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HomeMy WebLinkAboutA3314 - KENETECH WINDPOWER KWI ANNEX 26 WECS BANKRUPTCY 1 ALAN PEDLAR (State Bar No. 72216) , GEORGE C . WEBSTER II (State Bar No . 82870) , and 2 EFRAT B. ZISBLATT (State Bar No. 192790) , Members of STUTMAN, TREISTER & GLATT 3 PROFESSIONAL CORPORATION 3699 Wilshire Boulevard, Suite 900 4 Los Angeles, California 90010 Kenetech Windpower, Inc. Telephone : (213) 251-5100 5 assumed by Windpower Prtnrs 1993, LP Reorganization Counsel for AGREEMENT #3314 6 Debtor and Debtor in Possession U.S. Bankruptcy Ct 12-14-98 7 Debtor ' s Mailing Address : KENETECH Windpower, Inc. 8 6952 Preston Avenue c Livermore, California 94550 9 10 UNITEI) STATES BANKRUPTCY COURT 11 NORTHERN DISTRICT OF CALIFORNIA 12 In re ) Case No. 96 44426 T 13 ) KENETECH WINDPOWER, INC . , fka ) 14 U. S . WINDPOWER, INC . , ) Chapter 11 15 ) NOTICE OF (1) INTENTION TO ASSUME Debtor . AND ASSIGN EXECUTORY CONTRACTS 16 ) RELATED TO THE OPERATION OF THE BUSINESS OF WINDPOWER PARTNERS 17 ) 1993, L.P; AND (2) DEADLINE FOR FILING OBJECTIONS WITH RESPECT 18 ) THERETO 19 No Hearing Set 20 21 TO PARTIES ENTITLED TO NOTICE IN THE ABOVE-CAPTIONED CASE AND TO 22 THOSE PARTIES TO EXECUTORY CONTRACTS IDENTIFIED ON EXHIBIT "B" 23 HERETO: 24 PLEASE TAKE NOTICE that, on December 14, 1998 , the 25 United States Bankruptcy Court in the above-entitled case entered 26 its "Order Authorizing Assumption And Assignment of Easements and 27 Other Agreements Related To Windpower Partners 1993, L . P. 28 Windplants (the "Assignment Order" ) , a copy of which is annexed 199634.doc In re KENETECH Windpower, Inc. , case Flo. 96 44426 T Notice Of (1) Intention To Assume and Assign Executory Contracts Related To The Operation Of The Business Of Windpower Partners 1993, I..P., and (2) Deadline For Filing Objections With Respect Thereto r 1 subject to the limitations set forth in following paragraph, KWI 2 intends to assume and assign pursuant to the Assignment Order and 3 the Plan. The other parties to the WPP93 Agreements are also set 4 forth on Exhibit "B" . In connection with the foregoing, KWI does 5 not admit or concede that the WPP93 Agreements set forth on 6 Exhibit "B" constitute executory contracts or unexpired leases 7 within the meaning of section 365 of the Bankruptcy Code, and 8 this Notice shall not be deemed to be such an admission or 9 concession by KWI . To the extent any property interest is 10 evidenced by a WPP93 Agreement set forth on Exhibit "B", which 11 property interest is not in the nature of an executory contract 12 or unexpired lease, KWI hereby provides notice of its intention 13 to transfer its identified property interest, if any, to WPP93 . 14 Assumption and assignment of any executory contract, 15 unexpired lease or property right evidenced by any individual 16 WPP93 Agreement set forth on Exhibit "B" shall not become 17 effective until consummated pursuant to a written agreement 18 executed by both WPP93 and KWI . Pursuant to the Plan, and to the 19 extent any individual WPP93 Agreement set forth on Exhibit "B" is 20 (a) an executory contract or unexpired lease, and (b) is not 21 assumed and assigned as set forth above, such executory contract 22 or unexpired lease will be deemed rejected as of the Effective 23 Date of the Plan. 24 Any party (an "Objecting Party" ) opposing (a) the 25 consummation of the intended assignments to WPP93 by KWI of the 26 WPP93 Agreements set forth on Exhibit "B" , or (b) the prior 27 determination that no defaults or arrearages exist which require 28 cure as a condition to assumption and assignment by KWI of the 199634 doc In re RENETECR Windpower, Inc., Case No. 96 44426 T Page 3 Notice Of (1) Intention To Assume and Assign Executory Contracts Related To The Operation Of The Business 0£ Windpower Partners 1993, L.P. , and (2) Deadline For Filing Ob]ections With Respect Thereto r i ALAN PEDLAR (State Bar No. 72216) , v GEORGE C. WEBSTER II (State Bar No. 82870) , and 2 JAMES O- JOHNSTON (State Bar No. 167330) , Members of STUTMAN, TREISTER & GLATT 3 PROFESSIONAL CORPORATION 3699 Wilshire Boulevard, Suite 900 4 Los Telephone: (213) f Ornia 251-5100010 OR1G,.A�,�1LED 5 Reorganization Counsel for pEC A. 4-10 6 Debtor and Debtor in Possession 7 Debtor' s Mailing Address : DPK�ND?O�FOF A KENETECH Windpower, Inc. g _6952 Preston Avenue Livermore, California 94550 9 UNITED STATES BANKRUPTCY COURT 10 NORTHERN DISTRICT OF CALIFORNIA it In re ) Case No. 96 44426 T 12 ) Motion Control No. STG 096 Chapter 11 13 KENETECH WINDPOWER, INC. , fka ) U.S. WINDPOWER, INC. , ) ORDER AUTRORIZING ASSUMPTION AND 14 ) ASSIGNMENT OF EASEMENTS AND OTHER AGREEMENTS RELATED TO WINDPOWER 15 Debtor. ) PARTNERS 1993 , L.P. WTNDPLANTS - ) 16 ) Hearing 17 ) Date : December 14, 1998 Time: 10 : 00 a.m. 18 ) Place: Courtroom 201 1300 Clay Street 19 ) Oakland, CA 94612 20 On December 14, 1998 , a hearing was held in the above- 21 captioned case before the undersigned United States Bankruptcy 22 Judge on the "Motion For Order Authorizing Assumption And i 23 Assignment Of Easements And Other Agreements Related To Windpower 24 Partners 1993 , L.P. Wi.ndplants" (the "Motion") , filed by KENETECH 25 Windpower, Inc . , debtor and debtor in possession ("KWI") , there 26 appearing Alan Pedlar, a member of Stutman, Treister & Glatt 27 Professional Corporation, counsel for KWI , and other parties as 28 indicated in the recorded transcript of the hearing. In re 1C4=CH Windpower. Iao., Canis No. 96 44426 T pp p 194583.I.. order Authorizing Assumption And Assignment of Easements EX o I F1 And Other Agreements Related To Windpower Partners 1993, L.P. Windplamts F.� 1 E. The notice of the Motion and the hearing on the 2 Motion, which was provided to WPP93 , the other parties to the 3 WPP93 Agreements, and to all entities who properly have filed and 4 served a request for special notice pursuant to this Court's s "Order Limiting Notice, Establishing Notice Procedures, And 6 Approving Form Of Notice Of § 341 (a) Meeting Of Creditors, " fully 7 and adequately described the relief requested in the Motion and e was reasonable and appropriate under the circumstances. 9 F. No Objections to the Motion were filed with or 10 received by the Court. 11 NOW, THEREFORE, IT HEREBY IS ORDERED TEAT: 12 1. The Motion is GRANTED. 13 2 . KWI is authorized to assume and assign the WPP93 14 Agreements to WPP93 ; provided, however, that such assumption and 15 assignment shall not become effective until consummated pursuant 16 to a written agreement: of assignment executed by both WPP93 and 17 KWI . KWI reserves all rights to reject any or all of the WPP93 18 Agreements to the extent that the assumption and assignment of 19 such agreements is not: consummated as set forth above. 