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Ito ( ,Zia Remedy Agreement A0 Between Indian River County Utilities (IRCU) and Elster AMCO Water, LLC (Elster) Elster agrees to provide IRCU with 189 evoQ4 meters consisting of 186 two inch meters, 2 three inch meters and 1 four inch meter in accordance with the following schedule . 72 new meters by August 1 , 2013 72 new meters by August 15 , 2013 45 new meters by August 31 , 2013 Elster will supply the new meters using the change to the manufacturing process that will address the carbon heat tinting in the weld zones of the 304 stainless steel body components. IRCU will detach the sacrificial anodes from the existing meters, remove the existing meters, attach the sacrificial anodes to the new meters per the Elster supplied instructions, and install the new meters . Barring unforeseen events, weather issues, etc . , IRCU anticipates that it will be able to install the new meters over a period of approximately 30 days . During the sacrificial anodes installation process, Elster will periodically inspect IRCU ' s installation of the sacrificial anodes. Unless Elster notifies IRCU of sacrificial anodes installation defects in writing within ten business days of an inspection, it shall not be a defense to any warranty claims thereafter that the sacrificial anodes were initially installed incorrectly. If Elster notifies IRCU of any installation defects, IRCU shall have the option of correcting the alleged installation defect, and Elster shall have the option of inspecting the corrective work. If IRCU performs the corrective work, it shall notify Elster of such fact in writing . Unless Elster notifies IRCU of defects in the corrective work in writing within ten business days after receipt of such notice, the initial installation of the sacrificial anode shall be deemed to be correct. Both parties shall exercise good faith in the implementation of this process . IRCU agrees to install the new meters with insulating bolts furnished by Elster. Elster agrees to equip the 189 new meters with the evoQ4 encoder modules . IRCU agrees to purchase the 189 encoder modules at Elster' s cost of $202 . 00/ module and the following will apply . • IRCU will pay half of the total cost for the modules 60 days after the first new meter is installed. This equates to a $ 19,089 initial payment . 11 • IRCU will pay the remaining $ 19,089 on the twelve month anniversary date of the last meter installation provided that no more than three meters do not conform to applicable warranties prior to the twelve month anniversary date of the last meter installation, due to a breach of the standard meter warranty terms set forth in and attached hereto as Exhibit A ("Meter Warranty") . If four or more meters do not conform to applicable warranties during such time period due to a breach of the Meter Warranty, IRCU will have no obligation to pay the remaining $ 19,089 .