the total length cored. The percent core recovery and the RQD are related to soundness and continuity of the refusal material. Refusalmaterial descriptions, recoveries, and the bit size used will be shown on a test boring record.

APPENDIX B PIEZOMETER CONSTRUCTION PROCEDURES

Type II Piezometer Type II ground-water piezometers will consist of 2-inch polyvinyl chloride (PVC) Schedule 40 casing with flush-threaded joints installed in a 6 to 8-inch nominal diameter augered borehole. The bottom 5 to 10-foot section of each well will consist of a manufactured well screen with 0.01-inch wide machined slots. The well screen will be installed to the depth of the bedrock surface or to bracket the water table at the time of installation. In the Type II piezometers, a washed sand filter pack will be placed around the outside of the casing from the bottom of the well casing to from one to two feet above the top of the well screen. The sand filter pack is used to stabilize the formation and to help yield a less turbid ground-water sample. A bentonite seal will be installed on top of the sand backfill up within 5 feet of the ground surface. A PVC cap will be placed over the PVC well stickup on each piezometer. Type III Piezometer In the Type III well installation, a 6 to 8-inch nominal diameter boring will be advanced through the overburden soils using air rotary, mud rotary, or auger drilling techniques to the depth of the bedrock surface. A 3-inch diameter PVC casing may be installed to the termination depth of the borehole. The annular space between the hole and the 3-inch casing will be tremie grouted with a cement/bentonite grout mixture to near ground surface. The grout will be allowed to set-up and cure for 24 hours. After the grout cures, the boring will be advanced into the underlying bedrock using rock coring procedures described in Appendix A. A 1-inch or 2-inch PVC screen and riser will be installed in each corehole. The well materials will be sanded and sealed in place using the Type II well placement procedures. A PVC cap will be placed over the PVC well stickup on each piezometer.

APPENDIX C SLUG TEST PROCEDURES Slug tests will be performed in the field to estimate the average hydraulic conductivity of the upper formation material. Hydraulic conductivity is a constant of proportionality relating to the ease with which a fluid passes through a porous medium. These data will be used to estimate the groundwater flow velocities beneath the site. The field procedure was as follows: Measure the static groundwater elevation in the well to be tested; Affect an instantaneous change to the static water level in the well by removing a known volume of water; and Measure the rate at which the water level recovers to its original level.

The resulting slug test data (time versus water level) will be reduced and hydraulic conductivities will be calculated using the Bouwer and Rice Method for partially penetrating wells in unconfined aquifers, or other appropriate methods.

FEE SCHEDULE

2013 FEE SCHEDULE BUNNELL-LAMMONS ENGINEERING, INC. Greenville, South Carolina Asheville, North Carolina

I.

TECHNICIAN SERVICES 1. 2. 3. 3. Project Engineering Technician, Per Hour ....................................................$ Senior Engineering Technician, Per Hour.....................................................$ S.C. or Ga. Certified E&S Inspector, Per Hour ............................................$ Chief Technician, Per Hour .........................................................................$ (Overtime; over 40 hours per week @ Rate x 1.2) 42.00 50.00 50.00 60.00

II. ENGINEERING SERVICES 1. Engineering/Geology Associate, Per Hour....................................................$ 80.00 2. Engineering, E.I. / Geology, G.I.T., Intern, Per Hour .........$ 90.00 3. Project Engineer, P.E. / Geologist, P.G. / Project Manager, Per Hour ...........$ 105.00 4. Senior Engineer, P.E. / Geologist, P.G., Per Hour ........................................$ 120.00 5. Chief Engineer, P.E. / Geologist, P.G., Per Hour .........................................$ 135.00 6. Principal Engineer, P.E. / Geologist, P.G., Per Hour ....................................$ 140.00 7. Word Processor, Per Hour...........................................................................$ 42.00 8. Laboratory Manager, Per Hour ...................................................................$ 79.00 9. Drafting, Per Hour ....................................................................................$ 52.50 10. Senior Structural Steel Inspector, ASNT Level II, CWI ...............................$ 84.00 III. SOILS TESTING SERVICES 1. Standard Proctor Compaction Test (ASTM D-698), each ............................ $110.00 2. Modified Proctor Compaction Test (ASTM D-1557), each .......................... $125.00 3. CBR at Optimum Moisture Content (ASTM D-1883), each ......................... $310.00 Includes Standard Proctor Compaction Test (ASTM D-698) Additional Points at Varying Moisture Contents, each ............................. $90.00 4. Plasticity Index Test (ASTM D-4318), each .................................................. $70.00 5. Grain Size, with Wash No. 200 Sieve (ASTM D-422), each .......................... $65.00 6. Grain Size, Hydrometer Analysis (ASTM D-422), each ............................... $125.00 7. Percent Finer than No. 200 Sieve (ASTM D-1140), each ............................... $37.50 8. Specific Gravity (ASTM D-854), each .......................................................... $65.00 9. Natural Moisture Content (ASTM D-2216), each .......................................... $10.00 10. pH of Soils (ASTM D-4972), each ................................................................ $15.00 11. Unit Weight and Moisture Content (ASTM D-4254), each............................. $50.00 12. Organic Carbon Content (ASTM D-2974), each ............................................ $65.00 13. Permeability of Granular Soils (ASTM D-2434), each ................................. $110.00