20 3 . Upon such consummation, (a) WPP93 shall not be 21 required to perform any obligations arising under the WPP93 i 22 Agreements prior to the date of assignment, all of which 23 obligations either have been performed by KWI or were waived as a i I 24 result of the failure of the parties to such agreements to assert i 2s any such claims through an objection to the Motion, and 26 (b) pursuant to section 365 (k) of the Code, KWI and KWI ' s estate 27 shall have no further liability for any breach of,- or other 2e obligations arising under, the WPP93 Agreements . In re Kenetech Nindpower, Inc., Cane No. 96 44426 T pegs 3 L 99563.doc Order Authorizing Assumption And Assignment of Easements EXHIBIT And other Agreements Related To Mindpower Partners 1993, L.P. "indplamts P x SCHEDULE OF AGREELN ENTS TO BE ASSIGNED TO WINDPOWER PARTNERS 1993, L.P. Contracting Party Description David G. Buck Grant of Easement and Easement Agreement(KWI Easement Courtside Apartments CA-PS-21), dated as of March 26, 1993, a short form of which 110015th Street was recorded in Riverside County, California, on May 3, 1993, Sparks, NV 89431 as Instrument Number 164356, as corrected and recorded on December 28, 1993, as Instrument Number 517708, and as amended by a First Amendmentto Easement Agreement dated February 9, 1994 and recorded in Riverside County California on February 22, 1994 as Instrument Number 74200 Chem Quest Corporation Grant of Easement and Easement Agreement(KWI Easement Attn: President CA-PS-22), dated as of March 1, 1993, a short form of which 15723 Kadota Street was recorded in Riverside County, California on May 3, 1993 as Sylmar, CA 91342 Instrument Number 164357 and rerecorded on October 1, 1993 as Instrument No. 387240, as corrected and rerecorded on December 28, 1993 as Instrument Number 517707 Rose K. Morita-Klee Grant of Easement and Easement Agreement(KWI Easement 9 Miranda Court CA-PS-23), dated as of April 23, 1993, a short form of which Sacramento, CA 95822 was recorded in Riverside County, California on May 3, 1993 as Instrument Number 164351 George Ivanov Grant of Easement and Easement Agreement(KWI Easement 4725 Moorpark Way CA-PS-24), dated as of April 23, 1993, a short form of which Sacramento, CA 95842 was recorded in Riverside County, California on May 3, 1993 as Instrument Number 164354. Wellesley Rolland Kime Grant of Easement and Easement Agreement(KWI Easement 8654 Appian Way CA-PS-25), dated as of April 23, 1993, a short form of which Los Angeles. CA 90046 was recorded in Riverside County, California on May 3, 1993 as instrument Number 164354 Carinne Cascante Grant of Easement and Easement Agreement(KWI Easement 1725 N. Orange Grove Avenue CA-PS-26), dated as of April 23, 1993, a short form of which Los Angeles, CA 90046 was recorded in Riverside County, California on May 3, 1993 as Ariel Platt Instrument Numbers 164355, 164350 and 164353 1321 Perolata Street Berkeley, CA 94702 Victoria Rosenthal 15015 Parenthenia St., #fit North Hills, CA 91343-5559 David G. Buck Agreement Regarding Reduction of Wind Access Setbacks, [at the above-noted address] dated as of October 20. 1993, and recorded in Riverside Chem Quest Corporation County, California on December 14, 1993 as Instrument Number [at the above-noted address] 496336, and rerecorded on February 3, 1994 as Instrument Number 046942 1921-90 aoc EXHIBIT EXHIBIT A r^ V Contracting Party Description Wintec Energy Limited Contract Administration Agreement, dated as of March 29, 1994 [at the above-noted address] Meridian Trust Company of California [at the above-noted address] Wintec Energy Limited Flower Purchase Trust Fee Agreement, dated as of March 29, [at the above-noted address] 1994 Meridian Trust Company of California [at the above-noted address] KWI does not admit or concede that the anv of the above-noted Agreements constitute executory contracts or unexpired leases within the meaning of section 365 of the Bankruptcy Code. f 9'_3"9v'_.doc EXHIBIT A EXHIBIT A 7 _'. ! County of Riverside Encroachment Permit No. D-9310- Transportation and Land Mgmt . 24 dated February 14 , 1994 Agency Transportation Department Desert Office Attn: General Manager, Supervisor, Director or Commissioner 79-733 Country Club Drive, Suite #B Bermuda Dunes, CA 92201 County of Riverside Attn: David E. Barnhart, Director or Transportation P. O. BOX 1090 Riverside, CA 92502 County of Riverside Attn: County Clerk 2724 Gateway Drive Riverside, CA 92507 Exhibit "B" 3 ,,Pebtor: •Atty for Debtor: •Corporate Counsel to Debtor: Kenetech Windpower,Inc. Stutman,Treisrer&Glatt PC Martin J.Pasqualini,Esq. Arm Steven A.Kem Attn: Alan Pedlar,Esq. Bingham Dana LLP 6952 Preston Avenue 3699 Wilshire Blvd.,Suite 900 150 Federal Street Livermore,CA 94550 Los Angeles,CA 90010 Boston,MA 02110 United States Trustee: Creditors'Committee Counsel: Creditors'Committee CPA: Office of the United States Trustee Murphy Sheneiman Julian&Rogers F.Wayne Elggren Attn: Minnie Lou Margaret Sheneman,Esq./J.Craig Gilliland,Esq Neilson,Elggren,Durkin&Co. 1301 Clay Street,Suite 690N 101 California Street,Suite 3900 A Unit of Arthur Andersen LLP Oakland,CA 94612-5217 San Francisco,CA 94111 15 West South Temple,Suite 700 Salt Lake City,UT 84101-1533 Creditors'Committee Member: Atty/LG&E Energy Corp.: Creditors'Committee Member: Louisville Gas&Electric Michael H.Ahrens,Esq. John Hancock Mutual Life Ins.Co. Attn: George Bassinger Sheppard,Mullin,Richter&Hampton Attn:Barry E.Welsh,Sr. 220 West Main Street 4 Embarcadero Center Bond and Corp.Finance Dept. Louisville.KY 40202 Seventeenth Floor 200 Clarendon SL,57th Floor San Francisco,CA 94111 Boston,MA 02117 Atty for John Hancock Mutual n Ins.: Any for John Hancock Mut Life Ins. A /John Hancock: Jeffrey r y&Howard Grady,Esq. T.D.Goldberg/T.J.Whitehead. Day,Be McCutchen,Doyle,Brown&Enersen City Place I Day,Berry&Howard Attn:R.Michelson,C.Talbert/K.Epstein 185 Asylum Street I Canterbury Green Three Embarcadero Center Hartford.CT 06103-3499 Stamford,CT 06901-2747 San Francisco,CA 94111.4066 Creditors'Committee Member Arty for PG&E: Pacific Gas&Electric Co. Scott H.McNutt,Esq. Creditors'Committee Member: Attn: Craig Smith Duane Michael Geck,Esq. Milwaukee Gear Company P.O.Box 77000,Mail Code B13E Severson&Werson A Div.of Port Affiliates Inc. Room 1387.77 Beale One Embarcadero Center,25th Floor 5150 No.Port Washington Road San Francisco,CA 94177 San Francisco,CA 94111 Milwaukee,WI 53217-0615 Creditors'Committee Member: Creditors'Committee Member: A /EPRI: Avon Bearings Electric Power Research Instimte Generation Group,Renewables Cooley Godward LLP Attn:Patrick 1 Walsh Attn:Edger A.DeMeo Attn: Robert L.Eisenbach III A von Nagle Road 3412 Hiliview Avenue One Maritime Plaza,20th Fit. Avon,OH 4401 I Palo Alto,CA 94304 San Francisco,CA 94111-3580 Creditors'Committee Member. Arty for ABN-AMBRO Bank&1P Morgan Any for ABN-AMBRO Bank&JP Morgan Rotech Engineering John H.Kenney,Esq. Peter M.Gilhuly,Esq. Attn: Ralph Ono Latham&Watkins Latham&Watkins 1020A S Melrose Street 505 Montgomery Street,Suite 1900 633 W.Fifth Street,Suite 4000 Placentia,CA 92670 San Francisco,CA 94111 Los Angeles,CA 90071-2007 Any for ABN-AMBRO Bank&JP Morgan Party Requesting Notice: The Toronto-Dominion Bank/USA Div. Arty for Toronto-Dominion Bank: Robert J.Rosenberg,Esq Attn: Mr.Peter S.S Mayer,Brawn&Platt Spielman Latham&WatkinsP 885 Third Avenue.Suite 100 Credit Restructuring J.Robert Stoll,Esq. 9. 