Professional Services Agreement - American Structurepoint Inc - Renewable Natural Gas Value Feasibility Study

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EXHIBIT A SECTION is Proposed Scope of Services RENEWABLE NATURAL GAS The Design Team will provide technical advisory and feasibility services to assist the City of South Bend, Indiana in maximizing the value of its Renewable Natural Gas (RNG) production from its anaerobic digesters and Guild PSA system. The biogas has the potential to be utilized in a variety of means at the wastewater treatment plant, however if used exclusively as a transportation fuel in the form of Compressed Natural Gas (CNG), it will allow for federal environmental credits to be generated thereby enabling the City to receive a much higher value for its renewable fuel. A. Utilizing RNG as CNG in City Vehicles The Design Team will analyze the improvements needed at the wastewater treatment facility and Transpo CNG fast -fill station in order to fully utilize the RNG produced by the City's digesters in the City's and Transpo's natural gas fueled vehicles. Services will include: 1. Evaluation of historical volumes of biogas production by the City's digesters 2. Evaluation of historical operating data of the Guild PSA system and associated costs 3. Projections of the amount of Gallons of Gasoline Equivalent (GGEs) that could be produced 4. Evaluation of historical fuel usage by City vehicles, as well as associated costs 5. Recommendation on additional equipment needed (compression, tube trailer, decanting station) 6. Capital costs and operating expense projections management expenses, staff needs for overseeing program 7. Estimated return on investment with respect to implementing recommended equipment B. Process for participating under the U.S. Environmental Protection Agency ("EPA") Renewable Fuel Standard ("RFS") program The Design Team will assist the City in understanding the process needed to register the City's facility with the EPA to generate Renewable Identification Numbers ("RINs") under the RFS program. 1. Weaver and Tidwell, L.L.P., will outline the steps needed, total timeline, and anticipated costs for registration, RIN generation, reporting, and recordkeeping. 2. quasar energy group, LLC will provide guidance from its firsthand experience in certifying two digester facilities under the RFS program in partnership with Weaver and Tidwell, L.L.P. C. Monetizing RINs The Design Team will outline various ways to monetize RiNs, including: 1. Providing historical value of RINs and current market pricing 2. Describing the RIN market in general and the basis for RNG RIN pricing 3. Describing multiple options for generating and selling RINs D. Final Feasibility The Design Team will summarize the information gathered in the above steps in a final written report to be delivered to the City that addresses the feasibility of utilizing anaerobic digester RNG as a transportation fuel for City vehicles and the Transpo fleet, as well as provide recommendations on how to implement the project. Page 1 201702407