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Soil Testing Services Continued: 14. One Dimensional Consolidation of Soil (ASTM D-2435), each .................... $300.00 A. Undisturbed, each .................................................................................. $300.00 B. Remolded, each...................................................................................... $350.00 15. Resistivity of Soil (ASTM G-187), each ........................................................ $25.00 16. Hydraulic Conductivity of Soils (ASTM D-5084), A. Undisturbed, each ................................................................................. $205.00 B. Remolded, each..................................................................................... $255.00 17. Triaxial Shear (CU) w/ Pore Pressure Readings (ASTM D-4767) A. Undisturbed, 3 Confining Pressures ....................................................... $600.00 B. Remolded, 3 Confining Pressures .......................................................... $750.00 18. Direct Shear (ASTM D-3080), each ............................................................ $350.00 19. Unconfined Compressive Strength A. Soil Samples Undisturbed (ASTM D-2166), each.................................... $80.00 B. Soil Samples Remolded (ASTM D-2166), each ..................................... $100.00 C. Rock cores (ASTM D-2938), each .......................................................... $50.00 III. AGGREGATE TESTING SERVICES 1. Fine Aggregate Gradation (ASTM C-136), each ............................................ $60.00 2. Coarse Aggregate Gradation (ASTM C-136), each ........................................ $80.00 3. Percent Finer than No. 200 Sieve of Aggregate (ASTM C-117) Washing Method, each ............................................................................ $55.00 4. Specific Gravity/Absorption Fine Aggregate (ASTM C-128), each ................ $75.00 5. Specific Gravity/Absorption Coarse Aggregate (ASTM C-127), each ............ $55.00 6. Unit Weight/Voids Aggregate (ASTM C-29), each ........................................ $30.00 7. Permeability of Fine Aggregates (ASTM D-2434), each .............................. $110.00 8. Organic Impurities (ASTM C-40), each......................................................... $40.00 9. Carbonate Content (ASTM D-4373), each..................................................... $55.00 IV. CONCRETE TESTING SERVICES 1. Compressive Strength of Cylinders and Cylinders held in Reserve (ASTM C-39), each ........................................ $12.00 2. Compressive Strength of Mortar Cubes (ASTM C-109), each........................ $10.00 3. Compressive Strength of Core Specimens (ASTM C-42), each ...................... $35.00 4. Compressive Strength of Grout Prisms (ASTM C-1019), each....................... $35.00 5. Compressive Strength of Brick Specimens (ASTM C-140) Set of 3 Specimens.................................................................................. $90.00 6. Compressive Strength of Shotcrete Panels (ASTM C-1140) A. Set of 3 Cores for Large Panels (includes coring) .................................. $120.00 B. Set of 9 Cubes for Small Panels (includes cutting) ................................. $110.00 7. Flexural Strength of Beams (ASTM C-78, C-293), each ................................ $20.00 8. Length Change of Hardened Concrete Set of 3 (ASTM C-157), each ............. $75.00 9. Time Setting of Concrete Mixtures (ASTM C-4037), each............................. $70.00 10. Concrete Mix Design (ASTM C-192), each ................................................. $630.00 11. Density, Absorption and Voids in Hardened Concrete(ASTM C-642)
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Set of 3 Specimens (includes coring) ..................................................... $140.00 V. ASPHALT TESTING SERVICES 1. 2. 3. 4. 5. 6. 7. Asphalt Mix Cement Content, each.............................................................. $130.00 Asphalt Mix Gradation, non-washed, each ..................................................... $60.00 Asphalt Mix Gradation, washed, each............................................................ $80.00 Asphalt Mix Rice Density, each .................................................................... $50.00 Asphalt Mix Max Density by Marshall Method, each .................................. $110.00 Asphalt Core Density and Measurement, each ............................................... $20.00 Asphalt Mix Design by Marshall Method, each ........................................... $475.00