31 West 52nd Street 190 So.La Salle St. New York,NY 10022-0802 New York,NY 10019-6101 Chicago,IL 60603-3441 A[ty for Toronto-Dominion Bank: Party Requesting Notice: Party Requesting Notice: Kimberly S.Winick.Esq. Energy Investors Fund Energy Investors Fund Mayer.Brown&Platt Attn:Ms.Valerie Zona Attn: Elizabeth Fugate,Esq. 350 So.Grand Avenue,Suite 2500 200 Berkeley St. 591 Redwood Highway,Ste.3210 Los Angeles,CA 90071-1503 Boston.MA 02116 Mill Valley,CA 94941 Atty/Energy Investors Fund. P Requesting Notice Brobeck.Phleger&Harrison LLP �Y 9 Arty for Powerex,Inc.. Attn: Frederick D.Holden.Jr. Powerex Inc. John T.Hansen,Esq. One Market Street Attn: Joseph A.Sibenac Nossaman,Guthner,Knox&Elliott Spear Street Tower 200 Hillis Street 50 California St.,34th Fit. San Francisco.CA 94105 Youngwood,PA 15697-1800 San Francisco,CA 94111 J *At /Bmce Med uck&M g Party Requesting Notice: ratty/Altamont Business Center: ty 1 &Kl usn Coughlin: Mr.V.S.Rao,Director Rishwain&Wishwain Robinson.tin J.B rt,Brill&Klausner Aban Lod Chiles Offshore Ltd. 2800 W.March Lane,Ste.220 Attn: Martin J.Brill,Esq. _ y i Towers Stockton.CA 95219 1888 Century Park East,Ste. 1500 766 Anna Salad Los Angcics,CA 90067 Madras,India Atty/Aban Loyd Chiles Offshore Ltd.: Party Requesting Notice: Party Requesting Notice: Goldberg,Stinnett,Meyers&Davis Atty/Christopher and Maria Bilski Jordan,Shaw&Hyden Attn: Merle C.Meyers,Esq David G.Finkelstein,Esq. Attn: H.Womble,Jr./L.A.Schmig 44 Montgomery St.,Ste.2900 Anderlini,Guheen,Finkelstein,etc. 900 Nations Bank Center North San Francisco,CA 94104 400 S.El Camino Real,Suite 700 500 N.Water Street San Mateo,CA 94402 Corpus Christi,TX 78471 Party Requesting Notice: Party Requesting Notice: party Requesting Notice: Roberta 1.Haugh Harvey Nelson c/o Barric Engel,Esq. c/o William C.Michelson,Esq. Enron Wind Corp. Hardin,Cook.Loper,et al. 420 Edinborough Corporate Center Attn: Adam S.Umanoff,Esq. 1999 Harrison St., I8th Floor 3300 Edinborough Way 444 So.Flower St.,Ste.4545 Oakland,CA 94612 Minneapolis,NIN 55435 Los Angeles,CA 90071-2946 Atty/Zond Corporation. Party Requesting Notice: party Requesting Notice: Troop,Meisinger,Stcuber&Pasich ZOND Corporation SBP Corporation Attn: Gary E Klausner,Esq. Attu: Albert Davies,Deputy Director of Project c/o Sipes Law Firm,P.C. 10940 Wilshire Boulevard Development Attn: Samuel S.Sipes Suite 800 I3000 Jameson Road;P.O.Box 1910 6006 N.Mesa,Suite 110 Los Angeles.CA 90024 Tehachapi,CA 93561 El Paso,TX 79912 Party Requesting Notice: Party Requesting Notice: p Requesting The Univ of Texas System National Wind(Power arty Notice: c/o Office of General Counsel clo O'Melveny&Myers LLP Ladish Co.,Inc. Attn: Traci L.Cotton,Esq. Attu: Mark L.Bradshaw,Esq. Attu: Wayne E.Larsen 201 West Seventh Street Embareadero Citr.W./275 Battery St. 5481 South Packard Avenue Austin,TX 78701 San Francisco,CA 94111-8700 Cudahy,WI 53110 Party Requesting Notice: Security Pacific National Bank Party Requesting Notice: Party Requesting Notice: c/o BALCG Credit Admin.L 15820 Allstate Insurance Company Mid American Energy Co. Attn Nick Falzonc/Shannon Gaynor Attn: Charles Walker/Kern Abbott Attn: Lon Hopkey 555 California St..41h Fir. 3075 Sanders Rd.,Ste.G56 P.O.Box 657 San Francisco,CA 94104 Northbrook,IL 60062 Des Moines,IA 50303-0657 Party Requesting Notice: CMS Generation/Hvdra Co. Party Requesting Notice: Party Requesting Notice: Attn*Dave Bristol/Neil R.Fellows ESI Energy,Inc. NNG Financial Corporation Fairland Plaza South Attn:Eric Edstrom/Edward Tancer Attn: Tami Linver 330 Town Ctr.Dr.Ste. 1100 P.O.Box 14000 220 N.W.2nd Avenue Dearborn,MI 48126 Juno Beach,FL 33408-0420 Portland,OR 97209 Arty.NNG Financial Corporation p Requesting Notice. Bonaparte,Elliott,Ostrander Party Party Requesting Notice: &Preston,P.C. Mountain Energy California,Inc. Dean and Associates,Inc. Attn Jerome F ElliotL Esq Attn: Jonathan Winer Attn: Lori Cuervo 621 SW Morrison St..Ste 400 35 Green Mountain Drive 1370 Washington Pike Portland,OR 97205 South Burlington,VT 05402 Bridgeville,PA 15017 Party Requesting Notice, Party Requesting:Notice. Party Requesting Notice: McCann.Garland,Ridall&Burke Westinghouse Electric Corporation HBS Equipment Corporation Attn Robert K Dannhousei.Esq. Attn: Michelle Buttgereit Attn: Donald Herzfeld,President 309 Smithfield St.,Ste,400 11 Stanwix St.,Rat.2044 I4700 Alondra Boulevard Pittsburgh,PA 15222 Pittsburg,PA 15222-13484 La Mirada,CA 90638-5616 Party Requesting Notice. Art Patty Requesting Nonce. y.Aetna Life Insurance Company CNF Industries.Inc. CNF Industries,Inc. Gibson.Dunn&Cmtcher LLP Attu: Mr.Joel M Canino c/o Brooks&Raub Attn: Kathryn A.Coleman,Esq. 355 Research Parkway Attn: L.Donald Raub.Jr One Montgomery Street Meriden.CT 06450 721 Colorado Avenue.Suite 101 Telesis Tower.31 st Floor Palo Alto,CA 94303-3913 San Francisco.CA 941044505 A City of Palm Springs City of Palm Springs Attn: City Manager Attn: City Clerk 3200 E . Tahquitz Canyon Way 3200 East Tahquitz Canyon Way Palm Springs, CA 92263 P.O. Box 2743 Palm Springs, CA 92263 Rutan & Tucker State of California Attn: David J. Aleshire, Esq. Department of Transportation 611 Anton Boulevard, Suite 1400 Caltrans District 8 Permit Costa Mesa, CA 92626 Office Attn: Officer, Managing Agent, General Agent, Director or Supervisor 247 West Third Street San Bernardino, CA 92402 State of California State of California Department of Transportation Attn: Bill Lockyer, Attorney Attn: James Van Loben Sels,, General Director 1300 I Street 1120 "N" Street Sacramento, CA 95814 Sacramento, CA 95814 County of Riverside County of Riverside Transportation and Land Mgmt . Attn: David E. Barnhart, Agencv Director or Transportation Transportation Department P .O. Box 1090 Desert Office Riverside, CA 92502 Attn : General Manager, Supervisor, Director or Commissioner 79-733 Country Club Drive, Suite #B Bermuda Dunes, CA 92201 County of Riverside —" Attn: County Clerk 2724 Gateway Drive Riverside, CA 92507 Kenetech Windpower, Inc. Wind Energy Permit - Annex 26 Unincorporated Territory AGREEMENT #3314 R18228, 11-17-93 AN AGREEMENT REGARDING ANNEXATION OF -- UNINCORPORATED TERRITORY IN THE COUNTY OF RIVERSIDE TO THE CITY OF PALM SPRINGS THIS AGREEMENT ( "Agreement" ) is entered into as of the date executed by the City below, by and between the City of Palm Springs ( "City") a municipal corporation and political subdivision of the State of California, and KENETECH WINDPOWER, INC. ( "Company" ) , a Delaware corporation. This Agreement is made in consideration of the following: R E C I T A L S A. The City of Palm Springs is a corporate body, public and politic, with the power and responsibility of providing municipal services, including the issuance and administration of land use permits, within its municipal boundaries . B. Pursuant to Government Code Section 56000 et sea. , the City made application to the Local Agency Formation Commission of the County of Riverside ( "LAFCO") for annexation of some 13 . 