VI. OTHER TESTING SERVICES 1. Unit Weight of Geosynthetic Fabric, each ...................................................... $25.00 2. Unit Weight of Fireproofing Materials, each .................................................. $35.00 3. On-Site Tensile Strength of FML (ASTM D-6392), each ............................... $65.00 (Includes Five Paired Peel Tests and Five Shear Tests) 4. Geomembrane Leak Location Services, per day ......................... (Quoted per project) VII. EXPENSE AND SUBCONTRACT 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. Mileage ............................................................................................$0.74 per mile Per Diem ................................................................................................... $115.00 Miscellaneous Expenses (shipping, printing, consumable supplies, etc.) Cost plus 10% Digital Camera, per day............................................................................... $10.00 Color Laser Prints, per page .......................................................................... $2.00 Turbidity Meter, per day.............................................................................. $50.00 Survey Equipment, per day ......................................................................... $50.00 Nuclear Gauge, per day ............................................................................... $50.00 Core Drill, per day ...................................................................................... $50.00 Generator, per day ...................................................................................... $50.00 Surface Wave Velocity, equipment rental, per day...................................... $250.00 Resistivity, equipment rental, per week.................................................... $1,200.00 Magnetometer: Rental per day ............................................................................. $100.00 Mobilization ................................................................................ $100.00

*Subcontracts (shipping, drilling, laboratory and analysis, etc.) ............................ Cost plus 20% VIII. DRILLING SERVICES Drill Fleet: Geoprobe (1 track & 1 4x4 truck mounted), CME 750, CME 75 on Morooka ATV track carrier, Schramm Air Rig): Projects quoted upon request.

Page 3 of 3

ACCEPTANCE SHEET

BUNNELL-LAMMONS ENGINEERING, INC.

6004 Ponders Court Greenville, South Carolina 29615 Phone (864) 288-1265 Fax (864) 288-4430

ACCEPTANCE SHEET
The purpose of this sheet is to obtain your written authorization for our services and confirm the terms and conditions under which these services are provided as shown below. Compensation for services rendered will be based on the attached schedule of fees (or as otherwise indicated below) which are part of this work authorization. If we are requested to modify the scope of work at your request or determine during the execution of the work that a modification of scope is required, we will promptly seek and confirm in writing a mutually agreeable revision of the scope of work and associated charges. All testing will be performed in accordance with the applicable specifications unless otherwise noted and test results apply only to the materials actually tested. Project Name and Proposal Number: Contract for Design Hydrogeologic Investigation & Report (DHR) BLE Contract No. P12-0527 Macon County Landfill Proposed Phase 2, Cell 3 Macon County, North Carolina

Project Location:

FOR PAYMENT OF CHARGES: (to the account of) Firm: Address: City, State: Zip Code: Phone Number: Fax Number: WORK AUTHORIZED BY: Signature Date Attention:

Print Name and Title - Signatory warrants his/her authority to bind the entity represented here . Company Name Address City SPECIAL INSTRUCTIONS: State Zip Code