5 square miles of land to be included within the City' s municipal boundaries ( "Annexation" ) . C. Company is a Delaware corporation, which holds easements over certain property more particularly described in Exhibit A hereto ( "Subject Property" ) . The Subject Property is located within the area the City proposes to annex to its boundaries, pursuant to its Annexation. D. Company holds certain wind energy conversion systems permits ( "WECS permits" ) , pertaining to the Subject Property which were previously issued by the County of Riverside ( "County") . In addition, Company has certain applications currently pending with the County for issuance of additional or modified WECS permits . Company contemplates pursuing further applications for facilities, including any necessary building permits, electrical permits, grading permits, or any other permits or entitlements necessary to construct and place in operation its wind energy conversion systems contemplated in the WECS Permits ( "Implementing Permits") . E. Company is concerned that any transfer of jurisdictional authority pursuant to the Annexation not imperil the status of its WECS permits and Implementing Permits, nor prolong the time for processing of its WECS permit applications and Implementing Permit applications filed prior to the effective date of the Annexation. The City wishes to successfully complete the Annexation, and wishes to provide Company with certain assurances regarding the City' s recognition of existing WECS permits and Implementing Permits, to provide for procedures regarding the processing of WECS permit PS2\159\014084-000112070802.6 04/01/94 -1- 0 applications and Implementing Permit Applications filed prior to the effective date of the Annexation, and to clarify the standards for processing of any future WECS permit and Implementing Permit applications . F. City is in the process of adopting certain ordinances regulating wind energy projects . Company has given input to City on its requirements in connection with such an ordinance, and has given preliminary review of; the drafts of ordinances City staff indicates it will recommend to City Council for adoption. Based upon this preliminary review, and subject to any changes which may be made to the ordinances through the legislative process, Company currently finds the draft ordinances suitable for the conduct of its operations thereunder. This recital is not intended to bind any further action by Company with respect to amendments to the ordinance. NOW, THEREFORE, IN CONSIDERATION OF ALL THE FOREGOING, THE PARTIES HEREBY AGREE AS FOLLOWS: 1 . Provided that City and County comply with their respective obligations under this Agreement, and subject to Company' s approval of the conditions placed on the Annexation by LAFCO, Company agrees that it shall not protest the annexation of the Subject Property to the City of Palm Springs . In this regard, Company agrees that it shall not file any written or oral protest at any conducting authority hearings, and shall not initiate any action, legal or otherwise, challenging LAFCO or the City in connection with the processing of any aspect of the Annexation, nor raise any other objection or protest to the success of the Annexation. 2 . City agrees that all WECS permit applications on file with the County and accepted by the County as substantially complete and ready for processing as of the effective date of the Annexation shall continue to be processed by the County, until such applications are either granted, conditionally granted, or rejected. The City agrees that the applicable standard to be applied to the WECS permit applications to be processed by the County under this Agreement shall be those ordinances, rules, and regulations of the County in effect at the time of the County processing. City agrees it will take no actions intended to block or delay the processing of such permits with the County. Any WECS permit applications processed by the County pursuant to this Agreement, which lead to the grant of a WECS permit, shall be recognized by the City as valid in all respects, as if granted by the City itself, and shall be; administered by the City according to the terms of such WECS permits, including all conditions attached thereto. FS2\159\014054-0001\2070802.6 04/01/94 -2- 3 . City and Company agree that all applications for Implementing Permits on file with the County and accepted by the County as substantially complete and ready for processing as of the effective date of the Annexation shall continue to be processed by the County, under those ordinances, rules and regulations of the County in effect at the time of County processing. With the exception of those Implementing Permits which are covered by the first sentence of this Paragraph 3 , City and Company agree that all Implementing Permits for construction and operation of any wind conversion systems covered by WECS permits which may be issued by the County pursuant to paragraph 2 of the Agreement shall be processed through the City, under those ordinances, rules, and regulations of the City applicable to Implementing Permits in effect at the time of City processing, provided that such City ordinances, rules and regulations applicable to Implementing Permits are not inconsistent with the conditions which may be imposed by the County in issuing the WECS permit for which the Implementing Permits are sought. 4 . City agrees ghat all unexpired and nonrevoked WECS permits held by Company on the effective date of the Annexation shall continue in effect according to their terms, including all conditions attached thereto. Upon completion of the Annexation, the City shall assume jurisdiction for the enforcement of any such conditions . 5 . It is intended by the parties to this Agreement that the City shall designate the County as its agent for the processing of all WECS permit applications to be processed pursuant to paragraph 2 herein and all Implementing Permit applications to be processed pursuant to the first sentence of Paragraph 3 herein, and shall use the ordinances, :rules, and regulations of the County governing such WECS permit applications and Implementing Permit applications as the standards of the City in processing such applications, all pursuant to an agreement to be entered into between the City and the County. City agrees that it will use its best efforts to expedite obtaining the agreement between City and County. In the event Company does not approve the agreement between City and the County, Company may exercise its protest rights otherwise waived in paragraph 1 above. Because the timing of and acceptability to Company of this City/County agreement is uncertain as of the date of this Agreement, City agrees that all applications for Implementing Permits which Company files with County prior to the effective date of the Annexation, may also be filed with City. City agrees that is shall promptly process such applications and, in the event that City and County do not reach an agreement which is acceptable to Company, that City shall, upon the request of Company, take responsibility for issuing such Implementing Permits . Such Implementing Permits shall be reviewed under those ordinances, PS2\159\014084-0001\2070802.6 04/01/94 -3- rules and regulations of the City applicable to Implementing Permits at the time of City processing, provided that such City ordinances, rules and regulations applicable to the Implementing Permits are not inconsistent with the conditions imposed by the County in issuing the WECS permit for which Implementing Permits are sought . From and after the date upon which City adopts its WECS ordinances, City agrees that Company may, by written notice to City, elect to follow the procedure described just above with respect to WECS permits and that City would apply those City ordinances, rules, regulations, applicable to WECS permits at the time of the election to any such WECS permit applications . 6 . Both parties acknowledge that the City is in the process of adopting its own WECS permit ordinance, to provide for a conditional use permit mechanism with regard to wind energy conversion systems. Both parties agree that this ordinance, and any subsequently adopted ordinances, rules, or regulations of the City regarding wind energy conversion systems, shall apply to any WECS permit application by Company which is not required to be processed pursuant to Paragraph 2 of this Agreement, and to any application for any new Implementing Permit which is not processed pursuant to Paragraph 3 of this Agreement, including any reapplication on any application with the County which has been denied or expired, or any modification to an existing WECS permit or Implementation Permit (but only to the extent of such modification) , for the Subject Property or any other property within the City' s boundaries. 7 . The parties agree to work with each other in good faith to accomplish all of the purposes of this Agreement. Subject to the contingencies set forth in Paragraphs 1 and 5 herein, Company agrees it will take no action intended to block or delay the timely approval of the Annexation. City agrees to preserve the integrity of all previously-granted WECS permits . City agrees that it will give due consideration to the concerns of Company in considering any amendment of its ordinances, rules and regulations concerning wind energy conversion systems, whether initiated by Company or any other person. 8 . It is understood that in the agreement to be entered into between the City and the County, County may require notice to residents in unincorporated County territory of actions concerning wind conversion projects. Accordingly, in processing any project approvals, the City may require additional noticing of such adjacent areas not within the territory of the City provided that such additional notice does not unreasonably delay processing of project approvals . Landowner shall comply with the reasonable requirements of City for such additional notice. 9 . Company is currently negotiating a transaction with Wintec Ltd. , Frederick W. Noble, Frederick W. Noble, Inc. , and Palm F52\159\014084-0001\2070802.6 04/01/94 -4- Energy Properties (collectively 'Wintec' ) whereby Company will acquire various property interests from Wintec ( 'Wintec Property' ) to operate wind energy conversion systems on all or part of the Wintec Property. Company wishes to have any such Wintec Property which may be transferred to Company subsequent to the date of this Agreement to be included within, and to also be governed by, this Agreement . To accomplish this, City agrees that upon the effective date of any such transfer of all or any portion of the Wintec Property from Wintec to Company, all or any part of the Wintec Property so transferred shall become included in this Agreement, and shall be considered part of the "Subject Property" as that term is used in this Agreement. In the event of such transfer, the provisions of this Agreement shall also govern the Wintec Property provided that, any WECS Permit or Implementation Permits applications being processed by the City as of the effective date of the transfer shall continue to be processed by the City. Company and City acknowledge that City is negotiating and may enter into a "Development Agreement" (as defined by Government Code § 65864 et sea. ) regarding property owned by Wintec and other entities which may include inter alia, the Wintec Property defined in Exhibit B attached hereto ( "Wintec Development Agreement") . Notwithstanding anything to the contrary herein or in the Wintec Development Agreement, the Wintec Property shall not be subject to the Wintec Development Agreement unless and until : (i) the property interests acquired by Company relating to the Wintec Property are terminated; or (ii) Company in its sole discretion elects to be subject to the Wintec Development Agreement and so notifies the City and Wintec in writing. 10 . This Agreement contains the entire understanding of the parties regarding the Subject Property, and supersedes all agreements, whether written or oral, which may have preceded it . This Agreement may be amended only in a writing signed by all parties . All prior agreements, covenants, representations and warranties, express or implied, oral or written, of the parties to this Agreement concerning the Subject Property are contained in this Agreement . All prior and contemporaneous conversations, negotiations, possible and alleged agreements, covenants, representations and warranties, express or implied, oral or written, concerning the subject matter of this Agreement are merged into this Agreement . This is an integrated agreement. 11 . Except as expressly provided to the contrary herein, any notice, demand, document, or other communication hereunder shall be deemed given, delivered, and received when given in writing and personally delivered to an authorized agent of the applicable party, or upon delivery by the United States Postal Service, first class registered or certified mail, postage prepaid, return receipt requested, or by national "overnight courier" such as Federal Express, at the time of delivery shown upon receipt, in any case delivered to the address, addressee, and persons as each P52\159\014084-0001\2070802.6 04/01/94 -5- party may from time to time by written notice designate to the other, and who initially are: City: City of Palm Springs 3200 E. Tahquitz Canyon Way Palm Springs, California 92263 Attention: City Manager A copy to: Rutan & Tucker 611 Anton Boulevard, Suite 1400 Costa Mesa, California 92626 Attention: David J. Aleshire, Esq. Company: Kenetech Windpower, Inc. 500 Sansome Street San Francisco, California 94111 Attention: Reid M. Buckley A copy to: Kenetech Windpower, Inc. 500 Sansome Street San Francisco, California 94111 Attention: Nicholas H. Politan, Esq. 12 . This is a preannexation agreement intended to have the same binding effect on future City Councils as discussed in Morrison Homes Corp. v. Cit:v of Pleasanton (1976) 58 Cal .App.3d 724 . Subject to the contingencies set forth in Paragraphs 1 and 5 above, it is understood that Company is hereby surrendering a right to protest and potentially :block the Annexation. This Agreement should be liberally construed to give Company the benefit of its bargain without impermissibly limiting the City' s power to act to protect the health, safety and welfare of its citizens . 13 . This Agreemer.Lt and the rights and benefits accruing hereunder may be assigned by Company to any person or entity, with the written permission of City, which permission shall not be unreasonably withheld. Company shall not be required to secure written permission of the City to any assignment of this Agreement and the rights and benefits ,accruing hereunder to any affiliate of Company. For the purposes of this paragraph, an affiliate shall be defined as follows : "Any entity controlled by or under common control with Kenetech Windpower, which would include without limitation any direct or indirect subsidiary of Kenetech Windpower, any P52\159\014084-0001\2070802.6 04/01/94 -6- parent company of Kenetech Windpower, any general or limited partnership of which Kenetech Windpower is a general partner, or any other entity of which Kenetech Windpower directly or indirectly has the ability to control the management or operation of such entity. 