Page 1 of 3

TERMS AND CONDITIONS 1. SERVICES TO BE PROVIDED. Bunnell-Lammons Engineering, Inc., through and by its officers, employees and subcontractors, (hereinafter BLE) is an independent consultant and agrees to provide Client, for its sole benefit and exclusive use, consulting services set forth in our proposal. No third party beneficiaries are intended by this agreement. 2. PAYMENT TERMS. Client agrees to pay BLE's invoice upon receipt. If payment is not received within 30 days from the Client's receipt of invoice, Client agrees to pay a service charge on the past due amount at the greater of 1% per month or the allowable legal rate, including reasonable attorney's fees and expenses if BLEs fee is collected through an attorney. No deduction shall be made from invoice on account of liquidated damages unless expressly included in the Agreement. After five days prior notice to Client, BLE may suspend services until paid on any project where payment of invoiced amounts not reasonably in dispute is not received by BLE within 60 days of Client's receipt of BLE's invoice. Invoices will be sent approximately monthly for the services performed. 3. STANDARD OF CARE. BLE will perform its services using that degree of care and skill ordinarily exercised under similar conditions by reputable members of BLE's profession practicing in the same or similar locality at the time of service. NO OTHER WARRANTY, EXPRESS OR IMPLIED, IS MADE OR INTENDED BY OUR PROPOSAL OR BY OUR ORAL OR WRITTEN REPORTS. 4. INSURANCE. BLE maintains insurance coverage as follows: a. Worker's Compensation Insurance. b. Employers Liability Insurance. c. Commercial General Liability Insurance. d. Professional Errors and Omission. Certificates of Insurance can be provided upon acceptance of this agreement and upon request. 5. PROFESSIONAL LIABILITY. For additional consideration from BLE of $10.00, receipt of which is hereby acknowledged, Client agrees that BLEs liability, and that of its officers, directors, employees, agents and subcontractors, to Client or any third party due to any negligent professional acts, errors or omissions or breach of contract by BLE will be limited to an aggregate of $50,000 or BLEs total charges, whichever is greater. If Client prefers to have higher limits of professional liability, BLE agrees to increase the aggregate limit, up to a maximum of $100,000, upon Clients written request at the time of accepting our proposal, provided Client agrees to pay an additional consideration of 5% of total charges, or $500, whichever is greater. The additional charge for the higher liability limit is because of the greater risk assumed by BLE and is not a charge for additional professional liability insurance. This limitation shall not apply to the extent prohibited by law. 6. SITE OPERATIONS. Client will arrange for right-of-entry to the property for the purpose of performing project management, studies, tests and evaluations pursuant to the agreed services. Client represents that it possesses necessary permits and licenses required for its activities at the site. BLE's field personnel are trained to initiate field testing, drilling and/or sampling within a reasonable distance of each designated location. BLE's field personnel will avoid hazards or utilities which are visible to them at the site. If BLE is advised in writing of the presence or potential presence of underground or above ground obstructions, such as utilities, we will give special instructions to our field personnel. BLE is not responsible for any damage or loss due to undisclosed or unknown surface or subsurface conditions owned by Client or third parties, except to the extent such damage or loss is a result of BLE's negligence. Otherwise, Client agrees for the additional consideration of $1.00, to indemnify and hold BLE, its directors, officers, employees, agents and subcontractors harmless, from any such claims, suits or losses, including related reasonable attorney's fees. BLE will take reasonable precautions to minimize damage to the property caused by its operations. Unless otherwise stated in BLE's proposal, BLEs charges do not include cost of restoration due to any related damage which may result. If Client requests BLE to repair such damage, BLE will do so at an appropriate additional cost. Field tests or boring locations described in BLE's report or shown on sketches are based on specific information furnished by others or estimates made in the field by BLE personnel. Such dimensions, depths or elevations should be considered as approximations unless otherwise stated in BLEs proposal or report. 7. FIELD REPRESENTATIVE. The presence of BLE or its subcontractor's field personnel, either full-time or part-time, may be for the purpose of providing project administration, assessment, observation and/or field testing of specific aspects of the project as authorized by Client. Should a contractor(s) not retained by BLE be involved in the project, Client will advise such contractor(s) that BLE's services do not include supervision or direction of the means, methods or actual work of the contractor(s), its employees or agents. Client will also inform contractor that the presence of BLE's field representative for