14 . This Agreement shall become effective on the date that it is approved by resolution of the City Council of the City, and executed by the City' s authorized representative, after being executed by Company' s authorized representative. Each of the persons signing below on behalf of the party to this Agreement, except the parties' respective attorneys, expressly represents that he or she is duly authorized to enter into this Agreement on behalf of that party. PS2\159\014084-0001\2070802.6 04/01/94 -7- IN WITNESS WHEREOF, this Agreement has been executed as of the date first above written. DATED: CITY F PALM SPRINGS By: Rob P kins City Manager of P lm Springs DATED: y J%— LJ ATTEST: I. By: c� J 3Vt Sumich City Clerk DATED: ��/y�aT APPROVED AS TO FORM: By: + David J. leshire City Attc5irney DATED: COMPANY By: Michael U. Alvare Vice President DATED: APPROVED AS TO FORM: By: Nic olas H. Politan, Esq. Assistant Secretary APPROVED BY THE CITY COUNCIL BY Rom. N®. FS2\159\014084-0001\2070802.6 04/01/94 -$- EXHIBIT A Description of Subject Properties Rosenthal Property THE NORTHEAST QUARTER OF THE SOUTHEAST QUARTER OF SECTION 8, TOWNSHIP 3 SOUTH, RANGE 4 EAST, SAN BERNARDINO MERIDIAN, ACCORDING TO THE OFFICIAL PLAT THEREOF. EXCEPT THE WEST HALF OF THE WEST HALF OF THE NORTHEAST QUARTER OF THE SOUTHEAST QUARTER OF SAID SECTION 8. ALSO EXCEPT THE NORTHERLY RECTANGULAR 55.00 FEET, CONVEYED TO COUNTY OF RIVERSIDE BY DEED RECORDED JUNE 9, 1964 AS INSTRUMENT NO. 70666, OFFICIAL RECORDS. ALSO EXCEPT THAT PORTION CONVEYED TO THE RIVERSIDE COUNTY FLOOD CONTROL AND WATER CONSERVATION DISTRICT RECORDED AUGUST 31, 1967 AS INSTRUMENT NO. 76476, OFFICIAL RECORDS. Buck Property THAT PORTION OF THE WESTERLY 2,929.00 FEET OF SECTION 9, TOWNSHIP 3 SOUTH, RANGE 4 EAST, SAN BERNARDINO MERIDIAN, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING SOUTHERLY OF THE SOUTHERLY LINE OF DILLON ROAD AS DESCRIBED IN DEEDS TO THE COUNTY OF RIVERSIDE, RECORDED JUNE 9, 1964 IN BOOK 3715, PAGE 470 AS INSTRUMENT NO. 70659 AND JUNE 8, 1966 AS INSTRUMENT NO. 59449, BOTH OF OFFICIAL RECORDS. EXCEPT THAT PORTION CONVEYED TO THE RIVERSIDE COUNTY FLOOD CONTROL AND WATER CONSERVATION DISTRICT BY DEED RECORDED SEPTEMBER 14, 1967 AS INSTRUMENT NO. 80550, OFFICIAL RECORDS. SAID LAND IS INCLUDED WITHIN THE AREA OF MAP ON FILE IN BOOK 41, PAGE 70 OF RECORDS OF SURVEY, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA. Klee Prpperty PARCEL 1 OF PARCEL MAP 11456, AS SHOWN BY MAP RECORDED IN BOOK 55, PAGES 27 AND 28, OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, TOGETHER WITH LETTERED LOT "E" AS VACATED BY RESOLUTION RECORDED NOVEMBER 27, 1984 AS INSTRUMENT NO. 254163, OFFICIAL RECORDS. Ivanov Property PARCEL 2 OF PARCEL MAP 11456, AS SHOWN BY MAP RECORDED IN BOOK 55, PAGES 27 AND 28, OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, TOGETHER WITH LETTERED LOT "F" AS VACATED BY RESOLUTION RECORDED NOVEMBER 27, 1984 AS INSTRUMENT NO. 254163, OFFICIAL RECORDS. Page 1 of 2 Kime Property PARCEL 3 OF PARCEL MAP 11456, AS SHOWN BY MAP RECORDED IN BOOK 55, PAGES 27 AND 28, OF PARCEL MAPS, RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, TOGETHER WITH LETTERED LOT "G" AS VACATED BY RESOLUTION RECORDED NOVEMBER 27, 1984 AS INSTRLPIENT NO. 254163, OFFICIAL RECORDS. Chemquest Property THE EAST HALF OF THE WEST HALF 017 SECTION 16, TOWNSHIP 3 SOUTH' RANGE 4 EAST, SAN BERNARDINO MERIDIAN, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING NORTH OF THE STATE FREEWAY AS GRANTED TO THE STATE OF CALIFORNIA BY DEED RECORDED JULY 19, 1950 IN BOOK 1190, PAGE 266, OFFICIAL RECORDS. EXCEPT THAT PORTION OF SAID LAND AS GRANTED TO THE COUNTY OF RIVERSIDE FLOOD CONTROL AND WATER CONSERVATION DISTRICT IN A DEED RECORDED MARCH 21, 1968 AS INSTRUMENT NO. 25776, OFFICIAL RECORDS. Page 2 of 2 • EXHIBIT B • DESCRIPTION OF WINTEC PROPERTY TRIAD P...'OPERTY THOSE PORTIONS OF THE NORTHEAST QUARTER AND THE SOUTHEAST QUARTER OF SECTION 16, TOWNS:HIP 3 SOUTH, RANGE 4 EAST, SAN BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING SOUTHERLY OF THE SOUTHERLY LINE OF THE LAND DESCRIBED IN THE DEED TO THE RIVERSIDE COUNTY FLOOD CONTROL AND WATER CONSERVATION DISTRICT BY DEED RECORDED APRIL 22, 1969 AS INSTRUMENT NO. 39294 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, AND, LYING NORTHERLY OF THE NORTHEASTERLY LINE OF THE LAND DESCRIBED IN THE DEED TO THE STATE OF CALIFORNIA BY DEED RECORDED JULY 19, 19SO IN BOOR 1190 PAGE 266 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; EXCEPT THOSE PORTIONS CONVEYED TO THE COUNTY OF RIVERSIDE BY DEED RECORDED OCTOBER 3, 1984 AS INSTRUMENT NO. 215049, AND RE- RECORDED DECEMBER 16, 1986 AS INSTRUMENT NO. 258059 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; ALSO EXCEPT ALL URANIUM, THORIUM AND OTHER FISSIONABLE MATERIALS, ALL OIL, GAS, PETROLEUM, ASPHALTUM, .AND OTHER HYDROCARBON SUBSTANCES AND OTHER :MINERALS AND MINERAL ORES OF EVERY RIND AND CHARACTER, WHETHER SIMILAR TO THESE HEREIN SPECIFIED OR NOT, WITHIN OR UNDERLYING, OR WHICH MAY BE PRODUCED FROM SAID LAND, TOGETHER WITH THE RIGHT TO USE THAT PORTION ONLY OF SAID LAND WHICH UNDERLIES A PLANE PARALLEL TO AND 500.00 FEET BELOW THE PRESENT SURFACE OF SAID LAND, FOR THE PURPOSE OF PROSPECTING FOR, DEVELOPING AND/OR EXTRACTING SAID URANIUM, THORIUM, AND OTHER FISSIONABLE MATERIALS„ OIL, GAS, PETROLEUM, ASPHALTUM, AND OTHER MINERAL OR HYDROCARBON SUBSTANCES FROM SAID LAND AS EXCEPTED BY SOUTHERN SURPLUS REALTY CO. BY GRANT DEED RECORDED JUNE 28, 1982 AS INSTRUMENT NO. 110207 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA. PAGE 1 of 8 CARTER FIELD PROPERTY THE LAND REFERRED TO IN THIS REPORT IS SITUATED IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AND IS DESCRIBED AS FOLLOWS: THAT PORTION OF THE WESTERLY 2,929 . 00 FEET OF SECTION 9, TOWNSHIP 3 SOUTH, RANGE 4 EAST,, SAN BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING NORTHERLY OF THE NORTHERLY LINE OF DILLON ROAD AS DESCRIBED IN DEEDS TO THE COUNTY OF RIVERSIDE, RECORDED JUNE 9, 1954 AS INSTRUMENT NO. 70659 AND JUNE 8, 1966 AS INSTRUMENT NO. 59449 BOTH OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA. PAGE 2 of 8 tl WHITEWATER PROPERTY PARCEL 1: THAT PORTION OF THE EAST HALF OF THE NORTHEAST QUARTER, AND WHEN THE EAST HALF OF THE SOUTHEAST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAN BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDES, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF; BEGINNING AT THE NORTHEAST CORNER OF SAID SECTION 14; THENCE ON THE EAST LINE OF SAID SECTION 14, SOUTH 00 DEGREES 16' 28" WEST, 725.76 FEET TO THE TRUE POINT OF BEGINNING; THENCE CONTINUING ON SAID EAST LINE OF SECTION 14, SOUTH 00 DEGREES 16' 28" WEST„ 2, 068.21 FEET; THENCE NORTH 89 DEGREES 42 ' 00" WEST, 128.50 FEET; THENCE NORTH 67 DEGREES 40' 11" WEST, 226.78 FEET; THENCE NORTH 66 DEGREES 36' 47" WEST, 437.60 FEET; THENCE NORTH 57 DEGREES 59' 59" WEST, 523. 62 FEET; THENCE NORTH 00 DEGREES 15' 28" WEST, 2, 081.23 FEET; THENCE SOUTH 64 DEGREES 40' 36" EAST, 535. 58 FEET; THENCE SOUTH 61 DEGR13ES 26' 19" EAST, 674.40 FEET; THENCE SOUTH 89 DEGREES 49' 33" EAST, 128.50 FEET, TO THE TRUE POINT OF BEGINNING. PARCEL 2: THAT PORTION OF THE EAST HALF OF THE NORTHEAST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, BAN BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING WITHIN A STRIP OF LAND 30.00 FEET WIDE DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHEAST CORNER OF SAID SECTION 14; THENCE ON THE EAST LINE OF SAID SECTION 14, SOUTH 00 DEGREES 16' 28" WEST, 725.76 FEET; THENCE NORTH 89 DEGREES 43' 33" WEST, 128.50 FEET; THENCE NORTH 61 DEGREES 26' 19" WEST, 33.42 FEET, TO THE TRUE POINT OF BEGINNING; PAGE 3 of 8 1999156 THENCE NORTH 61 DEGREES 26 ' 19" HEST, 35.00 FEET; THENCE NORTH 02 DEGREES 27' 06" WEST, 303. 62 FEET; THENCE NORTH 25 DEGREES 41' 49" WEST, 262.57 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST AND HAVING A RADIUS OF 55.00 FEET; THENCE NORTHEASTERLY ON SAID CURVE THROUGH A CENTRAL ANGLE OF 132 DEGREES 38' 35", 127.33 FEET; THENCE TANGENT TO SAID CURVE, 73 DEGREES 03 ' 14" EAST, 130. 31 FEET; THENCE SOUTH 85 DEGREES 13' 16" EAST, 128 .31 FEET TO SAID EAST LINE OF SECTION 14; THENCE ON SAID EAST LINE SOUTH 00 DEGREES 16' 28" WEST, 30.09 FEET; THENCE NORTH 85 DEGREES 13 ' 16" WEST, 134. 09 FEET; THENCE NORTH 73 DEGREES 03 ' 14" WEST, 133.51 FEET TO THE BEGINNING OF A TANGENT CURVE CONCAVE TO THE SOUTHEAST AND HAVING A RADIUS OF 25.00 FEET; THENCE SOUTHWESTERLY ON SAID CURVE THROUGH A CENTRAL ANGLE OF 132 DEGREES 38' 3511, 57.88 FEET; THENCE TANGENT TO SAID CURVE, SOUTH 25 DEGREES 41' 49" EAST, 268.74 FEET; THENCE SOUTH 02 DEGREES 27' 06" EAST, 327.82 FEET TO THE POINT OF BEGINNING. PARCEL 33 THAT PORTION OF THE EAST HALF OF THE NORTHEAST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAN BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING WITHIN A STRIP OF LAND, 50.00 FEET WIDE (DESCRIBED AS FOLLOWS3 BEGINNING AT THE NORTHEAST CORNER OF SAID SECTION 14; THENCE ON THE EAST LINE OF SAID SECTION 14, SOUTH 00 DEGREES 16 ' 28" WEST, 725.76 FEET; THENCE NORTH 88 DEGREES 43 ' 33" WEST, 128.50 FEET; THENCE NORTH 61 DEGREE19 26' 19" WEST, 674.40 FEET; THENCE NORTH 64 DEGREE19 40' 36" WEST, 535.58 FEET; THENCE SOUTH 00 DEGREES 15' 28" EAST, 10.80 FEET TO THE TRUE POINT OF BEGINNING; THENCE SOUTH 00 DEGREE19 15' 28" EAST, 51. 12 FEET; THENCE NORTH 78 DEGREES 15' 44" WEST, 92.95 FEET TO THE WEST LINE OF SAID EAST HALF OF TIRE NORTHEAST QUARTER OF SECTION; THENCE ON SAID WEST LINE OF SAID EAST HALF OF THE NORTHEAST QUARTER OF SECTION 141 NORTH 00 DEGREES 25' 30" EAST, 50.99 FEET; THENCE SOUTH 78 DEGREES 15' 44" EAST, 92 .33 FEET TO THE TRUE POINT OF BEGINNING. PAGE 4 of 3 1999156 PARCEL 4s THAT PORTION OF THE EAST HALF OF THE NORTHEAST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, BAN BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING WITHIN A •STRIP OF LAND, 30.00 FEET WIDE! DESCRIBED AS FOLLOWS3 BEGINNING AT THE NORTHEAST CORNER OF SAID SECTION 14; THENCE ON THE EAST LINE OF SAID SECTION 14, SOUTH 00 DEGREES 16' 28" HEST, 2,793.97 FEET; THENCE NORTH 89 DEGREES 42' 00" WEST, 128.50 FEET; THENCE NORTH 67 DEGREES 40' 11" WEST, 226.78 FEET; THENCE WORTH 66 DEGREES 36' 47" WEST, 437.60 FEET; THENCE NORTH 57 DEGREES 59' 59" WEST, 525. 62 FEET; THENCE NORTH 00 DEGREES 15' 28" WEST, 107.79 FEET TO THE TRUE POINT OF BEGINNING; THENCE NORTH 89 DEGREES 34' 30" WEST, 113.92 FEET TO A POINT ON THE WEST LINE OF SAID EAST HALF OF THE NORTHEAST QUARTER OF SECTION 14, SAID POINT ALSO BEING DISTANT TWO THIRDS MILE FROM THE NORTHERLY RIGHT OF WAY LINE OF HIGHWAY 111; THENCE ON THE WEST LINE OF SAID EAST HALF OF THE NORTHEAST QUARTER OF SECTION 141, NORTH 00 DEGREES 25' 30" EAST, 30.00 FEET; THENCE SOUTH 89 DEGREES 34' 30" EAST, 113. 56 FEET; THENCE SOUTH 00 DEGREES 15' 28" EAST, 30. 00 FEET TO THE TRUE POINT OF BEGINNING. PAGE 5 of 8 Ask i .IVERVIC14 P20PERTY PARCEL li THE WEST HALF OF THE NORTHEAST QUARTER AND THE EAST HALF OF THE EAST HALF OF THE NORTHWEST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAN BEE ARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OP71CIAL PLAT THEREOF; EXCEPT THAT PORTION THEREOF LYING NORTHWESTERLY OF A LINE THAT IS ' PARALLEL WITH AND 230.00 FEET SOUTHERLY, MEASURED AT RIGHT ANGLES, FROM THE FOLLOWING DESCRIBED SURVEYED REFERENCE LINE; BEGINNING AT A POINT IN THE NORTHERLY LINE OF SAID SECTION 14, SAID POINT BEING SOUTH 89 DEGREES 57' 12" EAST, 365.15 FEET, MEASURED ALONG SAID NORTHERLY LINE, FROM A FOUND ONE INCH IRON PIPE AND TAG STAMPED "L.S. 1433", SET AT THE NORTH QUARTER CORNER OF SAID SECTION 14, SAID POINT ALSO 'BEING NORTH 89 DEGREES 57' 12" WEST, 2,269.15 PEST, MEASURED ALONG SAID NORTHERLY LINE, FROM A FOUND SCRIBED STONE SET IN A MOUND OF STONE SET AT THE NORTHEAST CORNER OF SAID SECTION 14; THENCE SOUTH 69 DEGREES 06' 23" WEST, $37.43 FEET; THENCE YOUTH 86 DEGREES 03' 33" WEST, 2,226.37 FEET, TO A POINT IN TER WESTERLY LINE OF SAID SECTION 141 SAID POINT BEING SOUTH 00 DEGREES 12' 07" WEST, 454.39 FEET MEASURED ALONG SAID WESTERLY LINE FROM A FOUND 3/4 INCH IRON PIPE IN A ROCS MOUND SET AT THE NORTHWEST CORNER OF SAID SECTION 14, SAID POINT ALSO BEING NORTH 00 DEGREES 12 ' 07" EAST, 2,181.99 FEET, MEASURED ALONG SAID WESTERLY LINE FROM A FOUND 1-1/4 INCH IRON PIPE AND TAG STAMPED "L.S. 1433" SET AT THE WEST QUARTER CORNER OF SAID SECTION 14; SAID PARALLEL LINE SHALL BE PROLONGED 80 AS TO TERMINATE IN THE NORTHERLY LINE OF SAID SECTION' 14; PAGE 6 of 8 Affi 1999186 ALSO EXCEPT ALL URANIUM, THORIUX AND OTHER FISSIONABLE MATERIALS, ALL OIL, GAS, PETROLEUM, ASPHALTUM AND OTHER HYDROCARBON SUBSTANCES AND OTHER, MINERALS AND MINERAL ORES OF EVERY KIND AND CHARACTER, WHETHER SIMILAR TO THESE HEREIN SPECIFIED OR NOT, WITHIN OR UNDERLYING, OR WHICH MAY BE PRODUCED FROM THE HEREINBEFORE DESCRIBED LAND, TOGETHER WITH THE RIGHT TO. USE THAT, PORTION ONLY OF SAID LAND WHICH UNDERLIES A PLANE PARALLEL TO AND FIVE HUNDRED (300) FEET BELOW TEE PRESENT SURFACE OF SAID LAND,. FOR THE PURPOSE OF PROSPECTING FOR, DEVELOPING AND/OR EXTRACTING SAID URANIUM, THORIUM, AND OTHER FISSIONABLE MATERIALS, OIL, GAS, PETROLEUM, ASPHALTUM AND OTHER MINERAL OR HYDROCARBON SUBSTANCES FROM SAID LAND, IT BEING EXPRESSLY UNDERSTOOD AND AGREED THAT SAID SOUTHERN SURPLI78 REALTY CO. , ITS SUCCESSORS AND ASSIGNS, SHALL HAVE NO RIGHT TO ENTER UPON THE SURFACE OF SAID LAND, OR TO U8E SAID LAND OR ANY PORTION THEREOF TO SAID DEPTH OF FIVE HUNDRED (500) FEET, FOR ANY PURPOSE WHATSOEVER, AS RESERVED BY SOUTHERN SURPLUS REALTY CO. , BY DEED RECORDED APRIL 7, 1971 AS INSTRUMENT NO. 35321' OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA. PARCEL 2• AN EASEMENT DATED JANVARY 4, 1904, RECORDED MAY S, 1987 A8 INSTRUMENT NO. 124935 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, FOR ACCIEaSS, " INGRE98 AND EGRESS OVER THE FOLLOWING REAL PROPERTY; ALL THAT PORTION OF THE EAST HALF OF THE SOUTHWEST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAE BERNARDINO BASE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS SHOWN BY THE OFFICIAL PLAT THEREOF, LYING NORTHERLY OF THE LAND DESCRIBED IN DEED TO RIVLRSIDI COUNTY RECORDED MAY S, 1913 IN BOOK 406 PAGE 214 OF DEEDS, OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA; EXCEPT THAT PORTION OF THE EAST HALF OF THE SOUTHWEST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAN BERNARDINO BASE AND MERIDIAN, IN TH31 COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING WITHIN A STRIP OF LAND 330.00 FEET WIDE, THE SIDELINE THEREOF BEING 100. 