project administration, assessment, observation or testing will not relieve the contractor of its responsibilities for performing the work in accordance with the plans and specifications. If a contractor (not a subcontractor of BLE) is involved in the project, Client agrees, in accordance with generally accepted construction practices, that the contractor will be solely and completely responsible for working conditions on the job site, including security and safety of all persons and property during performance of the work, and compliance with all Client safety requirements and OSHA regulations. These requirements will apply continuously and will not be limited to normal working hours. It is agreed that BLE will not be responsible for job or site safety or security on the project, other than for BLEs employees and subcontractors, and that BLE does not have the duty or right to stop the work of the contractor. 8. UNFORESEEN CONDITIONS OR OCCURRENCES. It is possible that unforeseen conditions or occurrences may be encountered at the site which could substantially alter the necessary services or the risks involved in completing BLE's services. If this occurs, BLE will promptly notify and consult with Client, but will act based on BLE's sole judgment where risk to BLE personnel is involved. Possible actions could include: a. Complete the original Scope of Services in accordance with the procedures originally intended in BLEs proposal, if practicable in BLE's judgment; b. Agree with Client to modify the Scope of Services and the estimate of charges to include study of the unforeseen conditions or occurrences, with such revision agreed to in writing; c. Terminate the services effective on the date specified by BLE in writing. 9. SAMPLE DISPOSAL. Test specimens or samples generally are consumed or substantially altered during testing and any remnants are disposed of immediately upon completion of tests. Remaining drilling samples and other specimens are disposed of 30 days after submission of BLE's report. In the event that test samples contain toxic or hazardous constituents as defined by applicable law, upon completion of any testing and temporary storage by BLE and per Client's stated preference, BLE will return such samples to Client for proper disposal. 10. WASTE DISPOSAL. If Client requests BLE to containerize drilling wastes and/or fluids produced by BLE's activity ("Wastes"), Client will provide a secure temporary storage location at or near the project site to prevent tampering with such containerized Wastes. Non-hazardous Wastes will be disposed of by BLE for an additional charge at an appropriately licensed facility. Any hazardous Wastes will be disposed of under manifest executed by Client at any properly licensed facility selected by Client with BLE's assistance. At no time will BLE take title to such hazardous Wastes. 11. *CLIENT DISCLOSURE. Client agrees to advise BLE upon execution of this Agreement of any hazardous substance or any condition, known or that reasonably should be known by Client, existing in, on, or near the site that presents a potential danger to human health, the environment, or BLE's equipment. Client agrees to provide BLE continuing related information as it becomes available to the Client. By virtue of entering into this Agreement or providing services hereunder, BLE does not assume control of or responsibility as an operator or otherwise for the site or the person(s) in charge of the site, or undertake responsibility for reporting to any federal, state or local public agencies any conditions at the site that may present a potential danger to public health, safety or the environment. Client agrees under advice of its counsel to notify the appropriate federal, state or local public agencies as required by law; or otherwise to disclose, in a timely manner, any information that may be necessary to prevent damage to human health, safety, or the environment. 12. *ENVIRONMENTAL INDEMNITY. In connection with toxic or hazardous substances or constituents and to the maximum extent permitted by law, for separate and valuable consideration of $1.00, Client agrees to defend, hold harmless and indemnify BLE from and against any and all claims, liabilities, or judgments, except to the extent finally determined as being caused by BLE's negligence or willful misconduct, resulting from: a. Client's violation of any federal, state, or local statute, regulation or ordinance relating to the management or disposal of toxic or hazardous substances or constituents; b. Client's undertaking of or arrangement for the handling, removal, treatment, storage, transportation or disposal of toxic or hazardous substances or constituents found or identified at the site; c. Toxic or hazardous substances or constituents introduced at the site by Client or third persons before, during or after the completion of BLE's services; d. Allegations that BLE is a handler, generator, operator, treater, storer, transporter, or disposer unless expressly retained by Client for such services under the Resource Conservation and Recovery Act of 1976 as amended or any other similar federal, state or local regulation or law due to the BLE's services; or,

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e. Any third party suit or claim for damages against BLE alleging strict liability, personal injury (including death) or property damage from exposure to or release of toxic or hazardous substances or constituents at or from the project site before, during or after completion of BLE's services under this Agreement.

compelling the testimony ultimately provides BLE such compensation, Client will receive a credit or refund on any related double payments to BLE. 18. CONFIDENTIALITY. BLE will maintain as confidential any documents or information provided by Client and will not release, distribute or publish same to any third party without prior permission from Client, unless compelled by law or order of a court or regulatory body of competent jurisdiction. Such release will occur only after prior notice to Client. 19. GOVERNING LAW. This Agreement shall be governed in all respects by the laws of the State of South Carolina. 20. PRIORITY OVER FORM AGREEMENT/PURCHASE ORDERS. The Parties agree that the provisions of these terms and conditions shall control over and not be superseded by any provisions of any other documents or writings and may be amended only by written instrument signed by both Client and BLE. Client may issue purchase orders to BLE to satisfy Clients purchasing requirements. It is agreed that the terms and conditions included in such purchase orders shall be considered deleted in their entirety and such terms and conditions shall be void. 21. SURVIVAL. All provisions of this Agreement for indemnity or allocation of responsibility or liability between Client and BLE shall survive the completion of the services and the termination of this Agreement. 22. SEVERABILITY. In the event that any provision of this Agreement is found to be unenforceable under law, the remaining provisions shall continue in full force and effect. 23. ASSIGNMENT. This Agreement may not be assigned by either party without the prior permission of the other. 24. CONSIDERATION. The parties agree that the charges for BLE's services are sufficiently adjusted to include any specific consideration payable to Client under these terms and conditions. 25. INTEGRATION. This Agreement, the attached documents and those incorporated herein constitute the entire Agreement between the parties and cannot be changed except by a written instrument signed by both parties. *Applies only if toxic or hazardous substances or constituents are anticipated or encountered. END OF DOCUMENT

13. *EQUIPMENT CONTAMINATION. BLE will endeavor to clean its laboratory and field equipment which may become contaminated in the conduct of our services. Occasionally, such equipment cannot be completely decontaminated because of the type of hazards encountered. If this occurs, it will be necessary to dispose of the equipment in a manner similar to that indicated for hazardous samples or waste and to charge Client for the loss. Client agrees to pay the fair market value of any such equipment and reasonable disposal costs. 14. DOCUMENTS. BLE will furnish Client the agreed upon number of written reports and supporting documents. These instruments of services are furnished for Client's exclusive internal use and reliance, use of Client's counsel, use of Client's qualified bidders (design services only) and for regulatory submittal in connection with the project or services provided for in this Agreement, but not for advertising or other type of distribution, and are subject to the following: a. All documents generated by BLE under this Agreement shall remain the sole property of BLE. Any unauthorized use or distribution of BLE's work shall be at Client's and recipient's sole risk and without liability to BLE. BLE may retain a confidential file copy of its work product and related documents. b. If Client desires to release, or for BLE to provide, our report(s) to a third party not described above for that party's reliance, BLE will agree to such release provided we receive written acceptance from such third party to be bound by acceptable terms and conditions similar to this Agreement (e.g. Secondary Client Agreement). Reports provided for disclosure of information only will not require separate agreement. Client acknowledges and agrees to inform such third party that BLE's report(s) reflects conditions only at the time of the study and may not reflect conditions at a later time. Client further acknowledges that such request for release creates a potential conflict of interest for BLE and by this request Client waives any such claim if BLE complies with the request. c. Client agrees that all documents furnished to Client or Client's agents or designees, if not paid for, will be returned upon demand and will not be used by Client or any other entity for any purpose whatsoever. Client further agrees that documents produced by BLE pursuant to this Agreement will not be used for any project not expressly provided for in this Agreement without BLE's prior written approval. d. Client shall furnish documents or information reasonably within Client's control and deemed necessary by BLE for proper performance of our services. BLE may rely upon Client-provided documents in performing the services required under this Agreement; however, BLE assumes no responsibility or liability for their accuracy. Client-provided documents will remain the property of Client, but BLE may retain one confidential file copy as needed to support its report. e. Upon Client's request, BLE's work product may be provided on magnetic media. By such request, Client agrees that the written copy retained by BLE in its files, with at least one written copy provided to Client, shall be the official base document. BLE makes no warranty or representation to Client that the magnetic copy is accurate or complete, but will correct in good faith any omissions or errors brought to BLE's attention by Client. Any modifications of such magnetic copy by Client shall be at Client's risk and without liability to BLE. Such magnetic copy is subject to all other conditions of this Agreement. 15. CLAIMS. The parties agree to attempt to resolve any dispute without resort to litigation, including use of mediation, prior to filing of any suit. However, in the event a claim results in litigation, and the claimant does not prevail at trial, then the claimant shall pay all costs incurred in pursuing and defending the claim, including reasonable attorney's fees. 16. OPINIONS OF COST. If requested, BLE will use its best efforts and experience on similar projects to provide realistic opinions or estimates of costs for remediation or construction as appropriate based on reasonably available data, BLE's designs or BLE's recommendations. However, such opinions are intended primarily to provide information on the order of magnitude or scale of such costs and are not intended for use in firm budgeting or negotiation unless specifically agreed otherwise, in writing with BLE. Client understands actual costs of such work depend heavily on regional economics, local construction practices, material availability, site conditions, weather conditions, contractor skills, and many other factors beyond BLE's control. 17. TESTIMONY. Should BLE or any BLE employee be compelled by law to provide testimony or other evidence by any party, whether at deposition, hearing, or trial, in relation to services provided under this Agreement, and BLE is not a party in the dispute, then BLE shall be compensated by Client for the associated reasonable expenses and labor for BLE's preparations and testimony at appropriate unit rates. To the extent the party

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