00 FEET NORTHERLY AND 230.00 FEET SOUTHERLY, MEASURED AT RIGHT ANGLES RESPECTIVELY, FROM THE FOLLOWING DESCRIBED LINE: BEGINNING AT THAT POINT IN THE EASTERLY LINE OF SECTION 13, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SIN BERNARDINO BASE AND MERIDIAN, SAID POINT BEING SOUTH 00 DEGREES 10' 17" WEST, 434.39 FEET, MEASURED ON SAID EASTERLY LINE FROM A FOUND 3/4 INCH IRON PIPE WITH METAL TAG STAMPED "L.S. 2881" SET IT TEE EAST QUARTER CORNER OF SAID SECTION 13, SAID POINT ALSO BEING NORTH 00 DEGREES 10 , PAGE 7 of 3 1999186 17" EAST, 2, 008.22 FEET, MEASURED ON SAID EASTERLY LINE FROM A FOUND STONE WITHIN "+" ON TOP SET AT THE SOUTHEAST CORNER OF A SAID SECTION 13; THENCE SOUTH 87 DEGREES 03 ' 40" WEST, 15,820.26 FEET TO A POINT IN THE WESTERLY LINE OF SECTION 15, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAN BERNARDINO BASE AND MERIDIAN, SAID POINT BEING SOUTH 00 DEGREES 19' 11" WEST, 2,827. 01 FEET, MEASURED ON SAID - WESTERLY LINE FROM A FOUND 3/4 INCH IRON PIPE AND METAL TAG MARKED 6284" 8ET AT THE WEST 1/16 CORNER OF THE NORTHWEST QUARTER OF SAID SECTION 15, SAID POINT ALSO BEING NORTH 00 DEGREES 19 ' 11" EAST, 1, 151.26 FEET, MEASURED ON SAID WESTERLY LING FROM A FOUND ROCK MOUNDS SET AT THE SOUTHWEST CORNER OF SAID SECTION 15. PARCEL 3s A ROAD AND UTILITY LICENSE DATED MARCH 31, 1987 AS DISCLOSED BY A MEMORANDUM RECORDED MAY 26, 1987 AS INSTRUMENT NO. 146676 OF OFFICIAL RECORDS OF RIVERSIDE COUNTY, CALIFORNIA, OVER THE FOLLOWING NEXT PROPERTY3 THAT PORTION OF THE EAST HALF OF THE SOUTHWEST QUARTER OF SECTION 14, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAN BERNARDINO BABE AND MERIDIAN, IN THE COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, ACCORDING TO THE OFFICIAL PLAT THEREOF, LYING WITHIN A STRIP OF LAND 330.00 FEET WIDE, THE SIDELINES THEREOF BEING 100.00 FEET NORTHERLY AND 230.00 FEET SOUTHERLY, MEASURED AT RIGHT ANGLES, RESPECTIVELY, FROM THE FOLLOWING DESCRIBED LINES BEGINNING AT A POINT IN THE EASTERLY LINE OF SECTION 13, TOWNSHIP 3 SOUTH, RANGE 3 E:AST, BAN BERNARDINO BASE AND MERIDIAN, SAID POINT BEING SOUTH 00 DEGREES 30' 17" WEST, 454.39 FEET, MEASURED ON SAID EASTERLY LINE FROM A FOUND 3/4 INCH IRON PIPE WITH METAL TAG STAMPED "L.S. 2881" SET AT THE EAST QUARTER CORNER OF SAID SECTION 13. SAID POINT ALSO BEING NORTH 00 DEGREES 10' 17" EAST, 2,008.22 FEET, MEASURED ON SAID EASTERLY LINE FROM A FOUND STONE WITH "+" ON TOP SET AT THE SOUTHEAST CORNER OF SAID SECTION 13; THENCE SOUTH 87 DEGREES 03' 40" WEST, 15,820.26 FEET, TO A POINT IN THE WESTERLY LINE OF SECTION 15, TOWNSHIP 3 SOUTH, RANGE 3 EAST, SAN BERNARDINO BASE AND MERIDIAN, SAID POINT BEING SOUTH 00 DEGREES 190 11" WEST, 2,827.01 FEET, MHASURED ON SAID WESTERLY LINE FROM A FOUND 3/4 INCH IRON PIPE AND METAL TAG MARKED "R.C.E. 6284" SET AT THE WEST 1/16 CORNER OF THE NORTHWEST QUARTER OF SAID SECTION 15, SAID POINT ALSO BRING NORTE 00 DEGREES 19 ' 11" EABT, 1,151.26 FEET, MEASURED ON SAID WESTERLY LINE FROM A FOUND ROCK MOUND AT THE 130UTHWEST CORNER OF SAID SECTION 15. PAGE 8 of 8 CERTIFICATE, OF AMENDMENT TO THE. CERTIFICATE OF INCORPORATION OF U. S. WINDPOWER, INC. U. S. Windpower, Inc., a corporation organized and existing under and by virtue of the General Corporation I,aw of the State of Delaware, DOES II'F,REBY CERTIFY: FIRST: That by Unanimous Written Consent dated December 27, 1993 the Board of Directors of the Corporation unanimously adopted a resolution proposing and declaring advisable the following amendment to the Certificate of Incorporation. RESOLVED: That the Certificate of Incorporation be amended effective January 1, '1994 by changing the Article FIRST thereof so that, as amended, said Article shall be and read as follows: "The name of the Corporation is' KENETECH Windpower, Inc." RESOLVED: That, subject to the approval of the sole stockholder of the foregoing amendment, the President, any Vice (President, the Secretary or any Assistant Secretary of the Corporation, and each such officer acting singly, be and hereby is authorized and empowered to take such action and to do all things necessary and appropriate in connection with the foregoing amendment in file and cause such amendment to become effective January 1 1994W under the General Corporation Law of the State of Delaware. 99 SECOND: That said amendment was thereafter duty adopted by the written consent of the sole stockholder of the Corporation in accordance with the provisions of Sections 228 and 242 of the General Corporation Law of the State of Delaware. THIRD: That the capital of the Corporation will not be reduced under or by reason of said amendment. IN WITNESS WHEREOF, said U. S. Windpower, Inc., has caused this certificate to be signed by Mark D. Lerdal, its Vice president and Secretary and attested by Tom E. Pollock, its Assistant Secretary, this 27th day of December, 1993. U. S. Windpower, Inc.BY A" 6 C.11'/� Mark D. Lerdal Vice President and Secretary ATTF,ST: i By: 'Com E. Pollock "' Assistant Secretary Z 390d 8698b86:X0:] 2IffldaNIM H9313N3Y:QI 6h:TT b6, 6T/bo CERTIFICATF, OF AMENDMENT TO THE. CERTIFICATE OF INCORPORATION OF U. S. WfNDPOWER, INC. U. S. Windpower, Inc., a corporation organized and existing under and by virtue of the General Corporation Law of the State of Delaware, DOES HEREBY CERTIFX: FIRST: That by Unanimous 'Written Consent dated December 27, 1993 the Board of Directors of the Corporation UnaninIOUSly adopted a resolution proposing and declaring advisable the following amendment to the Certificate of Incorporation. RESOLVED: That the Certificate of Incorporation be amended effective January 1, 1994 by changing the Article FIRST thereof so that, as amended, said Article shall be and read as follows: "The name of the Corporation is: KENETECII Whidpower, Inc." RESOLVED. That, subject to the approval of the sole stockholder of the foregoing amendment, the President, any Vice President, the Secretary or any Assistant Secretary of the Corporation, and each such officer acting singly, be and hereby is authorized and empowered to take such action and to do all things necessary and appropriate in connection with the foregoing amendment to file and cause such amendment to become effective 7anuaty 1 19994 under the General Corporation Law of the State of Delaware. SECOND: That said amendment was thereafter duly adopted by the written consent of the sole stockholder of the Corporation in accordance with the provisions of Sections 228 and 242 of the General Corporation Law of the State of Delaware. 'ITHRD: That the capital of the Corporation will not be reduced under or by reason of said amendment. IN WITNESS WHEREOF, said U. S. Windpower, Inc., has caused this certificate to be signed by Mark D. Lerdal, its Vice President and Secretary and attested by Tom E. Pollock, its Assistant Secretary, this 27th day of December, 1993. U. S, Windpower, [tie, By &�-�1 l Mark D. Lerdal' . _ Vice President and ATTEST: seeretary _�.//�1 By: Tom E. Pollock Assistant Secretary z ]Odd 8698V86 XUK N3MOd(INIM H9313N3;I:Ql 6V:TT V6, 6T/VO